India’s exports of machinery and components to Germany have surged more than fourfold, reaching $4.13 billion in 2024, and are expected to maintain double-digit growth in the coming years, according to Rajesh Nath, Managing Director of the German Engineering Federation (VDMA) India Office. Speaking at the second edition of LogiMAT India 2025, Nath highlighted that this milestone follows a significant breakthrough in 2023, when exports from India to Germany first exceeded $1 billion.
LogiMAT India, the Indian edition of Europe’s largest intralogistics exhibition, LogiMAT Stuttgart, is organized by Messe Stuttgart India. The three-day event, hosted at the Bombay Exhibition Centre in Mumbai, concluded on February 15, bringing together key players from the logistics and engineering sectors.
Steady Indo-German Trade Growth Driven by Machinery Sector
Nath noted that bilateral trade between India and Germany has been growing at an annual rate of 8–10%, with total trade reaching approximately €30 billion. The machinery sector plays a pivotal role in this trade relationship, accounting for about 32% of total bilateral commerce. He also pointed out that exports of German machinery to India have risen to around €4.5 billion, marking a 10% increase from the previous year. This steady growth reflects the expanding opportunities for both nations in the engineering and manufacturing sectors.
Germany’s Growing Interest in India’s Expanding Market
Germany sees India as an increasingly attractive market, particularly due to its rising GDP and rapid industrial growth. Sascha Schmel, Managing Director of the Intralogistics and Material Handling Department at VDMA, emphasized that Germany’s interest in India is growing daily, driven by India’s expanding supply chains and production capabilities. “India’s booming economy is evident from its GDP figures, and this growth extends to logistics and material handling. The presence of the German pavilion at LogiMAT India, sponsored by the German government, is a testament to the strong engagement between the two countries,” he stated.
Balanced Trade Relations Foster Stronger Partnerships
Highlighting the balanced nature of Indo-German trade, Stefan Halusa, Director General of the Indo-German Chamber of Commerce, stressed that neither country faces a trade deficit, ensuring a stable and mutually beneficial economic relationship. “The expansion of Indo-German trade in recent years has been remarkable, and what stands out is that both sides benefit equally. This creates a strong foundation for continued collaboration,” he noted.
Strategic Indo-German Collaboration in Logistics and Manufacturing
India and Germany have been strategic partners since 2000, fostering strong trade and economic ties. A recent Memorandum of Arrangement between the two nations aims to enhance logistics support and exchange between their armed forces, further strengthening their cooperation.
Germany remains India’s largest trading partner in Europe and one of its top global partners. Several initiatives, including the Market Entry Support Programme and the Make in India Mittelstand (MIIM), facilitate German small and medium-sized enterprises (SMEs) in establishing operations in India. Messe Stuttgart, one of Germany’s leading trade fair organizers, is also playing a crucial role in supporting India’s vision of becoming a developed economy.
LogiMAT India 2025: A Platform for Industry Transformation
The second edition of LogiMAT India 2025 is set to revolutionize India’s logistics sector, with a focus on warehouse automation, smart delivery systems, and supply chain innovations. The exhibition serves as a vital networking platform, allowing Indian companies to engage with German and European firms to explore new technologies and business opportunities.
Nath expressed optimism about the impact of such events on trade growth, stating, “Exhibitions like LogiMAT India provide an excellent platform for technology suppliers and buyers to connect. As the event expands, it opens doors for Indian businesses to collaborate with global leaders, learn about cutting-edge technologies, and contribute to the growth of Indo-German trade in the engineering sector.”
With India investing heavily in infrastructure, including an $11.11 trillion budget for development, logistics and warehousing are becoming critical sectors for growth. German expertise in automation and supply chain management is expected to play a key role in enhancing efficiency and productivity in India’s logistics industry.
As LogiMAT India 2025 continues, industry leaders remain confident that the event will serve as a catalyst for further strengthening Indo-German trade relations, driving technological advancements, and fostering long-term collaborations in the machinery and logistics sectors.
