Japan today encouraged its top conglomerates to invest in India, citing the multi-billion-dollar investment the country is making to upgrade its infrastructure.
India plans to spend $90 billion to develop the industrial corridor, some $70 billion of which it hopes to raise by attracting investments from the private sector, Kyodo news agency quoted the Japanese Ministry of Economy, Trade and Industry as saying.
The projects will be implemented in four locations in a corridor linking Delhi and Mumbai, the ministry said.
The Delhi-Mumbai Industrial Corridor Project is an ambitious scheme aimed at developing an Industrial Zone spanning across Delhi, Haryana, Uttar Pradesh, Rajasthan, Gujarat, Madhya Pradesh and Maharashtra.
The project will see major expansion of infrastructure and industry in the states along the route of the Corridor.
Japan is the major investor for this project. The corridor will span 1,483 kms. Japan was roped in as partner for this project in 2006.
The ministry also said that alliances of Japanese firms and municipalities in Japan will cooperate with India to study infrastructure development projects in the country.
The alliances, including those led by Toshiba Corp, Hitachi Ltd and Mitsubishi Heavy Industries Ltd, are expected to land orders after conducting feasibility studies from April on a range of projects such as for solar power generation, sewage systems and "smart grid" power transmission line networks, Kyodo reported.
Among the participating Japanese municipalities, the city of Kitakyushu will provide its know-how on building a society with environmental technologies, while Yokohama is expected to help develop and manage water supply and sewerage systems.
The move comes as Tokyo seeks to tap demand in other Asian economies to bolster the Japanese economy, which is reeling under recession.
