Swedish companies operating in India are bullish about India’s investment climate. According to the seventh Business Climate Survey, there is a positive shift in the perception of Swedish companies about investments and expanding their operations in India. 90 per cent of the companies surveyed said they believe India’s business and investment climate is favourable, (compared to 51 per cent in 2013) and expect it to improve in the coming three years.

The Business Climate Survey is conducted annually by the Swedish Chamber of Commerce in India in partnership with the Embassy of Sweden in New Delhi, Consulate General in Mumbai and Business Sweden.

The survey also stated that despite the weakening sentiment in 2013, almost 3 out of 4 companies invested in manufacturing, product development and R&D and 8 out of 10 are planning to invest further during the next three years.

In a statement, Harald Sandberg, Ambassador of Sweden to India said, “The positive outlook and growing interest of Swedish companies to operate in India is evident in the results of the Business Climate Survey 2014-15. This shift in perception can be largely attributed to the initiatives undertaken in India to provide a stable and predictable business environment.”

He added, “What would further enhance the prospects of Sweden ‘Making in India’, will be some regulatory changes that provide more of a level playing field.”

According to the survey findings, a majority of companies identified taxation regulation and rates, import regulations and custom duties as the most significant challenges in doing business in India.

Kandarp Singh, Managing Director South Asia Markets, Tetra Pak and Chairman of the Swedish Chamber of Commerce, said, “It is encouraging to see that 3 out of 4 companies have increased their investments in 2014 regardless of the negative outlook in earlier years. Going forward I think we will see the footprint of the Swedish business community increase further.”

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