Why Link West matters for Modi's Make in India
All set to take his Make in India mantra to three western nations - France, Germany and Canada -over nine days, it isn't without reason that Prime Minister Narendra Modi has chosen countries that are members of the G7 grouping.
For though the four-decade-old G7 is an informal group, it counts among its members seven of the world's most industrialised economies.
The PM's three-nation swing begins with France on April 9. He will then travel onwards to Germany with Canada comprising the last leg of his nine-day visit.
Happily for the PM, the endeavour to draw more foreign investments into India is also expected to coalesce well with his emphasis on the "Link West" aspect of India's foreign policy.
The fact that these countries have been chosen by Modi for what will be only his second foray into the West - he visited the US in September 2014 - is significant.
For, these three nations are seen as important linchpins in the Modi government's push for foreign investments in order to make the country a manufacturing hub under the Make in India rubric. This, in turn, is expected to give India's economic growth the necessary impetus.
The PM himself had tweeted late last month that his visit to these three countries is "centred around supporting India's economic agenda and creating jobs for our youth".
As a ministry of external affairs official remarked, "These three countries are seen as hot destinations for India for attracting investments, technology and skills".
Foreign secretary S Jaishankar summed it up neatly thus in New Delhi on Wednesday: "We have a considerable economic interest in partnering with these countries".
The visit to the West will also see the Modi government seeking to secure India's energy needs. For, if it wants to achieve its goal of making India an economic giant, it will need to expand and diversify the country's energy basket.
In France, it's expected that Modi would give a nudge to the swifter conclusion of the long-drawn out price negotiations on the power to be generated by the nuclear reactors being built by French company Areva in Jaitapur, Maharashtra.
In Canada, the negotiations between Cameco Corp, one of the world's biggest uranium producers and India may take final shape. Once the deal is finalised, India can begin nuclear trade with Canada by importing much-needed uranium to meets its requirements.
Apart from the overarching need to attract FDI from these three countries - the visit will see Modi highlighting the liberalised FDI regime put in place by his government - India also has in mind specific requirements that it believes each of them can meet.
For instance, in the case of France the government is looking for cooperation in the areas of defence technology, infrastructure building and space.
France, incidentally, is already a major source of FDI for India. It was the ninth largest foreign investor in India with a cumulative investment of two point three one billion euros upto 2012. There are an estimated 750 companies present in India.
In Paris, the PM will be holding a round table each on infrastructure and defence technology with French CEOs.
As for defence technology, India is keen that the French participate in its Make in India initiative particularly as it's a sector where the two countries have traditionally worked together.
Not always without serious differences though as in the case of the $20-billion MMRCA (medium multi-role combat aircraft) project for India to acquire 126 Rafale fighters from France.
It has run into rough weather with the French seeking to increase the original pricing of the 108 Rafales to be made by Hindustan Aeronautics (HAL) in India. India, on its part, is insisting that French aviation major Dassault stick to the original pricing.
It's unlikely that the scenic boat ride in Paris on the river Seine - foreign secretary Jaishankar aptly described it as "Naav Pe Charcha" - that Modi is slated to take with French president Francois Hollande will help break the deadlock on the vexed project though its might help the two leaders develop a personal chemistry.
Make in India will be the leitmotif during the German-leg of the PM's visit too. Modi will jointly inaugurate along with German chancellor Angela Merkel the world's leading industrial trade fair Hannover Messe.
India is the partner country and the theme is Make in India too.
Aiding India's attempts to woo German business and technology is the fact that its industry has shown tremendous interest in working here. Germany is already the eighth largest foreign direct investor in India with FDI from that country valued at seven point five seven billion dollars between 1991-2014.
As part of the Make in India blitzkrieg at Hannover, some 400 Indian companies will be displaying their products and between 100-120 CEOs of Indian companies are expected to attend it. Around 3,000 German business delegates have registered for the fair.
It's noteworthy that India-German economic links go back several centuries. In the 16th century, Jakob Fugger, a German merchant and banker from Augsburg is said to have financed the voyage of the first German ships to Goa,
In visiting Canada, the PM will perhaps be seeking to give a country what is due in terms of diplomacy too. For, no Indian PM has made a stand-alone visit to Canada since 1973 despite the close and cordial bilateral ties the two countries enjoy.
As R Swaminathan special secretary (Americas) in the foreign ministry said on Wednesday, "We want to elevate, diversify and deepen our relationship across a whole range of fields… Establish linkages in key areas of energy, trade and investment".
So will Modi be able to work his magic and attract much-needed investments for "Brand India"? Only time can tell.