Germany hopes that increasing production in India will reduce its dependence on China, even if India cannot become the new China. Investment of German companies in India can reach 4.5 lakh crores in 6 years. Which is now double. From cars to logistics, German companies have high hopes for India's rapid economic growth prospects. Germany wants to take advantage of India's large population of skilled youth, low costs and economic growth of around 7%.
German Chancellor Scholtz has come to India at a time when Germany's export-led economy is facing a second consecutive year of recession. German Chamber of Commerce DIHK Foreign Trade President Volker Trier said Germany's direct investment in India in 2022 was $27 billion (Rs 2.27 lakh crore).
59% of German companies plan for rapid expansion
- India's market is huge. The economic growth rate is the highest in the world, there is no shortage of workers, and production costs are lower than in Europe.
- 82% of German companies expect their revenue to grow rapidly in India over the next five years. This growth will be more than Europe and China.
- 59% of companies are currently increasing their investment plans in India.
Image Credit: (Divya-Bhaskar): Images/graphics belong to (Divya-Bhaskar).
