With the Indian economy going great guns, Japanese SMEs are making a beeline into the Indian market, more so to Tamil Nadu, Andhra Pradesh, Gujarat, Karnataka and West Bengal, where the economic development is booming and steady industrialisation is taking place. Hence to take matters forward a memorandum of understanding (MoU) is likely to be inked soon between the Japan Chamber of Commerce and Industry (JCCI) and the Tamil Nadu government. Apart from locking investments in the state, the MoU will help small business units to form strategic alliances with their Japanese counterparts and become more competitive in the domestic and international markets.
According to JCCI chairman Tadashi Okamura, Japanese SMEs with advanced technical capabilities can help Indian manufacturers gain an edge through technology transfers, greater employment opportunities and human resources development. Okamura was speaking to the media at a FICCI meet on ‘India-Japan Economic Partnership: The Way Forward’ in New Delhi recently. Dwelling on the MoU, he said that the agreement would encourage JCCI members, especially manufacturers, to take more interest in India and accelerate their expansion plans here.
After China and Vietnam, India has been regarded as the most promising market for overseas business in the Asian region, proclaims a survey conducted by the Tokyo Chamber of Commerce and Industry. Industry statistics reveal that Japanese companies have been venturing into India at a faster pace over the last couple of years. The number of Japanese firms and offices in India reached 725 and 1,236, respectively, in October 2010 as against 438 firms and 555 offices in January 2008.
