Mumbai: India is well positioned as a major investment destination for the global community, particularly the US. Its macroeconomic stability, resilience and ability to deal effectively with external shocks and the government’s proactive initiatives are making India a large and approachable market that is capable of yielding steady and attractive returns to investors in the medium-to-long term.
The US has been one of India’s most important trading partners. Bilateral relations between India and the US have been cemented further in the last two years, touching political and economic aspects such as increased issuance of visas, visits by dignitaries, initiatives to combat terrorism, as well as trade. Both countries now aspire to increase bilateral trade to the tune of 500 billion USD from the current 100 billion USD plus annually.
These observations are part of the joint PwC and Indo American Chamber of Commerce (IACC) report titled ‘Winning together: Investment opportunities and synergies for US and India’, which was launched here today.
The report highlights ten sectors that are earning rich dividends through the joint efforts of Indian Government and industry. The sectors, namely, Aerospace and defence, Banking, Financial services and insurance, Chemicals, Dedicated freight corridors, Energy, Infrastructure, Ports and inland waterways, Oil & gas, Pharma and Digitisation have immense future potential not just for domestic growth but also for strengthening India’s position as a global business hub.
Dwaraknath E.N, Partner - US Business Group, PwC said, “Activities in India are at an all-time high. India continues to open up its sectors to global companies with reforms such as raising FDI limits, dropping licenses and regulatory barriers, and inviting high-tech solutions. The high rate of economic growth and projections for coming years indicate that India will continue to be a preferred investment destination.”
Ranjana Khanna, Secretary General, IACC said, “US – India partnership is the defining partnership of the 21st century; transcending beyond the bi-lateral. US is the second largest trading partner of India with a growth potential of bilateral trade increasing to dollar 500 billion in the near future. The driver for India’s economic growth will be trade driven. During the last couple of decades the economies of china, Germany, Japan, Korea have all been driven by trade.”
The IACC Annual convention deliberates on the economic synergy and cover co-production and co-development and joint research & development. The partnership has to extend beyond the bilateral into multilateral fora. The current opportunity sectors are Defence and Aerospace, Infrastructure: Inland Waterways, Ports, Shipping & Highways, Digital India for Inclusive Growth; Energy: including Renewable, Technology in Heavy Industries, Railways and Freight Corridors, Pharmaceuticals and the most critical financial sector. The key challenges and issues impacting the growth of partnership in these sectors will be deliberated on an Industry Policy Maker Platform, with the knowledge partner, and the recommendation will be presented to both governments. These are extremely relevant in light of the forth coming bilateral Commercial and Strategic dialogue in the following week.
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The Indo-American Chamber of Commerce (IACC), established in 1968, is the apex bi-lateral Chamber synergizing India-US Economic Engagement. It was started by Ambassador Chester Bowles along with the then Industry leaders and visionaries like Mr. S L Kirloskar, Mr. Harish Mahindra, Mr. H. P. Nanda, Mr. Ambalal Kilachand, Mr. A. M. M. Arunachalam, Mr. Frederick Fales and Mr. John Oris Sims for enhancing US India Economic Engagement. Today IACC has pan India presence with 2400 members at 12 locations, representing cross section of US and Indian Industry. The major objective of IACC is to promote Indo-American business, trade and economic relations. IACC promotes bilateral trade, investment and technology transfer, facilitates business collaborations, joint ventures, marketing tie-ups and strategic alliances through a set of proactive business-oriented initiatives.
IACC acts as a catalyst for sustainable growth of business between India and the US.. In essence, IACC also acts as a forum for its member companies to interact with senior functionaries of both the Governments. IACC member companies are involved in a cross-section of business domains such as manufacturing, engineering, construction, consumer goods, electronics, IT, pharmaceuticals, consulting, travel and tourism, etc.
The geographical spread of IACC is unique as it operates through 12 offices located throughout the country. These are in Ahmedabad, Bangalore, Bhubaneswar, Chennai, Cochin, Delhi, Hyderabad, Kolkata, Mumbai, Pune, Varanasi & Patna.