Panel Discussion: “De-risking the Economy: Could India Replace China?”

With China’s rise, the West is attempting to de-risk its economy by reducing dependence on China. Can India emerge as a viable economic and manufacturing alternative?

22 October 2024 (Tuesday) | 1800 – 2000 IST

Viceroy Hall, Claridges Hotel, New Delhi

Background

In light of Europe’s heightened awareness of geo-economic risks associated with its one-sided dependence on Russian energy, there is a concerted effort in Europe to mitigate this vulnerability. This de-risking effort extends beyond Russia to also include efforts to reducing economic dependence on China by exploring alternative economic partnerships. India is positioning itself as a viable option for European economic diversification efforts. With its democratic system, increasing growth rate and rapidly expanding consumer market, India presents a strong appeal.

Given this context of economic diversification, could India serve as a substitute for China? To what extent is such substitution feasible? And what are India’s comparative advantages, limitations, and challenges? To comprehend these intricate dynamics, the Friedrich Naumann Foundation for Freedom South Asia (FNF) is conducting a panel discussion to explore different perspectives on the economic landscape of India, its area of strengths, challenges, associated geopolitical dynamics, and its potential to be a stable economic partner for Europe. The discussion also aims to explore India’s interests and potential contribution to the European de-risking endeavour.

Guiding Questions

1. How is India’s workforce demographics, regulatory environment, and infrastructure performing compared to those of China, specifically in manufacturing, service, and technology sectors?

2. What are the institutional, economic, and political limitations hindering India’s ability to fully replace China as a global economic powerhouse, including challenges related to access to rare earth materials, infrastructure bottlenecks, and geopolitical complexities?

3. How can India contribute to mitigating economic risks for European investors and what institutions are available to facilitate this development?

4. What are the potential repercussions for European companies, particularly SMEs, in the event of an accelerated decoupling from China? How might investments be impacted?

5. What are the prospects for relations between India and Europe?

Speakers

Mr Shyam Saran, Former Foreign Secretary, India

Dr Sriparna Pathak, Associate Professor, O P Jindal Global University

Mr Sujoy Ghosh, Vice President & Country Managing Director, India, First Solar

Moderator

Professor Ummu Salma Bava, Jawaharlal Nehru University, Delhi

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