Bilateral Relations Between India and Bosnia & Herzegovina

Posted by Written by Archana Rao Reading Time: 4 minutes

India and Bosnia & Herzegovina (BiH) share friendly relations. Since the establishment of diplomatic ties in 1995, both nations have sought to deepen cooperation across various sectors, including economic and bilateral domains. As India and Bosnia prepare to celebrate 30 years of diplomatic relations in 2025, the latest round of Foreign Office Consultations (FOC) underscores the shared commitment of the two countries to strengthening ties in economic, and technological domains.

In November 2024, India and Bosnia and Herzegovina convened their fourth round of Foreign Office Consultations (FOC) in Sarajevo, reaffirming the intention to enhance bilateral relations and foster collaboration across diverse sectors.

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According to media reports, during the discussions, both nations reviewed the progress made in areas such as political cooperation, trade and investment, science and technology, cultural exchanges, tourism, and youth interaction. The two countries also held talks on regional and global developments of mutual interest, including issues related to multilateral platforms like BRICS, the UN, the EU, and the Non-Aligned Movement (NAM).

Both sides agreed to hold the next round of consultations in India’s national capital, New Delhi.

Economic and trade cooperation

A Joint Committee on Trade and Economic Cooperation (JTEC) was established to foster economic ties. The second and third JTEC meetings took place in 2006 and 2012, respectively. Indian delegations have actively participated in Sarajevo’s Business Forums (2017–2019) and other economic fairs, showcasing opportunities in tourism, education, agriculture, and energy.

Key agreements supporting bilateral trade include:

  1. Trade cooperation agreement (2002)
  2. Bilateral investment promotion and protection agreement (2006)
  3. MoU between India’s Confederation of Indian Industry (CII) and Foreign Trade Chamber of BiH (2013)

Investments and business opportunities

Indian-origin investments in BiH total to around US$250 million, including:

  • Global Ispat Koksana Industrija (GIKIL): A US$10 million investment in a coke and fertilizer plant (now under local management).
  • ArcelorMittal: US$200 million in a steel mill and mining sites, employing around 2,000 people.

BiH also presents business opportunities for India in other sectors like automobile components, hydro-energy, food processing, tourism, and pharmaceuticals. The country’s expectation to join the European Union enhances its appeal as a manufacturing base for Indian companies.

India-BiH trade relations

India-Bosnia & Herzegovina Trade Relations (Value in US$ Million)

Merchandise trade

FY 2019-20

FY 2020-21

FY 2021-22

FY 2022-23

FY 2023-24

India’s exports to Bosnia & Herzegovina

15.32

15.09

17

17.23

29.28

Growth %

 

-1.51

12.69

1.32

69.95

India’s imports from Bosnia & Herzegovina

3.33

1.92

3.03

2.51

5.19

Growth %

 

-42.34

58.03

-17.04

106.38

Total

18.64

17.01

20.03

19.74

34.46

Growth %

 

-8.79

17.8

-1.46

74.59

Source: Department of Commerce, Ministry of Commerce and Industry, GoI

India’s export to Bosnia & Herzegovina (Value in US$ Million)

Commodity

FY 2022-23

FY 2023-24

 Growth %

Nuclear reactors, boilers, machinery and mechanical appliances; parts thereof.  

4.34

14.65

237.23

Pharmaceutical products  

1.87

2.33

24.47

Rubber and articles thereof.  

2.15

2.31

7.19

Ceramic products.  

0.84

1.48

76.8

Organic chemicals  

1.57

1.39

-11.79

Tanning or dyeing extracts; tannins and their deri. Dyes, pigments and other colouring matter; paints and ver; putty and other mastics; inks.  

0.68

1.22

80.32

Articles of stone, plaster, cement, asbestos, mica or similar materials.  

0.56

1.12

102.02

Optical, photographic cinematographic measuring, checking precision, medical or surgical inst. And apparatus parts and accessories thereof;  

0.67

0.75

13.05

Electrical machinery and equipment and parts thereof; sound recorders and reproducers, television image and sound recorders and reproducers, and parts.  

2.35

0.59

-75.1

Oil seeds and olea. Fruits; misc. Grains, seeds and fruit; industrial or medicinal plants; straw and fodder.  

0.28

0.55

92.77

Articles of leather, saddlery and harness; travel goods, handbags and similar cont. articles of animal gut(other than silk-worm)gut.  

0.27

0.44

60.33

Vehicles other than railway or tramway rolling stock, and parts and accessories thereof.  

0.2

0.43

111.05

Copper and articles thereof.  

0.19

0.37

94.41

Source: Department of Commerce, Ministry of Commerce and Industry, GoI

India’s Imports from Bosnia & Herzegovina (Value in US$ Million)

Commodity

FY 2022-23

FY 2023-24

 Growth %

Arms and ammunition; parts and accessories thereof.  

 

1.99

 

Inorganic chemicals; organic or inorganic compounds of precious metals, of rare-earth metals, or radi. Elem. Or of isotopes.  

0.13

1.39

979.58

Wood and articles of wood; wood charcoal.  

0.76

0.63

-17.44

Nuclear reactors, boilers, machinery and mechanical appliances; parts thereof.  

0.25

0.33

32.73

Footwear, gaiters and the like; parts of such articles.  

 

0.2

 

Paper and paperboard; articles of paper pulp, of paper or of paperboard.  

0.61

0.18

-69.94

Vehicles other than railway or tramway rolling stock, and parts and accessories thereof.  

0.32

0.17

-46.76

Optical, photographic cinematographic measuring, checking precision, medical or surgical inst. And apparatus parts and accessories thereof;  

0

0.12

2,308.16

Ores, slag and ash.  

 

0.07

 

Raw hides and skins (other than furskins) and leather  

0.38

0.05

-86.25

Iron and steel

0.02

0.04

67.38

Electrical machinery and equipment and parts thereof; sound recorders and reproducers, television image and sound recorders and reproducers, and parts.

0.01

0.02

107.79

Articles of iron or steel  

0

0

118.75

Source: Department of Commerce, Ministry of Commerce and Industry, GoI

Summary

India and Bosnia & Herzegovina (BiH) have fostered friendly relations since establishing diplomatic ties in 1995, focusing on economic, technological, and cultural collaboration, with notable progress highlighted during the fourth round of Foreign Office Consultations in 2024. Both nations aim to enhance cooperation in trade, investment, science, and tourism, backed by mechanisms such as the Joint Committee on Trade and Economic Cooperation (JTEC). Trade between the two countries has seen significant growth, with India’s exports to BiH increasing in sectors like machinery, pharmaceuticals, and ceramics, while BiH’s exports to India include inorganic chemicals and wood products. Indian investments, notably by ArcelorMittal, have bolstered BiH’s industrial sector, while BiH’s EU accession prospects present opportunities for Indian companies seeking a European manufacturing base.

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