India-Iceland relations

Indo-Icelandic relations refers to the bilateral relations between Republic of Iceland and the Republic of India. Historically, Indo-Icelandic bilateral relations have been friendly but lacked substantive content.cite news|url=http://www.hindu.com/2005/05/30/stories/2005053014431200.htm|title=My background helps me: Kalam |first=K.V. Prasad |date=2005-05-30|publisher=The Hindu|accessdate=2008-09-28]

Diplomatic missions

Iceland and India established diplomatic relations in 1972. The Embassy of Iceland in London was accredited to India and the Embassy of India in Oslo, Norway, was accredited to Iceland. However, it was only after 2003 that the two countries have began close diplomatic and economic relationships. In 2003, President of Iceland Ólafur Ragnar Grímsson visited India on diplomatic mission. This was the first visit by an Icelandic President to India. During the visit, Iceland pledged support to New Delhi's candidature for a permanent seat in the United Nation Security Council thus becoming the first Nordic country to do so. This was followed by an official visit of President of India A. P. J. Abdul Kalam to Iceland in May 2005. Following this a new embassy of Iceland was opened in New Delhi on 26 February 2006.cite web|url=http://www.iceland.org/in/the-embassy/news-and-events/nr/1748|title=Inauguration of the Embassy of Iceland in New Delhi|date=26.2.2006|publisher=Icelandic Foreign Service|accessdate=2008-09-28] Soon, a Indian Navy team visited Iceland on friendly mission.cite web|url=http://www.iceland.org/in/the-embassy/news-and-events/nr/2929|title=Indian Navy Team in Iceland|date=25.8.2006|publisher=Icelandic Foreign Service|accessdate=2008-09-28] Gunnar Pálsson is the ambassador of Iceland to India. The Embassy's area of accreditation, apart from India includes Bangladesh, Indonesia, the Seychelles, Singapore, Sri Lanka, Malaysia, Maldives, Mauritius and Nepal.cite web|url=http://www.iceland.org/in/the-embassy/about-the-embassy/|title=About the Embassy|publisher=Icelandic Foreign Service|accessdate=2008-09-28] India appointed S. Swaminathan as the first resident ambassador to Iceland in March 2008.cite web|url=http://meaindia.nic.in/pressrelease/2008/09/03pr01.htm|title=Shri S. Swaminathan to be India’s first resident Ambassador to Iceland|date=September 3, 2008|publisher=NIC India Ministry of External Affairs, New Delhi|accessdate=2008-09-28]

Economic ties

Iceland exported goods to India amounting to US $ 1.14 million in 2005. The main item of export was Fish products, mainly cod, amounting to 77% of the total exports. Other items included industrial goods and medical products. India exported US $ 18.95 million worth of goods to Iceland in 2005. Consumer goods formed a major part; 52.5%, followed by raw materials at 37.8%. The trade between the two countries is still considered limited and with considerable growth potential.cite web|url=http://www.iceland.org/media/india/BG07_FINAL.pdf|title=Iceland India Business Guide 2007 |date=20.4.2007|publisher=Icelandic Foreign Service|accessdate=2008-09-28] By 2007, total bilateral trade was $ 26.7 million of which Imports from India were US $ 25.1 million and exports to India were US $ 1.6 million.

Icelandic direct investments in India grew multi-fold in 2005 to US $ 6.690 millions following closer economic ties. In November 2007, India and Iceland signed a Double Taxation Avoidance Agreement to strengthen the ties of economic cooperation. The treaty covers the taxes of income, dividends, interest, royalties and fees for technical services and stipulates that the rate of tax in the country where the income was made must not be higher than 10%.cite news|url=http://www.icenews.is/index.php/2007/11/30/india-and-iceland-conclude-tax-agreement/|title=India and Iceland conclude tax agreement|first=A. Rienstra|date=Nov 30, 2007|publisher=International Nordic News|accessdate=2008-09-28] The two countries also signed a Memorandum of Understanding (MoU) for co-operation in renewable energy sector. Iceland and India cooperate in hydrogen cells and fuel cells under the forum of International Partnership for Hydrogen Economy (IPHE). cite news|url=http://economictimes.indiatimes.com/News_by_Industry/India_Iceland_sign_MoU_for_renewable_energy_cooperation/articleshow/2443454.cms|title=India, Iceland sign MoU for renewable energy cooperation|date=9 Oct, 2007|work= PTI|publisher=Economic Times|accessdate=2008-09-28]

Both countries have also signed MoU for studies of anomalies ahead of earthquakes, which has received considerable praise internationally.cite web|url=http://www.iceland.org/in/the-embassy/news-and-events/nr/3807|title=Iceland and India enter into cooperation on earthquake prediction research|date=10.4.2007|publisher=Icelandic Foreign Service|accessdate=2008-09-28] Two other agreements signed by both nations in 2007 are "MoU on Sustainable Fisheries Development" and "Bilateral Investment Protection Agreement"cite web|url=http://meaindia.nic.in/foreignrelation/iceland.pdf|title=Important Bilateral Treaties and Agreements|publisher=Ministry of External Affairs of India|accessdate=2000-12-31] . India is also expected to sign agreement with European Free Trade Association (EFTA) of which Iceland is a member.cite news|url=http://in.reuters.com/article/businessNews/idINIndia-32947320080409|title=EFTA spreads its web of trade agreements|date=Apr 9, 2008 |publisher=Reuters|accessdate=2008-09-28]

Cultural exchanges

India's Minister of Women and Child Development Renuka Chowdhury visited Iceland in 2005 to participate in The Council of Women World Leaders held in Reykjavik.cite web|url=http://womenministers.government.is/|title=WOMEN’S VOICES AND CULTURAL UNDERSTANDING|date=29 & 30 August 2005|publisher=Government of Iceland|accessdate=2008-09-28] There are a few Indian restaurants in Reykjavik offering North Indian cuisine.cite web|url=http://www.travelnet.is/Restaurants/Reykjavik_area/Indian/|title=Indian Restaurants in Reykjavík|publisher=Travelnet.is|accessdate=2008-09-28]

ee also

*Foreign relations of India
*Foreign relations of Iceland

References