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President's Message
" The latest Moody’s warning on Indian economy is worth taking a note. Because of the continuing political log jam in the Parliament, the fate of critical Bills on - GST, Land acquisition, Labour etc. hangs in limbo. With prices of commodities especially of crude being at their lowest ebb, it is a great window for effecting reforms to open up those sectors which could have economy wide impact. I hope both the ruling party and the opposition will show the statesmanship needed to rise above the petty politics and work towards making India prosperous. "
The 18th Rwanda International Trade Fair was officially opened by Rwanda’s Prime Minister H.E. Anastase Murekezi at Gikondo expo grounds in Kigali on 29th July 2015. Minister of SSI, State of Karnataka Satish Jarkiholi was also present on the occasion. A twelve member delegation from FISME led by H.E. Mohan Suresh (Chairman, Intl. Trade Committee, FISME), is participating in the Trade Fair. Besides India, over 400 local and foreign companies are participating from Egypt, Ghana, Botswana, Senegal, Nigeria, United Arab Emirates, Pakistan, Dubai, Singapore, East African Community states and Malaysia among other countries.
During my lifetime I have been presented with all different types of opportunities, and I have learned to never judge any opportunity too soon. You may be presented with a business opportunity that is completely foreign to you. Don’t discriminate against it right away just because it is outside of your wheelhouse --
you never know what this new opportunity could mean in the future.
“maximizing employment generation should be the exclusive focus of this government’s reform measures. This must be the single most important policy priority today...”
Freeing foreign portfolio investment (FPI) up to 49 per cent across all key sectors, as the government has done, might lead to more flow of short-term money. And, raise the volatility in capital markets, worry some. However, the government has played down the fears, saying it would rather curb existing misuse of FPI caps. The government on Thursday said it had decided to allow FPI up to 49 per cent through the automatic route in most sectors. And, all types of foreign investments – FDI, FII, NRI, FVCI, QFI, LLPs and DRs – have been subsumed into a single cap in each sector.
Scaling on the optical fibre network, the country’s flagship programme of Digital India is surging ahead with industry captains pitching in large numbers to make the ambitious plan a reality, asserting investments will not come in the way. On the launch day, an upbeat India Inc. pledged over Rs 4.5 lakh crore, creating 18 lakh new jobs. Prime Minister Narendra Modi , kicking off the programme, has said that the government wants the nation to be self-reliant in electronic goods production and turn it into leader in cyber security and innovations.
To attract more overseas money into the country, the Union Cabinet today cleared a proposal allowing foreign entities to invest in Alternative Investment Funds (AIFs). The decision will help make available more funds to start-ups, early stage ventures, small and medium enterprises (SMEs), which are generally considered as high risk investments. Official sources said the Cabinet has given its approval for foreign investments in AIFs that are set up under Sebi regulations and would widen the avenues for overseas entities to put in their money.
Central government agencies SFAC and Nafed have decided to move their onion stocks from Nashik to Delhi as retail prices have almost trebled within a month. These onions will be sold at Safal and Delhi Milk Scheme outlets, and will be cheaper than market rates by Rs 10 a kg. However, traders claim that this will not help control rising prices as the government's stock is sufficient for only two days and there's a basic shortage of the bulb in the country. SFAC (Small Farmers Agribusiness Consortium) and Nafed (National Agricultural Co-operative Marketing Federation) had together procured 5,000 tonne of onions on behalf of the Centre while SFAC has procured another 2,500 tonne for the Delhi government through the price stabilisation fund (PSF).
Export of sawn timber to Nepal made exclusively out of imported wood logs through the port of Kolkata has been permitted from the Land Customs Station (LCS) of Raxaul, said Directorate General of Foreign Trade (DGFT). The importer and exporter shall be the same firm and the import and export shall have to be effected from the same port. The scheme will be operational only from the ports of Chennai, Kandla, Kolkata, Mangalore, Mumbai, Mundra, Nhava Sheva (JNPT), Tuticorin, Vishakhapatnam and the Land Customs Station (LCS) of Raxaul.
Some of the world's biggest companies have come together to give Indian startups a leg up, under a programme launched by IT industry body Nasscom. Google, Amazon, Microsoft, IBM, Accenture, Dell and Wipro are among 20 companies that are part of the programme that seeks to foster an environment wherein corporates would help startups by sharing with them the expertise of their employees, by providing access to their customers and customer events, and developing joint solutions that they take to the market together or separately.
The communal clashes that took place in the steel city last week, leading to curfew for three days, took a toll on the small and medium enterprises causing a huge production loss of around Rs 500 crore. The city witnessed sporadic arson and group clashes over an alleged eve-teasing incident in Mango area on last Monday which was followed by communal clashes and curfew. According to the businessmen, though administration took all steps and efforts to calm the city, the business environment was adversely affected by the imposition of curfew in the town.
Stressing on service delivery and timely grievance redressal as a key result areas for the Income Tax Department, Finance Ministry today said in a release that from April 1, 2014 to July 22, 2015 the overall disposal rate of grievances received on public grievances portal of the Government of India works out to 85 per cent. “Grievance redressal is a major aspect of citizen centric governance and is an important feature of the activities of the Income Tax Department,” Ministry of Finance said in the release.
In the event of banks being forced to conserve capital or to reduce their RWAs, the MSME borrowers are likely be the first to be jettisoned, said RBI Deputy Governor S S Mundra while deliberating upon the consequences of new international supervisory framework. “This may be catastrophic for the MSME sector as they have virtually no access to the alternate formal sources of finance,” he said while addressing at the Banque de France – Reserve Bank of India (RBI) Joint Conference at Paris on July 20.
To make the state one of the most preferred destinations for food processing industries, the Andhra Pradesh government is targeting investments worth Rs 5,000 crore in the sector by 2020 which aims to create 50,000 additional employment opportunities in the sector. The new Food Processing Policy 2015-20 has an objective to develop commodity-based clusters to enable a focused and planned approach to develop the food processing industry through a coordinated approach between government departments.
The Assam government today said it will electrify 782 tea estates in a phased manner as part of its plans to roll out a slew of people-centric measures in coming days.
"It was decided that 782 tea estates of the state will be electrified and installation of separate meters for every household will be completed in a phased manner on a priority basis, benefiting those residing in tea estates," an official release said. Free electricity connection has also been provided to 75 lakh households in the state so far and the number would grow in the days to come, it said.
Punjab Government chalked out a detailed action plan under Punjab Skill Development Mission to upgrade the skills of one lakh youth of the state to make them employable. The detailed modalities and action plans of the various skill development initiatives of Punjab Skill development mission was reviewed by Chief Secretary, Punjab, Sarvesh Kaushal, while chairing the steering committee of the mission. He said the state government had notified the 'Punjab Skill Development Mission' to oversee and co-ordinate the implementation of various skill development schemes across all the departments.
Kerala is ranked on top among other states with a ratio of about 735 in terms of actual exports and actual investments through agri export zones (AEZs), according to a study. “With an export value worth about Rs 2,278 crore, Kerala has acquired third top share of six per cent in total net exports value of worth over Rs 38,300 crore terms of states’ actual exports through AEZs,” highlighted a study titled ‘Agri Exports: Issues & concerns,’ conducted by the Associated Chambers of Commerce and Industry of India (ASSOCHAM).
Government, on Wednesday, approved seven proposals of Foreign Direct Investment (FDI) amounting to around Rs 981.15 crore. “Based on the recommendations of Foreign Investment Promotion Board (FIPB) in its 220th meeting held on July 3, 2015, Government has approved 07 proposals of Foreign Direct Investment amounting to Rs 981.15 crore approximately,” said a statement from the Ministry of Finance.Some of the applicants of the approved proposals are Celon Laboratories Limited, Hyderabad, Telangana (Pharma); Keppel Puravankara Development Private Limited, Bangalore (Real Estate);Lalea Trading Ltd, Cyprus (Real Estate); Hathway Cable and Datacom Limited (Telecom and Broadcasting); Cheetah Communications Private Limited, New Delhi (Telecom); Destimoney Enterprises Limited (Investing Company) and Kotak Mahindra Bank Limited, Mumbai (Banking).
The Indian Department of Biotechnology, Ministry of Science and Technology (MST) and Brazilian Ministry of Science, Technology and Innovation (MCTI) jointly proposed for R&D translational projects in biotechnology. The Agreement on Scientific and Technological Cooperation between the Government of India and the Government of the Brazil concluded on March 30, 2012 in New Delhi. “The objective is to broaden and deepen cooperation in Science & Technology in the field of Biotechnology; to encourage industrial R&D and related investment flows, bilaterally and/or regionally in the field of Biotechnology and to promote transparency through exchange of information and cooperation among relevant institutions,” said a notification from MST.
The New Development Bank (NDB), dedicated for the BRICS nations, including India, to step up infrastructure funding in the emerging economies formally started its operations at its headquarters here today. Chinese Finance Minister Lou Jiwei, Shanghai Mayor Yang Xiong and the bank's President K V Kamath attended the opening ceremony held in a hotel in Shanghai. Kamath, formerly a private banker in India, will be the bank's President for the first five years. The NDB will supplement the existing international financial system in a healthy way and explore innovations in governance models, Lou said at a seminar following the ceremony.
Will China troubles be a good news for Indian SMEs?s
According to the FISME Factor, 60 percent of Micro, Small and Medium Enterprises (MSMEs) think that China troubles will be a good news for Indian SMEs while 40 percent think otherwise.
8 Steps for Entrepreneurs to become better Leaders
Over the last 4 years as I have gone about working closely with entrepreneurs one challenge I have seen with most SMB owners is a weak second line waiting for instructions and rarely challenging the assumptions or decisions or the management style of the owner – right or wrong.
What if you could earn data while surfing apps? Gigato, an app to be launched on Thursday, plans to reimburse users for data spent on partner apps besides allocating additional data for free. Firms can reward users with free data packs for using their apps and earn more downloads. The process works in a similar manner to cashbacks.
Target audience and objective. Defined! Idea and script. Locked! Shooting. Done! Post production work. Complete! Uploaded on the net. It's Live! What next? What follows is a brilliant road map to promote and spread your video content and get those big views. Luckily, it's not very difficult to do and is relatively inexpensive. Here is an example to prove that it takes a sharp mind, and not just moneys, to make your online video content a super hit!
Haryana guidelines on industrial plots may hurt SMEs
The guidelines issued some time back by the Haryanagovernment for allotment of industrial plots in the Industrial Model Townships developed by the Haryana State Industrial and Infrastructure Corporation across the state may hamper the growth of micro, small and medium enterprises (MSMEs) in the state. HSIIDC has also scrapped nearly 2,400 applications for allotment that have been pending since 2010, and fresh applications will be invited through an e-auction.
Saraansh Tandon, Namit Bajoria and Ruba Singh are strong believers in diversification. Not content with the thought of managing their families’ established businesses, they ventured into emerging fields, introduced new products and took their brands into uncharted territory. Chandigarh-based Tandon, now 26, founded a product-based start-up called Competent Groove. “I wouldn’t have been able to sustain myself in the existing family business for the next 50 years. I wanted to do something where my passion lies -- to make life easier for people by deploying technology. So I ventured into a new area,” he said.
After securing a position of largest bus ticketing company in the country, Red-Bus, an online bus ticketing and hotel booking company founded in August 2006 is certainly an encouraging story for the budding entrepreneurs in India who now wants to break the cliché in their careers. Red Bus was founded by Phanindra Sama and Charan Padmaraju, young graduates from BITS Pilani. Sama was a state ranker in Intermediate examination from the Andhra Pradesh Sr. Secondary Board and Graduated with distinction from BITS ¬Pilani. After that he worked with Texas Instruments, Bangalore before he co¬founded Red-Bus.
The Central Statistics Office (CSO), Ministry of Statistics and Programme Implementation, has released the Quick Estimates of Index of Industrial Production (IIP) with base 2004-05 for the month of April 2015.
FISME regularly receives monthly reports on the economies of various countries from their missions in India. These reports provide information on key economic parameters, trade related information and all news relevant for importers and exporters. In this edition you can take a look at reports on:
Write your comments on the FISME Factor. Share your views and suggestions on MSME issues. Win prize! The best mail will get a special book every fortnight.
send mail to: newsletter@fisme.org.in
You are receiving this Newsletter because you are included in our mailing list of recipients who are involved or interested in FISME or Indian MSMEs. You are welcome to partly or fully reproduce and disseminate the contents of this publication provided that you acknowledge the source.
This Newsletter is edited by the FISME Secretariat. We welcome contributions as well as comments and suggestions. Please write to newsletter@fisme.org.in
" The latest Moody’s warning on Indian economy is worth taking a note. Because of the continuing political log jam in the Parliament, the fate of critical Bills on - GST, Land acquisition, Labour etc. hangs in limbo. With prices of commodities especially of crude being at their lowest ebb, it is a great window for effecting reforms to open up those sectors which could have economy wide impact. I hope both the ruling party and the opposition will show the statesmanship needed to rise above the petty politics and work towards making India prosperous. "
The 18th Rwanda International Trade Fair was officially opened by Rwanda’s Prime Minister H.E. Anastase Murekezi at Gikondo expo grounds in Kigali on 29th July 2015. Minister of SSI, State of Karnataka Satish Jarkiholi was also present on the occasion. A twelve member delegation from FISME led by H.E. Mohan Suresh (Chairman, Intl. Trade Committee, FISME), is participating in the Trade Fair. Besides India, over 400 local and foreign companies are participating from Egypt, Ghana, Botswana, Senegal, Nigeria, United Arab Emirates, Pakistan, Dubai, Singapore, East African Community states and Malaysia among other countries.
During my lifetime I have been presented with all different types of opportunities, and I have learned to never judge any opportunity too soon. You may be presented with a business opportunity that is completely foreign to you. Don’t discriminate against it right away just because it is outside of your wheelhouse --
Freeing foreign portfolio investment (FPI) up to 49 per cent across all key sectors, as the government has done, might lead to more flow of short-term money. And, raise the volatility in capital markets, worry some. However, the government has played down the fears, saying it would rather curb existing misuse of FPI caps. The government on Thursday said it had decided to allow FPI up to 49 per cent through the automatic route in most sectors. And, all types of foreign investments – FDI, FII, NRI, FVCI, QFI, LLPs and DRs – have been subsumed into a single cap in each sector.
Scaling on the optical fibre network, the country’s flagship programme of Digital India is surging ahead with industry captains pitching in large numbers to make the ambitious plan a reality, asserting investments will not come in the way. On the launch day, an upbeat India Inc. pledged over Rs 4.5 lakh crore, creating 18 lakh new jobs. Prime Minister Narendra Modi , kicking off the programme, has said that the government wants the nation to be self-reliant in electronic goods production and turn it into leader in cyber security and innovations.
To attract more overseas money into the country, the Union Cabinet today cleared a proposal allowing foreign entities to invest in Alternative Investment Funds (AIFs). The decision will help make available more funds to start-ups, early stage ventures, small and medium enterprises (SMEs), which are generally considered as high risk investments. Official sources said the Cabinet has given its approval for foreign investments in AIFs that are set up under Sebi regulations and would widen the avenues for overseas entities to put in their money.
Central government agencies SFAC and Nafed have decided to move their onion stocks from Nashik to Delhi as retail prices have almost trebled within a month. These onions will be sold at Safal and Delhi Milk Scheme outlets, and will be cheaper than market rates by Rs 10 a kg. However, traders claim that this will not help control rising prices as the government's stock is sufficient for only two days and there's a basic shortage of the bulb in the country. SFAC (Small Farmers Agribusiness Consortium) and Nafed (National Agricultural Co-operative Marketing Federation) had together procured 5,000 tonne of onions on behalf of the Centre while SFAC has procured another 2,500 tonne for the Delhi government through the price stabilisation fund (PSF).
Export of sawn timber to Nepal made exclusively out of imported wood logs through the port of Kolkata has been permitted from the Land Customs Station (LCS) of Raxaul, said Directorate General of Foreign Trade (DGFT). The importer and exporter shall be the same firm and the import and export shall have to be effected from the same port. The scheme will be operational only from the ports of Chennai, Kandla, Kolkata, Mangalore, Mumbai, Mundra, Nhava Sheva (JNPT), Tuticorin, Vishakhapatnam and the Land Customs Station (LCS) of Raxaul.
Some of the world's biggest companies have come together to give Indian startups a leg up, under a programme launched by IT industry body Nasscom. Google, Amazon, Microsoft, IBM, Accenture, Dell and Wipro are among 20 companies that are part of the programme that seeks to foster an environment wherein corporates would help startups by sharing with them the expertise of their employees, by providing access to their customers and customer events, and developing joint solutions that they take to the market together or separately.
The communal clashes that took place in the steel city last week, leading to curfew for three days, took a toll on the small and medium enterprises causing a huge production loss of around Rs 500 crore. The city witnessed sporadic arson and group clashes over an alleged eve-teasing incident in Mango area on last Monday which was followed by communal clashes and curfew. According to the businessmen, though administration took all steps and efforts to calm the city, the business environment was adversely affected by the imposition of curfew in the town.
Stressing on service delivery and timely grievance redressal as a key result areas for the Income Tax Department, Finance Ministry today said in a release that from April 1, 2014 to July 22, 2015 the overall disposal rate of grievances received on public grievances portal of the Government of India works out to 85 per cent. “Grievance redressal is a major aspect of citizen centric governance and is an important feature of the activities of the Income Tax Department,” Ministry of Finance said in the release.
In the event of banks being forced to conserve capital or to reduce their RWAs, the MSME borrowers are likely be the first to be jettisoned, said RBI Deputy Governor S S Mundra while deliberating upon the consequences of new international supervisory framework. “This may be catastrophic for the MSME sector as they have virtually no access to the alternate formal sources of finance,” he said while addressing at the Banque de France – Reserve Bank of India (RBI) Joint Conference at Paris on July 20.
To make the state one of the most preferred destinations for food processing industries, the Andhra Pradesh government is targeting investments worth Rs 5,000 crore in the sector by 2020 which aims to create 50,000 additional employment opportunities in the sector. The new Food Processing Policy 2015-20 has an objective to develop commodity-based clusters to enable a focused and planned approach to develop the food processing industry through a coordinated approach between government departments.
The Assam government today said it will electrify 782 tea estates in a phased manner as part of its plans to roll out a slew of people-centric measures in coming days.
Punjab Government chalked out a detailed action plan under Punjab Skill Development Mission to upgrade the skills of one lakh youth of the state to make them employable. The detailed modalities and action plans of the various skill development initiatives of Punjab Skill development mission was reviewed by Chief Secretary, Punjab, Sarvesh Kaushal, while chairing the steering committee of the mission. He said the state government had notified the 'Punjab Skill Development Mission' to oversee and co-ordinate the implementation of various skill development schemes across all the departments.
Kerala is ranked on top among other states with a ratio of about 735 in terms of actual exports and actual investments through agri export zones (AEZs), according to a study. “With an export value worth about Rs 2,278 crore, Kerala has acquired third top share of six per cent in total net exports value of worth over Rs 38,300 crore terms of states’ actual exports through AEZs,” highlighted a study titled ‘Agri Exports: Issues & concerns,’ conducted by the Associated Chambers of Commerce and Industry of India (ASSOCHAM).
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Government, on Wednesday, approved seven proposals of Foreign Direct Investment (FDI) amounting to around Rs 981.15 crore. “Based on the recommendations of Foreign Investment Promotion Board (FIPB) in its 220th meeting held on July 3, 2015, Government has approved 07 proposals of Foreign Direct Investment amounting to Rs 981.15 crore approximately,” said a statement from the Ministry of Finance.Some of the applicants of the approved proposals are Celon Laboratories Limited, Hyderabad, Telangana (Pharma); Keppel Puravankara Development Private Limited, Bangalore (Real Estate);Lalea Trading Ltd, Cyprus (Real Estate); Hathway Cable and Datacom Limited (Telecom and Broadcasting); Cheetah Communications Private Limited, New Delhi (Telecom); Destimoney Enterprises Limited (Investing Company) and Kotak Mahindra Bank Limited, Mumbai (Banking).
The Indian Department of Biotechnology, Ministry of Science and Technology (MST) and Brazilian Ministry of Science, Technology and Innovation (MCTI) jointly proposed for R&D translational projects in biotechnology. The Agreement on Scientific and Technological Cooperation between the Government of India and the Government of the Brazil concluded on March 30, 2012 in New Delhi. “The objective is to broaden and deepen cooperation in Science & Technology in the field of Biotechnology; to encourage industrial R&D and related investment flows, bilaterally and/or regionally in the field of Biotechnology and to promote transparency through exchange of information and cooperation among relevant institutions,” said a notification from MST.
The New Development Bank (NDB), dedicated for the BRICS nations, including India, to step up infrastructure funding in the emerging economies formally started its operations at its headquarters here today. Chinese Finance Minister Lou Jiwei, Shanghai Mayor Yang Xiong and the bank's President K V Kamath attended the opening ceremony held in a hotel in Shanghai. Kamath, formerly a private banker in India, will be the bank's President for the first five years. The NDB will supplement the existing international financial system in a healthy way and explore innovations in governance models, Lou said at a seminar following the ceremony.
According to the FISME Factor, 60 percent of Micro, Small and Medium Enterprises (MSMEs) think that China troubles will be a good news for Indian SMEs while 40 percent think otherwise.
Over the last 4 years as I have gone about working closely with entrepreneurs one challenge I have seen with most SMB owners is a weak second line waiting for instructions and rarely challenging the assumptions or decisions or the management style of the owner – right or wrong.
What if you could earn data while surfing apps? Gigato, an app to be launched on Thursday, plans to reimburse users for data spent on partner apps besides allocating additional data for free. Firms can reward users with free data packs for using their apps and earn more downloads. The process works in a similar manner to cashbacks.
Target audience and objective. Defined! Idea and script. Locked! Shooting. Done! Post production work. Complete! Uploaded on the net. It's Live! What next? What follows is a brilliant road map to promote and spread your video content and get those big views. Luckily, it's not very difficult to do and is relatively inexpensive. Here is an example to prove that it takes a sharp mind, and not just moneys, to make your online video content a super hit!
The guidelines issued some time back by the Haryanagovernment for allotment of industrial plots in the Industrial Model Townships developed by the Haryana State Industrial and Infrastructure Corporation across the state may hamper the growth of micro, small and medium enterprises (MSMEs) in the state. HSIIDC has also scrapped nearly 2,400 applications for allotment that have been pending since 2010, and fresh applications will be invited through an e-auction.
Saraansh Tandon, Namit Bajoria and Ruba Singh are strong believers in diversification. Not content with the thought of managing their families’ established businesses, they ventured into emerging fields, introduced new products and took their brands into uncharted territory. Chandigarh-based Tandon, now 26, founded a product-based start-up called Competent Groove. “I wouldn’t have been able to sustain myself in the existing family business for the next 50 years. I wanted to do something where my passion lies -- to make life easier for people by deploying technology. So I ventured into a new area,” he said.
After securing a position of largest bus ticketing company in the country, Red-Bus, an online bus ticketing and hotel booking company founded in August 2006 is certainly an encouraging story for the budding entrepreneurs in India who now wants to break the cliché in their careers. Red Bus was founded by Phanindra Sama and Charan Padmaraju, young graduates from BITS Pilani. Sama was a state ranker in Intermediate examination from the Andhra Pradesh Sr. Secondary Board and Graduated with distinction from BITS ¬Pilani. After that he worked with Texas Instruments, Bangalore before he co¬founded Red-Bus.
“The things we fear the most in organizations- fluctuations, disturbances, imbalances – are the primary sources of creativity.”
