Invest time in truly understanding IndiaEnormous opportunities are opening up with the new Free Trade Agreement

We met with India’s Ambassador, Raveesh Kumar, just a few days after the signing of the landmark India-EU Free Trade Agreement. “This agreement is not just about tariffs or market access; it reflects a shared strategic vision for deeper economic integration, stronger supply chains and long-term partnership,” he says at the beginning of our interview.

What were your feelings when you first learned about the signing of the agreement?

The India-EU FTA was immensely gratifying news. After nearly two decades of negotiations, its conclusion represents a remarkable collective achievement for both sides. Beyond a sense of professional satisfaction, it brought a deep feeling of optimism. I am particularly excited about the vast opportunities it will unlock for businesses, investors and innovators in India and across Europe, including in the Czech Republic.

Where do you see the greatest potential for Czech-Indian cooperation?

The Czech economy, with its strong industrial base, advanced engineering and export orientation, complements India’s position as one of the fastest-growing major economies, with a rising middle class, large infrastructure needs and increasing focus on manufacturing, innovation and clean energy. In addition to the expected growth in trade, technological and industrial cooperation in the areas of investment, innovation and high-tech technologies is also important. It is expected that thanks to the agreement, exports from the EU to India will double by 2032. For Czech companies, this means new opportunities not only in goods, but also in services, investment, innovation and high-tech technologies.

Czech companies are well placed to benefit from improved access to the Indian market in sectors such as machinery, automotive components, electrical equipment, chemicals, pharmaceuticals and engineering services. Reduced tariffs and clearer rules will enhance competitiveness, while Indian companies will find it easier to invest in Czechia and integrate into European value chains, particularly in IT services, digital technologies and industrial solutions. For example, for engineering products, tariffs, which currently reach up to 44%, will be completely eliminated, while in the automotive sector, tariffs will be reduced to 10%.

For common people in the Czech Republic, the India-EU Free Trade Agreement is not an abstract trade document but something that will be felt in everyday life. As tariffs come down, Indian products such as tea, spices, basmati rice, textiles and everyday consumer goods will become more affordable and more widely available. At the same time, Czech products – from Moravian wines and beer to glassware, machine tools and automotive components – will find it easier to enter one of the world’s fastest-growing consumer markets. Even a small share of India’s expanding middle class represents a major opportunity for Czech producers, particularly SMEs.

In research and innovation, we can score together

The Czech Republic has a strong technical and scientific base. What opportunities do you see for cooperation here?

The Czech Republic’s strong tradition in engineering, research and applied innovation makes it a natural partner for India in advanced technologies. We see significant opportunities for cooperation in research and development, artificial intelligence, defence technologies and the space sector.

India’s strengths in digital technologies, software and large-scale innovation complement Czech expertise in engineering, robotics and industrial applications. Together, we can develop practical, market-oriented solutions in areas such as smart manufacturing, healthcare, mobility and clean technologies.

In defence, India’s expanding manufacturing ecosystem and focus on self-reliance create scope for co-development, co-production and technology partnerships with Czech companies. Similarly, in the space sector, India’s proven and cost-effective capabilities, combined with Czech strengths in satellite components and optics, offer promising avenues for collaboration. By strengthening institutional linkages and industry partnerships, we can translate our scientific and technical strengths into long-term, mutually beneficial cooperation.

India is investing heavily in digitalisation, smart cities and infrastructure. How can Czech companies better engage in Indian government programmes?

These large-scale investments offer significant opportunities for Czech companies. Government programmes such as Digital India, Smart Cities Mission and the National Infrastructure Pipeline are designed to encourage foreign participation through transparent frameworks and public-private partnerships.

Czech companies can engage more effectively by forming partnerships with Indian firms, participating in tenders and leveraging our growing innovation and start-up ecosystem. Their strengths in engineering, urban solutions, mobility, water management, energy efficiency and smart manufacturing are particularly relevant to India’s development priorities.

It is also important to build a local presence, understand regulatory processes and work closely with state governments, which play a key role in project implementation. Platforms such as trade fairs, business forums and sector-specific delegations can facilitate these connections. Our Embassy remains committed to supporting Czech companies by providing market information, facilitating contacts and promoting institutional cooperation, so that they can become active partners in India’s digital and infrastructure transformation.

Mobility and people-to-people ties matter

In your view, how important is the mobility of talent, students and professionals in strengthening economic relations between India and the Czech Republic?

Mobility plays a vital role in strengthening long-term economic relations between India and the Czech Republic. It helps create skilled workforces, builds mutual understanding and fosters lasting institutional and business partnerships.

Indian students and professionals contribute to Czech universities, research centres and companies, particularly in sectors such as IT, engineering, healthcare and manufacturing. At the same time, academic exchanges and professional mobility enable Czech institutions and businesses to benefit from India’s dynamic innovation ecosystem and large talent pool. By encouraging student exchanges, research partnerships and transparent mobility frameworks, we can further strengthen people-to-people links and translate human capital into sustained economic cooperation.

India rewards patience, local partnerships and long-term engagement.

A new Czech-Indian Chamber of Commerce (CZINCC) has recently been established, already bringing together eighteen founding members from both Czech and Indian companies. What role do you believe this new chamber should play?

Let me take this opportunity to congratulate Chairman Jan Musil and the founding members on the launch of the CZINCC. I was present during the launch too, along with Deputy Prime Minister and Minister of Trade and Industry Karel Havlicek. With the India-EU FTA just concluded, the timing is right. There is a possibility of more trade, more investment and more collaboration, and therefore we need a body for guiding businesses on both sides. The Chamber can play a vital role in translating intent into concrete partnerships, investments and joint ventures.

We hope it will serve as a practical bridge – connecting businesses, sharing information, resolving bottlenecks and, above all, building trust.

India is changing dynamically

You have extensive experience in diplomacy as well as public communication. How do you think the perception of India is changing in Europe? What would you like Czech entrepreneurs to understand better about India?

Perceptions of India in Europe are changing, but not always fast enough. Too often, India is still seen through outdated lenses – bureaucracy, complexity or just as a low-cost destination. The reality today is very different: India is a fast-growing economy, a hub for digital innovation and a serious partner in technology, manufacturing and supply chains.

Czech entrepreneurs need to understand that India is diverse, dynamic and competitive. It rewards patience, local partnerships and long-term engagement. It is not “easy,” but the opportunities are immense for those willing to invest the effort. I agree that we also need to tell India’s story better – our reforms, initiatives like Make in India and our growing innovation ecosystem. Perceptions will only change with sustained, honest engagement.

How do you like Prague and the Czech Republic? What has personally impressed or surprised you most here, whether from a professional or a personal perspective?

As I have said in the past, Prague is a city that teaches you to slow down and truly observe. In its streets, history meets creativity, silence meets music and tradition blends naturally with modern life. The Czech Republic continues to surprise me with its ability to combine deep respect for the past with openness to the future.

What has impressed me most is the culture of dialogue, professionalism and sense of fairness that I encounter in everyday cooperation. Equally striking is the human warmth that often lies beneath a reserved exterior – revealed over a cup of coffee. For me, Czechia is a place where I feel not only like a diplomat, but also at home.

If you were to give Czech companies one practical piece of advice on how to succeed in the Indian market, what would it be?

My foremost advice would be: invest time in truly understanding India before investing capital. India is not a single, uniform market but a diverse and dynamic ecosystem of regions, regulations and consumer preferences. Czech companies that succeed are those that localise their products, build reliable local partnerships and demonstrate long-term commitment rather than seeking quick returns. Patience, cultural sensitivity and on-the-ground presence are essential. Those who approach India with preparation, adaptability and persistence will find it to be one of the most rewarding markets in the world. Take a leap of faith and engage with India – if you are sitting on the sidelines, the opportunity will pass by you.

Raveesh Kumar was interviewed by Daniel Libertin

Photo credits: Embassy of the Republic of India in the Czech Republic