European firms to establish engineering research outfits in India

European corporations are making a beeline to establish engineering research outfits in India, mirroring a practice pioneered by American companies such as Texas Instruments and General Electric more than a decade ago.

The reason for setting up offshore engineering R&D centres called captives is very much the same - plentiful high-tech talent at relatively low cost - and point to a deepening of relationship between India and Europe in the technology space.

Within the past few months, Zurich Insurance, French carmaker Peugeot, German sealing technology provider EagleBurgmann, Numeca of Belgium and Dutch conglomerate Royal DSM have all opened research and development centres in cities such as Bangalore and Pune.

Source: The Economic Times