India–EU sign big, but can they deliver bigger?

Paper: GS – II, Subject: International Relations, Topic: Agreements involving India, Issue: India–EU: The Implementation Challenge.

Context:

The recent visit of the European Union’s top leadership to India and the conclusion of multiple high-level agreements have marked a breakthrough phase in India – EU relations. However, past experience shows that implementation and delivery, rather than announcements, remain the critical challenge for New Delhi and Brussels.

Key Highlights:

The Geopolitical Drivers: “Deliberate Diversification”:

The deal is not just a reaction to current events but a calculated long-term strategy.

  • De-Risking: Both India and Europe are diversifying to de-risk from two specific global forces:
    • An Assertive China: Reducing economic dependence.
    • A Mercurial America: Insulating themselves from the unpredictability of US policies (e.g., “Donald Trump’s America”).
  • Agency: While staying close to the US, this partnership allows both India and the EU to expand their own agency in shaping the global order.

Historical Context: The “Repair Job”:

  • The “Flyover Continent”: Historically, India ignored Europe, viewing it only through the lens of Russia or as a stopover to the US. Conversely, Europe viewed India as protectionist.
  • The Low Point (2013-2014): By 2014, ties were strained (e.g., with Italy), and trade talks were suspended.
  • The Reboot: Since 2016, the Modi government has actively repaired trust, leading to the resumption of trade talks in 2022. This included engaging not just Brussels but also sub-regions like the Nordics, Baltics, and Central Europe.

India’s Trade Strategy Pivot: major shift in India’s economic diplomacy:

  • The RCEP Exit (2019): India walked out of the Regional Comprehensive Economic Partnership (dominated by China) to avoid competing with East Asian manufacturing hubs.
  • The Western Pivot: India realized it gains more by partnering with complementary Western economies.
  • The Chain of Deals: Since leaving RCEP, India has signed FTAs with the UAE, Australia, UK, EFTA, and now the EU.
  • Future Roadmap: The author suggests India should now look at the CPTPP (Comprehensive and Progressive Agreement for Trans-Pacific Partnership), which excludes both the “manufacturing hegemon” (China) and the “capricious trade partner” (US).

The Challenge Ahead: Implementation is Key:

The author ends with a cautionary note, comparing this moment to the 2005 India-US Civil Nuclear Deal.

  • The Warning: India must not “linger in celebration.” Moving from a signed deal to actual implementation requires massive “bureaucratic mobilisation.”
  • The Lesson: India must fully capitalize on this opening, unlike the debate over whether it fully utilized the US opening in 2005.
  • To-Do List: India needs to generate ideas, creative institutional engagement, and maintain a presence across Europe’s diverse geography to make the defence and tech partnerships work.

Broader Significance:

  • Successful delivery would:
    • Enhance India’s role in global governance
    • Strengthen Europe’s strategic autonomy
    • Create a template for India’s engagement with advanced economies

The India–EU partnership has entered a promising phase of ambition and alignment. Yet, its success will ultimately depend not on declarations but on consistent execution, institutional depth, and mutual trust that converts breakthroughs into durable outcomes.

Source: (The Indian Express)

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