India And The International Trade - 3292 Words

1.1Background Since gaining liberalization, India has been active in international trade, and is today one of the major trading nations in the world. The Indian economy has been highly dependent on external trade; presently, India’s major trading partners were China, United Arab Emirates, United States, Saudi Arabia Switzerland, Singapore and Germany. As a shining, modern, and well developing country, India has been actively promoting trade expansion and enhancement with all the European countries especially with Germany. In view of this, India has been actively promoting bilateral trade to achieve this target by implementing different strategy. One of them is by expanding trade relation with the European countries. Within the European†¦show more content†¦To date, the EU is India’s largest trading partner, accounting for 20% of Indian trade. However India accounts for only 1.8% of the EU’s trade and attracts only 0.3% of European Foreign Direct Investment, although still provides India’s largest source for India (Bilateral Trade, n.d.). Trade between the two has more than doubled from 25.6 billion euros ($36.7 billion) in 2000 to 55.6 billion euros in 2007, with further expansion to be seen (Bulls Eye, n.d.). According to a report in 2010, India, at that time, was the eighth largest trading partner of the European Union, behind China and Russia (India-EU Relations, 2012). Given the fact that India is in the process of facilitating the international trade with all over the world. European and Asian countries seems to be the potential partners for trade exchange. At the same time, several companies and organizations have been established in India over the last ten years which have created more opportunities for both European and Indian companies to run their business in the region. Furthermore, Germany trading policy also brings a good opportunity to Indian economy and for the Indian export trading companies. As the trade relations between these two countries are increasing, it will helpful to the Indian economy and its overall development and growth. India shares their experiences and also can learn from Germany and become expertise in bilateral trades. Besides that, trade