Page 4 - IACC Newsletter March-April 2014 Issue 03

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President’s Message
Dear Members,
It is election time in India. A new government is slated to take over in May this year. Pollsters are speculating as to what
would be the complexion of the new government. Businesses are debating the future economic policies of the new
government. Significantly, the world capitals are also intensely looking forward to the complexion and policy thrust of the
new government. That is a welcome change in many senses. One, it signifies the maturity if the Indian government and the
inherent strength of its democratic institutions. Secondly, it amplifies that India has emerged as a serious business
destination for investors and are watching every political change in the economy of continental size, because of their stake
in it or the possible interest they will have in the future. Thirdly, India is perhaps, one of the economies that has bucked
the trend and grown even at the worst trajectory of global slowdown, though at a diminishing rate.
Many are debating the possible relationship between India and the US once the new government takes over. It is
important to note two statements made by the U.S. One recently by a group of visiting American business delegation and
the other by the outgoing U.S. envoy in India-Nancy Powell. Let us take the first one. The visiting delegation of US
businessmen observed that Indian and the US trade turnover has the potential to touch US$ 500 billion in the foreseeable
future. The delegation alluded to that whatever the political affiliations that may come into power, the Indo-US
partnership can only strengthen and not otherwise since the foundation is strong and formidable. Ambassador Powell has
made it clear that the next logical sequence in the Indo-US economic partnership is the signing of bilateral treaty on
investment, along pending wish list of the businesses of both the countries.
Mainline political parties in the election fray have come out with their manifestos. One common thread in the policy
apparatus that they have put in place dominant position each party has given for foreign direct investment. Perhaps, one
area that seeks some clarity is in the case of FDI in retail. But there also, IACC believes that the dictum of governance will
be followed and that is a decision taken by a government in good faith and with consultation should be followed by
successive governments unless it is vitiated by mala fide intentions. We hope that this principle will be followed in letter
and spirit by the next government, who will come into power.
Before I conclude, I may remind you as responsible members of this august body, we have to put together an agenda for
the next government listing out priorities and an action frame that have to be carried in the coming days. Please send your
suggestions to the secretariat in this regard so that the felt needs of the chamber are echoed in the national scene. As a
partner in progress and a stakeholder in the development process we have before us the onerous task of playing the
critical role as a facilitator of newer ideations and action frames.
Chella K Srinivasan
National President, IACC