In a significant development aimed at enhancing bilateral commercial engagement, Mr. Sunil Barthwal, Commerce Secretary, Government of India, conducted an official visit to the Republic of Croatia from April 22 to April 23, 2025. This high-level interaction comes as part of India’s broader strategy to strengthen economic ties with Central European nations and reinforce its role as a strategic trade partner across the European Union (EU).

During the visit, Mr. Barthwal met with two of Croatia’s senior government representatives—Mr. Zdenko Lucić, State Secretary for Foreign Trade and Development, and Mr. Ivo Milatić, State Secretary of the Ministry of Economy. Their discussions covered a wide range of topics, from sector-specific collaborations to broader economic connectivity and investment facilitation.

A key agenda item was the India-European Union Free Trade Agreement (India-EU FTA), which has been under negotiation with the aim of liberalising trade between India and the EU bloc. Mr. Lucić and Mr. Barthwal reviewed the progress on this proposed agreement and discussed priority sectors such as railways, global capability centres (GCCs), electric vehicles (EVs), and information technology (IT)—areas where both India and Croatia see considerable scope for growth and mutual benefit.

In a notable shift toward strategic economic alignment, the Croatian side expressed keen interest in investing in India’s high-growth sectors, particularly defence manufacturing, solar cell production, food processing technologies, and automobile production. Croatia also highlighted its intent to engage in knowledge-sharing platforms, which could serve as vital tools in building cross-border collaborations, especially in high-tech and emerging industries.

The discussions with Mr. Ivo Milatić broadened the scope of collaboration to include investment facilitation across a wide array of sectors. These include healthcare, education, tourism, entertainment (with a special focus on the WAVES summit), logistics, pharmaceuticals, renewable energy, and digital technology. The parties emphasised the importance of diversified economic cooperation, especially given the evolving global dynamics and the need for resilient, diversified trade networks.

As part of efforts to improve institutional coordination, both sides reviewed preparations for the upcoming third session of the Joint Commission on Economic Cooperation. They agreed that more frequent intergovernmental meetings and improved business-to-business (B2B) engagement are essential to unlocking the full potential of bilateral economic relations.

A key highlight of the visit was Mr. Sunil Barthwal’s participation in a business forum hosted by the Croatian Chamber of Economy. This high-profile event included discussions with leading Croatian industry stakeholders, a presentation on existing trade and investment frameworks, and case studies of Croatian companies operating successfully in India. These case studies served as an excellent platform to showcase the ease of doing business in India and the incentives available to foreign investors across sectors like manufacturing, clean energy, and technology.

The event also facilitated matchmaking opportunities for Indian and Croatian enterprises, aiming to build long-term commercial partnerships. Several business delegates expressed confidence in India’s economic trajectory, particularly in its growing digital ecosystem, infrastructure expansion, and strong domestic consumption base.

India’s visit to Croatia is strategically timed, given the EU’s increasing interest in diversifying supply chains and strengthening ties with emerging economies. For India, Central Europe represents not just a geographic gateway to the rest of Europe, but also a region with high innovation potential, competitive manufacturing capabilities, and a skilled workforce. Croatia’s location at the intersection of Eastern and Western Europe makes it a valuable partner for India’s export-driven growth model.

The meeting also furthered India’s Act East through Europe policy, where bilateral and multilateral engagements with European nations are aimed at creating resilient economic corridors. The emphasis on renewable energy and electric vehicles also resonates with India’s push for sustainable industrial growth and climate-conscious foreign investment strategies.

Croatia’s focus on areas like solar technology, food innovation, and green energy dovetails well with India’s production-linked incentive (PLI) schemes, which offer substantial incentives to global players setting up manufacturing bases in India. These synergies could serve as the foundation for joint ventures, technology transfers, and research partnerships, especially in climate-focused industries.

Additionally, both countries acknowledged the rising importance of digital infrastructure and AI-driven governance systems in streamlining trade logistics, supply chain management, and e-commerce platforms. India offered its expertise in digital public infrastructure, while Croatia shared insights on EU regulations, helping Indian companies align with European compliance standards.

The two-day official visit not only reaffirmed India’s commitment to expanding bilateral economic engagement with Croatia but also illustrated the broader vision of regional cooperation, mutual investment, and knowledge exchange. With initiatives in place to enhance trade facilitation, encourage joint innovation, and integrate supply chains, the India-Croatia economic relationship is set to gain momentum.

In conclusion, India’s outreach to Croatia marks another important milestone in its strategy to integrate with Central European economies, build green and digital partnerships, and reinforce its presence in the EU trade ecosystem. With discussions touching upon critical sectors and future policy frameworks, the visit lays a robust foundation for deeper economic cooperation, especially as both nations seek to diversify markets, advance sustainability goals, and foster innovation-driven growth.

Would you like the same structured article format applied to future diplomatic and trade visits involving other Central or Eastern European nations?

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