1
00:00:00,000 --> 00:00:02,100
The President: Well, I'm
going to have an opportunity
2
00:00:02,102 --> 00:00:06,902
to address Business Summit
immediately following this
3
00:00:06,906 --> 00:00:09,876
meeting so I'm going to keep
my remarks relatively brief.
4
00:00:09,876 --> 00:00:14,946
I want to first of all thank
all the business leaders,
5
00:00:14,948 --> 00:00:19,388
both from the Indian
community as well as from
6
00:00:19,386 --> 00:00:21,256
the United States.
7
00:00:21,254 --> 00:00:24,224
As David noted, this is
the third in a series
8
00:00:24,224 --> 00:00:26,294
of business summits
that we've established
9
00:00:26,292 --> 00:00:29,032
and they have been
extraordinarily useful
10
00:00:29,028 --> 00:00:34,798
to us in identifying
problems and then generating
11
00:00:34,801 --> 00:00:36,271
practical solutions.
12
00:00:36,269 --> 00:00:38,169
And Dave's right.
13
00:00:38,171 --> 00:00:41,941
The first one that we
had didn't result
14
00:00:41,941 --> 00:00:44,141
in concrete action, not
surprisingly; we hadn't
15
00:00:44,144 --> 00:00:46,744
received recommendations yet.
16
00:00:46,746 --> 00:00:50,586
The subsequent meeting
generated some very concrete
17
00:00:50,583 --> 00:00:52,923
recommendations and many
of them were acted upon
18
00:00:52,919 --> 00:00:53,919
with some dispatch.
19
00:00:53,920 --> 00:00:57,890
I think this has
already been noted.
20
00:00:57,891 --> 00:01:00,731
I think there's special
excitement about this meeting
21
00:01:00,727 --> 00:01:04,227
because Prime Minister Modi
has brought new energy
22
00:01:04,230 --> 00:01:10,240
and vigor to redesigning the
architecture here in India
23
00:01:12,672 --> 00:01:17,742
so that more business, greater
growth, greater investment
24
00:01:17,744 --> 00:01:22,784
can take place and
what I'm excited about
25
00:01:22,782 --> 00:01:26,222
is the fact that, not
only do we have a lot
26
00:01:26,219 --> 00:01:29,159
of U.S. businesses who are
interested in investing
27
00:01:29,155 --> 00:01:31,495
in India, but we also have
a lot of Indian companies
28
00:01:31,491 --> 00:01:33,931
who are already investing
in the United States
29
00:01:33,927 --> 00:01:35,967
and want to do
more business.
30
00:01:35,962 --> 00:01:40,832
So I appreciate all of your
input and I want to emphasize
31
00:01:40,834 --> 00:01:45,434
that we pay a lot of attention
to what you have to say.
32
00:01:45,438 --> 00:01:48,878
We're not always going to
immediately be able to solve
33
00:01:48,875 --> 00:01:51,515
every problem that's been
brought up but you're going
34
00:01:51,511 --> 00:01:54,311
to see sustained engagement
from my administration,
35
00:01:54,314 --> 00:01:58,184
as we try to work through
each of the recommendations
36
00:01:58,184 --> 00:01:59,854
that you've made.
37
00:01:59,853 --> 00:02:04,323
The good news is that
during my visit in 2010
38
00:02:04,324 --> 00:02:06,664
I said I wanted to boost
trade and investment
39
00:02:06,659 --> 00:02:08,659
between India and
the United States.
40
00:02:08,661 --> 00:02:11,531
In the last few years we've
increased trade by some
41
00:02:11,531 --> 00:02:16,301
60 percent, nearly -- nearing
a record $100 billion.
42
00:02:16,302 --> 00:02:21,842
U.S. exports to India
are up 35 percent.
43
00:02:21,841 --> 00:02:24,441
That means jobs in
the United States.
44
00:02:24,444 --> 00:02:27,084
Exports from India to the
United States are also
45
00:02:27,080 --> 00:02:30,120
up, and that means
jobs here in India.
46
00:02:30,116 --> 00:02:37,526
So there is enormous
potential for U.S. workers
47
00:02:37,524 --> 00:02:42,124
and Indian workers
to see advancement
48
00:02:42,128 --> 00:02:44,868
as our countries
learn to cooperate.
49
00:02:44,864 --> 00:02:47,104
So, we're moving in
the right direction.
50
00:02:47,100 --> 00:02:49,600
But I think what's been
clear from all the comments
51
00:02:49,602 --> 00:02:52,042
here is that there's huge
untapped potential that
52
00:02:52,038 --> 00:02:53,608
we have not yet realized.
53
00:02:53,606 --> 00:02:56,776
There's a lot more work
that needs to be done.
54
00:02:59,045 --> 00:03:00,415
We want to see more trade.
55
00:03:00,413 --> 00:03:02,753
We want to see more investment
that will deliver real
56
00:03:02,749 --> 00:03:05,919
benefits to our people and
the kind of sustainable
57
00:03:05,919 --> 00:03:08,819
growth that will benefit
both Indians and Americans.
58
00:03:08,821 --> 00:03:11,791
A couple of themes that have
emerged: I do this for the
59
00:03:11,791 --> 00:03:15,491
benefit of our press corps.
60
00:03:15,495 --> 00:03:20,965
I think there's great
interest in -- on the part
61
00:03:20,967 --> 00:03:24,907
of U.S. companies to
find consistency,
62
00:03:24,904 --> 00:03:30,714
clarity, greater simplicity
in the regulatory
63
00:03:30,710 --> 00:03:34,650
and tax environment
in India.
64
00:03:34,647 --> 00:03:37,217
If that occurs, I think
you're going to see a lot
65
00:03:37,216 --> 00:03:39,216
more business here and
that's consistent with many
66
00:03:39,218 --> 00:03:44,488
of the reforms that Prime
Minister Modi has articulated.
67
00:03:44,490 --> 00:03:47,990
There's also great
interest in finding ways
68
00:03:47,994 --> 00:03:52,334
to finance improved
infrastructure inside of India.
69
00:03:52,332 --> 00:03:56,902
As has been noted, it's not
enough just to set up a plant.
70
00:03:56,903 --> 00:03:59,943
It's also necessary to
make sure that that plant
71
00:03:59,939 --> 00:04:04,239
can receive regular power,
has broadband access,
72
00:04:04,243 --> 00:04:07,543
that there are roads that allow
products that are manufactured
73
00:04:07,547 --> 00:04:10,817
here to be delivered
efficiently and effectively.
74
00:04:10,817 --> 00:04:17,727
And U.S. exporters are
very concerned about
75
00:04:17,724 --> 00:04:20,164
issues of IP protection.
76
00:04:20,159 --> 00:04:23,559
Increasingly, the United States
is a knowledge-based economy.
77
00:04:23,563 --> 00:04:29,573
We tend to operate at the higher
ends of the global value chain
78
00:04:32,639 --> 00:04:35,839
and, whether we're talking
about movies from Disney,
79
00:04:35,842 --> 00:04:39,282
and I was interested to find
out from Bob Iger at Disney
80
00:04:39,278 --> 00:04:43,648
that Disney's a major
investor in Bollywood,
81
00:04:45,752 --> 00:04:47,752
which is pretty exciting.
82
00:04:49,355 --> 00:04:56,325
But also what we hear from
software companies who are
83
00:04:56,329 --> 00:04:58,329
already doing significant
business, obviously,
84
00:04:58,331 --> 00:05:02,171
in India because there's
just incredible talent here,
85
00:05:02,168 --> 00:05:08,308
is that the absence of
effective IP protection makes
86
00:05:08,307 --> 00:05:10,907
U.S. companies hesitant
to invest more in India,
87
00:05:10,910 --> 00:05:16,880
but it also is stunting the
development of software
88
00:05:16,883 --> 00:05:21,353
innovation inside of India
because the sense is that it
89
00:05:21,354 --> 00:05:25,854
will not be adequately
protected and the returns
90
00:05:25,858 --> 00:05:28,698
won't be as high as if
that software development
91
00:05:28,695 --> 00:05:29,765
takes place outside.
92
00:05:29,762 --> 00:05:32,002
And it also has some
implications for
93
00:05:31,998 --> 00:05:34,838
cyber security issues.
94
00:05:34,834 --> 00:05:38,374
With respect to Indian
investors in the United States
95
00:05:38,371 --> 00:05:40,071
and Indian companies that
want to do more business
96
00:05:40,073 --> 00:05:43,773
in the United States,
several issues came up.
97
00:05:43,776 --> 00:05:47,246
There's still a great interest
in immigration reform.
98
00:05:47,246 --> 00:05:49,246
We didn't have a chance
to talk about that
99
00:05:49,248 --> 00:05:53,818
too much but I assure you
that despite the executive
100
00:05:53,820 --> 00:05:57,560
actions that I've taken, we
know it's not enough.
101
00:05:57,557 --> 00:06:01,057
We want to continue to
attract more high skilled
102
00:06:01,060 --> 00:06:04,160
workers to the United
States, more innovation
103
00:06:04,163 --> 00:06:06,133
in the United States.
104
00:06:06,132 --> 00:06:08,332
That requires an
active Congress.
105
00:06:08,334 --> 00:06:10,374
We have some outstanding
members of Congress here
106
00:06:10,369 --> 00:06:15,509
who are strong supporters
of immigration reform.
107
00:06:15,508 --> 00:06:18,278
And in the meantime
though, what we are doing
108
00:06:18,277 --> 00:06:22,117
is we're making it a lot
easier for entrepreneurs
109
00:06:22,115 --> 00:06:24,115
interested in investing
in the United States
110
00:06:24,117 --> 00:06:29,697
to be able to get the
visas that they need
111
00:06:29,700 --> 00:06:33,960
and we are very excited
about the work that can
112
00:06:33,960 --> 00:06:35,760
be done on that front.
113
00:06:35,762 --> 00:06:38,462
The issue of
totalization was raised.
114
00:06:38,464 --> 00:06:40,464
For those who aren't
familiar with this,
115
00:06:40,466 --> 00:06:42,506
this has to do with who
pays Social Security
116
00:06:42,502 --> 00:06:45,402
and how it's collected
and that's something that
117
00:06:45,404 --> 00:06:47,674
we are going to
continue to examine.
118
00:06:47,673 --> 00:06:52,043
And, as has been noted,
the possibility of us
119
00:06:52,044 --> 00:06:56,354
establishing a bilateral
investment treaty is one
120
00:06:56,349 --> 00:07:00,119
that would serve both
countries very well.
121
00:07:00,119 --> 00:07:03,559
Now I want to confess that
that will be a challenge
122
00:07:03,556 --> 00:07:09,496
to have a model BIT that meets
the fairly high standards
123
00:07:09,495 --> 00:07:11,695
that the United States
typically establishes
124
00:07:11,697 --> 00:07:16,537
in a BIT with some of
its trading partners.
125
00:07:19,038 --> 00:07:24,178
But the interest and the
potential is there and we're
126
00:07:24,177 --> 00:07:27,177
going to be interested in
exploring with all of you,
127
00:07:27,180 --> 00:07:29,080
and I think the point
that was made earlier
128
00:07:29,081 --> 00:07:31,151
about us consulting
with businesses as we
129
00:07:31,150 --> 00:07:35,090
are developing a possible
BIT so that we get
130
00:07:35,087 --> 00:07:37,387
firsthand from businesses
what is it that they
131
00:07:37,390 --> 00:07:41,960
need to see, I think, is
a very helpful suggestion.
132
00:07:41,961 --> 00:07:46,131
So, you know, the bottom line
is the goal on both sides
133
00:07:46,132 --> 00:07:48,132
is to slash red tape.
134
00:07:49,635 --> 00:07:51,675
I think both the Prime
Minister and myself have
135
00:07:51,671 --> 00:07:55,711
an interest in maintaining
smart regulations that protect
136
00:07:55,708 --> 00:07:59,048
the public health and
welfare of our people.
137
00:07:59,045 --> 00:08:06,255
You know, this may be sacrilege
among some of the business
138
00:08:06,252 --> 00:08:09,792
community, but I actually
think some regulation
139
00:08:09,789 --> 00:08:11,789
is good and important
and necessary.
140
00:08:13,926 --> 00:08:18,066
But what we don't want is
regulations that are not
141
00:08:18,064 --> 00:08:22,364
efficient, aren't smart,
are impeding innovation,
142
00:08:22,368 --> 00:08:24,568
and are impeding the kind
of growth that, ultimately,
143
00:08:24,570 --> 00:08:29,740
will benefit our people and our
goal should be recognizing
144
00:08:29,742 --> 00:08:32,342
that the United States and
India are at different
145
00:08:32,345 --> 00:08:34,645
stages of development.
146
00:08:34,647 --> 00:08:38,187
Both sides can do more and do
better to facilitate the kind
147
00:08:38,184 --> 00:08:43,894
of trading, investment, and
growth that will be good
148
00:08:43,890 --> 00:08:44,890
far into the future.
149
00:08:44,891 --> 00:08:46,991
And I'll just conclude
by saying that there
150
00:08:46,993 --> 00:08:50,263
is a natural convergence
between our two countries.
151
00:08:52,565 --> 00:08:55,735
Probably my favorite
comment was when I heard
152
00:08:55,735 --> 00:08:59,435
Mr. Birla talk about his
excellent experiences
153
00:08:59,438 --> 00:09:02,608
investing in the United
States and how easy
154
00:09:02,608 --> 00:09:07,118
it was, how accommodating
and interested U.S.
155
00:09:07,113 --> 00:09:11,083
companies and U.S.
officials were
156
00:09:11,083 --> 00:09:15,183
in making sure that he
felt at home there.
157
00:09:15,187 --> 00:09:16,887
I hope everybody
was listening --
158
00:09:16,889 --> 00:09:18,929
(laughter)
159
00:09:18,925 --> 00:09:21,095
-- with respect
to that testimony.
160
00:09:21,093 --> 00:09:27,233
But part of what this shows
is the incredible talent,
161
00:09:27,233 --> 00:09:30,773
the incredible business
talent that exists in India.
162
00:09:30,770 --> 00:09:37,480
And, obviously, the Indian
diaspora around the world
163
00:09:37,476 --> 00:09:42,286
has created incredible
companies, incredible
164
00:09:42,281 --> 00:09:46,721
networks, incredible value
wherever they go.
165
00:09:46,719 --> 00:09:50,519
And the question then
becomes, how do we tap
166
00:09:50,523 --> 00:09:52,623
that same potential in
a billion people here?
167
00:09:52,625 --> 00:09:57,025
And how can the United
States which, obviously,
168
00:09:57,029 --> 00:10:02,239
thrives on entrepreneurship
and innovation,
169
00:10:02,234 --> 00:10:07,874
how can we partner with you in
ways that make the world's
170
00:10:07,873 --> 00:10:10,613
two largest democracies also
the most vibrant economies
171
00:10:10,609 --> 00:10:11,349
in the world?
172
00:10:11,344 --> 00:10:12,844
So this has been
very exciting.
173
00:10:12,845 --> 00:10:15,285
I appreciate your
participation.
174
00:10:15,281 --> 00:10:17,481
We will take the
recommendations that
175
00:10:17,483 --> 00:10:18,483
have been made.
176
00:10:18,484 --> 00:10:21,584
We will set some
deadlines for action.
177
00:10:21,587 --> 00:10:23,787
We'll hold ourselves
accountable and, hopefully,
178
00:10:23,789 --> 00:10:28,229
the next time we have a meeting
we'll have a good report.
179
00:10:28,227 --> 00:10:29,127
Thank you very much.
180
00:10:29,128 --> 00:10:30,368
Male Speaker: Mr.
President, Mr. President.
181
00:10:30,363 --> 00:10:31,693
If I could, just to
correct the record --
182
00:10:31,697 --> 00:10:33,237
(applause)
183
00:10:33,232 --> 00:10:34,772
The President: Please.
184
00:10:34,767 --> 00:10:35,637
Male Speaker: Just to
correct the record,
185
00:10:35,634 --> 00:10:37,774
the first forum that
didn't accomplish much
186
00:10:37,770 --> 00:10:41,270
was 2005 to 2008.
187
00:10:41,273 --> 00:10:42,143
The second one --
188
00:10:42,141 --> 00:10:42,871
The President: (inaudible)
189
00:10:42,875 --> 00:10:45,345
Male Speaker: -- that got
a lot done was 2009 to 14.
190
00:10:45,344 --> 00:10:45,914
The President: That was mine.
191
00:10:45,911 --> 00:10:47,751
(laughter)
192
00:10:47,747 --> 00:10:49,117
That is a very
useful correction.
193
00:10:49,115 --> 00:10:50,855
(laughter)
194
00:10:50,850 --> 00:10:52,420
I hope the press
took note but --
195
00:10:52,418 --> 00:10:53,548
(laughter)
196
00:10:53,552 --> 00:10:56,622
-- thank you so much for
all of the outstanding work
197
00:10:56,622 --> 00:10:58,892
that's been done and,
Mr. Prime Minister,
198
00:10:58,891 --> 00:11:00,961
we look forward to doing
business with India.