The Federation of European Business in India (FEBI) was formally inaugurated, marking a significant step in fostering economic ties between the European Union (EU) and India. FEBI, now established as the official EU Chamber of Commerce in India, aims to enhance trade and investment, streamline business processes, and support European companies operating in the Indian market.
According to FEBI, over 4,500 European companies currently operate in India, employing 6.7 million people across various sectors. These firms play a key role in India’s economic ecosystem, contributing to growth, productivity, exports, and innovation. FEBI’s primary mandate is to advocate for European businesses by promoting policies that facilitate a pro-business environment in India.
The EU is one of India’s largest trading partners, accounting for 12% of its total trade in goods. European companies also represent 21% of India’s foreign direct investment (FDI). Trade between the EU and India has grown steadily at over 10% annually, with EU-India two-way trade currently valued at approximately €120 billion.
During the inauguration event, EU Ambassador to India Hervé Delphin emphasized the significance of the partnership between the two regions, citing the need to expand bilateral trade beyond current levels. Delphin also referenced the ongoing negotiations for a Free Trade Agreement (FTA) between the EU and India, noting that despite several rounds of talks, substantial differences remain to be addressed. He highlighted the potential for a meaningful agreement that could further enhance trade and economic cooperation.
FEBI’s establishment comes at a time when both regions are focused on strengthening their economic ties. The organization will act as a bridge between European businesses and both the Indian and EU governments to address challenges such as quality control regulations, investment protection, and taxation. The creation of FEBI aligns with broader EU-India initiatives, including the proposed Trade and Technology Council, which aims to deepen cooperation in areas such as clean technology and green energy.
The launch event was attended by key officials, including India’s Commerce and Industry Minister Piyush Goyal, and over 200 representatives from European businesses, EU member states, and Indian government officials.