October - Laghu Udyog Bharati

Industrial Spectrum Oct-Nov 2014
Oct-Nov 2014 | Vol 4 - Issue 7
Published, owned by:
Yagnanarayana M.N.
Printed by:
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on behalf of Laghu Udyog Bharati Karnataka
Yagnanarayana M.N.
Editorial Committee
H.V.S. Krishna
T. Sreenivasan
C.N. Bhojaraj
D.L. Venkatesh
Niranjan Kumar T.V.
Manjunath K.N.
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B. Shekhar
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We are what our thoughts have
made us; so take care about what
you think. Words are secondary.
Thoughts live; they travel far.
~ Swami Vivekananda
The views expressed in this magazine are not
necessarily those of Laghu Udyog Bharati.
hough the Business confidence level has moved several
notches upwards after the NDA Government took the reins at
Raisina Hills in Delhi, a broad-based economic recovery still
seems some distance away, judging by corporate results in the JulySeptember quarter (Q2, 2014-15). Lower costs enabled India Inc
to show higher profitability. But sales grew slowly, indicating weak
demand. Operating margins have also reduced a little compared to
April-June 2014 (Q1, 2014-15).
But the silver lining is that the net profits for a set of 2,432 companies
(excluding banking and other financial companies, and also
excluding those in the oil and gas sector) rose 41.8 per cent over
Q2, 2013-14. This was a sharp improvement over the 29.9 per cent
year-on-year growth rate of net profits, registered in Q1, 2014-15.
Companies have also hugely benefited from lower commodity
prices. The rupee has stabilised, reducing the cost of imported
raw materials. Interest rates have stabilised at slightly lower levels.
Domestic inflation is also down.
But what is a greater worrying factor is that the demand continues to
be flat, given consumption demand contributes to over 60 per cent
of gross domestic product. Rupee stability has meant that exporters,
such as information technology and pharmaceutical companies,
showed moderating growth.
Companies are also braced for a cutback in government spending
in the second half, so that it can meet fiscal deficit targets. Lower
government spending would directly have an impact on construction
and infrastructure and also reduce rural disposable income. But if
inflation moves downwards and the rupee continue to be stable,
margins may stay protected to some extent.
Considering all the corporate data available as of now, it seems
the coming quarter is very crucial to indicate for sure whether the
green shoots which appeared at the start of the Modi Government in
May this will continue to grow thicker and show signs of revival and
K.S. Sharma
President, LUB Karnataka Chapter
Editor’s Note
Editor’s Note ...
05 LUB News
•Workshop on Communication Skills
• Workshop on Enterprise Risk Management “Fire &
• Workshop on Supervisory & Managerial Skills at
• Workshop on Time Management
07 MSME News Watch
3 Key Labour Laws
MSME share of GDP can be raised to 15 pc by 2020:
•SpiceJet launches scheme for MSME travellers
• Banks need to think out-of-the-box on MSMEs:
MSME expert
• Strengthening SMEs to fulfill their Ambitions
10 Special Feature
Highlights Karnataka Industrial Policy 2014-2019
18 Beyond Business
7 Secrets of a Long & Healthy Life
20 Forthcoming Events
Cover Story
Make In India
Industrial Spectrum Oct-Nov 2014
LUB News
Workshop on
Communication Skills
at Belagavi on 18th October
Laghu Udyog Bharati – Karnataka organised a
Seminar on Communication Skills for MSMEs
on , 18th October 2014 at Belagavi
Apart from the basic necessities, one needs to be
equipped with habits for good communication skills,
as this is what will make them happy and successful.
In order to develop these habits, one needs to first
acknowledge the fact that they need to improve
communication skills regularly. The only constant in life
is change, and the more one accepts one’s strengths
and works towards dealing with their shortcomings,
especially in the area of communication skills, the
better will be their interactions and the more their
social popularity.
This workshop was designed to help participants
to improve thier interactions with other people in
their workplace or at home. This workshop gave
participants the opportunity to improve the critical
communication skills of listening, probing and
being aware of verbal and nonverbal messages.
This workshop also helped participants who were
struggling to find that middle ground between being
too aggressive and too passive, and how to counter
difficult people. Participants got a feel of all elements
of communication with others that help reveal
appropriate information about oneself, and how to
handle and better manage oneself for a professional
Key takeaways included:
• Common communication problems
• Develop skills in asking questions
• Learn what non-verbal messages suggest/
• Develop skills in listening
empathetically to others
• Learn how to firmly stand the ground and make
ones’ feelings heard
• Enhance the ability to handle difficult situations
without being manipulated
Interactive Meeting with KSPCB at
Rotary Bangalore Udyog, Peenya
on 11th November 2014
The Rotary Bangalore Udyog organised an Interactive
Session with Chairman of Karnataka State Pollution
Control Board Dr. Vaman Acharya who had expressed
his desires direct interact with entrepreneurs on matters
connected with pollution Control Board particularly on
creating awareness especially on effluent handling
and Compliance norms which is bothering the industry
when it comes to issuing of clearance certificates.
Other speakers who participated at the interactive
session included Mr. Ganapathi V. Hegde, President,
Rotary Bangalore Udyog, Mr. K S Sharma, President
LUB Karnataka Chapter, Mr. HVS Krishna, National
President, LUB.
Industrial Spectrum Oct-Nov 2014
Workshop on Supervisory & Managerial Skills
at Hubballi on 22nd November
Laghu Udyog Bharati – Karnataka organised
a Seminar on Supervisory & Managerial Skills
for MSMEs on 22nd November at Hubballi
In today’s changing workplace, many supervisors
are unsure of their roles and responsibilities. They
have little experience dealing with the challenges of
managing work through others. They haven’t had the
opportunity to develop those critical skills of planning
work, leading their group, and communicating with
their employees, their colleagues and their manager.
Learning these skills can have a tremendous impact
on organization’s productivity.
• Recognizing responsibilities as a supervisor, to
oneself, team and to ones’ organization.
• Identifying key techniques to help one plan and
prioritize effectively
• Acquiring basic understanding of the job profile
and develop strategies for effective supervision.
Key Takeaways included:
• Understanding the scope and nature of the
supervisory position
• Learning ways to deal with challenges of the role
Workshop on Time Management at Belagavi
on 22nd November
Laghu Udyog Bharati – Karnataka organised a
Seminar on Time Management for MSMEs on
22nd November 2014 at Belagavi
The degree to which human performance potential
is realized in the business sector is estimated to be
a mere 30 to 40 percent. Most time and energy are
wasted due to lack of clear objectives, priorities,
planning and perspective.
Time Management course is to develop the skills in
time management – a way of controlling time at work
in order to achieve more effective results in less time.
· Identify particular time wasters and adopt strategies
for eliminating them.
· Recognize the variety of causes of procrastination
and apply relevant techniques to overcome these.
· Use practical techniques for organising work.
· Clarify and prioritize their objectives and goals.
· Reduce time spent in meetings yet contribute more
·Adopt appropriate strategies for dealing with
· Delegate work more effectively to others
Industrial Spectrum Oct-Nov 2014
Fire & Safety
Recently a well established traditional culinary
brand company was reduced to ashes, literally.
Not only the 15 years of hard work in building
the brand was reduced to rubble in minutes, but
also the owner is now in no position to rebuild the
organization which he so painstakingly built. The
reason for such personal devastation was a slightly
overlook by his staff on the electrical wiring system
which led to electric short circuiting and burning
down the culinary brand company.
This goes onto prove that if fire and safety measures
are not incorporated as standard operating
procedure in the work place, fire can just happen
and the entire castle built over the years can be
pulled down in minutes.
the blue color worker should be trained to put out
fire when it comes to their notice. In that way we
can minimize losses to the company”.
While, Mr. Srinivas, Commandant, Karnataka
Fire Safety and Emergency Services, GoK says:
“Basic precautions like differentiating inflammable
items, tagging of electrical wire, earmarking of no
smoke zone, periodic maintenance of machinery
like furnace, gas-based equipment, storage and
handling of chemicals, replacement of old valves
and fitments which lead to leakages, storage
of inventories, disposal of waste, pest control,
prevention of access of unauthourised personnel,
It is in this backdrop that Laghu Udyog Bharati
organized a workshop on Fire and Safety wherein
fire experts explained the need and importance
of maintaining an amour of well laid out safety
measure to tackle any eventualities that may arise
due to fire.
Dr. Chethan, Fire Safety Consultant says: “What
is surprising is the fact that fire safety is the last
aspect in the minds of many companies. Yes we do
understand that installation of fire safety equipment
means a substantial revenue drain for the company,
but then one must also understand that in the
eventuality of fire, everything is lost. On an average
we receive 4-5 fire calls every day in Bangalore.
If only the companies take care of simple things
like managing inflammable items and maintaining
electrical and other fire touch points, several of the
fire accidents can be prevented.” He added: “Fire
is not the only responsibility of security personnel
alone, everyone; right from the top management to
creation of green cover and such other minute
aspects help prevent fires from happening in
The experts were of the opinion that based on
Industrial Spectrum Oct-Nov 2014
the nature of business; companies need to install
appropriate fire and safety equipment. They said
often fire safety personnel have seen that instead
of tackling the origin of fire, the employees out of
panic destroy other equipment which is needless.
It is here that the entire staff needs to be imparted
with basic fire fighting skills, like when and on
what water, sand and other form is to be used
to extinguish fire. Another important advice to
companies was related to installing separate power
system. In case of fire, main power is immediately
switched off. The separate power line can help fire
personnel to use the same during emergency.
Mr. Shivakumar Fire Officer, GoK explained that
may a time staying calm and informing the right
personnel in case of fire in the premises helps
minimize the destruction. He said that while calling
any fire station information like name of the person
calling, location, landmark near to the fire spot and
most importantly the nature of fire helps the firemen
decide on what equipment they need to carry and
reach the spot just in time. Any confusion on these
aspects Mr. Shivakumar says will only delay in the
process of reaching the spot thereby, aggravating
the situation and increasing the possibility of
damage to property and lives.
On how to save an individual who has got engulfed
in fire he asked participants to remember the words:
Stop-Drop-Roll. Meaning the person should not run
as the fire will only increase. He must be Stopped.
Wrap the person with a thick cloth and then gently
Drop him to the ground and finally Roll him twothree times on the floor. The fire will come under
control. Similarly Mr. Shivakumar said to remember
the word PASS to use the fire extinguishers:- Pull
out the safety valve, Adjust the nozzle towards the
fire spot, Squeeze the valve and then Sweep/Spray
the foam/water on the fire spot.
He also explained how one should cover the
nose and mouth with a wet cloth while caught in
the smoke-filled rooms. He said to first open all
ventilation points to let out the smoke and also not
to move upright, instead crawl in the smoke filled
rooms to escape without falling unconscious.
In conclusion, it was a very enriching experience
for participants as they got enlightened on various
aspects of fire and safety aspects
Industrial Spectrum Oct-Nov 2014
India Inc welcomes
Union Cabinet’s Decision To
Approve Amendments To
3 Key Labour Laws
India Inc has welcomed the Union Cabinet’s
decision to approve proposals to amend three key
labour laws, including the Factories Act 1948. These
proposals were part of the budget announcement
made by Finance Minister Arun Jaitley during his
budget speech.
These amendments proposed are would create a
conducive atmosphere for business and labour.
Some of the recommendations viz., doubling the
provisions of overtime from 50 hours a quarter to 100
hours; relaxing the norms of female participation in
labour intensive sectors viz., readymade garments
are long standing demands of the industry which
has been finally addressed by the New Government.
The proposed amendments of three key labour laws
-Apprentices Act 1961, The Labour Laws (exemption
from furnishing returns and maintaining registers by
certain establishments) Act, 1988 and the Factories
Act 1948 will basically fast forward reforms to the
archaic legislation which is considered a severe
impediment to output growth and employment
creation in the labour-intensive manufacturing
Given the fast changing economic dynamics the
world over, the amendments is a very well strategized
synergy to promote both labour welfare and industryfriendly reforms. These proposals would create a
favourable climate for ease of doing business in the
country and benefit employers-employees.
In conclusion India Inc is of the view that these
amendments will not only attract more investments
into the manufacturing and labour intensive sectors
but also help generate jobs which is the need of
the hour considering the huge working population
that the nation currently boosts. With the new
Government having majority in the Parliament only
one hopes that these proposed amendments will go
through smoothly
Industrial Spectrum Oct-Nov 2014
MSME share
of GDP can be
raised to 15 pc
by 2020: Study
Creation of a vibrant entrepreneurial ecosystem could
help increase the contribution of the micro, small and
medium enterprise (MSME) sector to India’s GDP
from the current 8 per cent to 15 per cent by 2020,
and increase the sector’s share of employment from
the current 28 per cent to over 50 per cent of total
employment across the agricultural, manufacturing
and services sectors, according to a new KPMG-CII
The distance India needs to travel in this regard is
clear from the fact that in 12 other countries mentioned
in the study, titled, The New Wave Indian MSME: An
Action Agenda for Growth, the MSME sector’s GDP
contribution varies from a low of 22 per cent in Brazil to
a high of 85 per cent in Taiwal.
The only countries with lower employment shares than
India are Argentina (15 per cent) and Russia (23 per
cent). Others vary from UK’s 52 per cent to Canada’s
90 per cent. India’s 46 million MSMEs employ 106
million people; the study says appropriate policies can
take this number up to 150 million.
Indian MSMEs, it adds, can
benefit from growth in sectors
such as telecom, electronics,
biotechnology, automotive,
engineering and process
textiles, renewable energy,
food and agriculture, retail, gems and jewellery,
tourism and hospitality, education, civil aviation, real
estate and defence and aerospace.
While India has the potential to build 2,500 scalable
businesses over the next 10 years, it would require
more than 10,000 start-ups to achieve that number, the
study says, given the low probability of entrepreneurial
success. These businesses could collectively generate
$200 billion in revenues, matching the contribution to
GDP of the IT/ITES industry, the study says.
However, this will require strong capital inflows, of up
to $55 billion over the next decade, with about half of
this in the form of debt. Achieving all this, the study
says, would need strong policy support built around
five ‘growth-enabling pillars’: infrastructure, regulation,
funding, performance incentives and skilling.
To begin with, world-class infrastructure at industryspecific clusters should be set aside for MSMEs in
public-private partnership mode, comprising physical
infrastructure, knowledge infrastructure (tool rooms),
e-platforms, and technology and innovation support.
MSMEs should be allocated
25 per cent of the land
available in all industrial
Under regulation, the study
comprehensive MSME law,
applicable in all states and
territories and to all MSMEs,
within whose ambit would be
Industrial Spectrum Oct-Nov 2014
investments by high net worth individuals and funds
Act; single-window approval and a single application
into MSMEs as well as for debt funding in MSMEs, by
for setting up business; a national procurement policy
reducing direct tax rates on income/profits generated
for public and private enterprises; 100 per cent direct
by funding the MSME segment. It suggests incentives
tax breaks on costs incurred in developing SME
for incubation funds and early stage funds as well as
vendors; a policy to ensure timely payments to MSMEs
for banks, to make lending to MSMEs more profitable.
by large companies; a bankruptcy policy that can help
It also recommends low-cost credit schemes for start-
MSMEs exit a business without personal financial loss,
ups and micro enterprises.
with entrepreneurs being given a second chance;
and simplification of Companies Act provisions and
compliance obligations for MSMEs.
Under funding, the study recommends incentives for
MSME News Watch
labour law, the Factories Act and the Land Acquisition
The study also recommends a variety of incentives
designed to boost MSME performance (including in
exports, import substitution and technology upgrades),
& for modernisation of skill development institutions
SpiceJet launches scheme for
MSME travellers
Budget airline SpiceJet has launched a scheme for
The product allows qualifying firms to manage
travellers from micro, small and medium medium
their cost, schedule and overall travel requirements
enterprises (MSME), offering them up to 10 per cent
discount on fares.
The private carrier unveiled what it claimed was first
-of-its kind dedicated self-booking platform, `SME
Traveller’, for air travellers for this corporate segment,
offering flexibility and savings on every booking.
proactively. It also enables individual business
travellers of the registered MSMEs to manage their
own travel needs, it said.
“SME Traveller is aimed at targeting nearly 70-100
million MSMEs in the country who contribute to 8 per
Under the platform, MSME executives can avail up to
cent of the country’s GDP besides contributing to 36
10 per cent discount and collect “Spice Points” upon
per cent of the total value of exports.
each completed travel, among other benefits, the
airline said in a release here this evening.
Therefore, we definitely see a business need to reach
Spice Points enables the travellers to obtain further
out to this section,” SpiceJet Chief Commercial
discounts on their future travel.
Officer Kaneswaran Avili said
MSME News Watch
Industrial Spectrum Oct-Nov 2014
Banks need to
think out-of-the-box
on MSMEs, says
MSME expert
While the Prime Minister has come out with his thrust on ‘Make in India’ and ‘Skill India’,
the present financial architecture in the country does not truly support such a policy
perspective, says Dr P M Mathew, Director, Kochi based Institute of Small enterprises
and Development.
He was speaking about the ‘Micro, Small and Medium Enterprise Report 2014’ report
which analyses the latest scene of enterprise development and entrepreneurship in the
country and was released recently.
Inadequate flow of credit to the MSMEs is a global problem. While entrepreneurs often
complain on the problem of credit stringency, banks account it for entrepreneurs’ lack
of financial knowledge and improper guidance, a release quoting him said.
The ISED findings are based on a research by a team of its specialized knowledge
platform, the ‘ISED Small Enterprise Observatory’.
The expert team’s investigation, including discussions with top management of various
leading banks, indicates that: morbidity among MSMEs was considerably less than
that in the corporate sector; recovery levels were high and the speed with which they
fall back on track was faster. The overall impact of failures was much lower than that
in respect of large units.
If that be so, one wonders why the interest rates for MSME lending should be 13 to 15
per cent while larger industries get finance at 10 to 11.5 per cent, he asked.
While the MSME credit gap is a global problem, a solution can best come from
developing and articulating a business case, by which banks find lending to MSMEs
a truly attractive business proposition. However, the thrust of policies so far has been
more regulatory than promotional.
The report calls for a paradigm shift. New institutional structures and incentive systems
need to be explored. Such a search for alternatives needs to be based on a close
understanding of the existing regulatory and cultural practices at various levels
Every business starts small. Most are able to
grow and some make it to Rs 10 crores. Some
become Rs 100 crores and a smaller number cross
Rs 1000 crores. What allows some to grow faster
than others? One of the key areas is the ability to
When a business is small most of the important
information resides in the CEO’s head. As it
grows bigger, there is a need for automation, but
mostly that is solved by a basic spreadsheet. At
the next stage of growth the company invests in
financial services software. Unfortunately, for many
organizations, this where the journey stops.
This impacts the ability of the organisation to
scale and replicate. Today even a moderate size
business can have over 1000 transactions per day.
It is important to be able to capture this information
and retain it, in order to be able to learn from it. Are
they the repeat customers? Can we give them an
incentive to return? There is so much of knowledge
buried in the transaction data. In the absence of a
data-centric strategy it is likely to remain so much
buried treasure. Mr J C Jha, VP Manufacturing,
National Engineering Industries comments that “In
today’s age of competition it is impossible for our
business to run without SAP.”
So why do enterprises hesitate to make the leap?
io n s
What is the difference?
b it
We all know of
restaurant that starts
a second restaurant
in another location,
and then fails. There
are others which go on to
become a nationwide chain.
MSME News Watch
E s t o f u l fill
Industrial Spectrum Oct-Nov 2014
In the past, in order
to have automation or
CRM software implied
a large investment in
hardware. The software
also required a fixed outlay.
More than the investment,
many smaller enterprises, more
so those outside the metros, were
hampered by the lack of skilled technical
resources. All of this conspired to keep businesses
from unlocking their true potential.
To quote Mr. K L Jain, Secretary General, Rajasthan
Chamber of Commerce, “With SAP solutions,
Rajasthan state will surely benefit and will also help
in further expansion of SMEs.”
What’s changed? What makes it possible for firms to
now cross the IT barrier to grow their revenues 10x?
One is that the cost and complexity of hardware
has dropped dramatically. The second is the
advent of hosted (cloud) solutions. This allows the
software to be hosted remotely and also managed
easily. These options cut time to go-live and also
reduce costs considerably. And added advantage
is that cloud solutions are built on a gold-standard
process, so just by adopting them you can get a
leap ahead in quality of process too.
Of course, accessibility may still be a concern,
which is why efforts such as SAP’s Innovation
Express that is completing a tour of 12 cities
across 4 states are a great initiative. To quote Mr.
Arun Kumar Bagaria, Executive Director of Mayur
Unicoaters, “We were extremely amazed to see the
bus. It really helps to understand the solutions first
hand and in such quick time”
Industrial Spectrum Oct-Nov 2014
Highlights: Karnataka
Industrial Policy
2014 - 2019
Business and Trade bodies across Karnataka have
welcomed the State Government’s new Industrial
Policy 2014-19. Though a bit late, it has several
positive aspects including focus on creating more
jobs and increasing the share in the GDP growth from
manufacturing sector. However, the incentives offered
need to be benchmarked against other States so as to
ensure that Karnataka is not at a loss. It is important
that the State adopt an aggressive approach in getting
large projects into the State as the downstream benefits
of these projects particularly the Auto sector are critical
for the State’s economic growth. Similarly, the State
also needs to focus on Electronic manufacturing
It has also welcomed the State’s effort to create 3D
printing facility and suggest involving IISc and other
institutions and grabbing this unique opportunity
in making Karnataka the hub for 3D printing and
Industrial Policy 2014-19
1. Vision: To build prosperous Karnataka through
inclusive, sustainable and balanced industrial
2. Mission
To make Karnataka as preferred destination for
industrial investment focusing on manufacturing
b) To provide opportunities across the state for
industrial growth and enable scope for local
employment through private sector.
To develop human capital to meet the needs of
d) To create conductive environment for optimal
utilization of natural resources for sustainable
industrial growth.
3. Objectives
To maintain an industrial growth rate of 12 % per
b) To enhance the contribution of manufacturing
sector to the state GDP from present level of
16.87 % to 20 %
To attract investment of Rs 5 lakh crores
d) To create employment opportunities for 15 lakh
e) To create an environment to enhance ease of
doing business in the state
4. Strategies and Policy measures
comprehensive facilities – a) by enhancing new
industrial area through KAIDB with provision for
land, power and fund allocation. b) Creation of
new industrial corridors – Chennai- BangaloreChitradurga
Economic corridor (BMEC). Utilise the technical
and financial assistance available through Japan
International co-operation agency (JICA). c) Also
Industrial Spectrum Oct-Nov 2014
explore State corridor – Bangalore-MandyaMysore – Chamarajanagar , ChitradurgaBellary-GulbargaBidar,
Dharward-KoppalRaichur, Bangalore-Hassan- Mangalore. And
establishment of Knowledge based industries
BangaloreMandya-MysoreChamarajanagar) Establishment of NIMZs
(National Investment and manufacturing zone)
at Tumkur, Kolar, Gulbarga and Bidar districts
d) To decongest Bangalore, Special investment
regions is proposed to be developed in places
like Dharwad, Gadag, Haveri and Belgaum
districts. e) Establishment of Industrial areas and
estates by private investors or through PPP or in
association with other government agencies f)
Up-gradation of infrastructure in existing industrial
areas and estates by government budgetary
4.2 Human Resource development through Capacity
building and skill up-gradation: a) Strengthening
GTTC b) ITI will encouraged to meet the cluster
skills requirement
and OEMS and large
companies will be partnered in this initiative c)
Encourage Entrepreneurship through CEDOK.
CEDOK also introduce EDP for existing industries
d) Formulate new scheme to train first generation
entrepreneurs. e) GTTC, CEDOK will be funded
from state budget f) State level body would
be constituted with members from industry,
academia and government to coordinate the
needs of the industry.
4.3 Facilitation mechanism and procedural reforms
by streamlining Single window mechanism,
simplification of regulatory procedures, proposal
to abolish trade licences for all industries
4.4 Classification of Taluks- focused efforts to
disperse industries to industrially backward
4.5 Encouragement for Industrial development in
Hyderabad- Karnataka Region – by leveraging
Article 371(j) status for Hyderabad- Karnataka
regions and allocation of funds for overall
4.6Promotion of MSMEs- KIADB to earmark
minimum 20 % of allotable land for Micro,
small and medium enterprises, exemption of
Stamp duty, dovetailing to Government of India
schemes, exemption of entry tax, subsidy for
setting of effluent treatment plants.
entrepreneurs – KAIDB, KSSIDC to reserve 22.5
% of allotable land for SC/ST entrepreneurs.
4.8 Encouragement of Minorities, BC, Physically
challenged persons, ex-servicemen – reservation
of 5 % of industrial plots, investment promotion
4.9Encouragement of women entrepreneurs –
promote two industrial areas for women- Hubli/
Dharwad and Harohally in Kanakapura taluk,
investment promotion subsidy.
4.10Encouragement for Non- Resident Kannadigas
(NRKs) – NRIs are allowed investing up to 100 %
equity with full benefits of repatriation.
4.11Encouragement for export promotion – continue
to support SEZs in line with Government policies
to boost exports from state
efficiency measures
4.13 Encouragement to renewable energy projects.
4.14 Encouragement for adoption of green and clean
4.16 Intellectual property rights initiatives
4.17 Promotion of Investment and Trade
Encouragement of Anchor industries
4.19 Incentives and concessions for large, mega,
ultra mega, super mega enterprises
4.20 Focused manufacturing industries
4.21 Budget support
Industrial Spectrum Oct-Nov 2014
Make in India:
Challenges and
for MSME
Prime Minister Narendra Modi: “Let’s resolve to steer the
country to one destination. We have it in us to move in that
direction. Come, make in India, Come, manufacture in India. Sell
in any country of the world but manufacture here. We have the
skill, talent, discipline and determination to achieve targets. We
want to give the world a favourable opportunity that sets up shop
here. From electrical to electronics, automobiles to agro value
addition, paper or plastic, satellite or submarine we have it all.
Our country is powerful. I am giving you an open invitation…
Industrial Spectrum Oct-Nov 2014
By B. Shekhar
his is the clarion call given by Prime Minister
Narendra Modi not only to the domestic
entrepreneurs but the world to set up shops
in India and reap a rich haul in the years to come.
Through ‘Make In India’ initiative, Modi plans to focus
on building physical infrastructure as well as create
a digital network to make India a global hub for
manufacturing of goods ranging from cars to software,
satellites to submarines, pharmaceuticals to ports and
paper to power.
This initiative is nothing less but a giant leap considering
the fact that brand India is yet to make any significant
impact on the world business map expect perhaps the
IT and ITES products. Acceptance of India stamped
manufactured goods among the world community is
still a far cry considering the fact that there still exist
doubts on the quality parameters. Though the IT &
ITES sector has to a large extent erased this stigma,
India Inc is still yet to make a persuasive pitch in the
world market to get even a small market share in the
world market in the manufacturing sector.
to fight foreign companies certain wariness with
regards to Retroactive taxation (as with Vodafone),
disagreements over intellectual property, concern
about preferential market access and other financial
issues to deal with overseas businesses. The success
of the ‘Make in India’ campaign Modi hinges on his
government’s boldly addressing these issues.
What is Make In India and how it can
change the perception of India into the
next super power?
Make In India is a new national programme designed
to transform India into a global manufacturing hub.
It contains a slew of proposals designed to urge
companies — local and foreign — to invest in India
and make the country a manufacturing powerhouse.
Already many of the transnational corporations that
have established bases in India over the last few years
are enjoying the fruits of high ROI due to low cost
of production, easy availability of a pool of high-end
“Product are made in the factory, but brands are
created in the mind,” consumer research pioneer
Walter Landor has observed. By that token, India still
has a long way to go in terms of international image
in which manufacturing prowess plays only a small
role. An annual nation branding survey by research
firm Anholt-GfK, which measures the reputation of
countries, ranks India at 31st among 50 countries, with
Germany overtaking the US for top spot in 2014.
The study measures global perceptions, based
on 23 different attributes that make up six overall
dimensions on which national image is based: exports,
governance, culture, people, tourism and immigration
or investment. Although manufacturing is part of the
export metric, it is measured in terms of perception,
not volume: whether a country’s manufacturing makes
an important contribution to science and technology;
whether it involves innovation and creativity and
whether it makes one feel good to buy things from
that country. Though India Inc has proved more than
once on its high end capabilities on hand, the most
recent being the successful Mars Mission, it still has
a long way to go in changing the pre-conceived
world notion on the overall image of India that of
being a poor country still struggling to feed its people.
In addition to the social makeover, Modi also needs
Industrial Spectrum Oct-Nov 2014
Major highlights of the Make In India
1. Invest India cell: An investor facilitation cell
dedicated cell has been created to answer
set up by the government will act as the first
queries from business entities through a newly
reference point for guiding foreign investors
created web portal ([http://www.makeinindia.
on all aspects of regulatory and policy issues
com). The back-end support team of the cell
and to assist them in obtaining regulatory
would answer specific queries within 72 hours.
clearances. The cell will also provide assistance
to foreign investors from the time of their arrival
in the country to the time of their departure.
FAQs answers.
The information & facts that potential investors
4. Interactions with the users/visitors: A pro-active
need for each sector have been compiled in
approach will be deployed to track visitors for
their geographical location, interest and real
2. Consolidated services and faster security
clearances: All central government services are
being integrated with an e-Biz single window
online portal while states have been advised
to introduce self-certification. The ministry
of home affairs have been asked to give all
security clearances to investment proposals
within 3 months.
3. Dedicated portal for business queries: A
workforce and fat tax incentives and moratoriums.
In order to broad base the canvas and bring in more
sectors into the fold, the focus of Make In India
programme is on creating jobs and skill enhancement
in 25 sectors. These include: automobiles, aviation,
chemicals, IT & BPM, pharmaceuticals, construction,
defense manufacturing, electrical machinery, food
processing, textiles and garments, ports, leather,
media and entertainment, wellness, mining, tourism
and hospitality, railways, automobile components,
renewable energy, mining, bio-technology, space,
thermal power, roads and highways and electronics
systems. In almost of these sectors, India has well
established processes in place and any company
be it domestic or overseas, can right away plug and
play either by promoting a Joint Venture, floating a
subsidiary or simply collaborating by technology
transfer to establish a unit in India.
Of late MSMEs have played a pivotal role in
establishing its supremacy in specific sectors vis-à-
The portal also boasts of an exhaustive list of
time user behaviour. Subsequent visits will
be customised for the visitor based on the
information collected. Visitors registered on the
website or raising queries will be followed up
with relevant information and newsletter.
5. Easing policies and laws: A vast number of
defence items have been de-licensed and the
validity of industrial license has been extended
to three years.
vis Aerospace, Auto components, Precision tools,
Clinical Research (CRO), Knowledge Process (KPO),
Chemicals, Food Processing, Bio-technology,
Microprocessors, Electronic components, Electromedical devices and other niche services. With just
a few more positive policy nudges from the Central
Government, the MSME sector can further climb up
the international preeminence, thereby fostering the
gradual establishing of ‘Make In India’ brand equity in
the global economic village.
What comes in the Package
lobal investors have been unsparing in their
criticism about complex rules and bureaucratic
red tape that delay investment decisions. India
ranks 134 out of 189 countries in the World Bank’s
ease of doing business index in 2014. As part of Make
In India initiative, the NDA government proposes to
ease foreign investment caps in several key sectors so
as to enable free flow of foreign capital into India. The
initiative will also target top companies across sectors
Industrial Spectrum Oct-Nov 2014
Trust is essential for investors
to feel secure. Let us begin
with trust; if there is an issue,
Government can intervene. Trust
too can be a transformative
force. Development and growthoriented employment is the
government`s responsibility.
Nobody can question the talent
of our people, especially after the
in identified countries.
filing of EM I and II, incubation centres, etc. These
Narendra Modi has said that FDI should be understood
as “First Develop India” along with “Foreign Direct
Investment.” He urges investors not to look at India
merely as a market base, but instead see it as an
opportunity to establish its export hubs in India.
initiatives make it clear that the government is focused
Why the need to Make In India
(MSMEs) to a large extent and will play a pivotal role in
It is important for the purchasing power of the common
man to increase, as this would further boost demand
and thereby spurring economic development, in
addition to benefiting investors especially from the
MSMEs as they will be playing a very proactive role
in neo-sectors like aerospace and precision tools
segments in the coming days. The faster people are
pulled out of poverty and brought into the middle class,
the more opportunity will there be for global business.
Modi says: “Trust is essential for investors to feel secure.
Let us begin with trust; if there is an issue, Government
can intervene. Trust too can be a transformative force.
Development and growth-oriented employment is the
government`s responsibility. Nobody can question the
talent of our people, especially after the Mangalyaan”
Narendra Modi has been an avid supporter of MSME
sector. The most significant measure apart from
the Make in India initiative the Skill India for skill
development, Digital India for ICT interventions has
been his brain child. He also made a mention of the
announcements in the Union Budget 2014-15 for the
provision of a Rs 10,000 crore venture capital fund and
a Rs 200 crore technology centres fund, accreditation
of enterprises in this sector, virtual clusters, online
on supporting the MSMEs.
MSME Minister Mr. Kalraj Mishra says: “Indian economy
depends on the micro, small and medium enterprises
making India a successful manufacturing hub. Several
MNCs and Indian private players have been invited to
take part in the Make In India campaign. Government
plans to invite 3,000 foreign companies across 30
countries and 25 sectors to participate in the ‘Make in
India’ campaign.”
In Conclusion:
For records, India’s MSME sector has accounted for
more than 10 per cent growth in recent years despite
the economic slowdown. MSMEs contribute nearly
eight per cent to the national GDP, employing over
eight crore people in nearly four crore enterprises and
accounting for 45 per cent of manufactured output
and 40 per cent of exports from India. Thus, the
MSME sector in India has a very strategic role to play
in the Make in India campaign. The focus of the NDA
Government at this juncture is to ease policy hurdles
for MSME sector so that the potential for providing
growth and employment will further amplify, thereby
making the Make In India campaign more successful
7 Brain Activities That Will
Improve Your Memory
Beyond Business
Industrial Spectrum Oct-Nov 2014
1. Learn a New Language!
3. Never Underestimate the Power of Music!
Learning a new language can benefit you on many
levels. Not only does it add to your personal skill
set, but it’s also an outstanding brain exercise that
can prevent, delay or even reverse memory loss.
Language-learning activities will help you remember,
recognize and understand words, which will take your
cognitive function to a whole new level. Language
learning is a great weapon against memory loss that
improves vocabulary and grammar, as well as the
elements of mental and verbal fluency.
Music, and music therapy (commonly referred to as
‘melotherapy’) provides great brain exercise as well,
since it not only improves your mental focus but also
supports healthy long-term cognitive functioning.
While it is claimed that listening to classical music
can help babies and young children boost their
brainpower and improve verbal fluency skills, music
is also a great ‘treatment’ for memory loss. Simply
listen to your favorite kind of music on a daily basis,
and try to remember the melody or lyrics (and sing
or hum along), and you will find it both useful and
2. Puzzles and Word Games Are Also Great
Another brain exercise that will enrich your general
knowledge and help prevent memory loss is playing
word games and solving crosswords or other
puzzles. It can be Sudoku or a Scrabble game –
whatever appeals to you, as long as it stimulates your
mind with new words and makes you associate them
with objects or actions. It is now known that playing
different word games and doing crossword puzzles
on a daily basis can significantly reduce the risk of
developing Alzheimer’s disease later in life.
4. Don’t Be Ashamed to Talk to Yourself
Studies have revealed that people who talk to
themselves actually have a lower risk of developing
dementia later in life. In other words, talking to
yourself and even telling yourself stories is an
outstanding way to delay memory loss and to stay
focused on important details. Moreover, this is also
a great ‘emotional exercise.’ Storytelling has been
used in the treatment of Alzheimer’s for a long time,
Industrial Spectrum Oct-Nov 2014
5. Read Different Books and Try to Remember
the Plots
Who doesn’t like to read a good book every once in
a while? They say that a man who does not read only
lives one life, but one who reads can live a thousand
lives. This is why one of the greatest brain exercises
you can do to prevent memory loss is to read as much
as you can, and as often as you can. From books
and essays to newspaper or magazine articles, you
should read anything that draws your attention. You
can do it in your spare time at home, or while riding
the train or waiting in a line. Another great tip is trying
to remember the plot of the books you read years
ago – it definitely helps strengthen the memory!
6. Try Brain-Building Exercises
There are numerous games and exercises that are
specifically designed for boosting your brain. Also,
hand-eye coordination is particularly important for
stimulating your mind and preventing memory loss.
You do not need to exhaust yourself with demanding
brain exercises; you can rely on easy or moderate
exercises that activate the neurons and the synapses,
thus sending immediate messages to the nervous
system and helping prevent cognitive deficits.
Beyond Business
and it has turned out to useful in improving memory
function by helping you retain more information.
7. Mnemonic Devices Also Come in Handy!
Last, but not least, a mnemonic device is a ‘tool’ that
helps you remember things easier. For instance, you
can associate a visual image with a name or a word
to help you remember a person, or you can associate
an acronym with a bigger word. On the other hand,
alliterations, rhymes and jokes are three other great
ways to remember names, facts, figures and other
essential information.
These are seven efficient brain exercises that you can
rely on to help prevent or delay memory loss as you
age. Used individually or combined, these exercises
will undoubtedly help you stay focused and alert,
both right now and during your senior years.
Forthcomign Events
Industrial Spectrum Oct-Nov 2014
Alucast 2014
4-6 December 2014 @ BIEC, Bangalore
The International Conference and Exhibition- ALUCAST 2014, is India’s biggest
platform for the Aluminium Castings Industry, which is held every alternate
year. The 6th edition of this event takes place this year from December 4- 6,
2014 in Bangalore India. This biennial event has emerged as the convergence
for numerous stakeholders across the aluminium industry. The accompanying
training programmes and high level conferences evoke a great deal of interest.
Over the past decade, the Indian Die Casting industry has seen modernization
and increasing production capacities. The industry has grown phenomenally and
is touted as the global supply hub for all auto giants. This puts the industry in an
enviable position of quantum growth in the coming years.
KISAN South : Agriculture Trade Fair
9 - 11 Jan 2015 @ BIEC, Bangalore
KISAN, the largest agri show, in its 23rd edition will exclusively focus on South
India. This region is known for offering leadership in new concepts& innovation
in Indian Agriculture. Farmers here welcome advance technologies & new ideas
and innovating them further to suit local needs.
KISAN Fair is recognized for initiating trends and seeding fresh ideas among
the farmers of India. KISAN South 2015 brings together farmers, agri business
operators, policy makers, government officials and media from across South
IMTEX 2015/ Tooltech 2015
22 - 28 Jan 2015 @ BIEC, Bangalore
We are pleased to announce the IMTEX 2015 - 17th Indian Metal-cutting Machine
Tool Exhibition with International Participation from 22 to 28 January 2015 at
Bangalore International Exhibition Centre (BIEC) in Bangalore, India. IMTEX
series is the largest exhibition of metal-cutting machine tools and manufacturing
solutions in South and South-East Asia.
IMTEX 2015 will showcase the exhaustive range of innovations and technological
refinements in the complete product segment of metal-cutting machine tools.
Concurrent with IMTEX 2015, we are also organising Tooltech 2015 - 17th
International Exhibition of Cutting Tools, Tooling Systems, Machine Tool
Accessories, Metrology & CAD/CAM at the same venue. Tooltech 2015 will feature
newest trends in cutting tools and tooling systems from all across globe.
Industrial Spectrum Oct-Nov 2014
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