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‘SEARCH’, India’s leading B2B magazine on general engineering and manufacturing, is aimed to equip its readers with latest business trends, news, views and insights. A ready-reckoner for all techno-commercial information, it is a sumptuous source of business trends and growth opportunities. Encompassing all the segments of manufacturing along with sourcing solutions, this monthly presentation is a unique platform for SMEs as well. With multitude of dedicated readers patronising this flagship magazine, launched in 1998, SEARCH has retained the leadership position in its domain

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Page 1: Search - Investment Destination - Delhi-NCR - September 2012
Page 2: Search - Investment Destination - Delhi-NCR - September 2012
Page 3: Search - Investment Destination - Delhi-NCR - September 2012
Page 4: Search - Investment Destination - Delhi-NCR - September 2012
Page 5: Search - Investment Destination - Delhi-NCR - September 2012
Page 6: Search - Investment Destination - Delhi-NCR - September 2012
Page 7: Search - Investment Destination - Delhi-NCR - September 2012

fter several years of consumption-led growth, India’s economic growth is now increasingly being fuelled by investment flows. While all the states are vying for the investors’ attention, Delhi-NCR manages to pocket a fair share of investments flowing into India from overseas and from within India. NCT-Delhi is the predominant growth centre in the entire NCR in terms of manufacturing/trading activity as well as concentration of employment.

Currently, industrialisation is concentrated in the sub-regions of Uttar Pradesh (general manufacturing), Haryana (automobile, electronics, handloom) and Rajasthan (marble, leather, textile). NCR accounts for a substantial part of the country’s production of cars (60%), motorcycles (55%) and tractors (25%).

Industrialisation in and around NCR is expected to receive a further boost through the creation of SEZs/industrial zones that are proposed in the region. An analysis of projects and investments being planned in the country reveals that NCR led by Delhi is going to attract a significant part of the investment. As per the data, the manufacturing sector in Delhi grew by 16.15% in the financial year 2011–12. If it is some respite to the ailing sector, the government’s new industrial policy has given a fresh impetus to industrial growth.

Delhi has been able to achieve a growth of 16.15% of Gross State Domestic Product (GSDP) for the manufacturing sector. The GSDP, at current prices for the manufacturing sector, was `13,844 crore in 2010–11 and has increased to ̀ 16,081 crore during 2011–12. GSDP, at current prices for the secondary sector (comprising manufacturing, electricity, gas & water supply and construction), has increased from `45,697 crore in 2010–11 to `54,501 crore in 2011–12, showing a growth rate of 19.26%. Plus, Delhi has the highest minimum wages in the country as well. Then again, the Annual Plan for Delhi for 2012–13 was recently finalised at `15,862 crore.

In future, while Delhi is expected to attract a lot of investments in services and in the hi-tech sector, the rest of NCR would attract manufacturing and other greenfield projects. However, the prerequisite to such economic and industrial growth is the creation of essential physical infrastructure in the region. In this regard, the NCR plan envisages investments of more than US$25 billion in the basic infrastructure, by 2021.

While the prospects look rosy, the recent power outage has shaken the confidence of the investors. Then again, strong and prolonged labour unrest over issues concerning political representation, minimum wage, contracts and working conditions of the labour is making the industrial ecosystem of NCR uneasy. Add to this clogged roads, inadequate transport system and the infrastructure inefficiencies, and we spell problems demanding immediate attention.

At the same time, promises are bright for Delhi-NCR as it is the ‘power centre’ in more ways than one, a capital region with potential to gain more capital investment. Aided by its advantages and getting stronger by overcoming the hurdles, prospects are sure to point Northwards!

ACAPITAL GAIN

Archana [email protected]

EDITORIAL

Page 8: Search - Investment Destination - Delhi-NCR - September 2012
Page 9: Search - Investment Destination - Delhi-NCR - September 2012

EDITORIAL7

CONTENTS

OPPORTUNITIES IN DELHI-NCRFor NCR, The Message Is Simple: Carpe Diem

13

BUSINESS PROSPECTSConstructing An Avenue For Global Investments

14

MANUFACTURING IN DELHI-NCRMANUFACTURING IN DELHI-NCRA Vital Cog In The Industrial Growth StoryA Vital Cog In The Industrial Growth Story

1616

SPOTLIGHT ON SECTORS Bullish With Growth Opportunities

18

DELHI-MUMBAI INDUSTRIAL CORRIDORThe Corridor Of Growth

22

BARRIERS TO GROWTHDampening The Prospects Of ‘Brand Delhi–NCR’

24

ALTERNATE POWER-GENERATING OPTIONSKeeping Business ‘On’ During Power Failures

26

PRODUCT UPDATE42

‘Reaching Out To The Investment Community With A Compelling Value Proposition Is Imperative’Malvinder Singh,Chairman, CII Northern Region & Executive Chairman, Fortis Healthcare

28

‘Delhi-NCR Is Growing To Become A Preferred Investment Destination’Raj Singh Rathee,MD, Kuka Robotics (India) Pvt Ltd

30

‘North India Offers A Huge ConsumerBase To The Companies’Ashok Kumar Gupta,Chairman, Crane-Bel International Pvt Ltd

32

‘Developing More Projects On The Lines Of DMIC Will Come As A Boon To The Growth Of The Region’Anil Sethi,MD & Spokesman of Management, Karcher Cleaning Systems Pvt Ltd

34

‘There Is A Need To Enhance The Region’s Competitiveness’Amit Kapur,Director, Everest Group

36

‘Infrastructure Is One Major Area Where A Lot Of Activities Are Taking Place In Delhi-NCR’SK Jain,CMD, Sumitron Exports Pvt Ltd

38

‘Delhi-NCR Is Far Ahead When It Comes To The Distribution And Service Industry’SN Rai,Co Founder and Director, Lava International Ltd

40

ADVERTISERS’ INDEXAdvertisers’ List In Chronological Order

52

PRODUCT INDEXAlphabetical Listing Of Products Presented In The Issue

50Looking For A Specifi c Product?Searching and sourcing products were never so easy.

Just type SRCH (space) Product Name

and send it to 51818eg. SRCH Pump and send it to 51818

LSea

Ju

eg

Opinions & More

Page 10: Search - Investment Destination - Delhi-NCR - September 2012
Page 11: Search - Investment Destination - Delhi-NCR - September 2012

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Views and opinions expressed in this magazine are not necessarily those of Network18 Media & Investments Ltd (Network18)*, its publisher and/or editors. We at Network18 do our best to verify the information published but do not take any responsibility for the absolute accuracy of the information. Network18 does not accept the responsibility for any investment or other decision taken by readers on the basis of information provided herein. Network18 does not take responsibility for returning unsolicited material sent without due postal stamps for return postage. No part of this magazine can be reproduced without the prior written permission of the publisher. Network18 reserves the right to use the information published herein in any manner whatsoever.

Publishing

Printed by Mohan Gajria and published by Lakshmi Narasimhan on behalf of Network18.Executive Editor: Archana Tiwari-Nayudu

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SEARCH is registered with the Registrar of Newspapers of India under No. 67827/98. Network18 does not take any responsibility for loss or damage incurred or suffered by any subscriber of this magazine as a result of his/her accepting any invitation/offer published in this edition.

* ownership of this magazine stand transferred from Infomedia18 Limited (Infomedia18) to Network18 Media & Investments Limited (Network18) in pursuance of the scheme of arrangement between Network18 and Infomedia18 and their respective shareholders and creditors, as approved by the Hon’ble High Court of Delhi and the necessary approval of Ministry of Information and Broadcasting is being obtained.

Page 12: Search - Investment Destination - Delhi-NCR - September 2012
Page 13: Search - Investment Destination - Delhi-NCR - September 2012

13OPPORTUNITIES IN DELHI-NCRSEARCH - Supplement September 2012

hat is it that makes

Nat iona l Capi ta l

Region (NCR) a better

destination for setting up

a business? Why should a

manufacturer invest in NCR? What does

it take for a region to attract investment

and give investors a sense of reliance?

These are some of the questions for

which NCR has the correct answers,

thereby building investors’ confidence.

Here is a look at what makes NCR a

reliable choice for investment.

BUSINESS PROSPECTS NCR is the largest commercial hub

in India with a staggering 85 million

sq feet of office space under operation;

another 48 million sq feet will be

added over the next three years.

Gurgaon and Noida will contribute

to around 88% of this expansion.

Since the last decade, the NCR has

been consistently posting the

highest growth in per capita income

in the country.

The region also accounts for a

significant chunk of industrial

production in India. It is responsible

for the manufacture of 60% of its

cars, 55% of its motorcycles and

25% of its tractors. A number of

Special Economic Zones (SEZs)

are also coming up in the region.

CHARTING A ROADMAP Over $25 billion will be invested in

developing the infrastructure of

NCR by 2021.

Delhi-Mumbai Industrial Corridor

(DMIC) will create strong

economic foundations for

developing the logistics, industry

and commerce of international

standards. Under DMIC, more

than $90 billion will be invested in

creating infrastructure in NCR,

along with the states of Haryana,

Uttar Pradesh, Rajasthan, Gujarat,

Madhya Pradesh and Maharashtra.

Noida is emerging as a

semiconductor design hub of India.

Skilled workforce, relatively less

expensive infrastructure & lower

costs are contributing to Noida’s

rapid rise in semiconductor

manufacturing and design.

The upcoming Dwarka–Gurgaon

Expressway (also known as the

Northern Peripheral Expressway)

will boost connectivity in NCR by

linking Dwarka & Gurgaon with an

eight-lane expressway, starting from

Dwarka & connecting Palam Vihar

& forthcoming SEZs with Gurgaon

& will join NH-8.

Thus, NCR has built enough

reasons for global investments to

start pouring. It is now time for the

world to enter the doors of emerging

opportunities.

W

ForFor NCRNCR, , the Message is Simple:the Message is Simple:

CARPE DIEMCARPE DIEMThe National Capital Region (NCR) has the potential to emerge as the nation’s premier industrial, real estate and

commercial hub in the next two decades. With a large number of infrastructure and other development projects coming up in NCR, there is a promise, an encouraging sense of confi dence, that the region is primed to step up on

the global stage as a major industrial conurbation. All it has to do is carpe diem – seize the day!

The Bombay Stock Exchange (BSE) has opened an SME Exchange, giving NCR-based entrepreneurs access to opportunities to reduce their debt burden, improve company valuation, increase visibility, attract investors, manage equity ratios and reduce dependence on banks. Earlier, the options for SMEs were limited to taking costly loans from banks. Moreover, they had to return the loan in time even if their projects fail. However, by taking advantage of the SME Exchange, shareholders can share the burden in case of loss and reap benefi ts if the projects become successful. More than 100 SMEs from Faridabad and 500 from other regions of NCR can benefi t from the SME Exchange. SMEs with a paid-up capital of `10 crore can get themselves listed on the Exchange.

EMPOWERING SMEs

TARUN TAMPI

Page 14: Search - Investment Destination - Delhi-NCR - September 2012

14 BUSINESS PROSPECTS SEARCH - Supplement September 2012

orth India has

traditionally been the

stronghold for the

manufacturing industry

to evolve and thrive on.

And with the rise in demands over the

last few decades, the scale of production

has escalated even further. As a result,

the region is witnessing rigorous

expansions with Delhi-NCR becoming

the focal point. Small pockets of Delhi,

Uttar Pradesh, Haryana and Rajasthan

have also come under the spotlight. The

Northern states undoubtedly remain

an integral part of India’s growth

opportunity as they constitute 7% of

the world’s population. The region

also contributes 25% to the country’s

GDP and accounts for 31% of its agri

GDP. Hence, NCR undoubtedly has

a huge market potential. Moreover,

the country capital also has an added

advantage of attracting global attention.

WHY INVEST IN NCR?This region has shown persistent

growth. According to a CII report,

the FDI inflow in the Northern region

has steadily increased to 28% between

2001 and 2012. According to Ajay S

Shriram, VP, CII, and Chairman &

Sr MD, DCM Shriram Consolidated

Ltd (DSCL), “The North, which has

a strong base of educated people, is a

very important part of India. The state

governments are very proactive in terms

of inviting investments. The average

GDP growth of the Northern India is

at par with the rest of India. Besides,

the market too is very strong here—an

attractive proposition for investors.”

The region is developing its

infrastructure to have better reach. Its

proposed industrial corridors across

Delhi, Uttar Pradesh, Haryana and

Rajasthan to be developed as part

of the Delhi-Mumbai Industrial

Corridor (DMIC) expects to change

the way the industry operates in this

region. Besides, the Western and

Eastern Dedicated Freight Corridors

will pass through Rajasthan (37%)

and Uttar Pradesh (57%). This will

not only improve the situation of

logistics here, but will also ascertain

this region’s speedy link to the various

ports. This, in turn, will make way

for capacity expansion and better &

improved availability of power, water

& infrastructure in the region.

Unlike other regions, which have

growing concerns pertaining to trained

and skilled workforce, North India

is likely to have about 33.4 million

students entering the higher and

vocational educational space by 2016.

This, in turn, will help in building a

huge skilled workforce.

NCR is also favourable for a

diverse group of industries for setting

their bases here. While the initial

development began from the auto

industry, today, the region is expanding

its purview towards various industries,

including medical and agro-based

industries. This will provide machine

tool builders scope to expand their

capabilities as well. Elaborating on

the NCR advantage, Richard Rekhy,

Country Head – Advisory, KPMG,

says, “Huge amount of consumption

takes place in Northern India. This

has created huge advantages for NCR.

Hence, manufacturers need to be close

to their consumers.”

WHAT NCR NEEDS…NCR’s large market, significant

resources and investment-friendly

policies make Northern states a

preferred investment destination.

Nonetheless, NCR needs to do more.

At a time when the global industry

is pursuing further expansion, NCR

needs to be proactive in showcasing

its capabilities. Regions like Gurgaon

and Noida have attracted MNCs who,

in turn, have made way for R&D

activities in the region. The region now

only needs a proactive effort from the

industry and the government to build a

stronger base to attract investments and

make way for further development.

[email protected]

N DEBARATI BASU

for Gl bal InvestmentsConstructing an AVENUE

The Northern region of the country has for long been the crown of unparalleled industrial growth. Taking a step ahead, Delhi-NCR has grown to become the key attractor of investments for the manufacturing sector. Even amid growing competition from all quarters of the country, this region gives investors many reasons to invest here.

Regions like Gurgaon and Noida have attracted MNCs

who, in turn, have made way for R&D activities in the region.

The region now only needs a proactive effort from the

industry and the government to build a stronger base to attract investments and make way for

further development.

Page 15: Search - Investment Destination - Delhi-NCR - September 2012
Page 16: Search - Investment Destination - Delhi-NCR - September 2012

16 MANUFACTURING IN DELHI-NCR SEARCH - Supplement September 2012

ew Delhi has, for the

third consecutive time,

recently emerged as the

most competitive city in

the country. Taking a cue

from the National Capital, Faridabad,

the nearest city to Delhi, has also

improved its ranking with its growth,

states ‘The India City Competitiveness

Report–2012’ compiled by the Institute

for Competitiveness (IFC). According

to report, while New Delhi has managed

to demonstrate phenomenal growth

over a period of time by balancing

demand and development in equal

measure, it has been lagging as far as

administrative and institutional support

is concerned. Apart from this, Noida is

said to be giving tough competition to

other metro cities with its infrastructure,

while Faridabad, with its high

growth, has significantly improved in

its ranking and holds the 29th spot.

DELHI’S MANUFACTURING SECTORDelhi’s manufacturing sector grew

by 16.15% in FY2011–12. “If it is

some respite to the ailing sector, the

government’s new industrial policy

has given a fresh impetus to industrial

growth,” said Industries Minister

Ramakant Goswami recently. “Delhi’s

manufacturing sector’s contribution to

Gross State Domestic Product (GSDP)

has been able to achieve a growth

of 16.15%. The GSDP, at current

prices, for the manufacturing sector

was `13,844 crore in 2010–11 and

has increased to `16,081 crore during

2011–12,” he added.

GSDP, at current prices, for

the secondary sector as a whole—

comprising manufacturing, electricity,

gas and water supply and construction—

has increased from `45,697 crore

in 2010–11 to `54,501 crore in

2011–12—indicating a growth rate

of 19.26%. Delhi has got the highest

minimum wages in the country, which

has helped retain the labour and talent

with the industry, he explained.

POTENTIAL SECTORSThe potential sectors for investment

in the North include infrastructure,

manufacturing, healthcare, agriculture

and agri-business, tourism, IT &

ITeS. Recently, the Confederation of

Indian Industry (CII) has announced

N NISHI RATH

A vital cog in theA vital cog in theINDUSTRIAL GROWTHINDUSTRIAL GROWTH story story

Delhi is one of the well-developed states in terms of industrial development, and being the National Capital has always been an added advantage for it. Not only Delhi, but the nearby areas known as National Capital Region (NCR)

comprising Noida, Gurgaon, Faridabad and Ghaziabad also form a principal business and commercial centre of North India. Being one of the biggest consumer markets in the country, Delhi-NCR has been attracting investors. According to experts, factors like geography, connectivity and world-class infrastructure have helped the region grow. A report…

Salient Features Of The Delhi Industrial Policy Policy shift essential to change industrial profile from low-skilled to high-tech

and high-skilled. The policy asserts a six-pronged strategy: • Infrastructure development through better O&M of industrial assets • Facilitating business by simplification & e-enabling measures • Support skill development & other promotional measures like allowing

knowledge-based industries in industrial areas, among others • Decongesting industrial areas through redevelopment schemes • Promoting cluster development of high-technology and skilled industries in new

industrial areas through public private partnerships • Discourage polluting industries through higher infrastructure development fee

Page 17: Search - Investment Destination - Delhi-NCR - September 2012

17MANUFACTURING IN DELHI-NCRSEARCH - Supplement September 2012

a mega event to revive investments in

the eight states of northern India. CII

Northern Region has revealed that

the first ever ‘Invest North’ conclave

is being organised in partnership with

the respective state governments in the

National Capital Region (NCR) in the

first week of November.

“The Northern states are keen to

seek fresh investments and forge new

partnerships that would enable them to

further leverage their growth potential

and regain their competitiveness.

‘Invest North’ is an effort to create

a platform for northern states to

strengthen business and industry in

this region,” said Ajay S Shriram, VP,

CII; Chairman, Invest North 2012

and Chairman & Sr MD, DCM

Shriram Consolidated Ltd. He added,

“Although the northern states have vast

potential and offer immense investment

opportunities from traditional sectors

like agro-products and textiles to

emerging sectors like biotech and IT,

they have lost their competitive edge

in recent times to other more proactive

states in Western and Southern India.”

NCR TAKES THE GROWTH PATHNCR accounted for 20% of the

total FDI in the country a couple of

years ago. According to experts, the

good infrastructure made them more

attractive FDI destinations. Regions

like Gurgaon, Noida, Ghaziabad and

Faridabad are some of the most eye-

catching regions for industries.

Gurgaon: Located in the northern part

of Haryana, Gurgaon is one of the most

important regions that contribute to the

state’s growth. Gurgaon is home to

major IT companies and a few leading

automobile companies as well. The

region is also known for its outsourcing

and offshoring services that contributes

the most towards the city’s economy.

IT, ITeS, auto manufacturing and

pharmaceuticals comprise of the major

industries in Gurgaon.

Noida: Known to have one of the best

infrastructural facilities, Noida has been

on the investors’ list for quite some time

now. Today, Noida is home to various

MNCs as well as domestic companies

like Birlasoft, Impetus, Adobe

Systems, TCS, CSC, HCL, ATC

Labs and Interra. The Noida Special

Economic Zone (NSEZ), the only

Central Government SEZ in northern

India, headed by the Development

Commissioner, provides excellent

infrastructure, supportive services and

sector-specific facilities for the thrust

areas of exports like gems & jewellery

and electronics software. Besides,

availability of skilled manpower makes

it ideal for setting up jewellery and

software development units.

Faridabad: This place is considered to

be one of the main industrial cities of

Haryana and comes under the region of

Delhi & NCR. The city is surrounded

by Delhi in the North, Gurgaon in the

West and parts of Uttar Pradesh in

the East and South. Newly developed

Faridabad or New Faridabad is

the most preferred destination for

industries, IT companies, corporate

bodies and government departments.

Apart from this, the arrival of leading

engineering companies like Eicher and

Escorts have given a new lease of life

to Faridabad’s die casting industry.

Around 25% business of Faridabad’s die

casting industry comes from OEMs.

As the auto industry relies heavily on

the die casting industry, Faridabad is

coming to the fore. Currently, it is the

second major centre for die casting,

after Gurgaon.

Ghaziabad: Known for its proximity

to Noida and Gurgaon, Ghaziabad

has come a long way and has made

it to the global map when in 2006,

US magazine, ‘Newsweek’, profiled

Ghaziabad as one of the world’s most

dynamic cities, along with Munich, Las

Vegas and London. Since then, for the

city, there has been no turning back.

ALL IT NEEDS IS THE RIGHT PUSH Today, Delhi stands at a crossroad.

There are several problems, huge and

complex, yet there are several unique

opportunities which can be explored in

turnaround development of the National

Capital. Citing his perspective on the

same, Vimal Mahendru, President,

Legrand India and Past President,

IEEMA, explains, “Although we

have good infrastructure in Noida and

excellent facilities in Delhi-NCR, we

need government policies that can

improve the condition of industries.

However, presently the industrial policy

is not progressive.” These opportunities

demand a paradigm shift in planning

and a good urban management system

that will pave the way for making the

region what it deserves to be.

[email protected]

The Annual Plan for Delhi for 2012–13 was recently fi nalised at `15,862 crore at a meeting between Planning Commission Deputy Chairman Montek Singh Ahluwalia and State Chief Minister Sheila Dikshit. Ahluwalia lauded Delhi’s performance in all sectors and highlighted a number of initiatives it has taken which have helped in expediting the pace of development. The new Plan, he added, will emphasise on urbanisation and issues that need to be fl agged for evolving a more comprehensive approach. Delhi’s Gross State Domestic Product (GSDP) increased from `1,00,325 crore in 2004–05 to `2,13,429 crore in 2011–12 and the per capita Net State Domestic Product (NSDP) was `63,877 in 2004–05, which increased to `1,19,032 in 2011–12 as against the all-India average of `38,005.

DELHI TO GET `15,862 CRORE

Key highlights of the region Prosperous and fast-growing

economy driven by services sector Second most favoured FDI

destination in India Biggest consumption centre in

India for consumer goods & cars

Page 18: Search - Investment Destination - Delhi-NCR - September 2012

18 SPOTLIGHT ON SECTORS SEARCH - Supplement September 2012

auto & auto components healthc

are

agriculture & agri-busine

sstourism

IT &ITeTT S

u r r e n t l y , N C R

contributes about 25%

to India’s GDP and

accounts for 31% of

the agri GDP. The five

Northern states and the capital city

of the country have a higher capita

income than the national average. In

addition, North India offers a huge

consumer base as the region constitutes

7% of the world’s population—with

a high spending ability. This data

speaks volumes of the potential that

the region holds for companies who

are planning to invest here and expand

their businesses. Commenting on the

opportunities that the region offers,

Malvinder Mohan Singh, Chairman –

Northern Region, CII and Executive

Chairman, Fortis Healthcare Ltd,

says, “The Northern states have vast

potential and offer immense investment

opportunities from traditional sectors

like agro-products and textiles to

emerging sectors like biotech and IT.”

SECTORS WITH MAXIMUM POTENTIALHistorically, the FDI inflow has been

higher in Western India, but the share

of the North has been increasing

steadily—it has risen from 22% in

2009 to 28% in 2012. Delhi-NCR is

home to the manufacturing units of

many global and domestic auto & auto

component manufacturers In addition,

policy initiatives, like National

Manufacturing Plan, provide an

impetus for the further development

of Northern states, especially Delhi-

NCR, to achieve a leading position in

manufacturing.

As per the Annual Survey of

Industries (ASI) of 2008–09, in

Haryana, motor vehicles, trailers, semi-

trailers and other transport equipment

constitutes about 43.2% of the total

industrial output. The engineering

sector, too, has a lot of potential. With

demand for infrastructure increasing

in the country, this sector offers great

prospects. The ASI data reflects that

the engineering sector, which includes

machinery, equipment and other

electrical equipment, contribute about

11.7% to the total industrial output

of Haryana, 4.8% to that of Delhi &

Rajasthan and 4.2% to Uttar Pradesh.

The basic metal and computer

hardware segment also has tremendous

scope for growth in NCR.

The chemicals & related sectors

along with the petrochemical industry

have also made their mark in NCR.

This can be gauged from the fact that

it constitutes about 4.7% to the total

industrial output of Delhi, 10.5%

C ARINDAM GHOSH

Bullish withGrowth Opportunities

The bulk of the FDI that India receives traditionally goes into the Western and Southern regions of the country. However, initiatives like National Manufacturing Policy, DMIC and DFCs have strengthened the competitiveness of Northern India along with Delhi-NCR. It has resulted in attracting more investments to the Northern region. This stretch offers a big market. However, much of it needs to be developed. Some of the sectors that have huge potential for growth in this region include infrastructure, manufacturing segments like auto & auto components, healthcare, agriculture & agri-business, tourism and IT & ITeS.

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20 SPOTLIGHT ON SECTORS SEARCH - Supplement September 2012

of Rajasthan, about 23% of Uttar

Pradesh (this also includes coke &

refined petroleum products). Textile

is another sector that has potential in

Delhi-NCR. According to ASI data,

the share of textile along with wearing

apparel is 5.5% in the total industrial

output of Haryana, 16.6% in Delhi

and 12.5% in Rajasthan.

Also, the diverse agriculture base of

the region offers tremendous potential

for the food and fruit processing

industry in Delhi-NCR. The ASI data

reflects that the food sector constitutes

about 9.7% of the total industrial

output of Haryana, 25.4% of Delhi,

11.2% of Rajasthan, and about 17.6%

of Uttar Pradesh. To this, Singh adds,

“The North is rightly known as the

Food Bowl of the country with a share

of 30.8% in the country’s agricultural

produce.”

WHY INVEST IN DELHI-NCR?According to Richard Rekhy, Country

Head – Advisory, KPMG, Delhi-NCR

offers abundant raw materials and has

a strong consumer base. Additionally,

it has policy initiatives, which support

the creation of infrastructure. Further,

some states are trying to create a better

atmosphere to facilitate the smooth

flow of investments. A majority of

the states have an excellent track

record in this respect. According to

a study on ‘Doing Business in India

(2009)’ by the World Bank, four

Northern cities featured in the Top

10 among 17 Indian cities selected for

the study. These include Ludhiana in

Punjab which ranked 1st, Gurgaon in

Haryana which ranked 4th, New Delhi

which bagged the 6th spot and Jaipur

in Rajasthan, which stood at the 7th

position.

PARTNERSHIP BETWEEN THE GOVERNMENT AND THE INDUSTRY Both the government and the industry

are taking active steps to create a

favourable climate for the smooth flow

of investments. In terms of developing

modern infrastructure policy initiatives,

DMIC and Dedicated Western and

Eastern Industrial Corridors have come

as huge boon to promote the growth

of the industries in this region. In

Uttarakhand, the government is taking

active steps to encourage investments.

The state registered a staggering

CAGR of 25.3% during 2004–05 to

2010–11, which made it emerge as a

preferred manufacturing destination in

North India. As part of the initiatives

from the industry to encourage

investments in the region, CII will be

organising a summit later this year with

all the stakeholders. This event will

showcase the investment opportunities

in the Northern region. Elaborating

on the potential of the North, Ajay

S Shriram, VP, CII and Chairman

& MD, DCM Shriram Consolidated

Ltd, informs, “The Northern states

are keen to seek fresh investments

and forge new partnerships that would

enable them to further leverage their

growth potential and regain their

competitiveness.”

A LOT MORE NEEDS TO BE DONE In order to make Delhi-NCR a

favourable investment hub, there is a

need to take additional steps on the

lines of creating an attractive policy

framework comprising of effective

single window clearance systems like

GST, implementing State Industry

Facilitation Act, tax reforms and

easing land & power-related problems.

According to Rekhy, the states can

also opt for branding the region.

Ensuring these would play a key role

in promoting and fostering the growth

of these industrial verticals in the

region and making Delhi-NCR a more

investment-friendly destination.

[email protected]

Improving the power scenario is very critical for the growth of all the sectors in Delhi-NCR. The government has taken active steps to encourage the private sector to participate in the power and energy segment, which can improve the availability of power for the development and expansion of various industries in the region. The participation of the private sector in power generation has increased as compared to public sector companies in most states. For example, in Uttar Pradesh, state-owned power generation, as a percentage of the total generation, came down from 56% in 2005–06 to 44.17% in 2010–11. According to a report from CII, a comparative analysis of the power situation in the Northern states (on technical, fi nancial and outlook parameters) reveals that Himachal Pradesh, Delhi and Rajasthan are the best performers. In 2010–11, defi cits in Himachal Pradesh were at a comparatively low level of 3.4%, thanks to the proactiveness of the government in exploiting the state’s hydro potential and reducing T&D and AT&C losses.Delhi has the lowest energy defi cits among all the Northern states at 0.3%. Peak defi cits are also comparatively lower than other states. Further, Delhi has one of the best working T&D systems in the North. A remarkable improvement in all the parameters can be seen since Delhi privatised its distribution system in 2002.Like Delhi, Rajasthan too has one of the lowest defi cits - both energy and peak defi cits. The Government of Rajasthan has been successful in anticipating the increase in power demand and has accordingly invested in increasing the installed capacity. During the period 2005–06 to 2010–11, Rajasthan had one of the highest Compound Annual Growth Rates (CAGRs) in terms of capacity additions, in both public as well as private sectors. Rajasthan’s success in attracting private investment can be seen from the fact that the percentage of the private sector in the total installed capacity in the state is 16.4%—higher than most other states. The state has also been successful in encouraging renewable energy.

RISE IN PRIVATE PARTICIPATION TO DEVELOP POWER

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22 DELHI–MUMBAI INDUSTRIAL CORRIDOR SEARCH - Supplement September 2012

parliamentary panel

recently reviewed

the progress on

the Delhi-Mumbai

Industrial Corridor

(DMIC), one of the most

ambitious infrastructure projects

in the world with an estimated

investment of over $100 billion.

The project envisages doubling of

employment potential within five

years, tripling of industrial output

and quadrupling of exports from

the region. Recently, Commerce

and Industry Minister Anand

Sharma said that the perspective

plan for the entire corridor

has been completed. “Detailed

environmental impact assessment

for all the six cities is in progress

and we are aiming to secure

pre-clearances to ensure speedy

implementation,” he informs.

The Government of Japan has

committed $4.5 billion for the first

phase of the project across Uttar

Pradesh, Haryana, Maharashtra,

Gujarat, Madhya Pradesh and

Rajasthan. The minister said

that the Indian Government had

decided to finance the entire trunk

infrastructure in the townships

along the corridor, while the

internal infrastructure would be

A NISHI RATH

The CORRIDORof

With an aim to tap the huge opportunities likely to be thrown open by the Dedicated Freight Corridor (DFC) between Delhi

and Mumbai, a band of 150–200 km around both sides of DFC is being developed as the Delhi–Mumbai Industrial Corridor. The project,

one of the biggest, will help in developing the region as a global manufacturing and trading hub of India supported by world-class infrastructure and enabling policy

framework. Once complete, it will transform the region. A report…

The Government of India is developing a multi-modal high-axle load Dedicated Freight Corridor (DFC) between Delhi and Mumbai, covering an overall length of 1,483 km, with end terminals at Tughlakabad and Dadri in the National Capital Region (NCR) of Delhi and Jawaharlal Nehru Port at Mumbai.

It has also proposed the establishing, promoting and facilitating of the Delhi-Mumbai Industrial Corridor (DMIC) along the alignment of DFC between Delhi and Mumbai. The objective of DMIC, supported by world-class infrastructure, would be to optimise on the present potential, enhance the investment climate and promote the economic development of the region through the creation of a long-term enabling environment.

DFC will offer high-speed connectivity for high axle load wagons (25 tonne) of double-stacked container trains supported by high-power locomotives. The Delhi-Mumbai leg of the Golden Quadrilateral National Highway also runs almost parallel to the freight corridor.

An MoU related to the DMIC has been earlier signed between the Ministry of Economy, Trade and Industry (METI) of Japan and the Ministry of Commerce and Industry (MoCI) of India to explore the opportunities for mutual cooperation.

India is likely to relax the guidelines to encourage Japanese funds to invest in the ambitious $100-billion DMIC project.

The Department of Industrial Policy and Promotion (DIPP) has held a series of consultations with RBI offi cials on issues such as allowing the opening up of more Japanese Bank branches in India and permitting interest rate & currency swaps. DIPP, under the Commerce and Industry Ministry, has also proposed some relaxations under the priority sector lending for investment in infrastructure projects.

The DMIC project is important as it would help boost investment in the infrastructure sector and would also encourage overall economic growth of the country, which has slipped to a nine-year low of 6.5% in 2011–12.

The ministry has already circulated a Cabinet note to give 26% stake to the Japanese Government in DMIC Development Corporation (DMICDC). Several ministries, including the Finance Ministry, have given the green signal to this proposal.

The Cabinet had approved equity restructuring of DMICDC and an expenditure of `18,500 crore on the development of infrastructure in September 2011.

THE PROJECT

Growth

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23DELHI–MUMBAI INDUSTRIAL CORRIDORSEARCH - Supplement September 2012

developed through Public

Private Partnership (PPP)

mode.

INTEGRATED CORRIDOR DEVELOPMENT APPROACH FOR DMICUnder the project, high-impact

market-driven nodes—

Integrated Investment Regions

(IRs) and Industrial Areas

(IAs)—have been identified

within the corridor to provide

transparent and investment-

friendly facility regimes. These

regions are proposed to be self-

sustained industrial townships

with world-class infrastructure,

road & rail connectivity for

freight movement to and from

ports & logistics hubs, served

by domestic/international air

connectivity, reliable power,

quality social infrastructure,

and provide a globally

competitive environment

conducive for setting up

businesses. An IR would be a

specifically delineated industrial

region with a minimum area of

over 200 sqkm (20,000 hectare),

while an IA would be developed

with a minimum area of over 100

sqkm (10,000 hectare). Around

24 such nodes—nine IRs and 15

IAs—spanning across six states

have been identified after wide

consultations with stakeholders,

i.e., the state governments

and the concerned Central

ministries. It is proposed that

six IRs and six IAs would be

taken up for implementation

in the first phase during

2008–12, while the rest of the

development would be phased

out in the next four years.

DMIC LOOKS AT…The developmental planning for

DMIC aims to achieve certain end

results with the implementation that

would ensure the realisation of the

envisaged vision for the project and

thus lead to economic development.

The major goals for DMIC are

doubling employment potential in

seven years, tripling industrial output

in nine years and quadrupling exports

from the region in 8–9 years.

The corridor, for which a company

has been incorporated, would have

a 4,000-MW power plant, three

greenfield ports and six airports. It

would also link 10 cities with over 10

lakh population, including Faridabad,

Surat, Delhi, Greater Mumbai,

Meerut, Jaipur, Ahmedabad, Pune and

Nashik. Industrial units would come

up along major transport arteries, such

as highways and railways, connecting

to ports to facilitate internal & external

trade. Thus, DMIC will create a

strong economic base and state-of-

the-art infrastructure in the region.

[email protected]

Proposed Investment Regions and Industrial Areas in DMICPHASE I

S.No State Proposed Location Category of Region

1 Uttar Pradesh Dadri–Noida–Ghaziabad Investment Region

2 Uttar Pradesh Meerut–Muzaffarnagar Industrial Area

3 Haryana Faridabad–Palwal Industrial Area

4 Haryana Manesar–Bawal Investment Region

5 Rajasthan Kushkhera–Bhiwadi–Neemrana Investment Region

6 Rajasthan Jaipur–Dausa Industrial Area

7 Gujarat Vadodara–Ankleshwar Industrial Area

8 Gujarat Bharuch–Dahej Investment Region

9 Maharashtra Dighi Industrial Area

10 Maharashtra Nashik–Sinnar Investment Region

11 Madhya Pradesh Pitampura–Dhar–Mhow Investment Region

12 Madhya Pradesh Neemuch–Nayagaon Industrial Area

PHASE II S.No State Proposed Location Category of Region

A Haryana Kundli–Sonepat Investment Region

B Haryana Rewari–Hissar Industrial Area

C Rajasthan Ajmer–Kishangarh Investment Region

D Rajasthan Rajsamand–Bhilwara Industrial Area

E Rajasthan Pali–Marwar Industrial Area

F Gujarat Ahmedabad–Dholera Investment Region

G Gujarat Surat–Navsari Industrial Area

H Gujarat Valsad–Umbergaon Industrial Area

I Maharashtra Dhule–Nardhana Investment Region

J Maharashtra Pune–Khed Industrial Area

K Madhya Pradesh Shahjapur–Dewas Industrial Area

L Madhya Pradesh Ratlam–Nagda Investment Region

Project Influence Area of Delhi-Mumbai Industrial Corridor

Courtesy: Department of Industrial Policy & Promotion, Ministry of Commerce & Industries, Government of India

Courtesy: Department of Industrial Policy & Promotion, Ministry of Commerce & Industries, Government of India

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24 BARRIERS TO GROWTH SEARCH - Supplement September 2012

INTERMITTENT POWER SUPPLYEvery one is aware of the power

shortage in Delhi and its neighbouring

regions, but the recent massive power

outage, when the Northern Powergrid

collapsed, made Delhi come to

a standstill. It also raised serious

questions pertaining to the National

Capital’s ‘power’ problems. More than

300 million people were affected by the

outage. It also affected the industries

based in and around Delhi-NCR. The

increasing gap between demand and

supply was cited as the chief reason for

the collapse of the power grid.

Industries across Delhi-NCR have

been grappling with power problems

for quite some time now and many

areas have been facing regular power

cuts of nearly 10–12 hours everyday.

Highlighting the issue, a recent

ASSOCHAM report stated that

industrial units, particularly SMEs,

in Delhi-NCR have been at the

receiving end of the power cuts and

voltage fluctuations. This may affect

their production by 60%. Additionally,

the frequent power cuts, especially

in Ghaziabad, Noida, Gurgaon,

Faridabad and Greater Noida, have

caused industrial units 50% losses

during April and May.

Discussing another power problem,

Vimal Mahendru, Past President,

IEEMA and President, Legrand India,

opines, “We need to ensure a robust

and updated network. Power theft and

free-electricity are both a bane and must

be dealt with severely. It needs strong

political will to ensure compliance.”

LOGISTICS ISSUES A company, while investing in a

particular state, looks at the various

logistics options available in the

region. Apart from road, rail and

air connectivity, major companies,

particularly those that deal with

exports, also look at proximity to a port

facility. Though Delhi-NCR boasts of

good road, rail and air connectivity,

the absence of port facility, at times,

mars the investment options for

manufacturing companies.

WATER SHORTAGEWater shortage is another barrier that

adversely affects the industrial growth.

According to a FICCI survey, water

shortage in Delhi-NCR has been a

concern for thermal power, chemicals,

textiles & cement industries. Around

60% of the respondents claimed that

the water shortage is affecting their

businesses. This shortage might rise

to 87% after 10 years. The survey,

‘Water Use in Indian industry’, said

that apart from inadequate availability

of water, poor water quality would also

adversely impact businesses. “While

inadequate availability is the major

risk facing the industries, others agree

that poor water quality is another

major risk in the running of business.

Sectors like pharmaceuticals, power,

food processing and agriculture feel the

brunt of poor water quality,” it said.

DEARTH OF SKILLED MANPOWER

The unavailability of skilled manpower

has been a major cause of concern.

It is a problem that has always been

present, but has now taken the shape

of a major block. The labour shortage

is also affecting the wages. Rising

labour cost may make Delhi-NCR lose

its competitive edge over other states.

If this was not enough, the unrest at

Maruti’s Manesar facility, followed

by Honda, have added to the state’s

woes. There is an urgent need for

labour reforms in the manufacturing

sector. “The latest debacle in Maruti

is a dampener. We may not see much

development towards Gurgaon if we

are not able to give a message of trust

and confidence,” adds Mahendru.

[email protected]

NISHI RATH

Dampening the prospectsDampening the prospectsof of ‘Brand Delhi-NCR’‘Brand Delhi-NCR’

The National Capital boasts of a much better infrastructure when compared to other regions of the country. Despite this, Delhi-NCR is far behind states like Gujarat or Tamil Nadu when it comes to investments and industrial growth. Why does it lag? What are the major issues dampening the industrial growth? Here, we discuss some major issues

that are gnawing at the roots of the manufacturing industry in Delhi-NCR.

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SEARCH - Supplement September 201226 ALTERNATE POWER-GENERATING OPTIONSALTERNATE POWER-GENERATING OPTIONS

he recent power

disruptions affecting

Northern and Eastern

India resulted in

hundreds of millions

of people being left without power.

The effect of this massive power

breakdown on the economy is still

being calculated, but what is certain

is that the loss was significant, and for

many businesses, preventable.

India is no stranger to power cuts.

Such outages are an unfortunate

reality during the summer when

peak demand shoots up. In addition,

population growth and economic

expansion have pushed the country’s

power infrastructure beyond capacity,

resulting in chronic power shortage

in key cities and industrial areas.

The Indian economy is poised

to continue on its high-speed

journey in the coming years,

leading to further increase in the

demand for power.

EFFECTS OF UNEXPECTED POWER OUTAGESIndia relies on coal for its expanding

energy needs. According to the

Ministry of Power, of the nation’s total

installed capacity, 205,340 megawatts

comes from nuclear sources (less than

3%). According to figures from the

Central Electricity Authority, the

nation suffered a supply shortfall of

8.6% in June this year. With the recent

problems in the supply of coal to power

plants and the projected increase in

the cost of coal from countries outside

India, the power situation is expected

to take a turn for the worse.

The effects of unexpected power

outages can wreak havoc on the

industry; for example, the automotive

manufacturing industry that relies

on an intricate system of just-in-

time logistics. Various suppliers work

independently to manufacture and

provide the parts that go into the

making of the finished product. When

a single supplier is faced with power

blackouts, their production stops and

their part of the logistics chain is

broken. If the outage is for a short

term, the supplier may be able to offer

the existing stock to fulfil orders and

keep the supply chain moving. When

faced with a longer blackout, or a

sustained sequence of outages, their

inability to supply can disrupt the

whole supply chain, which, in turn,

can lead to delays in finished products

at the end of the line. Such cases often

see financial penalties being paid by the

supplier and can result in the principle

supply contract being cancelled.

One thing is certain. The growth in

the Indian economy is being driven by

the industry. However, it is also just

as certain as the fact that the industry

cannot function without access to

reliable power. From manufacturing

to agriculture, oil and gas to biofuel

production, whatever the industrial

operation of any business, when the

T

Rental power is a relatively new phenomenon in India, yet it is a sector that is growing at an astronomical rate. While the Indian economy continues to expand, and the government is working towards devising solutions to resolve the power issue, companies need to understand that they have to optimally utilise the available choices, which will provide them a competitive edge. Companies need to realise that they have the power in their hands…they are no longer at the mercy of external forces determining the availability of power—if indeed, they choose not to be.

‘ON’ duringPower Failures

Keeping Business

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27ALTERNATE POWER-GENERATING OPTIONSSEARCH - Supplement September 2012

power goes down, so does production.

Profitability and business sustainability

soon follow.

ADDITIONAL POWER OPTIONSWhile the Indian Government is

taking the necessary measures to curb

issues arising from energy shortages,

industrial power users can rely on

short-term rental power to alleviate

the effects of such occurrences on

their business. This is because failure

to comply with the agreed production

schedules could be detrimental to

revenue lines. It is, therefore, crucial

to include additional power options in

business continuity plans.

Faced with the ongoing supply

disruptions and the corresponding

pressure they place on a business,

it is prudent that companies look

to guarantee electricity supply via

alternative sources. This can be achieved

by purchasing and installing on-site

power generation capacity in the form of

stand-alone generators. Another option

is to take advantage of the services of

a specialised rental power supplier.

While both options have their merits,

the large amount of capital expenditure

associated with outright purchase of

generating equipment, plus the ongoing

cost of operation and maintenance, is

making more companies look towards

rental power as an increasingly

preferable option.

RENTAL POWER: A SOLUTION? Professional power rental companies

provide energy through diesel or

natural gas-run generator sets. The

use of rental equipment gives flexibility

to client companies in resource

deployment. Therefore, as the country

progresses through this period of

strong growth throughout all sectors,

and the corresponding demand for

power grows accordingly, it is vital that

industry leaders have options at hand,

which give them the guarantee that

their operations are ‘always on’.

The benefitsThere are a number of key financial

benefits of choosing rental power over

purchase:

Renting power generation equipment

eliminates the need for capital expenditure

on equipment

It incurs no large down payments or

interest costs and preserves borrowing

capacity. In addition, power rental

guarantees fixed and regular payment

schedules over an agreed term with

options to extend the rental period, if

required, which improves cash flow and

allows for more accurate budgeting.

The lead time for the purchase of

generation equipment can be anywhere

up to two years

Due to the ‘fast-track’ aspect of rentals,

companies that urgently need power

will find the rental option attractive.

Also, when making a decision between

purchasing and renting equipment, it

is important for a company to evaluate

the decision in light of the many

hidden costs that are incurred when

the equipment is purchased—insurance

is often overlooked by companies

seeking to purchase large equipment.

In addition, for equipment, such as

generators, there are many spare parts

and ancillary items that need to be

purchased regularly to ensure that the

equipment operates efficiently. Not

only do products such as spare parts

need to be purchased, but they also

require storage space to house them.

With a rental solution, all spares and

ancillary items are the provision of the

rental provider, enabling the customer

to budget more effectively.

Use of a rental specialist

Refuelling is an additional cost that is

often forgotten when the decision is

made to buy equipment. Refuelling one

generator is a time-consuming task; a

project site with 30–40 generators on it

will require the contractor to purchase

trucks and staff simply for refuelling.

Therefore, the use of a rental specialist

who includes refuelling in the rental

package can be an attractive option for

customers.

Issues with human capital get eliminated

All major equipment purchases will

require a company to staff the new

equipment, either by allocating existing

staff to the project, or by hiring new

employees. If a company does not have

employees available with the technical

knowledge to run the equipment,

they may be forced to hire new staff,

unnecessarily increasing a company’s

OpEx. This means that the use

of a company, which provides

turnkey rental services, can be

invaluable to a company that requires

equipment but simply does not have

the skilled and experienced staff to

operate it.

At times, it is tempting for

companies to minimise the number

of staff they require for operating the

equipment. However, this short-term

solution often leads to greater problems

in the long run. Heavy equipment, such

as generators, requires regular servicing

and maintenance in order to ensure

that they operate at peak efficiency.

A poorly maintained generator will

have greater fuel consumption, higher

emissions and may even break down

entirely, negating any cost benefits

that may have come from reducing

the number of technicians working

on a project site. Through a rental

provider, all service and maintenance

are included in the rental package,

ensuring that the equipment is always

running at peak efficiency.

OPPORTUNITIES ABOUND Rental power is one of the most

effective ways businesses can ensure that

they have consistent and reliable access

to the power they need to keep their

operations up and running. Reputable

and experienced rental power provider

deliver high quality, dependable

power that keeps industry moving. In

addition, the ability to rapidly deploy

power during emergency situations, or

when demand increases unexpectedly

is another major benefit.

V Radhakrishnan, Country Head,

Aggreko India

E-mail: [email protected]

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28 OPINIONS & MORE SEARCH - Supplement September 2012

EASONS TO INVEST IN NORTH INDIANorth India offers huge

scope for expansion and

growth. The region’s

share in the national GDP stands at

25.6% (2010–11 at constant prices)

and it houses 30.5% of the country’s

population. Additionally, the region—

comprising of Delhi, Haryana,

Himachal Pradesh, Jammu & Kashmir,

Punjab, Rajasthan, Uttar Pradesh,

Uttarakhand and the Union Territory

of Chandigarh—constitutes 30.7% of

the country’s geographical area. The

implementation of the Delhi–Mumbai

Industrial Corridor (DMIC) and

Dedicated Freight Corridors (DFCs)

will hugely step up the connectivity of

the region with the rest of the country—

particularly with major cities and

ports that dot the Western & Eastern

coastlines of the country. In addition,

around 70% of the combined scope of

these corridors lie in the Northern states,

thereby facilitating rapid movement of

raw materials and goods through the

industrial hubs of the North. Also, the

move to set up National Investment and

Manufacturing Zones (NIMZs) has

come as a big boost in this direction.

The first such NIMZ is being planned

in Rajasthan. Besides, Uttar Pradesh,

Jammu & Kashmir and Rajasthan offer

immense opportunities for growth with

much of their huge markets yet to be

developed.

ROLE OF CIITo increase awareness among the

manufacturing fraternity about the

opportunities and potential in the

Northern states, CII will be organising

‘Invest North’ in November this

year. CII also plans to organise road

shows in major cities of the country

and inform domestic investors about

the USPs of the Northern states.

Moreover, to attract global investors,

CII has planned campaigns through

its global offices and overseas partners.

Enhancing competitiveness of the

manufacturing sector with special

emphasis on growth and development

of MSMEs is one of the focus areas on

the agenda of the CII Northern Region

(CII NR). In this regard, we are taking

various initiatives, such as sharing best

practices, encouraging study missions

to progressive locations and facilitating

an ‘innovation’ conclave, among others.

CHALLENGES IN THE WAYThe biggest challenges in the region

include lack of good infrastructure,

erratic power supply, availability of

skilled workforce and governance.

Besides being land-locked, it has

more connectivity problems than the

Western & Southern India that have

large coastlines & ports.

INFRASTRUCTURE INITIATIVES While the Government of India has

conceptualised the DMIC and Eastern

and Western DFCs, there is an urgent

need to accelerate the implementation

of these projects. There is also a need

to establish additional dry ports and

Inland Container Depots (ICDs). It

is critical to accelerate the creation

of infrastructure projects and remove

bottlenecks related to land, poor

inter-departmental coordination &

cumbersome clearance processes. Most

of these issues can be addressed by

setting up comprehensive infrastructure

departments in various states. For

R

The Northern region, including Delhi-NCR, has the potential to become one of the most favoured investment destinations in the country. CII is playing a

critical role in creating awareness among the manufacturing fraternity about the opportunities that this region holds for them. In an exclusive interview with Arindam Ghosh, Malvinder Mohan Singh, Chairman – Northern Region, CII and

Executive Chairman, Fortis Healthcare Ltd, highlights the importance of the Northern region for expanding business activities and talks about the various

initiatives taken by one the biggest industry associations in the country towards encouraging investments in the region. Excerpts…

Malvinder Singh

Chairman, CII Northern Region &

Executive Chairman, Fortis Healthcare

Reaching out to the investment community with a compelling value proposition is imperative

Page 29: Search - Investment Destination - Delhi-NCR - September 2012

29OPINIONS & MORESEARCH - Supplement September 2012

instance, Rajasthan has already taken

up the lead by implementing a single

window clearance for such projects.

We have also set up a Special

Task Force on infrastructure &

investment as part of CII’s Advocacy

Agenda with the state governments,

and have proposed the setting up of

land bank corporations. Also, the

significant deficit in power generation

in the Northern region needs to

addressed through not only timely

implementation of various projects in

the pipeline, but also by leveraging

the hydro power potential of the three

hill states, viz., Himachal Pradesh,

Uttarakhand and Jammu & Kashmir,

which have a combined potential of

75,000 MW. Realising this potential

can create power surplus for the North.

OVERCOMING SHORTAGE OF MANPOWER The huge population of the Northern

states presents a unique opportunity

to overcome the shortage of skilled

manpower not only in the North,

but also in the rest of the country.

It is imperative to attract private

sector investment for skill building.

CII, along with the Government

of Rajasthan and Rajasthan State

Industrial Development & Industrial

Corporation (RIICO), has set up a

Skill Development Centre at Bhiwadi,

Rajasthan. We also have a Skill

Gurukul at Alwar (Rajasthan) and

are also planning to set up similar

centres at Bhiwadi & Nawanshahr

(Punjab). Also, CII NR has adopted

134 ITIs under PPP mode. We are

also organising a series of Faculty

Development Programmes for ITI

faculties. Skill gap studies are also

being worked out for the ‘tricity’ of

Chandigarh–Mohali–Panchkula.

POLICIES CREATING AN ENABLING ENVIRONMENT FOR INDUSTRIAL INVESTMENTOver the past two decades, the Southern

and Western states have implemented

investor-friendly policies and have

succeeded in creating an enabling

environment for industrial investment.

They have promptly responded to

the needs of businesses seeking to

invest, thus creating a strong brand for

themselves. Emulating the trend, in

the last two years, state governments of

Punjab, Haryana, NCT of Delhi and

Rajasthan have promulgated investor-

friendly industrial policies. CII, on

its part, is also working with the state

governments of the North to improve

the investment climate in the region.

For example, in Uttar Pradesh, we have

formed Joint Task Forces on power &

renewable energy, skill development,

branding up & MSME, agriculture

& food processing, industrial policy,

infrastructure, healthcare and

information technology for the overall

development of the state.

Another important role performed

by CII is to provide inputs to

the respective governments in

the formulation of their policies,

particularly the ones related to

industry, infrastructure, APMC Act

and other sectors. GST is another

area of advocacy for us at the state

level. We believe that it is important

to bring all Northern states onboard

for the adoption of GST. This tax

reform is very crucial for our economy

as it can easily add up to 1.5% to the

national GDP.

MAXIMUM GROWTH SECTORS The National Manufacturing Policy

provides a springboard for the

Northern states, especially Delhi-

NCR, to regain a leading position in

manufacturing. The region is home

to the manufacturing units of many

global and domestic auto & auto

components manufacturers. As per the

Annual Survey of Industries (ASI) for

2008–09, in Haryana, motor vehicles,

trailers & semi-trailers and other

transport equipment formed about

43.2% of the total industrial output.

The region also offers huge potential

for the growth of the engineering

sector. And with the demand for

infrastructure growing in the country,

this sector offers great promises. The

ASI data reflects that the engineering

sector contributes about 11.7% to the

total industrial output of Haryana,

4.8% to Delhi & Rajasthan and 4.2%

to that of Uttar Pradesh.

Chemical and other related sectors

along with the petrochemical industry

have also made their mark in NCR.

This can be gauged from the fact that it

constitutes about 4.7% in Delhi, 10.5%

in Rajasthan and about 23% of the

total industrial output in Uttar Pradesh

(including coke and refined petroleum

products). Textile is another sector

that has potential in Delhi–NCR.

According to the ASI data, the share

of textiles along with wearing apparel

is 5.5% of the total industrial output of

Haryana, 16.6% in Delhi and 12.5% in

Rajasthan. Apart from some of these

industries, basic metal and computer

hardware also have tremendous scope

for growth.

FIVE YEARS DOWN THE LINE...The North has always been a hub

of innovation and entrepreneurship.

However, some drift has been witnessed

in the recent past with entrepreneurs

looking towards Western and Southern

states. The National Manufacturing

Policy, with a focus on enhancing the

share of manufacturing to 25% of the

country’s GDP, is a great opportunity

for the Northern states to regain their

market share.

However, we require an attractive

policy framework comprising of

effective single-window clearance

system, state industry facilitation Acts,

tax reforms and easing up of land &

power-related problems. In addition,

states from the Northern region need

to focus more on brand building.

Recognising that the capital has global

mobility, it is important to proactively

reach out to potential investors and

respond positively to their genuine

requirements.

[email protected]

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30 OPINIONS & MORE SEARCH - Supplement September 2012

XPERIENCE OF OPERATING IN NORTHToday, North India

along with Delhi-NCR

has emerged as a huge

manufacturing hub. Companies are

looking at establishing their business

in this part of the country because

North India offers a huge market,

which remains to be tapped to the

fullest.

As far as our business is concerned,

we have witnessed tremendous growth

owing to the ever-rising interest

of big manufacturing players to

explore the region. Implementing

robots and automation solutions

are critical to achieve higher

efficiency and productivity. Further,

it makes the company more

competitive in the market.

WHY INVEST IN NORTH INDIA? With Delhi being the National

Capital, companies that establish

their operating base in Delhi-NCR,

can enjoy proximity to the Central

Government. Further, all the major

offices of the policy makers are located

in Delhi. This facilitates interaction

between the industry and authorised

personnel.

In terms of creating modern

infrastructure, the government has

taken active steps to implement

projects, such as DMIC. They have

also created a world-class international

airport in New Delhi and are planning

to establish a rail and road network to

enhance connectivity in the region.

The fact that a big proportion of

the country’s population is based in the

region helps in meeting the demand

for skilled workforce. Among the

other initiatives taken, some states in

North India, like Uttarakhand, offer

fiscal incentives to companies planning

to establish their manufacturing base

in the state.

MESSAGE TO COMPANIES Initially, what will come as a delight

to companies planning to set up base

here is that the region offers a huge

consumer base, which has a strong

spending ability. And the companies

have enough scope to capture the

market. I believe that for any company

to succeed irrespective of the region,

it needs to operate with creativity,

dynamism, innovation and focus on

the needs of customers.

ENHANCING DELHI-NCR’s PROSPECTS Presently, Delhi-NCR is fast becoming

a preferred investment destination.

Improving the power scenario in

Delhi-NCR will further brighten the

scope of the region for carrying out

business activities. Additionally, the

implementation of policies like GST

will come as a huge boon as it will

further the growth prospects of the

region. Further, introducing special

policy initiatives like tax benefits,

subsidies, etc., which are specific to the

region, can be considered as an option

to encourage further investments.

[email protected]

E

KUKA Robotics (India) Pvt Ltd is part of the worldwide operating KUKA Robot Group. The company was incorporated in India in May 2006 and is

headquartered in Gurgaon. Within in a short span of time, KUKA India has built a strong clientele base, which comprises most of the major automobile and other engineering as well as non-engineering companies in the country.

In an exclusive interview to Arindam Ghosh, Raj Singh Rathee, MD, Kuka Robotics (India) Pvt Ltd, shares his thoughts on the experiences of operating

from Delhi–NCR & North India, and highlights the reasons to invest in the region. Excerpts…

Raj Singh Rathee

MD, KUKA Robotics (India) Pvt Ltd

Delhi-NCR is growing to become a preferred investment destination

Initially, what will come as a delight to companies planning to set up base here is that the region offers a huge consumer

base, which has a strong spending ability

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32 OPINIONS & MORE SEARCH - Supplement September 2012

OTENTIAL OF DELHI–NCRT h e i n c r e a s i n g

competition in the

market, coupled with the

initiatives taken by the

government to develop state-of-the-

art infrastructure, have transformed

North India into the fastest growing

region in the country. Today, many

companies are opting for Delhi-

NCR to set up their manufacturing

base in India given the rising demand

that the region is currently offering.

I believe that companies, which have

strong business ethics and offer quality

products & solutions at competitive

prices, can survive for a longer term

and create a niche for themselves.

NORTH INDIA: AN INVESTMENT HAVEN Given the proportion of geographic

area it covers and the population

it houses, North India offers a huge

consumer base to companies. To

encourage investments in the region,

the government is also coming up with

some industry-friendly policies in states

like Uttarakhand. In addition, the

geographic location of Delhi-NCR is

strategic as it covers some of the major

states of the Northern region, making it

a major catchment area for companies.

Thus, investment in Delhi-NCR can

be highly effective for a company in

fuelling its business growth plans.

SCOPE FOR MACHINE TOOL INDUSTRY With the increasing level of business

activities taking place in the region,

one of the major sectors that has

maximum scope for growth and

expansion is that of machine tools.

Delhi, being the national capital,

has witnessed tremendous growth in

the last few years and the demand

for quality machine tools has grown

accordingly. However, adequate power

supply remains a challenge.

EXPANSION PLANSThough many in the Southern and

Western regions of the country are

luring me to invest in these regions,

I believe that the North offers the

maximum scope for expansion. To

support the growing demand for our

products, we are planning to establish

a state-of-the-art machine tool plant

in Delhi-NCR. Further, as part of

our initiatives to constantly innovate

and come up with better solutions to

enhance our services for our customers,

we also make substantial investments

in R&D for developing innovative

products.

[email protected]

P

Crane-Bel International Pvt Ltd is one of the major companies operating in the machine tool and hydraulics segment in North India. The success of the company’s business in the region has been driven by high ethical standards,

complete reliability and indigenously developed high-performance machines. Ashok Kumar Gupta, Chairman, Crane-Bel International Pvt Ltd, in an exclusive interview with Arindam Ghosh, speaks on the importance of investing in North

India, especially in the Delhi–NCR belt, and throws light on the company’s expansion plans for the region. Excerpts…

Ashok Kumar Gupta

Chairman,

Crane-Bel International Pvt Ltd

North India offers a huge consumerbase to the companies

To support the growing demand for our products, we are planning to establish a

state-of-the-art machine tool plant in Delhi-NCR.

With an experience of 48 years in the fi elds of R&D, Design, Innovation and Development, Productivity Enhancement and keen interest to track the industrial development and analyse the market, Ashok Kumar Gupta, Chairman of Crane-Bel International Pvt Ltd has created a niche for his company in the Northern region. He is a mechanical engineer and completed his B. Tech from Delhi College of Engineering.

CREDENTIALS

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34 OPINIONS & MORE SEARCH - Supplement September 2012

HY INVEST IN THE NORTH? We are based out of

Noida and operating

from such a suburban city

helps us leverage on the opportunity

that proximity to the National Capital

presents. Besides, it allows us to

operate at a low cost. Additionally, the

region also offers us a huge consumer

market, which is willing to pay the

price for procuring quality products.

As far as the market for our products

and solutions is concerned, we are

growing at a fast pace as we cater to a

host of industries that are experiencing

tremendous growth.

CHALLENGES FACEDWe have always looked at challenges

as opportunities. I do not think I have

faced major problems with respect

to growth and expansion of our

company’s business here, apart from

power, which remains a problem.

Nonetheless, we have established

power back-up systems to tackle this

challenge. Besides, finding the right

people, carrying out activities related

to expansion, etc., are some of the

business problems that we faced.

However, these are similar across the

country.

INITIATIVES TAKENThe government is playing a proactive

role to encourage companies to invest

in the North. They are not only

taking initiatives to ensure faster

approvals and clearances of projects,

but are also working on bringing in

more transparency into the policy

framework. If a company follows all

the guidelines and works accordingly,

it will certainly have a bright future.

The government’s initiatives helped

facilitate our transition process from

Man Machine to Karcher Cleaning

Systems Pvt Ltd.

INCENTIVES TO INVEST Initiatives for implementing faster

approval and clearances systems,

better & reliable power supply and the

establishment of modern infrastructure

will play a critical role in attracting

more investment from companies.

Such steps will help the North increase

its competitiveness. Appropriate steps

are being taken to improve these

aspects. In terms of infrastructure,

creating DMIC is a prime example.

Developing more such projects will

come as a boon for the growth of the

region.

INDUSTRIES TO WATCH OUT FORThe automobile manufacturing

industry and the ancillaries that supply

to the industry have the maximum

scope for expansion. In addition,

the construction industry, food &

pharmaceuticals industries and their

sub-sectors, are performing quite well

and have been registering high growth

rates. However, I must admit that

companies seeking to be successful in

any region need to initially conduct

their own market research and work

according to the situation.

INVESTMENT AND EXPANSION PLANSInnovation plays a crucial role in a

company’s growth. We, at Karcher,

continuously innovate to offer better

products to our customers. Innovation

has been the key to our growth. In the

North, we have offices at Panchkula

and Noida. But to serve our clients

better and extend our reach in the

process, we need to be present in all

the states of India.

[email protected]

W

Karcher is the world’s largest manufacturer of cleaning machines and appliances. The German company has an Indian subsidiary based in Noida. In an exclusive interview to Arindam Ghosh, Anil Sethi, MD & Spokesman of Management, Karcher Cleaning Systems Pvt Ltd, speaks on the reasons for investing in North India and suggests a few measures to make the region a strong competitor to the Western and Southern regions of India. Excerpts…

Anil SethiMD & Spokesman of Management,

Karcher Cleaning Systems Pvt Ltd

Developing more projects on the lines of DMIC will come as a boon for the growth of the region

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36 OPINIONS & MORE SEARCH - Supplement September 2012

ELHI-NCR: A LUCRATIVE PROPOSITION According to a recent

study, Delhi is one of

the most preferred cities

to live in and NCR is growing at

an exponential rate. This growth in

the industrial and corporate sectors

is making way for a huge influx of

people from all over the country,

thereby ensuring the availability of all

types of human resources. Delhi boasts

of a world-class international airport,

vast rail network augmented by state-

of-the-art Delhi Metro, efficient road

links, etc. Being the National Capital,

Delhi offers several benefits associated

with proximity to government offices.

MAJOR CHALLENGES Difficulties in accessing resources

like fuel & energy and lack of

skilled manpower & its ever-rising

cost are some of the challenges that

the region faces. The fast depleting

groundwater level is another major

concern. To redress these, I believe

that there is a need to enhance the

region’s competitiveness through

industrial restructuring and upgrading

technology programmes.

INITIATIVES TAKEN The increased focus of the government

to create better connectivity and

infrastructure has led to the birth

of DMIC. More such projects need

to see the light of day. Owing to its

proximity with New Delhi, there has

been a tremendous growth in the

infrastructure and economy of cities,

like Faridabad, Gurgaon, Ghaziabad

and Noida, in the Delhi-NCR stretch.

Besides, Haryana & Uttar Pradesh

have immensely benefitted from the

recent developments in sectors like

real estate, IT, ITeS, manufacturing

and service industries. About a decade

ago, these cities were like small villages

with no infrastructure and basic

facilities. But with the construction

of skyscrapers, roads & flyovers, the

landscape has completely transformed.

Modern residential societies have been

developed with luxury apartments.

Owing to the growing demand from

foreign and domestic companies, the

construction of commercial buildings

and offices is on the rise.

EXPANSION PLANSEverest Group started its career with

its first and parent unit in the heart

of Delhi (Mayapuri Industrial Area).

The company expanded its base by

establishing Unit 2 in Bahadurgarh

(NCR) in 1995 and Unit 3 in 2007.

The ever-increasing demand for

products, like roots blower, mechanical

vacuum boosters and dry screw vacuum

pumps, motivated us to further expand

with Unit 4, which will come up in

Bahadurgarh. It will be ready for

commercial production by April 2014.

We will also set up another unit (Unit

5), which will, most probably, be

located in or around Bahadurgarh.

SCOPE TO BETTER DELHI-NCR With globalisation hitting the landscape

of Delhi, the city needs more expansion

& better infrastructure. Adopting the

single-window concept for all approvals

will come as a huge boon. Further, work

on creating better human resources

through better education initiatives &

social welfare can improve the scope of

the region in doing business.

[email protected]

D

Operating from Delhi-NCR, Everest Group started manufacturing Twin Lobe Rotary Air Blowers way back in 1980. Over the years, it expanded its

technological base by introducing a wide range of products for its customers. The company has now become a major manufacturer and exporter of blowers & vacuum systems. It has created a niche for itself in the country. In an exclusive interaction with Arindam Ghosh, Amit Kapur, Director, Everest Group, shares his thoughts on issues that can make Delhi-NCR a highly lucrative business

destination. Excerpts…

Amit Kapur

Director, Everest Group

There is a need to enhance the region’s competitiveness

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38 OPINIONS & MORE SEARCH - Supplement September 2012

PROSPECTS OF DELHI–NCR As Delhi is the capital

city of the country, it is

well connected with all

the metros and major business hubs

in India through various modes of

transport, like rail, road and air. It also

ensures easier access to government

bodies and licencing authorities. The

government is also taking active steps

to improve the mobility in the region.

For instance, with the presence of

Delhi Metro, commuting in NCR

has improved greatly. Further, many

premier educational institutions are

located here that play a critical role in

making the workforce more productive

and efficient.

MAJOR CHALLENGES Labour problems are a major challenge

that a company may face here. Besides,

companies also need to ensure that

they get adequate supply of power and

water while setting up an industry.

The market is big here and there are

ample opportunities in store if you

offer quality products & services.

INITIATIVES TAKEN Infrastructure is one major area where

many activities are taking place in

Delhi-NCR. The government is

taking up various initiatives to develop

modern infrastructure. We are also

seeing an increasing role of public

private partnerships in such important

projects. DMIC is a prime example

of this. Such steps would encourage

investors to invest in Delhi-NCR. It

is critical to note that with developing

infrastructure, investment in fixed assets

is bound to appreciate, which will give

better returns in the years to come.

EXPANSION AND INVESTMENT PLANS As part of the steps to improve the

services to our customers, we have plans

to set up offices and service centres in

Gurgaon & Noida. This will further

allow us to make our client base stronger

and extend the reach of our business.

SCOPE FOR IMPROVEMENTWe believe that sectors like electronics,

telecom, IT and automotive have the

maximum scope in this region, as they

already have their roots here. Improving

the infrastructure by the concerned

government bodies, checking the rising

crime rate and better management of

labour demands & problems should

help in further brightening the scope

of doing business in Delhi-NCR.

[email protected]

P

Sumitron Exports Pvt Ltd is a major company operating from Delhi-NCR. It offers advanced technology solutions from countries, like the US, Japan, the UK, Germany, Finland and South Korea, to various industrial segments like

electronics, electrical, telecom, automotive, medical and pharmaceuticals, in India. These solutions are very important for achieving high productivity and

effi ciency. During an exclusive interaction with Arindam Ghosh, SK Jain, CMD, Sumitron Exports Pvt Ltd, shares his views on the importance of being based in the North & Delhi-NCR and throws light on various issues that a company needs

to consider towards establishing its business activities in this part of the country. Excerpts...

SK JainCMD, Sumitron Exports Pvt Ltd

Infrastructure is one major area where a lot of activities are taking place in Delhi-NCR

SK Jain, CMD, Sumitron Group of Companies, started the company in 1986 after working for eight years in the industry. Born at Jind, Haryana, Jain was an excellent student all through his academic career. He did his B.Tech in Electronics in 1978 from Punjab Engineering College (PEC) and completed his MBA from Bangalore. Jain holds the memberships of many premier institutions like ISA, IEEE, IETE and ESD. A widely travelled personality, he has been to countries like the US, the UK, Germany, France, Japan, Singapore, Taiwan and China for business as well as training on hi-tech machines.

CREDENTIALS

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40 OPINIONS & MORE SEARCH - Supplement September 2012

ELHI-NCR: AN INVESTMENT OPTIONAn organisation is built

with quality people and

this region boasts of

having one of the best talent pools in

the country. Besides, the world-class

infrastructure also plays an important

role. Delhi is the centre of the

Northern region and is surrounded by

places like Uttar Pradesh, Rajasthan,

Haryana and Punjab. This belt is

highly populated, which makes it easy

for us to approach the market.

Right after 1984, when the Punjab

crisis began, Delhi, which was not a

known name for business then, began

to be known as a trading region.

Delhi witnessed further growth as

major investments were made in the

manufacturing sector. With food

processing and consumer electronics/

durables industries taking interest

in the region, it began to experience

tremendous growth. The region provides

a good opportunity for the electronics

and other allied industries. Delhi and

its neighbouring regions are far ahead of

the other regions of the country when

it comes to the distribution and service

industry in India.

THE CHALLENGESThere are certain areas that need

attention. One such area is logistics.

Being land-locked, Delhi faces serious

connectivity issues as it does not have a

port. Also, Delhi does not have adequate

land resources. It is surrounded by

states like Rajasthan, Uttar Pradesh,

Haryana and Punjab. These regions

have never had industry-friendly

policies as there has always been a

conflict with the Central Government.

As a result, lack of good political will

has not allowed the manufacturing

industry to get established here.

Though the automobile industry

started its base here, it was not well

supported. Therefore, they migrated

from Haryana to other places and

now, Delhi–NCR has majorly become

a trading place.

WHAT CAN BE DONE?To address the drawbacks, the Centre

and the states should work together

and come up with a common policy.

India lacks a good manufacturing

strategy and when it comes to

manufacturing investments, it is not

only Delhi–NCR that is suffering. In

fact, in the last seven years, India did

not get any kind of large investment in

the manufacturing sector as domestic

players had shifted their plants. In short,

there is no real industrial investment,

which is a nation-wide problem. Delhi

has a geographical opportunity, but it

is only one of the requirements. There

are many more requirements like

people cost, labour, low energy cost,

port/road infrastructure and incentives.

These areas need to be looked into if

the manufacturing industry needs to

grow here.

LAVA’S FUTURE PLANSWe are investing in our design ability,

smart phone, tablet and other products.

We are also looking at manufacturing

some of the products, presently being

manufactured in Korea or Taiwan,

here in India. Having a manufacturing

facility here will not only create jobs,

but would also create value for the

consumers by local adoption and

customisation.

[email protected]

D

LAVA International Ltd started its expedition in 2009 in Noida, and since then, there has been no looking back. The company was started keeping in mind the

common man in India who has a limited source of income and cannot afford expensive brands. It was an idea to revolutionise the mobile market in India with the clear mantra to entice each & every target group and provide products that would satisfy a customer’s aspirations and desires. In an exclusive interaction

with Nishi Rath, SN Rai, Co-founder and Director, Lava International Ltd. discusses the region’s growth prospects. Excerpts…

SN RaiCo-founder and Director,

Lava International Ltd

Delhi–NCR is far ahead when it comes to the distribution and service industry

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42 PRODUCT UPDATE SEARCH - Supplement September 2012

This section gives information about products, equipment and services available in the market. If you know what you want. . .refer to Product Index on Page 50 to find it quickly

� EVEREST DRY VANE PUMPS

The 100% oil free, dry vane

pumps cater to the industrial

demand of a compact, quiet,

sturdy & reliable pump suitable for

delivering small volumes of 100% oil

free air at moderate pressures

essentially required for food,

medicine, printing, electroplating,

agitation, small STP & ETP plants

and other similar applications. Th ese pumps are precision machines

with simple construction & highly effi cient in operation. Th ey

require zero maintenance and are rated for continuous duty

operation. Th e vanes are made of prime quality impregnated

graphite with wear compensation mechanism to ensure high

effi ciency. Multi-vane design reduces pulsations giving les pulsating

fl ow elimination the need of additional accessories.

Everest Transmission

B-44, Mayapuri Industrial Area,

Phase-1, New Delhi-110064, India.

Tel: 91-11-45457777

Email: [email protected]

Web: www.everestblowers.com

� EVEREST VACUUM BOOSTERS

Dry Mechanical Vacuum

Booster Pumps will meet

the growing demand of the

vacuum industry. Th ey are used in

growing number of applications

where fast pump down times are

required and environment or energy usage concerns rule out any

alternative pump selection. Th e boosters enhance the performance

and pumping speeds of oil-sealed/ water-ring/ dry vacuum type of

mechanical pumps. Th ese boosters are highly energy effi cient and

provide greater pumping capacity at the least cost. Th e vacuum

boosters require low maintenance and are designed for continuous

duty operations. Th e production range covers capacities from 2,000

LPM to 1,00,000 LPM in single stage and any capacity in parallel

confi guration with working pressures better than 0.001 Torr.

Everest Transmission

(Vacuum Products Division)

B-44 Mayapuri Industrial Area, Phase-1,

New Delhi 110064, India.

Tel: 91-11-28116307, 28114944, Fax 91-11-28117469

Email: [email protected]

Web: www.everestblowers.com

Page 43: Search - Investment Destination - Delhi-NCR - September 2012

43PRODUCT UPDATESEARCH - Supplement September 2012

� VERTICAL MACHINING CENTER

A 5-Axis Vertical Machining Center is used for machining

complicated parts with complex geometry and profi les.

DMG is one of the best machine tool builders and with

this machine, user can achieve repeatable tolerances in the range of

10 microns.

Crystal Precision Pvt. Ltd.

Corp address: Hotel Crystal Palace,

G2/47 Boundary Road, Meerut (UP) 250001

Works : Plot 772 Udyogpuram,

Behind J.P. Resort, Partapur, Meerut (UP) 250103

Cell: +91 - 7830003636

Email: [email protected]

� PEDESTAL GRINDING MACHINE

“POWER MASTER” heavy

duty, double ended

pedestal grinding

machines are specially designed to

provide heavy metal removal in

engineering workshops, factories,

forging units, foundries etc. Each

pedestal grinder is complete with

electric motor, starter, two grinding

wheels, two MS wheel guards with exhaust outlets, and two

� UPS SYSTEM

Uniline has designed high

capacity high power UPS with

a single system capacity upto

300 kVA using the high frequency

IGBT rectifi er at rectifi er stage and high

frequency PWM IGBT technology at

the inverter stage. Conventional UPS

systems are designed with thyristor

based with 6 pulse/ 12 pulse

modulation. Th e maximum effi ciency of these UPS system is upto

92% and maximum power factor (pf) that can be achieved generally

adjustable tool rests. Th e motor is fi tted in the base of the pedestal

grinder and the machine is equipped with 2 speed V-Belt drive.

Arrangement is provided for increasing the spindle RPM when the

grinding wheel diameter is reduced. Th is helps to maintain the

correct surface foot per minute grinding speed.

Prem Brothers

B-57, Mayapuri Indl Area,

Phase-I, New Delhi-110064

Phone- 011-28117456/ 28117464/ 45595068

Tele Fax-011-28117456/ 64

Email: [email protected]

Web: www.power-master-india.com

Page 44: Search - Investment Destination - Delhi-NCR - September 2012

44 PRODUCT UPDATE SEARCH - Supplement September 2012

� INJECTION MOULDING MACHINE

The rubber injection moulding machine is

ideal for moulding precision parts with

accurate process control and high

productivity. Th e VE series is a vertical hydraulic

PLC-controlled 4-post rubber screw injection

moulding machine designed to maximise the

accuracy of the shot size. Th e VEC series is a 25 and

50 ton screw injection moulding machine designed

with a C-frame type clamp for unobstructed loading of inserts or

extrusions and ease of removing moulded parts.

J R D Rubber & Plastic Technology Pvt Ltd

New Delhi

� HYDRAULIC PUMPS

Pulsar hydraulic pumps are designed

to meet or exceed the original

equipment they replace. Th ese

pumps are manufactured with all new

materials and components and are tested

under rigorous quality control. Th e pumps

are made to ensure trouble-free service life.

Tight process control ensures consistency of product. Th ese are

made from special alloy extruded aluminium, which ensures long

service life. Th e pumps are 100% tested with endurance testing

carried in house periodically. Th ese are available in standard

mountings and provide effi cient pumping without air pockets. Th e

hydraulic pumps are assembled and tested in dustproof assembly

room, all gears hardened and shaved for best results.

Shriram Automotive Products Ltd

New Delhi

Tel: +91-011-40433111

Mob: 0810075011

Email: [email protected]

Web: www.shiromanihydraulics.com

is 0.8 in case of 6 pulse and 0.9 in case of 12 pulse. Th e total

harmonic distortion introduced by this kind of ups system is 30% in

case of 6 pulse and around 14% in case of 12 pulse.

Uniline Energy Systems Pvt Ltd

Uniline House - 198/23 Ramesh ,Market

East of Kailash - New Delhi - 110065

Tel: 011-46661111, Fax: 91-11-26481469

Mob: 9811288355

Email: [email protected]/ [email protected]

Web: www.unilineindia.com

Mob: 09810121208

Email: [email protected]

Web: www.jrdrubber.com

Page 45: Search - Investment Destination - Delhi-NCR - September 2012

45PRODUCT UPDATESEARCH - Supplement September 2012

� HYDRAULIC CAR LIFT

These hydraulic car lift is designed as

per customers’ specifi cations and

developed with the help of premium

grade of raw materials using most

sophisticated technology. Th e range of car lifts

fi nds application in diff erent sectors, like

automobile, heavy engineering, etc. Some of

the salient features include multi-utility, highly durable, lifting

height up to desired height, etc. Th e hydraulic car lift has a haulage

height of up to 12 meters with a capacity of three tons, which

makes it suitable space saver as modular car parking equipment.

Servo Tech (India)

Delhi

Tel: +91-011-23259123

Mob: 09810287375

Email: [email protected]

Web: www.shiromanihydraulics.com

� HIGH-VACUUM SUCTION UNIT

The Anand Hi-Vac Pluss high vacuum

high fl ow suction unit has a capacity of

0-700 mm Hg ±10 mm regulable, fl utter-

free vacuum control knob, 90 LPM. It is a double

piston type pump. Th e jar is of 2 x 2.5 ltr wide

Page 46: Search - Investment Destination - Delhi-NCR - September 2012
Page 47: Search - Investment Destination - Delhi-NCR - September 2012

47PRODUCT UPDATESEARCH - Supplement September 2012

� POWER AND CONTROL CABLES

These power and control cables

include aluminium/ copper

conductors, armoured/

unarmoured cables, etc. Th e cables consist

of carbon and hydrogen compounds, which

essentially contain low-density

polyethylene molecules in the form of long

fl exible chains. Cross-linked polyethylene

(XLPE) is a thermosetting compound. It

softens at the crytahne melting point of

polyethylene (85°C to 115°C) and assumes

an elastic rubber like consistency, a

property that it retains during further rise of temperature until it

becomes carbonised without melting at 250°C to 300°C.

Empire Cable Industries Pvt Ltd

Delhi

mouthed (polycarbonate) with changeover lever. Vacuum gauge is

bourden-type 6.25 cm dia 0-760 mm Hg calibration.

Anand Medicaids Pvt Ltd

New Delhi

Tel: 91-011-25225225

Email: [email protected]

Web: www.anandind.com

Page 48: Search - Investment Destination - Delhi-NCR - September 2012
Page 49: Search - Investment Destination - Delhi-NCR - September 2012

49PRODUCT UPDATESEARCH - Supplement September 2012

Tel: 011-2386 7957/8832

Email: [email protected]

Website: www.empirecables.com

� PALLET RACKS

These racks are engineered for send bulk pelletised loads,

lumber and sheet goods, drum storage and similar send

bulk products, in various racking confi gurations that are

accessible and

continuous. All

pallet racks, heavy

duty pallet racks,

industrial plastic

pallets components

are standard or

customised to fi t customers’ requirements. Material used is steel.

Also off ered are heavy-duty pallet racks, heavy-duty plastic pallets,

high quality pallet racks and industrial plastic pallets that are used

in warehouses.

Pilco Storage Systems Pvt Ltd

New Delhi

Tel: +91-011-27110024,

Mob: 09810074596

Email: [email protected]

Web: www.pilcoonline.com

� AUTOMOBILE FUSES

The Maxi series automobile fuses are available in a higher range

of amperage rating of 20 A to 80 A in 32 V AC/DC. Th ese

fuses are larger in size as compared to other ATO and Mini

series automobile fuses. Colour code is provided in each fuse for easy

ampere identifi cation. Larger

fuses are used in automobile

circuits for protection of wiring

harness by replacing the fusible

wire or fusible link, which is

often a plain piece of small

wire. Th e ATO series fuses are

suitable for automobiles,

trucks; whereas the Mini series fuses are suitable for buses, cars, etc.

Sahil International

New Delhi

Tel: 011-2246 4894

Mob: 9899153952

Email: [email protected]

Website: www.sahil-india.com

The information published in this section is as per the details furnished by the respective manufacturer/distributor. In any case, it does not represent the views of

SEARCH

Page 50: Search - Investment Destination - Delhi-NCR - September 2012

50 PRODUCT INDEX SEARCH - Supplement September 2012

FIC = Front Inside Cover, BIC = Back Inside Cover, BC = Back Cover

Auto drain .............................................49Auto transformer ...................................46Automated guided vehicle..................FICAutomobile fuses ...................................49Automotive wire ....................................35Bbl brake motor ................................FGFBbl/kec flame proof motor ................FGFBrake motor ..........................................12Broaching machines ........................ 19, 31Cable gland .............................................5Cable trolley ..........................................45Centralized lubrication system ..............44Centrifugal fans .......................................6Chain hoist ............................................47Chain pulley block ................................12Cleaning equipment ..............................51Coaxial cable .........................................35Compensating cables .............................37Control cables .......................................37Control panel ........................................41Crab hoist..............................................12Crane .....................................................12Crane drives ..........................................47Crane duty motor..................................12Critical components ..............................33Dry vane pumps ....................................42Electric wire rope hoist ................... 12, 47Electrical product ....................................5Electronics product .................................5EOT crane ...................................... 12, 47Exhibition - engineering expo ..............48Feeder pillar...........................................41Filtration unit .......................................31Fire alarm cable .....................................35Flange mounting motor ....................FGFFlat cables .............................................37Flexible polyamide conduits material ...45Flexible wire ..........................................35Fluid connectors ....................................47Forklift truck .........................................10Frequency drives ....................................41Frl spares valve spares ...........................49Gantry crane .........................................12Gear box ................................................47Gear motor ...................................... 12, 47Goliath crane .........................................12HF & RF Co-axial cables ....................37

Hand roll marking machine ..................39Heat shrink tubing ..................................5Heat transfer equipments ........................6Helical gear box ....................................47High power ups system .........................25High pressure blowers .............................6High-vacuum suction unit ....................45Hoses .....................................................47Hydraulic car lift ...................................45Hydraulic cylinder ............... 19, 31, 43, 47Hydraulic equipments ...........................19Hydraulic forging hammer ....................42Hydraulic power packs .................... 19, 31Hydraulic presses ....................... 19, 31, 42Hydraulic pumps ...................................44Hydro pneumatic presses ......................39Industrial starter ....................................41Injection molding machine ...................44Instrumentation cables ..........................37Insulating material solutions ...................8Integrated solutions ...............................39Isolator ..................................................15Jib crane ................................................12KEC AC motor ................................FGFKEC DC motor ................................FGFKEC slip ring crane duty motor .......FGFLaser marking systems ..........................39Loader ...................................................10Lorry loader ..........................................10Master controllers .................................45Material handling equipment ...............12Mcb .......................................................15Metal cutting tool ................................ bicMolded cable .........................................35Motor ................................................FGFMotors & control ............................ 19, 31Multi wire cable trolley .........................45Multicore flexible cable .........................37Multicore round cable ...........................35Numerators. ...........................................39Pallet racks ............................................49Pbegl geared motor ...........................FGFPCM cables ...........................................37Pedestal grinding machine ....................43Pick & move crane................................10Pin marking systems .............................39Piston rod ..............................................47

Pneumatic products ...............................49Power and control cables.......................47Power distribution panel .......................41Pre engineered buildings .......................21Precision machining ..............................33Process gas blowers .................................6Puf panels/insulated rooms ...................21Pumps.......................................... 6, 19, 31Radio remote control ............................45Rccb .......................................................15Rectifier transformer .............................46Resistance box .......................................45Roll markers ..........................................39Roof & wall cladding ............................21Rotary dry vacuum ..................................6Scable ties ................................................5Screw presses .........................................42Sealing system .......................................47Shielded cable .......................................37Silence flow packages ..............................6Single phase transformer .......................46Solderless terminal ..................................5Solenoid valve .......................................49Solid carbide drill ...............................BICSolid carbide drill with IC .................BICSolid carbide mill ...............................BICSolid carbide reamer ..........................BICSolid carbide reamer with IC ............BICSolid carbide special drill ...................BICSolid carbide special mill ...................BICSolid carbide special reamer ...............BICSteel tube ...............................................47Switches ................................................15Switchgear applications ...........................8Telephone cables ...................................37Thermal imaging cameras ................... BCThruster brakes .....................................45Tower crane ...........................................10Transformer ...........................................46Truck blowers ..........................................6UPS system ...........................................43Vacuum boosters ...................................42Valve ......................................................49Vertical machining center .....................43Wheel assembly ....................................47Wire connector .......................................5Wire rope drum ....................................47

Products Pg No Products Pg No Products Pg No

Looking For A Specific Product?Searching and sourcing products were never so easy.

Just type SRCH (space) Product Name

and send it to 51818eg. SRCH Pump and send it to 51818

Page 51: Search - Investment Destination - Delhi-NCR - September 2012
Page 52: Search - Investment Destination - Delhi-NCR - September 2012

52 ADVERTISERS’ INDEX SEARCH - Supplement September 2012

Our consistent advertisersFIC = Front Inside Cover, BIC = Back Inside Cover, BC = Back Cover

Action Construction Equipments Ltd 10

T: +91-11-40549900

E: [email protected]

W: www.ace-cranes.com

Applied Technosystems 39

T: +91-09911244140

E: [email protected]

W: www.appliedtechnosystems.com

Bhagirath Heavy Transmission 47

T: +91-11-32222661

E: [email protected]

C&S Electric Ltd. 15

T: +91-11-30887520-29

W: www.cselectric.co.in

Cenlub Systems 44

T: +91-129-4113771

E: [email protected]

W: www.cenlub.com

Chetan Cabletronics (P) Ltd 35

T: +91-1493-513109

E: [email protected]

W: www.chetancable.com

Crane Control Eqpts 45

T: +91-11-26388401

E: [email protected]

W: www.cranecontrolequipments.com

Crane-Bel Hydraulics 19

T: +91-120-3263281

E: [email protected]

W: www.crane-bel.com

Crane-Bel International Pvt Ltd 31

T: +91-120-3263281

E: [email protected]

W: www.crane-bel.com

Crystal Precision Pvt Ltd 33

T: +91-07830003636

E: [email protected]

W: www.crystalprecision.in

To know more about the products featured in this magazine, fax us on 022-3003 4499 or tear and post to us the ‘Product Inquiry Card’ by following the 5 easy steps given there. Alternatively, you may also write to us at [email protected] or call us on 022-3003 4684, and we will send your inquiries to the advertisers/companies directly to help you source better.

Advertisers’ Name & Contact Details Pg No Advertisers’ Name & Contact Details Pg No Advertisers’ Name & Contact Details Pg No

DSM India Pvt Ltd 8

T: +91-20-66430813

E: [email protected]

W: www.dsmep.com

Engineering Expo 48

T: +91-09819552270

E: [email protected]

W: www.engg-expo.com

Flir Systems India Pvt Ltd BC

T: +91-11-4560 3555

E: [email protected]

W: www.flir.com

G W Precision Tools India Pvt Ltd BIC

T: +91-80-40431252

E: [email protected]

W: www.gwindia.in

Hi-Tech Robotic Systemz Ltd FIC

T: +91-124-4715100

E: [email protected]

W: www.hitechroboticsystemz.com

Karcher Cleaning Systems Pvt Ltd 51

T: +91-120-4661800

E: [email protected]

W: www.karcher.in

Parashield Corporation 37

T: +91-11-22592741

E: [email protected]

W: www.parashieldcorpn.com

Puri Associates 45

T: +91-11-26490186

E: [email protected]

Rightvision (India) Pvt. Ltd. 42

T: +91-120-4261026

E: [email protected]

W: www.rightvision.biz

S M Engineers 41

T: +91-11-43005355

E: [email protected]

W: www.smengineers.org

Sarvottam Electronics 46

T: +91-11-64583562

E: [email protected]

Shree Prayag Air Controls (P) Ltd 49

T: +91-120-4733333

E: [email protected]

W: www.spacpneumatic.com

Sumitron Exports Pvt Ltd. 5

T: +91-11-41410631

E: [email protected]

W: www.sumitron.com

Swam Pneumatics Pvt Ltd 6

T: +91-120-4696222

E: [email protected]

W: www.swamatics.com

The Indian Electric Co FGF

T: +91-20-66865200

E: [email protected]

W: www.indianelectric.com

Trident Precision International 47

T: +91-11-41425326

E: [email protected]

W: www.trident-precision.com

Trident Products Pvt Ltd 43

T: +91-124-4300626

E: [email protected]

W: www.hydrauliccylinder.co.in

Uniline Energy Systems Pvt Ltd 25

T: +91-11-46661111

E: [email protected]

W: www.unilineindia.com

Vardhman Pre-Engineered Building

Systems (India) 21

T: +91-11-26011528

E: [email protected]

W: www.vardhmanpeb.com

Venus Engineers 12

T: +91-11-32222661

E: [email protected]

W: www.venusengineers.com

Page 53: Search - Investment Destination - Delhi-NCR - September 2012
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54

RNI No: 67827 /98 Postal Regd No G 2 / NMD / 81 / 2011 -13Posted at Mumbai PatrikaChannel Sorting Office- GPO, Mumbai 400 001

on 22nd & 23rd of Every Previous Month Date Of Publication: 18th of Every Month

RNI No: 67827 / 98 Licensed to Post without prepayment License No: WPP - 246Postal Regd No: KA / BG GPO / 2564 / 2011-13Posted at MBC, Bangalore GPO on 25th & 26th of Every Previous MonthDate of Publication: 18th of Every Month.