A large campaign has been launched to deal with global tariff challenges. The government’s focus is to bring capital from abroad and establish the state as a global manufacturing hub. For this, work on China +1 strategy is being done. So far, more than 200 international companies have been interacted. To convert China +1 Leads into real investment, the state government is making efforts in these countries with Indian embassies and other institutions.
Countries that have the highest focus under China +1 Leeds include companies from the US, Japan, China, France, Denmark. These include more than 30 from the US, around 30 from Germany, 20 from Japan, 14 from China, 7-7 from Switzerland and France, 6 from Denmark and 5 from Spain. Companies from these countries are also keen to invest in Uttar Pradesh. To put it on the ground, the UP government is also considering creating a special team and the country-specific desk. The Government of Uttar Pradesh is trying to convert these leads into comfort investment and for this, the help of Indian Embassy is also being taken in these countries.
As per the initiative of investment incentive, 574 production linked incentive (PLI) projects have been approved by the Government of India so far. Of these, 70 companies are already working in Uttar Pradesh. Apart from this, 11 companies have new projects. 20 companies have done an MoU directly with the UP government. At the same time, the departments are following-up with 473 companies.
The UP government has taken an innovative step to provide better facilities to foreign investors. Account managers have been appointed for 814 companies (associated with Fortune 500 and India Next 500). These companies include shipping, shipbuilding, telecom, retail, petrochemicals, insurance and public sector banks. Also, state PSU companies like Gujarat State Petronet and TN Newsprint are also involved in this mission. Through this initiative, 50 new MoUs have been signed so far, while discussions with 16 new leads and 282 companies are still going on.
What is China +1 Strategy
China +1 Strategy is a global business strategy that adopts multinational companies around the world. Its purpose is that companies setup their manufacturing and supply chains in one or more additional countries, not just depending on China. Uttar Pradesh can get the biggest benefit from this, as large population and workforce are available here. There is cheap and efficient labor. There is a huge domestic market.