The Hindu Business Line : India is the second largest investor in UK

Chennai, June 18 India is now the second largest ‘foreign direct investor’ in the UK in terms of the number of projects, outdone only by the US, according to the UK Inward Investment Results, 2008-09, released recently.

With 108 projects, the number of Indian FDI projects rose 44 per cent in the year, replacing Japan as the largest Asian supplier of FDI projects in the UK.

Dr Reddy’s Labs, Hemair Systems, Zanec Soft, IMI Mobile, Value Labs, Sri Jugal Kishore Jewellers, Virtual Marketing, Virinchi, Emsyne, Northgate — all from South India — are part of record-high new FDI into the UK, says a press release issued by the British Deputy High Commission, Chennai.

Dr Reddy’s Labs, Hyderabad acquired a small molecules business. Chennai-based Zanec Soft set up an European Union headquarters in London. IT products/services firm Virinchi Technologies, Hyderabad has opened an office in Edinburgh. Emsyne, a Kochi-based IT firm, has also set up an office in London, while Northgate Technologies acquired Reuters’ high-end data centre infrastructure, through its London-based subsidiary Axill Europe.

“The UK is an obvious base for these firms looking for a springboard to global markets. They are also attracted by the UK’s blend of high-tech, high-skill and high-end industries. To cite the example of life sciences, a fifth of all medicines globally are made in the UK and 35 per cent of Europe’s biopharmaceutical clinical trials take place in the UK,” Mr Mike Connor, British Deputy High Commissioner in Southern India, said in the release.

The new investors in 2008-09 join a long and growing list of FDI projects from the South into the UK: Sify, Polaris, Ma Foi, Shasun Chemicals, Orchid Pharma, Apollo Hospitals, Aurobindo Pharma, Clintox, Ocimum, to name a few, Mr Connor said.