Context:
The India–Italy Business Forum 2025 was recently held on 11 December 2025 in Mumbai, serving as a pivotal platform to deepen economic cooperation and expand business partnerships between the two countries.
Objectives and Focus Areas:
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- Strengthen bilateral trade and investment between India and Italy.
- Build resilient and diversified supply chains.
- Promote technology partnerships and industrial cooperation.
- Encourage joint ventures, co-development initiatives, and R&D collaborations across priority sectors.
- Strengthen bilateral trade and investment between India and Italy.
Priority Sectors of Cooperation:
The discussions highlighted several areas of mutual interest:
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- Automotive and Auto Components: Emphasis on advanced manufacturing, precision engineering, and technology linkages.
- Clean Energy and Waste-to-Energy Solutions: Collaboration on sustainable and circular economy models.
- Agri-Food and Food Processing: Opportunities for value-added agriculture, food technology, and export-oriented processing.
- Sports Technologies and Textiles: Deepening innovation-driven engagement in niche industrial domains.
- Connectivity and Advanced Manufacturing: Improving economic integration through infrastructure and high-tech production systems.
- Automotive and Auto Components: Emphasis on advanced manufacturing, precision engineering, and technology linkages.
Strategic Significance:
· Trade and Economic Integration: India and Italy reiterated their commitment to boosting bilateral trade. Italy has set an ambitious target to increase annual trade with India to €20 billion by 2029, underscoring the growing economic synergy between the two economies.
· Technology and Innovation Cooperation: Both countries emphasised the importance of innovation, R&D, education, and knowledge-sharing as key drivers of global competitiveness and future-ready industries.
· EU–India Free Trade Agreement (FTA): The Forum reaffirmed support for progress on the India–EU Free Trade Agreement, with India reiterating its commitment to concluding a fair, balanced, and mutually beneficial trade pact. Italy, being a crucial EU member, expressed strong support for greater India–EU economic integration.
About India–Italy Relations:
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Aspect |
Details |
Significance / Notes |
|
Historical Background |
Diplomatic relations established in 1947 |
Foundation of bilateral ties post-Independence |
|
Deep cultural linkages in art, architecture, and education |
Strengthens soft power and cultural diplomacy |
|
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Diplomatic Relations |
Strategic Partnership announced in March 2023 during PM Giorgia Meloni’s visit |
Reflects high-level alignment in political, economic, and security domains |
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Economic Ties |
Italy is India’s 4th largest trading partner in the EU |
A key gateway to the European market |
|
Key sectors: machinery, automotive, chemicals, fashion, renewable energy |
Indicates broad commercial and technological cooperation |
|
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Bilateral trade (2023–24): Over $15 billion |
Demonstrates robust and expanding economic engagement |
|
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Recent Developments |
Signing of JSAP (2025–29) |
Strengthens joint strategic planning mechanisms |
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Italy’s inclusion in IMEEC |
Enhances multilateral connectivity and energy collaboration |
|
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Expanding defence industrial cooperation and joint ventures |
Deepens defence and technological partnership |
Conclusion:
The India–Italy Business Forum 2025 has emerged as a key driver of enhanced economic and strategic engagement between the two nations. By promoting industry-focused dialogue, fostering innovation-led cooperation, and advancing bilateral and multilateral trade discussions, the Forum has laid a strong foundation for deeper economic integration, sustainable growth, and a future-oriented partnership in the years ahead.
