My trip will strengthen India-US ties: Obama

New Delhi: US President Barack Obama on Monday said that his India trip would improve and strengthen relations between the two countries. Speaking at the Rahstrapati Bhawan after receiving a ceremonial welcome, Obama said that USA and India were the two largest democracies in the world and shared a core set of values.

"Warmest regards from the people of America for the people of India. I thank all the people of India. The trip has been taken to strengthen the relation between India and US. We are two largest democracies in the world, we share people to people contact, we share core set of values," said the US President.

Obama said that United States intended to strengthen what has already been an incredible partnership between the two countries to what would "be a defining partnership of the 21st century".

"I am looking forward to the bilateral meeting (with Manmohan Singh) to discuss issues like counter-terrorism, commercial ties and strengthen our bilateral relations on international economy. We can build on people to people ties. Millions of Indian Americans contribute so much to our country. India is not simply an emerging power but a world power," he said. 

He added that the two countries would work on international principles and for peace and stability not only for the two countries but for the entire world.Earlier, the US President was given a ceremonial welcome and tri-service Guard of Honour at the Rashtrapati Bhawan.

Obama along with his wife Michelle was received by President Pratibha Patil, her husband Devisingh Patil, Prime Minister Manmohan Singh along with his wife Gursharan Kaur at Rashtrapati Bhawan after which the national anthems of India and USA played.

Finance Minister Pranab Mukherjee, External Affairs Minister SM Krishna and Defence Minister AK Antony were also present at the Rashtrapati Bhavan before the US first couple pulled up in their black limousine.

Indian businesses say they are making US jobs

NEW DELHI: A leading Indian business group said Wednesday that the world's largest democracy was creating jobs in the United States, not taking them away, despite fears over the impact of outsourcing.

US President Barack Obama arrives in Mumbai this weekend on a three-day official visit focused on widening US export opportunities and creating much-needed jobs to ease the near 10-percent unemployment rate at home.

Amit Mitra, secretary-general of the Federation of Indian Chambers of Commerce and Industry, said it was incorrect to believe that India was robbing the United States of jobs through its flagship outsourcing industry.

"We are creating jobs in the country (US) in the thousands," said Mitra, adding Indian investments in the United States would generate even more employment in the future.

Outsourcing in which US and other Western firms set up call centres, number-crunching and software development outlets in India to cut costs, was a particularly heated issue in the US midterm elections which wound up with Obama's Democrats suffering heavy defeats.

The group said India's investments in new offices, plants and equipment in the United States between 2004 and 2009 totalled 5.5 billion dollars -- the latest period available -- while acquisitions hit 20 billion dollars.

Mitra said the US was a preferred destination for Indian foreign direct investment, with the information technology, media and entertainment sectors favored recipients.

Indian companies are the second-fastest-growing investors in the United States after the United Arab Emirates, supporting some 57,000 jobs in the country, according to US government figures.

Mitra admitted US fears about IT employees losing their jobs as firms send work abroad would not go away while so many American workers were without employment.

But he said Indian business leaders hoped to persuade their visiting counterparts during Obama's visit that India also represented a vast potential export market which could create US jobs.