David Appia, Invest in France
Release Date: 2009-05-07
France is the home of numerous world leading companies in their fields, what makes your country such a good breeding ground for industry champions?France offers a big domestic market at the heart of Europe with unrestricted access to the European Union market. Our geographic positioning makes France a strategic location from which companies can access the Mediterranean region, the Middle East and Africa. The French economy is strong; at a time when the global economic crisis is hitting several sectors and most countries very hard, it has proven to be resilient. This is certainly an asset for companies operating in France, as well as for potential foreign investors.
Let me also mention the excellence of the French network of infrastructure, highly valued by foreign companies. France also offers a highly qualified workforce and very good public service. A representative of a big biotech company recently told me that they had decided to invest in France for a number of reasons, but particularly because of the excellence of our healthcare system.
France has launched a series of initiatives to support innovation. Two examples: 71 competitive innovation clusters, and a recent improvement of the research tax credit, the most generous you can find in Europe. France attracts many companies because of its very supportive environment for research and development activities.
If foreign companies would simply come to France to invest in sectors where France offers a competitive advantage this would mean that Invest in France could be rather passive. Of course, to build new pillars of competitiveness for tomorrow it is essential to actively target world leaders in high growth sectors. How is Invest in France approaching this challenge?
We have to be very active on two fronts. First, we promote France as an investment destination: in a competitive world, many countries have created agencies dedicated to the promotion of their investment potential. Attracting foreign direct investment boosts a country’s economy, create jobs and bring innovation. In France, more than 2.5 million jobs are related to the presence of foreign companies, and more than 22% of the overall activity in research and development is driven by subsidiaries of foreign companies. Secondly, we have to get in contact with foreign companies in their home countries. This is why we have developed a network of 21 offices abroad, employing nearly 80 people who are working on a daily basis with foreign companies, informing them of the benefits that France has to offer and about the many reforms that are taking place to enhance French competitiveness. Two years ago, the French President and the government launched a set of important economic reforms to modernize the French economy. These reforms are transforming and modernizing the economy at a rapid pace. We have to bridge the gap between the perception that people have of France and this new reality.
Last month you travelled to China, what was the essence of the message that you tried to get across during your meetings with the Chinese business community?
We convey one message: France is open to the world economy, to foreign investment and to international trade. According to UNCTAD figures for 2008, France ranks second in the world in terms of attracting foreign direct investment, rising from our position at third, behind the United States and the United Kingdom. France attracts more than 20% of all foreign investment directed to Europe.
Does the fact that France outperformed many other countries in recent years reflect that France has very successfully positioned itself in the international marketplace, or is it indicating that global FDI shifting to sectors that favour France over other countries?
Why does France remain attractive? Despite the crisis, we have been able to operate assertively, launching new initiatives. A very ambitious stimulus package covers 1000 new investment projects which will improve our competitiveness. Recently, President Sarkozy launched a project to shape a new vision for the Greater Paris region, aiming at creating a model of sustainable city, likely to become a reference internationally. In times of economic difficulty, the basics of attractiveness – location, economy, domestic market, excellence of the infrastructure, and quality of the work force – have become more important than ever, enhancing the competitiveness of France as an investment destination.
Being ambitious in this current crisis is something that China and France have in common. The Chinese Minister of Commerce took a delegation of business people to Germany, Switzerland, Spain and the United Kingdom in search of trade and investment opportunities. A similar trip to France is currently being planned as the Sino-French relationship is improving. What could such a visit mean for the positioning of France in the mindset of the Chinese business community?
There are many avenues to be explored. We have so much to share with foreign partners, and Chinese partners in particular. Let me take only one example. Sustainable development has become a priority all over the world, and France certainly has a lot to offer in this field. France has launched a global project and national consultation called “ Le Grenelle Environnement”, which integrates the environment dimension into all aspects of the economy. Foreign partners will find a very favourable business environment in our country to develop their eco-industries.
When I was in China last month, I met with Chinese companies interested in this approach in sustainable development. We will be glad to welcome these companies and support their projects in France. Let me add that one hundred Chinese companies already operate in France, in a wide range of sectors.
What would be the final message that you would like to share with the Chinese business community?
If you plan to set up activities and develop your presence in Europe, there are many reasons for you to choose France. Contact the Invest in France Agency. We will tell you why 22,000 foreign companies have set up their business and developed their operations in France.
| Company: | Invest in France |
| Position: | President |
| Country: | France |