U.S.-India trade has grown to $115billion. The U.S. is India’s top export partner while India remains the America’s 9th largest trading partner. Growth in exports, imports, and Foreign Direct Investment remains steady but is dependent on defense, Tech, commodities, and garment sectors. A number of adjustments are imminent, particularly in Tech, due to technological and political headwinds.
Agriculture technology (agtech) is a high impact growth segment of modern technology. In the midst of India’s Decade of Innovation, it is critical to focus on the opportunities in agtech. By doing so the economic interests of nationalist leaders with slogans like “Make in India” and “America First” can be realized through job creation in both nations.
India requires expertise in finding more efficient methods for food storage, processing and packaging, distribution, yield per farm and other advancements that the U.S., with its technological prowess, can provide through:
- Big Data
- AI/Machine learning
- Drones; and
The growing demand for natural/organic food lifestyles has led to alternatives to meats, milk, eggs, and other animal-based food products. Retailers such as Whole Foods, Trader Joes, Harris Teeter, Aldi, and Wegmans reflect this growth. India can leverage its historic use of plants and herbs for food to help lead the health food trend while expanding trade within America’s food and nutraceutical market.
India’s investors should be encouraging its start-up sector to expand in the nutraceutical-health-food sector, using its proprietary advantage, versus American commodity businesses–e.g. Ola for Uber, Flipkart for Amazon, Paytm for PayPal, etc. How about an Indian-based Beyond Meat, Blue Apron or Honest Tea, all unicorns with billion dollar valuations?
By focusing on its strengths and creating intellectual property around trending consumer demand for agtech, healthy food and nutraceuticals, Indian companies will experience huge growth opportunities.