Market of the Month: India
India, with a population of more than 1 billion, presents lucrative and diverse opportunities for U.S. exporters with the products and services that can meet the country’s needs. The highly diversified Indian economy has shown rapid growth and remarkable resilience since 1991, when economic reforms were initiated and the domestic market progressively opened to international trade and investment. The result has been average annual growth in gross domestic product (GDP) of more than 6.5 percent over the past decade, with an annual growth rate of 8 percent predicted for the coming years.
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City of Mumbai, India, at dusk (iStock)
India’s sustained and forecasted GDP growth makes it one of the fastest-growing economies in the world and the second fastest growing in Asia. Although its size and growth make it attractive as a market, the most compelling reason to consider investing in India is the possibility of a high return on investment.
Opportunities for U.S. firms exist in many sectors, including civil nuclear energy, renewable energy, aerospace and defense, safety and security, and health care. Although Indian companies are increasingly manufacturing finished products, they are sourcing sophisticated, efficient products and equipment from the United States. There is also a growing trend to use U.S. expertise in numerous service industries, such as education, engineering, management consulting, and telecommunications.
The Commercial Service produces market research reports to help U.S. companies determine market potential, market size, and potential competitors. Recent reports have looked at such sectors as mining, coal beneficiation, and auto components. These and other market research tools are available on the Web at www.buyusa.gov/india, or from the Department of Commerce’s India Business Information Center.
This text has been adapted from “Market of the Month,” a regular feature of the U.S. government’s export portal, Export.gov. To read a longer version with detailed information on India and links to other sources of information on this market, go to Export.gov.