It is evident that by now, Modi has
convinced two Asian’s giants to associate with India in their growth pattern. Japan
and China accept India as a leading business hub in this continent. Japan has
absolutely no problem to strengthen economic, social, financial and cultural
ties with India and the same can be escalated years-after-years. China, whose population,
economic growth, higher GDP as compared to India, give them a little more
advantage and so Modi has rightly wooed their President to augment the
relationship both economically and socially. But compared to Japan, China is
not that dependable. They are interested more on the economic front rather than
deescalate the social and people to people issues. Now, If Modi wants to
quickly take India in his stride to make a superpower, he has to increase his
clout to augment more investment from various European countries. Further, He
has to extend his reach and grabbed the attention of EU members apart from the world’s
two most developed countries, namely USA and UK. In this way, perhaps Modi and
India under his stewardship will emerge as a superpower in another three to
five years of time.
The one country of Europe is
Sweden, who is very keen to take advantage of the long overdue and negotiated
Free Trade Agreement between India and its largest trading partner European
Union.
Sweden is one of the countries
whose products are superb. They have technological advancement, qualitative
enrichment and pricewise is also competitive
worldwide as many of their companies are now manufacturing their products locally and rigorously marketing the same in domestic
markets. In fact, their ambassador
Harold Sandberg is very optimistic to enhance the power of economic fronts
between the two countries. In a recent symposium held at Bangalore, he emphatically
echoes his voice that no sooner some contentious issues of proposed FTA are
resolved, the business growth undoubtedly is envisaged at a rapid pace. He also
says that more than fifty percent of Sweden’s revenues takes place through
trading channel and FTA will be definitely a more lucrative proposition. His perception,
of course, is very clear that only to sign a treaty will not make prosperous
both the countries unless there is a
win-win situation to flourish the economic situation, in reality.
This FTA is likely to be signed
after Modi completes his visit to the USA. The EU is in the process to sign
similar types of pacts with the USA and Japan.
Sweden is very keen to establish their
third business hub in Bangalore after New Delhi and Pune. They are well
equipped in research and development to increase value addition of their
products and they will augment their facilities in these places to supplement
their business activities. As per the last financial data, Sweden has already
invested 1.8 billion US Dollar in India in the year 2013. They are contemplating
to increase their figure to double by this year. They are closely monitoring the
business friendly environment under Modi’s stewardship, scale of economic boost
up, promising future in manufacturing sectors and overall growth prospect in
many other business sectors. Considering these facts, Sweden is far more proactive
about their proposed investment in India.
Sweden is very strong,
technologically in the urban transport sector, renewable energy and solid waste
management. The Swedish companies in these sectors are very keen to establish
their business ventures here to accrue the benefits for both the countries.
This country is the second largest in Europe with respect to GDP per capita and
has a huge stake in the Indian market through their very brand image conscious companies,
namely ABB, SKF, AstraZeneca, Volvo trucks & Scania. In all probability, Volvo Cars might set up a state
of the art and very modern plant in the Koral district near Bangalore. Another
Swedish company Scania is also ready to invest a considerable fund for its bus
production facility. IKEA has already obtained an approval from the government for
its 10,000 crores and above investment. It is sourcing its merchandise locally
and on the spree to add more local suppliers. The state government is also
showing interest to woo various other Swedish companies so that that a
considerable presence of these companies are seen in India, particularly in
Karnataka. In fact, in the mid and small segments, the Swedish companies,
namely Autolive, Partex, Envic and Comsol are excellently performing as far as
business is concerned with this state.
The business climate study conducted
by the Swedish Embassy shows a promising future of economic growth, coherence
of business environment,technological upgradation, enhancement of employment
and they predict the way the present government under Modi is scaling up its
business front, the Swedish companies are ready to stay here. Not only that,
many more companies of Sweden are energized to open their ventures in India.
They equally hope for the less
red-tapism, good governance, friendly business environment and if that happens
quickly, both the countries will be able to increase their business growth
considerably.
If Modi can extend his power of charisma to
Japan and China and the same is bestowed
upon some of the prominent European countries like Sweden, Germany, Finland and
Denmark, I don’t think he will take much time to emerge as a world hero in all
fronts, economically, socially and politically. Let’s wait and see, but I am
very hopeful that under his able guidance, India will be a superpower and there
is no doubt about the same.
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