Germany elects a new parliament on September 26. While there is lots of uncertainty about the new government to be formed, one thing is cer...
Germany elects a new parliament on September 26. While there is lots of uncertainty about the new government to be formed, one thing is certain – it will be the end of Chancellor Angela Merkel’s 16-year reign. Her conservative Christian Democratic Union is likely to lose out to parties on the left such as the Social Democratic Party and the Green Party.
What is the significance of these elections for India? At a time of shifting power relations, a change of guard in Europe’s largest country has significant implications for the world, including India. This is particularly the case for the areas of trade, environmental policies and security cooperation.
Trade ties
During her term as chancellor, Angela Merkel has visited India four times. During her first trip, in 2007, discussions were initiated about a Free Trade Agreement between the European Union and India. The European Union is India’s third-largest trading partner, with Germany featuring in the first position of all EU member countries. However, negotiations were soon put on hold, due to Indian resistance to open up agricultural markets by cutting down tariffs to zero for 90% of all goods.
Given the high rates of EU subsidies provided to farmers in Europe, there were realistic fears that such an agreement could...
