The Big Picture Indo-German Ties: How does each nation

benefit?
insightsonindia.com/2015/10/08/the-big-picture-indo-german-ties-how-does-each-nation-benefit/

INSIGHTS

8/10/2015

The Big Picture Indo-German Ties: How does each nation benefit?
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Summary:
German chancellor Angela merkel recently visited India. Her visit to India can be treated as something of a landmark
in Indias relations with Europes most significant power, Germany. In recent times, Germany has gained
conspicuous international influence. In the recent US-led nuclear negotiations with Iran, the permanent members of
the UN Security Council thought it fit to append Germany alongside themselves, thus making the complex
discussions a P5+1 venture. During this visit, the range of proposed cooperation embraces economics, politics,
technology, education, security, climate change, and even municipality-level linkages.
In order to meet the German demand for enhancing investments in India, the government has announced a special
fast-track mechanism to be located in the Department of Industrial Policy and Promotion to facilitate German
investments exclusively. A provision has been made not only for Indian states but also municipal authorities to open
a line with their counterparts in Germany for mutual interaction, as the joint statement signed during the visit makes
clear. The idea of teaching German as an additional foreign language in Kendriya Vidyalayas is about to be
implemented in return for making modern Indian languages and Sanskrit available to German scholars. With this, a
new stage in relations appears to have been reached primarily because India and Germany along with Japan
and Brazil constitute an informal grouping of leading states demanding comprehensive UN reforms with an
expanded Security Council that they can legitimately claim to enter as permanent members.
The current geopolitical scenario presents a sweet spot for India-Germany relations. Germany has decided to
provide soft loans worth a billion euros over five years for Indias solar projects. Along with 1.15 billion it had
committed earlier, the new financial assistance shows Germanys support for Indias just-declared emission
mitigation targets ahead of the crucial Paris climate conference. Among the 18 MoUs and letters of intent inked,
cooperation on skill development is important. Germanys vocational education system is top-notch and lessons
from it should be used to kick-start the Skill India programme.
India is an important partner for Germany to renew its products and services. Germany is one of Indias most
important trading partner. There are over 1,600 German companies that are actively engaged in India. India is a
huge market for germany. FTA will pave the way for German companies to come to India and the reverse is also
true. Unlike in the past, Germany now seems supportive of the Indian nuclear and missile programme, and has
agreed to canvass Indias case for full membership of the export control regimes for nuclear materials.

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