Make in India success hinges on Narendra Modi's decisiveness: US

United States ambassador to India Richard Verma has linked the success of "Make in India" to not only permitting foreign investment, but to the capacity of prime minister Narendra Modi to act decisively in a range of areas including tax, addressing concerns on Intellectual Property Rights (IPR) and streamlining other regulatory mechanisms.

In his detailed comments on India's foreign policy and relations with the United States at the Washington-based Centre for Strategic and International Studies (CSIS), the envoy said the success of the Modi's flagship initiative the "Make in India" will hinge on India's economic and investment climate. "In 2014, the World Bank ranked India 142 out of 189 countries in its Ease of Doing Business index," he said, but hastened to add that the Prime Minister was working hard to raise ranking of India to be placed among the top 50. In his remarks, released here by the US Embassy, Ambassador Verma mentioned initiatives like establishment of commercial courts, which could dramatically reduce delays in resolving business disputes as encouraging .

"We are also working hard to assess the prospects for moving forward with a high-standard bilateral investment treaty (BIT). A high-standard BIT would further enhance investor confidence and send an important signal to US investors, especially infrastructure investors, that India is open for business," he said.

Western companies are particularly concerned over India's weak IPR regime. The US envoy said under the Trade Policy Forum, Indian and American trade experts are coming together to address concerns across a variety of sectors. "On intellectual property, a technical team of Indian experts will visit Washington for further discussions on how to improve IP protections. We continue to look for ways to enhance the environment for innovation in a way that promotes our shared interests," he said.

While lauding the i100 Smart Cities Initiative, the envoy said finance is a key challenge to make this a success. The US has already adopted to develop smart city projects in three cities: Vizag, Ajmer, and Allahabad. "We are connecting US firms with opportunities that match the priorities set forth by central and local governments. Finance is a key challenge for this initiative, so we are also using our convening power to enlist the support of finance agencies such as EXIM and OPIC, along with the Asian Development Bank," he said.

Under the Defence Technology and Trade Initiative (DTTI), Verma said he was particularly excited about the Aircraft Carrier Working Group, designed to support India's own efforts to build its naval aviation and blue water capabilities. He said the DTTI Aircraft Carrier Working Group is off to a fast start and later this month, the US contingent will host a team from India to visit a US aircraft carrier and conduct the group's inaugural meeting.