KOSME’ Global Business Center to expand support for Korean SMEs & startups in India, double its capacity
More Korean SMEs entering India as India is perceived as a market for a good opportunity for India to replace China and Southeast Asia due to changes in the Global Value Chain (GVC).
NEW DELHI: Expecting a surge in the influx of Korean small and medium-sized business enterprises because of emerging opportunities in India, Korea SMEs & Startups Agency (KOSME) is going to double its capacity for accommodating more Korean entities at its Global Business Center (GBC).
Situated at the DLF Cyber City, the GBC currently accommodates 30 Korean SMEs and startups but has an ambitious plan to make room for 60 entities at its ultra-modern facility. So far, KOSME has supported more than 100 Korean starups in India.
An arm of the Korean Ministry of SMEs and Startups, KOSME provides vital support to Korean SMEs, including office space at subsidized rates to help them settle in India and compete in the competitive Indian market. It also provides consulting on localization, corporation establishment, logistics, customs clearance, and local employee recruitment. This comprehensive support structure is designed to facilitate the smooth entry and operation of Korean SMEs in the Indian market.
In an exclusive interview with Asian Community News (ACN) Network, LEE Jae Kyeong, Director, KOSME, New Delhi shared exciting expansion plans for supporting Korean small and medium-sized enterprises (SMEs) in India. Since his assignment on January 1, Mr. Lee has been dedicated to enhancing the opportunities for Korean SMEs to successfully establish and grow their businesses in India.
“KOSME’s shared office currently supports a company for up to four years. At present, 30 companies are affiliated with KOSME, with 14 in cabin offices and 15 in common spaces at the GBC. We plan to double the capacity for accommodating 60 companies here to benefit more SMEs and startups. During the first year of operation, we charge 20% of the standard rentals, it is 50% during the second year, and 100% during 3rd and 4thyear,” the KOSME Director added.
When asked the reason behind the potential surge in the influx of more Korean SMEs, Mr. Lee said India offered many business opportunities because of its demographic structure which has a large young population and its economic growth rate is high compared to other countries.
India is perceived as a market for a good opportunity for India to replace China and Southeast Asia due to changes in the Global Value Chain (GVC).
According to Mr. Lee, there are approximately 500 Korean SMEs currently operating in India, with Delhi NCR, Bengaluru, and Chennai being the most preferred regions for establishing businesses due to rapid technological growth.
These regions serve as hubs for both B2B and B2C enterprises, with a notable presence of food and cosmetics companies catering directly to consumers. However, there is also a growing interest from B2B companies as investments from large corporations increase.
