Nearly 6,000 EU firms driving India’s growth, says report
The report comes as India and the European Union deepen economic ties under the Joint EU-India Comprehensive Strategic Agenda adopted earlier this year
European Union companies are playing an increasingly significant role in India’s economy, with nearly 6,000 firms contributing around five per cent of the country’s GDP and supporting close to six million jobs, according to a new report released on Wednesday.
Titled ‘The Economic Footprint of EU Businesses in India’, the report was unveiled by the European Union in India and highlights the growing integration of European firms into India’s economic landscape over the past decade.
According to the study, EU companies generated €186 billion in turnover in 2024, accounting for nearly a quarter of India’s manufacturing sector turnover. The report said European firms supported around 3.7 million direct jobs and another two million jobs through supply chains and related services.
The companies also contributed €23.5 billion in exports, nearly six per cent of India’s total exports, besides paying about €7 billion in taxes and spending €271 million on corporate social responsibility initiatives in 2024.
The report noted that EU firms invested €218 billion cumulatively in India between 2014 and 2024.
Maharashtra, Karnataka, Delhi, Tamil Nadu and Haryana account for nearly 85 per cent of all EU companies operating in India. Karnataka has emerged as a major ICT and services hub, while Tamil Nadu and Gujarat are growing manufacturing centres.
EU Ambassador to India Hervé Delphin said EU businesses were contributing not just through investments but also through innovation, jobs and long-term economic integration.
The report comes as India and the European Union deepen economic ties under the Joint EU-India Comprehensive Strategic Agenda adopted earlier this year.
