The G20 Finance is meeting this week in India, a country that France intends to make one of its privileged economic partners in the coming years. Upon his arrival, Bruno Le Maire must visit the Delhi airport together with Augustin de Romanet, the head of ADP. Aéroports de Paris has had access to the Indian market since it acquired a 49% stake in GMR Airports.
Among the recent French successes in India, the aircraft contract of the century was concluded last week. Air India, owned by the Tata group, bought 470 planes, including 250 Airbus for almost 32,000 million euros.
An important market for EDF
But despite this, Bruno Le Maire will have to go back to work if he wants it to be a “relationship for the future” according to his expression. Such victories in India are still rare and some major projects are falling apart. Like the Jaitapur nuclear project in partnership with the Indian operator mentioned 12 years ago. It would allow the construction of 6 EPR, the largest civil atomic infrastructure in the world. EDF CEO Luc Rémont was in India last week to speak on this issue.
So, Indian investments in France remain limited. They are around 300 million euros while the stock of Indian investments in the world amounts to 180 billion euros.
Finally, Bercy regrets that India limits access to its market in many areas, such as food, automotive and pharmaceuticals. The right-wing nationalist party and Prime Minister Narendra Modu have pursued a protectionist policy since 2014.
“France should be India’s entry point to Europe”
This relationship must be deepened because France is counting on India to place its pawns in the Indo-Pacific. Emmanuel Macron has worked there since he became head of state. In 2018, during a visit to New Delhi, he set a clear goal.
A goal all the more necessary since the submarine crisis two years ago. France has lost its great ally in the Indo-Pacific, Australia.
This year, India is becoming a key player. She begins a two-year term as a non-permanent member of the UN Security Council. He took over the G20 rotating presidency in December. In November, Narendra Modi unveiled the presidential motto “One Land, One Family, One Future”.
India, a counterweight to the great powers
Behind this slogan, India shows that it wants to impose itself as a counterweight to the great powers: the United States, China and Russia. She did not comment on the war in Ukraine. New Delhi wants to be the defender, the leader of the least developed countries, particularly on debt issues.
Modi knows that his country can play a pivotal role. In a few weeks, India will become the most populous country ahead of China. So why is India the fifth largest economy in the world? First it overtook France, then the UK. According to the IMF, it could catch up with Germany in 2027 and Japan in 2028. Finally, last year, the Indian economy registered growth of almost 9%, double that of Chinese growth.
Source: BFM TV
