Honeywell sees growth in India despite recessionMay 8th, 2009 - 2:56 pm ICT by ANI
Bangalore, May 8 (ANI): Diversified U.S. manufacturer Honeywell International Inc. sees more growth in India on growing demand for its products and services despite a global economic downturn.
Talking to reporters here at the launch of the company’s new research and development facility with an investment of 50 million dollars that Honeywell expects sales from India to grow to about 600 million dollars in 2009, Dave Cote, Chief Executive Officer said that this would represent a “slight growth” over last year apart from increasing a higher employment in the country.
“We grew from 22 billion dollars to 37 billion dollars, India has played a major role in doing that. If we go back six to seven years ago we had 500 employees in India today we are about 11,000,” he added.
The company is collaborating with state-owned Hindustan Aeronautics Ltd in India to produce aircraft engines, Honeywell said in a statement. It is also pursuing a programme to re-engine the Indian Air Force’s strike aircraft Jaguar with its turbo fan engine.
Honeywell has manufacturing and engineering operations for its automation, turbocharger and refining businesses in India.
Earlier this week U.S president Barack Obama said he planned to scrap tax incentives that encourages American firms to ship job overseas. The proposal, if implemented, will hurt more U.S.-based companies that have significant overseas operations.
Cote expressed concern on Obama’s statement.
“I get extremely worried when I hear any kind of discussion about protectionism in India, China, United States in Europe. It is the worst possible thing that can be done,” said Cote.
The company, the world’s largest maker of cockpit electronics, was one of several U.S. industrial firms to report lower earnings and cut its 2009 profit forecast last month due to sharp economic downturn.
Azim Premji, chairman of Wipro Technologies Limited, India’s third-largest software services exporter said that protectionism was a worrying situation for the industry.
“We would be concerned of any developments on protectionism because it’s completely opposite to the commitments made by President Obama in G-20. So I hope he will exercise a lot of judgment before he does anything precipitate,” he added. (ANI)
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