Having previously worked with the Dutch government to enhance bilateral cooperation, I’ve remained keenly interested in how India and the Netherlands continue to strengthen ties across political, economic, technological, and cultural fronts. This note is a personal reflection and update for my network—on recent shifts, promising opportunities, and some often-overlooked developments in this vibrant bilateral partnership.
A Legacy of Engagement
India and the Netherlands have shared diplomatic relations since 1947. Over the decades, this relationship has matured into a multifaceted partnership shaped by regular political dialogue, strong investments, practical sectoral cooperation, and shared focus on sustainability and innovation.
In 2023–24, bilateral trade touched a record high of USD 27.335 billion in 2023-24 1, the Netherlands is currently India’s fourth-largest trading partner in Europe. Trade covers both goods and services: India exported over USD 22.4 billion to the Netherlands and imported around USD 5 billion. The Netherlands is also India’s third-largest global export destination.
The Netherlands is India’s fourth-largest source of FDI. Between April 2000 and September 2024, Dutch investments in India totalled USD 52 billion in equity inflows across infrastructure, logistics, chemicals, renewable energy, and technology.
Dutch Investment in India: From Multinationals to Startups
Dutch companies have invested across sectors like consumer goods, agriculture, logistics, energy, and healthcare. There has been a clear shift toward startup collaborations, digital platforms, and innovation-led growth.
Heineken—well known for its stake in United Breweries—recently expanded its Global Business Services hub in Bengaluru2, reinforcing India’s importance in its global operations.
Other major Dutch investors include:
🌾 Agriculture and Food Tech
- Nutreco, through Skretting, is partnering with Indian agritech startups. It is in the process of acquiring Eruvaka3, a company that provides IoT-based aquaculture solutions.
- FrieslandCampina works with Indian dairy cooperatives and explores technologies for quality assurance and supply chain optimisation.
⚙️ Logistics and Supply Chains
- APM Terminals, part of the Maersk Group, runs key port terminals in Mumbai and Gujarat. It is investing in digital logistics solutions to enhance connectivity.
- These companies are working with Indian startups in areas like tracking, cold-chain automation, and last-mile delivery.
🌱 Renewable Energy and Sustainability
- Royal DSM is focusing on bio-based solutions in nutrition and materials. It also supports cleantech and biofuel startups through open innovation programmes.
🏥 Health and Life Sciences
- Philips Healthcare, with centres in Pune and Bengaluru, partners with Indian startups on AI diagnostics, remote health monitoring, and imaging solutions.
- Its healthtech incubator helps Indian scale-ups build products for local and global markets.
📦 Retail and Ecommerce Infrastructure
- Dutch logistics players are supporting B2B commerce platforms, especially in tier-2 and tier-3 cities.
- Networks from the Netherlands are helping Indian startups in circular economy, eco-packaging, and electric mobility.
💡 Startup Funds and Platforms
- Dutch development bank FMO is an anchor investor in Indian venture funds like Omnivore (agritech), Unitus Ventures (impact), and Aavishkaar Capital (rural).
- FMO’s investments in India focus on fintech, digital health, clean energy, and inclusion-driven tech.
Dutch investors increasingly view India as a place for innovation, collaboration, and scaling—not just a manufacturing base. With over 159,000 startups4, India offers space for co-creation and market testing. Indo-Dutch engagement in this space is only growing stronger.
Indian Investment in the Netherlands: A Quiet but Strong Surge
India’s investment in the Netherlands is also expanding. The country is now the fourth-largest destination for Indian outbound FDI, with more than 300 Indian companies operating there.
1. IT and Consulting
- TCS, Infosys, Wipro, and HCL run delivery centres and R&D hubs in the Netherlands to serve the European market.
2. Pharma and Biotech
- Sun Pharma and Serum Institute of India use the Netherlands for regulatory access and supply chain logistics. Serum acquired Bilthoven Biologicals for vaccine manufacturing in Europe.
3. Manufacturing and Metals
- Tata Steel’s acquisition of Corus was a landmark deal. Its IJmuiden plant remains an example of Indo-European industrial collaboration.
4. Travel and Hospitality
- OYO acquired @Leisure Group, using its base in Amsterdam to serve Europe’s vacation rental sector.
5. Agri-Food and FMCG
- Companies like LT Foods (Daawat) and Sonalika Tractors use the Netherlands for distribution and access to EU markets.
6. Automotive
- Eicher Motors entered the Netherlands post-Brexit to maintain EU access and build on the region’s two-wheeler market.
Total Indian investment in the Netherlands is estimated at USD 24.5 billion5, including equity, acquisitions, and reinvestments.
Technology and Innovation: The New Chapter
India and the Netherlands are working together on advanced technologies.
Semiconductors
A government-level MoU on semiconductors is expected in 20256. It will support joint R&D, resilient supply chains, and cooperation between talent networks.
The Netherlands is home to ASML, a global leader in chipmaking equipment, while India is focused on chip design and assembly. This alignment offers strong collaboration potential.
Cybersecurity
The two countries are also cooperating on cybersecurity frameworks, including fintech regulation, digital identity, and responsible AI.
Quantum Technology
India’s National Quantum Mission and the Netherlands’ Quantum Delta NL are already exploring joint research. Initiatives include:
- Joint work in photonics,
- Talent exchanges,
- Testing of QKD systems,
- Start up bridge programmes between Bengaluru, Pune, Delft, and Eindhoven.
People-to-People Ties
Cultural and educational exchanges remain central to the partnership:
- Over 3,500 Indian students are studying in Dutch universities, mostly in STEM and business.
- The Gandhi Centre in The Hague hosts events, teaches Indian classical arts, and promotes language learning.
- The Indian diaspora, including 200,000+ Surinami-Hindustani and 60,000+ Indian nationals, is increasingly influential.
The launch of an Amity School in the Netherlands adds another layer to this cultural exchange.
Startups: A Growing Link
- Nutreco’s interest in Eruvaka is a clear signal of Dutch VC appetite.
- Platforms like Indo-Dutch Startup Link are building support systems for cross-border scale-ups.
- Dutch VCs such as FMO and Omnivore are actively investing in Indian startups.
- In turn, Dutch startups in sectors like renewable energy and climate tech are exploring India as a growth market.
Challenges to Address
Some challenges remain:
- Indian banks do not yet have a local presence in the Netherlands, which complicates business transactions.
- Air India has resumed Amsterdam flights, but further air connectivity could help trade and tourism.
- Continued alignment on digital, environmental, and trade regulations with the EU will be important.
Looking Ahead
The India–Netherlands partnership continues to grow. It is supported by shared democratic values, a commitment to sustainability, and a strong belief in the power of innovation.
Whether it’s in technology, education, agriculture, or climate action, the two countries have much to gain by working together. As this partnership deepens, it stands as an example of how countries can co-develop practical, future-ready solutions in a changing world.
