In the modern era, the two countries have sustained their strong relationship as evidenced by several high-level meetings and economic ties. In 2014, this friendship was elevated to a Special Strategic and Global Partnership. During the same summit, Prime Minister Abe pledged to realize public and private investments worth JPY 3.5 tn and doubling of the number of Japanese companies in India over the next five years.
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Canon is the market leader in DSLR camera devices and expects its revenues to reach $550 mn by 2020.
Japanese Prime Minister Shinzo Abe recently announced to invest $35 bn in India by 2020 for infrastructure development.
Diplomatic ties between India and Japan were established in 1952 with the signing of the Peace Treaty post World War II.
The two countries have several institutional dialogue mechanisms, including a 2+2 Dialogue at the Foreign and Defence Secretaries level, which are held regularly, at senior official and functional levels to exchange views on bilateral issues as well as regional and international cooperation.
In 2016, Japan announced its Country Assistance Policy providing Official Development Assistance (ODA) to build India’s critical infrastructure, and to address social and environmental issues caused by rapid growth.
In a special gesture, India announced “visa on arrival” scheme for all Japanese travellers, including for business purposes, from March 1, 2016.
A Comprehensive Economic Partnership was concluded between India and Japan in 2011.
Japan is the 3rd largest investor in the Indian economy with cumulative FDI inflows of $ 30.27 bn during 2000 - 19, contributing 7.2% to India’s total FDI inflows during the same period.
The imports to India from Japan stood at $ 12.77 bn in 2018-19, making it India’s 14th largest import partner. India’s exports to Japan stood at $ 4.86 bn in 2018-19, making it India’s 19th largest export partner.
India's imports showed a growth of 102.7% in a span of 12 years, reaching $12.77 bn in 2018-19 from $6.3 bn in 2007-08. Key imports from Japan include Nuclear reactors, electrical machinery, iron and steel, organic chemicals.
India’s exports showed a growth of 26.2% in a span of 12 years, reaching $4.86 bn in 2018-19 from $3.85 bn in 2007-08. Key exports to Japan include mineral fuels and mineral oils, organic chemicals and natural or cultured pearls
Based on the annual survey, the number of Japanese companies in India is at 1,441 as of October 2018. This marks an increase of 72 companies or 5% compared to the previous year.
India and Japan have had strong cultural ties for centuries due to the spread of Buddhism through East Asia; Japanese Buddhism continues to play a major role in Japanese society resulting in a strong shared identity between Indian and Japanese people.
Initial cultural relations between India and Japan post World War II were initiated in 1949 by the Indian Prime Minister Jawaharlal Nehru, who donated an Indian elephant to the Ueno Zoo in Tokyo.
The 1952 Peace Treaty between India and Japan was followed by a Cultural Agreement signed in 1956 between the two countries.
The Cultural Agreement established a system of cultural exchange between Japan and India through scientific, artistic, and educational endeavours; the agreement also created two Indian-Japanese Mixed Commissions, which govern overall cultural exchange policy.
More recent examples of cultural exchange between both countries include the creation of The Vivekananda Cultural Centre in Tokyo in September 2009 and the series of events organized by the Embassy and Consulate General, centered around the 3rd International Day of Yoga in June 2017.
MUFG Bank has set up a system development and operations wing in India, with plans to develop it into a unit that supports the bank’s business across the Asian and Oceanian regions and elsewhere. With a capital of $4 mn, MUFG Bank holds a 99.9% stake, while its system development arm Mitsubishi UFJ Information Technology Ltd. holds the remainder.
The Series A funding and the CARB-X award will enable Bugworks to take its drugs to clinical trials, and find new ways to fight the global threat of drug resistance.
In December 2014, Masayoshi Son, founder of Japanese internet giant SoftBank Group said that his group would invest $10 bn in the Indian market by 2024. However, within five years, since Son made that remark, SoftBank has already achieved the $8 bn mark and is likely to surpass the committed amount much before the targeted year.
Suzuki Motor Corp is planning to set-up 17 automobile ancillary plants in Bhagapura near their Hansalpur plant in Gujarat, with an expected investment inflow of $131 mn.
Nissan is eyeing on Technopark in Thiruvananthapuram, Kerala to set up its R&D facility to promote innovation. The venture is expected to create about 500 high-end jobs in its first phase.
Kobelco Construction Equipment Co. starts expanding the manufacturing capacity at its facility in Sri City in Andhra Pradesh, with a planned investment of around $11.5 mn.
Japan's largest egg producer, Ise Foods signs MoU with the Ministry of Food Processing Industries, India to offer support in poultry, egg production and the upcoming Ise-Suzuki Mega Project in Telangana with an investment commitment of $34 mn.
Japan’s Sumitomo Corp and Indian auto-component manufacturer Krishna Group announces 50:50 JV in Indian real-estate market to set up Krisumi City Project in Gurugram in Haryana, with a planned investment of $2 bn.
Panasonic India sets up their maiden refrigerator manufacturing factory in Haryana with an investment of $18 mn.
Japanese entertainment company Sega Sammy is partnering with Gurugram-based GHV Accelerator to invest a minimum seed fund of $1,00,000 each in 10 startups.
Rubique, a Mumbai-based online marketplace for financial products, has raised an undisclosed amount in a funding round led by Japan's Recruit Group and Russian venture capital firm Emery Capital.
Japanese MNC Toray plans to set up their unit to manufacture technical textiles in Sri City in Andhra Pradesh, with expected investment inflow of $157 mn.
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India and Japan are ancient civilizations and vibrant democracies. Japan needs opportunities where it can deploy its hard-earned knowledge and technology. With the strength of our friendship and mutual trust, I invite more and more Japanese people and companies to come, live and work in India.
I would like to state that the India Japan partnership is special, strategic and global. India can become the factory of the world if both countries combine their efforts. We are committed to the policy of Make in India.
Japan and India are getting closer and closer. It is not just economic engagement, it is people to people exchange that is happening. Prime Minister Abe has a special interest in strengthening our bilateral relationship.