Prime Minister Narendra Modi on Thursday in his virtual address at the US – India Strategic Partnership Forum proposed reshaping of the global supply chain. The PM said that moving forward, operations should rely on trust and stability, and not just on cost benefits.
“The coronavirus pandemic has shown the world that the decision on developing global supply chains should be based on not only on costs. They should also be based on trust along with affordability. Companies are also now looking for reliability and policy stability. India has all of these qualities.”~ Prime Minister Narendra Modi
PM’s comment comes as many companies across the world explore China+1 strategy for developing their supply chains. Recently, Japan also extends a subsidy programme that helps Japanese companies move out of china, by including new destinations such as India and Bangladesh.
In his address he also mentioned that because of the advantage that India is enjoying, the nation is moving towards becoming the leading destination for foreign investments.
“Be it America, or the Gulf, be it Europe or Australia, the world believed in us. We have received over $ 20 billion of foreign investment flows during this year,” the Prime Minister said, adding that companies like Google and Amazon have announced long term plans for India.
Modi also said that India’s 1.3 billion population has embarked on a mission to make itself “self-reliant.” The goal of the “Aatmanirbhar Bharat” campaign is to ensure “India’s strengths act as a global force multiplier,” he said. “A self-reliant and peaceful India ensures a better world.”
Speaking on the advantages provided by the nation to its investors the forum was informed that, the investors are offered transparent and predictable tax regime, a tax system that encourages and supports honest tax payers and a bankruptcy code that reduced the risks in the financial system.
Modi said, ““Our labour reforms will reduce compliance burden for employers and provide social security protection to workers,”
Further he said, the new self-reliant and peaceful India ensure better world. The nation has political stability, policy continuity and commitment to democracy.
The Prime Minister also said that the outbreak of the pandemic has pushed us towards new normal and in doing so has demanded a fresh mindset where the approach to development should be human centric with a spirit of cooperation between everyone.
“While looking at the way ahead, we should focus on ramping up our capacity, securing the poor and future proofing our citizens. This is the path we are taking,” said the Prime Minister.
India calls upon the US body comes immediately after the trade Ministers of India-Australia-Japan decide to launch an initiative on supply chain resilience and send invite to like-minded nations in the Indo-pacific region to join the initiative.