Trade Relations Between India and EU

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Made By:-

Bharti Babbar - 13073

Devesh Revankar - 13090

Gautam Rai - 13104

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Index Acknowledgement ....................................................................................................................................... 3

Introduction .................................................................................................................................................. 4

India EU Relations ........................................................................................................................................ 5

Some facts ................................................................................................................................................. 6

Institutional Interactions ........................................................................................................................... 7

Dismantling Trade barriers in India ........................................................................................................... 8

Strategic Partnership................................................................................................................................. 9

Free Trade Agreement ............................................................................................................................ 12

India’s approach to EU ............................................................................................................................ 14

Trade proceedings................................................................................................................................... 15

Economic and Commercial Relations ...................................................................................................... 16

Joint Working groups .............................................................................................................................. 17

India-EU forum ........................................................................................................................................ 18

Conclusion ............................................................................................................................................... 19

Analysis ....................................................................................................................................................... 20

Imports and Exports ................................................................................................................................ 21

Mineral fuels, lubricants and other related materials ............................................................................ 22

Manufactured goods classified chiefly by material ................................................................................ 23

Machinery and transport equipment ..................................................................................................... 24

Miscellaneous manufactured articles ..................................................................................................... 25

Share of Exports and Imports ................................................................................................................. 26

India Top Trading Partners ...................................................................................................................... 27

Europe Top Trading Partners .................................................................................................................. 29

Future Trends ............................................................................................................................................. 31

Bibliography................................................................................................................................................ 32

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Acknowledgement This research is made possible through the help and support from everyone. Especially, please allow us

to dedicate our acknowledgement of gratitude towards the following significant advisors and

contributors:

We would like to thank my teacher ‘Dr. Kumar Bijoy’ for his exemplary guidance, mentoring and

constant encouragement throughout the course of this project. We extremely grateful to him for

providing us with such a great project and guidance.

Finally, we sincerely thank to parents, family and friends who helped us a lot in finishing this project

within the limited time.

The product of this research paper would not be possible without all of them.

We really thankful to them.

Team Members

Bharti Babbar

Devesh Revankar

Gautam Rai

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Introduction Considered ‘natural allies in a wide range of global issues’ by both parties, diplomatic relations

between India and the EU were established in the early 1960s. Since the 1990s, cooperation

between the two increased and their relationship was institutionalised. In 2004, the European

Commission (Commission) proposed the establishment of ‘an ambitious strategic partnership

between the EU and India. The EU identified India as a ‘strategic partner’, as it increasingly

strengthened its position on the international scene, was booming economically and

encompasses a vast territory and population. These ‘strategic partnerships’ have become one

of the key features of European foreign policy as a way for the EU to assert itself while allowing

emerging powers like India to build up their status as global players. In the context of this

partnership, the EU seeks to deepen economic ties with India through bilateral dialogue on

intellectual property rights, trade defence instruments, technical barriers to trade, sanitary and

phytosanitary measures, and customs cooperation.

The strategic partnership called for an EU-India Action Plan. This plan was presented at the EU-

India summit in 2005. Both parties agreed to several commitments, including some aimed at

developing trade and investment since, while trade and investment flows between India and

the EU have been increasing, they remain below potential. Therefore, negotiations towards a

broad-based FTA expanded the strategic partnership.

This project will shed light on the historical relations of India with EU and analyse the trade

relations of India and EU using data from European Commission (All data in million Euros).

5

6

Some Facts

European Economic Community was born in 1958 which later came to be known as European

Union

Bilateral relations between the European Union (EU) and the Republic of India date back to the

1960s, when India was one of the first countries to establish relations with what is now the

European Union. The most recent cooperation agreement was signed in 1994 and an action plan

was signed in 2005. They concluded another round of negotiations on the proposed free trade

agreement (FTA) at Brussels.

First agreement cooperation agreement signed in 1994, after the end of cold war and India was

looking for getting more space in the liberation period. Now negotiating broad based trade

agreement BTIA, which is a part of cooperation agreement (in 1994).

The 27-nation EU is India’s largest trading partner. India was EU’s 8th largest trading partner in

2010. EU investment in India more than tripled between 2003 and 2010: going from €759million

in 2003 to €3 billion in 2010.

Trade in commercial services tripled during the same time period, going from €5.2billion in 2002

to €17.9 billion in 2010

Total trade in 2010 increased by 28% to Euro 67.78 billion (Indian exports of Euros 32.99 billion:

Indian imports of Euro 34.79 billion) as compared to 2009 figures. In the first eight months of

2011, trade between India and EU grew at 23%. During this period, India’s exports to the EU

were Euro 26.7 billion and imports were Euro 26.9 million. In 2010, total Indian exports to the

EU in different services sector were Euros 8.7 billion whereas total Indian services imports from

the EU were Euros 10.9 billion.

The EU is one of the largest sources of FDI for India. FDI inflows from the EU to India declined

from Euro 3.4 billion in 2009 to Euro 3.0 billion in 2010. India’s investment into EU has also seen

a marginal decline from Euros 0.9 billion in 2009 to Euros 0.6 billion in 2010. The most important

countries in the EU for FDI into India are Germany, UK, France and Italy.

2004(Hungary along with 9 other countries joined EU called Big Bank Enlargement,( different

countries joined in the enlargement process)

Last big Treaty was Lisbon Treaty (2009)

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INSTITUTIONAL INTERACTIONS

India and the EU have held thirteen rounds of negotiations for a bilateral Broad-based Trade and

Investment Agreement. Negotiations commenced in 2007 and cover

Trade in goods,

and Technical Barriers to Trade,

Investment

Intellectual Property Rights and Geographical Indications

Competition Policy,

Customs and Trade Facilitation,

Trade Defence,

Dispute Settlement.

The last round of negotiations took place in New Delhi from 31 March to 5 April 2011.

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DISMANTLING TRADE BARRIERS IN INDIA

The European Commission's Trade and Investments Barriers Report, published in March 2012, points

out that some progress has been made to dismantle trade barriers in India:

Two trade barriers were fully removed in 2012: export restrictions on cotton and security

requirements for telecommunication equipment.

Progress has also been achieved with regard to sanitary and phyto-sanitary rules.

No positive movement has been seen in the area of equity caps.

India's industrial policies contain trade-restrictive elements.

The report also identified India's national manufacturing policy as a key priority for reform.

EU-India trade negotiations

the negotiations cover:

Access to each other's markets, for goods, services and to public procurement contracts,

The framework for investment

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Strategic Partnership Strategic partnership: Party with which a long-term agreement is reached for sharing of physical

and/or intellectual resources in achievement of defined common objective.

Strategic partnership between Europe and India

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.

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 sectorial

dialogues should be developed in the following areas:

the information society;

transport;

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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

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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.

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Free trade agreement Treaty (such as FTAA or NAFTA) between two or more countries to establish a free trade

area where commerce in goods and services can be conducted across their common borders,

without tariffs or hindrances but (in contrast to a common market) capital or labor may not

move freely. Member countries usually impose a uniform tariff (called common external tariff)

on trade with non-member countries.

India has a lot to gain from an FTA with the EU, particularly in regard to preferential and duty-

free access to the European market. A Sustainability Impact Assessment, commissioned by the

EU, indicates that an extended (broad) FTA (including further non-tariff barriers to trade

harmonization) would result in significant benefits to both parties in terms of welfare gains,

production, international trade, wage increases and productivity increases. The welfare effects

amount to an additional 0.3 per cent growth for the Indian economy in the short run and 1.6

per cent growth in the long run.

India and the EU have a substantial trade relationship that is growing rapidly. In 2002, India was

the EU’s 15th-largest trading partner; by 2012, it was the 8th. If trade between India and all EU

member-states is totaled, the EU is India’s largest trading partner. Given this context of growing

trade and benefits to be had all-round, it is odd that the two powers have not made more

progress towards an FTA.

Why can’t India and Europe sign a FTA?

First, India’s trade policy is influenced by demographics. More than half of India’s

population is under the age of 25, necessitating a growth strategy emphasizing job

creation and not just export promotion. These demographics and its education system

have provided India with a skilled, competitive, English-speaking work force, something

which Europe will be short of in the near future. Making gains from this workforce

through trade requires more than tariff reduction, which is why tariff reductions alone

will not make the EU-India FTA sufficiently interesting for India. Consequently,

negotiations included provisions for the abolition of non-tariff barriers such as standards

and mutual recognition or licensing requirements.

India is particularly interested in the liberalization of services under Modes 1 and 4 of

GATS. As India’s skilled services labor force is growing very fast, India emphasizes better

market access for services suppliers through Mode 4 liberalization over market access

for goods in trade negotiations.

Second is Agriculture, a key sector for India from the perspective of ensuring equity and

growth from the FTA. The EU has a highly protected agricultural sector and India has

strong defensive interests in negotiating an FTA with the EU. At the moment, European

agricultural imports from India are over five times larger than its exports to India, even

though EU tariff rates on such imports are relatively high. India wants the EU to cut tariff

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and subsidy support to its agricultural products for fear of EU exports displacing Indian

agricultural products once an FTA is signed. This issue could prove a significant

stumbling block in the ongoing negotiations.

The third issue is the reluctance of the Indian government to negotiate government

procurement issues. This is a priority issue for the EU and a bone of contention between

the parties. The EU has complained that the ‘Indian government procurement practices

are often not transparent, discriminate against foreigners and often give preferences to

the locals’. But given government procurement accounts for nearly 13 per cent of India’s

GDP, the Indian government insists it will not include public procurement in the EU–

India FTA agenda. India is also discussing a ‘data secure’ status for the country. At

present, India is not considered data secure by the EU. This obstructs the flow of

sensitive data, such as information about patents, under data protection laws in the EU.

The EU law mandates that European countries doing outsourcing business with

countries that are not certified as data secure have to follow stringent contractual

obligations, which increase operating costs and affects competitiveness.

Finally, there is a range of smaller matters that could derail negotiations if not managed

well. These include further opening up India’s insurance sector and increasing the

foreign direct investment limit to 49 per cent. A call from the EU for India to reduce its

import duty on passenger cars is also contentious.

Negotiating a resolution to these issues is in the interests of both India and the EU. But

the hurried pace of negotiations is becoming a cause for worry. In negotiating any

bilateral trade agreement with the EU the Indian government should tread cautiously so

as to safeguard domestic concerns and the public interest. The FTA will be the first of

India’s large trade agreements with a western bloc, with 27 economies. If structured

well, the agreement could push India’s growth for the next decade. If structured poorly,

it could derail it for just as long.

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India’s approach to EU

Profile of EU 18 members use euro but not Hungary

22 members states in Schenden Agreement

15 Developed economies

13 Developing economies

17 Parliamentary Republics – Political Systems

8 constitutional monarchies – Political Systems

First India – EU Summit level talks took place in Lisbon in June 2000 & marked a qualitative shift

in the Evolution of the relations. Since then, 12 annual summits have been held, last one in New

Delhi on 10th Feb 2012

PM Dr. Manmohan Singh led the Indian Delegation while the EU was represented by Mr.

Herman Van Rompuy, President of the European council & Mr. Jose Manuel Barroso, president

of European Commission

While there was no summit meeting in 2013, there will be summit level talks soon following the

national election process

EU has always been a priority in the foreign policies

Lower level 2 or more forums besides leaders on the top.

One is at the level of foreign ministry level since 1990

So lower functionary before PM is Finance Ministry

The last foreign Ministerial meeting took place in Brussels in Jan 2013, where both parties’

foreign ministers met.

Meetings at senior level Foreign Office Consultations (FOCs),prepares

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Trade Proceedings

India-EU entered into Strategic Partnership in 2004 and marked the tenth anniversary of

their strategic partnership in 2014

A Joint Action Plan (JAP) was envisaged in 2005. JAP has been held annually since May

2006.The sixth round of JAP was held in Brussels on 25th October at the secretary level.

Since May 2006 6 rounds of JAP were there but JAP is a body on Top it gives directives

for implementation doesn’t go into integrities of implementation for that other groups

are there

Security Dialogue-Under the JAP, a Bilateral Joint Working Group on Counter Terrorism

as well as Dialogues on cyber security & counter policy have been constituted

Both sides have signed to setting up a Dialogue on Non-proliferation & Development

under the Umbrella of the Security Dialogue.

Annual India-EU Ad-hoc dialogue on Human Rights is held in New Delhi, the 8th meeting

of which took place on 27th November 2013

High level Dialogue on Migration & Mobility has been instituted at secretary level

between the Ministry Of Overseas Indian Affairs and DG, Home Affairs on the Indian side

and their EU counterparts. The third round of the Dialogue took place in Delhi on July 2,

2012.

There is also a Delhi-based Joint Working Group on consular Issues. Migration from

developing to developed Nations. A dialogue Mechanism has been established on the

sensitive issue of mobility.

A delegation for relations with India (D-IN) was formally constituted in the European

Parliament (EP) in 2007.The D-IN has 28 regular and 22 substitute members drawn from

various political groups in accordance with their numerical strength in the EP. The D-IN

is currently chaired by Sir Graham Watson, a liberal Democrat MEP from the UK. The D-

IN selects members to pay an orientation visit to India every year. The last visit of D-IN

MEPs to India took place from 29th April to 3 May 2013

The parliament from India visit EU regularly, a forum on the Indian side has not yet

been formalized.

General point: Negotiations become too tough In India and EU as they both belong to 2

different continents

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Economic and Commercial Relations

A multi-tiered institutional architecture of cooperation has been created within the

overall framework of India-EU Summit & the Strategic Partnership.

Plethora of dialogue mechanisms covering various sectors have been set up within

well-rounded policy perspective of the Joint Action Plan, since 2005

Key Indices-EU (2012)

Population – 507.89 million

GDP- $16.773 trillion

Per capita - $36,393

Largest economy by nominal GDP

2nd largest economy by Purchasing Power Parity (PPP)

India

India is 4th largest economy in world in terms of Purchasing Power Parity because of so

much of population

In terms of Nominal GDP, it is ninth in the world

EU-India’s second largest trading partner, Trade both in goods and services: Total

Quantum of bilateral Goods and Services

EU as a block of 28 countries is India’s 2nd largest trading partner, while India is EU’s 9th

largest trading partner Bilaterally trade and services reached €90 billion in 2012

Bilateral trade in goods registered €65.80 billion in 2012(India’s exports to EU was 27.33

billion & EU’s exports to India was €38.47 billion.

Trade in services reached a total quantum of €22.6 billion in 2012. India’s service

exports to EU was €10.7 billion while EU service exports to India was €11.9 billion

India and EU are in the process of negotiating a bilateral Broad-based Trade &

Investment Agreement (BTIA) since 2007. Several sectoral dialogues as well as video

conferencing sessions have been held regularly between both the sides.

Given the major states at play, India has allowed a lot of flexibility in the negotiation

process, much more than it has on FTAs with any other country or bloc, in an effort to

reach a realistic & balanced solution and thus eventual finalization of the BTIA

European negotiators per chance lose sight of the socio-economic realities of India &

thus differences in perception are allowed to remain.

India-EU Joint Commission dealing with economic & commercial issues meets annually

as also its three sub-commission on Trade, Economic Cooperation & Development

Cooperation. They have flowed from the JAP.

The last Joint Commission Meeting at the level of secretaries was held in Brussels on 4th

Feb 2013 & the last meetings of the Sub Commissions on Economic Cooperation &

Trade were held in Brussels on 6-7 March 2014.

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Joint working Groups They are the groups which prepare the final checklist and perform the last stage in

cooperation process.

JWG in several areas

Textile and Clothing

Agriculture and Marine Products

Technical Barriers to trade and Sanitary and fighter sanitary issues (to allow health

products to come in food products with health qualities).

Pharmaceuticals: India today one of the largest exporters both traditional as well as

non-traditional all over the world. Laws don’t allow Ayurveda to be practiced in other

countries.

When Sovereign Debt crisis happened in Europe, we got first hit of that. At that time

drop in India’s Investment had happened.

Cooperation in the field of science and technology

Cooperation in the field of Science & Technology Steering committee meets annually to

discuss cooperation in the area. The science and technology committee held its 9th

meeting in Brussels on 9th October 2013. Besides meetings took place at the Group of

Senior Officials (GSO) level in person as well as through video conferencing.

A dialogue on Information & communication Technology (ICT) has been set up. The last

such dialogues took place in Brussels on 3-4 September 2013.

Energy

India-EU have set up an Energy Panel in 2005 to enhance cooperation in the critical

sector of energy and energy security. The last meeting of the Panel was held in Brussels

on 27th march 2014. This was held at Secretary Level.

Separate Sub-groups have been set up dealing with coal & clean coal conversion

technologies, energy efficiency &renewable energy etc. The joint working group on

clean coal technologies last met from 17-19 June 2013 in Brussels & the India-EU coal

JWG had its 8th meeting on 28th November 2013 in Chennai.

India dependent on oil & gas, as clean technology is mastered by Europe.

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India EU-forum (civil society body)

The India-EU forum has emerged as an important track 2 forum for discussion between

policy analysts on both sides. It is led by the Pans-based European Union Institute for

security studies(EUISS) and the Indian council of World Affairs(ICWA) & includes

participation from academics, think-tanks & even policy makers

The 4th India-EU forum was jointly organized by EUISS & ICWA in cooperation with the

Spanish think-tank FRIDE in Brussels on 23-24 October 2012.

Bilateral Agreements

India & EU have signed bilateral Agreements/MOUs in a number of areas namely:

Science and technology

Information & Communication Technology

Customs Cooperation

Employment & Social Affairs

Civil Aviation

Education & Training

Nuclear Fusion Energy Research

Statistics

Competition

Besides joint declarations, statements in other areas have also been signed.

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Conclusion India-EU relations have come a long way from being economy focused & have matured

sufficiently today with being a holistic, multi-tiered, architectural relationship,

converging the highest levels on both sides.

India & EU are natural partners with relations based on the shared values of democracy,

rule of law & respect for human freedom.

They have started a strategic partnership for a decade

Constant interaction on between the government, parliament & civil society at the

highest levels have made India-EU relations one of the most important & broad

visioned in a world of multi-polar relationships, a relationship which can withstand

financial crisis as well as political upheavals.

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Analysis The analysis of this project is based on the Import – Export data of past 10 years and specific

data from previous 5 years. Each graph shows the absolute figures for the imports and exports

in the particular product group from years 2009-13.

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Imports and Exports

Imports Exports Balance

2004 17,155 16,408 -747

2005 21,250 19,114 -2,136

2006 24,241 22,637 -1,604

2007 29,181 26,666 -2,515

2008 31,356 29,632 -1,724

2009 27,499 25,503 -1,996

2010 34,891 33,464 -1,427

2011 40,582 39,927 -655

2012 38,543 37,447 -1,096

2013 35,874 36,809 935

The balance (Exports – Imports) has been negative, touching a high of 2515 million euros, until recently

in 2013. In 2013 there was trade surplus of 935 million euros. The graph shows a consistent growth

except for 2008-09, where the worldwide trade depression had a negative effect on the trade between

India and European Union.

-5,000

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Chart Title

Balance Imports Exports

22

1. India is one of the highest exporters of minerals in the world and EU imports minerals from

India. India produces Iron Ore in high quantity but it is graphite that is imported the highest.

2. There was a sudden jump in the exports from India to EU (imports for EU) in 2009, though

imports were not affected by much.

3. Overall, the exports have been higher than imports by a considerable margin.

4. Annual average growth rate is 23.8% for exports and 18.1% for imports.

5. The majority of the exports constitutes of fuels, chiefly petroleum and its derivative products.

1947

47375057 5066 4968

263 165 313 340 2410

1000

2000

3000

4000

5000

6000

2009 2010 2011 2012 2013

Mineral fuels, lubricants and related materials (Exports vs. Imports)

Exports Imports

23

1. Manufactured goods sector increased steadily from 2009-11, then dropped by a little(Exports)

2. India still has higher imports of manufactured goods than exports.

3. Average annual growth rate of various sub-categories of manufactures

a. Chemicals

i. Exports – 17.0%

ii. Imports – 9.9%

b. Textiles

i. Exports – 1.8%

ii. Imports – 10.1%

4. Overall growth rate

a. Exports – 12.28%

b. Imports – 14.55%

5,664

7,384

9,661

8,463 8,4937,705

10,764

13,55012,401 12,555

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

2009 2010 2011 2012 2013

Manufactured goods classified chiefly by material (Exports vs. Imports)

Exports Imports

24

Machinery and appliances contribute 36.2 % share in imports.

Machinery and appliances contribute to 15.6 %share in exports.

There is a gradual improvement in both exports as well as exports from 2009 to 2011 and a gradual

decline from 2011 to 2013

World trade growth fell to 2.0% in 2012 — down from 5.2% in 2011 — and remained sluggish in

2013 at around 3.3% as the economic slowdown in Europe continued to suppress global import

demand, WTO economists reported on 10 April 2013.

In 2013 the machinery and transport equipment export growth rate was -8.4% while import was -

11.4%.

Constituents of the machinery are power generating machinery, non-electrical machinery, and

electrical machinery.

Transport equipment includes automotive products and other transport equipment.

5,0656,140

7,0706,283

5,758

12,177

14,212

15,77714,666

12,988

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

2009 2010 2011 2012 2013

Machinery and transport equipment (Exports vs. Imports)

Exports Imports

25

In 2013 the miscellaneous manufactured articles export growth rate was 0.8% while import was -1.6%.

The imports are falling (as massive unemployment was there, so the benefit of economies of scale was lost as production decreased) while the exports have risen recently.

Constituents are:

Prefabricated buildings; sanitary, plumbing, heating and lighting fixtures and fittings, Furniture, and parts thereof; bedding, mattresses, mattress supports, cushions and

similar stuffed furnishings Travel goods, handbags and similar containers, Articles of apparel and clothing

accessories, Footwear, Professional, scientific and controlling instruments and apparatus, Photographic apparatus, equipment and supplies and optical goods, watches and clocks.

Miscellaneous manufactured articles contribute to 7.3 % share in imports

Miscellaneous manufactured articles contribute to21.8 % share in exports

7,240

8,016

8,686

7,972 8,038

2,0332,419

2,694 2,675 2,631

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

2009 2010 2011 2012 2013

Miscellaneous manufactured articles (Exports vs. Imports)

Exports Imports

26

Share of Total Exports (2013)

Primary Products Manufactures Other Products Others

Share of Total Imports (2013)

Primary Products Manufactures Other Products Other

27

India, Top trading partners 2013

Imports

S.no. Partner Value (Mio €) Share in the World (%)

World 358,611 100.0

1 China 39,421 11.0

2 European Union 38,421 10.7

3 Saudi Arabia 27,920 7.8

4 U.A.E. 25,538 7.1

5 Switzerland 19,637 5.5

6 USA 17,312 4.8

7 Iraq 15,551 4.3

8 Kuwait 13,445 3.7

9 Indonesia 11,581 3.2

10 Venezuela 11,440 3.2

Export

S.No. Partner Value (Mio €) Share in the world (%)

World 239,435 100.0


2 USA 29,639 12.4

3 U.A.E. 24,508 10.2

4 China 11,093 4.6

5 Singapore 10,340 4.3

6 Hong Kong 9,937 4.2


8 Japan 5,181 2.2

9 Bangladesh 4,359 1.8

10 Brazil 4,150 1.7

28

Total Trade

S.No. Partner Value (Mio €) Share in the world

World 598,046 100.0


2 China 50,514 8.4

3 U.A.E. 50,046 8.4

4 USA 46,951 7.9



7 Iraq 16,265 2.7

8 Hong Kong 15,932 2.7

9 Singapore 15,701 2.6

10 Indonesia 15,566 2.6

29

Europe, Top trading partners 2013

Imports


World 1,682,592 100.0

1 China 280,095 16.6

2 Russia 206,146 12.3

3 USA 196,098 11.7


5 Norway 90,064 5.4

6 Japan 56,565 3.4

7 Turkey 50,401 3.0

8 India 36,809 2.2

9 South Korea 35,840 2.1

Exports


World 1,737,961 100.0

1 USA 288,263 16.6


3 China 148,297 8.5

4 Russia 119,780 6.9

5 Turkey 77,755 4.5

6 Japan 54,076 3.1

7 Norway 50,225 2.9

8 U.A.E. 44,652 2.6

9 Brazil 40,043 2.3

11 India 35,874 2.1

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Total Trade


World 3,420,553 100.0

1 USA 484,361 14.2

2 China 428,392 12.5

3 Russia 325,926 9.5


5 Norway 140,289 4.1

6 Turkey 128,156 3.7

7 Japan 110,641 3.2

8 South Korea 75,808 2.2

9 Brazil 73,140 2.1

10 India 72,683 2.1

31

Future Trends

Looking at the growth rate of Imports – Exports of the various sectors, it can be

safely be assumed that trade will increase further. With a stable government at

the center, the trade relations will mature further.

32

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ex_en.htm#

http://en.wikipedia.org/wiki/India%E2%80%93European_Union_relations

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Documents

Trade Relations Between India and EU