The Indian rule seems to require all data be stored strictly inside India, without any of it being stored outside the country. The EU permits data to be transferred outside the EU under a number of circumstances: e.g. if the other country has equivalent data protection laws, if the non-EU company you're transferring the data to has promised to abide by the EU rules, stuff like that. Take this with a grain of salt, of course, because I'm not a lawyer, but that's how I understand it.