Business potential higher than risks in India: Isuzu Motors' Shigeru Wakabayashi

The potential for success in business in India is higher than the risks associated with it, according to Shigeru Wakabayashi, Executive Vice President and Deputy Managing Director of Isuzu Motors India Private Ltd. Asked about the overall attitude of Japanese business towards India, more so with the recent export curbs imposed by the US Food and Drugs Administration, an Indian company which the Japanese pharma major Daiichi Sankyo acquired some years ago, he said: "Sure, it is not so easy to do business here but that is normal... because this is an emerging market. If you compare the potential and the risks then the potential exceeds the risks," he said.

Wakabayashi spoke on the sidelines of the groundbreaking ceremony of his company's new manufacturing facility on Monday (January 27). India's key attraction, he added, was that it had a huge population and an under-penetrated market.

Andhra Pradesh Chief Minister N. Kiran Kumar Reddy unveiled the foundation stone at the ground breaking ceremony. The plant is located at Sri City in Chittoor district, about 55 kms from Chennai.  Wakabayashi said Isuzu's automobile manufacturing in India - of pick-up trucks and SUVs - would start from early 2016. "The initial production capacity will be 50,000 units per year and will be scaled up to 120,000 units per year with an accumulated investment of Rs 3,000 crore generating close to 3000 jobs by about 2020," he added.