August-September 2012 | Volume 03 | Issue 03 BUSINESS AND ECONOMY MICROFINANCE EMERGING ENTREPRENEUR INNOVATION CORNER RANG DE IS COLOURING THE RURAL A TECHNOLOGY THAT PROVIDES A BIOTECHNOLOGICAL ENGINEERING LANDSCAPE IN HUES OF JOY COMMONFLOOR FOR RESIDENTS MITIGATES HUMAN PAIN Engineering The Future India lays the groundwork for growth A view of Bandra-Worli Sea Link, Mumbai, India EDITORIAL VOLUME 0103 | ISSUE 03 | AAUGUST-SEPTEMBERUGUST-SEPTEMBER 20122010 www.ibef.org EDITORIAL Editor: Anuradha Das Mathur Consulting Editor: Deepak Garg Managing Editor: Sangita Thakur Varma Sub Editor: Radhika Haswani DESIGN A Framework of Steel Sr Creative Director: Jayan K Narayanan Art Director: Anil VK With a reservoir of Associate Art Director: Atul Deshmukh SR Visualiser: Manav Sachdev natural resources, India Visualisers: Prasanth TR, Anil T & Shokeen Saifi lays the groundwork for Sr Designers: Sristi Maurya & NV Baiju Designers: Suneesh K, Shigil N, Charu Dwivedi engineering. Raj Verma, Peterson, Midhun Mohan & Prameesh Purushothaman C, Haridas B Chief Photographer: Subhojit Paul he 21st century world is a challenging place to be Sr Photographer: Jiten Gandhi in. The world order is witnessing paradigmatic shifts dictated by economic compulsions. We are SALES & MARKETING National Manager-Events & Special Projects: Mahantesh Godi progressively moving into a state where no nation Regional Manager (South): Vinodh K can exist in isolation. The reality of the 21st century Regional Manager (North): Lalit Arun is a multipolar, multi-aligned world. T Regional Manager (West): Sachin Mhashilkar In the 21st century, our engineers are being seen as the keepers PRODUCTION & LOGISTICS of life’s frontiers. The National Academy of Engineering, US, Sr. GM. Operations: Shivshankar M Hiremath has identified Grand Challenges for Engineering in the era. Manager Operations: Rakesh Upadhyay Several other engineering bodies too have drawn up similar Asst. Manager - Logistics: Vijay Menon vision documents, the purport of all being optimum utilisation Executive Logistics: Nilesh Shiravadekar of existing resources, while we research, innovate and engineer Production Executive: Vilas Mhatre to better the quality of human life. Indian engineering is Logistics: MP Singh & Mohd. Ansari right there at the forefront—CGN Research Labs shows how INDIA BRAND EQUITY FOUNDATION biomedical technology can be harnessed to alleviate human CEO: Aparna Dutt Sharma misery. Read Innovation Corner to know more. Project Manager: Ruby Singh Come September 10, India’s engineering expertise will be on display in Central Europe. It is a partner country at the 54th International MSV-Brno Engineering Fair in the Czech Republic. A favoured destination for foreign firms to set up their India Now—Business and Economy is a bi-monthly magazine published and manufacturing base, India manufactures almost all categories printed by India Brand Equity Foundation (IBEF), Gurgaon. It is published at Apparel House, 5th Floor, #519-22, Sector 44, Gurgaon-122003, Haryana and of engineering goods. It exports a vast portfolio of engineering printed at GH Prints Pvt Ltd. A-256 Okhla, New Delhi-20. The magazine is edited by Anuradha Das Mathur, Nine Dot Nine Mediaworx Pvt Ltd., B-118 Sector 2 goods worth US$ 60 billion to more than 180 countries. Read our Noida–201301, Uttar Pradesh. India Now—Business and Economy is for private circulation only. Material in this cover story to learn how India is engineering for the 21st century. publication may not be reproduced in any form without the written permission of IBEF. Editorial opinions expressed in the magazine are not necessarily those of IBEF and IBEF does not take responsibility for the advertising content, content obtained from third parties and views expressed by any independent author/ contributor. (India Brand Equity Foundation, c/o Confederation of Indian Industry, Apparel House, 5th Floor, #519-22, Sector 44, Gurgaon-122003, Haryana, India; Tel: 91-124-4014060-67; Fax: 91-124-4013873/75; Email:[email protected]). Opinions expressed herein are of the authors and do not necessarily reflect any opinion of Nine Dot Nine Mediaworx Pvt Ltd., B-118 Sector 2 Noida – 201301, Sangita Thakur Varma Uttar Pradesh, India; Tel: 91-120-4010-999; Fax: 91-120-4010-911; Email: [email protected] www.ibef.org AUGUST-SEPTEMBER 2012 1 VOLUME 03 | ISSUE 03 CONTENTSAUGUST-SEPTEMBER 2012 XXXXX X IGN: S VER DE O 1216 C COVER STORY MNC WATCH | 10 | PARTNER IN 16 Engineering Perfection INDIA’s Power At the 54th MSV-Brno International JOURNEY: ABB LTD ABB has a six-decade-old Engineering Fair in the Czech relationship with India, Republic, India participates as the focussed on partnering the country in its growth story Partner Country. We take a look at our ARTS & CULTURE 52 | ART FOR NOW: engineering strengths on display SAKSHI GALLERY India’s first multilocational art gallery, is today the COPYRIGHT Published & printed by India Brand Equity Foundation (IBEF), Apparel House, 5th Floor, #519-22, Sector 44, Gurgaon-122003, Haryana. India largest gallery space devoted Please Recycle Now–Business and Economy is for private circulation only. Material in this This Magazine to the promotion And Remove publication may not be reproduced in any form without the written permission Inserts Before of IBEF. of contemporary art and Recycling young artists 2 AUGUST-SEPTEMBER 2012 www.ibef.org 3648 INNOVATION CORNER 50 | WITH A HUMAN HEART A research lab with a vision to harness biomedical engineering to alleviate human pain is innovating medical devices successfully. Thermo Scan is the first device among many to follow MADE IN INDIA 46 | HERO NO. 1 Hero MotoCorp has remained the undisputed leader of the two-wheeler market since 2001, unaffected even by the 2010 split with Honda 2026 EMERGING ENTREPRENEURS REGULARS 28 | For a Common Cause 01 | EDITORIAL A group of friends build Commonfloor 04 | NATIONAL ROUND-UP 12 | MICROFINANCE on an idea that promotes both online and 54 | TOURISM UPDATE offline interaction among city dwellers 58 | BOOKSHELF 60 | RURAL UPDATE SECTORAL UPDATE 48 48 48 32 | CEMENT: 35 | COMPUTER 38 | GEMS & JEWEL- 43 | HANDLOOM CEMENTING GROWTH PERIPHERALS: THE LERY: BRILLIANT EXPORTS: SPINNING The cement industry is SOUL OF IT PROSPECTS SUCCESS poised for another growth Policy push and widening Given Indian consumers’ Traditional weaves with the phase on the back of infra- IT base are the growth penchant for jewellery, this added charm of contemporary structure & housing boom drivers for this sector sector only shines brighter interpretations www.ibef.org AUGUST-SEPTEMBER 2012 3 VOICE OF A VISIONARY “Destroying a rain forest for economic gain is like burning a Renaissance painting to cook a meal.” National Edward O Wilson (American Biologist and Environmentalist) ROUND-UP India-China Discuss Trade Ties DATA BRIEFING Set up JWG to look into investments US $ INDIA AND CHINA held a crucial meeting of the Joint India of addressing its concerns regarding market Economic Group (JEG) on August 27, 2012, in New access for its pharmaceutical and IT companies’ prod- 100 Delhi to discuss trade issues. Union Minister for ucts and services. The Commerce Ministers’ meeting Commerce, Industry and Textiles, Anand Sharma and is expected to bring about high level changes that will billion his Chinese counterpart Jeng Deming chaired the add speed and ease to boost trade ties. The Chinese ninth round of the high profile EJ G. The eighth round commerce minister is also scheduled to meet indus- by 2015: of the talks was held in 2011. try leaders for an interactive chat during his two-day India and China agreed to set up a Joint Working visit. China is confident about trade prospects with China’s Group (JWG) that would look into trade related issues India and at a joint press briefing of the two ministers trade as well as investments between the two nations. The post the meeting, Mr Deming was hopeful that bilat- target JWG is expected to submit a report within 90 days eral trade between the two countries would reach the on its findings and recommendations. China assured target of `56,500 crore (US$ 100 billion) by 2015. 4 AUGUST-SEPTEMBER 2012 www.ibef.org NATIONAL ROUND-UP THEY VLADIMIR SAID IT PUTIN In a message to President Pranab Mukherjee on In- dia's 66th Independence Day on August 15, 2012. “Over the years of sovereign development your country has achieved impressive results in social-economic, industrial and scientific spheres…Today India as an authoritative member of world community plays an important role in Hotels in India are Highly UN, SCO, BRICS, other global Profitable Survey ranks India No. and regional 5 for best business outlook hotels structures.” THE HOTEL industry in India is buoyant. In a global survey of more than —Vladimir Putin, 25,000 hotels worldwide conducted by travel site TripAdvisor, India President, Russian Republic ranked fifth in the world and second in Asia Pacific (APAC) for hotels with the best business outlook. The survey result, declared in August 2012, revealed some interesting findings. Close to 1,500 Indian hoteliers par- ticipated in the survey that found the highest percentage of respondents from India and Indonesia with highly profitable businesses. While both the countries reported six per cent extremely profitable businesses, India reported 29 per cent very profitable businesses while Indonesia had 38 per cent in the category. India also exhibited a positive outlook through its staffing pattern. While most other APAC countries said that they did not anticipate further recruitment in the next six months, 39 per cent of the Indian respondents were positive of increasing staff. Globally too, India ranked the highest for staff turnover based on its increased recruitment. RESEARCH UPDATE The clinical research organisation (CRO) market in India is growing at 11-13 per cent and registered revenues to the tune of `2683.99 crore (US$ 485 million) in 2010-11, according to research firm Frost & Sullivan. The consulting firm estimates that by 2016, the market will grow to `5,534 crore (US$ 1 billion).