US nuke power firms on India visit to boost commerce Tuesday, November 28, 2006 01:47 [IST]
Washington: A host of nuclear power companies have been included in the largest trade mission ever assembled by the US Government visiting India this week to boost commerce with one of the world's fastest-growing economies. The General Electric Co. and Westinghouse Electric Corp are among the first US nuclear power companies visiting India in an official capacity as part of the mission with a total of 239 participants from 189 companies although the India-US civil nuclear deal is not quite done yet. The India mission includes a business summit in Mumbai Nov 29-30 followed by meetings in Kolkata, New Delhi and other Indian cities. Among other companies represented on the mission are such well-known firms as Anheuser-Busch Cos. Inc., Lockheed Martin Corp. and UPS, as well as smaller companies from sectors including health care, industrial machinery and telecommunications. US exports to India last year rose 30.6 percent to about $8 billion, while imports totalled about $19 billion, up 20.9 percent over 2004, according to US Commerce Department figures. India ranks as America's 22nd largest export market, behind the United Arab Emirates and ahead of Thailand. "We have historically been under-performing in that market, and the market itself has been under-performing," Franklin L. Lavin, undersecretary of commerce for international trade, was quoted as saying by The Washington Times Monday. "So you can look through the entire array of what we have to offer, from soybeans to laptops to insurance companies to jet engines, and you can say, does India want this or need this, and the answer's going to be yes," Lavin said. India is a mature economy, Lavin said, larger in population and less affluent in terms of per capita gross domestic product, but with the same range of tastes and needs as the US economy. "So simply getting people to show up, finding the customer base, finding the distribution network, finding the wholesaler who will carry their goods, is a big part of the puzzle for American companies in India," he said. India's economy, which weighs in at under $1 trillion today, is expected to grow to $27 trillion by 2050, according to investment bank Goldman Sachs. By comparison, the $13 trillion US economy is expected to expand to $37 trillion. Lavin last week hailed Indian steps to reduce barriers to trade, including lowering tariffs on industrial goods from an average of 15 percent to 12.5 percent, and extending patent protection last year to pharmaceuticals, farm chemicals and food products. At the same time, he called for more steps to increase trade, including further opening of the retail sector; eliminating limits on foreign equity investment in the financial services and protection of intellectual property rights. "Right now, an estimated 74 percent of software in use in India is pirated, and India is one of the world's leading manufacturers of counterfeit pharmaceuticals," he said. The trade mission is expected to boost US-Indian commerce but not necessarily produce a major announcement. As US-India Business Council President Ron Somers put it, "We're looking for incremental positive steps, we're not looking for big-bang breakthroughs." |