Indo German Economic Cooperation Rajesh Nath Managing Director VDMA India Slide 1 India is more than nine times bigger than Germany Cities / Villages: 3.800 cities, 36 cities with more than 1 Mio. citizens; More than 500.000 villages India 3.3 Mio. sq.km = 100% Austria Benelux Finland France Germany Ireland Italy Portugal Spain Euroland 2.4 Mio. sq.km = 73% North-South : over 3200 Km East-West : over 2800 Km 84 75 338 544 357 70 301 92 505 Slide 2 Destination of German mechanical engineering exports with the absolutely highest increase in mill. Euro / in percent / ranking* China 23,2 1 USA 21,4 2 Russian Fed. 32,9 4 France 15,4 3 Turkey 28,4 12 17,6 11 22,3 16 18,3 13 10,5 6 10,6 7 12,2 10 India Brazil Czech Republic United Kingdom Austria Poland 0 500 1.000 1.500 2.000 2.500 3.000 3.500 4.000 January -December 2011/2010 * Ranking of destination countries Source: Federal Statistical Office Germany, VDMA Slide 3 Development of German Mechanical Engineering Exports to India, 1985 - 2011 in bn. Euro 4,0 bn. € 3,5 3,0 2,5 2,0 1,5 1,0 0,5 0,0 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 Source: VDMA Slide 4 Development of German Mechanical Engineering Imports from India 1985 - 2011 in mio. Euro 400 Mio.€ 350 300 250 200 , 150 100 50 0 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 Source: VDMA Slide 5 German Mechanical Engineering Export to Asia 2011 share in % others 15,8 Hongkong 1,9 Iran 2,4 VA-Emirates 2,7 China 45,7 Singapore 3,3 Saudi-Arabia 3,6 Taiwan 4,0 ogether:41,2 Japan 4,5 Korea 7,2 India 8,9 altogether: 41.2 bn. Euro Source: Federal Statistical Office Germany , VDMA Slide6 Indo - German Trade - a success story Mechanical Engineering Imports of India, 2010 share in % 20,2 19,9 China 16,2 17,3 Germany 11,4 Japan 8,3 9,2 USA 11,8 7,3 7,2 Italiy 6,7 Korea 4,4 0 5 10 15 2010: 12,2 bn. 20 € 2009: 13,3 bn. 25 € Source: Federal Statsitical Office Germany, VDMA Slide7 Headquarters of German companies in India (total: 800) Rajasthan (6) Madhya Prad. (5), Kerala (5); 1% 2% Punjab (3), Goa (2), Andra Pradesh 3% (27) Chandigarh (1); 1% (5) Haryana 2% (17) West Bengal6% (45) Maharashtra 36% (280) Gujarat 6% (48) Uttar Pradesh 7% (53) Karnataka 10% (78) Delhi 13% (101) Tamil Nadu 13% (105) Source: M+V Slide 8 Export of German Machinery to India In 2011, the bilateral trade between India and Germany reached Euro 18.4 billion The machinery export was approx Euro 3.69 billion. This was an increase of about 18% in comparison to 2010 In 2011 among the machinery sectors, major demand of German equipment was for the following 5 sectors: Power Transmission (10.5%), Material Handling (7.6%), Textile Machinery (7.5%), Machine Tools (7.2%) and Construction Equipment & Building Material Machinery (5.4%) Further machinery demand in sectors like Plastics, Paper & Printing, Food Processing and Packaging are growing steadily Slide 9 World Trade Shares in Export Germany is the export world champion having 16.8 % share Japan:12.1% share United States of America:12% share China: 9.7% share Italy: 7.9% share Slide 10 VDMA - The German Engineering Federation Largest Industry Association in Europe More than 3.200 members which stand for (all figures: 2011) 920.000 Employees 201 billion Euros production 70% export rate roughly 39 special sectors Representative offices in Berlin, Brussels, Tokio, Beijing, Kolkata and Moscow May 2012 Slide 11 Activities and Services of the VDMA India Services Pvt. Ltd. Acts as a “bridge-head” between the German and Indian industry. Organizing symposia and presentations of German technology. Participating in and servicing bilateral programs with governmental participation between Germany and India. Assisting Indian companies to identify right partners in Germany Providing information on market trends, prospects, future development, new projects and tenders. Facilitating Tie-Ups / Joint Ventures / Collaborations May 2012 Slide 12 VDMA Quarterly Newsletter VDMA publishes Quarterly Newsletter – German Machinery Industry Around 8000 copies of this Newsletter is circulated to MDs/ CEOs /Head of divisions of Indian industries in various engineering sectors. It reaches to VDMA Member companies (500), Indo German Companies, German Embassy & Consulates, Ministry & official bodies and various Industrial Associations in India It is related to different sectors like Steel & Metallurgy, Mechanical Power Transmission, Valves, Energy, Machine Tools, Textile, Construction Equipment & Infrastructure industry, Fluid Power, Process & Chemical industry, Plastic & plastic processing industry, Food processing & Packaging to name a few. May 2012 Slide 13 VDMA in India VDMA Office in Kolkata, Delhi & Mumbai promotes the IndoGerman trade in mechanical engineering machinery. Mr. Rajesh Nath, Managing Director German Engineering Federation GC-34, Sector III, Salt Lake City, Kolkata-700106, India Tel. 0091-33-3219522 Fax 0091-33-3217073 E-Mail: vdmaindia@eth.net Mr. Sumit Sharma, Regional Manager Noida Phone 0120-4255029 E-Mail: sh.sumit@yahoo.com Ms. Jamly John, Regional Manager Mumbai Phone 09819045109 E-Mail: jamly.vdma@gmail.com May 2012 Slide 14 Thank you for your Attention & Shuvo Durga Puja Seite 15 • 29th June 2012