Some facts worth noting mentioning on the eve of the visit are that in 2006, Indo-German Chamber of Commerce (IGCC-DIHK) also completes 50th years as the umbrella organisation of various organisations engaging in bilateral trade. India is the guest of honour this year for the prestigious Frankfurt Book Fair.
Visits of political leaders at the highest level have already been institutionalised under the 'Indo-German Agenda for 21st Century' signed on May 18, 2000 in New Delhi.
Apart from focused deliberations at the official level, there is also the Indo-German Consultative Group consisting of eminent persons from different walks of life and which has its annual meeting alternatively in India and Germany. Suggestions and recommendations of this group bear extreme significance in intensifying bilateral relations.
In 2004, as one of the important bilateral endeavours, India and Germany alongwith Brazil and Japan launched the G4 initiative to become permanent members of the United Nations Security Council as a part of the world body's larger reform.
UN seat: G4, Coffee Club lock horns
Till 2004, reciprocal visits have been a regular phenomenon. Last year was an exception as the last German Chancellor Gerhard Schröder suddenly announced national elections in Germany after his Social Democratic Party had been continuously facing electoral reversals even in its traditional strongholds.
From the parliamentary elections on September 18, which led to a hung Bundestag, till the formation of a 'grand' coalition in mid-October led by the present Christian-Democratic Chancellor Merkel, the German political landscape took time to crystallise. It was a beginning of a new era of coalition governance in post-unification Germany.
Coalition governance has not really been an unprecedented development in Germany. Both the traditional rivals, Christian Democrats and Social Democrats, have been time and again including the smaller parties, the Liberals and the Greens, to form governments at state as well as federal level.
Nonetheless, the present grand coalition including both the major parties bearing totally opposite viewpoints in some policy areas, is of a unique nature. It is exceptional because it was formed for the first time after the unification when the old 'Federal Republic' is being transformed into a 'new' Germany.
Most interestingly, for the first time Germany has a lady chancellor hailing from the erstwhile GDR. Some imminent causes behind the formation of this coalition are various unforeseen challenges faced by Germany in a fast-changing global scenario, which in fact required a national consensus.
The first challenge is economic. Being the third largest economy in the world and the powerhouse of Europe, Germany's economic performance has not been up to expectations. Its economic growth and unemployment rate are closely monitored by other European economic powers because Germany is the largest contributor to the European Union coffers.
External competition with other major global economies, structural reforms in domestic key sectors, social security, pension for the elderly and an increasingly ageing population are the challenges faced by Germany to bring its economy back to shape.
The second challenge is political, and it doesn't come from just European integration. Since the European Community has taken the decision to transform the organisation from a purely trading bloc to a political construct and an aspiring global player in the process, Germany has taken over tremendous responsibilities. Especially after the EU's expansion of May 2004, which included ten new member countries from Central and Eastern Europe, Germany's role, not only as a bridge between the West and the East but between the Old and the New, has become critical.
Moreover the rejection of the draft European Constitution last summer by two founder members, France and the Netherlands, has posed fundamental questions for European integration.
Finally, one of the major challenges, which is very contemporary and of paramount importance, is the issue of integration of the young immigrants.
It is worth noting that since the September 11 terrorist attacks in the US, continental Europe has also been facing the threat of terror.
The findings of the role of the 'Hamburg cell' in 9/11, two terrorist attacks in Madrid and London and the killing of Dutch film director Theo van Gogh in Amsterdam in November 2004, have enhanced the importance of integration of the second- and third-generation immigrants, of which a significant section is Muslim.
'Some J&K terrorists trained in Europe'
Social alienation, marginalisation and higher rate of unemployment lead to frustration, which have been manifested in the recent riots in different European cities. But German cities have remained remarkable exceptions in this regard though they have large immigrant communities.
Nevertheless, these challenges have not come in the way of Germany accepting its international responsibilities. Since unification it has been the conscious attempt of German foreign policymakers to see beyond the European horizon and make Germany more noticeable in the global setting. Sending German troups to Afghanistan, as a part of the UN-mandated ISAF, was a part of the effort.
The G4 initiative has also been an important milestone.
In Asia, Germany observes India's growing economic stature with keen interest and due weightage is being given in recent official declarations, even in the agreement forming the present coalition.
Keeping this in view, the Indian prime minister's visit will underscore the continuity in Indo-German strategic partnership and also give additional fillip to Indo-German economic relations.
Though the volume of bilateral trade shows increase since 2004, it is still far behind in comparison with other countries. Some of the grievances of German investors willing to invest in India are justified. However, in the long run India still remains an attractive and reliable partner for German investors, if high-skilled workforce, prospect of profitability, an increasingly knowledge-based society, retail sectors and most importantly observance of copyright acts are taken as some determinants.
Finally, Dr Singh's visit will also be introductory at a personal level. Angela Merkel, after her election as the German Chancellor, has not visited Asia. During Dr Singh's stay in Germany, the schedule of her visit to India may be finalised.
It would also be interesting to observe whether Indo-German strategic partnership would be given extra significance during the half-yearly German presidency of the EU starting from January 2007 onwards.
Being the most influential member of the EU, Germany, during its presidency, has to not only provide crucial guidance for the Union but also in foreign policy initiatives in Asia. India, having a value-based partnership with Germany, should look forward for deeper German involvement in all aspects of bilateral relations in coming years.
The author is Associate Fellow at Institute for Defence Studies and Analyses, New Delhi. The views expressed here are his own
