comm dec 2016

Edited, printed and published by Chandrajit Banerjee, Director General, CII, on behalf of Confederation of Indian Industry from The Mantosh Sondhi Centre,

23, Institutional Area, Lodi Road, New Delhi-110003, Tel: 91-11-24629994-7, Fax: 91-11-24626149, Email: [email protected], Website: www.cii.in

Printed at Lustra Print Process Pvt. Ltd., K No. 51/21, Rohad, Bahadurgarh (Haryana), PIN Code-124507 Registration No. 34541/79

JOURNAL OF THE CONFEDERATION OF INDIAN INDUSTRY

We welcome your feedback and suggestions. Do write to us at [email protected]

Contents Volume 38 No. 12 December 2016

COVER STORY

15 India-UK Tech Summit

The 22nd edition of the technology summit, with the United Kingdom as the partner country, featured a series of summits on higher education, design, intellectual property, and innovation and entrepreneurship, as well as insightful technology and R&D sessions related to waste management, life sciences and smart cities. With the Prime Ministers of India and the UK speaking of ‘high quality’ and ‘high impact’ partnerships, our cover story looks at the drivers for Indo-UK cooperation in science and technology.

SPOTLIGHT

03 Agro Tech 2016: Building Global Competitiveness in Indian Agriculture

MINDSPACE

24 Media & Entertainment Sector in India

INITIATIVE

30 Clean Air, Better Life

FOCUS

37 Mining Opportunities

BUILDING CAPACITY

40 Global Summit on Skill Development

PLUS...

SECTORSCAPE

PORTFOLIO FOR EXCELLENCE

ENGAGING WITH THE WORLD

REGIONAL REVIEW

... AND MORE

Communiqué December 2016 | 3

SPOTLIGHT

agriculture

Agriculture is a key pillar of the Indian economy, with more than 50% of the population directly depending upon the sector for livelihood. Indian

agriculture has achieved many milestones–exiting from the phase of being dependent on food aid to achieving self-sufficiency in crop production and helping reduce poverty levels. Today, India is the third largest agriculture producer in terms of value, behind China and the United States. However, the potential of the sector is not yet fully leveraged. Issues like fragmented land holdings, inadequate input, delivery mechanisms and infrastructure, and innovation and technology gaps are limiting its growth.

CII has been working closely with all stakeholders, including the Government and the farming community, to promote sustainable agriculture growth and development in the country. Agro Tech, the flagship event of CII in the agriculture space, was institutionalized in 1994 as an integrated event to cover all aspects of

agriculture and allied sectors.

CII Agro Tech 2016, the 12th edition of the event, with the theme ‘Building Global Competitiveness,’ held from 19-22 November in Chandigarh, carried forward the tradition of each edition being bigger and better than the previous ones.

The ExhibitionSpread over a gross area of 16,000 sqm, Agro Tech this year had 139 exhibitors – 92 domestic and 47 international, from 15 States of India and 13 countries. The participating States included Punjab, Haryana, Gujarat, Madhya Pradesh, Chhattisgarh, Chandigarh, Delhi, Himachal Pradesh, Jammu & Kashmir, Karnataka, Maharashtra, Rajasthan, Tamil Nadu, Uttar Pradesh, and Uttarakhand. The countries participating included Canada, China, Denmark, Germany, Israel, Italy, Malaysia, South Africa, Spain, the Netherlands, Turkey, the United Kingdom, and USA.

Building Global Competitiveness in Indian Agriculture

Pranab Mukherjee, President of India, and Reuven Rivlin, President of Israel, inaugurating CII Agro Tech 2016 in Chandigarh, with (L-R) Rakesh Bharti Mittal, Vice President, CII, and Vice Chairman, Bharti Enterprises Ltd; Dr Abhay Firodia, Chairman, CII Agro Tech 2016,

and Chairman, Force Motors Ltd, and Dr Naushad Forbes, President, CII, and Co-Chairman, Forbes Marshall

4 | December 2016 Communiqué

SPOTLIGHT

The Exhibition comprised 6 concurrent shows:

• Farm Tech: Farm mechanization

• Good Earth: Agri inputs and innovative farming techniques

• Livestock Expo: Dairy, poultry, livestock, feed production and animal housing

• Food Tech: Food technology, cold storage equipment and machinery

• Implementex: Agri and farm implements

• Irrigation & Water Management: Irrigation systems, farm water management, rain water harvesting

Conferences and SessionsCII Agro Tech 2016 featured several conferences, as well as Country and State Sessions. Four specialized conferences, addressed by 69 experts and attended by more than 500 delegates, were held on

• Digital Pathways in Indian Agriculture: Discussion on global best practices and scope in India

• Make in India - Food Processing Sector

• Food Safety

• Making Indian Agriculture Sustainable

Special country sessions were also organized:

• India-Israel Roundtable on Precision Agriculture

• Indo-Canada Partnership in Agriculture: Realizing the Untapped Potential

• Empowering Women to Unlock Africa’s Agricultural Potential

• Technical Workshop: Challenges and Solutions for Comprehensive Straw Management

Farmer InterfaceFarmer delegations from Punjab, Haryana, Uttar Pradesh, and Himachal Pradesh, as well as farmers from many other States visited the fair. Kisan ghoshtis, vernacular

and educative direct interactions between experts and farmers were held, where 44 experts addressed 6 learning sessions on:

• Sustainable dairy farming through indigenous breeds

• Organic farming for sustainable future, health and nutritional security

• Profitable fish farming in North India

• Commercial dairy farming - The way ahead

• Use of solar and bio-energy in rural economy

• Direct marketing of agri-produce

Innovation and Youth ConnectGrowing disengagement of the youth and limited support for technology innovations for the agriculture sector are key challenges the country faces today. CII Agro Tech 2016 addressed both these challenges through the Advanced Technology and Innovation exhibition-cum-pitch and Agri Hackathon, engaging young entrepreneurs, innovators, and students, to explore a wide spectrum of technologies related to ICT solutions, sensors to ascertain soil moisture and temperature conditions for efficient irrigation, drones and biomimicry to improve human capacity in farming, virtual marketplaces and platforms for easing of trading in agriculture.

PartnersPartner Country: Israel

Focus Countries: Canada and Germany

Guest Country: Great Britain

Partner Ministries: Ministry of Agriculture and Farmers Welfare; Ministry of Food Processing Industries; Agricultural and Processed Food Products Export Development Authority (APEDA), Ministry of Commerce and Industry

Host States: Punjab and Haryana

Partner States: Madhya Pradesh and Gujarat


For the first time in the history of Agro Tech, the event was inaugurated by two Heads of State.

The CII Agro Tech 2016 exhibition was formally inaugurated by Mr Pranab Mukherjee, President of India, and Mr Reuven Rivlin, President of Israel, on 20 November in Chandigarh. Also present during the inaugural were Mr VP Singh Badnore, Governor, Punjab, and Administrator, Chandigarh UT, and Prof Kaptan Singh Solanki, Governor of Haryana. Dr Naushad Forbes, President, CII, and Co-Chairman, Forbes Marshall Pvt Ltd; Mr Rakesh Bharti Mittal, Vice President, CII, and Vice-Chairman, Bharti Enterprises; Dr Abhay Firodia, Chairman, CII Agro Tech 2016, and Chairman, Force Motors Ltd; Ms Rumjhum Chatterjee, Chairperson, CII Northern Region, and Group MD, Feedback Infra Pvt Ltd; and Mr Chandrajit Banerjee, Director General, CII, among many others, also attended the inaugural.

Mr VP Singh Badnore, Governor of Punjab, and Administrator, Chandigarh, was the Chief Guest, and Mr Om Parkash Dhankar, Minister of Agriculture, Haryana, was the Guest of Honor, at the valedictory session of Agro Tech on 22 November.

• 16,000 sqm exhibition area

• 139 exhibitors, including 47 international exhibitors from 13 countries

• Business delegations from Canada, Israel, United Kingdom, Germany and Pakistan

• Participation of diplomats from over 20 countries

• 4 Country Sessions: Israel, Canada, Germany and Africa

• CEOs Roundtable with 40 top-level business leaders on 'Doubling Farmers' Income by 2022'

• 69 experts addressed 4 international conferences

• 6 Kisan Ghoshti sessions addressed by 44 experts

• 67 students from 24 universities participated in the CII Agri Hackathon

• 8,900+ business enquiries generated

• 152+ products launched/ displayed

• 92% of exhibitors rated the exhibition as 'meaningful'

• 95% of exhibitors interested in exhibiting at CII Agro Tech 2018

• 99% of visiting farmers interested in visiting CII Agro Tech 2018

SPOTLIGHT

CII Agro Tech 2016 at a Glance

Reuven Rivlin, President of Israel, addressing the inaugural session of CII Agro Tech 2016. Also seen (L-R): Chandrajit Banerjee, Director General, CII; Dr Naushad Forbes, President, CII, and Co-Chairman, Forbes Marshall; Radha Mohan Singh, Minister of Agriculture; VP Singh Badnore, Governor, Punjab, and Administrator UT Chandigarh; Pranab Mukherjee, President of India; and Kaptan Singh Solanki, Governor of Haryana

Om Parkash Dhankar, Minister of Agriculture, Haryana; VP Singh Badnore; Christopher Gibbins, Consul General of

Canada, and Rumjhum Chatterjee, Chairperson, CII Northern Region, and Group MD, Feedback Infra Pvt Ltd, at the

valedictory session of CII Agro Tech 2016


SPOTLIGHT

Roundtable on 'Doubling Farmers’ Income by 2022'The Prime Minister of India has envisaged

‘Doubling of Farmers' Income by 2022,' with the vision of value-added, technologically-advanced agriculture sector as the prime engine of inclusive growth in the country, bridging income and development divides between rural and urban India.

At a CEOs Roundtable at Agro Tech, 40 CEOs from the agriculture and food processing sector deliberated on the 7 themes identified for strategizing income enhancement of Indian farmers. The Roundtable was chaired by Mr Rakesh Bharti Mittal, Vice President, CII, and Vice-Chairman, Bharti Enterprises, along with Dr Abhay Firodia, Chairman, CII Agro Tech 2016, and Chairman, Force Motors Ltd and Ms Rumjhum Chatterjee, Chairperson, CII Northern Region, and Group MD, Feedback Infra Pvt Ltd.

Detailed recommendations emerging from the Roundtable would be shared with the Government and relevant stakeholders. The key recommendations were:

Warehousing, Logistics and Future Trade• Revisit the business models / PPP arrangements for setting up of warehouses / cold storage chains• Restructure Government warehousing infrastructure • Implement the Model APMC Act in all States• Disseminate relevant information to farmers on future trade

Aggregation, Supply Chain and Logistics• Build consensus on the Model Land Leasing Act• Revamp existing regulations to revive the cooperative movement• Initiate a national policy for decentralized pack houses and warehouses• Establish quality specifications for farm produce

R&D and Extension Services • Usher in perception change regarding GM crops • Initiatives for bio-conservation • Promote R&D in mechanization in a cost-effective manner • Focus on digitalization of the extension system Irrigation and Water Management• Promote micro irrigation aggressively to achieve input efficiency• Promote recycling of water for irrigation• Increase awareness on the efficient use of water• Simplify policies and procedures

Agricultural Markets• Remove barriers to inter-State and intra-State trade• Set up electronic markets and promote the use of digital mode • Allow private markets to operate and also encourage them

Farm Inputs and Mechanization• Policy interventions required for promoting the adoption of new technologies • Create policy frameworks for aggregating machinery through farmer producer companies/ organizations• Promote the use of precision agriculture and mechanization for small land holdings

Credit and Insurance• Recognize farm leases - use digital format for easy bank borrowing• Develop non-banking finance companies and micro finance institutions to provide loans at farmers doorsteps• Ensure universal access to crop insurance

Dr Abhay Firodia, Rakesh Bharti Mittal, and Rumjhum Chatterjee, at the CEOs Roundtable during Agro Tech 2016


SPOTLIGHT

‘Today India is among the fastest growing economies. There is much to learn from Israel, which uses technology to optimize its production and productivity. It is a country which has converted its disadvantages to advantages with

courage, conviction and fortitude.’

Pranab Mukherjee, President of India

‘Partnership between Israeli companies and Indian farmers is creating magic for Indian agriculture. Together, Israel and India can ‘Make in India’ and ‘Make for India.’ We in Israel were concerned about homeland security, but India has

taught us to think about food security. And this is why we are all here today.’

Reuven Rivlin, President of Israel

‘It is appreciable that CII is bringing digital krishi to the farmers. CII’s efforts corroborate the efforts of the Central Government to increase agricultural production and water conservation with schemes like Zila Sinchai Yojana,

Soil Health Card, Rashtriya Gokul Mission and the introduction of neem-coated urea.’

Radha Mohan Singh, Minister of Agriculture, India

‘We need to boost partnerships that bring farmers, academia, R&D institutes and industry together to develop cost-effective technologies to take India’s agriculture sector to the next level of development.’

VP Singh Badnore, Governor, Punjab, and Administrator, Chandigarh

‘CII Agro Tech is an ideal platform for linking farmers with industry. All the stakeholders must work towards finding solutions for challenges impacting the agriculture sector, such as depleting

water table, deteriorating soil health, climate change, etc. If farmers not only produce, but also process, pack and market their produce themselves, you can imagine the sort of returns they can get. How? Because we

V O I C E S

would eliminate all middle men! Big brands are doing this and are making huge profits. If they can, why can’t our farmers? There are numerous opportunities in this space and the returns are incredible.’

Om Parkash Dhankar, Minister of Agriculture, Haryana

‘CII Agro Tech is a great opportunity for Canada to showcase its products and innovation in agriculture and food processing. Ontario is participating in Agro Tech for the first time.’

Jeff Leal, Minister of Agriculture, Food and Rural Affairs, Province of Ontario, Canada

'By 2030, the demand for food would rise by 40% and by 2040 it may further increase by 60%. The Government is making sustained efforts to sustain natural resources and double the income

of farmers. Productivity can be increased if farmers start diversifying.’

Dr Nirmaljeet Singh Kalsi, Addl Chief Secretary-Development & PWD (B&R), Punjab

'I am very impressed with CII Agro Tech, as my country is heavily dependent on agriculture. To take our agricultural sector forward we have a lot to learn from the Indian experience.’

Ibou Boye, Ambassador of Senegal

‘CII Agro Tech 2016 is a great opportunity to explore agribusiness opportunities, particularly connecting with potential Indian investors in technology.’

Niankoro Yeah Samake, Ambassador of Mali

‘India has been assisting us in food production through equipment purchase along with training in advanced technologies.’

Lesego Ethel Motsumi, High Commissioner of Botswana


‘The UK has high quality institutions and companies ready to provide the expertise and technology that India needs.’

David Lelliott, British Deputy High

Commissioner, Chandigarh

India is the fastest growing economy in the world. Productivity enhancement needs to be a national priority.’

Dr Naushad Forbes, President, CII, and Co-Chairman, Forbes Marshall

'Instead of aiming merely at increasing the productivity of farmers, initiatives need to be taken to increase the income of the farmers. To ensure that the maximum number of farmers avail the benefits of

digital technology, more emphasis should be given to the use of graphics and images, as is done in Japan.'

Salil Singhal, Co-Chair, CII National Council on Agriculture, and CMD,

PI Industries, India

'The best possible business models, advanced technologies exhibited at CII Agro Tech help in building global competitiveness of Indian agriculture.'

Dr Abhay Firodia, Chairman, CII Agro Tech 2016, and

Chairman, Force Motors

‘Till now, the country was more focused on removing poverty and building food security. Now, there is greater emphasis on natural resource management, climate-smart agriculture and renewable energy. Solar energy has great potential,

which we need to tap.’

Gokul Patnaik, Chairman, CII Agro Tech 2016 Conferences, and

Chairman, Global Agri System Pvt Ltd

'The future of farming will be very different with agri robots to plant seeds and harvest crops, smart tractors, and farmers checking the status of farms on the computer. However, right now the

problem lies in the capital investment cost of these initiatives, which are very high and are not cost-effective for small farmers, who are technologically illiterate.'

Dr Ioanna Roussaki, Assistant Professor, National Technical University, Athens, Greece

‘IT technologies like sensors, energy harvesting processing, etc are useful for agriculture. However, there is a lack of high quality and low cost sensors everywhere. This is where more

innovation needs to happen.’

Dr Yosi Shacham, Professor, Centre for Nano Science &

Nanotechnology, Tel Aviv University, Israel

‘Technologies like drip irrigation can help farmers in India, but are seldom used due to lack of knowledge. Remote sensing by satellites can be used to provide accurate information to farmers and give them irrigation prescriptions.’

Richard Klapholz, CEO, Rivulis Irrigation, Israel

‘Technology has to be developed keeping in view the needs of the consumers. In the next three decades precision farming is going to play a key role in increasing farm productivity.’

Rajesh Jejurikar, President and Chief Executive-Farm Equipment &

Two Wheelers, Mahindra & Mahindra, India

'CII Agro Tech 2016 has seen a huge response from the international community.’

Chandrajit Banerjee, Director General, CII

SPOTLIGHT


SPOTLIGHT

Reshaping Indian Agriculture through Advanced Technologies

Technology has been a key driver of agricultural growth. Over time, the role of technology in the context of sustainable agricultural practices

and higher income for farmers has gained more relevance. Interestingly, the scope of technology is moving from machinery, including tractors and heavy implements, to the Internet of Things, Un-manned Aerial Vehicles, and Artificial Intelligence, among others.

Globally, precision farming that allows optimization of resource allocation and improved productivity per unit of land, labor and water is being widely adopted. Innovations in agriculture are aiding this process of transformation where a large part of the farming activities can be done in a time and resource efficient manner. Farmers benefit from higher productivity and control over the quality of the produce, and hence, better prices.

The Indian agricultural landscape has also been witnessing the advent of new and advanced technologies such as drones, hi-tech sensors, and a host of mobile applications connecting buyers and sellers and providing important farm-related information to the farmers, among others. Most of the technologies aim at enabling the farmer to take smart decisions based on the information base, and also bring in precision farming to pre-determine the optimal usage of water and other agri inputs including seeds, fertilizers, etc.

Considering the diversity of Indian agriculture in terms of soil, water and weather conditions, and the

variety of crops that can be grown across seasons and geographies, there is tremendous opportunity for technology-led solutions. However, improved customization, interpretability, ease of adoption particularly for small farmers, and cost-effectiveness, will be critical for many of these to be successful, both in terms of commercialization and scalability.

The CII Food and Agriculture Centre of Excellence (FACE) program on ‘Advanced Technologies Reshaping Indian Agriculture,’ brought leaders, in agribusiness, young entrepreneurs and innovators, and students from India and beyond to the CII Agro Tech 2016 platform.

The program focused on strengthening the dialogue on advanced technologies and their scope in Indian agriculture, while identifying and incubating advanced technologies that have the potential to address some of the critical issues facing Indian agriculture.

At the ‘Global Dialogue,' more than 20 speakers from USA, Germany, and Israel, as well as India, shared knowledge and expertise on how advanced technologies have helped farmers in their respective countries achieve higher productivity and hence higher incomes, and discussed their scope and applicability in India. The deliberations

also pointed to the need for stronger partnerships in implementing successful technology interventions in India. Young entrepreneurs with successful start-ups shared their experiences and views on the way ahead ahead.

With a 15-member delegation from Israel, including

Winners of AgHAck competition at the CII Agro Tech


SPOTLIGHT

academia, business, investors and start-ups, there was renewed commitment towards strengthening India-Israel ties, and leveraging the competence of Israel in precision farming and commercialization of technologies, to benefit India.

For the f i rst t ime, the Agro Tech Exhibition had an exclusive pavilion on Advanced Technologies in Agriculture. Nineteen participants, including pre-commercial and start-ups, showcased advanced and promising technologies related to agriculture, such as sensors, drones, mobile application-enabled virtual platforms, advanced logistics systems, hydroponics, and more. Fifteen of these participants pitched their technology before a distinguished jury comprising agri business leaders, investors, and experts. The top two winners, Future Farms, a Chennai-based enterprise working on hydroponics, and AGNEXT Technologies, an R&D hub based out of IIT Kharagpur, were awarded prizes of `75,000 and `50,000, respectively, and an exposure trip to Israel.

About 67 students from 24 universities, IITs and IIMs participated in AgHAck 2016, a hackathon focused on agriculture. Starting from team building to interactions with mentors, and challenge champions to sharpen their understanding of the problems, and hence find better solutions, the two-day Hackathon put forth several interesting ideas with definite technology solutions related to agri marketing, crop and soil health, crop insurance, data analytics, and dairy farm management. The student teams that worked on developing technology solutions for crop insurance and on data processing and analytics were awarded `100,000 and `50,000 respectively. The top three teams were offered mentorship to build upon their ideas.

As the next step, CII FACE will work with the start-up winners as well as the student teams, and provide them essential incubation and mentoring services, to harness innovations that have the potential to drive the next change in agriculture.

The food processing sector is a vital link between agriculture and industry. The sector offers the potential to transform the

rural landscape by improving the value of agricultural produce resulting in better remuneration to farmers, employment generation, improved supply chain infrastructure and improved nutritional intake by consumers.

The food processing industry in India has made significant strides, particularly in the last two decades. According to the Ministry of Food Processing Industries, the food processing sector has been growing faster than the agriculture sector. Organized food retail, consistent export growth along with growing urbanization, increasing disposable income and changing food consumption patterns, are driving the growth of this industry in India.

With a rich agriculture resource base, India is among the world’s leading growers of a variety of produce, ranging from bananas and milk, to wheat and spices. However, we are yet to make a mark on a global scale in terms of processing our produce. We process merely 2% of our fruits and vegetables, in contrast to countries like the United States (65%), China (23%) and Philippines (78%), which are far ahead in reducing wastage and enhancing the value addition and shelf life of their farm produce.

Further, the food processing sector has immense potential to generate employment, directly, as well as across the entire value chain, through its forward and backward linkages. A vibrant food processing industry is also an important catalyst for crop diversification and value-added agriculture.

Recognizing this potential, the Government of India has identified food processing as one of the key sectors under the ‘Make in India’ initiative and has opened it for 100% Foreign Direct

Opportunities in Food Processing Sector to 'Make in India'

A vibrant food processing sector will not only leverage the potential of India, but also boost the economic wellbeing of millions of farmers, says Rakesh Bharti Mittal


Given the right policy framework, the nation can deliver the agriculture productivity, profitability and sustainability agenda, says Salil Singhal

SPOTLIGHT

Investment (FDI). Thirty-seven mega food parks have been sanctioned, of which eight have been operationalized. To facilitate investments, a single window facilitation cell has also been created to handhold overseas and domestic investors in the sector.

The tax structure has been made more favorable. Excise duty on machinery for processing has been reduced from 10% to 6%. Pre-cold storage services like pre-conditioning, pre-cooling, ripening, waxing, retail packing, and labeling of fruits and vegetables, have been exempted from Service Tax. Loans to food and agro-based processing units and cold chains have been classified under agriculture activities for priority sector lending.

These initiatives have created a positive ecosystem which has led to an increase in FDI in recent times. According to data provided by the Department of Industrial Policy and Promotion (DIPP), the country received around $6.82 billion worth of FDI during the period April 2000-March 2016.

No doubt, the food processing sector is poised for huge growth in India. The private sector, through investments and the introduction of new technologies, is playing a pivotal role in making India a global hub for food processing. India is projected to have the potential to attract as much as $33 billion of investment over the next 10 years and also generate 9 million jobs. Investment in the sector is being accompanied by interventions and inputs by the private sector to improve agriculture productivity, reduce wastage, and provide better remuneration to the farming community.

To harness the true potential of this sector, CII is working closely with all stakeholders, including the Government, to address some of the challenges that continue to exist. The approach is multi-pronged: First, facilitate demand creation of processed food and expansion of the market by positioning India as a preferred sourcing hub. Second, align with the ‘Make in India’ initiative and encourage overseas food processing companies to partner and participate in the initiative. Third, provide quality inputs to the Government in order to create a conducive policy and regulatory framework in the country and fourth, keep the industry informed about global best practices and food processing trends.

To conclude, I would like to emphasize that farm linkages with the food processing sector are critical not only to leverage the potential of India but also for the economic well-being of millions of farmers. India certainly offers a huge opportunity for investors from across the world to come and set up processing units to leverage the abundant availability of fruits, vegetables and other agri produce in the country.

Rakesh Bharti Mittal is Vice President, CII, and Vice Chairman, Bharti Enterprises Ltd

QThe Government has set a target to double farmers’ income by 2022. How

can platforms like Agro Tech help achieve this objective?

Any income enhancement requires producing the maximum at the lowest possible cost. In other words, farmers need to produce their crops by extracting the highest production from the agri inputs used, reduce waste in harvesting and transportation, and obtain the best possible prices by ensuring quality output.

AgroTech is a forum that displays the entire gamut of technologies in the agriculture value chain, including those available in India as well as across the world. AgroTech also highlights the issues of finance and insurance which play a critical role in enhancing both productivity and farmer income.

AgroTech therefore helps bring the latest and the best farming knowhow to the farmers, and to agri-related industries.

Various conferences and seminars organized at the AgroTech bring the best minds in agriculture together to interact and share innovations. Discussions on digitalization in agriculture, water and climate change management, would also be helpful to farmers.

QWhat are the major problems in the agriculture sector in India and how can

we solve them? How does CII Agro Tech help

'We need a National Agri Strategy'


SPOTLIGHT

in resolving some of these issues?

Agriculture contributes only 14% of the overall GDP but over 55% of the population is involved in this activity. Hence, it is essential that the contribution of this sector must increase substantially to make India a strong and powerful economy.

Despite the huge extent of arable land covering every possible agro climatic condition, the productivity of most of our crops is less than half that of China, and even below global averages. Poor farming practices in many parts of the country, shrinking average farm size from nearly 2.30 hectares in 1970 to less than 1.2 hectares, untenable land leasing arrangements, poor infrastructure, credit and insurance facilities, huge post-harvest losses, etc, inhibit rapid agricultural growth.

We need a national agri strategy and policy to improve information exchange and digitalization, strong extension activity to ensure the most cost-effective use of inputs, latest planting and harvesting technology, and post-harvest logistic management, cold storage, and strong rural infrastructure.

We must, however, recognize that we have made great progress in agriculture. Our agri exports are over $32 billion, we have the highest production of milk, bananas, okra, etc, in the world, and are the 2nd highest in food production globally. Further, our farmers are hardworking and sagacious and quickly adopt technologies. Our Horticulture Mission has been a great success. Yet, a lot remains to be done.

CII Agro Tech, through its world-class exhibitions and international conferences, brings together all stakeholders, including farmers, to engage, network and explore how best to adopt and exploit newer technologies and improve farm practices which can add to rural incomes.

QGiven the challenges, how can we make Indian agriculture more sustainable?

Any change has to be first driven by public policy. The reforms of the 1990s have led to both qualitative and quantitative changes in our industrial and services sectors - the benefits are clear for all to see.

Similarly, agriculture also needs major policy initiatives and reforms. But regrettably, agriculture being a State subject, political considerations continue to dominate agri policies. Unless economic criteria drives policy, agriculture will remain seriously challenged.

Free supply of water and electricity, highly subsidized

urea prices, MSP for a select few agri commodities, ambivalence on the use of genetically-modified seeds, scant respect for intellectual property and data protection when it comes to seeds and pesticides, the APMC Act, which controls agri product sales, serious deficiencies in public procurement, storage and distribution, and the supply of spurious inputs, are major issues that need to be set right to make farming sustainable. This requires strong political will and committed administrative acumen.

India can be rightly proud of its entrepreneurial skills, both at the farm and the industry and services level. Given the right policy framework, the nation can deliver the agriculture productivity, profitability and sustainability agenda.

Undoubtedly, initiatives such as focus on irrigation, electrification of villages soil health card, changes in insurance policies and availability of rural credit are significant steps to make agriculture sustainable.

Further, digitalization, technology and innovation will play a very significant role in this, and we have compelling examples of some islands of success to give positive hope.

All stakeholders, Government, bureaucracy, industry, trade and farmers need to do things differently. Dare I suggest a ‘surgical strike’ of agricultural policy reforms, to get on the platform of rapid farm income growth as this would derisk farming, and also ensure its sustainability.

QThere is huge concern over the decreasing land holdings in the country. What solution do you

suggest?

The average land holding size has been constantly decreasing. While the total acreage of 140 million hectares has remained the same, the number of farmers has doubled, leading to sub-optimal productivity. The solution lies in land aggregation. CII believes that the way forward is to bring in legislation that facilitates leasing of land while protecting the rights of the owners.

The time has come for large corporates to take up ‘aggregated farming,’ which will not only ensure higher productivity, and therefore higher incomes for farmers, but encourage others to enter this game-changing business model.

Salil Singhal is Co-chair, CII National Agriculture Council, and Chairman and Managing Director, PI Industries


Powering a TECH-TONIC Shift

India-UK Tech Summit

Rt Hon Theresa May, Prime Minister of the United Kingdom, and Narendra Modi, Prime Minister of India, with Dr Harsh Vardhan, Minister of Science & Technology, and Earth Sciences, India; and Dr Naushad Forbes, President, CII, and Co-Chairman,

Forbes Marshall, at the India-UK Tech Summit in New Delhi

COVER STORY

technology

In a red-letter day for CII, two Prime Ministers, Mr Narendra Modi of India, and Rt Hon Theresa May of the United Kingdom, addressed the inaugural session of the India-UK Tech Summit, in New Delhi on 7 November. CII organizes its annual

technology summit in partnership with the Department of Science & Technology, Government of India, with a different partner country each year. This year, the partner country at the 22nd edition of CII's annual technology summit was the United Kingdom.

In terms of footfalls of participants, number of delegates in the entourage of the visiting premier,

number of exhibits, number of high-profile speakers and the number of

sessions, the three-day Summit,

Event Highlights

2 Prime Ministers inaugurated

6 Ministers participated in the deliberations

200 world-renowned experts spoke

3 award ceremonies 4 publications released

New India-UK collaborative industrial R&D program launched

5 conferences 30 sessions 3000 delegates

with five conferences and three award ceremonies, was a runaway success. Over 3,000 visitors from all parts of the world attended the series of summits on higher education, design, intellectual property, and innovation and entrepreneurship, as well as the insightful technology and R&D sessions related to advanced manufacturing and robotics, life sciences, and smart cities.


Science is universal but technology has to be local, said Mr Narendra Modi, h igh l ight ing bus iness opportun i t ies for UK and Indian companies in Government programs such as Make in India, Smart Cities and Start-up India. The present Indo-UK cooperation in science and technology is driven by ‘high quality’ and ‘high impact’ research partnerships, he said. Under the Newton-B h a b h a p r o g r a m o f scientific collaboration between India and the UK, in less than two years’ time, we have started wide-ranging collaborations covering basic science to solution science aimed at addressing societal challenges, said Mr Modi.

With Brexit, the UK would forge a new global outlook, said Ms Theresa May. This visit to India, her first visit outside Europe as Prime Minister, and her first trade mission, was aimed at greater trade and investment and fewer trade barriers, she said. Indian business visitors would now be eligible for the Registered Travelers Scheme of the UK, which was aimed at a facilitative visa regime, she announced.

The British Prime Minister outlined a three-point agenda for her visit. One, identify business opportunities; two, look at each other’s priorities as ‘our own priorities,’ and three, break down barriers and make it easier to do business.

“The CII-DST Tech Summit will provide a wide-ranging platform for a vibrant business partnership,” said Dr Harsh Vardhan, Minister of Science and Technology, and Earth Sciences, India.

Dr Naushad Forbes, President, CII, and Co-Chairman, Forbes Marshall said the bilateral summit this year would focus on two points – how to increase public investment in research, and how to get firms to invest more in science and technology. “The Prime Minister has made technology the cornerstone of

COVER STORY

Kumar Iyer, Deputy High Commissioner of Britain in Mumbai, and Director General, Economic Trade and Investment UK; Rt Hon Liam Fox, MP, Secretary of State for International Trade, and President of the

Board of Trade, UK; Arun Jaitley, Minister of Finance, and of Corporate Affairs, India; Dr Naushad Forbes, and Chandrajit Banerjee, Director General, CII

Prof Pradyumna Vyas, Director, National Institute of Design; Jo Johnson MP, Minister of State for Universities, Science,

Research and Innovation, UK; Baroness Usha Prashar, Deputy Chair of the Board of Trustees, British Council, and Prof Anne Boddington,

Design Council Trustee, University of Brighton

Prof Partha P Chakraborty, Director, IIT Kharagpur; Manjul Joshipura, Scientist, WHO; Sir Keith Burnett,

Surrey Satellites Technology Ltd; Andrew Wathey CBE, Vice Chancellor & Chief Executive, Northumbria University, and Dr Arabinda Mitra, Head – International Cooperation (Bilateral), Department of Science and

Technology, India

Chandrajit Banerjee; Rajiv Pratap Rudy, Minister of State (Independent Charge) of Skill Development and Entrepreneurship,

India, and Emma Sinclair, Co-Founder, EnterpriseJungle


COVER STORY

Toby Peters, Founder & CEO, Dearman Engine; Kishore Jayaraman, President (India & South Asia), Rolls Royce; Dr Pawan Goenka, Chairman, CII National Committee on Design, and Executive Director,

Group President (Auto & Farm Sector) Mahindra & Mahindra; Amit Kalyani, Executive Director, Bharat Forge Ltd, and Prof Sir Martin Sweeting

Shobana Kamineni, President Designate, CII, and Executive Vice Chairperson, Apollo Hospitals Enterprise Ltd; Rakesh Bharti Mittal, Vice President, CII, and

Vice Chairman, Bharti Enterprises Ltd; Dr Harsh Vardhan, Rt Hon Theresa May, Dr Naushad Forbes, and Chandrajit Banerjee

the many new programs introduced for development and his vision for technology is inspiring,” he said.

Along with key departments and ministries from the UK participating in a big way in the Summit in India, event received support and participation from key ministries, such as Electronics and Information Technology, Urban Development, and Human Resource Development, as well as the Departments of Heavy Industry, Pharmaceuticals, and Biotechnology.

Some of the key speakers from India were Mr Arun Jaitley, Minister of Finance, and of Corporate Affairs; Ms Nirmala Sitharaman, Minister of State (Independent Charge) of Commerce and Industry; Mr Rajiv Pratap Rudy, Minister of State (Independent Charge) of Skill Development and Entrepreneurship; Rao Inderjit Singh, Minister of State for Urban Development; Mr Amitabh Kant, CEO, NITI Aayog; Prof Ashutosh Sharma, Secretary, Department of Science and Technology, and Prof Vijay Raghavan, Secretary, Department of Biotechnology, among others.

The Tech Summit this year hosted five summits:

• 22nd Technology Summit, with focus on Smart Cities; Digital Healthcare, Advanced Manufactur ing and Robotics

• 6th Higher Education Summit

• 16th Design Summit

• 3rd Intellectual Property Summit

• I n n ova t i o n a n d Entrepreneurship Summit.

T h e p a r t n e r i n g government agencies for these Summits included the All India Council for Technical Education (AICTE), the National Institute of Design, and the Intellectual Property Office of India.

‘The GITA (Global Innovation and Technology Alliance) platform of CII and the Department of Science & Technology, along with Innovate UK, to support industry-related R&D projects in affordable healthcare, clean technology, manufacturing and ICT, opens new potential for Indian and UK businesses to convert scientific knowledge into technology-based enterprises.’

Narendra Modi, Prime Minister of India


VOX POPULI

‘India’s voice is getting noticed in the world, and there is no voice for protectionism in the country. The India-UK Tech Summit throws up opportunities for joint ventures and associations between India and the UK. India’s manpower resources are quickly developing competitive skills which can be leveraged by the UK.’

Arun Jaitley, Minister of Finance, and of Corporate Affairs, India

‘India and the UK have made great strides in their relationship and enjoy a multidimensional partnership. The Newton-Bhabha program and the second phase of the UK India Education and Research Initiative have set up new science collaborations for societal challenges, women and child welfare, weather and climate change research, etc. The two countries must explore innovative technologies and knowledge creation for wealth creation.’

Dr Harsh Vardhan, Minister of Science & Technology and Earth Sciences, India

‘Brexit offers a huge opportunity for UK-India economic interaction in areas such as Life Sciences, infrastructure, and Services, among others. The new Department of International Trade, which would have four Ministers, would help in trade facilitation.’

Greg Hands, MP, Minister of Trade and Investment, UK

‘India and the UK are ‘perfect partners’. Today, we are here to prove to India that we are the best for R&D, Technology, Science and Education… Brexit is a new opportunity for an outward-looking UK. A new Joint Working Group of senior officials on trade and investment has been set up for regular dialogue to address removal of barriers to trade. The Tech Summit is vital to the vision of transforming the future of bilateral relations.’

Rt Hon Liam Fox, Secretary of State for International Trade, UK

‘While India has emerged as one of the most open economies in the world, the Western world has become more protectionist, even while advocating free trade. There is a need for free trade in cross-border movement of manpower as well, and the UK should allow meritorious people from India to work in the country.’

Amitabh Kant, CEO, NITI Aayog

‘The United Kingdom and India have an extraordinary opportunity to collaborate in what is known as ‘precision medicine,’ at affordable cost.’

Prof K Vijay Raghavan, Secretary, Department of Biotechnology, India

‘We do not need to re-invent our wheels of innovation, but we do need to invent certain local wheels such as digitization and building a sound digital infrastructure to achieve good decision-making, good governance and developmental roadmaps.’

Prof Ashutosh Sharma, Secretary, Department of Science & Technology, India

‘To raise the share of manufacturing in India’s GDP, the sector must grow at double the average rate of the past 25 years. Technology would be integral to the effort. Indian educational institutions need to raise the share of their expenditure on R&D from the

current 4% to 20% of total R&D expenditure, while private firms must increase their share from the present 0.3% of GDP to 1.5%.’

Dr Naushad Forbes, President, CII, and Co-Chairman, Forbes Marshall

COVER STORY


COVER STORY

The results of the 5th edition o f t he A l l

India Council for Technical Education (AICTE)-CII Survey of Top Industry-Linked Technical Institutes 2016 were announced at the India-UK TECH Summit. One award each was given in five categories, which included 4 degree and 1 diploma level award in engineering, pharmaceutical and management categories.

Compared to the 21 awards which were given last year, the number of awardees this year was considerably lower at 5. However, this was not in any manner a reflection of the performance of the institutes but was meant to maintain the exclusivity of the awards, as advised by the jury this year, explained Prof Anil Sahasrabudhe Chairman, AICTE.

The survey, said Dr B N Suresh, President, Indian National Academy of Engineering, (INAE), and distinguished professor, Indian Space Research Organization, (ISRO), who headed the jury this year, is a good way to encourage institutes to start interacting with industry and to look at their output from a relevance perspective. Dr Y S Rajan, a member of the expert group of the survey, who has been part of the process since its inception, said the survey has taught institutes how to maintain records and document the work they are doing with industry.

“The survey has maintained its high and exacting standards of excellence over the years. The process of arriving at the winners has been rigorous despite several challenges this year,” said Mr Vijay Thadani, Chairman, CII National Committee on Higher Education, and Vice Chairman & MD, NIIT, & Co-Founder, NIIT University.

In addition to the awards, a new feature was added in the survey this year – the presentation of report

cards and certificates of participation to individual institutes who had registered for the survey

separately with CII. The purpose of the report cards is to give individual level

guidance to institutes. As many

The Winners

Category Winner Sponsor

Best Industry-linked Electrical & Allied Engineering Institute (Standard category, Degree)

College of Engineering Pune ELICO Ltd

Best Industry-linked Electronics & Allied Engineering Institute (Standard category, Degree)

Dronacharya Group of Institutions ELICO Ltd

Best Industry-linked Electronics & Allied Engineering Institute (Standard category, Diploma)

Thiagarajar Polytechnic College ELICO Ltd

Best Industry-linked Emerging Management Institute

L N Welingkar Institute of Management Development & Research, Bengaluru

Hindustan Unilever

Best Industry-linked Pharmacy Institute

Acharya & B M Reddy College of Pharmacy

Cadila Pharmaceuticals (Award in the Memory of Late Indravadan Modi)

Recognizing Industry-Institute Linkages

as 36 institutes got these, nearly half of them in the platinum category, denoting high linkages with industry.

This edition of the IndPact survey had 890 participating institutes. Of these, 18% were in the platinum category of high industry linkages; 54% in the gold or medium category, and 28% in the silver or low category of industry linkages.

Initiated in 2012 by CII and the AICTE, the IndPact Survey is an objective source of information on industry – academia collaboration. Over the years, its scope has been expanded to include four major streams of study, engineering, management, pharmacy, and architecture/planning.

In the online survey, the first level of basic scores is calculated through algorithms set after extensive consultation and brainstorming with industry and academic experts.

At the award ceremony of ‘AICTE-CII Survey of Industry Linked Technical Institutes 2016’


COVER STORY

Presentation of the CII Industrial IP Award 2016 for Top Patent and Trademark Driven Industry to Wockhardt Ltd

The CII Industrial Intellectual Property Award recognizes and celebrates Indian enterprises

for excellence in Intellectual Property (IP) protection and generation to fuel their economic growth, and the country’s economic progress. It aims to encourage organizations to foster a culture of IP management and commercialization across industry segments. This year, the award, open to all types of industries which thrive on IP driven-growth, was presented in six categories:

1. Top Patent-dr iven Industr y (Large): Wockhardt Ltd

2. Top Patent-driven Industry (Small & Medium): Concept Medical Research Pvt Ltd

3. Top Trademark-driven Industry (Large): Wockhardt Ltd

4. Top Trademark-driven Industry (Small & Medium): Quick Heal Technologies Ltd

5. Top Design-driven Industry (Large): Siddhi Vinayak Knots & Prints Pvt Ltd

6. Top Design-driven Industry (Small & Medium): Resil Chemicals Pvt Ltd.

Celebrating Excellence in Intellectual Property Development

CII Industrial Innovation Awards 2016The CII Industrial Innovation Awards were institutionalized

by CII in 2014 to recognize and celebrate innovative Indian enterprises across industry segments.

A total of 130 entries were received this year from various large, medium and small enterprises, out of which the jury selected the top 25 most innovative companies. From these 7 companies were given special awards under various categories.

Grand Award: JCB IndiaManufacturing Sector Large Enterprise: JCB IndiaMedium Enterprise: Grind Master Machines Pvt. LtdMicro & Small Enterprise: (i) Vyome Biosciences Pvt. Ltd (ii) Lotus Wireless Technologies India Private LtdService Sector Large Enterprise: Tata Power Delhi Distribution LtdMedium Enterprise: Cholan Tours Pvt Ltd

Micro & Small Enterprise: Rajasthan Fort and Palace Pvt LtdAlong with the category winners, the 25 most innovative companies were recognized for their

excellence in Innovation.

Team from JCB India receiving the Grand Award for the 'Most Innovative Company'


INDIA AND THE WORLD

India-UK CEO Forum

The meeting of the India-UK CEO Forum was organized in New Delhi on 7 November, coinciding with the India visit of Rt Hon Theresa May, Prime Minister of the United Kingdom. The Forum, co-chaired on the India side

by Mr Ajay G Piramal, Chairman, Piramal Enterprises Ltd, and on the UK side by Sir Gerry Grimstone, Chairman, Standard Life, discussed challenges and opportunities in the India-UK business landscape. CII was the official Institutional Partner to the Forum from India, with the UK-India Business Council (UKIBC) from the UK.

The UK is the largest G20 investor in India and India is the third-largest investor and second-largest job creator in the UK. The Forum is committed to addressing issues in bilateral trade and investment, as well as pursuing new areas for collaboration.

In the first meeting of the India-UK CEO Forum since the UK voted to exit the European Union, members felt the exit presents an opportunity to build a new, stronger India-UK trade and investment relationship. They welcomed and supported the commitment of both Governments towards this.

It was announced that an Advanced Material and Manufacturing Technology Center would be set up in India, modelled on the high-value manufacturing Catapult Centres of UK, with equal participation from the respective Governments, industry members and academia.

The Indian members of the Forum raised several issues including easing global talent mobility in the UK, addressing the technology-related skills shortage in the UK, avoiding double taxation for Indian industry, institutionalizing a social security totalization agreement, and according mutual recognition of qualifications. They also sought further clarity and certainty in emerging policies, post-Brexit.

Several reports and papers were launched at the Forum with recommendations to achieve these objectives. These include:

• A report on Smart Cities and the digital economy with proposed reforms to accelerate the roll-out of Digital India.

• An overview paper on the India UK Financial Partnership since its inception.

• A paper on Financial Inclusion focusing on access to affordable finance for MSMEs and affordable housing finance.

• A Responsible Shareholder Engagement paper on corporate governance through an Indian Stewardship Code.

• A concept paper has been presented outlining a program to facilitate collaboration between UK and Indian start-ups and to support a broader knowledge exchange by rolling out a program to link incubators at Indian higher education institutions with incubators in the UK, including those associated with universities. This will enhance India’s start-up program, develop new forms of engagement between UK and Indian universities, and facilitate a start-up bridge between entrepreneurs.

The CEO Forum also discussed collaboration and capacity-building in the area of insolvency, as India implements a major reform through the Insolvency and Bankruptcy Code 2016.Other areas identified for closer cooperation include tourism and hospitality, renewable energy and pharmaceuticals.

Narendra Modi, Prime Minister of India, and Theresa May, Prime Minister of the United Kingdom, with members of the India-UK CEO Forum in New Delhi


MINDSPACE

media & entertainment

The Indian Media & Entertainment (M&E) sector has huge room for growth and can create 10 million jobs without much spending from

public infrastructure. In recent times, the industry is witnessing rapid action on policy interventions from the Government.

It is very encouraging that we will soon have an updated and contemporary Cinematograph Act replacing the out-dated Act of 1952 for promoting cinema as a form of creative expression. Also, the Ministry of Information & Broadcasting has initiated the Press and Registration of Books and Publications (PRBP) Bill with a view to rehaul and replace the age-old PRB Act, 1867. The M&E Industry also looks forward to the rollout of the Goods and Services (GST) regime.

Visible actions from the Government on the policy front, as well as new initiatives from various State Governments are showing encouraging new growth prospects for the sector.

In order to harness India’s soft power in the realm of cinema, the Ministry of Information & Broadcasting (I&B) has set up a Film Facilitation Office to promote and facilitate shootings by foreign film makers in India. The Ministry has also included ‘Most Film-friendly State’ as a special category award in the National

Film Awards this year. The Shyam Benegal Committee report for holistic interpretation of the provisions of the Cinematograph Act/Rules is under consideration. The Ministry is in the process of setting up the National Centre of Excellence for Animation, Gaming and VFX in Maharashtra, envisioned as a world-class institution to provide skilled manpower in this emerging area.

While more clarity is needed, the FDI relaxation for the M&E sector across the board will result in more investment and consolidation in the industry.

The Big PictureCII has been driving several initiatives to promote the growth and development of the media and entertainment sector in India under the umbrella of ‘The Big Picture.’ The vision to create growth templates in all M&E verticals and bring the industry together to speak in one voice on all major issues, is being guided by the finest creative and business minds from the Government, regulators, academia and civil society.

The CII National Committee on M&E strongly believes that India is set to emerge as a global M&E hub. The main objective is to scale the sector towards achieving $100 billion. With this objective, CII is focusing on several major M&E issues this year. From a comprehensive

Media & Entertainment Sector in India

‘Get Disrupted to Innovate’

CII strongly believes that India is set to emerge as a global

M&E hub. Buoyed by the great success of the recent Big Picture

Summit, our second lead maps the current global scenario and

evolving trends, and attempts to chart out a carefully-planned

path to convert this belief into reality.


MINDSPACE

taxation paper to mapping the success of policy initiatives for the sector by State Governments, the agenda is to scale the industry to its true potential.

• Influence of emerging technology in the M&E sector, spanning cloud storage, Internet of Things (IoT), multiple screens, new delivery mechanisms, transmission and communication, et al.

• Preparation of a document on GST and its impact on various media and entertainment verticals.

• Issues related to Digital Entertainment – the way forward for the industry. Industry leaders are optimistic of enabling a digital payment process, which will benefit the entire M&E sector.

• Continuing efforts to work with the Government to combat piracy, which becomes even more relevant as the industry is moving towards multi-platform. CII welcomes the Telangana Government’s initiative in setting up the country’s first Intellectual Property Crime Unit, to curb digital piracy and protect intellectual property.

• Work on action points to increase movie screen density. Multiplexes in the country are set to double in two to three years.

• Preparation of a paper on talent pipeline and job creation for the media and entertainment sector.

• The Cinematograph Act of 1952 should be made contemporary to meet the present-day challenges, and the entire film certification process needs to be made more transparent and speedy.

• Engage with the M&E start-up ecosystem to build synergies.

Big Picture Summit 2016 The CII Big Picture Summit 2016 has emerged as an annual meeting ground for leaders to deliberate on the way forward for the M&E industry to accelerate growth.

The 5th edition of the Summit, held recently in New Delhi, deliberated on challenges for the M&E industry, and ways to overcome them, in order to achieve the growth target of $100 billion in the next five to seven years. With technology setting a relentless pace of change, and start-ups driving this change across the world, ever-extending the frontiers of innovation and disruption, the Summit this year focused on ‘Embracing Disruption to Stay Competitive.' The growth of varied platforms such as 4G, broadband, mobile technologies, and digital media has enabled the M&E sector to move towards ‘convergence across platforms and content.’ The deliberations provided useful insights to move forward, by innovating and redefining business modules.

Digital and mobile tools have been leading to paradigm shifts in the M&E sector, said Mr M Venkaiah Naidu, Minister of Information and Broadcasting, Housing, and Urban Poverty Alleviation, at the Summit. He said the Government's campaigns such as ‘Make in India,’ ‘Skill India’ and ‘Digital India,’ and the roll-out of the GST, are clearly positive signals of the new transformation. Seeking collaboration with the industry, Mr M Venkaiah Naidu said the “I&B Ministry would play the facilitator’s role for the M&E sector.”

Several Ministers, including Mr Rajiv Pratap Rudy, Minister of State (Independent Charge) of Skil l Development and Entrepreneurship; Col

Harit Nagpal, CEO, Tata Sky; R S Sharma, Chairman, Telecom Regulatory Authority of India (TRAI); M Venkaiah Naidu, Minister of Information and Broadcasting, Housing and Urban Poverty Alleviation; Sudhanshu Vats, Chairman, CII National Committee on Media

& Entertainment, and Group CEO, Viacom 18, and Ramesh Sippy, Film Producer and Director, at the Big Picture Summit 2016 in New Delhi


MINDSPACE

Rajyavardhan Rathore, Minister of State of Information & Broadcasting, Mr Vijay Goel, Minister of State (Independent Charge) of Youth Affairs and Sports, and Minister of State of Water Resources, River Development & Ganga Rejuvenation and Mr Manoj Sinha, Minister of State (Independent Charge) of Communications, and Minister of State of Railways, as well as Mr R S Sharma, Chairman, Telecom Regulatory Authority of India (TRAI), and Mr Rajiv Aggarwal, Joint Secretary, Department of Industrial Policy and Promotion (DIPP), among a galaxy of eminent thought-leaders,also addressed the Summit.

Key Takeaways

• Need to Ensure Parity: Convergence is not happening, it has happened. Sooner or later we will see the kind of consolidation being witnessed in the West. The regulatory framework must pre-empt this and prepare for it. This means ensuring parity across different forms of media so that there is no regulatory arbitrage.

• Friends for Success: Technology and data are our friends, not foes. Technology/ data and content are generally viewed as two sides of a coin. Instead, we need to see them as a potent currency that can revolutionize success and monetization.

• Professionals Needed: The M&E sector offers thousands of jobs in the non-glamour, behind-the-content world. There is a need for professionals

Convergence: The New Multiplier

CII collaborated with the Boston Consulting Group (BCG) for the second consecutive year to release a report titled, ‘Convergence: The New Multiplier for Indian Media &

Entertainment's $100 Billion Vision,’ at the Big Picture Summit.

Releasing the report, Mr M Venkaiah Naidu, Minister of Information and Broadcasting, Housing, and Urban Poverty Alleviation, observed that ‘there is a wrong feeling that the regulators are all strangulators.’ He announced that his Ministry would facilitate devising an appropriate regulatory framework.

The report identifies three vectors to help the industry achieve its $100 billion vision:

• Tapping rural un-connected customers who have the potential to grow to over 300 million by 2020.

• Capturing a large share of time of digitally-connected consumers, as digital consumption has been found to be additive, rather than a substitute to traditional media

• Creating a supply explosion for strategically segmented audiences, which is likely to reap rich dividends, as has been seen in States like Maharashtra and Andhra Pradesh.

The report also identifies ecosystem interventions to pave the way for growth. The metrics for monetization need to be reflective of growth in the audiences reached as well as the quality of engagement. Concerted efforts from the Government, academia and industry bodies are required to create a large and skilled workforce. Finally, the report calls upon the Government and regulators to support the M&E industry on its journey to achieve its full potential, by driving the ease of doing business, be it for raising funds, or providing a facilitative licensing regime.

trained in analytics to draw consumer insights for new content, engage consumers and build improved monetization models.

• Tremendous Opportunity: India has a huge opportunity to position itself as a digital R&D content hub for the world. Digital platforms are proliferating and there are tremendous opportunities, especially for creators, storytellers and technology-providers.

• Digital Spread: The spread of digital technology is offering equal opportunities to start-ups as well as established media companies to participate in the growing global M&E market.

• 3 Cs: India’s Media and Entertainment industry is going through a rapid transition to a direct-to consumer world through new digital technologies. Curation, customization and convenience are playing a prime role in this disruptive environment.

Highlights

• The confluence of telecom, technology and content will rapidly transform the Indian M&E sector.

• Rural consumption has been growing at a faster pace than urban consumption in India in recent times.

• A strong anti-piracy law with even stronger enforcement is the order of the day and is critical for the success of convergence, which would enable monetization.


MINDSPACE

QWhat are the disruptions you would like to see in the Indian media and entertainment space?

To be brutally honest, I’m sure all of us would be delighted if the disruptions that hit us are the ones that we have foreseen! That said, the nature of our business is such that there are bound to be disruptions that we are not prepared for. This is where an organization’s DNA comes into play. We have to be ‘built’ to be destroyed so that we can build again. One key disruption that we are already beginning to see (and its impact is only going to get stronger) is in the area of Big Data and Analytics. The preparation for this has to be on two fronts: we have to equip ourselves from a technology perspective to leverage this disruption, and, more importantly, at the ‘people level,’ we have to ensure a favorable, behavioral disposition towards data-driven insights.

I have always maintained that data and creativity go hand in hand, the ‘guts+insight’ approach. While intuition can never be replaced, data helps one make better decisions. Of course this also means that the quality of data, especially consumer data, needs to be dialed up. Some work has already been done and more is happening as we speak.

QDo you see visible changes happening around media business today? The transformation is

towards digital...

Changes are visible and their impact is significant. While ‘digital’ is an amorphous term, it’s clearly the No. 1 buzzword across industries. For M&E organizations, this has three broad ramifications:

• The proliferation of digital/online platforms will expedite our transition towards becoming B2C organizations.

• India is a land of many countries and therefore digital content consumption will continue to add to (and not take away from) consumption of content on traditional platforms.

• While the growth in digital platforms makes content creation a more democratic process, quality content will continue to command a premium with both consumers and with brands.

Of course, we will need to enhance our ‘spotting’ abilities as we scout for talent from a wider pool of individuals, but then again, that is par for the course.

QFrom the policy perspective, what are the three things that would help ease challenges in the

Indian M&E sector?

Several measures can be taken and several have already been taken. This Government is extremely responsive and ‘pro-dialogue’ with all stakeholders.

I would like to take a slightly different route this time around. Generally, our focus is on sector-specific regulations that are aimed at giving our sector a fillip. However, in doing so, I feel that we are missing the ‘big picture’. You see, given our size (we’re smaller than many other sectors) and our status as a ‘multiplier,’ we have more to gain from an economy that is buoyant in the overall sense. In this regard, the recent demonetization initiative is a welcome step. Yes, it is creating some turbulence in the short term, but it is a bitter pill that will safeguard our future growth in the medium term. We expect to see a great deal of liquidity in the economy in a few quarters and this is bound to increase public and private spending. This alone will have cross-over effects on our sector, as we will see advertisers wanting to spend more to take advantage of this buoyancy.

GST is another positive as it has a direct positive impact on overall GDP growth. We hope to see it become a reality soon.

Finally, we’d like to see the Digital India program gather more pace, as growth in internet connectivity is bound to increase video content consumption.

All these aspects, though not directly aimed at our sector, are likely to impact it greatly in the foreseeable future. Specifically, I see the transition towards a regime of single-window, e-enabled, time-bound clearances on all fronts as a natural follow-up, given the impetus on transparency, quality governance and ‘ease of doing business.’

'We need to Leverage Disruption'

Sudhanshu Vats is Chairman, CII National Committee on Media & Entertainment, and Group CEO Viacom 18 Media Pvt. Ltd

Data and Creativity go hand-in hand, says Sudhanshu Vats


MINDSPACE

‘The growth of varied platforms such as 4G, b r o a d b a n d , m o b i l e technologies and digital media has enabled the sector to move towards convergence across platforms and content creation. There is a huge opportunity to transform India into a global hub for digital media.’

M Venkaiah Naidu, Minister of Information and Broadcasting, Housing and

Urban Poverty Alleviation

‘The manpower required for the M&E industry is huge. We need to institutionalize training, develop National Occupation Standards as per the requirements of the industry and create Qualification Packs which correspond to specific job roles within the sector. All these things have to be done with a calibrated approach.’

Rajiv Pratap Rudy, Minister of State (Independent Charge)

of Skill Development & Entrepreneurship

‘ T h e M & E i n d u s t r y should not shy away from disrupt ion. Disrupt ions have occurred since time immemorial. The Indian M&E industry is undergoing massive changes. These alterations are being witnessed in terms of content creation, delivery of content to consumers, and the manner in which it is being consumed.’

Col. Rajyavardhan Rathore, Minister of State of

Information & Broadcasting

‘In the present era of convergence, the distinction between the telecom, IT and media and broadcasting sectors is getting blurred. Content, communication

platforms and technology have become seamless and one cannot survive without the other in reaching out to consumers.’

Manoj Sinha, Minister of State (Independent Charge) of Communications,

and Minister of State of Railways

‘Digital media broadcasting will play a critical role in bringing about a change in sports broadcasting in India. Broadcasters must also focus on how sports

as a product is delivered to audiences in rural areas so as to popularize the culture of sports.’

Vijay Goel, Minister of State (Independent Charge) of Youth Affairs and Sports, and

Minister of State of Water Resources, River Development & Ganga Rejuvenation

‘India is in the midst of a digital revolution with high-speed internet data, multiple channels of consumption, and consumers deciding the time

and location of consumption, while conventional delivery platforms are dying. It is imperative that new business models are created.’

R S Sharma, Chairman, Telecom Regulatory Authority of India (TRAI)

‘Our training institutions need to be different. In a disruptive environment, brick and mortar training doesn’t work, we need new curriculum.’

Kiran Karnik, Chairman, CII Mission on Digital India, and CII National Committee on

Telecom & Broadband

B Y T E S


‘India is a different market and the media business relies on advertising revenue. A more philosophical question is, does the Indian media need FDI? There are enough

resources, and more investment available. I do not know whether there is a requirement for FDI in the media sector. What we need are good business models and right valuations.’

Rajiv Verma, CEO, Hindustan Times

‘For far too long, the news in this country has been using the political class as crutch to lean on, thereby humiliating itself. This is going to change, and, in fact,

is already changing. I dream of an independent media which has the maturity to regulate itself and is fearless enough to be answerable to nobody but itself.’

Arnab Goswami, former Editor-in-Chief, Times Now

‘I don’t think our fundamentals are in place in the cable/DTH business. It is difficult for us to think about disruption.’

Harit Nagpal, MD & CEO, Tata Sky

‘You need to destroy in order to build and create something new. If you had to destroy one particular aspect about your business today, what would it be? It’s not an easy

conversation. But trust me, it will make the future easier.’

Sudhanshu Vats, Chairman, CII National Committee on Media & Entertainment, and

Group CEO, Viacom 18 Media Pvt. Ltd

‘We are going through a major digital transformation and innovation in the media space. How to engage your audience, how to empower the workforce, how to

optimize operations and how to transform your project – these are the four pillars of digital transformation.’

Bertrand Launay, Chief Operating Officer, Microsoft India

‘There is censorship at various levels. For society, for the individual, and for all of us to grow, we have to give space for freedom. We have to believe in each

other, in the system, and encourage open conversations for sensible cinema, literature and artistic expression.’

Nandita Das, Filmmaker and Actor

‘Films are much better when they are driven by directors. Each time the actor become more important and when they demand 60% of the total revenue, the quality of

the film goes down.’

Shekhar Kapur, Film Director, Actor & Producer

‘Today if you make a film of `150 crores, out of that, `100 crores goes to the actors. When I made Sholay the actual cost of the star cast was `20 lakhs, as

compared to the total budget of `3 crores.’

Ramesh Sippy, Film Producer and Director

MINDSPACE


Every day, each of us breathes in about 15,000 litres of air. This air provides us the essential

oxygen but has dangerous levels of pollutants, which that pose a threat to our environment, health and well-being. Air pollution is a significant cause of mortality and morbidity in India. A World Bank report states that pollution from particulate matter can cause loss of 3% of GDP of the country, of which outdoor air pollution accounts for 1.7% and indoor air pollution 1.3%.

Rapidly expanding urban areas, like Delhi and the NCR, are on the frontlines of the fight against air pollution and climate change. City-level management of air pollution and emissions is a complex task requiring long-term commitment and actions from multiple stakeholders including industry, Government, civic bodies, and citizens. Many schemes and measures have been implemented, but with limited impact and acceptance.

Air pollution is a complex phenomenon and ambient air quality level depends not only on the sources contributing to ambient air pollution but also on meteorological conditions. In order to take substantive action, the sources of air pollution have to be identified and prioritized.

CII, in partnership with NITI Aayog, launched an initiative for ‘Improving the air quality of Delhi-NCR’ on 17 November in New Delhi. This initiative will work towards engaging business, civil society and Government to learn from peers and take actionable steps to improve the air pollution in Delhi NCR. Its specific objectives are to

• Develop an integrated approach, bringing together policy-makers, industry, academia, community and civil society

• Build consensus and get buy-in from stakeholders on actions for improving air quality in NCR

• Deliver voluntary commitments from stakeholders towards reducing air pollution

• Influence adherence to existing policies and advocacy towards newer policies.

Studies show that the spectrum of air pollution in Delhi can be attributed to three main areas: transport, industry

and domestic sources, such as uncontrolled burning of solid waste, seasonal burning of crops, etc. The initiative will therefore focus on these three areas.

“There is no barrier or border for air. The country needs integrated action towards improving the quality of the air we breathe,” said Mr Suresh P Prabhu, Minister of Railways, at the launch of the Clean Air-Better Life

initiative, organized by the CII-ITC Centre of Excellence for Sustainable Development, and supported by Cummins Inc.

He congratulated NITI Aayog and CII for partnering to raise awareness, take actions and foster the use of technology to deliver on this fundamental right of clean air.

“The voice of the people must be heard. People living in the NCR should push for action, should demand cleaner air” said Mr Amitabh Kant, CEO, NITI Aayog, at the launch. He advocated strong radical actions over a sustained period to meet the pollution emergency.

Mr Tom Linebarger, Chairman & CEO, Cummins Inc, spoke of using technology to develop solutions to restore the quality of air in Delhi NCR.

A well-known study carried out in 2015 in Delhi by IIT Kanpur identified 12 major sources responsible for poor air quality in Delhi. These can be put under three main categories: area sources such as MSW burning, fly ash, road dust etc, point sources such as power plants, etc, and line sources, including vehicles, explained Prof Mukesh Sharma, from IIT Kanpur.

Clean Air, Better Life Initiative

Tom Linebarger, Chairman & CEO, Cummins Inc; Suresh P Prabhu, Minister of Railways; Amitabh Kant, CEO, NITI Aayog, and Anant Talaulicar, Chairman, CII Clean Air – Better Life

Initiative, Chairman, CII Manufacturing Council, and CMD, Cummins India, at the launch of the ‘Clean Air - Better Life’ Initiative, in New Delhi

INITATIVE

environment


Sectorscape

Textiles and ApparelWeaving the WayCII and the Boston Consulting Group brought out a detailed report ‘Weaving the Way: Breakout Growth Agenda for the Indian Apparel, Made-ups and Textile Industry’ to outline the challenges and develop solutions in the Indian apparel, made-ups and textile industry in November 2016. The report notes the rapid changes underway in the global textiles and apparel trade as China’s predominance wanes and new manufacturing hubs such as Vietnam and Bangladesh emerge.

The report points out that if the industry achieves breakout growth as per its potential, it would generate 50 million jobs by 2025, a large majority of them for women. The potential economic benefits are identified as revenue of $300 billion by 2025, a multiple of three from the current position. In this, the domestic market could account for a 2.5 times jump to $150 billion and even the foreign exchange earnings could go up to a similar size.

The report observes that there are many challenges to meeting this potential, such as small scale, fragmented clusters, restrictive labor laws and unpredictable wage movements, high operating costs due to taxation and subsidy structures, market access barriers in key markets such as the EU and the US, high cost of working capital, low brand visibility, poor infrastructure, logistics delays, and lack of product development a n d p r o c e s s improvement.

The new apparel package has taken many steps in the right direction. A landmark provision in the policy is to allow

more flexible work hours and fixed term employment, as per industry concerns. The Government has devised innovative means for direct benefit transfer to new workers, and has promised to contribute 12% of the salary directly into new workers’ accounts. Export drawbacks for the first time include State taxes and cesses, which are expected to further be extended with the roll-out of the goods and services tax.

Apart from suggesting the above labor regulation changes, the report makes some innovative recommendations. Job-linked scale through a ‘Make in India’ scheme could provide a slab-based incentive linked to the number of additional jobs created, to be availed of by entrepreneurs or industrial parks, it says.

At present, 70 clusters contribute 80% of the output. The report suggests that State Governments should promote infrastructure with plug and play facilities. Also, different operating models can be built, such as the hub and spoke model, or notified apparel parks.

Duties and taxes must be rationalized to avoid inefficiencies and high energy and overall costs. A power subsidy, inclusion of power charges under GST, and similar rates for both cotton and synthetic products are recommended.

Industry should engage in driving productivity through extensive training and investments in process improvements and automation.

To encourage hybrid domestic-export models, the report suggests the China model of VAT rebates, and

Smriti Irani, Minister of Textiles, releasing the CII-BCG study, 'Weaving the Way: – Breakout Growth Agenda for the Indian Apparel, Made-ups and Textile Industry' in New Delhi, with (L-R) Arindam Bhattacharya, Senior Partner & Director, BCG – India; Rashmi Verma, Secretary, Ministry of Textiles; B K Goenka, Co-Chairman,

CII National Committee on Textiles, and Chairman, Welspun Group, and Gautam Nair, Co-Chairman, CII National Committee on Apparel, and MD, Matrix Clothing


SECTORSCAPE

Healthcare National Conference on Vaccine IndustryFor the first time ever, all leading vaccine manufacturers of India came together under the aegis of CII to develop clear guidelines for various approval processes in the vaccine manufacturing space in the country.

We must move from ‘Health for All’ to ‘Health By All,’ and the entire Indian healthcare industry has to get involved for effective healthcare delivery in India, said Mr CK Mishra, Secretary, Ministry of Health and Family Welfare, addressing the inaugural session of the CII National Conference on ‘Vaccine Industry in India-Reforms required for early accessibility, growth and sustained competitiveness,’ on 10 November in New Delhi. The vaccine industry has a critical transformational role to play in this regard, he said.

the exempt-credit-offset method of carrying forward unadjusted rebates. This would also help overcome the issues under the Merchandise Export Incentive Scheme which will have compliance issues with WTO in 2017.

Logistics support is a key recommendation, especial ly integration with Bangladesh through s ingle-day t ransi t . Shipping turnaround times must be improved and adequate hinterland connectivity built with key textile parks.

The report strongly calls for a Free Trade Agreement with the EU. An added provision could be to treat the poor States of India on a similar basis as least developed countries. (LDC).

An incentive for innovation and technology is also recommended. Rebranding is essential, accompanied by focused marketing interventions such as global roadshows. Companies should invest in product development and in cutting edge innovations.

The CII-BCG report was shared with the Government ahead of the announcement of the new policy for the industry, and several of its suggestions have been included. The policy certainly sets the stage for reviving the competitiveness of the Indian textile, apparel and made-ups industry. Unlocking its value can bring huge gains to the economy, and the CII-BCG report is a valuable contribution to this effort.

Information and Communications Technology

Session on Internet Governance CII, in partnership with the Ministry of Electronics and IT, organized an exclusive session on ‘Internet Governance: Why Industry should engage?,’ coinciding with the 57th meeting of the Internet Corporation of Assigned Names and Numbers (ICANN) on 5 November in Hyderabad.

Mr Ravi Shankar Prasad, Minister of Electronics and Information Technology, and Law and Justice, in his

S Premkumar, Co-Chairman, CII National Committee on IT & ITeS, and Executive Vice Chairman & MD, HCL Infosystems Ltd; Kiran Karnik, Chairman, CII National Mission on Digital India, and

Chairman, National Committee on Telecom & Broadband; Ravi Shankar Prasad, Minister of Electronics & IT, and Law & Justice; Aruna Sundararajan, Secretary, Ministry of Electronics & IT,

and Sally Costerton, Senior Advisor to the President, and Senior Vice President, Global Stakeholder Engagement, ICANN, at a session on Internet Governance in Hyderabad

inaugural address, urged the Indian private sector to step up its participation in global policy-making processes related to the internet. The next large wave of internet users would require a more inclusive and affordable internet, he said.

Ms Aruna Sundararajan, Secretary, Ministry of Electronics and IT, called for industry engagement in internet governance, standard setting, and policy development.


Financial SectorCII 7th Financial Markets SummitWhile Indian industry has traditionally been funded pre-dominantly by banks, the prevailing economic situation calls for financial markets to play an increasingly important role in generating incremental funding, for the expansion of the Indian economy. This necessitates a strong policy and regulatory push towards the development of the financial markets.

To catalyze policy-level discussions on developing and deepening India’s Financial Markets, and to make them equally lucrative for issuers and all types of investors, CII organized its 7th Financial Markets Summit with the theme ‘Indian Financial Markets: The Next Wave’

Ashishkumar Chauhan, MD & CEO, Bombay Stock Exchange; U K Sinha, Chairman, SEBI, and Nimesh Kampani, Chairman, CII National Committee on Financial Markets, and Chairman,

JM Financial Group, at the 7th Financial Markets Summit in Mumbai

SECTORSCAPE

Dr Rajesh Jain, Joint MD,Panacea Biotech Pvt. Ltd; KL Sharma, Joint Secretary, Ministry of Health & Family Welfare; CK Mishra, Secretary, Ministry of Health & Family Welfare; Dr Suresh Jadhav, Executive Director,

Serum Institute of India Ltd; and Dr GN Singh, Drug Controller General of India, Central Drugs Standard Control Organization, at the Vaccine Conference in New Delhi

The Indian Government is fully geared to provide an enabling regulatory environment which would facilitate in creating a comprehensive national hea l thca re de l i ve r y system, stated Mr C K Mishra. He released a position paper titled ‘The Make in India Imperative – Position Paper on Regulatory and Pol icy Changes required for Sustained Competitiveness of the Indian Vaccine Industry,’ prepared by Sathguru Management Consultants for CII. The paper is based on discussions with members of the Task Force on Vaccines of the CII National Committee on Biotechnology, and a few regulatory experts.

Mr K L Sharma, Joint Secretary, Ministry of Health and Family Welfare, urged the industry to submit specific recommendations, and assured a speedy response by the Government. Expressing optimism in the capability of the Indian vaccine industry, Mr Sharma said this niche sector is going to be game-changer, and the Indian Government is proud of its achievements.

Responding to CII’s call for a single window system and ease in clinical trial regulations, Dr G N Singh, Drug Controller General of India, Central Drugs Standard Control Organization, announced the formation of an Expert Group, to be formed with CII, to work towards the speedy resolution of issues in a time-bound manner without compromising critical aspects like quality, patient safety and patient management. He appealed to industry to chalk-out a mechanism for a post marketing survey, so that hospitals would have a proper survey mechanism in place.

Earlier, Dr Rajesh Jain, Joint MD, Panacea Biotech Pvt Ltd, and Convener of the Conference, in his welcome address, urged the Government to set up a Regulatory Innovation Cell, and requested for minimizing unnecessary paper work, maximizing innovation, and capitalizing Mission Indradhanush, by developing vaccines faster, to boost the National Immunization Program.

The Task Force on Vaccines is currently working on preparing clear guidelines for various approval processes for submission to the Health Ministry.


on 10 November in Mumbai.

Mr U K Sinha, Chairman, Securities and Exchange Board of India (SEBI), in his inaugural address, highlighted the various measures being undertaken by SEBI to give an impetus to the growth of primary markets in India. He expressed confidence that the current year could turn out to be a record year for the primary markets. He also described the steps being undertaken by SEBI and the Reserve Bank of India (RBI) on inter-regulatory co-ordination for market development.

Mr Sinha released the CII-India Ratings and Research report titled, ‘Indian Financial Markets: The Next Wave.’ The report highlights the importance of usage, monitoring and disclosure of covenants, improving regulatory coordination, and the use of technology and innovation by financial institutions as important ingredients in providing a fillip to the development of the financial markets.

Mr Nimesh Kampani, Chairman, CII National Committee on Financial Markets, and Chairman, JM Financial Group, in his theme address, said the merger of the Forward Markets Commission (FMC) with SEBI has brought all commodities and securities under one umbrella. It should now be permitted for intermediaries to have

commodities trading, in addition to equity, debt and forex (foreign exchange) derivatives in a single entity. This will surely pave the way for a well-regulated financial market for multiple products, he felt.

The India International Exchange being set up by BSE at GIFT City will go on stream in two months and will provide an international platform for Indian companies to raise funds through various instruments, said Mr Ashishkumar Chauhan, MD and CEO, Bombay Stock Exchange (BSE).

Mr Rakesh Valecha, Senior Director and Head – Credit & Market Research, India Ratings and Research Pvt Ltd, in a brief presentation on the theme, said the usage, monitoring and disclosure of covenants as an early warning signal will not only ensure efficient capital allocation, but also provide greater confidence to creditors and shareholders, in turn furthering the cause of financial markets.

The Summit featured three sessions:

• Funding India’s Industry through Capital Markets

• GST - Impact on Financial Sector

• Framing conducive policy and regulations for effective and efficient financial markets.

SECTORSCAPE


Considering the focus of the Government to encourage manufacturing, create infrastructure, and build smart cities, mining activity in the

country must go up substantially to support the desired growth with captive resources.

The Global Mining Summit 2016, a signature event for the resource sector, was organized by CII concurrently with the International Mining & Machinery Exhibition (IMME) in Kolkata from 16-19 November. The Summit brought together Government policy-makers, mining professionals, technology providers, financing institutions, academia, geologists, environmentalists and consultants, to discuss the salience of mining towards reducing India’s metal imports, and the steps to be taken to promote exploration, discovery and mine development on a full cycle basis.

Key points emerging from the deliberations:

• Though India is blessed with abundant natural resources and has shared geology with Australia and Africa, the country is largely unexplored and accounts for only 0.5% of the world exploration budget. To give impetus to its growth, India must capitalize its own resource potential and become self-reliant in the resource sector.

• To ensure that sufficient resources become available over the next two decades to feed the growing demand, there is a need for capex to now start flowing into exploration and development, given the risk and long

gestation of the discovery, evaluation, engineering and permitting processes. The need of the hour is to provide a conducive environment that attracts investment from exploration companies, including foreign players.

• The current auction system does not sufficiently encourage investment. The process does not adequately provide for risk – reward incentives associated with high-risk and highly capital-intensive exploration activity, with a long payback period.

• To reduce the risk for explorers, a review of present laws is required to allow the monetization of explored assets with seamless transition from exploration to discovery to mine development.

• It is equally important to rationalize and simplify taxes, cesses and duties, and provide an enabling fiscal regime to promote growth. Since timely execution is the key for any investment, the long drawn-out process for obtaining approvals and clearances must be simplified and expedited.

• Finally, benchmarking with global best practices and implementing the learning would really open up the resource sector. Of course, the mining industry would need access to world-class technology and expertise and digitization of the complete exploration data base.

All these steps from the Central Government would speed up the creation of an effective template, which can be handed over to the States.

Dr Amit Mitra, Minister of Excise, Finance, Commerce, Industries, Industrial Reconstruction, and Public Enterprise, West Bengal; Peter Nicholls, Fellow – Perth USAsia Centre; S Bhattacharya, CMD, Coal India Ltd; Tom Albanese, Co-Chair, CII National Committee on Mining, and CEO, Vedanta Resources; Dr Sarat Kumar Acharya, Co-Chair, CII National Committee on Mining, and CMD, NLC India Ltd; Ratika Jain, Executive

Director, CII; and V K Arora, Chairman, CII Mining & Construction Equipment Division, and Chief Mentor, Karam Chand Thapar & Bros (CS) Ltd, at the Global Mining Summit in Kolkata

Global Mining Summit 2016

Mining Opportunities

FOCUS

mining


FOCUS

V O I C E S‘If properly harnessed, India’s mining sector can not only produce millions of jobs but can also be a significant contributor to national GDP.’

Dr Amit Mitra, Minister of Excise,

Finance, Commerce, Industries Industrial Reconstruction, and

Public Enterprise, West Bengal

'By April 2017, aerial sur vey on potent ia l mineral blocks covering 2 lakh square kilometers of land would be over. This would be the G3 level of exploration data, to help prospecting on the ground.’

Balvinder Kumar, Secretary,

Ministry of Mines

13th International Mining & Machinery Exhibition

Since its inception in 1984, CII’s International Mining and Machinery Exhibition (IMME) has been growing steadily, to become the largest trade

fair dedicated to mining in India. The 13th edition of IMME, held between 16-19 November in Kolkata, was a showcase for 292 exhibitors, including 88 exhibitors from overseas, featuring 8 country pavilions and individual exhibitors from 14 countries - Australia, Belarus, Belgium, China, Czech Republic, Finland, Germany, Indonesia, Italy, Poland, Russia, Spain, Turkey, UK and Ukraine.

A key element of the event was the active participation from the Central Government, with support from the Ministries of Coal, of Mines, and of Steel, the Department of Heavy Industry, and Coal India Ltd, as well as participation from the State Governments of Odisha, Jharkhand and West Bengal.

Australia, the ‘Partner Country,’ was represented by 14 companies and an 85-member delegation, highlighting the potential for mining synergies between the two nations.

IMME 2016 and the Global Mining Summit were inaugurated by Dr Amit Mitra, Minister of Finance, Excise, Commerce & Industries, Public Enterprise, and Industrial Reconstruction, West Bengal; Mr Balvinder Kumar, Secretary, Ministry of Mines; Mr Tim Martin, Trade Commissioner, Australian Trade and Investment Commission; Mr Sarat Kumar Acharya, CMD, NLC India Ltd; Mr Tom Albanese, CEO, Vedanta Resources, and Mr Sutirtha Bhattacharya, CMD, Coal India Ltd.

There was an impressive display in the outdoor exhibition area by global players including JCB, CAT, Volvo, VE Commercials, Tata Hitachi, Mahindra, Sany, Leeboy, SREI Finance, Dozco, Voltas, Sandvik, Atlas Copco, ABB, Puzzolana, Joy Global, L&T - Komatsu, BEML, FLSmidth, BKT, NLMK (Europe), MMD Heavy, Aeolus Tyres, and others, with live demonstrations of equipment and machinery.

‘I welcome all to come forward and join hands with Jharkhand for numerous o p p o r t u n i t i e s . T h e Government of Jharkhand is working to re-organize its mining sector to attract more investments, and has introduced transparency and ease of doing business.’

Sunil Kumar Barnwal, Secretary, Industry, Mines

and Geology, Jharkhand

Dr Sarat Kumar Acharya, Co-Chair, CII National Committee on Mining, and CMD, NLC India Ltd; Tom Albanese, Co-Chair, CII National Committee on Mining, and CEO, Vedanta Resources;

Tim Martin, Trade Commissioner of Australia; Balvinder Kumar, Secretary, Ministry of Mines; and V K Arora, Chairman, CII Mining & Construction Equipment Division, and Chief Mentor,

Karam Chand Thapar & Bros (CS) Ltd, inaugurating IMME 2016 in Kolkata


The CII Report on ‘Mining Opportunities: Realizing the Potential,’ which was released at the Summit,

discusses in detail a sound and comprehensive strategy which can be implemented by all stakeholders in a coordinated, systematic and consistent manner to bolster the much-needed growth of the Indian resource sector. This industry-led, industry-owned report was created completely in-house in CII, with inputs from membership. Some of the key recommendations are:

Process Improvements

While the legalization of auctions has brought transparency and clarity in mineral allocations, the plethora of clearances still remains an impediment for a smooth transition from the auction to implementation stage. Although the Government has prescribed timeframes for various clearances, getting all the clearances and approvals involving both Central and State Governments still remains a long-drawn process.

• To ensure faster devolution of the auction process at the State-level, a selected number of blocks across different minerals in the mineral-bearing States can be placed for processing from auction to production under a special team (such as the Project Monitoring Group).

• Enable the creation of an effective template, which can be handed over to the States. This initiative will have a strong demonstration effect and will augment the efforts of the States as they build capacity to enable smooth auctions.

• Pre-set timelines and create a single window system for clearances working seamlessly. Gradually move to a self-certification regime for progressive miners based on a pre-defined rating system.

Facilitating Exploration

Mining begins with exploration. Exploration on an industry-wide basis is a high-risk and highly capital-intensive activity with a long payback period. Successful exploration requires bringing together the best knowledge and experience, the latest and most advanced technology, highly trained human resources, and also enormous financial resources. It is imperative that a sound exploration policy is laid out to keep a continuous flow of mining blocks which can be developed.

• In order to realize the mineral wealth of the nation optimally, the mineral value spectrum should be maintained seamlessly, starting from pre to post discovery, right up to the production stage. Rules for the grant of exploration permits should be amended to facilitate seamless transition to the mining lease,

which can be utilized for developing and operating

the mines, or even for transfer to other interested parties.

• Exploration is a risky business, with a long gestation period. A review of the present laws is required to allow monetization of explored assets, with proper reporting and compliance parameters in place.

• Clearly demarcate Go/No–Go Zones prior to the mineral block allocation stage; facilitate grant of exploration of permits to speed up the mineral block development process.

• Recognize the distinction between base minerals and deep-seated difficult-to-access minerals, create a differentiated policy environment to enable growth in both areas.

• Funds generated through the National Mineral Exploration Fund (NMEF) can be used to generate better quality baseline data and wider coverage of both Obvious Geological Potential (OGP) and non-OGP areas of the country.

• Compulsory relinquishment of area must be enforced for exploration blocks as per a given schedule.

• Allocate blocks comparable to global standards so that sustainable mining activities can be economically carried out.

Rationalizing of Fiscal Imposts

A transparent, simple and stable fiscal regime plays a significant role in the growth of the industry for attracting investment. Post the amendment in the Mines and Minerals Development and Regulations (MMDR) Act, the Indian mining sector is already amongst the highest-taxed in the world, with effective tax of about 60% compared to other countries, where the range is 35-40%. The high tax incidence is making the domestic mining and mineral-based industry globally uncompetitive.

• Simplify the taxation regime to have a single threshold, which is consistent over the tenure of the lease.

• Reduce and rationalize the number of taxes imposed, avoid cesses and duties.

• Improve efficiency in the tax system with different and appropriate parameters. For example, royalty, some cesses and CSR spend could be production-linked, while others like surface rent, application fees, forest tax, compensatory afforestation charges, net present value of forest produce, stamp duty, and water taxes, can be linked to the area of the lease.

CII Report on Mining

FOCUS

the m


7th Global Summit on Skill Development The outcome of skill development is the national and global acceptance of the skilled workforce by Industry. This was effectively showcased at the 7th CII Global Summit on Skill Development on 9-10 November in Hyderabad. The two-day event, with the theme ‘Networking for Globally-transferable Skills’ drew participation from over 400 international and national stakeholders from the skill domain, spanning industry, the Central and State Governments, and various other realms.

Mr Bandaru Dattatreya, Minister of State (Independent Charge) of Labor and Employment, in his inaugural address, said that the Central Government has launched a number of initiatives to address the employment of youth such as the National Career Services Portal that links job seekers to job providers. The erstwhile employment exchanges have been revamped and relaunched as Model Career Centers (MCC) to provide counselling and career guidance to the youth, he said, adding that 100 such MCCs have been granted, with CII partnering three Centers in Gurugram, Mumbai, and Chennai, respectively. He urged CII to set up another MCC in Secunderabad.

The Minister announced that his ministry would reimburse the employers' contribution of the Employee Pension Scheme (EPS) for all new employees enrolling in the Employees' Provident Fund Organization for the first three years of their employment

Mr Nayani Narasimha Reddy, Minister of Home & Labor, Employment, Training & Factories, Telangana, stated that the State Government is launching the State Skill Development Mission and Policy to create a robust framework for its youth. The Telangana Overseas Manpower Council helps the youth explore global opportunities, he added.

Mr Pramod Bhasin, Chairman, CII National Committee on Skill Development, and Founder, Genpact, said that CII is working closely with the Ministry of Labor

& Employment, the Ministry of Ski l l Development & Entrepreneurship, and various State Governments, for several skill development initiatives across the country. “Industry is committed to supporting the Government as it directly benefits from employing skilled workforce. While the youth can be linked to jobs in India, there is a huge demand overseas for skilled workforce, and this

Ramesh Datla, Chairman, CII Southern Region, and CMD, Elico Ltd; Nayani Narasimha Reddy, Minister of Home & Labor, Employment, Training & Factories, Telangana; Dr Jaco Cilliers, Country Director – India, UNDP; Bandaru Dattatreya, Minister of State (Independent Charge) of

Labor and Employment, and Pramod Bhasin, Chairman, CII National Committee on Skill Development, and Founder, Genpact at the 7th Global Summit on Skill Development, in Hyderabad

At the Job Fair in Hyderabad

Building Capacity


BUILDING CAPACITY

Summit helps learn best practices and successful international models to bridge this gap,” he said.

Dr Jaco Cilliers, Country Director, UNDP, cited three landmark initiatives with CII – the India Skills Report, the CII UNDP World Bank Evidence Based Apprenticeship Study, and the CII-UNDP Volunteer Program, while emphasizing the need to work with industry associations.

The Government of Malawi is working closely with the Government of India in the skill domain, said Dr Mbuya Isaac Munlo, High Commissioner of Malawi to India.

The Summit also facilitated MoUs between CII and the JP Morgan BSE Institute, the UNDP Volunteer Program; and SkillSonics, for an Indo-Swiss Skill Center.

In a dedicated session with the Government of Telangana on ‘Skilling for Golden Telengana,’ Mr B V Papa Rao, Special Advisor to Chief Minister of Telangana, announced the State Skill Policy. Engineering colleges would be regulated and aligned to skill development initiatives, and different sectoral pillars will be established to collaborate with industry, he said, adding that the policy would also work towards establishing skilling universities.

The Summit also hosted B2B and B2G meetings to facilitate further engagement and build partnerships amongst stakeholders.

A Job Fair organized on the sidelines of the Summit drew participation from over 4000 youth, with 47 employers offering over 3000 job vacancies.

The Mechantronics selection for the WorldSkills Competition was held during the event.

Knowledge Management Knowledge Management as a Career Option Knowledge is increasingly being recognized as the new strategic imperative of organizations. The ability to manage knowledge is critical in today’s knowledge economy. The creation and diffusion of knowledge have become increasingly important factors in competitiveness. Hence, it is highly crucial to build up the next generation of the knowledge management strata and groom future KM practitioners on both the theoretical and practical aspects of the subject.

CII conducted a webinar on 17 November on ‘Knowledge Management as a career option for Gen Y’ to present KM as a desired career, and to create awareness on the practices required to be a successful KM professional.

The session was conducted by Mr Bheemesh Kumar, Global Head for Knowledge Management, Tech Mahindra.


Marketing Marketing in the Digital AgeThe digital landscape has changed the way marketers interact with their customers and community. With the rise of search engines, social media, and the mobile revolution, customer behavior has also evolved, and marketers have to cater to multi-screen, mobile and socially-networked customers.

CII conducted a successful webinar on 22 November on ‘Marketing in the Digital Age: Internet-of-Things (IoT) and Augmented Reality,’ to highlight business-technology convergence and its impact on the future of marketing. The session provided an intensive introduction to new marketing concepts, and the broad spectrum of digital marketing , with the focus on changes in online consumer behavior, online marketing analysis, competitive research, content marketing, etc.

The session was conducted by Ms Priti Ray, Partner, and Mr Abhinav Chamoli, Senior Manager, both from Deloitte India.

Design Seminar on Industrial DesignThe CII Andhra Pradesh Technology Development Center (APTDC), in association with the Intellectual Property Office, United Kingdom (UK IPO) organized a seminar on Industrial Design on 10 November in Hyderabad.

The seminar provided an overview of Industrial Design, and the nuances of design registration in India and abroad. It discussed how Industrial Design can be incorporated into overall product development during R&D, as well as enforcement issues.

Dr S K Barik, Assistant Controller of Designs, Intellectual Property Office, Kolkata, in his special address, said Industrial Design protection is the best way to secure the rights of any product, and called for creating greater awareness for the better utilization and effective management of these rights. Seminar on Industrial Design

in Hyderabad

BUILDING CAPACITY


Intellectual Property Seminars on Trademark Protection CII, in association with the European Union Intel lectual Property Office, the Indian Patent Office, and the Ministry of Commerce and Industry, organized a series of seminars on International Trademark Protection Systems across India, in November.

The seminars, held in Mumbai, Nagpur, Kolkata, Hyderabad and Chandigarh, shared global best practices and strategies adopted for brand management and protection by SMEs across the world. The Madrid filing procedure and practices, along with best practices on pre and post registration steps, and enforcement strategies which can be adopted for trademarks by brand owners, were also discussed.

Seminar on International Trademark Protection Systems in Kolkata

Renewable Energy SOLAR BIZAndhra Pradesh is an ideal location for setting up solar power projects, as it has about 300 sunny days in a year with solar insolation of more than 5 kWh/m²/day, said Mr B Gopala Krishna Reddy, Minister of Environment & Forests, Science & Technology, and Cooperation, Andhra Pradesh, inaugurating the ‘SOLAR BIZ’ conference on 18 November in Vijayawada. Andhra Pradesh has an efficient and strong evacuation infrastructure that can facilitate distributed generation, and three ultra mega solar parks are being taken up in the State, he added.

The conference was organized by the Andhra Pradesh Technology Development Center (APTDC) to review the existing technologies and remedial measures; share ideas and experiences, deliberate on State and Central Policy initiatives and guidelines; explore financing opportunities, and examine the pros and cons in becoming a solar entrepreneur.

At the ‘SOLAR BIZ’ conference in Vijayawada

BUILDING CAPACITY


CII partnered with the Toilet Board Coalition (TBC) to co-host the 1st Global Toilet Business, Innovation and Investment Summit on

18 November in Mumbai.

The three-day summit covered a range of discussions with global leaders of sanitation on

• A future-smart sustainable sanitation system for all

• Experience-sharing on sanitation as a powerful business opportunity

• Business models around sanitation

The Summit deliberated on how sanitation can be a powerful opportunity to unlock the bio-cycle through the circular economy lens to derive new business value through new materials and products, and achieve the Sustainable Development Goals (SDG) targets, putting the low-income consumer at the center of the business model. It also explored what sanitation systems could look like in an increasingly-digitized future, and how current and future technologies can drive demand and enable scale.

The Summit made connections and opened up conversations through curated closed door discussions and pitches to potential collaborators, as well as thematic workshops on sharing common challenges and co-creating solutions, and also on leveraging opportunities.

With poor sanitation costing the global economy $222.9 billion, the Summit brought together key players from

Making Swachh Bharat a RealityCII partnered with the Toilet Board Coalition to position Swachh Bharat as a business opportunity

across the sector,including multinationals like Unilever, Kimberly Clark Corporation, LIXIL and Firmenich, as well as over 75 entrepreneurial young businesses in the sanitation sector, or ‘sani-preneurs,’ to flush out the untapped business opportunities in toilets. The Summit saw the participation of 270 delegates from across 20 countries.

Five entrepreneurial companies, Samagra, Biocycle, SafiSana, Sanergy and Sanivation, were announced as the next cohort of Toilet Accelerator businesses – the TBC’s flagship business mentoring scheme. All five businesses are at the forefront of sanitation innovation: while Samagra works at the intersection of design, technology and behavioral science to tackle the issue of open defecation in India, the other four present circular approaches to converting the by-products of sanitation from toilets into affordable and sustainable resources such as fuel, fertilizers and proteins.

Over the next year, these businesses will receive mentoring, business intelligence and in-kind business support from the TBC and its corporate members.

A research report was released on 'Smart Toilets' and the largely untapped opportunities for entrepreneurs in the sanitation sector. It shows how the digitization of sanitation systems in developing markets can offer a very real opportunity for the future, with the toilet viewed as a potential health data-capturing device.

The Summit included an exhibition of next gen sanitation

Saurabh Jain, Director, Swachh Bharat Mission, Government of India, addressing the Global Toilet Business, Innovation and

Investment Summit, in Mumbai

Exhibition of next gen sanitation business models at the Global Toilet Business, Innovation and

Investment Summit

Societal Interface


business models focused on low-income markets.

Over the last two years, CII has been directing efforts towards the Swachh Bharat (Clean India) Mission through a number of interventions, including advocacy among member companies, undertaking construction of toilets in schools and public places, cleanliness drives and campaigns, and open defecation-free projects in slums and rural areas.

CII, along with the Centre for Policy Research, undertook a study to map the scope and opportunities for private sector engagement towards Swachh Bharat. The report estimates that

• India will need to build 154.2 million toilets by 2019 to address the nationwide sanitation crisis.

• Only 29% of the wards in India’s cities have 100% solid waste collection.

• Merely 17% of the waste generated in Indian cities gets processed.

• India requires 13,705 vacuum trucks to de-sludge/empty 68.5 million septic tanks once in 2-3 years.

• The estimated cost for implementing the Swachh Bharat Mission is approximately over ̀ 8.93 lakh crores, which includes both capex (till 2019) and operation and maintenance expenses for 10 years.

• Another `43,200 crores is expected to be spent on the soft skill component, including capacity-building and administration.

Given the dearth of sanitation infrastructure and services in our country from toilets to drainage systems to treatment plants for solid and liquid waste, the Swachh Bharat movement has opened up a plethora of opportunities for the corporate sector.

The partnership with the Toilet Board Coalition aims to create and catalyze a robust business environment to address and scale up the efforts towards delivering sanitation solutions and making Swachh Bharat a reality.

World Toilet Day

On the occasion of World Toilet Day, Swachh Bharat promotional activities were organized in the slum-dwelling community of the

Dalit Ekta Camp in New Delhi on 19 November. These included a rally on sanitation awareness, a sit-and-draw competition, and labeling of houses which have built toilets in their homes, as ‘Swachh Ghar.’

The activities are part of a CII Foundation project that aims to make the entire slum ‘open defecation-free’ and create a sanitized and clean environment through a participatory, holistic, community-led approach. Additionally, the project seeks to create a mechanism towards the management and safe disposal of solid waste in the slum.

The one-year intervention is envisaged to lead to a sustained behavior change in the community in terms of sanitation and hygiene practices. The slum has already attained 'open-defecation-free' status with its dwellers either using the community toilets, or individual household toilets. Post the intervention, 16 such toilets have been constructed. A Self Help Group has been formed to drive the disposal, recycling and management of waste in the community, which is being educated on these aspects.

The initiative has been envisioned as a ‘demonstration project’ towards the creation of a model settlement, which could serve as a model for the local administration for scaling up across other settlements too.

SOCIETAL INTERFACE


Portfolio for Excellence

QualityNational Quality Summit 2016The CII Institute of Quality (CII-IQ) a CII Centre of Excellence, organized the 24th edition of its flagship CII National Quality Summit 2016 on 23-24 November in Bengaluru. The broad theme for the Summit, ‘The Digital Transformation of Business – Implications for Quality,’ was aligned to the national agenda of transforming India’s economic and social fabric through the power of technology and digital.

All operations of Indian Railways are being moved towards digital and the Indian Railways is changing to keep up with evolving technology, said Mr Suresh Prabhu, Minister of Railways, in his video conference address.

Dr Naushad Forbes President, CII, and Co-Chairman, Forbes Marshall, stressed that the ‘Make in India’ program cannot happen without Quality. Industry needs to go beyond manufacturing quality to be successful, he said.

The CII-McKinsey & Company report on ‘Quality in the Digital Era’ was released at the Summit.

The Summit saw eminent industry voices deliberate on various topics including Disruptive Technologies; Industrial Internet; Smart Enterprises, and Creativity and Innovation in Entrepreneurship, among others. The Summit also included a special session on Work-Life Balance by Rajyogini Brahma Kumari Sister Asha.

The CII EXIM Bank Awards for Business Excellence, felicitating companies that showed a high level of maturity in business processes, were given away at the Quality Summit. This year there were four winners: Bhilai Steel Plant, Steel Authority of India Ltd; Bosch Ltd, Diesel Systems, Jaipur; Godrej Interio Division, Godrej & Boyce Mfg Co Ltd, and the National Stock Exchange of India Ltd.

The success of an enterprise is measured in terms of superior, sustainable performance and value created for all its stakeholders.’

N Kumar, Past President, CII, Chairman, CII Primary Education Council, Former Chairman, CII IQ, and Vice

Chairman, Sanmar Group

‘Companies must prioritize digital for better quality of products and services.’

R Mukundan, Chairman, CII Institute of Quality, and

MD, Tata Chemicals

‘The digital revolution is leading to compatibility of applications across a plethora of networks, devices and interfaces. As a result, ensuring impeccable qua l i t y and cons is ten t customer experience is pushing companies to expand the frontiers of Quality Assurance. It is imperative for digital business to deliver a rich and meaningful user experience.

Yaduvendra Mathur, CMD, Export-Import

Bank of India

Suresh Prabhu, Minister of Railways, addressing the 24th CII Quality Summit via video conferencing from New Delhi

Dr Jaidev Rajpal, Partner, Mckinsey & Company; Yaduvendra Mathur, CMD, Export-Import Bank of India; N Kumar, Past President CII, Chairman, CII Primary Education Council, Former Chairman, CII Institute of Quality, and Vice Chairman, Sanmar Group; Dr Naushad Forbes, President, CII, and

Co-Chairman, Forbes Marshall, and R Mukundan, Chairman, CII Institute of Quality, and MD, Tata Chemicals Ltd, at the 24th CII Quality Summit in Bengaluru

B Y T E S


PORTFOLIO

Quality in Education The 19 th N a t i o n a l Summit on Quality in Education, was hosted by the CII I n s t i tu t e of Quality in Bengaluru on 18-19 November, with the theme, ‘Preparing Thinking Institutions for the Knowledge Era’.

The education sector in the country needs to convert the huge demographic dividend into a demographic opportunity. The parameter that needs to be addressed is quality, said Mr Ajay Seth, Principal Secretary - Primary & Secondary Education, Karnataka.

Curiosity inspires education. When curiosity is stirred, attitude and motivation towards learning is transformed. The primary attitudinal shift that must take place for India to become a knowledge power is the focus from ‘Yes’ to ‘Why’, said Mr Ramji Raghavan, Founder and Chairman, Agastya International Foundation, in his special address.

Mr Aroon Raman, Co-Chairman, National Summit on Quality in Education, and MD, Telos Investments & Technologies, felt that better teacher education can improve learning in India’s schools, while Mr Anil Kher, Co-Chair, CII Primary Education Council, and MD, Micro Interconnexion Pvt Ltd, advocated an amendment to Section 24C of the RTE Act to guarantee a minimum level of learning to every student.

Tata Class Edge, as knowledge partners, developed the program to cover important topics related to enhancing the pedagogical experience, learning, teacher education, and teaching practices, to enhance critical thinking and creativity.

Day 2 saw interactive master classes on the culture of ‘change’ in institutions, integrated learning for all kinds of learners, and the use of cinema and language, as tools for transformation.

Lean Six Sigma Green Belt Phase-I Program CII IQ conducted a Lean Six Sigma Green Belt Phase – I Program from 9 to 11 November in Mumbai for 21 participants of various Aditya Birla Financial Services Ltd group companies.

Each of the participants has taken up an improvement project in his/her respective work area which will lead to

At the 19th National Summit on Quality in Education, in Bengaluru

significant improvement in efficiency, effectiveness and customer satisfaction. Post the satisfactory completion of two phases of training and project, the participants will be awarded the CII Institute of Quality Green Belt Certificate.

A series of such programs at various levels are planned over the next few quarters.

3M Competition The maiden 3M Competition, held in New Delhi on 15-16 November, received an overwhelming response with over 100 entries on Muda, Muri, and Mura. Of these, around 70 entries were shortlisted by the jury for the final presentation.

The winners were:

Category Winner 1st Runner Up 2nd Runner Up

Muri

Delphi-TVS Diesel Systems Ltd Plant 3

Blue Star Ltd, Wada

IOCL - Western Region Pipelines, Gauridad, Rajkot

Muda IOCL - Digboi Refinery

Bajaj Auto Ltd, Motorcycle Division, Aurangabad

Robert Bosch Starter Motors Generators India Pvt Ltd, Bengaluru

Mura

MRF Ltd Motor Cycle Plant, Arkonam

Mahindra Steel Service Centre Ltd, Kanhe, Pune

Godrej & Boyce Mfg Co Ltd, Plant 25

Participants at the Lean Six Sigma Green Belt I Program for Aditya Birla Financial Services, in Mumbai

Winners of the 1st 3M competition in New Delhi


PORTFOLIO

Manufacturing Excellence

Conference on Welding 2016

The CII Naoroji Godrej Centre of Manufacturing Excellence organized the 1st edition of the Conference on Welding in Mumbai on 16 November, with the theme, ‘Welding Innovation, Challenges and Applications in India.’ It provided opportunities to discuss the changing landscape of the Indian welding sector and its adoption of new software, automation and communication technologies, with the focus on the future trends, and the huge scope for employment generation.

In the Inaugural Session, Mr Y S Trivedi, Sr Vice President and Member of the Board – Heavy Engineering IC, Larsen & Toubro, emphasized that, to transform India into a global manufacturing hub, there is an urgent need to pay attention to welding. Further, welding is the core of modern technology and holds immense potential for employment and skill development, he added.

Dr G Padmanabham, Director, International Advanced Research Centre for Power Metallurgy and New Materials, highlighted the need for strengthening industry R&D involvement.

A CII-BDB Joint Report presenting an ‘Overview of the Welding Industry in India: Challenges & Applications’ was released on the occasion. The report states that the present size of the Indian welding sector is about `4,000 crores, of which `2,800 is covered under consumables and the remaining under the welding equipment market. Driven by infrastructure development, the welding industry is slated to pick up rapidly in the next few quarters and by 2021, the consumable market is expected to grow to `4,200 crores and the equipment market to `1,500 crores, according to the report. It pointed to limited R&D and testing facilities, need for training and skill building for skilled labor, and the increasing price of steel as challenges to the industry’s growth.

CII Conference on Welding in Mumbai

Green BusinessGreen Landscape Summit 2016

The Indian Green Building Council (IGBC), part of CII, generates awareness on the need and benefits of green landscapes in the country, as part of the green building movement.

At the 5th edition of the Green Landscape Summit on 23 - 24 November in New Delhi, Ms Sonali Bhagwati, Member, Delhi Urban Art Commission (DUAC), highlighted the need and importance of creating green spaces in the concrete jungle, such as greenways and pedestrian walkways, which can enhance social connections in the community. The DUAC and CII IGBC should work together in developing green spaces, she suggested.

Dr Prem C Jain, Chairman, IGBC, said that India has the second largest registered green building footprint in the world. The IGBC, through its holistic green building rating systems, is encouraging projects to incorporate green landscaping practices and approaches, he said.

Mr Rohit Marol, President, Indian Society of Landscape Architects, said the society would work with the IGBC to spread awareness about green landscaping and biodiversity.

Waste Management Summit 2016 The 7th Waste Management Summit, held on 23-24 November in Mumbai, discussed the opportunities

Inaugural session of the Green Landscape Summit in New Delhi

At the 7th Waste Management Summit in Mumbai


PORTFOLIO

and challenges of the recent Waste Management Rules; advocated the concept of the 4 Rs (Reduce-Reuse-Recycle-Recovery); promoted scientific waste disposal practices: highlighted the benefits of MSW management, and shared best practices.

“Challenges notwithstanding, the Government is aspiring for 100% waste management by 2019 under the Swachh Bharat Abhiyan,” said Mr Sameer Unhale, Municipal Commissioner, Nanded Waghala City Municipal Corporation. Waste is not something we should shy away from but look at as a resource to be utilized, he said.

Mr Ulhas Parlikar, Chairman, Waste Management Summit 2016, and Dy Head - Geocycle India, said that the new waste management rules are based on the principle of sustainability and not disposal, as was the case earlier.

Coinciding with the Summit, the CII Godrej GBC also organised a conference on ‘Alternative Fuel and Raw Material Utilization.’

Energy Conservation A training program on ‘Energy Conservation and Management in Cement Industry’ was held on 25 - 26 November in Hyderabad.

GreenCo Rating UNIDO distributed a document, ‘Making it Green,' highlighting several successful green interventions across the globe, during its 50th anniversary week, held on 21-25 November. The publication covers the GreenCo Rating System with the title, ‘Grading on Green’.

Centre of Excellence for Leadership

Transformational Leadership in Tourism DevelopmentThe CII Suresh Neotia Centre of Excellence for Leadership (CII-SNCEL) organized the 5th edition of Travel East, a multi-stakeholder travel and tourism conference on ‘Transformational Leadership in Tourism Development,’ on 24 November in Kolkata.

Travel East was supported by the Union Ministry of Tourism, and the Department of Tourism, West Bengal.

The conference highlighted the leadership roles taken

not only by the different State Governments, but also by various other stakeholders in developing the tourism sector, with topics such destination branding, current perspectives, and emerging trends.

The West Bengal Government is working on a comprehensive and attractive home stay policy and a heritage tourism policy to encourage community tourism, as part of its pronounced policy to promote inclusive growth, said Mr A R Bardhan, Principal Secretary, Tourism, West Bengal. A new tourism policy and incentive scheme is already in place with the vision of making West Bengal a world class tourist destination, and achieving 10%+ growth in tourist arrivals year to year over the next five years, he said.

Mr Satpal Kumar Arora, MD, Tourism Finance Corporation of India, said Bengal’s immense potential in tourism, if properly tapped, can be a great boost to the State’s economy.

The emerging game-changing trend in applying digitization and analysis in the development of tourism strategies, destinations and markets is of immense significance, said Mr Aloke Mookherjea, Chairman, Advisory Committee, CII-SNCEL, Chairman, CII (ER) Innovation Task Force, and Chairman, Howden Solyvent India Pvt. Ltd. Examples abound around the world of true leadership of thought and action in tourism development work, he added.

The Travel East conference featured an exhibition of tourism destinations, services and products, by the State Tourism Departments of Tamil Nadu, Karnataka, Gujarat, Puducherry, Jharkhand, and Maharashtra as well as travel agents, hotels and resorts, restaurants, service providers, et al.

A R Bardhan, Principal Secretary, Tourism, West Bengal; Satpal Kumar Arora, MD, Tourism Finance Corporation of India; Indrani Kar – Principal Advisor, CII and Head, CII-SNCEL, and

Aloke Mookherjea, Chairman, Advisory Committee, CII-SNCEL, Chairman, CII (ER), Innovation Task Force, and Chairman, Howden

Solyvent India Pvt. Ltd, at the 5th Travel East in Kolkata


Food and AgricultureStrengthening the Food Safety NetworkAligned with the 10@10 initiative of the Food Safety and Standards Authority of India (FSSAI) launched during its 10th anniversary in New Delhi, industry interactive sessions with Mr Pawan Kumar Agarwal, CEO, FSSAI, on ‘Strengthening the Food Safety Network’ under the aegis of the Surakshit Khadya Abhiyan ™ were organized in Bengaluru and Mumbai on 3 and 15 November respectively.

The Surakshit Khadya Abhiyan is a pan-India food safety awareness and capacity-building campaign to strengthen actions to provide safe and nutritious food for all, through stakeholders connect. CII is planning a 3-year work plan to steer the movement forward, with the focus on enhancing food safety skills at each stage of the value chain.

Mr Pawan Kumar Agarwal called on industry stakeholders in the food business to be a part of the Surakshit Khadya Abhiyan. Sharing the three-pronged strategy of FSSAI for ensuring safe and nutritious food for the 1.3 billion people in India, he said a food safety standards review panel is being set up to identify the gaps in the existing standards for safe and nutritious food against international standards. The FSSAI is planning to ensure compliance with these standards by stakeholders in the food business through third party auditing and food inspections. Strengthening capacity-building and training of master trainers who can further train stakeholders in the food value chain is also on the agenda, he said. Mr Agarwal advocated a ‘Jan Adolan’ movement on food safety and nutritious food for all, and also for creating consumer awareness about ‘fortified foods’ amongst consumers.

State-wise data on MSME food sectors, street food vendors and others has been collected and analyzed to determine the priority sectors and number of programs that would be required to initiate effective capacity-building programs. The 11 States selected are Maharashtra, Tamil Nadu, Uttar Pradesh, Rajasthan, Gujarat, Karnataka, Kerala, Madhya Pradesh, Andhra Pradesh, Telangana, and Punjab.

The roadmap on a partnership model between multi-stakeholders and industry was discussed under the Surakshit Khadya Abhiyan initiative. Companies may choose awareness creation and capacity-building programs based on their preference of States and sectors.

Training Program on Food Regulations A unique, first-of-its-kind training program on ‘Food Regulations for Packaging and Labeling’ was conducted by the CII Food and Agriculture Centre of Excellence (CII-FACE) in Bengaluru on 21-22 November.

Inaugurating the program, Dr Lalitha R Gowda, Member, FSSAI Panel, and former Chief Scientist, CSIR-CFTRI, Mysore, spoke about misbranding, and explained the scientific basis of framing packaging and labeling rules by the regulator in protecting consumer interests.

A strong panel of speakers from industry, comprising representatives from Britannia, ITC, Tata Global Beverages, Kelloggs, Kerry Ingredients and FACE, deliberated on misleading claims, and the latest amendments on packages such as the special declaration on ‘trehalose,’ etc. The provisions of the labeling and packaging regulations 2011, including exceptions for nutritional labeling, usage of dates for ‘Use by,’ ‘Best Before,’ and ‘Expiry’ were discussed.

There was a series of sectoral presentations covering dairy, bakery, ready-to-cook, ready-to-eat, alcoholic beverages, tea and coffee, etc.

In addition, a comparative account of global regulations such as CODEX indicated that Indian regulations meet most of the CODEX norms and compare well with most international regulations. India is seen as a country that would be compliant with most of the CODEX guidelines in the forthcoming notifications.

Pawan Kumar Agarwal, CEO,

FSSAI

Training program on ‘Food Regulations for Packaging and Labeling’ in Bengaluru

PORTFOLIO


Around 51.1 million Micro, Small and Medium Enterprises (MSMEs) spread across the country, contribute around 38% of the national GDP

and provide employment to over 120 million people. Accelerated MSME growth is fundamental to India achieving and sustaining a high GDP growth.

Many global companies are increasingly looking to Indian MSMEs for strategic partnerships of mutual benefit due to the innovative capabilities in niche manufacturing, comparative advantages of advanced engineering, low-cost manufacturing and overheads, ability to speedily absorb new technologies, and local skills and capabilities, that characterize these enterprises. However, identifying suitable global markets, partners and emerging business opportunities can be challenging for MSMEs, due to to factors such as information asymmetries, lack of scale economies, inadequate technical and managerial acumen, etc.

In order to promote and foster global SME partnerships, CII, in partnership with the Ministry of MSME, organized the 13th Global SME Business Summit 2016 on 22-23 November in New Delhi.

India can lead the world in the Fourth Industrial Revolution buoyed by pro-business reforms, and MSME development initiatives. The Government’s emphasis on Zero Defect, Zero Effect (ZED) manufacturing will catalyze this, said Mr Giriraj Singh, Minister of State of MSME. The launch of the Udyog Aadhaar Memorandum has simplified MSME registration to a great extent, by reducing the registration time to only about 3-5 minutes, he said.

Many countries are keen to do business with India due to business reforms in areas such as credit facilitation, technology upgradation, and manufacturing excellence, said Mr Haribhai Chaudhary, Minister of State of MSME. The National SC/ST Hub launched recently by

the Government will promote entrepreneurship in the underprivileged sections of society, towards balanced and inclusive development, he stated.

The Ministers launched the CII Technology Facilitation Center, an initiative to make technology more accessible for Indian MSMEs, and create financial literacy, by partnering with top technological solution providers.

Mr Surendra Nath Tripathi, Additional Secretary and Development Commissioner, Ministry of MSME, said strong links at the policy level between various Governments are imperative for facilitating strong global partnerships.

Mr Abdulla Al Saleh, Undersecretary-Foreign Trade & Industry, Ministry of Economy, UAE, said that SMEs are particularly significant for emerging markets such as India and UAE, and collaborations and partnerships can multiply the strength of such enterprises.

The Summit featured regional and country sessions on Latin America, Europe, Asia, UAE, Egypt, USA, New Zealand and France, to explore the latest global industry trends and to highlight emerging business opportunities across the globe for gainful SME partnerships. It also hosted master classes on e-commerce, digital marketing, standards and certifications, and MSME integration in global supply chains.

A diverse participant profile, including senior government officials, diplomats and trade and commercial officers of various countries, procurement heads of global OEMs and leading Indian companies, financial sector executives, and SME delegations from across the world, engaged in over 1000 one-to-one meetings to explore mutually-beneficial areas of partnerships.

The Summit also featured an India SME Expo where over 40 exhibitors showcased various products and services for enhancing SME productivity and competitiveness.

Promoting Global SME Partnerships

Milon K Nag, Co-Chairman, CII National MSME Council, and MD, K K Nag Pvt Ltd; Surendra Nath Tripathi, Additional Secretary & Development Commissioner, Ministry of MSME; Abdulla Al Saleh, Undersecretary – Foreign Trade & Industry, Ministry of Economy, UAE; Haribhai Chaudhary, Minister of State of MSME; Giriraj Singh, Minister of State of MSME; Dr Naushad Forbes, President, CII, and Co-Chairman, Forbes Marshall, and

Ahmed Samir, Head of Industry Committee, and Member of Parliament, Egypt, at the 13th Global SME Business Summit in New Delhi

MSME METER


To achieve the vision of ‘Make in India,’ i.e. for the manufacturing

sector to increase its contribution to GDP from the current 17% to 25% by 2025, the sector will have to grow at double digits (12-13%). The Capital Goods industry which is the ‘mother’ of all manufacturing industries will, in turn, need to grow at 17-18% per annum to fulfil this aspiration. Combined with the growth targets set forth by the recently-announced National Capital Goods Policy, Government and industry will need to be increasingly aligned, to help actualize the growth targets. It is thus imperative to build a strong 3T (trade, technology and training) ecosystem which will enable domestic industry to achieve 3x growth in production in the next 10 years and help transform India to become a global manufacturing hub for capital goods and engineering.

CII partnered with the Department of Heavy Industry (DHI), and several sectoral associations, to organize the Capital Goods Summit, on 23 November in New Delhi. The first major event for the sector after the launch of the National Capital Goods Policy, the Summit had focused sessions on building technology depth, nurturing talent, bolstering trade, and boosting domestic demand, all of which are critical enablers for the growth of the industry.

Mr Girish Shankar, Secretary, DHI, and Dr V K Saraswat, Member, NITI Aayog delivered the inaugural address.

Highlights of Mr Girish Shankar’s address

• Huge opportunities exist for the Capital Goods sector at this juncture.

• A boost to the sector has been envisaged through the first Capital Goods Policy 2016 launched in February 2016, prepared jointly by DHI and CII under the aegis of the CII-DHI Joint Taskforce after extensive consultation with stakeholders.

• Industry will need to gear itself up for the disruptive challenges of Industry 4.0.

• Need for a rethink on the way businesses are conducted vis-a-vis international counterparts.

Capital Goods Summit

K Nandakumar, CMD, Chemtrols Industries Pvt Ltd; Girish Shankar, Secretary, Department of Heavy Industry; V K Saraswat, Member, NITI Aayog; and Nikhil Sawhney,

Co-Chairman, CII National Committee on Capital Goods and Engineering, and Vice Chairman and MD, Triveni Turbine Ltd,

at the Capital Goods Summit in New Delhi

• C o n c e r t e d e f fo r t s f rom Government and industry will be required towards innovation and commercialization of the innovations.

Highl ights of Dr V K Saraswat’s address

• Thrust on Design and Innovat ion , embrac ing Industry 4.0, will fuel the future growth of the Indian Capital Goods sector.

• It is essential to establish strong R&D centers in smart manufacturing with greater industry-academia connect

to work on the new technologies essential for the future growth of the sector.

• An enabling ecosystem with favourable procurement policies, conducive trade policies in sync with global market conditions, higher R&D spending, and a level playing field vs imports are required for sustainable manufacturing.

• There is a need for tapping opportunities in new segments like metal re-cycling, and mining and exploration equipment.

• Industry associations should launch programs along with academia institutions to develop the required technology to tap the potential in these sectors

The session on trade explored strategies to help boost exports by a factor of 5X in the next few years, such as signing trade agreements with target markets and setting up centers in foreign countries to showcase Indian capital goods products.

The panel discussion on technology and training called for a focus on co-development with end user industries, nurturing talent within organizations, and building a culture of technology and innovation that is intrinsic to the organization.

Mr Nikhil Sawhney, Co-Chairman, CII National Committee on Capital Goods and Engineering, and Vice Chairman and MD, Triveni Turbines Ltd, said that CII, through a recent study, has identified five industries as ‘champions’ to drive significant double digit growth in manufacturing, and support the actualization of the vision of ‘Make in India.’

MANUFACTURING

capital goods


Avalve is a smal l but critical support tool that is omnipresent for the

operation and control of all big devices and processes. On an average, the total cost of all valves is approximately 2% of the total factory and machinery cost. Being an intermediate industry, the demand for valves is highly dependent on the growth of sectors like oil and gas, power, water, petrochemicals, fertilizers and pharmaceuticals.

The Indian industrial valves market had an estimated market size of `10,300 crores in FY16, and constituted 2.5% of the world valve market. Out of this, India exported around $750 million worth of valves to global markets, especially USA and the Middle East. The global valve market is expected to grow at 2-3% annually in the next 3-5 years.

To harness the emerging opportunities, the CII Valves and Automation Division organized the Valves Conference 2016 with the theme, ‘Indian Valves – Harnessing Global Opportunities,’ in New Delhi on 22 November.

Mr Aniruddha Kumar, Joint Secretary, Ministry of Power, released a CII report on the theme at the conference.

The deliberations of the conference clearly articulated the role of Government and industry in building Brand India for valves, to evolve from a low cost manufacturer to a high performance and competitive global provider.

Imperatives for industry

• Set up clusters of excellence to develop technical know-how and expertise, which can be shared by other players. This will help in developing common testing facilities, and will boost exports.

• Indian manufacturers must align with international standards and constantly innovate and upgrade to make their products available in time and at competitive cost.

• Work with academic institutions on

Valves Conference 2016

Harnessing Global Opportunities

joint product development projects specific to India.

• Industry bodies could arrange knowledge-sharing sessions for companies on changes in the standards and specifications.

Imperatives for the Government

• Develop regulations to enforce end-user industries to utilize components made in India.

• Provide specific schemes to promote investment by technology providers to manufacture valves in

India, as currently most of these technologies are imported.

• Provide financial incentives to promote R&D; launch an R&D fund to address gaps in the product portfolio; offer tax relief for utilization of new technologies.

• Facilitate the establishment of forge shops to improve the indigenous

availability of forgings for valves.

• Skill development and training.

‘The recent

policies of the Government to revive the

power sector, especially the thrust on super critical technologies

and the revival of old plants, will provide avenues for growth for the

domestic valves sector.’

Aniruddha Kumar, Joint Secretary,

Ministry of Power

‘Green is no longer a catch

phrase. Major players around the globe now demand

green products, performance and processes. The time has come to look

at the life cycle cost – not just in terms of money but also in terms of impact on

the environment.’

N V Venkatasubramanian, Chairman, CII Valves and Automation

Division, and Chief Executive, L&T Valves Ltd

Ramesh Babu, Vice Chairman, CII Valves & Automation Division, and MD, Velan Valves India Pvt Ltd; S K Roy, Executive Director - Operations, National Thermal Power Corporation Ltd (NTPC);

Aniruddha Kumar, Joint Secretary, Ministry of Power; N V Venkatasubramanian, Chairman, CII Valves & Automation Division, and Chief Executive, L & T Valves Ltd; and R K Sabharwal,

Director – Commercial, Engineers India Ltd; at the Valves Conference in New Delhi

MANUFACTURING

valves


Engaging with the WorldABU DHABI

Doing Business with Abu Dhabi Global Market The Abu Dhabi Global Market (ADGM) is the world’s newest international commercial and financial center, offering access to regional and international growth opportunities in a broad range of business activities and services.

CII organized interactive sessions on ‘Doing Business with ADGM’ in three cities: New Delhi, Mumbai and Thiruvananthapuram on 8, 9 and 15 November respectively, to present the emerging opportunities offered by the ADGM platform.

In New Delhi, Mr Madhav B Shriram, Chariman, CII Delhi, and Deputy MD, DCM Shriram Industries Ltd, signed an MoU with Mr Martin Tidestrom, Business Development Director of the Registration Authority, ADGM, to facilitate greater exchange of information and collaboration.

HONG KONG

Delegation to Hong KongA high-level CII business delegation, led by Dr Naushad Forbes, President, CII, and Co-Chairman, Forbes Marshall, called upon Mr C Y Leung, Chief Executive of Hong Kong, on 4 November, in Hong Kong.

Dr Forbes said the recent reforms in India, especially in the financial sector, provide a huge opportunity for Hong Kong to help build and finance India’s demand for infrastructure. Hong Kong, with an edge over India in the SME sector and start-up culture, can look at India as an important destination, he said.

Mr C Y Leung appreciated the Indian Government’s diligent efforts to improve the working culture, and said India’s economic rise has caught the attention of the world, including Hong Kong.

The delegates also met with senior officials from the Departments of Housing and Transport, and Commerce and Economic Development, and the China General Chamber of Commerce.

IRAN

India – Iran Business Roundtable CII, in partnership with the Iranian Embassy in New Delhi, organized an ‘India - Iran Business Roundtable’ on 3 December in New Delhi, coinciding with the visit of Mr Mohammad Javad Zarif, Foreign Minister of Iran, and the accompanying business delegation, to discuss the emerging business and investment opportunities between the two countries.

India and Iran have a historical relationship and are partners in energy, trade infrastructure and transportation. They should now look beyond these sectors to collaborations in technology, and support start-ups in biotech and nanotechnology, said Dr Zarif. He announced the formation of three working groups for the energy, trade and transport sectors, respectively, between the two countries. The first branch of UCO Bank will be opened in Iran by the year-end, he said, assuring the commitment of the Iranian Government and industry to making business procedures easier.

India gets a major share of its oil and gas supplies through Iran, said Mr Dharmendra Pradhan, Minister of

Dr Naushad Forbes, President, CII, and Co-Chairman, Forbes Marshall, in conversation with C Y Leung, Chief Executive of

Hong Kong, in Hong Kong

Dr Mohammad Javad Zarif, Foreign Minister of Iran, addressing the India - Iran Business Roundtable in New Delhi. Also seen (L-R); Dr Naushad Forbes; Dharmendra Pradhan, Minister of Petroleum & Natural

Gas, India; Gholamhossein Shafei, President, Iran Chamber of Commerce, Industries, Mines and Agriculture, and Gholamreza Ansari, Ambassador of Iran to India



State for Petroleum and Natural Gas, India. He called for diversifying the trade basket between the two countries, to reduce the dependence on oil-based trade, and highlighted the need to develop transit routes such as the East-West Corridor to reduce India’s transit costs to the CIS countries.

Mr Gholamhossein Shafei, President, Iran Chamber of Commerce, said Iran’s new strategic policy seeks peaceful and great collaborations with a positive approach. Iran’s Look East Policy will help forge political, economic and social collaborations with India, he said.

Dr Naushad Forbes, President, CII, and Co-Chairman, Forbes Marshall Ltd, chaired the inaugural session of the Business Roundtable, as also the technical session on ‘Trade and Investment.’ The session was addressed by Ms Rita Teaotia, Commerce Secretary, India; Mr Feridoone Haghbeen, Director General for Economic Cooperation, Ministry of Foreign Affairs, Iran; Mr Muhammad Saeid Nejad, Deputy Minister & Head of Port and Maritime Organization, Iran; Mr Hossein Yaaghubi, Director General for International Affairs, Central Bank of Iran, and Mr Ebrahim Jamili, Chairman, Iran-India Business Council.

The event also featured sector-wise business to business meetings between Indian and Iranian businessmen.

SWEDENIndia-Sweden Business Leaders’ RoundtableCII, together with the Sweden-India Business Council, and the Department of Industrial Policy and Promotion (DIPP), Ministry of Commerce and Industry, India, co-hosted the first meeting of the India-Sweden Business Leaders’ Roundtable on 9 November in New Delhi.

This was the first official and full meeting of the Roundtable after it was announced through the Joint Statement of the Prime Ministers of India and Sweden, during the ‘Make in India’ Week in February this year.

Mr Mikael Damberg, Minister for Enterprise and Innovation, Sweden, led a strong delegation of CEOs and senior executives of some of Sweden’s largest

companies to the meeting, which was co-chaired by Mr Marcus Wallenberg, Chairman, SEB, and Mr Baba Kalyani, CMD, Bharat Forge Ltd.

Mr Ramesh Abhishek, Secretary, DIPP, appreciating the excellent bilateral ties between India and Sweden, and the constructive cooperation in multilateral fora, shared some examples of the reforms being undertaken to make India more business and investor-friendly.

Mr Mikael Damberg called for forging closer links through cultural exchanges, and through investment.

Mr Chandrajit Banerjee, Director General, CII, urged both sides to come up with specific partnership proposals, and also raise any issues of concern in doing business in each other’s countries.

The meeting focused on four themes: Smart Cities, Skill India, Make in India in Defence and Security, and Digitization. In each, clear synergies were discussed between the two countries and their businesses.

UNITED ARAB EMIRATES

GMIS Roadshow The maiden edition of the Global Manufacturing & Industrialization Summit (GMIS), an initiative of the UAE Ministry of Economy, and the United Nations Industrial Development Organization (UNIDO) in collaboration with the Global Agenda Council on the Future of Manufacturing of the World Economic Forum (WEF), and CII, is being organized in Abu Dhabi on 27-30 March, 2017.

CII organized the India Roadshow of the GMIS in New Delhi on 22 November.

The event featured the signing of a MoU between CII and the GMIS, providing a framework for joint collaboration to bolster business developments and

Chandrajit Banerjee, Director General, CII; Marcus Wallenberg, Chairman, SEB; Mikael Damberg, Minister of Enterprise and

innovation, Sweden; Ramesh Abhishek, Secretary, Department of Industrial Policy and Promotion, Ministry of Commerce and Industry,

India, and Baba Kalyani, CMD, Bharat Forge Ltd

Dr Naushad Forbes; Rita Teaotia, Commerce Secretary of India; and Feridoone Haghbeen, Director General for Economic Cooperation, Ministry of Foreign Affairs, Iran


met Mr Dr Vu Tien Loc, President, Vietnam Chamber of Commerce & Industry (VCCI).

The delegation was briefed by KPMG on ‘How to Invest in Vietnam, Government Initiatives and Market Entry.’

Coinciding with the visit, CII, jointly with the VCCI, organized a Vietnam-India Business Forum on 2 November in Hanoi.

“Along with being a preferred region for manufacturing, Vietnam can act as a gateway for Indian companies into the wider ASEAN market. As the Trans Pacific Partnership comes into play, a base in Vietnam can prove immensely beneficial for Indian companies,” said Dr Naushad Forbes, addressing the Forum.

Indian industry feels that the prospects for bilateral trade and investment between India and Vietnam are very bright, said Mr Chandrajit Banerjee, Director General, CII. Several Indian enterprises, with encouragement from both governments, have been making considerable efforts to boost trade and investment with Vietnam, he added.

A Business Session on ‘Potential Opportunities for Promoting Indo-Vietnam Trade & Investment,’ provided insights on partnerships in transportation, infrastructure and renewable energy.

India today is among the top 10 trading partners of Vietnam. Even so, Indian industry sees far greater potential for trade and collaboration, said Mr Sanjay Kirloskar, CMD, Kirloskar Brothers. We expect trade to rise with the ASEAN-India Free Trade Agreement in Services and Investment coming into effect, he added.

Around 100 Vietnamese business delegates, media and government officials attended the forum, which also featured one-to-one business networking sessions.


opportunities between India and the UAE. The MoU was signed by Mr Chandrajit Banerjee, Director General, CII, and Mr Badr Al Olama, CEO, Strata Manufacturing PJSC.

Mr Abdullah Al Saleh, Undersecretary, Foreign Trade & Industry, Ministry of Economy, UAE, and Mr Ramesh Abhishek, Secretary, DIPP, among many others, addressed the roadshow.

VIETNAM

Delegation to Vietnam Dr Naushad Forbes, President, CII, and Co-Chairman, Forbes Marshall, led a high profile CEOs delegation to Hanoi, Vietnam, from 2-3 November, to enhance economic engagement between the two countries.

The visit included call-on meetings with Mr Vuong Dinh Hue, Deputy Prime Minister of Vietnam, Mr Hoang Quoc Vuong, Deputy Minister of Trade & Industry, and Mr Do Nhat Hoang, Director General, Ministry of Planning and Investment, Vietnam. The delegation also

Dr Naushad Forbes presenting a memento to Vuong Dinh Hue,

Deputy Prime Minister of Vietnam, as Chandrajit Banerjee looks on

Badr Al Olama, CEO, Strata Manufacturing PJSC, and Chandrajit Banerjee, signing the MoU, as Ahmed Al Falahi, UAE Commercial Attaché to India; Karim Al Alami, Logistics and Operations, GMIS; Dr Ahmed A R AlBanna,

Ambassador of UAE to India; Abdullah Al Saleh, Undersecretary, Foreign Trade & Industry, Ministry of Economy, UAE, and

Ramesh Abhishek, Secretary, DIPP, look on

P Harish, Ambassador of India to Vietnam; Dr Naushad Forbes; Hoang Quang Phong, Vice-President, Vietnam Chamber of Commerce & Industry; Do Duc Huy, Deputy Director General, Ministry of Industry & Trade, Vietnam, and Nguyen Noi, Deputy Director General, Ministry of Planning and

Investment, Vietnam, at the Vietnam – India Business Forum in Hanoi


Regional Review

EASTERN REGIONEMake in Odisha ConclaveThe Make in Odisha Conclave 2016, held from 30 November-2 December in Bhubaneswar, drew investment intents worth ` 203,270 lakh crores in 10 sectors, announced Mr Naveen Patnaik, Chief Minister of Odisha, at the close of the event, This would create about 140,000 new jobs in the next few years in the State, he said.

The investment intents were shown in sectors such as fertilizers, petro chemicals, food processing, health, infrastructure, IT and ESDM, metal and minerals, manufacturing, textiles and tourism. Notably, only a few days before the three-day Make in Odisha Conclave, which included a grand exhibition featuring 98 companies, the State Government announced policies for eight sectors: MSME, renewable energy, handlooms, apparel, biotechnology, tourism, food processing, and pharmaceuticals.

CII partnered the mega event organized by the Government of Odisha in collaboration with the Department of Industrial Policy & Promotion (DIPP), to position Odisha as the manufacturing hub of the East.

CII organized seminars on each of the sectors for which the new policies were announced.

Appreciation for the Odisha Government's work in the

industry space, as well as pledges of support, came from three Union Ministers, Mr Arun Jaitley, Minister of Finance, and of Corporate Affairs, Mr Piyush Goyal, Minister of State (Independent Charge) of Power, New & Renewable

Energy, Coal, and Mines, and Mr Dharmendra Pradhan, Minister of State (Independent Charge) of Petroleum and Natural Gas.

Industr y leaders, including Mr Gautam Adani, Chairman, Adani Group; Mr Sajjan Jindal, Chairman, MD, JSW Group; Mr Shashi Ruia, Chairman, Essar Group; Mr Anil Agarwal, Chairman, Vedanta Group; Mr Sanjiv Puri, Chief Operating Officer, ITC Ltd; Mr T V Narendran, Chairman, CII Eastern Region, and MD, Tata Steel Ltd; Mr T Krishna Kumar, CEO; Hindustan Coca-Cola; Mr Satish Pai, MD, Hindalco

Industries; and Ms Arundhati Bhattacharyya, Chairperson, SBI, were also present.

“Odisha has achieved considerable success by leveraging its rich mineral resources. Decades ago, Odisha would not elicit serious attention, but now, no investor can afford to give Odisha a miss,” said Dr Naushad Forbes.

“The policies announced for the eight sectors indicate the proactive approach of the Odisha Government,” said Mr Chandrajit Banerjee, Director General, CII.

Business Mission Delegation to BangladeshCII Eastern Region organized a 15-member Business Mission to Dhaka from 9-10 November, led by Mr Arun Misra, VP, (Project Gopalpur), Tata

Leaders from Government and Industry at the Plenary Session of the Make in Odisha Conclave in Bhubaneswar

Naveen Patnaik, Chief Minister of Odisha, greeting Dr Naushad Forbes, President, CII & Co-Chairman, Forbes Marshall at the Make in Odisha Conclave in

Bhubaneswar


REGIONAL REVIEW

Steel Ltd, and MD, Tata Steel SEZ Ltd.

The visit began with a briefing meeting with Dr Adarsh Swaika, Deputy High Commissioner of India, Dhaka.

The CII delegation had seperate meetings with Mr Nasrul Hamid, Minister for Power, Energy and Mineral Resources, and Mr Amir Hossain Amu, Minister for Industries, Bangladesh.

An interaction with senior Health Ministry officials, highlighted opportunities for partnerships in skill development of nurses and paramedical staff.

During a session with members of the Federation of Bangladesh Chamber of Commerce and Industry (FBCCI), Mr Abdul Matlub Ahmad, President, FBCCI, suggested that Indian businesses could partner with Bangladeshi counterparts to cater to both domestic and export markets. Areas that could attract Indian investors are power, skill development, electronic goods, medical equipment and packaging equipment, he said.

In another interaction, Mr Fazle Kabir, Governor, Bangladesh Bank, informed the visitors that foreign investors can invest 100% in any sector (except for certain restrictions), and repatriate 75% of funds invested, after paying local taxes. Around 100 SEZs are being built, he added.

At a dinner meeting with Mr Tashken Ahmed, President, India Bangladesh Chamber of Commerce and Industry, several delegation members shared their experiences of doing business in Bangladesh.

On 10 November, the CII delegation met with Mr Kazi M Aminul Islam, Executive Chairman, Bangladesh Investment Development Authority (BIDA) and Bangladesh Economic Zone Authority. He informed the CII team that the Prime Minister, who heads BIDA, had asked them to redesign the investment incentive package to attract investments from India. BIDA will work towards creating last-mile connectivity for investors, he said.

The Mission ended with a visit to the Power Bangladesh exhibition.

Interaction with Chief Minister of Jharkhand Coinciding with the Eastern Regional Council Meeting, CII organized an interactive session with Mr Raghubar Das, Chief Minister of Jharkhand, in Jamshedpur on 19 November. Mr Raghubar Das said his Government would extend all support to industry for the overall growth and development of the State.

Mr Sunil Kumar Barnwal, Secretary, Industries, Mines, Geology & IT, Jharkhand, said the State Government is taking necessary steps to create an industry-friendly environment.

Climate Conclave 2016

The Climate Conclave in Kolkata on 5 November discussed green management opportunities, climate finance, vulnerability assessment, adaptive capacity and integrated planning.

Mr Sovan Chatterjee, Mayor of Kolkata, and Minister for Fire & Emergency Services, Housing and Environment, West Bengal, shared the measures being taken to make the city free garbage, pollution and arsenic.

A report, ‘Climate: Our Commitment to the Future Generations,’ prepared by CII in association with the Indian Institute of Social Welfare and Business Management, was unveiled at the Conclave.

AB Lall, Chairman, CII Jharkhand, and Plant Head, Tata Motors Ltd; Umesh Chowdhary, Deputy Chairman, CII (ER), and Vice Chairman & MD, Titagarh Wagons Ltd; and Raghubar Das, Chief Minister of

Jharkhand, at an interaction in Jamshedpur

Climate Conclave in Kolkata

CII Eastern Region Business Delegation at a meeting with Kazi M Aminul Islam, Executive Chairman, BIDA, in Dhaka


REGIONAL REVIEW

NORTH EAST REGIONNETripura Pineapple Meet

CII Tripura teamed up with the Department of Horticulture and Soil Conservation, Tripura, to organize the 2nd Tripura Pineapple Meet in Agartala on 22 November. The event, supported by APEDA, NABARD and the National Horticulture Board, was attended by about 100 delegates, including officials from the State agriculture and horticulture departments, entrepreneurs from Gurgaon and Kolkata, and also local farmers.

Though Tripura is home to some of the finest varieties of pineapple, the food processing sector has yet to take off in the State because warehousing facilities, cold storages and other logistics facilities are virtually non-existent here, said Mr M Nagaraju, Principal Secretary, Industries and Commerce, and Finance, Tripura, who was the Chief Guest. Urging farmers to form small co-operative societies and start processing pineapples, he underscored the need to brand ‘Tripura Pineapple’ outside the State.

Mr Avinash Sikaria of the Sikaria Group, Kolkata, promoters of the Mega Food Park in Tripura, expressed interest in procuring pineapples from local growers. Mr Sundeep Kumar, Executive Director of the Gurgaon-based Dalmia Bharat Cement, said the group plans to set up a pineapple processing unit in the North East.

At the CII Tripura Pineapple Meet in Agartala

SOUTHERN REGIONS

India Finance Forum 2016Stability in an economy is determined by three main factors: inflation, fiscal deficit and the balance of payments position, said Dr C Rangarajan, Former Chairman, Prime Minister’s Economic Advisory Council, and Chairman, Madras School of Economics, in his keynote address at the India Finance Forum 2016, held in Chennai on 10 November.

Only growth at the pace of 8-9% per annum can give the country the status of a middle income nation after a few decades, he said.

Dr N Kamakodi, Chairman, The India Finance Forum, and MD & CEO, City Union Bank Ltd, in his theme address, said the banking industry is undergoing major shifts in the way it transacts business, with mobile and digital banking going to be the future. With the Government’s ambitious Jan Dhan Yojana for financial inclusion, the banks are doing their best in expanding their reach through technology, he said.

Tamil Nadu Manufacturing Summit By embracing digital technologies, the manufacturing sector can catapult Tamil Nadu into becoming the

At the India Finance Forum, in Chennai

‘Make in India – Karnataka’Kamal Bali, Vice Chairman, CII Karnataka, and MD, Volvo India Pvt Ltd; D V Prasad, Additional Chief Secretary, Industries & Commerce, Karnataka; Atul Chaturvedi, Joint Secretary, DIPP; Amitabh Kant, CEO, NITI Aayog; R V Deshpande, Minister of Large & Medium Industry and Infrastructure, Karnataka; Chandrajit Banerjee, Director General, CII, and Ravi Raghavan, Chairman, CII Karnataka, and MD, Bharat Fritz Werner Ltd, at the Launch Meet of ‘Make in India – Karnataka’ in New Delhi


most business-friendly, and advanced manufacturing State in the country, said Mr Vikram Kapur, Principal Secretary – Industries, Tamil Nadu, inaugurating the 8th edition of the Tamil Nadu Manufacturing Summit with the theme, ‘Leveraging Digital Manufacturing,’ in Chennai on 15 November. Digital manufacturing brings efficiencies, reduces cost, improves bottom line, and provides greater customer delight, he said. We need to up-skill and re-skill our workforce to adopt these new age technologies, he added.

CII Auto Serve 2016 D i g i t i z a t i o n and sk i l l ing are pivotal for the growth of the automotive a f t e r m a r k e t sector, said Mr K Pandiarajan, M i n i s t e r o f S c h o o l E d u c a t i o n , S p o r t s & Youth Welfare, Tamil Nadu, inaugurating CII Auto Serve 2016, India’s largest focused exhibition for the automotive aftermarket industry, in Chennai on 18 November.

Tamil Nadu’s rich ecosystem for skill development and research, coupled with the presence of global players, has positioned the State as the leader in automotive manufacturing, he said, adding that skill clusters in Pudupet and Namakkal form the backbone for the automotive aftermarket.

Mr R Dinesh, Chairman, CII Auto Serve 2016, and Joint MD, T V Sundram Iyengar & Sons Ltd felt that the aftermarket, which offers nearly four jobs for each manufacturing job, can easily be a large employment generator.

CII Auto Serve 2016, in its 7th edition, had over 110 exhibitors from India and abroad, with an exclusive country pavilion from Japan.

At the Tamil Nadu Manufacturing Summit in Chennai

K Pandiarajan, Minister of School Education, Sports and Youth Welfare, Tamil Nadu,

at CII Auto Serve 2016 in Chennai

W WESTERN REGION15th Manufacturing Summit 2016

The 15th edition of the Manufacturing Summit, held on 29 November in Mumbai, centred on the analysis of the trends and requirements in the Indian Manufacturing sector to make a success of the Prime Minister’s ‘Make in India’ initiative.

The Summit was chaired by Mr Jamshyd N Godrej, Past President, CII, and CMD, Godrej & Boyce Mfg Co Ltd, with Mr Ajay Shankar, Chairman, Expert Committee on Regulatory Approvals, Department of Industrial Policy & Promotion, Ministry of Commerce & Industry, as the Chief Guest.

The CII-BCG report on Next Gen Manufacturing was released at the Summit. Published after an in-depth study and survey, the report assesses the current state of Indian manufacturing, looks at the country's rise as global manufacturing hub, analyses the impact of technology on global as well as Indian manufacturing, and lays down the imperatives for industry and the Government.

The main highlight of the Summit this year was the contest on Industry 4.0, and the display of technology and case study presentations of selected contestants.

Speaking at the valedictory session, Mr Arun Maira, former Member, Planning Commission of India, and former India Chairman, BCG, highlighted the importance of not just economies of scale but also economies of scope.

Make in India – Procure from GujaratCII organized a program on ‘Business Opportunities with Public Sector Undertakings (PSUs), Government and Defence’ on 18 November in Vadodara, to help local Micro, Small and Medium Enterprises (MSMEs)

REGIONAL REVIEW

Sajjan Jindal, CMD, JSW Group; Dr Pawan Goenka, MD, Mahindra & Mahindra Ltd; Sudhir Mehta, Chairman,CII (WR), and

CMD, Pinnacle Industries Ltd; Ajay Shankar, Chairman, Expert Committee on Regulatory Approvals, DIPP, and Jamshyd N Godrej,

Past President, CII, and CMD, Godrej & Boyce Mfg Co Ltd, at the Manufacturing Summit, in Mumbai


REGIONAL REVIEW

generate business with big companies.

Presentations and discussions on procurement needs, vendor registration process and pain-points were followed by over 350 well-defined and pre-scheduled one-to-one B2G and B2B meetings with project and procurement heads.

The Airports Authority of India, the Army Design Bureau, Gujarat Alkalies and Chemicals Ltd, Madhya Gujarat Vij Company Ltd; Gujarat Water Supply and Sewerage Board; Indian Oil Corporation Ltd-Gujarat Refinery, and Western Railway participated as buyers in this program.

A District Industries Center helpdesk was set up to address the queries of MSMEs.

Launch of Start-up Mentorship Circle

CII Western Region launched the Start-up Mentorship Circle, a mentoring program especially designed to provide expert advice from industry leaders, Government think-tanks and international trade bodies to young and budding entrepreneurs, start-ups, and small and medium-sized companies, on 4 November, in Mumbai. The launch of the initiative provided a platform to a wide array of Indian start-ups to showcase their product and services, talk about their innovations, and explore partnerships with industry for funding, procurement and mentoring support.

For more information please visit www.ciistartupcircle.com.

5th Financial Distribution Summit 2016The CII 5th Financial Distribution Summit, 2016 was organized on 28 November in Mumbai with the theme, ‘Distribution Disrupted – Building a Zillion Distributors.’ It focused on building a strong force of distributors in order to add a billion investors to the Indian financial markets.

The financial services landscape has witnessed a paradigm shift with the advent of technology and growing investor education. Speakers at the Summit said that product manufacturers and distributors need to adapt themselves to the fast-paced changes in the environment, build strong distributor chains, leverage successful fintech innovations, understand the regulatory impact, and learn from global counterparts and other industries, in order to enhance overall customer experience.

CII and KPMG in India unveiled a report titled ‘Distribution Disrupted’ at the Summit. The report recognizes the critical role of the distributor community in adding a billion investors to the Indian financial markets. It unravels the current market potential for financial products in India with a spotlight on the Indian financial distribution ecosystem, along with its pertinent challenges and methodologies amidst evolving technology and regulation. It recognizes that, with increased financial inclusion and high savings rates, India today has significant potential to create wealth by channelizing savings to bank deposits, insurance products and investments in mutual funds.

Doing Business with the NetherlandsMarking the India visit of an official and multi-sector business delegation of Dutch companies led by Mr Jaap Bond, Vice Governor, Province North Holland, CII Western Region, along with the Netherlands Foreign Investment Agency, organized a seminar on ‘Doing Business with the Netherlands’ on 15 November in Mumbai. The seminar focused on emerging areas with scope for cooperation for Indian businesses, and understanding the business climate of the Netherlands.

At the 5th CII Financial Distribution Summit in Mumbai Program on ‘Business Opportunities with PSUs,

Government and Defence’ in Vadodara

Launch of Start-up Mentorship Circle in Mumbai

Seminar on ‘Doing Business with the Netherlands,’ in Mumbai

comm dec 2016

Economy & Finance