Page 12 - IACC Newsletter October November 2013 Issue 13

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INDO-US Trade News:
With India-US trade crossing $100 billion, US embassy
spokesperson Peter Vrooman on Thursday said
America now aims at promoting people-to-people ties
with India besides working together to counter
terrorism.
Reiterating US President Barack Obama's words that
Indo-US ties would be one of the most defining
partnerships of the 21st century, Vrooman said, "US
was supportive of India's increased role in regional and
global institutions as it has a powerful influence in
South Asia. A strong Indian presence would lead to the
economic prosperity of the entire region."
http://articles.timesofindia.indiatimes.com/2013-12-
06/india/44862322_1_people-to-people-ties-south-
asia-india-us
CommunicationsMinister Kapil Sibal Monday called for
greater investments fromUS-based companies in India
to create jobs and buying capacity for the local
population.
“You need to invest in agriculture, medical (sector),
electronics and education. Unless you help Indian
economy, youwon't be able to increase buying capacity
of Indian consumers,” Sibal said at the the ninth Indo-
US Resurgence Summit held here.
“The (US investors) are interested in selling their
aircraft, defence equipments, but that is not the way to
converge in this partnership.”
According to Indian government estimates, the Indo-
US trade in merchandise goods for the calendar year
2012 stood at $62.85 billion with balance of trade
surplus of $18.18 billion in favour of India.
US wants people-to-people ties with India:
Diplomat
Need more American investment into India,
says Sibal
Source : Times of India
On the other hand, civilian and military orders
placed by India with American companies have
c r e a t e d t h o u s a n d s o f j o b s i n t h e U S .
Notwithstanding the growing trade ties, the US
under its strategic partnership wants to co-develop
new systems for civilian and military purposes with
India.
The minister, who was speaking at the event
organised by the Indo-American Chamber of
Commerce (IACC), also attacked the US government
policy of restricting visas to Indian information
technology (IT) professionals.
“You are a country that talks about liberalisation of
global economy and yet you are increasing cost of
our IT sector by trying to impose restriction on our
people trying to go to US. I don't think this is the right
attitude for partners,” Sibal said.
Sibal added that the trade between the two
countries can rapidly expand, and pointed at the
enormous opportunity for the companies of two
sides to collaborate in areas like manufacture of
consumer durables as there is exponential demand
in India.
“Today because of high wages cost in China,
manufacturing facilities are shifting to India.
Japanese are very keen to invest in India, I don't
knowwhy the Americans don't come forward,” Sibal
said.
“The present import bill of crude oil is about $140
billion. Do you think Indian economy can afford to
import $300 billion of consumer electronics?Wewill
become bankrupt. We have no choice to build
manufacturing sector in our country.”
The day-long summit in the national capital is being
attended by more than 200 delegates representing
companies and institutions from India and the US,
including top diplomats and off icials from
government levels.
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