India and Belgium-Luxembourg Economic Union
- 20 Sep 2019
- 3 min read
Recently, the 16th Session of the Joint Economic Commission (JEC) between India and Belgium Luxembourg Economic Union (BLEU) was held in New Delhi.
- India and BLEU reiterated the importance of the Joint Economic Commission (JEC) towards the development of bilateral economic and trade relations through facilitating dialogue and enhancing cooperation on a wide range of issues of mutual interest.
- Joint Economic Commission between India and Belgium - Luxembourg Economic Union (India-BLEU) was established in 1997 and is the main vehicle for discussing economic and commercial issues.
- This biennial event is organized in the capital cities of the three countries alternatively.
Belgium Luxembourg Economic Union (BLEU)
- Belgium Luxembourg Economic Union (BLEU) was created by a treaty signed in 1921.
- Under the terms of the treaty, the economic frontier was lifted and the Belgian franc and Luxembourg franc were set at a fixed parity establishing a monetary union, which existed until the introduction of the euro.
- A new convention was signed in 2002, between the two nations.
- Although most of the aims of BLEU have largely been taken up by the Benelux Union (between Luxembourg, Belgium, and the Netherlands) and the European Union, it has remained more relevant in deciding exact measures than the other organizations.
- The Belgium–Luxembourg Economic Union is the world’s 13th largest export economy.
- India is Belgium’s second-largest export destination and fourth-largest trade partner outside the European Union with a significant contribution from the Indian diaspora.
- The leading exports from Belgium to India are in the sectors of gem and jewellery (rough diamonds), chemical and chemical products and machinery and mechanical products.
- The major exports from India to Belgium are in the sectors of gem and jewellry (finished products), base metals and articles and chemicals and chemical products.
- Luxembourg is the 16th most important investor in India and among EU member states it ranks 4th among the combined FDR and FII investors in India.
- The sectors that attracted maximum investments from Luxembourg include trading, computer software & hardware, services sector, agricultural machinery, and chemicals.
- India and Luxembourg have had longstanding cooperation in the steel sector.