Why German manufacturing firms are eyeing partnerships with Indian companies
What's the story
Germany's leading manufacturing companies are increasingly looking to partner with Indian firms. The move comes as India has become the world's fourth-largest economy.
The German companies are particularly interested in collaborating on future technologies in sectors such as green energy, semiconductors, and pharmaceuticals.
Rainer Wittich, CEO of EDAG Production Solutions GmbH & Co. KG, emphasized India's importance as a growing market with immense talent potential for new technology development.
Collaboration
Smart factories and product development
The Indo-German Chamber of Commerce, along with EDAG Group's Indian subsidiary, hosted an event to explore business partnerships with local companies and talent. The aim was to facilitate manufacturing in India.
Stefan Halusa, Director General at the chamber, highlighted the importance of smart factories and product development for a smart industry.
He also noted that German companies are drawn to India by its growing economy, market scale, capabilities and research & development (R&D) hubs.
Trade agreement
India-Germany trade at $26.1B
Halusa also revealed that German firms are waiting for the India-EU Free Trade Agreement (FTA) to be finalized.
He said this might be a game changer for German and European companies.
The trade between India and Germany has already touched $26.1 billion, with Indian exports at $9.83 billion in 2023-24 and imports from Germany at $16.27 billion in FY24.
Currently, Germany is the 10th biggest trading partner in exports for our country.