Goyal notes $43bn Japanese FDI in India
Japan is helping India increase the share of manufacturing in India’s GDP to 25%, Commerce and Industry Minister Piyush Goyal said in his keynote address at the India-Japan Economy and Investment Forum on 21 Feb https://www.jpx.co.jp/english/.
Both countries are collaborating to build globally competitive brands, citing the example of Japanese origin automobile manufacturer in India Maruti exporting vehicles to various countries, including Japan http://marutisuzuki.com.
Japan has been a key ally in India’s economic growth, with Foreign Direct Investment (FDI) from Japan exceeding US$43 billion between 2000 and 2024, making it India’s fifth-largest source of foreign investment, the Minister highlighted http://jica.go.jp.
Goyal also gave an update on the Comprehensive Economic Partnership Agreement (CEPA) signed in 2011 which has significantly strengthened bilateral trade, with over 1,400 Japanese companies operating in India https://www.conexpoconagg.com/.
He informed that 11 industrial townships across eight states are hosting Japanese enterprises https://sbi.com.in/.
Major infrastructure projects such as the Mumbai-Ahmedabad High-Speed Rail and metro systems in Delhi, Ahmedabad, Bengaluru, and Chennai reflect Japan’s active participation in India’s development.
He expressed optimism about the commencement of the Shinkansen bullet train service between Mumbai and Ahmedabad in the near future.
He re-emphasized that trade, technology, tourism, and investment will remain key pillars of India’s international economic strategy, with the partnership with Japan playing a crucial role in strengthening economic ties.
He reiterated that large-scale investments will coexist in India with MSMEs to provide global solutions https://www.makeinindia.com/home/.
On quality standards, the Minister stated that Japan serves as a benchmark for excellence and that India seeks to adopt similar high standards in manufacturing. He noted that Indian manufacturers are being encouraged to embrace ‘Kaizen’ (continuous improvement) and Lean Six Sigma principles to enhance quality and efficiency.
He further stated that efforts are being made to balance trade between India and Japan, with a focus on increasing Indian exports to ensure reciprocal benefits.
The Minister invited participation in India’s growth story, particularly in green energy, renewable energy, high-tech manufacturing of semiconductors, electronic goods, and artificial intelligence.
He emphasized that digital technologies will drive progress towards prosperity, reinforcing India’s commitment to innovation and sustainable development. Fiinews.com