The government on Friday exempted advance authorisation holders and export-oriented units (EOUs) from mandatory quality control orders for imported goods that are used as inputs for exports. It said that the exemption will be with pre-import conditions, and those inputs will be utilised in the manufacturing of the export products.

 

'Enabling provisions are made for exempting inputs imported by Advance Authorisation holders and EOUs from mandatory Quality Control Orders (QCOs),' the Directorate General of Foreign Trade (DGFT) said in a notification.

 

The unutilised material will be destroyed in the presence of jurisdictional GST/customs authorities, it added.

 

Mandatory QCOs help curb the import of sub-standard products, prevent unfair trade practices and ensure the safety and well-being of consumers as well as the environment.

 

QCOs are applicable for products domestically manufactured as well as imported. Every manufacturing unit in and outside India has to comply with these orders if they want to sell in the domestic market.

 

The focus of the government is to bring more and more products under the ambit of QCOs for the development of the quality ecosystem in the country and to provide consumers with quality products.

 

The highly anticipated India Plant-Based Foods Show 2024, organised by the Plant Based Food Industry Association (PBFIA), igniting a wave of innovation and collaboration in the food industry, concluded at the prestigious Bharat Mandapam, Pragati Maidan, New Delhi, March 7, 2024. The show was presented on the 1st day of Aahar, by the Ministry of Agriculture & Farmers Welfare, The Agricultural and Processed Food Products Development Authority (APEDA), ICAR- Indian Council of Agricultural Research (ICAR), India Trade Promotion Organisation (ITPO), US Soybean Export Council (USSEC), Indian Chamber of Commerce (ICC), Pall Corporation and ProVeg International, and EY as the Knowledge Partner.  

 

The event was supported by international and national startups and companies like Thryve Plant-Based Venture, Plantaway Foods, Continental Greenbird, Patanjali Foods - Ruchi Soya, Nutricircle Limited, Veganta, DBS Bank, Roundtable on Sustainable Palm Oil (RSPO), Right to Protein, Hello Tempayy, and Acme Group.  

 

The show served as a visionary platform for industry leaders and entrepreneurs across the world, over 40 startups globally and presentations from more than 35 distinguished speakers including Abhishek Dev, chairman of Agricultural and Processed Food Products Export Development Authority (APEDA); Inoshi Sharma, executive director of FSSAI; Dr Sudhanshu, secretary of APEDA; Satyam Shivam Sundaram – partner, Ernst and Young, Valeria Kryntskaya, head Plant-Based venture, Thryve, Dubai; Victor Sonovas, commercial attache, Embassy of Spain and many more.

 

Sanjay Sethi, executive director of the PBFIA, emphasised the imperative of seizing the challenges confronting the industry by transforming them into opportunities. Among these challenges lies a notable market gap: the demand for high-quality ingredients to combat the locally produced raw material shortage. Addressing this gap, with initiatives such as India’s First Plant Protein Cluster at Bhiwadi, not only facilitates the production of superior products but also plays a pivotal role in enhancing consumer perceptions across various product categories. Moreover, it provides a platform for refining the positioning of plant-based alternatives, ensuring they resonate with evolving consumer preferences for sustainability, health, and taste. By prioritising the sourcing and utilisation of premium ingredients, the industry can fortify its offerings, elevate standards, and cultivate trust and loyalty among discerning consumers.

 

Dev highlighted the growth of the plant-based foods industry stating the capability of the current global market of $11.3 billion to reach $36 billion by 2033. The Chairman also expounded on the potential of Indian market having a CAGR of 15% and industry estimate of $5 billion dollars by 2033. Asserting APEDA’s support, he said, 'With a target of increasing exports by 100 billion by 2033, we aim to incorporate plant-based foods as a focus product in our export strategy and offer subsidised rates for startups to be part of upcoming conventions, helping them to emerge in the market.'

 

Sharma said, 'Our perception of the plant-based foods has been a huge challenge, which is mostly due to their presentation in the society. The regulations on the startup industry, especially the classification of soy milk as a beverage is a matter of contention and needs to be addressed.'

 

In partnership with EY, PBFIA also launched its breakthrough report, ‘Food Tomorrow: Elevating India’s Role in the Plant-Based Revolution’ exploring the potential for plant-based nutrition in India, with a particular emphasis on plant-protein clusters. Satyam Shivam Sundaram, Partner, Ernst and Young affirmed their support for plant-based choices and stated, 'We need to collaborate and lead the way of sustainability and healthy choices. Together, we can achieve more at a lesser cost. As a part of this common goal, we need to facilitate research and developments, offer space for innovation and create holistic ecosystems. Through proper education and awareness, we can have a major shift in the perspective, making plant-based food mainstream instead of it being an alternative.'

 

Kalpana Das, a renowned human right activist and the wife of chief justice of India, pointed her perspective of consuming milk to be cruelty and advised to adopt soy-based and other plant-based options aiding in the reduction of carbon footprint.

 

The 4th Mega Convention by PBFIA focused on evincing the limitless possibilities of plant-based foods through an exhibition, followed by demonstrations and panel discussions, highlighting the positive impacts of plant-based foods on the environment and health.  Among the highlights of the event was the Startup Pitch Session, where aspiring entrepreneurs presented their ideas to a panel of industry experts and investors. There were stimulating discussions about ways to enhance the customer experience through B2B, B2C and D2C modes involving an insightful panel of Amarjit Singh Ahuja of Purchasing Professional Forums India, Ashu Phakey of ITC and Dhiren Kawar of Keva Flavours.  

 

The session also focused on understanding the need for grooming talent pool for plant-based food industries through a panel discussion led by chef K. Thiru, Principal of Welcome group School of Hotel Management, Manipal University. Following the need for innovation, an erudite panel discussed various ways of replacing conventional dairy and animal products with plant-based alternatives. Closing the forum, Sethi hosted conversations with the founders of various companies, concentrating on the ability of plant-based foods to deliver sustained nutrition.

The 38th edition of Aahar – the International Food and Hospitality Fair concluded here with a large participation from trade delegates from across the globe.

 

The five-day event hosted by India Trade Promotion Organisation (ITPO) also witnessed participation of Ministry of Food Processing Industries, Agriculture and Processed Food Products Export Development Authority (APEDA) and apex industry bodies at Bharat Mandapam, New Delhi.  

 

This year, the exhibition was organised in an area of 1,10,000 sq.mtr. as compared to 90,000 sq.mtr. last year which has resulted in an increase in participation from 1,500 to 1,600 participants including participation from overseas companies from 12 countries including China, Germany, Iran, Italy, Japan, Nepal, Russia, Sweden, Taiwan, Turkey, Turkmenistan and the UAE.  

 

Aahar also witnessed product launches. Companies including Cargill, Barry Callebaut, Pansari Group, and Elanpro were amongst who unveiled their new products.

 

Sanjay Jain, director, Elanpro, said,  'We unveiled our latest innovations in commercial refrigeration space at Aahar. With our new range, we want to help food and beverage businesses reduce their carbon footprint.'

 

'Our new Reach-in freezer is an industry first. It is for the first time, a Reach-in with energy-saving Inverter Technology Compressor is launched in India. This innovation is expected to save almost 30% of electricity bills. In addition, our new generation of blast freezers, undercounters, vertical coolers, confectionery showcases, softy machines and buffet freezers are expected to set a new standard for efficiency and innovation in food and beverage retail,' said Jain.

 

Meanwhile, the display profile was segregated into different categories in various halls namely, Foreign Participation and FIFI Pavilion (Hall 1 GF), Confectionery & Bakery Products & Ingredients, ICMA (Hall 2 GF& FF), APEDA Pavilion (Hall 3 GF), Spices, Condiments Ingredients & Agri Produce(Hall 3 FF), Organic, Processed Food, Ingredients, Spices, Farm Produce, Fresh Fruits & Vegetables, Meat Products (Hall 4 GF& 4FF), Organic Processed Food, Ingredients, Spices, Farm Produce, Fresh Fruits & Vegetables, Meat Products, Chocolate Products (Hall 5 GF), Culinary Art India Show by Indian Culinary Forum (Hall 5 FF), Bakery Heavy Machinery Equipment, Tentage & Décor, Packaging, Kitchen & Hotel Equipment (Hall 6, Hall 7 (A-H), Kitchen & Hotel Equipment, Refrigeration (Hall 8-11, 12 & 12A, 14), Hospitality, Décor, Housekeeping Products, Gift Items (Hall 14FF), Hospitality, Décor, Housekeeping Products, Gift Items, Mist Coolers, Coolers & Fans (Open Area).

 

According to ITPO, this year too, a large number of trade visitors visited the fair.

 

These include top echelons of the hotel and hospitality industry including CEOs, General Managers, Executive Chefs, Executive House Keepers, Purchase Managers, F&B Managers and so on. Besides, senior representatives from Centre and State Government, catering industry and academic institutions, hotel management professionals also visited the fair.

 

'Unveiling India’s export potential, the fair assumes tremendous significance especially when there is a focus of the Union Government to promote agri-community as well as MICE (Meeting, Incentive, Conference and Exhibition) sector which complements the hospitality segment,' reads a statement of ITPO.

The government is planning to procure 5 lakh tonnes of onions this year for its buffer stock that can be used to intervene in the market in case of a price rise, according to sources. The food and consumer affairs ministry had created 5 lakh tonnes of buffer stock last year, of which 1 lakh tonne is still available, they added.

 

Agencies like NCCF and NAFED will procure onion on behalf of the government.

 

Sources said that the government's decision to sell onions at a subsidised rate from its buffer stock has helped in controlling prices.

 

The government will take a decision on lifting the ban on onion exports later this month. The ban is till March 31.

 

The government's plan to create buffer stock comes amid an estimated fall in onion output in 2023-24.

 

'Production of onion in 2023-24 is expected to be around 254.73 lakh tonnes compared to around 302.08 lakh tonnes last year due to a decrease of 34.31 lakh tonnes in Maharashtra, 9.95 lakh tonnes in Karnataka, 3.54 lakh tonnes in Andhra Pradesh and 3.12 lakh tonnes in Rajasthan,' the agriculture ministry said in a statement on Thursday.

 

The decline in onion production in 2023-24 is 16 per cent compared to the previous year.

 

As per the data, onion production stood at 316.87 lakh tonnes in 2021-22.

Union Minister of Commerce & Industry, Consumer Affairs, Food and Public Distribution, and Textiles, Shri Piyush Goyal announced the extension of Remission of Duties and Taxes on Exported Products (RoDTEP) Scheme support to additional export sectors in New Delhi today. The Government of India has announced extension of the RoDTEP Scheme support to additional export sectors i.e. Advance Authorisation (AA) holders, Export Oriented Units (EOU) and Special Economic Zones (SEZ) export units. This decision comes in recognition of the significant contribution these sectors make to India’s Exports, constituting approximately 25% of our exports. Amidst global economic uncertainties and supply chain disruptions, extending RoDTEP to the uncovered sectors such as AA, EOU, and SEZ units will help the exporting community in handling the international headwinds.

 

The Remission of Duties and Taxes on Exported Products (RoDTEP) Scheme is a key initiative by the Government of India aimed at refunding various embedded taxes and duties on exported products. Since its inception in January 2021, the RoDTEP Scheme has already provided support amounting to Rs.42,000 Crores to more than 10,500 export items at 8-digit ITC HS Code level. In the current financial year, the scheme has a budget of Rs.15,070 Crore with an additional increase of 10% in FY 2024-25.

 

Keeping budgetary allocation in view, the extension of RODTEP to additional sectors is presently till 30.09.2024. The extension of the RODTEP scheme to these sectors is aimed at enhancing India’s export competitiveness in international markets. Key sectors such as Engineering, Textiles, Chemicals, Pharmaceuticals & Food Processing and many others stand to benefit from the measure.

 

By providing support to crucial export sectors, the government aims to not only enhance their competitiveness but also create employment opportunities and contribute to overall economic growth, aligning with the vision of building an Aatmanirbhar Bharat. The government is confident that the proactive measures being taken, including efforts to negotiate new FTAs, will further accelerate India’s journey towards achieving USD One trillion merchandise export levels.

The Prime Minister, Shri Narendra Modi today hailed signing of India-EFTA Trade & Economic Partnership Agreement. 

 

He also shared his message to the signing of the pact. 

 

The Prime Minister replied to the Union Minister Shri Piyush Goel's post on X : 

 

'Delighted by the signing of the India-EFTA Trade & Economic Partnership Agreement. This landmark pact underlines our commitment to boosting economic progress and create opportunities for our youth. The times ahead will bring more prosperity and mutual growth as we strengthen our bonds with EFTA nations.'

With the aim of empowering the farmers of the country by equipping them with information, services and facilities using digital technology, Union Minister of Agriculture & Farmers’ Welfare and Tribal Affairs Shri Arjun Munda today inaugurated the Agriculture Integrated Command and Control Center established at Krishi Bhawan, Delhi. On this occasion, Shri Munda said that this is an innovation of the Ministry of Agriculture and Farmers’ Welfare under the leadership of Prime Minister Shri Narendra Modi to make the farmers self-reliant across the country.

 

Union Minister Shri Munda said that work is being done with the basic mantra of Prime Minister Shri Modi - Minimum Government-Maximum Governance, so that it can be ensured that the life of a common man is not unnecessarily affected and they do their work wholeheartedly, independently and impartially and empower the nation by making themselves self-reliant, capable and empowered. With this aim in the mind, the Agriculture Ministry has today added this new digital dimension for the benefit of common farmers. Shri Munda said that today technology has become an integral part of everyone's life and the government has its own responsibility as a partner while technology further empowers it. He said that it is the government's intention to further support people so that everyone can get benefit from the technology. Shri Munda said that with complete transparency, commitment and goal, the government wants that even a common farmer living in a village can make themselves self-reliant with technology. He said that the Prime Minister always emphasizes on how we can provide better information, services and facilities to the farmers, how we can increase their production capacity and potential by acting as a partner. No matter how proficient we are in any field, agriculture is a particularly important task because humans cannot live without food. That is why; we have given importance to the agricultural sector and called farmers Annadata because it is through them that food grains are stored in the country.

 

Shri Munda said that the objective of the new initiative is to provide farmers the information about the reality in the farm and also to find out what are the real challenges our agriculture sector is facing. He said that with the availability of real-time data and its analysis, their problems can be resolved and capacity will be expanded and crops will be good, which will ultimately benefit the agriculture sector in the country. Union Minister said that the farmers will also be able to avail the benefits of the government schemes. This digital innovation is an important opportunity to reflect India in the 21st century. He said that trust is a strong foundation in human life and these efforts of the government will establish trust and a safe environment among the farmers.

 

Shri Munda said that Prime Minister Shri Modi has resolved to make India a developed nation by the year 2047, but such an India should not only be seen but should also be experienced. He said that India should not only become developed, but also a prosperous India should be created and through self-reliance the vision of ‘Ek Bharat Shreshtha Bharat’ should be realized. Then every person will feel proud and respected and our culture will be reflected in itself. Shri Munda said that citizens living in any part of the country are connected to every part of India's soil and our farmers are participating in the development of the country through farms. In this sequence, Agri Stack is an important initiative in digital agriculture. Under this, a digital crop survey has been started, in which the exact details of the crops of the farmers are being ascertained.

 

While congratulating on the occasion of Women's Day, Union Minister Shri Munda said that the Prime Minister has given a special gift to women by giving subsidy on LPG, while declaring this year as the Year of Women Power on Republic Day, the strength of women of the country has been presented before the world. He said that we can say with pride that India truly respects women. Shri Munda said that the innovations taking place in the agricultural sector can also be truly dedicated to women power.

 

In the starting of the event, Union Agriculture Secretary Shri Manoj Ahuja also presented his views. Additional Secretary of the Ministry, Shri Pramod Mehrada gave detailed information about the new initiative.

 

Multifunctional Centre- At the Command Centre, it will be possible to see all the digital innovations being made in the agriculture sector by the Ministry of Agriculture and Farmers’ Welfare on a big screen simultaneously at one place. By seeing plot level data obtained from soil survey, information obtained from crop survey through remote sensing technology, information given by meteorological department, data obtained from digital crop survey, information available on agricultural map, information available on the produce (Upag) portal created for agricultural statistics, at one place, it will be possible to analyze and take accurate decisions based on them, which will be very useful.

India on Sunday signed a trade and economic partnership agreement with the European Free Trade Association (EFTA) - a grouping of Switzerland, Norway, Liechtenstein and Iceland - that includes a binding $100-billion investment commitment.

 

As part of the Trade and Economic Partnership Agreement (TEPA), EFTA has committed to promote investments to increase the stock of foreign direct investments (FDI) in India by $100 billion in the next 15 years, and to facilitate the generation of one million direct employment in India through such investments, the government said in a statement.

 

'The global leadership of EFTA countries in innovation and R&D across diverse spheres...will open up new doors of collaboration,' PM Narendra Modi said about the trade agreement.

 

Commerce and industry minister Piyush Goyal said India is signing an FTA with four developed nations for the first time. It is a 'modern and ambitious' trade agreement with an important economic bloc in Europe, he said.

 

FDI of $50 billion is expected to flow in the first 10 years, with another $50 billion expected to come in the following five years. 'The investment flow may be larger than we have estimated. We will mutually work out if there is any shortfall in investment,' Goyal said, noting that investment from EFTA has grown at a compounded annual growth rate of 13% in the last decade.

 

Officials said the agreement gives India the right to rebalance or suspend concessions if the investment value is not realised. They also stated that the deal provides legal certainty in terms of tariff regime and investment relations.

 

The investments are hinged on the nominal GDP growth of 9%, officials said. Goyal said India has included several elements such as environment, trade, IPR, and gender for the first time in TEPA. 'The free trade agreement balances asymmetries within economies of the EFTA region and Indian economy,' the minister said.

 

TEPA is the fourth major deal signed by India to promote trade and economic cooperation in the last three years. The others are with Australia, Mauritius and the UAE.

 

The deal has got a thumbs-up from the industry. 'Improved market access for goods will boost India's export potential to EFTA markets and greatly expand employment opportunities, especially with the historic $100 billion committed investment from the EFTA region,' said Chandrajit Banerjee, director general of the Confederation of Indian Industry (CII).

Shortly after New Delhi inked a USD 100 billion free trade pact with a four-member European bloc, Norway on Sunday said it will eliminate customs duties for almost 98 per cent of the imports from India under the framework of the pact. The ambitious trade pact, signed between India and the European Free Trade Association (EFTA) comprising Norway, Switzerland, Iceland and Liechtenstein, aims to expand trade across a range of areas including pharmaceuticals, manufacturing, new technologies and machinery.

 

After the EEA (European Economic Area) agreement, this could become one of the most important trade agreements Norway has ever entered, said Norwegian Prime Minister Jonas Gahr Stoere.

 

At a media briefing, Norway's Minister of Trade and Industry Jan Christian Vestre described the Trade and Economic Partnership Agreement (TEPA) as a major result-oriented milestone that would not only boost two-way trade but also promote a rules-based trading system.

 

'Norwegian businesses that export to India today meet high tariff barriers of up to 40 per cent on certain goods. With this new agreement we have secured zero tariff on almost all Norwegian exports to India,' he said.

 

'This is a breakthrough that can mean a lot for workplaces throughout Norway,' he said.

 

Vestre said India is a 'economic and political power house' with an extraordinary economic growth rate that it is set to continue in years to come and Norwegian companies will have a lot of opportunities in the country.

 

'We will eliminate all customs duties for almost 98 per cent of the imports from India including all important goods and services. For Indian companies, it will be a great opportunity,' he said.

 

The pact will come into force following completion of the ratification process by the signatories.

 

'For our companies exporting to India, the customs duties today are between 5 to 40 per cent and 93 per cent of that customs duty will be under zero per cent in 10 years from now,' he said.

 

Asked about the proposed USD 100 billion investment by the four EFTA countries in India in the next 15 years, Vestre said it will be for the private companies to achieve the goal.

 

'It is a binding commitment to promote investment and the goal is USD 100 billion and one million jobs. It is up to the private companies and businesses,' he said.

 

'After 15 years we will sit down and find ways to ensure that it happens,' he said, replying to a question on what the EFTA would do if the goal is not met.

 

Vestre said the EFTA bloc will set up an office in India to coordinate implementation of the mega trade deal.

 

'The four EFTA countries all together will mobilise private investments and the goal is to ensure USD 100 billion investment by the next two decades besides one ensuring million jobs,' he said.

 

At present, around 130 Norwegian companies are operating in different sectors in India including in areas of infrastructure, construction, renewable energy and technology.

 

A Norwegian readout said the TEPA also includes a reference to human rights.

 

Human rights are a central part of Norwegian foreign policy. Therefore, it has been important for Norway to include human rights and international environmental conventions as a part of the agreement, said PM Gahr Stoere.

 

In his remarks, Vestre also referred to geopolitical tensions and how the pact climate ambitions.

 

In a turbulent world, with geopolitical tensions, it is important to strengthen the ties between India and the West, he said.

 

The agreement also elevates climate ambitions and will ensure worker's and women's rights, Vestre added.

 

'The EFTA countries commit to promoting investments and the creation of more jobs in India. A designated office will be established in India to support Norwegian businesses in operating in the Indian market,' the readout said.

 

It said India will undergo a major green and digital transition, and in this context, Norwegian businesses have a lot to offer, from renewable energy and health technology to green mobility and seafood.

 

The agreement provides large possibilities for trade and investments in a market that is growing rapidly.

 

Through investments in India, Norwegian businesses can contribute to sustainable development, said Vestre.

India is poised to become the largest member of the World Trade Centers Association (WTCA), potentially surpassing China within five years, according to John E. Drew, Chairman of the WTCA, an international trade organisation that connects over 300 World Trade Centres in nearly 100 countries. In a chat with ET’s Vinod Mahanta, Drew talks about the brand’s India plans, rise of India in the global economy, doing business in the era of deglobalisation and dealing with disruptive models like WeWork. Edited excerpts:

 

How has the World Trade Center (WTC) brand been faring in India, and what are the plans for its expansion and development in the country?

 

The brand presence in India has been established since nearly the inception of the World Trade Center Association group in Mumbai. Memberships date back to the 1980s, indicating a longstanding and robust relationship. Numerous meetings, primarily sponsored by Mumbai, have taken place, including general assembly meetings and regional forums. This deep connection with India has facilitated interactions with other Indian groups holding World Trade Center licences.

 

It's worth noting that the association is not new; it has a rich history of fostering economic growth and prosperity through collaboration with Indian developers interested in establishing a distinct brand identity. These developers are increasingly keen on assuming the dual roles of developer and trade services provider. The association's role extends to working with such entities to encourage economic development and forge connections between its members worldwide.

 

The association positions itself as a trusted advisor, facilitating business discussions and providing background checks on potential partners to ensure credibility and reliability. This aspect is crucial in international business dealings, where making connections is relatively easy, but verifying the authenticity of partners can be challenging.

 

Moreover, the association's brand carries significant value and recognition in India and globally, enhancing leasing prospects and potentially securing better rates for affiliated buildings. While assuming the responsibility of upholding the brand requires effort, the benefits, both locally and internationally, are substantial.

 

WTCA has about 40 licensees in India, covering more than 30 Indian cities. Did WTCA have a different strategy for India?

 

It's quite surprising how several years ago, there was a notable occurrence where a particular company sought multiple sites and was granted them. They operated under a different concept known as a "spoke-and-wheel" model. This approach involved centralised services distributed across a network of buildings, with the services being concentrated in one or two primary trade centers within each city. This experimental approach diverges from the traditional expectation of services being integrated directly within each building by an associated team.

 

This model has its merits and is being explored, though typically we anticipate that the services will be housed within the building itself, providing a more direct connection. However, this shift in approach may also reflect broader economic dynamics, including the fluctuations in the global and Indian economies. As a developer myself, I understand the importance of market conditions and rates in influencing development decisions.

 

The development of these trade centers is a focal point for us, and we are committed to expediting their progress. We aim to see every city holding a World Trade Center license actively engaged. Therefore, a significant portion of our staff's efforts are dedicated to activating cities that are still in the developmental phase. While these cities are already members and participate in our meetings, we strive for them to progress further and establish operational capabilities in each city where they have a presence.

 

What is the selection criteria WTCA uses to select members?

 

We have a rigorous screening process for potential members, starting with an initial briefing. Subsequently, we guide them through a comprehensive background program to understand their business and expansion plans. Emphasising the importance of securing development sites, we ensure members have detailed plans in place. Our goal is to help them navigate potential challenges and understand market dynamics. We offer guidance on real estate development and enforce timely activation of trade services. Additionally, we provide access to experienced real estate advisors within the association to support strategic planning. This hands-on approach has significantly accelerated our association's growth.

 

How does the current trend towards deglobalisation, alongside risky geopolitical situations and businesses realigning their supply chains and operations, impact the growth and trajectory of the WTCA brand and business?

 

It truly does affect our business. In some respects, it's advantageous for us to pivot. Being able to provide consultation services to our members adds value. The intricacies of navigating a complex world are even more pronounced now. Consider the trade service aspect; issues like new tariffs and regulatory controls, once thought to be fading, are resurfacing. This complexity poses challenges for small and midsize businesses. Our association fills the gap by offering practical advice and support. For instance, our team in Ireland assists smaller companies in understanding logistics for international trade. It's essential to balance positivity with factual information. These qualifications reinforce the value of our association. We must address the ongoing changes and offer practical guidance. While we're not solely focused on economics, our hands-on approach to business allows us to speak from the perspective of our members and provide solutions to their challenges in international trade.

 

So if I am a member in India and I want to understand the business situation in Russia, Europe, or China, how would it work?

 

In a two-step process, let's say a licensee in Mumbai or Bangalore encounters an issue and wants to delve deeper into understanding Russia or any other country. Here's how we can assist:Firstly, we have resources available at our central office in New York, including our resource center, which we can immediately make accessible to you.

 

Secondly, we can directly connect you with the World Trade Center in Moscow. We'll share your questions with them, enabling you to communicate directly and obtain answers. They are well-positioned to facilitate this process and provide accurate insights. If they encounter difficulty in addressing your queries, they can redirect you to the appropriate resources.

 

We see it as a shared responsibility among members to support one another in navigating such challenges. This collaborative approach underscores our commitment to facilitating knowledge exchange and problem-solving. The close ties between the World Trade Center team in Moscow and the government ensure reliable information. Ultimately, our goal is to connect you with the most suitable source for accurate and timely answers.

 

From your perspective as a business leader with a global outlook, how do you perceive the rise of India's economy over the past few years, considering it is now the fifth-largest economy?

 

I would say, particularly in the last 10 years, India's presence on the global stage has become increasingly pronounced. While India's growth trajectory has been ongoing, its recognition and active participation in major economic discussions alongside China, the US, Russia, and the EU signify its emergence as a significant player in the global economy. The influx of Indian students studying at universities in the US has notably increased, contributing to India's visibility in international settings. This trend, which was previously unaffordable for many Indian families, has become more accessible over the past two decades. Additionally, the rise of Indian entrepreneurs establishing successful companies in the US, particularly in tech hubs like California and Massachusetts, has further solidified India's influence in global business. This trend is expected to continue, paralleling the trajectory seen with Chinese entrepreneurship.

 

Do you expect Indo-US trade to increase, given that more US businesses are outsourcing work to Indian global capability centers and setting up more manufacturing units in India?

 

It's undoubtedly a yes, but I believe the trajectory will be swifter and more intentional this time around. Unlike the scenario with China, where manufacturing was primarily driven by cost considerations, the situation with India is marked by a significant emphasis on intellectual property. India's strength lies not just in its lower costs but also in its intellectual capabilities and educational standards, enabling it to tackle more complex projects adeptly. However, a critical aspect that needs attention is infrastructure development. Outside investment, like ours, must play a role in building necessary infrastructure, such as office buildings and factories, to support the growing economy. This is where external support remains crucial in propelling India's business landscape forward.

 

China has a large number of WTCAs across cities. Is the China business the largest outside of the US?

 

It has the largest membership. It’s fascinating to note how our membership, particularly in China, has evolved over time. Initially, CCPIT (China Council for the Promotion of International Trade) played a significant role in sponsoring and overseeing the development of World Trade Centers in China.

 

Then individual developers came in, often with outside investment.

 

Lately, there has been a slowdown in financing from Chinese banks for such projects.

 

Interestingly, our Chinese board members, especially those who operate independently, have found a unique niche within this evolving landscape. They utilise the World Trade Center platform to offer services that complement those provided by the government, catering to individual companies and sponsoring localised events to stimulate business growth. Unlike the CCPIT-led approach, which focused on large-scale exhibitions and conferences, these independent members organise smaller, more targeted events that cater to specific business needs.

 

While there have been some challenges, such as difficulties faced by members heavily reliant on Chinese bank financing, the overall trajectory in China remains dynamic. However, it's worth noting that India will surpass China in terms of membership numbers in the next five years.

 

 

The global economy is showing mixed signals, with the EU and US slowing down and India growing at 6+ percent. What’s your take on the state of the global economy?

 

I find it very interesting. In the United States, efforts to temper the economy have had some effect, but not as much as anticipated. What we are beginning to see is that interest rates have slowed down housing development, Covid-19 slowed down office development. The US is winding up with surplus office space because of the work-from-home trend.

 

There's a gradual push to bring employees back for training and socialisation. However, this process is slower than expected. That's affecting us. Spending is down a bit, but it's not showing because prices are up. Although spending is slightly down, rising prices are masking it. Additionally, on the real estate development side, supply chain issues persist. This administration tried to bring manufacturing back to the US, which requires rebuilding infrastructure and addressing concerns about job stability. Addressing these psychological and infrastructure challenges will take time but is feasible.

 

Looking globally, India shows significant growth potential, but there's pressure to create more opportunities for people and create better jobs. Europe faces demographic challenges with declining native populations and integration issues with immigrants, which could impede progress for the next decade or so. Latin America, Africa, and Southeast Asia are poised for growth, while China grapples with population decline and migration issues. The US needs to address its migration policy to facilitate safe and easier entry for immigrants. Local politics may delay progress, but these issues must be tackled head-on.

 

Do you see WTCA also adopting a WeWork kind of model sometime?

 

The WeWork situation is something worth considering in certain regions of the world. For instance, in the United States, there has been a significant downturn in WeWork's fortunes. Upon closer examination, it appears that the company, along with another major player in the market, was cautious about not committing to leases, which led to complications when they couldn't fulfil their lease obligations during the slowdown. This was more of a legal and financial issue than a lack of demand for such shared workspace concepts. In parts of India, however, I believe the WeWork model could potentially thrive and even expand. I think it could work well in North Africa.

 

 

What strategies are being employed to identify and connect Indian businesses with those from other member countries within the Global Development Forum?

 

Essentially, with the Global Development Forum (GDF), our focus is primarily on the business aspect. We're identifying Indian businesses early on and endeavouring to connect them with businesses from our other member countries for potential meetings. Coordinating these meetings involves understanding the interests and preferences of participants. This matchmaking process is a crucial component of our meetings and will increasingly shape how we conduct them in the future. Our team in Bengaluru is doing an excellent job of collaborating with chambers and other organisations to identify Indian companies. Similarly, we aim to replicate this effort in other regions to ensure a diverse representation of companies at our events. This aspect of the GDF is pivotal and warrants attention, as it will play a significant role in our future endeavours.