Modi, Meloni target €20 billion trade milestone with new strategic agreement.

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In a significant move to enhance bilateral relations, India and Italy have elevated their ties to a special strategic partnership, with a shared ambition to boost trade to €20 billion by 2029. In a series of discussions held in Rome, Indian Prime Minister Narendra Modi and Italian Prime Minister Giorgia Meloni committed to strengthening cooperation, particularly in the face of global conflicts and geopolitical challenges. The leaders highlighted the importance of upholding a rules-based international order and expressed concern over ongoing conflicts in Ukraine and West Asia, advocating for diplomacy as the path to lasting peace.

Prime Minister Modi’s visit to Italy was the concluding part of a broader five-nation tour focused on enhancing India’s energy security and fostering collaboration in critical sectors such as defense, trade, and technology. During their talks, Modi and Meloni underscored the significance of the upcoming India-European Union free trade agreement, set to be signed later this year, as a key instrument in advancing their economic ties. They also emphasized the crucial role of the India-Middle East-Europe Economic Corridor in promoting freedom of navigation and connecting the Indo-Pacific with the Mediterranean region.

Both countries are keen on expanding their trade from the present €14 billion to €20 billion by 2029. The leaders agreed to establish a mechanism, led by their foreign ministers, to oversee the implementation of the joint strategic action plan for 2025-29, which serves as a roadmap for their partnership. This plan aims to enhance collaboration in various domains, including trade, defense, science, technology, and education. The emphasis on technology and innovation as key drivers of this partnership was highlighted, with Modi announcing the development of the India-Italy Innovation Centre to link startups and research entities in both nations.

Beyond trade and technology, the two countries are also focusing on defense cooperation, with Modi noting the progress in co-development and co-production between their defense industries. This strategic collaboration is further supported by a defense industrial roadmap that facilitates mutual growth. Furthermore, Modi and Meloni agreed to expand educational and professional exchanges, particularly in STEM fields, and enhance skills development to meet labor market demands. They also signed a joint declaration to facilitate the mobility of Indian nurses to Italy, reflecting a broader commitment to fostering people-to-people ties.

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