Why Modi met the Swedish prime minister in Gothenburg

Since the financial crisis of 2009, the economy in the Gothenburg region has grown by more than 70%, placing Gothenburg among the very top tier in Europe. Indian investments have gained momentum, and the number of Indians in Gothenburg has surged.

Both the Gothenburg region’s economy and population have grown at a faster rate than in the Stockholm and Malmö regions, and Sweden as a whole. There are several explanations for this, including Gothenburg’s role as the country’s industrial centre.

“Gothenburg is Sweden’s most important export region and the place through which goods flow in and out of Sweden – and in fact large parts of the rest of the Nordic region. Many companies in Sweden also have their research and development operations in the Gothenburg region,” says Patrik Andersson, CEO of Business Region Göteborg.

“The share of highly educated people in engineering and natural sciences is exceptionally high, and demand for this type of expertise is only growing.”

Largest Indian population in Sweden

Indian expertise and Indian-owned companies have also taken on an increasingly prominent role in the region’s development.

“Something happened ten years ago, starting when Indian company HCL took over parts of Volvo IT’s operations. Since then, relations between India and Sweden have intensified, especially here in Gothenburg. From 2015 until now, we have seen around 20 Indian companies establish a presence in the region,” says Patrik Andersson.

Three examples are the industrial consultancy Tata Technologies, the software company Infosys, and KPIT, which provides new mobility solutions to the automotive industry. A fourth is the newly established automotive components company Artifex Systems. Altogether, Indian-owned companies employ close to 2,000 people in Gothenburg.

At the same time, immigration of highly educated people from the world’s most populous country has accelerated. In just one decade, the Indian immigrant group has quadrupled. Today, there are more residents born in India in Gothenburg than in Stockholm. 1.8% of Gothenburg’s population has this background, or about 13,000 people in the Gothenburg region.

“Many people work in our large companies, typically the Volvo companies or AstraZeneca. But many also come here to study, at master’s or doctoral level. Indian researchers are also becoming increasingly common,” says Patrik Andersson.

This rapid development has attracted interest from Indian journalists. On 16 May, Indian public service media visited International House Gothenburg, the region’s support service, run by Business Region Göteborg. Here, newly arrived families and highly educated individuals get help settling into Sweden. The support includes both career and employment, as well as everything else needed for a family to settle well into their new Swedish everyday life.

“We are unique in Sweden in having such a comprehensive soft landing operation, and we receive many study visits from other cities,” says Sheeba Alakkal, business developer and talent advisor at International House Gothenburg.

She herself grew up in Mumbai and meets many newly arrived professionals every week who use the drop-in service at Järntorget. Indians are the largest group of clients at International House Gothenburg, accounting for more than a thousand visits per year.

Aiming to become the hub for growing Nordic exchange with India

To meet the increased interest in Gothenburg – and allow Sweden to benefit from India’s strong growth – Business Region Göteborg has intensified relations over the past two years at the initiative of the local business community and the Swedish-India Business Council. Last winter, interviews were conducted with a large number of companies in both countries to better understand future needs and opportunities.

“The potential we have is very large. That’s why in April I presented my board with a proposal for an India strategy for Gothenburg. We want to be the main hub for increased exchange between India and Sweden – in fact, the entire Nordic region. We want to grow even more together with India,” says Patrik Andersson.

The adopted strategy rests on three pillars:

• Increased investments in both directions, in Sweden and India
• Innovation collaborations in mobility, energy, life sciences, and tech
• Collaborative platforms to generate more business, greater flows of expertise between the countries, and more joint innovation

The new trade agreement between India and the EU opens the doors wide for exports to India, and imports from there, to grow even faster than before.

“This is a mutual desire from the business communities in both countries. We want to increase the pace of innovation both here in Sweden and in India, and increase flows in both directions. And we have high ambitions and it's about mutual growth,” says Patrik Andersson.

International House Gothenburg – supporting international talent

International House Gothenburg has six employees and provides free services to newly arrived Gothenburg residents three days a week. The offering includes guidance through a dedicated Talent Advisory team, open drop-in hours, pre-booked online meetings, seminars, workshops, webinars, and job fairs.

Five years after its opening, visits from international professionals have increased to around 2,500 per year. The goal is to create conditions for people to settle in and continue their careers in western Sweden. International House Gothenburg is run by the city with strong engagement from the business community to deliver a broad, coordinated support system for international talent. It is funded by the City of Gothenburg and Region Västra Götaland.