Indian Business Leaders Say More Trade with US Helps Both Countries

Increased trade between US and Indian businesses increases jobs in both countries and helps official relations between the nations, Indian business leaders said at a June 14 Newsmaker press conference.

Rajan Bharti Mittal, president of the Federation of Indian Chambers of Commerce and Industry, and Amit Mitra, the group’s secretary general, said continued investment by Indians in U.S. companies would increase the efficiency of American companies.

“If jobs are moving (to India), we have to realize they are wasting efficiency in American companies,” Mittal said.

Ranjana Khanna, FICCI’s deputy secretary general, said American companies are better off with Indian investors.

Indian investors have created jobs in the U.S., she said, citing Boeing’s calculation that each Boeing aircraft exported to India creates 10,000 jobs across the 50 states.

Mittal said India’ should be a more collaborative partner with the U.S. in terms of technology transfer. He warned that environmental constraints on Indian business would prevent technological innovations in India, but he said either clean coal or nuclear power would be a viable option to fuel growth with energy.

A better business partnership between the U.S. and India makes sense, Mitra said, because both understand “track two” diplomacy, in which business-to-business representatives engage in conflict resolution and confidence building.

He said this is in contrast to Chinese-U.S. situations where government officials represent state-owned enterprises in negotiations with American private business.

The FICCI representatives said increased trade with the U.S. might face obstacles, including from India’s concern about U.S. policy in the Middle East.

“India’s role has to be defined” in the war on terror, Mittal said.

-- Cal Colgan, [email protected]