At a time when India and the US are negotiating the proposed Bilateral Trade Agreement (BTA), Commerce and Industry Minister Piyush Goyal on Wednesday proposed creating dedicated plug-and-play industrial parks for US companies looking to invest in India.
US Ambassador to India Sergio Gor also said the two countries had made “real progress”, including on the trade understanding reached by their governments, while signalling that the engagement between the two countries extended beyond trade in goods.
“We have made real progress, including the trade understanding that our governments have reached. Our progress extends well beyond trade and goods. Our two nations are partnering on virtually everything under the roof,” Gor said while addressing the 66th Annual Session of the Automotive Component Manufacturers Association of India (ACMA).
Gor said the two countries were working closely to build supply-chain resilience, enabling industries in both countries to respond jointly to disruptions, diversify sourcing and keep production moving.
Against this backdrop, Goyal proposed creating dedicated industrial zones tailored to the requirements of US companies.
“We are now looking at 100 more industrial smart cities with plug-and-play infrastructure. Maybe we should have one of these parts dedicated to a US-India partnership. Maybe we can have two or three, five parts which will be for auto components only. I can create the plug-and-play infrastructure to suit you directly,” he said.
He also suggested that specialised sections could be created for particular industries, including auto components, with infrastructure designed specifically to meet the requirements of American companies.
The remarks come as India seeks to attract greater foreign investment and integrate domestic manufacturing more deeply into global supply chains. Goyal is scheduled to travel to the US later this month for G20-related meetings.
Indian exporters met Commerce Ministry officials on Tuesday to flag concerns over access to the US market, which they want the government to take up with their American counterparts. An industry official said some exporters had urged the ministry to conclude the trade pact with the US at the earliest to reduce uncertainty on the tariff front.