Posts Tagged ‘science and technology’

The Positive Economic Growth in India

November 24, 2010

The economic growth in India is on a rampant move with Mr Pranab Mukherjee hoping the gross domestic product to reach 9 per cent as he said while addressing the India Economic Summit (IES) 2010.The economic growth in India is all set to surpass the developed countries as it rides high on back of manufacturing and an overall positive investment climate in India. The companies in India are all set to harness the potentials being created by the robust economic growth in India. The foreign companies in India are glad to be part of the investment climate in India, as the economies of the developed countries struggle to stay intact.

The investment climate in India is also representative of the growing Indian economy and the prospering business opportunities in India. The soaring sales being highlighted by the companies in India are reflective of the potentials of the investment climate in India. The investment climate in India is very much dependent on the consumer and the Economic Growth in India is boosting on basis of the latter. The economic growth in India is also ascertain to India’s foreign exchange reserves, which have crossed the US$ 300 billion mark for the first time since August 2008. The data in itself represents the positive investment climate in India and the economic growth in India.

Furthermore, economic growth in India’s merchandise exports will cross the US$ 200 billion target for 2010-11 and the Government is working with the industry to double India’s exports of goods and services by 2014, said Mr Anand Sharma, Union Minister of Commerce and Industry. The economic growth in India had registered a growth rate of 8.8 per cent in the first quarter of 2010. The investment climate in India is moving positively and is assisting to improvise the economic growth in India to achieve the double digits.

Significantly, with the two-way trade between India and the United States, expected to reach US$ 50 billion in 2010-11, with investments moving in both directions, said India’s Ambassador to the US, Meera Shankar. Thus, the investment climate in India is dependent on various factors including the positive attitude of the Indian Governments, besides the healthy competition environment as mooted by the Companies in India. The overall image of the economic growth in India is favourable especially in terms of the investment climate in India.

India’s infrastructure sector output grew 2.5 per cent in September 2010 from a year earlier, slower than the upwardly revised annual growth of 3.9 per cent in August, as per the Government data. The Investment climate India is also directly proportional to the demand and supply. The increasing consumer awareness and the ability to compare and ask for the best, in addition to the increasing economic growth is representative of the positive economic growth in India. The investment climate in India is an indicator of a boosting economic growth in India. Companies in India are representative of the investment climate in India, which is a harbinger of the growing economy and confirm the goal of the double digit growth as a reality.

Infrastructure and the Investment climate in India

November 10, 2010

India economy seems to be in its most positive note of development, as it witnesses overall infrastructure development, with companies in India and that from abroad demanding better infrastructure quality. The tempting and prosperous investment climate in India is reaching out to all corners of the globe. The investment climate in India is the most conducive market for companies to invest especially with focus on infrastructure sector which has given an impetus to the companies in India.
The companies in India are utilizing the potential created by availability of better infrastructure developments.

The recently held Commonwealth Games (CWG) also led to increased Infrastructure developments with regard not only to flyovers, metro lines, a new airport terminal but also infrastructure related to Sports. These infrastructure developments have created a much healthy investment climate in India, not only for the companies in India but also for companies coming from abroad and investing in India.

It is on these lines that the globe has become a more accessible place for companies in India including infrastructure developments related to IT. Significantly, Mr Pranab Mukherjee, Finance Minister expects around 50 per cent of the total spending on infrastructure to come from the private sector by 2012. The great advantaged of infrastructure is not only better transportation, accessibility or connectivity but also helps in improving the investment climate in India. Recently, riding on the investment companies in India, RITES (Rail India Technical and Economic Services) has expressed interest in offering its services in the infrastructure development including airports, roads, ports, railways, and mass rapid transit programmes in Kenya.

The Investment climate in India is one of the most significant factors especially during the global meltdown period. The infrastructure in India is coming to the international standards as the companies in India are ready to provide and compete the global markets besides the domestic markets.

Furthermore, the infrastructure developments in the Science and Technology sector is also reaching new heights and it is these infrastructure developments, which are leading the companies in India are witnessing a surge in funds from FII’s. Additionally companies in India like the Pune-based Thermax, has initiated a solar project at a village in Chakan near Pune, in association with the Department of Science and Technology at a cost of US$ 2.84 million to electrify the village. It is the science and technology sector, which forever provides inputs to the investment climate in India a boost.

Significantly, the science and technology sector includes nano technology, renewable energy, space sector besides other infrastructure related sectors. The investment climate in India being conducive and open to be harnessed is all ready for companies in India and that from abroad. In all the presence of good, sophisticated and latest technological infrastructure will attract the foreign firms to have their respective companies in India, besides reaping the benefits of the lucrative investment climate in India. Thus, concluding the investment climate in India to be of great potentials, which is offering potentials in infrastructure developments over a large base of sectors.

Fast Moving Consumer Goods

December 14, 2009

Driven by the fast moving consumer goods (FMCG) and apparel segments, the Indian retail market which is currently estimated to be around US$ 350 billion is expected to witness growth by nine per cent annually touching US$ 521 billion by 2012. Bharti Retail President and Chief Operating Officer (COO), Vinod Sawhny, speaking during an industry event, said, “FMCG and apparel sectors contribute the maximum to the growth of the retail market in India.” He added, “FMCG in particular has a huge potential to grow… and this will ensure a growth rate of nine per cent year-on-year for the retail sector, which is likely to touch US$ 521 billion by 2012.”

Meanwhile, retail companies in India are seeing their margins from FMCG companies go up from 14-15 per cent to 17-19 per cent as they compete for shelf space with retailers’ private labels. Some FMCG companies say that as retailers acquire scale, they also deliver supply chain efficiency and organized scale. The Indian food market, which at US$ 182 billion accounts for about two thirds of the total Indian retail market, has seen the entry of Yum! Restaurants which announced it will invest up to US$ 150 million (about Rs 700 crore) in India where it will compete with companies in India such as Nirulas and Haldiram in the country’s organized food and beverage retail sector.

In a recent development that is seen as the global emergence of the Indian FMCG sector, the consumer care and lighting division of Wipro announced its acquisition of the Yardley business in Asia, Middle East, Australasia and certain African markets for US$ 45.5 million from the United Kingdom-based Lornamead Group. Meanwhile the IT division of Wipro, Wipro Technologies, joined some large IT companies in India, including Tata Consulting Services (TCS) and Infosys, in beating estimates for the second quarter of the year 2009. IT companies in India are also seeing the return of big deals with HCL Technologies, Wipro, and Infosys bagging significant deals so far in 2009.

The company’s information technology arm, Wipro Technologies, meanwhile saw its second quarter profits rise 19 per cent to Rs1,162 crore, beating analysts’ estimates. This increase in profits for the company come on the back of significant overseas deal wins and improved demand for services in the United States. Indian information technology companies, Infosys and TCS also posted strong second quarter results and forecast higher growth. In the sphere of (informational technology enabled services) ITeS, Infosys BPO has acquired the US company McCamish for an upfront consideration of US$38 million.

India’s top-ranking status in the field of basic research came in for mention at the India Eco Summit held recently, where the panelists discussed whether, and how, India could become an innovation hub in the near future, given India’s strengths in science and technology and research and development. The governments of Australia and India have launched a US$ 100 million collaboration project on science and technology including green technology to combat the challenges in water, energy, health and environment as a result of climate change.