CHENNAI: With Tamil Nadu accounting for nearly half of all Japanese companies registered in India, the State’s businessmen say that one of the most important perks of collaborating with their Japanese counterparts is technology and know-how acquisition.
According to a survey of 122 Tamil Nadu-based companies released by the Indo-Japan Chamber of Commerce and Industry, 39 per cent of those surveyed say that they see access to technology and know-how as reasons for collaboration. Twenty-five per cent, meanwhile, chose to collaborate with Japanese firms for access to new products, while 17 per cent collaborate for increased access to global markets.
However, while a majority of these businesses are willing to partner with Japanese firms in India, outward investment into Japan was not as attractive an option - 68 per cent were averse to investing in Japan.
Seiji Baba, Consul-General of Japan in Chennai, pointed out, while releasing the report, that while other responses in the survey were encouraging, the lack of willingness to invest in Japan, in turn, was disappointing.
“Two-way investment is indispensable. One-way investment can be easily disrupted, either by economic fluctuations or political ones,” he pointed out. He also pointed out that while firms were keen to collaborate with the Japanese for technology access, it does not come free.
“They are rather expensive and we should utilise the full 100 per cent of any technology so acquired,” he pointed out.
The Economic Survey Report, produced jointly by the IJCCI with Grant Thornton India and Mylsamy and Associates, is aimed at helping the Japanese and TN-based firms develop more effective collaborations.
Also present during the release of the report were N Kumar, vice-chairman, Sanmar Group, L Ganesh, chairman, Rane (Madras) Ltd., A Amarnath, managing director - Corporate, Sanmar Group, and N Ravi, director, Kasturi and Sons.