Geopolitics

Modi’s visit to France and ‘The Make in India’ project
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Issue Courtesy: http://claudearpi.blogspot.in/ | Date : 09 Apr , 2015

Cooperation in the field of Education

During the visit of President Hollande in India in February 2014, some 15 Memoranda and Letters of Intent were signed in the field of education. An example: the MOU between the Indian Institute of Science, Bangalore and the Centre National de la Recherche Scientifique, Paris was inked aiming at cooperating ‘within any field of mutual interest related to science and technology’. This series of MoUs not only deepens the Indo-French academic relations, but will have long-term consequences for the over-all relations between the 2 countries.

One usually forgets that some 100 Indian companies are today operating in France. In December 2012, according to the Banque de France, their investment-stock was $ 565 million.

More recently, an ‘Advanced Masters Course in Air Navigation Service Provider Management’ was launched at the CATC (Civil Aviation Training College) facilities in Hyderabad. It is a joint project of ENAC (Ecole Nationale de l’Aviation Civile), CATC and AAI (Airports Authority of India). The objective is to train a new generation of AAI Managers to ensure airport security and safe operations.

Hopefully, other such projects will see the light during Mr. Modi’s visit to France.

Indian companies in France

One usually forgets that some 100 Indian companies are today operating in France. In December 2012, according to the Banque de France, their investment-stock was $ 565 million.

The main investments in France are in textile, clothing and accessories (25%), software and IT services (13%), aerospace, naval and railway (13%), consulting, engineering and business services (13%), pharmaceuticals and biotechnologies (13%), metalworking (13%).

More than 50 % of these investments are located in 2 regions (Paris- Ile-de-France and Nord-Pas de Calais).

It is usually not known that 4% of all foreign R&D investment projects in France come from Indian companies.

Sintex Industries (chemicals, plastics), Tata Steel, Tata Sons (IT Services) and Deltronix and Motherson Sumi Systems (both automotive industry) are the largest Indian employers in France.

Brussels: the visit that never was

It is unfortunate that the visit of Prime Minister Modi was cancelled due to the callousness of the Brussels bureaucracy; they just forgot to answer the PMO about a date for the visit.

The EU has been India’s largest trading partner and the two-way commerce reached $ 101.5 billion in 2013-14.

The EU had earlier hoped for a ‘political push’ to restart the stalled talks for the Free Trade Agreement (FTA) as well as “sticky issues relating to intellectual property rights (IPR), data security for IT services and tariff in the automobile sector,” said PTI.

The EU has been India’s largest trading partner and the two-way commerce reached $ 101.5 billion in 2013-14.

A small positive step: the EU has recently lifted the ban imposed on the import of Indian mangoes. In April last year, the EU had temporarily banned import from India of Alphonso mangoes and four vegetables, taro, bitter gourd, snake gourd and eggplant, for which the ban has still not been lifted. More positive signs will have to come from Brussels to start meaningful talks.

India is active and keen to open new avenues. For example, in October 2014, Harsimrat Kaur Badal, the Indian Minister for Food Processing Industries, visited France and reiterated the need to strengthen Indo-French cooperation in the agro-processing sector. She inaugurated the Indian Pavilion at the SIAL 2014 (Salon International de l’Alimentation) Food Fair. It was for her an occasion to discuss further collaboration with Stephane Le Foll, her French counterpart.

Nuclear Fusion Collaboration

International Thermonuclear Experimental Reactor (ITER), the six-country scientific collaboration to generate nuclear fusion energy in France, will get its heart from Gujarat.

The Institute of Plasma Research (IPR) in Gandhinagar is responsible for the fabrication of the reactor’s crucial parts — the cryostat and the vacuum vessel, at a L&T plant in Hazira near Surat.

The Indo-French cooperation in the domain of space is one of the oldest and most stable facets of the ‘strategic’ relationship…

IPR director Dhiraj Bora, speaking at the recently-held Gujarat Science Congress in Ahmedabad explained: “The cryostat and the vacuum vessel of the ITER Tokamak fusion reactor is the heaviest, the largest and the most central component. The reactor intends to produce 500 megawatts of power from 50 megawatts input. The plant would start first experiments by 2020.”

Bora added: “We have started fabricating it at L&T Hazira and it will be taken to ITER site in Cadarache (near Saint-Paul-lès-Durance in South France) where we have a workshop to integrate the components.”

The first consignment is scheduled to be shipped out in December.

India has started participating in the project in 2005, joining the EU, China, Japan, S Korea, Russia and the United States in the mega-project.

Space Collaboration

The Indo-French cooperation in the domain of space is one of the oldest and most stable facets of the ‘strategic’ relationship, even if not the best-known. In May 1964, France’s Centre National d’Etudes Spatiales (CNES) and India’s Department of Atomic Energy (DAE) embarked upon a programme of continuing cooperation in space research of mutual interest for peaceful scientific purposes.

The DAE agreed to manufacture, under license in India, the Belier and Centaure types of sounding rockets developed by the French firm Sub-Aviation. CNES eventually supplied to DAE four Centaure rockets with payloads used for vapour cloud experiments. The programme started at the end of 1964. The main protagonists were the legendary Professor Jacques Blamont of the Aeronautic Laboratory of the Centre National de la Research Scientifique and Dr P.D. Bhavsar of the Physical Research Laboratory in Ahmedabad.

In the years to come, space will continue to play a prominent role in the strategic partnership between France and India.

Since then, the collaboration has continued flawlessly.

On February 25, 2013, ISRO launched, from the Satish Dhawan Space Center at Sriharikota in Andhra Pradesh, an Indo-French satellite called SARAL. The satellite was placed on a perfect orbit in the presence of President Pranab Mukherjee and the Chairman of CNES.

The Polar Satellite Launch Vehicle PSLV-C20 first dropped the Indo-French satellite before placing into orbit 6 other mini and micro satellites from different countries.

For the Indian launcher, PLSV with its 230 tons and 44.4 meters, it was its 23rd mission (and the 21st successful one)

Encouraged by the financial and technical performances of the Indian launcher, France asked ISRO to send a 717 kg-observation satellite, SPOT-7 into orbit. This was done by the PSLV-C23 on June 30, 2014 in presence of the recently-elected Prime Minister Narendra Modi.

In the years to come, space will continue to play a prominent role in the strategic partnership between France and India.

Incidently, Narendra Modi will visit the headquarter of the CNES while in Toulouse and a MoU on Space between France and India will be signed.

Smart Cities

According to The Hindu, Mr. Modi will get “a first look at the future of his plan for ‘100 smart cities’ during his visit to France, when he travels to the city of Toulouse.”

France has five overseas territories and spread across two continents. Together they are home for over four lakh people of Indian origin, while about one lakh French PIOs live on the French mainland.

Will the French President Francois Hollande and Mr Modi discuss some French investment for the Indian government’s pet project? We will know very soon.

Apparently, Puducherry and Chandigarh are top contenders for development as a smart city. French Ambassador Francois Richier told The Hindu, “I am happy that we would be able to put our energies together for a smart city project, which would allow us to bring together our understanding of urban development, preserving heritage and attracting tourism for such places.”

It is easier said than done. It is indeed difficult to see Pondicherry (where I have lived for 40 years) becoming smart.

And let us hope that the airport will not be sold to China like in Toulouse.

Addressing the French PIOs

On April 10, Prime Minister Modi will address the Indian Diaspora from Paris. Interestingly, many will listen to him via videoconference from overseas French territories (‘departements’) where the majority of the French PIOs live.

A senior government official told The Telegraph: “India’s consulates and Diaspora organisations will broadcast Modi’s Paris speech live in the Reunion and Mayotte islands in the southwest Indian Ocean and in Guadeloupe, Martinique and French Guiana in Latin America.”

Via the video link, Modi will have an opportunity to see them; he could eventually answer questions of the PIOs watching the mini ‘Madison Square Show’ from their far-away ‘departements’.

Eric Trappier, the Chairman of Dassault stated in France: “…Dassault and HAL will both take responsibility for the part they will each build on the Rafale aircraft made in India.”

France has five overseas territories and spread across two continents. Together they are home for over four lakh people of Indian origin, while about one lakh French PIOs live on the French mainland.

Modi had never the opportunity to visit a country where most of the Indian Diaspora community is based overseas.

The Rafale Deal

The Rafale deal could of course become the ‘mother’ of all ‘Make in India’ projects and herald many new win-win situations for India and her partners.

In the long-delayed $20-billion deal to supply to India 126 Medium Multi-Role Combat Aircrafts (MMRCA), 108 planes will be manufactured in India; it is probably the largest transfer of technology of the decade.

In January 2012, Dassault Aviation of France had won the right ‘for exclusive negotiations’ with the Ministry of Defence for the supply of these combat aircrafts.

The complexity of the ‘Deal’ explains the 3 long years of negotiations. Can a ‘political’ decision be reached before the arrival of Mr. Modi in Paris? It is not certain.

…Hollande said there will be no news on the sale of Rafale to India before the arrival of Narendra Modi…

Recently a major obstacle was crossed when Dassault Aviation and Hindustan Aeronautics Ltd. (HAL) reached an agreement to share the responsibility of the 108 Indian-built aircrafts. Eric Trappier, the Chairman of Dassault stated in France: “This is the first time Dassault agrees to be a co-contractor. Dassault and HAL will both take responsibility for the part they will each build on the Rafale aircraft made in India.” He asserted that this arrangement was in line with the Indian government’s initial tender (request for proposals or RFP).

The final cost of the ‘Deal’ still needs to be finalized.

In the meantime, President Francois Hollande said there will be no news on the sale of Rafale to India before the arrival of Narendra Modi in Paris: “There will be no announcement on the Rafale sales before the visit of Prime Minister Modi in France and I do not want the Indian premier’s visit to be put in the context of a contract. We are working on it,” said the French President.

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The views expressed are of the author and do not necessarily represent the opinions or policies of the Indian Defence Review.

About the Author

Claude Arpi

Writes regularly on Tibet, China, India and Indo-French relations. He is the author of 1962 and the McMahon Line Saga, Tibet: The Lost Frontier and Dharamshala and Beijing: the negotiations that never were.

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7 thoughts on “Modi’s visit to France and ‘The Make in India’ project

  1. Claude,

    With the G-2-G deal for Rafale fighters, you win of course. I don’t know why Modi is buying them directly without any TOT now, but I guess, no one can hold on against Indian Air Force for long. They are smitten by France and French stuff, God knows why !!!

    To my Italian friends,
    My reading is that this marine issue is going to get resolved pretty soon. There is an increasing feeling in Indian government that this issue is being unnecessary lingered. Some serious negotiations are going on in the background. So patience would be required.

  2. This is for my Italian friends who have posted some comments here – the world economy doesn’t move on the issue of two Italian Marines. India will move on to become a world economic and military power while the EU can hang on to their marines. There is little sense in the marines case which has been blown up by both the countries and now both don’t have a face saving backing out plan. But then you cant be playing cowboys and injuns on the high seas. The Italians sc…ed it up by offering money as compensation – life’s not all about money always – we may be poor and brown but we have our dignity too and we can be used for target practice on the high seas just because we are brown and poor and perceived to be available for sale.

    • Col. JP Singh, I assume from your name that you are a Sikh.
      That prompts me to answer you since my past travel assignments have taught me a lot about the integrity of Sikhs.
      Back in Feb 2015 after that unfortunate incident I was angry that Italian servicemen could make such a terrible mistake and dishonour their Regiment, our Navy, our Country, our fellow citizens.
      After the initial frenzy of copy-paste press reports I started studying the available information and the umpteen discrepancies and came to the opposite conviction that the hapless marines had been framed.
      Now for a moment think that Indian servicemen on duty were forcibly arrested through deception (say the Indonesian CG cheated their ship into Jakarta), your military correctly report they were innocent and shot no-one, you have eye- witnesses that confirm their story but they are languishing in jail. Wouldn’t you as commander pay to get them bailed out pending trial? Moreover you later have further evidence but the Indonisians won’t relent, what would you do? Declare war on Indonesia?
      Please take you time on Stefano’s video and, after that, please print yourself my single-page chronology complete with facts, dates, times, documents and sources from page http://enricalexie.altervista.org/chronology.pdf – You won’t regret it!
      .

  3. European leaders, before regard Modi as a business partner, must require he respcts human rights. Italian Marines are innocent and held as hostage without chargesheet for three years.

  4. The illegal detention of the two Italian Marines haunts Narendra Modi who knows full well they are innocent but dares not act out of fear he may jeopardise his nationalist political agenda.
    This unsolved issue of the Italian military, held in Delhi now for over three years, is behind the rebukes India suffered from the European Parliament and Commission.
    India is also the only big absentee from the forthcoming world event Expo 2015.
    Learn all about this case by watching this 6-minute video available by googling “Italian marines innocent YouTube”.
    Hollande, Merkel and Harper (i.e. France, Germany and Canada) will beware as by now they know how India often disregards international rules and conventions whenever internal strategies are at play.
    All details are available to open minded readers at this internet page: enricalexie dot altervista dot org oblique chronology dot pdf

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