India, Belgium agree to double bilateral trade in 5 years

• Prime Minister Narendra Modi held bilateral talks with his Belgian counterpart Bart De Wever in New Delhi on September 3.

• They discussed the entire spectrum of bilateral relations, as well as, regional and global issues of mutual interest.

• Both sides agreed to expand defence cooperation by signing a range of pacts, besides setting a target of doubling the volume of annual bilateral trade in the next five years.

• India-Belgium bilateral trade amounted to $10.92 billion in 2025-26.

Key outcomes of the meeting:

i) Signing of the Letter of Intent between the two ministries of defence, establishing a framework for regular exchanges, staff talks, education and training, research cooperation, and defence-industrial partnerships.

ii) Recognising the potential for further collaboration in defence manufacturing, technology, innovation, co-development and co-production, both leaders welcomed the signing of the multiple agreements and partnerships between Belgian Security and Defence Industry (BDSI) and Society of Indian Defence Manufacturers (SIDM).

iii) Signing of the renewed MoU on renewable energy cooperation between India and Belgium. The renewed MoU builds upon the cooperation established under the 2015 framework and the work of the Joint Working Group on Renewable Energy, and expands collaboration in key areas including green hydrogen, solar energy, energy storage, offshore wind energy, bio-energy, small hydropower and pumped storage plants.

iv) They also welcomed the appointment of a Defence Attache by Belgium in New Delhi and welcomed India's decision to appoint a resident Defence Attache in the Indian Embassy in Brussels in the near future.

v) The launch of the India-Belgium Investment Fast-Track Mechanism for strengthening bilateral investment ties. The mechanism will serve as a dedicated platform to facilitate and expand both Belgian investments in India and Indian investments in Belgium, support businesses, address investment bottlenecks, and foster a more conducive environment for long-term economic cooperation between the two countries.

India-Belgium Relations

• Belgium was among the first European countries to establish diplomatic relations with independent India in September 1947.

• India and Belgium share close ties underpinned by strong mutual interests in trade and investment. 

• The India-BLEU Joint Economic Commission (JCM), established in 1997, is the primary platform for discussing bilateral economic and commercial relations. 

• Major Indian exports include precious metals and stones, chemicals, and base metals, while key imports are precious metals and stones, base metals, chemicals, textiles, and machinery. 

• Trade in diamonds is a significant component of bilateral trade.

• FDI inflows to India, from April 2000 to June 2025 amounted to $4.045 billion, positioning Belgium as the 18th largest contributor to India’s FDI.

• Several Indian companies, particularly in the IT and software sectors, such as TCS, Infosys, Tech Mahindra, HCL, etc have established base in Belgium to cater to the Belgian as well as European markets.

• According to the latest estimates, there are over 35,000 members of the Indian diaspora in Belgium.