Perspective: India-EU Partnership

https://www.youtube.com/watch?v=8iy4rjvhqs

Why in the news?

THE President of the European Commission, accompanied by a delegation of College of European Union commissionersundertook an official two -day visit to India.

• The visit includes in -depth discussions aimed at further strengthening the India strategic partner in various sectors, strengthening cooperation on trade, technology, sustainability, And global governance.

How did the India-EU relationship go?

• Background:
  • India and the EU have a long -standing diplomatic relationshipestablished in 1962.
  • THE Sumts India-EU served as the cornerstone of Institutional framework on several levels for cooperationwith 15 summits.
  • The inaugural summit took place in Lisbon In June 2000, and the bilateral relationship was raised to a Strategic partnership during 5th Summit in the In The Hague In 2004.
  • THE “India-EU strategic partnership: a roadmap until 2025” was adopted in July 2020 To deepen cooperation.
  • THE Indian Space Research Organization (ISRO) PSLV successfully launched the EU probably in December 2024. Isro and the European Space Agency (ESA) cooperated on the Chandrayaan-3 And Aditya-L1 missions and signed a Jaw For cooperation on Gaganyaan,, Human Space Flight Mission of India.
• Trade and economy:
  • India and the EU have been engaged in Free trade agreement negotiations for 15 years.
  • The EU is India biggest trading partner in goods, and bilateral trade has increased by 90% Over the past decade.
  • The bilateral trade in goods was $ 135 billion In Exercise 2023-24with Indian exports to the EU $ 76 billion and imports for USD 59 billion.
    • Bilateral trade in services in 2023 was held 53 billion USD, including Indian exports of 30 billion dollars and imports of 23 billion dollars.
  • Cumulative Foreign direct investment (IDE) EU flows during the period April 2000 to September 2024 USD 117.4 billion, represented 16.6% total Afflux in IDE shares.
  • THE India-UE TRADE AND TECHNOLOGY COUNCIL (TTC) meetings, as well as bilateral discussions between Indian ministers and EU commissioners, Will improve commitment and promote trade and diversification of investments.
• Science and technology:
• Sustainability and green initiatives:
• Personal links to people:
  • Strong and growing Personal links are one of the foundations of the India-EU relationship.
  • Growth Indian diaspora In the EU, the EU contains a large number of students, researchers and qualified professionals.
    • Indian professionals have received the largest share of EU blue cards published in 2023-2024, representing more than 20%.
• Defense and strategic partnership:
  • India and the EU improve their Defense collaboration, especially in maritime security and Indo-Pacific Region,, below Improved security cooperation in Asia and with Asia (ESIWA +) Security program.
    • This is particularly important given China expanding sea expanding affirmed capacities and policies.
  • The first Joint naval exercises took place in October 2023 in the Gulf of Guinea.
  • Both parties have intensified cooperation on Global security, natural disasters, hacking, And fight against terrorism.
  • India is underway military modernization And his efforts to reduce dependence on any supplier, European nations can play a crucial role as a defense partners.
• Global leadership and geopolitical changes:
  • The EU decreases its Economic dependence on ChinaAlign with India’s approach to the diversification of exchanges.
  • In the middle of increasing transatlantic tensions, the EU continues Independent initiatives of foreign policyimprove the diplomatic influence of India.
  • The two partners support a global order based on rules in multilateral institutions such as the G20,, Omc,, And UN Security Council.

What are the challenges in India-EU relations?

• Underused potential in high-tech sectors:
  • India and the EU have not yet fully capitalized on cooperation in emerging fields like biotechnology,, nanotechnologyAnd genomic. However, bureaucratic obstacles and financing constraints are hampering the progress of joint R&D efforts.
• Negotiations of the Free Trade Agreement (ALE) in a standstill:
  • India and the EU have been negotiating an ALE for more than 15 years, but key differences remain on issues such as market access, Intellectual property rights (DPI)and labor standards. Regulatory barriers and tariff structures continue to slow down progress.
• Technology transfer and digital regulations:
• Differences in climate and energy policy:
  • Europeans Carbon border adjustment mechanism (CBAM) Could have an impact on Indian exports, especially in the high energy intensity sectors such as steel and cement.
  • The differences in green energy policies and financing structures pose coordination challenges.
• Visa and mobility barriers:
  • Despite the solid links of people to the person, visa restrictions and work permit challenges for EU Indian professionals remain a concern.

Make the way

• Acceleration of negotiations from the free trade agreement (ALE):
  • Adopt a flexible and progressive approach to trade liberalization, gradually approaching sensitive sectors.
  • Improve regulatory alignment with mutual recognition agreements to facilitate market access.
  • Strengthen collaboration on DPI standards and work through structured dialogues.
• Improve technological cooperation:
  • Establish dedicated executives for technology transfer, ensure balanced access while respond to EU concerns about digital security.
  • Strengthen Indian-EU collaboration in emerging technologies such as artificial intelligencesemiconductor and cybersecurity.
  • Facilitate data sharing agreements that balance privacy protection (Compliance of the GDPR) with commercial innovation needs.
• Respond to climate and energy concerns:
  • Develop a joint roadmap for the implementation of green energy solutions, aligning policies on renewable energy investments.
  • Work towards exemptions or adjustments in the EU CBAM To avoid negative impacts on Indian exports.
  • Improve funding and Technological variation for green hydrogen and neutral carbon initiatives.
• Improvement of visa and mobility frames:
  • Rationalize visa processes and work permits so that Indian professionals and students facilitate the exchange of knowledge.
  • Extend it Accessibility of the Blue Card EU program and facilitate restrictions for qualified Indian workers.
  • Strengthen educational and research collaborations under Erasmus + and Horizon Europe (EU key financing program for research and innovation) To promote the mobility of talents.