Mr Sihag, India’s Ambassador to Czech Republic Mrs. Narinder Chauhan and the EEPC chairman Mr Ravi Sehgal along with other senior government officials organised ‘India Investment Meet” at the International Engineering Fair (MSV) at Brno, in central Europe, on October 8. An Indian pavilion with a strong presence of engineering and technology firms, is showcasing the country’s capability to the global businesses at the prestigious fair, between October 7- 11,2019.
Addressing global companies and technology heads, Mr Sihag briefed them how India figures prominently on the investment radar of the top Czech companies. ” Volkswagen Group is investing one billion Euros in the implementation of its project in India for developing new models , including a mid-size SUVs to be showcased in 2020. Importantly, the technical development of new products will take place in India,”, he said , citing the high profile and prestigious investment.
Likewise, the group Skoda Transportation has also developed hybrid vehicles and electric buses with the announcement of e-vehicles policy of Department of Heavy Industry. It holds specific interest for India in technology transfer and product development in the e-vehicle market, Dr Sihag said, underscoring how the country is placing a lot of focus on green fuel-driven automobile.
Along with EEPC India senior leadership, the DHI Secretary would be visiting plants and facilities of several Czech companies and universities for apprising on R&D and technology development.
In his presentation at the India Investment Meet, he said, India has set a target of raising the size of the capital goods sector from Rs. 2.30 lakh crores in 2014-15 to Rs 7.50 lakh crore in 2025, raising direct and indirect employment to 30 million from 8.4 million at present. Exports must also account for 40 per cent of engineering goods production from 27 per cent at present.
Addressing the gathering , India’s Ambassador to Czech Republic said, ” India is seeking foreign investment particularly in the high tech areas and further strengthening its manufacturing under the flagship ‘Make in India ‘ programme.
EEPC India chairman said that with the Indian government making the corporate tax rates competitive, foreign investors should find it a compelling case to seek green pastures in Indian manufacturing, especially when the two major economies of the world are locked in a trade war. The Indian government has slashed corporate tax to 22 per cent and even after surcharges and cesses, the effective rate is about 25 per cent. For new investment for plants going into stream before March 2023, the effective corporate tax rate is a shade above 17 per cent, which is very competitive for attractive investment into the ‘Make In India’ programmme.
The International Engineering Fair (MSV) is the leading and prestigious industrial trade f?air in Central Europe. More than 1600 exhibitors and 80,000 visitors participate each year. Over 50 per cent of exhibitors and 10 per cent of visitors come from abroad.
There are several Indian companies operating in the Czech Republic They include Infosys, Ashok L?eyland, Tata Tea, Alok Industries, Spentex Industries, Motherson Sumi ,System Limited, Glenmark Pharmaceuticals, Lloyd Group, Lloyd Electric and Engineering Ltd.