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India and Italy to increase bilateral trade to €20 billion by 2029

21 May 2026
2 min

India-Italy Bilateral Relations

Overview of Prime Minister Modi's Visit to Italy

Prime Minister Narendra Modi completed his visit to Italy, aiming to enhance bilateral relations between India and Italy. The visit culminated in several agreements and commitments to boost mutual cooperation.

Key Outcomes of the Visit

  • Trade Target: India and Italy aim to increase annual bilateral trade to €20 billion by 2029.
  • Defence Cooperation: An India-Italy defence industrial roadmap was announced for cooperation in defense manufacturing.
  • Minerals and Mobility: Collaborations on critical minerals and a pact to facilitate the mobility of Indian nurses to Italy were established.
  • Marine Exports: An agreement was reached to promote India's marine exports to Italy.
  • Strategic Partnership: The two countries elevated their ties to a special strategic partnership and reviewed a Joint Strategic Action Plan 2025-2029.

Trade and Demographics

  • Current Trade: In 2025, bilateral trade was €14.25 billion, with India exporting €8.55 billion and Italy exporting €5.70 billion.
  • EU Relations: Italy is India's fourth-largest trading partner in the EU, with India identified as a priority country in Italy's global trade strategy.
  • Indian Diaspora: Italy hosts the largest Indian diaspora in the EU, with 186,833 Indians residing there.
  • Education: Over 5,100 Indian students are studying in Italian universities.

Additional Engagements and Public Perception

  • Modi visited the Colosseum and the FAO headquarters.
  • He gifted 'Melody' toffees to Italian Prime Minister Giorgia Meloni, a gesture that stirred political reactions back in India.
  • Opposition leader Rahul Gandhi criticized this gesture, linking it to broader economic issues.
  • Commerce Minister Piyush Goyal highlighted India's increased global respect and rising exports, noting a 166% increase in toffee exports since 2013-14.

Conclusion

The visit strengthened India-Italy relations through strategic partnerships and trade agreements, while also stirring domestic political discourse regarding India's international image and economic policies.

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FAO Headquarters

The main office of the Food and Agriculture Organization of the United Nations, an agency dedicated to achieving food security for all and making sure people have regular access to enough high-quality food to lead active, healthy lives. Prime Minister Modi's visit signifies the importance of global food security discussions.

Indian Diaspora

A collective term for people who have migrated from territories currently within India's borders. It encompasses Non-Resident Indians (NRIs), Persons of Indian Origin (PIOs), and Overseas Citizens of India (OCI).

Joint Strategic Action Plan 2025-2029

A co-developed plan outlining shared objectives and strategies for cooperation between two countries over a specified period. This plan guides the implementation of the special strategic partnership between India and Italy.

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