New Delhi [India]: Commerce and Industry Minister Piyush Goyal has called for enhanced collaboration with French businesses in five strategic sectors: agriculture and food processing, renewable energy, aerospace and defence, automobiles and electric vehicles, and digital technology.
Speaking at the annual conference of French Foreign Trade Commissioners of the Asia-Pacific region, attended by French CEOs and business leaders, Goyal emphasized the untapped potential in trade relations between India and France.
“Bilateral trade is quite suboptimal, given the strength of our two economies, something which we should collectively aspire to grow much bigger, much better, much faster,” Goyal stated.
Trade Figures and Investment Potential
India and France recorded bilateral trade of USD 15 billion in the financial year 2023-24, with Indian exports at USD 7 billion and imports at USD 8 billion. France is India’s 11th largest foreign direct investor, and Goyal highlighted the scope for significant future growth.
“We are both trusted partners to each other, and that will strengthen our continued engagement in investments with Indian industry going to France and French manufacturing coming to India,” he said.
The minister underscored the importance of leveraging India’s talent pool, particularly in the global capability centres that many businesses are setting up in the country.
Focus on Aerospace and Defence
Highlighting the potential in the aerospace and defence sector, Goyal said India represents a massive market opportunity for French companies.
“The number of planes that India has on order is close to about 1,500, with options that could take them to about 2,000. For the next three decades, the Indian aviation market will be the world’s largest demand aggregator for aeroplanes,” he said.
Goyal urged French businesses to consider Indian manufacturing opportunities for aircraft, spare parts, and Maintenance, Repair, and Overhaul (MRO) services.
Growth in Aviation Infrastructure
India’s aviation infrastructure has seen significant growth, with the number of airports increasing from 74 in 2014 to 125 currently. Plans are underway to add another 75 airports by 2029, Goyal added.
Strategic Partnership Milestone
India and France are celebrating 75 years of diplomatic relations and 25 years of strategic partnership this year. Goyal reiterated the importance of deepening ties to capitalize on India’s position as the world’s fastest-growing major economy and its trajectory toward becoming the third-largest economy globally.
The conference served as a platform to reinforce bilateral commitments and explore avenues for mutual growth and collaboration.