Indian-based companies are responsible for creating tens of thousands of jobs and $15 billion in investments across the United States, according to a new report released today from the Confederation of Indian Industry (CII) and Grant Thornton (GT).
For the first time, the report, “Indian Roots, American Soil,” also captured a state-by-state breakdown of tangible investments made and jobs created by 100 Indian companies doing business in the United States.
Ambassador Arun K Singh, said: “The Indian industry is making a significant contribution to the US economy, investing billions of dollars and creating thousands of jobs across states and sectors. This trend has grown stronger over the years and is continuing to show remarkable progress. Today Indian companies are not just investing and creating jobs, they have also become significant stakeholders in the growth and prosperity of their local communities. Their linkages run deep through the support extended by them to education programs and capacity building. The CII study draws attention to the growing contribution and influence of the Indian industry, which forms an important component of our growing and vibrant relationship with the United States.”
Key takeaways from the report:
· Together, 100 Indian companies employ more than 91,000 people across 35 states and the District of Columbia.
· The total value of tangible investments made by these 100 companies exceeds $15.3 billion.
· The top five states in which Indian companies have generated maximum employment are: New Jersey (9.278 jobs), California (8.937 jobs), Texas (6,230 jobs), Illinois (4,779 jobs) and New York (4,134 jobs).
· The top five states in which Indian companies have contributed the highest foreign direct investment are: Texas ($3.84 billion), Pennsylvania ($3.56 billion), Minnesota ($1.8 billion), New York ($1.01 billion) and New Jersey ($1 billion).
· The average amount of investment received from Indian companies per state is $443 million.
· 84.5% of the companies plan to make more investments in the United States.
· 90% of the companies plan to hire more employees locally in the next five years.
Chandrajit Banerjee, Director General, CII, said: “India is now the fourth fastest growing source of investments into America – this is a very critical aspect of the burgeoning bilateral US-India business story and one that has an immediate and visible positive impact on the local communities where these companies operate. It’s a story that needs to be told and re-told.”
Participating companies in the Capitol Hill event, where the report was launched, included Bank of Baroda, Birlasoft, Cyient, Dr Reddy's Laboratories, Essel Propack, Exim Bank, ICICI Bank, Infosys, ITC Infotech, Larsen & Tourbo, Mahindra USA, Mindteck, NIIT, Piramal Healthcare, State Bank of India, Sun Pharma, Taj Hotels and Resorts, TATA Communications, TATA Group, TATA Consultancy Services, Torrent Pharma, Wipro and Wockhardt.
The recent visit of US President Barack Obama to India was significant in furthering the India-US relations. Sumit Mazumder, President, CII, said: “Indian Industry today is bullish on the US-India partnership. Our companies are deeply committed to the US market and are well integrated into the local communities where they are investing and creating jobs. PM Modi and President Obama’s vision for the US-India relationship is in many ways best exemplified through these Indian companies in America that though have Indian roots, but are completely enmeshed into US soil.”
Senator Warner, Virginia, Co-Chair, Senate India Caucus: said: As India surges forward to become the fourth fastest growing source of FDI into the U.S., it is critical that we recognize the positive impact of Indian business investments in the country. In Virginia, Indian companies have been key players in creating jobs and engaging communities. I hope to see this trend continue in the future, with increased Indian business operations in the country.”