Bavaria offers huge potential for Indian investors

By R. Natarajan, Managing Editor & Publisher

A special session on investing in Bavaria, Germany, was recently organized by the Indo-German Chamber of Commerce (IGCC) in Chennai. It was presided over by Mr. T.R. Gopalan, Regional Director, IGCC, while Mr. John Kottayil, Executive Director, State of Bavaria India Office, Invest-in-Bavaria, Bangalore, made an enlightening presentation on the growing investment opportunities.

Mr. T.R. Gopalan, Regional Director, IGCC, (left) and Mr. John Kottayil, Executive Director, State of Bavaria India Office, Invest-in-Bavaria, Bangalore, at the Interactive Session in Chennai

In his introductory address, Mr. Gopalan said that its stable political environment, highly skilled workforce, the SMEs’ role as the backbone of the economy and its strict adherence to the rule of law are behind the industrial success of Bavaria, the most dynamic State in Germany. Further, budding tech start-ups, historic family-run firms, extra-strong infrastructure and the high standard of common man’s living are additional features that contributed to the State’s exceptional development. The major industries that contributed for its growth are automobiles, auto components, engineering, bio-technology, chemicals, electrical & electronics, etc.

Mr. John’s presentation highlighted that Bavaria, the southern most and the largest Federal State of Germany, acts as a gateway to the expanding South-East and East European markets. Recognized for its automobile prowess, excellent infrastructure and highly educated human resources make Bavaria the main hub for the European market. With its conducive industrial climate, Bavaria continues to attract a wide spectrum of competitive suppliers, potential customers and co-operation partners.

According to him, Bavaria plays a major role in the expansion of Indo-German trade. The Indo-Bavarian bilateral relationship has been growing rapidly over the last several decades, and the Bavarian companies, on their part, consider India as a reliable and promising economic partner. The key sectors of synergy are ICT, BT, engineering and machine tools, automobiles, auto components, etc.

The Indian companies which have their wide presence in Bavaria include Infosys, Wipro, Tata, HCL, L&T Infotech, KPIT and Ashok Leyland. Similarly, the Bavarian companies making their contribution to India’s growth include Audi, BMW, MAN, the Linde Group, Siemens, Infineon, Wacker and Osram.

The Bavarian India Office gives complete support to Indian corporates to set up offices in that State. The current Indo-German trade volume has touched Euro 17.5 billion, with about Euro 2 billion surplus in favour of Germany. About 1,000 German companies operating in India are either wholly-owned subsidiaries or joint ventures with Indian partners, Mr. John added.