India, US and Economic sector
Both the countries are hopeful of the bilateral trade growing to $40 billion in three years by addressing some of the pending issues.india Updated: Feb 23, 2006 11:49 IST
While the US exports to India are registering a growth of 20 per cent, Indian exports have been growing at around 18-20 per cent this year.
India's total merchandise trade with the US stands at about $21 billion, of which Indian exports are about $14 billion.
Both the countries are hopeful of the bilateral trade growing to $40 billion in three years by addressing some of the pending issues.
The bilateral trade between India and US grew from $13.49 billion in 2001 to $21.68 billion in 2004.
US is one of the largest foreign direct investors in India. FDI inflows from the US constitute about 11 per cent of total actual FDI inflows into India
The stock of actual FDI increased from $11.3 million in 1991 to $4132.8 million as on August 2004 and as on June 30, 2004 US-based Foreign Institutional Investors have made a net investment of $10.2 billion of a total of $25.3 billion in Indian capital markets accounting for 40.5 per cent of the total.
The institutional framework for bilateral economic cooperation comprises a US-India Economic Dialogue co-chaired on the Indian side by Deputy Chairman Planning Commission Montek Singh Ahluwalia and on the US side by Dr Allan Hubbard, Assistant to the President for Economic Policy and Director of the National Economic Council.
Also in July 2005, Prime Minister Singh and President Bush established an Indo-US Agricultural Alliance to focus on promoting teaching, research, service and commercial linkages.
First Published: Feb 23, 2006 11:49 IST