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EU-India Strategic Partnership

The Communication identifies the issues, opportunities and expectations in the field of international, economic and development policies between the EU and India. It suggests areas for future strategic cooperation and a streamlining of the institutional architecture.

ACT

Communication from the Commission to the Council, the European Parliament and the European Economic and Social Committee of 16 June 2004: An EU-India Strategic Partnership [COM(2004) 430) final - Not published in the Official Journal].

SUMMARY

The EU and India already enjoy a close relationship based on shared values and mutual respect. In recent years, the relationship has developed exponentially in terms of shared vision, goals and challenges. Against this background the Commission proposes a new strategy based on the following objectives:

  • international cooperation through multilateralism, including promoting peace, combating terrorism, non-proliferation of weapons of mass destruction and human rights;
  • enhanced commercial and economic interaction, in particular through sectoral dialogue and dialogue on regulatory and industrial policy;
  • cooperation on sustainable development, protecting the environment, mitigating climate change and combating poverty;
  • continuous improvement of mutual understanding and contacts between the EU's and India's civil society.

International cooperation

Since the EU and India are seen as forces for global stability, the focus of relations has shifted from trade to wider political issues. The Commission proposes a strategic alliance to enhance relations with India and promote an effective multilateral approach.

India is an important partner in conflict prevention. The EU should therefore explore means of formalising regular cooperation with India in this area. The Commission wishes to step up political dialogue on non-proliferation of weapons of mass destruction and proposes setting up dialogue on export control measures.

Real cooperation should be established on combating terrorism and organised crime.

The EU is strongly committed to peace and stability in South Asia and encourages dialogue between India and Pakistan.

Economic partnership

The EU is India's largest trading partner and main source of foreign inward investment, whereas India is only the EU's 14th trading partner. India needs to further open up its market and accelerate market reform to realise the potential of its market. It must address such matters as customs tariffs and the many non-tariff trade barriers, as well as considerably improving its infrastructure.

The strategic dialogue should address regulatory and industrial policy to improve business competitiveness on both sides. India and the EU should also promote cooperation on the world's major environmental challenges such as biodiversity, climate change and the depletion of the ozone layer.

In many areas, dialogue with India has already made considerable progress. Strategic sectoral dialogues should be developed in the following areas:

  • the information society;
  • transport;
  • energy;
  • biotechnology;
  • the Galileo programme (the European global satellite navigation system);
  • a space partnership.

The EU and India must start dialogue on investment, intellectual property rights and trade defence instruments. The EU has an interest in enhancing cooperation with India on technical barriers to trade and sanitary and phytosanitary issues. The EU-India customs cooperation agreement should also be exploited and sustainable development and South Asian regional cooperation should be promoted.

There is enormous potential for EU-India collaboration in science and technology. Indian researchers should be encouraged to participate in the EU's 6th Framework Programme.

The EU should invite India to regularly attend ministerial level consultations on subjects of mutual interest in the field of monetary and financial policy.

Development cooperation

The EU must help India to meet the Millennium Development Goals (MDG). Coordination with other EU donors needs to be improved. The EU could also share its experience of social security systems.

Mutual understanding

The European and Indian Parliaments are considering organising regular, institutionalised parliamentary exchanges. In terms of culture, cooperation in all disciplines should be reinforced. All Member States and institutions should cooperate and coordinate their activities to inform Indian public opinion. The Government of India should be encouraged to visit EU institutions as often as possible and devise its own communications strategy.

Institutional architecture

EU-Indian partnership is based on the 1994 Cooperation Agreement and the Joint Political Declaration of 1993. The first Lisbon summit of 2000 was also key to the development of bilateral relations. The Commission proposes a number of initiatives to streamline the structure of the partnership.

Implementation and follow-up

The Commission hopes that this Communication will be a starting point for collective reflection on how to improve EU-India relations. The proposals emerging from such reflection could serve as the basis for an action plan and a new EU-Indian joint political declaration. Both could be endorsed at the Sixth EU-India Summit in 2005.

Context

India is an increasingly important international player and regional power with an impressive economic growth rate. Since the first EU-India summit held in Lisbon in 2000, EU relations with India have progressed in political, geopolitical, economic and trade terms.

RELATED ACTS

Joint Action Plan adopted at the Sixth EU-India Summit at Delhi, 7 September 2005.

The current Joint Action Plan should be seen in the context of the 2004 Hague Summit. Its primary objective is to develop EU-India relations in the context of a strategic partnership. Its specific aim is to encourage the EU and India to:

  • consolidate their mechanisms for dialogue and consultation mechanisms;
  • deepen dialogue and cooperation on political and economic matters;
  • develop trade and investments;
  • improve relations between their peoples and cultures.

Joint Press Statement from the Fifth India-EU Summit (FR ) at The Hague, 8 November 2004.

The Indian and European authorities highlight the progress made in strengthening EU-Indian relations, in particular after the 2004 communication on the EU-Indian strategic partnership, followed by the Council's conclusions of 11 October 2004. They also reiterate that their partnership is based on a solid foundation of shared values and convictions and their commitment to democracy, pluralism, the rule of law and multilateralism in international relations, which contribute stability and peace in the world. Finally, they wish to strengthen their partnership through more intensive dialogue.

Last updated: 08.04.2008

See also

For more information about relations between the EC and India, see the website of the Directorate-General for External Relations.

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