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07/2019
INDIA Contact: Rajesh Nath, Managing Director Please Note: Jamly John, General Manager Telephone: +91 33 40602364 1 crore = 10 000 000 Fax: +91 33 40602364 1 lakh = 100 000 E-mail: [email protected] 1 Euro = Rs.80
The Economic Scenario
Economic Growth The largest emerging market economies like India are experiencing an even more pronounced effect of the global downturn as per the IMF, warning that the global economy is witnessing synchronized slowdown which will result in slower growth for 90% of the world this year.
IMF pointed out that the widespread deceleration means that growth this year will fall to its lowest rate since the beginning of the decade. The World Economic Outlook to be released shortly will show downward revisions for 2019 and 2020.
Despite this overall deceleration, close to 40 emerging market and developing economies are forecast to have real GDP growth rates above 5% including 19 in sub-Saharan Africa. The precarious outlook presents challenges for countries already facing difficulties including some of the Fund's programme countries.
The Reserve Bank of India recently lowered India's GDP growth estimate for the year to 6.1% from the earlier figure of 6.9% due to the on-going period of economic slowdown. It is advised to use monetary policy wisely and enhancing financial stability.
Referring to a new IMF research, which shows how structural reforms can raise productivity and generate enormous economic gains, they refer to these changes as the key to achieving higher growth over the medium and long-term.
The right reforms in the right sequence could double the speed at which emerging markets and developing economies reach the living standards of the advanced economies as per IMF. While the need for international cooperation is going up, the will to engage is going down.
While bank credit numbers have been weak in FY19, broader data released by the Reserve Bank of India (RBI) shows that financing of business shrunk 87% in FY20 up to mid-September. The numbers indicate that the slowdown is more intense than earlier estimated and explains the RBI’s decision to
VDMA-Newsletter “India”, Edition 07/2019 Contact: Oliver Wack, Phone: +49 69 6603-1444 2 Indian Economic and Industrial Scenario, 07/2019 VDMA INDIA Office slash its growth forecast from 6.9% to 6.1%.
The total funds flow in FY19 (up to mid-September) to businesses from banks, capital markets and non- bank lenders stood at nearly € 92,500 million (Rs 7.4 lakh crore). This number shrunk to € 11,374 million (Rs 90,995 crore) in FY20 in the same period.
A large chunk of this difference comes from the € 38,750 million (Rs 3.1-lakh-crore) drop in bank credit growth. As against last year’s credit growth of € 23,125 million (Rs 1.85 lakh crore), banks’ lending went into the negative region by € 16,000 million (Rs 1.28 lakh crore) in the first half this year. The second big drop is in the flow from non-banks, which fell € 41,250 million (Rs 3.3 lakh crore) from € 68,750 million (Rs 5.5 lakh crore) to € Rs. 27,500 million (Rs 2.2 lakh crore). This drop was because finance companies and mutual funds did not invest in commercial papers (CPs) and other debt issued by businesses.
The slowdown in credit growth was led by public sector banks and private sector banks, while credit growth of foreign banks continued to be modest, despite some uptick in the recent period. While credit growth to agriculture and personal loans remained broadly unchanged in the last one year, credit growth to industry moderated in the last four months after accelerating continuously between August 2018 and April 2019. Credit growth to services has decelerated sharply since January 2019.
For banks, it is personal loans that have been the only drivers of credit. Within personal loans, credit offtake has been broadly concentrated in two segments — housing and credit card outstanding. Within industry, credit growth to beverages & tobacco, cement, engineering, vehicles, construction & power, telecommunications and roads in the infra segment accelerated.
Risk-averse banks are choosing to put their money in government bonds. Banks’ holding of government in excess of the statutory requirement stood at 6.9% of deposits, up from 6.3% as of end-March 2019. Among domestic non-bank sources of funding, public issues of equity and private placement increased significantly.
India ranks high in terms of macroeconomic stability and market size, while its financial sector is relatively deep and stable despite the high delinquency rate, which contributes to weakening the soundness of its banking system. India has moved down 10 places to rank 68th on an annual global competitiveness index, largely due to improvements witnessed by several other economies, while Singapore has replaced the US as the world's most competitive economy. India, which was ranked 58th in the annual Global Competitiveness Index compiled by Geneva-based World Economic Forum (WEF), is among the worst-performing BRICS nations along with Brazil (ranked even lower than India at 71st this year).
India is ranked also high at 15th place in terms of corporate governance, while it is ranked second globally for shareholder governance, the WEF study showed. In terms of the market size, India is ranked third, while it has got the same rank for renewable energy regulation. Besides, India also punches above its development status when it comes to innovation, which is well ahead of most emerging economies and on par with several advanced economies.
As per WEF with respect to the healthy life expectancy, where India has been ranked 109th out of total the 141 countries surveyed for the index, is one of the shortest outside Africa and significantly below the South Asian average.
Besides, India needs to grow its skills base, while its product market efficiency is undermined by a lack of trade openness and the labour market is characterised by a lack of worker rights' protections, insufficiently developed active labour market policies and critically low participation of women. With a ratio of female workers to male workers of 0.26, India has been ranked very low at 128th place. India is also ranked low at 118th in terms of meritocracy and incentivisation and at 107th place for skills. In the overall ranking, India is followed by some of its neighbours including Sri Lanka at 84th place, Bangladesh at 105th, Nepal at 108th and Pakistan at 110th place.
The drop of 10 places in India's position to 68th place may look dramatic, but the decline in the country's competitiveness score is relatively small. A number of similarly placed economies including Colombia, South Africa and Turkey improved over the past year and hence have overtaken India.
The study highlighted that the global economy is unprepared for a major slowdown. The Global Competitiveness Index (GCI), which was launched in 1979, maps the competitiveness landscape of 141 economies through 103 indicators organised into 12 pillars. Singapore has become the world's most competitive economy in 2019, pushing the US to the second place. Hong Kong SAR is ranked 3rd, Netherlands is 4th and Switzerland is ranked 5th.
VDMA-Newsletter “India”, Edition 07/2019 Contact: Oliver Wack, Phone: +49 69 6603-1444
3 Indian Economic and Industrial Scenario, 07/2019 VDMA INDIA Office
Industry Scenario
Infrastructure
GVK group to spend € 1063 million(Rs 8,500 Cr)on Navi Mumbai airport phase I The GVK group, which is in the process of developing Navi Mumbai International Airport, will be spending € 1063 million (Rs 8,500 crore) in the first phase to cater to 10 million passengers per annum. The airport is a public-private partnership venture in which the GVK-led Mumbai International Airport has a 74% stake with CIDCO, the Maharashtra government's nodal agency for the project, holding the remaining 26%. The greenfield international airport will be built on 1,160 hectares in phases and eventually cater to 60 million passengers per year. There is a possibility of spending another € 312.5 million (Rs 2,500 crore) or € 375 million (Rs 3000 crore) and another 20 million could go ahead. The initial concession period is 30 years from the appointed date which is extendable for a further 10 years. 94% of land development works have been completed as in April 2019 and about 85% of structures at the site have been demolished and vacated by CIDCO. The group is determined to acquire the 13.5% Mumbai International Airport Limited owned by South African firm Bid Services Division Mauritius or Bidvest.
Vedanta plans € 312.5 million (Rs 2,500 crore) plant for flat rolled products India’s largest aluminium maker Vedanta is expanding its portfolio of value-added products and is planning to set up an aluminium flat rolled products plant with an estimated capital expenditure of € 312.5 million (Rs 2,500 crore). Flat rolled products, or FRPs, comprise foils, sheets and plates and are used in the automobile, aerospace, consumer durables sectors, among others. This capex will be part of the € 1875 million (Rs 15,000 crore) investment plan by Vedanta to take its aluminium capacity from the current 2 million to 3 million tonnes in the next 3-4 years. They are looking at producing rolled products and entering the sheets market. For this, they are currently talking to Chinese players to see if they can bring a plant here. This project needs some capex. It also gives you high margins and therefore they are investing in R&D to move ahead in that direction. The company will be housing the plant in either of its two aluminium facilities in Chhattisgarh or Odisha.
Aviation watchdog may ask Boeing to set up 737 MAX simulators in India India's aviation safety regulator may ask Boeing to set up simulators in India to train pilots on the 737 MAX planes once it clears the aircraft as safe for flying. India's Directorate General of Civil Aviation (DGCA) will also conduct an independent inspection of the grounded planes once they are cleared for flying by the U.S. regulator, the Federal Aviation Administration (FAA). Boeing is making software changes and drawing up a new pilot training plan and will need to conduct a key certification test flight to get the FAA's approval before it can put the planes back in the air. Some federal officials expect the test flight to be conducted in October. Later this year India will send a team. They would like to take a look at their flight data, some simulators will also be required for training pilots. The Boeing 737 MAX is a more fuel-efficient version of the manufacturer's best-selling single-aisle 737 series.
Japanese Aichi Steel collaborates with Ludhiana's Vardhman Steel to tap automotive sector Leveraging the recast investment climate in Punjab, Japanese steel manufacturer Aichi Steel has collaborated with Ludhiana based Vardhman Special Steels giving further impetus to the export, employment and steel manufacturing potential in the state. The Aichi Steel, an affiliate of Japan’s Toyota Motor Corporation, would introduce cutting edge technology in the state through Vardhman besides improving quality of its products, reducing operational cost and bring process efficiencies. This partnership was aimed at achieving sustainable growth with ‘make in Punjab’ vision of the Chief Minister.
VDMA-Newsletter “India”, Edition 07/2019 Contact: Oliver Wack, Phone: +49 69 6603-1444
4 Indian Economic and Industrial Scenario, 07/2019 VDMA INDIA Office
Automobile
Ford hands over the wheels to M&M in € 239 ($275) million deal for India JV Ford Motor Co and Mahindra & Mahindra will form a joint venture in India valued at € 239 million ($275 million) to produce and sell vehicles in the country and export to emerging markets. The two companies have for months been negotiating the deal which will see Ford take a 49% stake in the new entity and end most of its independent local operations in the country. Ford will transfer its local automotive assets, including both its car manufacturing plants in the country, and employees to the new entity. By shifting to a joint venture, Ford is changing its India strategy where it has long run an independent operation in a market dominated by Asian car makers like Suzuki Motor Corp and Hyundai Motor Co. Ford's two car manufacturing plants one in Chennai in southern India and the other in Sanand in western India which was inaugurated in 2015 will be moved to the new joint venture. Ford will retain its engine plant at Sanand and its global business centre in Chennai. The new entity, which will be operationally managed by Mahindra, will develop and sell Ford brand vehicles in India and export Ford and Mahindra brand vehicles to emerging markets. The two companies expect to launch three new utility vehicles, starting with a midsize sport-utility vehicle (SUV).
Volvo selects Infosys as main supplier of digital services Volvo has selected the IT company Infosys as the main supplier to deliver Volvo Cars' digital transformation services for its enterprise applications and products. As part of this engagement, Infosys will offer next-generation application services leveraging its global delivery model (GDM), automation and other service optimisation levers to deliver effective service operations. They are delighted to be selected as one of Volvo Cars' main suppliers in its transformation journey to extend digitally advanced customer experience and create a scalable, cost effective and agile operating model. Infosys will also leverage Fluido, a leading salesforce consulting partner in Nordic countries such as Finland, Denmark and Sweden which it acquired in 2018, to deliver services under the deal.
Volkswagen group units merge into single Skoda-led entity Volkswagen Group India has received regulatory and statutory approvals to merge its three passenger car subsidiaries in the country into one entity which would be referred to as Skoda Auto Volkswagen India. The Pune-headquartered company will operate two production facilities in Pune and Aurangabad, and have regional offices in Mumbai, New Delhi and other locations across the country. The operational launch of Skoda Auto Volkswagen India Pvt Ltd marks an important milestone in the India 2.0 project. This merger creates one of the key prerequisites for working together more efficiently at all levels and achieving the group's long-term goal to gain significant market shares for Volkswagen and Skoda by 2025. The group now plans to combine the technology and management expertise of the team in India and realise true potential in a challenging, competitive environment. In July 2018, the Volkswagen Group announced investments of around € 1 billion as part of the India 2.0 project. In January this year, the company opened a new technology centre in Pune to develop vehicles based on the localised MQB-A0-IN subcompact platform, tailored to the requirements of local customers.
Tamil Nadu Govt looks to turbocharge EV manufacturing plans Tamil Nadu is working on feasibility studies across locations including Chennai, Coimbatore, Hosur and other southern cities with an aim to develop electric vehicle (EV) and component factory clusters. The industrial corridors near Chennai and Coimbatore with established automotive component clusters have emerged as ideal locations to draw automakers amid a central push towards electric vehicles. A detailed project report is being prepared by the state’s industries promotion corporation. The ultimate location of the EV park and related tenders are expected to be announced in February 2020. The state government announced deals worth nearly € 15 million (Rs 120 crore) in the electric vehicle and component manufacture space. Mahle Electric and Japan's Nissei will set up manufacturing ventures in Tamil Nadu. Tamil Nadu is looking at EV parks as a ticket to ensure the state builds a new technology ecosystem similar to the network created in the 90’s when the southern state attracted car manufacturers from Hyundai to Ford and Nissan. The Tamil Nadu government had also slashed sub- leasing charges to enable industries that have large and unutilised factory infrastructure to let it out without incurring much expenditure by way of payments to the government.
VDMA-Newsletter “India”, Edition 07/2019 Contact: Oliver Wack, Phone: +49 69 6603-1444
5 Indian Economic and Industrial Scenario, 07/2019 VDMA INDIA Office
Power
States asked to forego free power to make hydro projects viable The Centre is persuading state governments to forego their share of free power from hydroelectric plants to make the projects viable and put the hydropower sector on track. It proposes to hold a formal interaction on the issue with state governments at the ensuing review meeting in Gujarat between Union power minister and power ministers of states. India is targeting production of 75,000 MW of hydropower by 2030, up from 45,000 MW at present, to balance the electricity grid as the country aims to add 175 GW of renewable capacity. The Power Ministry has been emphasising on taking up only hydropower projects which are commercially viable. The Ministry has been urging state governments to play their part in making hydropower competitive by foregoing, deferring or staggering free power and, if need be, their share of goods and services tax (GST). Himachal Pradesh recently exempted 10 projects from supplying free power in the initial years. It also waived its share of state GST for the projects. The Himachal Pradesh government signed agreements with state-run NTPC, NHPC and SJVN for setting up 10 hydropower projects of 2,917 MW on Chenab river entailing an investment of about € 3500 million (Rs 28,000 crore).
Govt launches portal for monitoring coal supply to power plants The government has launched a portal for better coordination among the ministries of power, coal and Indian Railways for coal supply to power plants. The Prakash portal – ‘Power Rail Koyla Availability through Supply Harmony’ – will enable all stakeholders to monitor coal right from mines to transportation. This is a laudable project in ensuring adequate availability optimum utilisation of coal at thermal power plants. The Portal is designed to help in mapping and monitoring entire coal supply chain for power plants, viz coal stock at supply end (mines), coal quantities/ rakes planned, coal quantity in transit and coal availability at power generating station. Through the portal, coal company will be able to track stocks and the coal requirement at power stations for effective production planning. Indian Railways will plan to place the rakes as per actual coal available at siding and stock available at power stations while power stations can plan future schedule by knowing rakes in pipeline and expected time to reach.
NTPC increases capacity of 2 thermal power stations NTPC has two power generation units of 660 megawatt (MW) each at Tanda and Khargone thermal power plants. "Unit 1 of 660 MW of stage-II of Tanda Super Thermal Power Station (2x660 MW) and Unit 1 of 660 MW of Khargone Super Thermal Power Station (2x660MW) have been added to the installed capacity of NTPC. The total installed power generation capacity of NTPC and NTPC group has become 48,645 MW and 57,106 MW, respectively. Khargone Super Thermal Power Station in Madhya Pradesh is the country's first ultra-supercritical plant that operates at an efficiency of 41.5%. The high efficiency will result in less coal consumption for generating same amount of electricity vis-a-vis supercritical plants and will result in reduction of 3.3% carbon dioxide emissions. The company aims to achieve total installed capacity of 130 gigawatts by 2032.
Abu Dhabi’s Masdar to buy stake in Hero’s Green Energy arm Making its entry into renewable energy space in India, Abu Dhabi government-owned energy company Masdar Clean Energy is all set to acquire about 20% stake in Hero Future Energies, the renewable energy arm of the Hero Group of the Munjal family, for € 18.75 million ($150 million). Post the transaction, Masdar will own 20% stake, IFC will own 27% stake while the rest will be held by promoters. International Finance Corp (IFC), the private sector investment arm of World Bank, invested € 109 ($125) million in Hero Future in 2017. Hero Future has 1,200 MW capacity of installed solar and wind power while another 500 MW is being built and 300 MW more is in pipeline and has presence in 10 states of India with operating asset base across wind, solar PV (grid connected) and rooftop plants. Wholly owned by Mubadala Investment Company, the strategic investment company of the Government of Abu Dhabi, Masdar has made multiple acquisitions in new markets. The total value of renewable energy projects in which Masdar is a partner is more than € 7.4 ($8.5) billion.
VDMA-Newsletter “India”, Edition 07/2019 Contact: Oliver Wack, Phone: +49 69 6603-1444
6 Indian Economic and Industrial Scenario, 07/2019 VDMA INDIA Office
Paper & Printing
Bluecat Paper wants to make ‘tree-free paper’, made from cotton and plant fibres, mainstream Instead of wood pulp, Bluecat Paper uses cotton, linen rags, coffee husk, banana fibre, mulberry, corn husk and flax fibre among other things. Paper is mostly produced from wood pulp, which requires sawing of timber and removal of bark. The paper industry consumes 42% of all the wood felled industrially every year and its share of the world’s cleared forest is an area of about three million hectares annually. In the past four decades, the use of paper has risen by 400%. Roughly 26% of solid waste dumped in dumping sites is discarded paper and paperboard. A report by the Food and Agriculture Organisation of the United Nations says that by 2050, more than half of the world’s total demand for wood and wood products is likely to consist of paper and paper products. But handmade papers are expensive as their production is labour- and time-intensive. Most machines are developed for rolls of paper, whereas handmade paper is made into sheets. At Bluecat, they can make 5,000 to 6,000 sheets of paper a day. But this number is a trifle compared to the lakhs of sheets manufactured at a paper mill every day.
Imports of paper & paperboard up 29.5% in Q1; capacity utilisation drops India's imports of paper and paperboard grew by 29.50% in Q1FY20 to € 313 ($360) million. The development comes at a time, when despite a growing demand in the domestic market, rising imports have reduced paper manufacturers' capacity utilisation to around 75-80%. According to Central Pulp & Paper Research Institute (CPPRI) data, out of 861 paper mills in the country, only 497 are operational, showing the stress in the industry. India’s imports of paper and paperboard have shown a huge increase of 36.6% in volume terms in Q1FY20 over Q1FY19. The Indian market for paper is growing at 6-7% per annum, most of the increase is being taken over by imports. Out of an estimated market size of 186 lakh metric tonnes, imports have cornered more than 15% and were 28.45 lakh metric tonnes in 2018-19. India’s paper industry is operating at 80% of the capacity, which is low for a high capital intensive and continuous process industry like paper.
The rise of Indian paper industry With a growth rate of 6-7%, India is the fastest growing market in the world for paper. However, inadequate raw material availability and government’s policy of extending preferential tariff treatment to import of paper under the free trade agreements (FTAs) has left the industry exposed to cheaper imports hurting domestic manufacturing. India represents an island of growth for the global industry. Expanding middle class, urbanisation, rise in disposable incomes and growth in print media are providing a fillip to consumption of paper in India. The paper industry has managed to bring down its energy consumption by about 20% in the last five years. Integrated paper mills in India now generate 50-60% of the power they use by utilising the black liquor from the pulping process. In the first two cycles of PAT (perform achieve trade) scheme of the government, the paper industry significantly over- achieved the mandated stiff targets for energy saving.
Paper bags market to grow by 4% According to a new research study, the worldwide sales of paper bags reached three million tonnes in 2018. The report has found the paper bags market to grow by 4% year-on-year in 2019, primarily influenced by the recent reforms in the global paper packaging landscape. According to the report, increasing focus on environment-friendly and cost-effective packaging formats are contributing to the build-up of paper bags market through 2029. Consumer preference for sustainable packaging, which is easy to handle and has good strength, will also continue to provide a fillip to the sales of paper bags in 2019 and beyond. The study has found that bags manufactured from kraft papers are playing a vital role in modern lifestyle, whereas consumer preference for paper bags is increasing, owing to its benefits such as cost efficiency, easy usage, and eco-friendly packaging. The demand for these paper bags is estimated to shoot up by the end of 2029, as they are great for reducing infestation and act as good moisture barriers. With increasing awareness, end users are having more demand for paper bags. VDMA-Newsletter “India”, Edition 07/2019 Contact: Oliver Wack, Phone: +49 69 6603-1444
7 Indian Economic and Industrial Scenario, 07/2019 VDMA INDIA Office
Ports & Shipping
Trade with northeast region to improve with access to key Bangladesh Ports The agreement between India and Bangladesh for use of the latter’s Chattogram and Mongla ports will significantly allow better connectivity with the northeast India, and help improve trade in the region, Shipping minister. A Standard Operating Procedure (SOP) was agreed upon last week, with Bangladesh allowing the use of its two ports for movement of goods to and from India through its territory, through which three landlocked states in the northeast region of India Assam, Meghalaya and Tripura will get access to open sea trade routes from Chattogram and Mongla Ports via Indian ports. The SOP on use of the two ports was finalised recently in October, when Bangladesh Prime Minister was visiting India. One major collaboration with Bangladesh will bring in a revolutionary cost-cutting in the shipments to and from the North Eastern States. The agreement is to use Chattogram & Mongla ports of Bangladesh for shipments which will drastically reduce the transportation costs. With this development, the government is expecting food grains, fruits, organic products, tea, fish, jute cargo to be transported from North East India to various parts of India through Chattogram and Mongla ports.
New framework for coastal economic zones to be out soon The Union government is drafting an institutional framework for the execution of coastal economic zones (CEZs) in consultation with states and will soon finalise it. The government is taking inputs from various stakeholders like state governments and central line ministries based on which an institutional framework for CEZs will be finalised. The proposal for developing a prototype CEZ has been taken up by the central government. CEZs are an initiative of the Ministry of Shipping. The proposal still is in the initial stage, and issues like challenges and way forward are being thoroughly discussed. As part of the National Perspective Plan under the Sagarmala programme, the government had in July 2016 announced building 14 CEZs, which will be aligned to ports in maritime states. These will house coastal economic units for setting up manufacturing facilities. For promoting port-led industrialisation, the 14 CEZs will cover all maritime states and Union Territories.The Sagarmala programme has four essential features — port modernisation, port connectivity, port-led industrialisation, and coastal community development. The CEZs fall in the third category.
Sical in talks with DP World, others to sell its port assets Sical Logistics a leading offshore and multimodal logistics services firm owned by the Coffee Day Group, is in exploratory talks with Dubai Port World (DP World) and some other strategic investors for the sale of assets including Sical Iron Ore Terminals Ltd. The talks are for Sical’s assets in Ennore’s Kamarajar Port, including dedicated iron ore and coal terminals at the facility, valued at about € 88 – 100 million (700-800 crore). Sical, which has net debt of close to € 187.5 million (1,500 crore), aims to reduce this by half through the transaction. The group is believed to have invested a little over € 125 million (Rs 1,000 crore) capital expenditure on the asset. The company is an integrated logistics solutions provider for bulk and containerised cargo and has interests in mining, port logistics, road and rail transport, container freight station, warehousing and shipping among others.
MoD signs contract with Russian company to modernise radar, missile systems on P-15 class ships The Ministry of Defence (MoD) has signed a contract with Russian defence company JSC Rosoboronexport to modernise the radar and missile systems that would enhance the air defence capability of the P-15 ships. As part of the scope of work under modernisation, major overhaul and refurbishment of the systems would be undertaken in India. In addition, manufacturing of critical hardware would also be undertaken in partnership with the Indian industry. The contract for modernisation of Air Defence Complex Kashmir and Radar Fregat MAE on P-15 (Delhi Class) of ships was signed between the Ministry of Defence, India and JSC Rosoboronexport, Russian Federation in September 2019. The modernisation of radar and missile systems would substantially enhance the Air Defence capability of the P-15 Ships.
VDMA-Newsletter “India”, Edition 07/2019 Contact: Oliver Wack, Phone: +49 69 6603-1444
8 Indian Economic and Industrial Scenario, 07/2019 VDMA INDIA Office
Garment and Leather
Indian cricket captain brand One8 forays into kids’ category with Puma Indian cricket captain, Virat Kohli has launched athleisure wear for little boys under his brand One8 in collaboration with German sportswear brand Puma. Designed by the captain himself, the collection comprises a range of sneakers, tees, shorts, active pants and accessories such as backpacks and beanies for boys aged from 4-14 years. With this collaboration, Kohli’s brand One8 which sells adult apparel, footwear, fragrances, packaged water and energy drinks, forays into kids’ category. The captain is the highest paid celebrity in the country, has an € 14 million (Rs 110 crore) deal with sportswear brand Puma. Puma One8, co-owned by the captain and Puma, grossed over € 13 million (Rs 100 crore) in the Indian market within a year of its launch in 2018. Other Indian cricketers such as MS Dhoni with brand Seven, Sachin Tendulkar with SRT and Yuvraj Singh with YouWeCan have their own range of sports and athleisure wear. However, none of these sportsmen have come close to Kohli in business volume.
Lenzing Ecovero marks entry into Indian fashion brands Lenzing Ecovero, the sustainable and environmentally responsible viscose fibre brand of Lenzing group, is partnering with lifestyle fashion brands. This will offer customers a special collection by the brands made with sustainable fibre, a fresh new take on timeless designs, blending architecture with art. Leading this trend is a growing demand for sustainable fashion within the Indian market and they are delighted to expand their existing association with a global appeal. Lenzing Ecovero is an innovation by the Lenzing Group, makers of Tencel fibres. Tencel is also part of the FW19 collection with both brands. Lenzing Ecovero is a sustainable viscose brand manufactured only from certified and controlled wood sources and produced with significantly lower emissions and water than generic viscose, making it one of the best sustainable fibres in the industry.
Spykar launches18 year Aged Jeans“Vintage & Rare Spykar, India’s leading fashion denim brand has launched the Vintage & Rare denim collection, which have Vintage vibes redefined for today’s youth. The exclusive pair of contemporary denims have been aged 18-years to give the young fashionistas a taste of Vintage. Launched in limited edition as a part of the AW19 collection, Spykar ensures that the Gen Z fans don’t have to wait 18 years to get their own Vintage pair. Pre-aged 18 years, each piece of the limited-edition denim is handcrafted by a skilled force to deliver the distressed, mended and long preserved look. The denims have gone through various dry and wet processes to get natural fading, nicking at the edges, different levels of abrasions and distress vintage effects to age the denim by 18 years. This pair is a rare combination of being a great product yet being environmentally friendly. These jeans are made at factories which follow environmental conservation norms. Steps such as use of Solar Energy, Water Recycling, Zero Liquid Discharge (ZLD), Cloud Wash, use of LASER and Ozone technology, make the product a rare combination of being environmentally friendly, high on design experience and yet commercially available at stores.
Advent International acquires a 100% stake in Enamor Global private equity Advent International announced that it has acquired a 100% stake in Enamor, a leading women’s premium innerwear brand in India, from India Alternatives, Faering Capital and the Promoters for a combined equity value of approximately € 40 million (Rs 320 crore). This is Advent’s eighth investment in India in the past four years and its fourth in the consumer goods sector during the same period. Founded in 2001 as a joint venture with Barbara of France, Enamor offers a high-quality range of lingerie, sportswear and athleisure wear. The company has 20 exclusive brand outlets and over 4,500 points of sale nationwide. Enamor is a market leader in a dynamic segment with significant growth potential and a strong management team who will continue to lead the business. Women’s lingerie in India is a high-growth market, with only a few strong brands in operation. As lingerie sales increase alongside disposable income, Enamor, one of the market’s leading players, is strongly positioned to benefit from these trends. VDMA-Newsletter “India”, Edition 07/2019 Contact: Oliver Wack, Phone: +49 69 6603-1444
9 Indian Economic and Industrial Scenario, 07/2019 VDMA INDIA Office
General
Major component of the Apache attack helicopters will be made in India Giving a fillip to the government’s ‘Make in India’ initiative, a major component of the Apache attack helicopters for the Indian Army will be made indigenously. The fuselage of the six Apaches for the army will be made at the Tata Boeing Aerospace Limited (TBAL) facility in Hyderabad. The fuselages for a global demand of Apaches will also be made at the facility. India became the 16th country to procure the Apache when the Indian Air Force (IAF) inducted eight of them at the Pathankot Air Base. The IAF is using the latest version of the Apache known as AH-64E. This variant is flown by the US Army. Other customers of the Apache are the UK, Israel and Japan. Since 1984, the US Army and other nations have received more than 2,200 AH-64 Apache helicopters. The fuselage being made in Hyderabad are for global orders and the six Apaches for Indian Army. This is a huge part of Make in India. They have just started the line and are moving into the phased production at the moment. Boeing is committed to supporting the modernization requirements of the Indian armed forces and maintaining them to be mission ready.
Defence manufacturing corridor to be set up along Bundelkhand E-way The government has planned to set up a defence manufacturing corridor along the proposed Bundelkhand Expressway, which will make India self-reliant, in defence production. A defence expo will be organised in February 2020, in which more than 100 countries have confirmed their participation. Uttar Pradesh will contribute in making India self-reliant in defence production. Apart from organising unique events like the Prayagraj Kumbh and Deepotsav as well as the Pravasi Bhartiya Diwas in Varanasi, the government focused on providing corruption-free governance and good law and order situation. The construction of the Meerut-Prayagraj Expressway will commence next year. Each of the 75 districts will have a four-lane connectivity. Apart from this, Bundelkhand Expressway has also been planned. Before 2017, only two cities (in UP) had air connectivity and now the number has gone up to six. Eleven new airports and two international greenfield airports have been planned. Three cities have Metro system.
Government amends norms to let EV charging stations choose technology The government has modified electric vehicle charging station norms to let developers choose charging technologies depending on the market demand. The government plans to amend existing charging station guidelines to give a free hand to the developers in choosing technology. The guidelines specifiy the type of chargers of different standards (viz. CCS, CHAdeMO, Type-2 AC, Bharat AC 001) thus ensuring that the public charging station (PCS) owners have the freedom to install the chargers as per the market requirement. To keep the PCS technology agnostic, it has been provided that any other fast/slow/moderate charger as per approved DST/BIS standards whenever notified can also be installed at the PCS. Thus, the guidelines provide an extensive flexibility while ensuring a democratic choice to both electric vehicle owners and PCS providers to install the type and number of chargers. The government has realised this may raise costs and make it unattractive business model for charging station developers. The government is now considering letting investors choose among the charging Infrastructure technology. The guidelines provided that domestic charging of electric vehicles shall be akin to domestic consumption of electricity and shall be charged as such.
European manufacturer signs up to make missiles in India with BDL MBDA has announced an agreement to assemble and integrate cutting edge missile systems in India with the state-owned Bharat Dynamics Limited (BDL), with officials saying that new facilities that will be set up can also be geared for exports to other nations. MBDA, which also makes the entire weapons package for the Rafale fighter jet, has mentioned that the Memorandum of Understanding (MoU) was signed in September in London with the Chairman and Managing Director of BDL. The European manufacturer already makes its Milan 2T anti tank missiles with BDL and also has a joint venture with private sector player Larsen and Toubro to develop and manufacture future anti tank weapons for the armed forces. The company has announced that the new pact with BDL is for the final assembly, integration and test of its Mistral and ASRAAM missiles in India.
Vodafone Idea and Kia Motors, enter pact on UVO connected car services Vodafone Idea and Kia Motors have inked a pact wherein the telco will provide Internet of Things (IoT) solutions in navigation, safety and security, vehicle management, remote control and convenience for the India debut of UVO connected car system in the Kia Motors' SUV Seltos. Kia Seltos will have advanced connected car functionality, while Vodafone Idea’s IoT solutions will help the car maker to deploy a strong, connected solution in the Indian market through integration of eSIMS with Voice, 3G/4G data, SMS, Secured APN service and API integration. The solution allows Kia to locate its cars, enable real-time exchange of data and power a whole range of telematics enabled connected car services to its customers as per telco.
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Focus State – Uttar Pradesh
Governor : Smt Anandiben Patel
Chief Minister : Shri Yogi Adityanath
General Facts Area (sq km) 2,43,286 sq kms Total Population 20.42 crores
Literacy Rate 67.68% Chaudhary Charan Singh International Airport, Lal Bahadur Shastri International Airport, Bamrauli Airport, Chakeri Airport, Civil Airport, Kheria Aiport, Sarvasa Airport, Hindon Airport, Faizabad Airport, Jewer Airport, Lalitpur Airport, Jhansi Airport, Gorakpur Airport, Taj International Airport, IIT Kanpur (Kalyanpur Airport), Bareilly Airport, B.R. Ambedkar Airport, Airports Kushinagar Airport.
Infrastructure
Roads Uttar Pradesh is well-connected to its 9 neighbouring states & other parts of India through 48 national highways. The length of national highways running through the state accounts for about 8.5% of the total National Highway (NH) length in India. Yamuna Expressway has 6 lanes & is 165-km long with controlled-access which connects Greater Noida with Agra. As of April 2019, 14,804 habitations were eligible under Pradhan Mantri Gram Sadak Yojana (PMGSY) out of which 11,749 were cleared and further 11,747 habitations were connected.
By Air The state has six domestic airports, located at Agra, Allahabad, Gorakhpur, Kanpur, Lucknow and Varanasi. International flights operate from Chaudhary Charan Singh International Airport, Lucknow, and Lal Bahadur Shastri Airport, Varanasi. In April-March 2019, Lucknow and Varanasi airports handled 6,111 million tonnes and 2,657 million tonnes of freight, respectively. In May 2018, Uttar Pradesh government received approval from the Civil Aviation Ministry for the construction of Noida International Greenfield Airport at the North of Jewar Village in Uttar Pradesh.
Railways Uttar Pradesh has the biggest railway network in the country with a railway density of 40 km which is double the rail density of the India. Agriculture, cement, fertilisers, coal and manufacturing are the major sectors and industries served by the railways. Various parts of the state is caterering to five of the 17 railway zones in India. These are Northern Railways, North Eastern Railways, East Central Railways, North Central Railways and West Central Railways. As per state budget 2018-19, Uttar Pradesh government has increased its railway budget compared to previous year to € 4.86 ($ 5.59) billion for development of several projects such as re-development of Charbagh railway station, Lucknow Junction and Gomti Nagar stations, over bridge at Malhaur and development of passenger amenities at Alamnagar station. As of October 2018, the Cabinet Committee on Economic Affairs had approved a new railway line between Bahraich and Khalilabad. The total length will be 240.26 km with an estimated cost of € 612.36 ($ 703.87) million VDMA-Newsletter “India”, Edition 07/2019 Contact: Oliver Wack, Phone: +49 69 6603-1444
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Power Uttar Pradesh was one of the states to bring in power sector reforms in the country. The fundamental restructuring of the state power sector was processed in mid 1990s, wherein world bank was one of the main agencies funding in power sector reforms in India. As of April 2019, Uttar Pradesh had an installed power generation capacity of 25,130.02 MW (comprising 6,218.20 MW under state utilities, 12,443.93 MW under private utilities & 6,467.89 MW under central utilities). Thermal power contributed 18,529.21 MW to the state’s total installed power generation capacity, followed by a contribution of 3,368.63 MW by hydropower, 289.48 MW by nuclear power & 2,942.70 MW by renewable power. Energy requirement in the state was 117,101 million units (MU) between Apr-Mar 2019. Power generation in the state for 2018-19 reached 10,343.62 GWH.
Telecom The Uttar Pradesh circle has good telecom infrastructure, with all the major players providing services in the state. The state has a huge postal circle (17,670 post offices) divided into six regions: Allahabad, Agra, Bareilly, Gorakhpur, Kanpur and Lucknow. By the end of February 2019, 41.81 million subscribers had submitted requests for mobile number portability in Uttar Pradesh. In December 2017, major telecom companies are being called in for providing connectivity as part of the Government of India’s plan of setting up 5 million smart meters across Uttar Pradesh and Haryana.
Economy At current prices, the GSDP of Uttar Pradesh was € 185.98 ($213.78) billion in 2018-19. The GSDP grew at a CAGR of 13.43% from 2011-12 to 2018-19. The state’s per capita GSDP in 2018-19 was € 829 ($ 953) compared € 651 ($ 749) in 2011-12. Per capita GSDP increased at a CAGR of 9.73% between 2011-12 and 2018-19. The NSDP of Uttar Pradesh was € 165.87 ($ 190.66) billion in 2018-19. The NSDP grew at a CAGR of 11.42% between 2011-12 and 2018-19. The state’s per capita NSDP in 2018-19 was € 739.5 ($ 850) compared with € 580.29 ($ 667) in 2011-12. Per capita NSDP increased at a CAGR of 9.74% between 2011-12 and 2018-19.
In 2017-18, the tertiary sector contributed 47.77% to Uttar Pradesh’s GSVA at current prices, followed by the primary sector (26.84%) and secondary sector (25.40%). The tertiary sector grew the fastest among the three sectors from 2011-12 to 2017-18 (11.79% CAGR). The growth was driven by trade, hotels, real estate, finance, insurance, transport, communications and other services. The primary sector expanded at a CAGR of 10.22% between 2011-12 and 2017-18. The growth was driven by agriculture and forestry. The secondary sector expanded at a CAGR of 10.00% between 2011-12 and 2017-18. This was driven by manufacturing, construction, and electricity, gas & water supply.
According to the Department of Industrial Policy & Promotion (DIPP), cumulative FDI inflows1 in Uttar Pradesh, during April 2000 to December 2018, amounted to € 596.82 ($ 686) million. The tertiary sector of Uttar Pradesh was a major contributor to the GSVA of the state, followed by the primary sector and the secondary sector. A 50-member delegation from US, representing 26 major companies has shown interest in investment opportunities in Uttar Pradesh, giving a boost to employment opportunities in the state. In 2019 (up to March), 29 investment intentions worth € 290.14 ($ 333.5) million were filed in Uttar Pradesh. Merchandise exports from Uttar Pradesh reached € 12 ($ 13.80) billion in 2017-18 and € 14.17 ($ 16.29) billion in April 2018-March 2019. Buffalo Meat is the largest export item from Uttar Pradesh, accounting for nearly 10.44% of total exports in 2018-19, followed by Telecom Instruments (4.82%) and RMG Man-Made Fibres (3.63%).
Urban Infrastructure Uttar Pradesh government targets improving basic urban infrastructure and water supply in 61 cities and towns with a population of above one lakh each by 2019-20. As per state budget 2018-19, a total amount of €1.54 ($ 1.78) billion has been allocated to ‘Pradhan Mantri Awas Yojna’ and around € 26.99($ 31.03) million allotted ‘Mukhya Mantri Awas Yojna’. The Government of Uttar Pradesh has proposed an investment of € 674.64($775.80) million for the Swachch Bharat Mission (Grahmin) in State Budget 2018-19. In the State Budget 2018-19, an allocation of Rs 1,500.00 crore €201.84($232.00) million for National Rural Drinking Water programme and €16.19($ 18.62) million for State Rural Drinking Water Programme has been made. Under the Smart Cities Mission launched by the central government in Uttar Pradesh, 13 cities were proposed to be developed as smart cities. In August 2015, 12 cities were shortlisted to be developed as smart cities, namely - Kanpur, Lucknow, Allahabad, Jhansi, Moradabad, Aligarh, Saharanpur, Bareilly, Varanasi, Ghaziabad Agra and Rampur. Out of these, 7 cities have been included by the central government, until the third round of the mission. In the fourth round released in January 2018, 3 new cities have been chosen, namely, Bareilly, Moradabad and Saharanpur. As per state budget 2018-19, amount of € 222.72 ($256.01) million has VDMA-Newsletter “India”, Edition 07/2019 Contact: Oliver Wack, Phone: +49 69 6603-1444
12 Indian Economic and Industrial Scenario, 07/2019 VDMA INDIA Office been allocated for ‘Smart City Mission’. As of July 2018, € 103.81($ 119.33) million has been released for smart city projects in Uttar Pradesh.
Social Infrastructure
Education Uttar Pradesh has 72 universities out of which 28 are state universities, 9 are deemed universities, 6 central universities, and 29 private universities. As of 2017-18, Uttar Pradesh has 74 universities, 6,922 colleges and 3,143 Industrial Training Institutes. The state is one of the few states to have successfully implemented the education for all policy. Consequently, the state has made various investments towards escalation of the standard of education across various levels. The state has a good presence of private players in the education sector. In the state budget 2018-19, the state government allocated € 276.45 ($ 317.77) million for Mid-Day-Meal, € 2.45 ($ 2.82) billion for Sarva Shiksha Abhiyan. Allocations of € 64.79 ($ 74.48) million and € 3.50 ($ 4.03) million have been made for ‘Rashtriya Madhyamik Shiksha Abhiyan’ and Rashtriya Uchchatar Shiksha Abhiyan respectively. According to the provisional data of Census 2011, Uttar Pradesh has a literacy rate of 69.72% the male literacy rate is 79.24% and the female literacy rate is 59.26%.
Health The state has a 3-tier public healthcare infrastructure, comprising primary health centres (PHCs), health units, community health centres (CHCs) & sub-centres. As per state budget 2018-19, the state had 170 mobile medical units (MMU) to provide a range of preventive & curative healthcare services at PPP route, the state also has 100 new Ayurveda hospitals.
Industrial Infrastructure Uttar Pradesh, a state with an access to a robust industrial infrastructure, has 15 industrial areas, 12 specialised parks, 4 growth centres & Industrial Infrastructure Development Centres (IIDC). As of January 2019, Uttar Pradesh had 21 notified, 12 operational SEZs and 24 formally, approved SEZs. The state has proposed 40 IT/ITeS parks (apart from IT SEZs), 2 biotech zones & a knowledge park. The development of integrated agro/food processing zones has been proposed at Hapur, about 54 km from Delhi. The state government sanctioned 20 SEZs in the state to accommodate various sectors such as IT/ITeS, textiles, handicrafts, and non-conventional energy. IT/ITeS accounted for the maximum share of approved SEZs in the state which accounted for 80% of the 20 SEZs, followed by electronic products contributing 18% to the overall share.
Tier–II cities are attractive destinations for the IT/ITeS industry and Uttar Pradesh can tap the potential of its cities such as Lucknow that are in proximity to Noida and NCR. During 2016-17, the total exports from the operating SEZs in the state of Uttar Pradesh stood at € 1.42 ($ 1.64) billion. Under central government scheme, various integrated industrial development centres have been developed so as to boost the development of micro small & medium industries at Etah, Banthar (Unnao), Kosi Kotwan (Mathura), Kursi Road (Barabanki) & various other places. The Greater Noida Phase-II has 19% land reserved for industrial use. In February 2018, Essel group announced MoUs worth € 2.41 ($ 2.78) billion to boost state infrastructure by manufacturing Ebuses.
Key Industries in the State
IT & ITeS The major factors backing the IT & ITes industry in the state are the structured incentives to IT & ITeS companies. For instance, IT/ITeS companies with investments of more than € 0.68 ($ 0.79) million can avail interest free loans. Moreover, the increasing upgradations in the infrastructure owing to rising investments along with proximity to the pool of talent are additional positive factors for the IT/ITes industry in the state. As per budget 2018-19, an amount of € 4.04 ($ 4.65) million have been allotted for e-office system in all government offices and an allocation of € 33.74 ($ 38.79) million for start-up fund. The state cabinet approved UP Defence and Aerospace Units and Employment Promotion Policy 2018, with an intention to generate 0.25 million jobs and expects an investment of €6.49 ($ 7.46) billion over the next five years.
Agro & Food Processing Uttar Pradesh is the largest producer of Vegetables, wheat and food grains in India. Major food grains produced in the state include rice, wheat, maize, millet, gram, pea & lentils. Production of Vegetables stood 27.52 thousand MT in 2017-18. Food grain production in 2016-17 stood at 49,903.1 thousand tonnes in the state. In 2017-18, food grain production in the state stood at 51,252.7 thousand tonnes and 18,416.3 thousand tonnes under Kharif season in 2018-19. The state government has made a record wheat purchase of 23.20 thousand metric tonnes in just 53 days. With this purchase,
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Government has benefitted and encouraged the farmers by crediting € 437.30 ($ 520.6) million directly to their accounts. Moreover, the state government has already started 5,000 wheat purchase centres across Uttar Pradesh from April 1, 2017. In 2017-18, exports of major agriculture commodities from Uttar Pradesh stood at € 2.46 ($ 2.83) billion.
Easy access to raw material and huge potential of establishing new units in Eastern Uttar Pradesh have given a boost to sugar manufacturing in the state. There is a huge demand for by-products of the sugar industry. Uttar Pradesh is the second largest sugar producing among states in India. The state recorded with 11.7 million tonnes of sugar production by the end of May 2018-19. Sugarcane is produced in 44 districts of the state & of these districts, 28 districts are major sugarcane producing districts. As of November 2017, there were around 110 operational sugar mills in the state. The state is among the largest sugarcane producers in India and accounted for 47.005% of the country’s sugarcane production in 2017-18, total sugarcane production was around 177.06 million tonnes in 2017-18.
Uttar Pradesh is recognised as a major milk-producing state in India. Milk production in the state stood at 29.05 million tonnes in 2017-18, accounting for 16.50% of the total milk production of the country. Per capita milk availability in the state stood at 359 grams per day in 2018-19. The dairy sector of the state is anticipated to show enormous growth after the incorporation of National Dairy Plan (NDP). National Dairy Plan has been introduced in eight districts of Uttar Pradesh namely Meerut, Ambedkarnagar, Lucknow, Bijnore, Gonda, Farrukhabad, Barabanki and Faizabad. The plan will encourage the state to introduce scientific measures to increase milk production. The phase 1 of the National Dairy Plan is for a period from 2011-12 to 2018-19. As per budget 2018-19, € 2.02 ($ 2.33) million has been allocated for National Programme for Dairy Development (NPDD) schemes.
Tourism Uttar Pradesh is one of the most preferred states in the country due to the presence of a bouquet of tourist destinations in the state. The eminent tourist & historical destinations are Varanasi, Piprahwa, Kaushambi, Shravasti, Kushi Nagar, Agra, Lucknow, Chitrakoot, Jhansi, Allahabad, Vrindavan & Meerut. Varanasi, being one of the most prominent religious & cultural cities in India, attracts a huge chunk of tourists every year. Recently the central government launched a policy to encourage tourism in the city, which is expected to boost the sector significantly. In 2017, domestic tourist arrivals in the state were 234 million1 and stood second. Foreign tourist arrivals had crossed over 3.57 million1 and rank third. As per state budget 2018-19, € 167.38 ($ 192.4) million has been allocated to boost religious tourism.
Renewable Energy Uttar Pradesh has capacity to produce 28 GW of renewable energy. The state government has set an objective of annual addition for production capacity of solar energy to 2,000 MW. The state has tremendous potential to increase its biomass energy production in 97,589 villages. the state is the largest producer of sugarcane and second largest producer of rice in India, the by-product bagasse and rice husk form abundant raw material base for power production. The state is rapidly increasing its installations for renewable energy production. There has been 38% increase in production capacity of grid connected to renewable energy in 2017-18.
State Acts & Policies UP Defence and Aerospace Units and Employment Promotion Policy, 2018 To attract investors by offering a slew of incentives for establishing units along the corridor. To generate 0.25 million jobs in collaboration with Employment Promotion Policy 2018.
New Tourism Policy 2018 To attract Rs 5,000 crore (US$ 772.32 million) every year in investments. To achieve 15 per cent and 10 per cent growth in domestic tourist footfall and foreign tourist footfall, respectively. To generate employment for 500,000 people annually.
Uttar Pradesh Civil Aviation Promotion Policy 2017 To create a conducive business environment, provide adequate incentives for the development of robust civil aviation infrastructure and to aid in attracting investments to realize the untapped potential in the aviation sector. To realize the full potential of tourism by linking major state tourist destinations with rest of India and the world. To facilitate trade and generation of employment opportunities.
Uttar Pradesh Information Technology & Start-up Policy, 2016 Promotion of Uttar Pradesh as a preferred and attractive location for investments for various IT/ITeS companies. To establish IT Parks as well as IT cities for the development of IT Infrastructure in the state.
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Uttar Pradesh Tourism Policy, 2016 Recognition, development as well as promotion of various recent and niche tourism products. To develop alternate tourism products which are unique to the culture, heritage and geography of the state.
Uttar Pradesh Mini Grid Policy, 2016 The purpose of this policy is to market the distributed power generation by controlling the renewable energy which includes biomass, solar, etc. Further, the policy also aims to provide skill development training and creating employment opportunities at the local level.
Uttar Pradesh Electronic Manufacturing Policy 2014 The purpose of this policy is to develop Uttar Pradesh as a preferred location for electronics production.
Uttar Pradesh Rooftop Solar Photovoltaic Power Plant Policy, 2014 This policy has been introduced for the reduction in the utilisation of fossil fuel. According to this policy, the government will increase the dependency on the solar power.
State Housing and Habitat Policy 2014 The purpose of this policy is to create opportunities for landowners who are donating their land for state development projects.
Uttar Pradesh Textile Policy 2014 The major purpose of this policy is to enhance exports of textile products by enhancing domestic production through providing ease and facilities in transportation of textile products.
Sugar Industry, Cogeneration and Distillery Promotion Policy 2013 To entice private capital for setting up new sugar mills, co-generation plants and distilleries in the state and exploit the potential of the sugar industry.
Uttar Pradesh Solar Power Policy 2013 To stimulate the generation and usage of eco-friendly power in the state by harnessing solar energy. To enable prolific use of wastelands.
Uttar Pradesh IT Policy 2012 Escalating the state as an investment destination for various IT and ITeS companies by providing congenial, industry friendly and proactive climate. Augmenting the quality of talent in the state and accelerating employment opportunities.
Infrastructure & Industrial Investment Policy 2012 To boost the industrial capacity of the state. To attain an industrial development growth rate of 11.2 per cent per annum, alongside the target of 10 per cent per annum growth in SGDP as visualised in the Twelfth Five Year Plan.
Energy Policy 2009 Augment the per capita availability of electricity to over 1,000 units by 2017. Enable access to electricity to all the households in the coming years.
UP SEZ (Revised) Policy 2007 (Part-A) To boost the industrial and economic development of the state and create a favourable environment for the advancement of special economic zones.
Biotech Policy 2004 To preserve bio resources for sustainable commercial use. To develop sufficient institutional related infrastructure for development and diffusion of biotechnology.
Industrial and Service Sector Investment Policy 2004 To develop a multifaceted policy. To fortify the infrastructure.
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Development Projects: Key Public Private Partnership (PPP) Projects
Development Projects: SEZ
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VDMA India Quarterly Newsletter-German Machinery Industry
The VDMA India office publishes a Quarterly Newsletter-German Machinery Industry. This Newsletter informs the Indian industry about the development in the German Machinery industry in various industrial sectors. This Newsletter has a circulation of around 8000 copies in different industrial divisions. The VDMA member companies have the possibility of giving an advertisement in this Newsletter at a discounted rate.
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