Finance Minister of India Identifies Opportunity for Japan to Invest in Davos

By: EconomyWatch   Date: 30 June 2010

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Union Finance Minister of India, Mr. P Chidambaram has invited top Japanese investors for directing more Foreign Direct Investments into India. He identified major infrastructure areas of power and airports for higher investment flows from Japan. The total foreign direct investment from Japan to India has been USD 2.1 billion, which is very low compared to its potential.

In the breakfast meeting organized on the sidelines of the Annual Meeting of the World Economic Forum at Davos, Switzerland, the Finance Minister said that the Japanese should pay more attention to India.

The Confederation of Indian Industry in collaboration with the Ministry of Tourism is organizing the India Everywhere campaign at the annual meeting of the World Economic Forum at Davos this year.

With regards to the airports sector, Mr. Chidambaram said that opportunities are emerging in Chennai, Kolkata and 30 smaller airports. He added that and Japanese corporations would gain by investing in Indian airports.

Keeping in view the power sector, the Finance Minister said that five new thermal projects for generating 20,000 MW of power are to be finalized by December 31, 2006. These projects will provide large opportunities to capital goods suppliers in Japan as also to the power producers.

The Government will provide the projects based on the lowest bid based on tariff to be charged for supply of power. All clearances for the project will be provided before the bid is awarded.

Identifying to the food processing industry the Finance Minister said, that only two to three per cent of agricultural products are processed in India and it is a great opportunity for Japanese investors for making investments.

Mr. Chidambaram finally told that in his recent visit to Japan he was enthused by the good response from business and political leaders towards India.

The President of CII, Mr. Y C Deveshwar, in this context remarked that India was looking at value added exports from India and therefore would like to see Japanese investments for processing raw materials.


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