News Summary: Spanish PM’s Visit to India
First Visit in 18 Years: Spain’s PM Pedro Sanchez is visiting India from October 28 to 30, 2023.
Key Event: Sanchez and PM Modi will inaugurate the Final Assembly Line (FAL) plant for the C295 tactical transport aircraft in Vadodara, Gujarat.
C295 Contract: Under a US$ 2.5 billion agreement, 56 C295 aircraft will be supplied to the Indian Air Force.
- First 16 aircraft delivered from Spain.
- Remaining 40 will be assembled in Vadodara, marking India’s first private military transport aircraft production.
- Expected production of the first “Made-in-India” C295 by 2026; all deliveries are anticipated by 2031.
- The project aims to build a complete aerospace manufacturing ecosystem in India, involving contributions from Bharat Electronics Ltd, Bharat Dynamics Ltd, and private MSMEs.
MoUs Expected: Agreements will further cooperation in trade, IT, infrastructure, renewable energy, defense, pharmaceutic
als, and tourism.
Historical Ties
- Diplomatic relations were formally established in 1956.
- Shared democratic values and mutual commitment to global peace and multiculturalism have strengthened the relationship.
- High-level visits by heads of state have enhanced ties over the years.
Bilateral Trade
Spain is India’s 6th largest trade partner within the EU.
- Total Trade (2023): US$ 8.25 billion (4.2% increase).
- India’s Exports to Spain: US$ 6.33 billion (5.2% growth).
- India’s Imports from Spain: US$ 1.92 billion (1.05% growth).
- Top Exports: Mineral fuels, chemicals, iron and steel, electrical machinery, apparel, and marine products.