INDIA - ITALY
1. Context
Hashtag #Melodi trended widely on social media, after Prime Minister Narendra Modi responded to a post on X by his Italian counterpart Giorgia Meloni. Meloni had posted a selfie with Modi, taken on the sidelines of the COP28 meet in Dubai, saying “Good friends at COP28”. Meloni also added #Melodi, a combination of the two leaders’ names
2.History of India -Italy relation
- The relationship between India and Italy spans centuries, characterized by historical, cultural, and economic ties.
- Ancient Ties: Dating back thousands of years, India and Italy have historical connections through trade routes. Italian port cities served as crucial stops along the ancient spice route, fostering trade and cultural exchanges. Marco Polo, the Venetian traveler, famously journeyed to India in the 13th century and chronicled his experiences, contributing to the mutual understanding between the two cultures.
- Cultural Exchanges: In the 20th century, cultural exchanges between the two countries intensified. Rabindranath Tagore, the eminent Indian poet and Nobel Laureate, visited Italy in 1926, strengthening cultural bonds. Additionally, Mahatma Gandhi's visit to Rome in 1931 during his return from the Round Table Conference in London furthered the interaction between Indian and Italian leaders.
- Independence Era: During World War II, Indian troops, as part of the British Indian Army, were deployed in Italy, fighting against Axis powers. Post-Independence in 1947, India and Italy established formal diplomatic relations. The subsequent years witnessed a growing interaction between the two nations, including visits by Heads of States, fostering diplomatic ties.
- Economic Relations: Economic relations between India and Italy have expanded significantly, encompassing trade and investment collaborations across various sectors. Both countries have engaged in partnerships in industries such as machinery, automotive, textiles, and pharmaceuticals, among others.
- Political Engagements: Over time, political engagements between India and Italy have seen consistent growth, marked by regular bilateral visits, high-level delegations, and collaborative efforts in international forums
- India and Italy share ancient roots dating back 2,000 years, with Italian port cities holding significant importance as trade hubs along the spice route. Marco Polo, the Venetian merchant, voyaged to India in the 13th century and documented his encounters.
- In the 20th century, Rabindranath Tagore, a Nobel Laureate, embarked on a visit to Italy during May-June 1926, facilitated by Carlo Formichi, a Sanskrit Professor at the University of Rome. Mahatma Gandhi also journeyed to Rome in December 1931 while returning from the Round Table Conference in London. Influential figures in India's struggle for independence drew inspiration from the writings of the Italian revolutionary, Mazzini.
- During World War II, Indian troops aligned with the British Indian Army were stationed in Italy, engaging in combat against both German and Mussolini-led forces.
- Post-Independence in 1947, India and Italy established political ties. Since then, there has been a consistent exchange of official visits at various political levels between the two nations, encompassing numerous visits by Heads of States
3. Decade of setbacks
- The relationship between India and Italy faced challenges in 2012 due to the case involving two Italian marines accused of killing two Indian fishermen.
- Salvatore Girone and Massimiliano Latorre, while guarding an Italian oil tanker off Kerala's coast, fired on a boat carrying the fishermen, claiming they mistook them for pirates.
- Italy argued that the fishermen disregarded warnings to steer clear of the MV Enrica Lexie tanker. The marines were arrested and charged with murder, later relocating from Kerala to New Delhi, residing within the Italian embassy complex during the trial, with the then-Italian ambassador acting as their guarantor.
- This case gained significant attention, with Narendra Modi, the Prime Ministerial candidate at the time, highlighting it during the 2014 Lok Sabha elections. While the trial was ongoing, the two marines were permitted to return to Italy.
- Subsequently, in 2015, both nations brought the case to the Permanent Court of Arbitration (PCA) in The Hague. The PCA ruled in favor of India, directing Italy to compensate Rs 100 million for the loss of life, effectively closing the cases after Italy paid the agreed amount. Finally, in 2021, the case concluded.
- Another contentious issue revolved around corruption allegations related to the AgustaWestland deal. An inquiry by the Italian attorney general’s office into suspected irregularities by the state-backed defense major Finmeccanica expanded to include corruption within AgustaWestland’s Rs 3,500-crore deal with India in 2011-12.
- This deal involved supplying 12 AW-101 helicopters to the Indian Air Force (IAF). The corruption allegations, surfacing in India, intensified due to Sonia Gandhi's Italian heritage, providing additional ammunition for the BJP to criticize the Congress, already under scrutiny for corruption scandals.
- Following the contract's termination and a legal victory in Italy in June 2014, the Indian government seized guarantees worth Rs 2,000 crore. However, the Italian courts dismissed all charges in 2018 citing insufficient evidence, a ruling upheld by the Italian Supreme Court in 2019
4. Trade
- With Italy, India had a bilateral trade of USD 13.229 billion in 2021-22, a more than 50% increase over the previous financial year. Italy is India’s 4th largest trading partner in the EU.
- Over 600 large Italian companies are active in India, covering varied sectors. Italian brands such as Fiat and Piaggio to the recent Ferrero Roche, KinderJoy, Tic Tac, etc. are household names in India.
- Strategically, Italy wants to partner with India in the defence sector. In 2016, following a corporate reorganisation, AgustaWestland merged into Leonardo SpA, Finmeccanica’s new name, as its helicopter division
- The Italian Defence Minister conveyed Italy’s desire to “reboot defence relations with India”. Dr. Matteo Perego Di Cremnago, Italian Minister of State for Defence, led the Italian delegation in the Aero India Show in February 2023. With Leonardo again back in play, the Italian defence major is trying to rebuild ties.
- Italy has also deployed an official from its Embassy for the Information Fusion Center–Indian Ocean Region (IFC-IOR) in February 2023 to enhance maritime security and to counter anti-piracy operations across the Indian Ocean Region
5.China Factor
- India has consistently opposed the Belt and Road Initiative (BRI) from its inception due to concerns about violating its territorial integrity, specifically by traversing through Pakistan-occupied Kashmir.
- In 2019, Italy made history as the first G7 nation to join the BRI during Chinese President Xi Jinping's visit to Rome. Italy's decision stemmed from expectations of China becoming a lucrative market for Italian goods and anticipated Chinese investments enhancing Italian infrastructure.
- However, Italy's aspirations did not align with the outcomes. An evaluation by David Sacks, a fellow for Asia studies at the Council on Foreign Relations (CFR), noted that since Italy's BRI participation, its exports to China marginally rose from 14.5 billion euros to 18.5 billion euros. In contrast, Chinese exports to Italy significantly surged from 33.5 billion euros to 50.9 billion euros. Additionally, Chinese Foreign Direct Investment (FDI) in Italy dwindled drastically from $650 million in 2019 to a mere $33 million in 2021.
- Over the past year, there have been indications from political figures like Meloni that joining the BRI was a substantial misstep requiring rectification. As Italy's five-year memorandum of understanding approaches renewal in March 2024, the country has communicated its stance to Beijing.
- Consequently, while India and Italy perceive Beijing through different lenses, their shared view is that China is not a benign power, solidifying another strategic link in India-Italy relations.
- The strengthening of ties is a welcomed development for both New Delhi and Rome. While the current positive momentum is notably apparent during Meloni's tenure, the groundwork for this progress was laid during the leadership of Conte and Draghi
6. Way forward
In essence, India and Italy's relations have evolved from historical connections and cultural exchanges to encompass multifaceted ties, including diplomatic, economic, and political collaborations, contributing to the mutual benefit and strengthening the bond between the two nations
Source: Indianexpress
