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INDIA NEWSLETTER Published by the Embassy of India,Vienna Year 2 | Issue 17 | May 2012

Industry

GEMS & JEWELLERY industry

India Newsletter | 1


News

News of interest Snapshot of April Highlights 

FOREIGN TRADE 

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Despite a challenging economic environment in its major markets of the US and Europe, India crossed the export target of $ 300 billion for 2011-12. “I am happy to announce that India’s exports have crossed $ 300 billion in the last financial year,” Commerce and Industry Minister Anand Sharma said. The sectors that performed very well include engineering, gems and jewellery, textiles, chemicals and pharmaceuticals, Sharma added. Total imports last fiscal also grew to $ 485 billion, primarily because of high petroleum prices, he said. Imports of petroleum as well as gold and silver rose to $ 150 billion and $ 60 billion, respectively during 2011-12. “We were on course, despite very difficult global scenario, the contraction of demand in some of traditional destinations...diversification into new markets has positively worked towards meeting our target,” the minister added. Trade deficit, which grew to $ 185 billion, is a big challenge for the current fiscal as well, Sharma said. 

FOREX RESERVES

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India’s foreign exchange reserves increased $1.4 billion to $294 billion in the week ended April 20. The reserves have increased $205 million since the start of this financial year. Data released by the Reserve Bank of India (RBI) showed the rise was on the back of foreign currency assets that grew $1.4 billion to $260 billion as on April 20. Foreign currency assets have increased $149 million since the start of this financial year. RBI said the data includes the effect of appreciation or depreciation of nonUS currencies held in reserves, such as the euro, sterling and yen. Gold remained unchanged at $27 billion in the week. India’s special drawing rights were up $5.2 million to $4.4 billion while the position at International Monetary Fund was also up $3.4 million to $2.9 billion in the same period. 

ENERGY

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India and the US have announced a $125-million joint fund to carry out combined research in the field of clean energy.Three institutions each from India and the US have been selected for the US-India Joint Clean Energy Research and Development Centre (JCERDC), which is 2 | India Newsletter

part of the US-India Partnership to Advance Clean Energy, announced during the November 2009 visit of US President, Mr Barack Obama, to India. While the National Renewable Energy Laboratory; the University of Florida; and the Lawrence Berkeley National Laboratory have been selected from the US, the three Indian institutions are the Indian Institute of Science, Bangalore; the Indian Institute of Chemical Technology, Hyderabad; and CEPT University, Ahmedabad. Consortia researchers will leverage their expertise and resources in solar technology, advanced bio-fuels and building efficiency to unlock the potential of clean energy technologies that can reduce energy use, cut dependence on foreign oil, and accelerate the deployment of renewable energy sources. 

IT

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After years of speculation, internet search giant Google has announced the launch of Google Drive. The cloud storage service will be rolled out globally in the next few weeks. The launch is special for India, as Google’s engineering teams in Bangalore and Hyderabad conceptualised and built the centralised management tools, security features, ability to search within a document and billing systems for Google Drive. 

AUTOMOTIVE

Maruti Suzuki exported its one millionth vehicle from India on May 1st. To be sold in Denmark the red colored A-star left the Mundra coast line along with 2,200 other vehicles for various international destinations including Switzerland, Malta, Sweden in Europe and Algeria, Egypt and Morocco in the non European destinations. Japanese auto major Nissan Motor wants to become the largest car exporter from India, a senior executive said. The second largest carmaker in Japan is also planning to make India the launch pad for its entry level low-cost brand Datsun.Nissan is the fastest growing exporter of cars from India, in a country where South Korean Hyundai Motor and Maruti Suzuki India are now the leading car exporters. Nissan exports have doubled to 1,00,909 cars in the last fiscal driven by strong demand for compact cars from Europe and Latin American

PHARMACEUTICALS

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Ranbaxy Laboratories, India’s top drug maker by sales, launched a drug to treat malaria. Claimed to be the first original drug developed by an Indian entity, Synriam, the branded anti-malarial combination, will offer a more effective and shorter drug regimen to patients. The drug has been approved for use on adults.According to Ranbaxy, the product is undergoing final stages of clinical trials in Africa, a region that accounts for 90 per cent of malaria-related deaths globally. India, however, accounts for 75 per cent of the 2.5 million cases of malaria reported in the Southeast Asia. Synriam would cost €2 for a complete course (one tablet each for three days), Arun Sawhney, chief executive officer and managing director of Ranbaxy, said.

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markets. Nissan began to export cars in 2010 from Chennai and currently ships 85% of its production to overseas markets. Its wholly-owned Indian subsidiary, Nissan Motor India (NMIPL), has now started shipping its sedan model Nissan Sunny after the huge success of its ‘made in India’ Micra hatchback, which is now sold in over 100 countries. Datsun, expected to be a high-volume product targeting emerging economies, is expected to roll out by mid-2014.

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SPACE

India’s first indigenous all-weather Radar Imaging Satellite (Risat-1) was launched successfully on board the Polar Satellite Launch Vehicle (PSLV)-C19 from Sriharikota in Andhra Pradesh, on April 26, 2012. Its images will facilitate agriculture and disaster management. In a textbook launch, the 1,858 kg spacecraft, the country’s first microwave remote sensing satellite was injected into orbit from Satish Dhawan Space Centre, Sriharikota, around 90 km from Chennai. RISAT-1, a result of 10 years of effort by the Indian Space Research Organisation (ISRO), has the capability to take images of the earth during day and night as well as in cloudy conditions. The heaviest satellite ever lifted, RISAT-1 through its microwave image sensing technology would assist in crop prediction. The approved cost of Risat-1, including its development, is Rs 378 crore (US$ 72.00 million), while Rs 120 crore (US$ 22.84 million) has been spent to


News build the rocket (PSLV-C19), making it a Rs 498 crore (US$ 94.83 million) mission. The spacecraft, which would be parked at its final orbit of 536 km altitude, has a mission life of five years and would circle the earth 14 times a day.  M&A / JVs / INVESTMENTS 

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GreenField Software, an energy and environment management software company, has partnered with UKbased GFS Group Holdings to make its foray into the European market. The company provides Data Centre Infrastructure Management (DCIM) and Energy and Sustainability Management (ESM) software solutions for enterprises. GFS Group Holdings will be the master distributor of GreenField Software’s products in the European Union, Iceland, Liechtenstein, Norway and Switzerland, according to a press statement. GFS Crane DC, the first product to be introduced under the partnership, analyses dynamic data and suggests improvements for overall data centre energy and operational performance.

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Leading German engineering and services company Bilfinger Berger said it plans to invest more than 100 million euros in India in the next couple of years.The recent acquisition of the Suratbased Neo Structo Construction Ltd and Spetech Plant Equipments Private Ltd represents an initial milestone in the German company’s objective of strengthening its commitment in Asia. Bilfinger Berger has a financial scope of more than €1 billion for investment in the next two years globally in the expansion of the services business. Earlier this year, Bilfinger Berger had acquired engineering firm Tebodin, operating in Chennai since 2007.

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Global communications giant Publicis Groupe has acquired Indigo Consulting, one of the leading digital marketing and web development agencies in India, for an undisclosed amount. While Indigo will operate as a unit within the Leo Burnett Group in India and will retain its name, its founder, Vikas Tandon, will remain as MD and would report to Arvind Sharma, chairman of Leo Burnett for the Indian Subcontinent, said Publicis in an official statement. “All the 150-plus people (size of Indigo) are happy and rich, is all I can say,” said Sharma. The agency founded by the IIM-A alumnus Tandon in 2000 has an impressive client roster that includes brands such as Thomas Cook, HDFC Bank, Tata AIG General Insurance,

Asian Paints and DSP Blackrock Mutual Funds. The maverick entrepreneur also runs Cashcow, India’s first blog on Financial Services marketing.

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Larsen & Toubro has acquired the UK-based provider of ship control and automation systems Thalest for 3 million pounds (Rs 24 crore) to use British firm’s technology for commercial and naval ships. The acquisition by L&T’s electrical and automation business division is aimed at expanding the automation offerings for ships.Thalest is the UKbased holding company of Servowatch Systems, Bond Instrumentation & Process Control and Servowatch of US. Prior to this, Larsen & Toubro’s electrical and automation business division had bought the switchgear businesses of Malaysia’s Tamco for about $110 million. As a part of its restructuring process, the $11.7 billion-engineering conglomerate L&T plans to hive off its electrical and automation business for potential value unlocking. 

INTERNATIONAL

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Bilateral trade between India and the Czech Republic is expected to double in the next three years, according to Mr Miloslav Stasek, Ambassador of Czech Republic to India. “Bilateral trade stood at $1.5 billion in the last financial year and we are hoping that it should reach $2 billion in the current financial year. We feel it can reach $3 billion by the end of 2015,” Mr Stasek said while addressing a regional award ceremony organised by EEPC. Sectors like tourism and automotive can be focused to enhance the trade between India and Czech Republic, according to him. “One-third of the total bilateral trade between India and Czech republic is being contributed by automotive sectors.And, I feel tourism is one such segment that can grow more to boost bilateral trade,” Mr Stasek said. “We are in talks with airlines like Jet Airways, Air India for direct flights between India and Czech Republic,” he added.

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Bulgaria has invited Indian companies to make it a home base to tap the European Union and take advantage of its multi-lingual workforce and tax incentives. Assuring a hassle-free investment opportunity in Bulgaria, its Ambassador to India, Mr Borislav Kostov, said there is immense scope to increase trade ties between India and Bulgaria in the area of IT, hi-tech, pharmaceuticals, food processing and other areas. Addressing a meeting hosted at the Fapcci,

the Ambassador said Bulgaria is keenly looking at the prospect of free trade agreement between India and European Union which will have a positive impact on bilateral trade. Citing the examples of Elder Pharma’s acquisition in Bulgaria and their efforts to increase presence in the region, he felt other companies in drugs and pharma sector could look at tapping the local market. He said Bulgaria’s membership to the EU and potential that India holds for trade could help accelerate the business ties.

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India is looking to expand its trade and investment ties with Asean countries with the signing of four comprehensive economic cooperation agreements. Mr A.K.Tripathy, Joint Secretary, Ministry of Commerce and Industry, said that India has a $1 trillion service industry and 50 per cent of the GDP was related to trade and industry. India played a very active role in signing FTA and CECA with neighbouring countries, he said.Mr Richard White, New Zealand Trade Commissioner to India, has said his country is expecting to conclude the Free Trade Agreement (FTA) with India by next year. The bilateral trade between India and New Zealand, which stood at $1 billion in 2011-12, is expected to double by 2015, Mr White said. In view of India’s growing demand for information and communication technology (ICT) services, many ICT companies have been eyeing to enter the Indian marketplace, he said. A number of New Zealand-based companies were also planning to partner with major Indian firms like CMC Ltd and HCL, he added. 

SOCIAL NETWORKING

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Social networking site LinkedIn’s Indian user base has grown 300% in the three years it has had a marketing presence in India. The firm, today, has about 14 million users from India, which has quickly become its second-largest market globally, bigger than China and only behind the United States, according to Jeff Weiner, LinkedIn’s chief executive. Those 14 million Indian users join another 135 million-odd who are tapping into some 2 million companies and many more individuals to seek out jobs (or be sought out for one), organise conferences and network with a broad spectrum of people. India Newsletter | 3


News

INDIA-AUSTRIA bilateral news Latest India-Austria-related Headlines Austrian Company buys 25% in Indian GP Energy Austrian Güssing Renewable Energy has picked up 25% stake in GP Energy India for Rs10 crore and plans to rope in $70 million renewable energy technology into the company, its managing director Mukul Rajpal said. Güssing Renewable Energy is all set to bring in its unique water creation technology to India. “We create water from air. This technology is extremely useful for remote areas,” said Michael J Dichand, chairman of Güssing. Siemens Receives Major Order From Indian Mining Company National Mineral Development Corporation Limited (NMDC), an Indian government-owned mining company headquartered in Hyderabad, placed an order with a consortium headed by Siemens VAI Metals Technologies for the supply of a sinter plant on a full turn-key basis. This plant will be part of a new steelworks that NMDC plans to build in Nagarnar in Chhattisgarh. The sinter strand will have a suction area of 460 m2 and will be capable of producing 4.75 million tons of high-quality sinter per year. The order volume for the consortium is approximately 120 million euros. The plant is scheduled to be started in late 2013.

Bajaj Auto raises stake in KTM Bajaj Auto, India’s second-largest twowheeler maker, has tightened its hold on Austrian KTM Power Sports by buying another 6.3%, taking its stake in the Austrian motorcycle to a little over 47%. The company purchased this stake from one of the key stake holders through an open market transaction recently. The purchase was made through Bajaj Auto International Holdings (BAIHBV), a Netherlands-based wholly-owned subsidiary of Bajaj Auto. A senior Bajaj official confirmed the development, but declined to share the details. Bajaj Auto is the second-largest shareholder in KTM. Other large shareholders:-Stefan Pierer and Rudolf Knuenz-hold more than 51% stake. Bajaj Auto and KTM are working on a few joint development projects. Two ironmaking plants from Siemens commissioned in India Two Corex C-2000 plants originally supplied by Siemens VAI Metals Technologies were relocated from Korea to India and commissioned at the Hazira steelworks of the Indian producer Essar Steel India Ltd. The plants are designed for a total production of 1.7 million tons of hot metal per year, and have been modernized by Siemens with new special equipment and automation systems. Nominal hot metal production capacity was achieved within one week after start-up.

ANDRITZ acquires furnace specialist Bricmont and grows operations in India Austrian infrastruture technology Group ANDRITZ has acquired Bricmont Inc. from Inductotherm Group. Bricmont is headquartered in Pittsburgh, Pennsylvania, USA, and includes certain assets in China and India. The company has about 85 employees and generates annual sales of approximately 30 MEUR. It was agreed not to disclose the purchase price. ANDRITZ Bricmont supplies furnace systems to the aluminium and steel industries and further complements the existing furnace product portfolio of the ANDRITZ METALS business area, which is one of the leading global suppliers of complete lines for the production and processing of cold-rolled carbon steel, stainless steel, and non-ferrous metals. The METALS business area also provides turn-key furnace systems to the steel and copper industries.With the acquisition of Bricmont, ANDRITZ is thus further enlarging its product offerings in furnaces and also strengthening its presence in North America, China, and India. Gary Doyon, CEO of the Inductotherm Group said, “The sale of Bricmont to ANDRITZ focuses Inductotherm on our core strengths in our growing operations in China and India.”

India’s long-term growth potential is 8-9% By Deputy Chairman Planning Commission Montek Singh Ahluwalia

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otwithstanding global credit rating agency S&P’s lowering India’s outlook to ‘negative’, the country remains bullish and its long-term economic growth potential is 8-9 per cent, Deputy Chairman of Planning Commission Montek Singh Ahluwalia has said. “My view of India is that it is bullish. India’s long-term growth potential is 8 to 9 per cent. In order to achieve this, we have to get our Macro-economic right,” said Mr. Ahluwalia, briefing media at the third Clean Energy Ministerial Meeting. He added, “India achieved a growth rate of 6.9 per cent last year. The question is 4 | India Newsletter

whether India’s growth in 2012-13 will go up or not. Growth is taking place in Asia.”

stable to negative. I have nothing to add to it,” Mr. Ahluwalia said.

Standard & Poor’s downgraded India’s credit outlook to ‘negative’ and warned of a downgrade if there is no improvement in the fiscal situation and political climate.

Yesterday, the Reserve Bank of India said the country’s financial system is strong and sometimes these ratings are discounted by markets.

Finance Minister Pranab Mukherjee termed S&P’s move as a “wake-up call” and said the government would work towards achieving higher economic growth. “The Finance Minister has already commented on the Standard and Poor’s decision to change the outlook on India from

RBI Deputy Governor K.C. Chakrabarty has said, “Indian financial system is strong. That is our internal assessment. That our financial stability report always gives. Again, RBI’s financial stability report will come in June. Then you can see what the position is.”


Articles

joint ventures partners in fdi

Government to fix minimum investment limit for JV partners in FDI

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he government is likely to define the term “joint venture” for the purpose of Foreign Direct Investment (FDI) under which it would be mandatory for at least two partners to have minimum 25% stake each in the JV company. The definition of “joint venture” would be incorporated in the consolidated FDI policy which is to be unveiled shortly. “We have decided to define the joint venture under which at least two partners should have a minimum 25% stake each. Till now there was no specific shareholding mentioned in FDI policy to define joint venture,” an official source said.The official said that lack of any prescribed

definition for joint venture was leading to cases where companies were entering into partnership without any minimum prescribed investment limit and then terming it as a joint venture. The policy, which was originally scheduled to be unveiled on March 30, was held up as the then DIPP secretary PK Chaudhery was appointed as Haryana Chief Secretary and the new incumbent is yet to take charge. “The new definition will be included into the FDI policy. As and when the new Secretary takes over in DIPP, the policy will be released,” the official added. The DIPP, which is under the Commerce and Industry Ministry, is the nodal

agency on FDI policy.The government in 2010 had decided to come out with consolidated FDI policy paper summarising all the regulations, including those of FEMA and RBI for the benefit of foreign investors. It revises the policy every six months. The department had last released the consolidated FDI policy on September 30, 2011, in which the conditions for foreign direct investment (FDI) in respect of construction of old-age homes and educational institutions were eased. The consolidated FDI policy can be found online at the website of the DIPP and on the business centre section of the website of the Indian Embassy (Vienna).

SUSTAINABLE URBAN DEVELOPMENT

India and Germany ink Joint Declaration on Sustainable Urban Development

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r Kamal Nath, Minister of Urban Development and Dr. Peter Ramsauer, German Minister for Transport, Building and Urban Development signed a Joint Declaration in the field of Sustainable Urban Development in New Delhi. Dr. Peter Ramsauer was leading a high level German business delegation to India. Mr. Kamal Nath stressed upon the immense challenges and opportunities in the Urban sector in India. He informed that the Government of India is likely to launch the next phase of the Urban Renewal mission shortly with an allocation of around USD 40 billion over the 12th Five Year Plan period.The Government of India is keen on encouraging PPP in the urban sector especially in the larger cities. Minister Nath also informed the German delegation of the major thrust of the Government towards the development of Metros in the major cities across the country and invited the German companies to participate.

Minister Kamal Nath stated that both India and Germany would benefit from the Joint Declaration, as it would provide an enabling platform for the officials, professionals and business leaders to meet and share knowledge and best practices in the urban sector. He expressed hope that this joint declaration will lead to enhanced cooperation and deepen the engagement between the two countries. The Joint Declaration envisages – Promoting discussion and strategies on integrated policies and principles for urban development and revitalization in the two countries; and fostering fair, equitable and sustainable urban communities in the two countries and the ideals of a democratic society with equal opportunity for all. The declaration focuses on analysis of integrated urban and regional policies relevant to the development and redevelopment of cities, metropolitan communities and rural areas in a broader framework

with coordination of spatial, sectoral and temporal aspects; ways to foster the design and development of sustainable communities through integrated and inter-governmental partnerships in a federal system, with particular attention to transit-oriented development planning and finance; Public-Private sector investment partnerships, particularly in regard to sustainability and the revitalization of cities in transition in Germany and fast growing cities in India; urban land use, including green space planning, temporary greening, brown field rehabilitation, as well as the quality of public spaces, urban man-made landscapes and architecture and their role as locational factors. The bilateral work under this Declaration is to be jointly led by the Ministry of Urban Development of India and Ministry of Transport, Building and Urban Development of the Federal Republic of Germany. Senior officials from Germany and India were present at the signing ceremony.

QUOTE OF THE MONTH “We have ambitious plans for India. Exports from India have been a huge success so far, and we want to increase it with new models, as trans-continental markets post stronger demand for smaller cars.We plan to increase our production to over four lakh cars, most of which would be meant for exports.” Takayuki Ishida, Managing Director, Nissan Motor India Private Limited India Newsletter | 5


Articles

india’s largest solar power producer Gujarat to become India’s largest solar power producer

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ommercially exploiting large tracts of wasteland, Gujarat is set to emerge as India’s largest solar power destination.The Chief Minister, Mr Narendra Modi, will dedicate 600 MW of solar power projects to the nation.

capacity of 214 MW of solar power projects commissioned at a single location. The Patan ceremony will be attended by representatives from Australia, Canada, China, Germany, Italy, Hong Kong, Singapore, the UK and the US.

Currently, India’s total solar power production is nearly 900 MW, two-thirds of which will be produced by Gujarat alone.

The Gujarat Solar Park is an innovative concept of the State Government to promote solar installations in which it allocated developed land to the project developers with the entire infrastructure including power evacuation, roads and water for commissioning of the power project put on fast track.

Mr Modi will launch India’s first Solar Power Park with generation capacity of 500 MW in 3,000 acres Charanka village, Randhanpur taluka, in Patan district. Currently, it has an aggregated operational

Under its Solar Power Policy, the State Government had signed up memorandums of understanding for generation of 968.5 MW of solar power by December and also took an initiative to launch the Gujarat Solar Park with a vision to build it as the world’s largest solar power park. Its foundation stone was laid in December 2010. The dedication ceremony will be followed by the ‘India Solar Summit 2012: Investment and Technology Expo’ to be held in Gandhinagar on April 20 and 21, said Mr. D.J. Pandian, Principal Secretary, Energy and Petrochemicals Department.

VA Tech Wabag launches pipeline to draw sea water Chennai’s new source of drinking water with Austrian ‘touch’

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ome September Chennai’s residents will have a new source of drinking water, a 100-million litre a day desalination plant that will produce fresh water from sea water. The Rs 1,000-crore plant being set up by VA Tech Wabag for the Chennai Metropolitan Water Supply and Sewerage Board, the public sector water utility, achieved an important milestone on April 16 when a km-long, 1.6-metre pipeline was launched into the sea to take in over 300 million litres of sea water a day. For VA Tech Wabag and the water business in India this is a major development, says Mr Rajiv Mittal, Managing Director, VA Tech Wabag. It is the largest desalination plant in India and the largest contract for the company.

Others Exploring options This is the first time a water utility is putting up the plant directly and this project is being watched by many coastal State Governments that are exploring options of setting up a desalination plant. States such as Gujarat, Andhra Pradesh and Maharashtra are water starved and considering desalination as an option. VA Tech Wabag, the Chennai-based multinational player in water and waste water management, bagged the contract to set up the desalination plant and operate and maintain it for seven years after completion. Mega project Work on the project started early in 2010 and once implemented, in three months’ time, it will put the company

among the few with a capacity to handle mega projects. Also, over the next seven years the company will handle the operation and maintenance which represents a steady revenue of about Rs 70 crore a year. VA Tech Wabag, listed on the stock exchanges BSE and NSE, is collaborating with IDE Technologies of Israel to set up the project funded by the Government of India. The facility is coming up about 50 km south Chennai on the East Coast Road. This is the second desalination plant to supply water to the city with the first in operation at Minjur to the North of Chennai as a private sector project on design-build-own-operate-transfer basis by IVRCL, Hyderabad.

P&G to build largest Indian plant in Hyderabad

Procter & Gamble’s new Indian plant is part of its localization efforts in emerging marketing.

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rocter & Gamble, the world’s largest consumer goods company, will build its largest manufacturing plant in the Indian sub-continent in Hyderabad by investing 345 crore. The plant, to be spread across 170 acres at Mahbubnagar district, will make products across categories such as laundry, personal and baby care. P&G India’s associate director, product supply, Madhav Rao confirmed that the maker of Tide detergent and Head & Shoulder shampoo will build a

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manufacturing facility in Hyderabad. The plant will start commercial production in two years.The construction contract was awareded to L&T. The $82.6-billion US giant had considered Chennai too as a possible site for its plant. Building the plant in Hyderabad will make it eligible for a 100% stamp duty reimbursement and fixed power allocation as per AP’s newly-revised industrial policy. The company has also asked for a 75% reimbursement on VAT for five years.

The move is in line with the Cincinattibased firm’s global mandate to set up over 20 production centres and acquire one billion new consumers in emerging markets by 2015. P&G is looking to catch up with archrival Unilever in India and most emerging markets. Making more products locally and reducing imports will help it speed up product launches and cut costs. It currently has five plants and over nine contract manufacturing sites in India.


Articles

study indicates India’s urbanisation trend intact Research Report by Morgan Stanley

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dia Research at Morgan Stanley. “These growth drivers will play a key role in forming investment views at the sector and stock levels.”

The study showed that India’s urban population has grown by 2.8ppt annually over the last decade. Urbanization is driven by job offerings and infrastructure creation that lead to population growth. With this growth, it creates income, savings and consumption. “The findings will form the basis for medium-long term sector trends,” says Ridham Desai, Head of In-

The research notes that at the aggregate level, the Morgan Stanley’s proprietary AlphaWise City Vibrancy Index reported growth of 5 percentage points. Within the top 50 cities, consumer services like retail book stores, restaurants (including fast-food chains) and multiplexes have seen the fastest growth during the past six-month period within the consumption component of the vibrancy index. To us, this reaffirms the underlying growth in discretionary consumption.

organ Stanley announced the findings of its latest AlphaWise work concluding that India continues to urbanize at a strong pace driven by a combination of uptrending consumption, robust job creation and growing financial penetration.

Among other key findings of the report, all three vibrancy index components (consumption, job opportunities, and financial penetration) reported sequential acceleration pointing that urbanization trends are still intact in India. Also, the pace of growth of each of the components has been 8%, 4% and 3%, respectively. Of the three components, job opportunities index has grown the fastest. The report reveals that Bangalore, Chandigarh, Hyderabad, Pune and Chennai are the top 5 vibrant cities. The relative vibrancy score for cities like Ludhiana and Meerut is inching close to scores of cities like Mumbai and Delhi, respectively.

INDIA ACCOUNTS FOR HALF OF GLOBAL IT-BPO OUTSOURCING Research Report by Tholons Research

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ndia is the global leader in the outsourcing industry with half of the world’s back office being located here. Indian outsourcing revenue at $59 billion for 2011, accounts for 51% of the global offshore market share, says a report from Tholons Research, a Bangalore based advisory firm. The report further notes that over the past decade, developing economies such as India and the Philippines have propelled themselves to become leaders in the global outsourcing industry - making them the top two countries in terms of global offshore revenue share and employment. The total direct employment by Indian IT-BPO sector (as of 2011) was 1.98 million and indirect employment was 7.5 million. Similarly for Philippines, where total out-

sourcing revenue was $11 billion in 2011, direct IT-BPO employment was 640,000 and indirect at 1.3 million. Philippines has gained a lot in recent years as lot of voice work (call center type of work) has shifted from India to Philippines. The trend to outsource is likely to accelerate as companies seek third party firms in offshore locations to cut costs and improve performance in global large and small firms. The figures from India’s National Association of Software and Services Companies ( NASSCOM) show worldwide IT and BPO spending in 2011 reached about $574 billion and $158 billion, respectively. From a total of $732 billion only about 15% (or $110 billion) is currently outsourced by global firms to destinations like India, Philippines, China and Malaysia

leaving lot of headroom for growth. Given this potential, several developing economies - particularly in South East Asia as well as Latin America and Africa - have shown interest in actively pursuing the industry given the significant potential of its addressable market. For instance the Malaysian government and its IT-BPO association-Outsource to Malaysia-have actively reinvented the country’s marketing strategy to attract IT-BPO companies in the country when it established the Multi-media Super Corridor (MSC). Under this companies get a tax incentive for a period of 10 years, special telecom and electricity tariffs, R&D grants and so on. Time for India to scale up the game. India Newsletter | 7


Articles

india, one of the top clean-energy economies Research Report by “The Pew Charitable Trusts”

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ndia continued its ascent as a top destination for private clean energy investment, according to a research report released by The Pew Charitable Trusts, a non-profit organisation. The country’s ‘National Solar Mission,’ with a goal to have 20 GW of solar power installed by 2020, helped drive the seven-fold jump in solar energy investments to $4.2 billion, the report said. India received $4.6 billion and an additional 2.8 GW of capacity was installed over the course of the year. India now has 22.4 gigawatts of installed clean energy generating capacity. According to the report, India’s clean energy sector continued to flourish in 2011, with private investment increasing 54 per cent to $10.2 billion, placing the country

at sixth position among the G-20 nations. This was the second highest growth rate among the G-20 nations.

crease over the previous year. The US reclaimed the top spot among all G-20 nations and attracted $48 billion.

“Clean energy investment, excluding research and development, has grown by 600 per cent since 2004 on the basis of effective national policies that create market certainty,” said Ms Phyllis Cuttino, Director of Pew’s Clean Energy Program.

However, with $45.5 billion in private investments, China continued to be a hub of clean energy activity — leading the world in wind energy investment and deployment as well as wind and solar manufacturing.

“On a number of measures, India has been one of the top performing clean energy economies in the 21st century, registering the fifth highest five-year rate of investment growth and eighth highest in installed renewable energy capacity,” the report said.

Germany received $30.6 billion, ranking third among G-20 nations. The combination of falling prices and growing investments accelerated installation of clean energy generating capacity by a record 83.5 GW in 2011 bringing the total to 565 GW globally. This represents almost 50 per cent more than installed nuclear power capacity.

Globally, investment grew to a record $263 billion in 2011, a 6.5 per cent in-

India second most economically confident country Research Report by “Ipsos”

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ccording to global research firm Ipsos, India has emerged as the second most economically confident nation for the second consecutive time.India’s economic confidence jumped by five points to 75 per cent in March compared to the previous month, to retain the second most economically confident nation title after Saudi Arabia which tops the table with 89 per cent. China is the third most economically confident country, where 71 per cent are optimistic about their economy, followed by Sweden (70 per cent), Germany (68 per cent), Canada (64 per cent) and Australia (62 per cent). “India has overtaken Japan to become the third-largest economy in terms of purchasing power parity (as per IMF report) and is heading for accelerated growth, following RBI cutting repo rate by 50 bps and inflation moderating to acceptable level,” Ipsos India CEO Mick Gordon said. “This should provide some confidence to the overall sentiments and help in stimulating investment. If the inflation momentum eases in near future, it will give RBI more room to cut rates further to boost investments and growth,” he added. More than half of Indian citizens (56 per cent) believe their economy, which im8 | India Newsletter

pacts their personal finances, is good and 57 per cent people expect that the economy in their local area will be stronger in the next six months, the report said. Gordon said global economic indicators are disturbing, as it is evident that the sources of external growth that the Indian economy has been relying upon in the last few years will be week.“In order to further strengthen domestic demand and improve investor confidence, government has to improve the conditions for private investment, address infrastructure bottlenecks, enhance governance and public service delivery,” he added.

The report, which examined citizens’ as-

sessment of the current state of their country’s economy said the overall global average economic confidence remained swung up one point at 39 percent last month. Looking ahead, 34 per cent global citizens surveyed said their local economy would be stronger six months from now. The natives of Brazil are the quite optimistic about about the state of their economy in the next six months, followed by Saudi Arabia and India. The survey was conducted in March this year among nearly 19, 000 people in 24 countries.

56% of Indian believe their economy, which impacts their personal finances, is good and 57% expect that the economy in their local area will be stronger in the next six months.


Interview

India will be a global sourcing hub for solar projects An Interview with William D Gallo, President and CEO of AREVA Solar

A

REVA Solar, the US-headquartered renewable energy subsidiary of the French nuclear energy group, AREVA, has an ambitious plan to tap the growing solar market in India as a technology provider. William D Gallo, president and chief executive officer, tells Sanjay Jog they propose to make India a hub to source solar technology for their international operations. Edited excerpts: Q: Why has India been chosen to pursue your plans in the solar sector? A: India enjoys 250 to 300 sunny days a year and is, therefore, a potentially privileged location for solar power plant projects. We have been awarded a contract by Reliance Power to set up a 250 Mw project in Rajasthan. This is the second major contract AREVA Solar got after we were awarded a contract to build a 44 Mw solar thermal addition to a coal fired plant in Australia.

cost-effective, land conservative and water-efficient.

are done on site. We will invest in this segment, too.

As a technology provider, we will source most of the steel and glass from the domestic market. A large number of our suppliers are planning to set up plants in India. Besides, there is availability of the skills required for assembling and we will rope in local contractors. The design is simple and we find people of the requisite skills for civil, electrical and mechanical elements.

The solar field typically comes to $1.8-2 million or Rs 9 crore per Mw. However, it depends on applications and size of the project, with larger projects being at lower cost.

During construction we also help the developer in surrounding works construction and also operate the plant ourselves during the performance guarantee period. Besides, there are other warranties that extend for several years. The other advantage is feed-in tariff, established in the NSM. Besides, there is an enabling regulatory mechanism applicable under the NSM and state programmes. Q:What is the investment the company plans to make in India?

The AREVA Group aims to position itself as a strategic player in the development of renewable energy sources.We have already established our global supply management facility by setting up corporate offices in Mumbai for our core group and the manufacturing base in Chennai, currently used for our biomass project, but we intend to take advantage of this facility for solar projects and expand it in due course of time. India will be a global sourcing hub for solar projects.

A: We will continue to be a technology provider and as per our business plan, we do not intend to be a project developer or an investor. Our job will be to provide a technology and not to compete with our customer, who is the project developer.

I want to repeat that India is one of the biggest countries in terms of solar (energy) that we find anywhere in the world. The National Solar Mission (NSM) is in place and the ministry of new and renewable energy (MNRE) is in the midst of working out more plans. Besides, there are several states, including Rajasthan and Gujarat, which have announced plans to pursue solar power and there is a strong pipeline of projects.

We plan a work force of 100 people, a third of (our) global workforce for the solar business. We also deploy mobile manufacturing and fabrication onsite for supporting structures, and applications

Q: Is your CSP (concentrated solar power) technology suitable for India? A: CSP systems are suited for a variety of power plants, from 50 Mw to several hundred Mw, as well as a diverse range of industrial steam applications. It is most

However, we will certainly invest in our existing Chennai manufacturing facility. During 2012, the investment will be $15 million, which will be expanded in the years to come.

“

In addition to the solar plant, our technology is best suited for steam augmentation in existing coal-based and gas-based power plants in India. Solar steam enables power customers to increase electricity production at peak periods and reduce plant emissions. This is cost-effective due to the availability of existing infrastructure. Q: What procedural and regulatory blocks need to be removed to boost investment in solar? A: Regulatory and market certainties are essential for high investment projects like solar. We see strong commitment by the government and it really is essential for investors to stay engaged in the long term. However, changes in policies lead to uncertainties in even sourcing of project finance. The feed-in tariff is a big positive in the NSM but during the reverse bidding procedure, the quality and sustainability of the project should not be compromised by bidding at an unrealistically lower price. Q: What other markets are you pursuing? A: The major markets are India, Australia and the USA. We want to add focus to the Middle East and South Africa, in view of the announcement of major plans (there) in the solar sector.

India enjoys 250 to 300 sunny days a year and is, therefore, a potentially privileged location for solar power plant projects. India Newsletter | 9


Industry

Gems and Jewellery Indian Industry Sector Close-Up

T

he gems and jewellery industry in India occupies a significant position in the Indian economy. The market encompasses various kinds of jewels including gold, coloured gemstones, costume jewelleries, platinum and diamonds. The sector is expected to register a compound annual growth rate (CAGR) of 13 per cent during 20112013, according to a RNCOS report titled, ‘Indian Gems and Jewellery Market Forecast to 2013’. Gold covers about 80 per cent of the Indian jewellery market and the rest of the part is covered by the fabricated studded jewellery consisting diamond and gemstone studded jewellery. Apart from that India has also emerged as the largest cutting and polishing industry for diamond in the world. India has overtaken the US to become the third-largest men’s luxury jewellery market in the world in 2011, according to research firm Euromonitor International. The country’s men’s jewellery market is estimated at approximately Rs 954 crore (US$ 193.9 million) in sales. The 2010 RNCOS report was indirectly supported by the findings of a leading industry body and published in the same year. The journal estimated that by 2015 the gems and jewellery sector will help India earn about US$ 25 billion to US$ 35 billion in form of export revenue. A steady sale of jewelleries, especially of gold, has helped the gems and jewellery industry in India flourish at this rapid rate. In addition, India has evolved as a great place for diamond processing, according to the industry body. Industry Structure The jewellery industry in India is estimated at Rs 150,000 crore (US$ 30.49 billion) industry of which only 5 per cent is organised, thus creating opportunity for the foreign players to enter the Indian market and increasingly making the Indian market organised. The global demand for gold in 2011 rose to 4,067.1 tonnes worth an estimated US$ 205.5 billion - the first time that global demand has exceeded US$ 200 billion and the highest tonnage level since 1997, according to a report released by the

10 | India Newsletter

World Gold Council (WGC). The main driver for this increase was the investment sector where annual demand was 1,640.7 tonne, up by 5 per cent as compared to the record set in 2010 and with a value of US$ 82.9 billion.

• French luxury brand LVMH Moët

Hennessy Louis Vuitton SA plans to enter into the Indian retail jewellery segment, in short time ahead, as per a report. The company had acquired Bulgari SpA in May 2011, and is looking at bringing it to Indian markets. In India, LVMH has been retailing Tag Heuer, Zenith and Dior watches. As part of its Indian retail jewellery foray, LVMH is also considering to offer products from its joint venture (JV) De Beers diamond jewellers in India

• One piece of jewellery is sold every

three minutes online on eBay India. This rising velocity of transaction, as Deepa Thomas, Head (Pop Culture), eBay India, puts it, has set the Net all aglitter. E- commerce players say the jewellery category is the most buoyant online

• Branded jewellery, which accounts

for less than 6 per cent of the Rs 1,000 billion (US$ 20.33 billion) jewellery market, is estimated to grow at 40 per cent compound annual growth rate (CAGR) over the next four years according to industry estimates, quoted Vidya Nataraj, Cofounder and CEO of Bluestone.com

Gold The importance of gold in the Indian gems and jewellery sector is significant,according to the report “Indian Gems and Jewellery Market Forecast to 2013,” by research firm RNCOS. India appeared a leader in the table of most gold consuming nations with the consumption amounting to about 16,000 tonnes.The other key markets include Japan, China, Turkey, Italy, USA and UK. It is expected that the gems and jewellery industry would enjoy a growth of about 8.5 per cent in the period upto 2015. It is also estimated that about 600 tonnes of gold is used to make jewellery. Diamond Botswana in South Africa has emerged as a major diamond trading hub and has provided an array of opportunity for Indian processing companies. Three diamond merchants from India have secured licences for participating directly in beneficiation projects in Botswana to ensure supply of rough diamonds.After diamonds, Surat’s diamantaires are aiming to dominate global jewellery business Surat, the world’s largest cutting and polishing centre, as this is the only centre in India to specialise in cutting and polishing rough diamonds is going to witness huge amount of work. “We believe that the flow of Zimbabwe diamonds will create over 60,000 jobs in the Surat industry. Zimbabwe diamonds are cheaper than those from other mining countries


Industry and manufacturers in Surat have a winwin situation,” as per Sanjay Kothari, Vice Chairman, Gems and Jewellery Export Promotion Council (GJEPC). The industry is expected to import US$ 1.5 billion worth roughs from Zimbabwe this year About 20 Russian wholesalers and jewellery manufacturers will fly down to the diamond city of Surat in Gujarat and meet 15 select diamond manufacturers to understand Indian diamond manufacturing, supply chain, business practices and culture. The companies would mutually identify and develop new sourcing opportunities and substantially increase direct diamond export Exports The net exports of gems and jewellery with reference to coloured gemstones during April 2011 and January 2012 stood at US$ 297.02 million while that of cut and polished diamonds stood at US$ 19,705.41 million thus aggregating to a total exports worth US$ 35,499.52 million, according to the provisional GJPEC data. Government Initiatives India is emerging as a very big consumer market for jewellery and other luxury products and thereby appears as a very attractive opportunity for major brands to establish their presence in the Indian market. The booming domestic market along with export advantage of the industry and the Government’s decision to allow foreign direct investment (FDI) of up to 51 per cent in single brand retail stores has attracted a large number of players to the sector.

Customs Duty on Gold and Silver While presenting the budget 2009-10 in Lok Sabha, Mr Pranab Mukherjee, the Union Minister of Finance, announced an increase in custom duty on gold and silver as the price of gold has increased manifold. Gold bars currently attract customs duty at the specific rate of Rs 100 (US$ 2.03) per 10 grams while other forms of gold (excluding jewellery) are chargeable to a duty of US$ Rs 250 (US$ 5.08) per 10 grams. These rates were fixed in 2004. Along the same lines, the customs duty on silver (excluding jewellery) will be increased from Rs 500 (US$ 10.16) per kg to Rs 1,000 (US$ 20.32) per kg. These revised rates would also apply to gold and silver, including ornaments that are not studded, when imported by a bona fide passenger as baggage, Mr Mukherjee added. Road Ahead GJEPC, the apex body for the gems and jewellery trade in India, Bharat Diamond Bourse (BDB), Mumbai Diamond Merchants Association (MDMA) and Diamond Exporters Association Ltd (DEAL), have felicitated four Indian diamantaires for being appointed as Counsel Generals. This ‘never-before’ can be marked as a milestone for the gem & jewellery industry. This laurel will certainly position these industry leaders as forerunners for discovering new opportunities in the international arena. Branded jewellery is the new mantra in the market, having rapidly acquired

BIG player

Leading Indian Company in the Industry

R

eliance Jewels, is one of the various subsidiaries & division under Reliance Retail . Reliance Retail, Ltd. is a subsidiary company of Reliance Industries. Founded in 2006 and based in Mumbai, it is the second largest retailer in India.

Reliance Jewel retails 8,000 – 10,000 jewellery designs, which are created by in-house designers. Manufacturing although is outsourced. The stores cover a cumulative area of 6,000-10,000 sq ft. (as of 2010)

a niche over the past few years. Growing purchasing power and disposable incomes of India’s middle class has resulted in consumption growth of this industry. Focussed marketing, creating awareness and demand for the products, innovative product range creating excitement and expanding the category as well as transparency and adherence to best practices will help build consumer confidence. Indians liking for gems and jewellery, and the demand is expected to increase to US$ 20 billion by 2010 and US$ 30 billion in 2015, according to industry experts. The huge growth of the Indian gems and jewellery industry has seen the advent of many new branded jewellery shops in various metros of this country. Brands such as Damas Jewellery, Reliance Retail, Swarovski, and Joyalukkas are either opening or have already opened their new branches.The availability of cheap labour in addition to the presence of wellskilled people in various states of India is helping in the growth of diamond polishing and gold jewellery markets. According to experts in the jewellry industry the surge in demand for expensive jewellery is a result of the strengthening Indian economy. India will soon overtake the US in the not so distant future, according to a statement given by Rapaport Group, the well known keeper of global diamond related data. Further, the emergence of use of jewellery as a fashion statement as well as for daily use and gifting has fuelled demand growth in the gems and jewellery sector.

If you are interested in tie-ups with Indian Manufacturers / Exporters of Textiles or simply want to sell your Brands or engaging franchisees in India, this is the entry portal for your business:

Gems and Jewellery Export Promotion Council (GJEPC) www.gjepc.org Tel: 91 - 22 - 26544600 Fax: 91 - 22 - 26524764 E-mail: ho@gjepcindia.com

India Newsletter | 11


Trade Shows

AVIATION INDUSTRY

12 | India Newsletter


Trade Shows

9th INDIA INTERNATIONAL TEXTILE MACHINERY EXHIBITION 2 - 7 DECEMBER, 2012, MUMBAI

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

India Newsletter | 13


Overseas Indians

MOIA Milestones 2010-2011

Ministry of Overseas Indian Affairs Milestones for the years 2010-2011 A delegation from India visited Vienna on December 9-10, 2010 to discuss features of a Social Security Agreement with Austria. MOIA Website For greater transparency and convenience to the public at large, new features have been added to the Ministry’s website at http://poeonline.gov.in/. You can now access details on registered agents. Interactive Meet

www.moia.gov.in

T

he Ministry of Overseas Indian Affairs (MOIA) has taken some fresh initiatives to connect with the overseas Indian community in a more organised and friendlier way. The fresh initiatives will not only help transform migration management into an orderly process through appropriate domestic interventions and international cooperation but also extend institutional support for individual initiatives and community action to harness the knowledge, skills and investible resources of overseas Indians. Some of the fresh initiatives launched are: India-US Totalisation Agreement Exploratory talks were held with the U.S. Social Security Administration on the India-U.S. Totalisation Agreement on May 19-20, 2010. Both sides agreed to exchange data. Labour Mobility Partnership The first meeting of the Joint Working Group under the MoU signed on Labour Mobility Partnership between India and Denmark was held at Copenhagen on June 8-9, 2010. Possibilities of bilateral cooperation in facilitating mobility of workers between the two countries were discussed. A delegation from India visited Brussels on October 22, 2010 for a high-level dialogue with European Union on signing a

14 | India Newsletter

Labour Mobility Partnership Agreement (LMPA) so that other member States of EU could also sign an LMPA. A delegation from The Netherlands also visited New Delhi from October 25-29, 2010 to discuss a Labour Mobility Partnership Agreement. Labour MoU The first meeting of the Joint Committee between India and Oman under the Labour MoU on manpower between the two countries was held in New Delhi on June 24-25 2010. Various issues relating to the protection of Indian workers in Oman, including standardisation of the work contract, were discussed. Social Security Agreements Administrative Arrangements for implementation of the Social Security Agreement between India and France were signed in Paris on June 30, 2010. A delegation from the Portuguese Republic visited India for negotiations on the proposed SSA from September 8-10, 2010. The next round of negotiations will be held in March 2011 in Lisbon. A delegation from Finland came to India from October 4-6, 2010 to discuss and finalise the social security agreement. During the current Financial Year, SSAs were also signed with Hungary, Denmark, Czechoslovakia, Korea and Norway.

An Interactive meet with investors and professionals among overseas Indians was held in New York in September 2010. ICOE MoU The Indian Council of Overseas Employment (ICOE) signed an MoU with the Migration Policy Institute (MPI), Washington, for joint research on migration issues. Global Advisory Council The Steering Group on the Prime Minister’s Global Advisory Council of Overseas Indians on economic engagement was held on September 23, 2010. The Committee put forward some recommendations on Foreign Direct Investments and Foreign Investment Promotion Board for PIO/OCI cardholders to bring them on a par with NRIs. A Steering Group meeting on Social Sector Development and Philanthropy, Knowledge Transfer, and Science & Technology was held on September 24, 2010 to give its recommendations on diasporic philanthropic activities in India; the role of the University Grants Commission; and knowledge transfer. Illegal Migration The second Core Group meeting on prevention of illegal migration was held on October 11, 2010. Major labour exporting states, such as Kerala,Tamil Nadu, Uttar Pradesh, Andhra Pradesh, Punjab and Rajasthan participated in the deliberations. The third Consultation Meeting with major labour exporting states was held on October 29-30, 2010 at the India Habitat Centre. Representatives of 16 states, the Ministry of Labour and the Ministry of Home Affairs, among others, attended the meeting. Some key recommendations regarding the setting up of


Overseas Indians a Pravasi Bharatiya Bhawan and a single focal point to be set up by state governments for redress of grievances were made. Heads of Missions Conference The Fifth Conference of the Heads of Missions of GCC countries, along with other major labour destination countries, was held in Vigyan Bhawan on November 29-30, 2010. The meeting was attended by 11 Missions and major labour exporting states. Important decisions for the welfare of labour in those countries were taken in the meeting.

e-Migrate Project

of cost.

An implementation agency has been selected for the e-Migrate project. The eMigrate project when implemented will collate data of professionals, students and migrant workers going abroad for work. At present, no data about professionals going abroad for work or students going for studies abroad are available.

An OWRC was inaugurated in Dubai by the President of India on November 23, 2010. It has a helpline where workers can seek information and legal assistance. It will also help set up a shelter for workers who are in distress.

Overseas Workers Resource Centre The Centre is being expanded with a new service provider having been selected. The new OWRC will have an SMS facility, a website and an interactive portal. All these facilities will be provided free

Know India Programme The 15th Know India Programme was held from September 10-26, 2010. Twenty-eight participants from nine countries participated. A two-week programme to Assam and Meghalaya was arranged to acquaint the PIO students about India and its culture. This was followed by a visit to Delhi.

Expanding the economic engagement of the Indian diaspora with India

For details contact: Ms. Sujata Sudarshan, CEO, OIFC, and Director – CII 249-F, sector 18, Udyog Vihar, Phase IV, Gurgaon —122015, Haryana, INDIA Tel: +91-124-4014055/6 | Fax: +91-124-4309446 Website: www.oifc.in

India Newsletter | 15


Gastronomy

MAKKI PANEER PAKORA RECIPE Indian Cuisine Recipe - Vegetarian Ingredients

• 1/2 tsp cumin powder • 2 tblsp coriander leaves chopped

• oil for deep frying • 6 tblsp bengal gram flour besan

• salt to taste • 2 tsp ginger chopped • 2 tsp garlic chopped

Preparation

• Crush the corn in a blender. • Grate the cottage cheese. • Heat up oil in a pan, mix in cut ginger and garlic and stir fry till pink.

• Mix in crushed corn and stir fry. • Mix in salt and mix. • Mix in milk and stir fry to get a creamy texture.

• When the corn is cooked, transfer to a round dish and cool.

• Mix in grated paneer, cut onion, cut green chillies, cumin powder, amchur powder and cut coriander leaves.

• 2 green chilli chopped • 1 cup milk • 1 3/4 tsp dry mango powder amchur

• 1 onion chopped • 100 gms cottage cheese (paneer)

• 200 gm corn fresh (makki)

• Adjust salt and mix well. • Mix in besan for binding and mix in a little milk if the mixture is too thick.

• Make even sized balls with hand or tablespoon.

• Heat up oil and deep fry the pakoras on medium heat up till golden brown.

• Remove and keep on an absorbent paper to soak excess oil.

ALOO TIKKI recipe

Indian Cuisine Recipe - Vegetarian Ingredients

Preparation

• 3 large boiled aloo (pota-

• Take the cooked or defrosted peas (ma-

toes)

• 1 tsp salt or as per taste • 1/4th tsp ground black pepper For Stuffing:

• 2/3rd cup matar (green peas) cooked or frozen peas defrosted

• 1/2 tbsp scrapped and minced ginger

• 1/4th tsp garam masala • 1/4th tsp salt or to taste • Red chili powder to taste (optional)

• 1tsp coarsely ground dryroasted cumin seeds

• Oil for pan-frying 16 | India Newsletter

• Now very gently flatten it into a 2-inch

patty. Repeat the procedure for all pieces.

tar) and mash them using a spoon or a fork. Add all the stuffing ingredients except oil and mash briefly. Divide the mixture into 10 equal portions and keep aside.

• Heat 1 tsp. oil in a non-stick pan over a

• Peel the potatoes and mash them very

• Serve aloo tikki hot with chutney and

finely into smooth mashed potatoes. Add salt and pepper and knead until properly mixed.

• Divide it into 10 equal portions. • Now wash and dry your hands and rub them with little oil.

• Take each portion of potato mixture and make a ball. Now

• Taking one at a time, gently flatten each

ball into a round patty of about 1/2-inch thick and place a portion of stuffing in the center and fold the edges together very finely so that mixture does not come out.

low heat. Slip in the patties, not too many at a time, and pan-fry on both sides till crisp golden brown, adding oil if required, on a very low heat. stirred curd.

Note : Boil potatoes until fork-tender. Preferably, potatoes should be boiled well in advance before use. It would be better if they can be refrigerated for a short time.


Tourism

Chattisgarh Indian State Profile

C

hhattisgarh, the 26th state of the Indian Union, is located in the heart of India. The newly formed Indian state of Chhattisgarh is endowed with a unique and rich cultural heritage and the region is full of lush green virgin forests, scenic hills and plateaus intersected by meandering rivers, ancient caves and temples and the last but not least for its rich tribal population. With so much of varieties and choices, Tours to Chhattisgarh promise to be a unique and fascinating experience for its visitors. With an area of approximately 1,35,133 km, Chhattisgarh is also one of the few landlocked states of India. Also the birthplace of several empires and kingdoms of India with the Mauryas being the most prominent, Chhattisgarh has a very rich historical and cultural heritage and its history, archaeology, art and culture and tribal life are worth discovering on your Tours to Chhattisgarh. Chhattisgarh offers an exciting range of attractions to its visitors. Be it amazing ancient Monuments, Palaces, exquisitely carved Temples, Buddhist Sites, ancient Caves, rock Paintings, rare and endangered Wildlife, lush green Jungles, exotic Waterfalls, enchanting hill Plateaus or unique Tribal Villages, Chhattisgarh has it all, promising an exciting and rewarding holiday experience for you. With about 44% of its area under forests, Chhattisgarh is one of the richest bio-diversity regions in the country and the state has a great potential for the development of eco-tourism in the region. With active involvements of tourism departments of the state, Chhattisgarh has been one of the fast emerging eco-tourism destinations of India. Visit and discover the enchantingly beautiful natural landscapes, tribal life of the famous Bastar region, amazing temples, and much more of the still virgin and unexplored Chhattisgarh, on your tours to Chhattisgarh with Tourism of Chhattisgarh. Chhattisgarh also offers exciting shopping experiences to its visitors. The craft items of Chhattisgarh like the traditional bell metal castings popularly know as Dokra has become famous all over the world.

www.india-tourism.com info@india-tourism.com

chitrakoot, chattisgarh

typical chattisgarhean art

sadhu meditating

tala, chattisgarh

India Newsletter | 17


Agenda

INDIAN MOVIE EVENING: 3 IDIOTS

May 29th, 18:00 | Indian Embassy Business Centre (1st Floor, Kärntner Ring 2, 1010 Vienna) Due to limited capacity, seats will be given on a first come, first served basis. Therefore, you are highly encouraged to reserve your seats online at www.indianembassy.at or via phone at +43 1 505 866633 (Ms. Lily John). Genre: Comedy Directed by: Rajkumar Hirani Starring: Aamir Khan/Kareena Kapoor/ R. Madhavan/ Sharman Joshi/ Boman Irani Released: December 2009 Duration: 164 Minutes Language: Hindi / Subtitles: English

Synopsis: Farhan Qureshi and Raju Rastogi want to re-unite with their fellow collegian, Rancho, after faking a stroke abroad an Air India plane, and excusing himself from his wife - trouser less - respectively. Enroute, they encounter another student, Chatur Ramalingam, now a successful businessman, who reminds them of a bet they had undertaken 10 years ago. The trio, while recollecting hilarious antics, including their run-ins with the Dean of Delhi’s Imperial College of Engineering, Viru Sahastrabudhe, race to locate Rancho, at his last known address - little knowing the secret that was kept from them all this time.

OTHER INDIA-RELATED EVENTS IN AUSTRIA Classical indian concert Rina Chandra - Bansuri, Angshubha Banerjee -Table When: May 8, 19:30 Admission: 15eur / 12eur (Reservation Required) Talk-Series ‘Zu Gast bei Elisabeth Al-Himrani’ Dr. Sepp Dabringer, former trade delegate in India When: May 10, 19:00 CLASSICAL INDIAN DANCE BHARATANATYAM STUDIO Vatsalya - Mother and Child When: May 19, 19:30 Admission: 15eur / 12eur Natya Mandir Börseplatz 3/1D, 1010 Vienna www.austro-indian.at ••••••••••••••••••• Bharatanatyam SISYA PERFORMANCE When: May 11, 19:30 Where: Interkulttheater Filgradergasse 16, 1060 Vienna www.interkulttheater.at

18 | India Newsletter

TREKKING WITH NATIVES IN NAGALAND

Exhibition

NAGA PEOPLE JEWELRY AND ASHES

Until June 11th 10am-6pm Museum of Ethnology Neue Burg Heldenplatz 1010 Vienna

Cultures invite to the table When: May 24, 16:00-22:00 The World Public Forum “Dialogue of Civilisations” organises the action. Over 20 nations will host some 5000 visitors with national cuisine and musical delicacies from the five continents. Sigmund Freud Park (near Schottentor)

India Newsletter 05.2012  

India Newsletter published by the Embassy of India, Vienna

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