The hotline will connect the Commerce and Industry Ministry and the German Federal Ministry of Economics and Technology.
"(it will be set up) to facilitate resolution of any business-related visa issues that may arise from time-to- -time," the government said in a statement.
The decision was taken during the meeting between Commerce and Industry Minister Anand Sharma and German Federal Minister of Economics and Technologies Rainer Brüderle in Berlin, it said.
Sharma is leading a business delegation of Ficci to Germany. Leaders from the two countries discussed ways to enhance engagement in areas like knowledge sector, science, energy, manufacturing and infrastructure.
Both sides also agreed on cooperating in multilateral fora on combating protectionist tendencies that have emerged recently.
Ficci said the bilateral trade can increase to 20 billion euros by 2012 from the current 13 billion euros if the proposed trade pact with the 27-nation bloc, European Union is concluded expeditiously.