India Inc hopes that the re-election of Barack Obama as the US President will be good for relationship between the two countries. However, there are some apprehensions over the outsourcing issue.
“This is a good development for India. Between two large economies there will be issues and concerns. Outsourcing is also a concern and I hope it will be addressed soon,” Godrej Group Chairman Adi Godrej told reporters on the sidelines of the World Economic Forum on India here.
However, Bajaj Auto Chairman Rahul Bajaj had a different take. He said: “Republican nominee Mitt Romney would have been better for India as they are little bit open. Obama is more protectionist and we hope that it will change.”
Bharti Group Chairman Sunil Bharti Mittal said: “It is on expected lines but there was some heat reported in the last few days. I think it will be good for India. There will be continuity.”
When asked about concerns over outsourcing he said: “I have heard this in the previous election. We saw Bill Clinton go very heavy on outsourcing and we did not see anyone of these impacting our outsourcing business or relationships.”
Biocon Chairperson Kiran Mazumdar Shaw said she hopes that the “outsourcing rhetoric will die (down)”, and Obama’s re-election will be good for the Indian pharmaceutical sector.
“It will be positive for affordable healthcare in generic drugs (segment). In the US, over 75 per cent medicines are generic. So, Indian pharmaceutical sector is going to gain in the US. It will continue to augur for the Indian pharma sector,” she said.
Shaw hoped that this win gives Obama another opportunity to push the reforms and decisions which he could not do in his first term.
Chamber’s views
Industry chamber FICCI believes that Obama’s re-election sets the stage for deepening Indo-US strategic ties.
“A historic second term for US President Barack Obama augurs well for the now-established Indo-US strategic and economic partnership. The strategic partnership has been nursed painstakingly by the Obama Administration and FICCI roundly applauds the stellar vision of President Obama in strengthening cooperation in higher education, defence and homeland security, agriculture and nuclear cooperation,” said FICCI President R.V. Kanoria
Echoing the same sentiment, Assocham President Rajkumar Dhoot said that the US is the largest economic partner of India and 60 per cent of India’s software exports are directed towards US.
With his re-election, he felt that the untapped trade opportunities between the two countries will be tapped and US companies will hugely invest in the infrastructure development opportunities that India provides.