Provence Promotion takes part in the first CII India-Mediterranean Business Conclave

A key strategic event supported by India’s Ministry of External Affairs

High-ranking ministers, political decision-makers, business leaders, think tanks, and academics from Mediterranean countries and India will meet on September 6, 2024 in New Delhi to reflect on new avenues for shared exchanges and prosperity. This first Indian-Mediterranean conclave will work to further strengthen the increasingly fruitful trade relationship between the regions, which has almost doubled in the past six years, and it will also seek ways to extend academic cooperation in teaching and research.

Philippe Stéfanini, the CEO of Provence Promotion, the economic development agency for the Aix-Marseille-Provence metro area, was invited to take part in the discussions. Provence is a strategic destination for Indian investors and Marseille is the gateway to Europe for the India-Middle East-Europe Economic Corridor (IMEC) project. The conclave will be an opportunity to promote the Aix-Marseille area by showcasing successful bilateral projects that already unite Provence and India and presenting possibilities for new collaborations.

The Mediterranean occupies a key position in the global economy with activities linked to fishing, tourism, transport, logistics, and energy. There are around 600 ports of varying sizes around the Mediterranean, which generate 25% of all global maritime trade.

Because the Port of Marseille Fos serves as a gateway to both Europe and Africa, the Aix-Marseille-Provence Metropolitan Area is a historic trading hub and will greatly contribute to the new shared prosperity that will be created with India through the India-Middle East-Europe Economic Corridor (IMEC).

The IMEC aims to establish new maritime routes and infrastructure between India and Europe that will facilitate trade, connectivity, and mobility all along the corridor. This project will be the focus of a session of the CII India-Mediterranean Business Conclave entitled “The India Mediterranean Corridor: A Paradigm Shift in Strategic Connectivity to Europe”, which will feature Philippe Stéfanini.

Thriving economic links between India and Provence

In the context of its mission to attract foreign direct investment, Provence Promotion has seen an increase in Indian investment in the Aix-Marseille territory in recent years, including from some of India’s biggest companies. In the industrial sector, Larsen & Toubro is a key contributor to ITER, the international science project based in Provence that is proving the viability of fusion energy. Meanwhile, Indian IT leader Infosys has expanded its innovation centre in Marseille and now has a team of more than 110 employees in the city.

In Provence Promotion’s 2022 results, India was the #2 country for incoming investment projects to Aix-Marseille. By way of example, Electrosteel, a specialist in ductile cast iron, is making major investments in its platform in Arles (€60 million) and stepping up its logistics activities, particularly in connection with the African continent. Some of Aix-Marselle’s global leaders are contributing to this booming economic relationship, with companies such as Airbus Helicopters and CMA CGM launching new collaborations or expanding existing ties with India.

The relationship between India and Provence is strengthened by a range of international events held in Aix-Marseille that are of interest to Indian business leaders. This includes the Emerging Valley trade fair for African start-ups, which was attended by Jawed Ashraf, the Indian Ambassador to France in 2023, and the France-India Business Day events that are held regularly in Marseille. These types of global gatherings are a solid foundation for the IMEC.

Another positive development is the decision by Prime Minister Narendra Modi to open an Indian consulate in Marseille (the only one in France outside Paris). Provence Promotion is currently providing support for this project.

The IMEC, an opportunity to promote greater cultural and scientific cooperation

Marseille, which is France’s second-largest metro area after Greater Paris, will be a gateway to Europe for the IMEC. This strategic position on the corridor will generate vast opportunities for French and Indian investors while also promoting cultural and scientific cooperation. While the IMEC is mainly focused on trade, investment, infrastructure, and logistics, its creation will also facilitate the sharing of knowledge between India and France while stimulating innovation and mobility.

Provence Promotion is committed to these types of exchanges and the agency is currently supporting a project to twin the law school of Aix-Marseille University and the National Law School of India University in Bengaluru. Aix-Marseille University has already signed educational agreements with four Indian universities and Marseille’s Kedge Business has developed 11 partnerships with schools in India.

High-speed connectivity with India is also being enhanced by the construction of a new submarine cable that will land in Marseille. The India Europe Xpress is being built by Reliance Jio Infocomm (India’s 3rd largest mobile operator) and should be operational by the end of 2024. At present, 18 cables link Marseille to the rest of the world, making the metro area the world’s 5th largest data exchange hub.

Aix-Marseille: a strategic position on the IMEC corridor

As part of the conclave, Philippe Stéfanini will be stressing the importance of promoting cooperation in the fields of energy transition and low-carbon industry based on innovative technologies. The Aix-Marseille-Provence metro area is home to one of the two low-carbon industrial zones (ZIBACs) created by the French government. No less than €11 billion worth of industrial projects are planned in the port area, including several gigafactories offering excellent investment opportunities for Indian companies in sectors such as green hydrogen, e-fuels, and renewable energy.

This is part of a broader effort by France to position Marseille at the forefront of the energy transition. A case in point is the BarMar project, a green hydrogen pipeline between Barcelona and Marseille that is being spearheaded by French operators GRTgaz and Teréga in collaboration with Enagás in Spain and OGE in Germany. This project, which was the subject of a recently signed cooperation agreement, is part of the H2Med hydrogen transport corridor between Portugal and Germany and could support the energy transition of the IMEC member countries.