Monday: Minnesota delegation gets down to business

NEW DELHI - Gov. Tim Pawlenty and Minnesota trade delegates kicked off their first official day of business in India on Monday with a marathon of activities that included the distribution of Starkey hearing aids to the poor, seminars, networking sessions with premier Indian firms and an evening garden reception at the U.S. ambassador's home.

"We are, of course, exploring ways to set the stage for greater friendship and greater cooperation [as] we have some beneficial economic relationships," Pawlenty said during his first keynote address in India before the Confederation of Indian Industries at the opulent Hyatt Regency here.

Stressing the partnerships that are expected to flow from this week's trade mission, Pawlenty said he hopes India's economic reforms "continue in an open manner," spurring foreign investments and imports. "There is a great debate about outsourcing [to India], and we have to make sure that we construct this relationship as a win-win that is mutually beneficial to all parties," he said.

India bought $129 million worth of Minnesota goods this year and could potentially double that amount next year as the country continues to buy machines, supercomputers, medical equipment and devices that are made in Minnesota.

Pawlenty and members of the Minnesota delegation went on to congratulate confederation members on India's 60th anniversary of independence from British rule and on the news that the state of Louisiana just elected Bobby Jindal as America's first governor of Indian descent. The Louisiana results made the front page of newspapers across India.

Phiroz Vandrevala, executive director of global corporate affairs for Tata Consultancy Services -- a unit of India's steel, auto, tea and software firm conglomerate -- welcomed Pawlenty to India and told delegation members, "We are very happy that Minnesota is taking notice of India. The fact that Minnesota is reaching out now is timely."

India is rising in its importance to the United States and Minnesota, Vandrevala said. He went on to praise Indian firms' recent investments in Minnesota such as steelmaker Essar Global, wind-turbine maker Suzlon Energy and software firms such as WIPRO and Tata.

During Monday's luncheon, members of the Minnesota delegation talked with their hosts about the University of Minnesota's new India Center, technologies emerging from Minnesota's small businesses, and new laws that are helping to increase foreign investment in India.

"I am already encouraged with what I am hearing here today," said Sam Roy, CEO of EPS Technologies, a start-up firm that makes fuel-saving devices for diesel engines. News that corporate and government officials were interested in cutting emissions could open doors for his tiny firm.

Delegate Laura Danielson, a partner with the Fredrikson & Byron law firm, said a growing list of clients is interested in India but needs help navigating the nation's laws and logistics.

During morning sessions, delegates spent hours learning about India from U.S. State Department officials and from Indian officials with the U.S.-India Business Council.

State Department commercial counselor Carmine D'Aloisio said India is attracting more and more businesses visitors, including CEOs and entire boards of directors, intrigued by its 9 percent annual growth in gross domestic product. U.S. exports to India, about $10 billion last year, are expected to be $16 billion by the end of this year.

"And it is clear that Minnesota is way ahead of the curve. You are doing better than anyone else not only from the merchant trade side, but also on the service, education and tourism. I think India is a great opportunity for Minnesota," D'Aloisio told the packed room.

D'Aloisio added that India's energy and infrastructure needs are growing quickly. India will spend $120 to $150 billion on energy improvements "just to keep up with their rapid growth rate."

Environmental companies looking to help India cut pollution from the burning of coal and dung that chokes visitors as they leave planes at the New Delhi airport should find chances to help put scrubbers on coal-burning plants, create renewable energy and build better cement plants and roads, State Department officials said.

"You saw what the airport looked like and what the roads are like. So you know there is opportunity in those areas," D'Aloisio said.

He noted the shopping malls that are swelling along major highways in response to the rising middle class that is in excess of 300 million strong.

State Department economic counselor John Davison said no Indian city has electricity or water for a full 24 hours a day. At the same time, India plans to spend $500 billion on infrastructure over the next 10 years.

Dee DePass • ddepass@startribune.com