News 24 bureau
New Delhi: The CII Business & Trade delegation comprising of Small and Medium Enterprises (SMEs) explored Trade & Business opportunities in the states of Illinois (Chicago), Washington DC, Indiana (Indianapolis) and Ohio (Cincinnati). As part of the five day visit, the delegation met with US Government officials including Senator Richard Lugar, Senate Foreign Relations Committee; Under Secretary Francisco Sanchez, US Department of Commerce; Greg Ballard, Mayor of Indianapolis; Todd Rokita, Indiana Secretary of State and the representatives from the US Commercial Service as well as Ohio Department of Commerce.
SMEs form the backbone of both the Indian and the US economy. Their contribution to overall economic growth has been increasing rapidly. Creating a facilitative business and policy environment remains crucial to strengthening economic recovery, stimulating growth and creating jobs in both countries, said Mr Hari Bhartia, President, CII, at the Inaugural Meeting of the US India SME Forum, in Washington DC on 21 September 2010. He outlined infrastructure, low cost manufacturing, agriculture, social services including education and health as priority sectors to tap into, while exploring commercial opportunities in India.
The recently launched Indo-US SME Forum will engage the CEOs from midsize companies in each country to work towards facilitating a policy enabling environment for SMEs, highlighting the concerns of SMEs in US and India, leveraging technology and sourcing, finding opportunities for bilateral commercial engagement as well as strengthening the global supply chain management systems
Contribution of SMEs in trade engagement as well as cross border M&A is increasing. Involving SMEs from both sides will help in achieving bilateral trade targets, mentioned Mr T T Ashok, Leader of the CII delegation and Deputy Chairman, CII Southern Region.
He added that for US companies, it is useful to invest in Indian SME sector as there are many synergies between the two sides. SME represent a good low-investment high-return opportunity for US SME, who can source niche products from here. Indian SMEs are flexible, reliable, quality conscious, and adaptable. Intellectual property rights are well-respected in India as well.
The next phase of growth in India-US bilateral economic relations will come from the SME sector. US Department of Commerce has initiated a Growth in Emerging Metropolitan Sectors (GEMS) program to accelerate business growth and will form great markets for U.S. and Indian businesses. This platform will provide the much-needed impetus and with President Obama’s forthcoming visit to India, we want to take Indian and US businesses to the next level of partnership, said Mr Chandrajit Banerjee, Director General, CII.
He added that the SME Initiative presents a ''win-win'' opportunity for both sides and enriches the global value chain to mutual advantage, encouraging companies to explore beyond the well known metros. High-technology Indian firms involved in areas such as nanotechnology, software and IT services, precision engineering, design and research, etc. match well with the US competencies. Conventional industries such as auto components, chemicals, pharmaceuticals, textiles and apparel, food processing, etc. where the US enterprises also have strong capabilities are sectors of high performance in India. Therefore, a strong partnership of the SME sectors of the two sides is natural.
The 25 member CII delegation included entrepreneurs with interest in diverse sectors such as Energy – Power Generation and Distribution, Nuclear, as well as Renewable Energy; Cement, Mining, Steel, Metallurgy, Education & Training, Information Technology, Media, Entertainment, Manufacturing, Automotives, Engineering, Food Processing, Retail and Agri Business that represent the Indian industry, from across India. During their business-to-business meetings, the delegates interacted with their counterpart organisations from the US to explore opportunities for bilateral business cooperation such as Joint Ventures, Collaborations and Technology Transfers.
The CII delegation during the course of their visit to the US were hosted by Chicago Council on Global Affairs, US India Business Council, World Resources Institute, Indiana Chamber of Commerce, Indiana Economic Development Authority, Cincinnati USA Regional Chamber, Ohio Department of Development, and the India US Business Alliance.