India to have a larger role in world economy: Deepak Bagla

India is all set to command a larger and more impactful role in the arena of world economy as gradually several countries including Germany, Spain, and Italy begin returning to normal life, said Deepak Bagla, CEO and managing director, Invest India, the nodal body facilitating fresh investments in the country.

Not only is India expected to strengthen its position on the world stage due to its populous neighbor China drawing global ire for its role in the spread of the Sar-Cov2-induced novel coronavirus, but also because of its large-scale supply of drugs including the antimalarial hydroxychloroquine (HCQ), which has been used to treat the virus, he said.

Besides, Prime Minister Narendra Modi has won praises globally for being able to effectively handle the spread of coronavirus in the country, he added.

While the number of coronavirus cases in India crossed the 1 lakh mark, the nationwide lockdown, experts said, has had a huge impact in containing the spread of the disease.

Covid-19 has given an opportunity to India to embark on a massive mission to bring in structural reforms wherever required, including fast track approvals for companies wishing to set up manufacturing facilities here, he said. States such as Uttar Pradesh, Madhya Pradesh, and Gujarat have already evinced interest in bringing the necessary changes in labor laws to draw fresh investments in the wake of the novel coronavirus.

Bagla said that the authorities are moving fast in ensuring ambiguities are removed and clearances are given within a stipulated timeframe.

“India was always considered a great investment destination but now it has also earned huge respect globally for its role in containing the spread of the coronavirus as well as supplying critical drugs to the world,” Bagla told IN.

He also said that the changes may not yield immediate results but these will start showing up in the next one year.

“The reform measures will have a more permanent impact on the Indian economy,” Bagla said, adding that states have also started taking their own measures to stimulate growth.

“There is now a healthy competition between states and each of them is trying to attract investments, they are also looking at the local level barriers which exist and need to be removed,” he said.

India had never manufactured personal protective equipment (PPE) prior to outbreak of coronavirus in the country. “Today we are manufacturing lakhs of PPEs,” he said. India has so far produced about 50 lakh PPEs and is ready to roll out another 50 lakh in a month.

Last week, Casa Everz Gmbh, manufacturer of footwear brand Von Wellx, said it would shift its entire production from China to India. The manufacturing facility will come up in Agra in Uttar Pradesh.

Reports have also suggested that about 1,000 foreign companies have initiated talks with authorities here to shift their manufacturing facilities in India from China.

India must remember that other countries including Indonesia, Sri Lanka, Vietnam, and Bangladesh among others will also be vying to grab businesses. India must act fast to seize the opportunity.

So, there is no room for complacency..