Many Japanese investment projects delayed in India: the Japanese minister
Many investment projects in India have been delayed and Indian government support is vital to restore them, Japan’s Deputy Minister of Economy, Trade and Industry said on Wednesday. Japan’s Deputy Minister of International Affairs, Ministry of Economy, Trade and Industry Hirose Naoshi at the ICN Partnership Summit said India must maintain its openness to the international market to attract foreign direct investment and provide an attractive business environment.
“Japanese companies have over 200 exciting investment projects in India, including building factories and expanding production lines. However, many of them have been delayed or postponed. Support from the Indian government is vital to restore these investment projects, ”Naoshi said.
There is a widely shared perspective that India is no longer just a market but also an export base. However, attracting foreign direct investment is very competitive in the global economy, he added.
“… For foreign companies to choose India as an investment destination for exporting, it is very important to provide an attractive business environment.
“There is also a need to provide inputs and parts, as not all inputs will be available nationally. Therefore, it is necessary for India to maintain its openness to the international market in order to improve its position in the global supply chain, ”Naoshi said.
India has set a target for India to be self-sufficient to play an important role in the global supply chain and is working to attract investment with the launch of a production-linked incentive program. , he added.
“I expect the India-Japan Industrial Competitiveness Partnership to contribute to India’s independence and the Make in India initiative,” Naoshi said.
He also noted that the cooperation between Japan and India is not limited to bilateral relations.
“It goes without saying that in the modern world, it is unrealistic to be self-sufficient in relation to the economy. We must avoid over-reliance on a market source and ensure that the chain supply will operate efficiently even in emergency situations, ”Naoshi says.
Japanese Ambassador to India Satoshi Suzuki said that due to COVID-19 restrictions, the global supply chain has been severely affected, resulting in high supply costs, semiconductor shortage and a rise in oil prices which affected manufacturing and sales in many countries, but the Indian economy continued to grow.
“Japan has attached great importance to the partnership with India – the world’s largest democracy,” Suzuki said.
He said more than 1,400 Japanese companies have invested in India.
“Despite the various challenges of the global economy, around 70 percent of the 281 Japanese companies that have already invested in India, responded that they are ready to expand their business activities in India within the next 1-2 years. C “is yet another positive sign of expectation that Japanese companies have in India,” Suzuki said.
He said that given India’s real potential, investment by Japanese companies has yet to meet expectations.
“For more investment to come from Japan to India, it is essential that the Indian government takes the lead in further improving the business environment by ensuring predictability and stability,” Suzuki said.
Tata Communications Managing Director and CEO Amur S Lakshminarayanan said that India and Japan believe digital innovation fosters a better future and that going “digital” is the foundation for Japan’s progress towards digital. company 5.0.
“We connect Japan to the East, West and Guam via Tata Communication Global Network or TGN. In fact, we are currently investing more in a 9,400 kilometer long cable that should carry commercial traffic.
“This high-capacity cable will support bandwidth-intensive applications thanks to technological advancements in 5G, cloud platforms, IoT and AI,” said Lakshminarayanan.
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