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Explained: How is Denmark Important for India

PM Narendra Modi today (3rd May 2022) is on a visit to Denmark, which is known to be the most energy efficient country in the European Union (EU) and Organisation for Economic Co-operation and Development (OECD). India has smartly archived this piece of knowledge as the world’s largest democracy prepares and follows its blueprint to becoming a global superpower.

India has recognised Denmark’s fluent understanding and expertise in some of the niche sectors like sustainable development, clean technology, use of renewable energy, waste management and recycling, etc. These areas amazingly compliment the New India’s style and vision of sustainable growth and development.

“Everybody says build back better, but we also want to grow back greener. And in growing back greener, we think Denmark is a very, very unique partner, because you have strengths and experiences and best practices which are enormously helpful for a country like India at this stage of its development,” Indian EAM S. Jaishankar had said during his visit to Europe last year.

India-Denmark’s Green Strategic Partnership

In October 2021, India and Denmark launched their unique ‘Green Strategic Partnership’ which aims at creating a framework for significant expansion of economic relations, political cooperation and boost collaboration in areas like environmental sustainability, renewable energy, climate change, science and technology, etc. Under this green alliance, both the nations agreed on a 5-year action plan and signed four agreements for increased cooperation in use of green technologies and efficient management of natural resources like groundwater. The agreement also largely focuses on an ambitious implementation of the Paris Agreement and the UN SDGs.

Denmark’s Role in India’s Green and White Revolution

India and Denmark share 400 years of historical linkage. For India, Denmark not only has been an important development partner but has also played a good role in India’s ‘White Revolution’, growth and promotion of wind energy and even during the ‘Green Revolution’ period.

“Denmark was part of what we call the White Revolution; we brought in cows from Denmark, which were cross-bred with Indian cows. The milk yield increased drastically and today India is the world’s largest milk producer… We were also, in fact, a part of the Green Revolution through a company called Haldor Topsøe and its owner Frederik Axel Topsøe. He had developed a lot of technology that was aimed at reducing the use of fertilisers..,” H. E. Freddy Svane, the current Ambassador of Danish Embassy in New Delhi had said in an interview.

Learning from Denmark’s ‘Wind Energy’ prowess

Denmark enjoys an advantage due to its proximity to the North Sea and the Baltic Sea where winds blow strong. The country has been investing in wind power since 1970s. In 1991, it had built the world’s first off-shore wind farm. Today, it manufactures massive turbines that supply clean, renewable energy and is also home to the wind turbine giant Vestas (known for delivering Sustainable Energy Solutions), and Ørsted, the world’s largest developer of offshore wind. The country also invests a lot in Research institutions and projects. Reportedly, Denmark is designing and building wind power projects in Europe, Asia and North America.

India, which has half its land in the Indian Ocean, has a lot to learn and acquire from the country’s five-decades long experience in the wind energy sector. The collaboration in this regard already began last year in September as both the countries launched the ‘Centre of Excellence on Offshore Wind’ as part of their green strategic partnership. The significance of this development lies in the fact that the Ministry of new and renewable energy has set a target of adding 30 GW of offshore wind energy projects by 2030. India plans to leverage scale to lower offshore energy tariffs by harnessing the enormous wind power potential along its 7,600 km coastline. Both the countries have also jointly set up a knowledge hub in New Delhi to facilitate and support sustainable development of offshore wind energy in the country. All this happens at a right time when a UN Panel on Climate Change has warned India and South Asia of extreme weather events that may impact lives, livelihoods, and businesses in the coming years.

Trade & Investments

Bilateral trade in goods and services between India and Denmark has grown by 78%, from USD 2.8 billion in 2016 to USD 5 billion in 2021. Around 200 Danish companies have invested in India in sectors such as shipping, renewable energy, environment, agriculture, food processing and smart urban development. Several major Danish companies have built new manufacturing factories under the ‘Make in India’ scheme. On the other hand, around 25 Indian companies are present in Denmark in various sectors including IT, renewable energy and engineering. Indian IT companies are providing multiple IT solutions, projects consultancy and outsourcing services for Danish services sector.

India and Denmark are cooperating in fighting climate change, ensuring the same through export of wind turbines, enzymes, etc. Denmark-based companies such as Babcock & Wilcox, etc. have established the first waste-to-energy facilities in Punjab and Haryana to combat air pollution. Danish companies such as Danfoss have also catered to India in increasing farmers’ income by setting up cold storages, and development of post-harvest technology for bananas. Denmark also manufactures equipment for industrial cooling. Danish Company ‘Grundfos’ manufactures intelligent pumps and has sold over 40,000 solar pumps in India. Knud E. Hansen also designed 500 pax and 1200 pax RORO state-of-the-art ferries for Andaman and Nicobar Islands, which have been built by Cochin Shipyard. Larsen & Toubro is building Mumbai Coastal highway, which has been designed by another Danish company Ramboll. Besides, RAMBOLL & COWI are also doing engineering and crafting design for the Trans-Harbour Sea-Link in Mumbai, which will link Mumbai with Navi Mumbai.

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