Quick Summary
India in 2026 presents significant opportunities for Dutch companies in India across agriculture, water management, healthcare, ports & logistics, renewable energy, and semiconductors. With growing FDI, strong bilateral ties, startup link initiatives and clean‑tech collaborations, the landscape is ripe.
Understand the India-Netherlands Relations
What started with a spice trade has bloomed into a full-fledged bilateral trade and flourished the India Netherlands relations.
Over the years, India has become a natural trade partner for the Netherlands and has had maximum collaborations with Dutch companies in various sectors.
Frequent visits by the Dutch royal couple, King Willem-Alexander and Queen Máxima, and the Prime Minister of India have strengthened ties. These visits led to around 40 B2B agreements worth €650 million. The partnerships span agriculture, agrotechnology, water treatment, and healthcare.
With around 6.5 billion US dollars in investments from the Netherlands in India, it is one of the top European partners and is expected to grow exponentially in the coming years.
India-Netherlands Relations
The Indian community and culture have received widespread praise from the Dutch and have had a significant impact on the Netherlands’ cultural, economic, and political life.
The Dutch Minister of Justice and Security also noted that Indians residing in the Netherlands are considered the “best-integrated communities.”
The cultural ethos of both countries has accelerated the creation of a favorable climate for business expansion and trade relations.
India-Netherlands relations have shown significant growth in the past and continue to grow.
India and the Netherlands have been working together on water management strategies and have joined hands for rainwater harvesting projects.
In May 2022, the Prime Minister of the Netherlands inaugurated the Indo-Dutch Ganga Forum. This initiative strengthened the Memorandum of Understanding (MoU) signed in June 2021.
The MoU was between the Netherlands’ Ministry of Infrastructure and Environment and India’s Ministry of Water Resources, River Development, and Ganga Rejuvenation. The forum focuses on cleaning the heavily polluted Ganga basin using Dutch expertise in water management.
Current Scenario of Dutch Companies in India
Major Dutch players have a strong presence in India, including Philips, Unilever, and Royal Dutch Shell. Similarly, IT companies like Wipro, Tech Mahindra, TCS, HCL, and Sun Pharmaceutical companies have their establishments in major Dutch cities.
Significant acquisitions and mergers have occurred over the past decade. For instance, Hotel company OYO Hotels and Homes announced the acquisition of an Amsterdam-based vacation rental firm in 2019.
In addition, the Serum Institute of India took a significant step by acquiring the Dutch company Bilthoven Biologicals.
To boost this exponential rise of India-Netherlands relations and bilateral trade, there are numerous government organizations, such as the Netherlands-India Chamber of Commerce & Trade (NICCT) and the Indian Business Chamber (IBC).
Various initiatives have played a pivotal role in driving business expansion in both countries. NITI Aayog and the Embassy of the Netherlands from New Delhi signed a Statement of Intent (SoI) in 2020 which support the decarbonization and energy transition agenda.
The partnership is focused on adopting clean air technologies and lowering carbon footprint by deploying techniques developed in both countries.
The Indo-Dutch #StartUpLink initiative, developed by Startup India in collaboration with the Netherlands Embassy, is designed to provide information, opportunities, and a point of contact within the Indian and Dutch startup ecosystems, respectively.
This initiative not only helps you evaluate your ideas in the market but also helps you explore various opportunities and navigate your first step in the business ethos of a new market.
Business investment in India by the Netherlands is not just an idea but has developed into a strategic move for Indian startups!
Why do Dutch Companies favor India?
The Netherlands, with its growing technological, innovative, and infrastructural developments, has a keen interest in expanding its business overseas.
As more Dutch companies look to diversify their businesses and expand their services beyond China, India offers an excellent complementary location.
According to Indian statistics, the Netherlands is the 4th-largest foreign direct investor in India. The cumulative flow of FDI from the Netherlands to India was USD 42.3 billion between April 2000 to June 2022.
If settled in the Netherlands and exploring options for foreign investments, India offers just what Dutch companies need, and has become a favorable destination for business expansion.
Priority Sectors for Dutch Companies in India
The Dutch companies are global leaders in sectors such as Agriculture, Water Management, Ports and Logistics, Inland Waterways, Healthcare, Science & Technology, Urban Development, Shipping, and Renewable Energy.
The Dutch government and business leaders are keenly aware that there is a lot to share with India in these sectors. That is why these sectors should be prioritized for bilateral cooperation in 2023 and beyond.
Early participation in sectors will mean that Dutch businesses will have the opportunity to cherry-pick projects and participate in greenfield projects.
The Skills and Resources of India Offer New Opportunities for Dutch Companies
The feasibility of remote work is acknowledged and accepted worldwide. Dutch companies can capitalize on this opportunity and expand their operations in India.
As remote work continues to grow in 2023 and beyond, companies are increasingly hiring remote employees and building their teams in India. Employees in India have redefined their skills and technical competencies to maximize productivity across research, design, engineering, software development, and more.
Dutch companies can hire these skilled professionals and create an effective future remote workforce in India.
Moreover, a smart, low-cost footprint in India will keep you in touch with the mega once-in-a-lifetime opportunities unfolding amid the country’s transformation. It will give your business a boost while also setting up your processes and systems to scale to keep pace with your growth.
About Remunance
Remunance is an Employer of Record (EOR) services provider in India, helping global companies hire, manage, and support full-time employees without setting up a local entity. We take care of HR, payroll, compliance, and benefits so businesses can focus on growth while building their teams in India with confidence.
Remunance enables businesses from UK, Australia, Canada, France, US, and the Middle East to recruit, hire, and manage workforce and benefits in India.
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Disclaimer
This blog is made for information purposes. Everybody is requested to get advice from an expert before making a decision based on the information given in the blog. Remunance disclaims any liability/loss or damage caused by using the information, directly/indirectly, given in this blog.
