India is, today, the world's 4th largest economy in terms of purchase power parity, the10th largest in terms of industrialization and growing at a scorching rate of over 8% per annum, out-pacing many of the existing free economies globally. The economy of India is as diverse as it is large, with a number of major sectors including manufacturing industries, agriculture, textiles and handicrafts, and services. Agriculture is a major component of the Indian economy, as over 66% of the Indian population earns its livelihood from this area. The service sector is greatly expanding and has started to assume an increasingly important role. The fact that the English speaking population in India is growing by the day means that India has become a hub of outsourcing activities for some of the major economies of the world including the United Kingdom and the United States. Outsourcing to India has been primarily in the areas of technical support and customer services. Large, dynamic and steadily expanding, the Indian economy is characterized by a huge workforce operating in many new sectors of opportunity. There are several other factors that make India an ideal place for investment. Geographically, it is not only rich in natural resources, but also strategically located and easily accessible to the vast South Asian market. It is probably the richest country in terms of human resources and professional managers are available at viable costs. It has one of the largest pools of scientists, engineers, technicians and managers in the world. Language is no barrier as English is widely spoken and understood. India has a well developed research & development infrastructure and technical and marketing services. It has a well developed and sophisticated financial sector and a strong and independent judicial system. India is politically stable with a broad consensus on reforms. India's package on fiscal incentives is unprejudiced, liberal and transparent. Free and full repatriation of capital, technical fee, royalty and dividends is available in the country. Foreign investment is readily welcome in India, approval is required but is automatically granted in sixty categories of Industries. India enjoys a policy environment that provides freedom of entry, investment, location, choice of technology, production, import and export. India is a large and rapidly growing consumer market constituting over 300 million people for branded consumer goods. Demand for several consumer products is growing at over 12% per annum. It has one of the largest manufacturing sectors in the world, spanning almost all areas of manufacturing activities. In Purchasing Power Parity GDP, the figure for India was 1.5 trillion US Dollars in 2008. India has among the highest rates of returns on investment. Profitability of US investments in India: 19.33% in 2000 (according to US Department of Commerce). India has a vibrant capital market - The National Stock Exchange is the third largest, Bombay Stock Exchange is the fifth largest in terms of number of trades. India has over 9,000 listed companies and a market capitalization of over US$ 300 billion. Foreign brand names have arrived in the country and are freely used. No income tax on profits derived from export of goods. One can avail complete exemption from Customs Duty on industrial inputs and Corporate Tax Holiday for five years for 100 per cent Export Oriented units and units in Export Processing Zones. An increasing number of Indian companies are becoming global players. The following Indian companies are part of the Forbes Global 2000 list: The Rupee is easily convertible on Current Account at market determined rate.Why invest in India?
Geography
Human Resources & Infrastructure
Politico-Economic Climate
The Market
