Japanese companies have invested 3.8 trillion yen in India since 2022, moving closer to the target of 5 trillion yen in public and private investment by 2027. The investment figures were shared during the 48th Joint Meeting of the India-Japan and Japan-India Business Cooperation Committee, organized by the Federation of Indian Chambers of Commerce and Industry (FICCI) and the Japan Chamber of Commerce and Industry (JCCI).
Gaku Yoda, Deputy Director General of Japan’s Ministry of Economy, Trade, and Industry (METI), stated that Japan is working to establish business bases in India that will facilitate trade with African countries. Additionally, METI has allocated approximately 1.5 billion yen (USD 10 million) from its budget for industrial human resource exchange programs with India.
Keiichi Ono, Japan’s Ambassador to India, highlighted the role of workforce mobility in strengthening economic ties. He noted that Japan’s aging population requires skilled professionals, and deeper cooperation in talent exchange would benefit both nations. The meeting also underscored the presence of 1,500 Japanese companies in India, with discussions on increasing this number, particularly among small and medium enterprises (SMEs).
Sibi George, India’s Ambassador to Japan, emphasized collaboration in semiconductor production, artificial intelligence, and other critical technologies. Other officials and business representatives highlighted the potential for cooperation in sectors such as electronics, chemicals, automobiles, electric vehicles, and green mobility.
A report released during the event, “India’s Growth Story: Unlocking New Opportunities for Japanese SMEs,” examined investment trends and noted that Japanese subsidiaries in India primarily serve local and regional markets rather than focusing on exports to Japan. In contrast, Japanese investments in Southeast Asia are more integrated into Japan’s global supply chain.
The India-Japan business discussions will continue toward the 50th IJBCC meeting in 2027, coinciding with the 75th anniversary of India-Japan relations.