Several MNCs evince interest for shifting base to India

19 September 2020: Several multinational companies have evinced their interest to shift their base into India across different States in sectors such as Electronics, Retail, e-Commerce, Automotive, Food Processing, Textiles etc, according to the Union Minister of Commerce and Industry, Piyush Goyal.

In a written reply in the Rajya Sabha recently, he said that due to sensitivity of information maintained by the companies, the reasons for relocation of operations are not explicitly spelt out. He said that FDI inflows usually helps in augmenting domestic capital and promote employment opportunities across sectors. The FDI inflow from USA and other countries in the year 2019-20 had been USD 74.39 billion and for (April-July), 2020-21 (P) has been USD 16.26 billion.

The Minister added that with a view to support and facilitate investments into India, the Government is working hard to institutionalize more investor friendly reforms. The entire focus of the Government is to create an investment-friendly and business conducive ecosystem to drive investment growth in India. Several steps like Production Investment Schemes, GIS mapping of available land banks, issuance of Quality Control Orders to cut down cheap imports and many such measures have been put into place to attract further investment into the country.

The Government has constituted an Empowered Group of Secretaries (EGoS) to provide support and facilitation to investors for investing in India and to boost growth in key sectors of the economy. EGoS shall identify potential investors/organizations, make recommendations to the Ministry/Department and suggest ways to attract more investment in greenfield projects. Project Development Cells (PDCs) are being set up in Ministries/Departments to fast track investments with coordination between Central Government Ministries and State Governments and thereby grow the pipeline of investment projects in India.