India Newsletter 03 2017

INDIA NEWSLETTER Indian Embassy, Vienna

Published by the Embassy of India, Vienna Year 7 • Issue 75 • March 2017

MAKE IN INDIA ■■EASE OF DOING BUSINESS

India Newsletter • 1

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Digital Infrastructure as a Core Utility to Every Citizen

Governance and Services on Demand

Digital Empowerment of Citizens

The Digital India programme is a flagship programme of the Government of India with a vision to transform India into a digitally empowered society and knowledge economy. Find out more under:

www.digitalindia.gov.in

Infrastructure Development

Accelarate Manufacturing Growth

Focus on Skill Development

Sustainable Energy Sufficiency

Improved Business Environment

The government of India has prepared a five-pillar strategy to drive India’s growth, which offers multiple avenues of collaboration and investments. Find out more under:

www.makeinindia.com 2 • India Newsletter

Indian Embassy, Vienna

POSITIVE NEWS FLASHES

01

India is expected to lead in the growth of

smartphone adoption globally with an estimated net addition

parity (PPP) by the year 2040, according to a report by PricewaterhouseCoopers.

08

The implementation of The Goods and

Services Tax (GST) is expected to reduce the effective tax rate

05

for auto ancillary industry from

according to a report by GSM

India is expected to surpass Russia to

Association.

become the third largest refiner

18 per cent, and also remove

of 350 million by year 2020,

02

Indian locally

exports of made retail

and lifestyle products grew at a compound annual growth

in the world by the year 2020 as India overtakes China as the main driver of demand growth,

the existing 28-30 per cent to the necessity to set up units near the Original Equipment Manufacturers(OEMs) to avail the input tax credit, thereby

according to the International

reducing capital investments

Energy Agency.

and increasing working capital

led by bedding bath and home

06

inflows in the industry.

decor products and textiles, as

domestic travel market for the

per Damco.

22nd time in a row, recording

rate (CAGR) of 10 per cent from 2013 to 2016 compared to China’s 5 per cent mainly

03

Indira International

Gandhi Airport

(IGIA), New Delhi, has been ranked as the world’s second best airport in the largest

India has become the world’s fastest growing

09

The Ministry Electronics

of and

Information Technology plans to revise its policy framework,

a 26.6 per cent year-on-

which

year growth in January 2017,

government taking a more

according to the International

active role in developing the

Air Transport Association.

would

involve

the

sector by providing initial

significant improvement from

07

capital, with the aim to attract

being number one airport in

investment promotion agency,

hub.

the smaller category in the

Invest India, are in discussion

10

airport category marking a

previous year, as per 2016 rankings

by

the

Airports

Council International (ACI).

The Government of India and its

with

around

300

Indian

and foreign companies to

more private players and make India a global semiconductor

The Indian Railways has set a daily target of

laying 9.5 km of tracks in 201718 with a fund of around Rs

04

channelize investments worth

the second largest economy

create over 1.7 million job

line doubling and capacity

in terms of purchasing power

opportunities in India.

expansion projects.

India is estimated to surpass USA to become

US$ 62 billion, which will help

35,000 crore (US$ 5.22 billion) for completing its ambitious

India Newsletter • 3

Indian Embassy, Vienna

ANNOUNCEMENT FOR AUSTRIAN CITIZENS e-Tourist Visa (e-TV) for Austrian citizens

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he Government of India has extended e-Tourist Visa (eTV) scheme to the citizens of Austria w.e.f. 26th February 2016.

Under e-Tourist Visa scheme, citizens of Austria may now apply online (https://indianvisaonline. gov.in/visa/tvoa.html) four days in advance to obtain the Electronic Travel Authorisation for travelling to India.This facility is in addition to the existing Visa services. This facility is also available to the citizens of Montenegro as well.

Queries related to e-TV; for any assistance call 24x7 Visa support centre at +91-11-24300666 or send email to indiatvoa@gov.in.

NEWS ARTICLES Vienna based personnel certification body Certible delivers its examination and certification service also to India

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he international certification body Certible® launched its global exam delivery via the testcenter network by Prometric, to provide computer-based certification exams worldwide.

Prometric, as subsidiary of ETS running the renowned TOEFL® exam, operates more than 5000 test centers around the globe.

The partnership between Certible and Prometric empowers IT professionals worldwide to verify their critical knowledge and skills at nearby test-centers through internationally recognized

4 • India Newsletter

certification programs.

Certible’s partnership with Prometric addresses candidates’ needs independent of language, time zone, and location, with always up-to-date test-software.

Backed by the vast infrastructure of Prometric, Certible now delivers its examination and certification service also to testcenters in: Ahmedabad, Bengaluru, Chennai, Gurgaon, Hyderabad, Kolkata, Mumbai, Thiruvananthapuram, further 150 cities across 80 countries in the Asian Pacific region, Europe, Middle East, Africa, and South America, and more than 250 cities across the USA and Canada.

Additionally, Certible continues

offering its personal on-site exams via tablets at any location worldwide on request.

Certible is an independent, ISO9001:2015 certified organization run by managing directors Alexander Feder and Maria-Therese Teichmann.

Certible was founded in 2012 and is continuously expanding its portfolio of certification services and support of new certification schemes. Certible is known and valued for its blazingly fast and reliable examination service.

As a licensed certification body, Certible is authorized to hold exams and issue certificates for: ■■ IREB® CPRE (Requirements Engineering) ■■ ISTQB® Certified Tester (Software Testing)

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■■ iSAQB® CPSA (Software Architecture) ■■ UXQB® CPUX (Usability and User Experience)

India one of the fastest destinations for investments: KPMG

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ven as the major global economies continue to stay in a turmoil India seems to have emerged as the fastest growing investment destination for foreign investors in 2016, a KPMG report said.

The jump in the investment was also on the back of surge in investments from the Canada.

Many Canadian pension funds have that until now used to invest in Indian private equity funds, have now started investing in the country directly. Canadian pension funds have been very aggressive in the real estate and infrastructure sectors. Going ahead this is expected to only increase, say industry trackers.

Increase in Private equitybacked exits through Mergers and Acquisitions (M&A) and Initial Public Offerings are also an attraction for many investors.

Exits have been one of the major concerns for foreign investors especially in the unlisted space.

Due to this reason alone many investors were staying away from investing in India. However in last couple of years many investors have managed to get an exits either through secondary deals or through IPOs, say industry trackers.

Also 2016 saw a jump in the buyout deals. Many buyout funds have been aggressively looking at the distressed asset space in the country. In the coming year as the regulations around bankruptcy gain momentum, many buyout

funds may look to increase their investments in the country.

Investors (PE/VC as well as FDI) increasing into India as government takes measures for transparency in business through demonetisation, phasing out FIPB, said the KPMG report.

India to become 2nd largest steel maker in 12-18 mths: S&P

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ndia is poised to become the second biggest steel producing country in the world after China over the next 12-18 months, as steelmakers continue adding capacities in anticipation of upcoming demand, S&P Global Platts said in its report.

This production increase is despite the slow pace of current steel consumption in the country, it said. India’s overall finished steel output over Apr-Jan was only 82.87 million tonne, about 68% of installed steel capacity of 122 million tonne per annum.

India’s steel ministry is drafting a new steel policy to raise the country’s steel production capacity to 300 million tonne by 2030-2032. Previously, this target was set for a time period of 2025.

A number of private and stateowned mills have almost doubled their steelmaking capacities over the past five years, informed the report. The front runner was India’s largest steelmaker, stateowned Steel Authority of India (SAIL), which increased crude steel production capacity to 20 million tonne per year from the previous 13 million.

But the increase in demand for steel is struggling to keep pace with the rise in capacity. Recent data from India’s Joint Plant Committee shows that during

Apr-Jan, SAIL’s overall finished steel output rose by an impressive 15.6% year-on-year, but only reached 9.95 million tonne, way behind installed capacity of 12 million tonne per year.

While SAIL management aims to produce about 15 million tonne of finished steel during the fiscal year ending March 31, company officials estimate real output at about 13 million tonne, said the report.

JSW Steel, Jindal Steel & Power, Tata Steel, Essar Steel, Bhushan Steel and Rashtriya Ispat Nigam are among other big steel producing companies in the country.

Government in talks with 300 companies to attract US$ 62 billion investment

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he government and its investment promotion agency, Invest India, are in talks with close to 300 companies - both Indian and foreign -to channelize investment of close to $62 billion (over Rs 4 lakh crore) into the country, which may help create over 17 lakh jobs.

With proposed investment of around $32 billion by Chinese companies, nearly half the flows being pursued are from China, a move that is expected to help cut the massive flow of imports from across the border, besides creating employment in the country, sources told TOI. On top of the list is Sany, which may invest nearly $10 billion in the wind power space. The list also includes real estate and construction companies such as Dalian Wanda Group, which is in talks with the Haryana government for several realty projects with each planning to India Newsletter • 5

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invest close to $5 billion. There are SAIC, which is in talks with GM to take over the Halol plant, Lifan Motors and Fosun Pharma.

In number terms, India tops the list with over 70 projects as government pursues largely middle-rung companies. Over $3 billion investment has been tied up and around three lakh jobs likely to be created once they go on stream.

economy, particularly in terms of boosting oil and gas production.

India is now becoming the focus of attention as the demand in China has begun to slow down. India’s per capita oil consumption is expected to rise to 1.5 barrels per year from 1.2 barrels at present by the year 2022. Capacity additions totalling to 860 thousand barrels per day are expected to be made in the next five years.

Over the past few months, the department of industrial policy and promotion has been pursing investors with over 150 companies initially identified to seek investments. While a lot of the companies that are being targeted have little or no presence in the country, several companies such as Cisco and H&M are being pursued to ensure that they expand India footprint. Sources said some commitments have been made and more are expected in the coming months. Given the slowdown in China, investors are increasingly looking to India to not just meet the domestic requirement but even cater to demand in the region, including South East Asia.

India to outpace US to emerge as second largest economy by 2040, PwC says

India to replace Russia as world’s third largest refiner: IEA official

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ndia is expected to replace Russia as the world’s third largest refiner by the year 2020, said Dr Fatih Birol, Executive Director, The International Energy Association. The strong growth in the economy and the population growth is driving India towards the centre stage of global oil and energy markets. The leadership of Mr Narendra Modi, Prime Minister, has provided a strong growth to the Indian 6 • India Newsletter

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ndia will outpace the United States to emerge as the second largest economy in purchasing power parity (PPP) terms by 2040, global management consultant PricewaterhouseCoopers has forecast in a report.

India’s GDP growth is estimated to have slowed to 7.1% in 201617 from 7.9% in 2015-16 after the government decision to scrap Rs 15.44 lakh crore worth of high denomination notes or 86% of currencies in circulation.

However, analysts expect the economy to bounce back from 2017-18 on rising consumer demand.

By 2040, India’s gross domestic product in PPP terms will grow to $30 trillion from $8.7 trillion in 2016, while US will grow from $18.6 trillion to $28.3 trillion, said the PwC report titled “The World in 2050”.

China will continue to lead the chart with its GDP rising from $21.3 trillion to $47.4 trillion by 2040.

By 2050, China’s GDP in PPP terms will touch $58.5 trillion followed by India ($44.1 trillion) and the US ($34.1 trillion).

However, India’s GDP measured in terms of dollar will grow to $28 trillion to emerge as third biggest by 2050, after China ($49.9 trillion) and the US ($34.1 trillion). In 2016, India’s GDP size was just $2.3 trillion, a fraction of China‘s $11.4 trillion and $18.6 trillion of the US. Read more The seven leading emerging economies (E7)—China, India, Russia, Brazil, Indonesia and Mexico—will surplus the seven leading developed nations that includes the United States, United Kingdom, Germany, Japan and France, PwC said.

“The world economy could more than double in size by 2050, far outstripping population growth, due to continued technology-driven productivity improvements. Emerging markets (E7) could grow around twice as fast as advanced economies (G7) on average,” it said.

As a result, six of the seven largest economies in the world are projected to be emerging economies in 2050 led by China, India and Indonesia.

The US could be down to third place in the global GDP rankings while the EU27’s share of world GDP could fall below 10% by 2050.

UK could be down to 10th place by 2050 while France out of the top 10 and Italy out of the top 20 as they are overtaken by faster growing emerging economies like Mexico, Turkey and Vietnam respectively, PwC said.

But emerging economies need to enhance their institutions and their infrastructure significantly if they are to realise their longterm growth potential, it added.

Indian Embassy, Vienna

Start-ups account for 70% of PE/VC deals in 2016

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tart-ups continue to make the highest contribution to private equity (PE) and venture capital (VC) deals in 2016, receiving the maximum investment of $2.5 billion, which constitutes 70 per cent of the transaction volumes.

However, the investment value in start-ups declined by more than 50 per cent this year.

Grant Thornton in India’s The Fourth Wheel 2017 report in association with Indian Private Equity and Venture Capital Association (IVCA), stated that values and volumes of PE and VC investments were lower in 2016 due to lack of the big-ticket investments that were made in the previous year. PE and VC investors invested $14 billion in 971 deals in 2016 while $16 billion was invested in 1,045 deals in 2015.

This is the first decline in PE activity in the last four years.

The report says that the investment values in startups declined by more than 50 per cent this year, signifying rationalisation of investments and start-up valuations. However, the government’s push on digitisation and initiatives under the Startup India plan are likely to lead to a rebound in this segment.

Apart from start-ups, the other sectors that have witnessed the maximum transactions were telecom, banking and financial services, real estate, IT/ITeS and manufacturing. These sectors along with start-ups contributed around 78 per cent of the overall deal value in 2016.

The year 2016 also had seen a significant increase in the number and the value of buyout deals

from 2012 to 2016, with the value of buyouts clocking almost four times in 2016 when compared to 2015. Also, 2016 witnessed substantial activity in exits especially through intitial public offferings, which augurs well for the investor community.

The report highlights that the fund-raising activity in the PE and VC space witnessed a decline of six per cent in 2016. PEs and VCs raised closed to $24.1 billion in 2016 as compared to $ 25.7 billion in 2015.

Harish HV, Partner, India Leadership team at Grant Thornton India LLP, said, “Although 2016 saw a decline in PE activity, we are hopeful for 2017. It could be the year of reckoning for the country where implementation of structural policies and reforms such as the GST and the recently announced measures in the Union Budget 2017, by way of massive push to the infrastructure sector, plans to integrate the transport architecture, renewed focus on affordable housing and a boost for ease of doing business will drive growth. Also, expected improvements in the banking sector, pick up in the rural demand, post the effect of demonetisation, a robust primary market and improving capacity utilisations across industries are likely to drive domestic economic activity.

Amidst global uncertainties arising due to Brexit, protectionist policies proposed by the US and a slowing Chinese economy, India continues to be the bright spot.

India is likely to drive resilient growth in deal activity in 2017.

Post-demonetisation, some insurers see steep growth

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ith demonetisation severely clamping down on investments into real estate and gold, consumers seem to be putting their money in insurance as per the latest data released by the IRDAI. ICICI Prudential, the only public insurer, posted a growth as high as 48% year-over-year with premium of Rs 884.98 crore for the month of February. Peers such as HDFC Standard Life (14%), Birla Sun Life (26%) and Max Life (12.6%) also saw good growth for the month.

But others such as Bajaj Allianz, Reliance Nippon Life, Bharti Axa Life, Canara HSBC OBC life saw a sharp decline in sales, even as ICICI Prudential increased its marketshare. The sole-publically listed insurer saw its overall marketshare go up to 13.1% this February from 12% last year.

Excluding LIC, ICICI Prudential’s market share went up to 24.5% from 23.5%.

“At a macro level, the investment climate is looking positive and better. We are seeing a noticeable shift from large physical assets like real estate, gold, towards liquid assets like bank deposits, insurance, MFs, PPFs. With demonetisation this shift has become more pronounced; insurance sees the second largest inflows after bank deposits,” said Suresh Agarwal, chief distribution officer, Kotak Life Insurance Co. ICICI Prudential (Rs 884.98 crore), HDFC Standard Life (Rs 660.06 crore), Kotak Life Insurance (Rs 229.58 crore) seem to have particularly benefited from their bancassurance channels for their strong performance in India Newsletter • 7

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the month of February. Other insurers, who did not fare as well, are said to be facing changes in their distribution network, top management and business structure, said industry observers.

The upbeat sentiment might get reflected in the life insurance penetration numbers. Insurance penetration had risen to 3.4% in 2015-16 after it hit a 10-year low of 3.3% in 2014-15, according to a Swiss Re report.

“We see that the economy is growing, household income and mean disposable income has increased. So it is fair to say that going forward we might see life insurance penetration increase to 4-5% range,” said Agarwal.

Canara HSBC OBC Life Insurance, despite being backed by two banks with extensive networks, saw premium collection more than halve to Rs 82.11 crore. Reliance Nippon Life saw its premium decline by 24% in February 2017 to Rs 77.46 crore from Rs 102.24 in February 2016. “The company has particularly faced a lot of more uncertainty when it came to its business plan, network expansion, fund allocation, given the management changes,” said an LIC official.

Ashish Vohra took over in October 2016as chief executive, after the company’s board asked former CEO Anup Rau to step down on non performance. “Rau was asked to resign after the company posted a Rs 200 crore loss. And this month’s numbers are worse than how the company performed last year,” said the official.

8 • India Newsletter

Demonetisation will have positive impact on Indian economy, says World Bank CEO

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rime Minister Narendra Modi’s decision to ban highvalue banknotes as part of efforts to stamp out corruption will have a profound and positive impact on India’s economy, World Bank CEO Kristalina Georgieva has said.

Georgieva told Hindustan Times that “demonetisation” may have caused some hardship to people living in the cash economy but in the long run the move will help foster a clean and digitised economy.

“What India has done will be studied (by other countries).

There hasn’t been such demonetisation in a country so big,” she told HT in an interview late on Wednesday.

The World Bank CEO’s praise is the latest for Modi’s November 8 decision, which culled 1000-and 500-rupee bills with immediate effect, triggering a months-long cash crunch. In November, the International Monetary Fund said it supported India’s efforts to fight corruption through currency control measures, which have since eased.

Georgieva compared Modi’s decision to that of the European Union, which is also phasing out high denomination bills but over a longer period of time.

“While demonetisation has, in the short term, created some impact on businesses dependent on cash, in the long term the impact will be positive… The reforms India is targeting are profound.”

She said the government’s financial inclusion programme

along with the move towards digital payments and direct transfer of subsidies will help the poor.

Georgieva, who was in India for two days, travelled on a local train in Mumbai and visited the world’s biggest slum in Dharavi. She said people were eager to get a better life and that they were willing to pay more for improved services.

She also appreciated the competition among states to improve the ease of doing business saying the situation has “improved”.

“India is the bright spot in today’s global economy and it is visible in the country’s performance and more so in the aspirations of the people here,” she said.

“Our growth projection for India for this year is 7%. The signs are positive with the reform process underway and GST expected to be implemented soon.”

Four Centres of Excellence (CoE) in the fields of Textile Machinery, Machine Tools, Welding Technology and Smart pumps approved

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he Department of Heavy Industry has already approved four Centres of Excellence (CoE) in the fields of Textile Machinery, Machine Tools, Welding Technology and Smart pumps under the Scheme for enhancement of competitiveness in the Indian Capital Goods Industry.

At present Central Manufacturing Technology Institute, Bangalore, Karnataka is developing Hi- Tech shuttle less looms; Indian Institute of Technology, Madras, Tamil Nadu is developing 11 Machine Tools Technologies; PSG College of Technology, Coimbatore, Tamil

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Nadu is developing 3 welding technologies and Scientific and Industrial Testing and Research Centre (Si’Tarc), Coimbatore, Tamil Nadu is developing smart submersible pumps.

Institutes like Indian Institute of Technology, Indian Institute of Science and Central Manufacturing Technology Institute, Bangalore are also engaged in working out advanced manufacturing technologies in collaboration with Industry.

Institutions for setting up Centres of Excellence (CoE) were identified in the Notification for the Scheme on Enhancement of Competitiveness in the Indian Capital Goods Sector. A copy of the Notification is available in the website of the Department of Heavy Industry at dhi.nic.in Centres of Excellence will help to increase technology depth of the domestic Capital Goods Industry and render it amenable to adoption of new high precision and more efficient ways of manufacturing.

This information was given by Minister of State in the Ministry of Heavy Industries and Public Enterprises Shri Babul Supriyo in reply to a written question in the Lok Sabha.

India, China to propel global oil demand in 2017, OPEC says

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ndia and China will propel demand for crude oil in 2017, the OPEC said even as it forecast subdued global demand.

World oil demand will grow 1.26 million barrels per day or 1.26% in 2017 from 1.38 mb/d in 2016, OPEC said in its monthly report.

In 2017, world oil demand is expected to stand at 96.31 mb/d,

showing a growth of 1.26 mb/d, higher by about 70,000 b/d from previous month’s projections.

“Most of the oil demand growth is anticipated to originate from Other Asia, led by India, followed

by China, then OECD America.

The OECD Asia Pacific is the only region anticipated to reduce its oil requirements in 2017 y-o-y,” it said.

Indian economy is expected to gather momentum in 2017-18 and grow by as much as 7.5%, according to the government’s Economic Survey. India’s stats office estimated the GDP growth to slow to 7.1% in 2016-17, from 7.9% in 2015-16, as demonetisation crimped consumption and investment demand.

India’s oil demand is estimated to grow by 0.14 mb/d or 3.25% to 4.53 mb/d in 2017, after growing 8.2% in 2016.

In case of China, the oil demand is estimated to grow by 0.28 mb/d or 2.45% to 11.79 mb/d.

In January, India’s crude imports dropped by 132,000 b/d, or 3%, from the previous month to average 4.1 mb/d, showing an annual drop of 161,000 b/d, or 4%.

On the product side, India’s imports in January went down by 66,000 b/d, or 8%, m-o-m to average 777,000 b/d. The imports were down by 13,000 b/d, or 2% year-on-year. The drop seen in the monthly product imports came mainly as a result of lower imports of LPG. India’s fuel product exports dropped in January by 34,000 b/d, or 3%, to average 3 mb/d. The exports were down by 113,000 b/d, or 8% from last year. “The drop in the monthly product exports came mainly as a result of lower diesel exports,” OPEC said.

Tata Motors, Volkswagen to jointly develop auto parts, vehicle concepts

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ermany’s Volkswagen Group has signed a memorandum of understanding with Tata Motors Ltd to jointly develop product components and possibly vehicle concepts.

VW’s Skoda Auto AS will join the project on behalf of the German automobile group.

“The first step will address topics such as the application of specific market knowledge as well as local development expertise,” the Wolfsburg-based company said in a statement, adding that the basis of the tie-up is to explore long-term strategic cooperation in clearly-defined fields.

“In the long term, the Volkswagen Group is looking to further expand its product portfolio in the fastgrowing emerging markets,” it said.

Tata Motors and Volkswagen signed an in-principle agreement to explore the possibility of working together to develop a new range of products to be shared by Tata, VW and Skoda Auto, Mint reported..

The agreement was signed by Guenter Butschek, chief executive officer of Tata Motors, and Matthias Muller, chief executive of the VW Group, in Geneva, the report had said..

India has emerged at the heart of the latest realignment in the global automobile industry, especially after Japanese car makers Toyota Motor Corp. and Suzuki Motor Corp. on 7 February announced plans to “establish an implementation framework” for a business partnership in areas such as green vehicles, safety and India Newsletter • 9

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information technologies and mutual supply of products and components. Toyota, too, has taken full ownership of small car specialist Daihatsu Motor Co., and the latter’s products are expected to be introduced in India in 2019.

solutions for the Indian and overseas market”.

Top auto companies such as Toyota, VW, General Motors Co. and Ford Motor Co. lack a significant presence in India, whose passenger vehicle segment is expected to more than quadruple to 13.4 million units by 2026 from 3.2 million now if the economy grows at an average rate of 7.5% a year.

“It remains to be seen if this codevelopment is going to be global or only for the Indian market.

From development perspective, it seems to be better for Tata. If it is not going to be global, then VW is looking to ride on TaMo’s strength,” Sabarad said.

That would make India the world’s second largest market after China.

Between April and February this year, Toyota, Volkswagen, GM and Ford together sold 282,028 units in India, which is about 10% of the total size of the Indian passenger vehicle market, where Suzuki’s Indian unit commands a 47% market share.

“Our aim with the envisaged strategic partnership with Tata Motors is to lay the foundations in the Group and the brands that will enable us to offer customeroriented mobility solutions in the emerging, fast-growing automobile markets, as elsewhere.

By offering the appropriate products we intend to achieve sustainable and profitable growth in very different parts of the world.

That is why we are systematically pursuing our regional growth strategy”, Volkswagen’s Muller said in a statement.

Butschek said that both the companies, by working together, could leverage “each other’s strengths to create synergies and develop smart innovative 10 • India Newsletter

According to Mahantesh Sabarad, head of retail research at SBICap Securities Ltd, the tie-up is exciting and also completely new for an Indian manufacturer.

Volkswagen’s previous attempt to conquer emerging markets through a small-car partnership with Japanese automaker Suzuki Motor Corp. unraveled in a bitter dispute that was settled just before the German company’s diesel-emissions scandal erupted in 2015.

“The co-development should have happened with one of the Japanese companies since the Indian market is ruled by Japanese and Koreans,” Sabarad added.

The changing dynamics of the auto industry have meant that while firms are under tremendous pressure from regulators the world over on safety and emissions, newer concepts such as shared economy, autonomous driving and companies such as Tesla Inc. threaten to disrupt the age-old automobile business model of selling more cars.

Amid such a scenario, tie-ups such Tata-VW or Suzuki-Toyota are mutually beneficial. While the smaller partner offers its expertise in cost-efficiency, the bigger ones bring the world’s best technologies in terms of safety and emissions.

India and Belgium sign Protocol amending the India-Belgium Double Taxation Avoidance Agreement and Protocol

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ndia and Belgium have signed a Protocol amending the existing Agreement and Protocol between the two countries for Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to Taxes on Income in New Delhi. The Protocol was signed by Shri Sushil Chandra, Chairman Central Board of Direct Taxes (CBDT) on behalf of India and Mr. Jan Luykx, Ambassador of Belgium to India, on behalf of Belgium.

The Protocol will broaden the scope of the existing framework of exchange of tax related information. This in turn will help curb tax evasion and tax avoidance between the two countries and will also enable mutual assistance in collection of taxes.

Fighting the menace of Black Money stashed in offshore accounts has been a key priority area for the Government. To further this goal, India has either signed or amended international agreements, declarations or conventions for the Avoidance of Double Taxation & Prevention of Fiscal Evasion with respect to Taxes on Income and for the Exchange of Information with Switzerland, Mauritius, Cyprus, Japan, Republic of Korea, Kazakhstan, Singapore and Austria during the financial year 2016-17.

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Cabinet approves Memorandum of Understanding (MoU) on Renewable Energy between India and Portugal

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he Union Cabinet chaired by the Prime Minister Shri Narendra Modi has given its expost facto approval for signing of a Memorandum of Understanding (MoU) on Renewable Energy between India and Portugal. The MoU was signed on 6th January, 2017 in New Delhi.

The MoU will help in strengthening bilateral cooperation between the two countries.

Both sides aim to establish the basis for a cooperative institutional relationship to encourage and promote technical bilateral cooperation on new and renewable issues on the basis of mutual benefit equality and reciprocity. The MoU envisages constitution of a Joint Working Group which can co-opt other members from Scientific Institutions, Research Centers, Universities, or any other entity, as and when considered essential

Delhi Airport is second best among world’s biggest airports: ASQ Awards 2016 GMR Group-led Delhi International Airport Ltd today announced that Indira Gandhi International Airport (IGIA) has become world’s second best airport in the largest airport category – passenger capacity of over 40 million passengers per annum (MPPA)– as per Airports Council International (ACI) ASQ 2016 rankings.

“This achievement marks a significant improvement from the previous year’s rating, where the airport was No.1 in a smaller category of 25-40 million passengers per annum and no.6 globally. Delhi Airport has now joined the elite club of international airports handing over 40 MPPA,” said a release from the airport company.

DIAL’s ASQ score also increased substantially from 4.96 in 2015 to 4.99 in 2016 that helped IGIA scale over several other airports and attain the second position globally, only after Incheon, South Korea.

The release added that the airport has recorded substantial improvement after the GMR led consortium took over the

operations in 2006. From the very low position of 101 ranking, DIAL made rapid progress over the years in enhancing the IGI Airport’s service quality and customer’s experience.

In 2011, the airport had achieved the position of world’s number 2, which it retained for three consecutive years till 2013. In 2014 it stepped up its position to world’s no. 1 rank in the 25-40 MPPA category and retained the rank in 2015 with score of 4.96 in ASQ survey on scale of 1 to 5,”said the release.

“ASQ ratings are a great opportunity for us to continuously refine our service quality levels.

We are excited to be adjudged by ACI as globally no.2 in the highest category of 40 million and above passengers. Our focus has always been on enhancing customer’s experience. As we witness robust growth, we look forward to strong collaboration and support of airport stakeholders as well as our passengers. We are now geared to undertake the expansion works at Delhi Airport. IGIA Master Plan-2016 will further enhance the experience of our passengers and create new benchmark for the aviation community worldwide,” I Prabhakara Rao, CEO- DIAL was quoted in the release.

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Indian Embassy, Vienna

MAKE IN INDIA Rankings

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he Ease of Doing Business (EODB) index is a ranking system established by the World Bank Group. In the EODB index, ‘higher rankings’ (a lower numerical value) indicate better, usually simpler, regulations for businesses and stronger protections of property rights.

The research presents data for 189 economies and aggregates information from 10 areas of business regulation: ■■ Starting a Business ■■ Dealing with Construction ■■ Permits ■■ Getting Electricity ■■ Registering Property ■■ Getting Credit ■■ Protecting Minority Investors ■■ Paying Taxes ■■ Trading across Borders ■■ Enforcing Contracts ■■ Resolving Insolvency Rankings and weightages on each of the above mentioned parameters are used to develop an overall EODB ranking. A high EODB ranking means the regulatory environment is more conducive for starting and operating of businesses.

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India – Ease of Doing Business Ranking

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mong the chosen 189 countries for this index, India was ranked 134 in 2015 on the World Bank’s Doing Business index. Since then there has been a remarkable improvement.

Since 2014, the Government of India launched an ambitious program of regulatory reform aimed at making it easier to do

business in India. The program represents a great deal of effort to create a more business-friendly environment.

The efforts have yielded substantial results with India jumping 4places on the World Banks’ Doing Business rankings.

Positive changes have led to this impressive improvement in India’s ranking on the EODB index: Starting a Business: India’s ranking on this parameter has improved from 164 in 2015 to 155 in 2016. This improvement has been mainly on account of decrease in number of procedures and time taken to start a business in India.Getting Electricity: India’s ranking on this parameter has improved from 99 in 2015 to 70 in 2016. The number of days taken to get a permanent electricity

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connection for a business is just 53 days, which is less than the average time taken in South East Asian and OECD member countries.

Apart from the abovementioned parameters, India fairs particularly well in terms of ‘Protecting interests of Minority Investors’, where it ranks 8 among the 189 countries which are part of this index.

Central Government Initiatives - Completed Actions ■■ Starting a business The requirement of Common company seal is eliminated.

Introduction of form -29 by MCA. With this form three processes such as Name Availability, Director Identification Number and Incorporation of Company are clubbed into one. The company can be registered within 1-2 working days in India.

The provision is in place for getting PAN and TAN in T+1 day using digital signature.

ESIC and EPFO are completely online with no physical touch point for registration or document submission.

■■ Dealing with construction permits Municipal Corporations of Delhi as well as Municipal Corporation of Greater Mumbai have introduced fast track approval system for issuing building permits with features such as Common application form, provision of using digital signature and online scrutiny of building plans.

Delhi has a uniform building bye laws, 2016 which allows for riskbased classification regimes for different building types. The

uniform building bye laws have provision of deemed approval of sanctioning building plans within 30 days.

■■ Trading Across Borders The Central Board of Excise and Customs (CBEC) has implemented ‘Indian Customs Single Window Project’ to facilitate trade. Now importers and exporters can electronically lodge their customs clearance documents at a single point only with the customs.

The number of mandatory documents required by customs for import and export of goods have been reduced to three viz. Bill of Lading, Invoice cum Packing List and Import Declaration.

■■ Enforcing Contracts The Commercial Courts, Commercial Division and Commercial Appellate Division of High Courts Act, 2015 has been enacted. The Commercial Courts and Appellate Divisions have already been established in Delhi and Bombay High Court.

National Judicial Data Grid (NJDG), http://njdg.ecourts. gov.in/njdg_public/main.php provides case data including case registration, cause list, case status and orders/judgements of courts

across the country and Districtwise. NJDG was opened to general public on 19th September, 2015.

■■ Getting Credit SARFAESI (Central Registry) Rules, 2011 has been amended.

The amendment modifies rule 4 to include additional types of charges, including: “security interest in immovable property by mortgage other than deposit of title deeds”; “security interest in hypothecation of plant and machinery, stocks, debt including book debt or receivables”; “security interest in intangible assets, being know-how, patent, copyright, trademark or any other business or commercial right of similar nature”; and “security interest in any under construction residential or commercial building or a part thereof ”. This amendment allows (Central Registry of Securitization Asset Reconstruction and Security Interest) CERSAI to register these additional charges.

This amendment will allow uploading of data pertaining to security interests created on all types of properties covered by the definition of property in Section 2(1)(t) of the Securitization and Reconstruction of Financial

India Newsletter • 13

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Assets and Enforcement of Security Interest Act, 2002 (SARFAESI) i.e. immovable as well as intangible.

■■ Getting Electricity In both Delhi and Mumbai, the distribution companies have stipulated that electricity connections will be provided in 15 days and the number of documents required to obtain an electricity connection have been reduced to only 2. Online application for connections above 100 KVA have been made mandatory in Delhi and Mumbai. This will reduce procedures, cost and time taken to obtain an electricity connection significantly.

In Mumbai, Brihanmumbai Electric Supply and Transport (BEST) has improved its SAIDI by 3% in the period Jun 2015-Mar 2016, and SAIFI by 11% in the same period and Tata power has improved its SAIDI by 2.42 and it’s SAIFI by 2.41.

■■ Registering Property In Delhi, all sub-registrar offices have been digitized and sub-registrars’ records have been integrated with the Land Records Department and in Maharashtra all property tax records have been digitized. The digitization of property records

14 • India Newsletter

will overcome the cumbersome and time consuming paper work for registering properties. It will ensure transparency and allow citizens to ascertain history of transactions in digital mode.

■■ Resolving Insolvency The Insolvency and Bankruptcy Code, 2016 is expected to introduce new dimensions in Resolving Insolvency in India.

This is India’s first comprehensive legislation in the area of corporate insolvency.

■■ Paying Taxes The ESIC has developed a fully online module for electronic return filing with online payment.

This has greatly reduced the time to prepare and file returns.

With introduction of e-Verification system, there remains no physical touch point for document submission to Income tax authorities.

Central Government Initiatives - Measures Underway ■■ Integrate processes for obtaining PAN, TAN, ESIC & EPFO registration with incorporation of company.

■■ Increasing the coverage of Credit Registry and Credit Bureau to register at least 70%

of the individuals and firms with information on their borrowing history from the last 5 years.

■■ Simplification in the forms for filing income tax return, VAT return, CST return, EPFO and ESIC return ■■ Operationalizing Insolvency and Bankruptcy Code

State Reforms DIPP launched an online portal in April 2016 to track implementation of reforms on a real-time basis. The online portal is aimed to provide the following: Real time ranking and tracking of the States and UTs based on implementation of the recommendationsDetails of the good practices to learn and replicateProvide information on current policies and practices across States and UTs More than 7000 reforms have been uploaded by States on the portal, the validation exercise of which is underway. While the validation exercise is in the final stages, it can be seen from the website that around 10 States have implemented more than 90% of the reforms. A detailed data set of ease of doing business measures implemented by various states is available at URL: http://eodb. dipp.gov.in.

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INDIAN STATE ECONOMIC PROFILE ASSAM

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ssam is the largest economy in the Northeast region. Owing to its relative proximity to the rest of the country and availability of quality infrastructure, the state offers a favourable environment for industry.

Assam boasts largest tea growing area in the world, constituting around one-seventh of the global tea production. The state accounts for over 50 per cent in the country’s overall tea production. It also has 16 industrial estates, three industrial growth centres, 10 Integrated Infrastructure Development Depots, 17 industrial areas, 11 growth centres, six mini industrial estates, one export promotion park and one food processing industrial park. Assam is also the most popular tourist destination among the north-eastern states.

Between 2004-05 and 2015-16, Gross State Domestic Product (GSDP) expanded at a Compound Annual

Growth Rate (CAGR) of 9 per cent to US$ 30.72 billion whereas the Net State Domestic Product (NSDP) expanded at a CAGR of 8.65 per cent to US$ 26.16 billion.

To facilitate infrastructure support, the State Industries and Commerce Department has sponsored three projects as industrial growth centres at Chariduar, Matia and ChaygaonPatgaon.

The Assam government has approved 11 integrated infrastructure development centres across the state. Some of the major initiatives taken by the government to promote Assam as an investment destination are:: ■■ Under the current Five-Year Plan, a new Institute of Information Technology (IIT) has been set up in Guwahati, Assam in the PublicPrivate Partnership mode. It will help in promoting research and industrial partnership in technical education.

■■ The State has adopted the North East Industrial Investment

Promotion Policy and Industrial Policy of Assam to facilitate business through fiscal incentives and multiyear concessions to investors.

■■ The IT Policy and Tourism Policy of Assam have given special attention towards specific sector development.

■■ Industrial growth centres with supporting infrastructure have been set up at Balipara in the Sonitpur district and Matia in Goalpara at estimated cost of US$ 4.5 million and US$ 5.3 million respectively.

Infrastructure ■■ Integrated Development (IID) centres have been planned at Parbatpur, Serphangguri, Dalgaon, Demow, Bhomoraguri, Malinibeel, Dahudi, Silapathar, Rangia, Banderdewa and Titabar.

■■ The Government of India has created a Special Purpose Tea Fund (SPTF) for rejuvenation of the tea bushes. This will benefit about 700 to 800 tea gardens of the state.

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INDIAN 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 maoffice.vienna@mea.gov.in to get more information about possible assistance/subsidies.

I NTER NATI O NAL RAI LWAY EQU I PM ENT EXH I B ITI O N

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18 • India Newsletter

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INTERNATIONAL EXHIBITION FOR PHARMA AND HEALTHCARE

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INVEST INDIA The Investors Desk of the Make in India Campaign The national investment promotion agency, provides handholding and facilitation services for attracting investments, including: Following up on approvals from Government departments/ agencies on behalf of the investor and the investing community.

Providing handholding facilitation services from the point of arrival to the point of departure, including land/site identification and entry procedure advisory.

Interacting with all States in a Hub & Spoke Model and providing investors with State policies relating to land/labour/capital and investment.Fixing meetings/ appointments between investors and different Government departments/agencies.

The team of domain and functional experts provide sector- and statespecific inputs, and handholding support to investors through the entire investment cycle, from preinvestment decision-making to aftercare.

Invest India assist with: ■■ Market strategy ■■ Business plan advisory ■■ Location identification ■■ Expediting approvals

regulatory

■■ Facilitating meetings relevant government corporate officials

with and

■■ Initiating remedial action on problems faced by investors 20 • India Newsletter

Contact Information

Invest India, The Ashok, Third Floor, 50B, Diplomatic Enclave, Chanakyapuri New Delhi 110 021, India 10 A.M. to 5:30 P.M. (Monday to Friday) +91-11-2419 0300 makeinindia@nic.in

www.investindia.gov.in

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PERSPECTIVES ON INDIA

GST a game changer for manufacturing industry

Are you ready?

Text: Rahul Garg, Founder & CEO, MOGLIX

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»»»»»»»»

ST, the “most significant tax reform” so far in India is poised to enable India Inc to operate under a one-country one market philosophy. One of the biggest beneficiaries of the reform would be the Indian manufacturing industry which conventionally has been plagued with complex taxation systems and multiple supply chain hurdles in inter-state transactions. With its vision of “Make in India” and “Digital India”, the Govt has cleared its intentions to re-invent the Indian manufacturing sector and now it is time for the manufacturing sector to prepare itself for the gargantuan reform. New GST regime will present numerous opportunities for the manufacturing sector to grow and prosper. Organizations will have to reinvent themselves which would involve realigning supply chain, transforming administration and compliance, reforming production and logistics, finding new partners and developing synergies, etc.

Given the paucity of time, being at the cutting edge of technology is the only way to achieve this huge task.

■■ Restructuring the supply chain

■■ From a complex tax structure to modern GST

The Government has made no qualms of hiding its intentions on implementing a tax reform which has such extra-ordinary implications. In response, the manufacturing sector should think ahead of time and be prepared for the structural changes that it would need to embrace in view of the GST roll out.

Organizations should evaluate the possible advantage on their businesses and fundamentally re-invent the way they manage indirect tax compliance. As the entire sector becomes more transparent than it ever was, being at the cutting edge of technology would be the fundamental rule to follow in order to succeed.

It is now up to the Indian manufacturers to think 2 years ahead and re-invent, as there are only 2 choices available – “adapt and prosper” or “lag and perish”.

Conventionally, the complex tax structure has been an operational nightmare for the industries in terms of administration and compliance. There are close to 90+ forms under VAT and CST, 13 under Excise, 2 under Service tax along with 300+ annexures and the list goes on, no doubt India is ranked so low in “ease of doing business”. State based tariff incentives would be done away with and businesses would be carried out without worrying about state boundaries.

The cascading effect of taxes would be removed as the manufacturers would be able to get input credit even for inter-state procurement. This would lead to reduction in cost of production eventually boosting demand across the value chain.

Apart from simplifying the tax structure, GST will also enable smooth flow of goods across states.

Presently, trucks spend 40% of their travel time adhering to inter-state checks, submitting forms etc. GST regime will enable smoother and faster movement of goods. Warehousing and logistics would go through fundamental realignment based on factors like economic efficiency and geographical advantage rather than tax/duty arbitrage across states.

Entire country would be considered a common and unified market and area based exemptions would be minimized, if not completely removed. Although these developments also pose significant challenges for the businesses which have made high investments in the recent past considering the existing tax regime, it is a great move towards ease of doing business welcomed by India Inc. ■■ Are you future ready?

India Newsletter • 21

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TOURISM

Strange things can happen in

Leh

Text: Hugh & Colleen Gantzer

H

»»»»»»»»

igh above the heat and dust of the summerscorched plains, we soared.

Red-roofed hill-stations, stapled to the 2,000 meter-high ‘foothills’ of the greatest mountains of the world, appeared and receded under our flight-path, and still we rose. Glaciers of the great Inner Himalayas spread like goose-down on stark and frigid crests; ice-melt rivers snaked their way through cold valleys; conflicting cross-currents of air buffeted us like the invisible paws of capricious cats. The growl of our roaring jet engines changed, jagged ice-crags filled our windows, our descent began. We landed in the broad, mountain-encircled, valley of Leh. According to the Encyclopaedia Britannica: “ … at

22 • India Newsletter

an elevation of 11,550 ft (3,520 m) … Leh is probably the highest permanently inhabited town in the world.”

Elevation takes its toll. After the choking heat of the plains, Leh’s air was chill, bracing, and thin.

We live at 2,000 meters but, even so, we were advised to rest for a day to let our bodies get used to the additional 1,500 m. Those who fly in from the plains must give themselves 24 hours to adjust if they want to avoid High Altitude Sickness. We slept, read, watched IAF fighters take off, vanish over the snow peaks, land after keeping an eye our neighbours across the high borders. The security forces are a constantly reassuring presence this high hub of the Ladakh Himalayas. Leh would have

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been cocooned in its protecting mountains if the Army had not built the world’s highest motor-road through the 18,380 ft. high Khardungla and 17,500 ft Changla Top passes. But in spite of the inflow of its adventurous tourists and traders high-driving in from Srinagar and Manali, and its high-flying visitors jetting over the Himalayas, Ladakh and Leh still deserve their old title: Great Thibet or Second Tibet . The terrain is the same, the flora and fauna are the same, and the customs and traditions of the people are much closer to the ways of old Tibet than those you are likely to find in modern, culturally-changed, Lhasa.

We realised this when we drove up to the Peace Pagoda atop a hill overlooking Leh. Labourers, many in traditional robes, worked on the stupa.

At our feet spread the green valley of Leh, cupped by its naked hills. The infant Indus, or Singhey Khababs as it is known to Ladakhis, flowed through burgeoning barley fields, cattle grazed in meadows, and wet-lands were dimpled with flotillas of ducks paddling over their own reflections and those of the mountains. We descended into the immaculately clean roads and winding lanes of this walking town: willows spread green over rushing, glacial, rills; poplars were verdant pillars; the old Leh Palace, squatting atop a bare crag, gazed over the valley town; and cliff-walled white monasteries rose with aloof, meditative, grandeur.

Buddhism permeates everything in the town. Goldand-red prayer drums stand in decorated shrines at street corners. They contain thousands of inscribed invocations, and devotees who rotate them earn eternal merit by sending prayers swirling upwards.

So do festoons of prayer flags and upright banners, though here the wind is the vector particularly when an afternoon dust storm rattles the panes and sends the windows slamming.

We drove out through flag-fluttering streets where bikers with shades made way for women from Punjab’s Amritsar whose families have been traders here for 20 years; folk from Mumbai shopped for carpets and pashmina, ‘genuine fossil coral and amber’, from shops that resembled a Wild West set with Ladakhi embellishments; and monks in strawberry robes, twirling prayers wheels, mingled with foreign back-packers in fashionably tattered jeans. The carpets might be made in Punjab or Uttar Pradesh, the ‘coral’ could be cleverly dyed stones, and that attractive amber pendant with petals and a scorpion encased within could be orange plastic

with 21st century flowers and a dead insect. But then you’ll find the same sort of tourist-trapping offerings everywhere, including Goa where many Ladakhis migrate to in the winter.

In fact, there is an economic, twinning between Leh and Goa: the low season of one matching the high of the other. A friendly Ladakhi who runs treks from Leh, and then sells Ladakhi handicrafts out of his shops in Goa; Nepalese waiters in Leh migrate to a Calangute restaurant when winter grips Ladakh; the chef who gave us a delectable Chicken Stroganoff in the Yak Tail hotel, moves to a Goan beach hotel when snow clogs the trekking trails in the Himalayas. A hotelier from Dehradun, the capital of our Himalayan state of Uttarakhand, and is a front office manager of one of the hotels in Leh, also shuttles between Leh and Goa. He says that there is a similarity between Ladakhis and Goans: they’re both easy-going and friendly and this is, possibly, what keeps the Goa-Leh conduit flowing. Beaches and treks both offer opportunities for casual, undemanding, relationships. Unlike Goans, however, Ladakhis frown on open displays of affection and skimpily-dressed visitors. Leh’s high-altitude climate and UV radiation would discourage over exposure but, significantly, during our stay in Ladakh we did not see any couples holding hands in public.

Nevertheless, budget foreign back-packers continue to drift and coalesce, break apart and find new partners like petals drifting in a wind-blown pond. Their chequered food habits have spawned a wide range of culinary choices in Leh. We could have dined on Italian, Israeli and Greek fare if the billboards had lured us, or even patronized a German Bakery. We did snack on excellent, hot, cinnamon rolls and nut cookies. Restaurants, however, seem reluctant to list Ladakhi dishes on their menus excluding the Ladakhi version of momos. It might take a while for the very sustaining roasted and crushed barley, tsampa, to be accepted as attractive exotic fare. One of us, however, liked their gur-gur tea … with salt, butter and borax. But, then, that might not be everyone’s cup of tea!

While Western back-packers are still a significant part of the Leh scene, they are being edged out by a growing new segment: affluent Indians in search of new, uncluttered, destinations. The men, increasingly, opt to drive up in 4 x 4s via the rugged Manali route while their wives and sisters fly in. Those who enter Leh by road don’t need to India Newsletter • 23

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acclimatise their bodies. We spoke to some of them and found that they like the freedom that their own vehicles gave them to go where and when they liked.

Most, however, admitted that the high road from Manali had tested their driving skills to the hilt but that could have been because the mountains had had an unexpectedly heavy fall of snow.

We met some of these self-drive enthusiasts in the Pathar Sahib gurdwara managed by the Army.

Here there is a rock bearing the impression of a figure bent in prayer. Legend that it that, another age ago, the villages around this shrine were sorely troubled by a monster. That fearful, horned, creature had an insatiable appetite for human babies. The distraught peasants appealed to Guru Nanak Dev who was on a pilgrimage in Leh. When the monster realised that the powerful saint would foil him, the evil creature hurled a huge boulder at the Guru. Miraculously, the rock turned soft and, when it touched the saint, it took the impression of his contemplative body. Today, the imprinted rock generates an atmosphere of great, and lasting, reverence. The Army provides water for ritual ablutions and headscarves for those who wish to enter the shrine.

Not far from Pathar Sahib is a hill. The Army has installed a board proclaiming it to be Magnetic Hill.

We, and the Parliamentary Sub-Committee on the Official Language and their officials in eleven cars, went to the bottom of what appears to be a rising road. We switched off the engine, put the gear in

neutral, released the brake. And waited. Slowly, and then with increasing speed, the cars began to roll up the hill. We tried it again and again, with exactly the same results. Then a senior officer of the State Bank of India, accompanying our legislators, laid a plastic bottle of mineral water at the bottom of the rising road. It, too, slowly rolled up the hill.

Clearly, there was nothing magnetic about this phenomenon. But then what was it?

Strange things can happen on the Roof of the World. And, in Leh, this one certainly did…

INDIA PERSPECTIVES MAGAZINE ONLINE

www.indiaperspectives.in

India Perspectives Magazine

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ndia Perspectives, the flagship magazine of the Ministry of External Affairs. The magazine is printed in 16 languages and goes to 170 countries, disseminating interesting information about India’s rich culture and tradition.

For a copy of the magazine, mail us at: poip@mea.gov.in

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GUIDE FOR TRAVELLERS - BAGGAGE RULES

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INDIA-AUSTRIA BY AIR

TOURIST HELPLINE

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INDIAN MOVIE EVENING AT THE EMBASSY 31st March, 17:30 - Manjhi: The Mountain Man

HINDI OV with ENGLISH Subtitles

Seat reservation and further Infos: www.indianembassy.at Indian Embassy Business Centre/Library Kärntner Ring 2, 1. Stock, 1010 Wien

INDIAN EMBASSY LIBRARY

■■ The Embassy’s library is opened daily from 10am to 1pm without appointment.

■■ Our collection contains more than 2000 titles in dozens of categories.

■■ For appointments outside the opening hours or other inquiries, please contact us under info.vienna@mea.gov. in or 015058666 33 ■■ Download our latest catalog of books under indianembassy.at/pdf/EmbassyLibrary.pdf

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Eine zauberhafte Reise durch Indien Freitag, 7. April 20:00 AKKU Kulturzentrum Färbergasse 5 A-4400 Steyr

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NOTICE BOARD EMBASSY’S LIBRARY ■■ The EMBASSY’S library is opened DAILY from 10am to 1pm without appointment.

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STUDENTS WELFARE OFFICER ■■ Mr. Brijesh Kumar, Second Secretary (Press, Info. & Protocol) 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 17 and culture.vienna@mea.gov.in

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