Address by the EU Ambassador, H.E. Hervé Delphin at the 2nd Annual General Meeting of FEBI

Address by the EU Ambassador, H.E. Hervé Delphin at the 2nd Annual General Meeting of FEBI

Dear Ambassadors,

President, Members of Board, Secretary General and Members of FEBI,

Dear Guests,

Namaskar! Welcome!

It gives me true pleasure to welcome you at the 2^nd Annual General Meeting of the Federation of European Business in India (FEBI).

We meet almost exactly one year after the official inauguration of FEBI, which took place on 11 October 2024 in the presence of Honorable Minister of Commerce and Industry Shri Piyush Goyal.

Today's event is also an opportunity to celebrate the first anniversary of FEBI. Happy Birthday, FEBI!

I would like to express my gratitude to the outgoing members of the Board of FEBI. Thank you for your leadership and dedication, which made FEBI a strong voice of EU business in India. My special thanks go to Rémi Maillard, the first President of FEBI, whose mission ends today. Dear Rémi, without your vision, devotion and determination the success of FEBI would not have been possible. FEBI will be your standing legacy in India (besides your legacy as Airbus CEO). I would also like to thank FEBI's Secretariat (under the lead of its Secretary General Sonia Prashar) for its superb organisational skills and hard work. I am confident that with your energy, creativity and the sense of purpose you will write a new successful chapter in FEBI's story.

FEBI has a special meaning for me - as Honorary president of FEBI - and for the EU Delegation. The EU Delegation had been a patient godmother and the caring mid-wife who had helped give birth to FEBI. Therefore, I look at FEBI not as a mere business organisation, but as an essential member of the European eco-system, or Team Europe, in India. And I am enormously proud to see how well FEBI has grown and developed during its first year.

A year ago, FEBI was making its first steps. Today, it has more than 160 member companies, it has a recognisable brand and it is a relevant and reliable partner for Indian administration and for Indian business organisations. It has organised a number of high-level events with the Indian and EU stakeholders ranging from an interaction with the EU Commissioners on the occasion of their historic visit to India last February and a meeting with Minister Vaishnaw to, most recently, the Joint Ministerial session between Minister Goyal, Commissioners Šefčovič and Hansen and the representatives of EU and Indian business, to name just a few initiatives.

FEBI and the whole community of European business in India is part of India's growth story as well as of EU-India partnership.

EU businesses perceive India as an attractive market, a market with important challenges but also one that offers huge opportunities. While benefiting from these opportunities, EU companies also contribute substantially to the Indian economy. They create jobs, invest, manufacture, and innovate in India. In short they 'Make in India'.

They contribute largely to the achievement of India's objectives to become a manufacturing hub and a developed economy. This is evident when one looks at the economic footprint of the EU in India.

We recently conducted a survey on the role of EU businesses in India. The main findings of this study, which are shared publicly today for the first time, show that:

• There are around 6,000 EU companies in India, a number that has been rapidly growing over the last few years, operating across various sectors, including manufacturing, professional services or information and communication technology.

• They are present in almost every single Indian State and Union Territory, from Jammu and Kashmir in the north to Tamil Nadu in the south; from Gujarat in the west to Assam in the east.

• The EU companies have created more than 3 million direct jobs in India. We are talking about high-quality and well paid jobs, which offer opportunity for learning and professional development. In addition, they created millions of indirect jobs upstream and downstream the supply chains.

• In 2024, the EU companies in India generated a total turnover of EUR 186 billion. To grasp the significance of this number, one should consider that it corresponds to around 5% of the Indian economy.

• And this is not the end. The EU companies exported goods worth EUR 23.5 billion, which accounts for around 6% of total Indian exports of goods. They also paid more than EUR 7 billion in taxes. These numbers reflect real benefits for Indian employees, families, society and economy alike.

The EU is India's top trading partner, with bilateral trade in goods of EUR 120 billion, ahead of the US and China. Adding services, our bilateral trade has reached EUR 180 billion. This is an impressive figure, but there is a huge potential for growth considering that EU and India are the 2^nd and the 4^th largest economies in the world. To unlock this untapped potential EU and India are negotiating the FTA.

President von der Leyen and PM Modi set the objective to conclude the FTA by the end of this year. The negotiating teams are working hard to deliver it. Fair to say the negotiations are challenging and important issues remain to be solved. The 13^th round earlier in September with the direct involvement of Commissioners Sefcovic and Hansen on the EU side did not result in the sort of breakthrough, which was expected. The EU was and is still ready to conclude on a meaningful package. We look forward to the next round and further negotiations towards a mutually beneficial deal.

Alongside the FTA, EU and India are negotiating an Investment Protection Agreement. The Agreement aims to create a predictable, secure and transparent environment for EU and Indian investors thus helping to generate the higher levels of FDI needed for the Indian economy. While certain differences must still be resolved, both EU and India agree on key principles: that the right of states to regulate must be explicitly safeguarded and that there must be clear guidance for tribunals on how to interpret investment protection standards. These shared principles should guide us throughout the negotiating process towards a successful outcome.

The cases for the FTA and for an Investment Protection agreements are stronger than ever. Our economies are complementary and offer each other scale.

The FTA can open new opportunities for EU and Indian businesses and create conditions to significantly increase our bilateral trade and investment. While some countries are raising tariffs or otherwise closing their markets, we should use the FTA to diversify trade, hedge against uncertainties and strengthen our supply chains.

Europe's art of the deal is to drive positive sum game FTAs, that deliver tangible benefits. And the fact that we are closing more and more FTAs negotiations with important partners, most recently Mercosur, Mexico and Indonesia, show that EU is considered as a predictable, reliable and valuable partner.

The FTA and Investment Agreements can be the game changer but there is more in the EU-India economic relations. The Joint Communication released by the European Commission and the High Representative Kaja Kallas two weeks ago, is a policy document which sets out our vision for the EU-India relations and our policy offer for India, namely on a new EU-India Strategic Agenda. Among the 5 pillars most of them connect to the economy and business:

• Prosperity and sustainability: aimed at boosting trade, investment and economic ties with a focus on supply chains and clean transition.

• Technology and Innovation: working together on critical emerging technologies to reduce dependencies and leap-frog by combining our assets and strengths;

• Security and Defence: deepening cooperation on addressing threats and risks in specific areas of mutual concern but also cooperating on defence industry;

• Among Enablers of the partnership, our policy document refers to the key role. Hence the proposal to have an EU-India Business Forum (of CEOs).

Each of these pillars contains numerous proposals and initiatives for joint action that could deliver tangible results. Such as:

• innovation hubs to mobilise start-ups and facilitate their market uptake;

• Blue Valleys as dedicated 'conducive' platforms for private sector engagement in selected value chains;

• a TTC 0.2 zooming in on critical supply chain like semi-conductors; active pharma ingredients; clean tech and bio tech;

• a gateway office to facilitate mobility of skilled workers in ICT sector;

Our meeting today occurs during a special period as India celebrates Navratri, the festival, which symbolises the victory of good over evil.

May it be also an auspicious sign for FEBI but also for EU-India economic ties and strategic partnership.

Thank you for your attention !

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New Delhi, ; 30 September 2025