Indian and German Partnership

Theme : International Relations

Paper:GS - 2

TABLE OF CONTENT

1. Context
2. Points of Agreement
3. India-Germany Relations
4. Significance of Indo-German Ties
5. Road Ahead

Context : India and Germany signed an agreement on a ‘Comprehensive Migration and Mobility Partnership’ to facilitate mobility and employment opportunities between India and Germany.

Points of Agreement : 

• It has specific provisions to facilitate mobility and employment opportunities for fostering the exchange of skills and talents. These include the Academic Evaluation Center in New Delhi, 18 months extended residence permits to students, 3,000 job seeker visas annually, liberalized short stay multiple entry visas, and streamlined readmission procedures. 
• It aims to create a network of agreements with prospective labor market destination countries with the twin objectives of creating a favorable visa regime for Indians towards accessing the labor market of these countries.

India-Germany Relations : 

• Diplomatic ties: Germany is one of India’s most important partners in Europe owing to the strength of bilateral relations, as also Germany’s key role in the EU.
• India was among the first countries to establish diplomatic ties with the Federal Republic of Germany after the Second World War. 
• In 2021, India and Germany marked the 70th anniversary of the establishment of diplomatic relations
•  Economic and developmental partnership: India and Germany share a robust economic and developmental partnership. Besides the economic interest, both countries have a shared interest in upholding democratic values, the rules-based international order, and multilateralism as well as the reform of multilateral institutions.
• Parliamentary Exchanges:  On the German side, the Indo-German Parliamentary Friendship Group, which was established in the Bundestag in 1971, has contributed to the strengthening of links between the two Parliaments. 
• Multilateral Cooperation:  Germany and India support each other on UNSC expansion within the framework of the G-4.
• Germany joined the Coalition for Disaster Resilient Infrastructure (CDRI) in February 2020 and participated in the first Governing Council meeting in March 2020.
• Other Engagements: The year 2022 has seen intense high-level engagement, as Prime Minister Narendra Modi made two visits to Germany — for the India-Germany Inter-Governmental Consultations with Chancellor Olaf Scholz in Berlin and the G-7 outreach summit in Bavaria. 
• The leaders also met at the G-20 summit in Bali. In 2023, Mr. Scholz is expected to be in Delhi, in the spring, and again in September for the G-20 summit in India.
• Security Cooperation: The MoU on Security Cooperation signed at the 3rd IGC held in Delhi in 2015 defines collaboration in this field. There are dialogue mechanisms on various aspects of security, including Joint Working Group on Counter Terrorism; Cyber Consultations; Joint Steering Group on Disaster Management in Berlin .
• Defense Cooperation: Bilateral Defense Cooperation Agreement signed in September 2006 and the Agreement on Mutual Protection of Classified Information signed in October 2007, provide the framework for bilateral defense ties.
• Economic & Commercial Relations: Germany is India’s largest trading partner in Europe. It has consistently been among India’s top ten global partners and was the seventh-largest trading partner in FY 2020-21 (12th during FY 2021-22 up to December 2021). 
• Science & Technology: Bilateral Science and Technology cooperation is implemented under an Inter-Governmental Agreement on ‘Cooperation in Scientific Research and Technological Development’ signed in May 1974
• Culture: The Indo-German cultural relations have a long tradition that was derived through the systematic and academic study of Indian literature, especially Vedas and Upanishads, and also a translation of famous works from Sanskrit to the German language.

Significance of Indo-German Ties : 

• Tackling slowdown: As both countries are together reeling under slowdown, both can find ways to further collaborate and converge to find sustainable and effective solutions. 
• India stands to gain from Germany as Germany is an economic powerhouse just as Germany stands to gain because she is a promising market that is growing and developing. 
• High end manufacturing: Germany is famous for internationally acclaimed high-end brands like Daimler, Siemens etc.. India is an obvious choice for German companies due to the availability of potential markets and talent pools.

• Renewable sector: 

• India and Germany have signed an agreement on technical cooperation under the Indo-German Energy Programme – Green Energy Corridors (IGEN-GEC).
• Germany also provides a loan of 7 million euro for training activities in the photovoltaic solar rooftop sector.
• Post Brexit scenario: The kind of Europe that emerges post Brexit is critical for India. Thus, we need to have a very good economic relationship with Germany as well as France in the post Brexit era.

• Germany's role in reviving the India-EU free trade talks : 

• India has made a special appeal to Merkel to take the lead in this context. 
• India had called off talks when the EU banned 700 Indian pharma companies from exporting to the EU because one company was found wanting on quality standards.

Road Ahead : 

• Manufacturing reforms: Taking measures to upgrade the technological capacity of its manufacturing sector and quality of its scientific establishment.
• Embracing International Standards and Certifications: This can strengthen the competitiveness of the Indian industry and support the integration of India in global and regional value chains
• German investment: Germany can invest  in smart cities; modernization of railway networks and stations to setting up of high speed rail corridors; generation of renewable energy to construction of transmission and distribution networks.
• Digital India: German and Indian digital companies should jointly work towards further enhancing the scope of market opportunity and bilateral investments in each other’s countries and creating greater bonds between their thriving tech ecosystems. 

FAQs : 

1. What is the Background of Parliamentary Exchanges between India & Germany ?

ANS. On the German side, the Indo-German Parliamentary Friendship Group, which was established in the Bundestag in 1971, has contributed to the strengthening of links between the two Parliaments. 

2. What has been the Initial Engagement since the past in Science & Technology ?

ANS.  Bilateral Science and Technology cooperation is implemented under an Inter-Governmental Agreement on ‘Cooperation in Scientific Research and Technological Development’ signed in May 1974.