On the Agenda

Belgium's ambassador to India believes a new range of industries can help the two countries diversify their trade relations beyond the predominant diamond business.

“Small enterprises in pharmaceuticals, biotech, clean energy and automotive ancillaries are shaping the bi-lateral trade to take it to the next level,” said Ambassador Pierre Vaesen.

“At present the bi-lateral trade is largely driven by gems and jewellery which constitutes about 80 per cent of the bilateral trade. We want to diversify this trade to other sectors,” he told The Hindu.

Belgian business interests in India cover ports, construction, banking and finance, chemicals and fertilisers, and solar energy. Zeebrugge port has been presented in India to take up modernisation of ports.

“There has been increasing interest on India from Belgian companies and we are looking forward for reforms to take-off in India, especially foreign direct investments, in certain key sectors like retail, aviation and agriculture sectors,” Vaesen said.

Belgium is India's second-largest trading partner after Germany. Indian exports to Belgium were €3.6 billion last year, and is forecast to be around the same for 2011.

In the past decade, about 150 Belgian companies have invested $350 million in India, while around 75 Indian companies have set up operations in Belgium as a way of gaining access to European markets.

Jayant Nadiger, Trade Commissioner of Flanders Belgium, “The Flemish trade office has been operational for south India, based in Bangalore, since 1999. Flanders Belgium industry has been active in south India since then in sectors like logistics, manufacturing, services, research and development among others.”

“Baekart, LMS, Xsysys, UCO, are among the Flemish companies present in south India and a few from this region have also established business in Flanders,” he added.