India is a large and diverse country with a long history and growing economy. It has over 1 billion people, 29 states, and is the world's largest democracy. India has the 4th largest economy globally and has experienced strong GDP growth in recent years, driven by its large services and manufacturing sectors. Major industries discussed include IT, pharmaceuticals, automobiles, banking, and tourism. The document provides an overview of India's economy, trade, foreign investment, and key cities and industries.
- India is a 5,000 year old civilization with a diverse population of over 1 billion people and a rapidly growing economy. It has transitioned to a free market economy since the 1990s and has experienced strong GDP growth.
- India receives large amounts of foreign investment and its economy is centered around services, industry, agriculture. Major industries include IT, pharmaceuticals, automobiles, and tourism. Large cities like Delhi, Mumbai, and Bangalore are economic hubs.
- The document provides an overview of India's economy, trade, foreign investment, and key industries to introduce India as an emerging global market.
- India is a 5,000 year old civilization with a diverse population of over 1 billion people and a rapidly growing economy. It has transitioned to a free market economy since the 1990s and has experienced strong GDP growth.
- India receives large amounts of foreign investment and trade. Major sectors of the economy include IT, pharmaceuticals, automobiles, and services. Indian companies have also been acquiring assets abroad in recent years.
- The document provides an overview of India's economy, trade, foreign investment trends, major cities, and key industries to introduce India as an attractive market for business.
This document provides an overview of India as an economic market. It discusses India's history, economy, trade, foreign investment, major cities, and key industries. Some key facts presented include India's large population and fast economic growth rate, its status as a top destination for foreign investment, and the large presence of multinational companies operating across various industries in India. The document also highlights positive international perceptions of India's potential for continued economic development.
- India is a 5,000 year old civilization with a diverse population of over 1 billion people and a rapidly growing economy. It has transitioned to a free market economy since the 1990s and has experienced strong GDP growth.
- India receives large amounts of foreign investment and trade. Major sectors of the economy include IT, pharmaceuticals, automobiles, and services. Indian companies have also been acquiring assets abroad in recent years.
- The document provides an overview of India's economy, trade, foreign investment trends, major cities, and key industries to introduce India as an attractive market for foreign businesses.
This presentation contains details about India
5,000 year old ancient civilization
325 languages spoken – 1,652 dialects
18 official languages
29 states, 5 union territories
3.28 million sq. kilometers - Area
7,516 kilometers - Coastline
Parliamentary form of Government
Worlds largest democracy.
Worlds 4th largest economy.
World-class recognition in IT, bio-technology and space.
Largest English speaking nation in the world.
3rd largest standing army force, over 1.5Million strong.
2nd largest pool of scientists and engineers in the World.
- India is a 5,000 year old civilization with a diverse population of over 1 billion people and a rapidly growing economy. It has transitioned to a free market economy since the 1990s and has experienced strong GDP growth.
- India receives large amounts of foreign investment and trade. Major sectors of the economy include IT, pharmaceuticals, automobiles, and services. Indian companies have also been acquiring assets abroad in recent years.
- The document provides an overview of India's economy, trade, foreign investment trends, major cities, and key industries to introduce India as an attractive market for business.
This document provides an introduction and overview of India as a market. It discusses India's economy, industries, consumer market, major cities, and comparisons to other global powers. Some key facts presented include that India has the 4th largest economy in the world, the 2nd largest pool of scientists and engineers, and experienced the 2nd highest GDP growth rate in 2007 at 11.6%, behind only China. The document provides economic indicators for India and shares of world GDP for major countries to contextualize India's growing global economic influence. It aims to outline opportunities for international businesses in India's expanding economy and consumer base.
This document provides an overview of India as an economic market. It discusses India's history, economy, trade, foreign investment, major cities, and key industries. Some key facts presented include India's large population and fast economic growth rate, its status as a top destination for foreign investment, and the large presence of multinational companies operating across various industries in India. The document also highlights positive international perceptions of India's potential for continued economic development.
- India is a 5,000 year old civilization with a diverse population of over 1 billion people and a rapidly growing economy. It has transitioned to a free market economy since the 1990s and has experienced strong GDP growth.
- India receives large amounts of foreign investment and its economy is centered around services, industry, agriculture. Major industries include IT, pharmaceuticals, automobiles, and tourism. Large cities like Delhi, Mumbai, and Bangalore are economic hubs.
- The document provides an overview of India's economy, trade, foreign investment, and key industries to introduce India as an emerging global market.
- India is a 5,000 year old civilization with a diverse population of over 1 billion people and a rapidly growing economy. It has transitioned to a free market economy since the 1990s and has experienced strong GDP growth.
- India receives large amounts of foreign investment and trade. Major sectors of the economy include IT, pharmaceuticals, automobiles, and services. Indian companies have also been acquiring assets abroad in recent years.
- The document provides an overview of India's economy, trade, foreign investment trends, major cities, and key industries to introduce India as an attractive market for business.
This document provides an overview of India as an economic market. It discusses India's history, economy, trade, foreign investment, major cities, and key industries. Some key facts presented include India's large population and fast economic growth rate, its status as a top destination for foreign investment, and the large presence of multinational companies operating across various industries in India. The document also highlights positive international perceptions of India's potential for continued economic development.
- India is a 5,000 year old civilization with a diverse population of over 1 billion people and a rapidly growing economy. It has transitioned to a free market economy since the 1990s and has experienced strong GDP growth.
- India receives large amounts of foreign investment and trade. Major sectors of the economy include IT, pharmaceuticals, automobiles, and services. Indian companies have also been acquiring assets abroad in recent years.
- The document provides an overview of India's economy, trade, foreign investment trends, major cities, and key industries to introduce India as an attractive market for foreign businesses.
This presentation contains details about India
5,000 year old ancient civilization
325 languages spoken – 1,652 dialects
18 official languages
29 states, 5 union territories
3.28 million sq. kilometers - Area
7,516 kilometers - Coastline
Parliamentary form of Government
Worlds largest democracy.
Worlds 4th largest economy.
World-class recognition in IT, bio-technology and space.
Largest English speaking nation in the world.
3rd largest standing army force, over 1.5Million strong.
2nd largest pool of scientists and engineers in the World.
- India is a 5,000 year old civilization with a diverse population of over 1 billion people and a rapidly growing economy. It has transitioned to a free market economy since the 1990s and has experienced strong GDP growth.
- India receives large amounts of foreign investment and trade. Major sectors of the economy include IT, pharmaceuticals, automobiles, and services. Indian companies have also been acquiring assets abroad in recent years.
- The document provides an overview of India's economy, trade, foreign investment trends, major cities, and key industries to introduce India as an attractive market for business.
This document provides an introduction and overview of India as a market. It discusses India's economy, industries, consumer market, major cities, and comparisons to other global powers. Some key facts presented include that India has the 4th largest economy in the world, the 2nd largest pool of scientists and engineers, and experienced the 2nd highest GDP growth rate in 2007 at 11.6%, behind only China. The document provides economic indicators for India and shares of world GDP for major countries to contextualize India's growing global economic influence. It aims to outline opportunities for international businesses in India's expanding economy and consumer base.
This document provides an overview of India as an economic market. It discusses India's history, economy, trade, foreign investment, major cities, and key industries. Some key facts presented include India's large population and fast economic growth rate, its status as a top destination for foreign investment, and the large presence of multinational companies operating across various industries in India. The document also highlights positive international perceptions of India's potential for continued economic development.
- India is a 5,000 year old civilization with a diverse population of over 1 billion people and a rapidly growing economy. It has transitioned to a free market economy since the 1990s and has experienced strong GDP growth.
- India receives large amounts of foreign investment and trade. Major sectors of the economy include IT, pharmaceuticals, automobiles, and services. Indian companies have also been acquiring assets abroad in recent years.
- The document provides an overview of India's economy, trade, foreign investment trends, major cities, and key industries to introduce India as an attractive market for business.
This document discusses opportunities for New Zealand business in India. It notes that India has experienced high economic growth rates in recent years and is becoming an increasingly important market. Key opportunities for New Zealand businesses include:
1) India offers a huge consumer market as its middle class grows and incomes rise. Several New Zealand companies have found success selling to Indian consumers.
2) India provides opportunities to lower costs through outsourcing services or using India as a base for frugal engineering.
3) India's skilled workforce and sectors like IT provide specialist resources and capabilities that can augment New Zealand businesses.
The document analyzes opportunities in several sectors like IT, biotech, food processing, and infrastructure. It suggests
The document provides information about the Indian economy, including its location in Asia with New Delhi as the capital and Mumbai as the financial capital. It notes that India has the 10th largest nominal GDP and 3rd largest GDP by PPP. Some key statistics presented include a GDP of $1.87 trillion, GDP growth of 4.7% in 2013, GDP per capita of $1504, and inflation of 8.79% in January 2014. The main industries and sectors contributing to the economy are also outlined, along with details about exports, imports, public finance, currency exchange rates over time, and the impacts of declining GDP growth.
The economy of India is the eleventh largest in the world by nominal GDP and the third largest by purchasing power parity. Some key facts about the Indian economy include:
- Agriculture accounts for around 17% of GDP while industry accounts for 26% and services 56%;
- The economy has grown rapidly in recent decades since liberalizing and opening up in the 1990s, with growth rates over 6% annually;
- Major industries include telecommunications, textiles, chemicals, food processing, steel, transportation equipment, cement, mining, petroleum, machinery, software and pharmaceuticals.
This document provides an overview of the economy of India, including key statistics and sectors. It discusses India's GDP growth rate, important industries like telecommunications and food processing, top export and import partners, sectors like agriculture and banking, and external trade. It also outlines objectives of India's 11th five-year plan such as reducing poverty and improving education, health, and infrastructure.
The Indian economy is the 7th largest economy in the world by nominal GDP and 3rd largest by PPP. India's key economic sectors are services, industry, and agriculture. The services sector contributes the most to GDP while agriculture employs over half of Indians. Exports have grown and include software, petrochemicals, and pharmaceuticals while imports are dominated by crude oil, gold, electronics and machinery. The 12th Five Year Plan aims to accelerate economic growth through investments in infrastructure, health, education, and rural development to achieve more inclusive growth.
As India rapidly emerges into a major market for global businesses, most firms need to explore the Indian business landscape to tap the growing market or to seek resources. We develop India market Entry strategy for Global Clients to help them enter the Indian market by leveraging our extensive knowledge of the Indian business environment. Our Market entry strategies set out the possible challenges and the mitigation of these obstacles.
This document provides an introduction and overview of India as a market. It discusses India's economy, industries, consumer market, major cities, and comparisons to other global powers. Some key facts presented include that India has the 4th largest economy in the world, the 2nd largest pool of scientists and engineers, and experienced the 2nd highest GDP growth rate in 2007 at 11.6%, second only to China. The document provides economic indicators for India and shares of world GDP for major countries to contextualize India's growing global economic influence. It aims to outline opportunities for international businesses in India's expanding economy and consumer market.
This document provides an overview of the economies and opportunities in India and Canada. It notes that both countries are among the top dozen economies in the world, and shares key statistics about their GDP, population sizes, and other economic indicators. The document outlines several sectors of the Indian economy such as agriculture, industry, and services that provide opportunities for Canadian companies. These opportunities include investments and exports in areas like agriculture, life sciences, cleantech, ICT, and more. The Canadian strategy aims to increase bilateral trade and investment between the two countries.
The document provides an overview of the Indian economy as an emerging global power. It notes that India is the 10th most industrialized country and 4th largest economy by GDP at purchasing power parity. Some key points are:
- India has a strong services sector accounting for over 50% of GDP, with industry and agriculture making up the remainder.
- The economy has experienced strong real GDP growth of over 9% in recent years, with corporate earnings growth over 20%.
- Projections estimate India's GDP will surpass Japan's by 2032 and per capita income will increase 35-fold by 2050, cementing India as the third largest economy.
The document discusses opportunities for US companies exporting to India. It provides an overview of India's strong economic growth, large middle class, and changing policies that make it more attractive for foreign investment. Specific industries like IT, biotechnology, automobiles are highlighted as top sectors in cities such as Bangalore, Chennai, Hyderabad, Mumbai, and New Delhi. The document also lists the Indian government's efforts to improve intellectual property protection and provides resources for US companies to utilize when exporting to India.
The document discusses opportunities and challenges for businesses entering markets in Eurasia. It provides an overview of the market size and characteristics of countries in the region. Challenges include corruption, administrative barriers, and inconsistent legislation. The U.S. Department of Commerce offers services to help businesses navigate these issues and access trade financing, including international trade experts, assistance resolving trade complaints, and training programs.
The document compares India and China's economic growth and foreign direct investment (FDI) trends. It finds that while China has had higher growth rates and FDI inflows, India is growing rapidly in software, services and other sectors. To attract more FDI, India needs to improve infrastructure and reduce bureaucracy, while China should strengthen financial systems and consult foreign investors. Both countries show potential for continued economic expansion.
Presentation on #MakeInIndia for Indian School of Business, MohaliAlwyn Didar Singh
This document summarizes a presentation given by Dr. A Didar Singh, Secretary General of the Federation of Indian Chambers of Commerce & Industry (FICCI). The presentation covered several topics:
1. It provided an overview of India's economic growth since reforms began in 1991, highlighting growth rates, trade, investment, and rankings on various indicators that have improved.
2. It discussed India's manufacturing sector, noting that manufacturing as a percentage of GDP has remained stagnant while globally India lags in manufacturing competitiveness.
3. It introduced the key policy initiatives of "Make in India" and improving ease of doing business to boost manufacturing in India.
4. It reviewed some reforms in factor markets
The document summarizes the growth and opportunities in the Indian economy. It notes that India has one of the fastest growing economies in the world, with the GDP growing at over 9% annually in recent years. The services, industry, and agriculture sectors are all growing robustly. India also has large foreign exchange reserves, increasing exports, and has become an attractive destination for foreign investment and M&A activity. With its large population and growing middle class, India is well-positioned for continued strong economic growth.
- India has the 7th largest economy in the world and is one of the fastest growing. It has a mixed economy and a large services sector.
- Agriculture and related industries remain important but the economy is becoming more industrialized and specialized in services like IT. Infrastructure development is a priority.
- The economy faces issues like uneven development, poverty, and corruption, but reforms continue and growth rates have been high in recent decades.
India vs China: Trade is an Engine of GrowthAritra Ganguly
India and China are two major players in International Trade with potential to grow. This presentation takes a look at the history between these two great nations, how trade has flourished and helped economies to grow in terms of Trade Balances, how it can contribute to GDP growth, barriers to trade and how each country can maximise their potential in this regard.
This document provides an overview of India as an economic market. It discusses India's history, economy, trade, foreign investment, major cities, and key industries. Some key facts presented include India's large population and fast economic growth rate, its status as a top destination for foreign investment, and the large presence of multinational companies operating across various industries in India. The document also highlights positive international perceptions of India's potential for continued economic development.
UNCTAD is a United Nations body that deals with trade and development issues. The document discusses India's growing outward foreign direct investment (FDI) position according to UNCTAD data. India's annual FDI growth of 176% from 2000-2008 was unprecedented compared to other large emerging economies like China and Brazil. India's outward FDI levels are also now comparable to its inward FDI levels.
The document discusses India's growing economy and its increasing globalization. It provides statistics that show India's rising GDP, exports, imports, foreign investment, and per capita income. Several sectors such as services, manufacturing, information technology, automotive, and pharmaceuticals are growing. Global companies are investing more in India due to its large consumer base, low costs, and skilled workforce. While India's economy is expanding rapidly, challenges remain around job creation and reducing economic disparities between urban and rural areas. Overall, the statistics and expert comments presented paint a positive picture of India's economy and its increasing integration into the global marketplace.
The document discusses India's growing economy and its increasing globalization. It provides statistics that show India's rising GDP, exports, imports, foreign investment, and per capita income. Several sectors like services, manufacturing, IT and automotive are growing. Global companies are investing in India due to its large consumer base, low costs, and skilled workforce. While the economy is booming, India still faces challenges of job creation and reducing poverty and inequality. Overall, the document outlines how India has embraced globalization and seen strong economic growth in recent decades.
The document summarizes the growth of the Indian economy in recent years. It notes that India has one of the fastest growing economies in the world, with the GDP growing at over 9% annually. Several key sectors like industry, services, and agriculture have all witnessed high growth. Exports are also surging and India has become an attractive destination for foreign investment and M&A activities. With its large population and growing middle class, India is well-positioned for strong continued economic expansion.
- India is a 5,000 year old civilization with a diverse population of over 1 billion people and a rapidly growing economy. It has transitioned to a free market economy since the 1990s and has experienced strong GDP growth.
- India receives large amounts of foreign investment and trade. Major sectors of the economy include IT, pharmaceuticals, automobiles, and services. Indian companies have also been acquiring assets abroad in recent years.
- The document provides an overview of India's economy, trade, foreign investment trends, major cities, and key industries to introduce India as an attractive market for business.
This document discusses opportunities for New Zealand business in India. It notes that India has experienced high economic growth rates in recent years and is becoming an increasingly important market. Key opportunities for New Zealand businesses include:
1) India offers a huge consumer market as its middle class grows and incomes rise. Several New Zealand companies have found success selling to Indian consumers.
2) India provides opportunities to lower costs through outsourcing services or using India as a base for frugal engineering.
3) India's skilled workforce and sectors like IT provide specialist resources and capabilities that can augment New Zealand businesses.
The document analyzes opportunities in several sectors like IT, biotech, food processing, and infrastructure. It suggests
The document provides information about the Indian economy, including its location in Asia with New Delhi as the capital and Mumbai as the financial capital. It notes that India has the 10th largest nominal GDP and 3rd largest GDP by PPP. Some key statistics presented include a GDP of $1.87 trillion, GDP growth of 4.7% in 2013, GDP per capita of $1504, and inflation of 8.79% in January 2014. The main industries and sectors contributing to the economy are also outlined, along with details about exports, imports, public finance, currency exchange rates over time, and the impacts of declining GDP growth.
The economy of India is the eleventh largest in the world by nominal GDP and the third largest by purchasing power parity. Some key facts about the Indian economy include:
- Agriculture accounts for around 17% of GDP while industry accounts for 26% and services 56%;
- The economy has grown rapidly in recent decades since liberalizing and opening up in the 1990s, with growth rates over 6% annually;
- Major industries include telecommunications, textiles, chemicals, food processing, steel, transportation equipment, cement, mining, petroleum, machinery, software and pharmaceuticals.
This document provides an overview of the economy of India, including key statistics and sectors. It discusses India's GDP growth rate, important industries like telecommunications and food processing, top export and import partners, sectors like agriculture and banking, and external trade. It also outlines objectives of India's 11th five-year plan such as reducing poverty and improving education, health, and infrastructure.
The Indian economy is the 7th largest economy in the world by nominal GDP and 3rd largest by PPP. India's key economic sectors are services, industry, and agriculture. The services sector contributes the most to GDP while agriculture employs over half of Indians. Exports have grown and include software, petrochemicals, and pharmaceuticals while imports are dominated by crude oil, gold, electronics and machinery. The 12th Five Year Plan aims to accelerate economic growth through investments in infrastructure, health, education, and rural development to achieve more inclusive growth.
As India rapidly emerges into a major market for global businesses, most firms need to explore the Indian business landscape to tap the growing market or to seek resources. We develop India market Entry strategy for Global Clients to help them enter the Indian market by leveraging our extensive knowledge of the Indian business environment. Our Market entry strategies set out the possible challenges and the mitigation of these obstacles.
This document provides an introduction and overview of India as a market. It discusses India's economy, industries, consumer market, major cities, and comparisons to other global powers. Some key facts presented include that India has the 4th largest economy in the world, the 2nd largest pool of scientists and engineers, and experienced the 2nd highest GDP growth rate in 2007 at 11.6%, second only to China. The document provides economic indicators for India and shares of world GDP for major countries to contextualize India's growing global economic influence. It aims to outline opportunities for international businesses in India's expanding economy and consumer market.
This document provides an overview of the economies and opportunities in India and Canada. It notes that both countries are among the top dozen economies in the world, and shares key statistics about their GDP, population sizes, and other economic indicators. The document outlines several sectors of the Indian economy such as agriculture, industry, and services that provide opportunities for Canadian companies. These opportunities include investments and exports in areas like agriculture, life sciences, cleantech, ICT, and more. The Canadian strategy aims to increase bilateral trade and investment between the two countries.
The document provides an overview of the Indian economy as an emerging global power. It notes that India is the 10th most industrialized country and 4th largest economy by GDP at purchasing power parity. Some key points are:
- India has a strong services sector accounting for over 50% of GDP, with industry and agriculture making up the remainder.
- The economy has experienced strong real GDP growth of over 9% in recent years, with corporate earnings growth over 20%.
- Projections estimate India's GDP will surpass Japan's by 2032 and per capita income will increase 35-fold by 2050, cementing India as the third largest economy.
The document discusses opportunities for US companies exporting to India. It provides an overview of India's strong economic growth, large middle class, and changing policies that make it more attractive for foreign investment. Specific industries like IT, biotechnology, automobiles are highlighted as top sectors in cities such as Bangalore, Chennai, Hyderabad, Mumbai, and New Delhi. The document also lists the Indian government's efforts to improve intellectual property protection and provides resources for US companies to utilize when exporting to India.
The document discusses opportunities and challenges for businesses entering markets in Eurasia. It provides an overview of the market size and characteristics of countries in the region. Challenges include corruption, administrative barriers, and inconsistent legislation. The U.S. Department of Commerce offers services to help businesses navigate these issues and access trade financing, including international trade experts, assistance resolving trade complaints, and training programs.
The document compares India and China's economic growth and foreign direct investment (FDI) trends. It finds that while China has had higher growth rates and FDI inflows, India is growing rapidly in software, services and other sectors. To attract more FDI, India needs to improve infrastructure and reduce bureaucracy, while China should strengthen financial systems and consult foreign investors. Both countries show potential for continued economic expansion.
Presentation on #MakeInIndia for Indian School of Business, MohaliAlwyn Didar Singh
This document summarizes a presentation given by Dr. A Didar Singh, Secretary General of the Federation of Indian Chambers of Commerce & Industry (FICCI). The presentation covered several topics:
1. It provided an overview of India's economic growth since reforms began in 1991, highlighting growth rates, trade, investment, and rankings on various indicators that have improved.
2. It discussed India's manufacturing sector, noting that manufacturing as a percentage of GDP has remained stagnant while globally India lags in manufacturing competitiveness.
3. It introduced the key policy initiatives of "Make in India" and improving ease of doing business to boost manufacturing in India.
4. It reviewed some reforms in factor markets
The document summarizes the growth and opportunities in the Indian economy. It notes that India has one of the fastest growing economies in the world, with the GDP growing at over 9% annually in recent years. The services, industry, and agriculture sectors are all growing robustly. India also has large foreign exchange reserves, increasing exports, and has become an attractive destination for foreign investment and M&A activity. With its large population and growing middle class, India is well-positioned for continued strong economic growth.
- India has the 7th largest economy in the world and is one of the fastest growing. It has a mixed economy and a large services sector.
- Agriculture and related industries remain important but the economy is becoming more industrialized and specialized in services like IT. Infrastructure development is a priority.
- The economy faces issues like uneven development, poverty, and corruption, but reforms continue and growth rates have been high in recent decades.
India vs China: Trade is an Engine of GrowthAritra Ganguly
India and China are two major players in International Trade with potential to grow. This presentation takes a look at the history between these two great nations, how trade has flourished and helped economies to grow in terms of Trade Balances, how it can contribute to GDP growth, barriers to trade and how each country can maximise their potential in this regard.
This document provides an overview of India as an economic market. It discusses India's history, economy, trade, foreign investment, major cities, and key industries. Some key facts presented include India's large population and fast economic growth rate, its status as a top destination for foreign investment, and the large presence of multinational companies operating across various industries in India. The document also highlights positive international perceptions of India's potential for continued economic development.
UNCTAD is a United Nations body that deals with trade and development issues. The document discusses India's growing outward foreign direct investment (FDI) position according to UNCTAD data. India's annual FDI growth of 176% from 2000-2008 was unprecedented compared to other large emerging economies like China and Brazil. India's outward FDI levels are also now comparable to its inward FDI levels.
The document discusses India's growing economy and its increasing globalization. It provides statistics that show India's rising GDP, exports, imports, foreign investment, and per capita income. Several sectors such as services, manufacturing, information technology, automotive, and pharmaceuticals are growing. Global companies are investing more in India due to its large consumer base, low costs, and skilled workforce. While India's economy is expanding rapidly, challenges remain around job creation and reducing economic disparities between urban and rural areas. Overall, the statistics and expert comments presented paint a positive picture of India's economy and its increasing integration into the global marketplace.
The document discusses India's growing economy and its increasing globalization. It provides statistics that show India's rising GDP, exports, imports, foreign investment, and per capita income. Several sectors like services, manufacturing, IT and automotive are growing. Global companies are investing in India due to its large consumer base, low costs, and skilled workforce. While the economy is booming, India still faces challenges of job creation and reducing poverty and inequality. Overall, the document outlines how India has embraced globalization and seen strong economic growth in recent decades.
The document summarizes the growth of the Indian economy in recent years. It notes that India has one of the fastest growing economies in the world, with the GDP growing at over 9% annually. Several key sectors like industry, services, and agriculture have all witnessed high growth. Exports are also surging and India has become an attractive destination for foreign investment and M&A activities. With its large population and growing middle class, India is well-positioned for strong continued economic expansion.
The document summarizes the growth of the Indian economy in recent years. It notes that India has one of the fastest growing economies in the world, with GDP growth around 9% annually. Several sectors like services, industry, and agriculture have all seen high growth. Exports are also increasing while foreign investment in India is rising significantly. The Indian population is young and growing, which will provide a large workforce to continue powering economic expansion. Overall the document presents India as an emerging economic powerhouse with strong long-term growth prospects.
The document discusses international business opportunities in India. It notes that India has high-skilled labor and a growing middle class, making it attractive for business. However, a uniform strategy is not advisable due to cultural diversity across regions. Several sectors like IT, pharmaceuticals, and infrastructure have potential. Bodies like CII and FICCI help foster international ties and make policy recommendations. Overall, international business in India is growing significantly and future prospects are positive.
FDI role and performance of economy by Aakash TiwariAAKASH TIWARI
Foreign direct investment plays an important role in India's economic development by helping to fulfill the gap between domestic savings and investment. It provides access to new technologies and skills that boost productivity and efficiency. While historically Britain was a major investor, post-liberalization India saw increasing FDI from countries like Japan, the US, and Singapore. The sectors receiving the most FDI are services, telecommunications, and software/hardware. Government policies have increasingly liberalized FDI norms over time to encourage more foreign investment and position India as one of the top global destinations for investment.
Growth and Development of FDI on Indian EconomyIJMER
India has been attracting substantial of foreign direct investment since last few decades,
highly in services sector, telecommunications, software products, real estate etc. FDI are highly
promoting manufacturing sector of India’s exports & attracting more number of earnings on Foreign
exchange, Institutional Investments, MNCs and speeding up our economic growth through Technology
transfer, Employment generation and improved access to managerial expertise, global capital, product
markets and distribution network. FDI bring out the generation-wise innovation, hidden technology,
spending more on research & development to retain our strength in the globalised competitor
products. Indian economy is going to over track the developed and developing countries. Recently, due
to the recession most of the countries have not able to run their investment as well, but India has been
managed better then developed country without elevated struggling. This paper analyzes the growth
and development of FDI and it discussed the Indian economic growth through FDI. In addition it
explains and showed the various sector-wise FDI performances in India
India's exports and imports increased in March 2011 compared to March 2010. Exports grew 43.8% to $29.1 billion while imports grew 17.2% to $34.7 billion, resulting in a trade deficit of $5.6 billion. For the fiscal year April 2010-March 2011, exports grew 37.5% to $245.9 billion and imports grew 21.6% to $350.7 billion, resulting in a lower trade deficit of $104.8 billion compared to the previous fiscal year. Crude oil imports grew 8.2% in March 2011 and 16.7% for the fiscal year while non-oil imports grew 21% in March 2011 and 23.7% for
India FDI-Current Status, Issues and Policy RecommendationsAnkur Pandey
This document provides an overview of foreign direct investment (FDI) in India. It discusses the current status of FDI in India, key issues, and policy recommendations. Some of the main points covered include:
- India has emerged as an attractive FDI destination, particularly in services, but needs to develop more as a manufacturing hub.
- The largest sources of FDI for India are Mauritius, Singapore, the US, and the UK. However, FDI flows to India are still lower than China.
- Key sectors receiving FDI are services, software/hardware, telecom, real estate, and power. However, FDI is concentrated in a few states and regions like Mumbai and Delhi.
The document discusses sustainable growth and management practices in India. It begins by raising questions about India's economic growth and whether it benefits people and the environment. It then covers topics like India's strong economic performance and GDP growth, factors driving growth, and challenges like resource depletion that limit growth. It emphasizes the need for sustainable growth that improves living standards while protecting the environment and ensuring welfare for all. Management practices must consider economic, social and environmental dimensions of sustainability.
This document provides an overview of foreign direct investment (FDI) in the Indian retail sector and its impact on employment and growth. It analyzes trends in FDI in India from 2000-2013, with the service sector attracting the most investment. While FDI in single brand retail makes up a small percentage, the retail sector provides significant employment. The document reviews literature on the debate around allowing FDI in multi-brand retail and the potential benefits and costs. It outlines the objectives of studying FDI's role and impact in the Indian retail market and growth and employment.
India's GDP has grown significantly over the past 35 years, outpacing global growth. While its growth has been slower than China's, considering India's reforms began 13 years later, the difference is not as large. India's growth has been driven by the services sector rather than manufacturing. Rising incomes, falling interest rates, and increasing domestic savings are fueling strong consumption. Labor productivity has also increased faster than wages. Imports and exports as a percentage of GDP have risen steadily. FDI and FII inflows have grown substantially since economic reforms began in 1991. Outward FDI has increased 30-fold since the 1990s. Recently, inflation and interest rates have fallen in India, signaling an economic recovery.
Gujarat is a leading investment destination in India, with a fast growing economy, business-friendly policies, and strong infrastructure. The state accounts for 16% of India's industrial production while having only 5% of the country's population. Key sectors include petroleum, chemicals, engineering and food processing. Gujarat offers attractive incentives for investment including tax holidays, duty exemptions, and 21 special economic zones to drive industrial growth.
The document provides an overview of India's economic growth and business opportunities. It discusses how India has transformed from a mixed economy after independence in 1947 to becoming one of the fastest growing free market democracies today. Several statistics are presented showing India's strong GDP growth, increasing foreign investments and exports, and potential to become the third largest economy globally by 2032. Various Indian and international companies that have found success leveraging opportunities in India are highlighted.
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• Participation in global capital markets
• Global hub for IT services for financial services sector
• Global hub for BPO services for financial services sector
Foreign direct investment (FDI) plays an important role in the economic development of developing countries like India. While India received some FDI during the colonial period, inflows increased substantially after the economic reforms of 1991 that opened the country's economy. The document discusses the meaning and benefits of FDI for host countries. It outlines the objectives of studying FDI in India, including analyzing sectoral and state-wise inflows over time. FDI in India has grown significantly since reforms, from Rs. 409 crores in 1991-92 to over Rs. 1,45,518 crores in 2013-14, though there was some fluctuation in between. The liberalized policy environment in India has made it an attractive destination for
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In World Expo 2010 Shanghai – the most visited Expo in the World History
https://www.britannica.com/event/Expo-Shanghai-2010
China’s official organizer of the Expo, CCPIT (China Council for the Promotion of International Trade https://en.ccpit.org/) has chosen Dr. Alyce Su as the Cover Person with Cover Story, in the Expo’s official magazine distributed throughout the Expo, showcasing China’s New Generation of Leaders to the World.
13 Jun 24 ILC Retirement Income Summit - slides.pptxILC- UK
ILC's Retirement Income Summit was hosted by M&G and supported by Canada Life. The event brought together key policymakers, influencers and experts to help identify policy priorities for the next Government and ensure more of us have access to a decent income in retirement.
Contributors included:
Jo Blanden, Professor in Economics, University of Surrey
Clive Bolton, CEO, Life Insurance M&G Plc
Jim Boyd, CEO, Equity Release Council
Molly Broome, Economist, Resolution Foundation
Nida Broughton, Co-Director of Economic Policy, Behavioural Insights Team
Jonathan Cribb, Associate Director and Head of Retirement, Savings, and Ageing, Institute for Fiscal Studies
Joanna Elson CBE, Chief Executive Officer, Independent Age
Tom Evans, Managing Director of Retirement, Canada Life
Steve Groves, Chair, Key Retirement Group
Tish Hanifan, Founder and Joint Chair of the Society of Later life Advisers
Sue Lewis, ILC Trustee
Siobhan Lough, Senior Consultant, Hymans Robertson
Mick McAteer, Co-Director, The Financial Inclusion Centre
Stuart McDonald MBE, Head of Longevity and Democratic Insights, LCP
Anusha Mittal, Managing Director, Individual Life and Pensions, M&G Life
Shelley Morris, Senior Project Manager, Living Pension, Living Wage Foundation
Sarah O'Grady, Journalist
Will Sherlock, Head of External Relations, M&G Plc
Daniela Silcock, Head of Policy Research, Pensions Policy Institute
David Sinclair, Chief Executive, ILC
Jordi Skilbeck, Senior Policy Advisor, Pensions and Lifetime Savings Association
Rt Hon Sir Stephen Timms, former Chair, Work & Pensions Committee
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The Rise and Fall of Ponzi Schemes in America.pptxDiana Rose
Ponzi schemes, a notorious form of financial fraud, have plagued America’s investment landscape for decades. Named after Charles Ponzi, who orchestrated one of the most infamous schemes in the early 20th century, these fraudulent operations promise high returns with little or no risk, only to collapse and leave investors with significant losses. This article explores the nature of Ponzi schemes, notable cases in American history, their impact on victims, and measures to prevent falling prey to such scams.
Understanding Ponzi Schemes
A Ponzi scheme is an investment scam where returns are paid to earlier investors using the capital from newer investors, rather than from legitimate profit earned. The scheme relies on a constant influx of new investments to continue paying the promised returns. Eventually, when the flow of new money slows down or stops, the scheme collapses, leaving the majority of investors with substantial financial losses.
Historical Context: Charles Ponzi and His Legacy
Charles Ponzi is the namesake of this deceptive practice. In the 1920s, Ponzi promised investors in Boston a 50% return within 45 days or 100% return in 90 days through arbitrage of international reply coupons. Initially, he paid returns as promised, not from profits, but from the investments of new participants. When his scheme unraveled, it resulted in losses exceeding $20 million (equivalent to about $270 million today).
Notable American Ponzi Schemes
1. Bernie Madoff: Perhaps the most notorious Ponzi scheme in recent history, Bernie Madoff’s fraud involved $65 billion. Madoff, a well-respected figure in the financial industry, promised steady, high returns through a secretive investment strategy. His scheme lasted for decades before collapsing in 2008, devastating thousands of investors, including individuals, charities, and institutional clients.
2. Allen Stanford: Through his company, Stanford Financial Group, Allen Stanford orchestrated a $7 billion Ponzi scheme, luring investors with fraudulent certificates of deposit issued by his offshore bank. Stanford promised high returns and lavish lifestyle benefits to his investors, which ultimately led to a 110-year prison sentence for the financier in 2012.
3. Tom Petters: In a scheme that lasted more than a decade, Tom Petters ran a $3.65 billion Ponzi scheme, using his company, Petters Group Worldwide. He claimed to buy and sell consumer electronics, but in reality, he used new investments to pay off old debts and fund his extravagant lifestyle. Petters was convicted in 2009 and sentenced to 50 years in prison.
4. Eric Dalius and Saivian: Eric Dalius, a prominent figure behind Saivian, a cashback program promising high returns, is under scrutiny for allegedly orchestrating a Ponzi scheme. Saivian enticed investors with promises of up to 20% cash back on everyday purchases. However, investigations suggest that the returns were paid using new investments rather than legitimate profits. The collapse of Saivian l
A toxic combination of 15 years of low growth, and four decades of high inequality, has left Britain poorer and falling behind its peers. Productivity growth is weak and public investment is low, while wages today are no higher than they were before the financial crisis. Britain needs a new economic strategy to lift itself out of stagnation.
Scotland is in many ways a microcosm of this challenge. It has become a hub for creative industries, is home to several world-class universities and a thriving community of businesses – strengths that need to be harness and leveraged. But it also has high levels of deprivation, with homelessness reaching a record high and nearly half a million people living in very deep poverty last year. Scotland won’t be truly thriving unless it finds ways to ensure that all its inhabitants benefit from growth and investment. This is the central challenge facing policy makers both in Holyrood and Westminster.
What should a new national economic strategy for Scotland include? What would the pursuit of stronger economic growth mean for local, national and UK-wide policy makers? How will economic change affect the jobs we do, the places we live and the businesses we work for? And what are the prospects for cities like Glasgow, and nations like Scotland, in rising to these challenges?
An accounting information system (AIS) refers to tools and systems designed for the collection and display of accounting information so accountants and executives can make informed decisions.
1. INDIA
AN INTRODUCTION
PRESENTED BY THE TIMES OF INDIA GROUP
THINK INDIA THINK TIMES
INDIA
AS A MARKET
PRESENTED BY THE TIMES OF INDIA GROUP
THINK INDIA THINK TIMES
2. INDIA AS A MARKET
INTRODUCTION
India Map - 3
Basic facts - 4
A Brief History - 5
INDIAN ECONOMY – INDIA ECONOMICS - 6
Overview - 7
Economic Indicators – 8, 9
GDP Growth –India and Other Countries - 10
Trade & Commerce - 11
Foreign Direct Investment - 12
Capital Inflows - 13
Foreign Institutional Investors - 14
Indian Investment Abroad - 15
Major Overseas Acquisitions – 16,17
A Natural Business Choice - 18
Multinational Presence in India - 19
International Perceptions of India – 20, 21
India Rankings – Quick Facts – 22, 23, 24
CONSUMER INDIA - 25
India’s Most Obvious Opportunities - 26
Consumer Confidence Index - 27
Conundrum of India’s Middle Class - 28
Operating Market Environment – 29, 30, 31
Understanding the Indian Consumer - 32, 33, 34
Changing Behavioural Patterns - 35
The Very Rich/High Net-worth Individuals – 36, 37
MAJOR CITIES –38
The Power of New Delhi & Mumbai - 39
New Delhi - 40
Mumbai - 41
Ahmedabad - 42
Pune - 43
Bangalore - 44
Chennai - 45
Kolkata – 46
Hyderabad - 47
INDIAN INDUSTRY – 48
Automobile & Auto Components – 49, 50
Aviation – 51, 52
Oil & Gas – 53, 54, 55
Banking – 56, 57
Financial Services/Stock Markets - 58, 59
Information Technology – 60, 61
Telecommunication – 62, 63
Media & Entertainment – 64, 65
Pharmaceuticals – 66, 67
Real Estate – 68, 69, 70
Retail – 71, 72
Tourism – 73, 74, 75
Education – 76, 77
INDIA & OTHER POWERS - 78
India & the US – 79, 80
India & China – 81, 82
3.
4. 5,000 year old ancient civilization5,000 year old ancient civilization
325 languages spoken – 1,652 dialects325 languages spoken – 1,652 dialects
18 official languages18 official languages
29 states, 5 union territories29 states, 5 union territories
3.28 million sq. kilometers - Area3.28 million sq. kilometers - Area
7,516 kilometers - Coastline7,516 kilometers - Coastline
Parliamentary form of GovernmentParliamentary form of Government
Worlds largest democracy.Worlds largest democracy.
Worlds 4th largest economy.Worlds 4th largest economy.
World-class recognition in IT, bio-technology and space.World-class recognition in IT, bio-technology and space.
Largest English speaking nation in the world.Largest English speaking nation in the world.
33rdrd
largest standing army force, over 1.5Million strong.largest standing army force, over 1.5Million strong.
22ndnd
largest pool of scientists and engineers in the World.largest pool of scientists and engineers in the World.
INDIA – BASIC FACTS
THINK INDIA, THINK TIMES
5. Vedic Civilization
Indus & Saraswati Civilizations
Rise of Jainism and Buddhism
Mauryan Period
Golden Age of Indian Arts & Sciences
Muslim Invasions
The Mughal Empire
Portuguese Invasion
The British East-India Company
The British Empire
India's Freedom Struggle
Independence
Modern India 2020 Vision
A Brief History of Time
THINK INDIA, THINK TIMES
7. India's economy encompasses a wide range of modern industries
ranging from Iron & Steel, Petroleum, Automobiles, Aeronautical,
FMCG, IT, to a multitude of services such as Tourism, BPO, IT
Software, Agriculture and Handicrafts. India's international payments
position remained strong in 2006-07 with adequate foreign exchange
reserves. The rupee appreciated against the dollar resulting in a
stronger foreign exchange kitty. India reached a new landmark on April
25th
2007 when the rupee breached the Rs 41 level against the dollar.
This unprecedented acceleration in growth rate of per capita income
and gross domestic product is fuelled mainly by services and
manufacturing.
OVERVIEW
THINK INDIA, THINK TIMES
8. Population 1.124 billion
GDP at market prices (2006-07) US $ 1.01 trillion
GDP at PPP US $ 4.16 trillion
Per Capita Income (2006-07) US $ 1000
GDP per capita growth % (2006 - 07) 9.4 %
Inflation on wholesale prices % (2007) 4.8 %
Exports 2007 (Feb - YTD) US$ 78 Bn
Imports 2007 (Feb - YTD) US$ 115 Bn
Foreign exchange reserves (April 2007) US$ 200 Bn
Current account balance (Feb 2007) US$ 11.8 Bn
Capital account balance (Feb 2007) US$ 19.3 Bn
FDI Infows into India US$ 19 billion
Stock Market Capitalisation US$ 1 Trillion
Economic Indicators
THINK INDIA, THINK TIMES
Source : The Economic Times Intelligence Group.
9. Sector-wise Growth
Agricultural growth 2007(Feb - YTD) 2.5 %
Industry growth 10 %
Services growth 10.7 %
Distribution of gross domestic product (2005-06)
Agriculture, Forestry, hunting & fisheries 18.5 %
Industry 26.4 %
Services 55.1 %
Source : Statistical Outline Of India 2006/07.The Economic Times/ The Times of India.
Economic Indicators
THINK INDIA, THINK TIMES
10. Japan - 6.1
Germany 3.7
UK - 3.1
France - 2.8
Italy - 2.6
Russia - 2.6
Brazil - 2.5
Spain - 1.8
Canada - 1.7
S Korea - 1.7
Mexico - 1.7
Turkey - 1.0
China - 15.8
US - 19.3
India - 6.4
Indonesia - 1.4
Australia - 1.0
Iran - 0.9Taiwan - 1.0
Thailand - 0.9
US - 19.3 China - 15.8 India - 6.4 Japan - 6.1 Germany 3.7 UK - 3.1 France - 2.8
Italy - 2.6 Russia - 2.6 Brazil - 2.5 Spain - 1.8 Canada - 1.7 S Korea - 1.7 Mexico - 1.7
Indonesia - 1.4 Taiwan - 1.0 Australia - 1.0 Turkey - 1.0 Iran - 0.9 Thailand - 0.9
SHARE OF WORLD GDP
Source : World Economic Outlook, IMF 2007
11. Source : CIA – The World Factbook
GDP Growth – India and other countries
Source : CIA – The World Factbook
THINK INDIA, THINK TIMES
Country GDP (PPP) ($ trillion) 2007 GDP (PPP) ($ trillion) 2006 Percentage Growth
1 US 13.54 12.95 4.5
2 China 11.6 10.14 14.4 (HIGHEST GROWTH)
3 India 4.72 4.23 11.6 (2ND
HIGHEST GROWTH)
4 Japan 4.34 4.15 4.6
5 Germany 2.71 2.58 5.1
6 UK 2.27 2.14 5.7
7 France 2.04 1.95 4.5
8 Italy 1.88 1.80 4.4
9 Russia 1.90 1.73 9.8
10 Brazil 1.72 1.5 0.22
11 Spain 1.31 1.23 6.3
12 Canada 1.21 1.15 5.2
13 S Korea 1.25 1.16 7.5
14 Mexico 1.24 1.18 5.6
15 Indonesia 1.05 0.96 8.9
16 Australia 0.73 0.68 7.1
12. India has been rapidly increasing her share in world trade — from 1.1 per
cent in 2004 to 1.5 per cent in 2006 in the total world trade. While India’s
share increased from 0.9 per cent to 1.2 per cent in merchandise trade, its
share in world services trade recorded even higher growth from 2 per cent
to 2.7per cent.
In fact, India’s global economic engagement in 2006, covering both
merchandise and services trade, was worth US$ 437 billion, up by a record
72 per cent from a level of US$ 253 billion in 2004.
Merchandise exports of the country nearly-doubled to US$ 124.6 billion in the year ending March 2007, from
US$ 63.84 billion three years ago representing an annual compounded growth of 25 per cent compared to 12.73
per cent in the previous three years.
In 2006-07, software and services exports grew by 33 per cent to register a revenue of US$ 31.4 billion. Within
exports, IT services grew by 35.5 per cent, ITeS/BPO exports grew by 33.5 per cent and engineering services
and products grew by 23 per cent.
Biotechnology exports increased by a massive 47 per cent to US$ 1.22 billion during 2006-07.
Engineering goods exports increased by a robust rate of 36.6 per cent to touch US$ 23.468 billion.
Automobile exports grew by an impressive rate of 25.43 per cent, exporting 10.11 million vehicles.
Trade and Commerce
THINK INDIA, THINK TIMES
13. Foreign Direct Investment
India continues to be the best place to start a business, says a global
services location index by AT Kearney. In another AT Kearney study, India
has displaced the US to become the second-most favoured destination for
foreign direct investment after China. It has now been named as the top
reformer in South Asia in the annual Doing Business Report issued by the
International Finance Corporation (IFC).
FDI inflows in 2005-06 : US$ 5.5 billion
FDI inflows in 2006-07 : US$ 15.7 billion
Economic Survey 2006-07 says: There was a strong growth in Foreign Direct
Investment (FDI) flows with three quarters of such flows in the form of equity.
Capital flows into India remained strong on an overall basis even after gross
outflows under FDI with domestic corporates seeking global presence to
harness scale, technology and market access advantages through
acquisitions overseas.
THINK INDIA, THINK TIMES
14. According to the World Bank, India cornered a major portion of US$
40.1 billion net capital inflows to South Asia in 2006. India has
overtaken the East Asian Tigers — Thailand, Malaysia, Indonesia, the
Philippines, Taiwan and South Korea.
The principal sources of FDI between 1991 and March 2007 :
Mauritius, US, UK, The Netherlands, Japan, Germany and Singapore.
The principal sectors attracting FDI during this period have been
electrical equipment, services, telecommunications, transportation,
fuels, chemicals and construction (in that order).
Capital Inflows
THINK INDIA, THINK TIMES
15. Foreign Institutional Investors
The number of foreign institutional investors (FIIs) registered with the Securities and
Exchange Board of India (Sebi) has now increased to 1,042 in June 2007. In the
beginning of calendar year 2006, the figure was 813.
As many as 217 new FIIs opened their offices in India during 2006. This is the
highest number of registrations by FIIs in a year till date. The previous highest was
209 in 2005.
Till September 2007, FIIs had pumped in a hefty US$ 11 billion in equities. Last
year, during the same period, the FIIs' exposure to Indian equities was US$ 7.9
billion.
The gross FII investments in the country till June from the time they were allowed to
invest in the India equity markets stands at US$ 53.06 billion.
FIIs have raised their holding in 540 companies out of top 1,000 companies on the
Bombay Stock Exchange (BSE) during September-March (2006-07) period.
Companies that have gained favour with foreign investors are mostly from
construction, banking and second-line IT companies among others.
THINK INDIA, THINK TIMES
16. Indian Investments Abroad
2006 will be remembered in India's corporate history as a year when Indian
companies acquired a number of strategically significant companies across the
globe .
Indian outbound deals, which were valued at US$ 0.7 billion in 2000-01,
increased to US$ 4.3 billion in 2005, and further crossed US$ 15 billion-mark
in 2006.
The total outbound cross border deals between Jan and May 2007 have been 102
with a value of US$ 28.19 billion.
The sectors attracting investments by Corporate India include metals,
pharmaceuticals, industrial goods, automotive components, beverages, cosmetics
and energy in manufacturing; and mobile communications, software and financial
services in services, with pharmaceuticals, IT and energy being the prominent ones
among these.
THINK INDIA, THINK TIMES
17. SHOPPER COUNTRY/TARGET TIME COST $ million
IT/Software/BPO
Megasoft USA’s VisualSoft Technology Oct-06 40
Saksoft UK’s Acuma Oct-06 17
Wipro Singapore’s Unza July-07 246
Healthcare/Pharma
Dr.Reddy’s Germany’s Betapharm Arzneimittel Feb-06 570.3
Dr.Reddy’s Mexico’s API Business of Roche Nov-05 59
Ranbaxy Labs Romania’s Terapia SA Mar-06 324
Metals and Mining
Tata Steel UK’s Corus Oct-06 800
Essar Steel UK’s 2 Steel mills Feb-07 100.4
Hindalco Novelis Inc Oct-05 600
Ispat Industries Bulgaria’s Finmetal Holdings Aug-05 300
Major Overseas Acquisitions
THINK INDIA, THINK TIMES
18. SHOPPER COUNTRY/TARGET TIME
COST $
million
Oil, Gas & Energy
ONGC Videsh (OVL) (Brazilian oil fields) Shell Corp Apr-06 1,400
HPCL Kenya Petroleum Refinery Ltd Sept - 05 500
Suzlon Energy Belgium’s Hansen Transmissions Mar-06 565
HPCL Kenya Petroleum Refinery Ltd Sept - 05 500
FMCG Sector
Tata Tea USA’s Energy Brand Inc Aug-06 677
Tata Coffee USA’ Eight O’Clock June-06 220
BILT Malaysia’s Sabah Pulp & paper facility June-06 209
Apeejay International UK’s Premier Foods Plc Oct-05 140.5
Chemical/Fertilisers
Tata Chemicals UK’s Brunner Mond Group Plc Nov-05 111.2
Tata Chemicals Morocco’s Indo Maroc Phosphore SA Mar-05 38.0
United Phosphorus USA’s AG value Inc. Nov-04 35.8
GHCL Romania’s SC Bega Upsom Dec-05 19.5
Major Overseas Acquisitions
Sources: Reports of FICCI, PVC, IBEF, MAPE Advisory Group THINK INDIA, THINK TIMES
19. A Natural Business Choice
World's 4th largest economy in terms of purchasing power parity, behind
only the US, China, Japan.
Fastest growing economy among world's democracies with an annual
growth rate of 9.2%.
India is the worlds third most investment destination, second only to US
and China.
Indians ranks first among the countries with highest consumer confidence.
Largest English speaking nation in the world.
World's 2nd most competent pool of senior managers.
World’s largest source of engineers.
In the World Competitive yearbook for 2004, India jumped a massive 16
ranks, and stands on the 34th
position.
Source: AC Nielsen survey/The Economic Times.
THINK INDIA, THINK TIMES
20. Automobiles
Toyota
Mercedez Benz
Daewoo
Ford Motors
General Motors
Honda
Rover
Consumer Softs
Coca Cola
Kellogg
McDonalds
Pepsi
Multinationals and their presence in India
Finance
Cargill
Morgan Stanley
Merill Lynch
Software
Microsoft
Oracle
Unisys
Intel
Computers
Apple
Hewlett Packard
IBM
Services
Arthur Anderson
Price Waterhouse Coopers
McKinsey
Morgan Stanley
Electronics
ACER
Fujitsu
Watches and Jewellery
Rosy Blue
Gold Souk
Fort Knox
THINK INDIA, THINK TIMES
21. International perceptions of India
“India's highly educated workforce, management talent, rule of law, transparency, cultural affinity and
regulator environment are more favourable than China's.”
A T Kearney FDI index report
India is an interesting combination, world-class talent that can speak English and a strong technological
expertise.
Tony Wright, Chairman, Lowe Worldwide
"The courageous reforms have led to enormous economic growth in India.With a growth rate of over eight
percent, India ranks at the top even in this very difficult period globally."
Gerhard Schroeder Ex -Chancellor Germany
"The economic dominance of the US is already over. What is emerging is a world economy. India is
becoming a powerhouse very fast."
Peter Drucker Management Guru
"India's success rate vis-a -vis Britain's in the entrepreneurial scenario is a lot higher. I'm going to go back
and work towards this"
HRH Prince Charles during his recent visit to India
Our relations with India are stronger than ever, bilateral trade is improving, an increasing number of Indian
students are coming to the UK.
Gordon Brown, Prime Minister of Britain
THINK INDIA, THINK TIMES
22. What's struck me is the energy and restless ambition in India. You can actually, tangibly feel the
drive...
Peter Knapp, Executive Creative Director Landor Associates
India is light years ahead in terms of the market potential and the potential for the company (Boeing)
to come together as an enterprise and grow.
Q.R. Thomas, President Boeing India
Like people study political science, culture, public health, economics, law and medicine, students in
Harvard will now study India as a subject."
Lawrence Summers, President, Harvard University
"With the Indian economy showing 8-9 per cent growth over the years, more and more Japanese
investors are becoming keen to invest in this emerging market."
Yoshihiro Hasegawa, Chief Representative Daiwa Securities SMBC Co Ltd
International perceptions of India
THINK INDIA, THINK TIMES
23. India Rankings
– Quick Facts
India continues to be the best place to start a business, says a global services
location index by AT Kearney.
India has displaced US as the second-most favoured destination for foreign direct investment
(FDI) in the world after China according to an AT Kearney's FDI Confidence Index.
Poised at a phenomenal growth of 500 per cent, the Indian Insurance industry
is expected to reach US$ 60 billion in the next four years.
Total premium of the general insurance industry grew 16.48 per cent in 2005-06 to US$ 4.4
billion from US$ 3.78 billion a year earlier.
India adds about five million telephone subscribers every month. The total
number of subscribers is expected to reach 250 million by the end of 2007.
India has one of the largest road networks in the world, aggregating 3.34 million kilometers. It
comprises 66,590 km of National Highways, 1,28,000 km of State Highways, 4,70,000 km of
Major District Roads and about 26,50,000 km of other District and Rural Roads.
THINK INDIA, THINK TIMES
24. Indian roads carry about 70 per cent of the freight and 85 per cent of the passenger traffic.
Indian ports handled cargo of around 570 million tonnes in 2005-06.
In 2005-06, the passenger traffic rose by 25-30 per cent and is expected to grow by 25 per cent year-
on-year over the next five years. While international and domestic air traffic grew by 35 per cent, cargo
witnessed a 12 per cent growth.
India is the Sixth largest crude consumer in the world.
India is the Ninth largest crude importer in the world.
India has the sixth largest refining capacity - 2.56 million barrels per day representing
2.99 per cent of world capacity.
Estimated to be a US$ 350 billion industry, the Indian retail sector is growing at a three-year CAGR of
46.64 per cent.
The travel and tourism sector in India is expected to generate a total demand of US$
53,544.5 million of economic activity in 2006, accounting for nearly 5.3 per cent of GDP
and 5.4 per cent of total employment.
India Rankings
– Quick Facts
THINK INDIA, THINK TIMES
25. India Rankings
Industry – Quick Facts
International Iron and Steel Institute (IISI) has ranked India as the seventh largest steel producer in the
world with an overall production of about 40 million tonnes in 2006.
India exports US$ 6 billion worth of garments.
India's gems and jewellery sector contributed to about 15 per cent of India's total merchandise exports
during 2005-06.
India is the largest consumer of gold jewellery in the world and accounts for about 20 per cent of
world consumption.
India is the largest diamond cutting and polishing centre in the world.
India is the second largest producer of rice and wheat in the world; one of the largest producers
of sugar, sugarcane, peanuts, jute, tea and an assortment of spices.
The Indian pharmaceutical industry, consistently growing at 9.5 per cent in the last 5 years, could zip at 13.6 per
cent between 2006 and 2010 and reach a market size of US$ 9.48 billion by 2010 from its present level of about US$
5.7 billion.
Healthcare delivery is one of the largest service-sector industries in India. The country will spend
US$ 45.76 billion on healthcare in the next five years.
The Indian IT-ITeS industry has recorded revenues of US$ 23.6 billion in FY 2005-06.
THINK INDIA, THINK TIMES
27. India’s Most Obvious Opportunities
The world's largest working population – 402.2 million, make up 36% of the total
population of 1124 million.
Of which:
Rural - 310.0 million
Urban – 92.2 million
India is currently the 12th
largest consumer market in the world.
By 2025, India will grow into the fifth largest consumer market in the world
ahead of countries like Germany and Italy, if she sustains and accelerates
economic growth.
Aggregate consumption in India is expected to grow four-fold in real terms
during the period, 2006-2025 to touch US$ 1.73 trillion from US$ 420.7 billion.
Also, by then, the middle class will have grown almost 12 times, from 50 million
in 2006 to 583 million in 2025. Over 23 million Indians—more than the population
of Australia—will number among the country’s wealthiest citizens.
Source: Statistical Outline of India and “Bird of Gold” study by the McKinsey Global Institute (MGI)
THINK INDIA, THINK TIMES
28. 116 114 113 111 111 107 104
80
71
56
98
105
118
111
75
68
50
96105
117
120
137
103
106
92
117118117120
135
0
20
40
60
80
100
120
140
160
India
NewZealand
Australia
Vietnam
Malaysia
Indonesia
Hongkong
Spore
Thailand
China
Philippines
Taiwan
Japan
Korea
AsiaPacific
2 H 2006
1 H 2007
Consumer Confidence Index
Asia Pacific 2006-07
The ACNielsen Consumer Confidence and Opinions Survey for the second half of 2006 and
the first half of 2007 shows India in the lead of both the 41-nation global survey as well as the 14-
country Asia-Pacific study. Though there is a 2 per cent drop in India’s consumer confidence index
too, at 135 the country still leads the rest of the world for the fifth time in a row.
THINK INDIA, THINK TIMES
29. Conundrum of India’s Middle Class
13
26
43
62
87
74
57
38
0
20
40
60
80
100
Upto 2000 Rs. 2001-4000 Rs. 4001-6000 Rs.6001+
Urban
Rural
Figures in percentage
Classification on Consumption
NCAER tracks an amazing expansion in the top end of this consumption diamond, particularly in segments classified as
' the very rich' and ' the consuming class'.
Together the collective share of the two highest spending segments is projected to rise from 18% in 95 - 96 to 49%, nearly half the
population, in 2006-07.
The destitute and aspirants range on the other hand will shrink significantly.
The climbers & the consuming class will grow fastest - the middle class will speedily expand enough to excite marketers over the next
decade.
Of the 32.5 million households in the consuming class, approximately 50% are urban.
Affluent: Houses with Car / Jeep
Well Off: Houses with any or all of these: air conditioners, scooters, motorcycle, washing machine, and refrigerator
Source: NCAER Indian Market Demographics 2002-03
Urban-Rural Divide by Household Income
THINK INDIA, THINK TIMES
33. Understanding the Indian Consumer
Important changes have taken place in the life and attitudes of Indian consumers:
Income growth
Affordability growth
The ‘Liberalization’ children grow up
Rural India looks beyond agriculture
The rise of the self employed-“I can”
The rise of women saying “I can and I will” and emerging as partners in family progress
Education and health driven society
Pragmatism in consumption and preference for “real value” products and services
The demand for ‘Entertainment’ has risen
Consumers are comfortable with borrowing to fund future consumption
Comfort with consumption – necessities and luxuries
Comfort with technology
Enough of a consumption base now exists to create a springboard for more consumption.
The Great Indian Consuming Class has arrived and is waiting to be served.
In 2006-07, the consuming class will be about 60 million households, or 300 million consumers.
According to an AC Nielsen Study, consumers in India are the world’s most optimistic about their economy.
India ranks highest on consumer optimism and consumer confidence.
THINK INDIA, THINK TIMES
34. Youth – India’s teen markets
Youth is no longer a way station between being a dependent of the family and
creating one of your own. It is a potent economic and cultural force.
There is a large enough mass of people who have no memory of pre-liberalization India.
They have the benefit of financially secure parents and are the first generation to grow up in abundance and
prosperity.
Though old habits die hard (especially middle class ones) this generation will change many rules of the game.
They will make choices based on instincts other than survival - because the survival is more or less assured.
The 15-19 year age group is showing above average growth in Urban and Rural Areas.
Population in the young age group 0 to 14 years is 65 %.
12 per cent teens work full time/part time jobs
Boys earn Rs.2235 as compared to Rs.1264 for girls..
72 % teens get pocket money at a total level, the average pocket money being Rs 244.
Today brand identification is a major factor motivating youngsters to buy products.
THINK INDIA, THINK TIMES
35. A study by Research International - “The Millennium Woman” classifies Indian
women into four segments:
The well wired: Young, mostly unmarried, affluent, heavily into eating out, reading, exercising,
shopping and body care, with access to print, internet & mobile. Based in western cities and larger
towns all over India.
The serial mom: Older and less affluent than the well-wired segment. Eat out frequently. Read
the vernacular press. Have a lot of free time on hand. Essentially based in the South, to some
extent in the West
Golden oldies: Nearly all married women, do not eat out much, mostly based in the smaller
towns. High cinema visiting frequency. Heavy radio listenership. Low on the time spent on TV
viewing. Low print medium usage. Traditional in outlook.
Essentially based in the North, to some extent in the East.
Devoted caretakers: Oldest and least affluent segment. Mostly married. Read vernacular
print medium. High on TV viewing, low on cinema. Essentially in the South, to some extent also in
the East and West. Concentrated more in the smaller towns
The Indian Woman
THINK INDIA, THINK TIMES
36. Changing Behavioural Patterns
A fast life today – longer working hours, need for more money
Lack of time – for society, family, etc
Growing individualism, growing distance between people
On the positive side, a more exciting life, richer with information and experiences – specially exciting for women
On the negative side, more selfishness and more health problems
Technology had undoubtedly created a wow effect More facilities:telecom, services, entertainment, conveniences,
comforts – making life easier
Loan facilities make it easier to access these
People were changing, all of them, in one way or another
Families independent – and alone; growing individualism
Children growing up more aware, smarter, not shy
Women more independent – mentioned happily by women, somewhat defensively by men
Changes on the work front, caused optimism as well as tension
Job opportunities for young men and women are available mainly in metros.
Increased competition leading to an attitude of each man for himself
Source: The Economic Intelligence Group
THINK INDIA, THINK TIMES
37. The Very Rich
There were 70,000 millionaires in India in 2004. By the year 2010 there will be over 1,40,000
millionaires in the country.
25 new Crorepatties (those earning 10 million rupees) are created in India ever day on an average, according to
Merrill Lynch. (1crore = 10 million)
300 Indian –Americans have a personal worth of more than $ 5 million each.
2million Indian’s earned over Rs 10 lakh a year in 1995-96. By 2010, about 17 million will be earning that much.
According to a study by National Council of Applied Economic Research (NCAER), the number of households with
an annual income upwards of Rs 10 million (US $228,351) has grown by 26 per cent in the period since 1995-96 to
almost touch 20,000 in 2001-02.
By 2005-06, it will go up by more than two-and-a-half times and by the end of the decade it will cross 1,40,000.
In the Rs 5 million (US $114,180) to Rs 1o million (US $228,351) bracket, the number of households is expected to
increase from 40,000 in 2001-02 to over 100,000 in 2005-06 and further to 250,000 by the end of the decade.
Those who earn over Rs 1 million (US $22,830) a year will grow from 0.2 per cent to 1.7 per cent. And the middle
class will rise from 2.8 to as much as 12.8 per cent.
The upper income classes are rising faster than the lower-income ones and the lowest income units (with an annual
household income below Rs 90,000 (US $ 2055) are shrinking.
Source : Merrill Lynch / NCAER 2002
THINK INDIA, THINK TIMES
38. Another class of consumers is on the rise in India: high net worth individuals (HNI). With the HNI
population increasingly spending within the country, the market for luxury goods is estimated to touch
US$ 452 million in coming years.
Indian pay hikes in 2006 will be the world’s second highest.
A study by HR firm Mercer Human Resources Consulting says pay rises in India are going to be the world’s
second highest in 2006.
Another global HR consulting firm Hewitt Associates, projected that Indian workers would take home increases of about
14% as against 8.1 % in China. The increases in pay hikes in India will come mainly in Services, IT rather than from the
manufacturing sector.
Projected pay hikes in percentage
Reserve Bank Of India allows Indians to spend more overseas
Latest RBI regulations permit Indians to remit up to US$ 100,000 overseas in a current or a capital account.
Indian citizens can now invest overseas, or spend on travel, education, property, etc.
Egypt 12
India 11.3
Indonesia 11.3
China 7.8
USA 3.6
High Net Worth Individuals
THINK INDIA, THINK TIMES
40. North North-West Skew
Power of Mumbai and New Delhi
Development remains geographically skewed, as Mumbai & Delhi account for :
Over 28 million people - almost equal to Canada's population.
60% of all domestic traffic.
70% of Indian travelers abroad.
At number 7, the Mumbai-Delhi air corridor is among the world’s 10 busiest domestic routes.- UK
based Official Airline Guide.
55% of India's metro population of Sec A1+ is found in Bombay & Delhi.
Roughly half the country’s “super rich” families, which have an annual income of over 10 millions, live
in Mumbai and Delhi.
Mumbai Delhi & Bangalore are three urban cities that are among the 24 Rising Urban Global Stars.
THINK INDIA, THINK TIMES
41. New Delhi- Seat of Power
Population of New Delhi is 12,791,000.
Literacy rate – 82.1%
Delhi is the richest city as Delhi has 15% more crorepattis (people earning more than $10
millions) than Mumbai.
We can also say that 1 in 500 households has an annual household income of over Rs.10
million, the figure is 1 in 800 household for Mumbai.
Delhi’s average household income is 43% more than Mumbai.
But Mumbai has a huge middle class earning below 90,000. (Mumbai -0.8 million household
while Delhi is only 0.2 mn household.)
Per Capita Income at Rs 27,000 approximately is twice the national average.
40% of all cell phone owners in metros live in Delhi
25% of all home PC owners reside in Delhi
Total no. of Cars, Jeeps: 706,000
Delhi ranks second in the list of Income Tax contributor at (US$mn) : 384
Turnover on Stock exchanges (US$ mn) : 20,280
There are 5,085 households in Delhi whose earning is more than 10 million.
THINK INDIA, THINK TIMES
42. Mumbai
Mumbai (formerly Bombay) - total population is 18,000,000.
83% of the entire population (16 millions) are literate.
Mumbai generates 38% of India’s GDP.
Per capita Income is over 3 times that of the rest of India.
Market Cap of over US$ 68.32 billion.
In a year, Mumbai clears over 170m cheques with a realization of US$ 1,594 billion
Over 68% of Mumbai’s work force is in the service sector which accounts for over 64% of the total
income generated in the state.
Mumbai has 75% of the foreign collaborations with foreign equity and an FDI base of over US$ 1,635
million.
Nearly 80% of all the mutual funds in India are registered in Mumbai.
21% of the national credit disbursement is done in Mumbai.
Mumbai is the highest contributor to the government direct tax.
Mumbai city pays 40% of India’s taxes.
According to the CBRE survey, called Global Market Rents, has ranked Mumbai as the world's 15th
most expensive place. THINK INDIA, THINK TIMES
43. Ahmedabad is the largest inland industrial center and the second largest industrial center in
western India after Mumbai.
The textile industry, the mainstay of Ahmedabad since 1861, gave Ahmedabad the title of
“Manchester of India”.
The textile industry saw a major revival again due to the First World War and the Swadeshi movement
led by Mahatma Gandhi during the independence movement. Arvind Mills is one of the largest textile
mills in the country.
Ahmedabad also has a thriving chemicals and pharmaceuticals industry. Two of the biggest
pharmaceutical companies of India - Zydus Cadila and Torrent Pharmaceuticals are located in the city.
The city also serves as the corporate headquarters of the Adani Group which is a leading trading and
export company of India. The Nirma group of industries running a large number of detergent and
chemical industrial units in Gujarat, also has it's corporate headquarters in the city.
The last few years has seen the rise of the Information Technology industry in Ahmedabad. A
Nasscom survey in 2002 on the ‘Super Nine Indian Destinations’ for IT-enabled services (ITES) had
ranked Ahmedabad fifth among the top nine most competitive cities in the country.
Real estate prices in the city are also booming due to the entry of large retail stores and because of
the Sabarmati Riverfront Development Project.
Ahmedabad
THINK INDIA, THINK TIMES
44. Pune
With population of 4 million approximately, Pune ranks among the top 5 cities of India.
Literacy Rate – 87%.
It is major hub for the Automobile Industry.
The emerging IT hub of India.
Pune is considered as the “Oxford of The East”. as it has the maximum number of higher
educational institutes.
Pune is also known as the “Cultural Capital of Maharashtra”.
It is the 7th Industrial Metro of India.
Pune’s closeness to Mumbai, India’s financial capital is one of the important factor that has led to
her prosperity.
Pune has 16,000 millionaires. I.e. People with a taxable income of over Rs 10 lakhs.
Pune now has 15 per cent of the total High Net Worth Individuals in India.
THINK INDIA, THINK TIMES
45. Bangalore
Bangalore’s population is 5,687,000.
Literacy rate – 85%.
Brand name " Bangalore” sells globally.
It’s India’s fourth largest and fastest growing market.
Per capita income of US$ 6460 is the highest for any Indian city.
Bangalore rated No 1. by the students and No 2. by professionals as their most preferred city to live and work
in. ( Business India Survey )
Multinationals open shop in Bangalore every month. No 1 city in India to live in.
“Second Silicon Valley", Bangalore accounts for 35 % of India’ s software exports.
Bangalore is HQ to several several heavy industries such as Hindustan Aeronautics, National Aerospace Lab.
Bharat Heavy Electricals, and Hindustan Machine tools.
The International Aircraft exhibition – The Aero India show is held here.
12 of 16 companies with SEI CMM level 5 certification in India located in Bangalore.
SAP labs in Bangalore to be the biggest in Asia.
Private companies also establishing R & D centers eg. John F Welch Technology Center. Manhattan
Associates , ABB’s global R & D center.
Bangalore accounts for 47% or 127 of the approximately 265 biotech companies in India.
Source: Economic Times Intelligence Group THINK INDIA, THINK TIMES
46. With an estimated population of 7.06 million Chennai, formerly known as Madras,
is the fourth largest metropolitan city in India. The city was established in the 17th
century by the British, who developed it into a major urban center and naval base.
Chennai is the third largest commercial and industrial centre in India. She has a diversified economic
base.
Chennai has been rated as the most attractive Indian city for offshoring services according to A T
Kearney's Indian City Services Attractiveness Index 2005.
The city is now the second largest exporter of IT and IT enabled services in the country behind Bangalore.
More recently, Chennai has emerged as an electronic manufacturing hub with multinational corporations
like Dell, Nokia, Motorola, Cisco, Samsung, Siemens, Sony-Ericsson, Flextronics and Foxconn setting up
electronics and hardware manufacturing plants.
Chennai has a market share of around 30% of India's automobile industry[
and 35% of its auto
components industry.
Other major manufacturing facilities range from small scale manufacturing to large scale heavy industrial
manufacturing, petrochemicals and auto ancillary plants.
Chennai is also a textile industry hub and an important centre for banking and finance.
Chennai was recently rated as having the highest quality of life among Indian cities ahead of the other
three metros and Bangalore, based on the "Location Ranking Survey" conducted by ECA International.
Chennai
THINK INDIA, THINK TIMES
47. Kolkata
Kolkata, previously called Calcutta, ranks as the 11th most happening city, according to the CIIs ranking of 36
Indian cities.
Population – 13,217,000
Literacy – 83%
In the Nasscom Ranking in ITES / BPO Super 9 Study, Kolkata ranks– Fourth.
In a study by the Gartner Group, Kolkata ranked 1 in power availability.
Several MNC & large companies like Cognizant Technology Solutions, Schlumberger Sema, Tata
Consultancy Services, Pricewaterhouse Coopers / IBM, Siemens & Wipro IT Center (coming up)
Banking & Insurance Center: 15 foreign & national banks have offices here and West Bengal has 4500
branches of various banks. The Mint is also located here.
Kolkata is also one of the largest insurance centers in the country and home to 29% of the Life Insurance
Corporation’s agents.
Port City: Kolkata has one of India’s largest ports in terms of volume.
180 households per million household have a income of more than Rs 10 million.
Source: The Economic Intelligence Group/ India Brand Equity Foundation/ Source: NCAER 2004
THINK INDIA, THINK TIMES
48. Hyderabad
5th
Largest Cosmopolitan City in India. Considered a mini-metro.
Population of 6.5m with 29% growth over last census (1991).
Hyderabad - a ‘Mecca’ for IT companies (Infosys) and IT aspirants.
MNCs like Google, Microsoft, IBM, Oracle, Genpact etc. have set up shop.
Hyderabad is home to Internationally known research centres CCMB, CDFD, ICRISAT, NIN, SHANTHA
BIOTECHNIC, Dr. Reddy’s Laboratories etc.
Booming Real estate.
Influx of immigrants on the rise, thus dictating the change in consumerism.
The mushrooming of malls is indicative of the skew of consumerism .
2008 will see the launch of a separate International airport.
The emphasis is on Education. There are 8 Universities, more than 200 Engineering Colleges. Harvard has
set up shop and executive education will commence from 2008.
Premier institutes like NARAYANA, ASCI, CHAITANYA and T.I.M.E.; IFCAI and ISB have a presence here.
50. Automobiles
The Indian auto industry has grown at an impressive 16.82 per cent over the last year with total sales of
vehicles reaching around 10 million vehicles till November 2006 as against 8.5 million in 2005.
Spurred by a huge demand from the market, the increase in production is set to improve further driven by a
buoyant economy, with increasing purchasing power, new product launches and attractive finance schemes
from auto manufacturers and banks.
Exports for the fiscal year stood at 39,295 units.
Passenger car sales have shown increasing rate of growth at the start of the new fiscal year. For example,
Maruti, Honda and General Motors, which account for 60 per cent of the market, jumped 16 per cent in April,
2007 over the same month last year.
The number of rural households possessing cars or jeeps has grown four times between 1993-94 and
2004-05, according to the 61st survey conducted by the National Sample Survey Organisation (NSSO).
In urban areas, households possessing cars or jeeps have gone up from 1.2 per cent in 1993-94 to 4.6 per
cent in 2004-05. Similarly, motorcycle or scooter owners have increased from 11.6 per cent to 26.0 per cent.
THINK INDIA, THINK TIMES
51. Auto Components
The Indian auto component industry is likely to almost double to US$ 18.7 billion by 2009 and reach
about US$ 40 billion by 2014.
Its globally competitive auto component manufacturing sector has been much in demand with global auto
majors.
A number of them source critical components from India, with engine parts making up nearly a third of all
exports:
- Engine parts (31 per cent)
- Drive transmission and steering parts (19 per cent)
- Body and chassis (12 per cent)
- Suspension and braking parts (12 per cent)
- Equipment (10 per cent)
- Electrical parts (9 per cent)
- Others (7 per cent)
THINK INDIA, THINK TIMES
52. Aviation
Revolutionised by liberalisation, the aviation sector in India has been marked by fast-paced change in the past
few years.
From being a service that few could afford, the sector has now graduated to being a fiercely competitive industry
with the presence of a number of private and public airlines and several consumer-oriented offerings.
The promise and the potential of the Indian aviation market are awesome. Over 135 aircraft have been added in
the last two years alone.
By 2010, India's fleet strength will stand at 500-550.
During the period April-September, 2006:
- international passengers recorded growth of 15.8 per cent.
- domestic passengers recorded growth 44.6 per cent.
- overall growth was 35.5 per cent.
During the same period, international and domestic cargo recorded growth of 13.8 per cent and 8.7 per cent,
respectively, resulting in an overall growth of 12.0 per cent.
India is the second largest aviation industry of the world. The Indian fleet, has expanded from 170
aircraft in May 2005, to 312 units presently.
This number will rise to just under 370 by the end of the year. The Centre estimates that India’s fleet will reach
approximately 500-550 aircraft by the end of 2010.
THINK INDIA, THINK TIMES
53. The number of flights has virtually doubled from 6,800 in May 2001 to 13,200 in May 2007.
In fact, India is in third place in the Top 10 list of countries with the highest number of additional flights in May
this year, behind only China and the US.
India's civil aviation passenger growth, at 20 per cent, is among the highest in the world. The sector is
slated to cruise far ahead of other Asian giants like China or even strong economies like France and Australia.
The number of passengers who will be airborne by 2020 is a whopping 400 million.
Between April and September 2006, however, amid a flurry of new entrants to the sector, domestic traffic growth
accelerated to more than 45 per cent.
The Centre for Asia Pacific Aviation (CAPA) predicts that domestic traffic will grow at 25 per cent to 30 per cent
a year until 2010 and international traffic growth by 15 per cent, taking the overall market to more than 100 million
passengers by the end of the decade.
As pointed out by Minister of Civil Aviation, Praful Patel, presently, the number of air travellers is about 0.8 per
cent of the population. By the time even 10 per cent of the population begins to fly, India will need about 5,000
aircraft.
Aviation
THINK INDIA, THINK TIMES
54. Oil and Gas
Estimated to be a US$ 110 billion industry, the Indian oil and gas industry is among
the largest contributors to the central and state exchequers in India. Its share
approximates US$ 13.58 billion. Most of the country's 19 refineries, barring two, with a
capacity to process about 160 million tonnes per year are run by state-run companies.
Recent finds are making oil majors take notice of the potential in prospective basins.
The size of the Indian Oil and Gas Industry is estimated at US$ 110 billion (about 15 per cent of Indian GDP).
Contributes to about 64 per cent of gross revenues of Government (both Central and State together) through
taxes and duties
Contributed US$ 27 billion to the Government exchequer in 2004-05
Contributes to about 45 per cent of India’s primary energy consumption
Constitutes 30.87 per cent of India's imports in 2005-06
Accounts for 11.21 per cent of India’s exports in 2005-06
India is the Sixth largest crude consumer in the world
India is the Ninth largest crude importer in the world
India’s has the sixth largest refining capacity - 2.56 million barrels per day representing 2.99 per cent of world
capacity
THINK INDIA, THINK TIMES
55. India : The World’s Refiner
The cost effectiveness of refining in India is drawing many global players here. This is
because India is logistically well placed for refineries. Besides being a major market for
crude oil and petroleum products, it adjoins major demand centers such as China. Also,
crude oil from West Asia can easily be brought to refineries in India.
In May, Steel magnate L N Mittal was allowed to pick up 49 per cent stake in Hindustan Petroleum Corporation
(HPCL) refinery in Bathinda.
Several others moving in, who are also looking to tie up with Indian refiners. They include Saudi Aramco,
world's largest oil producer, Cairn Energy, ExxonMobil, Petrobras, Shell, and China Petro (CNPC).
To become a major global fuel exporter, the Indian government plans to expand refining
capacity.
Indian Oil Corp (IOC) plans to spend US$ 13.8 billion over the next five years on expanding its refining capacity
from 60.2 million tonnes per annum of crude oil to 76.7 million tonnes.
ONGC plans to invest more than US$ 16.5 billion in the refining business over the next four to five years to
scale its refining capacity up to 45.5 million tonnes by 2009-10.
Bharat Petroleum Corp Ltd (BPCL) has lined up US$ 492.8 million at the 7.5-million-tonne-per-annum Kochi
refinery.
HPCL is looking for a strategic partner for the US$ 4.43 billion expansion of its Vishakhapatnam refining
complex to 300,000 barrels per day by August 2010.
RPL is setting up a US$ 6 billion greenfield petroleum refinery and polypropylene plant at
Jamnagar, Gujarat, with a capacity of 580,000bpd. THINK INDIA, THINK TIMES
56. Overseas Investments in Oil & Gas
India has 20 per cent participation in Russia’s Sakhalin I and has 20 % participatory interest in that country’s
national company, Rosneft.
Oil India (OIL) has acquired its first overseas oil field at Libya. It has become the first Indian public sector unit
(PSU) to set foot on Libyan soil.
India is poised to make inroads into the hydrocarbon sector in the Caspian region as Kazakhstan has offered
ONGC Videsh a choice of one block for exploration.
Indian Oil Corporation (IOC) has lined up close to US$1.5 billion as its share of the total investment of US$5.7
billion in a stream of integrated LNG projects captioned “exploration to gas sales” in Iran.
Petroleum Minister Mani Shankar Aiyer said recently that the government is working on increasing the
country's investment potential to US$250 billion. "The world has been startled to discover that the investment
potential of our tiny oil corporation ONGC Videsh Limited is US$25 billion," he said.
THINK INDIA, THINK TIMES
57. Banking
First, Standard and Poor's upgraded India's sovereign credit ratings. Next, the Boston
Consulting Group (BCG), in a report on opportunities for foreign banks, confirmed that
with more than US$ 180 billion in long-term fixed deposits in banks and low penetration
in the pension market, the opportunity for sustained double-digit growth is attractive.
Obviously, expectations of foreign investors and multinational companies seeking to
take advantage of the huge growth opportunities in India have risen.
According to the Economic Survey of 2006-07 :
The increasing trend in gross domestic savings as a proportion of GDP observed since 2001-02 has continued
with the savings ratio rising from 26.4 per cent in 2002-03 to 29.7 per cent in 2003-04, 31.1 per cent in 2004-05
and 32.4 per cent in 2005-06.
As the savings rate has gone up, private final consumption expenditure (PFCE), at current prices as a
proportion of GDP, has shown a declining trend particularly from 2001-02. PFCE as a proportion of GDP
declined from 63.1 per cent in 2002-03 to 62.1 per cent in 2003-04, 60.0 per cent in 2004-05, and further to 58.7
per cent in 2005-06.
This decline has also been accompanied by substantial changes in the consumption basket in terms of the
shares of different commodity groups. In PFCE, the share of food, beverages and tobacco came down from 43.3
per cent in 2002-03 to 39.4 per cent in 2005-06. The other major item of importance, namely, transport and
communication, as a proportion of PFCE, rose from 15.8 per cent in 2002-03 to 19.1 per cent in 2004-05.
THINK INDIA, THINK TIMES
58. According to the Annual Statement on Monetary Policy for the year 2007-08 released by the
Reserve Bank of India (RBI), the Indian economy has witnessed robust growth during 2006-07
for the fourth year in succession.
The Central Statistical Organisation (CSO) estimates that the real Gross Domestic Product (GDP) growth has
accelerated from 9.0 per cent in 2005-06 to 9.2 per cent in 2006-07.
The CSO’s estimates for 2005-06 places Gross Domestic Savings (GDS) above 32 per cent of GDP and Gross
Domestic Investment (GDI) close to 34 per cent..
Industrial output grew by 11.5 per cent in 2006-07 helped by robust exports and the fastest growth in manufacturing in
10 years.
The strong growth has put pressure on prices and annual inflation, measured by the wholesale price index, hit a two-
year high of 6.69 per cent in January 2007.
The RBI has raised short-term lending rates twice between January and June 2007, by a quarter of a percentage
point each time to 7.75 per cent -- the highest level in more than four years -- to cool loan growth and tame inflation..
With buoyancy in credit growth and corresponding shortfall in deposit accretion, the credit to deposit ratio in the
banking sector has shot up from 65 per cent in January 2006 to 74 per cent in January 2007. To bridge the widening gap
between incremental credit disbursal and deposit accretion, banks increased their benchmark prime lending rates.
The RBI has attributed the high demand for non-food credit to the higher than expected economic growth in the
manufacturing sector. In addition, the incremental disbursements to commercial real estate (which grew by 95 per cent
year on year basis in the first half of 2007), home loans (which grew by 38 per cent YoY) and capital market related
activities (which grew by 39 per cent YoY) were higher than credit to industry and to agriculture.
Banking
THINK INDIA, THINK TIMES
59. Financial Services
Bolstered by the continuing rally of the rupee against the US dollar (reflected in the
accumulation of over US$ 200 billion foreign exchange reserves), India joins the elite
club of 12 countries which have a trillion dollar economy.
The continuing appetite and growing strength of the rupee could lead to a new, lower sovereign benchmark. This in turn
will not only help the exchequer raise cheap funds, but also help Indian companies raise debt at lower interest rates.
Also, with an increase in India's sovereign credit rating to investment grade (BBB-) from speculative grade (BB+), by
global rating agency Standard & Poor's in January 2007, the country has become attractive to a range of global investors.
This is likely to enable the government to raise debt at highly competitive rates.
Reflecting India's emergence as a popular investment destination, the World Bank's Global Development Finance (GDF)
2007 reports India cornering a major portion of US$ 40.1 billion net capital inflows to South Asia in 2006. India also
became the world's eighth largest market for mergers and acquisitions in the first quarter of 2007.
Thanks to the current rupee appreciation, many Indian companies, whose external loans have matured in the last three
months, would be a happier lot today. Back of the envelope calculations indicate that these companies would have saved
almost US $ 9.77 million on account of the rising rupee which has reduced their payout liability. Some of the companies that
will get to ride the rupee hike bonanza include Convergys, Cargill India, Nicholas Piramal and Watson Wyatt among others.
THINK INDIA, THINK TIMES
60. Stock markets
While the value of total business conducted at the Bombay Stock Exchange has
crossed the US$ 200 billion milestone, the National Stock Exchange is set to record
an annual turnover of well above US$ 400 billion for the first time in its history in
FY07.
The government has approved the purchase of 6 per cent stake in the National Stock Exchange by Morgan Stanley,
Citigroup and private equity firm Actis.
US-based Depository Trust & Clearing Corporation (DTCC) is planning to pick up 5 per cent stake in the Bombay
Stock Exchange.
Foreign institutional investors (FIIs) continue to be bullish on India. They have pumped in a hefty US$ 6 billion in
equities to date in calendar 2007.
The general market buoyancy and the rupee appreciation have resulted in taking the number of US$ 1 billion m-cap
stocks to 149, which account for 81 per cent of m-cap of BSE.
The number of companies with over US$ 20 billion m-cap rose to 8.
The value of participatory notes in the stock market grew 70 per cent in just one year between January 2006 and
January 2007, accounting for over one-third of total foreign portfolio investments in the Indian stock markets, according
to government estimates.
THINK INDIA, THINK TIMES
61. Information Technology
India has emerged as the fastest growing IT hub in the world, its growth dominated by IT
software and services such as Custom Application Development and Maintenance
(CADM), System Integration, IT Consulting, Application Management, Infrastructure
Management Services, Software testing, Service-oriented architecture and Web services.
The information technology industry has grown its revenues ten-fold in the past decade
from US$ 4.8 billion in 1997-98 to US$ 47.8 billion in 2006-07, according to Nasscom.
The Indian IT-ITeS industry recorded US$ 39.6 Bn revenues in 2006-07, up 31 per cent. Projected growth - 27 per cent.
Nasscom has projected a revenue of US$ 49-50 billion in 2007-08 at a growth rate of 24-27 per cent.
The global IT-ITES industry, is growing at about 10 per cent a year.
In 2006-07, software and services exports grew by 33 per cent to register a revenue of US$ 31.4 billion.
The domestic segment grew by 23 per cent to US$ 8.2 billion.
Within exports, IT services touched US$ 18 billion, a growth of 35.5 per cent.
THINK INDIA, THINK TIMES
62. Information Technology
The IT industry's contribution to GDP rose from 1.2 per cent in 1999-2000 to an estimated 4.8 per cent in 2005-06.
A majority of the companies in India have already aligned their internal processes and practices to international
standards such as ISO, CMM, and Six Sigma. This has helped establish India as a credible sourcing destination.
As of December 2006, over 400 Indian companies have acquired quality certifications with 82 companies certified
at SEI CMM Level 5 - higher than any other country in the world.
TCS, Infosys and Wipro maintained their position as the top 3 exporters in the Nasscom Top 20 IT software and
services exporters rankings.
The value of Infosys brand went up by 38 per cent to be worth US$ 7.68 billion in 2006-07.
Expected to generate exports worth US$ 60-75 billion in 2010, the IT-ITeS sectors will contribute US$ 115 billion
to the economy from allied sectors as well.
The industry is expected to create about 11 million jobs (directly and indirectly) over the next three years.
THINK INDIA, THINK TIMES
63. Telecommunication
One of the fastest growing sectors in the country, telecommunications
has been zooming up the growth curve at a feverish pace in the past few years. The year 2007
saw India achieve the distinction of having the world's lowest call rates (2-3 US cents), the
fastest growth in the number of subscribers (15.31 million in 4 months), the fastest sale of a
million mobile phones (1 week), the world's cheapest mobile handset (US$ 17.2) and the
world's most affordable colour phone (US$ 27.42).
Indian telecommunication firms added 5.19 million new subscribers in April 2007, taking the total user base above
212.02 million. The country's telecom sector will see investments up to US$ 25 billion over the next five years, projects
global consultancy firm Ernst & Young.
Wireless service providers continued to dominate user growth by adding 5.15 million subscribers in April, while 40,000
new fixed-line users signed up.
At 500 minutes a month, India has the highest monthly 'minutes of usage' (MOU) per subscriber in the Asia-Pacific
region.
India is emerging as a forerunner in using the cell phone as a tool to access the Internet, with one in every 11 people
logging on to the web across the world through mobiles turning out to be an Indian.
Handset production in India is over 51 million units in 2007. This is the highest growth in the Asia-Pacific region,
according to technology research firm Gartner.
India produced nearly 31 million mobile phones in 2006 worth about US$ 5 billion. The production of handsets is
set to increase by 68 per cent in units and 65 per cent in value terms in 2007. By 2011, production volumes are expected
to reach nearly 95 million units at a compound annual growth rate (CAGR) of 25 per cent.
The retail market for mobile phones -- handsets, accessories and airtime -- is over US$ 15.6 billion and growing at
growing at the rate of 15-20 per cent.
THINK INDIA, THINK TIMES
64. Massive infrastructure needs in India might provide a potential private equity role. A recent study by telecom
regulator Telecom Regulatory Authority of India (TRAI) has estimated that the country will need about 350,000
telecom towers by 2010, as against 125,000 in 2007.
With a CAGR of 46 per cent, India has emerged as the fastest growing market in the data centre-structured
cabling market in the Asia Pacific region, according to Access Markets International (AMI) Partners, a US-based
consultancy agency. The data centre structured cabling market is expected to grow from US$ 19 million in 2005 to
US$ 125 million in 2010. The overall structure cabling market is expected to grow from US$ 127 million in 2005 to
US$ 345 million by 2010 at a CAGR of 22 per cent.
In May 2007, Indian GSM mobile phone service providers signed up 5.1 million customers, taking total users to
130.6 million, the Cellular Operators' Association of India said.
The combined revenue of all operators from their mobile businesses would more than double to US$ 33.1 billion
by 2010, from about US$ 12.8 billion in 2006.
The total revenue of all telecom operators is also set to nearly double to US$ 43.6 billion in four years, from US$
22.5 billion in 2006.
The revenue share of mobile business would rise to 76 per cent in the same period, from 57 per cent currently.
India, which is adding over six million mobile subscribers every month, has surpassed Russia to become the third
largest mobile market in the world after China and the US.
The total mobile subscriber base in the country is likely to reach 425 million by March 2010 with Bharti Airtel
(GSM) and Reliance (CDMA and GSM) emerging as the top two mobile operators in terms of number of
subscribers.
Telecommunication
THINK INDIA, THINK TIMES
65. Media & Entertainment
The Indian Media and Entertainment sector is poised to enter a golden era. One of the largest markets in the world,
the industry is seeing strong growth and has the potential to garner US$ 200 billion by 2015.
The eighth PricewaterhouseCoopers Global Entertainment and Media Outlook has ranked India as the fastest growing
market in the world for spends in entertainment and media in the next five years.
India will be one of the key drivers in pushing the global entertainment and media industry to US$ 2 trillion by 2011.
With a compound annual growth rate (CAGR) of 18.5 per cent, the Indian entertainment and media industry is the fastest
growing in the Asia-Pacific, says the study.
Another report by PricewaterhouseCoopers shows that revenues across the Indian media and entertainment segment
grew by 20 per cent in 2006 to US$ 9.71 billion and the country’s overall advertising spending grew by 23 per cent to
US$ 3.62 billion.
International media giants are all vying for a stake in the segment. In the last three years, US$ 88 million of foreign
direct investment (FDI) has flowed into the sector and in 2006, 13 FDI proposals were approved by the Government.
The sector’s growth is being propelled by a number of factors such as the corporatisation of the film industry, a
booming television sector, a fast growing radio sector, a growing market for print products and other technological
changes. India is ready to embrace and grow along with the changes the industry is undergoing globally.
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66. Media & Entertainment
The Indian film industry is one of the largest in the world -- producing 1041 films, annually. It is currently worth about
US$ 1.8 billion and is expected to grow at a CAGR of 16 per cent for the next 5 years to reach US$ 3.8 billion in 2011.
Bollywood, the Hindi film industry, which commands a 40 per cent share of the Indian film market, is gaining a global
audience. Regional films too are making an impact.
A number of factors are bringing about the change. For one, new technologies like DVDs and the Internet are ensuring
that viewership is not confined to specific areas. The country has over five million home video and DVD subscribers and
current penetration levels are expected to grow 31 per cent, according to the 2006 PwC report.
A spurt in the number of multiplexes in the country has changed the entire complexion of Indian films -- their budgets,
the way they are made and the audiences they are made for.
The corporatisation of the film industry has also enabled it to discover new revenue streams.
Showcasing international films dubbed in local Indian languages has helped the dubbing industry grow at 25-30 per cent
over the last five years and international films are now reaching out to wider audiences.
This is having a ripple effect -- driving growth in film merchandising and music sales. Merchandising for "Spiderman 2,"
which was dubbed in Hindi, collected over US$ 2 million in India in its first weekend, the highest ever for a Hollywood film!
THINK INDIA, THINK TIMES
67. Pharmaceuticals
In 2007, the Indian pharmaceutical industry looks ahead at a colourful horizon,
what with contract research and clinical trials businesses taking wing, and the new patent
regime opening new avenues for players in the country.
Globally the Indian pharmaceutical industry ranks 4th in terms of volume (with an 8 per cent share in global sales) and
13th in terms of value (with a share of 1 per cent in global sales).
A highly organised sector, the Indian pharmaceutical industry is estimated to be worth US$ 4.5 billion, growing at over 9
per cent annually.
Indian pharmaceutical companies produce about 20 per cent to 22 per cent of the world’s generic drugs in value terms.
Overall, the industry is expected to grow at an average annual rate of about 15 to 20 per cent between 2005 and 2010.
According to the Economic Survey 2006-07, the pharmaceutical sector's value of output grew more than tenfold from US$
1.1 billion in 1990 to over US$ 12.4 billion during 2005-06.This was the result of her knowledge skills, growing enterprises,
low costs, improved quality and buoyant demand (both domestic and international),
Indian pharmaceutical companies now supply almost all the country’s demand for formulations and nearly 70 per cent of
demand for bulk drugs.
India is also one of the top five Active Pharmaceutical Ingredients producers (with a share of about 6.5 per cent) and has
the world’s third largest manufacturing industry valued at US$ 2 billion. There are about 34 foreign drug companies engaged
in the Indian pharmaceutical industry and among them are 15 of the 20 largest pharmaceutical companies
in the world.
THINK INDIA, THINK TIMES
68. Exports constitute nearly 40 per cent of the production.The value of exports was over US$ 4.7 billion in 2005-06,
The industry ranks 17th in terms of export value of bulk actives and dosage.
It comprises large, medium and small-scale operators out of which some 300 companies together account for
nearly 90 per cent of the domestic market, while the rest is accounted for by a large number of small companies
which total about 9000 units.
Growing consistently at 9.5 per cent in the last 5 years, the Indian pharmaceutical industry could zip at 13.6 per cent
between 2006 and 2010 and reach a market size of US$ 9.48 billion by 2010 from its present level of about US$ 5.7
billion. A fresh chapter began with the signing of General Agreement on Tariffs and Trade in January 2005 with
which India began recognising global patents. Soon after, the Indian pharma market became a sought after
destination for foreign players.
Pharmaceuticals
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69. Real Estate
The real estate story in India is growing bigger by the day. Industry experts believe that Indian real estate has huge
demand potential in almost every sector -- especially commercial, residential and retail.
Growth in commercial office space requirement is led by the burgeoning outsourcing and information technology
(IT) industry. By 2010, the IT sector alone is expected to require 150 million sq.ft. of space across major cities.
It is estimated that in the residential sector there is a housing shortage of 19.4 million units out of which 6.7
million are in urban India.
The increase in purchasing power and exposure to organised retail formats has redefined the consumption
pattern. As a result, retail projects have been mushrooming across even B-grade cities.
The retail market is expected to grow at around 35 per cent. Industry observers feel that this growth is facilitated
by favourable demographics, increasing purchasing power, existence of customer-friendly banks and housing
finance companies, professionalism in real estate and reforms initiated by the Government to attract global investors
THINK INDIA, THINK TIMES
70. Foreign Collaborations:
In mid-2007, Morgan Stanley closed a deal worth about US$ 150 million with Oberoi Constructions in Mumbai.
The Nakheel Group in Dubai entered into a US$ 10 billion deal with DLF for residential projects in Tier I and II
cities.
This was followed by three financial institutions -- Khaleej Finance and Investment (KFI) from Bahrain,
Kuwait Investment Company (KIC) and Kuwait Finance House (KFH) – from the Middle East
promoting a US$ 200 million fund for investing in India.
Called the 'Indian Private Equity Fund', it targets activities with controlled risks in growing sectors like real estate.
Close on its heels, California Public Employees’ Retirement System entered India, investing US$ 100 million in a
US$ 400-million real estate fund promoted by IL&FS. Ascendas, Asia’s leading business space provider is launching
the first property trust of Indian assets worth US$ 500 million in Singapore in July 2007 with the renowned real estate
developer Embassy Group.
Real Estate
THINK INDIA, THINK TIMES
71. Real Estate
Global majors in Indian real estate
Policy changes introduced by the Government in February 2005 allowed 100 per cent foreign investments in
construction projects with fast-track approvals. But the real attraction for foreign investors is potential
investment returns of 25 per cent and more in Indian projects that might be hard to come by in the US and in
Western Europe today.
A report by property consultants Jones Lang LaSalle estimates that US$ 10 billion foreign investment will be
injected into the Indian real estate sector in the next 12-18 months.
International companies include:
Ayala of the Philippines
Signature from Dubai
Och-Ziff Capital
EurIndia and Old Lane
On the cards is sizeable FDI inflow from Malaysia, followed by the UK, US, Israel and Singapore.
Nearly two dozen US funds are already here raising US$ 3.5 billion for investments in Indian realty. Those
raising the funds include Wall Street powerhouses such as:
Blackstone Group (US$ 1 billion)
Goldman Sachs (US$ 1 billion),
Citigroup Property Investors (US$ 125 million),
Morgan Stanley (US$ 70 million)
GE Commercial Finance Real Estate (US$ 63 million).
JP Morgan,
Warburg Pincus,
Merrill Lynch,
Lehman Brothers,
Warren Buffett’s Berkshire Hathaway,
Colony Capital
Starwood Capital.
THINK INDIA, THINK TIMES
72. Retail
India has topped the AT Kearney’s annual Global Retail Development Index (GRDI) for
the third consecutive year, maintaining its position as the most attractive market for retail
investment.
Driven by changing lifestyles, strong income growth and favourable demographic
patterns, Indian retail is expanding at a rapid pace. The country may have 600 new
shopping centres by 2010. Mall space, from a meagre one million square feet in 2002, is
expected to touch 40 million square feet by end-2007 and an estimated 60 million square
feet by end-2008.
The Indian retail market -- one of India's fastest growing industries -- is expected to grow from US$ 350 billion to US$ 427
billion by 2010.
According to Euromonitor International, the Indian Retail market will grow in value terms by a total of 39.6 per cent
between 2006 and 2011, averaging growth of almost 7 per cent a year.
Modern retail accounts for about 4 per cent of the total retail market in India. This share is expected to increase to about 15
-20 per cent with the entry of a number of corporates into the segment.
Modern retail formats have grown by 25-30 per cent in India in the last year and could be worth US$ 175-200 billion by
2016.
Retailers in India are the most aggressive in Asia in expanding their businesses, thus creating a huge demand for real
estate. Their preferred means of expansion is to increase the number of outlets in a city, revealed the Jones Lang LaSalle
THINK INDIA, THINK TIMES
73. Retail
Food retail
Food dominates the shopping basket in India. The US$ 6.1 billion Indian foods industry, which forms 44 per cent of the
entire FMCG sales, is growing at 9 per cent and has set the growth agenda for modern trade formats.
The prospect for growth of the branded segment is huge, as nearly 60 per cent of the average Indian grocery basket still
comprises non-branded items.
Of the 12 million retail outlets (largest in the world), over 5 million sell food and related products.
Some of the large players in this market are :
Kishore Biyani’s Food Bazaar
Mukesh Ambani’s Reliance Fresh
Godrej Agrovet
The Aditya Birla Group
The Tata Group
THINK INDIA, THINK TIMES
74. Tourism
It is boom time for India's Tourism and Hospitality sector. Driven by a surge in
business traveller arrivals and a soaring interest in the country, India has emerged as
a leading tourist destination. The world’s leading travel and tourism journal, “Conde
Nast Traveller”, ranked India amongst top 4 preferred holiday destinations in the
world.
Foreign tourist arrivals which were 3.92 million in 2005 rose to 4.43 million in 2006 showing an
increase of 13 per cent.
During the first five months of 2007, the number of foreign tourist arrivals was 2.02 million,
representing a growth rate of 12 per cent over the corresponding period last year.
Foreign exchange earnings from tourism also showed a phenomenal growth from US$ 5.73 billion
in 2005 to US$ 6.56 billion in 2006, achieving an increase of 14.6 per cent.
Foreign exchange earnings showed a growth rate of 17.4 per cent over the period Jan-May 2007,
earning US$ 3.07 billion as against US$ 2.61 billion previous year.
India’s share in world arrivals which was just 0.37 per cent in 2001 rose to be 0.53 per cent in 2006.
The importance of tourism for the Indian economy is evident from the fact that it contributed to 5.9
per cent of the Gross Domestic Product and provided employment to 41.8 million people.
Also, the cumulative FDI into the hotel and tourism sector from 1991 to March 2007 has been US$
517.83 million, representing 1.18 per cent of the total FDI in to the country.
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75. Government initiatives
To unlock the huge potential in this sector, the Government has taken various
initiatives for the development of this sector.
Launch of Incredible India campaign to promote tourism both in domestic and international markets.
102 rural tourism infrastructure projects have been sanctioned to spread tourism and socio economic benefits to
identified rural sites having tourism potential.
The Ministry of Tourism brought out guidelines for classification of apartment hotels, time share resorts and guest
houses. It also sanctioned capital subsidy for 43 budget category hotels and interest subsidy for 86 budget category
hotels.
Recognition of spare rooms available with various house owners by classifying these facilities as “Incredible India
Bed and Break fast Establishments”’, under ‘Gold’ or ‘Silver’ category.
A new category of visa,"Medical Visa" ('M'-Visa), has been introduced which can be given for specific purpose to
foreign tourists coming into India.
Guidelines have been formulated by Department of AYUSH prescribing minimum requirements for Ayurveda and
Panchkarma Centres.
The Government is planning to infuse equity capital of over US$ 55.5 million for reviving Ashok Hotel, Samrat Hotel
and Hotel Janpath in New Delhi.
Tourism
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76. Outbound Tourism
The total number of Indian outbound travellers in 2006 - 8.3 million.
The Business Traveler (including Corporate Incentive Travel) comprise 50% of the total.
A little less than 50 % will travel for leisure purposes.
The rest will fall under the categories like students, immigrants, etc.
WTO predicts that Indian outbound traffic will grow to 50 million tourists by the year 2020.
Indians travelling abroad spent 1.4 billion US$ in 1999 which has grown to 7.5 billion in 2006.
Government of India has eased foreign exchange restrictions in the last 4 years. RBI regulations w.e.f. April
2007 permits Indians to remit up to US$ 100,000 overseas in a current or a capital account.
This means Indian citizens can invest overseas, park this money in an overseas account or simply spend it
when they travel abroad.
Source: The Times of India April 10, 2007/SOTC Report / Pacific Asia Travel Association/ AC Nielsen Survey for the
Tax-Free World Assocn. - TOI April 25, 2007
THINK INDIA, THINK TIMES
77. Education
Be it nanotechnology, entrepreneurship, energy, life sciences, information technology,
healthcare, pharmaceuticals, agriculture or the environment, India has created quite a buzz
among foreign universities in the US, according to Charles Rutledge, VP, Research, at the
US-based Purdue University. The number of Indian students studying in the US is far higher
than those from any other nation.
Indian higher education enjoys a credible reputation globally; The number of foreign students
enrolled in various Indian institutions has seen over three-folds rise, up from 6,988 in 2000 to
25,947 in 2006. Interestingly the biggest jump in the number has come from the students of
USA. There has been a 53% increase in 2006.
Government proposals
The Government backs 100 per cent foreign direct investment (FDI) in higher education in all institutions.
On the cards are 20 new Indian Institutes of Information Technology in more states in the public-private partnership mode.
At a time when there is a global talent crunch for quality engineers, this will benefit students and employers.
Plans to set up 65 polytechnic colleges during the XIth Plan period at an investment of US$ 178 mn.
It also plans to set up two new Indian Institutes of Science Education and Research (IISERs) in Bhopal and
Thiruvananthapuram and two new Schools of Planning and Architecture in Vijayawada and Bhopal.
Plans to upgrade the infrastructure in 185 existing polytechnics in the Special Focussed Districts over five years.
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78. Academics now means big business and Foreign institutes are entering into partnerships with
Indian institutes or companies:
Wharton Business School at the University of Pennsylvania, for non-executive MBA and executive MBA programmes.
The Cambridge University of UK is declaring Bhagat Phool Singh Mahila Vishwavidyalaya in Sonipat district as its sub-
centre for certification in English language proficiency thus making this northern India's first women’s university as the first
sub centre in the country.
The University of Oxford and the Confederation of Indian Industry (CII) are set up an India business centre which will
be the first of its kind to be located in Oxford and in India.
London- based Royal Institution of Chartered Surveyors (RICS) is exploring partnerships with Indian universities and B-
schools to offer RICS-accredited courses in India.
XLRI, Jamshedpur, has signed a memorandum of understanding (MoU) with Bordeaux Business School, France, to
promote international relations in the area of management.
Under this partnership XLRI is exploring student exchange, faculty exchange, joint research projects as well as degree
programs with a host of international business schools.
Leading American university, Georgia Tech University, is opening its campus in Hyderabad.
The College of Agri-business Management (CABM), Uttaranchal, is in advanced talks with the University of Illinois to
offer a dual MBA programme in agri-business management from the next academic year.
IIM-Lucknow is in advanced talks with the University of Tennessee, University of South Carolina, and Purdue
University in the US to sign up for a possible collaboration in areas like faculty and student exchange and
research projects.
Education
THINK INDIA, THINK TIMES
80. Trade and commerce have always played a significant part in the rapidly expanding multi-faceted
bilateral relations between India and US. With each passing day, there are new Indian business
houses opening up shop in the US or vice versa.
From a modest US$ 5.6 billion in 1990, the bilateral trade in merchandise goods has increased to US$ 31.92
billion in 2006 representing an impressive 470 per cent growth in a span of 16 years.
Over the last five years, U.S. exports to India have more than doubled, helping to create better-paying jobs in the
United States.
India's merchandise exports to the US grew at 16.07 per cent from US$ 18.80 billion in 2005 to US$ 21.83 billion
in 2006.
US exports of merchandise to India increased from US$ 7.99 billion in 2005 to US$ 10.09 billion in 2006, an
increase of 26.31 per cent.
US brands have always been household names in India. An aggressive market in India is now enabling the
reverse. As India-US trade relations continue to look cheerful, many Indian brands are creating their own space in
the American mind.
- TCS employs about 10,000 people in the US handling technology services for several Fortune 500 companies.
- Mahindra & Mahindra has emerged as a well-known tractor brand in the US. It is now planning to launch the
Scorpio in the US sports utility vehicle market.
- Indian food brands and fast moving consumer goods (FMCGs) are now increasingly finding prime shelf-space in
the retail chains of the US and Europe.
- These include Cobra Beer, Bikanervala Foods, MTR Foods' ready-to-eat food stuff, ITC's Kitchens of India and
Satnam Overseas' Basmati rice.
India and USA
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81. Infosys is one of the three Indian companies listed on the NASDAQ, apart from Rediff and Sify.
The list of Indian companies listed on the New York Stock Exchange (NYSE) is growing, and
fast:
Tata Motors
Videsh Sanchar Nigam Ltd.
Mahanagar Telephone Nigam Ltd.
Dr. Reddy's Laboratories
HDFC Bank
ICICI Bank
Satyam Computers
Wipro Technologies
Indian Companies on the Nasdaq
THINK INDIA, THINK TIMES
82. India and China
Engines of growth China and India continue to expand with positive implications for the global
economy. Significantly, while China and India complement each other in many ways, they also
compete with each other in many areas. As India's Finance Minister rightly said, “India has often
been compared with China...I invite comparison with China.”
Rating agency Standard & poor (S&P) has included 8 Indian companies in its annual 'Global Challengers List' of
300 firms, while only 4 Chinese firms were included in the list.
India has ousted Taiwan from the second place in the Asia-Pacific private equity rankings with PE deals
worth US$ 2,433 million in the first half of 2007, according to Thomson Financial. China has been ranked fifth with
deals worth US$ 678.7 million.
Indian companies account for 10.5 per cent of the total syndicated loans by BRIC nations, with borrowings of
about US$ 8.28 billion till June 2007. This is higher than China's 7.9 per cent or over US$ 6 billion.
More than 100 Chinese pharmaceutical manufacturers have lined up major India expansion plans via joint
ventures, strategic alliances, research collaborations and wholly-owned subsidiaries.
China’s automobiles market is double that of India, India leads in terms of exports: China’s auto exports --
340,000 units in 2006 -- were less than half of India's total vehicle export tally of 970,620 units (including two and
three wheelers).
India and China have signed a memorandum of understanding (MoU) allowing oil and gas companies of the two
countries to engage in mutually beneficial cooperation in acquiring hydrocarbon assets in third world countries without
undercutting each other.
The Asia-Pacific region is set for a technology boom with China and India leading the pack in terms of
information technology: China is expected to account for 32 per cent of the region's technology market in
2007, India makes up 23 per cent, according to International Data Corp.
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83. India and China have emerged as the preferred destinations for global retail majors increasingly looking to spread their
businesses across the world according to a report titled, '2007 Global Powers of Retailing' by international consultancy firm
Deloitte Touche Tohmatsu.
India and China's jewellery market will grow to equal the US market by 2015: in the global scenario, China has 8.9 per
cent market share and India 8.3 per cent.
Driven by high trading volumes for equities and good presence of global banking and financial services firms, Mumbai has
secured a place in the world's top ten financial flow hubs list, beating Hong Kong and Beijing in China, according to a
survey compiled by Mastercard Worldwide.
Despite massive Government support and huge visibility on the global arena, China's software offshoring market has not
taken off as expected and still has a long way to become a potential alternative to India, technology research firm Forrester
said in a report released in May 2007.
GSM operators in India serve 300 per cent more subscribers per mega hertz (MHz) than operators in China, a criterion that
reflects growth of a telecom network. Using the same benchmark period of 12 years of existence, Indian GSM operators
served 3.36 million subscribers per Mhz by December 2006, while China had served 0.85 million subscribers by December
1999. China had introduced mobile services seven years before India.
India topped the global chart for total amount raised through American depository receipts (ADRs) beating China and
Taiwan. In 2006, India raised funds worth US$ 2.09 billion while China collected US$ 2.18 billion and Taiwan US$ 1.47 billion
through this route.
India and China
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