This is an archived USAID document retained on this web site as a matter of public record.
Administrator J. Brian Atwood
Indo-U.S. Chamber of Commerce
Mumbai, India, September 29, 1997
U.S. Agency for International Development
Thank you. It is a pleasure to be here. I cannot tell you
what a wonderful experience being in India again has been. I
have been overwhelmed by the hospitality I have received during
my somewhat whirlwind tour of India. My only regret is that I
do not have longer to stay on the subcontinent.
Several days ago in Ahmedabad, I had the pleasure of
visiting Gandhi's ashram. I was deeply touched by the
experience. As someone who has spent much of their adult life
working to promote democracy around the globe, I could not help
but marvel at the simple ways of a man who so profoundly
changed the world. It is splendid to think that in today's world
the threads of democracy are truly international and that they
have spun of fiber made strong by the sons and daughters of
more than a hundred countries: India, America, the Philippines,
South Africa, Poland, Nicaragua and so many more.
The Indian independence movement was led by a man whose
philosophy of non-violent struggle -- peaceful resistance -- has
influenced freedom fighters to this day. Mahatma Gandhi
brought down British colonial rule and his inspiration, his
teachings, his philosophy were later embraced by the likes of Dr.
Martin Luther King, Jr., Nelson Mandela, Aung San Suu Kyi,
Corrie Aquino, Lech Walesa and so many other modern day
heroes of democratic change.
Winston Churchill, who could be as eloquent being wrong as
being right, once said, "India is a geographic term. It is no more
a united nation than the Equator." The Indian people have
proven Churchill very wrong as they have found coherence and
durability in their democratic system. Indian democracy has
helped avoid famine. The Green Revolution saved millions of
vulnerable people and made India a net exporter of food. Indian
democracy has transformed the cast system and produced a larger
degree of social justice than anyone imagined. Indian democracy
has educated millions and produced scientists, entrepreneurs and
artists that have led the world in their fields.
Today the United States and India stand as very different
nations with a great deal in common. We share a commitment to
democratic traditions, freedom of speech and religion, respect for
minorities, the rule of law, an independent judiciary, civilian
control of the military, a free press and the idea that each
individual should have the opportunity to develop his or her
talents to the fullest.
The fact that India and the United States are so clearly
associated with these values is important to all people who
concern themselves with the future of free nations. In essence,
India and the United States share their greatest bond in being
representative of a world that is very different than ever before.
Both our nations stand as models of multiculturalism, tolerance,
diversity and the power of democracy.
In a world where international ties grow every day --
through commerce, travel, immigration and communications --
many nations will look to India and America to see if such
ethnically, religiously, socially, politically and economically
diverse nations can survive without tearing themselves apart.
Across the globe we see many nations, both old and new, being
forced to choose between accepting their diversity or plummeting
toward the gulf of ancient hatreds, irredentism and territorial
divisions. In Bosnia, in parts of central Asia and in Africa we
have seen nations descend into civil war -- led their by the
intemperate intolerance of separatist idealogues and nationalists.
In a sense, because we are such large nations populated with
such a range of peoples, India and the United states are the acid
test of whether brother can live with brother. If either of our
nations fail to live up to the high standards we have already set in
that regard, we will send a terribly negative message to other
nations striving to live at peace with themselves.
We need to continue prove that freedom of opinion supports
peace and not needless divisions. We need to demonstrate that
economic opportunity can pull a society up, not pull it apart. We
need to demonstrate that we courage of our convictions.
It is imperative that we combat the divisive forces within
Indian and American societies that would turn people against each
other for no better reason than the God they pray to, the language
they speak or the color of their skin. President Clinton once
said that -- and I believe this applies to India every bit as much as
to America -- "We are a national mosaic where all the pieces
come together to make a picture that is the envy of the world.
Nothing could give us a greater asset for the 21st century than
our diversity."
Those are words that I believe would be embraced by the
historical giants who helped shape the birth of India and who
have helped make it such a proud nation today. When India
seized its freedom at midnight on August 14, 1947, it confirmed
the principle of inalienable rights, the principle that all people are
born equal, the principle that human rights are incontrovertible.
When that success was achieved, Gandhi was forever linked with
Washington and Nehru with Jefferson. Gandhi, long after his
own death by an assassin's bullet, provided the inspiration for
Martin Luther King's success. And King's life and his
martyrdom inspired countless others. In this way the small
ripples build into the tidal wave of consensus that represents
today's almost universal endorsement of democracy and the rights
of the individual.
You see, not only Hindus believe that living things are
interconnected and that there is tremendous power in positive
accomplishment. Whatever policy differences India and the
United States may have at any given time, the freedom we
achieved at different moments of history connect us inextricably.
Those of you in the audience who have studied in America and
those of you who do business with are a visible and tangible
manifestation of our interconnectedness. But the ties that bind
Indians and Americans run deeper than heritage; they are
profoundly philosophical. We are diverse peoples who believe
that we have experienced very similar "trysts with destiny."
Tied to our belief of self expression, is the idea that every
person deserves the right to advance economically. It will be
greater economic and social opportunity that holds our respective
societies together and allow for better lives for our children.
Those of us who care about India and the subcontinent should
keep those children in mind. This is a country that will see its
population rise to one billion by the year 2000. What kind of life
will these young people face? Will their numbers add to a
growing middle class, now some 250 million strong, or will they
suffer to be underprivileged, underutilized and undereducated?
India, I predict, will benefit greatly from economic reform
and its democracy will enable it to sustain growth well into the
future.
Recently, India has earned well deserved praise by taking
the initiative to improve relations with its neighbors. The water-sharing agreement with Bangladesh, and the pact on hydroelectric
power with Nepal, sends a clear message to the world that India
can provide the leadership necessary to address some of South
Asia's most pressing problems. In shaping these initiatives, India
sent fresh signals to the region about its intention to respect the
needs and sensitivities of its neighbors.
Similarly, Prime Minister Gujaral's efforts to reach out to
Pakistan could help ease tensions between India and that nation.
The United States welcomes these developments. Better relations
with Pakistan could bring very tangible benefits to both your
nations. Keep troops stationed on the snowy wastes of Siachen
Glacier is expensive, and robs precious dollars from investments
in health, education and public infrastructure.
Peace would provide hope for the next generation and so
would continuing economic growth. India's embrace of
widespread economic reform six years ago has led India through
a tremendous transformation. Never before has India been better
positioned to meet the needs of its own citizens. And never
before have the conditions been so amenable to making the ties
between our two nations even stronger.
The United States has been especially pleased to support
these important strides toward liberalizing the Indian economy
and unleashing the productive energies of the Indian people.
Already the United States is India's largest trading partner, and
American enterprises are the largest investors in India, accounting
for 40 percent of direct foreign investment in crucial areas such
as electronics manufacturing, software development, power,
consumer products, and telecommunications. The United States
and India do over $8 billion of trade annually, and this figure will
continue to expand.
I would caution however, there are some who appear eager
to turn the clock back on economic reforms. For short term
political gain, some have argued foreign investment is driven by
nefarious motives in an attempt to subvert Indian independence or
economic autonomy. Nothing could be further from the truth. I
don't think any critic could rationally look at the countries around
the globe who have opened their economies and suggest that they
have lost any of their national autonomy. The United States
invests in other nations, and other nations invest in the United
States. From time to time, we do suffer trade imbalances or
short term adjustments. But the bottom line is this: our nation
has benefitted incredibly from its commitment to open trade and
free markets.
Free markets have forced American industries to be more
productive, more competitive and more innovative than ever
before. India should not fear economic competition because India
possesses tremendous human resources and will be able to thrive
in an open economy. If India balks at its commitment to
economic reform, it will scare away the investors who currently
see India as such an attractive place to do business. Both our
nations would be far worse off under such a course.
It is incumbent upon all of you to help educate the Indian
public on these issues. Informing the people is the challenge of
making good policy in a democracy. Recently an article in the
Washington Post ran noting that some Indians were surprised
foreigners could own land in the United States or own
newspapers and television stations. What is common knowledge
to you, is not always known by the general Indian public.
Sharing your international experiences -- both good and bad -- is
an essential tool in helping people understand what they may not
know. For if we cannot explain our positions and gather support
for them, we should not expect them to be warmly embraced.
I am very pleased that the U.S. Agency for International
Development (USAID) has been able to assist with economic
reform efforts. The energy sector, although only one of our
activities, offers a good example of the mutual benefits of U.S.
engagement in India. Since 1993, USAID's India Private Power
Initiative has supported the Indian government's efforts to attract
local and foreign investments in private power to meet growing
energy needs.
Since the program's inception, private firms have submitted
proposals to construct 131 power plants. Five large power deals
have been closed, three of which involve U.S. firms and are
valued at $168 billion. These power plants will be constructed in
accordance with environmental guidelines that incorporate
efficient, clean technologies.
USAID's Greenhouse Gas Pollution Prevention Project is
helping promote cleaner energy production in India. USAID is
working with the Indian National Thermal Power Corporation,
the U.S. Department of Energy, the Tennessee Valley Authority
and the Electric Power Research Institute to improve the
operating efficiency of existing coal-fired power plants and reduce
pollution. USAID's utility partnership program is joining U.S.
and Indian electrical utilities in two-year partnerships. These
partnerships are structured to allow Indian utilities to improve
operations and management as they expose U.S. utilities to the
Indian market.
Reforms in the energy sector and across-the-board efforts to
cut red tape and invigorate private enterprise have triggered a
cycle of growth and economic expansion. If pursued to its
logical conclusion, that cycle will place India among the world's
more dynamic economies in the next century.
While the progress India has made during this decade is
remarkable, we must also be candid about the challenges that
remain. Continued economic progress is contingent upon further
improvements in human resource capacity. We all know that
India continues to face profound challenges in providing sufficient
food, jobs, medical services, schools and infrastructure for its
growing population.
The United States assistance program of about $150 million
in 1996 is helping India to help tackle some of these challenges.
USAID is working to help India with programs supporting
economic reform, health and family planning, food security and
environmental protection.
USAID provides nutritious food supplements to some
seven million malnourished children and mothers daily in India.
Working closely with the government and the private sector, we
helped launch India's over-the-counter stock market. We helped
strengthen capital market regulation and operations to facilitate
billions of dollars of potential new investment in India. USAID
is also promoting ties between U.S. and Indian agribusinesses,
building on America's strong comparative advantage in that
industry. Our voluntary family planning programs are helping
Indians have smaller and better cared for families. USAID
programs helped establish new approaches to financing urban
infrastructure and expanded the availability of housing finance for
poor and middle income families.
The United States wants to build on our already strong
partnership. The Clinton Administration views India not only as
an important cornerstone of democracy and economic growth in
Asia, but as one of the most important nations in the world as we
move into the next century. I want to thank you all again for
what had been a wonderful journey in India. Although my stay
has been somewhat brief, there is a silver lining: it gives me a
good reason to come back again. Thank you.
This is an archived USAID document retained on this web site as a matter of public record.
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Last Updated on: July 18, 2001
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