Speeches & Articles

Remarks of
CONSUL GENERAL BETH A. PAYNE
to the Indian Chamber of Commerce
August 19, 2008

August 19, 2008

Mr. Sanjay Budhia,
Members of the Indian Chamber of Commerce,
My New Friends in Kolkata,

“Nomaashkaar”

Thank you for inviting me to speak to you today and I am delighted to be among such a distinguished group of businessmen and women.  I’ve come to Kolkata at a time when ties between the United States and India have never been stronger.  We have overcome past differences and are charting a new course for the future.

I would like to recognize the Indian Chamber of Commerce’s contribution to this development of stronger ties between our two nations.  Your support has helped us move forward in many areas, including green technologies, education, commercial trade and investment.  Thank you for being such a good friend of the United States and a key player in our growing partnership with India.

I have been in Kolkata just over two weeks now and am already charmed by its style and energy -- and most important, its people.  The first thing I noticed about Kolkata – even from the plane – is how green it is.  Yet, it is also cosmopolitan and contemporary.  It is fascinating to walk the streets of Kolkata and watch the streams of people passing by with a sense of purpose.

In the few weeks that I have been in Kolkata, I have seen that the city is rapidly modernizing, yet it still retains its special heart and soul.  I hope to learn what makes Kolkata so vibrant and cohesive and the secret of the city’s unique personality, particularly in our new globalized world of mega-cities that look and feel so much alike.

I am also excited to be in India at this time because of a personal connection I formed with India many years ago.  One of my best friends at University was an Indian business student.  We spent many hours talking about the day India would take its rightful place among the world’s great economic powers.  He believed that Indian entrepreneurs are the most innovative and creative in the world and predicted that once given the freedom to compete, they would help create a prosperous country.  While I lost touch with my friend over time, I never forgot his dream and it brings me joy to see for myself that his dream has come true in West Bengal.

I can see that India has moved past the phase of an "emerging" economy and is in the midst of an historic economic transformation, in both the government and the private sector.  Individual entrepreneurs, companies, business associations and government offices are recasting their roles to create new public/private partnerships and implement cutting-edge economic programs.  The United States welcomes this transformation, which by fueling India’s economic growth will also expand economic ties between our two countries.

This type of transformation is the reason economies such as the United States’ and India’s are still attractive despite the temporary global economic down-turn and weaknesses in the global banking sector.  Rather than shrink from the downsides of globalization, both Americans and Indians increasingly view the globalizing economy as an opportunity that enables and rewards entrepreneurship and innovation.  By identifying and adapting to the challenges that inevitably accompany the benefits of globalization, the United States and India will continue to prosper.

As a result of this transformation, investment flows between the United States and India have grown significantly.  India's vast pool of well-educated talent, its rule of law, its secular democratic principles, its vibrant and free press, and its strong cultural and family values are the striking attributes that make India the place to be for American investors.  As a result, direct investment from the United States in India has more than doubled in the last two years and is now over 1 billion dollars.

Just as powerful is the surge in outward foreign direct investment, putting India on the map as a source, not just a destination, of venture capital.  Demonstrating the two-way nature of Indo-U.S. economic engagement, the United States has long been one of the largest recipients of Indian investment.   Indian investment in the United States is expanding from its initial information-technology focus into other sectors, including pharmaceuticals and manufacturing.  Wipro now has two development centers in the United States and this year Tata Consulting Services opened a 13 million dollar headquarters in Cincinnati, Ohio.

Indian corporations are also working with American financial firms to utilize global capital to become major players and employers in world markets.   Companies such as Inventus Capital Partners are raising venture capital to invest in technology-powered companies participating in the emerging Indian economy and new global markets.

Trade and commerce also form a crucial component in the rapidly expanding and multi-faceted relations between India and the United States.  Bilateral trade in manufactured goods has reached over 41 billion dollars and continues to grow.  India has discovered the vast U.S. market, with exports from India growing at over 10% last year.  India exports a range of goods to the United States, including jewelry, textiles, machinery and organic chemicals.  My favorite export are the mangos from West Bengal – easily the best mangos the world!

With trade and investment reaching historic levels, there has been an increase in the number of American companies coming to India.  And, thanks to your efforts and support, American companies have discovered West Bengal.  For the first time, the U.S.-India Business Council has included Kolkata as one of three cities its delegation of businessmen and women will visit on its annual trade mission to India in September.  A growing number of trade delegations from Eastern India are also traveling to the United States, seeking out investment and trade opportunities. 

As I speak with satisfaction of our growing business collaborations, I must take a moment to recognize that they are based on the foundation of India's economic reforms over the past 15 years, reforms which have sparked globally-oriented change and growth.  India's reforms have gradually worked to provide a critical mass of energy, which as India opens to the global economy, is permitting stronger, more sustainable growth. 

By taking pro-active steps to make West Bengal an attractive destination for investors, this state has demonstrated that it is ready to partner with the private sector.  West Bengal’s industrial friendly policies have opened opportunities in a wide variety of areas ranging from iron and steel, information technology, bio-technology, clean energy and tourism.  For example, the government’s support for agri-business and warm welcome to American investors made it possible for an American company, PepsiCo, to build its food processing factory, Frito-Lay India, which now supports hundreds of local farmers. 

There are many young Indian business students, who just like my friend 20 years ago, have a dream for India.  They foresee an India with high literacy rates and low rates of malnutrition and infant mortality.  They envision an India with widely available educational opportunities that prepare them for global competition.  They dream of a country where jobs are plentiful and everyone benefits from economic prosperity.  And they hope for a world where industry and the environment complement each other – where economic growth is accomplished in a way that preserves this wonderful earth we all share.

The government of West Bengal has created the right environment for private industry and entrepreneurs to generate new ideas and innovative solutions to ensure that these dreams come true.  And, as the first voice of Indian Industry and the premier body of business and industry in Eastern and North-Eastern India, the Indian Chamber of Commerce is providing the private sector leadership that will make these dreams a reality.

I look forward to working with all of you over the next few years as we continue to strengthen the economic partnership between the United States and India, a partnership that will help make both of our countries strong and prosperous.  I also forward to the many new friendships I am sure I will make here in Kolkata and to discovering this wonderful city.  There is an amazing energy in Kolkata, in the coffee shops and in the boardrooms, and it is an inspiration for me.  I cannot imagine a more exciting place to be at this time.

“Shobai bhaa-low tha-koon”