“Services Trade between India and the U.S will play a very important role in our ever-growing relations – Piyush Goyal”

Fintech, Agritech, Accountancy, Law, Healthcare and Cyber Security are the new areas of opportunities

India’s total services exports have increased twelve fold in last two decades to touch US$ 205 bn.

Union Commerce & Industry Minister Shri Piyush Goyal said that the services sector holds a lot of promise in aiding economic recovery during the post Covid period.

Addressing the ‘2nd Indo-US Services Summit’, organised by Indo American Chamber of Commerce (IACC), Shri Goyal observed that India and the US are working towards peace and stability across the world. 

He said the services trade will play a very important role in the two countries ever expanding relations.  “India & US are two natural partners and our relationship has stood the test of times due to our shared values of equality, liberty and democracy” he added.

Shri Goyal recalled the Y2K challenge two decades back and how the Indian talent helped US deal with it and how the world started noticing India’s skills, capabilities and commitment like never before. “It changed the perception of India,” he remarked.

The Minister said India is now moving beyond a ‘low-cost service provider’ to a ‘high value add partner’ and added that the back offices in India are evolving into brain offices. Giving examples of the 57 Start Up Unicorns, Shri Goyal said the entrepreneurial spirit of young Indians will place the country in the forefront.

The Minister informed that the total Services Exports from India to the world was $17 bn in 2001-02 and has now leapfrogged to $ 205 bn in 2020-21, registering a Twelve fold increase.

“When we talk of India-US partnership, we each have areas of strengths where we excel.  US is hub of innovation, technology, research & quality education.  India has skilled and intelligent manpower at competitive cost.  Uniting our strengths will create an  unbeatable combination”  Shri Goyal remarked.

The Minister further said that India is also rapidly progressing to become one of the world’s largest digital markets. Hospitality, Fintech, Agritech, Entertainment, Accountancy, Law, Cyber security, Healthcare & tourism etc. are some of the areas where India and US can cooperate with mutual benefits.

Shri Goyal applauded the good work by service industry stakeholders and said that India has met all its service commitments that it had across the world without failure throughout the last 15-16 months. “Our services exports are back to 97% level of the previous year,” he said.

Shri Goyal appreciated the efforts taken by the IACC for choosing such a relevant topic at such crucial times when the world is fighting the Pandemic. “The IACC who has always been at the forefront of strengthening the Indo US relations has initiated this dialogue at a very critical time,” he said.

YouTube Link

Union Minister Piyush Goyal’s address during 2nd Indo-US Services Summit can be watched here https://youtu.be/5rvMBxXuldw

Services trade will strengthen bilateral economic ties and expand cooperation across fintech, agritech, healthcare and cyber security. Services trade between India and the US is presented as central to bilateral economic relations, with priority cooperation areas including fintech, agritech, accountancy, law, healthcare and cyber security. The document stresses India's transition from a low cost services provider to a high value add partner, driven by digital market growth, skilled manpower and startup entrepreneurship, and notes recovery of services exports and adherence to international commitments during the pandemic.