In a significant move to bolster economic ties, Indian Prime Minister Narendra Modi and German Chancellor Friedrich Merz convened in Gandhinagar. Their meeting focused on enhancing bilateral cooperation between India and Europe, particularly in key sectors such as trade and energy. The source notes that this collaboration could lead to increased investments and technological exchanges between the two nations.
Agreements Signed to Strengthen Economic Relationship
During the meeting, Modi and Merz signed several agreements aimed at strengthening their economic relationship. These agreements cover vital areas including:
- trade
- energy
- rare earth mining
- skills development
Commitment to Deepen Collaboration
This reflects a commitment to deepen collaboration between the two nations. Modi highlighted Germany's status as India's largest trading partner within the EU, expressing a desire to explore new initiatives in energy, rare earth element mining, and climate action. Meanwhile, Chancellor Merz acknowledged India's vast economic potential and emphasized the importance of enhancing economic policy and defense cooperation.
Importance of Free Trade Agreement
The German ambassador-designate pointed out that finalizing negotiations on a free trade agreement is crucial for unlocking the full potential of economic ties between India and the EU. Merz's visit comes ahead of a significant summit between EU and Indian leaders later this month, where discussions will focus on advancing a long-awaited free trade pact.
In a recent shift in energy policy, India has mandated weekly reporting of oil purchases from Russia and the US, contrasting with the economic agreements signed by Modi and Merz. For more details, see weekly reporting.
