Bangalore: The September 11 incident, the events in Gujarat and tensions along the Indo-Pak border have had less impact on Indo-German economic relations. This was stated by the Indo-German Chamber of Commerce (IGCC), through a press release after its 46th annual general meeting (AGM).

According to the release, the bright spot in the Indo-German relations was the volume of trade between the two countries, which increased 5.7 per cent to reach the highest annual level ever at Euro 4.8 billion.

Another positive aspect is the performance of Indo-German joint venture companies listed on the stock exchange. The 20 companies covered by the IGCC survey have shown remarkable degree of resilience despite the difficult global as well as domestic environment.

Disturbing are the trends with regard to the newly sanctioned direct investments. The significance of Germany as a leading technology partner for India seems to be losing ground, with the number of collaborations approved by the Indian government declining and an alarming drop in the quantum of foreign direct investment (FDI) approvals.

However, according the Jürgen Schubert, president of the Indo-German Chamber of Commerce, India remains an interesting partner for the transfer of German technical know-how.

According to him, the reasons for coming to India are several, "India can today be an almost unending source of highly talented and motivated professionals. The remuneration structures here are definitely attractive. One can also produce world- class quality."