Aug. 14 – Over the past decade, India has seen various sectors grow within the country. Starting from the services sector (which makes up about 23 percent of the country’s total foreign direct investment (FDI)), India also experienced growth in the following sectors: computer software and hardware (8 percent), telecommunications (8 percent), housing and real estate (7 percent) and construction activities (7 percent).
In addition, the power and oil & gas industries also present significant opportunities for foreign investors looking to get their foot in the door of the Indian market. Given the expanding economy, energy demand is predicted to increase five-fold over the next 25 years, creating a huge potential for returns on investment in these fields.
In this update, we will examine three key sectors for FDI in India: telecommunications, power and oil & gas. Continue reading
May 28 – India is considered a foreign direct investment (FDI) “hot spot” and has seen FDI increase by 500 percent in the past decade. FDI reached US$33 billion during the 2012-13 fiscal year with India’s Finance Minister saying that the country is capable of handling as much as US$50 billion per year in FDI inflows.
This article will examine FDI into two sectors of India’s economy: manufacturing and energy.
As rising labor costs constrain China’s manufacturing output, India is well positioned to become a larger player in the manufacturing game. In an effort to increase manufacturing investment and output in the country, India instituted the National Manufacturing Policy. This policy, the first of its kind in India, facilitates Public Private Partnerships (PPP) as a means to entice investment into the country’s National Investment and Manufacturing Zones (NIMZs). Continue reading
Dec. 7 – The value of India’s exports throughout October 2011 were recorded at US$19.87 billion, good for a 10.82 percent increase over the level of US$17.93 billion during October 2010. The increasing value of exports for the period of April-October this fiscal year was US$179.78 billion against US$123.17 billion over the same stage last year, recording growth of 45.96 percent.
India’s monthly imports during October 2011 were recorded at US$39.51 billion, showing a development of 21.72 percent over the level of US$32.46 billion experienced in October last year. The swelling value of imports for the period of April-October this fiscal was US$273.47 billion as against US$208.82 billion over the same period last year, recording an increase of 30.96 percent. Continue reading
Aug. 5 – India’s exports through June 2011 were valued at US$29.21 billion, which was 46.45 percent superior to the level of US$19.94 billion seen in June 2010. On an expanded timeframe, the growing value of exports for the period April-June 2011-12 was US$79.00 billion against US$54.22 billion over the same period a year earlier – good for a 45.71 percent increase.
India’s imports for the duration of June 2011 came to US$36.87 billion, showing a growth of 42.46 percent over the level of imports valued at US$25.88 billion in June 2010. An increasing value of imports for the interval of April-June 2011-12 was US$110.61 billion as against US$81.20 billion over the same period in 2010 – good for a 36.22 percent increase. Continue reading
Jan. 5 – In a piece published on India Briefing last week, we discussed the suspension of Indian payments to Iran through the ACU (Asian Clearing Union). As a temporary fix, Iran has promised uninterrupted crude oil supply to India this month while India arranges its payments through a German bank based in Hamburg. A more permanent solution will be explored at a meeting in Tehran next week.
“There was no disruption in supplies and a payment mechanism for January crude imports is already in place,” Secretary of India’s Ministry of Petroleum and Natural Gas S. Sundareshan told reporters at a press briefing. Continue reading
Aug. 4 – The New Delhi government is proposing that diesel, petrol, compressed natural gas and health care services be excluded under India’s new Goods and Services Tax (GST) scheduled to be implemented next year.
“Several other states have also supported our view to keep petroleum products and CNG out of the ambit of GST. We will also request for excluding healthcare services from GST,” said Delhi Finance Minister A.K. Walia. Continue reading
Mar. 23 – Sources from India’s Ministry of Petroleum and Natural Gas indicated that Cairn India has discovered massive new oil reserves in Rajasthan that could increase India’s domestic oil production by about 23 percent next year reports The Economic Times.
The company is expected to make an official announcement shortly. Cairn India extracts oil from the Barmer region of Rajasthan and has launched seismic surveys in a number of its other blocks. It has undertaken 4D seismic survey at Ravva. Cairn India also launched 3D seismic surveys in Palar basin and in Sri Lanka, and specializes in surveying and extraction from smaller and less accessible fields. Continue reading
Oct. 30 – Russia-based energy efficiency consultancy firm, GCE group, announced its entry into the Indian market, where it will be operating in sectors such as oil and gas, power and cement, reports The Hindu.
“We have entered the Indian market with a long-term expansion plan and aim to clock $100 million revenue annually over the next five years,” GCE Group President Alexander Moskalenko said at a press conference. Continue reading