Jeong Manki, Vice Chairman of Muhyeop, "Indian Government Must Actively Address Difficulties Faced by Korean Companies"

Vice Chairman Jung to Visit New Delhi, India from the 5th
Meeting with India's Ministry of Commerce and Industry and Investment Promotion Agency

Indian Deputy Minister: "Korea-India CEPA Upgrade Negotiations Possible After 6 Months"

Jung Manki, Vice Chairman of the Korea International Trade Association, stated, "Korean companies' investments in India will be promoted by the success experiences, word of mouth, and reputation of existing invested companies in India," and emphasized, "The Indian government must actively address the management difficulties faced by our companies."

On the 6th, Vice Chairman Jung met with Priya Rawat, COO of the Indian Investment Promotion Agency, and Rajesh Kumar Singh, Deputy Secretary of the Indian Ministry of Commerce and Industry’s Industrial Trade Promotion Agency, in New Delhi, India, to discuss ways to strengthen Korea-India economic cooperation on the occasion of the 50th anniversary of diplomatic relations. Vice Chairman Jung has been visiting New Delhi since the 5th to attend the Korea-India Business Forum.

Jung Manki, Vice Chairman of the Korea International Trade Association, held a meeting on the 6th in New Delhi, India, with Priya Rawat, COO of the India Investment Authority, to discuss ways to strengthen economic cooperation between Korea and India. Jung Manki, Vice Chairman of the Korea International Trade Association, is the fourth person from the right in the photo.
[Photo by Korea International Trade Association]

During the meeting, Vice Chairman Jung explained, "Although interest in Korean companies entering India has recently increased, both companies newly entering India and those already established are facing difficulties due to ▲lack of information on policies such as taxation and certification ▲complex certification acquisition procedures and delays ▲differences in regulations between the federal and local governments," adding, "Resolving difficulties faced by existing Korean investment companies in India could be the most important investment attraction strategy for India."

Vice Chairman Jung pointed out, "Trade volume between Korea and India has continuously increased since the implementation of the Korea-India Comprehensive Economic Partnership Agreement (CEPA), especially showing a high growth rate of over 20% consecutively in 2021 and 2022 during the pandemic," but noted, "However, India’s trade deficit with Korea in 2022 was about 10 billion USD, mainly due to imports of Korean-made parts by Korean companies operating in India."

He said, "Considering that Korean companies in India export locally produced Indian products worldwide and create local employment, the trade deficit is not necessarily disadvantageous to the Indian economy," adding, "They contribute not only to the Korean economy but also to the Indian economy."

He continued, "Korean companies recognize the need to upgrade the Korea-India CEPA, which came into effect in 2010, to promote economic cooperation such as expanding trade and investment between the two countries’ companies," and emphasized, "We hope for prompt progress in the renegotiation of the Korea-India CEPA."

In response, Priya Rawat stated, "The Indian Investment Promotion Agency is focusing its capabilities on promoting corporate investment, nurturing startups, research and development (R&D) and technological innovation, and trade promotion, and supports Korean companies through the operation of the 'Korea Plus Office' within the agency," adding, "We will actively work to resolve difficulties faced by Korean companies."

Deputy Secretary Rajesh Kumar Singh said, "We fully agree that word of mouth through resolving difficulties faced by existing Korean investment companies is important for expanding Korean investment attraction in India," and added, "The Indian government is making efforts to resolve Korean companies’ difficulties by sending certification officials to visit Korea and will continue to actively support Korean companies."

Regarding Korea-India trade and the renegotiation of the Korea-India CEPA, he said, "We are well aware that despite India’s growing trade deficit with Korea, Korean companies operating in India contribute to the Indian economy by expanding India’s exports," and responded, "After about six months, when the ongoing FTA negotiations with Australia, UAE, and the EU are completed, we will be able to actively pursue the upgrade negotiations of the Korea-India CEPA."

This content was produced with the assistance of AI translation services.