With the UK set to exit the European Union, the Netherlands is keen to intensify its business ties with India to emerge as the country’s hub for doing business with the rest of Europe. In May, more than 140 companies and knowledge institutions accompanied Dutch Prime Minister Mark Rutte to India to scout for business opportunities in sectors ranging from wastewater management to life-sciences. Hans de Boer, President of the Confederation of Netherlands Industry and Employers, who headed the business delegation to India, elaborated on the opportunities for Indo-Dutch cooperation in an e-mail interview with the BusinessLine . Excerpts:

You recently led the biggest ever Dutch trade delegation to India. Dutch PM Mark Rutte and four Cabinet Ministers met their counterparts as well as the Indian industry during the visit. What explains this growing interest in India?

With the imminent trade war on steel, Brexit (Britain’s exit from the EU) and the negotiation of a new trade agreement between the EU and India, there are many reasons for intensifying economic ties with India. As much as 20 per cent of all Indian exports to Europe go through the Netherlands and we are very keen on making the Netherlands the ‘gateway to Europe’ for India.

The Netherlands is strategically located in the centre of Europe (gateway to Europe with Airport Schiphol and Port of Rotterdam) and can easily play that role. For example, the UK now attracts more than a hundred Indian investment projects each year.

After Brexit, we can fulfil that role like no other if market access from the UK is going to be more difficult.

What are the specific sectors that the Dutch companies are looking at for cooperation?

Sectors such as agri-business and horticulture, water management, logistics and maritime, life-sciences and healthcare, high-technology and IT and Smart Cities are definitely the focus areas. Themes like sustainable business, start-ups, cyber security and space technology are also emerging as major collaboration areas.

In the absence of a Bilateral Investment Treaty (BIT) between India and the Netherlands, do you think the industry is uncomfortable about investing in the country?

No, I don’t think so. The number of Dutch companies that signed up for this mission was that came with the last trade mission.

We also see that, apart from new companies interested in tapping the tremendous growth opportunities in India, the existing ones are keen on expanding their market. Dutch companies like Philips, Shell and DSM have been here for a long, long time and are only increasing their presence in India.

Do you a see a greater number of tie-ups happening between Indian and Dutch companies in the areas you mentioned?

Many Dutch agro companies have been active in India for several years.

While till now, the Dutch contribution to India’s agricultural ecosystem has mainly been through seeds, knowledge and technology, companies and knowledge institutes now are gaining interest in partnering with India to reduce the large percentage of post-harvest waste generation.

The agricultural ecosystem in the Netherlands focusses on every step in the crop supply chain, and has developed an advanced agri logitics sub-sector. Seventy per cent of agro produce in India is lost in the steps between crop harvest and market consumption. Indian and Dutch companies are thus very interested to join hands and ensure this supply chain improves at every step, yielding benefits for farmers and the market.

Apart from agriculture, Dutch water management companies like Arcadis, Stahl, Pum and Solidaridad are active in India’s very relevant and ambitious, ‘Clean Ganga Project. Also, our system of organising Water Treatment by water boards can be used as a “best practice.” Affordable healthcare is another field that companies from the Netherlands are very keen on exploring. India is great at making things cost-effective, and that expertise is vital for the increase in global healthcare costs.

On the policy front, what are the issues that the Dutch industry would want India to address?

On the policy front, I feel it is important that besides strengthening and deepening the relations between India and the Netherlands, we should give a push to the growth of SMEs. We should try to give them a soft landing in India, so that all Indo-Dutch collaboration generate win-win situations.

Better tendering procedures and timely payment issues are also important. And last but not least, there has to be less bureaucracy.

The demand for “proven technology in India”prevents interesting technologies and innovations, already proven elsewhere in the world, from being introduced in India. This should be addressed.

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