Diplomatic relations between India and Spain were established in 1956 with the opening of the Spanish Embassy in New Delhi. In 1958, the Indian High Commissioner in London was concurrently accredited to Spain. The first resident Ambassador was appointed in 1965.

The relationship between both countries is very cordial and friendly.

There have been several bilateral visits between both countries which includes the visit of King Juan Carlos I in 1982 and recently the visit of Jose Luis Rodriguez Zapatero to India in July 2006.

Spanish and Indians share several common characteristics - both have great affinity and a strong sense of duty towards family. Also, just like Spain, India is also influenced by its collectivist past hence a sense of identity and belonging to a group is an integral part of our society. Therefore, it is natural for the two countries to come together for conducting business.

Spain is India´s 14th largest export market and the trade relations have growing: Bilateral trade has increased from around $900 million in 2000 to $2.7 billion in 2005. There is a growing trend of setting up of Indo-Spanish joint ventures in India. Some major Indian companies in automotive, pharmaceutical and information technology sectors are present in Spain.

At present, around 40 small or medium-sized Spanish firms have offices in India. Sectors that Spain is interested in increasing investment here are IT, electrical, civil aviation, railroad, highway, tourism, automobile manufacturing, communications, constructions and others.