INDIAN ECONOMIC & BUSINESS
From the Commercial Wing of the Indian Embassy in Israel
INDIAN ECONOMIC NEWS
India targets $50-billion FDI by 2012
India is targeting annual foreign direct investments worth $50 billion by 2012. It would double
the inflows by 2017. In order to make the investment environment in states more lucrative for
prospective overseas investors, the commerce ministry would set up a panel comprising state
industrial ministers. The panel would recommend measures to iron out procedural difficulties
faced while setting up a business.
Business confidence surpasses pre-crisis level, rises 21% in October
Business confidence in India has surpassed the level that prevailed before the financial crisis
that seized economic growth prospects, according to the latest National Council of Applied
Economic Research (NCAER), MasterCard Worldwide Index of Business Confidence. The
Business Confidence Index (BCI) reported a sharp rise of 21%, with a rating of 143.7 points in
October 2009, compared to 118.6 points in July 2009. BCI ratings in April 2009 were at their
lowest, at 81.6 points, after the global financial crisis hit world economies.
18 of WEF's 'Global Growth Companies' are Indian
The GGC Community was formed to engage high-growth companies with the potential to be
tomorrow’s industry leaders and drive economic and social change. Of the more than 200
companies from over 50 countries that form part of the World Economic Forum’s Global
Growth Companies (GGC) Community, India today has the second largest representation,
with a total of 18 GGCs. Indian GGCs come from every sector, with a strong representation in
information technology and electronics, retail, consumer goods and banking.
Power demand traces economic recovery
In a clear indication of an economic revival, the demand for power in India has jumped 6.3% in
the April-October period this financial year, compared with the same period of 2007-08 when it
had increased by a mere 0.3%, its lowest growth in the past five years, owing to the global
financial meltdown. According to the latest data obtained from the Central Electricity Authority
(CEA), while power demand increased marginally from 108,911 Mw in the first seven months
of the financial year 2007-08 to 109,304 Mw in the same period of 2008-09, it jumped to
116,281 Mw in the first seven months of 2009-10, as industrial activity improved due to the
recovery. Factories accounted for around 30-40% of the total power consumed in the country.
Aerospace SEZ inaugurated
India’s first Special Economic Zone dedicated to the Aerospace industry has been
inaugurated in Belgaum district. The SEZ situated at Hattaragi, 37 km from Belgaum is
promoted by Quest Global, an aerospace engineering and manufacturing company. The SEZ
houses an engineering services facility, a precision machining unit and Aerospace Processing
India, a joint venture between Quest and Magellan, a processing facility, which is critical for
More foreign broking companies queue up for India entry
Competition in the institutional stock broking space in India is set to intensify with foreign
institutions including StanChart, Barclays and DBS, looking to make an entry in the equity
capital market (ECM) business in the country.
Government approves 17 FDI proposals
The government has approved 17 foreign direct investment (FDI) proposals amounting to US$
250.56 million. Among those projects approved were FDI applications for steel maker
ArcelorMittal and iron pipe maker Electrosteel Castings.
India's BPO market to grow to US$ 6.82 billion by 2013
India’s domestic business processing outsourcing (BPO) market, that has close to 500
players, will grow at a compound annual growth rate (CAGR) of 33.3%, to reach revenues of
US$ 6.82 billion by 2013, up from US$ 1.62 billion in 2008, according to a report by
information technology research firm IDC India.
India tops Bric gold-to-forex reserve ratio
Following the purchase of 200 tonnes of gold from the International Monetary Fund (IMF),
India now has the highest gold reserves as a percentage of total forex reserves, among Brazil,
Russia, India, China (BRIC) nations.
Tamil Nadu emerging tyre capital, big tyre companies line up projects in the State
According to official estimates, a copious investment of nearly $ 1 Billion has already been
pumped into the State by leading tyre companies. Apollo Tyres, ATC Tires, MRF, Dunlop and
TVS Srichakra are some of those who have made big ticket investments, earning Tamil Nadu
the tyre capital tag. The sector is also attracting more players.
October car sales the highest in two years
According to the Society of Indian Automobile Manufacturers (SIAM), sales of passenger cars
increased by 34% at 132,615 units in October against 99,052 units during the same month
Entertainment biggies climb on the online bandwagon
The Reliance ADAG-backed bigadda.com has announced its first ever online reality show.
Ten Sports, too, has launched its live streaming of cricket matches online and is confident of
going forward with its plans. Ibibo, an entertainment- and talent-based social networking site,
will also make a debut with an online TV serial.
Indian companies increase investments in London
Indian companies have sustained their investments in London in the financial year 2008-09
and are set to match the growth registered in the previous year, according to data from the
foreign direct investment agency Think London. The data showed that 14 Indian companies
have either set up or expanded their operations in London in the current fiscal. In recent
years, major Indian companies including Haldiram, ICICI Bank and Kingfisher Airlines, have
set up their offices in London. Also, Wipro and IL&FS have made London their European
IT / Telecom / Biotech News
IT to regain double-digit growth in 2010
IT sector is expected to grow between 4% and 7% in the current fiscal as global economies
are yet to recover fully from the downturn, but may return to over 10% growth next year
according to Nasscom.
Infosys opens its second development centre in Mexico
Infosys Technologies has opened its second development centre in Monterrey, Mexico,
serving as a near shore unit to serve the regions of North America, Latin American and
Europe. The development centre will provide technology services for clients in all industries
including banking, financial services, manufacturing, retail, distribution, insurance and many
Posiflex Technology acquires Protocol Systems
The Taiwan-based Posiflex Technology, a manufacturer of point of sale (POS) terminals, has
announced to set up its own subsidiary in India with the acquisition of majority stake in
Bangalore-based Protocol Solutions, which used to be its distributor in India for the last eight
years. Posiflex Technology to invest in India $10 million.
TCS bags £150-million deal from UK Government body
Tata Consultancy Services is understood to have bagged a £150-million (Rs 1,164 crore)
software implementation contract from the Cardiff City Council, its first win from the local
government space in the UK.
IBM unveils Lotus Centre in Pune
IBM unveiled the Lotus Center for Advanced Collaboration (LCAC), at the IBM Software Lab
in Pune. Positioned as a regional hub for Lotus Advanced collaboration strategy and solutions,
the centre, the only one of its kind in Asia-Pacific, will host dedicated technical expertise to
help customers and partners adopt collaboration technology in their environment.
Infosys BPO acquires US co McCamish for $38 million
Infosys BPO, the business process outsourcing arm of Infosys Technologies, has agreed to
buy all of the outstanding interests of Atlanta, Georgia-based McCamish Systems LLC, a
business process solutions provider to the US insurance and financial services sector. The
upfront consideration for the deal is $38 million with up to an additional $20 million payable to
the sellers if McCamish Systems achieves certain financial targets. The deal is expected to be
completed later this year.
Telecom operators register record subscribers in October 2009
The month of October 2009 saw telecom operators in India register a record number of 16.67
million new mobile subscribers, according to Telecom Regulatory Authority of India (TRAI).
The number, which combines GSM, CDMA and FWP subscribers, brings the total number of
wireless subscribers to 488.4 million as of October 2009.
Bayer signs pact with GVK Bio
Bayer CropScience AG, a subsidiary of Germany-based global crop sciences major Bayer
AG, and GVK Biosciences Private Limited (GVK Bio) of Hyderabad, have entered into a
research cooperation agreement in the area of early discovery chemistry.
Wockhardt, Sun get US okay for generic drug
Indian drug companies Wockhardt and Sun Pharmaceutical Industries have received final
approval from the United States Food and Drug Administration (USFDA) to market generic
versions of Nicardipine, the hypertension drug.
Novo Nordisk eyes India as insulin hub for sub-continent
Denmark-based world leader in diabetes care Novo Nordisk can look at making India the hub
for manufacturing insulin for the sub-continent. The company inaugurated a dedicated facility
with a capacity of 26 million vials per annum in partnership with Ahmedabad based Torrent
Pharmaceuticals Ltd. Torrent has been manufacturing insulin for Novo Nordisk since the early
Nissan gears up for India launch with Chennai office
Nissan Motor India Private Ltd (NMIPL) inaugurated the company’s corporate office in
Chennai. The office will act as the hub for Nissan’s operations in India. Spread across an
area of 10,000 square feet, the facility will house the 56 employees of NMIPL, which is
expected to almost double up to over 100 employees by next year.
HAL wins contract to supply flaperons for Boeing 777
State-owned aerospace firm Hindustan Aeronautics Limited (HAL) has signed an agreement
with Boeing to supply flaperons for the Boeing's 777 series commercial jetliners. HAL is
likely to supply 600 units of flaperons to Boeing which will be delivered in phases by 2019.
Lifeclinic plans 100 health kiosks
Lifeclinic India, a part of Lifeclinic International that manufactures and distributes automated
blood pressure monitors and health stations, will set up about 100 anytime self-testing
health kiosks, on the lines of public telephone booths, in Andhra Pradesh.
Suzlon opens wind farm in Australia
Wind energy major Suzlon Energy has officially opened Infigen Energy’s Capital wind farm,
the largest wind farm in Australia at Bungendore in New South Wales. The 67-turbine wind
farm, located near Australia’s capital Canberra, was delivered by Suzlon through a turnkey
contract that covered engineering, procurement and construction. The farm will produce 141
Megawatt (Mw) of energy, according to a press release.
Petronas buys 2.3% in Cairn India for $240 million
The Malaysian oil firm Petronas has bought 2.3% stake in it (Cairn India) for $240 million
(around Rs 1,100 crore) to consolidate its holding in the company to near 15%. Petronas
International Corp, which held 12.64% stake (239.83 million shares) in Cairn, will buy 43.6
million additional shares from Cairn UK Holdings Ltd _ the parent firm of Cairn India, the
company said in a statement here.
Moser Baer to infuse $5 billion in 10 years
Moser Baer Photo Voltaic Ltd, a wholly-owned subsidiary of Moser Baer India, which is the
country’s largest photovoltaic cell and module maker, plans to invest $5 billion in its
manufacturing facilities in Chennai and Hyderabad over the next 10 years.
Elgi Rubber to set up 100% subsidiary in Texas
City-based Elgi Rubber Company has formed a fully owned subsidiary company in Texas, US
under the name of Elgi Rubber Company LLC. The company informed the stock exchanges
that the board has approved an investment up to $ 5 Million on the overseas venture by way
of share capital advance through the automatic route.
Nova to invest US$ 172.8 million for surgery centres
US-based private investment firm, GTI Group, and India-based Nova Medical Centre, are to
set up around 100 day-care surgery centres in the next three to four years with an
investment of over Rs 800 crore (US$ 172.8 million).
Forthcoming Events in India
International Food and Drink Expo India
Dec 2-4, 2009, New Delhi
Dec 2-4, 2009, New Delhi
Eima Agrimach India 2009
December 3-5, 2009
IARI, Pusa, New Delhi
India Telecom 2009
December 3-5, 2009, New Delhi
Paperex – The World of Paper
December 4-7, 2009, New Delhi
December 5-7, 2009, Bangalore
December 11-14,2009, New Delhi
December 11-14, 2009, New Delhi
Delhi International Jewllery Show
December 11-14, 2009, New Delhi
IndiaChem Gujarat 2009
December 12-14, 2009
January 21-23, 2010, Ahmedabad
13th India International Security Expo
February 15-18, 2010, New Delhi
March 10-12, 2010, Jaipur, Rajasthan
Business Offers for Israeli Companies
No Company Details Interest
1 Su-Kam Power Systems Ltd Manufacturers & Exporters of
Contact Person: Lomash Yadav Power Back-Up Systems
Tel: 91-124-4170500 (inverters/chargers, On Line
Fax: 91-124-4038702 UPS, Home Ups, Sealed
Mob: 91-9971497518 Maintenance Free (SMF)
E-Mail: email@example.com Batteries, Solar Systems, Power
2 Bal Pharma Ltd, Bangalore, India
Contact Person: Ms. Deepika B.N., Senior Manufacturers & Marketing of
Executive, API (Active Pharmaceuticals Active Pharmaceutical
Ingredients) Ingredients (API) prescription
Tel: 91-80-41379500 Ext 514 drugs, generics, OTC products
Fax: 91-80-22354057/58 and Intravenous Infusions
E-Mail: firstname.lastname@example.org Interested in importers of API
3 Mark Overseas Exporters & Importers of Food
Contact Person: Anne Products (Spices Nuts) and
E-Mail: email@example.com Handicrafts
4 BACFO Pharmaceuticals (India) Ltd Manufacturers & Exporters of
Contact Person: Amaresh Kumar Singh, Herbal (Ayurvedic) Health &
Senior Executive-Exports Personal Care Products
Tel: 91-120-2554233/2524731 Interested in Distributors &
Fax: 91-120-2542109 Importers of Herbal, Health
E-Mail: firstname.lastname@example.org Personal Care Products
5 Ramnath Infraprojects Private Limited, Engaged in Real Estate Projects
Nagpur, India (Power, Balance of Plant
Contact Person: Dhirendra K.Gupta Construction EPC for HT/LT
Tel: 91-712-2520473., Mob: lines Sub Stations, Highway
91-9305598392 Roads, Railway Traction, Ports,
E-Mail: email@example.com Airports
6 KARPASA Export Pvt.Ltd, Gujarat, India Exporters of Various Agro
Contact Person: Mrs. Oza Commodities (spices, pulses,
Tel: 91-281-2585249 oilseeds, grain, animal feed)
Fax: 91-281-257-9698 Interested in importers of above
Mob: 91-9737797360 products
7 Amity Thermosets (P) Ltd Manufacturers & Exporters of
Contact Person: Hitesh Chheda Phenol formaldehyde Moulding
Tel: 91-22-26865530/26865531 Powder & Phenolic Resin
8 M/s Shri Mahalaxmi Industries, Rajasthan Manufacturers & Exporters of
Contact Person: Sumit Gupta Cotton Linter (HSN Code 1404
Tel: 91-921-4201551 2000)
Fax: 91-155-2260351 Interested in importers of the
E-Mail: above product
9 Allied Nippon Limited Interested in importers,
Uttar Pradesh, India distributors & traders of auto
Contact Person: Neena Narang components (disc brake pad,
Tel: 91-120-4539600. linings, clutches etc)
10 First Winner Industries Ltd Importers of Garments &
Contact Person: Jayesh Kothari Finished Fabrics (Shirts /
Tel: 91-9004544995 Trousers)
Address & contact details of the Commercial Wing, Embassy of India:
140 Hayarkon Street, Tel Aviv 63451 – P.O. Box ٣٣٦٨, Tel Aviv 61033.
Tel: 03-5291999; Fax: 03-5270821;
Please visit our website: www.indembassy.co.il