Invest in power, aviation: FM to Japs

Finance Minister P Chidambaram today invited Japanese investors to increase their direct investment in India in power, airport and food-processing sectors. At present, Japan's total foreign direct investment in India is estimated at $2.1 billion.

At a breakfast meeting with representatives of large Japanese corporations here on the sidelines of the WEF annual meeting, Chidambaram said they could consider investing in five new thermal projects, with a total generating capacity of 20,000 MW.

Two of these projects, which were to be finalised by December this year, were pit-head projects and three were located on the coast. The government's policy envisaged that the lowest bidder based on tariff would be awarded the projects and all clearances would be given before finalising the bid.

In the airport sector, investment opportunities would emerge in Chennai, Kolkata and 30 smaller airports, Chidambaram said. The food-processing sector also held great promise as only two to three per cent of India's agricultural products were processed at present.

The Japanese delegation said a large team comprising 70 small and medium scale companies from Japan would visit India next month to explore business opportunities. The meeting was also attended by Confederation of Indian Industry President Y C Deveshwar, who said India wanted to push more value-added exports.