16 July, 2020
8 Min Read
By, Stefania Benaglia is an Associate Researcher at the Centre for European Policy Studies
- The EU and India have much in common. Both aim to enhance strategic autonomy and their global standing. Diversifying strategic value chains is also a common interest, as is the urgent need to address climate change.
- On purely economic terms, the EU is India’s first trading partner and the biggest foreign investor, with €67.7 billion worth of investments made in 2018, equal to 22% of total FDI inflows.
- But there is still room for improvement — especially when compared to EU investments in China which, in the same year, amounted to €175.3 billion.
- Enhanced business cooperation can help both the EU and India diversify their strategic value chains and reduce economic dependency — notably on China.
- India could succeed in attracting EU investment that might be moving out of China, but to do so, it must address the mutual trust deficit. Facilitating people’s mobility and connectivity is a good way to improve mutual understanding and create opportunities for innovation and growth.
Talks on FTA
- A new study from the European Parliament assesses the potential impact of an EU-India trade agreement at between €8 billion and €8.5 billion gains from increased trade for both sides, with a more significant increase of trade gains likely to flow to India.
- The study also refers to additional potential gains from enhanced coordination on the provision of global public goods, such as environmental standards.
- On climate change, the EU is building on its ambitious target to render the continent carbon-emission neutral by 2050, through its new industrial strategy, the Green Deal.
- “Investing in fossil fuel-driven recovery is a wasted opportunity, and we only have one chance to make it right”, says the Executive Vice President of the European Commission, Frans Timmermans.
- Should both the EU and India succeed in transforming into carbon-neutral economies by 2050, we all would gain from the investment.
- The Indo-Pacific region is increasingly the focus of attention, so India should capitalise on its geopolitical leverage there. Stronger cooperation with like-minded, democratic powers can support this effort, especially towards assertive competitors like China.
- Even India’s strongest bilateral relations with individual EU member states do not come close to the potential of dealing effectively with the EU as a whole.
Ruptures caused by COVID-19
- The measures put in place at supranational level show a strong willingness to buttress the fundamental pillars on which the EU is built. The “Next generation EU proposal” submitted by the European Commission has surprised many by its bold approach.
- This is indeed a game-changer, not only in its financial implications — as it allows the EU to take on debt — but because it shows that the ties that bind the EU extend well beyond treaties and individual members’ self-interest.
- The EU champions the rules-based international order, which is being increasingly challenged by the proliferation of exceptionalism.
- The EU and India must join forces to promote sustainable reform of multilateral institutions, with the World Trade Organization (WTO) first in line.
India is now ranked 38th out of 139 nations in the Logistic Performance Index (LPI) 2023 of the World Bank. From its previous rankings of 44th in 2018 and 54th in 2014, this is a notable improvement. Earlier, the Logistics Ease Across Different States (LEADS) Report 2022 was published by the Ministry of Commerce and Industry. About Logi
Airports discovered more than 63% of this illegal gold. The Department of Revenue Intelligence recently conducted the Golden Dawn Operation across India, seizing 101.7 kg of illegal gold valued at Rs 51 crore. Despite the fact that India receives a legal import of about 800-1,000 tonnes of gold each year, the illicit market is thought to be
Both parties expressed satisfaction with the ongoing bilateral defence cooperation at the 8th India-Thailand Defence Dialogue, which was held in Bangkok, Thailand. Cultural ties and mutual cooperation that have been shaped by thousands of years of lasting historical and cultural ties characterise India and Thailand relations. Highlight
The Kerala government's appeal of the order of the Kerala High Court is rejected by the Supreme Court. The Kerala government's appeal against the Kerala High Court's directive to move Arikomban (Wild Elephant), the "rice tusker" of Munnar, to the Parambikulam tiger reserve was recently dismissed by the Supreme Court.
Global Buddhist Summit In order to improve diplomatic and cultural ties with other nations, the Ministry of Culture recently organised the First Global Buddhist Summit 2023 in collaboration with the International Buddhist Confederation (IBC). About the summit "Responses to Contemporary Challenges: Philosophy to Praxis" is
Copyright© Aspire IAS Academy. All rights reserved. Powered by CLT Technologies & Edu-Publishers Private Limited.