India newsletter 12 2014

INDIA NEWSLETTER www.indianembassy.at

Published by the Embassy of India, Vienna Year 4 • Issue 48 • December 2014

MAKE IN INDIA AUTOMOTIVE COMPONENTS India Newsletter • 1

Embassy of India, Vienna

The new Government has prepared a five pillar strategy to drive India’s growth, which offer multiple avenues of collaboration and investments

■■ Infrastructure Development

■■ Manufacturing Growth

■■ Skill Development

■■ Energy Sufficiency

■■ Improved Business Environment

www.makeinindia.com 2 • India Newsletter

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NEWS FLASHES

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India is expected to become the fastest growing major economy in calendar year 2016 , overtaking China for the first time, on back of healthier macroeconomic numbers, structural reforms by the government and higher investments, according to Goldman Sachs.

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The assets under management (AUM) of the mutual fund (MF) industry in India has increased by 14.2 per cent month-on-month to touch a record high of around Rs 10.9 trillion (US$ 177.09 billion) in October 2014.n

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Net inflows into Indian equity schemes in the first seven months of 2014-15 stood at Rs 38,770 crore (US$ 6.3 billion).n

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Jewellery demand in India increased by 60 per cent to 182.9 tonnes during July-September 2014.n

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Indirect tax revenue collections in India have registered a growth of 5.6 per cent to touch Rs 285,126 crore (US$ 46.33 billion) during April-October 2014.n

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G overnance services offered over digital platforms will become operational across 250,000 gram panchayats (village councils) by March 2016 as the National Optical Fibre Network (NOFN) project is slated to be completed by then

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Outstanding investments via participatory notes (P-notes) into India's capital market reached Rs 2.66 trillion (US$ 43.03 billion) by the end of October 2014, a seven year high.n

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India has the third largest population of ultra-rich individuals in Asia. The number of ultrahigh net worth individuals in India have increased by 9.5 per cent over the previous year.n

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India is one of the top three active countries in terms of registration of trade marks for both local and global manufacturers.n

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India has the thirdlargest internet user base with 278 million users, and it is projected to reach 302 million by the end of this year.n

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The net office uptake in India registered a growth of 36 per cent during January-September 2014 as compared to the corresponding period last year.n

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Every third mobile handset sold in India was a smartphone during July-September 2014 as the total market crossed 72 million units.n

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Foreign exchange (Forex) reserves of India stood at US$ 314.88 billion for the week ended November 21, 2014.n

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The Indian core sector index, a gauge of the output of eight infrastructure industries, rose 6.3 per cent year-onyear.n

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The Government of India(#GOI) has constituted a committee to be headed by the Secretary, Department of Industrial Policy and Promotion (#DIPP), which would fast-track #investment proposals from the #US and address the issues related to implementation of the projects where investments are to flow in.n India Newsletter • 3

Embassy of India, Vienna

NEWS ARTICLES India will touch 8-9% growth, become $3-tn economy: President Pranab Mukherjee

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ndia will soon attain an 8-9 per cent annual growth rate and become a USD 3-trillion economy, President Pranab Mukherjee said even as he stressed that there should be clarity as to the true meaning of development.

Inaugurating the 40th national conference of the Indian Sociological Society at the Mahatma Gandhi Kashi Vidyapith University, Mukherjee said it should be clear as to what is the meaning of development.

“Does it mean only GDP growth or also include elements such as Gross National Happiness?,” he asked.

Gross National Happiness is a concept adopted by Bhutan in the 70s after the country rejected GDP as the only way to measure progress.

Bhutan has called for a new approach to development, which would assess prosperity on the basis of the spiritual, physical, social and environmental health of the citizens.

Expressing confidence that India would soon achieve 8-9 per cent annual growth and become a USD 3-trillion economy, the President asked social scientists to identify how growth can be achieved without destruction of the environment as he noted that climate change and erratic monsoons would have tremendous consequences for the country and its people.

In reference to the conference’s theme of ‘Development, Diversity and Democracy’, Mukherjee said that in the early days of our Independence many were sceptical whether democracy would survive in India.

“However, our democracy has been a huge success. The 2014 elections to the Lok Sabha has established how 1.27 crore people are fully capable of governing themselves,” he said.

Observing that democracy is much

4 • India Newsletter

more than just voting and elections, Mukherjee said, “Our Constitution encompasses an all-embracing vision of justice -- social, economic and political. We cannot afford to ignore any of these ideals in pursuit of the other.”

Referring to the Anna Hazareled protest against corruption, Mukherjee said that citizens were galvanised into a force through public awareness and the government was compelled to have a dialogue with social activists.

“This shows that our political system has evolved into a model where legislation and action can be scrutinised by the public at every stage, even if there is no right of recall of elected representatives,” he said, citing the popular movement for passage of the anti-corruption Lokpal Act. Reflecting on the strength of diversity in Indian society, Mukherjee said, “Attempts to bring uniformity have failed and Indian civilisation has survived because of diversity and the spirit of tolerance towards each other.”

He said the manner in which people of different language, culture and ethnicity, come together and sit in one legislative chamber under one Constitution reflects the strength of India’s diversity. n

India fourth in corporate governance ranking: ACCAKPMG study

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ndia stands fourth among a group of 25 companies for rankings on the corporate governance policies of the countries.

According to a study done by KMPG in Singapore and the Association of Chartered Certified Accountants, the top three highest scoring markets with clear and extensive CG requirements are the UK, the US and Singapore.

Australia, India and Malaysia jointly

ranked fourth while Hong Kong and Russia tied for the next position, followed by Brazil and Taiwan at 10th position.

The study analyzed corporate governance requirements in terms of clarity, degree of enforceability and number and type of instruments used by the 25 markets.

The markets with the lowest scores, in descending order, are the Philippines, Indonesia, Canada, China, Cambodia, Japan, Vietnam, Myanmar, Brunei and Laos.

“This reflects the improving standard of corporate governance in India over the years. The results of the study is testimony that these are resonating well with key stakeholders and their perception of the governance standards in India is also improving,” said Richard Rekhy, CEO, KPMG in India.

“The Indian regulators have taken significant steps to raise the bar on governance in Indian companies by bringing in a paradigm shift in corporate governance requirements, both in the Companies Act 2013 and the recently revised clause 49 of SEBI’s listing agreement. In particular, the changes relating to the role and responsibilities of the audit committee, the roles of independent directors, and the codified duties of directors as a whole, are leading to a shift in boardroom dynamics,” he said.

“There is also a mindset change in how key players in the governance framework engage with other stakeholders, including minority shareholders.

These, when implemented, can position India even higher in the ranking. It is now time for corporate India to follow corporate governance not only in form but in spirit,” he said.

Mritunjay Kapur, head of risk consulting and strategy, KPMG in India said, “While the report identifies the need for raising corporate governance standards across nation,

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and the findings show a wide divergence in corporate governance requirements, it is encouraging to see that India has performed strongly on the back of the new regulations and holds a top spot among the BRICS nations.”

Adequate and effective corporate governance can be critical for supporting boards and management to navigate through uncertainty in the international business arena.

Yet, there is a wide divergence in CG requirements across 25 markets, including Singapore, Australia, Thailand, China and Brazil, the report said.

The study also calls on governments to work towards meeting global corporate governance standards, which are based on the Organisation for Economic Co-operation and Development (OECD) principles.

“When implemented well, corporate governance builds confidence in capital markets. This is especially important in the context of high anticipated growth rates in many emerging economies such as those in the ASEAN region. Given the disparity in corporate governance requirements across the markets we have studied, there is still a long journey ahead of us,” Irving Low, head of risk consulting at KPMG in Singapore, said.n

India fastest growing smartphone market in Asia Pacific: IDC

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ndia became the fastest-growing market for smartphones in AsiaPacific in the three months ended 30 September, following festive demand, said a report by research firm International Data Corporation (IDC).

The Indian smartphone market grew 82% from a year ago and 27% over the preceding quarter, making it the second consecutive quarter of more than 80% year-on-year shipment growth for smartphones.

There were 23.3 million smartphone handsets shipped in the reporting quarter, comprising 32.1% of the

overall mobile phone market that touched 72.5 million units in the September quarter of 2014, recording a 9% growth from a year ago and 15% rise from the preceding quarter.

Samsung Electronics Co. Ltd continued to be the market leader in the Asia-Pacific region with a 24% market share in the smartphone segment, even though its shipment growth was lower than the industry average, implying a contraction in the market share. The company has been trying to maintain its No. 1 position in the India market as it faces a “real possibility” of losing its position to home-grown brands, according to industry analysts.

Micromax Informatics Ltd, which announced a strategic partnership with Intel Corp. for mobile devices, came second in the smartphone market witnessing another strong quarter. Its market share rose to 20% in the September quarter from 18% in the preceding quarter.

While Lava International Ltd remained one of the fastest-growing handset vendors grabbing the third spot with its two brands-Lava and Xolo, Karbonn Mobiles India Pvt. Ltd saw consistent growth with more than 85% of its shipment volume falling under sub $100.

Motorola Inc. also managed to retain its position among the top five vendors with its fresh line-up of second generation handsets that fared well for the company, the IDC report said.

In the overall mobile phone market, feature phone shipments recorded quarter on quarter growth of 10% in the September quarter. However, contribution of feature phones in in the overall mobile market saw a fall in growth by 9% as compared with the same period last year as a large number of users migrated to smartphones.

While Samsung and Micromax remained the largest and secondlargest vendors in the overall mobile market respectively, Nokia Oyj, Lava International Ltd and Karbonn Mobiles India Pvt. Ltd filled the other

three spots in the top five handset vendor list.

IDC anticipates moderate sequential growth quarter-on-quarter in 2015.

“With positive consumer sentiments and low levels of inflation, consumers will have more money to spend.

Majority of the smartphone users change their phones within 12-24 months,” said Karan Thakkar, senior market analyst at IDC India.

“With 44 million units shipped in CY (calender year) 2013 and the current market scenario hinting at 80 million plus shipment in CY 2014, we have a big chunk of end-user market which is awaiting refresh.”

Phablets, the smartphones with 5.56.99 inches screen size, contributed 6% to the overall smartphone market.

On the other hand, smartphones with screen sizes between 4.5 and 5.5 inches are seen as the sweet spot for consumer preference, the report noted.

Kiran Kumar, research manager, client devices at IDC India, said the research firm expects the phablet segment to pick up again in 2015 with the expected 4G (fourth generation) roll out.n

Japan to help build Andhra Pradesh’s ‘world-class’ capital

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apanese Prime Minister Shinzo Abe promised his government’s cooperation in the development of Andhra Pradesh and in helping the state build a world-class capital city.

“Japan will extend full cooperation to the new state of Andhra Pradesh in its development and also in building the capital city,” Abe told Chief Minister N Chandrababu Naidu on his five-day tour of Japan. Naidu met Abe in Tokyo after signing a string of agreements with some of Japan’s leading banks, funding agencies and companies, including Sumitomo Mitsui Banking Corporation, Hitachi group, New Energy and Industrial Technology Development Organisation (Nedo), Iseki and Kobelco.

Sumitomo Mitsui offered to assist Japanese companies, especially those developing smart city technologies, India Newsletter • 5

Embassy of India, Vienna

explore investment opportunities in Andhra Pradesh.

Naidu assured full support to Japanese firms after Sumitomo Mitsui’s senior advisor Fumio Hoshi pointed out that while the Indian government was welcoming Japanese companies, state governments were not that proactive.

In response to Hitachi group vicepresident Akira Shimizu’s observation that land acquisition and taxation were the two main challenges faced by Japanese firms in India, the chief minister said he will set up a dedicated office to ensure hassle-free clearances to Japanese investments in Andhra Pradesh.

“We will set up an office to clear Japanese investments. This will have an escort officer, who will ensure that companies get faster clearances. This office will be on the lines of that set up in China,” Naidu’s office said in a statement quoting the chief minister.

Hitachi has evinced interest in infrastructure projects in Andhra Pradesh, including seaports and smart cities.

In their meeting with Naidu, top executives of Toshiba Corporation said their company will be keen to invest in energy, water, healthcare and skill development projects in the state, while Softbank’s chairman Masayoshi Son agreed to support solar projects in Andhra Pradesh.

During Naidu’s visit, the Andhra Pradesh government has signed memorandums of understanding with the Japanese ministry of economy, trade and industry, Nedo, Japan Bank for International Cooperation, Japan External Trade Organisation and Japan Interational Cooperation Agency. The MoUs are aimed at facilitating Japanese investments in the state.

Besides, Kobe Steel group and Kobelco Cranes have signed memorandums of understanding with Andhra Pradesh-based special economic zone Sri City for further investments. Japan’s biggest retain chain Uniqlo has also evinced interest in investments in Andhra Pradesh.n 6 • India Newsletter

Manufacturing PMI rises to 21-month high in Nov

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n November, manufacturing activity in India rose to a 21-month high, though that didn’t lead to additional hiring, showed the HSBC Purchasing Managers’ Index (PMI).

The data also pointed to an uptick in price pressure, owing to a commentator on the report advising the Reserve Bank of India (RBI) to hold policy rates at its monetary policy review, despite persistent demands from India Inc to ease rates.

For November, the PMI rose to 53.3 points from 51.6 points in October.

The data come a few days after official data showed India’s economy grew 5.3 per cent in the quarter ended September, against 5.7 per cent in the previous one, owing to the manufacturing sector expanding only 0.1 per cent in the September quarter, against 3.5 per cent in the previous one.

A reading of more than 50 in the PMI for manufacturing, based on a survey of about 500 private firms, means expansion, while a reading of less than 50 shows contraction. The survey includes output, outlook and confidence of respondents.

The improvement in conditions in manufacturing, the 13th consecutive rise, was across segments, said Markit Economics, which compiled the data.

It added the performance of the consumer goods segment was the best in the broad areas monitored.

However, official data on the Index of Industrial Production (IIP) hasn’t shown any sustained uptick in consumer goods this year, at least in the durables segment. In September, for instance, consumer goods production declined 11.35 per cent, while production of consumer nondurables rose just 1.5 per cent.

In November, growth in production in the manufacturing sector was the highest since February, 2013, which Markit Economics attributed to rising new work inflows. “November data reinforced reports of stronger-thanexpected demand, as new order growth accelerated to the quickest in

21 months,” the firm said.

In new orders, the consumer goods segment fared the best, Markit Economics said.

During the month, foreign orders received by Indian goods producers continued to see strong growth.

By and large, survey respondents attributed this to strengthening demand from key export clients.

This trend, too, was in contrast to official data, which showed exports had declined in October.

“Manufacturing activity accelerated further in November, led by higher output and new orders. Domestic orders saw the biggest increase, even as new export orders continued to be strong,” said Pranjul Bhandari, chief India economist at HSBC. Despite accelerated expansion in outputandnewbusiness,employment in the Indian manufacturing sector remained broadly unchanged, said a commentary released along with the data.

Just a day ahead of the RBI’s monetary policy review, Markit Economics said higher prices of metals, chemicals and energy led to a significant rise in input costs in November, the 68th month of cost inflation. Also, inflationary pressures intensified during the month, following three consecutive months of easing.

Among the surveyed sub-categories, the sharpest increase in input costs was seen in the intermediate goods segment.

Rising input costs, along with improving demand, drove output prices higher in November. The rise in output inflation rose to the highest in five months.

“The sharp rise in input prices was surprising, but future prints might be lower as falling commodity prices eventually lead to softer intermediate goods prices,” said Bhandari. The pick-up in output prices, he added, could signal a revival in pricing power among businesses.

“Higher output and an uptick in final prices should convince RBI to stay on hold at its coming meeting,” Bhandari said.n

* RED Text indicates INDIA-AUSTRIA News.

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Indian Software Group Wipro to Abandon Subsidiary in Austria The Indian IT group Wipro will abandon its branch in Lustenau.

The head of the company Elke Küng confirmed a relevant report in “WirtschaftsBlatt”.

Back in 2005 Wipro acquired hightec company NewLogic in Lustenau.

Küng didn’t elaborate on the reasons for the closure of the branch. The Indian company which has 150,000 employees around the worlkd, also didn’t want to comment on the closure of the branch in Lustenau.

The branch in Lustenau recently generated sales of about EUR 12 million (USD 15 million).n

Obama opens US borders to more talent from India

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S President Barack Obama’s immigration reform push seeks to significantly liberalise the visa regime for students, professionals and budding entrepreneurs, as the US tries to stop those with high potential and specialised skills from leaving its shores.

Once the reforms are implemented, the US government expects 400,000 highly-skilled workers to be eligible for visas.

“Are we a nation that educates the world’s best and brightest in our universities, only to send them home to create businesses in countries that compete against us, or are we a nation that encourages them to stay and create jobs here, create businesses here, create industries right here in America? That’s what this debate is all about,” Obama said in his power-packed address.

Students pursuing courses in science, technology, engineering, and mathematics (STEM) programmes in US universities can look forward to a prolonged stay, compared to the 29 months they are currently entitled to under the optional practical training (OPT) programme, till they secure work visas. Also, the OPT programme

will be expanded to cover more courses. Typically, the programme is for 12 months, extendable by 17 months for students pursuing STEM courses. The duration of the extended stay hasn’t been specified yet.

According to estimates, there are about 200,000 Indian students under the OPT programme as of now.

To fuel the US’s entrepreneurial spirit, Obama also sought key administrative reforms, which would better utilise a provision that allowed a non-citizen with an advanced degree or an exceptional ability to seek US citizenship or a green card without an employer’s sponsorship.

In case ‘inventors, researchers, and founders of start-ups’ who might not qualify for the provision but have been awarded substantial US investor financing or hold the promise of innovation and job creation, they will be offered ‘parole’, which will allow them to temporarily pursue research and development in the US, rather than abroad.

Indian-American Vivek Wadhwa, a technology entrepreneur, academic and fellow at Stanford Law University, who has been campaigning for an easier immigration regime for entrepreneurs, was quoted as saying 44 per cent of all founders in Silicon Valley were of Indian origin.

In a statement, India’s information technology lobby body, Nasscom, said it believed “these measures will help attract and retain talent in the US by addressing some of the operational and social issues, alleviating skills shortages to some extent”. It, however, sought more clarity on some of the key announcements.

The reforms are silent on the longpending demand of industry to increase the quota of H-1B visas, used by Indian software companies to send workers to their centres in the US. However, there could be some clarity on the L-1 category of visas, used to send professionals with highly specialised skills. A few years

ago, industry had been reporting a rejection rate of 40-50 per cent for L-1 visas.

Ron Hira, associate professor of public policy at the Rochester Institute of Technology, said the direction from Obama would likely include an expansive definition of “specialised knowledge”, which would provide cheer to outsourcers, as they were the largest beneficiaries of the L-1 category.

In his speech, Obama also recognised the fact that the process for giving green cards (US citizenship) needed a significant overhaul. According to industry estimates, securing permanent US citizenship might take between 11 and 72 years, forcing many to return to their countries after their work visas expired. Directions have been given to hasten the processing of green cards for skilled individuals, apart from allowing seekers to change employers while they wait for approval. Also, spouses of individuals with lawful permanent resident status or the permission to seek green cards can find work during their stay in the US. “All these are very positive measures, but we are yet to see the nuts and the bolts to understand the actual impact on India and Indians in the US,” said Poorvi Chothani, immigration attorney and managing partner of LawQuest, an immigration law firm in Mumbai.

In a letter to the US Citizenship and Immigration Services (CIS), Jeh Charles John, secretary of homeland security, US, said, “I direct the Immigration and Customs Enforcement and USCIS develop regulations for notice and comment to expand the degree programmes eligible for OPT and extend the time period and use of OPT for foreign STEM students and graduates, consistent with law.”

To secure a work visa in the US, students have to find an employer who can sponsor it. However, often, even when students have a sponsor, they do not get work visas due to limited quotas, etc.n India Newsletter • 7

Embassy of India, Vienna

India and the UK Agree to further strengthen the cooperation in education

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he Sixth India-UK Education Forum Meeting took place in New Delhi. Smt. Smriti Irani, the Union Minister of Human Resource Development, Government of India, and Mr Greg Clark, the Minister for Universities, Science and Cities of the United Kingdom co-chaired the meeting. Both the countries discussed the existing bilateral cooperation initiatives in education and also agreed to further strengthen it by taking up several new initiatives.

Both sides also acknowledged the cooperation mechanism through joint UK-India Education and Research Initiative (UKIERI).

Both sides also discussed the Chevening Scholarships for Indian students; two-way student mobility; Generation UK-India programme which will support up to 25,000 young people from the UK to come to India over the next 5 years and initiatives supported by DFID. The UK delegation confirmed that they will put in four times more resources for the Chevening scholarships for Indian students and make it the largest Chevening Programme in the World.

The Indian delegation emphasized that, along with students from UK, they would also like to welcome teachers and faculty members under its new programme, Global Initiative for Academics Network (GIAN), the response to which was extremely positive from the Minister leading the UK delegation.

After taking over of the present Government, the issue of equivalence of India’s 10+2 qualifications with “A” level qualification of UK was taken up at very high levels. UK side has acted promptly on it and it was conveyed in the Forum meeting that most of the UK Institutions recognize the 10+2 qualifications for admission of Indian students into the higher educational institutions in UK. The UK delegation also welcomed more Indian students in the British Universities and also assured of addressing the barriers in student mobility.

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The Indian delegation appreciated the initiative of UK Government to install the statue of Mahatma Gandhi in Parliament Street, London and also offered to co-sponsor the Mahatma Gandhi Memorial Lecture.

It was also decided to constitute a Joint Working Group consisting of officers from both sides to deliberate and work on modalities of future collaborations in education.

A Joint Statement was also signed by both the Ministers highlighting the educational cooperation between India and the United Kingdom and the future areas of collaboration. The areas of leadership development; research, innovation, technology and knowledge transfer; Skill Development and Entrepreneurship; enhancing people to people links and two-way mobility; quality improvement in education; use of ICT in education; development of MOOCs and e-Library and launch of UKIERI-III in 2016 have been highlighted in the Joint Statement.

The Forum was attended by Senior Government Officials, policy makers and academicians from both sides.n

Bilateral Cooperation between India and Norway in hydrocarbon explorations

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he Ambassador of Norway Mr Elvind S Homme along with a business delegation of Norwegian companies related to oil & gas sector called on the MOS(I/c) Petroleum and Natural Gas, Shri Dharmendra Pradhan. They discussed bilateral relationship between the two countries in the field of oil and natural gas. The Norwegian Ambassador said the last meeting of the joint working group took place in Sept 2012. He said there is need to take this forward as Norway has the best of technology in the field of safety management and hydrocarbon exploration specially in deep see drilling. The Petroleum Minister said that the joint working group should meet at an early date to work out the specific details and take bilateral cooperation forward.n

India Signs MoU with the US on Setting-Up Infrastructure Collaboration Platform

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n a follow-up of the Joint Statement of Prime Minister of India and President of United States of America in September, 2014, a Memorandum of Understanding (MoU) was signed between Department of Economic Affairs (DEA), Ministry of Finance, Government of India and Department of Commerce, United States of America (USA) on establishing Infrastructure Collaboration Platform.

This Memorandum of Understanding (MoU) establishes a United StatesIndia Infrastructure Collaboration Platform, under which both the Governments intend to coordinate and cooperate with the goal of facilitating U.S. industry participation in Indian infrastructure projects to improve the bilateral commercial relationship and benefit both the Participants’ economies.

Shri Dinesh Sharma, Additional Secretary, DEA signed the Memorandum of Understanding (MoU) on behalf of India while Shri Arun M. Kumar, Assistant Secretary of Commerce for Global Markets, Department of Commerce signed it on behalf of United States of America respectively.

Representatives of Indian Infrastructure Ministries such as Urban Development, Commerce and Industry, Railways, Road Transport and Highways, Micro Small and Medium Enterprises, Power, New & Renewable Energy, Information and Broadcasting, Communications & Information Technology, Water Resources, River Development and Ganga Rejuvenation, were also present during the meeting, along with representative of Ministry of External Affairs.n

German govt keen to partner with Indian cos for food, agri cooperation

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he government of Germany is keen to partner with Indian industries in the fields of food and

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agriculture cooperation. This was stated by Dr Hermann Schloder, who heads the German federal ministry of food and agriculture’s trade promotion and quality policy division, at the Confederation of Indian Industry’s (CII) Agro Tech 2014, which concluded in Chandigarh recently.

Speaking at a session featuring agro business companies from Germany and India, he said, “Since the agriculture scenario and its challenges and opportunities are alike in the two countries, it is imperative that they work in tandem, learning and sharing from each other’s experiences.”

“We are willing to share our research findings, experiences and policies, and the latest technologies and best practices adopted in Germany with Indian farmers, especially those in the north, so that they can also benefit by adopting the same,” Dr Schloder added.

“One thing India can learn from us is agri subsidies. This was a challenge in Germany, and is presently the case in India. We gradually reduced our dependence on agricultural subsidies, which made our agrobusiness companies adopt newer means of production and advanced procedures converting the net importers into net exporters. We would like to see the same happen in India, and are really committed to extend full support,” he said.

“Germany and India must rely on each other, and develop a mutual understanding for better future cooperation, which could be possible by organising more and more delegation visits of scientists, academicians, government representatives and exchange programmes and study tours of farmers from both countries,” he added.

Ursula Holzhauser, food and agriculture counsellor, German Embassy, said, “We, in Germany, are very aggressive in adopting latest technologies in agriculture, since agriculture is the primary occupation in our country, so we can guide the

Indian farming community and the agro processing units a lot as well.”

Being very upbeat about the Indian consumer market, she stated, “The Indian consumer market is highly attractive globally, and if we are able to integrate the supply from Germany and the demand from India, the two nations would benefit tremendously.”

Alina Gumpert of the German Asia-Pacific Business Association said, “There are many German agro companies which are looking for mutually-beneficial business associations with their Indian counterparts. It is thus our aim to establish a strong network of association for greater cooperation.”

“By associating with industry bodies like CII, we seek to represent their interests in the Indian economy and help them engage in new projects.

Our newest initiative, Potato India Field Day, is the first step towards engaging much larger Indo-German association,” she added.

“By showcasing the entire process from growing to cultivation by synergising German engineering with Indian production, we seek to take the first step towards creating a value system for the future,” Gumpert added.

Rajesh Srivastava, co-chairman, CII Agro Tech 2014 Conferences, and chairman and managing director, Rabo Equity Advisors Pvt Ltd, said, “While India is amongst the top agricultural countries of the world, the core issue is of productivity, which I feel can only be addressed by critical technological intervention.”

“We all know that Germany is the king of disruptive technology, and this time is ripe for an amalgamation of German technology and Indian productivity,” he added.n

Six Indian infra projects among world’s 100 most ‘innovative and impactful’

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ix major infrastructure projects Delhi Metro, Yamuna Expressway, Interceptor Sewage System in Delhi, Gujarat International Finance TechCity (GIFT), Mundhra Ultra Mega

Power Plant and Narmada Canal Solar project - have featured in the list of 100 of the world’s most innovative, impactful infrastructure projects prepared by international accounting firm KPMG. These projects were evaluated on the basis of their scale, feasibility, complexity, innovation and impact on society, a release issued by KPMG said. “Each country has its own approach to developing and funding infrastructure, yet all share the universal challenge of creating the right conditions to attract investment so desperately needed.

Private capital continues to play a critical role, but investors need economic and political stability before committing. Consistency and sustainability are key in setting policy, the right regulatory environment and establishing a steady deal flow through project pipelines,” James Stewart, KPMG’s chairman of global infrastructure said.

According to the report, the sixlane 165 km Yamuna Expressway connecting Delhi with Agra has reduced the travel time between these two historic cities. The $1.9 billion project will have a lasting impact on villagers, tourists, traders and working professionals and should expand trade.

The report also says that the ever expanding Delhi Metro with over $2.3 billion investment is setting a shining example of how to carry out an effective public works programme.

Taking heed of the problems experienced by the Kolkata Metro which was badly delayed and which overshot its budget by 12 times - the development team utilised innovative procurement and strong project and contract management techniques, it said.

The $4.4 billion Mundhra Ultra Mega Power Project is a major, coalfired thermal power plant serving the states of Gujarat, Rajasthan, Maharashtra, Haryana and Punjab.

On the $323 million interceptor sewage system that has been kicked off in Delhi, the report says this will keep raw sewage from flowing into India Newsletter • 9

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and polluting Yamuna. The treated water can be used for horticulture and cleaning purposes.

The $17.9 million Narmada Canal Solar project will place a solar photovoltaic grid over the top of a 5.5 km section of the canal, preventing water from evaporating and producing renewable power.n

Reliance Power commissions world’s largest Solar CSP project in Rajasthan

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nil Ambani-led Reliance Power commissioned its 100-megawatt concentrated solar power (CSP) project at Jaisalmer, Rajasthan. This is the biggest CSP in the world.

Built at a cost of Rs 2,100 crore, the project has 25 per cent reserve margin to meet 25-year power purchase agreement obligations.

Rajasthan Sun Technique Energy, a subsidiary of Reliance Power, was awarded the project in December 2010, based on international competitive bidding conducted by Vidyut Vyapar Nigam (a subsidiary of NTPC) under the Jawaharlal Nehru National Solar Mission of the Centre.

The project is the largest investment undertakenbyanyprivatesectorentity in CSP in India. It is financed through debt from multilateral agencies such as Asian Development Bank, ExportImport Bank of the United States, Financerings Maatschappu Voor Ontwikkelingslanden NV and Axis Bank.

With this project, Reliance Power’s generation capacity has increased to 5,285 Mw, which includes 5,100 Mw of thermal capacity and 185 Mw of renewable energy-based capacity.n

Top private equity firms step up India investments

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arquee private equity (PE) firms, which include Temasek Holdings Pvt. Ltd, Warburg Pincus India Pvt. Ltd and KKR and Co. Llp, have stepped up their pace of investments in India although they continue to lag nontraditional investors like SoftBank Corp. and Tiger Global Management

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Llc, which have been more active so far this year.

PE firms had invested $8.4 billion in India between January and September, as against $7.8 billion in 2013, according to Grant Thornton, a consultancy. In terms of volume of deals, 2014 has already seen a 38% jump compared with the previous year.

However, investments so far have been dominated by those looking at newer sectors like e-commerce.

Softbank leads the tally of investors with an investment of $837 million, while International Finance Corp, an arm of the World Bank, has invested $822 million. Tiger Global has led investments of $1.7 billion but this data includes the amount invested by its co-investors.

The three firms did not respond to emails sent.

However, activity from the big three PE firms has picked up in recent months. Warburg Pincus, for instance, announced three deals in October, when it invested in Kalyan Jewellers, Laurus Labs Pvt. Ltd and Cartrade. com. Warburg invested Rs.1,935 crore across these three deals.

Apart from the three new deals, the firm gave additional funding to existing portfolio companies including Capital First Ltd, Au Financiers (India) Pvt Ltd and Quikr India Pvt Ltd. Warbug gave an additional Rs.128 crore to Capital First but details of additional investments made in other portfolio firms were not available.

“Warburg Pincus has been an active investor in India over two decades, partnering with high quality entrepreneurs and distinctive management teams to build durable businesses. The firm has continued to invest in India through the peaks and troughs of the economic cycle,” Niten Malhan and Vishal Mahadevia, co-heads and managing directors at Warburg Pincus India, wrote in response to an email query.

“As the growth and investment climate in India improves, we are wellresourced to continue and further scale the pace of investments,” they

wrote.

Singapore-based Temasek has announced two investments since May, including an investment in online marketplace Snapdeal.com.

Temasek, along with Blackrock Financial Management, PremjiInvest and others, put in $100 million into snapdeal.com.

More recently, Temasek acquired 10.16% in privately held Ahmedabadbased company Intas Pharmaceuticals Ltd from its existing PE shareholder ChrysCapital Management Co. Temasek did not disclose the amount it has invested in the company. On 10 November, Mint reported that the deal was valued at Rs.880 crore.

“This has been one of our most active years for investments, including India.

As a long term investor, India remains a key destination for our investments and we continue to be optimistic about its long term growth story and potential,” said Ravi Lambah, senior managing director, investment, cohead, India for Temasek.

KKR & Co has also been active in the Indian markets this year but has chosen to focus on debt deals.

KKR announced a deal to provide a flexible credit facility of Rs.1,802 crore (€235 million) to Amtek Global Technologies Pvt. Ltd, a Singaporebased sudsidiary of auto component maker Amtek Auto Ltd. Prior to this, KKR had invested Rs.1000 crore in GMR Holdings Pvt. Ltd on 17 September 2014. The fund’s only equity deal this year has been a Rs.1400 crore investment in Gland Pharma and Gland Celsus Bio Chemicals Pvt Ltd. While the deal was announced in 2013, it was closed only this year after receiving government approvals.

“India is a holistic solutions market for us where we are doing transactions across segments like buyouts, significant minority stake acquisitions, pure equity investments and long term credit financing. This year we have executed $700 million from our credit platform in the country and we have also invested over $500 million in private equity space over the last 18-24 months.” said B.V. Krishnan,

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managing director, credit and capital markets at KKR. To be sure, a number of the deals this year have been done in the secondary market, which includes one PE firm selling its holding to another fund.

This is partly because funds are looking to exit from investments which were made between 2006-09.

Most funds tend to hold investments for a period of four to five years but volatility in public markets and poor economic conditions have made it tough to funds to exit at appropriate valuations. This has now changed with the markets picking up and hopes of a rebound in the economy which grew at below 5% for two consecutive fiscal years till fiscal 2014.

“There are a lot of PE secondary transactions that will come into the pipeline because funds who had invested during 2006-09 are looking at exits with reasonable returns thus those take outs become large sized deals for our PE and credit business,” Krishnan added.

According to Grant Thornton, while the improved sentiment has led to some pick up in deal activity, a significant growth in fresh investments will take time.

“Having said that, investor confidence is back. and initial public offering (IPO) market is slowly coming back and we have seen some exits happenig and thus investors are keen to invest through both debt and equity route,” said Raja Lahiri, partner at Grant Thornton.

Ajay Garg, managing director at boutique investment banking firm Equirus Capital Pvt. Ltd said he expects a number of secondary market deals in the next 12-18 months that will drive bigger transactions in the market.n we are going into a lot more detail about the deployment and the project plan,” Malkani said.

The four cities include Dholera Special Investment Region in Gujarat, Shendra Bidkin Mega Industrial Park in Maharashtra, Manesar Bawal Investment Region in Haryana and Khushkhera Bhiwadi Neemrana Investment Region in Rajasthan.n

Tourist Visa on Arrival Enabled with ETA Scheme Launched

U

nion Home Minister Shri Rajnath Singh, along with Dr. Mahesh Sharma, Minister of State (I/C), Tourism & Culture and Minister of State for Civil Aviation launched the Tourist Visa on Arrival (TVoA) enabled with Electronic Travel Authorization (ETA) Scheme.

The facility will be available at nine international airports in the country namely Delhi, Mumbai, Chennai, Kolkata, Hyderabad, Bengaluru, Thiruvananthapuram, Kochi and Goa. The TVoA enabled with ETA Scheme will facilitate nationals of 43 countries including Australia, Brazil, Cambodia, Cook Islands, Djibouti, Federated States of Micronesia, Fiji, Finland, Germany, Indonesia, Israel, Japan, Jordan, Kenya, Kingdom of Tongo, Laos, Luxembourg, Mauritius, Mexico, Myanmar, New Zealand, Niue, Norway, Oman, Palestine, Papua & New Guinea, Philippines, Republic of Kiribati, Republic of Korea (i.e. South Korea), Republic of Marshall Islands, Republic of Nauru, Republic of Palau, Russia, Samoa, Singapore, Solomon Islands, Thailand, Tuvalu, UAE, Ukraine, USA, Vietnam and Vanuatu.

Launching the facility, the Union Home Minister said that India has a unique advantage in tourism sector owing to its geographical location and that no other country offers such abundance of diversity in weather conditions. He also assured that his Ministry would ensure a safe and secure environment for visiting foreign tourists.

Speaking on the occasion, Minister of State (Independent Charge) Tourism & Culture and Minister of State for Civil Aviation, Dr. Mahesh Sharma reiterated Government’s priorities: Our Government is acting swiftly to fulfill the promises made to its people. The launch of Tourist Visa On Arrival (TVOA) facility enabled with Electronic Travel Authorization Facility (ETA) is one step in this direction. It is bound to positively impact the economy of the country, he added. The implementation of

TVoA enabled with ETA will send a clear and powerful message that India is serious in making travel to the country easy, the Minister hoped.n

Modi on official visit to Australia The Prime Minister of India, Narendra Modi, paid an official visit to Australia from 16-18 November 2014, following the G-20 Summit, as the guest of Prime Minister Tony Abbott.

Prime Minister Modi held wideranging talks with Prime Minister Abbott, addressed a joint sitting of both houses of the Parliament (the first time an Indian prime minister has done so) and met the President of the Senate, the Speaker of the House of Representatives and the Leader of the Opposition in Canberra. He also visited Brisbane, Sydney and Melbourne, where he met political leaders, academics, businesspeople and sporting figures and addressed members of the Australian Indian community. He visited research, cultural and historic institutions. A number of agreements were signed and new initiatives launched.

For the first time,Australian and Indian Prime Ministers have made reciprocal visits in the same year, underscoring the growing depth of the Australia-India strategic partnership and building on converging interests, shared values and common democratic institutions.

Prime Minister Abbott and Prime Minister Modi recognised that the partnership has tremendous room for growth and agreed to unlock the vast potential of the economic relationship, especially in priority areas such as resources, education, skills, agriculture, infrastructure, investments, financial services and health.

They directed that anequitable, balanced, mutually beneficial and high quality Comprehensive Economic Cooperation Agreement be brought to an early conclusion to realise the potential of commercial relations. The next India Newsletter • 11

Embassy of India, Vienna

round of negotiations will be held in December.The two Prime Ministers hoped for better market access for good and services. Theyexpressed satisfaction at the increase in investment while recognising the tremendous untapped potential in both directions. Indian investment in the resource sector in Australia promises to create jobs and value for the Australian economy just as Australian investment in cold chain storage, energy, infrastructure and other sectors can do for the Indian economy.

Strong business links are critical.

Prime Minister Modi and Prime Minister Abbottreconstituted the Australia-India CEO Forum, and will shortly appoint new co-chairs.

A delegation of Indian CEOs also visited Australia.Australian Business Week in India will be held in several Indian cities in January 2015. India will hold a Make in India event in Australia in 2015 and organise shows in gems and jewellery, engineering and pharmaceuticals to showcase India’s manufacturing capabilities.

Energy is a central pillar of the economic relationship.

Prime Minister Abbott and Prime Minister Modi agreed to expedite approvals for key mining investment projects.

They agreed to cooperate on clean coal technologies and welcomed the intention to explore opportunities for partnershipbetween Australian institutionsandthe Indian School of Mines inDhanbad. They agreed to expedite progresstowards early conclusion of the administrative arrangements to implement theCivil Nuclear Agreement signed in September.Australian supply of uranium in coming years will enhance India’s energy security.

Australia and India are committed to working together to combat terrorism and other transnational crimes. Prime Minister Modi and Prime Minister Abbott agreed that the existing Joint Working Group on Counter-Terrorism would be renamed to cover other transnationalcrimes, including on-going cooperation on illegal migration. Theywitnessed the signing of an Agreement on the 12 • India Newsletter

Transfer of Sentenced Persons and a Counter-Narcotics MoU. They noted theconclusion of a new Framework for Security Cooperation to guide closer bilateral collaboration across the security spectrum, including in defence, counter-terrorism, cyber policy, disarmament and nonproliferationand maritime security.

The Framework demonstrates the unshakeable resolve of the two countries in combating and defeating terrorism, including the threat posed by foreign fighters joining extremist groups.

Prime Minister Modi and Prime Minister Abbottdecided to extend defence cooperation to coverresearch, development and industry engagement. They agreed to hold regular meetings at the level of the Defence Minister, conduct regular maritime exercises and convene regular Navy to Navy, Air Force to Air Force and Army to Army staff talks.

They recalled the time spent together at the Australian War Memorial and agreed to strengthen efforts to commemorate the shared military history, including through the WWI centenary. They welcomed the cooperation between the two national broadcasters, Prasar Bharati and the ABC, to co-produce a film on Gallipoli.

Australia and India are working together more closely to build a safe and prosperous region, including through key regional forums such as the East Asia Summit. Both countries value their engagement with ASEAN, are strongly committed to building up the Indian Ocean Rim Association, and support regional efforts to create stronger humanitarian and disaster relief capabilities, combat malaria and boost regional trade, including through the Regional Comprehensive Economic Partnership.

People-to-people links are transforming the relationship.Prime Minister Modi and Prime Minster Abbott welcomed the signing of a Social Security Agreement, which

will enhance two-way mobility and lower business costs. They welcomed the introduction of measures to facilitate easier travel and witnessed the signing of an MoU on Tourism, which will promote continued strong growth in an industry vital to both countries. India will hold a Tourism Week in Australia in 2015. Negotiations on an Audiovisual Co-production Agreement are progressing well, with the aim of boosting links between the dynamic film industries.

Educational links are deep and strong. The Prime Ministers welcomedcooperation between Australian and Indian universities and in particular joint PhD programmes to encourage research.

They announced collaboration on rejuvenatingthe Ganga River. They welcomed two-way exchanges and cooperation in river basin planning under the water partnership and a new program of joint research on agricultural water management.

Prime Minister Modi and Prime Minister Abbott agreed the two countries would cooperate in India’s efforts to strengthen its sporting capabilities, including through the private sector and in establishing a world-class Sports University.They welcomedthe signing of an MoU on Arts and Culture, which will create a framework for deeper cultural exchanges. A Festival of India will be held in Australia in 2015 to showcase the dynamism and diversity of contemporary Indian culture.

Prime Minister Modi renewed his invitation to Prime Minister Abbott to visit India again at his convenience.

They agreed that high-level visits played a key role in enhancing the strategic partnership between the two countries.n

www.indianembassy.at

MAKE IN INDIA - AUTOMOBILES Summary ■■ 2nd largest steel producer by 2015.

■■ 4th largest steel producer in the world.

■■ USD 39.7 Billion turnover in 201213.

■■ 17% increase in exports during 2008-13.

■■ USD 9.7 Billion in exports for 2012-13

Reasons to Invest ■■ An emerging global hub for sourcing auto components.

■■ Geographically closer to key automotive markets like the ASEAN, Japan, Korea and Europe.

■■ Cost competitiveness.

■■ Fourth largest producer of steel in the world.

■■ Cost of making steel significantly lower than competitive nations.

■■ Slated to become the second largest steel producer by 2015.

■■ Several global Tier-I suppliers have announced plans to increase procurement from their Indian subsidiaries.

Statistics ■■ Turnover of USD 39.7 Billion in 2012–13.

■■ Growth expected to reach USD 115 Billion by 2020-21.

■■ Market estimated to become the third largest in the world by 2016, accounting for more than 5% of global vehicle sales.

Growth Drivers

Sector Policy

■■ A growing working population and an expanding middle class are expected to remain key demand drivers.

■■ AUTO POLICY 2OO2: approval ■■ Automatic for 100% foreign equity investment in auto components manufacturing facilities.

■■ Manufacturing and imports in this sector are exempt from licensing a nd approvals.

■■ AUTOMOTIVE MISSION PLAN 2OO6–16: ■■ Setting up a technology modernisation fund focusing on small and medium enterprises.

■■ Establishment of automotive training institutes and auto design centres, special auto parks and virtual SEZs for auto components.

■■ NATIONAL AUTOMOTIVE TESTING AND R&D

INFRASTRUCTURE PROJECT (NATRIP): ■■ A total of USD 388.5 Million to enable the industry to adopt and implement global performance standards.

■■ Focus on providing low-cost manufacturing and product development solutions.

■■ The presence of a large pool of skilled and semi-skilled workforce and a strong educational system.

■■ Increased investments in R&D operations and laboratories, which are being set up to conduct activities such as analysis, simulation and engineering animations.

■■ Reduction in excise duties in the motor vehicles sector will spur demand for auto components.

■■ The growth of global OEM sourcing from India and the increased indigenisation of global OEMs is turning the country into a preferred designing and manufacturing base.

■■ Expected to become the fourth largest automobiles producer globally by 2020 after China, US and Japan.

FDI Policy

■■ Exports of auto components increased at a CAGR of 17% during 2008-13, reaching USD 9.7 Billion in 2012-13.

■■ 100% FDI is allowed under the automatic route in the auto components sector, subject to all the applicable regulations and laws.

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Embassy of India, Vienna

■■ DEPARTMENT OF HEAVY INDUSTRIES &

PUBLIC ENTERPRISES: ■■ USD 200 Million fund to modernise the auto components industry by providing an interest subsidy on loans and investment in new plants and equipment.

■■ Provided export benefits to intermediate suppliers of auto components against the Duty Free Replenishment Certificate (DFRC).

■■ NATIONAL MISSION FOR ELECTRIC MOBILITY (NMEM) 2O2O: ■■ The National Mission for Electric Mobility 2020 was launched on 9 January, 2013 for foster adoption of electrical vehicles (including hybrid vehicles), and their manufacture in India to encourage reliable, affordable and efficient xEVs that meet consumer performance and price expectations through government industry collaboration for promotion and development of indigenous manufacturing capabailities, required infrastructure, consumer awareness and technology, helping India emerge as a leader in the xEVs two-wheeler and four-wheeler market in the world by 2020, with total xEV sales of 6-7 Million units.

■■ It is estimated that there will be excellent demand in India for low cost xEVs that are suited for safe short-distance urban commute (average 50-100 km/ trip), and are rugged enough to perform reliably through the most hot climatic conditions that also see torrential monsoon rains for 3-4 months of the year.

■■ PILOT PROJECTS OF ELECTRIC VEHICLE: ■■ Department of Heavy Industry (DHI) is launching pilot projects on electric vehicles in Delhi and subsequently in other metros and other cities all across the country with a dual purpose of demonstrating and educating the people about the benefits of 14 • India Newsletter

adopting clean and green mode of transportation.

■■ It will provide the viability gap funding through subvention to support the extra cost of acquisition and operation of these vehicles by state governments or designated bodies. In the first phase, a pilot project to provide last mile connectivity to Delhi Metro by electric passenger vehicles has been approved.

Financial Support ■■ KEY PROVISIONS OF THE 2O142O15 UNION BUDGET: ■■ Excise duty is being exempted on parts of tractors removed from one or more factories of a tractor manufacturer to another factory of the same manufacturer for manufacture of tractors.

■■ Any of the following two deductions can be availed: ■■ 1. Investment allowance (additional depreciation) at the rate of 15% to manufacturing companies that invest more than INR 1 Billion in plant and machinery acquired and installed between 01.04.2013 and 31.03.2015 provided the aggregate amount of investment in new plant and machinery during the said period exceeds INR 1 Billion.

■■ 2. In order to provide a further fillip to companies engaged in the manufacture of an article or thing, the said benefit is an additional deduction of 15% of cost of new P&M, exceeding INR 250 Million which is acquired and installed during any previous year ending up to 31.3.2017.

■■ R&D INCENTIVES FOR INDUSTRY AND PRIVATE SPONSORED RESEARCH: ■■ A weighted tax deduction is given under section 35 (2AA) of the Income Tax Act. ■■ Weighted deduction of 200% is granted to assesses for any sums paid to a national

laboratory, university or institute of technology, or specified people with a specific direction and that the said sum is used for scientific research within a program approved by the prescribed authority.

■■ MANUFACTURERS WITH AN INHOUSE R&D CENTRE: ■■ Weighted tax deduction of 200% under Section 35 (2AB) of the Income Tax Act for both capital and revenue expenditure, incurred on scientific research and development. Expenditure on land and buildings is not eligible for deduction.

■■ Concessional excise duty of 6% extended to March 31, 2015 for manufacturers supplying batteries to producers of electrically operated vehicles.

■■ Exemption from basic customs duty on lithium-ion automotive batteries that are used in the manufacture of hybrid and electric vehicles.

■■ STATE INCENTIVES: ■■ Apart from the above, each state in India offers additional incentives f or industrial projects.

■■ Incentives are in areas like subsidised land cost, relaxation in stamp duty exemption on sale and lease of land, power tariff incentives, concessional rate o f interest on loans, investment subsidies, tax incentives, backward areas subsidies and special incentive packages for mega projects.

■■ EXPORT INCENTIVES: ■■ Export promotion capital goods scheme.

■■ Duty remission scheme.

■■ Focus product scheme, special focus product scheme and focus market scheme.

■■ AREAS BASED INCENTIVES: ■■ Incentives for units in SEZ/ NIMZ as specified in respective Acts or setting up projects in special areas like the Northeast region, Jammu & Kashmir, Himachal Pradesh & Uttarakhand.

www.indianembassy.at

Investment Opportunities ■■ ENGINE & ENGINE PARTS: ■■ New technological changes like turbochargers and common rail systems.

■■ Outsourcing to gain traction in the short to medium term.

■■ TRANSMISSION & STEERING PARTS: ■■ Replacement market share in sub-segments such as clutches is likely to grow due to rising

traffic density.

■■ The entry of global players is expected to intensify competition in sub-segments such as gears and clutches.

■■ SUSPENSION & BREAKING PARTS: ■■ The segment is estimated to witness high replacement demand, with players maintaining a diversified customer base in the replacement and OEM segments besides the exports.

■■ The entry of global players is likely to intensify competition in sub-segments such as shock absorbers.

■■ EQUIPMENT:

■■ Companies operating in the replacement market are likely to focus on establishing a distribution network, brand image, product portfolio and pricing policy.

■■ METAL PARTS: ■■ Manufacturers are expected to benefit from the growing demand for sheet metal parts, body & chassis, fan belts, pressure die castings, hydraulic pneumatic instruments in the two-wheeler segment.

■■ Leading players in the sheet metal parts sub-segment are in the process of expanding their customer base.

■■ NATIONAL MISSION FOR ELECTRIC MOBILITY (NMEM) 2O2O: ■■ The Government of India has launched a National Mission for Electric Mobility (NMEM) 2020 in 2013 to foster adoption of electrical vehicles (including hybrid vehicles), and their manufacture in India.

■■ It is estimated that there will be a huge demand in India for low cost hybrid and electric

vehicles (xEVs) that are suitable short-distance urban commutes (averaging 50-100 kms per trip) and rugged enough to perform reliably in the summer and in the monsoon season in India. It is estimated that sales for such vehicles would amount to 6-7 Million units by 2020.

Foreign Investors ■■ Bosch (Germany) ■■ Delphi (UK) ■■ Aisin Seiki Company (Japan) ■■ Graziano Trasmissioni (Italy) ■■ Denso (Japan) ■■ ZF (Germany) ■■ Valeo (France) ■■ FAG (Germany) ■■ TRW (USA) ■■ Magna (Canada)

Agencies ■■ Department of Heavy Industries, Ministry of Heavy Industries & Public Enterprises (http://dhi.nic.in/) Component ■■ Automotive Manufacturers Association of India (http://acma.in/)

INDIA PERSPECTIVES MAGAZINE ONLINE

www.magzter.com/publishers/meaindia

India Newsletter • 15

Embassy of India, Vienna

PERSPECTIVES ON INDIA Auto component sector in India, the pride of manufacturing industry

by Mr. Vinnie Mhta Director General, ACMA The Indian automotive industry is the sixth largest in the world having deep forward and backward linkages with several key segments of the economy. The industry has a strong positive multiplier effect which acts as a key driver of economic growth. As India is rapidly emerging as a global sourcing hub for auto makers across the globe, the Indian automotive industry is also fast transforming to meet the expectations and stringent norms of the customers. While the well-developed Indian auto industry produces a wide variety of vehicles; passenger cars, light, medium, heavy commercial vehicles, multi-utility vehicles, two wheelers, tractors and other off-road vehicles, the Indian auto component sector also manufactures a complete portfolio of products including engine parts, drive transmission and steering parts, body and chassis, suspension and braking parts, equipment and electrical parts, besides others.

The last fiscal has been one of the most challenging for the automotive industry in India; flagging vehicle sales, high capital costs, high interest rates, fluctuating exchange rate and slowing down of investment in manufacturing, have adversely impacted the growth of the auto component industry.

Considering the turbulence in the environment, the component industry witnessed a marginal decline of 2 percent over the fiscal, clocking Rs. 2,11,765 crores (USD 35.13 billion) in turnover for the period April 2013 to March 2014, however the CAGR over the last six years recorded an impressive 14 percent.

While the traditional advantages of low cost and highly skilled engineering manpower backed by a robust domestic demand for vehicles have stood in good stead for the component 16 • India Newsletter

industry so far; however going forward and to be globally competitive the sector needs to focus on research and development, design capabilities, product differentiation and improve quality to meet the evolving needs of customers who are looking for more value add.

It is indeed heartening that the new government recognises the potential and the need for revival of the automotive industry and has extended the excise duty concession till the end of the year further, allowing of 49% FDI in defence sector in the recent Union Budget will also open new vistas for the component makers who are keen to mitigate the risk of automotive industry cyclicality and diversify into adjacencies such as the defence sector. Moreover, with government’s focus on infrastructure and skill development and enhanced funding for development of the MSME sector, has built hopes for an early revival of the industry.

Indian auto component manufacturers, over the years, have developed strong manufacturing capabilities that have helped them in keeping costs low and meet stringent quality norms. Indian auto components are exported to more than 160 countries and have been growing at 15 percent per annum over the past six years. Components exports stood at Rs 61,487 crores (USD 10.2 billion) in FY 2013-14, accounting for 29 percent of overall industry turnover.

The key export items include engine parts, transmission parts, brake system & components, body parts, exhaust systems, turbochargers etc. However, as business complexities increase, the component makers will have to invest in technology, scale up operations and further improve quality, cost and delivery performance to remain globally competitive.

Today the 700 hundred plus ACMA membership boasts of 576 ISO9001 certifications, 467 TS-16849 certifications, 208 ISO-14001 certifications and 105 OHSAS-18001 certifications. Second only to Japan,

India’s auto components industry also has the highest number of Deming Awards to its credit. In addition, the industry boasts of 15 Total Productive Maintenance (TPM) awards, three Japan Institute of Plant Maintenance (JIPM) awards, two Japan Quality medals and two Shingo Silver medallions.

Going forward, scaling up of operations will be a key challenge for smaller component manufacturers facing constraints in raising capital, attracting talent and accessing technology.

Further, many Indian component manufacturers are competing in the lower value-added space and produce parts/components on either job work or build-to-print basis. Such manufacturers depend on either the OEMs or on their JV partners for technical/product design capabilities.

In future, product design, testing and validation capabilities are expected to become even more important as OEMs rely more on their suppliers for product design.

■■ Vision Driven by the growth in vehicle production, the Indian auto component industry is expected to scale over by 100 USD billion by the year 2020. According to the recent study by Mckinsey, knowledge partner for ACMA, the Indian suppliers are well positioned with the global trends, working in their favour which can significantly accelerate their international presence in the next few years. The five macro global trends that support the component makers to diversify are - globalising of OEMs with suppliers following them; maturing of low-cost countries (LCC) as export hubs; platform consolidation and shift towards large global suppliers; increasing aspiration of emerging market suppliers to access new markets; and technologies and market diversification for margin resiliency.

Based on market comparison, supplier and OEM surveys, Indian suppliers can nurture a three-pronged 2020 aspiration:

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■■ Increase exports from the current USD 10 billion to USD 35 to 40 billion ■■ Increase revenues from overseas assets from the current USD 6 billion to USD 20 to 22 billion ■■ Increase count of Indian suppliers in global top 100 from the current lone figure to five by 2020 The auto component industry can be an engine of India’s economic and manufacturing growth contributing 3.6 percent GDP by 2020, up from the current level of 2.2 percent. To achieve this potential the industry would require additional skilled manpower of over 1 million people and cumulative investment of over USD 35 billion.

■■ Road Ahead In the coming decade the Indian automotive industry will need to revise its technology and introduce efficient green vehicles, on the back of rising fuel consumption and costs, and heightened awareness on environmental issues. The major trends that will define the automotive industry in the decade ahead are discussed below.

■■ Future technology: In view of the rising fuel prices and increasing expectations of Indian consumers for cost effective and fuel efficient vehicle, the Original Equipment Manufacturers (OEMs) would place greater thrust on two core areas - reducing vehicle weight and developing smaller engines but more efficient engines. Further, Government regulations on emissions will play a key role on the vehicular technology. Emerging global trends such as e-mobility will also impact on the Indian automotive industry.

■■ De-risking: To ensure long-term sustainability and growth and to reduce susceptibility of business to cyclical fluctuations, auto companies will look at deploying their core competencies in other industries such as defence, aerospace, oil & gas, railways and construction, among others.

■■ Cost Optimisation: Mounting pressures on margins would put cost optimisation high on the industry’s agenda, which they would approach

through local sourcing, local manufacturing and by having multiplant operations. The globalisation objectives would lead to companies widening their presence, not just within the domestic boundaries, but also across the global markets. The success stories of Indian companies who embarked on the acquisition route early on would encourage more auto players to aggressively focus on expanding their global footprint.

■■ Collaboration: The changing role of component suppliers will necessitate more investments in R&D, product innovation and faster response time OEMs’ new product launch plans.

There is a need for creating a more encouraging ecosystem, characterised by increased thrust on IT, R&D, creation of more value added products, incentives and policy support from the Government, testing and validation centres, and appropriate training infrastructure to spruce human resource base, with the objective of positioning the Indian industry prominently on the global automotive map.

Pre-owned cars gain on growing aspirations

by Aparna Dutt Sharma CEO, IBEF From a relatively insignificant share of overall car sales at the turn of this century, the used car market in India has steadily gained momentum over the past decade. According to latest data by Frost & Sullivan, used car sales are expected to be at par with new car sales this year, registering sales of around 2.5 million units each.

A key driver for this rise in used car sales is the growing preference for used cars among first time car buyers. Market research firm JD Powers estimates that the share of first time car buyers going for used cars has increased to 17 per cent in 2014 from just 4 per cent in 2011. A lot of these first time car buyers are young and are eager to purchase premium sedans and hatchbacks from the used car market as opposed to new entry level cars.

Customers have also steadily gained confidence in used cars due to the earnest efforts of players in the organised segment. In 2006-07, around 96 per cent of the used car market was dominated by unorganised players and customer- to-customer sales, according to a report by CRISIL, which rose sharply to 16 per cent by 2011-12, according to CRISIL. These players have made transactions more transparent and also ensured fair prices for both buyers and sellers. They also offer critical benefits like quality check processes, easy financing, motor insurance, complete paperwork and post-sales service. Among the leading players, Maruti Suzuki’s pre-owned car business True Value is known to have grown by 36 per cent year-on-year during the first half of 2014. Toyota’s used car division UTRUST is known to be recording a brisk CAGR of around 20 per cent over the past few years while Mahindra and Mahindra’s used car business First Choice is known to be growing at four times the pace of its new car sales.

Internet penetration has also been a critical driver, with around 65 per cent of car buyers searching online before making their purchases in any major Indian city today. The concept was started in 2007 by eBay India Motors.

Of late, two major online marketplaces – Quikr and OLX – have permitted sellers to post free ads for their used car sales. Another interesting model for promoting used car sales is the auto mall. A number of such malls that are exclusively catering to automobile sale, purchase and display have come up, offering transparent deals and a plethora of options.

The market for used cars has burst on the scene and exposed a whole new customer base. Presently there are over 750 used car outlets in India while the demand is estimated to be for at least 3,500 to 4,000 outlets. With growing incomes with aspirations and players committing themselves to ensuring a rewarding customer experience, the pre-owned car revolution in the country seems to be just unfolding.

India Newsletter • 17

Embassy of India, Vienna

EXPERT BUSINESS ADVICE The article below was extracted from Dezan Shira & Associates’s publication entitled “India Briefing”. For further corporate assistance, consider contacting Dezan Shira & Associates, a specialist in foreign direct investment practice, providing corporate establishment, business advisory, tax advisory and compliance, accounting, payroll, due diligence and financial review services to multinationals investing in emerging Asia. For further details or to contact the firm, please email Mrs. Gujan Sinha under gunjan.sinha@dezshira.com or visit www.dezshira.com

An introduction to Sourcing from India Choosing where to source from can be a stress-inducing process, for although the practice is now commonplace, it is nevertheless still fraught with various risks and difficulties that can just as easily cripple a business as make it more profitable. Key considerations include understanding how to navigate the regulatory framework of the country in question, knowing if it has a workforce capable of producing the intended goods for export, and identifying the most suitable type of sourcing platform.

For the past twenty years, China has been dominant as a sourcing destination. The country’s extensive, cheap and skilled labor force has long since established China as a sourcing favorite in Asia, but its star no longer shines as bright as it once did. With a complex regulatory framework and rising labor costs, businesses may wish to consider other locations in order to ensure their competitive edge is not blunted.

India’s Sourcing Edge Among China’s competitors, India is one of the most appealing alternatives at the moment. In this section, we take a look at India’s export industry and analyze some of the key advantages that the county possesses as a sourcing destination.

■■ Low Labor Costs One of India’s principal strengths 18 • India Newsletter

is its cost-effectiveness. In contrast to China, India’s labor costs have remained consistently low since the turn of the century, as can be seen in the graph above.

This trend appears set to continue for the foreseeable future. Where the average Chinese salary looks fixed to markedly increase for 2015, the average Indian salary will remain mostly the same once inflation is taken into account, as shown in a recent salary report conducted by Towers Watson:

■■ Cost of Living In most instances, the cost of living in India and China is roughly equal.

Electricity prices in both are amongst the cheapest in the world, each averaging approximately US$8 cents per kilowatt hour. In the past year, both have raised their gas prices to roughly the same amount, but India still slightly trumps China, averaging around US$8.40 per million British thermal units (mmBtu) to China’s US$10.

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One area that is seeing a great deal of fluctuation on China’s part is property prices. Rental costs – which must be considered both for personal living and a sourcing platform’s office space – have been continuously rising in China for the past four years. In Beijing, for instance, rental prices rose by 6.2 percent in June 2013, according to Global Property Guide. Conversely, India’s property prices have remained mostly stable. From Q4 2012 to Q1 2013, Mumbai’s average rent fell between one and four percent, and Delhi’s remained mostly the same.

Whilst it was previously thought that prices may rise under the Modi administration, realty experts are now predicting that no noticeable increase will come for some time.

■■ An Increasingly Export Industry

Prosperous

Since 2006, the volume of India’s exports has more than tripled. This is largely due to the liberalization of numerous Indian trade laws and policies – a process that is still on-going under the new Modi administration – and a greater number of foreign firms have set up their sourcing or manufacturing operations in India.

Here we break down India’s key export sectors. See pie chart below:

■■ Special Economic Zones The government introduced India’s first Special Economic Zones (SEZs) in April 2000. Structured closely on the already successful model of China, they are designed to help stimulate both foreign and domestic investment, boost India’s exports, and create new employment opportunities. Notable zones include Nodia, Chennai, Cochin, and Falta, and the Indian government is now accepting proposals for additional, far smaller SEZs. As of August this year, almost 200 SEZs were in operation and a further 565 were formally approved for operation.

The advantages of setting up a sourcing platform within a SEZ are numerous and include: ■■ Duty free domestic procurement of goods; ■■ 100 percent income tax exemption on export income for the first five years and 50 percent for the five years following; ■■ Exemption from Minimum Alternate Tax, Central Sales Tax, Service Tax, State Sales Tax, and a number of other taxes usually levied by local governments; ■■ External commercial borrowing allowed up to US$500 million per year

without restriction; ■■ Permission to manufacture products directly, as long as the goods produced fall within a sector which allows 100 percent FDI.

Conclusion India’s world image and reputation has often hindered it from directly competing with China as a sourcing destination. Unlike China, whose ‘Open Door’ and investor friendly policies stretch back to the late 1970s, India’s economic reforms only began in the 1990s. Since then, the country has struggled to eliminate some of the problems that have hindered foreign investment; namely, some of its more complex trading regulations were not revamped, its infrastructure remained largely underdeveloped, and corruption went mostly unchallenged.

Modi’s BJP party has already taken steps to eliminate some of the issues companies have had about establishing a sourcing platform in India: money is being invested in the country’s poor infrastructure, allowing for the easier transportation of goods within India’s borders, and the government has raised the cap levels on numerous sectors for foreign direct investment (FDI), including a massive increase in its railway sector from 0 percent to 100 percent. Looking to the future, Modi has said that the government will be introducing new laws to further simplify the process for establishing a foreign presence in India.

India’s cost-effectiveness and policy reforms are what separate it from other sourcing destinations and the India of yesteryear. This has already begun impacting the future of the country’s existing foreign export industries. By 2020, back office service sourcing is estimated to more than double from its current US$23 billion to US$50 billion, and various western companies have announced their intention to increase the amount they source from India in the near future.

Whilst it is still a developing sourcing destination, India now presents an exceptionally attractive global sourcing option.

India Newsletter • 19

Embassy of India, Vienna

TRADE FAIRS INTERESTED IN VISITING A TRADE SHOW IN INDIA? In case your company is interested in visiting a tradeshow/B2B event in India, be it one listed here or another one that came to your attention, get in contact with us via marketingofficer@indianembassy.at to get more information about possible assistance/subsidies.

India International Leather Fair is a 3 day event being held from 1st February to 3rd February 2015 at the Chennai Trade & Convention Centre in Chennai, India.

This event showcases products like Leather, leather products, fashion accessories, machinery and equipment, chemicals etc. in the Leather & Leather Products industry.

BioAsia seeks to enhance, enrich and encourage newer innovations, path-breaking discoveries and effective solutions in the industry by offering a vibrant global platform for convergence of the key stakeholders - Biotech & Biopharma Companies, research institutions, investors, service providers, policy makers, regulators and analysts.

20 • India Newsletter

2-4 February Hyderabad

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India Newsletter • 21

Embassy of India, Vienna

22 • India Newsletter

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T

he preparation of 7th Vibrant Gujarat Summit, which is planned during 11th to 13th January 2015 at Mahatma Mandir, Gandhinagar, Gujarat, India have began well ahead by the Government of Gujarat after the Vibrant Gujarat 2013 Summit resounding success.Last summit has given an example of a visionary approach of the Government of Gujarat towards

inclusive and sustainable development. The sixth edition of the summit provided enormous prospects to the State to display its strengths, progressive stand, initiatives taken to improve governance, investor friendly climate and art & culture of Gujarat.

Six summits held so far have been a resounding success that immensely contributed to transformation of Gu-

jarat into a “Global Business Hub”. The brand “Vibrant Gujarat” began as an “investors’ summit” has now evolved into an ideal platform for knowledge sharing, social and business transformation. The Summit gradually evolved into a round-the-year investment promotion exercise with events scheduled well in advance of the main Summit planned in 2015.

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India Newsletter • 23

Embassy of India, Vienna

INVEST INDIA Federation House, Tansen Marg New Delhi—110 001 0091-11-23765085, 23487278 investindia@ficci.com www.investindia.gov.in

I

nvest India is the country’s official agency dedicated to investment promotion and facilitation. Set up as a joint venture between FICCI (51% equity), DIPP (35% equity held by the Department of Industrial

24 • India Newsletter

policy and Promotion, Ministry of Commerce & Industry) and State Governments of India (0.5% each), its mandate is to become the first reference point for the global investment community.

It provides granulated, sectorspecific and state-specific information to a foreign investor, assists in expediting regulatory approvals, and offers hand-holding services. Its mandate also includes assisting Indian investors make informed choices about investment opportunities overseas.

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TOURISM Devbagh: Casuarina Island

by Hugh & Colleen Gantzer All we heard were variations of soft whispers. The susurration of the sea on the sands of the beach, the sushhush of the wind in the feathery casuarinas, the rush of the breeze through the pinions of a sea eagle swooping down onto a surfacing fish.

It was quite magical. But then there is always a very special spell cast by an island: even if it is not, technically speaking, a true island. But who wants to speak technically on a getaway?

And Devbagh really is a great escape.

We drove down, and around, Karnataka’s great, hill-girt, bay of Karwar. We raced past the growling, growing, naval base set to protect the west coast from perils of the sea, and parked our car at a jetty that thrust into an estuary. On our right was a river spanned by a busy highwaybridge; on our left was a wide cove; straight ahead was a broad, sandy, shore backed by a dense grove of casuarinas. A cheerful boatman told us that, if we really wanted to, we could drive all the way round the cove, jounce along a rugged and sandy track, and reach the casuarina grove from the other side. We told him that we didn’t want to, boarded his motor boat, and sped across the estuary on the track of our white and bobbing wake. The casuarinas grew and grew, became more defined. A wooden jetty appeared, contemplating its own reflection with the serenity of a water-colour. A white paddy bird took wing, sailed silently above its image, perched on a bare branch beside a kingfisher as brilliant as a chip of the rainbow. Enchantment had begun to spread its spell.

at sighing branch level; it’s breakfast and lunch and dinner in the informal congeniality of the Gol Ghur where the sea breeze blows gently and everyone dines not wisely but too well on the simple substantial fare, the hallmark of the kitchens of the Jungle Lodges and Resorts.

And it’s a wonderful do-nothing place, if doing nothing is what you intend to do. But if activities are definitely on your vacation menu, as they are occasionally on ours, there’s an interesting river and bay cruise. Your boat could, with a little bit of luck, earn a visit by a pod of dolphins: ours did.

They are endlessly playful, intelligent, warm blooded creatures: so intelligent that they probably exchanged their land-lubber lives for the freedom of the seas, millions of years ago! Then there’s a trip across the creek to Lady’s Beach where a scimitar of golden sand is a hillock-backed beach, as lonely as something out of the Andamans.

We persuaded our guides to take us snorkelling. One of us can’t swim so wore a life-jacket and paddled slowly, safely, across the inlet.. A great experience.

We dined on some deliciously fresh seafood barbecued around a campfire on the Devbagh beach. There’s nothing like a Barbie .. as the Ozzis call it … to melt social ice barriers and have everyone calling everyone else by their first names.brothers do. „Dhola” is „white; „vira” is „brother”.

But all these diversions are really just so much icing on the Devbagh cake.

We could cheerfully do without them.

For us Devbagh is a place where we can forget the world of ringtones, deadlines, appointments, starched smiles and button-down mores.

Devbagh gives us time… yes ‘quality time’ if you must use that clichéd phrase.. for ourselves where we can be cocooned in our own personal space, above it all, away from it all with intruders literally kept at bay beyond the bay. We wake to the call of the sea eagle high in the pre-dawn sky, and then let drowsiness wash over us without any thought of those rasping 9-to-five routines.

We dine leisurely, lingering over breakfast, lunch and dinner without having to sign any checks because these are built into the tariff. (So, too, are dolphin-watching and the beach barbecue, though snorkelling and Lady’s Beach are optional extras.) Then we drift down through the casuarina grove to the beach and let the surf wash over our toes, and the sun warm our bodies.

And then, after our siesta .. everyone, except the desperately determined, has a siesta here … when the sun lays long, striated, shadows in the casuarina grove and the owls begin to wake up, we walk on the warm spread of the beach. With the sand under us, the sea cosseting our feet, and tomorrow stretching to the distant blue horizon, such lovingly treasured moments always last forever, in Devbagh…

Devbagh is dappled green shadows and the soft cushion of fallen casuarina needles underfoot. It’s birds and butterflies, fluttering; it’s people drifting soundlessly through the grove as if they were figures in a dream; it’s cottages on stilts, high above it all, wrapped in rustic warmth India Newsletter • 25

Embassy of India, Vienna

26 • India Newsletter

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INDIAN MOVIE EVENING AT THE EMBASSY Due to limited capacity, seats will be given on a first come, first served basis. Therefore, you are highly encouraged to reserve your seats online at www.indianembassy.at, via email under marketingofficer@ indianembassy.at

Rab Ne Bana Di Jodi - Ein göttliches Paar ■■ Synopsis: Surinder is married to Taani but there is a huge age gap between them. There is no real romance in the marriage. Then, a dance reality show called “Rab Ne Bana Di Jodi” airs and Taani wants to participate but can’t because her husband is not hip and happening.

She has a fear of losing, and she also fears that her friends will laugh at her. Surinder overhears her problem and decides to go in for a makeover.

He watches some movies and learns to dance in order to woo his young wife. Throughout the show, Taani keeps falling in love to with this newand-improved Surinder without once realizing that he’s really her husband.

■■ Genre: Comedy/Romance ■■ Directed by: Aditya Chopra ■■ Starring: Shahrukh Khan, Anushka Sharma and Vinay Pathak ■■ Released: 2008 ■■ Duration: 167 Minutes ■■ Language: Hindi ■■ Subtitles: German ■■ Image Quality: HD

Showtime January 30th, 17:30 Indian Embassy Business Centre (1st Floor, Kärntner Ring 2, 1010 Vienna) India Newsletter • 27

Embassy of India, Vienna

OVERSEAS INDIANS

Pravasi Bharatiya Divas Pravasi Bharatiya Divas (PBD) is celebrated on 9th January every year to mark the contribution of Overseas Indian community in the development of India. January 9 was chosen as the day to celebrate this occasion since it was on this day in 1915 that Mahatma Gandhi, the greatest Pravasi, returned to India from South Africa, led India’s freedom struggle and changed the lives of Indians forever.

PBD conventions are being held every year since 2003. These conventions provide a platform to the overseas Indian community to engage with the government and people of the land of their ancestors for mutually beneficial activities. These conventions are also very useful in networking among the overseas Indian community residing in various parts of the world and enable them to share their experiences in various fields.

During the event, individuals of exceptional merit are honoured with the prestigious Pravasi Bharatiya Samman Award to appreciate their role in India’s growth. The event also provides a forum for discussing key issues concerning the Indian Diaspora.

The Ministry of Overseas Indian Affairs The Ministry of Overseas Indian Affairs (MOIA) is an interactive ministry, dedicated to the multitude of Indian Nationals settled abroad. Established in May 2004 as the Ministry of Non-Resident Indians’ Affairs, it was renamed as the Ministry of Overseas Indian Affairs (MOIA) in September 2004. Driven by a mission of development through coalitions in a world without borders, MOIA seeks to connect the Indian Diaspora community with its motherland.

Positioned as a ‘Services’ Ministry, it provides information, partnerships and facilitations for all matters related to Overseas Indians (comprising Persons of Indian Origin (PIOs) and Non-Resident Indians (NRIs) .

The Ministry is headed by a Cabinet Minister. It has four functional service divisions to handle its diverse scope of services: ■■ Diaspora Services ■■ Financial Services ■■ Emigration Services ■■ Management Services The Ministry focuses on developing networks with and amongst Overseas Indians with the intent of building partnerships with the Diaspora.

Besides dealing with all matters relating to Overseas Indians, the Ministry is engaged in several initiatives with them for the promotion of trade and investment, emigration, education, culture, health and science & technology. Website : http://www.moia.gov.in

28 • India Newsletter

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NOTICE BOARD EMBASSY’S LIBRARY ■■ The EMBASSY’S library is opened DAILY from 10am to 1pm without appointment. NEW OPENING HOURS! ■■ For scheduling an appointment outside the opening hours, please contact the information assistant under infoasstt@indianembassy.at or 01 505 8666 33

BUSINESS CENTRE ■■ The EMBASSY’S Business Centre is opened DAILY from 10am to 1pm. NEW OPENING HOURS! ■■ For scheduling an appointment outside the opening hours, please contact the commercial wing under the contacts given below.

■■ Marketing Officer: marketingofficer@indianembassy.at or 01 505 8666 30 ■■ Marketing Assistant: marketingassistant@indianembassy.at or 01 505 8666 31

STUDENTS WELFARE OFFICER ■■ Mr. Pawan T. Badhe, Third Secretary in this Embassy has been designated as Officer to look after welfare of Indian Students in Austria and Montenegro.

■■ His contact details are: 0043 1 505 866 15 and cpolitical@indianembassy.at

MINISTRY OF EXTERNAL AFFAIRS GOES MOBILE Now you can...

■■ Avail services : passport, visa, consular assistance ■■ Ask your Minister : on the go, anytime, anywhere ■■ Follow your PM : on his visits abroad ■■ Find the nearest Indian Mission/Post : for emergency consular assistance ■■ Be informed : about India’s Foreign Relations on the move and form your own opinions ■■ Know more : about how to undertake Kailash Manasarovar Yatra and Haj Pilgrimage ■■ Download and watch : pictures & documentaries on India ■■ Play and Personalize : what you need, when you need ■■ Share and contribute : your views, pics & suggestions All this & much more on your smartphone Ministry of External Affairs proudly presents “MEAIndia” – an integrated smart app for mobile and other hand held devices ‘MEAIndia’ is now available for download on App Store and Google Play Store..

FACEBOOK ■■ Our Facebook page targets the India-Austria community and covers subjects such as Business, Culture, Embassy News, India-related events and programmes in Austria, and much more.

■■ We have reached the 1700 followers mark!

■■ ‘Like’ our facebook page and be the first to know!

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