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NEPIC Members Day
Sedgefield 12th May 2011
Trade Support
Building Business With India
Presentation by
Phil Hollowood
Consultant & NEPIC’s Virtual Export Manager
Virtual Export Manager
• Programme supported by UKTI to promote
export business to India
• Been doing business with India for over 20 years
• Founding director of James Robinson India Pvt
Ltd a UK-India JV company
• Experience; setting up JV’s, due diligence,
procurement, technical transfer, business
operation
• Consultancy with NEPIC but also supported both
multi-nationals and Indian companies
India Facts & Figures
• Huge country 3.3 m sq km
• Population 1.2 billion
• Growing 20 million/year, China
static
• Urban population 350 million and
forecast to double in 25 yrs
• Urbanisation growth in 10 yrs
equivalent to population of
Germany
• Young, 33% (400 million) under
14 yrs only 18% for China
• 10th largest economy, 4th by PPP
Chemicals Facts & Figures
• Indian chemical industry
$83 billion about same
size as UK
• Growing 10%-15% per
year
• Centred on Gujarat which
accounts for >50%
Base 53%
Pharma 24%
Speciality 18%
Agrochem 2%
Biotech 3%
India: Huge Export Potential
Opportunity & Threat
• Economy approaching size of the UK - but growing
consistently at 10%
• GDP absolute growth 3 times that of UK @ $150b/yr
• Historic and continued move towards urbanisation equivalent on the demand side to a country the size of
Germany over next 10 years
• Middle classes and wealth owning community as large
as EC >300 million
• Demographics positive; young population will move to
consumers through next decade
• Growth in education and health
• Industrialisation and infrastructure development
(PCPIR’s, Mumbai-Delhi corridor etc). Huge investments
UK Advantage
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Long historical association
Language and legal commonality
Strong political & social connectivity
Large UK-Indian community
UK seen as ideal centre for access to EU
Large investors in UK and region: Tata, Corus,
Essar, Shasun, Piramal etc
• David Cameron’s UK-India “partner of choice”
message
• Significant cooperative projects; BP-Reliance,
Vodafone-Hutch, Ineos-ONGC
Indian Issues
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Knowing who you are dealing with is vital
Innovation is within the Indian psyche
Direct duplication is suboptimal
“It’ll be alright on the night!” philosophy, viz
Commonwealth games
You must visit regularly and show persistence
India is very fast and very slow; know where you are
Proud and emotional people
Beware, not everything is as it seems
Corruption a big issue; you only have to read the Indian
press
Sector Opportunities & Drivers
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General economic demand growth
Wealth owning consumer product growth
Investment and infrastructure
Educational support and services
Pharma and healthcare
Oil, gas and energy
Green technologies and recycling
Contract research and development
Retail; Tesco, M&S, shopping mall development
NEPIC Advantage
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Good understanding of Indian business
Formal & informal links with many industry
associations
– Indian Chemical Council
– Vapi Industry Association and Centre of
Excellence
– Gujarat Chemical Association
– PlastIndia Foundation
– Indian Speciality Chemical Manufacturers
Association
Large network of industrial contacts