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Economy News, Latest Economic News Today | The HinduBusinessLine

GE, HAL clinch tech deal on joint jet engine plan India rejects USTR allegations, seeks termination of Section 301 probe Indian automobile sales record highest-ever sales in FY26, first time after FY19: SIAM Madhya Pradesh CM says basmati rice from the State is exported to 47 nations 63 Moons’ cybersecurity arm pilots GPS-spoofing solution at Indian airports Highways ministry notifies amendment to streamline fee for overloaded vehicles on NHs Global aviation crisis deepens as fuel shortage, Iran conflict hit airlines TRI launches agri-voltaic project to help farmers earn double income Hotel industry to hit $31 billion in 2029; listed hotel firms set to add 70k rooms by 2030: CBRE Temperatures may trend up over North-West, Central India until weekend Reduction in airport tariff credit neutral, minimal impact on revenue: Ind-Ra Global coffee prices rise as fertiliser costs and West Asia tensions threaten supply Bluspring Enterprises to acquire LSG Sky Chefs India, enters aviation catering sector China says policy to improve relations with India remains unchanged amid Arunachal naming row Research firms divided over impact of below normal monsoon on food inflation Unnat Krishi Mahotsav concludes, farmers to emerge as energy, fuel & hydrogen providers, says Gadkari Airlines may get ₹5,000 crore credit support under proposed ECLGS variant How kashmir’s breakthrough is making Gucchi mushroom farming possible Centre not taking away State’s power on bonus for agri produces, says FM Sitharaman Carriers cut flights on cost pressures, uncertain demand GE Aerospace scales AI from pilots to production; India anchors global capability West Asia crisis may push India’s current account deficit to 2% of GDP: Crisil Tax Dept to resume Tiger Global reassessment, says GAAR relief won’t alter SC ruling Ceasefire talks fail to restore vessel movement in Strait of Hormuz, fate of 599 ships remain inconclusive DMRC launches mid-life refurbishment of Blue Line trains to enhance safety and passenger experience Retail inflation likely rose 3.5-4% in March India-UK free trade pact may come into force from second week of May: Official 'West Asia war a good opportunity for energy reforms, lower costs for industry' India’s marine exports surge to ₹62,408 crore in 2024-25, Govt sets ₹1 lakh crore target PM Modi to inaugurate Dehradun-Delhi Expressway on April 14 India’s economic growth journey huge opportunity for international partners: Kwatra From diesel to daylight: How government solar schemes are powering India’s farmers The next energy leap: Replicating ethanol’s success in diesel Delhi EV Policy: Electric 3-Wheelers Only by 2027, 2-Wheelers by 2028 Windfall levy on export bound diesel, ATF raised India-flagged LPG tanker Jag Vikram crosses Strait of Hormuz after US-Iran ceasefire Muted pricing power, rising costs to curb benefits of demand in cement sector: HDFC Securities Central Railway to run four special local trains for Ambedkar Jayanti Cotton Association revises output estimates for 2025-26 up at 324 lakh bales of 170 kg each Agtech marketing in the age of regional content and creator communities Rajnath Singh, Nitin Gadkari to join 3-day agri event at Shivraj’s home turf, inaugurated today How agripreneurship will drive improved rural livelihoods in India World’s largest tur producer, yet an importer: A self-sufficiency puzzle unfolding on ground Ethanol in diesel generators: India’s next practical step towards energy security How sustainable sourcing can unlock value in India’s agri-value chains West Asia Crisis: Induction cooking may consume 13-27 GW power Govt defers power plant maintenance for three months; ready for summer demand Tractor sales cross 10 lakh mark in FY26 on strong rural demand, GST cut India to continue buying Russian crude oil India’s textile and garments exports to the US declined 28.7% in February 2026 Why India’s ₹5 pack won’t disappear, but getting smaller West Asia conflict: LPG usage at 21-month low in March E-way bill generation surged all time high of over 14 crore in March Cotton prices firm up tracking global prices Corn prices poised to fall on Iran-US ceasefire pact Air India at critical stage of transformation: Tata Sons Chairman FYL91 commences new flights to Hyderabad, Rajahmundry and Vijayawada Telangana’s GST revenue up 15% in last 3 months ASMS launches agri-commerce network AYOU in Hyderabad Ladakh turns to apricot blossoms to stretch short tourism season Govt proposes overhaul of company incorporation rules to cut paperwork, enable risk-based checks HAL delivers 4 helicopters to Coast Guard Charter services operators urge review of ATF pricing Structural gaps affect growth of India’s high-value horticulture sector: Report Rubio set to visit India in May to discuss trade, tariffs, defence, Quad DGFT rolls out procedure for allocation of calcined coke Qatar vows to remain reliable energy supplier to India amid West Asia tensions Gadkari bats for 100% land acquisition before approving NH projects India must rethink West Asia energy reliance after biggest shock in decades, says ONGC chief Sumeet SSG partners Pinnacle Industries to strengthen Maharashtra’s EMS fleet Consumer durables growth muted as demand slows, margins shrink: HDFC Securities March 2026 was the fourth-warmest month on record, says European weather agency India relaxes rice exports norms to some European countries Unseasonal rains damage rabi crops on 2.49 lakh ha, wheat most affected: Agri Minister ADB projects 6.9% growth rate for current fiscal, 70 bps lower than FY26 India-UK FTA likely by May 1; EU trade deal expected by year-end Dubai limits foreign flights until May 31, letters show, hitting Indian airlines hardest India in talks with 20 more countries to open market access: Piyush Goyal ADB ups India's FY27 growth projections to 6.9% Iran control of Strait of Hormuz in focus as tanker turns back, Trump raises concerns India mulls creating 30-day LPG strategic reserve Fire at Mumbai airport terminal delays flights Lesson from West Asia conflict is to factor-in adverse scenarios while framing policies: Oil Secretary Maharashtra government expands agricultural oversight structure Surging Raw Material Costs Hit PVC and Packaging Industries Hard Unseasonal rain, hailstorms, may drag Indian wheat output by over 5% Milky Mist beats FY26 targets, IPO on track, says CEO Delegation to visit Washington as India, US look to revive trade deal talks Only 10% of Indian key reservoirs are filled over 80% IMF warns of deepening global food crisis as fertilizer prices surge Yara India to ramp up digital strategy to strengthen retailer connectivity War-induced risks cushioned by ample buffer for India: World Bank DGS issues direct pass-through of port concessions to exporters amid West Asia crisis Israel allows import of Indian okra seeds, wants virus-free declaration India now seen as ‘safe anchor’, offers stability, predictability and prospects: Shaktikanta Das CropLife asks farmers to tap zaid season window after rabi loss and below normal monsoon ahead Indian trade delegation to visit Washington this month Construction equipment sales fall 13 per cent in FY26 on project delays, weak execution: FADA El Niño threat puts brakes on FY27 auto growth as rural demand risks rise Indian govt hikes NBS fertilizer rates for kharif season by up to 21% to ₹41,533.81 crore
India and Italy elevate ties to special strategic partnership, target €20 billion trade by 2029
2026-05-21 · via Economy News, Latest Economic News Today | The HinduBusinessLine

India and Italy on Wednesday upgraded their ties to a special strategic partnership, firmed up a defence industrial roadmap, and vowed to expand annual trade to Euro 20 billion by 2029, as Prime Ministers Narendra Modi and Giorgia Meloni held wide-ranging talks to enhance bilateral relations in the face of increasing geopolitical upheavals.

The two leaders, delving into global challenges, expressed “deep concern” over the situation in West Asia and its impact on the region as well as the rest of the world, with PM Modi calling for the resolution of the conflict through dialogue and diplomacy.

The two leaders also called for freedom of navigation and the resumption of shipping through the Strait of Hormuz.

Following the Modi-Meloni talks, India and Italy rolled out a defence industrial roadmap paving the way for the co-development and co-production of military hardware and platforms, including helicopters and marine armament.

Additionally, the two nations finalised new frameworks for higher education and the mobility of Indian nurses to Italy. The two sides inked 10 Memorandums of Understanding (MoUs), including agreements to boost partnerships in critical minerals, agriculture, maritime transport and marine products.

Modi landed in Rome on Tuesday in the fourth and final leg of his European tour that was aimed at exploring ways to shore up cooperation in a range of areas, including defence and security, trade and investment, critical technologies and energy.

Defence cooperation, technology and innovation push

In their talks, Modi and Meloni agreed to leverage the opportunities from the India-EU Free Trade Agreement (FTA) that was firmed up in January and called for its early implementation.

“I am delighted that we are upgrading our relations to a special strategic partnership,” Modi said in his media statement.

“The India-Italy Joint Strategic Action Plan 2025-29 provides a practical and futuristic framework for our partnership. We are progressing on it in a timely manner. Through our joint efforts, bilateral trade is rapidly moving towards the target of 20 billion euros,” he said.

In her comments, Meloni underlined the importance of having freedom of navigation in the Indo-Pacific, a region that has witnessed growing Chinese military muscle-flexing.

The Italian prime minister also made a mention of the elevation of India-Italy ties to special strategic partnership from the existing strategic partnership and said the relationship is now capable of “realising its fullest potential”.

In a significant move, the two sides also agreed to establish a foreign ministers-led mechanism to review the India-Italy Joint Strategic Action Plan 2025-29 and provide strategic guidance to the special strategic partnership.

Both Modi and Meloni agreed to further expand collaboration in trade and investment, defence and security, science and technology, research and innovation, space, energy, AI and critical technologies, education, culture and people-to-people ties, according to the Ministry of External Affairs (MEA).

“Technology and innovation are the engines of our partnership. There is immense potential for our cooperation in areas like AI, quantum, space and civil nuclear energy,” Modi said.

“We are working on the India-Italy Innovation Centre to connect the startups, research centres and industries of both countries.” The prime minister said close cooperation between the two countries in the defence and security sector is a symbol of “deep mutual trust”.

“Cooperation is increasing between the defence industries of both countries as well as between our militaries. Our defence industrial roadmap has paved the way for co-development and co-production,” he said.

The two prime ministers welcomed the adoption of a Joint Declaration of Intent and a Defence Industrial Roadmap, which will promote partnerships for technological cooperation, co-production and co-development projects, including helicopters, naval platforms, marine armament and electronic warfare.

Both sides also agreed to launch a Dialogue on Maritime Security, with the aim of increasing maritime security cooperation, coordination, and the exchange of information and best practices in the maritime domain.

In his comments, Modi said both sides will work together on shipping, port modernisation, logistics, and the blue economy.

“We also discussed expanding our win-win partnership to third countries. Moving forward in this direction, we agreed to work on concrete projects in Africa.”

Global issues, terrorism and strategic connectivity

The prime minister also asserted that India and Italy are unanimous that terrorism poses a serious challenge to humanity and that the joint initiative between the two sides against terror financing has set an important example for the entire world.

“India and Italy have sent a clear message that responsible democracies not only condemn terrorism but also take concrete steps to disrupt its financial networks,” he said.

“We have been in constant contact regarding Ukraine, West Asia, and other tensions. India’s view is clear that all problems should be resolved through dialogue and diplomacy,” he said.

The two prime ministers reaffirmed their commitment to cooperate on the India-Middle East-Europe Economic Corridor (IMEC), recognising its transformational potential in reshaping and promoting global trade, connectivity and prosperity. Appreciating the preliminary discussions around the project, they encouraged the first IMEC Ministerial meeting to take concrete steps for advancing this initiative in 2026.

Modi and Meloni agreed to enhance the mobility of students, researchers and skilled workers, particularly in STEM (Science, Technology, Engineering, and Mathematics) sectors, and to expand cooperation on skills development, in line with the needs of the labour market, including through a specific joint declaration of intent on the facilitation of mobility of nurses from India to Italy.

The two prime ministers also welcomed ongoing collaboration between the Italian Space Agency and the Indian Space Research Organisation, and efforts to strengthen commercial space collaboration.

Modi and Meloni strongly condemned terrorism and violent extremism in all its forms, including cross-border terrorism, according to a joint declaration.

It said the two leaders reiterated their commitment to cooperate in the fight against terrorists and terrorist groups and their affiliates, including those listed in the UN Security Council 1267 Sanctions regime.

“They called upon all countries to continue to work towards eliminating terrorist safe havens and infrastructure, disrupting terrorist networks and combating the financing of terrorism, consistent with the Financial Action Task Force’s guidelines,” according to the joint declaration.

Both leaders welcomed the finalisation of an MoU between the Italian Guardia di Finanza and the Directorate of Enforcement of India and looked forward to the early conclusion of another agreement on exchange and mutual protection of classified information.

Published on May 21, 2026