Editor’s Note
Belgium is turning its strategic attention to India, drawn by its compelling economic growth and rapidly expanding middle class. This article explores why India represents a key market for major Belgian corporations.
Belgium is increasingly focusing on India. The country indeed displays irresistible growth, and its middle class is expanding rapidly.
Solvay, Bekaert, DEME, Umicore, Tractebel, John Cockerill, IBA, the Port of Antwerp-Bruges, Agristo… For many Belgian companies – around 200 are reportedly present there to date – India is now a strategic market, even though the diamond sector, via its Antwerp hub, still represents a very significant portion of trade between the two countries alone: 52.5% of imports and 34.6% of exports. India will also reduce import duties on Antwerp diamonds from 5.5% to 2.5%.
But the success of the economic mission to India in March of last year – no less than 37 contracts were secured at the time – demonstrates this: India is attracting increasing interest, and our country intends to “diversify” its trade with an economy showing one of the strongest growth rates in the world (Ed. note: 8.2% year-on-year in the last quarter) and where the middle class is rapidly gaining ground. According to figures from the FPS Foreign Affairs, Foreign Trade and Development Cooperation for the period 2022-2023, Belgium was even the 15th largest investor in India. Not bad, relative to the size of our country…
Unsurprisingly, the Federation of Belgian Enterprises (FEB) welcomed the free trade agreement sealed between the European Union and India, which will open new perspectives. The FEB recalled that Belgian exports to the Asian giant amounted to 4.2 billion euros in 2024. Meanwhile, imports stood at 6 billion euros, mainly consisting of metals and precious stones, chemicals, as well as machinery and equipment.
This free trade agreement should therefore intensify opportunities in sectors as diverse as food, health and life sciences, transport or logistics, renewable energy, aerospace and defense, construction, or technologies related to decarbonization. Silox Holding is one of those Belgian companies resolutely betting on India. The Belgian company, which employs 2,500 people and is present on three continents (Europe, Asia, and America), is considered the world leader in inorganic chemistry and metal recycling. A little less than a year ago, it inaugurated a new innovation and research center.
Satisfaction is also evident on the side of Agoria, the Belgian technology federation, which estimates that this agreement will double goods exports to India by 2032. They hope that Belgium will provide its full support to the agreement and commit to a rapid ratification, “unlike what happened with Mercosur.”
The only dissenting note yesterday was the fears expressed by the textile sector through Fedustria, the federation of textile, wood, and furniture companies.
the federation stated in a press release. It added:
