light of India's nuclear liability law that appears to be out of step with international standards and has deterred investment by many nuclear energy firms, she added.
At the same time, the US should recognise that India has concerns with US policy - concerns that must be addressed.
"First, the intractable immigration debate in the United States over illegal immigration risks jeopardizing a key fundamental of growth: a legal immigration system that allows for the free movement of highly-skilled workers," Barshefsky
"The United States should address India's concerns over the equalisation of social security taxes paid by Indian workers under the H-1B program," she said.
Diane Farrell, executive vice president of US-India Business Council, hoped the Prime Minister would raise the issue of immigration reform with Obama during his meeting.
"We are constantly talking to our counterparts in the US and Indian Government to talk about some of the policy decisions, which we believe are actually going to impede progress in India," she said.
Acknowledging that the American companies have concerns about the Indian policies, she pitched for long term presence in India - one of the largest markets in the world.
"You cannot ignore a population that is 50 per cent of which is under the age of 25. India really is the place. But it is not easy," she said.
Linda Dempsey, vice president National Association of Manufacturers, said investors are pulling back from India because of the policies of the Indian Government.
Major sectors in steel, insurance and other infrastructure sectors lost investors, she said.
She attributed this to bad policies including the manufacturing policies, which she alleged are discriminatory and against the international norms. "If India is allowed to continue these policies, others will surely follow with devastating results for companies here," she claimed.
Raymond Vickery, senior director at Albright Stonebridge, said the United States and India need each other. "If these two strong democracies can't be friends who can," he asked.
"On the present situation, granted that India has fallen into international economic regression in the face of 2014 national elections, this is deplorable but not an unknown phenomenon," Vickery said.
Vickery alleged that the US India Trade