Tokyo, September 2
A day after Japan pledged $35 bn investment, Prime Minister Narendra Modi today pitched for India as a manufacturing destination, inviting investors to the country saying the era of “red tape” has been replaced by “red carpet”.

In his address to Japanese investors at a business symposium organised by Nikkei and Jetro — Japan’s trade promotion body — Modi talked about his vision of “Make in India” and cited the decisions of his 100-day-old government to promote business.

“No other country offers such an opportunity” as India, given the fact that it has democracy, demography and demand, Modi said on the fourth day of his trip. He had yesterday addressed investors and businessmen at another event.

Modi’s invitation to the Japanese investors came a day after Prime Minister Shinzo Abe promised Rs 2.10 lakh crore investment and finance in infrastructure and other projects in India over the next five years.

The Prime Minister asked business leaders to “try their luck” by investing in India, contending they could do “miracles” in terms of profits through low-cost manufacturing.

“What do manufacturers want? They look for low-cost manufacturing. They don’t want high-cost manufacturing. Cheap labour, skilled manpower, ease of business and liberalised environment. Then it becomes economically viable.

“Trillions and trillions of dollars need to be invested in India. The electronic market, especially the mobile handset sector, is a big one with a lot of potential,” he said, adding the government had put digital India plans for 125 crore people on a mission mode.

He said plans for Metro construction in around 50 cities and renewable energy sector offered big opportunities.

“Bharat is ready to invite you. Make in India. Whatever facilities you want, they are there,” he said wooing Japanese business leaders.

Modi later expressed gratitude to Japan for reposing “trust” in India and demonstrating its friendship, saying: “Yeh Fevicol se bhi zyada mazboot jod hai (this bond is stronger than that of Fevicol)”.

“This is a big achievement. My biggest happiness is that Japan trusted us,” he said, while referring to Japan's decision yesterday to lift ban on six Indian entities, including HAL. The ban had been imposed in the aftermath of 1998 nuclear tests.

New Delhi, September 2
India Inc is enthused by the outcome of Prime Minister Narendra Modi’s visit to Japan and the proposed investments of $35 billion, which it feels will give a boost to investments, clean energy, smart cities, FDI and infrastructure.

The PM’s Japan visit eliciting promise of $35 billion in five years will be a game-changer for the Indian economy which will further attract investment from different FDI source countries, said DS Rawat, secretary general, Assocham.

The Japan investment announcement was one of the triggers for the BSE Sensex to scale the 27k mark.

A meeting of the industry leaders of the two countries resolved to boost bilateral trade. A joint statement of the Japan-India Business Leaders’ Forum held in Tokyo coinciding with the PM’s visit said the bilateral trade between India and Japan declined to $16.3 billion in 2013-2014 as compared to $18.5 billion in 2012-2013.

“There is a need to enhance our bilateral trade that is commensurate with the size of the two countries’ economies. There is a need to promote Japanese investment in high technology manufacturing in India and to promote value added exports from India to Japan,” the statement said.

Industry sees the Japanese investment as a catalyst for infrastructure. The investment of 3.5 trillion yen would boost infrastructure and transform the regions in the country into industrial hubs, said M Rafeeque Ahmed, president, FIEO.

It is expected that the visit would enhance the volume of trade. The PHD Chamber of Commerce and Industry has projected that the bilateral trade between India and Japan is poised to reach $50 billion by 2019-2020.

PM Narendra Modi beats a traditional Taiko drum in Tokyo on Tuesday. PTI

Modi displays drumming skills

• Prime Minister Narendra Modi's skills as a drummer were on Tuesday on full display as he joined the Japanese percussionists to perform a 'jugalbandi' with them
• The 63-year-old leader gave tough competition to the professional drummers as he tried his hands on a drum at an event to launch TCS Japan Technology and Cultural Academy

Boosting trade ties

There is a need to enhance our bilateral trade. In this context, there is a need to promote Japanese investment in high technology manufacturing in India and to promote value-added exports from India to Japan.

Japan-India Business Leaders’ Forum

FDI flow to be doubled

We are enthused about the launch of the Japan-India Investment Promotion Partnership under which the two countries have agreed to double the flow of FDI into India and the number of Japanese firms over the next five years.

Sidharth Birla, ficci president