Japanese Prime Minister Sanae Takaichi has announced 129 private sector cooperation agreements worth over JPY 2 trillion with India, alongside a landmark joint green ammonia project in Odisha that will produce 400,000 tonnes annually, marking a new era in bilateral energy security and industrial collaboration.

The announcement was made at the India-Japan Joint Economic Forum in New Delhi, attended by Prime Minister Narendra Modi. Takaichi emphasised that the green ammonia project would serve as a symbol of a new chapter in energy security cooperation between the two nations.

The project, located in Gopalpur, Odisha, is being developed by ACME Group and Japan’s IHI Corporation, with long-term financial backing from the Japanese government.

It will operate on renewable energy and is expected to commence commercial operations by July 2030, supplying clean ammonia primarily to Japan’s power and chemical industries.

The facility will produce 4,05,000 tons annually, with 2,28,000 tons supported under Japan’s Contract for Difference subsidy program and 1,77,000 tons under the Long-Term Decarbonised Power Source Auction.

This dual framework ensures long-term revenue visibility and strengthens the project’s bankability. The investment is estimated at ₹27,000 crore, making it one of India’s largest green energy ventures. The project is also a cornerstone of India’s National Green Hydrogen Mission, positioning the country as a global hub for clean fuels.

Alongside the ammonia project, Takaichi announced 129 private sector cooperation agreements spanning diverse sectors, with investments exceeding JPY 2 trillion. These agreements involve not only large corporations but also start-ups and small and medium-sized enterprises, reflecting the broadening scope of bilateral economic engagement.

The Japanese Prime Minister highlighted that energy security remains a central pillar of India-Japan cooperation, and under Japan’s Power Asia initiative, both countries will expand collaboration in areas such as enhanced petroleum stockpiling to strengthen regional energy resilience.

Takaichi also noted that Japanese companies are increasingly using India as a base to expand into Africa, with the partnership extending under the Free and Open Indo-Pacific framework to countries across the Global South, including Asia, Africa and Latin America.

This reflects a shared vision of prosperity and stability in the Indo-Pacific and beyond. She stressed that India and Japan will jointly pursue this model of growth, shaping the future of both the Indo-Pacific and the Global South.

The Joint Economic Forum also featured an exhibition showcasing bilateral economic and technological cooperation. The announcements build on the outcomes of the 16th India-Japan Annual Summit, where both leaders reviewed the full spectrum of cooperation and discussed regional and global issues of mutual interest.

The summit reaffirmed the long-standing friendship between India and Japan, rooted in centuries of cultural and civilizational exchange, shared democratic values and respect for the rule of law.

The green ammonia project and the extensive private sector agreements underscore the strategic convergence between India and Japan in energy, technology, and global supply chains.

They also highlight Japan’s commitment to supporting India’s clean energy transition while securing its own decarbonisation goals. This partnership is expected to significantly enhance regional energy security, industrial cooperation, and global climate action.

ANI