INDIA – BAVARIA Two Decades of Thriving Ties

Bavaria is Germany’s largest and southernmost state that is not only an economic powerhouse but also a land rich in natural beauty, cultural heritage, lively traditions and warm hospitality. The state is a major driving force in the fast-growing trade, economy and cultural ties between India and Germany. Since the inception of the Bavarian State Office in India in 2001, it has played a pivotal role in intensifying the bilateral relationship between India and the State of Bavaria. The office has acted as a bridge between the Indian and Bavarian business communities. Over the last two decades, the office has been instrumental in helping nearly 120 Indian companies to set up their offices in Bavaria.

Mr.HubertAiwanger, Bavarian State Minister of Economic Affairs, Regional Development and Energy and Deputy Prime Minister said that,

“Over the last 20 years, the State of Bavaria India office Invest in Bavaria has acted as a Bridge between the Indian and Bavarian business communities and politics. As a result, we have been able to support numerous companies from a wide range of sectors such as ICT, aerospace, engineering, media, biotechnology and automotive who have made Bavaria their home and vice versa. In addition, multiple bilateral political and economic trade missions, participation in trade fairs and individual B2B meetings illustrate the value of

Mr. Hubert Aiwanger

Bavarian State Minister of Economic Affairs, Regional Development and Energy and Deputy Prime Minister

Mr. Roland Weigert

State Secretary Bavarian Ministry of Economic Affairs, Regional Development & Energy

the close working relationship.

The State of Bavaria is aware of the great potential India and the Indian economy have to offer as a partner. The State Ministry remains committed to strengthen the relationship with India and we endeavour to support and intensify

the exchange and cooperation between the ecosystems”.

Indo-Bavarian Ties

Over the last seven decades, India and Germany have become strong partners with close relations in economics, politics and society at large. With India and Germany having celebrated the 70th anniversary of ßits bilateral ties in 2021 amid the world surviving from the impact caused by the Covid pandemic, both countries look forward to further boosting the economic and trade links and Bavaria undoubtedly has a prime role in achieving it.

The Bavarian State Office in India, which celebrates its 20th anniversary will be spearheading Indo-Bavarian ties through a range of activities & collaborative projects.

John Kottayil, Executive Director, State of Bavaria -India Office, said that what started as an idea in 2001, has sparked a journey of discovery and growth between two regions – Bavaria and India and only great good can come out of a stronger collaboration between the two regions.

The post pandemic and post Brexit world holds Dr. Edmund Stoiber, Minister President of Bavaria meeting Prime Minister Atal Bihari Vajpayee during his India visit in 2007.

State of Bavaria - India office inauguration in 2001 by Mr. Erwin Huber, Bavarian State Minister of Economic Affairs, Infrastructure, Transport and Technology. Prof. B.K. Chandrasekhar, IT Minister, Govt of Karnataka also seen.

Mr. John Kottayil

Executive Director State of Bavaria India Office

many challenges as well as opportunities for collaboration between European and nonEuropean countries. Bavaria, with its strategic location is one of the best places to be for Indian companies to explore the large European Economic region. Bavaria’s strength in R&D, technology and manufacturing are unparalleled and makes it the perfect place to find suitable partnerships.

Karnataka & Bavaria: Strong relationship

Karnataka and Bavaria are tech capitals of India and Germany. Both are considered as great investment destinations for the Technology companies.

Both the States signed a MoU in 2007 for enhanced State-to State cooperation in the fields of commerce, industry, technology, research, infrastructure, tourism and other related areas.

Indo-Bavarian Trade and Economic Ties

The State of Bavaria could well be considered as an engine-within-engine driving the overall Indo-German relationship. The capital city of Munich is in the heart of Europe and has proved itself to be a valuable gateway to Central and Eastern

Dr. Edmund Stoiber, Minister-President of Bavaria with the Chief Minister of Karnataka, H.D. Kumaraswamy after signing the MOU in 2007.

European markets. In 2020, Indo-Bavarian trade volume amounted to €2.49 billion, with exports to India being €1.27 bn and imports from India being €1.21 bn.

India is one of Bavaria’s top 10 trading partners and the Indo-Bavarian trade volume is 15% of the total Indo-German trade. India has also steadily gained its importance as a potential market for Bavarian exports.

Bavaria is now home to a strong Indian community with more than 30,000 Indians. 120 Indian Technology companies have set up their operations in Bavaria. 1500 business relationships between Bavarian and Indian companies and over 350 Indo-Bavarian joint ventures have been established. 15 Direct Flights per week are now available from Munich to India.

Bavaria-based companies have traditionally considered India as a reliable and promising economic partner. Besides encouraging German companies towards India, Bavaria is also very keen to project the state as a preferred destination for potential Indian investments.

At present, more than 120 Indian companies have their presence in Bavaria and some of the renowned names are: Infosys, Wipro, Samvardhana Motherson Group, Hero MotoCorp, Mahindra & Mahindra Ltd., TCS, HCL, L&T InfoTech, Dr. Reddy’s Laboratories, QuEST Global, Aurobindo Pharma Ltd., Graphite India Ltd, Torrent Pharma etc.

Why Bavaria

Germany’s largest and southernmost state of Bavaria is not only an economic powerhouse but also a land rich in natural beauty, cultural heritage, lively traditions

Dr. Murugesh R. Nirani, Minister for Large and Medium Industries, Government of Karnataka visits Bavaria and signs action plan with Bavarian Government, at the Global India Business Meet (GIBM) 2009 in Munich.

Mr. Martin Zeil, Deputy Minister President, and Economic Minister, Bavaria with Karnataka Chief Minister Mr. D. V. Sadananda Gowda in Bangalore in 2012.

Dr. G Parameshwara, Home Minister of Karnataka signing an MOU during his visit to Bavaria with a delegation in 2016.

and warm hospitality. The picturesque villages, medieval towns and the Bavarian capital city of Munich are the epitome of authenticity. Opera festivals and Oktoberfest,pretzels in a beer garden are now world famous.

Economy

One of the strongest economic regions in Europe, Bavaria’s GDP is €610.2 billion (2020) which is the 2nd highest in Germany. The per capita GDP in Bavaria is €46,498 which is well above

German per capita of €40,088 and EU region per capita of €29,800.

As a globally active market, Bavaria is home not only to global players such as Adidas, Allianz, Audi, BMW, MTU Aero Engines, MAN and Siemens, but also to a strong basis of small and medium sized businesses in industry, trades and the service sector.

Investors thus encounter a broad spectrum of competitive suppliers, potential customers and cooperation partners.

In both Europe and Germany, Bavaria takes a top-ranking position in numerous future fields for high technology. An outstandingly constructed transportation, telecommunication and energy infrastructure provides for an optimal supply of necessary goods and services, linkage to the global market and direct access to nearly half a billion consumers.

Cross-Industry Innovation is the Future

In Bavaria, radical out-of the box thinking is shaping new and exciting business ideas by leaving silo-thinking behind.

When it comes to the successful development of cross-industry innovations, collaborations between startups and established companies in Bavaria are to a certain extent the no longer quite secret recipe.

Cross-Industry Innovation, which is about finding perfect new matches, is the most ideal platform for developing future markets and Bavaria has its unique popularity of being the Hub of Cross- Industry Innovation and Gateway to Europe.

Apart from the capital city Munich, Nuremberg, Augsburg, Regensburg and Wuerzburg are the other major cities in Bavaria.

Nuremberg offers some special incentives for investors and that may vary from individuals as per their business plans and also special incentives for start-ups as well. As Germany‘s innovation heartland and Europe‘s top ICT location, Bavaria is a driver of innovation in digitalization. With over 1/4 of Bavaria‘s total GDP being generated by manufacturing; this industrial base offers great opportunities for digital solutions. “Digital entrepreneurs” will find a strong market here. Bavaria offers a pool of highly-qualified specialists, a state-wide network of researching and educating universities as well as the consequent support of research and innovation which result in both a concentration and combination of future technologies to an extent unique throughout Europe.

State of Bavaria India Office Invest - in - Bavaria Who We Are:As the Business Promotion Agency of the State of Bavaria under the Ministry of Economic affairs, Regional Development and Energy, Invest in Bavaria supports companies from Germany and India and from a wide range of sectors in finding the ideal location in Bavaria, so that they can be successful right from the moment they settle here.We are the first point of contact for companies considering an investment in Bavaria and are reliable partners in all stages of an investment decision. As an interface between companies, regions, economy and politics, we provide confidential and free-of-cost service.We have a network of 25 representative offices across the globe. We are here to help you: Customised | Confidential | Free of cost services

Contact us: State of Bavaria India office - Invest-in-Bavaria

Prestige Meridian 2, 12th Floor, Unit 1201, 30, MG Road, Bangalore - 560 001, Telephone: +91-80-4096 5025 Email- director@invest-in-bavaria.in web: www.invest-in-bavaria.com