India and Taiwan have signed an agreement to address the labor shortage in Taiwan. Taiwan, known for its semiconductor production, has been experiencing difficulty in meeting the demand for workers, leading to a labor shortage in various industries. To overcome this, Taiwan has relied on migrant workers from Southeast Asian countries such as Vietnam, Indonesia, the Philippines, and Thailand. However, with an aging population and increasing demand, Taiwan has sought to diversify its sources of migrant workers. India, with its stable and hardworking labor force, has become an attractive option.
The memorandum of understanding was signed between the de facto embassies in Taipei and Delhi. While specific implementation details are yet to be worked out, the ministry of Labour in Taiwan expressed confidence in the quality of Indian labor. Initially, a small-scale pilot program will be launched, and its success will determine the entry of more Indian workers into Taiwan. The exact number of workers to be allowed in the program is yet to be determined.
It is important to note that India does not have formal diplomatic ties with Taiwan. However, there is a strong business relationship between the two countries. India has actively encouraged Taiwanese tech companies to invest and manufacture in India. This agreement to allow Indian migrant workers into Taiwan can be seen as a further strengthening of this business relationship. Additionally, the move can also be influenced by India’s strained relationship with China, especially regarding their disputed border.
Taiwan has denied previous reports that suggested up to 100,000 Indian workers would be allowed in. The labor ministry in Taiwan has acknowledged the consistent increase in demand for workers in various sectors, including manufacturing, construction, and agriculture. Taiwan’s reliance on migrant workers is expected to continue, and the entry of Indian migrant workers can help address the labor shortage and support the country’s industries.
Overall, the agreement between India and Taiwan to bring in Indian migrant workers highlights the need for labor diversification and the growing business ties between the two countries. By allowing Indian workers into Taiwan, it not only addresses the labor shortage but also strengthens the economic relationship. The success of the pilot program and subsequent entry of more Indian workers will be closely watched.