Top 5 Reasons Why Europe and India Need to Work Together to Shape Global Outcomes

Top 5 Reasons Why Europe and India Need to Work Together to Shape Global Outcomes

Joel Fernandes | 23rd Nov 2021

The Europe-India relationship has been undergoing a series of transformational shifts at an exponential speed. Post the EU-India Leaders’ Summit in May 2021, there have been several high-level visits from both sides to discuss common global challenges be it climate change, trade and investment, rules-based order, or a unified front against terrorism. Europe and India are economic powers in an increasingly multi-polarised world and the two sides need to work even more closely together to shape global outcomes.

1. In the changing geo-political landscape, the EU and India strategic partnership is significant. The EU and India can together provide global leadership for climate and energy transition. India is focusing on new energy reforms and transforming its regulatory system. Europe has the necessary resources, best practices, and innovative technologies to support India to leapfrog into the future.

2. Economic recovery post Covid is another area where the EU-India strategic partnership is of importance. Both sides were deeply affected by the pandemic however, both sides exchanged support to each other in times of crisis. As both sides step into the new normal, they can support each other to ensure that early warning systems are in place and future outbreaks are not as harmful to both economies.

3. Currently, there are 4500 EU companies in India. With the resumption of dialogues on trade and investment between the EU and India, there is a need for consensus from both sides to conclude on a comprehensive Free Trade Agreement that has been in discussion for long. This agreement presents an opportunity to boost trade and investment in both the EU and India.

4. The recent visit of Executive Vice President of the European Green Deal, Frans Timmermans to India, focused on the opportunities in renewable energy, green hydrogen, biodiversity, clean transport, smart cities, circular economy, and sustainable finance. India also welcomes the EU’s decision to join the Technical Assistance Facility of Coalition for Disaster Resilient Infrastructure (CDRI) for promoting Disaster Resilient Infrastructure in Small Island Developing States. European companies need to seize these opportunities and the already created momentum around these sectors.

5. The newly launched EU-India Connectivity Partnership aims to create favourable conditions for increased investments in connectivity projects by the private sector, by fostering a competitive global ecosystem. It covers cooperation in the digital, energy, transport, and people-to-people sectors and sharing norms and values of social, environmental, economic, and fiscal sustainability and level playing field. There is now a plethora of opportunities for EU businesses to tap into these projects and the time is now.

Key takeaway:The next 5 years will see significant developments in the Europe-India business corridor with increased impetus right from the leadership at the policy levels. Changes in the basic parameters of agreements such as the Free Trade Agreement and Connectivity Partnership will be crucial for both regions.

Most importantly, Europe and India see each other as equal partners on strategic issues, investment, trade and technology transfer, realizing the value of the other region to meet their respective objectives. This expanding cooperation has created tremendous opportunities for European companies to enter and flourish in India, an opportunity they are aware about, but need assistance to explore, and Indian companies who can enter European markets with expertise based on their understanding of scale.

With EBTC, a trusted partner in the Europe-India business corridor, business from both India and Europe have access to support from a team that is well-versed in the Indian and European context with on-ground knowledge, trusted networks and a established presence. Together, we ensure collaboration and exchange on a professional level that overcomes challenges and utilises the manifold opportunities.

business, technology, tech, greentech, green