From Ajay Kaul
Paris

Prime Minister Narendra Modi today thanked France and wrapped up his first visit here that saw the two nations elevate their strategic ties to a new level as they agreed on a deal for 36 Rafale fighter jets and decided to move ahead with the log-jammed Jaitapur nuclear project.

“Thank you France! Substantial ground was covered during my visit. Thankful to French Govt & people. Will always cherish the enthusiasm,” Modi tweeted in both English and French while leaving Paris for Germany.

With ‘Make-in-India’ being the theme, the two sides signed about 20 pacts, covering areas like civil nuclear energy, urban development, railways and space.

During the three-day stay here, France pledged 2 billion Euros for sustainable development in India as the Prime Minister invited investments and technology from this country.

Modi also visited the the manufacturing facility of aircraft manufacturer Airbus which announced its decision to enhance outsourcing in India from 400 million Euros to 2 billion Euros over the next five years.

It also expressed keen interest in manufacturing in India by participating in the ‘Make-in-India’ programme.

Modi and Hollande, who held detailed discussions on the entire gamut of bilateral relations, pledged to push two-day investments and trade.

After his talks with Hollande, the Prime Minister said he was confident that the strategic partnership will go to a new height.

The Indian decision to buy 36 Rafale fighter aircraft in fly-way condition “as quickly as possible” marks bypassing of the log-jammed deal for supply of 126 aircraft.

For this, an inter-governmental agreement will be signed under “separate terms and conditions” which will be discussed by officials.

“The two leaders agreed to conclude an Inter-Governmental Agreement for supply of the aircraft on terms that would be better than that conveyed as part of a separate process underway,” a Joint Statement said.

“The delivery would be in time-frame that would be compatible with the operational requirement of IAF and the aircraft and associated systems and weapons would be delivered on the same configuration as had been tested and approved by Indian Air Force and with a longer maintenance responsibility by France,” it added.

France was the first destination of Modi’s three-nation tour that will take him to Germany and Canada as well.

The Prime Minister left Paris for Hannover where India is a partner country in its international fair.

During his three-day stay in Germany, Modi will seek the country’s support for his ‘Make in India’ campaign launched last year to promote economic growth and to create millions of new jobs by boosting manufacturing and attracting investments.

The prime minister will have some preliminary discussions with German Chancellor Angela Merkel after she receives him on his arrival in Hannover at the start of his first official visit to the country.

They will take part in the opening of the Hannover Fair 2015 this evening and will also jointly inaugurate India’s participation as “partner nation” in the five-day event.

The two leaders will address the Hannover Fair Business Summit, which focuses on the possibilities for promoting trade and industrial cooperation between India and Germany.

They will hold detailed discussions on various aspects of bilateral relations and international issues of “mutual interest” at their official talks in Berlin on Tuesday.

Merkel will also host a lunch in honour of the visiting Indian prime minister.

Modi is scheduled to hold discussions with deputy chancellor and economy minister Sigmar Gabriel and foreign minister Frank-Walter Steinmeier during his stay in Berlin.

Germany is India’s largest trading partner in the EU and one of the top ten global trading partners.

The overall exchange of goods and services between the two countries was valued at around around 15.96 billion euros last year, a drop of 1.14 billion euros from the level of 16.10 billion euros registered in 2013.

While India’s exports to Germany rose marginally to 7.03 billion euros?in 2014, its German imports dropped to 8.92 billion euros from 9.19 euros in the previous year, according to the Federal Statistical Office.

Germany and India have been engaged in a “strategic partnership” since 2001 and this was further strengthened by launching the inter-governmental consultations in 2011.

India is one of the few countries with which Germany holds inter-governmental consultations outside the EU.

India hosted the first round of consultations in New Delhi in 2011 while the second was held in Berlin in 2013.

The third meeting of IGC is expected to take place in India in the second half of this year.

Germany is the 8th largest foreign investor in India. Its foreign direct investments in India during January-November 2014 was valued at around USD 995.7 million.

More than 1,600 Indo-German collaborations and around 600 Indo-German joint ventures are currently in operation.

– PTI