India-Japan bilateral ties far from achieving potential: Ex Indian envoy to Japan HK Singh  

New Delhi, August 30, 2024 – At the inauguration of Japan Month 2024 at the Embassy of Japan, Ambassador Hemant Krishan Singh, Director General of the Delhi Policy Group, and former Indian ambassador to Japan (2006-10) emphasized the critical need to strengthen trade, investment, and people-to-people exchanges between India and Japan. Addressing a gathering, including Ambassador Hiroshi Suzuki and top personalities from Japanese corporate and culture world, Singh outlined key areas where the bilateral relationship, while historically strong, requires renewed focus and action.

Singh pointed to the current state of trade between India and Japan, which stands at a relatively low $22.85 billion, as an area requiring urgent attention. He urged both governments to initiate a more robust dialogue aimed at boosting trade volumes and correcting the trade imbalance.

“India and Japan’s economic partnership has immense potential,” Singh said, “but it is far from being fully realized.”

“Similarly, while Japan’s cumulative FDI in India stands at $41.9 billion, making it the fifth largest investor in India, this level also does not reflect the true potential.  The number of Japanese companies operating in India remains modest in comparison with several other Asian economies.  It is heartening to note that both sides are working hard to implement Japan’s commitment to invest 5 trillion yen in public and private financing in India during the 2022-2027 period. In fact, given India’s robust economic growth, we should already be discussing even more ambitious targets for this period, and beyond.

During his tenure as the longest serving Ambassador to Japan, Singh played a key role in shaping the India-Japan strategic partnership. He was honored with Japan’s prestigious “Grand Cordon of the Order of the Rising Sun” in 2022 for his contributions to bilateral relations.

A key focus of his speech was the need for Japan to deepen its engagement in India’s growth sectors. Singh noted Japan’s significant contributions in areas such as urban transportation, automotive manufacturing, and infrastructure, but pointed out that much more could be done. He called for dialogues focused on economic security, emerging technologies, and high-level cooperation on critical technologies, mirroring India’s existing partnerships with the United States and the European Union.

“Given Japan’s status as Asia’s most developed democracy and India as the largest developing democracy, there is great scope for deeper collaboration,” Singh remarked, stressing that Japan’s commitment to invest 5 trillion yen in India from 2022-2027 should be viewed as a stepping stone toward even greater achievements.

Another central theme of Singh’s address was the importance of enhancing people-to-people exchanges between the two nations. He advocated for simplifying travel procedures, including the introduction of a visa-free regime for certain categories, such as research and academic exchanges. He expressed hope that Japan would take additional steps to facilitate the entry of Indian tourists, students, and skilled workers.

“There are still very few Indian students and professionals in Japan, particularly in the IT and engineering sectors,” Singh said, urging more coordinated efforts in education and vocational training. He commended existing initiatives like the Technical Intern Training Programme (TITP) and the Specified Skilled Workers (SSW) Programme, which allow Indian workers to train and work in Japan, but insisted that these programs need to be scaled up.

Singh also highlighted the long-standing cultural connections between India and Japan, dating back to the Buddhist era. He emphasized the need to increase contemporary cultural and educational exchanges, urging both countries to “learn from each other’s traditions and aspirations.”

Concluding his speech, Singh called on Japan to accelerate the establishment of more designated skill-testing centers in India and expand the range of industries open to the mobility of the Indian workforce. He stressed that mutual understanding and cooperation in areas such as education, culture, and workforce mobility are essential for transforming the bilateral relationship into a truly comprehensive partnership.

The Japan Month 2024 celebrations, taking place across India in the coming months, are designed to foster greater collaboration and understanding between the two nations, focusing on trade, investment, culture, and shared values.