English subtitles for clip: File:President Obama and Prime Minister Modi Participate in a CEO Roundtable in India.webm
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1 00:00:00,000 --> 00:00:02,100 The President: Well, I'm going to have an opportunity 2 00:00:02,102 --> 00:00:06,902 to address Business Summit immediately following this 3 00:00:06,906 --> 00:00:09,876 meeting so I'm going to keep my remarks relatively brief. 4 00:00:09,876 --> 00:00:14,946 I want to first of all thank all the business leaders, 5 00:00:14,948 --> 00:00:19,388 both from the Indian community as well as from 6 00:00:19,386 --> 00:00:21,256 the United States. 7 00:00:21,254 --> 00:00:24,224 As David noted, this is the third in a series 8 00:00:24,224 --> 00:00:26,294 of business summits that we've established 9 00:00:26,292 --> 00:00:29,032 and they have been extraordinarily useful 10 00:00:29,028 --> 00:00:34,798 to us in identifying problems and then generating 11 00:00:34,801 --> 00:00:36,271 practical solutions. 12 00:00:36,269 --> 00:00:38,169 And Dave's right. 13 00:00:38,171 --> 00:00:41,941 The first one that we had didn't result 14 00:00:41,941 --> 00:00:44,141 in concrete action, not surprisingly; we hadn't 15 00:00:44,144 --> 00:00:46,744 received recommendations yet. 16 00:00:46,746 --> 00:00:50,586 The subsequent meeting generated some very concrete 17 00:00:50,583 --> 00:00:52,923 recommendations and many of them were acted upon 18 00:00:52,919 --> 00:00:53,919 with some dispatch. 19 00:00:53,920 --> 00:00:57,890 I think this has already been noted. 20 00:00:57,891 --> 00:01:00,731 I think there's special excitement about this meeting 21 00:01:00,727 --> 00:01:04,227 because Prime Minister Modi has brought new energy 22 00:01:04,230 --> 00:01:10,240 and vigor to redesigning the architecture here in India 23 00:01:12,672 --> 00:01:17,742 so that more business, greater growth, greater investment 24 00:01:17,744 --> 00:01:22,784 can take place and what I'm excited about 25 00:01:22,782 --> 00:01:26,222 is the fact that, not only do we have a lot 26 00:01:26,219 --> 00:01:29,159 of U.S. businesses who are interested in investing 27 00:01:29,155 --> 00:01:31,495 in India, but we also have a lot of Indian companies 28 00:01:31,491 --> 00:01:33,931 who are already investing in the United States 29 00:01:33,927 --> 00:01:35,967 and want to do more business. 30 00:01:35,962 --> 00:01:40,832 So I appreciate all of your input and I want to emphasize 31 00:01:40,834 --> 00:01:45,434 that we pay a lot of attention to what you have to say. 32 00:01:45,438 --> 00:01:48,878 We're not always going to immediately be able to solve 33 00:01:48,875 --> 00:01:51,515 every problem that's been brought up but you're going 34 00:01:51,511 --> 00:01:54,311 to see sustained engagement from my administration, 35 00:01:54,314 --> 00:01:58,184 as we try to work through each of the recommendations 36 00:01:58,184 --> 00:01:59,854 that you've made. 37 00:01:59,853 --> 00:02:04,323 The good news is that during my visit in 2010 38 00:02:04,324 --> 00:02:06,664 I said I wanted to boost trade and investment 39 00:02:06,659 --> 00:02:08,659 between India and the United States. 40 00:02:08,661 --> 00:02:11,531 In the last few years we've increased trade by some 41 00:02:11,531 --> 00:02:16,301 60 percent, nearly -- nearing a record $100 billion. 42 00:02:16,302 --> 00:02:21,842 U.S. exports to India are up 35 percent. 43 00:02:21,841 --> 00:02:24,441 That means jobs in the United States. 44 00:02:24,444 --> 00:02:27,084 Exports from India to the United States are also 45 00:02:27,080 --> 00:02:30,120 up, and that means jobs here in India. 46 00:02:30,116 --> 00:02:37,526 So there is enormous potential for U.S. workers 47 00:02:37,524 --> 00:02:42,124 and Indian workers to see advancement 48 00:02:42,128 --> 00:02:44,868 as our countries learn to cooperate. 49 00:02:44,864 --> 00:02:47,104 So, we're moving in the right direction. 50 00:02:47,100 --> 00:02:49,600 But I think what's been clear from all the comments 51 00:02:49,602 --> 00:02:52,042 here is that there's huge untapped potential that 52 00:02:52,038 --> 00:02:53,608 we have not yet realized. 53 00:02:53,606 --> 00:02:56,776 There's a lot more work that needs to be done. 54 00:02:59,045 --> 00:03:00,415 We want to see more trade. 55 00:03:00,413 --> 00:03:02,753 We want to see more investment that will deliver real 56 00:03:02,749 --> 00:03:05,919 benefits to our people and the kind of sustainable 57 00:03:05,919 --> 00:03:08,819 growth that will benefit both Indians and Americans. 58 00:03:08,821 --> 00:03:11,791 A couple of themes that have emerged: I do this for the 59 00:03:11,791 --> 00:03:15,491 benefit of our press corps. 60 00:03:15,495 --> 00:03:20,965 I think there's great interest in -- on the part 61 00:03:20,967 --> 00:03:24,907 of U.S. companies to find consistency, 62 00:03:24,904 --> 00:03:30,714 clarity, greater simplicity in the regulatory 63 00:03:30,710 --> 00:03:34,650 and tax environment in India. 64 00:03:34,647 --> 00:03:37,217 If that occurs, I think you're going to see a lot 65 00:03:37,216 --> 00:03:39,216 more business here and that's consistent with many 66 00:03:39,218 --> 00:03:44,488 of the reforms that Prime Minister Modi has articulated. 67 00:03:44,490 --> 00:03:47,990 There's also great interest in finding ways 68 00:03:47,994 --> 00:03:52,334 to finance improved infrastructure inside of India. 69 00:03:52,332 --> 00:03:56,902 As has been noted, it's not enough just to set up a plant. 70 00:03:56,903 --> 00:03:59,943 It's also necessary to make sure that that plant 71 00:03:59,939 --> 00:04:04,239 can receive regular power, has broadband access, 72 00:04:04,243 --> 00:04:07,543 that there are roads that allow products that are manufactured 73 00:04:07,547 --> 00:04:10,817 here to be delivered efficiently and effectively. 74 00:04:10,817 --> 00:04:17,727 And U.S. exporters are very concerned about 75 00:04:17,724 --> 00:04:20,164 issues of IP protection. 76 00:04:20,159 --> 00:04:23,559 Increasingly, the United States is a knowledge-based economy. 77 00:04:23,563 --> 00:04:29,573 We tend to operate at the higher ends of the global value chain 78 00:04:32,639 --> 00:04:35,839 and, whether we're talking about movies from Disney, 79 00:04:35,842 --> 00:04:39,282 and I was interested to find out from Bob Iger at Disney 80 00:04:39,278 --> 00:04:43,648 that Disney's a major investor in Bollywood, 81 00:04:45,752 --> 00:04:47,752 which is pretty exciting. 82 00:04:49,355 --> 00:04:56,325 But also what we hear from software companies who are 83 00:04:56,329 --> 00:04:58,329 already doing significant business, obviously, 84 00:04:58,331 --> 00:05:02,171 in India because there's just incredible talent here, 85 00:05:02,168 --> 00:05:08,308 is that the absence of effective IP protection makes 86 00:05:08,307 --> 00:05:10,907 U.S. companies hesitant to invest more in India, 87 00:05:10,910 --> 00:05:16,880 but it also is stunting the development of software 88 00:05:16,883 --> 00:05:21,353 innovation inside of India because the sense is that it 89 00:05:21,354 --> 00:05:25,854 will not be adequately protected and the returns 90 00:05:25,858 --> 00:05:28,698 won't be as high as if that software development 91 00:05:28,695 --> 00:05:29,765 takes place outside. 92 00:05:29,762 --> 00:05:32,002 And it also has some implications for 93 00:05:31,998 --> 00:05:34,838 cyber security issues. 94 00:05:34,834 --> 00:05:38,374 With respect to Indian investors in the United States 95 00:05:38,371 --> 00:05:40,071 and Indian companies that want to do more business 96 00:05:40,073 --> 00:05:43,773 in the United States, several issues came up. 97 00:05:43,776 --> 00:05:47,246 There's still a great interest in immigration reform. 98 00:05:47,246 --> 00:05:49,246 We didn't have a chance to talk about that 99 00:05:49,248 --> 00:05:53,818 too much but I assure you that despite the executive 100 00:05:53,820 --> 00:05:57,560 actions that I've taken, we know it's not enough. 101 00:05:57,557 --> 00:06:01,057 We want to continue to attract more high skilled 102 00:06:01,060 --> 00:06:04,160 workers to the United States, more innovation 103 00:06:04,163 --> 00:06:06,133 in the United States. 104 00:06:06,132 --> 00:06:08,332 That requires an active Congress. 105 00:06:08,334 --> 00:06:10,374 We have some outstanding members of Congress here 106 00:06:10,369 --> 00:06:15,509 who are strong supporters of immigration reform. 107 00:06:15,508 --> 00:06:18,278 And in the meantime though, what we are doing 108 00:06:18,277 --> 00:06:22,117 is we're making it a lot easier for entrepreneurs 109 00:06:22,115 --> 00:06:24,115 interested in investing in the United States 110 00:06:24,117 --> 00:06:29,697 to be able to get the visas that they need 111 00:06:29,700 --> 00:06:33,960 and we are very excited about the work that can 112 00:06:33,960 --> 00:06:35,760 be done on that front. 113 00:06:35,762 --> 00:06:38,462 The issue of totalization was raised. 114 00:06:38,464 --> 00:06:40,464 For those who aren't familiar with this, 115 00:06:40,466 --> 00:06:42,506 this has to do with who pays Social Security 116 00:06:42,502 --> 00:06:45,402 and how it's collected and that's something that 117 00:06:45,404 --> 00:06:47,674 we are going to continue to examine. 118 00:06:47,673 --> 00:06:52,043 And, as has been noted, the possibility of us 119 00:06:52,044 --> 00:06:56,354 establishing a bilateral investment treaty is one 120 00:06:56,349 --> 00:07:00,119 that would serve both countries very well. 121 00:07:00,119 --> 00:07:03,559 Now I want to confess that that will be a challenge 122 00:07:03,556 --> 00:07:09,496 to have a model BIT that meets the fairly high standards 123 00:07:09,495 --> 00:07:11,695 that the United States typically establishes 124 00:07:11,697 --> 00:07:16,537 in a BIT with some of its trading partners. 125 00:07:19,038 --> 00:07:24,178 But the interest and the potential is there and we're 126 00:07:24,177 --> 00:07:27,177 going to be interested in exploring with all of you, 127 00:07:27,180 --> 00:07:29,080 and I think the point that was made earlier 128 00:07:29,081 --> 00:07:31,151 about us consulting with businesses as we 129 00:07:31,150 --> 00:07:35,090 are developing a possible BIT so that we get 130 00:07:35,087 --> 00:07:37,387 firsthand from businesses what is it that they 131 00:07:37,390 --> 00:07:41,960 need to see, I think, is a very helpful suggestion. 132 00:07:41,961 --> 00:07:46,131 So, you know, the bottom line is the goal on both sides 133 00:07:46,132 --> 00:07:48,132 is to slash red tape. 134 00:07:49,635 --> 00:07:51,675 I think both the Prime Minister and myself have 135 00:07:51,671 --> 00:07:55,711 an interest in maintaining smart regulations that protect 136 00:07:55,708 --> 00:07:59,048 the public health and welfare of our people. 137 00:07:59,045 --> 00:08:06,255 You know, this may be sacrilege among some of the business 138 00:08:06,252 --> 00:08:09,792 community, but I actually think some regulation 139 00:08:09,789 --> 00:08:11,789 is good and important and necessary. 140 00:08:13,926 --> 00:08:18,066 But what we don't want is regulations that are not 141 00:08:18,064 --> 00:08:22,364 efficient, aren't smart, are impeding innovation, 142 00:08:22,368 --> 00:08:24,568 and are impeding the kind of growth that, ultimately, 143 00:08:24,570 --> 00:08:29,740 will benefit our people and our goal should be recognizing 144 00:08:29,742 --> 00:08:32,342 that the United States and India are at different 145 00:08:32,345 --> 00:08:34,645 stages of development. 146 00:08:34,647 --> 00:08:38,187 Both sides can do more and do better to facilitate the kind 147 00:08:38,184 --> 00:08:43,894 of trading, investment, and growth that will be good 148 00:08:43,890 --> 00:08:44,890 far into the future. 149 00:08:44,891 --> 00:08:46,991 And I'll just conclude by saying that there 150 00:08:46,993 --> 00:08:50,263 is a natural convergence between our two countries. 151 00:08:52,565 --> 00:08:55,735 Probably my favorite comment was when I heard 152 00:08:55,735 --> 00:08:59,435 Mr. Birla talk about his excellent experiences 153 00:08:59,438 --> 00:09:02,608 investing in the United States and how easy 154 00:09:02,608 --> 00:09:07,118 it was, how accommodating and interested U.S. 155 00:09:07,113 --> 00:09:11,083 companies and U.S. officials were 156 00:09:11,083 --> 00:09:15,183 in making sure that he felt at home there. 157 00:09:15,187 --> 00:09:16,887 I hope everybody was listening -- 158 00:09:16,889 --> 00:09:18,929 (laughter) 159 00:09:18,925 --> 00:09:21,095 -- with respect to that testimony. 160 00:09:21,093 --> 00:09:27,233 But part of what this shows is the incredible talent, 161 00:09:27,233 --> 00:09:30,773 the incredible business talent that exists in India. 162 00:09:30,770 --> 00:09:37,480 And, obviously, the Indian diaspora around the world 163 00:09:37,476 --> 00:09:42,286 has created incredible companies, incredible 164 00:09:42,281 --> 00:09:46,721 networks, incredible value wherever they go. 165 00:09:46,719 --> 00:09:50,519 And the question then becomes, how do we tap 166 00:09:50,523 --> 00:09:52,623 that same potential in a billion people here? 167 00:09:52,625 --> 00:09:57,025 And how can the United States which, obviously, 168 00:09:57,029 --> 00:10:02,239 thrives on entrepreneurship and innovation, 169 00:10:02,234 --> 00:10:07,874 how can we partner with you in ways that make the world's 170 00:10:07,873 --> 00:10:10,613 two largest democracies also the most vibrant economies 171 00:10:10,609 --> 00:10:11,349 in the world? 172 00:10:11,344 --> 00:10:12,844 So this has been very exciting. 173 00:10:12,845 --> 00:10:15,285 I appreciate your participation. 174 00:10:15,281 --> 00:10:17,481 We will take the recommendations that 175 00:10:17,483 --> 00:10:18,483 have been made. 176 00:10:18,484 --> 00:10:21,584 We will set some deadlines for action. 177 00:10:21,587 --> 00:10:23,787 We'll hold ourselves accountable and, hopefully, 178 00:10:23,789 --> 00:10:28,229 the next time we have a meeting we'll have a good report. 179 00:10:28,227 --> 00:10:29,127 Thank you very much. 180 00:10:29,128 --> 00:10:30,368 Male Speaker: Mr. President, Mr. President. 181 00:10:30,363 --> 00:10:31,693 If I could, just to correct the record -- 182 00:10:31,697 --> 00:10:33,237 (applause) 183 00:10:33,232 --> 00:10:34,772 The President: Please. 184 00:10:34,767 --> 00:10:35,637 Male Speaker: Just to correct the record, 185 00:10:35,634 --> 00:10:37,774 the first forum that didn't accomplish much 186 00:10:37,770 --> 00:10:41,270 was 2005 to 2008. 187 00:10:41,273 --> 00:10:42,143 The second one -- 188 00:10:42,141 --> 00:10:42,871 The President: (inaudible) 189 00:10:42,875 --> 00:10:45,345 Male Speaker: -- that got a lot done was 2009 to 14. 190 00:10:45,344 --> 00:10:45,914 The President: That was mine. 191 00:10:45,911 --> 00:10:47,751 (laughter) 192 00:10:47,747 --> 00:10:49,117 That is a very useful correction. 193 00:10:49,115 --> 00:10:50,855 (laughter) 194 00:10:50,850 --> 00:10:52,420 I hope the press took note but -- 195 00:10:52,418 --> 00:10:53,548 (laughter) 196 00:10:53,552 --> 00:10:56,622 -- thank you so much for all of the outstanding work 197 00:10:56,622 --> 00:10:58,892 that's been done and, Mr. Prime Minister, 198 00:10:58,891 --> 00:11:00,961 we look forward to doing business with India.