RIICO strengthens association with Japanese External Trade Organization (JETRO)

Jaipur, July 19 (ANI/Business Wire India): Rajasthan State Industrial Development and Investment Corporation (RIICO) today announced an extension of its association with Japanese External Trade Organization (JETRO) by signing a Memorandum of Understanding (MoU) for one more year to attract and encourage more Japanese companies to invest in Rajasthan.

The signing ceremony at Jaipur was attended by Digamber Singh, Minister of Industries, Ashok Sampat Ram, Principal Secretary Industries, N. Noguchi, Director General, JETRO, S.M. Nair, Director, JETRO and other dignitaries.

The extension of the MoU is seen as a positive step towards improving the economic relationship between the Indian and Japanese governments.

As 45 per cent of the Delhi-Mumbai Industrial Corridor (DMIC) will pass through Rajasthan, the extension of this MoU will help promote business alliances between Japanese and Indian companies in this region, thus enhancing the employment and earning potential in the state.

"We are delighted with this agreement as it will boost economic ties and increase Japanese investments," said Digamber Singh, Minister of Industries, Government of Rajasthan. "It will also help to develop human resources in high technology areas and promote further development of our state. It is great to see that most of these Japanese MNC companies have been establishing their first footprint in India at Neemrana."

The original MoU between RIICO and JETRO in July 2006 was related to the joint promotion of the first exclusive Japanese Investment Zone at Neemrana.

Two years and 14 investments later, the MoU now has been extended to expand Japanese investments that bring modern technology and management practices and help in developing skills of white collar workers.

The DMIC is likely to be developed on the PPP model and will be along the 1,515 km-long Delhi Mumbai Freight Corridor (DMFC). It will extend 150 kilometres on both sides of DMFC.

The Department of Industrial Policy and Promotion and DMFC have identified some key nodes for industrial development along the industrial corridor in Rajasthan.

The Neemrana-Bhiwadi node is the first of these. Other nodes include Ajmer-Kishangarh, Jaipur-Dausa, Marwar junction and Bhilwara-Rajasmund.

On July 16 this year, JETRO and the Confederation of Indian Industry (CII) launched an Indo-Japanese business matching portal called 'Indo New Window'. On this occasion, Neemrana was prominently mentioned in the speech of N. Noguchi, Director General, JETRO Delhi, and HE H Domichi, Ambassador of Japan.

The portal will encourage Indian and Japanese companies to find potential business partners for import-export, technology transfer, investments, business tie-ups and much more.

Six companies: Nissin Brakes India Private Limited, Mitsui Prime Advanced Composites India Pvt Ltd, Toyoda Gosei Pvt Ltd, TPR Autoparts Manufacturing India Pvt Ltd, Daikin Air-conditioning India Pvt Ltd and Imasen Electric Industrial Co Ltd have already begun construction.

Many other Japanese companies are waiting in the wings to set up operations. A total investment of approximately Rs 1,600 crore is likely to materialize in this area, generating employment for over 3500 people. This agreement is seen as a positive milestone in the road towards the development of Rajasthan.

"RIICO welcomes JETRO once again," said Mr B N Sharma, Managing Director, RIICO. "Rajasthan offers proximity to the entire northern region of India, with requisite resources, power supply, land, manpower and access to a national road network and as a consequence this agreement will be a win-win for both sides."

N Noguchi, Director General, JETRO, said, "There is immense potential for trade and investment cooperation between Japan and India and we recognize this. We have already set up base at the "Japanese Investment Park" at Neemrana. I feel happy for signing the MoU with RIICO to extend the Japanese investment in the state for another year. We look forward to a long and mutually beneficial relationship with RIICO."

The total area allotted for Japanese investment at Majrakath, Neemarana, is 271.44 acres, out of which 222.44 acres of land has been allotted to various companies and 49 acres of the land is reserved.

ANI