In the near future, Punjab will have a more diversified Japanese business sector. In order to encourage further investments in Punjab, Japan’s apex industrial body Japan External Trade Organization (JETRO) today said it would work on strengthening its investment promotional activities.
There are around 70 Japanese businesses in Punjab. In contrast to Rajasthan, Haryana, and Delhi, this number is much lower. Therefore, the state needs to diversify its economy. According to Takashi Suzuki, chief director general of JETRO India, we also need to promote and bring more Japanese MSMEs to Punjab.
Incentives and opportunities in Punjab would encourage Japanese companies to explore possibilities.
On the first day of the summit, he spoke during the Japan Partner Country session. There was discussion about the investor-friendly climate in Punjab, including beneficial government policies, excellent connectivity, logistics infrastructure, and facilitation from the Punjab Bureau of Investment Promotion.
Aman Arora, who presided over the session, said the state government’s top priorities include making doing business easy, creating employment opportunities, providing access to quality infrastructure, and ensuring transparency in governance. The Punjab-based industrial units have already collaborated with Japanese firms such as Aichi Steels (Steel Arm of Toyota), Yanmar, SML ISUZU, Toppan, Mitsui Co., Gunma Seiko and Koyo.
International Tractors Limited, which markets tractors under the Sonalika brand, is owned by Yanmar Holding.
In 2021, the Japanese company Oji Holding Corporation acquired 80 percent of Punjab-based Empire Packages Private Limited, which provides services to Fortune-500 companies and large FMCG companies in North India.
On Wednesday, Mitsui & Co Ltd announced it would invest more in Punjab Renewable Energy Systems (P) Limited (PRESPL), a biomass supply-chain management company in India. The facility has already received $5 million in investment.