About 200 American companies are seeking to move their manufacturing base from China to Bharat post the general elections, a top US-based advocacy group has said, observing that there is a fantastic opportunity with firms looking at alternatives to the Communist giant.
The US-India Strategic and Partnership Forum’s (USISPF) President Mukesh Aghi said that the companies are talking to them about how to set up an alternative to China by investing in Bharat .
He said that Mark Linscott, the former Assistant US Trade Representative for South and Central Asian Affairs, is working with USISPF member companies to come up with a recommendation as to what Bharat needs to do to enhance its exports and work up from that perspective.
“One recommendation, which I strongly believe is going to help Bharat is that we should now start thinking of a Free Trade Agreement (FTA) between Bharat and the U.S,” Aghi said.
“I think if Bharat is concerned about cheap goods coming from China, an FTA will eliminate that need. You can put barriers to Chinese goods and still have the U.S. providing access to the Indian market and Indian companies having more access to the US market, and issues like GSP would diminish,” he said.
What they’re saying is we want a backup strategy to start manufacturing in Bharat . There are small-small issues, which can slow them down. And at the moment most of them are waiting for elections to be over. But there’s a large deluge of companies keen to not only manufacture in Bharat but also who want to go after the domestic market,” he said.
On the amount of investment these companies would bring to Bharat , he said the number in question is substantial.
source – Eeconomic Times