Authors: Aakansha Dave, Shariya Shaikh, Arunima Cheruvathoor, Shikha Jaiswal
1.1 Why do Nordic EU Countries want India to sign a FTA?
This particular document analyses the EU-India FTA agreement process and history, whilst focussing on the economic relationships of the Nordic EU countries with India.
Some facts about the trade relations between India and the EU, according to the official website:
- The European Union is India’s largest trading partner, accounting for €92 billion worth of trade in goods in 2018 or 12.9% of total Indian trade, ahead of China (10.9%) and the USA (10.1%).
- The EU is the leading destination for Indian exports (almost 18%).
- India is the EU’s 9th largest trading partner, accounting for 2.3% of the EU’s total trade in goods in 2018, well behind the USA (16.9%) and China (15.3%).
- Trade in goods between the EU and India increased by 72% in the last decade.
- Trade in services between the EU and India increased from €23 billion in 2010 to €37 billion in 2017.
- India is now the 4th largest service exporter to the EU and the 6th largest destination for EU services exports.
- The EU’s share in foreign investment inflows to India more than doubled from 8% to 18% in the last decade, making the EU the first foreign investor in India.
- EU foreign direct investment stocks in India amounted to €76.7 billion in 2017, which is significant but way below EU foreign investment stocks in China (€178 billion).
- Some 6,000 EU companies are present in India, providing directly 1.7 million jobs and indirectly 5 million jobs in a broad range of sectors. Indian companies have invested over €50 billion in Europe since 2000.
According to the official EU website, which is reflective of the relations they wish to present towards India; a vital objective of the EU in terms of its trade relations is to work towards non-discriminatory, open and predictable regulatory and business environment for European companies trading with or investing in India, including the protection of their investments and intellectual property. Currently, India’s trade regime and regulatory environments remain relatively restrictive with the existence of Technical Barriers to Trade (TBT), Sanitary and Phyto-Sanitary (SPS) measures, deviation from international standards and agreements, as well as discrimination based on legislative or administrative measures by India, affect a wide range of sectors, including goods, services, investment and public procurement. Furthermore, a number of technical working groups have been established thus far to discuss the broad range of trade-related issues such as SPS and TBT, including other issues such as those relating to animal and plant health steel and agriculture.
The Free Trade Agreement
Negotiations for a comprehensive Free Trade Agreement between the EU and India were launched in 2007 and suspended in 2013. However, the new Modi-led government has shown renewed enthusiasm in putting the talks back on track. The EU has said that it will agree to a formal restart of the FTA negotiations which it calls the Broad-based Trade & investment Agreement (BTIA) only when there
appears to be a consensus between both parties on market access for automobiles and alcohol and inclusion of the government procurement and labor standards. India and the EU have been negotiating over the BTIA since 2007 and in 2013 the talks collapsed over disagreements over the inadequate market access given to the EU over automobiles, wine and spirits from the EU. India also refused to open up the financial service sectors like banking, insurance, and e-commerce. The EU also tried to include issues such as labour and environment in the discussions to which India had strong objections from the very start, therefore leading to the derailing to the talks. It is no secret that the EU wishes to expand its influence in Southeast Asia in attempts to counter China’s growing economic, military and political prowess in the region. In mid-February 2020, in an attempt to spread their focus to different actors in the area, the European Parliament approved a wide-ranging free trade agreement with Vietnam, which is to take effect later this year. In this background, a renewed dedicated effort to revamp the BTIA seems very possible. In economic terms, a well-negotiated agreement will boost trade and investment flows between the two regions. The EU happens to be India’s largest trading partner and investor as well as its main source of technology transfer. The value of EU–India trade stood at €72.5 billion in 2014, up from €28.6 billion in 2003. Similarly, the EU’s investment stock in India increased from €0.78 billion in 2003 to €34.7 billion in 2013. Trade in commercial services has increased since the FTA talks were launched – up fourfold from €5.2 billion in 2002 to €23.7 in 2013.
Areas of disagreement
If the trade relations are expected to benefit both parties immensely, the hesitancy shown towards concluding the deal is definitely intriguing. A closer look at the quandary and the capricious behaviour by India makes a lot more sense. During the negotiations, European and Indian expectations diverged on various issues such as tariffs on wines, dairy products imported from the EU, cars and the ease of the visa regime for Indian professionals entering the EU. The EU and India have previously carried their trade disputes on wine, spirits and pharmaceuticals to the platform of the World Trade Organization. When the BTIA negotiations began, India had high tariffs in these sectors along with restrictions on foreign direct investment (FDI) applicable in several sectors which included insurance and trade. Tariffs on goods such as wine and cars remained at between 60-100%. Both the EU and India have voiced concerns over the restrictive barriers for export. India has also been affected by EU regulations and standards, especially on agricultural exports. For example, in 2014, exports of Indian Alphonso mangoes were banned after “non-European fruit flies” were found in some consignments. One of the key objectives of India is to also be recognized as a data-secure country. Despite India amending its Information Technology Act in 2000 and issuing new Information Technology Rules in 2011 and 2020 in line with the principles adopted by the United States, India is not recognized as data-secure under EU legislation. This has outstanding effects on the flow of sensitive data such as information on patients and also results in Indian firms being unable to gain market access in the EU, increasing their operating costs.
Another important point that was deliberated on was the move to push for reform that would allow skilled Indian professionals to temporarily reside and work in EU member states. The movement of professions (Indians) is still restricted to a great degree, and it was argued that if rules on movement of professionals were liberalized, Indian businesses would benefit significantly from the increase in access to EU services markets. The EU responded to this saying that they would be unable to intervene on the issue because work permits and visas are under the jurisdiction of individual member states. Another issue debated upon was the differentiated qualifications and professional standards between EU partners which restrict Indian professionals’ access to the EU markets. For its part, the EU wanted India to liberalize its professional services sector in response, particularly its accountancy and legal services. However, the Chartered Accountants of India and Bar Council of India were vehemently opposed to such liberalization because they feared competition from overseas accounting and law firms.
The EU also sought to push for massive cuts in India tariffs on automobiles and auto components. Currently, fully assembled cars attract a 60% import duty rising to 75% for cars with specializations. BY contrast, the tariff on Indian cars imported into the EU is 6.5%. The main fear that the Indian industry fears is that tariff cuts would flood the domestic markets with EUropean cars, which would adversely impact the Modi-led government’s Make-in-India initiative. The EU also pushed for deep tariff cuts for wines and spirits, which India was hesitant to compromise on given how currently India levies import duties of 60-1000%, plus state taxes. Given that alcohol now constitutes a major source of revenue. The EU also sought to strengthen intellectual property rights in India. Existing Indian laws do not allow evergreening of patents (extending patents when they are about to expire by making small changes to the product) or data exclusivity which prevents drugs and chemicals from being sold in India. India’s main contention with this demand is that if it is acceded to it, India will no longer be able to sell cheap generic drugs. The FTA would be of great importance to India in terms of investment flows and technical cooperation. The EU’s assistance would enable European companies to help Indian in it splan to develop 100 “smart cities” in the near future, as well as helping other Indian initiatives.
Nordic Countries and Economic Relations with India
While talks of FTAs swindle into standstills, India has succeeded in maintaining bilateral relationships with Nordic EU COuntries. Mutual economic interests have emerged as the driver of the relationship between India and Sweden with growth in bilateral trade, which crossed US$2 billion in 2009-10 and increased to US$2.4 billion in 2014-15. Two-way investments are also expanding. The key areas where technology exchange between Sweden and India occurs is in areas like green technology, renewable energy, smart infrastructure, healthcare and fedence. Sweden is also working with India with upcoming collaborations in India’s Smart Cities programme, healthcare and innovation. India happens to be Sweden’s 19th largest export market and third largest trade partner after China and Japan in Asia. The main Swedish exports to India are communication equipment, motor vehicles, paper & pulp products, pharmaceuticals, chemicals and engineering products. The main items of Indian exports are garments, textiles, chemical products, food products, and semi manufactured and manufactured goods.
A number of bilateral agreements have been signed by Sweden and India. These include Avoidance of Double Taxation Agreement and Bilateral Protection Agreement (BIPA), the MOU on Cooperation in the field of Healthcare and Public Health signed in February 2009 which provides mutually beneficial interaction between concerned agencies on both sides. There are also MOUs in the key areas of defence, environment, science & Technology, health and renewable energy.
According to Ministry of External Affairs reports, the total volume of bilateral trade between India and Denmark was USD 2838 million in 2015. Balance of trade in 2015 was slightly in favour of Denmark- India’s imports being US$1446 and exports US$ 1392. Trade of goods between India and Denmark has more than doubled from US$ 530.9 million in 2003 to reach a level of US$ 1051 million in 2015. As compared to 2014, our exports to Denmark decreased by 18% from US$1697 million in 2014 to US$ 1392 million in 2015. Danish exports to India decreased by 16% from US$ 1718 million in 2014 to US$ 1446million in 2015 (Source: Statistics Denmark) Bilateral services trade was worth US$ 1787 million in 2015, which was 14% less than US$ 2074 million recorded in 2014. India’s service exports to Denmark decreased by 9% from US$ 793 million in 2014 to US$ 725 million in 2015, while Denmark’s service exports to India decreased by 17% from US$1281 million in 2014 to US$1062 million in 2015.
Major Danish exports to India are power generating machinery, medicinal/pharmaceutical goods, industrial machinery, organic chemicals, metal waste and ore etc. Major Indian Exports to Denmark are apparels/readymade garments, textiles, fabrics, yarns, carpets, road vehicles and components, metal goods, iron, steel, footwear, leather goods, etc. As per Denmark statistics, Direct investment inflows from Denmark to India during CY 2011, 2012, 2013 and 2014 were US$877 million, US$931, US$ 731 & US$ 854 million respectively. The investments have been made in sectors like harbour/port modernization and expansion, beer breweries, wind turbine/rotor blade manufacturing,agro-intermediates/insecticides, and the engineering sector. There is scope for additional investments in renewable energy, pharmaceuticals, food processing, shipping, electronics and infrastructure sectors. Indian investments to Denmark in CY 2011, 2012, 2013 and 2014 were US$ 112, US$103, US$ 89 million and US$ 71 million respectively. However, India-Denmark relations took a hit in July 2011, due to the Kim Davy extradition case. India and Finland enjoy a dynamic commercial relationship with exports and imports which are showing annual gains. Indian Information Technology concerns are also establishing their presence in Finland. According to the Ministry of External Affairs report (India), India’s trade with Finland crossed $ one billion and is in Finland’s favour. In 2016, Finland was India’s 60th largest trade partner globally, and the 10th largest within the EU (Ministry of Commerce & Industry, Government of India 2017). Similarly, in 2016, India was Finland’s 23rd largest trade partner globally, and the fifth largest within Asia (Finnish Customs 2017). The report also states that As per FDI statistics (DIPP, India) Finnish companies had invested US$ 419 million between April, 2000 to July, 2017. Within the EU, Finland ranks 12th among countries investing in India (Ministry of Commerce & Industry, Government of India 2017). Approximately 100 Finnish companies now have operations in India, including through investments. Large manufacturers like Nokia, Kone, Wartsila, UPM, Fortum, Metso, Huhtamaki, Salcomp, Ahlstrom, etc. have set-up their manufacturing facilities in different parts of India. Big Finnish IT companies Tieto and F-Secure have also established operations in India. Nokia has offices in Gurgaon, Bangalore, Mumbai and Chennai, as well as a Global R&D center in Bengaluru with 3000 people. About 30 Indian companies, mainly in the software and consultancy sector are active in Finland. Among them are TCS, WIPRO, Infosys, L&T InfoTech, Tech-Mahindra, HCL Technologies and others. Investments from India have started, including through acquisitions.
1.2 India-Nordic Summit
Prime Minister Narendra Modi met leaders of Sweden, Norway, Finland, Denmark & Iceland for the first India-Nordic Summit in Stockholm on April 17. Prime Minister of Denmark Lars Løkke Rasmussen, the Prime Minister of Finland JuhaSipilä, the Prime Minister of Iceland KatrínJakobsdóttir, the Prime Minister of Norway Erna Solberg and the Prime Minister of Sweden Stefan Löfven held a Summit hosted by the Swedish Prime Minister and the Indian Prime Minister Narendra Modi was the first Indian PM to visit Stockholm since 1988. The only other instance of a similar Nordic summit was during President Barack Obama’s tenure when heads of state or governments participated. The six leaders exchanged views on regional and global issues such as environment and climate, trade and investment and discussed areas of future cooperation. The governments worked to strengthen Sweden’s role as a key partner for India in the country’s rapid development, especially in innovation. The India-Nordic Summit symbolises shared democratic values between the two sides.
They reaffirmed the importance of free trade as a catalyst for achieving inclusive growth and realising the Sustainable Development Goals amid rising protectionist tendencies displayed powerful economies. They also acknowledged that terrorism and violent extremism are major challenges for the international community. They discussed global security, including cyber security, based on their shared values of human rights, democracy and the rule of law, and their commitment to uphold the rules-based international system in the backdrop of China’s ambitions that has challenged rules based global order. The unique strengths of India and the Nordic countries offer immense opportunities for trade and investment diversification and mutually beneficial collaboration. During the talks, the importance of the rules-based multilateral trading system as well as open and inclusive international trade for prosperity and growth was underlined. The Ease of Doing Business practices were emphasised as a priority for both the Nordic countries and India. The Nordic approach to innovation systems, characterised by a strong collaboration between public sector, private sector and academia, was discussed, and synergies were identified with India’s rich pool of talent and skills.
The Summit emphasised the Indian Government’s strong commitment to innovation and digital initiatives as key to prosperity and sustainable development, with national flagship programmes such as Make in India, Start-up India, Digital India and Clean India. Nordic solutions in clean technologies, maritime solutions, port modernisation, food processing, health, life-sciences and agriculture were mentioned. The Summit welcomed the Nordic Sustainable Cities Project aimed at supporting the Smart Cities. The Summit also discussed export control and non-proliferation. The Nordic countries welcomed India’s application for membership of the Nuclear Suppliers’ Group and reaffirmed their commitment to work constructively within the Group with the aim of reaching a positive outcome at the earliest opportunity. The Summit reaffirmed the countries’ support for the United Nations and the Secretary-General’s reform efforts to ensure a UN-fit to support Member States to deliver on Agenda 2030 and took note of his proposals to strengthen the UN, including in the areas of development, peace operations, peace building and conflict prevention. The Nordic countries and India reaffirmed the need for reform of the UN Security Council, including its expansion in both permanent and non-permanent seats to make it more representative, accountable, effective and responsive to the realities of the 21st century. The Nordic countries agree that India is a strong candidate for a permanent seat in a reformed Security Council expanded with both permanent and non-permanent members.
Furthermore, it discussed the countries’ full commitment to implementing the 2030 Agenda for sustainable development as well as the ambitious implementation of the Paris Agreement. They agreed to continue efforts to develop cleaner energy systems, renewable energy and fuels, increased energy efficiency and technologies for cleaner energy production. The Prime Ministers noted that women’s full and meaningful participation in political, social and economic life is the key to inclusive development and agreed to promote the empowerment of women. They also agreed that a strong partnership can help spur innovations, economic growth, sustainable solutions and mutually beneficial trade and investments. The Summit emphasized the importance of strong people-to-people contacts through education, culture, labor mobility and tourism – all areas where the Nordic countries and India see a continuous increase in both interests and numbers. Ahead of the summit, PM Modi held bilateral meetings with his counterparts from all five Nordic countries. India has substantial economic ties with the Nordic nations. Annual India-Nordic trade is about USD 5.3 billion while the cumulative Nordic FDI into India is worth USD 2.5 billion. Five MoUs were signed on the occasion with the Nordic countries. These include cooperation in the field of sustainable and smart urban development, animal husbandry and dairying, food safety cooperation, and agricultural research and education with Denmark, and on the establishment of an ICCR Chair for Hindi Language with Iceland. India’s relationship with the Nordic states is an important part of rapidly evolving Indian foreign policy priorities. This was not only the first visit of an Indian Prime Minister to Sweden in 30 years, but also an attempt to reach out to the wider Nordic region with the first India-Nordic summit. New Delhi’s focus in its foreign policy, for far too long, has been on traditional western powers with the United States on one side and major European powers like the United Kingdom, France, and Germany on the other. The result was a complete neglect of advanced Nordic nations with whom India shares some significant political and economic complementarities and which rank the highest along various human developments indices. But with the changing global context in which states like China and Russia are busy re-moulding the rules of global governance to their advantage and with India standing out as an economic powerhouse with strong democratic credentials, the discourse in the Nordic states too has undergone a dramatic shift. A strong partnership with India is now seen as not only desirable, but an imperative of changing global realities.
PM Modi’s visit to Sweden, therefore, was at an appropriate time and India’s outreach to the wider Nordic region with the first India-Nordic summit was very much welcomed. In Sweden, PM Modi galvanized top Swedish firms to invest in India, underlining the importance of strong bilateral business relations for the people of the two countries. Sweden has been a strong supporter of India’s
“Make in India” campaign too, with the Swedish prime minister leading a big delegation to the Mumbai summit in 2016.
India and Sweden are working on reviving their traditionally strong defence ties in light of Sweden’s interest in proposing the Saab Group’s Gripen-E single-engine jet fighter for the Indian Air Force, with a Request for Information having been issued earlier to Stockholm. India and Sweden have decided to set up a common task force on cyber security and are working towards finalizing a bilateral agreement on exchange. Additionally, their talks include mutual protection of classified information for cooperation in the defence area as well as encouraging private sector stakeholders to develop supply chains for small and medium sized enterprises with major defence and aerospace original equipment manufacturers.
The highlight of PM Modi’s visit to Sweden, however, was the signing of the Joint Innovation Partnership pact and adoption of the Joint Action Plan. The Joint Innovation Partnership is aimed at embedding the wider relationship in a larger innovation ecosystem in order to “initiate a multi-stakeholder Innovation Partnership for a Sustainable Future, underpinning the mutual commitment to drive prosperity and growth and address societal challenges such as climate change and sustainable development through innovation.”
The Swedish government will be providing more than $59 million for innovation cooperation with India in the field of smart cities and sustainability, two key priorities of New Delhi. With the Joint Action Plan, meanwhile, the two nations will try to enhance cooperation in key areas of renewable energy, women’s skills development and empowerment, space and science, and health and life sciences.
The first India-Nordic summit reaffirmed the commitment of both sides to work towards supporting free trade as a catalyst for achieving inclusive growth and realizing the Sustainable Development Goals at a time when major economic powers are becoming protectionist and tariff wars are becoming the new normal. Being the beneficiaries of the rules based global order, it is important for India and the Nordic states to raise their voice against the challenges emanating from some emerging and some extant powers towards the multilateral normative order. In this context, India received key support from the Nordic countries for its membership of the Nuclear Suppliers’ Group (NSG) and a seat at the United Nations Security Council as a permanent member. The NSG support from the Nordic states is particularly significant because there was a time when these states had adopted a strong moralistic approach on India’s nuclear programme. Today, there is a recognition and acceptance of India’s credentials as a responsible nuclear actor despite not being a formal member of the Nuclear Non Proliferation Treaty (NPT). Both China and the United States under President Donald Trump are challenging the global institutional framework in multiple ways and it is important for liberal democratic states to stand up for the sanctity of that order by enhancing engagements.
As India redefines its foreign policy priorities in Europe and as a changing Europe comes to terms with a rising India, Modi’s engagement with the Nordic states has managed to showcase the potential that exists in this partnership with a much neglected part of the world.
1.3 The bilateral relations of India and EU Nordic countries
In this paper, there will be exhaustive narration of the existing relationship of India with Denmark, Sweden and Finland. There is a deep relation of India and the mentioned Nordic countries, specifically with India’s current ventures for technological development, innovation, economic growth, Climate Change and ,any more. Nordic countries are known as leaders of innovation and economic development
The relationship of India and Denmark
Pandit Jawaharlal Nehru’s visit to Denmark in 1957 laid the foundation for a friendly relationship between India and Denmark that has endured until July 2011 when the relations got affected due to non-extradition of Niels Holck Nielsen at Kim Davy, a Danish national involved in the Purulia Arms Dropping Case in 1995. Earlier the bilateral relations between India and Denmark had been cordial and friendly, based on synergies in political, economic, academic and research fields. There had been periodic high level visits between the two countries.
The important visits prior to July 2011 were as follows: Visit of Prime Minister of Denmark (4-8 February 2008): Mr. Anders Fogh Rasmussen, the then Prime Minister of Denmark, accompanied by a large business delegation, paid a State visit to India from February 4-8, 2008. He visited Infosys, Biocon and IIM in Bangalore and Agra. During his visit, Mr. Rasmussen called on the President, met the PM, Chairperson UPA and EAM. He launched an ‘India Action Plan’, which called for strengthening of the political dialogue, strengthening of cooperation in trade and investments, research in science and technology, energy, climate and environment, culture and education. Visit of Prime Minister of Denmark (11 September 2009): The then Danish Prime Minister Lars Lokke Rasmussen paid a one day Working Visit to India on 11 September 2009 as Host of the COP15. He met Prime Minister Dr. Manmohan Singh and discussed climate change, regional and bilateral issues.
Visit of Prime Minister Dr. Manmohan Singh (17-18 December 2009): Prime Minister Dr. Manmohan Singh visited Denmark on 17-18 December 2009 to participate in COP15. PM’s visit was brief and dedicated for the COP15; there was no bilateral meeting with the Danish dignitaries.
Visit of Minister of Water Resources, Mr. Salman Khurshid (June 8-9, 2011)- The then Minister of Water Resources, Mr. Salman Khurshid visited Denmark from June 8-9, 2011. He held a detailed meeting with Ms. Karen Ellemann, Danish Minister of Environment. Visit of Parliamentary Delegation led by Hon’ble Speaker, Smt. Meira Kumar (June 16-18, 2011) – A Parliamentary Delegation led by Hon’ble Speaker, Smt. Meira Kumar visited Denmark from June 16-18, 2011. During the visit, the delegation called on the Queen of Denmark and also had meetings with The Danish Presidium led by Mr. Thor Pedersen.
Inaugural Meeting of India-Denmark Joint Commission
The inaugural meeting of India-Denmark Joint commission was held in New Delhi on 14-15 December, 2010. The meeting was co-chaired by Danish Foreign Minister Ms. LeneEspersen and the then External Affairs Minister Mr. S.M. Krishna. The two sides discussed key areas of bilateral cooperation as well as regional and global issues of importance to both counties. It was agreed to set up three new Joint Working Groups on (i) Shipping; (ii) Food, Agriculture and Fisheries; 1 and (iii) Environment. The two sides also agreed to convert the three joint committees established earlier into Joint working Groups, viz. (i) Biotechnology; (ii) New and Renewable Energy; and (iii) Labour Mobility.
During her visit, Danish Foreign Minister Ms. LeneEspersen also led a 17- member business delegation. She inaugurated a business seminar “IndoDanish Business Days” on energy and cleantech organised by the Confederation of Danish Industry in collaboration with the Confederation of Indian Industry and Embassy of Denmark, New Delhi. She also visited a number of business establishments in sectors like IT, pharmaceutical, energy and environment. Important existing
Bilateral Treaties and Agreements between India and Denmark:
Technical Cooperation Agreement – 1970 – Agreement on an Integrated Fisheries Project at Tadri, Karnataka – 1981 – Investment Promotion and Protection Agreement (BIPA) – 1995 – Protocol on Avoidance of Double Taxation (DTAA) – 1995 – MOU for cooperation between CII and Confederation of Danish Industries – 1995 – Protocol on Foreign Office Consultation – 1995 – Joint Business Council Agreement between FICCI and the Danish Industry (DI) – 2002 – MOU on Biotechnology for Bilateral Cooperation – 2004 – Agreement for establishment of a Bilateral Joint Commission for Cooperation – Feb 2008 – MOU for Cooperation in New and Renewable Energy – Feb 2008 – Arrangement on Gainful Employment for Family Members of the Diplomatic Mission or Consular Posts – Feb 2008 – MOU on Clean Development Mechanism – Oct 2008 – MOU on Cooperation in the area of Environment – September 2009 – MOU on Labour Mobility Partnership – September 2009 – Social Security Agreement – February 2010
Commercial and Economic Relations
Though small in size, Denmark is a rich country with an open economy which relies heavily on foreign trade and investment to generate a high level of income. It has a GDP of about US$ 330 billion (2012).
Bilateral Trade
Bilateral trade of goods between India and Denmark has more than doubled from US$ 530.9 million in 2003 to reach a level of US$ 1221.1 million in 2012. However as compared to 2011, our exports to Denmark decreased by 23% from US$ 992 million in 2011 to US$767 million in 2012, while imports from Denmark also decreased by 24% from US$ 597 million in 2011 to US$ 453.9 million in 2012 (Source: Statistics Denmark). Bilateral services trade was worth US$1587.00 in 2012, which was slightly higher than US$ 1549.00 recorded in 2011. India’s service exports to Denmark were US$549 million in 2012 as compared to US$537 million recorded in 2011. India’s service imports from Denmark were US$1038 million in 2012 as compared to US$1012 million registered in 2011(Source: Statistics Denmark).
Investments
Danish direct investments in India during 2010 and 2011 were US$ 711 million and US$ 783 million respectively [Source: Statistics Denmark- Investment figure for 2012 not yet available]. Major Danish
investments in India have been made in sectors like harbour/port modernization and expansion, beer breweries, wind turbine/rotor blade manufacturing, agro-intermediates/insecticides, and the engineering sector. Indian direct investments in Denmark during 2010 and 2011 were US$ 89 million and US$ 112 million respectively [Source: Statistics Denmark]. The presence of Indian companies in Denmark is rather small. Tata Consultancy Services (TCS), L&T Infotech, Infosys Technologies, ITC Infotech and Mahindra Satyam have been operating in Denmark. Suzlon Energy Ltd., the Pune-based wind turbine producer, opened its overseas marketing office in Aarhus in Denmark in 2005. Dr. Reddy’ Laboratories Ltd. (DRL) has entered 3 into an agreement with Denmark-based firm Rheoscience A/S for joint development of balaglitazone for treatment of Type 2 Diabetes. Praj Industries have also entered into an agreement with Novozymes on processing of bioethanol. Important streets and public places named after Indian leaders: Gandhi Plaene (Gandhi Park) located at the junction of BorupsAlle and Hvidkildevej in Copenhagen has a bronze statue of Mahatma Gandhi in sitting posture. City of Aarhus has a Nehru Road near Aarhus University.
ICCR Chairs
ICCR Chair for Indian Studies at Aarhus University, Denmark started functioning with the deputation of a Professor from Jadavpur University, Kolkata in September, 2012. A Chair for Indian Economy and Society has also been functioning at Copenhagen Business School (CBS) since 2009.
Visa requirements for Indian officials
Holders of diplomatic and official passports do not require visa to enter Denmark. Others require a visa. Visa may be required to transit through other EU countries while travelling to Denmark. The details and types of visas issued to tourists, businessmen and students are available on the Danish Embassy’s website.
Air links with India
There is no direct flight from Copenhagen to India. Finnair operates direct flights to India via Helsinki. Convenient links to get an Air India flight to India are from London, Paris and Frankfurt. Other connections are via Vienna, Moscow, Istanbul, Doha and Dubai.
Estimated NRIs/PIOs
The size of the Indian community in Denmark is 6284 including 5009 NRIs and 1277 PIOs as on 1.4.2013 (Source: Statistics Denmark). The PIOs came to Denmark in the 1970s and 1980s from Punjab and neighbouring countries of Europe. Over the past few years, the number of PIOs has remained almost stagnant around 1275. However, there has been an increase in the number of NRIs due to the arrival of IT professionals, doctors, students and others from India in recent times. There are several Indian Cultural Associations in Denmark who organise cultural programmes during festive seasons.
Both India and Denmark are democracies and would undoubtedly benefit from closer cooperation in the fields of science and technology, trade and investment, environment and renewable energy, and several other fields that are of mutual interest for both democracies. We in India have a lot to be thankful for in the days preceding the economic reforms of the 1990s, when Denmark supported several good projects in India. Larsen and Toubro, the company that is well known in India, was started by two Danish engineers. The Amul dairy milk industry based in Gujarat, the so-called white revolution whereby India became self-sufficient in milk production, is inspired by the Danish dairy
industry. More than two decades of domicile in Scandinavia has convinced me that the Danes are the Indians of Western Europe.
Sweden-India Relationship
Diplomatic ties between India and Sweden were established in 1949. The two countries enjoy cordial relationships and excellent cooperation in regional and international fora. Sweden supports India’s membership of the expanded United Nations Security Council (UNSC). Sweden supported India in its membership of the Missile Technology Control Regime (MTCR) and has extended full support in India’s bid for its pending membership of the Nuclear Suppliers Group (NSG).
The two countries have been supporting each other on reciprocity for their non-permanent memberships in the UNSC and various positions in different organs of the UN and other multilateral fora. Mutual economic interests have emerged as the driving force in the relationship. High level contact between the two countries goes back to 1957 when Prime Minister Jawaharlal Nehru visited Sweden. Prime Minister Indira Gandhi visited Sweden to attend the United Nations Conference on the Human Environment in Stockholm in 1972. Prime Minister Rajiv Gandhi visited Sweden in March 1986 and January 1988. The first-ever State Visit by the President of India, Shri Pranab Mukherjee, was in 2015. This was followed by the visit of Swedish Prime Minister Stefan Löfven to India in 2016. The visit of Prime Minister Shri Narendra Modi to Sweden on 16-17 April 2018 has taken the bilateral relationship to the next stage with further strengthening of overall cooperation between India and Sweden. This was a visit to Sweden by Indian Prime Minister after nearly three decades.
The Prime Minister had an audience with His Majesty King Carl XVI Gustaf in addition to a bilateral meeting with the Swedish PM Stefan Löfven. A Joint Declaration on India-Sweden Innovation Partnership for a Sustainable Future was signed by both the sides and a Joint Action Plan was adopted. Both Prime Ministers participated in a Round-table meeting with about 30 CEOs of leading Swedish enterprises and addressed the CEOs.During the visit, India and Sweden also hosted the first India-Nordic Summit, entitled ‘India-Nordic Summit : Shared Values, Mutual Prosperity’ which was attended by all other Nordic Prime Ministers, PM Lars Lokke Rasmussen of Denmark, PM JuhaSipila of Finland, PM KatrinJakobsdottir of Iceland and PM Erna Solberg of Norway.
The momentum which the Presidential visit imparted to India-Sweden relations was maintained by the visit of Swedish Prime Minister Stefan Löfven to India in February 2016 for the ‘Make in India Week’ in Mumbai. He was accompanied by one of the largest Swedish high level official and business delegations. He met Prime Minister Narendra Modi on 13 February. The Joint Statement issued after the meeting laid down the vision for all round future cooperation. The statement identified defence, infrastructure, urban development, education, S&T, environment, health and space as key sectors for strengthening bilateral partnership. The two Prime Ministers endorsed the creation of an India-Sweden Business Leaders Round Table, comprising top business leaders from both countries, to facilitate two-way trade and investments. A Memorandum of Understanding for cooperation in Railways was signed on 15 February 2016.
Recently Swedish King Carl XVI Gustaf on December 3 2019 held extensive talks with President Ram Nath Kovind and Prime Minister Narendra Modi to expand overall bilateral cooperation in diverse areas including in trade and investment, innovation and culture. The two sides inked three pacts providing for cooperation in polar science, innovation and research and in maritime spheres
Swedish-Indian Business History
Diplomatic relations between Sweden and India were established in 1948, the year after India became independent. However, business relations between the two nations date back further than that. The Swedish-Indian history can be viewed in three separate waves of development. The first wave of Swedish companies entered India in the beginning of the 20th Century, with pioneering companies like Ericsson, SKF, Swedish Match and ASEA (later to become ABB). The second wave came after independence. In 1957, the Indian Prime Minister, Jawaharlal Nehru, visited his Swedish counterpart, Tage Erlander, and the two political leaders agreed that Sweden and India had a lot in common and would profit from collaboration. A large area of land was allocated to Swedish companies in the city of Pune, which was a strategically good location considering the proximity to India’s commercial centre in Mumbai.
In the 1960-70s Pune became an important industrial hub, where Swedish companies like Alfa Laval, Tetra Pak, Sandvik and Atlas Copco were established. The third wave of Swedish companies entered India during the 1980s and 1990s with among others Volvo Trucks & Buses and Perstorp. Companies with large purchasing organizations, such as IKEA and H&M, also started doing business in India.
In the 2000s Volvo Cars and Scania established subsidiaries and were accompanied by an influx of small and medium sized companies, such as Systemair and Roxtec, to name a few. Trade between the two countries has grown over the last decade and a steadily rising number of Swedish companies have established Trade between the two countries has grown over the last decade and a steadily rising number of Swedish companies have established themselves in India. At present, we can see an embryo of a potential fourth wave of Swedish-Indian business development. Swedish companies are now not only sourcing from India, but also progressively establishing their global hubs here with R&D, sales and manufacturing etc. Moreover, there is an influx of fast-moving consumer companies finding their space in a developing Indian retail market. Whilst Swedish companies have a 100 year long history in India, Indian companies have been establishing and investing in Sweden more recently, since the start of this millennium. The first foray was led by large IT companies with themselves in India.
At present, we can see an embryo of a potential fourth wave of Swedish-Indian business development. Swedish companies are now not only sourcing from India, but also progressively establishing their global hubs here with R&D, sales and manufacturing etc. Moreover, there is an influx of fast-moving consumer companies finding their space in a developing Indian retail market. Whilst Swedish companies have a 100-year long history in India, Indian companies have been establishing and investing in Sweden more recently, since the start of this millennium.The first foray was led by large IT companies with the top tier companies such as TCS, Wipro, Infosys and L&T Infotech. A second and more decisive wave of IT companies commenced a decade later led by Mahindra-Satyam, and the acquisition by HCL Technologies of Volvo IT and its 900 employees.
Indian investments in Sweden in other areas are evident in industrial sectors such as Bio economy with Aditya Birla Group’s acquisition of DomsjöFabriker in viscose fibre, and Bharat Forge in Kilsta in
automotive. Indian companies are searching for innovation and applied research in Sweden. To date there have been investments and collaborations within pharmaceuticals, material research and automotive technologies amongst others. Indian automotive companies are now expanding in the Swedish market through organic investments but also via acquisitions. For example, Tata AutoComp Systems acquired Titan X while Sansera made an acquisition of MAPE. Furthermore, Tata Technologies acquired Escenda for design and engineering services.
Indian companies are now investing and expanding their footprint in Europe with Sweden as a gateway. 4000 people are currently employed by roughly 60 Indian companies in Sweden, while the number of employees directly or indirectly engaged in Swedish business is estimated to be 2-3 times higher. Sweden offers complimentary opportunities for Indian companies’ ambitions, which is in line with Indian businesses’ increasingly global outlook.
Economic and Commercial relations
During the visit of the President of India to Sweden in 2015, both sides had agreed to reach the ambitious total trade target of US $5 billion by 2018. Though the bilateral trade fell to US $1.9 billion in 2016-17, as compared to about US $2.17 billion in 2015-16, Swedish investments and other economic activities in India were on the rise. According to available statistics, the main items of Indian exports to Sweden were articles of apparel, clothing accessories; textiles yarn, fabrics, made-ups; manufactures of metals; road vehicles; general industrial machinery and equipment. The main items of Indian imports from Sweden were pulp and waste paper; road vehicles; paper and paper board, articles thereof; general industrial machinery and equipment; iron and steel; machinery for particular industry; electrical machines, apparatus and appliances; miscellaneous manufactured articles; and power generating machinery and equipment. The major items of trade between the two countries remained unchanged. Sweden has a long history of investments in India. Many of the major Swedish companies – such as Ericsson, Swedish Match (WIMCO), SKF and ASEA (later to become ABB) – entered India even before it became independent. Since then numerous other Swedish companies – like Atlas Copco, Sandvik, Alfa Laval, Volvo, AstraZeneca and SAAB – have invested in India. Other leading Swedish MNCs – namely, transport solution provider Scania, the hygiene and forest products company SCA and retail giants IKEA and H&M – are among the more recent entrants.
As per October 2017 data, there are over 170 Swedish joint ventures and wholly owned subsidiaries in India. Sweden is the 20th largest foreign investor in India with cumulative investment of US $8.51 billion between January 2003 and January 2017. The low figures as compared to actual investments are for the reason that the data, available only from the year 2003-onwards, do not reflect the prior Swedish investments in India or investments of MNCs through third countries. The existing Swedish MNCs are now expanding not only in manufacturing but also increasingly on offshore IT operations and R&D in India. They are growing in numbers. This part of investments by existing Swedish companies is apparently not included either.
Sectors that have received the largest shares of Swedish investments in India are Automobile Industry with US $362.20 million (33%), Industrial Machinery with US $162.09 million (15%), Miscellaneous Mechanical & Engineering Industries with US $115.67 million (10%), Electrical Equipment with US $80.99 million (7%) and Metallurgical Industries with US $ 55.02 million (5%).The top FDI equity inflows have come from the following Swedish companies – Volvo; ABB; Atlas Copco, Ericsson;
Alfa Laval; SAAB; Autoliv; Sapa (Aluminium solutions), Astra Pharmaceuticals; Electrolux; Quinn Hotels Sweden; Scania; Perstorp; H&M; IKEA; Recipharm; and Securitas.
Memoranda of Understanding between Sweden and India
Sweden and India have entered into a number of Memorandum of Understanding (MoU) within a wide range of areas. The MoUs are of great importance as they facilitate cooperation between the two countries in areas of mutual interest. The MoUs are valuable for public authorities as well as for companies and organizations for implementation of activities within prioritized sectors.
The Ministry of Micro, Small and Medium Enterprises of the Republic of India and the Ministry of Enterprise and Innovation of Sweden entered into a Memorandum of Understanding on 01 June 2015.1 The MoU outlines the following areas of cooperation: (i) promoting partnership projects; (ii) encouraging exchange of information; (iii) stimulating the development of industrial potential surveys to identify opportunities for development; (iv) facilitating the exchange of business missions. The Ministry of Enterprise and Innovation in Sweden, together with the Ministry of Science and technology in India (Department of Science and Technology and Department of Biotechnology) are the leading partners for developing collaboration within the partnership. The implementation of the innovation partnership will be supported by the Office of Science and Innovation at the Embassy of Sweden in New Delhi. As part of this partnership, the Government has tasked Vinnova (the government agency for innovation) with strengthening innovation cooperation between Sweden and India in the field of smart cities. The Government has allocated up to SEK 50 million (approx. INR 40 crores) to Vinnova for this assignment up to the year 2021[5].
SUSTAINABLE URBAN DEVELOPMENT
For Swedes, sustainability is a way of life. There are many aspects of Sweden’s sustainable urban development model that India can begin to implement. The Memorandum of Understanding regarding sustainable urban development was signed between the Government of the Republic of India and the Government of Sweden on 01 June 2015. The MoU stressed on the following aspects: (i) sustainable and integrated urban planning and land use; (ii) integrated solid waste management; (iii) sustainable transport systems; and (iv) water and sanitation management.
INTELLECTUAL PROPERTY
In a big boost to entrepreneurs, businesses and investors, India and Sweden signed an MoU on intellectual property in August 2017.3 Both sides agreed to cooperate on exchange of best practices, experiences and knowledge on IP awareness among the public, businesses and educational institutions of both countries, collaboration in training programmes, technical exchanges and outreach activities.
HEALTHCARE
The Ministry of Health and Social Affairs, Sweden and the Ministry of Health and Family Welfare, India have had an MoU in place since 2009. It aims to promote bilateral cooperation in health care and public health, focussing particularly on 12 identified areas on mutual interest. The MoU has resulted in several collaborations between the two sides in areas such as maternal and child health, adolescent reproductive and sexual health, and communicable disease control.
ENERGY
The Ministry of Enterprise, Energy and Communications of Sweden and The Ministry of New and Renewable Energy, Government of the Republic of India signed an MoU on 19 April 2010. The areas of cooperation include bilateral cooperation between the participants on new and renewable energy and promote trade and investment activities involving private organisations, development of new and renewable energy technologies – namely, wind, bioenergy, waste-to-energy and energy efficiency, joint research and development projects, exchange of scientific and technical personnel and capacity building.
SPACE
The MoU has been in place between the Indian Space Research Organization (ISRO) and the Swedish National Space Board (SNSB) since 1986. The MoU aims to provide a framework for collaborative activities, to review areas of common interest in space activities and to facilitate the interchange of information, technology and personnel in areas of mutual interest. In January 2016, a delegation led by SNSB visited ISRO to explore new ways of substantiating the cooperation between India and Sweden in the field of space.
INNOVATION PARTNERSHIP
India and Sweden have signed a collaborative Industrial Research & Development Programme. The programme aims to promote and aid the development of collaborative R&D projects that bring together companies, research organizations, and other collaborators for the joint development of innovative products/ processes. The areas for collaboration include smart cities and transportation including e-mobility, smart industry, start-ups and IPR issues, space and aeronautics, new materials, circular and bio-based economy including biomaterials. MoUs/Agreements exchanged during the State Visit of Their Majesties King Carl XVI Gustaf and Queen Silvia of Sweden to India (December 02, 2019). Protocol of Cooperation between the Department of Science and Technology, Ministry of Science and Technology of the Republic of India and the Swedish Energy Agency of the Kingdom of Sweden in the field of Science and Technology
Memorandum of understanding between the Ministry of Earth Sciences of the Republic of India and the Ministry of Education and Research of the Kingdom of Sweden on cooperation in polar science. Agreement between India and Sweden on Recognition of Seafarer Certificates pursuant to Regulation I/10 of the International Convention on Standards of Training, Certification and Watch.
India-Sweden High-Level Dialogue on innovation policy
Focus on areas such as digital health, artificial intelligence (AI), future mobility and circular economy. ‘Digital health’: The programme aims to provide scalable and implementable innovative, sustainable and flexible health solutions in both countries, using artificial intelligence-based technologies as a tool. ‘Smart grids’: The Swedish Energy Agency has allocated 25 million SEK over the next four years for this industry-led call.
- b) Launched the Agri-Waste to High Energy Biocoal pilot project:
Has been established under the Prime Minister’s Science, Technology and Innovation Advisory Council (PM-STIAC) Waste to Wealth Mission
- A torrefaction pilot plant for the conversion of agri-waste into bio coal at the National Agri-Food Biotechnology Institute (NABI) in Mohali, Punjab. The bio coal made from unutilised crop waste produces 20 times lower emissions than conventional coal.
- The expected outcomes of this pilot study are: Improved air quality with reduction of crop burning; reduced emissions from use of bio coal as a clean energy source; livelihood generation opportunities for farmers as bio coal production creates new market linkages for agri-waste; soil quality improvement in fields from avoided crop burning, according to a statement.
- c) ‘Smart cities and clean technologies’ and ‘Digitisation and Internet of Things’
- The project aims to develop technologies that can be commercialised after two years through joint cooperation between India and Sweden.
- Vinnova will provide funding to Swedish side participants up to 2,500,000 SEK as grant. On the Indian side, conditional grant of up to 50 per cent with a limit of Rs 1.5 crore per project to Indian project partners will be provided.
- The Department of Science & Technology, India, and the Swedish Research Council will fund 20 bilateral projects in the area of computer science and material science under the Indo-Swedish Joint Network Grant Awards.
- The Swedish Research Council will fund 14 million SEK for 2 years for this programme. The Department of Science and Technology will provide activity matching funding to the Indian counterparts.
Indian companies are now investing and expanding their footprint in Europe with Sweden as a gateway, both the countries are trying to expand the relationship and work on enhancing potential in areas of Healthcare, Energy, Science, Terrorism & cooperating for building a better sustainable world. In 1957, the Indian Prime Minister, Jawaharlal Nehru, visited his Swedish counterpart, Tage Erlander, and the two political leaders agreed that Sweden and India had a lot in common and would profit from collaboration. A large area of land was allocated to Swedish companies in the city of Pune, which was a strategically good location considering the proximity to India’s commercial centre in Mumbai.
In the 1960-70s Pune became an important industrial hub, where Swedish companies like Alfa Laval, Tetra Pak, Sandvik and Atlas Copco were established. The third wave of Swedish companies entered India during the 1980s and 1990s with among others Volvo Trucks & Buses and Perstorp. Companies with large purchasing organizations, such as IKEA and H&M, also started doing business in India. In the 2000s Volvo Cars and Scania established subsidiaries and were accompanied by an influx of small and medium sized companies, such as Systemair and Roxtec, to name a few.
Trade between the two countries has grown over the last decade and a steadily rising number of Swedish companies have established Trade between the two countries has grown over the last decade and a steadily rising number of Swedish companies have established themselves in India.
At present, we can see an embryo of a potential fourth wave of Swedish-Indian business development. Swedish companies are now not only sourcing from India, but also progressively establishing their global hubs here with R&D, sales and manufacturing etc. Moreover, there is an influx of fast-moving consumer companies finding their space in a developing Indian retail market. Whilst Swedish companies have a 100 year long history in India, Indian companies have been establishing and investing in Sweden more recently, since the start of this millennium. The first foray was led by large IT companies with themselves in India. At present, we can see an embryo of a potential fourth wave of Swedish-Indian business development. Swedish companies are now not only sourcing from India, but also progressively establishing their global hubs here with R&D, sales and manufacturing etc. Moreover, there is an influx of fast-moving consumer companies finding their space in a developing Indian retail market. Whilst Swedish companies have a 100 year long history in India, Indian companies have been establishing and investing in Sweden more recently, since the start of this millennium
The first foray was led by large IT companies with the top tier companies such as TCS, Wipro, Infosys and L&T Infotech. A second and more decisive wave of IT companies commenced a decade later led by Mahindra-Satyam, and the acquisition by HCL Technologies of Volvo IT and its 900 employees. Indian investments in Sweden in other areas are evident in industrial sectors such as Bioeconomy with Aditya Birla Group’s acquisition of DomsjöFabriker in viscose fibre, and Bharat Forge in Kilsta in automotive. Indian companies are searching for innovation and applied research in Sweden. To date there have been investments and collaborations within pharmaceuticals, material research and automotive technologies amongst others. Indian automotive companies are now expanding in the Swedish market through organic investments but also via acquisitions. For example, Tata AutoComp Systems acquired Titan X while Sansera made an acquisition of MAPE. Furthermore, Tata Technologies acquired Escenda for design and engineering services.
Indian companies are now investing and expanding their footprint in Europe with Sweden as a gateway. 4000 people are currently employed by roughly 60 Indian companies in Sweden, while the number of employees directly or indirectly engaged in Swedish business is estimated to be 2-3 times higher. Sweden offers complimentary opportunities for Indian companies’ ambitions, which is in line with Indian businesses’ increasingly global outlook.
Economic and Commercial relations
During the visit of the President of India to Sweden in 2015, both sides had agreed to reach the ambitious total trade target of US $5 billion by 2018. Though the bilateral trade fell to US $1.9 billion in 2016-17, as compared to about US $2.17 billion in 2015-16, Swedish investments and other economic activities in India were on the rise. According to available statistics, the main items of Indian exports to Sweden were articles of apparel, clothing accessories; textiles yarn, fabrics, made-ups; manufactures of metals; road vehicles; general industrial machinery and equipment. The main items of Indian imports from Sweden were pulp and waste paper; road vehicles; paper and paper board, articles thereof; general industrial machinery and equipment; iron and steel; machinery for particular industry; electrical machines, apparatus and appliances; miscellaneous manufactured articles; and power generating machinery and equipment. The major items of trade between the two countries remained unchanged.
Sweden has a long history of investments in India. Many of the major Swedish companies – such as Ericsson, Swedish Match (WIMCO), SKF and ASEA (later to become ABB) – entered India even before it became independent. Since then numerous other Swedish companies – like Atlas Copco, Sandvik, Alfa Laval, Volvo, AstraZeneca and SAAB – have invested in India. Other leading Swedish MNCs – namely, transport solution provider Scania, the hygiene and forest products company SCA and retail giants IKEA and H&M – are among the more recent entrants. As per October 2017 data, there are over 170 Swedish joint ventures and wholly owned subsidiaries in India. Sweden is the 20th largest foreign investor in India with cumulative investment of US $8.51 billion between January 2003 and January 2017. The low figures as compared to actual investments are for the reason that the data, available only from the year 2003-onwards, do not reflect the prior Swedish investments in India or investments of MNCs through third countries. The existing Swedish MNCs are now expanding not only in manufacturing but also increasingly on offshore IT operations and R&D in India. They are growing in numbers. This part of investments by existing Swedish companies is apparently not included either.
Sectors that have received the largest shares of Swedish investments in India are Automobile Industry with US $362.20 million (33%), Industrial Machinery with US $162.09 million (15%), Miscellaneous Mechanical & Engineering Industries with US $115.67 million (10%), Electrical Equipment with US $80.99 million (7%) and Metallurgical Industries with US $55.02 million (5%). The top FDI equity inflows have come from the following Swedish companies – Volvo; ABB; Atlas Copco, Ericsson; Alfa Laval; SAAB; Autoliv; Sapa (Aluminium solutions), Astra Pharmaceuticals; Electrolux; Quinn Hotels Sweden; Scania; Perstorp; H&M; IKEA; Recipharm; and Securitas.
Memoranda of Understanding between Sweden and India
Sweden and India have entered into a number of Memorandum of Understanding (MoU) within a wide range of areas. The MoUs are of great importance as they facilitate cooperation between the two countries in areas of mutual interest. The MoUs are valuable for public authorities as well as for companies and organizations for implementation of activities within prioritized sectors.
- The project aims to develop technologies that can be commercialised after two years through joint cooperation between India and Sweden.
- Vinnova will provide funding to Swedish side participants up to 2,500,000 SEK as grant. On the Indian side, conditional grant of up to 50 per cent with a limit of Rs 1.5 crore per project to Indian project partners will be provided.
- The Department of Science & Technology, India, and the Swedish Research Council will fund 20 bilateral projects in the area of computer science and material science under the Indo-Swedish Joint Network Grant Awards.
- The Swedish Research Council will fund 14 million SEK for 2 years for this programme. The Department of Science and Technology will provide activity matching funding to the Indian counterparts. Indian companies are now investing and expanding their footprint in Europe with Sweden as a gateway, both the countries are trying to expand the relationship and work on enhancing potential in areas of Healthcare, Energy, Science, Terrorism & cooperating for building a better sustainable world.
References:
https://ec.europa.eu/trade/policy/countries-and-regions/countries/india/
https://ec.europa.eu/trade/policy/countries-and-regions/countries/india/
https://www.thehindubusinessline.com/economy/eu-fta-talks-india-lookingat-ways-to-end-stalemate-re-start-negotiations/article30313313.ece
https://www.ecfr.eu/what_does_india_think/analysis/the_fta_a_strategic_call_for_the_eu_and_india
https://www.ecfr.eu/what_does_india_think/analysis/the_fta_a_strategic_cal_for_the_eu_and_india
https://www.indembassysweden.gov.in/page/indo-swedish-trade-brief/
https://www.indembassysweden.gov.in/page/indo-swedish-trade-brief/
https://www.mea.gov.in/Portal/ForeignRelation/Denmark_July_2016.pdf
https://www.mea.gov.in/Portal/ForeignRelation/Brief_Finland_website_250817.pdf
Evident by their HDI rank (top 5 countries)