Introduction to Role of Indian Chambers
In a nation’s development, the role of this commerce and industry is very crucial towards the development of the economy. Due to the development of Commerce and Industry, the internal trade eventually heightens its pace of development. AS we know, this commerce and industry have a vast expansion in its own and thus they also have a chamber associated with their function.
In this section, we will know about that distinct chamber or the department which regulates the growth of commerce and industry in our nation India.
Federation of Indian Chambers of Commerce and Industry
The Federation was established in the year of 1927, FICCI is the largest and the oldest apex business organisation in India. Its history is closely connected with India's struggle for independence, its industrialization pace after the independence, and its emergence as one of the most rapidly growing global economies of the world.
This is a non-government, non-profit organisation, FICCI is the pillar of India's business and industry. From influencing business policy to encouraging the debate on the industries, engaging with policy makers and with the civil society, FICCI views and concerns of industry are vivid. It serves its members from the Indian private and public corporate sectors and the MNCs as well, drawing its strength from the regional chambers of commerce and industry across states.
FICCI provides the platform for networking and building of consensus within and across sectors and is the first port for Indian industry, policy makers and the international business.
Function of Chamber of Commerce
The Chamber of Commerce are required to perform different functions, the functions based are as follows:
The chamber performs analyses, also provides information and renders the consulting services to the public bodies.
They also provide support in the development of the projects regarding the country’s economy;
They organize and upkeep the non-governmental trade register of its members.
They organize meetings and also establish the business contacts between the economic agents.
The Chamber organizes and supports the participation of the local economic agents at trade fairs and exhibitions abroad as well.
Organizes specialized exhibitions and trade fairs within the country.
Also, on request of home and foreign economic agents, they provide specific mentioned services.
Performs expertise services of the contracts regarding the projects between local economic agents, and agents from abroad upon their request only.
List of Chambers of Commerce in India
The List of Chambers of Commerce in India are as Follows:
1. The Southern Gujarat Chamber of Commerce and Industry.
This is the apex organization for Trade and Business and this serves at its nodal point.
2. Indo-French Chamber of Commerce and Industry.
This was created in 1977, which is the leading bi-lateral business chamber.
3. Indo-German Chamber of Commerce.
This Chamber facilitates the Trade relations of India and Germany by providing assistance in the areas of import and export.
4.Indo-American Chamber of Commerce
his is the chamber bilateral to the promotion of Industrial, Economic, Business and Commercial Activities which is situated in Mumbai, India.
5.Indian Chemical Merchants and Manufacturers Association.
This is located in Kolkata, India which also promotes foreign investment and trade promotions.
Commerce and Industry India
The Department of Commerce and Industries is responsible for overall development of various industrial and commercial activities in the state. The Department plays a developmental and facilitation role to attract the industrial investments in the state. It focuses on creating an industry friendly environment and formulate suitable policies in the State aimed at propelling fast pace modernization and also to strengthen the industrial units.
The Department provides an interactive platform for the synergistic coordination between the investors and the State Government. The Department is also supported by its subsidiaries in the form of Agency, Board and Corporative.
FAQs on Role of Indian Chambers of Commerce in Trade
1. What is the fundamental purpose of a Chamber of Commerce and Industry in India?
The fundamental purpose of a Chamber of Commerce and Industry is to act as a voluntary association of business firms to promote and protect their collective interests. It serves as a representative body that works to create a favourable environment for business growth, focusing on issues related to commerce, industry, and trade within a specific region or nationally.
2. How do the Indian Chambers of Commerce and Industry specifically promote internal trade?
The Indian Chambers of Commerce and Industry promote internal trade through several key actions:
- Inter-state transport facilitation: They liaise with government agencies to improve roads, highways, and railway networks, and assist in the registration of transport vehicles to ensure the smooth movement of goods.
- Policy Advocacy: They interact with the government to advocate for business-friendly policies, such as uniform sales tax or the harmonisation of Goods and Services Tax (GST) structures, which simplifies trade across state borders.
- Market Creation: They organise trade fairs, exhibitions, and buyer-seller meets to help businesses find new markets and customers within the country.
- Information Dissemination: They provide members with crucial information on market trends, regulations, and economic data to support informed business decisions.
3. What are some of the major functions performed by organisations like FICCI or CII?
Major Chambers of Commerce like the Federation of Indian Chambers of Commerce and Industry (FICCI) and the Confederation of Indian Industry (CII) perform several critical functions. These include: representing the business community in policy discussions with the government, promoting research and development, providing arbitration services for settling commercial disputes, facilitating skill development through training programs, and helping to build India's brand in the global market.
4. Why is the role of a Chamber of Commerce as an intermediary between businesses and the government so important?
This intermediary role is crucial because it bridges the gap between policymakers and the business community. The government gets consolidated, practical feedback on the real-world impact of its economic policies (like taxation or labour laws), while businesses get a powerful, unified voice to express their concerns and needs. This dialogue helps create more effective and supportive legislation, preventing policies that might unintentionally hinder economic growth and fostering a climate of trust and collaboration.
5. How does a Chamber of Commerce differ from a specific trade association?
The primary difference lies in their scope and membership. A Chamber of Commerce represents the interests of the entire business community in a specific geographical area (city, state, or nation), covering diverse sectors like manufacturing, services, and agriculture. In contrast, a trade association is sector-specific, representing the interests of businesses within a single industry, such as the 'All India Sugar Trade Association' or the 'Automotive Component Manufacturers Association'.
6. In what ways do Chambers of Commerce contribute to the development of infrastructure?
Chambers of Commerce contribute to infrastructure development primarily through advocacy and consultation. They identify infrastructural bottlenecks—such as poor road connectivity, inadequate port facilities, or power shortages—that hamper business operations. They then present this data-backed research to local, state, and central governments, pushing for specific projects and policy reforms to address these gaps, thereby catalysing overall economic development.
7. What is the importance of the research and statistical data published by Chambers of Commerce?
The research and data published by Chambers of Commerce are highly important as they provide an unbiased, data-driven perspective on the economy and specific industries. This information is vital for businesses to formulate strategies, for investors to make decisions, and for the government to frame evidence-based policies. It helps in understanding market dynamics, predicting economic trends, and measuring the impact of various economic activities.
8. What impact would the absence of Chambers of Commerce have on small and medium-sized enterprises (SMEs)?
Without Chambers of Commerce, Small and Medium-sized Enterprises (SMEs) would be significantly disadvantaged. They often lack the resources and influence to individually lobby the government or tackle systemic issues like complex tax laws or poor infrastructure. Chambers provide a collective platform, giving SMEs a voice they would not otherwise have. Their absence would likely lead to policies that favour large corporations, making it harder for smaller businesses to compete and grow.
