Japanese opts India over China for investments

India has overtaken China for the first time as the most attractive business destination for long-term Japanese investments, results of a survey by Japan Bank for International Cooperation (JBIC) showed on Friday. According to the JBIC's annual survey, 70 per cent of surveyed Japanese manufacturers regarded India as an attractive country to do business in over the next 10 years or so, while 67 per cent preferred China. Russia came third, with a 37 per cent rating, followed by Vietnam at 28 per cent. From a three-year or so prospect, China remains the most attractive base of production, marketing and other operations for Japanese manufacturers.
But China's popularity rate has declined for the fourth year in a row since it peaked in fiscal 2003, while India, Vietnam, and Russia have boosted their popularity, Kyodo news agency reported. "Attention had been concentrated on China but it is increasingly being diversified to other emerging countries," said Susumu Ushida, senior economist at the JBIC's direct investment research division.The survey which was conducted in July and August, covered 970 Japanese manufacturers with overseas production facilities. Valid replies came from 600 or 61.9 per cent of the respondents.
Source:- http://www.headlinesindia.com/archive_html/01December2007_64567.html