India Norway Relations

Topic- International Relations [GS Paper-2]

Context- Recently, Norway’s Ambassador to India has stated that the bilateral trade between India and Norway has doubled to $2 billion in the last two years.

Key Highlights 

• Norway has shown its interests in climate investments, clean energy and ocean technology, among others in India.
• Norway has targeted to invest $1 billion from its climate investment fund in five years worldwide; but how much of the funds would be invested in India would depend on the projects.
• India is one of the countries with large potential for solar energy and most of the investment has been in solar energy infrastructure. Therefore Norway is likely to invest a huge part of its fund in India.
• Also considering Norway’s possible interest in offshore wind energy, the country was already working with the National Institute of Wind Energy, and also there were a number of companies active in India. 
• Norway has the fifth largest commercial fleet in the world, and ship recycling was crucial to keep up a modern fleet, both for environmental as also for competitive reasons, hence Norway was cooperating closely with India over this.
• Also during the visit of Norway’s Deputy Minister of Foreign Affairs, Norway had urged India to join the Hong Kong Convention, which India did eventually.
• So both of the countries are working closely together to find a way to get enough countries to ratify the Hong Kong Convention, which will be a binding international legal instrument.
• Considering ties between institutions in Tamil Nadu and Norway, the academic relations between the Indian Institute of Technology-Madras and the Institute of Wind Energy in Chennai with institutions in Norway has been significant.
• Also the Norwegian company, Piql, was involved in creating a digital archive for Indian monuments such as the Taj Mahal and the company was also involved in digitizing other historical monuments such as Dholavira in Gujarat and the Bhimbetka Caves in Madhya Pradesh.

India’s Relations with Norway

• Both India and Norway have been enjoying a cordial and friendly relationship since the establishment of their strong relations in 1947.
• The first Consulates of Norway in India were opened in Kolkata and Mumbai in 1845 and 1857, respectively.
• In 1952, the “India fund” was established with an objective to provide development assistance with a focus on fisheries.
• And in the same year, Norway opened its Embassy in New Delhi.
• In the past Norway has supported India’s membership to export control regimes the Missile Technology Control Regime (MTCR), the Wassenaar Arrangement (WA) and the Australia Group (AG).
• India has also signed a Double Taxation Avoidance Agreement (DTAA) with Norway in 1986 which was revised in February 2011.

Development works

• Consulate General of Norway

• • • The Consulate General in Mumbai re-opened its doors in 2015 which had been closed since the 1970s.
    • The organisation was joined by Innovation Norway, the Norwegian government’s official trade representative, which now has offices both in Mumbai and New Delhi.

• New ‘India Strategy’

• In December 2018, the Norwegian government launched a new ‘India Strategy’ in India.

• The strategy sets clear priorities for the Norwegian government until 2030 and gives renewed impetus to develop bilateral cooperation between both of the countries.

• • The India Strategy outlines five thematic priorities i.e.
    • Democracy and a rules-based world order
    • The oceans
    • Energy
    • Climate and Environment
    • Research, higher education and global health
  • In order to achieve these objectives, Norway focuses on political contact and cooperation between the authorities, business cooperation, and research cooperation.

• Task Force on Blue Economy

• • • In 2020, the India-Norway Task Force on Blue Economy for Sustainable Development was inaugurated and this task force was launched during the Norwegian Prime Minister’s visit to India earlier in 2019.
    • The objective of the task force is to develop and follow up joint initiatives between the two countries.
    • It also aims to mobilise relevant stakeholders from both Norway and India at the highest level, and ensure continued commitment and progress across ministries and agencies.

• Norway’s PM Visit to India

• • In 2019, the Prime Minister of Norway visited India and during this visit a number of MOUs were signed.
  • The Prime Minister of Norway also delivered the inaugural address at the Raisina Dialogue and inaugurated the India-Norway Business Summit.

Economic Relations

• As per the datas till 2019, more than 100 Norwegian companies have established themselves in India.
• And another 50 companies are represented by agents.
• The Norwegian Pension Fund Global is likely one of India’s largest single foreign investors and in 2019, its investments amounted to USD 9.5 billion.
• Imports to India from Norway include Nonferrous metals, gas natural manufactured, plastic in primary form, crude minerals, chemical material and products etc.
• The main goods of export from India to Norway include articles of apparels and accessories, textile yarns, manufactures of metals, rice and miscellaneous manufactured articles etc.

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