Why in the News?
Recently, the President of Spain paid a bilateral visit to India along with a business delegation to enhance the bilateral cooperation between both the countries.
Key outcomes of the visit
- Defense manufacturing: Joint inauguration of the C295 Aircraft Final Assembly Line in Vadodara by Tata Advanced Systems in partnership with Airbus Spain.
- 40 aircraft will be manufactured in India, while 16 will be delivered by August 2025.
- The facility positions India as a potential aviation hub for domestic and export markets.
- Investment Facilitation: Establishment of a Fast Track Mechanism in India's DPIIT and Spain's Directorate General of International Trade and Investment to promote mutual investments.
- Consular Expansion: Announcement of a Spanish Consulate in Bengaluru and the operationalization of an Indian Consulate in Barcelona.
- Cultural Cooperation:
- Cultural Exchange Programme launched for 2024–2028.
- Declaration of 2026 as the India-Spain Year of Culture, Tourism, and AI.
- Establishment of Indian Council for Cultural Relations (ICCR) Chairs on Hindi and Indian Studies at the University of Valladolid.
India–Spain Bilateral Relations
- Diplomatic relations: Established in 1956, with strengthened cooperation under the Association for Peace, Growth, and Innovation (APCI) since 2017 in security, defense, and technology.
- Spain is a key EU partner in enhancing India's strategic ties with Europe.
- Multilateral Cooperation: Spain supports India's membership in international security regimes like the Missile Technology Control Regime (MTCR)
- Trade and Economic Relations:
- Spain is India's 6th largest trade partner in Europe with bilateral trade reaching $9.9 billion in 2023.
- Spain is the 16th largest investor in India, with $4.2 billion in FDI (April 2000 – June 2024) with over 280 Spanish companies being active in India.
- Additionally, Indian companies have invested over US$ 900 million in Spain predominantly in the IT services, pharmaceuticals, and logistics sectors.
- Defence and Security Cooperation: Spain and India signed an agreement in 2020 to co-develop next-generation naval ships.
- Joint activities include Spain's participation in the EU-India joint naval exercise (2023) and Passage Exercises (PASSEX) with Indian Navy ships.
- Cultural Exchange: Approximately 75,000 Indians reside in Spain. Also, the Indian Council for Cultural Relations (ICCR) imparts yoga and classical dance lessons in Spain.
