India-EU FTA To Boost German Investment In India: Indo-German Chamber
The India-EU Free Trade Agreement (FTA) is expected to strengthen trade ties between India and Europe and encourage greater German investment in India, Jan Noether, director general of the Indo-German Chamber of Commerce, said at the inaugural Indo-German Engineering Summit 2026 in Bengaluru on Tuesday.
Speaking on the sidelines of the summit, Noether said the agreement would open up opportunities for deeper business engagement, but stressed that increased trade must be accompanied by fresh investments to strengthen German companies’ presence in India.
“The FTA opens the door for a more intense business relationship. However, that has to be followed by investments in India. German companies have to improve their foothold in India in order to be long-term competitive. India is a very competitive market. The world meets in India,” he said.
The summit, organised by the Indo-German Chamber of Commerce under the theme “Co-Innovate. Co-Engineer. Co-Create”, brought together business leaders, engineering experts, technology companies, startups and industry stakeholders from both countries.
Noether highlighted the potential for Germany’s Mittelstand, or mid-sized enterprises, to expand their operations in India and contribute to strengthening domestic manufacturing capabilities and supply chains.
He said India still depended on imports for several components and materials required by its industrial sector, creating opportunities for German companies to support local manufacturing and reduce supply-chain gaps.
“We still have to import quite a few components and materials in order to get our industrial setup positioned. German Mittelstand companies can contribute to closing these gaps and create a lot of opportunities when it comes to building sustainable supply chains in India,” he said.
