Japanese firms to up investment in India
June 12, 2006
India is likely
to see a significant fillip in Japanese investment in the near future.
According to an
India Brand Equity Foundation (IBEF) special report titled "Proven Strategies:
Japanese Companies in India", 71% of surveyed Japanese companies in India are
planning to increase their investment including majors like Suzuki, Honda, and
Toyota.
The report was
released ahead of the World Economic Forum's East Asia Summit 2006 in Tokyo on
June 15 and 16, revealed that a majority of the Japanese companies were planning
to expand their production capacity, increase their product portfolio, target
new consumer segments and increase marketshare in India.
The study,
which surveyed 25 successful Japanese organisations in India, highlights best
practices adopted by Japanese companies to succeed in the Indian market. The
report also includes profiles of 17 Japanese companies with businesses in India
in diverse sectors.
"This report
should serve as a strong proof point for Japanese companies looking at globally
competitive investment destinations. The companies profiled here are a small
sample of the 300-plus Japanese businesses that are thriving in India, today. I
invite more Japanese companies to put their faith in the world's fastest-growing
free market democracy," Nath said.
"There is an ideal match between the technology and finance of Japan and skilled and relatively inexpensive labour of India. This can be harnessed further to deliver quality products to the world at competitive costs," Ajay Khanna, CEO of IBEF, said.
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