India and Croatia Forge 5 Strategic Economic Partnerships for Explosive Growth and Innovation

Commerce Secretary Sunil Barthwal’s April 2025 visit to Croatia reinforced bilateral collaboration, targeting sectors like renewable energy, defense, electric vehicles (EVs), and food processing. Discussions emphasized advancing the EU-India Free Trade Agreement (FTA), leveraging Croatia’s EU membership to bridge negotiations and accelerate mutual market access. Croatia expressed interest in India’s defense exports, including indigenous platforms like the Tejas fighter jet, while India sought partnerships in Croatia’s solar technology and food preservation expertise to bolster sustainable growth.

The nations also explored synergies in healthcare, tourism, and creative industries, with Croatia highlighting opportunities in co-production ventures through initiatives like its WAVES Summit. A business forum organized by the Croatian Chamber of Economy showcased success stories, encouraging cross-sector innovation and supply-chain integration. Plans to revitalize the Joint Commission on Economic Cooperation aim to streamline B2B engagements and institutionalize progress.

This strategic partnership positions Croatia as India’s gateway to Central Europe, combining niche expertise with scale to drive inclusive, tech-driven economic resilience.

India and Croatia Forge 5 Strategic Economic Partnerships for Explosive Growth and Innovation

Commerce Secretary Shri Sunil Barthwal’s recent visit to Croatia (April 22–23, 2025) marked a pivotal moment in revitalizing bilateral economic ties between India and the Central European nation. The meetings underscored a mutual commitment to leveraging complementary strengths in sectors like renewable energy, defense, and advanced manufacturing, while aligning with broader geopolitical goals such as accelerating the EU-India Free Trade Agreement (FTA). Here’s a deeper dive into the strategic outcomes and opportunities emerging from this engagement.  

Elevating the EU-India FTA Dialogue 

A central focus of discussions with Croatian State Secretary Zdenko Lucić was advancing the long-pending EU-India FTA. Croatia, as an EU member, holds strategic value in bridging consensus among member states. Barthwal emphasized India’s proactive engagement, referencing the historic visit of the EU College of Commissioners to India earlier in 2025—a first outside Europe since their mandate began. This diplomatic momentum could help resolve sticking points in the FTA, such as market access and sustainable trade practices, while Croatia’s advocacy may prove instrumental in fostering EU-wide support.  

Sectoral Synergies: From Defense to Green Energy 

The dialogues identified actionable collaboration areas:  

• Renewable Energy & EVs: Croatia’s expertise in solar technology and India’s ambitious renewable targets (500 GW by 2030) create fertile ground for joint ventures. Croatia’s interest in solar cell production aligns with India’s push to become a global manufacturing hub for clean tech, including electric vehicles (EVs).  

• Defense & Aerospace: Croatia seeks to invest in India’s defense sector, particularly in indigenous platforms like the Tejas fighter jet and BrahMos missiles. This aligns with India’s goal to boost defense exports to $5 billion by 2025.  

• Food Processing & Healthcare: Croatia’s advanced food preservation technologies could aid India’s $600 billion food processing industry, reducing post-harvest losses. Meanwhile, partnerships in pharmaceuticals and digital health solutions could enhance Croatia’s healthcare resilience.  

• Tourism & Creative Industries: Croatia’s thriving tourism sector (contributing ~20% to its GDP) and India’s cultural soft power offer untapped potential. Collaboration in film production, highlighted by Croatia’s WAVES Summit, could spur co-productions and location tourism. 

Business Engagement: Building Bridges 

At the Croatian Chamber of Economy (CCE) event, industry leaders explored tangible opportunities. Successful case studies, such as Croatian companies thriving in India’s automotive or IT sectors, demonstrated the rewards of cross-border innovation. Indian firms, particularly in IT and logistics, were encouraged to leverage Croatia’s strategic EU location as a gateway to European markets.  

Institutionalizing Progress 

Both nations agreed to revitalize the Joint Commission on Economic Cooperation (JCEC), with plans to convene its third session soon. Proposed reforms include frequent stakeholder consultations and direct B2B matchmaking to accelerate project implementation. This structured approach aims to move beyond dialogue to measurable outcomes.  

Strategic Implications for Central Europe 

Croatia’s role as a regional hub enhances India’s outreach in Central Europe, a region ripe for diversification amid shifting global supply chains. Strengthening ties here complements India’s broader strategy to deepen economic footprints in non-traditional markets while balancing partnerships with major EU economies.  

The Road Ahead 

The visit signals a shift from exploratory talks to actionable partnerships. For Croatia, collaboration with India offers access to cutting-edge technology and a vast consumer market. For India, it’s an opportunity to integrate into EU value chains and source niche expertise. As both nations navigate a multipolar world order, their partnership could become a model for middle-power diplomacy driven by innovation and shared economic aspirations.