India as a Business Destination
India, the world’s fastest-growing major economy is placed 63rd among 190 economies as per the World Bank's ease of doing business ranking. It is also one of the top 10 performers on the list for the third time in a row. It is the world's sixth-largest economy by nominal GDP and the third-largest by purchasing power parity (PPP). Its current GDP is 2.84 trillion USD and IHS Market forecasts that Indian GDP will reach $5.9 trillion in 2025, surpassing Japanese GDP to make India the world's third-largest economy. According to Bloomberg’s New Economy Drivers & Disrupters Index, India is expected to be the third largest economy by 2039.
The Make in India campaign by the Government of India for promoting India as a new destination for manufacturing and the de-licensing of the electrical machinery industry allowing 100% FDI will facilitate the entry of major global players in generation, transmission, distribution equipment among others. The Indian Govt is committed to its obligations under WTO with a very liberal import tariff, 2.5% to max 7.5% in the case of electrical goods and equipment, comparing very favourably with leading economies of the world.
Over the years, the Indian electrical equipment industry has developed a diversified, mature and strong manufacturing base and a robust supply chain. India presents a huge opportunity thus it is imperative to promote the growth of exports of electrical equipment that have a strong manufacturing domestic base and manufacturers need to move up the value chain. India provides a huge opportunity for business collaboration, technology transfer, sourcing tie-ups or even setting up manufacturing bases.