France and India relations

During his visit to France, Prime Minister Narendra Modi emphasized India and France's potential for “global transformation” alongside French President Emmanuel Macron. The visit, just before Modi’s trip to Washington, underscored their strong diplomatic ties, with both leaders having visited each other’s countries multiple times.

India and France share a strategic partnership built on mutual trust, defence cooperation, trade, and global collaboration. Established in 1998, their ties span key sectors like space, nuclear energy, and climate action. France supports India’s global aspirations, while both nations work together on security, technology, and multilateral issues, strengthening their relationship through high-level engagements.

Civil Nuclear Collaboration

• Focus on Small Modular Reactors (SMRs) for cost-effective and faster deployment.
• France aids India’s goal of generating 100 GW of nuclear power by 2047.
• ₹20,000 crore Nuclear Energy Mission supports SMR research.

Defence and Strategic Partnership

• Deepening defence ties through technology transfer, Rafale jets, and Scorpene submarines.
• France accounts for a significant share of India’s arms imports.
• Launch of FRIND-X (France-India Defence Startup Excellence) in 2024.

Space and Aerospace Cooperation

• Collaboration on satellite missions like TRISHNA and space security research.
• Support for India’s space startups in AI-based satellite applications.
• ISRO and CNES signed a space cooperation agreement in 2021.

Artificial Intelligence and Technology Innovation

• India-France Roadmap on AI promotes ethical and secure AI development.
• Support for Indian startups at Station F, a leading French incubator.
• Expansion of UPI usage in France for real-time payments.

Indo-Pacific Security and Maritime Cooperation

• Joint naval exercises (Varuna) and projects for climate resilience.
• India-France Indo-Pacific Triangular Cooperation funds sustainable projects.
• France supports India's vision for a free and open Indo-Pacific.

Economic and Trade Relations

• France is one of India’s largest European investors in clean energy and finance.
• India-Middle East-Europe Economic Corridor (IMEC) aims to enhance trade.
• Bilateral trade reached USD 13.38 billion in 2023-24.

Renewable Energy and Green Technologies

• Joint initiatives in solar energy, hydrogen economy, and grid modernization.
• France aids India’s National Green Hydrogen Mission with technical expertise.
• Collaboration under the International Solar Alliance (ISA).

Education and Cultural Exchange

• France is a leading European destination for Indian students (7,344 enrollments in 2023-24).
• Young Professionals Scheme (YPS) promotes skilled migration.
• Joint cultural programs strengthen people-to-people ties.

Delays in Defence Procurement and Technology Transfer

• Bureaucratic delays, cost escalations, and localisation demands slow defence deals.
• Projects like Rafale jets, Scorpene submarines, and jet engine collaborations face setbacks.
• Project 75(I) Scorpene submarine deal has been stalled since 2017.

Civil Nuclear Energy Roadblocks

• The Jaitapur nuclear plant (9,900 MW) faces high costs, protests, and legal hurdles.
• India’s Civil Liability for Nuclear Damage Act (2010) discourages French suppliers.
• France stated in 2023 that nuclear liability issues remain unresolved.

Trade Imbalances and Market Access Issues

• High tariffs and regulatory hurdles affect trade growth.
• France seeks better access for pharmaceuticals, luxury goods, and defence, while India pushes for IT and agricultural exports.
• The slow progress on the India-EU Free Trade Agreement (FTA) complicates trade expansion.

Disagreements on Global AI and Data Regulation

• India prefers a flexible digital policy, while France supports strict EU-style GDPR regulations.
• Differences over open-source AI, cybersecurity norms, and data sovereignty impact cooperation.

Divergences in Indo-Pacific and Strategic Autonomy

• India follows a non-aligned strategy, while France aligns with NATO and Western policies.
• India’s ties with Russia for energy and defence create friction, especially post-Ukraine war.
• France has strongly opposed Russia, while India refused to join NATO-led sanctions.

Immigration and Mobility Restrictions

• Visa limits and work permit challenges affect Indian students and professionals in France.
• India seeks easier residency rules, but France prioritises EU-wide immigration policies.
• The Young Professionals Scheme (YPS) aims to improve mobility, but France is tightening Schengen visa rules.

Fast-Track Defence Co-Development and Technology SharingFast-Track Defence Co-Development and Technology Sharing

• Shift from a buyer-seller model to joint R&D and production in advanced defence technologies.
• Establish dedicated R&D centres for jet engines, naval propulsion, and missile systems under India’s Defence Industrial Roadmap.
• Expedite Project 75(I) submarine and Rafale-M negotiations to boost maritime security.

Accelerating Civil Nuclear Cooperation

• Revise the Civil Liability for Nuclear Damage Act (2010) to balance supplier liability and attract foreign investment.
• Speed up Jaitapur Nuclear Power Plant approvals and ensure clarity on power purchase agreements (PPAs).

Strengthening AI and Digital Sovereignty Cooperation

• Align India’s AI policies with France’s AI ethics framework for data sovereignty and cyber resilience.
• Create a Bilateral AI Innovation Fund for AI, cybersecurity, and semiconductor startups.
• Expand the India-France AI Roadmap with joint research labs and talent exchanges.

Expanding Indo-Pacific Maritime Security Collaboration

• Upgrade joint naval exercises (Varuna) into permanent maritime task forces for patrolling the Indian Ocean and South Pacific.
• Improve intelligence sharing, naval logistics, and interoperability for regional security.
• Establish a Maritime Innovation and Security Hub in the Reunion Islands with Indian participation.

Accelerating Green Hydrogen and Renewable Energy Investments

• Facilitate technology transfer agreements for electrolysers, hydrogen fuel cells, and energy storage.
• Expand France’s role in India’s ₹19,700 crore National Green Hydrogen Mission.
• Set up a Bilateral Green Energy Fund for investments in offshore wind, solar PV, and carbon capture.

Deepening Infrastructure and Connectivity Collaboration

• Ensure faster implementation of the India-Middle East-Europe Economic Corridor (IMEC) with French involvement in smart ports and digital trade.
• Engage French firms in high-speed rail, metro, and urban infrastructure projects.
• Strengthen financial incentives under India’s Production Linked Incentive (PLI) scheme for French investment.

Enhancing Space Cooperation for Strategic Autonomy

• Co-develop dual-use space technologies, satellite-based early warning systems, and secure communication networks.
• Expand 2047 Space Cooperation Roadmap for long-term engagement.
• Establish a Bilateral Space Security Forum to counter space weaponization and cyber threats.
• Strengthen joint R&D in earth observation, space situational awareness (SSA), and lunar exploration.

Strengthening Trade and Investment Facilitation

• Push for sector-specific trade agreements in pharmaceuticals, agribusiness, and high-tech manufacturing.
• Encourage French venture capital firms to invest in India’s deep-tech, semiconductors, and AI startups.
• Create joint innovation clusters in Bengaluru, Pune, and Paris focusing on AI, quantum computing, cybersecurity, and semiconductors.

Expanding Educational and Mobility Agreements

• Expand dual-degree programs with France’s top universities, ensuring credit transfer and simplified visas, for example having France embassy Chennai for better access and service to visa opportunities.
• Increase joint research grants in AI, renewable energy, and biotechnology.
• Extend the Young Professionals Scheme (YPS) to mid-career professionals in STEM, defence, and policy sectors.

Read This Article Here: IMEC

Bridging India-EU Free Trade Agreement (FTA) Negotiations

• France, as a key EU member, can mediate regulatory and trade standard alignments between India and the European Union.
• By advocating for reduced tariffs, easing market access, and harmonizing digital and environmental policies, France can accelerate FTA finalization, unlocking billions in trade potential.

Strengthening India-Europe Connectivity via IMEC

• France’s strategic port of Marseille can serve as a key hub in the India-Middle East-Europe Economic Corridor (IMEC).
• By investing in multi-modal logistics, digital trade facilitation, and supply chain diversification, France can position itself as a critical transit point between India and the EU.

Facilitating India’s Deeper Engagement with European Defence Networks

• France can act as India's entry point into European defence cooperation, particularly with OCCAR (Organisation for Joint Armament Cooperation).
• Recently, the Government of India officially became the newest Observer State in the OCCAR-managed MALE RPAS (Eurodrone) programme.

Strengthening Climate and Energy Partnerships in Europe

• France can champion India’s renewable energy initiatives within Europe, encouraging more EU-based funding for India’s solar, wind, and hydrogen projects.
• By supporting technology transfer and green finance, France can position India as a preferred partner in EU’s Green Deal frameworks.

Expanding India-Europe Digital and AI Cooperation

• France can help align India’s data governance and AI policies with EU standards, ensuring smoother tech collaboration.
• By integrating India’s AI innovation ecosystem with European AI hubs, coordinating cybersecurity efforts, and promoting India-EU quantum computing research, France can drive a structured digital.

India and France are forging a dynamic strategic alliance, anchored in defence, energy, and technology cooperation. By strengthening maritime security, expanding green energy investments, and aligning digital frameworks, both nations can enhance their global influence and drive sustainable growth.