India’s vibrant economy ready to lure Korean investors, says ambassador

Deeper economic and commercial ties between India and South Korea could pave the way for mutual growth, India’s ambassador to South Korea said, highlighting the potential of India’s young, expanding consumer base and robust annual growth rate.

“India’s economy continues to demonstrate resilience and growth, driven by forward-looking government policies,” India’s Ambassador to South Korea Amit Kumar said in his opening remarks at the Global Business Forum hosted by The Korea Herald in central Seoul, on Wednesday. He highlighted that the Indian economy, now close to $4 trillion in size, grew by 8.2 percent last year, supported by policies aimed at improving physical and digital infrastructure, simplifying foreign investment regulations and enhancing the business climate.

These initiatives, Kumar explained, are particularly opening significant opportunities for Korean businesses. “The government has introduced a $50 billion production-linked incentive scheme across 14 sectors, including EVs, semiconductors and green hydrogen,” he said, calling it “a major opening for Korean businesses targeting these emerging industries.” Recently, several Korean conglomerates have expanded their presence in India. Last month Hyundai Motor Company's Indian unit made its stock debut there, and Posco Group signed a partnership with JSW Group for a large-scale steel plant.

Kumar further highlighted India’s young and skilled workforce, which supports a thriving startup ecosystem and strengthens the manufacturing base. “India now has more than 115,000 startups, with over 100 of them achieving unicorn status,” Kumar noted. He emphasized that this innovation-driven growth would present collaborative potential for foreign investors, including Korean firms seeking joint ventures or market expansion.

Looking ahead, Kumar expressed optimism about future cooperation, positioning India as a gateway to broader markets in Africa, the Middle East and Southeast Asia. India’s market growth, goals to lead in solar and green hydrogen production, and ongoing digital transformation model make it an ideal partner for South Korea in building sustainable, strategic partnerships.

The session continued with Lim Jae-won, CEO of Go Pizza, a local pizza franchise featuring small, AI-driven ovens and pre-baked dough to make pizza more standardized and efficient. Lim explained that Go Pizza, established in 2016, turned to international markets as he believed the domestic market was shrinking due to declining birth rates and intense franchise competition.

“India caught our eye because its population is growing, and there’s an enormous potential market for affordable and quick-service dining,” he said, noting that around 40 percent of Go Pizza’s total revenue now comes from international sales, with India alone contributing roughly 80 percent of that figure.

Lim highlighted the advantages India offers, particularly for food franchises. “In India, you have big names like Domino’s, but there’s a gap in the middle market where new brands can establish themselves,” he said, adding that India’s cultural familiarity with bread-based foods like naan has made pizza an easier product to introduce.

Choi Jae-boong, a professor of mechanical engineering at Sungkyunkwan University, shared a similar view on India’s potential in the digital era, highlighting the role of artificial intelligence in reducing costs and increasing business scalability.

Choi emphasized that digital transformation enables businesses to connect with global consumers and fosters what he called a “fandom economy,” where consumer loyalty builds around digital platforms. "With India's large, connected population, Korean companies have a valuable opportunity to tap into this fandom-driven consumer base,” Choi said, referencing how industries like K-pop and K-beauty have benefited from India’s rise in digital engagement.