INDIA & GERMANY RELATIONS – INTERNATIONAL

News: Jaishankar-Baerbock talks: India buys one-sixth of Europe’s consumption of Russian oil, says Jaishankar defending India policy

 

What's in the news?

       India’s consumption of Russian oil was just one-sixth of European consumption and should not be compared unfavorably, said External Affairs Minister S. Jaishankar, defending the Government’s decision to increase its intake of Russian oil since the war in Ukraine, that was discussed in his talks with visiting German Foreign Minister Annalena Baerbock.

       Ms. Baerbock’s visit coincided with the launch of an “oil price cap” plan by the G-7 and European Union countries to withdraw shipping and insurance services to countries that buy Russian oil above the price of $60 per barrel.

 

Key takeaways:

       The two sides said they held talks on bilateral issues, including Germany’s assistance to India on renewable energy and energy transitions, as well as international issues like their Indo-Pacific strategy, and spoke about China, Afghanistan and Pakistan.

       At the end of talks, India and Germany signed a comprehensive partnership on migration and mobility meant to ease travel for research, study and work for people in both countries, which Mr. Jaishankar said would be the “basis for a more contemporary partnership” to relations.

       Germany is connected to India in a partnership of people to people ties and values – as the biggest democracy, India is exemplary and a role model for other countries.

 

India-Germany Relations:

1. Bilateral relations:

       Germany is one of India’s most important partners in Europe owing to the strength of bilateral relations, as also Germany’s key role in the EU.

       India was among the first countries to establish diplomatic ties with the Federal Republic of Germany after the Second World War.

2. Strategic Partnership:

       India and Germany have had a 'Strategic Partnership' since May 2000, which has been further strengthened with the launch of Inter-Governmental Consultations (IGC) in 2011 at the level of Heads of Government.

       It allows for a comprehensive review of cooperation and identification of fresh areas of engagement. India is among a select group of countries with which Germany has such a dialogue mechanism.

       India and Germany have a shared interest in upholding democratic values, a rules-based international order, and reform of multilateral institutions. These issues are expected to figure in the discussions, especially in the context of China’s assertiveness in the Indo-Pacific region.

3. Institutional Cooperation Arrangements:

       Several institutionalized arrangements exist between India and Germany to discuss bilateral and global issues of interest, namely, Foreign Office Consultations, High Defence Committee, Indo-German Energy Forum, Indo-German Environment Forum, S&T Committee, and Joint Working Groups in various fields, including skill development, automotive, agriculture, tourism, water and waste management.

       Both countries consult each other and coordinate positions in multilateral fora including G-20 and in the UN on global issues such as climate change and sustainable development.

       There have been consultations between the two countries on various subjects such as UN issues, international cyber issues, disarmament and non-proliferation, export control, Asia and Africa.

4. Multilateral Cooperation:

       Germany and India support each other on UNSC expansion within the framework of the G-4.

       Germany joined the Coalition for Disaster Resilient Infrastructure (CDRI) in February 2020 and participated in the first Governing Council meeting in March 2020.

       In April 2021, the German Federal Cabinet approved the signing of the amended framework agreement of the International Solar Alliance (ISA), and thereby Germany's accession to the ISA.

5. Security Cooperation:

       The MoU on Security Cooperation signed at the 3rd IGC held in Delhi in 2015 defines collaboration in this field.

6. Defence Cooperation:

       Bilateral Defence Cooperation Agreement signed in September 2006 and the Agreement on Mutual Protection of Classified Information signed in October 2007, provide the framework for bilateral defence ties.

7. Economic & Commercial Relations:

       Germany is India’s largest trading partner in Europe. It has consistently been among India’s top ten global partners and was the seventh-largest trading partner in FY 2020-21.

       Bilateral trade in 2020-21 was USD 21.76 billion registering a marginal decline of about 1% over FY 2019-20.

8. Science & Technology:

       Bilateral Science and Technology cooperation is implemented under an Inter-Governmental Agreement on ‘Cooperation in Scientific Research and Technological Development’ signed in May 1974.

       The Department of Science and Technology (DST) and the German Federal Ministry for Education and Research (BMBF) are the nodal agencies for overall coordination. An apex Indo-German Committee on S&T, established in 1994 coordinates the implementation of cooperation and joint review of activities.

9. Culture:

       The Indo-German cultural relations have a long tradition that was derived through the systematic and academic study of Indian literature, especially Vedas and Upanishads, and also translation of famous works from Sanskrit to German language.

       Most importantly, the translation of Kalidasa’s ‘Shakuntala’ in 1791 envisaged institution-based scientific research on sacred Indian texts for the quest of Indian philosophy and literature.

       Max Mueller was the first scholar of Indo-European languages to translate and publish Upanishads and Rigveda.

 

10. Indian Diaspora:

       There are around 2.03 lakh (December 2021) Indian passport holders and Indian-origin people (about 1.60 lakh NRIs/Indian Passport holders and around 43,000 PIOs in Germany.

       India and Germany signed a comprehensive partnership on migration and mobility meant to ease travel for research, study and work for people in both countries

11. Energy Partnership:

       Under the energy partnership, the Green Hydrogen Task Force will develop a Green Hydrogen Roadmap.

 

Challenges:

1. Historical:

       Earlier, Cold War politics, as well as the lack of development in India caused German governments to treat the world’s largest democracy with indifference for many years.

2. Political:

       Germany has expressed concerns about Kashmir lockdown and the rights of minorities in India and has begun to cast a shadow over the “shared political values” (freedom and the rights of minorities) with India.

3. Economical:

       Further, Germany and the European Union are skeptical about India’s trade liberalization measures, as Germany and EU bat for more liberal labor regulations.

       India had recently celebrated remarkable improvements in the ease of doing business, indicating its willingness to remove bureaucratic hurdles.

       However, technical regulations in trade like testing requirements are a real burden for German Companies.

 

WAY FORWARD:

       Germany had recognized India as a strategic partner in the Indo-Pacific region especially when the region is gaining importance in the geopolitics of the globe.

       The India-Germany partnership has the potential to resolve global issues like food security, energy, defense security, and green development.

       Germany will preside over the G7 in 2022, and starting in December 2022, India will preside over the G20. This provides a chance to work together and coordinate the efforts.

       The India-Germany partnership in green development and tackling climate change is crucial to fulfilling sustainable development goals.