New Delhi, Nov. 16 (Reuters): Mergers and acquisitions by Indian firms in Europe and the US are expected to double in three years, a survey said on Friday.

Brussels-based policy and research body European Institute for Asian Studies and the Associated Chambers of Commerce and Industry said in a joint survey the number of acquisitions by Indian firms in Europe and the US would cross 400 a year from 2010 onwards compared with 210 deals expected in 2007.

Indian companies acquired more than 180 firms in the US and Europe in 2006, compared with 130 companies in 2005.

“Easy availability of funding, renewed business confidence and relatively stable economic and political regime would be principal factors, leading to intensifying of M&A activities between India and the EU as also India and the US,” the survey said.

The survey said there was enormous potential for improving trade and investment flows between the EU and India. “The country is now among the world’s most competitive producer of steel, auto component, pharmaceuticals, chemicals, offering low-cost high-value products, and the future M&A activities between India and Europe would concentrate around them,” it said.

In June, an Ernst & Young survey said cross-border deals by Indian firms would cross $35 billion in 2007.