Nooyi advocates inclusive growth in India

NEW DELHI: Pepsico chief Indira Nooyi onb Wednesday advocated inclusive growth in India and the need for agrarian reforms, also stressing on the need for finding ways to mitigate political risks and avert changes in government contracts.

Nooyi, who is in the country as the Chairperson US India Business Council (USIBC), said: "In a country where 68 per cent of the population lives in rural areas.... it is clear that there can be no inclusive growth without a serious agrarian reform".

India needs to improve the quality and availability of water, Nooyi said adding that the country must also improve irrigation and harvesting techniques.

While addressing executives of USIBC and industry body CII, she said: "I believe we can play a role here by bringing our own expertise to the country through partnerships and other initiatives".

On India's infrastructure needs, Nooyi said that massive foreign direct investment and private sector participation will be required.

"International corporations are eager to invest but will hope to find ways to mitigate political risk and avoid changes in contracts and government levies," she added.

She stressed on the need for the Bilateral Investment Trade Treaty between the two countries. "We need to champion a successful on-going trading relationship. As a first step, let us launch the Bilateral Investment Trade Treaty".

She also said that it is essential for India to develop its indigenous power generating capabilities. "Clean coal power generation is an imperative," she said.

Nooyi said the India-US civil nuclear deal is in India's interest. "India's economic prosperity depends on access to reliable electricity supply," she added.