Why India?

India, developing with tremendous speed, offers investors a resilient economy, macro economic reforms, huge demand potential, global competitiveness, effective productivity, strong manufacturing base, strategic location, intellectual capabilities, outsourcing haven, leadership in commodities and a most attractive emerging market in retailing.

India with huge resources is always eager to lay out infinite opportunities to its investors, industrialists and enthusiastic enterpreneurs. 

At present as well as in future..

At present as well as in future, there is enormous scope for expansion and development in the Indian Plastics Industry. The processing industry in fact offers a huge potential for upgradation in terms of innovative technological advances.

Some of the areas where huge investment potential for the plastics industry are:

Sophisticated and world-class higher capacity machines.
 
Enhanced design capabilities, moulds, tools and dies and technological know-how.
 
Increasing use of intelligent manufacturing to improve productivity and asset utilization

Global practices in manufacturing excellence, quality management and design

Development of new products and applications       
         
Technology & Consultancy        

Foreign Direct Investment in the downstream sector

Opportunities waiting in India

The Indian Plastics Industry has been growing at a tremendous rate of 15% over the years and with its true potential harnessed, it is all set to reach the 12.5 MMT consumption mark, making India the 3rd largest consumer of plastics by 2010. To match this figure, India would require 30,000 new machines and around US $ 9.5 billion of project investment.

India's Agricultural Ministry has planned focused development of plasticulture to cover 17 million hectares under micro irrigation system which will boost demand of plastics from 216 KT in 2006 to over 2500 KT in next 5 years.

         
The growth for plastics consumption in Indian economy is irresistable due to fast growing sectors like Electronics, Packaging, Healthcare, Consumer Durables and Telecommunication.
         
The country has made considerable progress in the last ten years in attracting private investment into the infrastructure sectors in telecommunications, ports, roads & power etc. The importance of infrastructure for sustained economic development is well recognized in India. The sector is estimated to grow at the rate of 15 per cent over the next few years. India has the potential to absorb US $ 150 bn. of foreign direct investment in the next five years in the infrastructure sector alone. This will offer tremendous opportunity for consumption of plastics.

Positive Projection

The boom in service field will result in invisible exports of US $150billion by the end of the decade. India withholds a share of 44% of the global offshore outsourcing market in software field and back-office services.

Skill-intensive offshore manufacturing will yield US $1.6 trillion annual opportunity. India is gradually becoming the manufacturing hub for global sourcing with 4 hubs of 25,000 acres each, developing near Mumbai, with an investment of US $50 billion.

According to A.T. Kearney's Global Retail Development Index, India ranked first in 2005 and 2006 among emerging countries on the urgency for retailers to enter the country with a US $ 350 bn. retail market. This will be a tremendous boost for the Plastics and Packaging Industry vis-à-vis the FMCG sector.
         
India offers a wider range of industrial segments for investment purpose as opposed to other BRIC countries like Brazil, Russia & China who depend on coffee, oil and utilities respectively.

India has moved up a good three notches to its highest ranking ever. India is now the third most favoured destination for Foreign Direct Investment (FDI), behind only China and the USA. While global enterprises like Posco, Mittal Steel, SemIndia, Microsoft, Nokia, Boeing, BMW & Samsung have committed to invest US $ 26 bn., FII's have brought in US $10 bn. in 2005.