I would like to begin by thanking the Economiesuisse, the Swiss India Chamber of Commerce as well as the members of the Federation of Indian Chambers of Commerce and Industry, for arranging this Conference during my visit to Switzerland. I am also happy to see members of CII and ASSOCHAM here amongst us. I am delighted to be with the representatives of Swiss and Indian industry here in Berne today. I am well aware that the partnership between India and Switzerland, owes a lot to the joint efforts of all of you gathered here.

Switzerland and India share many common values and beliefs. Foremost among them are the deep-rooted democratic system, a secular, multi-linguistic and multi-cultural society, and a respect for the rule of law and human rights. The warm and friendly bilateral relationship is a natural outcome of our shared values. The Treaty of Friendship and Establishment, signed by India and Switzerland in 1948, was among the first that independent India signed. It is the cornerstone on which the bilateral relationship has been built. It is a relationship which today encompasses collaboration and cooperation in diverse fields - political, economic, scientific and cultural. The objective of my State Visit to Switzerland is to accelerate our bilateral relations in all these spheres.

Let us begin by looking at the trade links between our two countries. These have a long history. It was in 1856 that the Volkhart Brothers set up companies in both countries, with the main purpose of trading in cotton and industrial goods. Today, Switzerland has emerged as a leading trading partner for India outside the EU. The liberalization of the Indian economy gave a real boost to two-way trade, which nearly doubled in ten years between 1995 and 2005, and increased at an even faster rate to cross Swiss Francs 3.5 billion last year; dipping only a little during 2009 due to the global economic downturn. However, the Indian and the Swiss economies have both demonstrated resilience. As a consequence, the first half of 2011 has seen continued upward surge in our commercial exchanges.

While bilateral trade trends are encouraging, we get a complete picture of the economic engagement between our two countries only when we also look at the investments. Switzerland is among the top foreign investors in India and currently ranks 11th. About 170 Joint Ventures and subsidiaries of Swiss companies are operating in India, in diverse fields including heavy engineering, precision tools, chemicals, pharmaceuticals, textiles and IT services. Switzerland has been a good source of technology transfer, helping Indian companies to upgrade their production capabilities. Over the last fifteen years, there have been over 7,800 technical collaborations between Indian and Swiss companies.

Recent developments have been promising and give strong grounds for optimism about the bright future of the economic partnership between India and Switzerland. Firstly, even though relatively small in number, Indian companies have begun to invest in Switzerland. This trend is bound to strengthen as Indian MNCs further expand their global operations. Secondly, Swiss Small and Medium Enterprises have begun to look at the opportunities that are offered by the growing Indian market, as well as its cost-effective manufacturing facilities. Thirdly, the bilateral Social Security Agreement signed in 2009, would also help the industry in regards to its liabilities and contribution towards social security of its employees.

India is at present the second fastest growing economy in the world. Since the 1990s the average growth rate has been more than 6 percent and it reached close to 9 percent in recent years. There was a decrease in the growth rate in 2008 due to the global economic crisis, but we fast reverted to our high growth path. I would like to highlight that India's growth story is not only a reflection of the new dynamism of a young India, but it is also a reaffirmation that the values of democracy, pluralism and the rule of law can sustain high economic growth. Further, the economic transformation under way in India, not only augurs a better future for its one billion plus people; it has also helped India become an anchor of stability and a hub of opportunity for the global economy. It is, therefore, not surprising that India has been projected to become the second most attractive destination for Foreign Direct Investment in 2010-12, as per UNCTAD's World Investment Report.

Ladies and Gentlemen,

Swiss companies with their advanced technologies have been a part of India's growth story. They have played an important role in building up India's infrastructure and industrial base. They have profited from their ventures in India. Interestingly, a study conducted by the Swiss Embassy last year, based on the responses it received from 132 out of the 170 Swiss companies operating in India, found that despite the global economic recession, many of the existing collaborations were expanding. The past experience should leave no one in doubt that closer economic ties between our two countries will be a win-win partnership. India has launched a massive national programme for skill development where we aim at training 500 million skilled personnel by 2022. I call on Switzerland to be India's partner in this mission. The Vocational Education and Training Initiative between our two countries that has contributed to capacity building efforts in India, can play an important role in this. We would like it to be further expanded and also to broaden its scope.

India is negotiating a Free Trade agreement with the European Free Trade Area which includes Switzerland. Trade as well as investments will get a definite boost from the conclusion of this Agreement.

It would be remiss of me not to recognize the role played by the business chambers, as well as the Embassies in the two countries, in enhancing the flow of information on investment and trade related issues. This has made an invaluable contribution to supporting the establishment of joint ventures and strategic alliances between enterprises of both countries. I urge them to keep up the good work.

Ladies and Gentlemen,

As you can see, there is tremendous potential to expand the Indo-Swiss bilateral partnership. I urge you to fully utilize the opportunity of meeting today, to impart further momentum to business relations between our two countries. You can be sure of a helping hand from the two governments, as they are committed to taking the bilateral economic ties to ever greater heights.

Thank you.