‘California keen on tie-ups with Indian companies’

Our Bureau Updated - August 26, 2013 at 07:21 PM.

The US State of California is keen on partnering with Indian companies in education, agriculture and technology sectors.

Addressing students and business leaders in a town hall meeting at Dayananda Sagar Institutions, Ami Bera, Congressman from the 7th District of California, urged States to deepen tie-ups to drive growth for all the stakeholders.

Bera, a doctor by profession and the only Indian American in the US House of Representatives, said that encouraging innovation and cross country collaboration is the need of the hour as a lot of ground-up innovation can come from emerging economies such as India at a time when the US-India economic relationship has recently entered choppy waters.

Visa restrictions

The Indian software export industry is concerned about some aspects of the Immigration Bill. A clause in this Bill, if passed, will restrict the placement of H1-B visa holders of IT companies at client locations in the US. Further, it will result in significantly higher filing fees on H1-B dependent employers based on the percentage of non-immigrants employed in the company, which adds to a company costs.

Already, companies pay $2,500 for H1-B visa processing and another $1,225 for premium processing to get their employees to work in the US client locations.

Talking to Business Line, Bera maintained that it was a work in progress and there would be no discrimination against the brightest minds who want to work in the US.

The son of an immigrant, Bera’s call comes at a critical juncture as Indian Americans, estimated at 3 million, forms a mere 1 per cent of the population but contributes 8 per cent of tech startups in the Silicon Valley.

Other sectors hold promise too. In 2009 alone, California’s farm exports to Asia were estimated at $3 billion and $275 million went to India. However, for this to grow, Bera quoting US Vice-President Joe Biden, said that protection of intellectual property, inconsistent tax policies, limits on foreign direct investment and barriers to market access are “tough problems” between the two countries.

venkatesh.ganesh@thehindu.co.in

Published on August 26, 2013 13:51