Overshadowed by a flurry of summits including the BRICS Summit, CHOGHM meeting and Modi-Xi bilateral, German Chancellor Olaf Scholz’s consequential visit hardly received any attention. Accompanied by a huge delegation, Olaf Scholz arrived in New Delhi on October 24 for a three-day visit for the biannual 7th India-Germany Intergovernmental Consultations (IGC). Other than IGIC, the trip had two other distinct elements.
For the
first time in 12 years, Germany held the Asia-Pacific Conference of German
Business (APK), a flagship event to promote economic relations between Germany
and Asia-Pacific. Attended by PM Modi and Chancellor Scholz, the 18th
APK last conference witnessed the participation of 800 business delegates from
various countries in the region. In the last leg of his trip, Scholz visited
Goa where India and German navies held joint exercises and as part of Germany's
Indo-Pacific deployment, two German ships, Frigate, Baden-Wurttemberg and a
supply ship, Frankfurt am Main, made port calls in Goa.
Ahead of Scholz’s scheduled visit, the German
Foreign Office released a policy paper- Focus on India. The paper, a first
of its kind released for any country by Germany, set the stage for the bilateral
consultations. The policy paper was appreciative of India’s dynamic
transformation and comprised five broad contours that also identified areas for
cooperation. The five aspects of Focus on India included- India, a democratic
partner of Germany for stability and security; strengthening the bilateral
relations and strategic partnership; the EU’s relations with India; Cooperation
with India in multilateral forums and Coordinating Germany’s policy of India.
Predicted to
become the third-largest economy in the world, Germany lauded India’s success
in tackling poverty. India’s growing international salience, its new role as
“the voice of the Global South” and aspirations to play a significant role in
shaping its international role are mentioned in the paper. Germany even
acknowledges India’s stabilising effect in the conflict-prone Indo-Pacific
region. India’s firm commitment to rule-based order and free, open, inclusive
Indo-Pacific aligns completely with Germany’s Indo-Pacific strategy.
The free and
fair conduct of the 2024 elections marked by a better performance of the
opposition parties besides annihilating the Western propaganda of backsliding
of democracy has firmed up India’s credentials as a strong democracy. Besides,
India’s ability to stave off Chinese incursions for over four years has
cemented its stature as a strong and reliable security partner for Germany.
Indeed,
Germany’s climbdown from issuing a deeply intrusive Foreign Office
statement about Arvind Kejriwal’s arrest in March ahead of the Lok Sabha
elections to new policy directives that recommend- “an in-depth understanding
of India and its political tradition, culture and history is an indispensable
prerequisite” is rather surprising. Therefore, looking at the new willingness
to strengthen the strategic partnership from a purely bilateral dimension would
be churlish.
Since the
Ukraine War, the West has been highly critical of India for increasing energy
imports from Russia defying the sanctions regime. India was subjected to severe
censure at various international forums. But India resolutely pursued its
national interests and refrained from openly condemning Russia for the Ukraine
war.
When
confronted about its position on the Ukraine war, PM Modi emphatically
stated, “India was never neutral in this war, we are on the side of peace”.
Reasserting India’s commitment to the restoration of peace in Ukraine, PM
Modi met Zelensky three times in three months which included his maiden visit
to Ukraine. He also travelled to Russia and told Putin that “this is not an era
of war” and pushed for “dialogue and diplomacy”. PM Modi indeed, offered to
mediate the peace talks.
In one of
the interviews, Zelensky hinted at holding the next round of peace talks
in India. India’s position on the Ukraine war is not lost on Germany. The
policy paper notes, that Germany “welcomes the Indian Government’s
repeatedly expressed willingness to work to bring about a peaceful end to the
war”.
Amid growing
domestic opposition over the government’s support to the Ukraine War
and the defeat of Scholz’s three-party coalition in State elections, Chancellor
Scholz in an interview with Germany’s public television said, “I believe that
now is the moment when we also need to discuss how we can get out of this
situation of war faster than the current impression is”. Scholz is making a
renewed push for a ‘swift peace’ in Ukraine. With poll predictions of US
elections widely favouring the return of Trump, Germany is now rekindling
diplomatic efforts to end the Ukraine war.
Trump stated
multiple times that the Democratic party leadership have been “funding and
arming a large-scale, open-ended war that does not benefit the US”. Germany is
wary that with Trump at the helm of affairs in the US, the military aid and
funding for Ukraine will be suspended. Subsequently, the burden of the war had
to be borne by Europe and Germany, the largest economy of Europe. Considering
India’s cordial ties and ease of connecting with the leaderships of Russia, the
US and Ukraine, Germany believes India can play a significant role in resolving
the Ukraine war through peaceful negotiations.
Germany views
cooperation with India “as an opportunity to achieve its own objectives”. It
has identified areas of mutual interest such as climate action, climate
resilience, cybersecurity, reforms in the UN based on the text-based
negotiations as a G4 member, advanced technology cooperation
and combatting terrorism to expand dialogue and cooperation.
The motto of
the 7th IGC “Growing Together with Innovation, Mobility and
Sustainability” aptly encapsulated the future directionality of the strategic
partnership. Along with technology and innovation, climate action, green and
sustainable development, expediting connectivity initiatives like IMEC through
the EU, AI and quantum technologies, digital agriculture, Internet of Things
(IoT), renewable energy, space technologies, defence and strategic cooperation
received greater emphasis.
As a part of
the Indo-German Green and Sustainable Development Partnership (GSDP) countries
launched the Indo-German Green Hydrogen Roadmap, GSDP Dashboard and
renewed the Joint Declaration of Intent on Urban Mobility. This year marks
the 50th anniversary of the Inter-Governmental Agreement on
Cooperation in Scientific Research and Technological Development that
institutionalised the framework of bilateral cooperation in Science &
Technology, research and innovation. By prioritising innovation and technology,
this has become a key pillar of cooperation.
To boost
trade and economic cooperation, countries called for the early conclusion
of the Comprehensive Free Trade Agreement, Investment Protection Agreement
and agreement on geographical indications.
India and
Germany concluded the Mutual Legal Assistance Treaty in Criminal Matters (MLAT)
and the Agreement on the Exchange and Mutual Protection of Classified
Information to deepen security cooperation.
Ramping up
cooperation and coordination at regional levels, countries agreed to establish
the India-Germany Dialogue on West Asia and North Africa (WANA) between
the respective Foreign Ministries and launched Track 1.5 Dialogue on East Asia. Along with Triangular Development Cooperation
(TDC) in Cameroon, Malawi and Ghana and ongoing activities in Benin and Peru,
countries have additionally launched millet projects in Madagascar and
Ethiopia.
The year
2025 will mark 25 years of bilateral strategic partnership, deepening bilateral
defence cooperations, countries expressed their intent to conclude a Memorandum
of Arrangement regarding mutual logistics support and high-level exchange
between the armed forces of India and Germany. Germany announced to permanently
deploy a Liaison agent at the Information Fusion Centre for
the Indian Ocean Region (IFC- IOR) and welcomed India’s application for
observer status in the Eurodrone Programme of OCCAR (Organisation for
Joint Armament Cooperation).
Ukraine war
which led to snapping of energy ties with Russia has weakened Europe’s economy.
Chinese deep in roots into automobiles is posing a stiff challenge to Europe’s
automobile sector. At this juncture, India’s rapidly growing economy emerges
as a promising pivot to Europe. India’s growing defence requirements
especially, its quest for a partner for the P75I submarine deal involving
the construction of six advanced submarines has opened up new vistas of
opportunity for defence industries in Europe and Germany in particular.
Germany’s
ThyssenKrupp Marine Systems (TKMS) is eager to secure the government to
government deal with India. Additionally, Germany is seeking to help modernise the defence
manufacturing sector and reduce reliance on Russia.
Countries
signed MoU on disaster mitigation, in the field of occupational diseases,
rehabilitation and vocational training of workers with disabilities, skill
development, vocational education and training and museum cooperation.
They declared the Joint Declaration of Intent in green mobility, science
and technology, environmental science, health science, economy and commerce,
labour and employment, education & research.
Increasingly
Indian Diaspora are viewed as a model immigrant community in Germany. Berlin
now looks up to the 2.5 lakh Indian community including the 50,000-strong
Indian student community, the largest cohort of foreign students as a valuable
bridge to connect with India. Germany, the growth engine of Europe is facing
the challenge of an ageing population and a shortage of skilled labour.
Germany is keen on partnering with India in mobilising the immigration of skilled
workers.
In tune with
the recommendation of the Federal Government’s Skilled Labour Strategy (2022),
Germany has signed the Mobility and Migration Partnership Agreement in 2023 to
increase skilled immigration. Given the highly successful integration of Indian
workers, to facilitate rapid migration, Germany announced to increase the visas
for skilled Indians from 20,000 to 90,000 per year.
The Skilled
Labour Strategy, 2024 policy paper released days ahead of Scholz's visit to
India, termed this new outlook a “win-win-win” strategy for Germany, India and
Indian skilled workers. Driven by geopolitical realities and economic
opportunities, Germany is seeking to reset ties with India. Even though Germany
hasn’t divorced from the “China First” policy and seeking to diversify its
economic engagements, Berlin wants to be a strong security partner of India.
Building on
the strength of the values of democracy, freedom, respect for international
order, and the Principles of the UN Charter, the two nations
demonstrated a genuine willingness to cement the strategic partnership. With the
volatile political environment in the US putting strain on the trans-Atlantic
Alliance, Europe countries are recalibrating their strategic relations.
With Germany
inclined to adopt its new strategic approach towards India, it must shed the
one-sided perception and cultivate an appreciation for the dynamic
functioning of the most populous democracy. Finally, this interests-based
approach infused with trust and tempered appreciation of different identities
and ideas can alone take the partnership forward.
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