Indiana’s motto is the “Crossroads of America.” More interstate highways intersect Indiana than any other state.
Indiana has a rich history of innovation and entrepreneurship and it is a leader in life sciences and is home to such industry leaders as Eli Lilly and Company, Biomet, Cook Group, Inc. and Zimmer. The nation’s second largest FedEx hub is located at the Indianapolis International Airport and Toyota’s second largest vehicle production facility in North America is located in Princeton, Indiana.
Indiana has new investment opportunities for Turkish investors and Nathan J. Feltman, President of Indiana Economic Development Corporation answered TURKOFAMERICA’s questions.
Could you give some information about state of Indiana's business opportunities? Which areas could be interesting for Turkish investors?
The state is a thriving automotive center with a long history of excellence and innovation in the industry. Because of this history, Indiana has an unmatched depth of human capital – over 110,000 Hoosiers work in the industry, expertise, and managerial talent. Indiana is home to three major vehicle manufacturing facilities: Toyota in Princeton, Subaru in Lafayette, and General Motors in Ft. Wayne. Leading public and private universities have established nationally recognized research centers in automotive fields and Indiana’s automotive industry was the first to introduce cruise control, tilt steering, hydraulic brakes, and GM’s OnStar Technology.
Indiana is also home to pharmaceutical and medical device leaders, including Eli Lilly and Company, Roche Diagnostics, and Dow AgroSciences, and to the world’s largest database of electronic medical records at the Regenstrief Institute in Indianapolis. The state has the second-highest concentration of biopharmaceutical jobs in the nation. Warsaw, Indiana, known as “The Orthopedics Capital of the World” is home to many medical device manufacturers, including Biomet, Zimmer, and DePuy. University and industry collaborations have led to continued growth and innovation in Indiana’s life sciences industry.
What makes Indiana different than other states in terms of business?
Indiana’s motto is the “Crossroads of America.” More interstate highways intersect Indiana than any other state. A vast rail system, thriving ports, and a fast growing air transportation sector result in huge advantages for businesses that rely on fast, efficient distribution. The nation’s second largest FedEx hub is located at the Indianapolis International Airport. Indiana will provide billions of dollars in new investment in infrastructure over the next 10 years, reinforcing the state’s commitment to be North America’s leading logistics hub.
Indiana’s most valuable natural resource is its people. A skilled, educated and reliable workforce makes Indiana’s economy among the best in the nation in terms of the value of goods and services produced. Indiana is home to 74 world-class colleges and universities, which play a significant role in fueling growth.
Indiana will make you feel right at home. Surveys indicate that Indianapolis is more affordable than any other major U.S. metropolitan area and that Indiana has one of the country’s highest rates of home ownership. Energy costs and state and local taxes are low – as is the crime rate. Education is a top priority; a 2005 study graded Indiana as one of only seven states to receive an “A” in a nationwide review of state academic standards for primary and secondary schools. Indiana is simply a great place to raise a family.
Before entering the U.S. market, what should foreign investors do and what kind of support would the IEDC would provide?
The IEDC offers a variety of programs to support companies considering Indiana. Possible incentives include refundable tax credits for creating new jobs and contributing to the growth of Hoosier income, investment tax credits, financial assistance to train an expanding or new workforce, grants for infrastructure improvements, and grants to help workers gain new technological skills, among other incentives. The IEDC also administers the 21st Century Fund, an award of up to $2 million over two years, as judged by scientific and economics experts from across the country, for developing and commercializing advanced technologies in Indiana. The IEDC also assists companies by serving as a liaison between the company and communities, local economic development organizations and regulatory agencies.
Could you give us some examples of foreign investment companies which have invested in Indiana and how their businesses are doing?
More than 500 foreign companies have invested over $30 billion in Indiana. Foreign companies employ over 132,000 Hoosiers. The largest concentration comes from Germany, Japan, and the United Kingdom. DaimlerChrysler, Bayer, and Adidas are leading German companies in terms of the number of employees in Indiana. Leading Japanese investors include Toyota, Subaru, and in a significant recent announcement, Honda. Large British investors include Rolls Royce, BP Oil and Refinery, and Dexter Axle. Toyota, Rolls Royce, and BP have all announced major expansions of their operations in Indiana within the past year, a sure indication that Indiana is a good place to do business.
Turkish companies are especially strong in the textile, leather, construction, auto industry, and tourism sectors: Do you have any suggestion for Turkish exporters who want to sell their products to Indiana? What kind of goods and material does Indiana need to import?
Indiana is a clear leader in the automotive industry, life sciences, agriculture, and logistics/distribution. Business that adds value in these areas will find success in Indiana.
Sports attractions abound, from the Indianapolis Colts and Indiana Pacers to the RCA Tennis Championship and all the action of the Indianapolis Motor Speedway. Other tourist attractions include Amish farmsteads, art and history museums, the largest children’s museum in the world, outstanding music venues and symphony orchestras, an annual jazz festival, the 196,000 Hoosier National Forest, and many state parks to hike, bike, fish, canoe, and camp.
TOTAL STATE BUSINESS TAXES
Based on Net Taxable Income of $1 Million and 100 Employees (includes corporate income tax, workers’ compensation and unemployment insurance)
Source: U.S. Dept. of Labor, Indiana Manufacturing Association, 2006
AVERAGE ANNUAL WAGE (PAID BY PRIVATE INDUSTRY)
Source: Bureau of Labor Statistics, 2004
Indiana Economic Development Corporation
One North Capitol, Suite 700
Indianapolis, IN 46204