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The Indian ICT industry has never had it better. Not only is Manmohan Singh, the prime minister, asking other countries to invest in India, there are countries that see India as a potential investor. There is a growing focus on India as an important partner in the globalized world. The Indian tech industry, with its ambitious plans and increasing invitations from across borders, has ready take a leap.

After East Asia and the US, northern Europe is becoming the next-best destination for the Indian ICT industry. TCS and Wipro have already spread their scope of work to these places, and the industry should take advantage of opportunities.

There is major drive to offer Indian companies incentives for setting up centers in Finland.

The Helsinki-based Invest in Finland promotes FDI in Finland. It is funded by the ministry of trade and technology and it offers Indian ICT companies assistance to set up shop-primarily in research. According to Taneli Saari, director, Location Services at Invest in Finland, "Finland offers help and information on business environment and investment conditions, and selecting the best business partners and locations."

Finland has an excellent access to Northern Europe's markets and its technological know-how. The maximum potential for expansion and growth of trade and investment lies in areas such as software, security, telecommunications, mobile and
wireless solutions, and biotechnology. Finland's strategic positioning also makes it a very comfortable proposition for expanding in the rest of northern Europe. Its most important export market is Germany, UK, USA, Sweden, and Russia.

According to the World Economic Forum's 'Global Competitiveness Report, 2004' Finland ranks number one in growth competitiveness and is ranked second in business competitiveness, after the US. Claimed to be a relatively easy market to enter, foreign companies are welcomed and treated on an equal footing with Finnish companies.. The rapid company registration process and R&D funding make Finland a worthwhile investment.

Finland has a multi-lingual workforce and English is widely spoken . The current 29 percent corporate tax too will be brought down to 26 percent in 2005. The operating costs are competitive, as compared to other European countries. These initiatives are supported by the Finnish government's technology-based economic policy to increase R&D expenditure by euro 235 million, i.e., five percent annually.

The big opportunity is for the SMEs, who can obtain tax reliefs on fixed assets in certain development regions. Also, the National Technology Agency of Finland (Tekes) provides them grants for R&D. "Last year the Finnish government gave away
euro 330 million in investment grants to such companies," informed Saari.

Indian companies like Blue Star Infotech, Tata group, Wipro, and Zensar Technologies have set set up their operations in Finland.

The Finnish government is cautiously moving in the footsteps of the Danish government, which has been forging ties with India for cooperation in the field of biotechnology, and is also exploring Indo-Danish strongholds and possibilities of business and research collaborations.

With near-shore being the need of the hour, the execution of bigger projects serving European clientele definitely needs better and easy access. With a warm welcome awaiting at the other end and a vast scope for expanding the trade between Finland and India, bridging the gap would positively promote both countries.

Jasmine Kaur with inputs from Ibrahim Ahmad