Haryana attracted 73 Foreign Direct Investment (FDI) projects worth about Rs ... production across various manufacturing verticals including automobiles

By: INDIA BOOMS
Source: http://www.indiablooms.com
Mumbai, Oct 31 (IBNS) With a share of Rs 1,826 crore and over 24,200 assesses Gurgaon accounted for about 23 per cent of total tax worth Rs 8,044 crore realised from 1.7 lakh assesses under the Haryana VAT Act 2003 during 2009-10, apex industry body ASSOCHAM said on Monday highlighting the district’s contribution in state’s economic development.
Besides, Gurgaon also accounted for about 7 per cent of total tax realised under the Central Sales Tax Act 1956 with a share of Rs 285 crore of the total Rs 4,063 crore. Of the total 1.67 lakh assesses, about 24,000 were from Gurgaon.

The district also accounted for about 15 per cent of total tax collected under the Passenger and Goods Tax Act 1952 with a share of about Rs 51.88 crore, according to an analysis of The Associated Chambers of Commerce and Industry of India (ASSOCHAM).

Out of total value of property transferred worth Rs 32,000 crore in Haryana, Gurgaon accounted for about Rs 4,200 crore with about 47,200 registered properties against total of about 5.4 lakh in the whole state.

Interestingly, Gurgaon accounted for about Rs 14 crore and 60 per cent of total entertainment tax receipts worth Rs 25 crore in Haryana.

“Gurgaon accounts for a sizeable proportion of total number of large, medium and small units operating throughout the state of Haryana, total investment made in these units and employment generated by these units thereby making the city as one of India’s fastest growing commercial hub,” said D.S. Rawat, secretary general of ASSOCHAM while releasing ‘A Statistical Note on Gurgaon.’

The district alone accounted for nearly 71 per cent and Rs 30,608 crore out of total exports from Haryana worth Rs 43,031 crore in 2009-10, said ASSOCHAM.

Software companies based out of Gurgaon accounted for a large part of IT/Software exports worth about Rs 22,700 crore from Harayana in 2009-10 as the city is home to largest number of call centres and business process outsourcing (BPO) companies.

“Gurgaon being India’s third largest software hub after Bangalore and Chennai. It can be easily transformed into India’s global financial centre to sit alongside global commercial hubs of Manhattan in New York, Ginza in Tokyo and the Square Mile in London,” said Rawat.

Haryana attracted 73 Foreign Direct Investment (FDI) projects worth about Rs 9,500 crore between April 2005 and December 2010 and Gurgaon accounted for about 80 per cent of this FDI with a share of 38 projects worth over Rs 7,300 crore.

Gurgaon’s contribution to industrial production in Haryana is between 65 per cent to almost 100 per cent it accounted for over 70 per cent of all exports from the state in 2009-10.

“The district city contributes substantially to Haryana’s overall industrial production across various manufacturing verticals including automobiles, sports goods, hosiery, water fittings and sewing machine,” said Rawat.

Gurgaon profoundly contributes to economic progress and financial development of Haryana evidently, as about 35 per cent of all the industrial units operating in the state are based out of Gurgaon with total investment of over Rs 6,450 crore employing about 60,000 people with a production of goods and services over Rs 21,400 crore.

“Significant investments in business segments like corporate and asset management, back office functions of banking, insurance, capital market, private equity and venture capitalist companies, microfinance establishments are fuelling the industrial growth in Gurgaon,” said Rawat.

A total 1,356 large and medium units operating in Haryana with an investment of Rs 25,750 crore employing about 2.4 lakh people with a production of over Rs 1.70 lakh crore.

Nearly 435 units are based in Gurgaon with an investment of Rs 6,450 crore employing about 60,000 people producing goods and services worth Rs 21,400 crore.

Gurgaon also accounts for over 25 per cent of total small and medium enterprises set up in Haryana during the course of last five years with about 3,140 units out of a total of 12,192 MSME units set up across the state.

Out of nearly 10,300 registered factories employing 7.41 lakh workers in Haryana in 2009, Gurgaon accounted for over 1,700 factories and 2.28 lakh workers.

Besides, over 2.93 lakh people were employed in Haryana’s organised private sector in 2009-10 and Gurgaon accounted for about 30 per cent of the total workforce with over 86,200 workers.

Of about 2.2 lakh commercial establishments, shops, hotels and restaurants employing over 3.3 lakh workers in Haryana, about 1.63 lakh were employed in over 6,500 commercial establishments set up in Gurgaon.

Out of the total deposits and credits of over 2,100 scheduled commercial banks in Haryana worth over Rs 87,200 crore and Rs 53,600 crore respectively, Gurgaon accounted for about Rs 25,000 crore deposits and Rs 8,800 crore credit of the 260 scheduled commercial banks in the city.

Of the 2.53 crore population of Haryana as per 2011 census Gurgaon district’s population accounts for 15.14 lakh and has surged by about 73 per cent during the last decade.

High infrastructural growth with vast pool of IT and ITeS industries, investor-friendly policies, highly skilled, motivated and its relatively low-cost IT labour force and sprawling shopping malls, numerous skyscrapers comprising commercial and residential complexes together with modern infrastructure set Gurgaon apart from rest of the cities.

By the end of this decade, Gurgaon will develop as an international financial platform to serve India’s growing needs and increase its voice in global financial markets, said ASSOCHAM.

Source: http://www.indiablooms.com/BusinessDetailsPage/2011/businessDetails311011e.php

HP Investing in the Indian Market

By: James Adams
Source: http://www.cartridgesave.co.uk

India, by most projections, is about to become the world’s third largest economy. The big players in the digital imaging and printing industry are paying attention, starting with HP.

The executive connection

A few telling details: Vyomesh Joshi, born and raised in Ahmedabad, India and educated in the USA at Ohio State University, is today the executive vice-president of HP’s imaging and printing group. This group accounts for about a fifth of the $126-billion company’s total sales, by far the largest single component of the business.

Speaking about his native country, Joshi says: “We see IT adoption growing rapidly. I see extraordinary opportunity in consumer, small and medium business, and enterprise.”

HP’s view of the future

He explains, “Take the imaging and printing business. The connect rate of PCs to printers is 10 to 1 in India; in the US it is 10 to 3-4. People here don’t tie printers to their needs. Once we have printers as a web appliance and we have compelling content, things will change.”

Asked about HP’s vision of the future and rumours about the imminent breakup of the company, Joshi had this to say: “Leo (HP CEO Leo Apotheker) is taking the company in the direction of cloud, connectivity and software . Look at the printing strategy, that’s also about cloud, connectivity and software . If you look at our parts and the overall business, and if you look at where the market is going, the value for the customer is more if we stay together.”

Source: http://www.cartridgesave.co.uk/news/hp-investing-in-the-indian-market/

'Puss in Boots' showcases work by India animators for DreamWorks

By:Richard Verrier
Source:http://www.latimes.com


'Puss in Boots' marks the first time DreamWorks has relied on Indian animators to help produce a full-length feature film. The Bangalore, India, animation studio has become an increasingly important piece of DreamWorks' production pipeline.

When the cat bandit "Puss in Boots" strides onto the big screen this weekend, Vanitha Rangaraju and her colleagues in Bangalore, India, will take special pride in the feline's starring role on the global stage.

A spinoff of the hit "Shrek" movies, "Puss in Boots" represents a milestone for DreamWorks Animation and for the fledgling animation industry in the world's second most populous nation.

The film, starring Antonio Banderas and Salma Hayek, marks the first time that the Glendale studio has relied on a crew of Indian animators to help produce a full-length feature film. Until now, DreamWorks Animation had used the studio it operates in Bangalore to produce mainly TV specials and DVD bonus material. But after investing more than $10 million over the last three years, DreamWorks has turned the Bangalore studio into an increasingly important piece of its production pipeline.

The investment underscores how Hollywood is increasingly farming out animation and visual effects work to India, both to capitalize on the country's low labor costs and to tap into a large pool of English-speaking workers with sought-after computer skills. The pace of production also is accelerated because of the 24-hour cycle that can be maintained by pairing the Bangalore workers with their counterparts in Hollywood.

"We're very excited because we've been working toward this for three years,'' said Rangaraju, head of lighting for the India animation unit. "This is the first time this has happened in India, and it's going to encourage a lot of people to move into the industry."

DreamWorks is among several studios tapping into the labor pool in India. Sony Pictures Entertainment and Rhythm & Hues, the Los Angeles animation and visual effects house, each have facilities in India that have done work on such feature films as "Yogi Bear" and "Alvin and the Chipmunks." Walt Disney Studios partnered with Mumbai-based Prana Studios to produce its 2008 computer-animated movie "Tinker Bell." Additionally, several large Indian companies, such as Reliance Group, Tata Elxsi and Prime Focus, have established beachheads in Hollywood to do visual effects and 3-D conversion work on films such as "Spider-Man 3" and "Clash of the Titans."

Traditionally, much of the film and TV work Hollywood has outsourced to India has involved low-skill, labor-intensive tasks such as wire removal — the tedious process of digitally erasing wires used to suspend stunt people and stars in action movies. The animation work has been confined mostly to TV series or made-for-DVD movies. But that's beginning to change, as evidenced by "Puss in Boots."

A team of about 100 animators in Bangalore spent six months animating three major scenes in the feature film — including one complex sequence in which Puss, Humpty Dumpty (Zach Galifianakis) and Kitty Softpaws (Hayek) enter a giant's castle surrounded by a lush jungle in the clouds. "Except for the story boarding, we did everything from start to finish," said Philippe Gluckman, creative director for the DreamWorks India unit, housed on the eleventh floor of a building in a high-tech park in a suburb of Bangalore. "I would hope nobody would be able to tell which sequences came from India."

DreamWorks launched the India studio in early 2008 as part of a partnership with Technicolor, which acquired the Indian animation company Paprika Animation Studios. Technicolor owns the facility but has tapped DreamWorks to hire and train 220 illustrators who work there. DreamWorks sent staff members to India to train the crews and hold master classes on topics such as how to properly shape mouths.

Before embarking on a full-length feature film, the DreamWorks India unit started with smaller projects, such as holiday TV specials including "Merry Madagascar" and "Scared Shrekless" (a separate unit with the Technicolor studio animated the successful Nickelodeon TV series "The Penguins of Madagascar"). Currently, the group is working on its next film projects, including "Madagascar 3," due out next summer, and is expected to have a role in the upcoming Bollywood-style musical "Monkeys of Mumbai."

"It has been a very steep learning curve for all of them," Gluckman said.

"Puss in Boots" Director Chris Miller said he was impressed with the quality of the work from India. "The work that came out of it was terrific and stands up to anything that was done here," said Miller, who also directed "Shrek the Third."

The ability to farm out even a small portion of the work to India has obvious financial advantages to DreamWorks, given the substantially lower labor costs — about 40% less than in the U.S. — and the increasingly competitive market in the U.S. The typical DreamWorks film costs about $130 million to produce.

But Joe Aguilar, head of the Indian operation for DreamWorks and producer on "Puss in Boots," said the primary rationale for expanding into India was about tapping a scarce resource: people. The studio didn't have enough people to meet its production needs at its two principal centers: in Glendale and at the PDI/DreamWorks facility in Redwood City. That became apparent when the studio began producing as many as three films in a year, he said.

"For us to continue to expand our capacity, we needed to have this facility," Aguilar said. "There is a tremendous amount of talent there."

Aguilar acknowledged some initial concerns within DreamWorks when the studio, which employs 1,561 people in Glendale and 557 in Redwood City, opened its facility in India.

"There has been fear in our studio," he said. "But, if anything, we've just built more space in Glendale to increase our capacity there, and we're moving into a bigger office in Redwood City. We're not reducing jobs in the U.S."

Source: http://www.latimes.com/business/la-fi-ct-dwa-india-20111029,0,1526743.story

$70 mn investment by Samsung in India

By: IT NEXT
Source: http://www.itnext.in

The leading electronic player plans to provide 4,000 jobs at its Noida centre

Mobile phone major, Samsung, has announced an investment of $70 million, tripling the manufacturing capabilities in its Noida facility.

With this investment, the company will enhance its production capabilities of 16 different models from the existing 12 million units a year.

India is one of its largest R&D centres in the world and the company also develops software for smartphones at its Bangalore facility.

J.S. Shin, president and CEO, Samsung South West Asia, said that they are constantly strengthening their presence in India.

“As India has emerged as one of the fastest growing markets for mobile devices in the world, we are working on an innovative mobile portfolio,” he said.

Ranjit Yadav, head - mobile and IT at Samsung India, said that with the current investment, Noida centre has become their largest production facility in the world.

“We have highly advanced and automated machines at our Noida manufacturing unit,” he added.

Reaffirming their commitment for the country, Yadav said that in 2010, Samsung became the first company to produce 3D LED TV in the country.

With this expansion, Samsung recruited 1,500 employees for its mobile manufacturing unit and now facilitates employment of 4,000 individuals at its Noida center alone.

The Noida plant manufactures various multi-media, dual SIM and touch screen models.

Almost 50 per cent of the company’s turnover comes from mobile and IT business in the country. Samsung invests close to 8 per cent of its total revenue in R&D globally.

Source: http://www.blogger.com/blogger.g?blogID=6269059779339500306#editor/target=post;postID=128392473398552544

Investing in future Indian smartphone market: Sony Ericsson

By: CNBC
Source: http://www.moneycontrol.com

With Apple and Android based phones grabbing the larger share of the pie, other mobile manufacturers are feeling the heat. Sony Ericsson too has seen the competition eat up its growth. The global economic upheaval has only added to its woes. Sony Ericsson's President and CEO, Bert Nordberg talks about what exactly his company is doing to combat competition, overseas and in India.

Below is a verbatim transcript of his interview with CNBC-TV18’s Shereen Bhan. For complete details watch the accompanying video.

Q: Post your second quarter numbers you were already cautious about the kind of growth that you could see. Has the outlook worsened post the S&P downgrade in the US and the crisis in Europe?

A: It’s sort of a little bit too early to say. This is about consumer confidence and how that will develop. We haven’t done any efforts to downgrade anything today. We think we can still manage the next two quarters.

Q: You have failed to make an impact in India. You are the number 10 in the pecking order of handset manufacturers. You have a little over 1% markets share. How do you hope to grow here? What will your strategy be?

A: I have a history in India since I come from Ericsson and I actually was the Chairman for Ericsson in India for five years. So when I came to Sony Ericsson I was quite disappointed on our figures in India. We are strengthening our management with Balaji who is taking over.

We are also doing investments to ensure that in the upcoming growth of the smartphone market we take a much better position. We are not competing there at all but we want to take a share in the smartphone market which in 2015 will be 50% of the sales of all smartphones.

Q: One of the criticisms has been that Sony has been rather slow on new launches. While you moved the Android way in 2009, a bet that has paid of for you what can we expect in terms of your launch pipeline?

A: We had four smartphones Android phones last year and this year so far we have eight so we have grown the launches a 100% this year. I don’t know if I agree that we are not having any launches. We have also done the launch of the most spectacular phone this year which was the Xperia Play with a Playstation in the phone. But the future will tell how the 10 year anniversary launch will look.

Source: http://www.moneycontrol.com/news/business/investingfuture-indian-smartphone-market-sony-ericsson_575774.html

FDI ( Foreign Direct Investment ) in India to rise 66% to $80 bn in two years: Morgan Stanley

By:Indian Express (Ridham Desai)
Source: http://www.indianexpress.com

A leading global investment bank has forecast a 66.6 per cent jump in foreign direct investment (FDI) in India. Though India still does not rank highly as an FDI destination, the country is likely to receive FDI of $80 billion in the next 12-24 month as compared with $48 billion in the last two-year period, Morgan Stanley said on Monday.

"India was one of the few emerging markets to see FDI declines in 2010," said Ridham Desai, Head of India Research at Morgan Stanley, in its latest survey. "Given this, we felt it was important to shed more light on this potentially significant growth driver for the Indian economy. The findings show that global companies see real opportunity in India and that their investment appetite is increasing, notwithstanding continuing negative perceptions around infrastructure bottlenecks."

In the findings of its latest proprietary research survey, Morgan Stanley noted that 20 per cent of the firms covered in the survey have plans to invest in India over the coming 12-24 months. The previous two years saw an inflow of $48 bn in FDI into the Indian market. As per the survey, India still does not rank highly as an FDI destination amongst global investors due to infrastructure concerns and thus India isn't considered as a top FDI destination. The survey, the latest in the AlphaWise Evidence Series, saw 176 of the firm's internationally-based research analyst team covering 1,766 global firms to determine the likely investment opportunity recognised by these companies in India.

Source: http://www.indianexpress.com/news/FDI-in-India-to-rise-66--to--80-bn-in-two-years--Morgan-Stanley/864911/

Airbus to Invest $1 Billion in India

By:MoneyNews
Source: http://archive.newsmax.com

Airbus on Thursday said it plans to invest some $1 billion in India, setting up an engineering facility and a pilot training school.

The European airplane maker had committed to investing in India as part of a deal with the government, which is purchasing 43 Airbus aircraft for the state-run Indian Airlines in a deal valued at $2.25 billion.

However, Airbus plans to double the $500 million required under that agreement, Kiran Rao, Airbus' executive vice president of marketing told a news conference.

Some $300 million is to be invested in a pilot training center and another $250 million in an engineering center, both in the southern city of Bangalore.

Airbus also released a study predicting a huge growth in the Indian airline industry, saying that the country will need 1,100 airplanes worth $105 billion by 2025.

Source: http://archive.newsmax.com/money/archives/articles/2006/12/7/091317.cfm

Boeing and Tata Industries Announce India Joint Venture

By:Marcel van Leeuwen
Source: http://www.aviationnews.eu

The Boeing Company [NYSE: BA] and Tata Industries Limited of India have agreed on a plan to form a joint-venture company that will initially include more than US$500 million of defense-related aerospace component work in India for export to Boeing and its international customers.

Under the memorandum of agreement signed by Boeing and Tata, it is contemplated that the joint-venture company will be established by June 2008, and shortly thereafter will begin work building Boeing aerospace components.

“I am very excited to announce this agreement,” said Jim Albaugh, president and CEO of Boeing Integrated Defense Systems. “It represents another step in our commitment to India, in this case by linking the capabilities and heritages of these two companies, in order to bring real and lasting value to India’s aerospace industry, while making Boeing products more globally competitive.”

It is the intent of Boeing and Tata not only to utilize existing Tata manufacturing capability, but also to develop new supply sources throughout the Indian manufacturing and engineering communities for both commercial and defense applications.

“This joint venture between Tata and Boeing is an important part of our strategy to build capabilities in defense and aerospace,” said Ratan Tata, chairman of the Tata Group. “I look forward to the joint venture becoming a world-class facility in India.”

Manufacturing capabilities established within the joint-venture company would in later phases be leveraged across multiple Boeing programs, including the Medium Multi-Role Combat Aircraft (MMRCA) competition.

In the first phase of the agreement, Boeing would potentially issue contracts for work packages to the joint-venture company involving defense-related component manufacturing on Boeing’s F/A-18 Super Hornet for the U.S. Navy and Royal Australian Air Force, CH-47 Chinook and/or P-8 Maritime Patrol Aircraft. A research and development center for advanced manufacturing technologies is also contemplated.

“Boeing is strengthening and deepening its partnerships with Indian industry through a wide range of new teaming opportunities,” said Ian Thomas, president of Boeing India. “Our joint venture with Tata marks a significant milestone in our ongoing journey to build world-class aerospace and defense manufacturing capability in India.”

Boeing’s history in India reaches back more than 60 years, marked by success in working with airline customers, parts suppliers, research institutes and others to provide products and services. In December 2003, Boeing established a wholly owned subsidiary, Boeing International Corporation India Private Limited (BICIPL), to support the growing demands of India’s aviation, aerospace and defense industries.

Source: http://www.aviationnews.eu/2008/02/14/boeing-and-tata-industries-announce-india-joint-venture/

Panasonic India to invest $300 mn in 3 years

By:Press Trust of India
Source: http://www.business-standard.com

Consumer durable maker Panasonic India today said it will invest around Rs 1,400 crore in the next three years to gain about 17 per cent share in 27 lakh domestic air conditioner market.

"Currently, we have around 5 per cent share in the domestic air conditioner market and by 2012, we are eyeing for 17 per cent share in the domestic market," Panasonic India Director (operations and planning) Arjun Balakrishnan told reporters here.

The company plans to put an investment of around $300 million in the next three years to achieve the target.

The company also announced that it has roped in Katrina Kaif as brand ambassador for its home appliance range. It has also announced that it will be introducing a complete new range of air conditioners (ACs) from early next year.

Panasonic is targeting a sale of around 80,000 to 1 lakh units of ACs in the current financial year and it intend to double the sale of ACs every year to achieve a target of 17 per cent market share by 2012.

"We are also looking at setting up a new manufacturing unit in India for producing home appliances particularly air conditioners," Balakrishnan said.

However, the decision would depend upon the sales, he said. "Before setting up a unit in India, we must achieve the target of selling around 4.5 lakh units in the country."

Speaking about the company's plan in India, Balakrishnan said the company would invest around 5 per cent of its total turnover of Rs 4,500 crore in marketing and promotions.

In terms of manpower, he said the company has a marketing team of 210 person which it would double the next year.

Panasonic is also setting a large showroom in Gurgaon as 'Panasoni Experience Centre' to showcase the upcoming high- tech products from its portfolio.

"We plan to set up similar experience centre in all metro cities in the country and second would come up in Gurgaon," he said.

Source: http://www.business-standard.com/india/news/panasonic-india-to-invest-300-mn-in-3-years/80147/on

Volkswagen Group to invest more than €62 billion up to 2016

By:CarDekho Team
Source: http://www.cardekho.com

The Volkswagen Group will invest around €62.4 billion in its Automotive Division in the coming five years. This is the result of the Group’s investment planning for 2012 to 2016 discussed by the Supervisory Board on Friday. “The Volkswagen Group is investing a record amount in forward-looking projects to achieve its goal of becoming the world’s best automobile manufacturer in economic and ecological terms”, said Prof. Dr. Martin Winterkorn, CEO of Volkswagen Aktiengesellschaft, adding: “We shall continue to extend our innovation and technology leadership. Top of the agenda for us are investments in environmentally friendly, sustainable models and drives.”

Investments in property, plant and equipment will account for €49.8 billion. More than half of this (57 percent) will be invested in Germany alone. According to Winterkorn, the Volkswagen Group with its high level of domestic investments offers the best possible proof of Germany’s international competitiveness as a leading manufacturing location. “And this will continue to be the case in future”, he said.The ratio of capital expenditure to sales revenue will be at a competitive level of around six percent on average in the period from 2012 to 2016. Besides investments in property, plant and equipment, the total amount also includes additions to capitalized development costs of €11.6 billion and investments in financial assets of €1.0 billion net of proceeds from asset disposals. Volkswagen is laying the foundations for profitable, sustainable growth by building new production facilities, introducing new models and developing alternative drives, as well as with its modular toolkits. Group Works Council Chairman Bernd Osterloh commented as follows: “Volkswagen’s investment package is yet another move designed to ensure the Group is fit for the future and takes the form of high-quality investments in new, innovative products, manufacturing processes and our global locations. This safeguards jobs for the long term.” He also said that the planning round is proof of Volkswagen’s commitment to its home country of Germany.

For example, roughly €100 million will be invested in significantly improving the flexibility in the body and white production area of the Wolfsburg plant. The same applies to body and white production at Emden. “The investments in the Wolfsburg and Emden locations safeguard operations at the Emden – Wolfsburg – Zwickau turntable. In future, flexible manufacturing of different volumes and products will be possible at these locations, reflecting market requirements. This represents a major contribution to ensuring these three locations are fit for the future”, Osterloh said. In addition, the investments in the German locations will focus on alternative drives, new generations of diesel and petrol engines, and new generations of Volkswagen’s innovative direct shift gearboxes.

At €32.7 billion (roughly 66 percent), the Group will spend a large proportion of the total amount to be invested in property, plant and equipment in the Automotive Division on modernizing and extending the product range for all its brands. The main focus will be on new vehicles and successor models in almost all vehicle classes, which will be based on the modular toolkit technology and related components. This will allow the Volkswagen Group to systematically continue its model rollout with a view to tapping new markets and segments. In the area of powertrain production, new generations of engines will be launched offering additional enhancements to performance, fuel consumption and emission levels. In particular, the Group will continue to press ahead with the development of hybrid and electric engines.

In addition, the Company will make cross-product investments of €17.1 billion over the next five years. Due to the high quality targets and the continuous improvement of production processes, the new products also require changes to, and additional capacity in, the press shops, paintshops and assembly facilities. Investments outside production are mainly planned for the areas of development, quality assurance, sales, genuine parts supply and information technology. Investment activities will also include expenditure on wind, solar and hydroelectric power, in order to supply the factories with renewable energies. The plans are based on the Volkswagen Group’s current structures and hence already take into account the consolidation of Porsche Holding Salzburg. The joint ventures in China are not consolidated and are therefore also not included in the above figures. These companies will invest a total of €14.0 billion in new production facilities and products in the period from 2012 to 2016. These investments will be financed using the joint ventures' own funds.

Source: http://www.cardekho.com/india-car-news/volkswagen-group-to-invest-more-than-62-billion-up-to-2016-5681.htm

Alcatel to Invest US$500 Million in India and Make It the Hub for Managed Services

By: Biz India
Soirce:www.bizindia.com

Telecom equipment maker Alcatel-Lucent (ALU) has firmed up its plans to make India its hub for managed services including an investment of $500 million over the next three years.

Speaking to Business Line, Mr Ben Verwaayen, Chief Executive Officer, Alcatel-Lucent said, 'As we are speaking we are on our way to making India our hub for managed services. This is the fourth pillar of our global strategy.

We are building capabilities here based on some phenomenal work that has been done here itself. The joint ventures with Bharti and Reliance have given us tremendous capabilities. The movement is from network built for voice to networks to be built for IP. This transformation is happening globally and we can help in that transformation from here because of the talent base.'

In June, ALU had said that it was looking to make this move but it was a huge decision. 'I can confirm now that this decision has been taken. We are adding people, we are adding capabilities. Our R&D centre is also getting more creative work and it has much important role to play beyond India,' he added.

Source: http://www.bizindia.net/news/News.asp?newsID=328&catID=61

Six major IT companies size up Kerala's potential for investment

By: Vinson Kurian
Source: http://www.thehindubusinessline.com

At least six major players in the IT industry are learnt to be assessing Kerala's potential as an investment destination.

Of these, Aegis Global, business process outsourcing arm of the Essar Group, has already gone on record making its intentions clear.
‘FAVOURABLY INCLINED'

Mr Aparup Sengupta, Managing Director and Global Chief Executive Officer, Aegis Global, announced his willingness to invest in the State during an interaction with newspersons here on Friday.

Among other names mentioned in this connection are ITC Infotech, Accenture, Dell, Microsoft India and Mindtree, say industry sources. But no formal proposal has been floated by any of these, the sources hastened to add.

This has been the most important upshot from the first meeting of the Executive Council of the National Association of Software and Service companies (Nasscom) held here where top honchos of the country's IT industry were present.
REGIONAL CHAPTER

The industry body also rolled out its activities in the State by opening a regional chapter at Technopark here.

Mr Rajendra Singh Pawar, Chairman of NIIT Technologies and who also holds charge as Chairman, Nasscom, inaugurated the facility in the presence of the Executive Council Members.

This is the eighth office of the industry body, which already has existing offices in New Delhi, Mumbai, Bangalore, Chennai, Hyderabad, Kolkata and Pune.

While hailing the facilities provided in Technopark, Mr Pawar hoped the new Nasscom office would provide necessary impetus to growth of IT/ITeS industry in the State.

Mr Som Mittal, President, Nasscom, said Kerala is one of the most ideally suited States for the industry.

Setting up a branch office in Technopark signifies the importance Nasscom attaches to Kerala as an investment destination.

Source: http://www.thehindubusinessline.com/industry-and-economy/info-tech/article2506623.ece?ref=wl_opinion

Abu Dhabi Investment Forum Mumbai 2011 activities successfully concluded (UAE was ranked tenth big in investor in India)

By:Emirates News Agency
Source: http://www.wam.org.ae

Abu Dhabi, 22 )ct. 2011 (WAM) - The Chairman of the Abu Dhabi Department of Economic Development, Nasser Ahmed Al-sowaidi, stressed the keenness of the Government of the Emirate of Abu Dhabi to build long-term strategic relations with India based on close cooperation in all areas, by exploring the possibilities of cooperation in the fields of science, knowledge, science and technology, industry, tourism and other economic activities. This came in a word delivered on his behalf by his behalf by Mohammed Thani Murshid Al Rumaithi, Chairman of Abu Dhabi Chamber of Commerce and Industry, at the end of the activities of the Abu Dhabi Investment Forum in Mumbai, India last Thursday.

The high-level delegation from the Emirate of Abu Dhabi to the Forum included, Mohammed Omar Abdullah, Undersecretary of the Department of Economic Development, Muhammad Thani Al Rumaithi, Chairman of Abu Dhabi Chamber of Commerce and Industry, Mohammed Hassan Al Qamzi CEO of ZonesCorp, Rashid Abdul Karim Al Balochi, Executive Vice President of Industrial Zones at ADPC, Saeed Fadel Al Mazroui, CEO of Emirates Aluminum and Shadi Malak, Executive Director-Commercial of Etihad Railways.

Nasser Al-sowaidi extended his thanks and appreciation to all participants in Abu Dhabi Investment forum, which took place in Mumbai, to confirm the solid economic relations that are based on historical, social and cultural ties between UAE and India, and the constant interaction between the two countries.

"Indian expatriates' community in UAE is reportedly the largest among other communities, where UAE hosts more than 1.7 million Indian expatriate", Al-sowaidi said.

HE highly valued the contribution of the Indian community to UAE's growth, through development of infrastructure, economic activities and sharing of technical expertise.

Nasser Al-sowaidi added that the traditionally close and friendly UAE- Indian relations developed into a strong partnership in economic and commercial fields; with both countries turning into strategic partners, especially in the two-way non-oil merchandise trade.

"The UAE-Indian non-oil trade, was valued at US$ 43.5 billion in Fiscal Year (2009-2010), whereas in the first half alone of the FY (2010-2011), the value of non-oil trade between the two countries stood at US$ 26.4 billion", Abu Dhabi DED Chairman said.

Al- sowaidi added that UAE was the 6th largest source of crude oil imports to India in 2009-2010, which amounted to 11.6 million metric tons of crude oil.

In his speech, Al-sowaidi said: "UAE's investments in India are concentrated mainly in five sectors: Energy (19.1%), Services (9.3%), programming (7.8%), Construction (6.8%), and Tourism and Hotels (5.6%) , however, the value of Indian investments in the UAE amounted to US$ 5.2 billion, which accounted for 7% of FDI inflows to UAE in 2007. The Indian investments in UAE concentrate in construction and contracting which acquires about US$ 1.5 billion in total and manufacturing activity with a total value of US$ 156 million".

"The UAE offers various trade and investment incentives and advantages for Indian and international companies, such its strategic geographical location close to European and emerging Asian markets, the highly-competitive free zones that provide advanced services to investors", Al-sowaidi stated. He also said that incentives included 100% transfer of capital and profits, diverse industries and non-oil sector activities, cheap energy sources, zero profit tax, no personal income taxes, and other advantages and incentives that made the UAE's business and work environment one of the most competitive worldwide.

In his address to Abu Dhabi Investment Forum, Nasser Al-sowaidi emphasized that despite the significant decline in global FDI levels over the past two years due to the world financial crisis, the Emirate of Abu Dhabi was the second most attractive hub for FDI in the Middle East in 2010, with total investments amounting to about US$ 2.7 Billion, as stated in the "Financial Times" report on "FDI prospects -2011".

Al-sowaidi said that the remarkable improvement in Abu Dhabi's capacity to connect manufacturers and consumers with international markets, would guarantee a more flourishing and positive economic future for the Emirate.

"India, with its booming economy, emerges as a leading force in technological and scientific advancement; specifically in fields of information technology, pharmaceuticals and bio-technology. These fields can provide an excellent opportunity for constructive cooperation between the Emirate of Abu Dhabi and India." Al-sowaidi said, adding that UAE and India could work on joint ventures, particularly in the field of IT and computer industries, in order to meet the needs of local and regional market, taking advantage of the Indian experience in this area on the one hand; and the great benefits offered by Abu Dhabi for investors on the other.

Al-sowaidi indicated that other areas of potential mutual cooperation include technology transfer, and research and development, as both India and UAE focus on furtherance of knowledge-based industries.

"Small and medium enterprises, comprise a prospective base for broad cooperation between Abu Dhabi and India, especially that India possesses outstanding expertise in the field of SMEs, whereas the economic policy of Abu Dhabi focuses on this context to encourage young citizens to invest and take lead in these project" Al-sowaidi elaborated.

"In view of the economic and political instability, and regional responses to economic change in Western Europe and elsewhere, friendly nations should come even closer through strategic partnerships", Nasser Al-sowaidi said in his speech.

Al-sowaidi said that time had come for strengthening ties between the UAE and India, to enable moving forwards and tapping new dimensions and spheres of cooperation, with emphasis on sustainable development, renewable energy, technology transfer, boosting trade activities and widening investment opportunities between India and Abu Dhabi, as well as other areas of mutual concern.

The Chairman of the Department of Economic Development expressed his thanks and appreciation to all participants, wishing them a successful Forum.

In turn, Mohammed Sultan Abdullah Al Owais, UAE Ambassador to India, delivered a speech during the Forum, and expressed his thanks to the Department of Economic Development in Abu Dhabi, the Confederation of Indian Industries (CII) and institutional investors in both countries for organizing this event, which formed an important step in building long-term strategic partnerships between the two countries He said, "Today we witness this meeting which has been eagerly awaited by the economic and business communities in UAE and India, to promote interaction between business leaders from both sides, at a time when the world experiencing financial crisis, in light of faltering European economies, and the increasing deflationary trends witnessed by economies".

The Ambassador said that emerging economies such as India, showed signs of strong growth, contrary to global trends, because India had followed sound policies and development strategies of its own, which suit its needs and capacities at the same time integrated rapidly in the global system.

"The economy of the United Arab Emirates today stands among the fastest growing economies in the Arab world. UAE has launched massive investments in all sectors of the economy, in addition to the establishment of modern and advanced infrastructure for the benefit of its citizens and the benefit of businesses and companies. This provides and huge opportunities for Indian companies to invest in the UAE, and take advantage of a large regional market, as well as having access to growing markets in Africa." Al Owais said The ambassador said that the forum was an ideal opportunity for experts and specialists to benefit from the variety of investment opportunities offered by UAE for private companies in India, pointing out that interaction between partners was always an important factor for achieving the desired goals, as was sought by this forum.

Mohammed Sultan Abdullah Al Owais, in his speech, highlighted some numbers that might be interesting. He noted that UAE trade with India, which amounted to $ 6.71 billion in 2011 to 2010, placing UAE as the first partner with India, for the third year in a row, ahead of China and the United States.

Al Owais pointed out that the total volume of bilateral trade between India and the Arab world for the year 2010-2011 totaled $ 144.02 billion, representing 23.2% of the total volume of Indian trade of. Saudi Arabia came in second place with 17.8%.

UAE ambassador to India said that trade between India and the UAE accounted for about 46.59% of the total trade between India and the Arab world. UAE was ranked tenth big in investor in India, while India stood as the third big investor in UAE.

"The Indian community is the largest community in UAE, with 1.75 million people, representing 42.5% of the workforce in the country 'the ambassador said. He pointing out that the number of weekly flights between the UAE and India, reached 500 flights, running 65% of them (304 flights a week), run by UAE national airlines.

UAE Ambassador to India said that the forum represented a new approach to further strengthen mutual relations strong, and would pave the way for more interaction. He expected that it would have fruitful results, drawing attention to focusing on important sector of in UAE, which include great areas of joint cooperation between the UAE and India, particularly the renewable energy sector.

Al Owais said that the capital of the UAE, become the headquarters of the International Agency for Renewable Energies (IRENA), IRENA, and that the Government of Abu Dhabi had built the entirely solar powered zero carbon - zero waste " Masdar City", which and would be home to approximately 50,000 people. The ambassador added that this in itself represented a great opportunity for the UAE and Indian companies for investment, and most importantly to create and develop institutional links between the UAE and India to exchange ideas and knowledge and develop and promote joint scientific research.

Mohammed Al Owais concluded his word by saying, "This forum marks an activation of capabilities, and we are confident it will provide opportunities for financial institutions, banking and industries, to further mutual cooperation. "No doubt that the exchange of views and ideas will contribute to the adoption of useful insights and better understanding between the State of UAE and India", Al Owais said.

The activities of the forum, included a session entitled "Abu Dhabi and India: the establishment of long-term partnership," which probed and highlighted the great potential enjoyed by the Emirate of Abu Dhabi and India, and the opportunity to create business partnerships for the benefit to both sides, with focus on the future orientations of the Government of Abu Dhabi, based on its 2030 Economic Vision.

The second session was devoted to issues of finance and banking in light of the sound monetary policy adopted by UAE, which represents an ideal platform for foreign investors and Indian companies to play an important role in financing projects in the Emirate of Abu Dhabi.

The forum dedicated the third session to issues related to industry and associated with investments of Abu Dhabi in infrastructure, energy resources on which Abu Dhabi counts on as engines of economic diversification and determinants of the economic vision 2030, which will make the emirate more attractive to industrial investments from all over the world.

The fourth session of the Forum reviewed of infrastructure and development projects for the transportation sector in Abu Dhabi, which provide a field for Indian companies to investment in and benefit from the opportunities and incentives offered by the Government of the Emirate of Abu Dhabi.

The Forum's fifth and last session concentrated on the energy sector and the requirements for both Abu Dhabi and India to take advantage of the expertise and partnerships related to this vital sector, in the light of the capabilities enjoyed by the Emirate of Abu Dhabi's in oil and natural energy resources and how to meet the needs of India's energy, which prompts the private sector to play a vital role in this partnership.

Source: http://www.wam.org.ae/servlet/Satellite?c=WamLocEnews&cid=1289995638861&p=1135099400124&pagename=WAM%2FWamLocEnews%2FW-T-LEN-FullNews

Alfresco Expands to India, Building On Momentum in the Region

By: Press Release
Source: http://www.sfgate.com

Alfresco, the open platform for social content management, today announced major investments in a formal expansion to India. Based on rapidly growing demand in the region for Alfresco's technology and momentum across the globe, the company has hired new senior staff to bolster and grow the company's presence in India.

The India market, as a result of its growing software service businesses, has shown significant interest in Alfresco's open source ECM software. Company leadership identified the regions as the next major strategic market that will help propel growth in the coming months and years.

India boasts a fast growing midmarket customer base, interest in commercial open source models, and growing traction around social content management solutions, all of which play to Alfresco's commercial open source model, which allows partners to adopt and implement enterprise class solutions at lower cost with faster returns on investment.

"We're very excited to announce the formal expansion of our global presence into India," said John Powell, CEO of Alfresco. "We're investing heavily to extend our offering to the growing Indian software services market. The opportunity in the region is remarkable, and we're eager to deliver all the benefits of the leading open platform for content management to businesses and partners in the region."

The enterprise content management market in India saw growth percentages in the double digits this year. Furthermore, large and medium sized Indian systems integrators have already implemented Alfresco solutions in both public sector government entities as well as many private sector organizations. Their interest and growing practice around the Alfresco Enterprise Edition will fuel newer deployments across major industry verticals such as Manufacturing, Retail and the Public Sector.

To spearhead the expansion, the company also announced the hire of Vivek Pai as Country Head - India at Alfresco. Pai will be responsible for developing Alfresco's brand, partner network and Enterprise business in the Indian market. Prior to Alfresco, Pai spent 8 years in various sales and marketing roles at IBM, including Country Manager - Sales for Lotus Software. Prior to IBM, Pai held posts at Symantec, Xerox and Ricoh.

Source: http://www.sfgate.com/cgi-bin/article.cgi?f=/g/a/2011/10/13/prweb8876307.DTL#ixzz1bONa5BYU

Honda Breaks Ground on India Investment

By:The Wall Street Journal
Source: http://cebviews.com

In Brief: Honda Motor Co.’s Motorcycle and Scooter India Unit began building its third factory on Thursday, in a project worth 10 billion rupees (US$205 million). The plant, located in India’s Karnataka state near Bangalore, will employ 3,000 people and should be ready to begin production by 2013.

Our View: Although strategists and senior managers have spent decades refining their emerging markets strategies, our research shows that in 71% of cases, firms spend too much time on market sensing and not enough on capability assessment. For example, a company seeking to enter the Chinese beverages market might realize that changing tastes in urban China signaled a growing demand for its product. However, before making an entry decision, it should ascertain whether it has the capacity to manage sales teams in a large market with diverse regional tastes and incomes; manage a network of Chinese perishable goods suppliers; adjust and maintain its brand in a fast-growing market that is simultaneously attracted to and wary of new Western products; and so on

Source: http://cebviews.com/2011/09/29/idti-honda-breaks-ground-on-india-investment/

Investing in India just got more attractive

By: Derrick Novis
Souce: http://business.financialpost.com


Is global expansion in the cards for your private company? If so, you might be considering setting up an office in India, or you may already be operating there. Although India has many attractive business opportunities to draw Canadian investment, the high tax cost of returning profits to Canada has been an impediment. A recent change in Indian tax law, however, now allows Canadian companies to reduce this cost significantly by restructuring their operations. This change may open doors for Canadian businesses in India.

India is attractive because it offers economic opportunity on a huge scale along with a strong legal framework to protect investment and an abundance of technical and managerial talent. The country also has a demographic advantage that should see its working-age population continue to grow well into this century, increasing wealth and reducing business costs. Right now, Canadian companies I know in businesses as diverse as auto parts and mobile electronic devices are succeeding in India.

Canadian companies that were discouraged from doing business in India because foreign direct investment was prohibited in certain areas may want to take another look — these prohibited activities were recently reduced and now include only retail trading (with some exceptions), atomic energy, gambling and lotteries.

Of course, when you are weighing the costs and benefits of operating in foreign countries, you need to consider taxes. The high tax Canadian companies face when profits are returned to Canada arises for a corporation’s Indian branch or subsidiary that pays dividends to its Canadian parent because these payments are subject to a dividend distribution tax of 16.22% in India. The Canadian company cannot get relief in the form of a foreign tax credit in Canada for this Indian tax paid because Canada does not tax these dividends.

The change to Indian law now allows foreign companies investing in India to operate in the legal form of limited liability partnerships, or LLPs, which are not subject to the dividend distribution tax, allowing Canadian companies to reduce their tax burden on profits returned to Canada.

For example, say a Canadian company has a subsidiary corporation in India. If the subsidiary earns $100, it will pay about 33% corporate income tax in India. If it pays the remaining $67 as a dividend to its Canadian parent company, India’s dividend tax will cost another $11 ($67 × 16.22%). As a result, the Canadian company will receive $56 of each $100 earned by the Indian company. If the companies restructured so the dividend tax did not apply, the Canadian company could receive $67 of each $100 earned.

Operating in partnership with an Indian company in an LLP can also be advantageous because this structure combines the limited liability of a corporation with the flexibility of a partnership. LLPs are separate legal entities that can hold property in their own name. An LLP agreement can govern ownership, control and management of the business.

To benefit from this opportunity, companies will need to consider all the pros and cons of changing their corporate structure, including non-tax related matters.

If the LLP structure is not appropriate for a company, another tax-effective option for doing business in India is to establish an intermediary company in a country that has a favourable tax treaty with India, such as Mauritius. For example, if your Mauritius intermediary company sells its shares of an Indian company and realizes a profit, that capital gain should not be taxed in India, provided the Mauritius company has established true residency there. In comparison, Canadian private companies’ capital gains are taxed at rates ranging between 22% and 25%.

Mauritius also has the advantage of favourable commercial and regulatory laws and a stable financial and political climate. Cyprus, Singapore and the Netherlands also provide favourable income tax treatment in India for foreign companies.

The change in India’s tax law has made it more attractive for Canadian companies to do business there. If you have been considering expanding your business in that part of the world, now may be the time to forge ahead with your plans.

Source: http://business.financialpost.com/2011/10/17/investing-in-india-just-got-more-attractive/

NDS Group to invest $440m in India in next 5 years

By:Times of India
Source: http://timesofindia.indiatimes.com
NDS Group Ltd that creates technologies and applications for digital pay TV said it will invest $440 million (over Rs 2,160 crore) in the next five years in India on product development and enhancing customer base.

"We have so far invested $ 250 million in India and are committed to investing another $440 million here in the next five years," NDS Group Asia Pacific Senior Vice-President and General Manager Sue Taylor told reporters here.

NDS Group that is owned by News Corporation and Permira Funds, said it reaches out to 100 million viewers in India with 20 million TV set-top-boxes already sold here.

The planned investment will be made to develop new products and applications for future such as set-top-boxes that can be used for cable, satellite and broadband TV connections and portable devices, she said.

When asked whether the investment planned would be funded through accruals from the company's Indian business, NDS Group Executive Chairman Abe Peled said: "We spend a lot more than what we make in India."

He said the company will also hire 100 people for its new R&D campus in Bangalore by next year.

NDS at present employs over 1,900 people in India, with an R&D centre in Bangalore and offices in Delhi, Mumbai and Bangalore.

The centre in Bangalore develops applications and solutions not only for the domestic market but also for other geographies such as Latin America, Eastern Europe and China.

Asia Pacific region contributes about 25 per cent to the company's global sales and India is one of the fastest growing markets within the region.

The company, however, did not disclose absolute sales and growth numbers.

According to Taylor, 45 million set-top-boxes are sold in India, out of which 20 million are provided by NDS through its partnerships with leading DTH firms such as Tata Sky, airtel digital TV and cable services companies such as Hathway, DEN and others.

Asked about the targetted market share, Peled said : "We do not want to lose market share here."

Source: http://timesofindia.indiatimes.com/tech/enterprise-it/services-apps/NDS-Group-to-invest-440m-in-India-in-next-5-years/articleshow/10418475.cms

Samsung invests USD 75 million in India

By: The Business Edition News
Source:http://www.thebusinessedition.com

Digital technology leader, Samsung today announced the setting up of its high tech, advanced refrigerator manufacturing facility at Sriperumbudur, Chennai in India. Noteworthy is this is Samsung’s continued investment in the sub continent considering it only has 6 facilities for its refrigerator manufacturing in the world.

The Sriperumbudur refrigerator facility which is the second refrigerator facility for Samsung in India and its sixth in the world, will be inaugurated on site by Dr. M.K Stalin, the Hon’ble Deputy Chief Minister of Tamil Nadu and H.E Mr Kim Joong Keun, Ambassador of the Republic of Korea to India in the presence of other eminent guests on November 27, 2010.

Set up with an investment of USD 75 million, the Samsung refrigerator facility has an installed capacity of 1.2 million units per annum and is providing employment to around 500 people. Samsung commenced its manufacturing operations in Chennai by setting up a Colour television facility in November 2007. Since then, the Company has set up production lines for premium products like Flat Panel TVs, Front loading washing machines, LCD Monitors and Split ACs, with the total investment in the Sriperumbudur Complex totaling over US$100 Million.
Announcing the Company’s plans for its Sriperumbudur facility, Mr J S Shin, President & CEO, Samsung South West Asia stated, “Manufacturing is a core competence for Samsung. The setting up of the second Refrigerator manufacturing facility in India will give a strong boost to our refrigerator business basis a more enhanced product portfolio. The Chennai refrigerator portfolio will complement the refrigerator range produced at Noida and will cater to Samsung customers all over the country. Beyond the refrigerator manufacturing facility, we have earmarked an investment of around Rs 350 Crores for our Sriperumbudur facility over the next 5 years”
The Company will be rolling out 29 Frost free and Direct Cool models in 4 different capacities from this facility in the initial phase. New models and capacities will be added over the next few months. The Frost free range from the Chennai facility is called ‘Inspira’ while the Direct Cool range is called ‘Pride’. While the Pride series is available in 192L capacity variants, the ‘Inspira’ range includes models in the capacity range between 255L to 303L. All the refrigerator models are 5 Star rated.
Both the ‘Inspira ‘and ‘Pride’ range represents the perfect blend of design, convenience and performance. Taking into account the Indian consumers’ preference for more fridge space, the Samsung refrigerators have been designed to provide a larger fridge section. E.g., the Samsung 303L ‘Inspira’ model comes with a 23%:77% fridge to freezer ratio compared with 31%:69% ratio seen in competitor models.

Source: http://www.thebusinessedition.com/samsung-invests-usd-75-million-in-india-2339/

Samsung Wants A $10 Billion Share Of India’s Electronics Pie

By: Suhas
Source: http://www.watblog.com

Samsung Electronics wants to emerge as India’s leading white goods player and seeks revenues of $10 Billion by 2013. The biggest driver is expected to be its portable PC portfolio which now comprises of 28 models, and LED/LCD TVs. They have set a strong precedent in 2010 by achieving a remarkable 60 per cent growth rate, with a sales turnover of $3.5 Billion contributing to its $135.8 Billion in global revenues. It is currently ranked number 1 in LED and LCD TVs.

Samsung’s strategy is simply increasing its play in different segments and emerging as the technological leader as well as the consumers’ most preferred brand.

Digging Deep for the Future

The company has made major investments in India to increase its manufacturing presence with $325 Million so far, with an additional Rs. 350 crore expected by 2015. They are aiming for a 40% growth in 2011 with estimated profits of $4.9 Billion. They boast 18R&D Centers, including two dedicated R&D units in India, besides investing over 8 per cent of global sales in R&D processes to foster innovation. Samsung has approached 890 application development companies to facilitate a 40% share of India’s fast growing Smartphone market.

Netbooks to contribute 40 per cent of Overall sales

Ranjit Yadav, the IT and mobile business head in India, sees a huge emerging market with diverse consumer segments for net-books. “We have launched our NF series of netbooks in late 2010, which is witnessing excellent sales across markets, particularly among students, young professionals and frequent travelers.” Samsung already control over 20 per cent of the market share in the netbook category and are now looking at doubling it in the NotePC segment in 2011.

They have now launched the ultra premium Notebook Series 9 here, and have a significant thrust on retail for netbooks besides a strong retail network.

The Galaxy Tab makes Inroads as well

Ranjit believes Tablets are a key focus area and a prime category for Samsung. The popularity has been huge in India and Samsung is already targeting a 50% share of the Indian Tablet market by 2011 with the launch of Samsung Galaxy Tab 10.1” and 8.9” entertainment powerhouse variants.

And lastly, some powerful words from their CEO: “People talk about risk management these days, but I think risk taking is more important.”

We find Samsung’s ideology and relentless thrust unique among a bunch of assembly-line manufacturers, and this is what sets them apart in a notoriously fickle market like India. They haven’t clubbed us together with the other Asian nations but have systematically understood the vagaries of our market. Their numbers reveal the extent of their successful India story, and we wouldn’t be surprised if initial targets are met within the next year.

Do you think Samsung products have the edge? Tell us.

Source: http://www.watblog.com/2011/08/23/samsung-wants-a-10-billion-share-of-indias-electronics-pie/

Caterpillar to Invest $200 Million to Meet Rising Indian Demand

By:Thomas Kutty Abraham
Source: http://www.bloomberg.com

Caterpillar Inc., the world’s largest maker of bulldozers and excavators, plans to invest $200 million in India over five years to make construction equipment as demand grows in the second-fastest growing major economy.

The company is open to forming joint ventures with local manufacturers as it seeks to boost sales in India, where the government plans to add 20 kilometers (12.5 miles) of roads a day, Richard Lavin, Caterpillar’s group president for the Asia region, said in an interview with Bloomberg-UTV.

“We’ve got to be manufacturing locally in order to be competitive in India and we are working right now on plans to significantly increase our investment in manufacturing engines and machines,” Lavin said. “In the coming years, a majority of our construction and mining equipment sales will take place in Asia Pacific, and India will play a large role.”

Chief Executive Officer Jim Owens is trying to position the Peoria, Illinois-based Caterpillar to benefit from growth in Asia by 2020 as sales drop at home in the U.S. Revenue share of the Asia-Pacific region will grow “aggressively” over the next 10 years, Lavin said.

India will award contracts worth 1 trillion rupees ($21 billion) to build about 7,500 miles of roads through June and the government will ease investment rules to boost highway projects, Kamal Nath, Minister for Road Transport and Highways said on Nov. 4. The nation needs $70 billion in investments in the next three to four years to meet its target of laying 4,350 miles of roads each year, he said in September.

‘Focus on Infrastructure’

Prime Minister Manmohan Singh is aiming to accelerate India’s economic growth to between 9 percent and 10 percent over the next decade. Gross domestic product growth in Asia’s third- biggest economy may slow to as low as 6 percent in the year ending March, from an average 8.5 percent in the previous five years, as the worst global recession in seven decades hurt access to foreign capital.

“We are very encouraged by the focus on infrastructure build up in India, especially the roads and highways,” Lavin said. “We are looking at opportunities in working with our dealers and partners to be a part of that.”

Caterpillar is close to an agreement on an engine-making partnership in India and has received joint-venture offers from equipment makers in China, Lavin said on Aug. 4. It plans to extend loans to buyers of bulldozers and excavators in India and is talking to the government for approval for its financing unit, Lavin said.

Caterpillar on Oct. 20 said third-quarter profit dropped to $404 million from $868 million. Caterpillar has slashed inventories and production amid the worst decline in its markets since the Great Depression. It cut about 18,700 full-time jobs and about the same number of temporary workers since December 2008 as demand faltered.

About 550 U.S. employees have returned or will return to work before the end of 2010, including support, management and production employees as demand increases, the company said on Oct. 26.

Source: http://www.bloomberg.com/apps/news?pid=newsarchive&sid=az2v5ATsqoNg 

Mercedes-Benz to invest Rs 200 crore in India

By:Press Trust of India
Source: http://www.bsmotoring.com

Luxury car-maker Mercedes-Benz India today said it will invest Rs 200 crore to set up a paint shop at its manufacturing plant near over the next 18 months.

"We will have our own paint shop with a capacity of 20 thousand units annually, which is expandable up to 40 thousand units. For this purpose we will invest Rs 200 crore over the next 18 months," Mercedes-Benz India Managing Director and CEO Wilfried Aulbur told reporters here.


The paint shop will be operational by the second half of 2012 and with this additional amount, the company's total investment on its Chakan facility, in Maharashtra, would go up to Rs 600 crore.

At present, the company utilises Tata Motors' paint shop located at Chikhli, near Pune.

Aulbur said the company will also commence operations at its body manufacturing unit next year.

Mercedes-Benz India registered an over 85 per cent growth in sales to 5,416 units during the January-November period this year. Out of this, over 5,000 units were assembled locally.

"Our plant has an annual capacity to produce 5,000 units in single shift and we are running over full capacity. We have just started the second shift operations on a permanent basis and from the next year, we will have an annual capacity of 10,000 units a year," Aulbur said.

The company currently employs 700 people at its Chakan plant. The headcount will double by next year following operationalisation of the paint shop and body manufacturing unit, he added.

The Indian luxury car market has grown by about 60 per cent to about 15,000-16,000 units this year, the company said.

When asked if Mercedes will be the market leader in the segment this year, Aulbur said: "We are not concentrating to be the number one. Our focus is on profitable growth and we are investing heavily on customer relationship."

On whether the company will assemble more models in India, he said: "By 2013, we will see more vehicles coming into the country that will be produced locally."

He, however, did not disclose details.

Mercedes-Benz India manufactures C Class, E Class and S Class models at its Chakan plant, while high-end models such as the M Class are imported.

Asked if Mercedes-Benz would consider exporting cars made in India to other countries, on the back of expansion of its manufacturing facilities, Aulbur said: "Currently our focus is on the domestic market. However, I see potential in exports also in the long run."

"We are investing this money (Rs 600 crore) to make India as a major hub in the mid-term," he added.

The company has fifteen dealerships in the country at present and is in the process of opening two more at Rajkot and Baroda. It today rolled out its 30 thousandth unit, an E- Class sedan, from the Chakan facility.

Mercedes-Benz has sold 14,000 E Class models in India since 1996.

Source: http://www.bsmotoring.com/news/mercedes-benz-to-invest-rs-200-crore-in-india/2901/1

Ford investing $72m to increase Duratorq diesel engine production in India

By:Eric Loveday
Source:http://green.autoblog.com

Ford will invest $72 million to expand its powertrain facility in Chennai, India, bringing the automaker's total investment in India to more than $1 billion. When expansion is complete in mid-2012, the plant's diesel engine production capacity will jump from 250,000 to 330,000 units per year.

This investment is part of Ford of India's transformation into a major global export and manufacturing hub. Both the 1.6-liter TiVCT and the 1.4-liter HC Duratorq diesel engines will be exported from the country.

Back in March, employees at Ford's Chennai plant celebrated the production of the facility's 100,000th engine – a milestone achieved just 14 months after the factory opened its doors. Currently, Ford of India ships engines to Thailand and South Africa, and future plans call for the exportation of India-built gasoline and diesel engines to more markets.

Source: http://green.autoblog.com/2011/05/28/ford-investing-72m-to-increase-duratorq-diesel-engine-productio/

GM India to Invest $500 Million on Expansion

By: Nikhil Gulati
Source: http://online.wsj.com

The Indian unit of General Motors Co. said Friday it will invest half a billion dollars until the end of 2012 to expand production capacity for vehicles and engines as it attempts to meet growing demand for its Chevrolet brand of cars and also introduce a new range of vehicles next year.

Total capacity at the two factories of General Motors India Pvt. Ltd. will be doubled to 450,000 vehicles per year, said the company's president and managing director Karl Slym. The move will include expanding the capacity at its plant at Halol in the western state of Gujarat to 110,000 vehicles a year from 85,000 currently, he said.

An Indian laborer works in the assembly line at the GM India's manufacturing plant in Halol, near Ahmedabad, on Sept. 22, 2010.

Capacity at GM India's factory at Talegaon in the western Maharashtra state will be more than doubled to 340,000 vehicles a year from 140,000 vehicles now, Mr. Slym added.

"We will be raising capacity at Halol by the end of this year, but the total expansion will be completed by the end of next year," he said, adding that GM has invested more than $1 billion so far in its operations in India.

He said part of the investment will also go toward increasing the capacity for car engines at Talegaon to 300,000 units a year from 160,000 now.

Auto makers such as GM, Maruti Suzuki India Ltd. and Toyota Motor Corp. are either building new plants or expanding capacities at their existing factories to capitalize on growth in demand in the world's second-fastest-growing major economy. Sales of cars in India climbed 30% in the year ended March 31 to 1.98 million units--the biggest percentage gain in 11 years.

"We believe the India auto sector is poised to record a significant pickup in sales volume over the next three-five years, due to rising affordability, increased urbanization and improving auto-financing conditions," Ambrish Mishra and Navin Matta, Mumbai-based analysts at Daiwa Capital Markets, said in a recent note.

Sales of GM cars in India grew 59% last year to 110,804 vehicles. The 2010 sales figure is the highest since the company began operations here in 1996.

"Post-bankruptcy [of General Motors], we have been raising funds locally and funding expansion with internal accruals, and this time also we have tied up with a consortium of five Indian banks to raise loans," Mr. Slym said.

He said part of the funds for the expansion will also be contributed by GM U.S. as well as China's SAIC Motor Corp.

GM has an equally owned joint venture with SAIC in India, which plans to make cars from their Shanghai General Motors Corp. joint venture and mini commercial vehicles from their SAIC-GM Wuling Automobile Co. joint venture.

Mr. Slym said GM India will introduce a sport-utility vehicle from SAIC's portfolio by January 2012, which will be followed by a minivan and a light truck next year.

"More than half of the Halol capacity will be dedicated to the new range of vehicles we will launch from SAIC," Mr. Slym said.

GM India now makes and sells eight car models locally under its Chevrolet brand--the Spark, Beat and Aveo U-VA hatchbacks, the Optra, Cruze and Aveo sedans, the Captiva sport-utility vehicle and its multi-purpose vehicle Tavera.

Mr. Slym said a diesel-engine version of the Beat car will be introduced in July and the company will also unveil an electric mini car in June whose sales will commence at a later date.

"The diesel Beat should give us incremental numbers," he said. "As we have said, our target is to sell 300,000 vehicles in 2013 and 200,000 in 2012."

Source: http://online.wsj.com/article/SB10001424052748703655404576292303827419690.html

On sales this year, he said: "150,000 vehicles seems to be a fair number."

FORD'S $500 MILLION INVESTMENT IN INDIA PAYING OFF AS PLANT READIES FOR PRODUCTION OF NEW SMALL CAR

By:Media Ford
Source: http://media.ford.com

Ford's integrated manufacturing facility near Chennai is readying for volume production of its soon-to-be-introduced new car after a comprehensive transformation to double its capacity and become a strategic production hub for Ford Motor Company.

Attracting an investment of $500 million from Ford Motor Company, the Ford India plant, located in Maraimalai Nagar, was selected as the ideal production source for Ford's new car. It will be produced not only for India but also for export to other international markets.

With cutting-edge automation and high-tech new facilities, the new site reflects the latest Ford manufacturing processes globally and pioneers new technologies for Ford and India. Created with a "best of the best" approach, the Chennai plant has been benchmarked against other competitive facilities globally, as well as the current volume manufacturers in the Indian market, for quality and production efficiency.

"India's long-term significance in our strategy for this region is readily evident with the completion of this new plant," said John Parker, executive vice president, Asia Pacific and Africa, Ford Motor Company. "We've committed in total more than $950 million in recent years to make India one of Ford's strategic production hubs. It's a strategy built on creating great products whose appeal will reach beyond India's borders, and it's fully in line with our business objective to create volume-production centres of excellence in this region."

The expansion marks a major shift for the plant, which has successfully been producing Ford models solely for the India market, including the Ford Ikon, Ford Fiesta, Ford Fusion and Ford Endeavour. With its forthcoming new car, Ford is targeting the heart of the Indian car market and expanding its production capacities accordingly – with output potential of 200,000 vehicles annually.

"This new world-class manufacturing facility is a symbol of Ford's commitment to India and our intention to compete with the best in the market," said Michael Boneham, president and managing director, Ford India. "When the first new car rolls off the line, it will be a moment when Ford achieves its potential as a major player in the Indian automotive industry."

Geared to Global Quality and Efficiency
With its expansion and transformation, the Maraimalai Nagar plant is now geared to achieve production efficiency and quality ranking with the world's best. This is important for consumers, who expect high-quality products which are price-competitive with major Indian brands.

"This is a huge conversion that brings together all the lessons we've learned in the Indian market, and best practices from Ford and our competitors," said Tom Chackalackal, vice president, Manufacturing, Ford India. "It will make us very competitive with Indian manufacturers and gives Indian customers a better product than ever. Much of our investment is centred on quality and our desire to be the best in class in India."

The quality product story for Maraimalai Nagar starts with the plant's higher levels of automation – essential for ramped-up production volumes, precision build quality, flexible manufacturing capability and worker safety.

Until its transformation, the plant was designed for manual assembly methods. It was essential, for both world-class quality and volume production, to increase the level of automation especially for major operations in body construction and painting to deliver consistent quality vehicle after vehicle. The expansion brings 92 sophisticated robots into key areas of the plant to handle repetitive tasks with high degrees of accuracy and precision.

New robotic installations include:

    A total of 16 new painting robots for the plant's new Three-Wet High-Solids painting system. These robots apply the coats of paint successively – four for the primer coat, eight for the base coat and four for the clear coat – with even precision in up to 11 colours.
    Underbody sealer application – for speed and precision.
    Underbody welding robots and body framing systems with flexibility to handle different-sized vehicles with extremely high levels of precision and weld quality.
    Robotic door hemming – another quality measure.

Putting a Shine on Quality
Ford's no-compromise approach to delivering high-quality for progressive yet value-oriented customers mandated a significant investment to introduce a high-tech new paint process for Chennai. It brings new levels of finish quality, depth and durability and makes Chennai Ford's first global car plant to introduce the technology. It's also a first for India.

Called Three-Wet High-Solids, the eco-friendly process produces beautifully painted vehicles with three wet coats – primer, base coat and clear coat – of high solids-content paint applied one after the other. Because it eliminates oven curing between coats, the process produces fewer carbon dioxide emissions and reduces volatile organic compounds emissions by about 20 percent compared to current medium-solids solvent-borne paints.

This makes the newly expanded Indian plant the pioneer for a premium-quality paint process that might normally be expected to debut on a luxury car. Its high-solids content results in a paint finish with high levels of gloss and depth of colour, plus it is more resistant to scratches.

The process will also be used for volume production in Chennai beyond the new car. The new technology brings with it other important benefits, too.

"The biggest user of energy and fuel in a manufacturing plant is the paint shop," Chackalackal said. "By introducing this new technology, we're cutting energy use and fuel consumption significantly, and that's good for the environment and the community."

Other major new developments at Chennai include:

    New stamping press line and automated crossbar technology to double the plant's metal pressing capacity for body panels.
    New flexible body shop capable of producing Ford India's different cars simultaneously. It has been "future engineered" with the flexibility to accommodate other vehicle types, as well.
    Extension of the trim and final assembly line for flexible assembly capability, taking advantage of centralised bulk material feeding, in-sequence feeding of key supplier components and the delivery of engines via overhead conveyors. The new assembly line raises the plant capacity from 14 to 34 vehicles per hour.
    A major investment in quality assurance with the establishment of the new, 3.2-kilometre test circuit to verify quality before vehicles are shipped, a squeak-and-rattle testing track for finished vehicles, a dynamic water-wading testbed and a four-post hydro-lifter for extreme road-condition simulation testing.
    Enlargement of the plant footprint from 250 to 353 acres, approximately 60 percent of which is built-up area and the remaining acreage is comprised of lawns and green belt. The redevelopment included construction of a new zero-discharge wastewater treatment facility for the plant complex.

"We're passionate about Ford competing in the heart of the Indian car market and delivering on our brand promise," Boneham said. "Our investment in the Chennai plant is set to enable us to create products that will compete with the recognised market leaders and be attractive in other international markets. That puts our Chennai facility in an entirely different league."

Regional and Business Impact
When its major transformation is complete – a new fully integrated, high-volume engine manufacturing facility comes on stream in the near future as the final phase of the Ford investment plan – Ford will have added hundreds to its local employment base.

But the economic impact of the plant extends well beyond its direct employment with indirect employment benefits for the Chennai region. Ford predicts new jobs in the thousands will be created regionally due to Ford's efforts to expand its supplier base with 30 new suppliers in the Chennai area.

The new plant features an enlarged supplier park, and even more raw materials and components than ever are being sourced locally. According to Ford India, up to 85 percent of parts supplies for the new car will be derived from India.

Getting Leaner
The transformed Maraimalai Nagar Ford plant is built around an array of new lean manufacturing techniques to make it ultra-efficient and its products cost-competitive even in the hotly contested sub-B segment in India and other growth markets.

Technology-enabled by multiple computer systems, this lean manufacturing approach enables build-to-order production with parts and components supplied from the new adjacent 30-acre supplier park and other, primarily local, suppliers. Key suppliers are investing in building their own facilities on this land on the plant site.

Through conveyor systems, the plant is geared for production sequence delivery of a greater proportion of supplier component assemblies, like instrument panels, wheel-and-tire units and front-end modules from on-site suppliers.

Unlike previous-generation plants, parts and components for new cars at Chennai take a "lean journey" to assembly – and some parts actually follow the car as it is built to order via a state-of-the-art rolling trolley system. Called 'kitting', this ensures that the parts are available conveniently to production workers but also reduces the chances of installing incorrect parts, thus ensuring a "built right" vehicle.

The plant's upgraded computer infrastructure uses multiple IT systems – including radio frequency identification (RFID) – to manage logistics within the plant facility. This and other technologies are designed to help the plant manage much smaller inventories of commodities and parts and keep them closer to production for easy logistical access and greater production speed. Automated systems and close links with suppliers ensure parts supplies are delivered just-in-time and often in exact production order for each vehicle to be produced.

The plant's site improvements include new truck staging facilities being constructed on the plant grounds to position waiting delivery and transport vehicles off the roadside of the national highway.

Chennai Production Timeline
Ford is already conducting pre-production test building of its new car in the plant facility and will be gearing up in the fourth quarter 2009 toward the start of volume production in the new year.

Construction work has been painstakingly conducted throughout the expansion project to avoid disruption of existing production at the plant. Although that was a key challenge, Ford believed it was the best policy to redevelop its existing plant complex rather than building a "green field" plant requiring additional land.

Ford has yet to reveal details about the new small car to debut as the expanded plant's first new product.

"The wait is almost over," Boneham said. "We are on target and this is a quantum leap for Ford India."

Source: http://media.ford.com/article_display.cfm?article_id=30909

Toyota To Invest 1,650 Crore In Bangalore

By: ONE INDIA AUTOMOBILE
Source: http://auto.oneindia.in

Toyota, the Japanese carmaker which has a manufacturing plant in Bangalore, Karnataka has announced plans to make investment of Rs.1,650 crores. Toyota Kirloskar Motors, the Indian subsidiary of Toyota had earlier announced that it intended to increase annual production from 1,50,000 units to 2,10,000 units by the first half of 2012.

Toyota has seen a spurt in demand for its Innova, Fortuner, Corolla Altis, Etios and Etios Liva hatchback. The company in its release has stated the planned investment was to increase production of these models. The Etios Liva hatchback is the first model from Toyota to enter the volume car segment in India and has been received well by the public.
 
Toyota Kirloskar builds the Innova and the Fortuner at its first plant. Its second and recently built plant is being used to build the Corolla Altis, Etios and Etios Liva. Toyota is hoping to gain a strong foothold in India by increasing the number of locally built models.

Toyota Kirloskar Auto Parts Pvt Ltd (TKAP), the parts building division of Toyota Kirloskar plans to install aluminium casting and machining lines, that are scheduled to begin operations in early 2014. The lines are to be installed at TKAP’s new 'Etios' and 'Etios Liva' engine plant, which is scheduled to start operations in the third quarter of 2012. The installation will see an additional investment of about Rs.750 crore and generation of new employment opportunities.

Source: http://auto.oneindia.in/news/2011/07/toyota-invest1650-crore-bangalore-270711.html

Nokia ups investment in India facility

By: EE Times-Asia
Source: http://www.eetasia.com

Nokia has added approximately $75 million investment in its manufacturing plant in Chennai, India for 2008 to improve the capacity of the facility and cater to the need of the Indian and other emerging markets.

The handset maker started manufacturing in Chennai in January 2006 and has achieved the distinction of the fastest ramp up by any Nokia factory worldwide. The plant, which employs approximately 6,000 workers, plays an integral role in Nokia's global production network of mobile devices.

"The decision to make additional investment in the plant is a reflection of Nokia's commitment to the Indian mobile communications industry and of the increasing demand for mobile devices from Asia, Middle East and Africa. Nokia will continuously strengthen its manufacturing network to drive greater agility within the business and increase its competitiveness", said Raimo Puntala, senior VP, operations and logistics, Nokia.

Currently, approximately 50 percent of the production from the Chennai plant is consumed domestically and the rest is exported to countries across Middle East and Africa, Asia, Australia and New Zealand.

Source: http://www.eetasia.com/ART_8800492636_499488_NT_0f8e0a5c.HTM

HTC investing $1 million to the HTC Smart launch in India

By: John V
Source: http://www.phonearena.com

HTC is throwing a lot of fire behind its very first BREW-based phone, the HTC Smart, as it starts to go on sale in India during the last week of March. Targeting the emerging market there, the HTC Smart isn't a stranger as it brings forth a decent offering that won't break the budgets for most people.

It features the Sense UI on top of the BREW operating system that's powering the phone.

What's really interesting to see is that HTC is throwing approximately $1 million for the Smart's marketing campaign – which seems fitting due to the fact that HTC played every part in the creation of the device.

The handset itself can be fetched for 10,000 INR (roughly $220) in India – not too costly when it features a 2.8” QVGA touchscreen, HSDPA, Bluetooth, FM Radio, 3.5mm headset jack, 3.2-megapixel camera, 256MB of RAM, 256MB of ROM, and microSD support.

With so much planning and attention being placed by HTC, that $1 million marketing budget will surely get the word out to people. Aside from that, the device is scheduled to launch in Europe through O2 some time in April.

Source: http://www.phonearena.com/news/HTC-investing-1-million-to-the-HTC-Smart-launch-in-India_id10151

Samsung triples India handset output with Rs 315 cr investment

By:Ranjit Yadav
Source: http://www.firstpost.com

Korean mobile phone major Samsung Electronics today said its production capacity in India has been tripled from today, following the commissioning of new facilities at its Noida manufacturing plant through an investment of approximately $70 million (Rs 315 crore).

“India is one of the top three mobile markets for Samsung in the world and we stand committed to this market and Indian consumers,” Samsung President and CEO for South West Asia JS Shin said here.

“Given the strong potential of this market, we are working on consistently strengthening our presence in the country through a very innovative mobile portfolio, as well as enhance manufacturing, operations, research and development,” he said.

Till yesterday, the production capacity of Samsung’s mobile manufacturing plant in Noida was 12 million handsets per year, but following the commissioning of the new production facilities, the company’s capacity is now 36 million handsets per annum.

“The company has invested $70 million, approximately, to enhance this capacity. With this, the total investment by Samsung in mobile production in India has reached close to $100 million,” Samsung India Country Head – Mobile and IT Business Ranjit Yadav said.

According to various market research reports, Samsung’s mobile phone business has grown steadily and it is now the second-largest player in India in terms of the number of units it sells.

Yadav said on the back of the capacity expansion, the company has also hired 1,500 more people to work at its Noida plant, which takes the total headcount at the facility to 4,000.

Source: http://www.firstpost.com/fwire/samsung-triples-india-handset-output-with-rs-315-cr-investment-84753.html

Dell plans more investment in India

By:Agencies
Source: http://www.financialexpress.com

World's No. 2 personal computer maker Dell on Thursday said it would invest more in India in the coming years to commensurate with the growth of its products, adding it expects strong demands in this part of the world to continue.

Micheal Dell, CEO of the company said this amidst the company revenue from outside the US during the first quarter surpassing the same from the US for the first time and Brazil, Russia, India and China leading the accelerated growth in emerging countries with 73 per cent increase in shipments and 58 per cent rise in revenue that accounted for almost 9 per cent of Dell's total revenue.

"Indian market is growing.. our investment in India grew close to 100 per cent. We expect to keep investing in India.

We have extensive activity here-- software development, manufacturing, IT growth.

"For the last 7-8 years, our business and workforce in India grew tremendously.

Source: http://www.financialexpress.com/news/dell-plans-more-investment-in-india/318968/

India approves 11 FDI proposals worth 1.83 bln rupee

By: Reuters
Source: http://www.moneycontrol.com

The government has approved eleven foreign direct investment proposals (FDI) worth about 1.83 billion rupees, and deferred nine others, the government said in a statement on Monday.

The central government has also recommended three proposals to the Cabinet Committee on Economic Affairs, including one by Walt Disney Company seeking to raise foreign shareholding to up to 100 percent from 48.02 percent, the statement said.

In July this year, Walt Disney, the largest shareholder in India's UTV Software Communications, proposed to buy most of the shares it does not already own in the company and delist them from all bourses.

Source : http://www.moneycontrol.com/news/wire-news/india-approves-11-fdi-proposals-worth-183-bln-rupees_596516.html

Intel's VC arm to set up 2nd $250-mn India fund

By: Raghuvir Badrinath
Source: http://www.business-standard.com

Intel Capital, the corporate venture capital arm of the world’s largest chip maker, is setting the stage for its second fund to invest in India. The corpus, according to investment bankers, has been firmed at $250 million, same as the first fund from which Intel Capital is currently investing in India, since 2005.

Intel Capital has invested 80 per cent of the corpus and as is the wont in venture capital and private equity fund raising, fund houses usually start work on its next fund as and when around 70 per cent of its current fund is drawn down.

A spokesperson for Intel India said they will launch a second fund as and when they exhaust the ongoing fund completely. However, investment bankers who have had recent meetings with the management of Intel Capital in India said they have been sounded off on the second fund.

Intel Capital has so far invested $280 million in 77 companies in India, and was investing from its global fund prior to forming the India fund. Intel Capital has backed some of the most promising companies such as Deccanet Designs, Sharekhan, FutureSoft, India Infoline, Sasken, Rediff, R Systems and Subex besides many others early on in their growth path.

Since 1991, Intel Capital has invested more than $10 billion in over 1,100 companies in 51 countries. In this timeframe, 189 portfolio companies have gone public on various exchanges around the world and 258 were acquired or participated in a merger. In 2010, Intel Capital invested $327 million in 119 investments with approximately 44 per cent of funds invested outside the United States and Canada.

Besides having a dedicated India Technology Fund, Intel Capital has funds for America, China, Brazil, West Asia & Turkey, and a few other technology specific funds. It aims to channel investments into sectors such as cleantech, computing, consumer internet, digital home and digital media, manufacturing and memory, mobility software and services.

The landscape of corporate venture capital funds backed by global technology majors has been on an upswing in India. In addition to Intel Capital, which has been an early mover during 1998 in this space in India, other technology majors such as Cisco, SAP, Qualcomm, Siemens Ventures have been getting active in India.

Source: http://www.business-standard.com/india/news/intels-vc-arm-to-set2nd-250-mn-india-fund/452408/