Page 72 - IACC Newsletter August-September 2013 Issue 13

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The two leaders recognized that the bilateral relationship enjoys strong support in both countries, which has allowed the
strategic partnership to flourish even as the governments change. Welcoming the wide range of collaborative activities
undertaken to improve their citizens’ lives, both leaders agreed to revitalize the existing partnership and find new areas
for collaboration and mutual benefit.
Economic Growth
Noting that two-way trade has increased fivefold since 2001 to nearly $100 billion, President Obama and Prime Minister
Modi committed to facilitate the actions necessary to increase trade another fivefold. President Obama and Prime
Minister Modi recognized that U.S. and Indian businesses have a critical role to play in sustainable, inclusive, and job-led
growth and development.
In order to raise investment by institutional investors and corporate entities, the leaders pledged to establish an Indo-
U.S. Investment Initiative led by the Ministry of Finance and the Department of Treasury, with special focus on capital
market development and financing of infrastructure. They pledged to establish an Infrastructure Collaboration Platform
convened by the Ministry of Finance and the Department of Commerce to enhance participation of U.S. companies in
infrastructure projects in India.
In this context, the U.S. government welcomes India's offer for U.S. industry to be the lead partner in developing smart
cities in Ajmer (Rajasthan), Vishakhapatnam (Andhra Pradesh) and Allahabad (Uttar Pradesh). The Prime Minister will
welcome two trade missions in 2015 focused on meeting India’s infrastructure needs with U.S. technology and services.
They also committed to a new partnership to advance the Prime Minister's goal of improved access to clean water and
sanitation for all. USAID, through the Urban India Water, Sanitation, and Hygiene (WASH) Alliance, will serve as
knowledge partner to help leverage private and civil society innovation, expertise, and technology, such as with the Bill
and Melinda Gates Foundation, to support the Prime Minister's 500 Cities National Urban Development Mission and
Clean India Campaign.
The President welcomed the Prime Minister’s ambitious plan to extend basic financial services to all its citizens, giving
them powerful tools to manage their finances and more fully participate in India's growing economy. The President and
Prime Minister underlined the important contribution that U.S. locomotive technology, equipment to monitor rail
system assets, and U.S. best practices can play in modernizing India’s vast railway network, including accessing programs
of U.S. Trade and Development Agency in this work.
The leaders discussed their concerns about the current impasse in the World Trade Organization and its effect on the
multilateral trading system, and directed their officials to consult urgently along with other WTO members on the next
steps. The leaders committed to work through the Trade Policy Forum to promote a business environment attractive for
companies to invest and manufacture in India and in the United States. Agreeing on the need to foster innovation in a
manner that promotes economic growth and job creation, the leaders committed to establish an annual high-level
Intellectual Property (IP) Working Group with appropriate decision-making and technical-level meetings as part of the
Trade Policy Forum. They recognized in particular the contribution of the Indian and U.S. Information Technology (IT)
industry and the IT-enabled service industry in strengthening India-U.S. trade and investment relations.
The two leaders committed to hold public-private discussions in early 2015 under the Commercial Dialogue on new
areas of cooperation, including innovation in advanced manufacturing. In order to share best practices in manufacturing
and work toward greater harmonization of standards, the National Institute of Standards and Technology’s
Manufacturing Extension Partnership program will start a dialogue with Indian counterparts. The two countries plan to
work expeditiously through several joint initiatives to facilitate greater confidence in cross-border trade and investment.
The President also offered to support the Prime Minister to achieve his goal of preparing young Indians for 21st century
jobs through new partnerships to share expertise and global standards for skills development in India, including by
reinvigorating the Higher Education Dialogue.