Herald Media Group CEO Choi Jin-young (left) and Sandeep Kishore Jain, president of the Federation of Indian Micro and Small & Medium Enterprises, pose after signing a memorandum of understanding at the Yashobhoomi convention center in Dwarka, New Delhi, on Friday. (Park Hae-mook/ The Korea Herald)

NEW DELHI -- Herald Media Group has inked an agreement with India's largest organization of micro, small and medium enterprises to promote the exchange and cooperation of Indian and Korean SMEs.

Herald Media Group CEO Choi Jin-young and Sandeep Kishore Jain, the president of the Federation of Indian Micro and Small & Medium Enterprises, signed a memorandum of understanding during a business roundtable at Yashobhoomi, a convention and exhibition center in Dwarka, Delhi, on Friday.

The non-binding deal aims at enhancing cross-border business opportunities. It focuses on providing support to small and medium-sized enterprises, including matchmaking services, legal guidance, and networking opportunities across both markets.

"Small businesses of the two countries have vast potential to expand their presence in each other’s market," the Herald CEO said, noting that only 1,000 Korean SME firms have entered the Indian market despite over 50 years of diplomatic ties between Korea and India.

“Making a foray into the Indian market is a crucial mission for Korean companies and for the national interest when the Korean economy needs a strong economic partner to reduce its dependence on China,” Choi said.

The leaders of around 60 small and medium-sized firms from both countries participated in the meeting, discussing plans for potential collaboration in India.

Under the agreement, the two parties will work together to establish an SME cooperation organization for connecting businesses, facilitating information exchange, and supporting SMEs in navigating international trade landscapes.

“This partnership signifies a new chapter in our collective journey, a chapter that promises to unlock unprecedented opportunities for our micro, small, and medical enterprises,” the FISME president said.

Micro, small and medium enterprises are the backbone of India’s economic growth, contributing one third to the country’s gross domestic product.

The FISME will offer critical services such as hosting business delegations, organizing business-to-business meetings, and assisting Korean companies in understanding India's regulatory environment.

The FISME expects that its partnership with Herald Media Group would enable the transfer of cutting-edge technologies and best practices from Korea to India.

“Korea is renowned for its technological prowess and manufacturing excellence. Korean companies possess the expertise and solutions that can empower our MSMEs to overcome challenges and seize new horizons,” the FISME president said.

The FISME is a non-governmental organization that reaches out to 2 million MSMEs through 740 member associations across India. It focuses on trade and market access issues and reforms, with the twin objectives of fostering an entrepreneurial and competitive environment domestically and enabling greater market access for Indian SMEs both domestically and internationally.