FMCG companies on cost-cut drive

Source: Business standard, Dec 12, 2011

Mumbai: As inflation remains sticky and pricing power limited, fast moving consumer goods (FMCG) companies are adopting various measures to protect margins.

3 Indian companies in race for CIL’s Mozambique Exploration Project

Source: The Economic Times, Dec 01, 2011

KOLKATA: Three Indian companies are in the race for a Coal India contract that called bids for exploration of its 200-odd squarekm block in Mozambique. The world largest coal miner, which opened the price bids of Mining Associates, Indu-CBS Joint Venture and Kartikeyan Pvt. Ltd. last week, won the block two years ago. It is now expected to award the contract within 45 days.

India wants more market access in China to bridge trade gap

Source: The Economic Times, Nov 28, 2011

NEW DELHI: The government said it is pursuing market access issues with China for Indian products, a move which will help in bridging the rising trade deficit.

In 2010-11, India’s exports to China stood at $19.61 billion, while imports were $43.47 billion, leaving a trade deficit of $23.86 billion.

“We are also pursuing market access issues to tackle non-tariff barriers in the Chinese market at different fora,” Minister of State for Commerce and Industry Jyotiraditya Scindia said in a written reply to Lok Sabha.

He said that Indian exporters are encouraged to participate in major trade fairs in China to show-case their products and increase engagement with Chinese companies.

“Participation of Indian exporters in trade fairs educates the Chinese importers about niche Indian products. Business to Business relations are encouraged through schemes such Market Access Initiative/ Market Development Assistance,” he said.

3G roaming deals among telcos to have negative impact on govt revenue

Source: The Economic Times, Nov 10, 2011

NEW DELHI: The Wireless Planning and Finance wing of the telecoms department (DoT) has warned that the 3G roaming deals among telcos will have ‘negative revenue implications for the government’, marking the third instance of an internal section in the communications ministry ruling against such alliances.

Upcomming Trade fairs

Industrial Automation-India

6^th  to 9^th December at Bangalore International Exhibition Centre.

Industrial Automation India is organized by Hannover Milano Fairs India Pvt. Ltd. a joint venture subsidiary of Deutsche Messe and Fiera Milano. The event invites leading players to showcase their state-of-the-art technology, design & innovation at this extensive platform for the entire industrial automation industry, at the same time converging trade buyers, manufacturers, agents, distributors, importers & exporters from around.

Web site: http://www.ia-india.com/

 

 

India Packaging Show 2011

7^th  to 10^th December at NSIC Exhibition Center Okhala, New Delhi.

This event will offer an excellent platform for the entire packaging fraternity in India to assemble under one roof and showcase their new products and technologies. Famous global manufacturers will be present at the event along with local manufacturers and suppliers from all across India. This is the perfect opportunity to meet key professionals and some of the most important decision makers in the industry. Over 200 exhibitors and 8000 visitors are expected to participate in the event.

Web site: http://www.indiapackagingshow.com/

 

Food Technology Show 2011

7^th  to 10^th December at NSIC Exhibition Center Okhala, New Delhi.

This event will provide a one-stop shop for its visitors who expect to see companies involved in food & drink technology, quality assurance, packaging, management systems, production and process engineering, retail solutions, purchasing, hygiene and food safety, laboratory equipment, food machinery, staff recruitment as well as research and development. this exhibition is organised by PrintPackaging.com Private Limited.

Web site: http://www.foodtechnologyshow.com/

Eima Agrimach

8^th  to 11^th December at IARI, PUSA New Delhi.

Eima Agrimach will offer a single venue interface between Indian players in the agro-machinery sector and the global manufacturers looking out for opportunities in India. Conducted jointly by FICCI, UNACOMA and co-organised by Ministry of Agriculture and Indian Council of Agricultural Research, the event is inspired by EIMA international, the second largest exhibition and conference on farm mechanization in the world.

Web site: http://eimaagrimach.in/

 

 

Glass Technology International

8^th  to 11^th December at MMRDA Exhibition Center, Mumbai.

Glass Technology International is a trade event organized by ZAK Trade Fairs and Exhibitions Private Limited as a promotional platform for the traders dealing with glass products and technology. The fair is the 9th edition of this famous trade fair series.

Web site: http://www.biztradeshows.com/zak-glasstechnology-international/

 

 

Paperex 2011

10^th  to 13^th December at Pragati Maidan, New Delhi.

Paperex will be a mega event, showcasing the best products and services in the paper industry. The event will not only bring together industry professionals and experts to discuss innovative strategies and the available opportunities and challenges in the Paper and Pulp industry , but will also open up avenues for international trade and business opportunities for the exhibitors.

Web site: http://www.paperex.in/client/index.aspx?page=1

 

 

Pharmaceutical Expo 2011

16^th  to 18^th December at Bangalore International exhibition center, Bangalore.

The event will serve as the ultimate platform for the entire industry as it will allow major players from various disciplines to gather under one roof. The exposition will provide the perfect opportunity for all the companies in the pharmaceuticals sector including machinery & technology to showcase their capabilities & services in front of a large audience. It is the place to be for all those aspiring traders who want to make big in the industry as it provides numerous networking opportunities..

Web site: http://pharmaexpo.in/

Hand Tools Expo 2011

18^th  to 20^th December at Bombay Exhibition Centre , Mumbai.

This is a pioneer event for the entire Tools & Tooling Equipment industry in India. The event will be an ideal showcase for the large variety of exhibits that will be brought to India by some of the major international brands. It will also give unrivalled exposure to the local traders who will get a chance to do business with renowned global traders.

Web site: http://iihtexpo.com/

Interview with Iván Vázquez, Director of the Indian subsidiary of NETEX Knowledge Factory

“Perseverance and determination and a good deal of adaptation are the keys to success in India.” – Iván Vázquez

Iván Vázquez at home in Pune (India)

We wanted to start this round of interviews with Iván Vázquez, head of the India subsidiary of the Galician company NETEX, who has already been three years in Pune. Ivan has shared with us their experiences, learning and impressions of his Indian experience.

1. What are you doing in India and how long have you been?

I am Director of the Indian subsidiary of NETEX Knowledge Factory, a Spanish company dedicated to IT and e-learning. Here we have a software production team and the people working on business development for the Indian market. I arrived to India in May 2008, so I have been here for three and a half years already.

2. Why did you come to India? Which were the main reasons and prospects that brought you here?

I came to India looking for a change, both personally and professionally. And I did find it! I was looking for a promotion inside of my company to get a higher responsibility position (I was in charge of services area) and at the same time, I was searching for a change in my life, a new place to live… a bit of fresh air, I guess.

3. Which were your main concerns?

The truth is that I never had too many concerns. I came here to start from scratch, my company had put its new venture on my hands, putting all their confidence on me. I suppose that shows a leadership attitude from NETEX’s directors who trusted me and my capabilities. On a personal level, starting from zero in a new country was just what I was looking for, so not without effort, I enjoyed a lot of my start up in India. Of course, all the great friends and good people that I have met along the way have helped without any doubt. We are quite a few expats in Pune and the close collaboration of “veterans” on a personal level, it shows! Now it is my turn to be the veteran helping out the new “freshers”.

4. Is the experience as you had expected so far?

Sure it is. Of course I have had tough moments where I felt I was better off at home, but in general, I would not doubt to repeat the experience again I and would recommend anyone to do it.

5. Which is the most positive aspect?

The professional development and the good friends that I found on the way.

6. And the main difficulties? Which are the negative aspects?

Well, it is not your culture, nor your country. Sometimes, as a good Galician (a North western region of Spain), I have nostalgia of my people, the food, the way we have fun in Spain during our free time, but most of all, I miss Galicia’s sea. It is the first time that I am not a stone’s throw away the sea. Even when I spent almost 7 years living in Bilbao, I did not hesitate to escape to the cost whenever I could.

7. Taking into account what you know now, what would you change if you started over again?

I think I would have adapted my company to the international production and development of foreign markets much faster. Getting adapted to this international expansion has not been easy. The unconditional support of the parent company and its ability to adapt to the new is essential. It is also necessary to change the mindset from a local company to an international company. The problems are not always derived from the subsidiary. Sometimes it is the parent company who blocks the process of internationalization due to the lack of that change in mindset. For example, something as simple as writing any documentation of general interest in English is not always easy to achieve. That’s what I mean by getting adapted faster.

Therefore, I think that a more agile decision making would be a major issue in case of starting again. In my personal life would not change anything.

8. Have you come with your family? How is it being for them?

Yes, I live with my girlfriend. I must admit that it is not an easy task. She left a good life to follow me to India and the job opportunities once you are in India, are hardly equal to what you can get in Spain. And of course, trying to combine a good professional and personal life is essential for any young person nowadays.

9. Any plans for the future?

Well, there’s nothing defined out of my current status. My idea is to definitively establish NETEX as a sound, competitive company in the Indian market while also improving the production process globally.

10. How’s the project doing?

Not without teething problems, I think now we are all very satisfied with the current development, both in Spain and in India. I’m proud that everyone is able to see with good eyes the good results we are getting.

11. What potential do you think that e-learning industry has in India? Do you see opportunities for other Spanish companies?

We could say that 3 years ago, the sector of e-learning in India based its production on the North American market needs. Today it is a boom in all sectors. The possibilities in a market as vast as India is immense, but also ensures a good number of local competitors.

12. In your opinion which are the keys to success in India

A friend would say “perseverance and determination” and a good deal of adaptation. India is another culture, another country. We can not expect everything to work like “at home”. You must have great patience when dealing with agencies, while adapting to the way of life of local people. Their customs, their way of working, their personality … it’s something to be worked out between all the manager and employees to become a good tandem.

13. What would you say / advise to a businessman who just landed in India with the idea of establishing a business.

Do your homework before you arrive. Clearly define your goals and examine in depth the markets and culture, better if accompanied by an expert in the area. Make sure your company is ready to change if they do not have a clear international experience; if it is hard on other markets, possibly more so in the Indian one. Above all, do not underestimate the potential of India neither as a market nor as production factory.

14. Any book or website that you recommend in particular?

I’m a real fan of Tom Peters, even though I admit that it becomes a bit sensationalist at times. Another book that has inspired me was “Critical Chain” by Eliyahu Goldratt, recommended to me by Mario Gil.

IT Act may police 3G services

Source: Business standard, Sept 20, 2011

New Delhi/Mumbai: The government is tightening the noose around telcos, internet service providers (ISPs), network service providers and search engines in a bid to monitor internet traffic. The exercise is ostensibly for security reasons and to prevent “misuse” of the freedom of speech in cyberspace.

CASE STUDY: BELLOTA’s (Corporación Patricio Echeverría) set up in India

Introduction: The strategy

Founded in 1908, Corporación Patricio Echeverria (CPE) manufactures and distributes hand tools and components for agricultural machinery for the construction, agriculture and gardening sectors. Its brands, among which BELLOTA stands out, are leaders in the countries where they operate.

The corporation, based in Legazpi, has a strong international presence, with industrial and logistics locations in Spain, Mexico, Colombia, Brazil, USA, India and Denmark.

Their experience and high degree of internationalization has placed CPE between that small group of companies emerging strengthened from the current economic crisis. This is indicated in their 2010 results, recently submitted, which yield a profit of 7.8 millions of Euros, showing a positive trend in sales in all the markets the company operates.

In the business of components for agricultural machinery competitiveness and product profit are conditioned by the exchange rate of currencies and prices of raw materials, highly volatile variables in recent times. That’s why a few years ago CPE adopted the strategic decision of diversifying its production centers in three areas: i) Euro zone of influence ii) Dollar zone of influence and iii) a low cost country. This way it could remain competitive irrespective of the evolution of exchange rates and input prices.

Once decided to set up a production facility in a low cost country, several factors were taken into account for choosing India:

1. Sustainability of low labor costs in the medium term,
2. Access to raw materials,
3. Degree of industrial development (availability of component suppliers, facilities and services),
4. Country risk (political and economic stability)
5. Logistics costs throughout the Eurasia region,
6. Respect for rights and patents, Ease of setup, management and control and Potential domestic market.

Propiedad intellectual—Intellectual property

Costes – Costs

Desarrollo industrial – Industrial development

Facilidad  implant. – Ease of set up

Materias primas – Raw materials

Mercado interno – Internal market

Body: The set up

At this stage it was considered essential to count on the advice from expert consultants in India  in order to make the assessment and implementation of the project easier. For this task INDOLINK Consulting was appointed. As Jesús Garoña (Director of Operations of CPE) says “we knew its Managing Director (Mario Gil) through forums and seminars on India, so we decided to share with him our project proposal. After initial meetings, in which we met Mario and his company personally, we were convinced that Indolink could be the consulting company we needed to develop this project.”

Regarding expectations and concerns before the start of the project Garoña comments that “from the beginning we knew that the two greatest obstacles for the construction of the factory and starting the activity would be the country’s complex bureaucratic framework and lack of intrastructure, especially the deficit in the supply and distribution of electric energy. And despite being warned against it, we must recognize that they have been the two factors that have most slowed the start of the activity.”

Finally, these obstacles were amply overcome as this is a strategic project and consequently it relies on the unanimous support of the management and it’s strongly backed by its Managing Director, Jose Antonio Erdozia.

According to Garoña, some of the key factors that facilitated this process include:

i)   the high level of professionals appointed in the country, their knowledge of English language and their Western oriented mindset and

ii)  the proper selection of the expatriate in charge of the project.

Result: The implementation

By comparing the newly implemented factory with facilities available in other countries the assessment is that “at present, and being cautious due to the short time we have been working with this new plant, the high professional level of the staff and the service and facilities providers appointed makes the management of the company equally competitive as in companies from other continents. This provides a very valid option whenever the manufacture of a product line is no longer competitive in a given country.”

The subsidiary in India, 100% owned by the Spanish parent company, required in this first phase an investment of around 6 million Euros and is designed to produce approximately 1 million concave discs for stands on 3 shifts with a staff of about 100 people. At this point, it is already working on 2 shifts and sales forecast for 2011 is 5 million Euros.

The next step in the strategy of CPE in India is the commercial introduction of BELLOTA hand tools in the country. To do so, they have launched the recruitment of two local technical sales engineers who, with the support of INDOLINK, will conduct a market research to subsequently define the most appropriate entry strategy.

More pictures of the set up:

 

Construction of Bellota plant in Nashik (India)

 

Construction of Bellota plant in Nashik (India)

 

Construction of Bellota plant in Nashik (India)

 

Finished Bellota plant in Nashik (India)

 

Finished Bellota plant in Nashik (India)

 

Finished Bellota plant in Nashik (India)

Trade Fairs for August 2011

 

Renewable Energy India

10^th  to 12^th August at Pragati Maidan, New Delhi.

This is the 5th edition of this event.

Renewable Energy Indiais emerged out as one of the India’s largest event which focuses on bio, hydro, solar, wind, cogeneration, geothermal and energy efficiency sectors. Renewable Energy India will offer value for the local industry and displays booming opportunities in the Indian marketplace for international players.

Web site: http://www.renewableenergyindiaexpo.com/ 

 

 

Indiamart India International Build Expo Chennai

19^th  to 21^st  August at Chennai Trade & Convention Centre.

This event is dedicated to the building & construction industry in India.

Indiamart India International Build Expo Chennai will not only act as a trading platform but it will also bring numerous networking opportunities for the leading players I in the industry.     Indiamart India International Build Expo Chennai will experience the participation of more than 120 exhibitors and more than 6000 visitors.

Web site: http://www.biztradeshows.com/india-international-build-chennai/

 

 

TECHNOTEX INDIA 2011

25^th  to 27^th  August at Bombay Exhibition Centre , Mumbai.

This will one of the most significant events for the textile industry in India.

Technotex India 2011 is being jointly oragnized by Ministry of Textiles, Govt. of India, Department of Chemicals and Petrochemicals and Federation of Indian Chambers of Commerce & Industry.            Technotex India 2011 will showcase the latest technological innovations that can be implemented in the technical textile industry.

Web site: http://www.technotexindia.in/

 

 

EMMA Expo India

 25^th  to 27^th  August at Chennai Trade & Convention Centre.

This event is dedicated to electronics, machinery, molds and auto parts.

EMMA Expo India will provide great networking platform for the major players in the industry.            EMMA Expo India will provide a chance to explore Taiwanese excellence in India.

Web site: http://www.biztradeshows.com/emma-expo-india/

 

 

Pune Machine Tools Show

25^th  to 28^th  August at Auto Cluster Exhibition Centre, Pune.

This is designed to present the entire spectrum of developments in the machine tools sector.

Pune Machine Tools Show will showcase of engineering, machine tools, automation & automotive technology. Pune Machine Tools Show will provide an opportunity to achieve quality of conversation with existing and potential customers.

Web site: http://www.biztradeshows.com/machine-toolshow-pune/

 

 

PET + DRINK TECH ASIA

27^th  to 29^th  August at Milan Mela Complex, Kolkata.

This will be the 5th edition of this exhibition.

Pet+Drink Tech Asia is dedicated to the Liquid packaging industry.  Pet+Drink Tech Asia will attract major participants not only from India but also from different countries.

Web site: http://www.biztradeshows.com/pet-drink-asia/

Trade Fairs for July 2011

Pack plus South 2011

1^st  to 4^th July at Hitex Exhibition Center, Hyderabad.

This is one of the most awaited events for the printing and packaging industry.

Pack Plus South 2011 will will help the cause of the entire industry by bringing together major suppliers and buyers together under one roof.             Pack Plus South 2011 will also feature a conference aimed at addressing the major issues faced by the print and packaging industry.

Web site: http://www.packplus.in/images/packplussouth2011.htm

 

 

TYREXPO INDIA  2011 

5^th  to 7^th July at Chennai Trade & Convention Centre.

This will be the biggest ever tyre expo in India.

Tryexpo India 2011 will bring together domestic and international exhibitors covering every facet of the tyre and rubber sector.             Tryexpo India 2011 will provide an excellent platform for the domestic players to get to know the latest technological innovations in the tyre world.

Web site: http://www.eci-international.com/india.html

 

 

India International Garment fair (IIGF) 2011

12^th  to 14^th  July at Pragati Maidan, New Delhi.

This will be the 47th edition of this glorious event.

IIGF 2011 is dedicated to the apparel and clothing industry.            IIGF 2011 will be the perfect platform to explore the newest designs and cutting edge technologies in the fashion industry.

Web site: http://www.indiaapparelfair.com/

 

 

ACCESS – Machine Tools & Engineering Expo

12^th  to 14^th  July at Chennai Trade & Convention Centre.

This will be the 3rd edition of this exhibition.

Access Machine Tools & Engineering Expo will cover all aspects related with Machine Tools & Engineering, providing a one stop shop for all the traders.            Access Machine Tools & Engineering Expo will also act as a hub for networking between all the major players in the industry.

Web site: http://www.biztradeshows.com/access-industrial-expo/

 

 

Weld India Expo 2011

21^st  to 23^rd  July at Chennai Trade & Convention Centre.

This will be the 6th edition of this exhibition.

Weld India Expo 2011 will not only feature latest products and technologies for the visitors but it will also provide massive number of networking and interactive opportunities for the exhibiting companies.            Weld India Expo 2011 will experience a presence of more than 150 high profile exhibitors across the globe and over 5,000 key trade visitors.

Web site: http://weldindia.com/

 

 

India International Leather Fair

28^th  to 30^th  July at Pragati Maidan, New Delhi.

This is an extremely important event dedicated to the leather goods industry in India.

India International Leather Fair will be the perfect platform to meet other major market players and create new tie ups and collaborations.            India International Leather Fair will have on display the entire range of products relating to leather industry from raw material to finished products.

Web site: http://www.iilfleatherfair.com/

 

 

IndiaMART Food & Technology Expo

29^th  to 31^st  July at Pragati Maidan, New Delhi.

This is an international expo dedicated to agriculture.

IndiaMART Food & Technology Expo will feature new technologies which can make a world of difference in the production of food crops in the country.            IndiaMART Food & Technology Expo will open new doors of opportunities for the Indian traders like never before.

Web site: http://www.biztradeshows.com/food-technology-expo/