Why Indian Tech Companies Are Choosing the Netherlands as Their European Base

2026-06-04 community

Amsterdam, Thursday, 4 June 2026.
A formal Strategic Partnership signed in May 2026 is turning the Netherlands into the preferred European entry point for Indian technology firms — backed by a €10 million joint research fund and a Tata-ASML chip manufacturing deal.

A Partnership Forged in The Hague

The pivotal moment came on May 16 and 17, 2026, when Indian Prime Minister Narendra Modi traveled to the Netherlands to formally sign a Strategic Partnership with the Dutch government [1]. The agreement, which covers cooperation in semiconductors, green hydrogen, artificial intelligence, and talent mobility, marked a significant upgrade in bilateral ties and sent an unambiguous signal to Indian technology companies: the Netherlands is open for business, and it is ready to serve as their European launchpad [1][3]. The visit also opened direct doors to advanced chip manufacturing, most visibly through the Tata-ASML partnership, which gives India a concrete foothold in one of the world’s most strategically sensitive technology sectors [6]. The CDA Foreign Affairs Committee, one of the Netherlands’ major political groupings, had already framed the strategic logic succinctly before the summit: ‘Een strategische relatie met India is geen luxe, maar noodzaak!’ — a strategic relationship with India is not a luxury, but a necessity [4].

What the Netherlands Offers That Other European Countries Do Not

For Indian technology firms evaluating European entry points, the Dutch value proposition is built on several reinforcing structural advantages. The Netherlands offers robust physical and digital infrastructure anchored by two world-class logistics hubs: Amsterdam Airport Schiphol and the Port of Rotterdam [1]. These assets are not merely symbolic; for companies in AI logistics, supply-chain optimization, or digital infrastructure, proximity to Rotterdam’s advanced port ecosystem is operationally meaningful. Shipsy, an AI logistics software company, has already expanded to Rotterdam for precisely this reason, while Artificial Brain, a quantum computing software firm, chose the Netherlands specifically to access its quantum technology ecosystem [1]. Beyond infrastructure, the Dutch ‘triple helix’ innovation model — which connects government institutions, knowledge centers, and private industry in a structured collaboration framework — gives incoming Indian firms immediate access to partnerships that would take years to build organically in larger, more fragmented European markets [1][GPT]. The Netherlands Foreign Investment Agency (NFIA) amplifies this further by maintaining dedicated offices in Delhi, Mumbai, and Bangalore, offering Indian companies on-the-ground strategy advice, ecosystem introductions, and practical setup guidance before they even land in Europe [1]. As Hilde Koning, Executive Director of NFIA India, stated: ‘NFIA India has built strong relationships across India’s innovation and business ecosystem. With teams on the ground in Delhi, Mumbai and Bangalore, we understand the ambitions of Indian companies and help connect them with the right partners, networks and opportunities to successfully grow their business in Europe through the Netherlands’ [1].

The €10 Million Research Fund and the Karnataka Connection

The diplomatic momentum of May 2026 has already translated into concrete financial commitments. On June 2, 2026 — just two days before the publication of this article — India and the Netherlands officially approved a €10 million joint funding call to support collaborative research in artificial intelligence and next-generation chip design [2]. The announcement reflects a bilateral relationship that has rapidly moved from aspiration to allocation. At the sub-national level, the collaboration is deepening in parallel. Around May 17, 2026, Dutch Science and Technology Innovation Counsellor Jan Reint Smit and Deputy Consul General of the Netherlands Anne Cremers met in Bengaluru with Shri Priyank M Kharge, Karnataka’s Minister for Information Technology and Biotechnology, to advance an actionable bilateral agenda for India-Netherlands collaboration in innovation and deep tech [2]. The discussions in Bengaluru specifically explored opportunities in semiconductors, medical technologies, AI, startups, and research collaboration [2]. Dutch Ambassador to India Marten van den Berg articulated the stakes clearly: ‘This synergy in deep tech will not only foster innovation but also secure critical technology supply chains for both India and the Netherlands’ [2]. Looking further ahead, a delegation of 15 Dutch semiconductor startups is scheduled to visit Bengaluru on November 10, 2026, to establish local joint ventures and R&D partnerships — a planned event that will test whether the strategic rhetoric of May translates into durable commercial relationships [2].

Academic Bridges and the Long Game

The India-Netherlands innovation corridor is not solely a government and corporate story. Academic institutions are staking their own claims. In early May 2026, a delegation from UvA Economics and Business (UvA EB), led by Dean Roel Beetsma and researcher Somendra Narayan of the Amsterdam Business School, visited GIFT City — Gujarat International Finance Tec-City — near Ahmedabad, India [5]. GIFT City is India’s leading International Financial Services Centre, bringing together international banks, insurers, fintech companies, and the regulatory body IFSCA under one roof [5]. During the visit, the UvA delegation met with representatives from IFSCA, HSBC, Deutsche Bank, Bank of America, PwC, and BeFree Global, and Dean Beetsma ceremonially rang the opening bell at the NSE International Exchange (NSE IX) [5]. The delegation identified significant demand for executive education in AI, data analytics, risk management, compliance, sustainable finance, and ESG — as well as academic research opportunities in market design and digital assets [5]. GIFT City’s own ambition is considerable: it plans to grow its current workforce of approximately 15,000 employees to over 100,000 through rapid infrastructure development [5]. Dr. Somendra Narayan captured the sentiment of the visit: ‘GIFT City gave us a clear picture of both the opportunities and the responsibility that comes with them. It is a fast-growing ecosystem with strong demand for knowledge, talent, and research’ [5]. The UvA is now exploring options for student internships, project-based collaborations, and joint educational modules with universities in GIFT City [5]. Meanwhile, the India-Netherlands Partnership Roadmap 2026–2030, announced on May 21, 2026, sets the broader framework for this expanding relationship, encompassing trade, technology, water management, sustainability, and global innovation over a multi-year horizon [7]. For Dutch startup founders, innovation managers, and policymakers, the signals converging in the first half of 2026 are difficult to ignore: a formal strategic treaty, a €10 million research fund, active state-level diplomatic engagement in Karnataka, real company case studies in Rotterdam, and now an emerging academic bridge through GIFT City. India, with a population of 1.47 billion [4], an annual economic growth rate of approximately 7% [4], and the status of one of the world’s largest economies [4], is not a peripheral opportunity. For the Netherlands, positioning itself as the gateway of choice is a calculated strategic bet — and as of June 4, 2026, the early evidence suggests the bet is being taken seriously on both sides.

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India-Netherlands innovation gateway