Maran for strong Indian MNCs

Inaugurating the India International Trade Fair (IITF), Maran said the challenge before the country was to see how fast India could shift from `inward focus’ on self sufficiency to an `outward focus’ on integration with the world economy. The country needs to upgrade its competence base to ensure that it catches up with the industrialised nations in terms of research and development, quality, manufacturing and marketing, he said.

"Our goal is to constantly develop our own strong Indian MNCs and with this in mind the country has to build its world class competitors by enabling theeconomy upgrade itself," Maran said.

Government was working on a scheme to reform the present process for facilitating faster flow of foreign direct investment (FDI) through automatic route, except for a small negative list covering the small scale industry (SSI) sector, he said.

The world would see India take rapid strides in economic reforms in the coming months and years, Maran said, adding now that there is a stable government, foreign investors should have no misgivings about any delays in implementing reforms. Stating that Indian MNCs were functioning well in many countries, he said "some of them have currently invested in manufacturing mini-computers in Singapore and sophisticated carbon black in Thailand."

Minister of State for Commerce Omar Abdullah said while self-sustaining economy would have to be built on indigenous effort and capabilities, the growth process would depend on India’s ability to increase its share of world trade and attract foreign investment flows. "As we prepare for thenext millennium we have to be cognizant of the challenges and opportunities that confront us and the changes necessary in our economic response for boosting international trade," Abdullah said.

He said effective participation in the world’s economy both as a source and destination of trade in goods, services and capital flows were important for India.