New Delhi: Hailing the Airbus C295 transport aircraft joint project as a “symbol” of India-Spain ties, prime ministers Narendra Modi and Pedro Sánchez have urged companies in the defence sector to follow this blueprint for similar programmes to manufacture in India.
“Both leaders expressed satisfaction on the progress made in the C-295 aircraft project as a symbol of the growing defence industrial cooperation between the two countries. In line with this growing partnership, and in recognition of the advanced capabilities and competitiveness of the Spanish defence industry and its contribution to the goals of the ‘Make in India’ initiative, they encouraged their respective defence industries in other sectors to set up similar joint projects in India,” said the India-Spain joint statement released following the bilateral meet Monday.
Sánchez, who is in India for a two-day bilateral visit—the first by a Spanish prime minister in 18 years—joined Modi to inaugurate the Tata Advanced Systems Limited (TASL) manufacturing plant in Vadodara, Gujarat, where 40 C-295 transport aircraft will be built for the Indian Air Force (IAF).
The Rs. 21,935 crore deal struck in 2021 with Airbus Spain, will see a total of 56 C-295 delivered to India. Apart from the 40 planes, which are to be manufactured in the TASL plant, India will receive 16 aircraft in fly-away condition, which will be built in Spain.
India received the first aircraft in September 2023. A total of six planes have been delivered so far. In the original deal, all 16 will be delivered by August 2025.
Another Spanish defence company Navantia has partnered with Larsen & Toubro in a bid to build India’s ambitious P75I submarine project. A total of six diesel-electric submarines are to be built with an Air Independent Propulsion (AIP) system.
The Spanish firm’s bid is one of two being evaluated by the Indian Navy. The other bid came from German company ThyssenKrupp Marine Systems Limited (TKMS).
Tanmaya Lal, Secretary (West) in the Ministry of External Affairs (MEA), did not answer whether the submarine deal came up in the discussions between the two leaders.
“Defence cooperation is an area of interest for both sides, but at this stage I would not like to say anything more,” Lal said at a special media briefing Monday.
The other subjects that came up for discussions included the India-Spain economic relations, global conflicts such as the Russia-Ukraine war, the conflict in West Asia as well as global terrorism.
Sánchez accompanied by Minister for Tourism Jordi Hereu i Boher and Minister of Transportation and Sustainable Mobility Óscar Puente left for Mumbai following the official programme in Vadodara. Sánchez, who also arrived with a business delegation of 15 CEOs, will hold meetings in Mumbai Tuesday, as well as attend the Fourth Spain-India Forum.
The two leaders declared 2026 as India-Spain Year of Culture, Tourism and Artificial Intelligence.
Also Read: Modi calls new Airbus C295 plant example of ‘New India’ at inauguration with Spanish PM
Economic ties & new consulates
A focus of the talks between Modi and Sánchez focused on deepening the economic ties across various sectors between India and Spain. Trade between the two countries touched $10 billion last year, while investments touched $5 billion.
“Recognising the expertise of Spanish companies in areas such as energy, including renewables, nuclear, and smart grids, food processing, healthcare and health services, automotive and transport infrastructure, including trains, roads, ports and transport network management, the two leaders welcomed further collaboration in these areas,” said the joint statement.
One of the outcomes from the visit included a Memorandum of Understanding (MoU) in rail transport, as well as a fast-track mechanism for facilitating mutual investments between the two countries.
India has operationalised a Consulate General in Barcelona in August, while Spain will be opening another consulate in Bengaluru soon—a decision welcomed by both the leaders.
The India-European Union Free Trade Agreement (FTA) also figured in the discussion. Both countries reaffirmed their commitment to advance the negotiations for the comprehensive agreement, which has been ongoing in its current format since 2022.
Global issues
The Russia-Ukraine conflict and the situation in West Asia also figured in the discussion between Modi and Sánchez. The two leaders also agreed to enhance cooperation at multilateral fora such as the United Nations.
According to the Secretary (West) Lal, PM Modi reiterated India’s stance that the situation between Russia and Ukraine can be solved by direct discussions between the two parties through diplomacy.
“Both sides agreed to remain in touch to support efforts aimed at negotiated settlement of the conflict,” said the joint statement regarding the Russia-Ukraine war.
Madrid also welcomed New Delhi’s application to join the Ibero-American Conference as an ‘Associate Observer’, as a part of India’s push to deepen ties with the Latin American countries. Both the countries have agreed to finalise the process by 2026 in time for the Ibero-American summit, which is scheduled to take place in Spain.
At the multilateral level, India has agreed to support Spain’s candidature for the United Nations Security Council (UNSC) for the 2031-32 term, and Madrid has agreed to support New Delhi’s candidature for the period of 2028-29.
On combating global terrorism, the two countries “called for concerted action against all terrorist groups proscribed by the UNSC including Al Qa’ida, ISIS/Daesh, Lashkar-e-Tayyiba (LeT), Jaish-e-Mohammad (JeM) and their proxy groups”.
(Edited by Tony Rai)
Also Read: Germany, India sign key intel pacts; Scholz says ‘pleased’ with Delhi’s efforts to end Ukraine war