Europe meets India:

1

• Europe meets India
• Global Partnership in
• Emerging Areas of EU India Relations
• Nayan Patel,
• President
• Indian Merchants Chamber
• 9th. November 2006

2
Introduction

• 2006 marks 43 years of formal EU-India relations
• India and many countries of the EU have shared
  strong historical, trade and economic relations
• Comprehensive Economic Cooperation Agreement
  (CECA) with the EU

3
Recent Events

• The EPFIN Group is in India to strengthen India
  EU Partnership
• The 7th. India-EU Summit in Helsinki

• EU is Indias largest trading partner

• EU is also the leading investor in India and a
  major destination for Indian investors

• UK is now the third biggest investor in India
• India is the second largest foreign investor in
  the UK

• INDIA CALLING 2006
• Leveraging the India UK Business Relationship -
  London

4
Recent Events

• Prince Andrew
• The Duke of York
• Described India as a better investment
  destination for British companies than China .
• India had an advantage for British investors
  because of the common language, the existence of
  rule of law and democracy
• People should not be afraid of outsourcing they
  should embrace it.
• Technology, education and values of Indian BPOs
  contributed to the success of British Companies

5
Recent Events

• Guy Verhofstadt
• Prime Minister of Belgium

• India an upcoming economic political power
• Two pronged agenda - Political Economic
• Belgium gateway to European Markets
• Knowledge Based Services, Logistics,
  Infrastructure Aeronautics
• India Belgium signed bilateral social security
  agreement on 2nd. November 2006

6
What India is looking for?

• Better recognition of Certification for Degrees
• Free mobility for Service Providers
• Jobs for rising pool of Technologists

7
What the EU wants?

• Greater access to Industrial Goods
• Reduction in Import Duties
• Liberalization of Financial Sector

8
To bridge this Gap

• High level group on trade, co-chaired by Indian
  Commerce Secretary and his EU counterpart to meet
  in December on the Trade Investment Agreement
• London Stock Exchange (LSE) wooing Indian
  companies

9
Indias Growth Stories

• India retains a robust growth outlook. The long
  tem growth is expected to be still brighter

• India ranks 43 in Global Competitiveness Index

10
Emerging Opportunities
Urban Infrastructure Roads
Finance Banking
Commodity Markets
Knowledge Based Services
Higher Technical Education
Consumer Retail
Sports
Media Entertainment
Oil Gas
Healthcare
Power
11
Indias Growth Stories

• Series of acquisitions by Indian companies
  indicates that Indian corporates are fast taking
  global leadership position
• Indian firms have acquired 307 companies worth
  over 20 billion
• India is thus set to become a net FDI exporter

12
Indias Demographic Dividend

• Indias population is over 1 billion, 400 million
  are estimated to be middle class consumers
• India offers a young vibrant market with 54 of
  the population less than 25 years of age
• Domestic consumption of goods and services set to
  double over the next 10 years
• Number of households with high income estimated
  to increase by 60 in next four years to 44
  million

13
EUs Initiatives

• Radical strategy for energy market
• Unified VAT tax in EU India needs to learn
• Reduction in the cost of trading shares between
  bourses in the 25 member states
• Ushering in a PAN-European Securities Market

14
EUs Initiatives
Tony Blair Prime Minister of UK
The country has to remain a leader in
innovations to prevent research funds migrating
to emerging economies such as India China
15
Concluding Remarks

• IMC interested in intensifying India-EU
  interactions
• India and the EU have much to contribute towards
  fostering a rule, based on international order
• Common challenges globalisation, terrorism,
  energy security and environment

16
Concluding Remarks

• Need to upscale and bridge the skill gaps of the
  Indian workforce - an area where EU could be of
  great help
• IMC has initiated a Value Added Vocational
  Training Program
• Setting up of an EU Information Desk Trade
  Facilitation Centre under the aegis of TIDP,
  sponsored by EU and Govt. of India

17
IMCs Objective

• To build a strategic business partnership between
  India and the EU
• Project select countries in EU and India as
  attractive investment destinations
• Encourage technical collaborations and joint
  ventures
• Motivate expatriate Indians to participate in
  building a powerful, modern and vibrant India

18
Future

• India is changing
• There is a can do attitude and a confidence
  that India can match the best in the world
• All this is just a beginning in Indias long road
  ahead in the 21st century world economy

19

• We are working hard to evolve a new Indian
  economy involving 1.1 billion people in which the
  entire world has a stake
• We invite you to join us in this exciting journey

20

• Thank You