Home / Knowledge / News / Leverage India-US economic engagement by more SME participation, Ms Shankar
Leverage India-US economic engagement by more SME participation, Ms Shankar
16
Apr '09
Ms Meera Shankar, India's Ambassador Designate to the US has underscored the need for greater business involvement of the small and medium enterprises (SMEs) of India and the US to strengthen bilateral economic relations.

Ms Shankar was speaking at an interactive meeting with members of the Indo-American Chamber of Commerce (IACC) in New Delhi on 16th April. SMEs from both sides, she said, should be increasingly involved in transacting trade, technology transfer, joint ventures etc. “Large enterprises in both the countries have the resources and infrastructure to facilitate joint ventures and technical collaborations, but that is not true in the case of smaller enterprises, where some specialized help should be provided, she added.

Ms. Shankar underlined the need to take appropriate steps to further enrich the economic engagement, once the economic crisis bottoms out. She specifically referred to the decline in the share of US investment in the overall FDI received by India. We need to take practical measures to ensure greater U.S. investment flows, given the enormous opportunities and the positive investment climate in India. In the case of portfolio investment, she observed that the Indian stock market seemed to have bottomed out and this was a good time for FII's to return to India.

Attention was drawn by the participants to the modest interest of US investors in investing in the infrastructure sector in India and the general perception among US investors that Indian laws and regulations relating to the infrastructure sector were cumbersome and complex. Ambassador Meera Shankar observed that this was the case in the US as well. “In a democratic dispensation where the rule of law and civil society have a greater say in the conduct of business, such problems often crop up. One way would be for the US companies to go for larger consortium arrangements while bidding and executing infrastructure projects, she added.

Referring to another point of view from the floor that the threshold limit of foreign equity participation in the defense sector should be enhanced, Ms Shankar opined that presently no such measure was contemplated. However, she added that the question of greater flexibility in such sensitive sectors required demonstrable benefits to the home country and that this would build the trust factor, which was critical for taking such engagements to the next level.

Mentioning that cooperation in the ICT sector was a win-win for both the US and India, Ms Shankar said that the Indian IT service companies were working mostly on digital platforms and software imported from the US. Development of this segment in India would naturally boost the demand for such equipment from the US. She also underscored the need for greater cooperation in energy, particularly renewable energy.

Calling for increasing the volume of trade between the two countries, the Ambassador Designate opined that the export basket from India happily had undergone a positive change. There are items like equipment, light machinery etc in the export basket now in addition to traditional items like spices, agricultural items etc that figured earlier.

The meeting was also addressed by Mr S Madhavan, Regional President, IACC, Mr Gautam Mahajan, Executive Vice President, IACC and Dr Vivek Lal, Regional Vice President, IACC.

Indo-American Chamber of Commerce (IACC)

Must ReadView All

Textiles | On 19th Jan 2017

Union Budget: Textile sector expects excise duty revisions

Excise duty on man-made fibres should be reduced to bring it on par...

Apparel/Garments | On 19th Jan 2017

Apparel brand Mango adapts website for Middle East region

Spanish apparel brand Mango has unveiled an adapted version of its...

Apparel/Garments | On 18th Jan 2017

Government considering 100% FDI in single brand retail

The Government of India is looking at allowing 100 per cent foreign...

Interviews View All

Mandeep Nagi
Shades of India

Women value something that is unique and has a flavour of India

Sanjay Yagnik
Maa Tex Speciality

‘We suggest reducing dosage of sizing chemicals to reduce sludge...

Marazban F Velati
Sutlej Textiles & Industries limited

No training can be effective till the candidate believes in it.

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
January 2017

January 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search