For the majority of United Kingdom businesses, contemplating either investing in India or exporting to India, the first port of call is UK Trade and Investment where specialist legal and business support is available.
UK Trade and Investment - Asia Task Force
UK Trade and Investment, in the shape of its Asia Task Force, is currently focusing on an expansion of UK exports to India and other Asian markets with a series of high level events designed to bring together company executives and Asian trade experts.
Other country targets for the Asia Task Force are:
- China
- Hong Kong
- Indonesia
- Japan
- Malaysia
- Philippines
- Singapore
- South Korea
- Taiwan
- Thailand
- Vietnam
UK Trade and Investment forecast that within 20 years Asian Gross Domestic Product (GDP) will surpass that of the world’s top seven industrialised nations (G7). With little movement in the UK economy it is the UK government’s hope that the burgeoning Asian export market represents a, not to be missed, opportunity for British business.
UK Trade and Investment in India
For those companies with specific plans to get a foot in the Indian door, another important element in the how to do business in India equation is the UK India Business Council (UKIBC). The UKIBC, backed by UK Trade and Investment, exists, as one of a number of support mechanisms for UK companies that want to do business with, or invest in the sub-continent.
The UK India Business Council strives to be the, “Premier membership-led organisation supporting the UK government in the promotion of trade business and investment between the two countries.” As such it is in a unique position to help UK businesses get established.
Growing Indian Economy – an Opportunity for UK Exporters
With a population now standing at over one billion people, India’s economy is growing rapidly with a predicted growth forecast of 7% for 2011. The expected expansion of the Indian economy together with a range of other factors, including an upgrading of infrastructure, allows company investment in cities other than Mumbai and Delhi.
It is widely accepted that the Indian infrastructure sector will have the capacity to absorb a staggering $500 billion in Foreign Direct Investment (FDI) by 2012. It is vital that the UK economy benefits from this opportunity.
Market conditions in India are further enhanced as the role of the state is reduced and the private sector becomes increasingly significant. Trade barriers also continue to be removed easing the way for more foreign investment.
UKTI recognises the following Indian markets as Investment Opportunities for UK Business:
- Automotive
- Biotechnology
- Financial Services
- ICT Industry
- Media and Entertainment
- Oil and Gas
- Pharmaceuticals
- Retail
- Semiconductors
The authoritative website, Management Today (26 January 2011) carries an article by BG Scrinivas from the World Economic Forum in Davos, which highlights the potential for UK companies doing business in India. Scrinivas has this to say, “Technology is underpinning this progress [economic growth in India]. It has enabled businesses to connect and consequently create a global economy…India has utilised the technology available to support foreign businesses in their local economies… By maintaining this approach, and having a two way relationship, India and the UK can benefit from each other.”
Sources:
Scrinivas BG, How Britain can build a special relationship with India, Management Today 26 January 2011
UK India Business Council, site accessed 28 January 2011
UK Trade and Investment, India, Asia Task Force
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