Why Americans Show Indifference to India?

Posted : August 27, 2006 at 10:38 am [IST]

I have found some answer to my query put to some NRIs in US, when I was there for some six months. Why do on one hand Americans or for that matter, all the industrialists from all the developed countries keep on talking high about the success of Indian democracy, but when it comes to investment, they invest in China?

Edward Luce in a well-written article in ‘Outlook’ Independence Day Anniversary Issue-’ How The West Was Not Won’ has put certain points worth noting by every Indian.

Do Indians occupy a prominent share of America’s thoughts, or even those of its foreign policy elites? India doesn’t frequently enter the conversations and calculations of the politicians, lobbyists, journalists and think-tankers. Reasons are:

First: What happens in the rest of the world usually merits the attention of Capitol Hill and the US media only if it is directly related to America’s current domestic agenda.

Second: Americans only really start paying sustained attention to a faraway country after the US has developed extensive trading and commercial ties with it. India ‘is still only 22nd on the list of America’s main trade partners.’ America exports more to Mexico every two weeks than it does to India every year. America’s exports to India in 2005 were just over US $8 billion compared to $38 billion to the UK and $41 billion to China. Total US exports in 2005 were $900 billion, of which India’s share amounted to less than one per cent.

The American establishment only sits up and takes notice of a country when it is either making or losing a lot of money with it. India does not yet belong in that category
In the absence of stronger Indian demand for American goods, India will sooner or later again become the focus of American protectionism against offshoring, perhaps next time for real (the last time, during the presidential election campaign of 2004, was almost entirely rhetorical).

India’s desire for America’s attention and approbation has become unhealthily obsessional in recent years. When a national media starts to exaggerate-often grossly-the degree to which their country matters in America’s calculations, then that country can start to develop a very distorted picture of its place in the world. And this can refract back into distorted policy priorities.

What can India do? Perhaps it will have to build some key sectors strong enough in a short enough timeframe that can’t be overlooked without a perceptible cost by the West. Another way out is already happening. Huge order of aircrafts from Indian airlines to Boeing is one such case. Having done an estimated business of $18 billion for orders for as many as 150 planes - either outright sale or lease - in just two years, Boeing is expecting more orders from India in the coming years. 10 per cent of the total Boeing’s business is expected to be from India this year. Similar business prospects are leading to successful nuclear agreement with US and nuclear powers. Nearness in relations is more for making money and keeping the business going rather than one for the cultural affinity or political ideology.

PS: Air Sahara orders 10 Boeing worth $700 mn
Boeing and India
Boeing projects $72bn market for commercial planes in India

- Indra

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