INDIA NEWSLETTER
JUNE 2014
Embassy of India
Djordja Radojlovica 7a
Belgrade, 11040 (Serbia)
Tel: 011/2666-520
Fax:011/3674-209
E-mail: consbg@eunet.rs
comsecc_bg@eunet.rs
www.eoibelgrade.gov.in
INDEX:
India Economic News
Government of India Tenders
Bilateral Relations
Trade Fairs in India
Useful Links
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India Economic News:
India slashes red tape to entice
foreign investment
A new regime for foreign portfolio investors
introduced on June 1st is likely to improve
fund flows into India, according to a market
expert.
The new foreign portfolio investors (FPI)
regime, introduced by market regulator
Securities and Exchange Board of India
(SEBI) just weeks after a new government
led by Narendra Modi was sworn in, is
expected to offer a simpler registration
process for investors entering the financial
markets, and thereby attract higher
investments.
'The new regime will help attract those
investors who may have been "on the fence"
due to apprehensions of the process to enter
the market,' Kapil Seth, head of HSBC
Securities Services in India explained.
Under the new regime, foreign institutional
investors, their sub-accounts and qualified
foreign investors will come under one class
of investors called 'foreign portfolio
investors'.
The registration process of foreign investors
has also been decentralized: investors can
now register with multiple designated
depository participants who have been
authorized to issue FPI licenses.
Under the previous system, foreign investors
had to register directly only with SEBI,
which delayed the entire process, according
to Seth.
Retired Indian Army Lt General
appointed member of UN panel
A retired Indian Army Lieutenant General
has been appointed member of a UN expert
panel on peacekeeping that will advice the
world body on how to use new technologies
and innovations in that field.
Lieutenant General Mr Abhijit Guha is part
of the five-member panel of experts
appointed by Under-Secretaries- General for
Peacekeeping Operations. Guha has recently
concluded a term as Director of the Office
for Peacekeeping Strategic Partnerships in
the Department of Peacekeeping.
The panel would visit field missions and
consult widely with UN member states,
partner organisations with similar field
operations,
non-governmental
and
governmental research institutions and think
tanks as well as industry leaders in areas of
interest to United Nations peacekeeping.
The panel would start work in early June and
in its final report, expected by November,
would recommend how UN peacekeeping
can benefit from ongoing technological
innovations in a systematic and integrated
manner in the longer term.
The initiative is part of a concerted effort by
the
departments
of
Peacekeeping
Operations and Field Support to realize
efficiency gains and cost savings from the
use of new and emerging technologies and
innovations.
It would also examine how technological
innovations can improve operational
effectiveness, multiply impact and enhance
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safety and security of both peacekeepers and
host communities.
The panel members have considerable
experience
and
understanding
of
peacekeeping and in particular the need for
new technologies and innovations to
improve performance in carrying out the
critical tasks entrusted to peacekeepers, the
statement said.
India Ranks Second in Global
Textiles Exports
India has improved its ranking as per the
recent data released by ‘UN Comtrade’ in
Global Textiles as well as Apparel Exports.
In Global Textiles Exports, India now
stands at second position beating its
competitors like Italy, Germany and
Bangladesh, with China still retaining its top
position.
Mr. Virender Uppal, Chairman, AEPC,
expressed his happiness over this impressive
growth and stated that, “Despite having
slow recovery in USA and EU, our biggest
traditional markets as well as prevailing
global slowdown coupled with sustained
cost of inflationary inputs, we made the best
possible efforts to reach here. The
Government policy of diversification of
market and product base has helped us and
we ventured into the newer markets, which
paid huge dividends.”
Currently India’s textiles exports to the
world are US$ 40.2 billion. This growth is
phenomenal as the global textiles growth
rate is only 4.7% compared to India as it has
registered the growth of 23% beating China
and Bangladesh which has registered 11.4%
and 15.4%, respectively.
Total global textiles exports are estimated at
US$ 772 billion with India commanding
5.2% of the share. This growth in the
increase in share of the Textiles Exports
from India is largely attributed to the growth
in the Apparel and Clothing sector. India’s
apparel exports, was to the tune of US$ 15.7
billion in 2013, as against US$ 12.9 billion in
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2012. India’s Apparel Exports growth was
highest registering 21.8% growth during the
year 2013. Apparel exports from India
accounts for 3.7% of share in the global
readymade garment exports.
Increasing labor cost in China, noncompliance of large number of factories in
Bangladesh provide India a big opportunity
in view of its relative advantage, risk appetite
of Indian entrepreneurs and a small push
from the Government may help India to get
more business as overseas buyers are
looking at India as safe and reliable option
for the sourcing.
Marine product exports zoom to
record $5 billion
At a news conference Mrs Leena Nair,
chairperson of the Marine Products Export
Development Authority (MPEDA), said the
total export earnings were US$5 billion ( Rs.
30,213 crore.) In rupee terms, the growth
was a whopping 60 % over the previous
year, though in dollar terms this was 42.60
%. In the previous year, the earnings were
$3,512 million.
In quantity terms, 983,756 tonnes were
exported, an increase of around 6%. Fish
items were the largest chunk in terms of
quantity, though when it came to value,
frozen shrimp was the biggest money earner.
More than 300,000 tonnes of shrimp were
exported, of which 73 % was cultured.
There was also a 35 % increase in unit value
– black tiger shrimp secured the highest
value.
Among regions, South-East Asia continued
to be the largest buyer of Indian marine
products with a share of 26.38 %, followed
by the US with a share of 25.68 %, the EU is
the third with 20.24 % share, followed by
Japan at 8.21 %, other countries 8.20 %,
China 5.85 % and West Asia 5.45 %.
One reason for the higher exports is
increased production of L. Vannamei
shrimp, whose exports to the US market
jumped to 59.63 %. Export of frozen
shrimp rose by 7.38 % in quantity terms and
28.23 % in dollar terms.
Mrs Nair said that Thailand and other
prawn-producing countries had lower
exports because of a disease that had
afflicted their aquaculture. On the other
hand, depreciation of the rupee against the
dollar and increased production of
Vannamei in Andhra Pradesh and other
States helped in higher earnings from
prawns. The quality of Indian prawns and
other marine products had improved
remarkably – contributing significantly to
the rise in unit price. Participation in major
global seafood fairs also had helped.
AirAsia takes off
As its brand new A320 took off from
Kempegowda International Airport in
Bangalore and headed to Goa, AirAsia India
became the country’s latest domestic airline.
With its maiden flight, AirAsia India became
the country’s fourth low-cost carrier, after
IndiGo, SpiceJet and GoAir.
CEO Mittu Chandilya told newspersons that
Bangalore would be the airline’s operational
hub while Chennai will remain the corporate
and maintenance base. AirAsia will operate
its next flight from Bangalore to Chennai.
Two more new A320s will join the fleet in a
month or two. The budget carrier plans to
add an aircraft a month to its fleet over the
next 10 months.
It will add nine new destinations in the next
few months, mostly in the south, including
Mangalore, Hubli and Jaipur, where A320s
can land. During the next three years, the
airline plans to expand the network to 30
cities.
“Our focus will be on tier-2 cities and we are
not keen on ‘trunk’ routes (to Mumbai,
Delhi or Kolkata),” Chandilya said.
He said the airline sold all 180 seats within
minutes of opening bookings on May 30. As
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a promotional offer, the airline sold 40% of
the tickets at USD 17.- , 10% USD 1.- per
ticket and the balance for up USD 32.- a
ticket.
The Indian venture of the Malaysian airline
has an initial investment of $15-million from
Air Asia Berhad (49 %); Tata Sons (30 %);
and Telstra Tradeplace (21 %); it will go up
to $20 million, the CEO said.
On recovering the investment, he said: “We
will break even in four months… Our fares
will be 35 % lower than the market rate. At
this rate, we believe we can sustain and be
profitable.”
Biocon expands
Bristol-Myers
tie-up
with
Bristol-Myers Squibb, the NYSE listed
global pharma major and Syngene
International,
the
contract
research
subsidiary of India's largest publicly held
biotechnology company - Biocon, have
announced a five-year extension of their
drug
discovery
and
development
collaboration in India. The financial terms
were not disclosed.
Since 2007, Bristol-Myers Squibb has been
working with Syngene and its corporate
parent, Biocon, to develop integrated
capabilities in medicinal and process
chemistry,
biology,
biotechnology,
biomarkers,
drug
metabolism
and
pharmacokinetics, analytical research, and
pharmaceutical development at the Biocon
Bristol-Myers Squibb Research Center
(BBRC) in Bangalore.
The U.S.-India collaboration has produced
six drug candidates for further study.
Bristol-Myers Squibb is in pursuit of
developing new and innovative medicines
for the future.
Francis Cuss, Executive Vice President and
Chief Scientific Officer, Bristol-Myers
Squibb, said: "I am excited about the
opportunity to continue our collaboration
with Biocon and Syngene. The BBRC has
supported the nonclinical development of a
large proportion of our small-molecule
portfolio assets since its inception, and is a
premier example of the high-quality
innovative drug hunting that is taking place
in India today."
supplied to MSIL during the immediately
following financial year.
Bristol-Myers Squibb and Syngene jointly
developed the BBRC at Biocon Park in
Bangalore. Over the years, BBRC has
become Bristol-Myers Squibb's largest
research and development center outside the
United States, housing more than 400
scientists.
This arrangement had met stiff resistance
from mutual fund managers and insurance
houses holding stake in the company. They
contented the deal was “value erosive” for
Maruti Suzuki and unnecessary. The new
plant will eventually have a capacity of 1.5
million units annually, the same as the total
capacity of its existing plants at Manesar and
Gurgaon in Haryana.
Suzuki to invest USD 3.1 billion
in new unit in Gujarat
Suzuki Motor Corporation (SMC) of Japan,
parent company of Maruti Suzuki, India’s
largest car maker, will spend USD 3.1 billion
in setting up a new factory in Gujarat.
SMC said it would set up a 100 % subsidiary,
Suzuki Motor Gujarat (SMG), to make cars
on a strictly no-loss, no-profit basis for
Maruti Suzuki (MSIL). SMC intends to fund
this expansion with own equity and
accumulated depreciation.
The skill and capacity to manufacture cars is
by no means enough to differentiate
between car companies. Market research,
product design and development, sales and
service, spare parts distribution the brand
building are perhaps even more important.
The additional funds available with MSIL
will be used to strengthen its marketing and
sales
infrastructure,
research
and
development,
and
foreign
market
penetration.
SMC put on record that Suzuki Motor
Gujarat would not generate any profits or
losses at the end of a financial year. If this
manufacturing company does generate profit
or any interest thereon, it will be utilised in
reducing the prices of the products to be
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Similarly, if there is loss at SMG, it will be
compensated by an increase in sale price to
MSIL during the immediately following
financial year.
The Japanese company stands to benefit
from generation of additional profits at
MSIL from the incremental sales achieved
by sale of products manufactured by SMG.
Government of India Tenders:

The Government of India Tender
Information System
http://tenders.gov.in/

Ministry of Home Affairs
http://mha.nic.in/uniquepage.asp?Id_P
k=298
Bilateral Relations :
Cash assistance from Government
of India for flood relief: Ambassador
called on H.E. Mr. Tomislav Nikolic,
President of the Republic of Serbia on 02
Jun, during which India was invited to
participate in the donor conference for Sebia
and BiH to be held in Brussels on 16 July
2014. Ambassador informed the President
about India's immediate financial relief
assistance of USD 100,000 to Serbia and
discussed reconstruction efforts in the
immdidiate and longterm.
During the month, Ambassador discussed
issues relating to post flood damage &
reconstruction, in her meetings with various
officials including Ms. Irena VojackovaSollorano, UN Resident Coordinator, H.E.
Mr. Sinisa Mali, Mayor of Belgrade, Mr.
Ivica Kojic, Chief of Staff of the Prime
Minister, H.E. Mr. Lazar Krstic, Minister of
Finance, H.E. Ms. Kori Udovicki, Deputy
Prime Minister and Minister of Public
Administration and Local Self Government,
Mr. Nemanja Stevanovic, Advisor to the
Prime Minister and at the meeting on
assistance and rehabilitation of flooded
areas, organised by the Serbian Ministry of
Health.
The Government of India extended financial
assistance of US Dollars One Lakh Only
(US$ 100,000/-) as immediate relief to the
people of Serbia from the disastrous effects
of the recent catastrophic floods. On behalf
of the Government of India, the Embassy of
India rendered the amount to the official
bank account of the Government of the
Republic of Serbia in response to its request
for assistance. In a press release, Embassy of
India conveyed that Government of India is
deeply saddened at the tragic loss of lives
and damage to property due to the
extraordinary floods in Serbia, with which
India enjoys historical and friendly relations.
The Government of India extended its
heartfelt sympathies to the Government of
the Republic of Serbia and the people,
particularly the bereaved and displaced
families.
International Buddhist Conclave:
The Embassy of India in coordination with
the India Tourism Office Frankfurt, is
organising participation of prominent
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personalities from Serbia in the International
Buddhist Conclave from 26-28 September,
2014. The International Buddhist Conclave
will
be
organized
in
Bihar
(Bodhgaya/Rajgir), India as an important
tourism promotion and marketing event in
which international tour operators, opinion
makers and media personalities will
participate with the aim of promoting
tourism to the Buddhist sites in the
country. The
Conclave
will
include
presentations by the State Governments,
panel discussions and technical visit to
Buddhist sites..
Indian cultural events in Serbia:
Embassy of India, Belgrade, in collaboration
with Indian Council for Cultural Relations
(ICCR), New Delhi, is planning to organise
the following Cultural events in Serbia in
coming months to further enhance and
deepen the cultural contacts between India
and Serbia:
i) String Puppet show from Rajasthan, India
by Mr. Vinod Bhatt & Party at the 21st
International Festival of Children's Theatres
and in Belgrade from 22-29 Sep;
ii) Performances by a 08 member Fusion
Band group titled: 'East India Company' led
by Shri Angaraag Papon Mahanta from 0206 November 2014;
iii) Hosting the Exhibition 'Digital Prints of
Artwork by Tagore';
iv) Hosting the Exhibition 'Temples, Forts
& Palaces : 2000 years of Indian
Architecture' by Dr. Saryu Doshi;
v) Saree Exhibition in Belgrade and other
cities of Serbia;
vi) Performances by a 10 member Kathak
Dance Group at the Belgrade Dance Festival
and in other cities in Serbia in April 2015;
Ayush Scholarship for Serbian
nationals: Indian Council for Cultural
Relations (ICCR), Government of India, has
invited applications from Serbian nationals
for
pursuing
under-graduate/post
graduate/Ph.D courses in Ayurveda, Unani,
Siddha & Homeopathy & Yoga. A total
number of 20 seats are on offer including 5
seats on Yoga. The available seats are not
being divided among countries and
applications will be processed on ‘first come
first served basis’. The last date for receipt of
the applications in the ICCR, India is 20th
July 2014. All interested applicants are
advised to send their duly filled in
application forms to the Embassy of India
for onward transmission to ICCR, India.
Detailed information is available at ICCR
website
at:
www.iccrindia.net/scholarshipscheme.html
[also linked at the Embassy of India’s
website: www.eoibelgrade.gov.in].
Indian speaker in Belgrade Design
Week 2014: In coordination with Embassy
of India, Belgrade the organisers of Belgrade
Design Week 2014 have proposed to invite
an Indian speaker to participate in the event
during October 2014.
Belgrade International Book Fair:
Embassy of India will be participating in the
59th International Belgrade Book Fair,
which will take place from 26 Oct - 02 Nov
2014 at Belgrade Fair.
“Incredible India” Bus Branding
Campaign in Belgrade, Serbia.
The Embassy of India in cooperation with
the Government of India Tourism Office,
Frankfurt “Incredible India” initiated a
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Brand India marketing campaign by exterior
branding of two Belgrade city transport
busses (line 16 & 83). The campaign was
started in February 2014 and the two
branded busses will continue to circle the
Belgrade streets until August 2014, allowing
citizens of Belgrade and commuters to enjoy
the beautiful sights of Indian nature, people
and culture.
Visit of Indian Scientists to Serbia:
A team of eminent Indian scientists will visit
Serbia in August 2014 to scope out areas of
cooperation and set up Joint Centres of
Excellence and create joint ventures for
industrial application of research. The
scientists in the sectors of Bio-medicine
(including Pharma and Biotechnology), New
Materials and Nanotechnology, Ecology,
Energy and Energy Efficiency, Agriculture
and Food and ICT are expected to be
included in the visiting team.
Indian Technical & Economic
Cooperation Programme (ITEC):
ITEC is fast becoming one of the most
active areas of bilateral cooperation between
India and Serbia. ITEC was introduced in
Serbia in 2008 and in this short span, over
100 candidates from Serbia have availed of
the ITEC training in India. Under the ITEC
Programme all expenditure, including the
international air passages, boarding and
lodging, internal transport, etc in India, of
the candidates selected are borne by the
Ministry of External Affairs, Government of
India. Persons between 25 to 45 years,
working in Government, Public and Private
Sectors,
Universities,
Chambers
of
Commerce and Industry, etc. can apply for
various training courses in India under ITEC
Programme 2014-15, which have been
circulated through the Ministry of Foreign
Affairs Government of Serbia. For more
details, may please see Embassy's website.
more information on forthcoming events is
available at the Embassy website
http://eoibelgrade.gov.in
Trade Fairs in India
o India International
Printing & Packaging Fair
http://www.iippf.com
23-26th of August, 2014
Pragati Maidan, New Delhi, India
o Minerals Metals Metallurgy and
Materials www.mmmm-expo.com
04-07TH of September 2014,
New Delhi, India
o India International Yarn Exhibition
www.yarnex.in
9-11 September 2014
Tirupur, India
o World Tea & Coffee Expo
www.worldteacoffeeexpo.com
11-13th of September 2014
Mumbai, India
o Annapoorna World of Food
www.worldoffoodindia.com
24-26th September 2014
Mumbai India
o India International Security Expo
www.indiasecurityexpo.com
25-28th September 2014
New Delhi , India
o Beautika World 2014
http://beautikaworld.com
25-27th September 2014
Mumbai India
o The Economic Times AceTech
www.etacetech.com
06-09th of November 2014
Mumbai, India
o India International Trade Fair
www.iitf.in
14-27th of November 2014
New Delhi, India
o CPhI India
http://www.cphi.com/india/home
02-04th of December 2014
Mumbai, India
o Fine Food India
www.finefoodindiaexpo.com
03-05th December 2014
of New Delhi, India
o Plastivision India
www.plastivision.org
12-16th of December 2014
Mumbai, India
o India Engineering Sourcing Show
(IESS) http://www.iesshow.in/
16-18th December
Mumbai , India
o Indian Ceramics
www.indian-ceramics.com
21-23 of January 2015,
Ahmedabad, India
o New Delhi World Book Fair
www.newdelhiworldbookfair.gov.in
14-22nd of February 2015
New Delhi, India
o Auto Ancillary Show
http://autoancillaryshow.com
10-13th of October, 2014
PCMC, Pune (INDIA)
o India International Jewelry Show
www.iijs-signature.org
20-23rd of February 2015,
Mumbai, India
o Indian Pharma Expo
www.indianpharmaexpo.com
11-12th October 2014
New Delhi , India
o International Agriculture & Horti
Expo www.hortiexpo.com
20-22,Feb 2015,
Chandigarh India
o Indian Handicrafts & Gifts Fair
http://epch.in
14-18th October 2014
Delhi NCR, India
o Defexpo India
http://defexpoindia.in
February 2015
New Delhi, India
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o Kosmetika 2015
The Beauty and Wellness Show
http://kosmeticashow.com
Pragati Maidan, New Delhi, India
o Auto Expo India
www.autoexpo.in
February 2015,
New Delhi, India
o Panacea Natural Products Expo
www.naturalproductsexpoindia.com
February 2015, Mumbai, India
o India International Handwoven Fair
www.iihfchennai.com
11-13th of March 2015
Chennai, India
o Aahar International Food Fair
www.aaharinternationalfair.com
March 2015
New Delhi, India
More information available at:
Useful Links

The National Portal of India
http://india.gov.in

The Ministry of External Affairs,
Government of India
http://mea.gov.in/

India Public Diplomacy
www.indiandiplomacy.in

Invest India
www.investindia.gov.in

India In Business
http://indiainbusiness.nic.in

Incredible India
www.incredibleindia.org

India Brand Equity Foundation
www.ibef.org

India Trade Promotion
Organisation
www.indiatradefair.com

EXIM Bank
http://eximbankindia.com

The Confederation of Indian
Industry
www.cii.in

Federation of Indian Chambers of
Commerce & Industry
www.ficci.com

Associated Chambers of
Commerce & Industry of India
www.assocham.org

The Federation of Indian Export
Organizations www.fieo.org

PHD Chamber of Commerce and
Industry www.phdcci.in
www.indiatradefair.com
www.cii.in/CII_Events.aspx
www.ficci.com/ficci-exhibitions.asp
www.assocham.org/events/index.php
www.fieo.org/view_detail.php?lang=0&i
d=0,22&evetype=0
http://10times.com/india/tradeshows
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