By Joanna Mazurkiewicz, Office Director of Indo-Polish Chamber of Commerce & Industries (IPCCI)
The Make in India program includes major new initiatives designed to facilitate investment, foster innovation, protect intellectual property and build best-in-class manufacturing infrastructure. Doing business in India just got easier – new de-licensing and deregulation measures are reducing complexity, and significantly increasing speed and transparency.
India’s manufacturing infrastructure and capacity for innovation is poised for phenomenal growth: new smart cities and industrial clusters are being developed in identified industrial corridors featuring connectivity, new youth-focused programs and institutions dedicated to developing specialized skills.
With the easing of investment caps and controls, India’s high-value industrial sectors – defense, construction and railways are now open to global participation. Policy in the defense sector has been liberalized and the FDI cap raised from 26 percent to 49 percent. Portfolio investment in the defense sector is permitted up to 24 percent under the automatic route. FDIs are now allowed in the defense sector for modern and state-of-the-art technology on a case to case basis. When it comes to rail infrastructure, FDIs up to 100 percent are now allowed in projects such as: suburban corridor projects through PPP, high speed train projects, dedicated freight lines, rolling stock including train sets and locomotive/coach manufacturing and maintenance facilities, railway electrification, signaling systems, freight and passenger terminals, infrastructure in industrial parks, mass rapid transport systems.
Most importantly, the Make in India program represents an attitudinal shift in how India relates to investors: not as a permit-issuing authority, but as a true business partner. That’s why dedicated teams will guide and assist first-time investors, from the point of arrival.
There are 25 sectors which have been bookmarked for investments which include, construction, automobiles, tourism, defense, pharma, mining, renewable energy, food processing etc.
Poland can collaborate with India in mining, renewable energy, food processing and pharma. There is a lot of interest from Polish companies and there are two business delegations planned in October. One is to Bangalore at the beginning of October and the second is around October 25 to Mumbai and Punjab focused on Agriculture and Food Processing.
IPCCI (Indo Polish Chamber of Commerce & Industries ) in conjunction with the Embassy of India and Ministries of economy, agriculture and foreign affairs are quite active in promoting ties between the countries and have two more planned visits on the agenda up to the end of 2015.
There is huge momentum between the two countries and most can be gained by SMEs from both countries as they are the ones behind the success of trade and industry between India and Poland.