India and Netherlands Relations

• 13 Nov 2023

For Prelims: India and Netherlands Relations, World Health Organization (WHO), Medical Product Regulation, World Local Production Forum (WLPF).

For Mains: India and Netherlands Relations, Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests.

Source: PIB

Why in News?

Recently, Delegates from India visited the Netherlands, where both sides have signed a Memorandum of Intent (MoI) to cooperate on Medical Product Regulation and enhance the quality of medical products and healthcare services for both countries.

• The Indian delegation participated in the second World Local Production Forum (WLPF) meeting in The Hague. 
  • The WLPF is a platform initiated by the World Health Organization (WHO) with the goal of increasing access to medicines and health technologies.

What are the Key Facts About the Netherlands?

• Borders: Germany to the east, Belgium to the south, and the North Sea to the northwest.
• Capital: Amsterdam (official), The Hague (seat of government).
• Government Type: Constitutional Monarchy with a parliamentary system.
• Major Rivers: Rhine, Meuse, and Scheldt.

How Have Been India-Netherland Relations?

• Diplomatic Ties:
  • India and the Netherlands established diplomatic relations in 1947. The year 2022 marks 75 years of the establishment of diplomatic relations. 
  • Today, the two countries are maintaining strong political, economic & commercial relations. 
  • High-level mutual exchanges have provided an impetus to the multifaceted partnership between the two countries.
• Bilateral Trade and Investment:
  • The Netherlands is the 4th largest trading partner with India in Europe (From April 2000-March 2023). It is also the 4th largest investor in India.
  • Bilateral trade reached an all-time high of USD 27.58 billion during 2022-23.
  • The cumulative FDI (Foreign Direct Investment) inflows from the Netherlands to India from April 2000-March 2023 amounted to USD 43.75 billion.
• Major Exported Items from India to Netherlands:
  • India exported 4,610 commodities to the Netherlands in FY22.
  • India’s exports to the Netherlands stood at USD 3.29 billion from April-May 2023-24.
  • Major exported items from India to the Netherlands include petroleum products, telecom instruments, aluminium & products of aluminium, electronic instruments, iron and Steel, etc. during April-May 2023-24.
• Recent Developments:
  • A Joint Statement to formally establish a bilateral Fast-Track Mechanism (FTM) between India and the Netherlands to facilitate investments by Dutch companies in India, was signed by the Department for Promotion of Industry and Internal Trade (DPIIT) and the Embassy of Netherlands in September, 2022.
• Cooperation in Science & Technology: 
  • The Netherlands Organization for Scientific Research (NWO) collaborates with the various departments in the Indian Government.
  • For instance, there is an ongoing project titled “Local Treatment of Urban Sewage Streams for Healthy Reuse (LOTUS-HR)”.
    • The LOTUS-HR project is an India-Netherlands joint collaboration of universities and companies funded by the India`s Department of Biotechnology and the Dutch NWO-TTW.
• Collaboration in Water Management:
  • A platform called Dutch Indo Water Alliance Leadership Initiative (DIWALI) has been developed in which India and Netherlands could participate in designing solutions for water challenges.
• Collaboration in Agriculture: 
  • Agriculture is one of the core sectors identified by the Netherlands for enhancing bilateral cooperation with India.
  • The 5th Joint Agriculture Working Group (JAWG) meeting on Agriculture took place in New Delhi in 2018.
  • Under the JAWG, an Action Plan was signed which envisages cooperation in establishing Centers of Excellence (CoE) in horticulture, animal husbandry & dairy, fisheries and food processing.
  • This is also accompanied by skill development & capacity building in the fields of cold chain, supply chain management etc.
• Healthcare Cooperation:
  • An MoU for Cooperation in the Field of Healthcare and Public Health was signed in January 2014 to promote greater research collaboration in emerging health challenges associated with communicable diseases and antimicrobial resistance.

Conclusion

• The relations between India and the Netherlands date back to the early 17th century. 
• This long-cherished historic bond is based on the shared values, rule of law, pluralism, and people-to-people connection between the two countries. 
• The continuous cooperation in the different areas has undeniably brought the Netherlands and India closer. 
• They are maintaining cooperation in trade and economy, energy transition, smart cities and urban mobility, science & technology cooperation, water management and agriculture sector, public health & health care and culture and also becoming stronger to solve the global challenges together.