Context:
India and Belgium recently held a high-level meeting to strengthen the Indo-Belgian partnership across critical areas including trade, technology, investment, and innovation.
Key Highlights of the Meeting
- Economic Synergies: The dialogue focused on the growing alignment between India and Belgium’s economic interests, with an emphasis on scaling bilateral trade, enhancing industrial collaboration, and boosting investments.
- Strategic Sectors of Collaboration: Areas identified for intensified cooperation include:
- Semiconductors
- Clean energy
- Defence production
- Pharmaceuticals
These sectors will benefit from the advanced manufacturing capabilities and R&D excellence of the Flanders region, a recognized economic engine of Belgium.
- EU–India Free Trade Agreement (FTA): The leaders reviewed ongoing FTA negotiations between India and the European Union, underscoring the need to reduce tariff and non-tariff barriers to improve market access and promote sustainable trade.
About India-Belgium Economic Relationship:
- Trade Volume: Belgium ranks as India’s 5th largest trading partner within the European Union, with bilateral trade reaching USD 15.07 billion in 2023–24.
- Foreign Direct Investment: Belgian FDI in India has reached USD 3.94 billion (April 2000 – September 2024), including a significant 39% growth in the past year alone—totaling USD 1.1 billion.
- Diverse Sectorial Cooperation: Key collaborative areas include:
- Defence manufacturing
- Green hydrogen
- Nano-electronics
- Nuclear medicine
- Pharmaceutical R&D
About Belgium–India diplomatic Relations
India and Belgium established formal diplomatic ties soon after India's independence. The Embassy of Belgium in New Delhi opened in 1947, and India's Embassy in Brussels was opened in 1948.
India and Belgium share common values such as democracy, pluralism, and the rule of law. Belgium has also expressed strong support for India’s bid for a permanent seat on the United Nations Security Council.
Way Forward:
To accelerate progress, both sides agreed to:
- Strengthen high-level political and economic engagements
- Facilitate regular business delegation visits
- Promote public-private partnerships and joint R&D initiatives
- Deepen sectoral cooperation, especially in future technologies and green solutions
