Consulate General of IndiaChicago
Serving the states of: Illinois, Indiana, Iowa, Michigan, Minnesota, Missouri, North Dakota, South Dakota, Wisconsin
India – US Midwest
1. Trade between USA Midwest and India
Economically the Midwest region of USA is balanced between heavy industry and agriculture, with finance and services such as medicine and education increasingly important. Its central location making it a transportation crossroads for river boats, railroads, autos and trucks, trucking and air travel. Politically the region swings back and forth between the parties, and thus is heavily contested and often decisive in elections.
The Consulate General of India in Chicago covers the Midwest states of Illinois, Indiana, Iowa, Michigan, Missouri, Minnesota, Wisconsin, and North & South Dakota. The two way trade between India and these states was USD 6.02bn in 2013.
Illinois is the largest trading partner with India amongst the Midwest States with a total two way trade of USD 1.88 bn in 2013, followed by Wisconsin with USD 9.28 mn. US Midwest total trade was USD637 bn in 2013.
2. Economy of Midwest USA
The economy of Illinois is one of the largest economies in the US. Known as an Industrial state, Illinois is rich in resources. Farming, mining, and oil are a vital part of its economy. Illinois is the most populous and economically productive state in the Midwest. Although the capital of Illinois is Springfield, the Midwest metropolis of Chicago contributes substantially to the state’s economy. Other important cities include Rockford, Peoria, and Champaign. Gross Domestic Product of the State of Illinois in 2013 was USD 715.4 billion.
Some of the agricultural products include wheat, corn, soybeans, dairy products, cattle, and hogs. Illinois is the largest soybean and second producer as well as the second most corn.Major manufacturing sectors in Illinois are food, machinery, plastics, rubbers, fabricated metal, electronics, transportation equipment, and chemicals.
More than 30 companies headquartered in Illinois featured in the list of Fortune 500 companies in 2012 that included ADM, Boeing, State Farm, Motorola, McDonalds, Exelon, and UAL etc.
Located at the industrial and geographic heart of the country, Illinois companies are able to ship and receive resources like finished goods, semi-finished products
or without being required to incur high transport fees and expenses or costly delays. One-fifth of the Gross National Product is produced in the Midwest and nearly half of all the goods and services created in the U.S. are produced within one day’s drive from the state line. In short, Illinois is a convenient and cost-effective location for growing companies.
While Iowa is often viewed as a farming state, in reality agriculture is a small portion of a diversified economy, with manufacturing, biotechnology, finance and insurance services and government services contributing substantially to Iowa's economy. This economic diversity has helped Iowa weather the late 2000s recession better than most states, with unemployment substantially lower than the rest of the nation.
Iowa‘s Gross Domestic Product (GDP) totaled over $157.4 billion in 2013 according to advanced data estimates from the U.S. Bureau of Economic Analysis. Iowa’s GDP has increased by 1.6% from 2012 to 2013.
Manufacturing is the largest sector of Iowa's economy. Major manufacturing sectors include food processing, heavy machinery, and agricultural chemicals. Companies with direct or indirect processing facilities in Iowa include ConAgra Foods, Wells Blue Bunny, Barilla, Heinz, Wonder Bread/Hostess Snack Cakes, Tone's Spices, General Mills and Quaker Oats. Major non-food advanced manufacturing firms with production facilities in Iowa include 3M, ALCOA, Amana Corporation, Dexter Apache Holdings, Inc., Electrolux/Frigidaire, Emerson Process, Fisher Controls International, HON Industries, IPSCO Steel, John Deere, Lennox Manufacturing, Maytag Corporation, Pella Corporation, Rockwell Collins. Three companies from Iowa featured in the Fortune 500 Companies list in 2012.
Although Indiana is primarily a manufacturing state, about three quarters of the land is utilized for agriculture. With a growing season of about 170 days and an average rainfall of 40 in. (102 cm) per year, Indiana farms have rich yields. The important crops are Grain crops, mainly corn and wheat, which support livestock and dairy industries. Soybeans and hay are also principal crops and popcorn and a wide variety of vegetables and fruits are also produced. Livestock production like hogs, eggs, and cattle and meatpacking among the many industries related to agriculture. Although the urban population exceeds the rural, many towns are primarily service centers for agricultural communities.
Indiana is also a proven leader in advanced manufacturing. From motor vehicle production to innovative electronics, leading manufacturing firms from across the country and around the world have chosen Indiana for their plants and corporate offices. Indiana’s key advanced manufacturing industries are: motor vehicles, parts and transportation equipment, metals, machinery, plastics and rubber, chemicals, food products, furniture and computers and electronics.
The GDP of Indiana in 2013 was USD309.6 billion. Six companies from Indiana featured in the Fortune 500 companies list in 2013 that included Cummins, Eli Lilly etc.
The Indiana Harbor facility is the largest steelmaking complex in North America. It is a fully integrated steelmaker, strategically located on the southern shore of Lake Michigan in East Chicago, Ind., 20 miles southeast of Chicago, Ill. The plant sits on both sides of the Indiana Harbor Canal, which provides excellent shipping by large ships over the Great Lakes as well as excellent highway and railroad shipping. The plant operates five blast furnaces to smelt molten iron from iron ore, and has total raw steelmaking capability of 10 million tons annually.
Michigan is located in the Great Lakes region of the Midwestern United States. It has the longest freshwater coastline of any political subdivision in the world, being bounded by four of the five Great Lakes, in addition to Lake Saint Clair. Michigan is one of the leading U.S. states for recreational boating. Major products and includes automobiles, food products, information technology, aerospace, military equipment, furniture, and mining of copper and iron ore. As leading research institutions, the University of Michigan, Michigan State University, and Wayne State University are important partners in the state's economy and the state's University Research Corridor.
Michigan is home to eight of the 10 largest global suppliers in vehicle manufacturing, all headquartered in Michigan, ranking fourth in the U.S. in high tech employment with 568,000 high tech workers, which includes 70,000 in the automotive industry. Michigan typically ranks third or fourth in overall Research & development (R&D) expenditures in the United States. Its research and development, which includes the automotive sector, comprises a higher percentage of the state's overall gross domestic product than than any other U.S. state. The state is an important source of engineering job opportunities.
Michigan’s GDP in the 2013 was $412.8 billion which rose by 1.5 percent over 2013 after increasing 4.9 percent in 2010, when it also ranked sixth nationally. The state is also home to 20 Fortune 500 companies in 2013 that included General Motors, Ford, Dow Chemicals, and Kellogg etc.
Missouri is located in the Midwestern United States, bordered by Iowa, Illinois, Kentucky, Tennessee, Arkansas, Oklahoma, Kansas and Nebraska. With a 2010 population of 5,988,927, Missouri is the 18th most populous state in the nation and the fifth most populous in the Midwest.
Missouri's Gross Domestic Product (GDP) totaled over $266.3 billion in 2013 according to advanced data estimates from the U.S. Bureau of Economic Analysis. Missouri GDP increased by 1.4 % from 2012 to 2013. Missouri's Government sector (13.0%) contributed the largest portion to Missouri's GDP in 2013 followed by manufacturing (12.7%) and Real Estate, Rental and Leasing (10.4%).
Eleven Missouri-based companies made it to 2013 Fortune 500 list. Express Scripts (55th) was the state's highest-ranking company for the 2013 list with revenues of about $45 billion. Most of the Missouri companies are headquartered in the St. Louis area, with the exception of O'Reilly Automotive in Springfield. Three of the Fortune 500 companies based out of Missouri have strong presence in INDIA, viz., Monsanto, Emerson Electronics and Reinsurance Group of America
Gross State Product for Minnesota was $306.0 Billion in 2013 and estimated to have increased 2.3% over 2012 according to advanced data estimates from the U.S. Bureau of Economic Analysis.
Once primarily a producer of raw materials, Minnesota's economy has transformed to emphasize finished products and services. The state is the U.S.'s largest producer of sugar beets, sweet corn, and green peas for processing, and farm-raised turkeys. Minnesota has the most food cooperatives per capita in America. Cargill, the privately held large farm products corporation is headquartered in Minnetonka, Minnesota. Minnesota's most valuable livestock products are hogs, accounting for 18% of the state's total agricultural revenues. Minnesota is a leading (#3) hog-producing state. Forestry remains strong, including logging pulpwood processing and paper production, and forest products manufacturing. As far as mining, high-grade ore is now depleted, taconite mining continues, using processes developed locally to save the industry. The state produces ethanol fuel and is the first to mandate its use, a 10% mix (E10). The manufacturing sector now includes technology and biomedical firms in addition to the older food processors and heavy industry. Biomedical industry is on the rise with university research and being home to world-famous Mayo Clinic. Almost 20 companies from Minnesota made it to the Fortune 500 list in 2013 which included companies like Target, General Mills, and Best Buy etc.
Agriculture is the largest industry in North Dakota, although petroleum/energy and food processing are also major industries. The economy of North Dakota had a gross state product of $50.7 billion in 2013. Although less than 10% of the population is employed in the agricultural sector, it remains a major part of the state's economy, ranking 9th in the nation in the value of crops and 18th in total value of agricultural products sold. North Dakota's top five agricultural products are wheat, cattle and calves, soybeans, corn for grain, and sugar beets.
The energy industry is a major contributor to the economy. North Dakota has both coal and oil reserves. Shale gas is also produced. Lignite coal reserves in Western North Dakota are used to generate about 90% of the electricity consumed, and electricity is also exported to nearby states.
North Dakota is considered the least visited state in the U.S., owing in part to its not having a major tourist attraction. Areas popular with visitors include Theodore Roosevelt National Park in the western part of the state. North Dakota is the only US state that legally demands its pharmacies to have 51% shares owned by pharmacists. For this reason many national drug chains are unable to fill prescriptions in their stores.
North Dakota does not currently have any companies on the Fortune 500 list of 2013. MDU Resources Group was on the Fortune 500 list until 2011. MDU Resources Group, Inc. is a natural resource company. It is a diversified energy company, with electric and natural gas utility distribution operations in Idaho, Minnesota, Montana, North Dakota, Oregon, South Dakota, Washington, and Wyoming.
The current-dollar gross state product of South Dakota was US $43.3 billion as of 2013, the fifth smallest total state output in the US.
The service industry is the largest economic contributor in South Dakota. This sector includes the retail, finance, and health care industries. Citibank, which was the largest bank holding company in the United States at one time, established national banking operations in South Dakota in 1981 to take advantage of favorable banking regulations. Although not headquartered there, a large portion of Citibank is in South Dakota, and is the 5th largest employer in the state. Wells Fargo Bank, the primary U.S. operating subsidiary of Wells Fargo Company, is located in Sioux Falls, South Dakota. Government spending is another important segment of the state's economy, providing over ten percent of the gross state product. Ellsworth Air Force Base, near Rapid City, is the second-largest single employer in the state.
Agricultural production is still very important to the state's economy, especially in rural areas. The five most valuable agricultural products in South Dakota are cattle, corn (maize), soybeans, wheat, and hogs. Agriculture-related industries such as meat packing and ethanol production also have a considerable economic impact on the state. South Dakota is the sixth leading ethanol-producing state in the nation. Leading manufactured products in the state are computer and computer components. Ranking second in the manufacturing category is food processing (meat processing and packing, poultry processing, dairy processing, milling flour, livestock feed).Machinery (agricultural and construction equipment), transportation equipment (truck trailers, motor vehicle parts), and fabricated metal products (architectural and structural metal) are also produced in the state.
Many travel to view the attractions of the state, particularly those in the Black Hills region, such as Mount Rushmore, and the nearby state and national parks.
In 2013 Wisconsin’s gross state product was $268.4 billion. The economy of Wisconsin is driven by manufacturing, agriculture, and health care.
Wisconsin produces about a quarter of America's cheese, leading the nation in cheese production. It is second in milk production, after California. Wisconsin is second in butter production, producing about one-quarter of the nation's butter. The state ranks first nationally in the production of corn for silage, cranberries, ginseng, and snap beans for processing. It grows over half the national crop of cranberries and 97% of the nation's ginseng. Wisconsin is also a leading producer of oats, potatoes, carrots, tart cherries, maple syrup, and sweet corn for processing.
Wisconsin is home to a very large and diversified manufacturing economy, with special focus on transportation and capital equipment. Major Wisconsin companies in these categories include the Kohler Company; Mercury Marine; Rockwell Automation; Johnson Controls; Seagraves Fire Apparatus; Pierce Manufacturing (fire apparatus); Briggs & Stratton; Miller Electric; Milwaukee Electric Tool Company; Bucyrus International; Joy Global Inc.; The Manitowoc Company; Modine Manufacturing Company; Reliance Controls Corporation; Super Steel Products Corp.; Ladish Co.; Oshkosh Truck; Harley-Davidson; Ashley Furniture; the Ariens Company; and Evinrude Outboard Motors.Wisconsin is a major producer of paper, packaging, and other consumer goods. Major consumer products companies based in the state include SC Johnson & Co., and Diversey Inc.
The development and manufacture of health care devices and software is a growing sector of the state's economy. GE Healthcare Global Diagnostic Imaging, GE Healthcare Clinical Systems, GE Healthcare GoldSeal are headquartered in Wisconsin.