The MoU follows a Joint Statement made by Indian Prime Minister Modi and American President Obama in September 2014. The ICP will be co-chaired by the International Trade Administration (ITA) and the Indian Ministry of Finance. However, India is still a lesser trade partner to the US compared to many other Asian countries.
India’s poor infrastructure can be attributed to a broad range of reasons, such as resource shortages, corruption, retreating investors, and pressure created by the demands of a large and growing population. While this infrastructure gap has attracted interest from foreign companies in the infrastructure business, India’s difficult business environment has prevented investment from being as high as it could be.
That being said, new policies introduced under the new Narendra Modi administration suggest that it may become easier for foreign companies to invest in India. Modi has indicated that he will seek long-term funds for India’s US $1 trillion infrastructure development plans.
Establishing Your Sourcing Platform in India In this issue of India Briefing, we highlight the advantages India possesses as a sourcing option and explore the choices available to foreign companies seeking to create a sourcing presence here. Taking Advantage of India’s FDI Reforms In this edition of India Briefing Magazine, we explore important amendments to India’s foreign investment policy and outline various options for business establishment, including the creation of wholly owned subsidiaries in sectors that permit 100 percent foreign direct investment. Passage to India: Selling to India’s Consumer Market In this issue of India Briefing Magazine, we outline the fundamentals of India’s import policies and procedures, as well as provide an introduction to the essentials of engaging in direct and indirect export, acquiring an Indian company, selling to the government and establishing a local presence in the form of a liaison office, branch office, or wholly owned subsidiary.
Asia´s premier foreign direct investment practice, assisting multinational companies establish and grow throughout India, China and ASEAN. Unlike modern trading which is mostly between nation-states, Indian Ocean trade took place between civilizations. Since communication was not very advanced before 1500, exchange of ideas with the locals, and, understanding of the local cultures by merchants were integral to successful trade. Another special element of the Indian Ocean trade was that it had an ideological dimension to it. Scholastic analysis has shown that globalization had taken place before 1500s – between 750 AD to 1500 AD- in the Indian Ocean “system”. According to him, “Companies and individuals who plan to partner with established businesses by getting appointed as a distributor, franchisee or a sales agent will also find this platform useful. It was signed between the Department of Economic Affairs (DEA) and Ministry of Finance for India, and the Department of Commerce for the U.S. Indeed, while the Indian government has taken steps to encourage investment, it remains to be seen exactly how effective its new policies will be.
In addition, we examine the relevant procurement, procedural and tax duty concerns involved in sourcing from India, and conclude by investigating the importance of supplier due diligence – a process that, if not conducted correctly, can often prove the undoing of a sourcing venture. We additionally explore several taxes that apply to wholly owned subsidiary companies, and provide an outlook for what investors can expect to see in India this year.

The concept that the world works as one unit may be an exaggeration taking the realities of global dynamics –such as contemporary conflicts & trade barriers- into consideration. The major four civilizations were the Irano-Arabian, the Indian, the Indonesian and the Chinese. In other words there was no IT revolution in those days and this forced the merchants and trade ambassadors to communicate with the locals in order to better understand the local cultures.
Emporia are coastal trading cities which had massive economic power in various civilizations of the Indian Ocean. By globalization, I meant that there were some uniquely exceptional features around the regions of the Indian Ocean which united the Indian Ocean civilizations into a single “unit-system”.
This is partly due to India’s lower level of intellectual property protection and enforcement. Modi has already had relative success with using public-private partnerships when he was Chief Minister of his native state of Gujurat, which he turned into India’s first state with almost universal 24 hour electricity. Dezan Shira is a specialist foreign direct investment practice, providing corporate establishment, business advisory, tax advisory and compliance, accounting, payroll, due diligence and financial review services to multinationals investing in China, Hong Kong, India, Vietnam, Singapore and the rest of ASEAN. There were also the European civilization and the East African civilization which participated in this intensive trading system of the Indian Ocean. These emporia -such as Malacca in Indonesia and Cambay in India- were the engines of trade around the Ocean.
These features were: non-politicized trade, freedom of merchants, cultural understanding, attitude of the merchants, emporia trading system and a common Islamic ideology. A company or an individual can register itself as a distributor, franchisee or sales agent only by filling a simple online form free of cost. The emporias linked their regions to the Indian Ocean “system”.  They were independent geographical entities (ports) which traded between one another. This new initiative covers the entire industry as a whole and help easy search for finding distributors, franchisee or sales agents for all industry types. But he acknowledges that the future holds an increased process of transnational interdependence and global governance which would probably create a global political economy.
Demands for goods which were specific to certain areas –such as Chinese silk and Indonesian spices- forced these civilizations to trade with one another. He traded with the mission to foster Chinese culture around the Indian Ocean, so that better trade could be conducted in the future.
This unique system of inter-city trade across the Indian Ocean united the civilizations in a manner that many sovereign Empires of its time couldn’t do, even with the help of their military might. Now, they would be able to easily appoint a distributor, sales agent or franchisee in India as well as outside India.”“Besides, there are a lot of international businesses operating in India who wish to make Indian companies and individuals their distributors, franchisees and sales agents.
Such an attitude among the merchants –where personal relationship building is prioritized- was essential in creating the “unit-system” in the Indian Ocean.

In an abstract manner, Islam united the “system” around the Indian Ocean by instilling a new common spirit around the civilizations. In sum, the pre-European Indian Ocean trade can give the contemporary world important guidelines in transitioning from state centric and national interest oriented political economy to a cooperative “unit-system” political economy around the globe. Merchants from all around the Indian Ocean played a vital role in creating and maintaining this unit-system of exchange of goods and ideas. Another example, are the Jain traders of India who specialized in learning local languages of trading communities because they believed it would increase their trade. Letting major port cities to link cultures and regions can help us get out of our narrow interstate-centric trade and exchange of ideas. Tradeindia has a glorious track record spanning almost two decades in offering a comprehensive range of business solutions to the EXIM community through its wide array of online services, directory services and facilitation of trade promotional events.Tradeindia acts as a bridge between buyers and sellers, manufacturers, importers and exporters and is a major entity involved in this task of bringing them under one pedestal.
Based on the work of London based trade historian Kirti Narayan Chaudhuri, this post argues that globalization, a politico-economic process, was the reality around the Indian Ocean from between years 750 to 1500 (before the Portuguese rose to the trade supremacy in the Ocean). They dispersed themselves all around the Indian Ocean and created personal connections with the local authorities and communities.
Contemporary attempts to globalize the world can learn many lessons from the pre-1500 Indian Ocean “world system”, or simply put “globalization, when the civilizations around the Ocean worked as a single unit of trading blocs.
Today with the achievement of the IT revolution we can enhance our “globalization” effort if we make cultural understanding a priority, just like the traders of Indian Ocean did before the European sea dominance. Headquartered in New Delhi, the company has 35 branch offices operating across India at all major business centers. This was the catalyzing factor for successful trade and prosperity around the Indian Ocean because trade was free and fair through which all the civilizations could equally benefit. As we can see, there are certain benefits when civilizations -instead of states- traded among each other. First, there is no trade barriers set up by a single nation where goods would be disallowed to enter. Second, trade was supported by the political authorities who overlooked the issue of narrow national interests.
For example, when Indian Mughal Emperor Jahangir saw the city of Cambay, he was shocked to learn that such an economically prosperous city existed within his Kingdom.  In fact his authorities had never considered and thereby never informed him that Cambay could be a politically important city, unless he saw the flourishing economic boom in it for himself.
Third, merchants were more independent, which allowed them to foster creativity and unite the civilizations through intensified trade.

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