FASTEST GROWING - PowerPoint PPT Presentation

Loading...

PPT – FASTEST GROWING PowerPoint presentation | free to download - id: 3b4dd4-OGFlN



Loading


The Adobe Flash plugin is needed to view this content

Get the plugin now

View by Category
About This Presentation
Title:

FASTEST GROWING

Description:

INDIA FASTEST GROWING FREE MARKET DEMOCRACY IN A GLOBAL ECONOMY Presentation by: Kamal Meattle, CEO, PBC-STIP, New Delhi, India www.pbcnet.com – PowerPoint PPT presentation

Number of Views:400
Avg rating:3.0/5.0
Slides: 102
Provided by: pbcnetCo
Learn more at: http://www.pbcnet.com
Category:
Tags: fastest | growing

less

Write a Comment
User Comments (0)
Transcript and Presenter's Notes

Title: FASTEST GROWING


1
INDIA
FASTEST GROWING FREE MARKET DEMOCRACY
IN A GLOBAL ECONOMY
Presentation by Kamal Meattle, CEO, PBC-STIP,
New Delhi, India www.pbcnet.com meatt
le_at_pbcnet.com
2
CONTENTS
  • THE INDIA STORY
  • INDIAN SUCCESS STORIES
  • INTERNATIONAL SUCCESS STORIES
  • INDIA ADVANTAGE
  • BUSINESS OPPORTUNITIES
  • BUSINESS OPPORTUNITES FOR PHILIPPINES
  • SME ADDING VALUE
  • WINNING ATTITUDE
  • ACKNOWLEDGEMENT

3
THE INDIA STORY
4
1947 Year of Indian Independence
Todays India is one of the fastest growing
Democratic Market Economy, well on its way to be
integrated with the world economy The famous
Goldman Sachs report ( Dreaming with BRICs The
Path to 2050 ) states that, among Brazil, Russia,
India and China, India will grow the fastest over
the next 30 to 50 years by leveraging its
demographic advantages and through continued
development Indias GDP will exceed Italys in
2016, Frances in 2019, Germanys in 2023 and
Japans in 2032 INDIA TO BECOME THE 3RD LARGEST
ECONOMY IN THE WORLD BY 2032 AND THE STORY
BEGAN IN 1947
5
India Pre - Liberalization
  • Planned Industrial Development
  • Industry Licensing and Quotas
  • Dominance of Public Sector
  • Restriction on Private Investment
  • Socialism
  • Mixed Economy

6
The New Industrial Policy for liberalization-1991
De-licensing De-control De-regulation Broad
banding Abolition of registration
  • Liberalization of
  • Industrial Licensing
  • FERA Liberalization

Liberalization of foreign investment Liberalizat
ion of Technology Import
7
The New Industrial Policy for liberalization -
1991
Abolition of threshold assets limit No MRTP
clearance needed for expansions, mergers
  • MRTP Liberalization

Several industries hitherto reserved for public
sector opened up to private sector Only eight
core industries remain reserved for the public
sector Purview of Board for Industrial and
Financial Reconstruction (BIFR) extended to
Public sector
  • Curtailment of Public
  • Sector

8
India Liberalization Stage - Strategies Developed
  • Governments role changed to Regulator from
    Licensor
  • All Licenses Rationalized
  • Active participation of private sector
  • FDI being Welcomed (100) - Automatic Route
  • Barriers Dismantled Procedures Simplified
  • Indian Industries Actively Investing Abroad
  • Bureaucracy - Less Government is Good Governance
  • Allowing Market Forces to Govern the Efficient
    Allocation of Resources with Minimum State
    Intervention
  • Reducing and rationalising foreign trade barriers

9
Economic Scenario Post Liberalisation
  • India - One of the fastest growing economies in
    the world
  • Average GDP growth (1995 -2005) 6.2 per
    annum
  • Average annual growth (1995 - 2005)
  • Agriculture Allied 2.1 per annum
  • Industry 6.6 per annum
  • Services 7.8 per annum
  • Average Per Capita Income growth (1995 - 2005)
    3.8 per annum
  • Inflation down to a single digit level
    continuously for the last ten years
  • Foreign exchange reserves increased from US 2
    b (March 1991)
  • to US 145 b (September 2005)
  • Merchandise Exports 20 average rate of
    growth in last three years
  • Booming Services Exports from US 4.6 b in
    1990-91 to US 51.3 b in
  • 2004-05

10
Economic Scenario Post Liberalization
  • Balance of Payments surplus (US 26 b in 2004 -
    05)
  • External Debt Service Ratio down from 26.2 in
    1995 to 6.2 in 2005
  • Foreign Direct Investment (FDI) Average US
    5 b pa in the last
  • five years.
  • Foreign Portfolio Investment US 11.4 b in
    2003-04 and
  • US 8.9 b in 2004-05
  • Reforms continuing and have unleashed dynamic
    forces
  • putting the economy on a trajectory of
    unparalleled economic
  • growth in the future
  • The Indian Government is working in close
    co-operation with
  • industry and trade to mitigate the remaining
    problems and
  • constraints

11
Share Of Services Sector In GDP On The Rise ()
12
Agriculture
  • India
  • the worlds most irrigated land mass
  • worlds 2nd largest exporter of rice 5th
    largest exporter of wheat
  • Food production Indias Ranking in the World
  • 1st Tea, Milk
  • 2nd Rice, wheat, sugar

13
Manufacturing
  • Rate of growth
  • 2003-04 7
  • 2004-05 9.2
  • Diversified base of world class capabilities
  • State-of-the-art technologies
  • TQM,TPM, Six Sigma Lean Manufacturing - part
    of
  • everyday practice
  • Diversified industrial base with supporting
    ancillary industries
  • Overseas acquisitions worth US 500 m


14
Services
  • Consistent growth
  • 2003-04 9.1
  • 2004-05 8.9
  • Sectors Driving Growth
  • - ITES
  • - Healthcare
  • - Financial Services
  • - Education

SourceEconomic survey, 2004 - 05
15
Average GDP growth - India the World
Average GDP Growth (1990-2001)
9.4
9.5
8.5
7.5
6.2
6.5
5.5
4.9
4.7
5.5
Growth ()
4.5
3.3
2.9
2.9
3.5
2.0
2.5
1.5
India
USA
China
Brazil
Mexico
Thailand
S.Korea
Indonesia
Philippines
Source WDI, World Bank, 2003
16
Rising share of Indias external trade in GDP
Target To double share of exports from 0.7 to
1.5 of world trade
17
Macro Economic Indicators (2004 - 05)
  • Land Area 3.29 m sq. km.
  • Population 1.09 b
  • GDP US 630 b
  • Real GDP Growth 6.9
  • Gross Domestic Savings 28.1
    (2003 - 04)
  • Gross Domestic Investment 26.3
    (2003 - 04)
  • Per Capita Income US 580
  • Inflation Rate 6.4

18
Macro Economic Indicators (2004-05)
  • Exchange Rate US 1 43.75
  • Merchandise Exports US 80b
  • Merchandise Imports US 106b
  • Services Exports US 51b
  • Foreign Direct Investment US 5.5b
  • Foreign Portfolio Investment US 8.9b
  • Direct Investment Abroad US 1.5b

19
INDIAN SUCCESS STORIES
20
Indian MNCs - On a global buying spree
  • Number of foreign firms acquired 120
  • by Indian companies during
  • 2001 - 03
  • Total worth US 1.6 b
  • India - 8th largest investor in the UK
  • No of investments 440
  • No of Indian companies with 1,441
  • operations in Singapore

21
India Leading The World
  • Hero Honda - Largest producer of motorbikes in
    the world
  • Moser Baer - Worlds 3rd largest producer of
    optical media
  • Hero Cycles - Worlds largest bicycle producer
  • Bharat Forge - Amongst the worlds top 3
    forgings manufacturers
  • UB Group - Worlds 2nd largest producer of
    alcoholic beverages
  • Paharpur Cooling Towers - Worlds 2nd largest
    manufacturer of
  • Cooling Towers

22
India Leading The World
  • Apollo Hospitals - Single largest hospital chain
    in South Asia
  • TISCO - worlds cheapest producer of steel
  • Reliance Industries - Worlds largest producer
    of PTA, a chemical
  • used in textile production
  • Mahindra Mahindra - Amongst top 3 tractor
    manufacturers in the
  • world
  • Telco - Amongst top 3 truck manufacturers in the
    world
  • Welspun - Worlds largest producer of
    terry-towels
  • Gujarat Ambuja - Amongst top 5 cement producers
    in the world

23
Some Indian Examples Benchmarked with the Best In
The World
24
Success Story of RELIANCE
25
Success Story of WIPRO
Wipro was set up in the backdrop of the small
town of Amalner in Maharashtra in 1945 An SME
and primarily an oil factory, the chief products
were Sunflower Vanaspati and 787 laundry soap It
was in the early eighties that Wipro made its
foray into the Infotech arena With this began
the Wipro Infotech story Today, Wipro stands at
the firmament, as a trusted and experienced
provider of a comprehensive range of IT services,
solutions and products, worldwide  
26
Success Story of BHARTI
27
Success Story of DR.REDDYS
28
Success Story of BIOCON
29
Success Story of Paharpur Cooling Towers
30
Success Story of Standipack
  •  
  • A successful SSI unit set up in 1980, in NCR,
    Delhi
  • It is the largest lube oil flexible packaging
    company in India producing
  • packaging materials, machinery and systems and
    doing contract packaging
  • Produces /contract packages over 300 m packages
    a year, for the oil
  • majors in Delhi, Kolkata, Chennai and Mumbai
  • Patents in most countries of the World

31
Success Story of Paharpur Business Centre
Software Technology Incubator Park
  • Began operations in 1990 in New Delhi, with an
    equity capital of Less than
  • US 15,000
  • Current net worth of US 10 m
  • Provides a suite of 28 services, employing 450
    persons
  • Has Fortune 500 companies, MNC's and corporate,
    as clients
  • Has five international certifications, ISO 9001,
    ISO 14001, SA 8000, OHSAS
  • 18001 and HACCP
  • Commitment to UN Global Compact

32
Success Story of Paharpur Business Centre
Software Technology Incubator Park
  • Publishes its annual Sustainability Report
    following the GRI system
  • Reports its triple bottom line - relating to
    profit, environment and
  • sustainability
  • Now providing technical support to setting up of
    a 1.7 m ft2 Software Park
  • near Delhi that has been given the SEZ status
    by the GOI
  • The Haryana Technology Park
  • Company showcased by CII at the World Summit on
    Sustainable
  • Development in Johannesburg in 2002 for its
    sustainability initiatives
  • Its USP is the Clean Indoor Air in its Center in
    Delhi - Certified Mountain
  • Quality Air using biotechnology developed by
    NASA, USA to clean air

33
INTERNATIONAL SUCCESS STORIES
34
Preferred Destination For Foreign Equity Investors
India attracts second highest private equity
investment in Asia
Total equity flow to India between 1999 and 2004
doubled from US 5.12 b to US 11.50 b
Source NASSCOM
35
MNCs leveraging the India Advantage
36
FDI INFLOWS TO INDIA

37
International Brands Utilizing The Indian
Knowledge Base
  • More than 100 global companies outsource RD
    facilities from India
  • GE John F Welch Technology Centre Companys
    largest research outfit outside the USA
  • GE Medical Systems India as sole sourcing base
    for its portable ultrasound scanner
  • Monsanto First non-US research facility
  • Eli Lilly largest research facility in Asia and
    3rd largest in the world
  • Texas Instruments Digital Signal Processor
    developed in India controls 50 of the world
    market
  • AVL, Austria India as base to do RD for the
    companys Japan centre

38
Case Study of Selected German Companies in India
  • Beiersdorf
  •  
  • Problems at beginning
  • Existence of rival company (Nivea) in the market
    (personal hygiene market)
  •  
  • Reason for success
  • Relative name recognition
  • Adaptable Indian staff
  • Suppliers who are willing to cooperate
  • Immense support in form of technology and
    know-how transfer from side of Germans
  • Great market potential
  • What is important for business-collaboration with
    India?
  • Patience and endurance
  • Local manager who knows mother company
  • Collection of experience through business
    connections

39
Case Study of Selected German Companies in India
  • Daimler Benz
  •  
  • Decentralized research was quite essential
  • Achievement of local representation to assess
    market specified interests
  •  
  • Why India?
  •  
  • Great resources of highly qualified scientists as
    staff
  • Availability of human capital with low labor
    costs
  • Internationality
  • English language and understanding of
    European culture (due to British history,
    existence of numerous institutions,
    administrations, school etc)
  • Economic Policy

40
India A Preferred Destination
India's highly educated workforce, management
talent, rule of law, transparency, cultural
affinity and regulator environment are more
favorable than China's.  A T Kearney, FDI Index
2004
"India has the potential to deliver the fastest
growth over the next 50 years with an average
rate of more than 5 per cent a year for the
entire period Dominic Wilson, Senior Global
Economist and Vice President, Goldman Sachs 2005
Quite simply, I was blown away by what I saw on
my first trip to India Stephen Roach,
Managing Director Global Chief Economist,
Morgan Stanley 2004
"We want to bring to the world various facets of
this extraordinary country, its people and
progress"  Chris Cramer, International Managing
Director, CNN 2004
41
INDIA ADVANTAGE
42
The India Advantage
Excellent network of research laboratories
Well-developed base industries
Pro active policy framework
Proficiency in English
Extensive clinical trial opportunities
Rich biodiversity
Trained manpower and knowledge base
Low manpower costs
43
Demographics A strong demand driver
44
Growing Knowledge Pool

Source IMD Competitiveness Yearbook 2003
Source UN, Morgan Stanley
45
The Cost Advantage
Costs for offshore work 30 - 50 lower than in
USA / Europe
46
Low Wages
Source IMD Competitiveness yearbook, 2003
47
Import duty Reductions
48
India - Economic Enablers
10th largest economy in the world - 4th in terms
of PPP Will overtake Japan in PPP terms by
2010, to be 3rd largest in the world Large
entrepreneurial base and diversified
manufacturing structure Large reservoir of
skilled labour at internationally competitive
cost Vast pool of scientifically and
technically qualified manpower of 20m A large
domestic market - 300 m strong middle class
population having substantial purchasing
power Largest democratic set - up A broad
based and transparent legal framework including
arbitration
49
India - Economic Enablers
Vast network of bank branches, financial
institutions and well-organized capital and
money markets A network of technical and
management institutes of highest international
standards for development of human resources
India has a record of meeting its international
financial obligations as per schedule and has
never been a defaulter No communication
barrier, as English is the most prevalent
business language Strong and vibrant small
scale sector that is keen to establish
strategic alliances with their foreign
counterparts
50
India - Economic Enablers
  • Supportive infrastructure base
  • Strategic location for third country markets,
    particularly in the rapidly
  • growing south and south-east Asian countries
  • The strategic location of India and its easy and
    efficient access to the Middle East, East
    European countries, CIS countries, Africa, South
    East Asia and Asia-Pacific countries places it in
    a unique position as a sourcing ground for
    entering into strategic alliances in
    export-oriented industries
  • Foreign companies can take advantage of Indias
    strategic location and tap the markets of these
    countries.
  • India is slowly but surely emerging as an
    attractive destination for foreign investment
  • Liberalized industrial and foreign investment
    policies

51
India - Economic Enablers
  • Recognising the need and the potential in certain
    areas, the Government has also come out with
    specialised packages of incentives for setting up
    projects in the fields of power, roads and
    highways, telecommunications, mining, drugs and
    pharmaceuticals,hydrocarbons, shipping and ports,
    tourism, electronics, food processing, etc
  • The Government is vigorously promoting and
    approving foreign direct investment
    keeping in view the objective of attracting at
    least US 10 b per annum
  • The Government is very keen to attract sizeable
    foreign investment into infrastructural projects
    like roads, power, ports, telecommunications,
    etc. as the demand for infrastructural services
    is expected to rise several times to match the
    projected economic growth of around 8 per annum
    in the next ten years

52
India - Economic Enablers
  • Sector FDI Limits
  • Defence up to 26
  • Telecom up to 74
  • Civil Aviation up to 49
  • Real estate construction sector up to 100
  • Integrated township development up to 100
  • Tea plantation up to 100

53
The India Advantage Infrastructure
  • Road length 2.5 m km
  • Second largest road network in the world
  • Railway routes 63,000 km
  • Cargo handled 298 m tonnes
  • Electricity installed capacity 126,000 MW
  • Sixth in world electricity generation
  • Telephone Connections 77 m lines
  • Fixed lines (Dec, 2004) 44.76 m
  • 8th largest telecom network in the world

Source Department of Economics Statistics,
Tata Services Ltd
54
Indian Brains Abroad
  • Though foreign multinational have dominated the
    research agenda in India
  • to date, a growing number of Indians who have
    worked abroad are
  • returning home with cash, contacts and
    confidence to set up companies
  • of their own
  • These are people who have the experience and
    exposure to best practices
  • abroad
  • For the first time, Indians who have been
    exposed to the world, realize they
  • can do something just as good and they can be
    world-class
  • They have an attitude to meet challenges and
    succeed and also give back
  • something to their country
  • 35 of Doctors in USA
  • 36 of NASA Scientists in USA
  • 35 of Silicon Valley Start-Ups are by Indians
  • India emerging as outsourcing hub

55
BUSINESS OPPORTUNITIES
56
Opportunity in various Industry Sectors
  • Software
  • Biotechnology
  • Outsourcing
  • Retailing
  • Real Estate
  • Auto Components
  • Telecommunication
  • Media Entertainment

57
Opportunities in Software
  • The Software industry in India is witnessing an
    explosive growth and expects
  • to generate US 87 b including US 50 b from
    exports by 2008
  • More than 150 global business giants have set up
    research and development
  • facilities in India
  • Some of these firms are GE, Microsoft, TI,
    HP, IBM, Daimler Chrysler and
  • Motorola
  • Bangalore has over 150,000 software engineers
    and a concentration of
  • hi-tech companies
  • Delhi and NCR is the 3rd largest exporter of
    Software services from India
  • More than 70,000 software professionals enter
    the Indian market each year

58
Opportunities in Software The China Connection
  • China has a worker base equal to India's in
    terms of cost, quality
  • and scale
  • In future, the Indian software Industry will
    use China as a base to
  • cater to the local markets including Japan
  • Indian firms such as HCL, TCS, Infosys and
    Wipro have already
  • opened centers in China to outsource
    technology talent

59
Growing IT Market
Size (2002 - 03) US 24 b Growth rate 28
CAGR (since 1999) 46
Share of IT and BPO 1.4 of GDP 2008
projection 7
Exports (2003 - 04) US 12 b Growing at
30 pa

Employment Over 650,000 Second largest employer
in IT services sector
60
Opportunities in Biotechnology
  • Biotechnology is a fast emerging sector in India
  • The consumption of biotech products in India was
    US 1.8 b
  • in 1999 and is expected to cross US 4.2 b by
    2010
  •  
  • It is estimated that 10 of the researchers and
    15 of the
  • scientists in pharmaceuticals and biotech RD
    in USA are of
  • Indian origin
  •  
  • India is churning out 2 m graduates, 300,000
    post
  • graduates and 1,500 PhD's, every year
  • Biocon, the first biotech company was launched
    in 1978
  •  
  • Indian Firms such as Shantha Biotech, Bharat
    Biotech,
  • Dr. Reddy's Lab and Biocon are all very
    successful firms  
  •  

61
Biotech Market - A consistent Uptrend
25 growth in investment
2002- 03
70 growth in employment
74 growth in RD manpower
Size 2003 - 04 US 705 m
US 5 b annual revenues
2010
1 m skilled jobs
10 of global industry
Source Confederation of Indian Industry (CII)
62
Pharma Market
Size (2002- 03) US 7 b
Size 2010 (estimated) US 25 b
CAGR (1995 - 2002) 16.6
Exports 23 CAGR(1995 - 2002)
Volume wise 8 of global market 4th
largest in the world
Share of formulations 80
63
Opportunities in Outsourcing
  • The Indian Outsourcing industry is moving up the
    value chain
  • It is BPO today but the future is for Knowledge
    Process Outsourcing
  • (KPO), Financial Process Outsourcing (FPO) and
    Legal Process
  • Outsourcing (LPO)
  • It is providing value through domain expertise
    rather than process
  • expertise
  • India, in the new knowledge economy, is all set
    to emerge as a global
  • KPO,FPO and the LPO hub
  • It is estimated to capture 71 of the world
    market by 2010 against
  • 56 today giving it a market of US 12 b
  • There are new opportunities, given that there is
    a serious shortage of
  • quality teachers, in the USA

64
Opportunities in Outsourcing
  • The remote education market is expected to be US
    15 b by 2008
  • The current leaders are Engineering design US
    400 m, basic
  • data search, integration and management US
    300 m and Biotech and
  • Pharma US 280 m
  • The Compounded estimated annual growth of KPO
    for India is 50
  • whereas BPO will grow at about 30
  • KPO is expected to engage 250,000 people by 2010
  • It will be in areas such as biotechnology,animati
    on and graphics,design
  • in aerospace automotive, health care, pharma
    research, learning
  • solutions, data management, customer
    analytics and entertainment
  • FPO will include insurance underwriting, risk
    assessment, equity
  • research and corporate market research

65
ITES - BPO Sector

- ITES exports projected to touch US 24 b by
2008 - India offers combination of
cost-quality-scale advantage
66
Opportunities in Retail Sector
  • The ongoing buoyancy in Indias spending,
    arising from the changing demographics and the
    resultant rise in income levels, has resulted in
    a distinct consumer preference for value-added
    products across the retail spectrum, providing a
    platform for the rapid growth of the retailing
    sector which could emerge as one of the fastest
    growing sector in coming years
  • Organized retailing industry to rise from US 4b
    to US 15b by 2010
  • The total retailing industry, estimated
    at US 200b is largely in the unorganized sector
    with organized retailing accounting for less than
    2 (US 4b)
  • The organized retailing segment to grow fourfold
    in 5 years
  • According to NCAER, the Indian middle class
    (household income between US 4,500
    23,000) currently at 92m, is expected to cross
    153m by 2010
  • Substantial mall construction
  • The number of malls is expected to rise
    from the current 40 to around 250 by 2010
  • Close to 50m sq. ft. of retail space is expected
    to be developed over the next 5 years

67
Opportunities in Real Estate
  • The US 50 b Indian real estate market is
    booming and expected to grow at
  • 25 per cent annually
  • The boom owing to the consumption powered growth
    of the country's
  • economy has seen investors planning nearly
    250 new shopping malls
  • by 2008, as against just
    three that existed till 2002
  • The central government adopted a regulation in
    2005 allowing
  • foreigners to bid for Indian construction
    projects with local partners
  • and also reducing their minimum land - holding
    limit from 100 acres to
  • 25 acres
  • Enthused by the liberalized investment
    guidelines, a slew of foreign
  • builders are rushing to launch projects in
    Asia's third largest economy
  • Expected annual shortfall of 20 m housing units
    by 2011
  • Mumbai alone would need more than 180,000
    housing units

68
Opportunities in Auto Components
69
Opportunities in Auto Components
  • Present Industry size US 6.8b
  • By 2012 US 17b
  • Total Exports By 2010 US 5b
  • Key Features
  • - Suitability as a low cost manufacturing base
    for MNCs
  • - Costs 20 - 30 lower, compared to USA
  • - High product quality, superior design
    engineering
  • capabilities

Source ACMA
70
Opportunities in Telecommunication
  • Until 1995, during the more than forty years of
    government monopoly, there
  • were 9.4 m telephone connections
  • There are 46.2 m fixed line subscribers and 52.2
    m mobile phones
  • The mobile phone market is growing at 2 m per
    month
  • Estimated rise in Cellular by 100 m subscribers
    by 2007
  • Basic telephone connections 175 m by 2010
  • 100 FDI in telecom equipment manufacturing
  • Almost 2 m wireless subscribers getting added
    every month
  • Unlike many developed countries, the GSM and
    CDMA technologies co - exist
  • The outsourcing boom would not have occurred
    without the private telecom
  • sector

71
Opportunities in Media Entertainment
  • The Indian media and entertainment industry,
    with the prominent
  • segments being films, television, and music has
    grown in recent times
  • The entertainment industry is currently
    generating revenue of US 7.2b
  • The average growth budget for films has been
    increasing by 15 p.a
  • Another high growth segment of the entertainment
    industry is television
  • broadcasting
  • The present size of this segment is estimated to
    be US 1b
  • The penetration of cable TV, in the rural
    segment is expected to
  • grow by 12 pa
  • The music industry in India is expected grow at
    20 pa
  • FM radio broadcasting has been privatized

72
BUSINESS OPPORTUNITIES
FOR PHILIPPINES
73
Bilateral Trade
Value in US m
Source Ministry of Commerce, India
74
Major Indian Exports To Philippines
  Meat preparation Drugs,
Pharmaceuticals fine Chemicals Rubber
manufactured products except footwear Plastic
Linoleum Products Primary semi finished
iron steel
Major Indian Imports From Philippines
  Metal ores scrap News print
Non - ferrous metals Gold Electronic
goods
75
Potential for Business 
  •  
  • IT ITES
  • Sharing information technology for clean
    environment
  • Gems and Jewelry
  • Natural and Herbal Products
  • Renewable Energy Sources
  • Dairy
  • Drugs and Pharmaceuticals
  • Construction and Material and services
  • Mining


76
Deteriorating Air Quality
The major sources of air pollutants Motor
vehicles Industrial plants Burning and
construction work The continuing increase in
motor vehicles and population, the inadequate
mass transit system, worsening traffic
conditions, the establishment of pollutive
industries, the widespread practice of open
burning, and inadequate enforcement, if not
adequately addressed, are bound to contribute to
increasing air pollution in the surrounding
areas   The most effective approach in improving
air quality is to stop the generation of
pollutants at their source This involves
replacing a highly pollutive technology or energy
source with a non-polluting or a less polluting
one, including shifting to cleaner fuels
77
Air Quality Management
  • The worlds best practices in
    preventing air pollution and maintaining ambient
    air
  • quality reflect the creative
    use of technology and fuel options, which range
    from
  • Use of cleaner vehicle fuels - CNG, Gasohol,
    Biodiesel, Fuel cell, Electricity
  • Solar energy
  • Wind energy
  • Mass transportation systems Underground,
    Monorail
  • Usage of Appropriate technologies for Green
    Buildings
  • Innovative urban planning incorporating walkways
    and bike lanes

78
Improvement Of Ambient Air - Nehru Place Greens,
New Delhi 1996 - 2005  
  • American Society for Heating, Refrigeration,
    Air Conditioning Engineers 62-1999 (revised)
  • American Society for Heating , Refrigeration,
    Air Conditioning Engineers 62-2001 (revised)
  • Below Detectable Level
  • Any presence of Benzene is carcinogenic
  • Data validated to August 2005

79
IAQ Results After IAQ Program At PBCTM - STIP
1996 - 2005
  • American Society for Heating, Refrigeration, Air
    Conditioning Engineers 62-1999 (revised)
  • American Society for Heating , Refrigeration,
    Air Conditioning Engineers 62-2001 (revised)
  • Below Detectable Level
  • any presence of Benzene is carcinogenic

80
Air Quality Management Grow Fresh Air
Sansevieria Trifasciata (Bed Room Plant)
Areca Palm (Living Room Plant)
  • Using toxin removing plants to clean the
    air
  • Biotechnology originally developed by
    NASA, USA and research done by
  • PBC - STIP on plants suitable for the
    Delhi climate

81
SME ADDING VALUE
82
SMEs IN EU
Wef. January 2005
83
SMEs IN INDIA
The definition of small-scale industries (SSI),
is given below
Norms for Definition of SSI in India
Maximum Limit of Investment in plant and
machinery in INR m Year SSI Ancillary 1985
3.5 4.5 1991 6 7.5
1997 30 30
1999 10 10
Source Ministry of SSI, Govt. of India
INR 10 m US 227,000
84
Contribution Of SMEs Across Diverse Economies
85
Technology SSI
  • To say it in Sam Pitrodas words
  • Technology is for problem solving at
    personal, community and national levels
  • It is about doing things differently
  • It is about change in mindset, processes,
    products and preferences
  • Technology is about opportunities and
    experiences
  • This is where the SSI is creating a successful
    niche for itself.
  • Technology is empowering people at all levels
    cutting across sectors
  • This has helped India graduate from being a
    promising economy to one of the
  • fastest growing economies

 
86
SSI Dominant Sectors In India
  • Textiles, Knitwear, Garments, Woolen and Hosiery
  • Leather and Leather products including footwear
    and garments
  • Food Processing
  • Drugs, Pharmaceuticals and Biotech
  • Auto parts and components
  • Chemicals, Dyes and intermediaries
  • Hand Tools
  • Electronic Industry particularly relating to
    design and measuring
  • Glass and Ceramic items including tiles
  • Information Technology and ITES
  • Rubber and Plastic Products, Parts Components
  • Bicycle and Bicycle parts
  • Foundries Ferrous and Cast Iron
  • Lubricant Manufacturing
  • Gems and Jewelry
  • Paper and Paper products, Corrugated Boxes

87
SSI Enablers - CLUSTERS
  • 350 SSI and 2,000 artisans clusters
  • Panipat (Haryana) accounts for 75 of the total
    blankets produced in India
  • Tirupur (Tamilnadu) contributes 80 of the
    countrys hosiery exports
  • Agra (Uttar Pradesh) produces 150,000 shoes per
    day valued at US 1.3 m
  • Ludhiana (Punjab) produces 95 of the countrys
    woolen knitwear, 85 per cent of countrys sewing
    machines and 60 per cent of bicycle and bicycle
    parts

88
SUPPORT FOR SSI
  • Dedicated Ministry and allied
    organisations offer
  • Policy Support - Reservation, Priority Sector
    Lending, SEZ, Labor
  • Institutional support - Through testing centres,
    tool rooms, entrepreneurship development
    institutes, training, warehousing
  • Partnership support - Sub-contracting,
    ancillarisation vendor development
  • Marketing Support - Through Trading Houses,
    Subsidizing the participation at international
    Trade Fairs, sales promotion and business travel

89
Additional Government Initiatives
  • Credit Guarantee Fund Trust Scheme
  • Collateral free loans of lenders to SSIs up to
    US 58,000
  • Payment to SSI suppliers should be made within
    120 days
  • Reimbursement scheme in respect of ISO 9000
    Quality Certification
  • Instituting marketing development assistance
    scheme

 
90
POLICY FRAMEWORK Important Features
  • Reservation of items for exclusive purchase from
    SSI
  • 358 items reserved for preferential purchase from
    SSI
  • Price preference up to 15 on Government
    purchase
  • Development of Industrial Estates In selected
    towns
  • Technology Adoption of new technology
  • Technology up gradation of existing units

91
Networking of SSI for Globalization
  • The promotion of inter-firm linkages
  • Use of Internet Web Portals like eBay have
    opened a
  • new avenue, which the SSI are using as a tool,
    for marketing
  • The increasing presence of Multinational
    corporations have
  • opened new opportunities for subcontracting

92
SSI Sector Facilitating Institutions
Technology Support NSIC, SIDO, SISIs,RTCs,PPDCs,
TBSE
Funding Institutions Banks, SIDBI, SFCs, SIDCs,
NSIC
Technical Training SIDO, SISIs, EDIs, TCOs ,
PPDCs, DICss, CFTIs  
SSI Sector
Industrial Infrastructure SIDCs, SSIDCs, HUDCO
Marketing SIDO, NSIC,SSIDCs, EPCs
Entrepreneurship Development SIDO, EDI, NIESBUD,
SISIs Specialized Institutions
93
Contribution Of SSI In India
95 of Industrial Units
gt 8,000 Products
35 of National Exports
SSI
Over 11 m Units
An Engine of Growth
7 of GDP
Over 27 m Employed
94
Growing Competitiveness of SSI
Source Ministry of SSI
The Average Export per unit is US 2,000
95
Growing Productivity Quality Controls
Source Second Census Sample Survey of
1999-2000 by DC(SSI)
50 of the total number of ISO 9001 / 14001
certified units are from the SSI Sector
96
WINNING ATTITUDE
97
It Is All About Attitude - Management
  •   Differentiating themselves through the products
    and services they provide
  • Standing out by creating special interfaces with
    their customers and building
  • unique ways by which they can be held
    accountable by them
  • Building a very strong quality story
  • Benchmarking innovations against well set,
    globally accepted standards and
  • aim for targets, creating an environment and
    culture of innovation within the
  • organization
  • Developing systems to nurture innovation making
    full use of the availability of
  • information and by rightful dissemination of
    knowledge to foster goal driven
  • innovation
  • Building efficient processes to cut time - to-
    market
  • Providing opportunities to their people to do
    roles that go beyond their
  • existing work profiles

98
It Is All About Attitude Business Person
  • Need to hone their skills
  •  
  • More adaptive thinking
  • Greater entrepreneurial drive to find new
    horizons of growth with a competitive
  • spirit
  • Foresight with a fierce unrelenting passion to
    execute and act today to improve the
  • future
  • Bring change more aggressively and lead the
    organization to implement
  • sustainable changes
  • Energizing their team and inspiring them for
    excellent team performance
  • Delegating authority to allow people to perform

99
It Is All About Attitude Business Person
  • Ability to reach out to a wide international
    network for ideas and problem
  • solving
  • Understanding on how things get decided and done
  • Using customized strategies to influence
    specific stakeholders
  • Executive maturity and emotional wisdom to
    respond to others and
  • embody the aspirations of ones organization
  • Inner strength to do the right thing at the
    right time
  • Courageous dedication to super ordinate goals,
    doing what is right and
  • what will make India great
  • To keep learning and be abreast of new
    technology

100
Acknow ledgement
PHDCCI PHD Chamber of Commerce and
Industry CII Confederation of Indian
Industry FICCI Federation of Indian Chamber of
Commerce and Industry Assocham Associated
Chamber of Commerce and Industry of India IGCC
Indo German Chamber of Commerce IACC Indo
American Chamber of Commerce ICRIER Indian
Council for Research in International Economic
Relations NASSCOM National Association of
Software and Service Companies USCAN Uniting
Services Consulting Advocacy and
Networking Paharpur Business Centre The
International Division
101
THANK YOU
About PowerShow.com