India and the Indians have undergone a paradigm shift. There have been fundamental
and irreversible changes in the economy, government policies, outlook of business and
industry, and in the mindset of the Indians in general.
a shortage economy of food and foreign exchange, India has now become a surplus
From an agro based economy, India has emerged as a service oriented one.
From the low
growth of the past, the economy has become a high
growth one in the
Having been an aid recipient, India is now joining the aid givers club.
Although India was late and slow in modernization of industry in general in the past, it is
now a front
runner in the emerging Knowledge based New Economy.
rnment is continuing its reform and liberalization not out of compulsion but out
Indian companies are no longer afraid of Multinational Companies. They have become
globally competitive and many of them have become MNCs themselves.
Fatalism and contentment of the Indian mindset have given way to optimism and
Introvert and defensive approach have been replaced by outward
looking and confident
In place of denial and sacrifice, the Indian value system has s
tarted recognizing seeking
of satisfaction and happiness.
The Indian culture, which looked down upon wealth as a sin and believed in simple living
and high thinking, has started recognizing prosperity and success as acceptable and
Indian management graduates no longer queue up for safe government jobs. They prefer
and enjoy the challenges and risks of becoming entrepreneurs and global players in the
emerging private sectors.
Stable country and institutions
India being a larg
est democracy with stable, mature, vibrant and exemplary democratic
governance and institutions, boasts lots of quality B
Schools attracting intellect student
community in large number every year.
Possess strong and transparent legal and accounting sy
Numerous watchful and proactive NGOs.
Free, vocal, alert and quality media. 5600 dailies with a combined circulation of 60
million, nearly 15000 weeklies and 20000 periodicals in 21 regional languages.
Legal protection for intellectual
Large and growing market of 1 billion people out of which 300 million are middle class
India offers a vibrant market of youth and vigor with 54% of population below 25 years
of age. These young people
will work harder, earn more and demand more from the market
and thereby sustaining growth in the long
Every month, there is an addition of one million cell phone subscribers. By December
2005, the total number is expected to reach 100 million. T
he domestic demand is expected
to double over the ten
year period from 1998 to 2007. The number of households with
"high income" is expected to increase by 60% in the next four years to 44 million
India is a fastest growing econom
y that the developed nations always looking the country
as a best global market to market the products. The fundamentals of the Indian economy
have become strong and sustainable. The macro
economic indicators are at present the
best in the history of indep
endent India with high growth, foreign exchange reserves, and
foreign investment and robust increase in exports and low inflation and interest rates.
India is the second fastest growing economy of the world at present.
A unique feature of the tra
nsition of the Indian economy has been high growth with
stability. The Indian economy has proved its strength and resilience when there have been
crises in other parts of the world including Asia in recent years.
The interest rate continues to be red
uced and is around 6%. This is the lowest in the last
thirty years and this is stimulating consumption and investment.
One of the world's largest food producers (600 million tones).
World's largest producer of milk, sugarcane and tea.
Second largest exporter of rice, wheat, fruits, and vegetables. India produces 30 million
tones of fruits and 59 million tones of vegetables.
Diversified and large industrial base, which is becoming globally competitive. Examples,
Steel and NALCO are the lowest cost manufacturers of steel and aluminium in the
world. Moser Baer is one of the top three manufacturers of CD Roms in the world. Bharat
Forge is one of the leading suppliers to auto giants, such as Ford, General Motors, and
India's Hero Honda is the world's largest motorcycle manufacturer with 2002 production
of 1.7 million units.
The Indian companies have drawn up ambitious plans for expanding and diversifying
their manufacturing activities with about 12 bi
llion dollars in the next three years. Most of
the companies have been able to generate the funds from their own operations. The areas
whose output is being scaled up are automobiles, auto parts, metals, chemicals,
pharmaceuticals and electronics.
e of the Indian companies have gone global with presence in 60 countries, including
USA, Europe and China. India is one of the top ten producers of bulk drugs in the world and
60% of India's bulk drugs production is exported. India has the highest number o
bulk drugs filings (77) with USFDA. India is home to the largest number of pharma plants
(61) approved by USFDA outside US.
The chemical industry is becoming competitive and has very high growth potential for
production for local market as we
ll as exports. Bayer AG, the German chemical and
pharmaceutical company has identified India as the outsourcing hub for basic and specialty
There are 150 biotechnology companies whose business is growing exponentially.
The auto parts i
ndustry has emerged as one of the country's fastest
manufacturing sectors; this is expected to reach US$ 8 billion in 2006. 'Bharat Forge' of
India is the world's largest manufacturer of front axles for trucks. India has emerged as an
enter for auto parts. Visteon and Delphi, the world's largest component
manufacturers have entered India for production. Toyota is opening a transmission parts
unit in India. Volvo and GM have set up purchasing offices. A rising share of Indian auto
exports goes to original equipment manufacturers (OEMs).
India is the second largest cement producer in the world with 110 million tons.
India is the world's premier center for diamond cutting and polishing. Nine out of every
10 stones old in the
world pass through India.
India has a large entertainment industry, which produces more than 1,000 movies per
year overshadowing Hollywood.
Best wishes from M.RAMARAO