I am presently studying in a top ranked US university and I find the Garaduate courses here to be the level of under-grad in India. Thats the reason Indian Students rule the roost in US universities.
Having done dual masters, one in India and one in US; i would say Indian universities should not ape the US system.
The only good factor about US system is that the pass grade is 80%. SO even average students dont graduate. Otherwise the coursecontent is not to the standard of Indian Universities.
University standards cannot be determined by awards or ranks. please donnot commercialise education in India.
& for your information, more & more US students are coming to central universities in India. They are not going to china.
Private universities means high fees, and these universities will pressurise government to raise fees of the pubic universities or privitise them. that means education will not be affordable even to middle class, forget the poor.