Do not fear the giants: India

Acting Indian High Commissioner to Sri Lanka Arindam Bagchi yesterday called on the Sri Lankan business community to look at trade opportunities objectively, insisting that it should not fear the “giant” factor.

Speaking at the ‘Growing with Giants’ forum, Bagchi said that there was new dynamism to strengthen trade ties. 

This was also reflected in the Indian Prime Minister’s neighbourhood first vision, he said.

He assured that unless it was a win-win situation for both sides business deals do not happen, while telling a packed business community to look at this great opportunity and take advantage of the fact that most other counties are waiting to enter.

Stating that the Indian economy is expected to grow at 7.4%, he said half of its population was within the age of 25 and willing to take risks, innovate and consider themselves more as global citizens, where other countries were facing an ageing population. 

“This youth will be the new dynamism of India which will drive the economy,” he added, saying its geographical location fits well.

Looking at these great opportunities for economies to expand, he pointed out that India has housed many international and multinational companies, helping them set up industries and become a partner of choice for global players.

“India will be more open in the future with every incentive to remain more integrated and not less integrated with the outside world. There is great consensus India will thrive in the global economy for many years,” he noted. 

Despite being multi-cultured and multi-regional and sporting numerous caste differences, he said India would remain a global example that one need not sacrifice personal liberties in the pursuit of social matters. “It will take some time, but we believe in taking everyone along. There is a brand India and I am confident it is here to stay.”

Reflecting on some of the initiatives the Government of India has taken in the recent past to make doing business easier, he cited the more than 7,000 reforms to the digital economy, new laws, arbitration and custom clearance.

Geographical location, a longstanding relationship and investment and trade opportunities were highlighted as key points for Sri Lanka to benefit from this major opportunity. 

Acknowledging that India has been a strong investment partner for Sri Lanka, he stressed that over $ 1 billion in accumulated investments were made in the past while another $ 1 billion was in the pipeline.

“Indian companies ventured into Sri Lanka, set up businesses, created jobs, brought in technology, knowhow and have been a true friend through thick and thin. We hope trade between the two countries will further expand going forward,” he stated.

Bagchi also said that they were delighted to have joint ventures on port development, partnering businesses, the construction of roads, renewable energy and the LNG sector.

He said Sri Lanka has excellent strengths in niche products and the companies have well understood this and if there are difficulties in setting up alone in India he encouraged joint ventures to enter the growing value chains.

“We would encourage Sri Lankan companies to partner and enter the value chain of large Indian companies, which will also interest Indian companies to use Sri Lanka as a source market.”