By IACC Head Office, Mumbai

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Index

In the Spotlight: President Obama’s India visit

Joint Statement of Prime Minister Dr. Manmohan Singh and President Barack Obama

Remarks by the President to the Joint Session of the Indian Parliament in New Delhi, India

US praises Indian role on climate change negotiations

Obama Trip Spurs Two More US-India Trade Missions

Indo-US Pact to explore & produce shale gas

Agreement to Study Seasonal Prediction of Indian Summer Monsoon Rainfall between India and US

India-US MOU on Shale Gas

The US National Export Initiative: U.S. – India Transactions

In the Spotlight: Interviews:

Q&A: Scott Price, President and Chief Executive Officer, Walmart Asia

We are looking at more acquisitions in India - Gregory R. Page, Chairman & CEO, Cargill Inc.

In the News:

India to gain from US investment in South Asian energy fund

Bulk of India's investments in US in metals, IT sectors

India-US trade set to double in five years

An Overview of the Developments in the Indo-US Business Relations

Indians - 3rd fastest growing foreign investors in US

Haley's 'comet' streaks across South Carolina

Indian-American felicitated on winning Ellis Island Medal of honour

Indian–American appointed director of top US science body

Harvard mulls Pan-India management training

Corporate News:

VenSat gets $10 mn funding from Indo-US Venture Partners

Optra Systems sets up innovation centre in Pune

First Tata-made copter cabin from AP SEZ ready for export to US

Tata Beverages forms JV with Pepsi for health drinks

Kingfisher inks codeshare pact with American Airlines

Microsemi unveils new chip development tech

Lubrizol to expand polymers, additives business in India

GM India to launch 6 new models, pump in $500 mn

IBM signs research deal with two IITs to improve power grid efficiency

Pratt & Whitney lines up five manufacturing joint ventures

Ford to export to 48 countries from India

RPower secures $5-b line of credit from US Ex-Im Bank

Intelenet to step up presence in US

Coal India Limited mulls acquisition of Massey Energy

BHEL, GE India in JV to develop water treatment solutions

IBM India to tie up with more engineering colleges in Kerala

Auto component maker Akar Tools looks to buy forging unit in US

Dell becomes numer-uno in desktop PC market in India

India’s Investment in US

Ahmedabad based Kiri Dyes and Chemicals acquires US operations of DyStar Group

Zensar acquires US IT solution firm Akibia for $66 million

Dabur to buy US-based hair care specialist Namaste Labs for Rs446 crore

Dr Reddy's buys Glaxo's U.S. penicillin business

US Investment in India

Harley Davidson to set up assembly unit in Haryana

ConJoin Group buys PHNS for $250 m

Chevron buys Atlas Energy, takes over RIL JV

US skincare brand Kiehl's enters India

Visa:

U.S. ambassador announces more convenient U.S. visa application process

Indo –US Trade

Fact Sheet: US – India Partnership

Happenings @ IACC

Forthcoming Events

International Trade Shows

Trade Opportunities

Feature State: State of California

Snap Shot: State of California

Economy

State of California Trade with India (Imports & Exports)

Doing Business In California Business Advantages Innovation Hub Initiative

California: Exports, Jobs, and Foreign Investment

SME Exclusive: Starting a Business: Choosing a Business Structure Registering a Business Administering Employees Site Selection and Location Business Incubators Acquiring Office Manufacturing Equipment Obtaining Office/Facility Insurance Small Business/Disabled Veteran Business Enterprise Advocates & Liaisons

Dear Members,

In this issue, besides regular feature and happenings in Indo-US trade, we are giving extensive

reports on ‘what transpired during President Obama’s visit to India’ and launching ‘Special Feature’

on ‘Doing Business with the State of California’.

We would like to thank all our members for contributing to suggestions on Pre-Budget

Memorandum that will be presented to Ministry of Finance shortly.

We look forward to your participation at our upcoming events at IACC including our flagship event

Indo-US Summit in New Delhi, HRD event in Bengaluru and SUITE 2011 in New York.

Hope you all are benefitting from the information provided in our newsletter.

With regards,

R.K. Chopra Secretary General Indo-American Chamber of Commerce, India

India to gain from US investment in South Asian energy fund

The US Overseas Private Investment Corporation (OPIC) will provide $100 million in financing for the

$300-million South Asia Energy Fund, part of the Global Environment Fund (GEF). The South Asia

Energy Fund will invest in solar, wind, hydropower, advanced biofuels and natural gas projects, with

focus on India.

In addition, GEF will form an India-specific sub-fund in association with the Infrastructure

Development Finance Company and other potential Indian investors targeting India-only investment.

This will be in addition to OPIC’s pipeline of more than $280 million clean energy and energy

efficiency projects in India, said a statement from the White House.

US President Barack Obama’s visit has given a fillip to India’s plans of increasing its clean energy

resources, mainly availability of increased funding for clean energy projects and products.

Prime among the areas of cooperation will be to launch a US-India Energy Cooperation Program, an

innovative public-private partnership that will leverage business resources in both the US and India

for commercial projects and pilot development initiatives in clean energy and efficiency.

The US President’s visit will also accelerate establishing a Joint Clean Energy Research and

Development Center, that will mobilise up to $100 million in public and private sector funding over

five years for R&D on potential breakthrough technologies. The centre is conceived as part of the

US-India Partnership to Advance Clean Energy initiated two years ago to promote co-operation in

clean energy solutions.

Besides, the Export-Import Bank will provide substantial financial support for the purchase of US

goods and services to be used in the development of significant renewable energy and natural gas

projects in India. On the first day of Obama’s visit to Mumbai, the Export-Import Bank and Anil

Ambani’s Reliance Power had signed a memorandum of understanding on providing $5 billion in

financial support to Reliance Power for the purchase of US goods and services, solar and wind)

energy facilities.

Bulk of India's investments in US in metals, IT sectors

With India already the third fastest growing investor in the US, it's the metals and manufacturing

sectors that are clear favourites when it comes to Indian investments in the US.

During the last five years (2004-09), 90 Indian companies made 127 greenfield investments worth

$5.5 billion, of which nearly half was in the metals sector, with the software and information

technology (IT) sector coming in a distant second with less than 15 per cent of the investment pie.

Industrial machinery and the equipment tools sector cornered six per cent of the total investments,

as was the case with the leisure and entertainment sectors, according to a report titled ‘US India

Business-Advancing bi-hemispheric partnership' prepared by the US India Business Council (USIBC),

KPMG and Everstone Capital.

Prominent amongst the greenfield investments is the acquisition of the privately-owned Minnesota

Steel plant by Essar Steel to build a new integrated steel plant at the same location, entailing

investments to the tune of $1.6 billion.

Top destinations

The top three destination states for Indian greenfield investments were Minnesota, Virginia and

Texas, in that order.

During the five-year period, a total of 239 Indian companies made 372 acquisitions in the US.

Five states that attracted the most M&A (mergers and acquisition) investments from Indian

companies, accounting for 75 per cent of total deal value, were Georgia, New Jersey, Michigan,

California, and Texas.

The bulk of M&A investments by India Inc. in the US were in manufacturing and other industrial

sectors, rather than in services for which India is well known.

The five leading US sectors receiving M&A investments from India were namely — manufacturing, IT and IT-enabled services, biotech, chemicals and pharmaceuticals, automotive, and telecom, which accounted for 83 per cent of the total deal value.

India-US trade set to double in five years

Mr. Suresh Kumar, Assistant Secretary and Director-General of US and Foreign Commercial Service,

who led US business delegation to India, said Indo-US trade is set to double from the present level

within the next five years.

At present, Indo-US trade is worth $37 billion, including $16 billion worth exports from US to India,

he told newspersons here. Doubling of trade will create two million fresh jobs in the US.

In the first seven months of this year, US exports to India touched $11 billion, up by 20 per cent,

while Indian exports to the US crossed $17 billion, up 40 per cent.

Mr. Kumar said US companies were looking at engaging with India in fields such as power (including

nuclear power and renewable energy), bio-tech, healthcare (including devices), education, aviation

and infrastructure.

The US delegation met with top corporates, including Reliance Industries, L&T, the Tata Group and

Birla Group in the last few days.

Q-Mart, a Hyderabad-based retail firm, is set to introduce Curves for Women, a US franchise that

specialises in women-only fitness centres, with the first centre likely to be opened in Hyderabad in

January 2011.

Advanced Mining Technologies (AMT), a marketing partner for Kentucky-based ICG Addcar Highwall

Mining System, will be selling highwall system to a government-owned mining entity in Andhra

Pradesh in a deal valued at over $20 million.

Mr. Kumar pointed out that the US President, Mr Barack Obama's National Export Initiative aims at

doubling US exports over five years.

Haley's 'comet' streaks across South Carolina

Republican candidate Nikki Haley, born Nimrata Randhawa, became second Indian-American after Bobby Jindal to win governorship of a US state in a mid-term election that saw minorities make further inroads into mainstream American politics despite voters inflicting a heavy defeat on the Democratic Party.

Haley, born to Sikh parents who migrated from Punjab, made history on Tuesday by winning a race that will make her the first woman governor of South Carolina and the first Indian-American woman to occupy a governor's mansion in the US.

Riding, like Jindal, on a conservative platform, and backed by prospective 2012 White House aspirant Sarah Palin and the Tea Party, Haley polled about 52% of votes to handily defeat her Democratic rival Vincent Shaheen, who got 46 per cent.

Neither Jindal nor Haley are particularly cognizant of India in foreign policy or economic terms (they prefer to play down their Indian roots), but their rise in American politics points to minorities, including people of Indian origin, shifting to the right as they assimilate and go up the social and economic ladder.

A record half-dozen Congressional aspirants of Indian-origin – five of them running as Democrats – lost their races in the face of the Republican onslaught, although some of them ran competitive races and polled a decent number of votes.

Two of them are physicians, and two are attorneys. In Pennsylvania, Manan Trivedi, a former surgeon in the US Navy who served in Iraq, polled 43% of the votes while losing to his Republican rival. In California, Ami Bera, a medical school dean, failed to unseat eight-term Republican lawmaker Dan Lungren despite raising more money.

In Kansas, attorney and state representative, Raj Goyle, 35, conceded defeat to Republican Mike Pompeo after polling only 36$ of the votes to his rival's 59% halfway through counting, while in Louisiana, another attorney Ravi Sangisetty, 28, lost to Republican Jeff Landry, who won 64% of the vote. Another young Indian-American, Surya Yalamanchili, 28, a Procter & Gamble marketing executive, lost to two-term lawmaker Jean Smith after polling 34% of votes in Ohio.

The defeat of the Indian-American half-dozen means the US House of Representatives has had only two lawmakers of Indian origin in its history – Dalip Singh Saund in 1956, and Bobby Jindal, before he became governor, in 2004.

Indian-American felicitated on winning Ellis Island Medal of honour

India-born president and CEO of a technology services company ASR International Corporation, Rao S. Anumolu, was felicitated for winning the esteemed Ellis Island Medal of honour, at an event held at Long Island, New York. It is the highest civilian award in the US for the immigrant population. The award is given to recognise outstanding contribution to communities, nation, and the world.

Rao S. Anumolu received standing ovation from a host of business leaders, technology leaders, academicians, and politicians. The Ellis Island Medal of Honour is officially recognised by both the United States House of Representatives and Senate, and the recipients are read into the Congressional Record. George J. Hochbrueckner, former Congressman, the chief guest at the event, praised Anumolu's for his contributions and congratulated him on behalf of the New York Congressional delegation.

Anumolu was also honoured with Congressional recognition on Capitol Hill in 2003 for helping to enhance homeland security post the September 2001 terrorist attacks.

Indian–American appointed director of top US science body

Subra Suresh, an Indian-American academician, was appointed as the director of the National Science Foundation (NSF), the top US science body that leads scientific research. Suresh was nominated for this position by US President Barack Obama. As director of NSF, Suresh will head the $7.4 billion independent federal agency.

"We are very grateful to have Subra taking this new task. He has been at MIT and has been leading one of the top engineering programmes in the country, and for him now to be able to apply that to the National Science Foundation is just going to be outstanding", said Obama.

An IIT Madras alumnus, Suresh was sworn in a ceremony arranged in the Secretary of War Ceremonial Room of the Eisenhower Executive Office Building of the White House. On September 30, 2010, Suresh was confirmed by the US Senate for a six-year term. He has worked as dean of the

engineering school and as Vannevar Bush Professor of Engineering at the Massachusetts Institute of Technology.

Harvard mulls Pan-India management training

US-headquartered Harvard University may offer more to Indian education institutions from its

bouquet of programmes.

The Harvard Business School (HBS) has already been offering programmes in India since 2008.

“Because of India's prominence, geo-politically and economically, Harvard University has a huge

commitment. We are likely to see more programmes being offered across Harvard University. We

are working with Vice Provost for international affairs and India is a big part of our conversation,”

professor Rohit Deshpandé, Sebastian S. Kresge Professor of Marketing at Harvard Business School

told Business Standard.

Deshpande was in India last week for conducting the Global Colloquium for Participant-Centered

Learning (GCPCL) that saw the participation of around 24 faculty members from various B-schools in

India.

“We are trying to build a national infrastructure in management training in India and we wish to

touch large number of Indian students through their faculty members. Looking at the shortage of

faculty in India and the high demand for management education, we would like to train faculty

members so that they can reach out to more number of students. Using the case method of

teaching, the School has trained tens of thousands of leaders in business, government, and

academia,” said Deshpande.

Harvard Business School might hold several sessions of the programmes in future. The business

school had opened its Indian Research Centre in Mumbai in 2006 and has since conducted six

executive education programmes. It has developed various case studies and is looking for a

classroom space. The centre would introduce three more programmes in India between January and

May 2011.

“Our programmes are about direct training of executives. Development is more critical to us. You will see more tailored programmes offered in India. There is a limit we can touch people that way, create network and develop more case studies,” added Deshpande.

IBM India to tie up with more engineering colleges in Kerala

With the objective of providing world class skills to students on IBM Technologies, IBM India is

planning to tie up with three more engineering colleges in the State as part of its Centre of

Excellence programme, an academic initiative taken up by the company.

The company has already tied up with two engineering colleges in the State for the programme as

the CoE will provide an opportunity for students to learn new skill sets on latest technologies and

IBM products, said Mr Sriram Rajan, Vice-President, General Business (South).

IBM will provide the college with access to technologies relevant to the market and equip the facility

with the knowledge to ensure students are able to gain first hand experience on all IBM products.

Through this IBM academic initiative, he said the company is working with colleges and universities

in the country to teach students the open standard skills they will need to compete in the

technology work place.

IBM's centre offers a wide range of technology education benefits that can be scaled to meet the

goals of most educational institutions for improvement in the quality of technical education and

increase in the employability of students.

Referring to Kerala market, Mr Rajan said that the company is doing extremely well in the State. There are plans to expand the business and the company is focussed on verticals such as government, cooperative banks and insurance, IT/ITES and NBFC to develop a business model.

VenSat gets $10 mn funding from Indo-US Venture Partners

VenSat Tech Services, a media and entertainment startup offering animation, visual effects (VFX) and

2D-to-3D conversion, has tied up with Bangalore-based venture capital firm Indo-US Venture

Partners for $10 million (Rs 222 crore) funding, to be invested over the next six months in its

operations in the United States.

Announcing this, VenSat executive director Venkatesh Roddam told that the company had

completed 10 projects since its inception in December 2009, including VFX for recent films Robot

and Dabangg. It currently has six projects in hand, including four films.

The company has so far invested around $5 million (Rs 111 crore) in its operations. It has two

centres in Hyderabad and Chennai employing 30 and 80 people respectively. Looking to establish a

presence in the $500-billion entertainment market in the US, the company announced its US arm,

VenSat America, which would be led by Ken Silverman, CEO and president, and John Follmer, vice

president and chief operating officer.

Optra Systems sets up innovation centre in Pune

Pune-based software solutions provider Optra Systems has set up an innovation centre with an

investment of Rs 10 crore. The centre will accommodate 150 professional including Software

engineers, Bio-informaticians, medical doctors, mathematicians, quality regulators and research

scientists.

Speaking on this occasion Abhijeet Gholap , President and CEO, Optra Systems said, "Life sciences

and health care market rely heavily on innovations. This innovations lab will initially be focused on

coming up with innovative ideas and product conceptualization before taking it to the next level. We

will be more focused on software innovations for Drug Discovery and development as well as

diagnostics. An investment of about Rs 10 crore is budgeted for this innovation lab for next 12

months as an initial investment.

Optra Systems is also providing solutions to University of Stanford and Harvard University on Bio

Informatics, which include design and development of informatics solutions towards Human

Genome Project.

Recenly, Optra Systems has started working with a leading university in USA to develop health care

application (Ophthalmology Check up using Apple iPhone and Google ANDROID) It is developing

health care applications on mobile platforms for clients in US and UK. Gholap added, "We are

currently providing solutions to our clients leveraging our unique platforms. The 35 per cent of our

revenues come from research and academic markets globally. Optra Systems will develop its own

products which will cater to leading health care customers like GE and Thermo-Fisher. These

products will be targeted at Life sciences , biotech markets and clinical trials."

First Tata-made copter cabin from AP SEZ ready for export to US

The first helicopter cabin manufactured by Tata Advanced Systems Ltd at the aerospace special economic zone SEZ in Ranga Reddy district on the outskirts of the Andhra Pradesh capital of Hyderabad will be delivered next week to US helicopter maker Sikorsky Aircraft, for its Sikorsky-92 copter.

Tatas had set up a helicopter manufacturing facility at the aerospace SEZ to manufacture cabins for the Sikorsky-92 helicopters which would be exported to the US on 23 November, with two more scheduled to be delivered by the year-end.

The functioning and progress of the country's first aerospace and precision engineering SEZ set up on a 500-acre site at Nadargul and Adibhatla villages was reviewed by the chief minister. He said that with a little more emphasis and push, the state could overtake Gujarat and Maharashtra in terms of investment and industrialisation in the near future. Andhra Pradesh had laid down an ambitious roadmap for attracting global investments and technology partners to make the aerospace SEZ emerge as a major destination for the aviation industry not only in India but across Asia, he said.

Rosaiah claimed that industry and agriculture were the two eyes of his government and hence both were being given equal prominence and promoted vigorously. "Whatever be the developments in the coming days, I assure every investor and industrialist that the state government is firmly behind them and is committed to supporting them with a secured and tension-free environment," he said.

Tata Beverages forms JV with Pepsi for health drinks

Tata Global Beverages Ltd’s board approved forming a 50:50 joint venture (JV) with Pepsico India Holding Pvt Ltd in the non-carbonated, ready-to-drink beverage segment. The mandate of the JV is to develop its business internationally, the firm said in a statement from its Mumbai headquarters.

"The board has approved the signing of a 50:50 joint venture with PepsiCo India Holdings in the area of non-carbonated ready to drink beverages focused on health and enhanced wellness," Tata Global Beverages said in a statement.

The company will enter into a brand licensing and a manufacturing agreement for its 'Himalayan' brand of natural mineral water with the new joint venture company. The JV company would undertake the marketing sales and distribution of Himalayan in due course," it said, adding that it would be subject to terms and conditions agreed amongst the parties.

In April this year, the two companies had signed a memorandum of understanding for forming a joint venture to cater to the non-carbonated ready-to-drink beverages segment and focused on health and enhanced wellness. The parties had agreed that the proposed joint venture will not conflict with any existing arrangements of either party.

Later, in July Pepsico had announced a top management reshuffle with its executive director (marketing), Punita Lal being moved to head the joint venture.

Tata Global Beverages also said its board also approved acquiring ten per cent stake by the

company's overseas subsidiary in Activate, a performance beverage and bottled water company in

the United States. "The subsidiary has an option to increase its stake in this company (Activate)," the

statement said.

Kingfisher inks codeshare pact with American Airlines

Kingfisher Airlines and American Airlines, both members of the Oneworld alliance, will begin their codeshare and frequent flyer arrangement in 2011, the two airlines have announced.

The codeshare pact they signed on Tuesday, when cleared by the regulators, will allow American's ‘AA' code on Kingfisher Airlines' domestic network; Kingfisher can have its ‘IT' code on American Airlines' daily non-stop Delhi-Chicago flight and on selected AA routes between the US and London's Heathrow.

AA will also codeshare on Kingfisher flights from London Heathrow to Delhi and Mumbai. As part of the 12-airline Oneworld alliance since July this year, Kingfisher gets to share code with the other members, starting with its first partner British Airways.

Frequent flyer programme

Mr Manoj Chacko, Kingfisher's Executive Vice-President-Commercial, said, “The codeshare on American's flight to Chicago will mark the first time ever that Kingfisher Airlines will place its code on any flight operating into the United States. This coupled with the frequent flyer relationship will mean that Kingfisher Airlines' guests will benefit from seamless travel on the routes covered by the codeshare.”

Members of American's AAdvantage and Kingfisher's King Club frequent flyer programmes will be able to earn miles on the codeshare flights. “The two airlines are exploring a more comprehensive frequent flyer agreement that will include the ability to earn and redeem miles across each carrier's network,” said a Kingfisher release. The codeshare partnership with Kingfisher “offers our customers

the choice of flying to more cities throughout India and a more convenient travel experience,” said Mr Virasb Vahidi, American's Chief Commercial Officer. “We look forward to strengthening our partnership further as Kingfisher completes the process of joining the Oneworld alliance.”

American Air is currently celebrating the fifth year of its daily service between New Delhi and Chicago. In August, the airline moved its New Delhi operations into the new Terminal 3 at the Indira Gandhi International Airport where Kingfisher is also located.

Microsemi unveils new chip development tech

California-based semiconductor technology solutions provider Microsemi unveiled its new 65-nanometer embedded Flash technology that will pave the way for production of new-generation chips that can be used across space communication technology, aviation and Defence sectors.

The technology was developed by US-based system and power management solutions firm, Actel,

which it acquired recently through a cash transaction offer of $430 million.

The Hyderabad R&D unit of Actel, now a part of Microsemi, had contributed significantly to the

development of the new technology platform.

“We plan to roll out the new products (chips) based on this technology from early 2011. With the

move to 65-nanometer, the improvements in power and performance allow us to target a much

larger spectrum of the industrial, medical, avionics and communications markets,” Mr Esam

Elashmawi, Vice-President, Product Development, told press persons here.

He said after the Actel acquisition, the company was ramping up the Hyderabad R&D facility to make

it part of its global R&D network. “At a later date, we will look at expanding the scope of the

(Hyderabad) R&D unit beyond research to product development for our global market,” Mr

Elashmawi said.

Microsemi's present products portfolio includes analog and RF devices and mixed signal integrated

circuits.

Lubrizol to expand polymers, additives business in India

US, based Lubrizol Corporation is set to expand its specialty polymers and additives business in India.

These are used in coatings, personal care and specialty plastics and are basically performance

enhancers.

The company imports close to 70 per cent of these products — which are part of its advanced

material segment — from its facilities in Europe, Brazil and China. Lubrizol Advanced Materials

(India) has a facility in Vadodara, Gujarat, which provides global supply of naturally derived

thickeners used in the personal care market.

The company also has a 50:50 joint venture with Indian Oil Corporation at Turbhe to produce

additives for engine and transmission lubricants which, Mr Eric Schnur, President, Lubrizol Advanced

Materials, said, logs revenues of over $100 million.

On the volume of the global additives business, he said the segment was diverse and over $50

billion. However, Lubrizol's focus is limited to a category worth $10 billion where it has a 15 per cent

market share.

Centre in Mumbai

To further its advanced material business in India, the company has opened a Rs 5-crore application

centre in Mumbai. The laboratory includes development, formulation and applications testing

capabilities in multiple personal care and coatings applications, besides a pharmaceutical application

development centre.

In addition, it will support Lubrizol's engineered polymers business.

On the compulsions for the application centre here, Mr Schnur said India was a different market and

merely shipping in an overseas developed product and offering it here would not work.

“Lubrizol has a long history of investing in the South Asian region, particularly in India. We view this

market as a great opportunity and our Mumbai location represents an important step in what we

intend to be a long-term effort focused on growth and investment in this region,” he said.

In engineered polymers, Lubrizol's ‘FlowGuard', which is a high-performance engineered plastic,

widely used for hot and cold water delivery, is popular.

There are three licensees — Astral (Ahmedabad), Ashirwad (Bangalore) and Ajay (Delhi) — for the

product to address the domestic market. FlowGuard has grabbed a sizable market in the quarter and

half inch (diametre) pipe category, scoring over galvanised and steel pipes.

Similarly, Lubrizol's thermoplastic polyurethane is used in many applications, including

transportation and the sports shoes segment.

GM India to launch 6 new models, pump in $500 mn

General Motors India, the owner of the Chevrolet brand, is looking to invest $500 million (Rs 2,250

crore) over the next two years as part of its new product development and plant expansion plans.

The company will launch six new vehicles —a pick-up van, multi-seater van, hatchback, notchback,

sports utility vehicle and multi-purpose vehicle. This will be in addition to the light commercial

vehicles that would be launched in 2012.

Most of these products are made by the GM-SAIC-Wuling joint venture, which is operational in

China. The products will go through the company’s Bangalore research and development centre to

make them suitable for Indian buyers. It will also sport a localisation level of 90 per cent.

The company, a 50:50 joint venture between General Motors and Shanghai Automotive Industry

Corp (SAIC), has also awarded contracts worth $500 million to component vendors that supply parts

to its international plants. About 80 vendors are currently supplying to its international plants.

General Motors, which has come out with an initial public offering (IPO) in the US, has no plans to

fund expansion activities of subsidiary companies like the India unit.

Karl Slym, president, GM India, said, “Much of the proceeds will go into repaying debt. The Indian

operations can be run with the money generated by itself. So we are reinvesting whatever we sell.”

The company is also working on a new version of its compact car Spark that would sport a smaller

engine — on all probability a 800cc — and is expected to be launched in two years.

“We see good opportunity for a small engine in India in the Spark. We sell the proposed engine in

some of the overseas countries. We are working on a smaller version of the Spark. There will also be

a new engine offering for the Beat which will come with a one-litre diesel engine,” added Slym.

In addition, the company would create a new brand for the commercial vehicle venture that would be a derivative of the Chevrolet brand. All passenger vehicles, including those which were originally developed in China, will be branded as Chevrolet.

IBM signs research deal with two IITs to improve power grid efficiency

IBM has signed a research collaboration agreement with IIT-Madras and IIT-Kharagpur to develop

systems that will help power grids become more efficient and resilient.

The systems will analyse power grid data for predictive insights. They will also improve grids to

enhance productivity and reduce inefficiencies in power consumption, said the company.

System Designs

IBM Research-India will work with these two institutes to develop open system designs that can

boost the potential of Phasor Measurement Units, a new type of sensor on power grids. IBM

researchers and the students will develop network architectures to collect and process data to

provide information to grid operators.

The knowledge and insights gained from this collaborative research work will be made publicly

available, to allow governments and businesses around the world take advantage of the technology,

a company statement said.

According to the International Energy Agency, the global demand for electricity is expected to

increase significantly during 2006 to 2030 — 1.1 per cent per year on average in the Organisation for

Economic Co-operation and Development countries. In comparison, increases are 7.6 per cent in

China and about 6 per cent in India per year.

This rising demand increases stress on grids, thereby growing the chances of power outages. To

prevent such outages and their impact on productivity, it is important to make the grid more

intelligent by adding sensing, control and communication components, the release added.

“With exploding world population and the increased demand for clean and cheap energy there is a

pressing need for making the power grids efficient, intelligent, and secure. The collaboration among

IBM Research-India, IIT-Madras and IIT-Kharagpur aims at reducing inherent inefficiencies of power

grid technologies and make them optimally productive,” said Dr Manish Gupta, Director, IBM

Research-India, and Chief Technologist, IBM India/South Asia. “By helping power grids become more

efficient, the project will also contribute to the efforts of creating sustainable energy generation

systems.”

IIT-Kharagpur will be primarily involved in developing the new power system applications and

software systems for the project and IIT-Madras will focus on the networking architecture to ensure

that the data collected from various locations is appropriately transmitted to one location. A test

bed will be developed to connect IBM Research labs and both the institutes to emulate a smart grid

network.

Collaborative research

The project is part of IBM's Open Collaborative Research programme, an initiative to foster

innovation through university-industry research collaboration.

The partnerships with the institutes are the fourth engagement of its kind in India. IBM recently

announced its collaboration with IIT-Bombay. This year IBM also announced a project with National

Institute of Design.

Pratt & Whitney lines up five manufacturing joint ventures

Aviation engines major Pratt & Whitney says it is sewing up four or five joint ventures with local

manufacturers in the coming months. Its local sourcing of components and engineering services will

increase 10-fold by 2014, to around $150-200 million a year (roughly Rs 700-900 crore).

Mr David Hess, Global President of P&W, told Business Line the first joint venture should happen by

the end of this year in which P&W will invest 50 per cent or around $25 million. The others will

follow by the first half of 2011, Mr Hess, who was in Bangalore recently, said without specifying

investments.

“We have a big R&D engineering footprint. We are actively working to expand our manufacturing

footprint,” Mr Hess said. “We are working on establishing manufacturing joint ventures and hope to

make some announcements here this year and early next year.” One of them would include an

engine MRO (maintenance, repair and overhaul) service.

P&W sources components, software, design services and R&D from Hindustan Aeronautics Ltd, the

local industry and its own joint venture, Infotech Enterprises.

“Our sourcing activity today is small, may be $15 million. Our objective is to grow that by at least a

factor of ten over the next four years.”

The $13-billion P&W makes civil and military aircraft engines, industrial gas turbines and space

propulsion systems. Mr Hess said it was exploring partnership opportunities with L&T, the Tata

Group and others.

Its $52-billion US parent, United Technologies, through other divisions makes Sikorsky helicopters

(the Tatas are the Indian partner), Otis elevators and Carrier air-conditioners. UTC is shortly opening

a single office in Delhi for all its divisions. UTC's CEO, Mr Louis Chenevert, who was in Delhi during

Mr Barack Obama's visit, said it planned to increase its total India revenue five-fold to $ 2.5 billion by

2015.

Mr Hess did not specify P&W's share in this but said it was looking at a large emerging Indian market

for its commercial engines that power airline fleet; turbo fans for the smaller ATR-type aircraft and

business jets.

P&W will also sell at least 40 engines and ten spares besides do some MRO for the IAF's latest

purchase of 10-20 Boeing C-17 transport planes. Each plane is powered by four P&W engines.

Currently, some 64,000 P&W engines fly on aircraft globally. Of them, 800 are on the fleet of

domestic airlines such as Kingfisher and Indigo. “We hope to expand that dramatically with the

forecast for a number of aircraft being purchased in India. The large aircraft alone will exceed 1,100

over 20 years. We have very exciting opportunities in large business jets, which, we think, will have a

market here.”

Mr David Galuska, Senior Vice-President, Module Centers and Operations, said purchase orders

worth $40 million were placed this year and others worth $60 million were lined up for potential

partners. The sourcing office in Bangalore would double to about 80 people in three years.

Mr Hess said the future aviation growth rates were astronomical. Compared to low growth rates for aircraft purchase elsewhere, “It is in the upper teens or 17 per cent here. What's interesting is the forecast. We want to be here at the beginning of it.”

Ford to export to 48 countries from India

The US-car manufacturer Ford is planning to export cars to 48 countries from Tamil Nadu. The

company which started its export of its Figo, in July, said that by the end of this year it will export

8,000 Figos to South Africa, the first export destination for the company from Chennai.

Speaking to reporters at the concluding event of Ford Figo Discover Smart Drive campaign

celebration Michael Boneham, president and managing director, Ford India said the company has

started exporting Figo to South Africa in July and between April and October 2010 the company

exported 4,100 cars to South Africa and by December-end the figure will touch 8,000”.

The company has been exporting 1.41 petrol and diesel variants of the Made-in-India Figo to South

Africa. “Figo has been among the top five selling cars in South Africa now and we got an

overwhelming response,” said Boneham.

Nigel Wark, executive director - marketing, sales and service, Ford India added that from October 30,

the company has started exporting Figo to Nepal, which will be second the international market,

which will be catered by Maraimallai Nagar facility, on the outskirts of Chennai.

In addition to these two markets, the company is looking at 48 countries in 2011, said Boneham.

These markets includes North Africa, Mexico, South America, Arab Emirates and West Asia.

Ford’s model Figo has crossed the 50,000 mark, registering a sale of 52,644 units since its launch in

India. In October, Ford recorded its second highest domestic sales of 9,026 units, a 161 per cent

year-on-year increase compared to the same month in 2009. From January to October 2010, the

company has sold 72,078 units compared to 25,386 units in 2009, an increase of 183 per cent.

“Figo is the second fastest car model in India to cross the 50,000 sales mark,’’ said Boneham. He

added that now the challenge will be to stretch the manufacturing facility at Maraimallainagar and

also the supplier capacity.

RPower secures $5-b line of credit from US Ex-Im Bank

The Export-Import Bank (Ex-Im) of the US will offer loans up to $5 billion to Reliance Power (RPower), part of the Anil Dhirubhai Ambani Group , to help the Indian company purchase US goods and services for various power plants.

RPower chairman Anil Ambani and the US Ex-Im Bank president Fred Hochberg signed a memorandum of understanding during the visit of US President Barack Obama, the company said in a statement. The agreement would make available long-term dollar loans in the next three years.

Earlier, the board of Ex-Im Bank had accorded its final approval of project finance facilities aggregating $917 million for their 3,960 megawatt (MW) Sasan Ultra Mega Power Project (UMPP).

This was the largest funding support by Ex-Im Bank to an Indian company on a project recourse basis. The funding facility is to support Sasan Power’s plans to purchase coal mining equipment

“The MoU would enable RPower and its affiliates access to Ex-Im Bank long-term dollar loans at a substantially reduced processing time. Considering that Ex-Im Bank exposure to India has been primarily limited to public sector, execution of the MoU is a landmark event that would go a long way in increasing diversity of lenders that could provide long-term finance to India’s private sector,” the statement said.

RPower, a leading private sector power generation company, is implementing power projects with aggregate capacity of over 37,000 MW, by far the largest development portfolio in the country. The company also has the largest captive coal reserves in the private sector estimated at more than two billion tonnes.

RPower had earlier placed a $750-million order with General Electric for its power plants. The company expects its association with American firms to generate manufacturing exports worth over $2 billion from the US into India, chairman Anil Ambani said on Saturday at a function during the visit of US President Barack Obama.

RPower plans to scale up its capacity to 25,000 MW by 2015. Currently, the company has an operational capacity of 600 MW at its 1,200 MW Rosa Power Project in Uttar Pradesh and has also acquired operational capacity totalling 433 MW from group company Reliance Infrastructure .

Intelenet to step up presence in US

BPO major Intelenet plans to step up its onshore presence in the United States at its Campbellsville

facility in Kentucky.

The centre has an existing headcount of 223 agents and will create 100 new positions making it the

fifth largest employer in the region. These facilities are expected to service customers in the travel

and IT domains.

Intelenet acquired a presence in the US market in 2007 with its acquisition of Upstream, a US based

global BPO (now Intelenet America LLC). With centres in Fargo – North Dakota, Campbellsville –

Kentucky and Chesapeake – Virginia, it has enhanced its onshore delivery capabilities for the US

market and augmented its service offerings to provide multi channel contact centre solutions

including voice and back office operations spanning customer relationship management and sales

support.

Coal India Limited mulls acquisition of Massey Energy

After expressing interest in picking up some mines of Massey Energy, state-run Coal India (CIL) said it

was open to acquiring the US-based company in its entirety. Massey Energy is the fourth-largest coal

company in the United States, with reserves of about 2.3 billion tonnes, while CIL is the world's

largest coal miner.

"The US company, which offered some particular mines to us, is also offering the company itself. But

we have to be cautious about the procedural part, as we are accountable to the public. We are

interested, but wants the government to issue clear guidelines for this," said CIL Chairman Partha S

Bhattacharyya.

Virginia-headquartered Massey, which has operations in West Virginia, Kentucky and Virginia,

yesterday issued a statement stating that "its Board of Directors, as part of its annual review of the

company's strategy, has directed the company to engage in a formal review of strategic alternatives

to enhance shareholder value". Last month, the company said it was "exploring strategic

opportunities", without specifically naming any company.

Regarding the government clearance, Bhattacharyya said, "We are expecting the government to

issue guidelines soon, as it is aware of the problems faced by public sector undertakings. The Centre

has already appointed a committee for this under the chairmanship of V Krishnamurthy. It will come

out with certain guidelines soon."

According to him, if the guidelines come late, CIL, sitting on a cash reserve of Rs 39,000 crore, may

take a conscious decision and go ahead with the plan of bidding for Massey. Earlier, CIL had

appointed an investment banker and was conducting due diligence for a clutch of mines offered by

the US company.

CIL had earlier said it had earmarked Rs 6,000 crore for acquisitions during this financial year. The

company's record Rs 15,000-crore initial public offer last month was the largest ever in domestic

bourses, and CIL is India's third-most valued company.

BHEL, GE India in JV to develop water treatment solutions

State-owned power equipment maker BHEL would join hands with GE India Industrial Private

Limited for manufacturing water treatment equipments.

"BHEL and GE India Industrial Private Limited (GEIIPL), a 100 per cent owned subsidiary of GE, USA

will jointly engineer and supply water treatment solutions for the Indian market," the company said

in a statement.

According to the terms of the agreement, the joint venture will help BHEL acquire the capability to

develop large water treatment systems based on GE Products, on its own, it said.

Experts peg the domestic water treatment market during 2011-15 in power generation, potable water and waste water treatment at approximately Rs 18,000 crore. Out of this, the power sector alone would require water treatment systems worth Rs 8,000 crore.

Auto component maker Akar Tools looks to buy forging unit in US

Aurangabad-based auto component maker Akar Tools is keen on acquiring a forging unit in the US.

“The idea is to tap the US market through the overseas subsidiary. Our priority will centre around

the clientele and technology of the target company,” Mr Sunil Todi, Managing Director, Akar Tools,

told Business Line. Akar has opened an office in the US for the purpose.

The company plans to focus on overseas markets, as 40 per cent of its Rs 113-crore topline in the

last fiscal came from exports. Akar's major export destinations are the US and Europe.

Robust demand

“The demand there is very robust. We have orders for the next eight months from the US and are

not in a position to cater to any more demand this year,” he said.

Akar, which supplies hand tools, leaf springs and forgings to Tata Motors, Mahindra & Mahindra and

Bajaj Auto, is doubling its capacity in Aurangabad to 28,000 tonnes/annum. Akar sources raw

material from group company Aarel Steels.

It has five manufacturing units in Aurangabad. “The capacity expansion will be completed in six

months. We have been gradually expanding our capacity in the last two years. We expect our topline

to grow 40-50 per cent in 2011-12 and double in the year after,” he said. Akar's revenue for the

September quarter was up 23 per cent, at Rs 67 crore.

Akar may also set up production units at Pune and locations that are close to the automakers. At

Aurangabad, the company plans to start new lines for machining and assembling parts for engine-

makers such as Kirloskar, Greaves Cotton, Piaggio and Cummins. Akar has won a firm order from

Kirloskar for engine parts.

Dell becomes numer-uno in desktop PC market in India

After clinching overall domestic PC market last quarter, personal computer maker Dell became the No. 1 in the desktop segment for the first time with a market share of 9.8 per cent in the third quarter of 2010, research firm IDC said. Dell clinched the top position in the India desktop PC market for the first time with a share of 9.8 per cent, followed by HP and Acer in the second and the third spots respectively during July-September quarter 2010, the quarterly study of IDC said. Dell had overtaken global rival HP for the first time in the Indian overall PC segment, which includes notebooks and desktops, with a 15.2 per cent market share in the previous quarter.

"Last quarter Dell was able to clinch the top position in the overall PC market which includes notebooks and desktops combined and in the quarter we have taken No 1 position in personal PC segment which reaffirms the consumers are buying our products and they are using it too," Dell India ED and General Manager - Consumer Mahesh Bhalla said. Desktop PC sales at 16.7 lakh units accounted for nearly 60 per cent of total PC sales during the September quarter, representing a 15 per cent increase year-on-year. The sales of notebook computers grew at 52 per cent year-on-year to cross 11.1 lakh units for the quarter. "Launch of multi-colour models, complemented with aggressive promotions and discounted bundling schemes augmented consumer PC spend, especially in the portables segment," IDC India Lead PC Analyst Sumanta Mukherjee said. Besides on November 10, US computer-maker Dell made its entry into the highly competitive Indian smartphone market with the launch of two high-end 3G-enabled handsets, priced at Rs 10,999 and 16,990 respectively. The company is targetting both high and low-end users with the two smartphones, dubbed XCD28 (Rs 10,999) and XCD35 (Rs 16,990), it had said. "Large Enterprises responded to the improving global economic cues by ramping up IT infrastructure spending, resulting in overall improved traction, particularly for desktop PCs. "With the momentum likely to continue in fourth quarter 2010, release of revised rate contracts for government sector buying should further bolster the prospects of the commercial PC segment," Sumanta added.

Joint Statement of Prime Minister Dr. Manmohan Singh and

President Barack Obama

Reaffirming their nations’ shared values and increasing convergence of interests, Prime Minister

Manmohan Singh and President Barack Obama resolved today in New Delhi to expand and

strengthen the India-U.S. global strategic partnership.

The two leaders welcomed the deepening relationship between the world’s two largest

democracies. They commended the growing cooperation between their governments, citizens,

businesses, universities and scientific institutions, which have thrived on a shared culture of

pluralism, education, enterprise, and innovation, and have benefited the people of both countries.

Building on the transformation in India-U.S. relations over the past decade, the two leaders resolved

to intensify cooperation between their nations to promote a secure and stable world; advance

technology and innovation; expand mutual prosperity and global economic growth; support

sustainable development; and exercise global leadership in support of economic development, open

government and democratic values.

The two leaders reaffirmed that India-U.S. strategic partnership is indispensable not only for their

two countries but also for global stability and prosperity in the 21st century. To that end, President

Obama welcomed India’s emergence as a major regional and global power and affirmed his

country’s interest in India’s rise, its economic prosperity, and its security.

A GLOBAL STRATEGIC PARTNERSHIP FOR THE 21st CENTURY

Prime Minister Singh and President Obama called for an efficient, effective, credible and legitimate

United Nations to ensure a just and sustainable international order. Prime Minister Singh welcomed

President Obama’s affirmation that, in the years ahead, the United States looks forward to a

reformed UN Security Council that includes India as a permanent member. The two leaders

reaffirmed that all nations, especially those that seek to lead in the 21st century, bear responsibility

to ensure that the United Nations fulfills its founding ideals of preserving peace and security,

promoting global cooperation, and advancing human rights.

Prime Minister Singh and President Obama reiterated that India and the United States, as global

leaders, will partner for global security, especially as India serves on the Security Council over the

next two years. The leaders agreed that their delegations in New York will intensify their

engagement and work together to ensure that the Council continues to effectively play the role

envisioned for it in the United Nations Charter. Both leaders underscored that all states have an

obligation to comply with and implement UN Security Council Resolutions, including UN sanctions

regimes. They also agreed to hold regular consultations on UN matters, including on the long-term

sustainability of UN peacekeeping operations. As the two largest democracies, both countries also

reaffirmed their strong commitment to the UN Democracy Fund.

The two leaders have a shared vision for peace, stability and prosperity in Asia, the Indian Ocean

region and the Pacific region and committed to work together, and with others in the region, for the

evolution of an open, balanced and inclusive architecture in the region. In this context, the leaders

reaffirmed their support for the East Asia Summit and committed to regular consultations in this

regard. The United States welcomes, in particular, India’s leadership in expanding prosperity and

security across the region. The two leaders agreed to deepen existing regular strategic consultations

on developments in East Asia, and decided to expand and intensify their strategic consultations to

cover regional and global issues of mutual interest, including Central and West Asia.

The two sides committed to intensify consultation, cooperation and coordination to promote a

stable, democratic, prosperous, and independent Afghanistan. President Obama appreciated India’s

enormous contribution to Afghanistan’s development and welcomed enhanced Indian assistance

that will help Afghanistan achieve self-sufficiency. In addition to their own independent assistance

programs in Afghanistan, the two sides resolved to pursue joint development projects with the

Afghan Government in capacity building, agriculture and women’s empowerment.

They reiterated that success in Afghanistan and regional and global security require elimination of

safe havens and infrastructure for terrorism and violent extremism in Afghanistan and Pakistan.

Condemning terrorism in all its forms, the two sides agreed that all terrorist networks, including

Lashkar e-Taiba, must be defeated and called for Pakistan to bring to justice the perpetrators of the

November 2008 Mumbai attacks. Building upon the Counter Terrorism Initiative signed in July 2010,

the two leaders announced a new Homeland Security Dialogue between the Ministry of Home

Affairs and the Department of Homeland Security and agreed to further deepen operational

cooperation, counter-terrorism technology transfers and capacity building. The two leaders also

emphasized the importance of close cooperation in combating terrorist financing and in protecting

the international financial system.

In an increasingly inter-dependent world, the stability of, and access to, the air, sea, space, and

cyberspace domains is vital for the security and economic prosperity of nations. Acknowledging their

commitment to openness and responsible international conduct, and on the basis of their shared

values, India and the United States have launched a dialogue to explore ways to work together, as

well as with other countries, to develop a shared vision for these critical domains to promote peace,

security and development. The leaders reaffirmed the importance of maritime security, unimpeded

commerce, and freedom of navigation, in accordance with relevant universally agreed principles of

international law, including the United Nations Convention on the Law of the Sea, and peaceful

settlement of maritime disputes.

The transformation in India-U.S. defense cooperation in recent years has strengthened mutual

understanding on regional peace and stability, enhanced both countries’ respective capacities to

meet humanitarian and other challenges such as terrorism and piracy, and contributed to the

development of the strategic partnership between India and the United States. The two

Governments resolved to further strengthen defense cooperation, including through security

dialogue, exercises, and promoting trade and collaboration in defense equipment and technology.

President Obama welcomed India's decision to purchase U.S. high-technology defense items, which

reflects our strengthening bilateral defence relations and will contribute to creating jobs in the

United States.

The two leaders affirmed that their countries’ common ideals, complementary strengths and a

shared commitment to a world without nuclear weapons give them a responsibility to forge a strong

partnership to lead global efforts for non-proliferation and universal and non-discriminatory global

nuclear disarmament in the 21st century. They affirmed the need for a meaningful dialogue among

all states possessing nuclear weapons to build trust and confidence and for reducing the salience of

nuclear weapons in international affairs and security doctrines. They support strengthening the six

decade-old international norm of non-use of nuclear weapons. They expressed a commitment to

strengthen international cooperative activities that will reduce the risk of terrorists acquiring nuclear

weapons or material without reducing the rights of nations that play by the rules to harness the

power of nuclear energy to advance their energy security. The leaders reaffirmed their shared

dedication to work together to realize the commitments outlined at the April 2010 Nuclear Security

Summit to achieve the goal of securing vulnerable nuclear materials in the next four years. Both

sides expressed deep concern regarding illicit nuclear trafficking and smuggling and resolved to

strengthen international cooperative efforts to address these threats through the IAEA, Interpol and

in the context of the Nuclear Security Summit Communiqué and Action Plan. The two sides

welcomed the Memorandum of Understanding for cooperation in the Global Centre for Nuclear

Energy Partnership being established by India.

Both sides expressed deep concern about the threat of biological terrorism and pledged to promote

international efforts to ensure the safety and security of biological agents and toxins. They stressed

the need to achieve full implementation of the Biological and Toxin Weapons Convention and

expressed the hope for a successful BWC Review Conference in 2011. The United States welcomed

India’s destruction of its chemical weapons stockpile in accordance with the provisions of the

Chemical Weapons Convention. Both countries affirmed their shared commitment to promoting the

full and effective implementation of the CWC.

The two leaders expressed regret at the delay in starting negotiations in the Conference on

Disarmament for a multilateral, non-discriminatory and internationally and effectively verifiable

treaty banning the future production of fissile material for nuclear weapons or other nuclear

explosive devices.

India reaffirmed its unilateral and voluntary moratorium on nuclear explosive testing. The United

States reaffirmed its testing moratorium and its commitment to ratify the Comprehensive Test Ban

Treaty and bring it into force at an early date.

The leaders reaffirmed their commitment to diplomacy to resolve the Iranian nuclear issue, and

discussed the need for Iran to take constructive and immediate steps to meet its obligations to the

IAEA and the UN Security Council.

TECHNOLOGY, INNOVATION, AND ENERGY

Recognizing that India and the United States should play a leadership role in promoting global

nonproliferation objectives and their desire to expand high technology cooperation and trade, Prime

Minister Singh and President Obama committed to work together to strengthen the global export

control framework and further transform bilateral export control regulations and policies to realize

the full potential of the strategic partnership between the two countries.

Accordingly, the two leaders decided to take mutual steps to expand U.S.-India cooperation in civil

space, defense, and other high-technology sectors. Commensurate with India’s nonproliferation

record and commitment to abide by multilateral export control standards, these steps include the

United States removing Indian entities from the U.S. Department of Commerce’s “Entity List” and

realignment of India in U.S. export control regulations.

In addition, the United States intends to support India’s full membership in the four multilateral

export control regimes (Nuclear Suppliers Group, Missile Technology Control Regime, Australia

Group, and Wassenaar Arrangement) in a phased manner, and to consult with regime members to

encourage the evolution of regime membership criteria, consistent with maintaining the core

principles of these regimes, as the Government of India takes steps towards the full adoption of the

regimes’ export control requirements to reflect its prospective membership, with both processes

moving forward together. In the view of the United States, India should qualify for membership in

the Australia Group and the Wassenaar Arrangement according to existing requirements once it

imposes export controls over all items on these regimes’ control lists.

Both leaders reaffirmed the assurances provided in the letters exchanged in September 2004 and

the End-Use Visit Arrangement, and determined that the two governments had reached an

understanding to implement these initiatives consistent with their respective national export control

laws and policies. The Prime Minister and President committed to a strengthened and expanded

dialogue on export control issues, through fora such as the U.S.-India High Technology Cooperation

Group, on aspects of capacity building, sharing of best practices, and outreach with industry.

The possibility of cooperation between the two nations in space, to advance scientific knowledge

and human welfare, are without boundaries and limits. They commended their space scientists for

launching new initiatives in climate and weather forecasting for agriculture, navigation, resource

mapping, research and development, and capacity building. They agreed to continuing discussions

on and seek ways to collaborate on future lunar missions, international space station, human space

flight and data sharing, and to reconvene the Civil Space Joint Working Group in early 2011. They

highlighted the just concluded Implementing Arrangement for enhanced monsoon forecasting that

will begin to transmit detailed forecasts to farmers beginning with the 2011 monsoon rainy season

as an important example of bilateral scientific cooperation advancing economic development,

agriculture and food security.

The two leaders welcomed the completion of steps by the two governments for implementation of

the India-U.S. civil nuclear agreement. They reiterated their commitment to build strong India-U.S.

civil nuclear energy cooperation through the participation of the U.S. nuclear energy firms in India

on the basis of mutually acceptable technical and commercial terms and conditions that enable a

viable tariff regime for electricity generated. They noted that both countries had enacted domestic

legislations and were also signatories to the Convention on Supplementary Compensation. They

further noted that India intends to ratify the Convention on Supplementary Compensation within

the coming year and is committed to ensuring a level playing field for U.S. companies seeking to

enter the Indian nuclear energy sector, consistent with India’s national and international legal

obligations.

India will continue to work with the companies. In this context, they welcomed the commencement

of negotiations and dialogue between the Indian operator and U.S. nuclear energy companies, and

expressed hope for early commencement of commercial cooperation in the civil nuclear energy

sector in India, which will stimulate economic growth and sustainable development and generate

employment in both countries.

Just as they have helped develop the knowledge economy, India and the United States resolved to

strengthen their partnership in creating the green economy of the future. To this end, both countries

have undertaken joint research and deployment of clean energy resources, such as solar, advanced

biofuels, shale gas, and smart grids. The two leaders also welcomed the promotion of clean and

energy efficient technologies through the bilateral Partnership to Advance Clean Energy (PACE) and

expanded cooperation with the private sector. They welcomed the conclusion of a new MoU on

assessment and exploration of shale gas and an agreement to establish a Joint Clean Energy

Research Center in India as important milestones in their rapidly growing clean energy cooperation.

The leaders discussed the importance of working bilaterally, through the Major Economies Forum

(MEF), and in the context of the international climate change negotiations within the framework of

the UNFCCC to meet the challenge of climate change. Prime Minister Singh and President Obama

reiterated the importance of a positive result for the current climate change negotiations at the

forthcoming conference of the United Nations Framework Convention on Climate Change (UNFCCC)

in Mexico and affirmed their support for the Copenhagen Accord, which should contribute positively

to a successful outcome in Cancun. To that end, the leaders welcomed enhanced cooperation in the

area of climate adaptation and sustainable land use, and welcomed the new partnership between

the United States and India on forestry programs and in weather forecasting.

INCLUSIVE GROWTH, MUTUAL PROSPERITY, AND ECONOMIC COOPERATION

The two leaders stressed that India and the United States, anchored in democracy and diversity,

blessed with enormous enterprise and skill, and endowed with synergies drawn from India’s rapid

growth and U.S. global economic leadership, have a natural partnership for enhancing mutual

prosperity and stimulating global economic recovery and growth. They emphasize innovation not

only as a tool for economic growth and global competitiveness, but also for social transformation

and empowerment of people.

Prime Minister Singh and President Obama celebrated the recent growth in bilateral trade and

investment, characterized by balanced and rapidly growing trade in goods and services. They noted

positively that the United States is India’s largest trading partner in goods and services, and India is

now among the fastest growing sources of foreign direct investment entering the United States. The

two leaders agreed on steps to reduce trade barriers and protectionist measures and encourage

research and innovation to create jobs and improve livelihoods in their countries.

They also welcomed expanding investment flow in both directions. They noted growing ties between

U.S. and Indian firms and called for enhanced investment flows, including in India’s infrastructure

sector, clean energy, energy efficiency, aviation and transportation, healthcare, food processing

sector and education. They welcomed the work of the U.S.-India CEO Forum to expand cooperation

between the two countries, including in the areas of clean energy and infrastructure development.

They also encouraged enhanced engagement by Indian and American small and medium-sized

enterprises as a critical driver of our economic relationship. They looked forward to building on

these developments to realize fully the enormous potential for trade and investment between the

two countries.

Recognizing the people-to-people dynamic behind trade and investment growth, they called for

intensified consultations on social security issues at an appropriate time. The two leaders agreed to

facilitate greater movement of professionals, investors and business travelers, students, and

exchange visitors between their countries to enhance their economic and technological partnership.

To enhance growth globally, the Prime Minster and President highlighted both nations’ interests in

an ambitious and balanced conclusion to the WTO’s Doha Development Agenda negotiations, and in

having their negotiators accelerate and expand the scope of their substantive negotiations bilaterally

and with other WTO members to accomplish this as soon as possible. They agreed to work together

in the G-20 to make progress on the broad range of issues on its agenda, including by encouraging

actions consistent with achieving strong, balanced, and sustainable growth, strengthening financial

system regulation, reforming the international financial institutions, enhancing energy security,

resisting protectionism in all its forms, reducing barriers to trade and investment, and implementing

the development action plans.

Building on the historic legacy of cooperation between the India and the United States during the

Green Revolution, the leaders also decided to work together to develop, test, and replicate

transformative technologies to extend food security as part of an Evergreen Revolution. Efforts will

focus on providing farmers the means to improve agricultural productivity. Collaboration also will

enhance agricultural value chain and strengthen market institutions to reduce post-harvest crop

losses.

Affirming the importance of India-U.S. health cooperation, Prime Minister and the President

celebrated the signing of an MOU creating a new Global Disease Detection Regional Center in New

Delhi, which will facilitate preparedness against threats to health such as pandemic influenza and

other dangerous diseases.

Embracing the principles of democracy and opportunity, the leaders recognized that the full future

potential of the partnership lies in the hands of the next generation in both countries. To help

ensure that all members of that generation enjoy the benefits of higher education, the Prime

Minister and the President agreed to convene an India-U.S. Higher Education Summit, chaired by

senior officials from both countries in 2011, as part of a continued effort to strengthen educational

opportunities. They welcomed the progress made in implementing the Singh-Obama 21st Century

Knowledge Initiative that is expanding links between faculties and institutions of the two countries

and the expansion in the Nehru-Fulbright Programme for Scholars.

Noting that the ties of kinship and culture are an increasingly important dimension of India-U.S.

relations, President Obama welcomed India’s decision to hold a Festival of India in Washington DC in

2011. Recognizing the importance of preserving cultural heritage, both governments resolved to

initiate discussions on how India and the United States could partner to prevent the illicit trafficking

of both countries’ rich and unique cultural heritage.

A SHARED INTERNATIONAL PARTNERSHIP FOR DEMOCRACY AND DEVELOPMENT

Consistent with their commitments to open and responsive government, and harnessing the

expertise and experience that the two countries have developed, the leaders launched a U.S.-India

Open Government Dialogue that will, through public-private partnerships and use of new

technologies and innovations, promote their shared goal of democratizing access to information and

energizing civic engagement, support global initiatives in this area and share their expertise with

other interested countries. This will build on India’s impressive achievements in this area in recent

years and the commitments that the President made to advance an open government agenda at the

United Nations General Assembly. The President and Prime Minister also pledged to explore

cooperation in support of efforts to strengthen elections organization and management in other

interested countries, including through sharing their expertise in this area.

Taking advantage of the global nature of their relationship, and recognizing India’s vast

development experience and historical research strengths, the two leaders pledged to work

together, in addition to their independent programmes, to adapt shared innovations and

technologies and use their expertise in capacity building to extend food security to interested

countries, including in Africa, in consultation with host governments.

Prime Minister Singh and President Obama concluded that their meeting is a historic milestone as

they seek to elevate the India-U.S. strategic partnership to a new level for the benefit of their

nations and the entire mankind. President Obama thanked President Patil, Prime Minister Singh, and

the people of India for their extraordinary warmth and hospitality during his visit. The two leaders

looked forward to the next session of the U.S.-India Strategic Dialogue in 2011.

Remarks by the President Obama to the Joint Session of the Indian

Parliament in New Delhi, India

Mr. Vice President, Madam Speaker, Mr. Prime Minister, members of Lok Sabha and Rajya Sabha,

and most of all, the people of India.

I thank you for the great honor of addressing the representatives of more than one billion Indians

and the world’s largest democracy. I bring the greetings and friendship of the world’s oldest

democracy —- the United States of America, including nearly three million proud and patriotic

Indian-Americans.

Over the past three days, my wife Michelle and I have experienced the -- dynamism of India and its

people -- from the majesty of Humayun’s Tomb to the advanced technologies that are empowering

farmers and women who are the backbone of Indian society; from the Diwali celebrations with

schoolchildren to the innovators who are fueling India’s economic rise; from the university students

who will chart India’s future, to you — leaders who helped to bring India to this moment of

extraordinary promise.

At every stop, we have been welcomed with the hospitality for which Indians have always been

known. So, to you and the people of India, on behalf of me, Michelle and the American people,

please accept my deepest thanks. Bahoot dhanyavad.

Now, I am not the first American President to visit India. Nor will I be the last. But I am proud to

visit India so early in my presidency. It’s no coincidence that India is my first stop on a visit to Asia,

or that this has been my longest visit to another country since becoming President. For in Asia and

around the world, India is not simply emerging; India has emerged.

And it is my firm belief that the relationship between the United States and India -— bound by our

shared interests and our shared values -— will be one of the defining partnerships of the 21st

century. This is the partnership I’ve come here to build. This is the vision that our nations can realize

together.

My confidence in our shared future is grounded in my respect for India’s treasured past -— a

civilization that’s been shaping the world for thousands of years. Indians unlocked the intricacies of

the human body and the vastness of our universe. It’s no exaggeration to say that our Information

Age is rooted in Indian innovations —- including the number zero.

Of course, India not only opened our minds, she expanded our moral imaginations -- with religious

texts that still summon the faithful to lives of dignity and discipline, with poets who imagined a

future “where the mind is without fear and the head is held high” -- and with a man whose message

of love and justice endures -— the father of your nation, Mahatma Gandhi.

For me and Michelle, this visit has, therefore, held special meaning. See, throughout my life,

including my work as a young man on behalf of the urban poor, I’ve always found inspiration in the

life of Gandhiji and his simple and profound lesson to be the change we seek in the world. And just

as he summoned Indians to seek their destiny, he influenced champions of equality in my own

country, including a young preacher named Martin Luther King. After making his pilgrimage to India

a half-century ago, Dr. King called Gandhi’s philosophy of non-violent resistance “the only logical and

moral approach” in the struggle for justice and progress.

So we were honored to visit the residence where Gandhi and King both stayed — Mani Bhavan. And

we were humbled to pay our respects at Raj Ghat. And I am mindful that I might not be standing

before you today, as President of the United States, had it not been for Gandhi and the message he

shared and inspired with America and the world.

An ancient civilization of science and innovation; a fundamental faith in human progress -- this is the

sturdy foundation upon which you have built ever since that stroke of midnight when the tricolor

was raised over a free and independent India. And despite the skeptics who said this country was

simply too poor, or too vast, or too diverse to succeed, you surmounted overwhelming odds and

became a model to the world.

Instead of slipping into starvation, you launched a Green Revolution that fed millions. Instead of

becoming dependent on commodities and exports, you invested in science and technology and in

your greatest resource — the Indian people. And the world sees the results, from the

supercomputers you build to the Indian flag that you put on the moon.

Instead of resisting the global economy, you became one of its engines —- reforming the licensing

raj and unleashing an economic marvel that has lifted tens of millions of people from poverty and

created one of the world’s largest middle classes.

Instead of succumbing to division, you have shown that the strength of India —- the very idea of

India —- is its embrace of all colors, all castes, all creeds. It’s the diversity represented in this

chamber today. It’s the richness of faiths celebrated by a visitor to my hometown of Chicago more

than a century ago -— the renowned Swami Vivekananda. He said that, “holiness, purity and charity

are not the exclusive possessions of any church in the world, and that every system has produced

men and women of the most exalted character.”

And instead of being lured by the false notion that progress must come at the expense of freedom,

you built the institutions upon which true democracy depends —- free and fair elections, which

enable citizens to choose their own leaders without recourse to arms -- an independent judiciary

and the rule of law, which allows people to address their grievances; and a thriving free press and

vibrant civil society which allows every voice to be heard. This year, as India marks 60 years with a

strong and democratic constitution, the lesson is clear: India has succeeded, not in spite of

democracy; India has succeeded because of democracy.

Now, just as India has changed, so, too, has the relationship between our two nations. In the

decades after independence, India advanced its interests as a proud leader of the nonaligned

movement. Yet, too often, the United States and India found ourselves on opposite sides of a North-

`South divide, estranged by a long Cold War. Those days are over.

Here in India, two successive governments led by different parties have recognized that deeper

partnership with America is both natural and necessary. And in the United States, both of my

predecessors —- one a Democrat, one a Republican -— worked to bring us closer, leading to

increased trade and a landmark civil nuclear agreement.

So since that time, people in both our countries have asked: What’s next? How can we build on this

progress and realize the full potential of our partnership? That’s what I want to address today —-

the future that the United States seeks in an interconnected world, and why I believe that India is

indispensable to this vision; how we can forge a truly global partnership -— not just in one or two

areas, but across many; not just for our mutual benefit, but for the benefit of the world.

Of course, only Indians can determine India’s national interests and how to advance them on the

world stage. But I stand before you today because I am convinced that the interests of the United

States —- and the interests we share with India -—are best advanced in partnership. I believe that.

The United States seeks security —- the security of our country, our allies and partners. We seek

prosperity -— a strong and growing economy in an open international economic system. We seek

respect for universal values. And we seek a just and sustainable international order that promotes

peace and security by meeting global challenges through stronger global cooperation.

Now, to advance these interests, I have committed the United States to comprehensive engagement

with the world, based on mutual interest and mutual respect. And a central pillar of this

engagement is forging deeper cooperation with 21st century centers of influence -— and that must

necessarily include India.

Now, India is not the only emerging power in the world. But relationships between our countries is

unique. For we are two strong democracies whose constitutions begin with the same revolutionary

words —- the same revolutionary words -- “We the people.” We are two great republics dedicated

to the liberty and justice and equality of all people. And we are two free market economies where

people have the freedom to pursue ideas and innovation that can change the world. And that’s why

I believe that India and America are indispensable partners in meeting the challenges of our time.

Since taking office, I’ve, therefore, made our relationship a priority. I was proud to welcome Prime

Minister Singh for the first official state visit of my presidency. For the first time ever, our

governments are working together across the whole range of common challenges that we face.

Now, let me say it as clearly as I can: The United States not only welcomes India as a rising global

power, we fervently support it, and we have worked to help make it a reality.

Together with our partners, we have made the G20 the premier forum for international economic

cooperation, bringing more voices to the table of global economic decision-making, and that has

included India. We’ve increased the role of emerging economies like India at international financial

institutions. We valued India’s important role at Copenhagen, where, for the first time, all major

economies committed to take action to confront climate change —- and to stand by those actions.

We salute India’s long history as a leading contributor to United Nations peacekeeping missions.

And we welcome India as it prepares to take its seat on the United Nations Security Council.

In short, with India assuming its rightful place in the world, we have an historic opportunity to make

the relationship between our two countries a defining partnership of the century ahead. And I

believe we can do so by working together in three important areas.

First, as global partners we can promote prosperity in both our countries. Together, we can create

the high-tech, high-wage jobs of the future. With my visit, we are now ready to begin implementing

our civil nuclear agreement. This will help meet India’s growing energy needs and create thousands

of jobs in both of our countries.

We need to forge partnerships in high-tech sectors like defense and civil space. So we’ve removed

Indian organizations from our so-called “entity list.” And we’ll work to remove -- and reform our

controls on exports. Both of these steps will ensure that Indian companies seeking high-tech trade

and technologies from America are treated the same as our very closest allies and partners.

We can pursue joint research and development to create green jobs; give India more access to

cleaner, affordable energy; meet the commitments we made at Copenhagen; and show the

possibilities of low-carbon growth.

And together, we can resist the protectionism that stifles growth and innovation. The United States

remains — and will continue to remain — one of the most open economies in the world. And by

opening markets and reducing barriers to foreign investment, India can realize its full economic

potential as well. As G20 partners, we can make sure the global economic recovery is strong and is

durable. And we can keep striving for a Doha Round that is ambitious and is balanced —- with the

courage to make the compromises that are necessary so global trade works for all economies.

Together, we can strengthen agriculture. Cooperation between Indian and American researchers

and scientists sparked the Green Revolution. Today, India is a leader in using technology to

empower farmers, like those I met yesterday who get free updates on market and weather

conditions on their cell phones. And the United States is a leader in agricultural productivity and

research. Now, as farmers and rural areas face the effects of climate change and drought, we’ll work

together to spark a second, more sustainable Evergreen Revolution.

Together, we’re improving Indian weather forecasting systems before the next monsoon season.

We aim to help millions of Indian farmers -- farming households save water and increase

productivity, improve food processing so crops don’t spoil on the way to market, and enhance

climate and crop forecasting to avoid losses that cripple communities and drive up food prices.

And as part of our food security initiative, we’re going to share India’s expertise with farmers in

Africa. And this is an indication of India’s rise —- that we can now export hard-earned expertise to

countries that see India as a model for agricultural development. It’s another powerful example of

how American and Indian partnership can address an urgent global challenge.

Because the wealth of a nation also depends on the health of its people, we’ll continue to support

India’s effort against diseases like tuberculosis and HIV/AIDS, and as global partners, we’ll work to

improve global health by preventing the spread of pandemic flu. And because knowledge is the

currency of the 21st century, we will increase exchanges between our students, our colleges and our

universities, which are among the best in the world.

As we work to advance our shared prosperity, we can partner to address a second priority —- and

that is our shared security. In Mumbai, I met with the courageous families and survivors of that

barbaric attack. And here in Parliament, which was itself targeted because of the democracy it

represents, we honor the memory of all those who have been taken from us, including American

citizens on 26/11 and Indian citizens on 9/11.

This is the bond that we share. It’s why we insist that nothing ever justifies the slaughter of innocent

men, women and children. It’s why we’re working together, more closely than ever, to prevent

terrorist attacks and to deepen our cooperation even further. And it’s why, as strong and resilient

societies, we refuse to live in fear. We will not sacrifice the values and rule of law that defines us,

and we will never waver in the defense of our people.

America’s fight against al Qaeda and its terrorist affiliates is why we persevere in Afghanistan, where

major development assistance from India has improved the lives of the Afghan people. We’re

making progress in our mission to break the Taliban’s momentum and to train Afghan forces so they

can take the lead for their security. And while I have made it clear that American forces will begin

the transition to Afghan responsibility next summer, I’ve also made it clear that America’s

commitment to the Afghan people will endure. The United States will not abandon the people of

Afghanistan -— or the region -— to violent extremists who threaten us all.

Our strategy to disrupt and dismantle and defeat al Qaeda and its affiliates has to succeed on both

sides of the border. And that’s why we have worked with the Pakistani government to address the

threat of terrorist networks in the border region. The Pakistani government increasingly recognizes

that these networks are not just a threat outside of Pakistan —- they are a threat to the Pakistani

people, as well. They’ve suffered greatly at the hands of violent extremists over the last several

years.

And we’ll continue to insist to Pakistan's leaders that terrorist safe havens within their borders are

unacceptable, and that terrorists behind the Mumbai attacks must be brought to justice. We must

also recognize that all of us have an interest in both an Afghanistan and a Pakistan that is stable and

prosperous and democratic —- and India has an interest in that, as well.

In pursuit of regional security, we will continue to welcome dialogue between India and Pakistan,

even as we recognize that disputes between your two countries can only be resolved by the people

of your two countries.

More broadly, India and the United States can partner in Asia. Today, the United States is once

again playing a leadership role in Asia —- strengthening old alliances; deepening relationships, as we

are doing with China; and we’re reengaging with regional organizations like ASEAN and joining the

East Asia summit —- organizations in which India is also a partner. Like your neighbors in Southeast

Asia, we want India not only to “look East,” we want India to “engage East” —- because it will

increase the security and prosperity of all our nations.

As two global leaders, the United States and India can partner for global security —- especially as

India serves on the Security Council over the next two years. Indeed, the just and sustainable

international order that America seeks includes a United Nations that is efficient, effective, credible

and legitimate. That is why I can say today, in the years ahead, I look forward to a reformed United

Nations Security Council that includes India as a permanent member.

Now, let me suggest that with increased power comes increased responsibility. The United Nations

exists to fulfill its founding ideals of preserving peace and security, promoting global cooperation,

and advancing human rights. These are the responsibilities of all nations, but especially those that

seek to lead in the 21st century. And so we look forward to working with India —- and other nations

that aspire to Security Council membership -— to ensure that the Security Council is effective; that

resolutions are implemented, that sanctions are enforced; that we strengthen the international

norms which recognize the rights and responsibilities of all nations and all individuals.

This includes our responsibility to prevent the spread of nuclear weapons. Since I took office, the

United States has reduced the role of nuclear weapons in our national security strategy, and we've

agreed with Russia to reduce our own arsenals. We have put preventing nuclear proliferation and

nuclear terrorism at the top of our nuclear agenda, and we have strengthened the cornerstone of

the global non-proliferation regime, which is the Nuclear Non-Proliferation Treaty.

Together, the United States and India can pursue our goal of securing the world’s vulnerable nuclear

materials. We can make it clear that even as every nation has the right to peaceful nuclear energy,

every nation must also meet its international obligations —- and that includes the Islamic Republic of

Iran. And together, we can pursue a vision that Indian leaders have espoused since independence —

- a world without nuclear weapons.

And this leads me to the final area where our countries can partner —- strengthening the

foundations of democratic governance, not only at home but abroad.

In the United States, my administration has worked to make government more open and

transparent and accountable to people. Here in India, you’re harnessing technologies to do the

same, as I saw yesterday at an expo in Mumbai. Your landmark Right to Information Act is

empowering citizens with the ability to get the services to which they’re entitled -- and to hold

officials accountable. Voters can get information about candidates by text message. And you’re

delivering education and health care services to rural communities, as I saw yesterday when I joined

an e-panchayat with villagers in Rajasthan.

Now, in a new collaboration on open government, our two countries are going to share our

experience, identify what works, and develop the next generation of tools to empower citizens. And

in another example of how American and Indian partnership can address global challenges, we’re

going to share these innovations with civil society groups and countries around the world. We’re

going to show that democracy, more than any other form of government, delivers for the common

man — and woman.

Likewise, when Indians vote, the whole world watches. Thousands of political parties; hundreds of

thousands of polling centers; millions of candidates and poll workers -- and 700 million voters.

There’s nothing like it on the planet. There is so much that countries transitioning to democracy

could learn from India’s experience, so much expertise that India can share with the world. And

that, too, is what is possible when the world’s largest democracy embraces its role as a global

leader.

As the world’s two largest democracies, we must never forget that the price of our own freedom is

standing up for the freedom of others. Indians know this, for it is the story of your nation. Before he

ever began his struggle for Indian independence, Gandhi stood up for the rights of Indians in South

Africa. Just as others, including the United States, supported Indian independence, India

championed the self-determination of peoples from Africa to Asia as they, too, broke free from

colonialism. And along with the United States, you’ve been a leader in supporting democratic

development and civil society groups around the world. And this, too, is part of India’s greatness.

Now, we all understand every country will follow its own path. No one nation has a monopoly on

wisdom, and no nation should ever try to impose its values on another. But when peaceful

democratic movements are suppressed — as they have been in Burma, for example -- then the

democracies of the world cannot remain silent. For it is unacceptable to gun down peaceful

protestors and incarcerate political prisoners decade after decade. It is unacceptable to hold the

aspirations of an entire people hostage to the greed and paranoia of bankrupt regimes. It is

unacceptable to steal elections, as the regime in Burma has done again for all the world to see.

Faced with such gross violations of human rights, it is the responsibility of the international

community — especially leaders like the United States and India — to condemn it. And if I can be

frank, in international fora, India has often shied away from some of these issues. But speaking up

for those who cannot do so for themselves is not interfering in the affairs of other countries. It’s not

violating the rights of sovereign nations. It is staying true to our democratic principles. It is giving

meaning to the human rights that we say are universal. And it sustains the progress that in Asia and

around the world has helped turn dictatorships into democracies and ultimately increased our

security in the world.

So promoting shared prosperity, preserving peace and security, strengthening democratic

governance and human rights -- these are the responsibilities of leadership. And as global partners,

this is the leadership that the United States and India can offer in the 21st century. Ultimately,

though, this cannot be a relationship only between presidents and prime ministers, or in the halls of

this Parliament. Ultimately, this must be a partnership between our peoples. So I want to conclude

by speaking directly to the people of India who are watching today.

In your lives, you have overcome odds that might have overwhelmed a lesser country. In just

decades, you have achieved progress and development that took other nations centuries. You are

now assuming your rightful place as a leader among nations. Your parents and grandparents

imagined this. Your children and grandchildren will look back on this. But only this generation of

Indians can seize the possibilities of the moment.

As you carry on with the hard work ahead, I want every Indian citizen to know: The United States of

America will not simply be cheering you on from the sidelines. We will be right there with you,

shoulder to shoulder. (Applause.) Because we believe in the promise of India. We believe that the

future is what we make it. We believe that no matter who you are or where you come from, every

person can fulfill their God-given potential, just as a Dalit like Dr. Ambedkar could lift himself up and

pen the words of the constitution that protects the rights of all Indians.

We believe that no matter where you live —- whether a village in Punjab or the bylanes of Chandni

Chowk -- an old section of Kolkata or a new high-rise in Bangalore -- every person deserves the same

chance to live in security and dignity, to get an education, to find work, to give their children a better

future.

And we believe that when countries and cultures put aside old habits and attitudes that keep people

apart, when we recognize our common humanity, then we can begin to fulfill these aspirations that

we share. It’s a simple lesson contained in that collection of stories which has guided Indians for

centuries —- the Panchtantra. And it’s the spirit of the inscription seen by all who enter this great

hall: “That one is mine and the other a stranger is the concept of little minds. But to the large-

hearted, the world itself is their family.”

This is the story of India; this is the story of America —- that despite their differences, people can see

themselves in one another, and work together and succeed together as one proud nation. And it

can be the spirit of partnership between our nations —- that even as we honor the histories which in

different times kept us apart, even as we preserve what makes us unique in a globalized world, we

can recognize how much we can achieve together.

And if we let this simple concept be our guide, if we pursue the vision I’ve described today —- a

global partnership to meet global challenges —- then I have no doubt that future generations —-

Indians and Americans —- will live in a world that is more prosperous and more secure and more

just because of the bonds that our generation has forged today.

So, thank you, and Jai Hind. And long live the partnership between India and the United States.

US praises Indian role on climate change negotiations

A top Obama administration official has praised India's role on climate change negotiations saying

that the country, an important voice of the developing world, has shown both "commitment" and

"willingness" to think in a new way and to be pragmatic.

"It's an important voice on the developing country side. But I think India also has great potential to

speak from a posture of credibility, frankly, on kind of both sides of the aisle, if you will," said Todd

Stern, the Special US Envoy for Climate Change.

Stern was talking to foreign correspondents ahead of the United Nations Climate Change meeting at

Cancun in Mexico.

"India had a very important role last year in Copenhagen, and I think India will have a very important

role this year, particularly if we have a chance of getting anywhere.

"I think India has shown both a commitment to principles but also a willingness to think in a new

way and to be pragmatic. I think that's been quite important," Stern said in response to a question.

Obama Trip Spurs Two More US-India Trade Missions

U.S. Commerce Secretary Gary Locke announced that he will lead a business development mission to

India in February 2011.

"I'll be bringing with me U.S. companies - large and small - in search of mutually beneficial

opportunities in this vibrant, promising market," Locke said during his remarks at the U.S.-India

Business and Entrepreneurship Summit, while on a trip through the country with President Barack

Obama.

Locke's trade mission will highlight export opportunities in India for U.S. businesses. R.O. Khanna,

U.S. and foreign commercial deputy assistant secretary for domestic operations, told that the trip

will highlight trade prospects in several key sectors including defense and security, civil aviation,

nuclear power, and information and communications.

The mission will stopover in New Delhi, Mumbai and Bangalore.

Commenting on Locke's trip to India last week with Obama, Khanna said, "The administration views

India as a vital market for American exports under the President's National Export Initiative. Sales to

India create jobs for Americans here at home."

Obama had signed the National Exports Initiative, which aims to create thousands of new American

jobs by doubling American exports to overseas markets within the next five years. Key components

of the new initiative include developing programs aimed at small-and medium-sized businesses in

the U.S. to help promote their products overseas; expanding export credit; increased intellectual

property protection and reducing barriers to trade.

In a brief interview, Locke said that the two countries already have strong economic ties, and noted

that India was the second-largest investor in the U.S.

On the first day of his trip to India, Obama had announced $10 billion in new business deals which

would generate 50,000 jobs in the US.

"The United States sees Asia, especially India, as the market of the future," Obama said at a meeting

in Mumbai. "There still exists a caricature of India as a land of call centers and back-offices that cost

American jobs. But these old stereotypes, these old concerns, ignore today's realities."

The deals include Boeing's sale of 30 new 737 aircraft, worth $2.7 billion, to the Indian airline

SpiceJet; 10 Boeing C-17s military transport planes, worth about $4.5 billion; the sale of 107 GE F414

jet engines to the Indian military worth over $800 million; and a separate deal with GE for gas and

steam turbines worth $500 million.

Khanna expressed that the US Commerce Department was working on more than 30 export projects,

including energy, machinery, and transportation ventures, with Indian companies valued at around

$35 billion. Future deals could likely also include the telecommunications sector.

"Ultimately, all the United States seeks is a level playing field for its companies, where the cost and

quality of their products determines whether or not they win business. It is genuine competition that

will drive our entrepreneurs and innovators to solve the great challenges before us," Locke said.

U.S.-India Business and Entrepreneurship Summit in Mumbai, featured keynote addresses by

Obama, in addition to Locke. The day-long summit included panel discussions with Indian

businessmen Mukesh Ambani, Anand Mahindra, Uday Kotak and Rajan Bharti Mittal. American

panelists included Pepsico chief Indra Nooyi; Jeffrey Immelt, president and CEO of General Electric;

Louis Chênevert, chairman & CEO of the United Technologies Corporation; and Brad Smith, president

& CEO of Intuit.

Ambani described his recent $1 billion-plus investment in Pennsylvania's Atlas Energy, which has

pioneered shale gas extraction in the U.S. Mittal spoke of the urgent need of greater investment into

India's farm-to-market supply chain, while Nooyi stressed the importance of access to education for

all Indian schoolchildren.

An Overview of the Developments in the Indo-US Business Relations

Business and Trade Promotion have always been the main focus of US relationship with the

emerging economies. However, the present trip of the US president marks a considerable change in

the attitude and approach of the US with India. The slogging economic recovery process, the

increasing unemployment rate in the US coupled with the need to forge closer business relationship

with the resurgent India and lastly to counter the increasing clout of China most probably have

brought such change in the approach of the US.

The twenty odd MOUs signed by the US firms with their Indian counter parts are projected to worth

US $ 10 Billion and generate considerable employment opportunities to the extent of 54000 in the

US economy. On the Indian side, the parties of the MOUs will see their long pending technology

requirements ultimately met. If we consider the business opportunities between India and the US,

while the US always seeks entry to the vast Indian markets, India considers US as the source of

technology and support. Besides this, India expects the US to make long term investments, especially

in the infrastructure and technology projects. Contrary to this, the US has been looking forward to a

strong entry in the multibrand retailing, insurance etc.

Despite the existence of such inconsistent business interests the Indo-US trade relations have been

picking up over the period. Of late, the notion that US jobs are being stolen by the Indian IT and ITES

firms, has been nurtured in the US. The increasing protectionist measures adopted by the US

consequently have become another area of immediate concern to India. However, some areas like

the Civil Nuclear Co-operation and energy sectors have emerged as the mutually agreeable areas.

In this backdrop, the US president’s current visit naturally has attracted a lot of interest in both the

countries. In the course of his visit, the US president besides the above mentioned bilateral trade

and business issues, also broached on issues related to India’s security concerns. On the whole, this

trip has undoubtedly help create beginning of another chapter in the Indo-US relations.

The enclosed list contains details about the notable MOUs signed during the visit of the US President

to India.

S. No. Indian Partner US Partner Estimated Value (in USD)

No. of Job Opportunities

1. Indian Air Force Boeing 4.1 billion 22160

2. ADA GE 822 million 4440

3. SpiceJet Boeing 2.7 billion 12970

4. Reliance Power GE 750 million 2650

5. Maharashtra Maritime Board

Ellicott Undisclosed NA

6. US Ex-Im Bank Sasan Power 641 million 3460

7. Indian Railways GE Transportation 1 billion NA

8. Reliance Power US Ex-Im Bank Undisclosed NA

9. IVRCL Robbins company UNITY

7 million 35

10. Maharashtra Police Palantir Undisclosed NA

11. Medicity Duke Medicine Undisclosed NA

12. Indian Mobile operators SPX Comm 1 million 5

13. Hindustan Prefab Spancrete 35 million 35

14. UIDAI L-1 Identity Solutions Undisclosed NA

15. Banaras Hindu University

Advanced Materials Corporation (AMC)

Undisclosed NA

16. Ministry of Defence Implant Sciences 6 million 30

17. Span Air Bell Helicopter Undisclosed NA

18. Triage Systems Skelley Medical Undisclosed NA

19. Wysine Noveda Technologies Undisclosed NA Note: The disclosed estimated value and employment opportunities

generated in the US, 10.062 billion and 45,785 are respectively.

Indo-US Pact to explore & produce shale gas

India signed an agreement with the US for technical co-operation in exploration and production of country’s shale gas resources. “The agreement will benefit India as US has rich experience in shale gas production,” oil minister Murli Deora said on the sidelines of an industry event organised to felicitate winners in the Commonwealth Games , held in New Delhi.

According to the agreement, the US Geological Survey (USGS) will co-ordinate with India’s Directorate General of Hydrocarbon (DGH), an official in the oil ministry said.

USGS, America’s federal natural resources research agency, is already assisting India for its national gas hydrate programme (NGHP).

DGH is preparing to launch shale gas bidding round by the end of 2011 and aims to start commercial production of gas hydrates by mid 2015.

DGH, the technical arm of the oil ministry and custodian of India’s oil & gas assets, has planned

three- expeditions before starting commercial production of methane from gas hydrates under the

NGHP.

The US National Export Initiative

U.S. – India Transactions

As part of the National Export Initiative, President Obama noted that India—with its tremendous

economic growth and its large and growing middle class —is a key market for U.S. exports. Those

exports are generating jobs in every corner of the United States and across every major sector.

These involve some of our country’s largest companies, but also an increasing number of small and

medium-sized enterprises.

On the margins of the President’s trip, trade transactions were announced or showcased, exceeding

$14.9 billion in total value with $9.5 billion in U.S. export content, supporting an estimated 53,670

U.S. jobs. These cross-border collaborations, both public and private, underpin the expanding U.S.-

India strategic partnership, contributing to economic growth and development in both countries.

Notable examples include:

•Heavy Transport Aircraft: The Boeing Company and the Indian Air Force have reached preliminary

agreement on the purchase of 10 C-17 Globemaster III military transport aircraft, and are now in the

process of finalizing the details of the sale. Once all have been delivered, the Indian Air Force will be

the owner and operator of the largest fleet of C-17s outside of the United States. Boeing,

headquartered in Chicago, Illinois, is the aircraft manufacturer. Boeing reports that each C-17

supports 650 suppliers across 44 U.S. states and that this order will support Boeing’s C-17

production facility in Long Beach, California, for an entire year. This transaction is valued at

approximately $4.1 billion, all of which is U.S. export content, supporting an estimated 22,160 jobs.

•Engine Sale for the Light Combat Aircraft: On October 1, the General Electric Company,

headquartered in Fairfield, Connecticut, was declared the lowest bidder and selected to negotiate a

contract to provide the Indian Aeronautical Development Agency with 107 F414 engines to be

installed on the Tejas light combat aircraft. Upon finalizing the contract, General Electric’s facility in

Lynn, Massachusetts, and other sites across the United States will be positioned to export almost

one billion dollars in high technology aerospace products. This transaction is tentatively valued at

approximately $822 million, all of which is U.S. export content, supporting an estimated 4,440 jobs.

•Commercial Aircraft Sale: Boeing Company, headquartered in Chicago, Illinois, and SpiceJet, a

leading private airline in India, concluded a definitive agreement for the sale of 30 B737-800

commercial aircraft. SpiceJet currently operates 22 Boeing aircraft and has several 737 deliveries

remaining from previous agreements. This new agreement will enable SpiceJet to offer more

domestic routes and to begin offering international flights to neighboring countries. This transaction

is valued at approximately $2.7 billion, based on catalogue prices, with an estimated $2.4 billion in

U.S. export content, supporting an estimated 12,970 jobs.

•Gas and Steam Turbine Sale: The General Electric Company, headquartered in Fairfield,

Connecticut, was selected to supply six advanced class 9FA gas turbines and three steam turbines for

the 2,500-megawatt Samalkot power plant expansion to be constructed by Reliance Power Ltd., a

division of the Reliance Anil Dhirubhai Ambani Group, one of the largest conglomerates in India.

General Electric purchases equipment from 240 suppliers across the United States—an estimated 14

percent of which are small- and medium-sized enterprises—for every 9FA gas-fired turbine, which

are assembled in Greenville, South Carolina. The combined equipment and maintenance contracts

are valued at approximately $750 million, with an estimated $491 million in U.S. export content,

supporting an estimated 2,650 jobs.

•Reliance Power and U.S. Ex-Im Bank Agreement: Reliance Power Ltd., the flagship company of the

Reliance Anil Dhirubhai Ambani Group, and the Export – Import Bank of the United States

announced a Memorandum of Understanding (MOU). This MOU will indicate Ex-Im Bank’s

willingness to provide up to $5 billion in financial support to Reliance Power for the purchase of U.S.

goods and services to be used in the development of up to 8,000 megawatts of gas-fired electricity

generating units and up to 900 megawatts of renewable (solar and wind) energy facilities.

•Diesel Locomotive Manufacturing Venture: The United States has worldwide leaders in diesel

locomotive manufacturing, and the Indian Ministry of Railways announced the prequalification of

the sole two bidders—GE Transportation (Erie, Pennsylvania) and Electro-Motive Diesel (LaGrange,

Illinois)—for a venture to manufacture and supply of 1,000 diesel locomotives over 10 years. The

estimated U.S. content of this contract is expected to exceed $1B.

•Motorcycle Assembly Plant: Harley-Davidson Motor Company, headquartered in Milwaukee,

Wisconsin, announced that preparations are underway to open a new plant in India for the assembly

of Harley-Davidson motorcycles from U.S.-built “complete knock-down” kits. This investment by the

company entails job creation in both the United States and India, and it will allow the company to

reduce the tariff burden on its motorcycles for sale in the Indian market, driving sales growth by

making its motorcycles more accessible to Indian consumers.

•Sale of U.S. Mining Equipment and Related Support Equipment: On October 21, the Export –

Import Bank of the United States announced the approval of more than $900 million in export

finance guarantees to Sasan Power Ltd., a subsidiary of Reliance Power Ltd., supporting the sale of

U.S. mining equipment and services from Bucyrus International of South Milwaukee, Wisconsin, and

other U.S. vendors, in association with the 3,960-megawatt coal-fired Sasan power plant in Madhya

Pradesh, India. This financial commitment supports $641 million in U.S. export content, supporting

an estimated 3,460 jobs.

•Tunneling Equipment for Underground Water Channel: On July 22, Robbins Company,

headquartered in Solon, Ohio, announced an agreement with UNITY-IVRCL, a large infrastructure

engineering and construction conglomerate, to provide tunnel-boring machines, conveyer

equipment, and associated technical services for the construction of tunnels to convey water for the

city of Mumbai. Separately, through a contract signed in 2008 with Jaiprakash Associates, a large

infrastructure conglomerate, the Robbins Company is already supplying high technology tunnel-

boring machines and technical assistance to bore some of the longest underground tunnels in the

world underneath a protected tiger sanctuary in Andhra Pradesh, which will increase irrigation for

the production of cotton and other agricultural products. The Mumbai contract alone is valued at

$10 million, with $7 million in U.S. export content, supporting an estimated 35 jobs.

•Maharashtra Homeland Security Pilot Projects: Palantir Technologies, a small Silicon Valley

software development firm, announced a strategic partnership agreement with the Maharashtra

State Police, a law enforcement agency in India, to conduct a pilot program, whereby Palantir’s end-

to-end analytical software platform will be used on a trial basis to identify and alert authorities to

security threats in order to help keep the citizens of Mumbai and Maharashtra safe.

•Medanta Duke Research Institute (MDRI): Duke Medicine, located in Durham, North Carolina, one

of the leading academic health systems in the United States, and Medanta Medicity, located in

Gurgaon, Haryana, a hospital and medical research complex, are announcing a joint venture

agreement to launch the MDRI, a proof-of-concept clinical research facility within Medanta’s

hospital. Duke Medicine will provide scientific and operational leadership, while Medanta will

contribute financial resources and clinical and operational services. Duke Medicine also will be

partnering with Jubilant Life Sciences, headquartered in Uttar Pradesh, to conduct research studies

and co-develop promising discoveries, with significant funding and in-kind support provided by

Jubilant. Subsequent commercialization is expected to result in licensing revenue for Duke

Medicine.

•Long-range Antenna System for Rural Telecommunications: SPX Communication Technology, a

division of SPX Corporation operating out of Raymond, Maine, is in the final phase of the pilot

deployment of its long-range antenna system with two leading Indian mobile operators. This

innovative technology has been shown to offer a significantly greater coverage area. Once

implemented, it is expected to create significant economies of scale, thereby improving the

economic viability of rural wireless networks and making wireless communications available for

people who either could not afford service or who live in areas that lack coverage. The value of the

initial trial equipment is expected to generate approximately $1 million, with 100 percent U.S. export

content, supporting an estimated 5 jobs.

•Production Equipment for the Manufacture of Pre-fabricated Housing: Spancrete Machinery

Corporation, a family-owned business in Waukesha, Wisconsin, announced the sale of six sets of its

hollow core, precast production equipment, including installation, training, and after-sales support,

to Hindustan Prefab Limited, a state-owned company within the Indian Ministry of Housing and

Poverty Alleviation. The production equipment will be used to manufacture inexpensive,

prefabricated housing on a mass scale in India. Spancrete also is working with Somat Engineering,

Inc., from Detroit, Michigan, and their affiliate, SP Infrastructure India Ltd., in New Delhi. This

transaction is valued at approximately $35 million, all of which is U.S. export content. Based on the

company’s estimates, the transaction will support 30 jobs.

•Cell Phone Rollout for Small Indian Businesses: Intuit, a company headquartered in Mountain View,

California, which serves millions of small businesses worldwide, will launch a new mobile and web-

based marketing service in partnership with Nokia, called “Intuit GoConnect”. This innovative

technology will help Indian micro and small businesses grow and thrive by bringing customer

management tools to the entrepreneur, improving the way they communicate with their customers

in an increasingly mobile world.

•The Unique Identification Project: L-1 Identity Solutions, headquartered in Stamford, Connecticut,

and another U.S.-headquartered company, lead two of the three vendor consortia, which have been

prequalified by the Unique Identity Authority of India for the first phase of an effort to register

Indian residents with a 12-digit unique number using biometric identifiers. Unprecedented in scale,

seeking to register 1.2 billion Indian residents, the Unique Identification program aims to enhance

delivery of government services in India.

•Sale of Precision Measurement Instruments for Fuel Cell Research: Advanced Materials

Corporation (AMC), a small, six-person firm in Pittsburgh, Pennsylvania, received an order to supply

a specially-designed Pressure-Composition Isotherm Measurement Instrument to the Banaras Hindu

University (BHU) in Varanasi, India. BHU will utilize AMC’s instrument to test fuel cell applications,

as part of an Indian central government research program.

•Trace Explosive Detection Equipment: Implant Sciences, a small company based in Wilmington,

Massachusetts, signed a contract with the Ministry of Defence in January to supply its Quantum

Sniffer H-150, trace detection devices to be used by the Indian Army to detect the presence of

explosive, bomb-making materials that could be used in a terrorist attack. The company announced

that the equipment will be ready for pre-dispatch inspection and delivery in November. The

transaction is valued at approximately $6 million, all of which is U.S. export content, supporting an

estimated 30 jobs.

•VIP Helicopter Sale: On August 25, Bell Helicopter, based in Hurst, Texas, signed a purchase

agreement with Span Air, a private air charter company, for the sale of its first Bell Model 429

corporate VIP helicopter in India. Span Air has a second order slated for delivery in mid-2011. Bell

Helicopter recently sold its 100th helicopter in India.

•Sales of Pre-owned Refurbished Healthcare Equipment: Skelley Medical, a rural New Hampshire-

based company, sells refurbished medical equipment to Indian hospitals in second and third tier

cities through partnerships with various distributors in India. Skelley announced plans to open an

after-sales service facility in Mumbai as part of a new venture with Triage Systems, a Mumbai-based

Indian medical equipment distributor. This facility will service medical equipment purchased by

their Indian hospital customers.

•Monitoring Equipment for Greening Buildings: Noveda Technologies, a small start-up company in

Branchburg, New Jersey, is finalizing a new venture with Chennai-based Wysine Technology to

jointly develop and market a new solution for web-based, real-time energy monitoring for

“greening” buildings.

•Dredges for Maharashtra Maritime Board: Ellicott Dredges, a small company based in Baltimore,

Maryland, announced the sale of two cutter suction dredges to the Maharashtra Maritime Board, a

Maharashtra government entity. The equipment will be utilized to dredge a fisherman’s port and

various tributaries in the state of Maharashtra.

The pace of trade between the United States and India is accelerating. Between 2002 and 2009, U.S. goods exports to India quadrupled, growing from $4.1 billion to more than $16.4 billion. Through the first eight months of 2010, U.S. merchandise exports to India totaled $12.7 billion, up 18 percent from the same period in 2009. With economic growth estimates at about 9.7 percent in 2010, India is a key market for the Obama Administration’s National Export Initiative, which aims to double U.S. exports in five years.

Indians - 3rd fastest growing foreign investors in US

Indians are the third fastest growing foreign investors in the United States, a top Obama Administration official has said, acknowledging the positive contribution of India in the US economy at the time of recession.

"India is the third fastest growing foreign investor in the US," said Holly Vineyard , Deputy Assistant Secretary of Commerce for Africa , the Middle East and South Asia.

Vineyard said Indian investment in 2008 was USD 4.5 billion but the investments in 2009 grew 60 per cent higher than investments in the previous year. He was quoting from a yet to be published report by India US World Affairs Institute and the University of Maryland .

The report will soon be released by Congressman, Jim McDermott , Co-Chair of the Congressional Caucus on India and Indian-Americans, at a function organized by the East West Center, a Washington-based think tank.

The Joint study has found 372 acquisitions by Indian companies in the US between 2004 and 2009 worth USD 21 billion. This has created an estimated 40,000 employments in the US.

Giving preview of the report, FICCI ‘s, said there were 127 green field investments worth $5.5 billion by Indian companies in the United States. "So these are huge numbers that India is contributing to the US economy," Mitra said. "In contrast", the FICCI secretary general pointed out, "India was facing difficulties in attracting US investment in its infrastructure sector." US needs to do more in the infrastructure sector, he said.

To boost the US involvement in India, FICCI is following Track II policy, envisioned by the External Affairs Minister, S.M.Krishna, and the Secretary of State, Hillary Clinton when they meeting here earlier this month. The policy works on enhancing public private engagement in economic and strategic sectors in both the countries.

Agreement to Study Seasonal Prediction of Indian Summer Monsoon Rainfall Between India and US

India and the United States of America entered into an Agreement on ‘Technical Cooperation for

Study of Dynamical Seasonal Prediction of Indian Summer Monsoon Rainfall’. It will deliver a useful

coupled ocean-atmospheric general circulation model to predict Indian summer monsoon rainfall.

The cooperation will enhance current understanding of coupled ocean-atmosphere monsoon system

over India and will be useful for future studies and model improvements.

The main objective of the Agreement is to develop through dynamical weather prediction models a

fuller understanding of the Indian monsoon and associated precipitation characteristics. The nodal

agencies for implementation are Ministry of Earth Sciences, Government of India and National

Oceanic and Atmospheric Administration (NOAA), US Department.

A “Monsoon Desk” is being set up at National Center for Environmental Prediction (NCEP) of

National Oceanic and Atmospheric Administration (NOAA) to focus on and coordinate all activities

for India’s monsoon-related work including “Monsoon Mission”. This desk will coordinate numerical

model simulations and diagnostics between NCEP of NOAA and Indian Institute of Tropical

Meteorology and India Meteorological Department of Ministry of Earth Sciences. During Monsoon

2011 Indian and US scientists will work jointly for its predictions utilizing a global model at resolution

of 28 Km in horizontal and 64 levels in the vertical. A probabilistic outlook will be provided for a two

week period using ensemble approach.

The Government of India will provide Rs 2.4 crore over a period of five years for activities associated

with establishment and maintenance of “Monsoon Desk” and USA Government will provide

$100,000 per annum to cover deficit that may not be fully covered through Government of India

funding.

The term of the Agreement is of five years. Dr Shailesh Nayak, Secretary, Ministry of Earth Sciences,

Government of India and Dr. Jane Lubchenco, Administrator, National Oceanic and Atmospheric

Administration were signatories from the USA side.

India-US MoU on Shale Gas

Memorandum of Understanding (MoU) on Shale Gas Resources between India and USA was signed

recently during the visit of President of America, Mr. Barack Obama in New Delhi. As per the MOU,

the Nodal GOI Department/Ministry for implementation of MOU is Ministry of Petroleum and

Natural Gas through Directorate General of Hydrocarbons (DGH) and the Nodal US Department for

implementation is the Department of State Government of United States of America. The MOU was

signed by Shri Sudhir Bhargava, Additional Secretary, Ministry of Petroleum & Natural Gas and Dr.

David Goldwyn, Coordinator (International Energy Affairs) in the US Department of State.

Main elements/objectives of MOU for cooperation in the field of Shale Gas include Shale Gas

Resource assessment in India, technical studies to commence on Shale Gas exploration in India and

training of Indian personnel in the area of Shale Gas.

The MOU will benefit in cooperative activities in characterization, assessment of Shale Gas resources

in the Indian basins having Shale Gas potential. It will also result in cooperative activities in technical

studies and training of Indian personnel in the area of resource assessment of Shale Gas. The US

Geological Survey (USGS) will carry out studies on Shale Gas resources and will provide report to

India.

Q&A: Scott Price, President and Chief Executive Officer, Walmart Asia

'Farmers' income will go up 20% because of Walmart'

Walmart, the world's largest retailer, recently announced that it would sell $1 billion in food,

sourced from one million small and medium farmers, by the end of 2015. In an email interview with

Raghavendra Kamath, Walmart Asia’s President and Chief Executive Officer Scott Price outlines the

retail giant’s sourcing plans for India. Edited excerpts:

In your $1-billion target, what will be India’s share?

Walmart has established country-specific commitments for its sustainable agriculture goals to

support local farmers. Through its Direct Farm Programme in India, Walmart will partner with small

and medium farmers to source 50 per cent of their fresh produce.

Now, how much do you source directly from Indian farmers?

In three years, our Bharti-Walmart joint venture (JV) has opened four cash-and-carry stores, for

which we buy fresh produce from over 600 farmers. We will open another store in the next 30 days,

and we expect 10-15 more in the next two years. We just announced a new goal to buy directly from

35,000 small and medium farmers in India by the end of 2015.

What kind of training do you impart to farmers to increase their yield and income levels?

We will work with these farmers on crop management and provide more direct market access for

their produce. We will train them to grow food more sustainably, using less water and optimising the

use of pesticides and fertilisers. By purchasing directly and helping these farmers operate more

efficiently, we estimate they will see a 20 per cent increase in income.

In addition to these farmers, we provide training for workers in cities and rural communities as well.

Two years ago, our Bharti-Walmart JV pioneered our first training center in a public-private

partnership with the Punjab government. This was India’s first special skills training centre to help

young people meet the requirements of the growing retail industry. We also opened a second

training centre in collaboration with the Delhi government.

So far, more than 3,400 students have achieved a certification, and over 1,100 of those students

have been placed in jobs. A third skills training centre in Bangalore will be opened in the next couple

months. By 2015, we expect our skills training network to certify more than 40,000 students and

place 14,000 of these students in jobs.

What are the biggest challenges in sourcing directly from farmers in India vis-a-vis the rest of Asia?

India is very unique. It has very different consumers, very different legislation, very different levels of

economic development, social infrastructure and governmental management of the economy. India

is a unique market because it has evolved as a wholesale network for several centuries.

However, the biggest challenge is that there is no organised supply chain in India. Because of the

lack of that supply chain, there is no forecasting, there is no understanding of how demand is. It’s

largely a push-based system. So, I think getting that transparency across the supply chain will be very

unique. The other thing is there is no refrigerated cold chain for fresh produce in India. So, almost 40

per cent of fresh produce gets wasted from farmland to the time it reaches consumers.

How will opening up foreign direct investment (FDI) in the Indian retail sector accelerate direct

sourcing from farmers?

If FDI in retail is opened up, Walmart can contribute in many ways. First, there is a great opportunity

to support Indian farmers and sustainable agriculture. Walmart can help to reduce waste and

increase efficiency in the perishable food supply chain, where today 30 to 40 per cent of fresh

produce in India doesn’t make it to the consumer. We also believe that by offering our expertise and

technology, we can help increase food safety and quality, and meet the growing expectations of

Indian consumers for better food hygiene.

Second, global retail giant can help to create opportunity for small and medium enterprises. Small

and medium-sized food processors will be able to develop and sell more products, as they become

part of our private label brand. And they will gain export opportunities beyond their country

markets.

Third, we estimate that FDI in multi-brand retail can create 2.3 to 3 million jobs in India over the next

five years. These will be good jobs that are very well suited to a young Indian population entering

the workforce. They will enable workers to continuously improve their skills to grow and advance.

Lastly, FDI can make a real difference with inflation that has become a key economic concern for

India. By our estimates, certain increases in FDI are likely to reduce India’s inflation rate by 50 to 70

basis points.

Interview:

We are looking at more acquisitions in India – Gregory R. Page, Chairman and CEO, Cargill Inc.

Gregory R. Page, chairman and chief executive of farm products multinational Cargill Inc., said in an interview that free trade makes a lot of sense in order to feed the world. Gregory Page also spoke about food security and his company’s long-term plans in India. Edited excerpts:

How do you see the global food scenario?

It is the beginning of a crop season in the southern hemisphere and I think there a lot of attention is being paid to the weather. We are quite optimistic as the farmers in the world certainly have price incentives to produce a larger crop in the coming years. So, we see the application of fertilizer getting higher in most parts of the world. If we get the cooperation of the weather first in the southern hemisphere and around March-April in the northern hemisphere, I think the world’s capacity to feed itself continues to be encouraging.

How do you see the scenario in India?

I understand this time the monsoon was successful. The size of the sugar crop has grown significantly and production in oil seeds is growing and it is going to be nearly 220 million tonnes this year. If you ask me about India specifically, I think most of trends are in the positive direction.

Though India has achieved self-sufficiency in food, more than 60% of our population is still dependent on agriculture and it contributes just about 17% to India’s GDP. How do you think this can be improved?

I think it is the circular evolution, where people have more upfront job opportunities, more opportunities in industries at higher ratios than they can earn in agriculture. We see in most countries a transition in migration of rural labour into urban job opportunities such as construction, active work and with them come the mechanization in agriculture. As India’s non-farm economy evolves, the opportunity to apply and improve mechanization (in agriculture) makes it a very easy transition. So, I think the opportunity for the portion of labour involved in agriculture pursuits have declined. So, these are signs of prosperity rather than a problem.

The world saw a serious food crisis in 2008 with rising prices and supply under pressure. Are we heading towards another food crisis?

I think there are always going to be issues of weather disruptions but in the absence of that, I do not see us heading for a global food crisis. I do think one of the concerns is that there are relatively few places where strategic reserves of grains are being held from year to year. The global food system is quite dependent on production in that crop cycle. So, with that we have more volatility.

So, this year there have been disruptions in Russia in terms of a drought led to a dramatic impact on prices… In many countries, prices of wheat have grown more than 50% in a relatively short period of time. So we are in an environment where modest changes in supply led to an outsized impact on price. So, from a customer standpoint that is a challenge. From the agriculture point of view, those price rises stimulated farmers to be more productive... to invest in his farm, to invest in better seeds, better fertilizers. So, there is a balance between price and the capacities of the world to feed itself.

India has had high food inflation in recent times. How can we bring it down?

I think it is difficult for the government to do (this) all by itself. It takes the cooperation of the weather, it takes the decisions of the farmers about what crops they plant and how intensively to produce those crops. I think from an outsider’s view, I see the government’s stands on the duties on the importation of vegetable has been very pro-consumer and I think it helped in taking the edge off food prices. I think the decisions they have taken around pulses to make sure that people have access to those products from the worldwide market have been very practical action that the government has taken.

You recently acquired the Rath vanaspati brand from Agro Tech Foods.

Yes. We continue to grow our vegetable oil business in search of new customers. The brand we purchased from ConAgra has a reasonably well-earned name in the US. Within India, we will probably acquire another brand to build our vegetable oil business. We look forward to acquiring other brands that are strong in certain regions, to reach a new set of customers.

Are you also looking at any other acquisition at this point of time?

I will hope so. I believe we are.

Can you elaborate a bit?

We would like to build a food ingredient business. We would like to build an animal nutrition business. We continue to be very interested in food ingredients as well consumer packaged goods. If you look at the footprint of Cargill globally, as the Indian economy grows and evolves and the middle class expands, you may expect to see Cargill in India as big as anywhere else. At present, we are looking at food ingredients, consumer basics and animal nutrition and certainly commodity trading.

How do you see your growth in India?

I think we should speak more broadly on this. Cargill is a family business. The family enjoys an overwhelming majority over the cash flow in the business. So, they have high expectation of growth. With the company’s size and scope historically doubled every 7-8 years, the family will expect us continue to do that.

Today, if you take Asia, broadly, Cargill is under-represented in this region because these regions have grown so quickly. So as we look forward to the next five years, which is the planning horizon that we have in the company, the proportion of Cargill’s investments need to take place in faster growing economies in South-East Asia. In India, it is significant. It simply reflects that our business should reflect in the growth in GDP and these are the fastest growing areas.

Cargill has more than 65 business units, at least 15 have very good opportunities in India. The growth of the cotton industry has been good. Over time, it will become more sophisticated in its growing practices.

World demand for fibre continues to grow and certainly at today’s prices, farmers are incentivized to expand their crops and we would like to be a part of that.

How do you see free trade helping the world meet its food security challenges?

I think the capacity for the world to take advantage of comparative advantages, which are mostly

shaped by weather and soil, relies on free trade. So at a level of agricultural common sense, free

trade makes a lot of sense in order to feed the world. Otherwise, there is no choice left.

Ahmedabad based Kiri Dyes and Chemicals acquires US operations

of DyStar Group

Kiri Dyes and Chemicals Ltd (KDCL), a leading, Ahmedabad-based dyes and intermediates player, announced the acquisition of the US operations of DyStar Group for $10 million. ''It is our intention to build a sustainable dyes and chemicals global oganisation,'' said Manish Kiri, Managing Director, KDCL. ''For that, we needed a powerful sales organisation in North and Central America and maintain the retailer connection." Earlier this year, KDCL had acquired DyStar and its global subsidiaries, except the US operations. According to Kiri, Kiri-DyStar will now act as a global consolidator of the dyes business, aggressively cutting costs, coupled with off-shoring of production. ''As has been demonstrated by our two DyStar purchases this year, we are deep-value buyers, who look to buy assets with great brands and good distribution, all at rock bottom prices,'' adds Kiri. The DyStar group is expected to save direct costs of over $70 million in over two years mainly on account of reduction of employee costs and trnsfer of production to a low-cost region. The US operations of DyStar generates revenues of more than $100 million. The acquisition will boost KDCL's consolidated revenues to $1 billion in fiscal 2011. Ruan Weixiang, co-chairman and co-owner of DyStar, said he was confident the acquisition would generate more value to its customers around the world with improved quality and solutions. DyStar is a leader for dyes, dyes solutions, leather, performance chemicals, new technologies and custom manufacturing of special dyes/pigments with about 21 per cent market share globally. It provides high quality products and services across the whole value chain in various sectors like apparel, hosiery, automotive, carpets and home upholstery as well as industrial fabrics. It has sales and technical support presence in all key markets; agencies in 50 countries and 17 production facilities in 14 countries with a total employee strength of around 2,450.

Zensar acquires US IT solution firm Akibia for $66 million

RPG group-owned Zensar Technologies acquired US-based infrastructure management company PSI

Holding, which operates under the name Akibia, in an all cash deal of $66 million, the Indian

software exporter said.

Furthermore, the company will look at more acquisitions in strategic verticals like business

intelligence and remote infrastructure management, or the new regions the company hopes to

expand into, RPG group chairman, Harsh Goenka said.

RPG operates several other businesses including Ceat tyres, RPG Lifesciences, and an enterprise in

rubber plantations Harrisons Malayalam. Mr Goenka said the group plans to double revenue from

the current Rs 18,000 crore over the next three years.

The goal is likely to be achieved through 75% of business growth for existing companies, and the rest

through acquisitions, he said. The company that Zensar has acquired has approximately 10%

earnings before interest, tax, depreciation, and amortisation, or Ebitda, margin, said Ganesh

Natarajan, vice chairman and managing director, Zensar.

There are no overlapping customers between the acquired and parent companies, he added,

suggesting that there is ample scope for cross-selling services to clients of each company. Akibia’s

revenue in the year to September was $108 million.

Zensar will be paying performance-linked incentives to the current employees of Akibia in addition

to the acquisition costs, the company said. Infrastructure management accounts for less than 10% of

the company’s revenue at the moment, Mr Natarajan said. However, by 2013 Zensar expects the

business will contribute 30% of revenue. The revenue growth target for Akibia’s existing business

over the next year or two is 10-12%, he said. Yet, the new business of Akibia is likely to be partly

offshored, which will possibly aid the overall operating margins of the company.

Typically, Indian software companies offshore work from the US to India, thereby reducing the cost

for clients, and also increasing their profit margin on the business.

Dabur to buy US-based hair care specialist Namaste Labs for Rs. 446 crore

Dabur India, the country's fourth-largest FMCG company and the largest ayurvedic medicine

manufacturer, agreed to buy Namaste Laboratories, a US-based hair care company, for Rs. 446 crore

($100 million). The acquisition, which is being made through Dabur's US-based wholly-owned

subsidiary Dermoviva Skin Essentials Inc, is expected to close by the end of 2010.

Blue Island, Illinois-based Namaste Laboratories, founded by Gary Gardner in 1996 is a personal care

company specialising in hair care products. It makes several products to treat hair concerns such as

hair loss, damaged hair, thinning hair, dry and itchy scalp under its Organic Root Stimulator brand.

Although the company name is a common greeting in India, it has no presence in the country, but its

main markets are the Caribbean, Africa, Middle East, certain parts of North America and a small

presence in Europe.

For 2009, the company reported revenues of $90 million, 70 per cent of which came from the US

market, while the rest came from other regions, mainly Africa. Its net income was $12.5 million.

Under the deal, Dabur will pay Rs.446 Crore in cash to buy Namaste Laboratories and its three

subsidiaries and an additional Rs177 crore ($40 million) if it is able to double its sales in the next four

years.

Dabur will retain Gardner as CEO to run Namaste operations along with the sales team, including

broker representatives, and will not change the existing relationships with retailers, wholesalers,

distributors and suppliers. "This acquisition is in line with our strategy to build a global presence in

the international consumer goods market," said Dabur chairman Dr Anand Burman.

Dr Burman explained, "Namaste has a complementary product mix that can be easily integrated with

Dabur and will also serve as a gateway to the US market for our portfolio of consumer products. This

transaction will also enhance our profitability, increase stakeholder value and substantially add to

Dabur's already strong presence in Africa, serving as one of the key pillars in strengthening our

position in the African continent."

This is Dabur's first acquisition in the US and its second overseas acquisition after it acquired Hobi

Kozmetik Group, a leading personal care products company in Turkey in July 2010, for $69 million

(about Rs324 crore), to expand its markets in West Asia and North Africa.

Dr Reddy's buys Glaxo's U.S. penicillin business

GlaxoSmithKline is getting out of the oral penicillin business in the United States, selling a factory

and two key brands to India's Dr. Reddy's Laboratories

Financial terms of the deal, which is expected to close in the first half of 2011, were not disclosed in

a joint statement from the two drugmakers.

Dr. Reddy's will take over the British company's U.S. penicillin manufacturing site in Bristol,

Tennessee, and get the rights for the penicillin medicines Augmentin and Amoxil. Both drugs are

now subject to generic competition and consequently generate only minor sales for Glaxo.

Glaxo said the disposal would allow it to focus on its newer portfolio of differentiated products,

while the deal gives Dr. Reddy's -- a leading generics supplier -- an entry into the U.S. penicillin-

containing antibacterial market.

"This acquisition is in line with our strategy to significantly scale up our generics business in North

America," said Abhijit Mukherjee, Dr. Reddy's head of global generics. Glaxo will retain the existing

rights for Augmentin and Amoxil outside the United States.

Harley Davidson to set up assembly unit in Haryana

Buoyed by India’s response to its super-machines, iconic American superbike maker Harley Davidson

is setting up an assembly unit at Bawal, Haryana. This will be its second plant outside the US, after

Brazil.

The move will help Harley substantially cut the price of its bikes in India. It will pay only 10 per cent

import duty on completely knocked-down units, instead of the steep 60 per cent on completely-built

units. The domestic price of Harleys ranges from Rs 6.95 lakh to Rs 34.95 lakh.

Harley is looking to sell over 250 bikes by the end of December when it completes six months of

operations in the country. This is significant, considering the fact that the superbike market in India

is no more than 1,000 units annually. Other big boys in the segment include Honda, Suzuki, Yamaha

and Ducati. BMW will also start operations in December.

Harley Davidson India Managing Director Anoop Prakash said, “We are evaluating the tariff

structures. Our new pricing will be announced in January. The company will take into consideration

investments being made in our assembly and subsidiary operations, conversion costs,

transportation, marketing and other such factors, including the need to grow our business.”

Contrary to popular belief, Harley Davidson executives say the average age of its Indian customers

ranges between 35 and 40 years – in short, the well-heeled with a passion for these mean machines.

“While our clients come from across age groups ranging from 25 to 60 years, most of them are 35-40

years,” points out Prakash. Among the rich and famous straddling Harleys are film stars Shahid

Kapoor and Sanjay Dutt.

Harley currently offers 12 models belonging to five families: Sportster, Dyna, Softail, V-Rod and

Touring. Interestingly, the bad boys hankering after one come from diverse backgrounds. “Our

customers do belong to a higher income group. However, demand comes from across sectors —

professionals, human resource heads, doctors, IT firms and real estate consultants,” said Sanjay

Tripathi, director of marketing, Harley Davidson India.

Though the Sportster range, which has a base price of Rs 6.95 lakh, has generated considerable

interest, the top-end Classic Electra Glide has already found three buyers in the country. Priced at Rs

34.95 lakh, the Electra Glide is the most expensive model in the Harley portfolio at present. “Electra

Glide is our touring flagship model. It is a limited-edition model. Globally, Harley Davidson would sell

1,000 units of the Electra Glide,” added Tripathi.

At the moment, the bikemaker hawks its products through authorised dealerships in Delhi, Mumbai,

Chandigarh and Hyderabad and is looking at opening an outlet in Bangalore later this month.

Tripathi says demand is also filtering in from Tier-II cities. “Delhi and Mumbai are our biggest

markets. But we have had landowners from Indore coming to our showroom in Delhi. Businessmen

from Orissa have made inquiries at our centre in Hyderabad. In the course of 2011, we will open

outlets in Ahmedabad, Kolkata, Chennai and Kochi to bring our products closer to our consumers.”

ConJoin Group buys PHNS for $250 m

The ConJoin Group, an IT and business services company - which has operations in the US and also

has centres of excellence in Mumbai and Hyderabad, has acquired PHNS, a provider of healthcare IT

and business services, for $250 million.

Private Equity firm Actis backed the investment to the tune of $140 million, an Actis spokesperson

said.

“PHNS' strength lies in its clinical domain expertise as a provider of healthcare IT and business

process systems; spanning data centres, help desk, telephony, clinical transformation, audit and all

aspects of secure health information management. Together, as a combined entity, The ConJoin

Group and PHNS will deliver world-class integrated solutions under the PHNS name,” a statement

said.

The Actis spokesperson further said, “PHNS does not have an individual footprint in India, but now

with this acquisition, ConJoin can be a major source of services for PHNS.”

The Conjoin Group and Actis were advised by Jefferies & Co., Clifford Chance LLP, Hunton & Williams

and Duff & Phelps. PHNS was advised by William Blair and Company and Jones Day.

Chevron buys Atlas Energy, takes over RIL JV

Chevron Corp’s decision to buy US natural gas producer Atlas Energy has brought the two former

partners – Chevron and Reliance Industries Ltd (RIL) – together, after the American company had

exited Reliance Petroleum in April last year.

Chevron will take over Atlas’s role as the operator of a joint venture in the Marcellus shale gas

assets, with RIL having 40 per cent stake (or approximately 137,000 acres) in the project. RIL will

continue to fund 75 per rcent of the operator’s drilling costs, of up to $1.4 billion.

In April this year, Atlas Energy had entered into a joint venture with RIL to develop the Marcellus

assets. Under the agreement, RIL holds 40 per cent stake of the 343,000 acres shale gas project,

spaning parts of Pennsylvania, West Virginia and New York. RIL was to invest $1.36 billion to develop

the resources and Atlas was the operator.

The agreement between Chevron and Atlas states that the former will assume Atlas Energy’s role as

the operator with 60 per cent participation in the Marcellus joint venture, under the original

agreement terms between Atlas Energy and RIL.

“Chevron buying out Atlas is certainly a positive for Reliance Industries. For, RIL will get a partner like

Chevron in the Marcellus shale gas joint venture who has deep pockets and world class technology

in developing shale gas assets. For companies like Atlas, they would have bought these shale assets

pretty early and it was evident that they would be selling out at later stage,” said an analyst from a

leading consulting firm, requesting anonymity.

In 2006, Chevron had acquired five per cent stake in Reliance Petroleum for around $300 million,

before the Indian company went for a mega IPO of over Rs 8,100 crore. The share sale agreement

between the two companies had also given Chevron the option to buy an additional 24 per cent on

conclusion of certain “collaboration agreements” under which the US firm was supposed to provide

35 per cent of the crude oil requirements of the new Jamnagar refinery and buy 45 per cent of the

refined products for 10 years. However, the company exited Reliance Petroleum in April last year

after selling the stake at the acquisition cost.

US skincare brand Kiehl's enters India

New York-based hair and skincare brand Kiehl's is the latest entrant into the FMCG sector. The

company has partnered with speciality retailer Quest Retail to distribute and run its retail operations

in the country. Founded in 1851, Kiehl's is a family-owned business with a range of skin and hair

care products. It was taken over by L'Oreal Group in 2000 and is currently sold through 800 retail

outlets in 38 countries. India is the 39 {+t} {+h} country where Kiehl's is trying to find a foothold.

First store

“We have set up the first store in Delhi's Ambience mall. Our target is to be in to six cities in near

term,” Mr Dinesh Dayal, Director, Kiehl's India and COO of L'Oreal India, told. Kiehl's will be a part of

the L'Oreal's luxury products division. The luxury division has brands such as Lancome, Giorgio

Armani, Ralph Lauren and Diesel under its umbrella. The Delhi store is spread over an area of 51

sq.m and will be followed by another one in Mumbai.

Speaking on the products, Mr Dayal said that Kiehl's product portfolio will be a unique blend of

cosmetics, pharmaceuticals, herbal and medicinal knowledge It will have men's range, women and

even baby products. The products will be imported from Kiehl's manufacturing facility in New

Jersey. “We will have about 120 products to begin with and will be priced between Rs 450 and Rs

3,800.” The company began by supplying pharmaceutical tonics and medicinal salves culled from

natural ingredients. Kiehl's products are based on natural ingredients and do not ever test products

on animals.

Blooming market

A market research report on the cosmetic sector in India notes that the skin care market alone

would register a compound annual growth rate of nearly 13 per cent through 2012, reaching $365

million. According to CII FMCG survey, India's FMCG sector has registered a growth of 11.4 per cent

in the first quarter of 2010-11, April-June 2010, compared to a growth rate of 12.0 per cent in 2009-

10. During the second quarter (July-September 2010) the sector has, however, experienced slight

drop in growth rates to 11.0 per cent, due to increase in costs of various inputs such as petroleum

products and packaging materials, food inflation, etc.

The sectors that are projected to achieve excellent growth of above 20 per cent include deodorant,

anti-ageing cream, skin and fairness cream, men's fairness product, Hair colorants and baby products

among others.

U.S. ambassador announces more convenient

U.S. visa application process

In an effort to make the visa application process more convenient for all Indians, the U.S. Embassy in

New Delhi and Consulates General in Mumbai, Chennai, Kolkata and Hyderabad now accept visa

applications from across India at all visa facilities, regardless of the applicant’s home address or city

of residence. This is part of Mission India’s ongoing effort to facilitate legitimate travel to the United

States.

Following the opening of Consulate General Hyderabad in 2008, the U.S. Mission has looked for ways

to best capture the dynamism of India’s growth across the nation. As a result, we also redesigned

our consular districts. Therefore, effective immediately, our consular districts will be reorganized as

follows:

Embassy Delhi: Bihar, Delhi, Haryana, Himachal Pradesh, Jammu and Kashmir, Punjab, Rajasthan,

Uttarakhand, Uttar Pradesh, Bhutan;

Consulate Mumbai: Goa, Gujarat, Madhya Pradesh, Maharashtra, Diu and Daman, and Dadra and

Nagar Haveli;

Consulate Hyderabad: Andhra Pradesh, Orissa;

Consulate Chennai: Karnataka, Kerala, Puducherry, Lakshadweep, Tamil Nadu, Andaman and

Nicobar Islands;

Consulate Kolkata: Arunachal Pradesh, Assam, Chhattisgarh, Jharkhand, Manipur, Meghalaya,

Mizoram, Nagaland, Sikkim, Tripura, West Bengal

U.S. Ambassador to India Timothy J. Roemer said, “With these changes, we believe our Consulates

General and our Embassy in New Delhi will be even better positioned to support and serve Indian

visa applicants, as well as American citizens and businesses throughout India.”

US Trade with India: 2010

Month US Exports to India US Imports from India Balance of Trade

January 2010 1,295.5 2,079.4 -783.9

February 2010 1,235.2 1,958.1 -722.9

March 2010 1,454.8 2,472.4 -1,017.6

April 2010 1,671.2 2,650.0 -978.8

May 2010 1,852.9 2,672.6 -819.7

June 2010 1,690.6 2,532.6 -841.9

July 2010 1,800.2 2,591.4 -791.2

August 2010 1,716.8 2,773.5 -1,056.7

September 2010 1,447.2 2,415.0 -967.8

TOTAL 14,164.3 22,144.9 -7,980.5

SOURCE: U.S. Census Bureau, Foreign Trade Division, Data Dissemination Branch, Washington, D.C.

NOTE: All figures are in millions of U.S. dollars on a nominal basis, not seasonally adjusted unless otherwise specified.

Trade during the period Jan - Aug 2010

Select major items with their percentage shares, are given below.

1. Textiles (19.6%)

2. Precious stones & metals (22.4%)

3. Mineral fuel, oils (9.4%)

4. Pharmaceutical products (7.4%)

5. Organic chemicals (6.3%)

6. Electrical machinery (4.8%)

7. Machinery (4.4%)

8. Iron / steel products (4.4%)

Trade during the period Jan - Aug 2010

Select major items with their percentage shares, are given below:

1. Precious stones & metals (23.7%)

2. Machinery (12.8%)

3. Electrical machinery (7.2%)

d) Aircraft, spacecraft (7.4%)

4. Optical instruments & equipment (6.0%)

5. Mineral fuel, Oil, etc. (5.8%)

6. Fertilizers (5.1%)

Trade and commerce form a crucial component of the rapidly expanding and multi-faceted relations

between India and US. From modest $ 5.6 billions in 1990, the bilateral trade in merchandise goods

has increased to $ 37.64 billion in 2009 representing an impressive 572% growth in a span of 19

years.

India’s merchandise exports to the U.S. grew by 45.1% from $ 13.56 billion during the period Jan-Aug

2009 to $ 19.73 billion in the corresponding period in 2010. US exports of merchandise to India also

grew by 17.5%, from $ 10.82 billion during the period Jan- Aug 2009 to $ 12.72 billion during the

corresponding period in 2010. Total India - Bilateral Merchandise Trade accounts for $ 32.45 billion.

Trends with respect to the major items of bilateral trade during the past two years are as follows.

India’s exports to US

1. Cut and polished diamonds and jewelry are a major item of India’s exports to the US,

accounting for 21.5%. Exports of this item declined from $ 5.6 billion in 2008 to $ 4.6 billion

in 2009.

2. Textiles exports to the US, which account for 23%, fell by 10.3% from $ 5.42 billion in 2008 to

$ 4.86 billion in 2009.

3. Iron & Steel products which account for 5.3% of India’s exports to the US, fell by 33.8% from

$ 1.68 billion in 2008 to $ 1.12 billion in 2009

4. Exports of Organic Chemicals fell by 10.2% from 1.46 billion in 2008 to $ 1.32 billion in 2009.

5. Exports of pharmaceutical products grew from $ 1.43 billion to in 2008 to $ 1.66 billion in

2009

US exports to India

1. Exports of precious stones and metals from US to India, which account for 14.2%, fell from $

2.55 billion in 2008 to $ 2.34 billion in 2009.

2. Exports of fertilizers, which account for 7 % of US exports to India, fell sharply by 58.5% from

$ 2.79 billion in 2008 to $ 1.16 billion in 2009.

3. Exports of aircraft, aviation machinery and parts, which account for 13.7%, grew from $ 1.85

billion in 2008 to $ 2.25 billion in 2009.

4. Machinery exports grew marginally from $ 2.32 billion in 2008 to $ 2.33 billion in 2009.

During the year 2007, the basket of US imports to India included exceptionally large imports of

aircraft /parts, which resulted in a leap in the growth rate of US exports to 54.7%. With this

component excluded, the growth rates of US exports in 2007 and 2008 are 37.5% and 39.9%

respectively.

Fact Sheets: U.S. - India Partnership

The U.S.-India partnership is indispensable to addressing the challenges of our times. This strategic

relationship encompasses a range of issues, activities, and programs that reflect the vision of

President Obama and Prime Minister Singh that benefits not only the people of the United States

and India but the world as a whole. Attached are a series of fact sheets on these issues, with

summaries below.

Export Controls

Prime Minister Singh and President Obama committed to work together to strengthen the global

non-proliferation and export control framework and further transform our bilateral export control

cooperation to realize the full potential of the strategic partnership between the two countries. The

two leaders agreed to take mutual steps to implement a four-part export control reform program,

including: support for India’s membership in the multilateral export control regimes, removing

India’s Defense and Space-Related Entities from the U.S. “Entity List;” export licensing policy

realignment, and export control cooperation.

Trade and Economic Cooperation

The United States and India, the world’s two largest democracies, share one of the world’s fastest

growing trade and investment relationship. This relationship is based on a shared commitment to an

open market economy as the key determinant of economic growth, development, and job creation.

In furtherance of this commitment, President Obama and Prime Minister Singh took note of several

current initiatives in connection with the President’s visit to India

Partnership for an Evergreen Revolution

Prime Minister Manmohan Singh and President Barack Obama agreed to work together to develop,

test, and replicate transformative technologies to extend food security in India as part of an

“Evergreen Revolution.” These efforts build on the historic legacy of cooperation between the

United States and India during the Green Revolution, and will benefit farmers and consumers in

India, the United States, and around the globe, and will extend food security in India, Africa and

globally. The Partnership for an Evergreen Revolution will contribute to achieving the objectives of

the U.S. global development policy, which places a premium on broad-based economic growth as

the foundation for sustainable development, and the bilateral U.S. Feed the Future Initiative, which

focuses on creating a foundation for sustainable economic growth by helping countries accelerate

inclusive agriculture sector growth through improved agricultural productivity, expanded markets

and trade, and increased economic resilience in vulnerable rural communities.

Counterterrorism Cooperation

Since the first bilateral discussions on counterterrorism in 2000, counterterrorism cooperation has

become a pillar of the U.S.-India relationship. In the aftermath of the Mumbai terrorist attacks, the

U.S. and India resolved to deepen collaborative efforts, and intensify exchanges, culminating in the

signing of the Counterterrorism Cooperation Initiative (CCI) in July 2010. This landmark agreement

made clear the determination of our two governments to combine efforts to combat terrorism and

to work closely to ensure the security of our citizens. Programs to exchange law enforcement best

practices, hold reciprocal visits of senior-level officials to discuss lessons learned, conduct joint

military training exercises, and joining of forces in international fora on key counterterrorism issues,

demonstrate the closeness of this cooperation.

Civil Space Cooperation

President Barack Obama and Prime Minister Manmohan Singh agreed to scale-up joint U.S.-India

civil space collaboration, including space exploration, earth observation, and scientific education.

Clean Energy and Climate Change

Prime Minister Manmohan Singh and President Barack Obama reaffirmed their countries’ strong

commitment to taking vigorous action to address climate change, ensure mutual energy security,

and build a clean energy economy that will drive investment, job creation, and economic growth

throughout the 21st century. The Leaders strengthened U.S.-India cooperation on energy and

climate change through the following initiatives, including a number of joint research and

development projects, public-private partnerships, and major commercial sales of renewable energy

technologies.

Cyber security

The U.S. and India recognize the importance of cyber security and its growing role in world

prosperity, commerce, and culture. Accordingly, the U.S. and India are advancing efforts to work

together to promote a reliable information and communications infrastructure and the goal of free,

fair, and secure access to cyberspace.

CEO Forum

Recognizing the vital role bilateral commerce plays in the global strategic partnership, President

Barack Obama and Prime Minister Manmohan Singh highlighted the importance of the U.S.-India

CEO Forum and the progress made in implementing its recommendations. The U.S. and Indian

governments addressed recommendations in the areas of clean energy, infrastructure, education,

and export controls.

Defense Cooperation

The U.S.-India defense relationship has grown from solely military-to-military links into a mature

partnership that encompasses dialogues, exercises, defense sales, professional military education

exchanges, and practical cooperation. The leaders reaffirmed the importance of maritime security,

unimpeded commerce, and freedom of navigation, in accordance with relevant universally agreed

principles of international law.

U.S.-India Economic and Financial Partnership

Since U.S. Treasury Secretary Tim Geithner traveled to Delhi in April 2010 to launch the new U.S.-

India Economic and Financial Partnership with Indian Finance Minister Pranab Mukherjee, the two

governments have institutionalized deeper bilateral relations on economic and financial sector

issues. These efforts include a macroeconomic dialogue and financial sector and infrastructure

working groups.

Education

President Obama and Prime Minister Singh are committed to an expanding, dynamic, and

comprehensive education partnership, including expanding academic exchanges, developing

university and school linkages, and holding a U.S.-India Education Summit.

Entrepreneurs Roundtable

This event introduced the President to the next generation of Indian entrepreneurs and showcased

innovative partnerships between U.S. and Indian businesses that are creating new markets for U.S.-

manufactured technologies. These entrepreneurs represent some of India’s most thoughtful and

articulate minds on the major challenges facing India today and showcase the promise of the

country’s dynamic, private sector-led inclusive growth. Their innovative business solutions are

helping address some of India’s most vexing challenges – such as clean water, power, health care,

education – while creating new markets for their U.S. technology partners.

The National Export Initiative

As part of the National Export Initiative, President Obama noted that India -- with its tremendous

economic growth and its large and growing middle class -- is a key market for U.S. exports. These

involve some of our country’s largest companies, but also an increasing number of small and

medium-sized enterprises. On the margins of the President’s trip, trade transactions were

announced or showcased, exceeding $14.9 billion in total value with $9.5 billion in U.S. export

content, supporting an estimated 53,670 U.S. jobs. These cross-border collaborations, both public

and private, underpin the expanding U.S.-India strategic partnership, contributing to economic

growth and development in both countries.

Indian Investment in the U.S.

The United States is the world’s largest recipient of Foreign Direct Investment (FDI). India is among

the fastest growing investor in the United States. As the U.S.-India economic relationship deepens,

investment from India contribute to the growth and vibrancy of the American economy and in the

creation of jobs in the United States. Over the last decade, investment capital from India grew at an

annualized rate of 53% reaching an estimated $4.4 billion in 2009. This growing flow of capital from

India reflects the increased integration of the two economies and has brought many benefits to the

United States, increasing U.S. exports and supporting tens of thousands of jobs in the last six years

alone.

Nuclear Security

The United States and India signed a memorandum of understanding that provides a general

framework for cooperative activities in working with India’s Global Centre for Nuclear Energy

Partnership, which India announced at the 2010 Nuclear Security Summit. In working with India’s

Centre, the United States will give priority to discussion of best practices on the security of nuclear

material and facilities, development of international nuclear security training curricula and

programs, joint outreach on security issues to their respective nuclear industries, and cooperation

on other nuclear security activities as mutually determined.

Deepening U.S.-India Strategic Ties

Prime Minister Singh and President Obama renewed their commitment to expand cooperation on

strategic issues facing the United States and India and agreed to deepen and broaden strategic

consultations on core foreign policy issues of mutual concern. Such consultations reinforce Prime

Minister Singh’s and President Obama’s vision of transforming the U.S.-India relationship into a true

global partnership that reflects the extensive and growing strategic ties between our two countries.

U.S.-India Development Collaboration in Afghanistan

President Obama and Prime Minister Singh agreed to collaborate closely to assist the people of

Afghanistan by identifying opportunities to leverage our relative strengths, experience and

resources. Our collaboration will focus on agricultural development and women’s empowerment,

where Afghanistan’s needs are great.

Securing the Air, Sea, and Space Domains

President Obama and Prime Minister Singh agreed that in an increasingly interconnected world, it is

vital to safeguard areas of the sea, air, and space beyond national jurisdiction to ensure the security

and prosperity of nations. The United States and India have launched a dialogue to explore ways to

work together, as well as with other countries, to develop a shared vision to protect peace, security,

and development of these areas.

U.S.-India Open Government Dialogue

President Obama and Prime Minister Singh entered into a formal partnership on open government.

The United States and India share strong democratic foundations as well as an enduring

commitment to transparency and innovation as foundations for responsive and accountable

government in the 21st century. Both nations believe that democratizing access to information and

energizing civic engagement through the use of new technologies are critical to delivering better

services, especially to those at the bottom of the pyramid; fostering greater entrepreneurship and

economic opportunity; and improving our ability to collectively solve problems.

THANKSGIVING DAY – A GALA EVENING IN BENGALURU

Mr. Andrew Simkin, Consul General of the US Consulate, Chennai addressing the gathering at IACC

K, Thanksgiving Day Celebrations 27th November 2010 at The Windsor, Bengaluru

(L to R): Raj Rajkumar – Immediate Past Chairman, IACC-K, Dr. Pradip Dutta - Vice Chairman, IACC-K, Gurudutt – Senior Vice Chairman, IACC-K, Vasanth Kini – Regional President, SIC and

Andrew Simkin – Counsel General, US Consulate Chennai

Team IACC Karnataka and IACC with members with their families at IACC K’s CSR Initiative- Thanksgiving Carnival 27th November 2010

American expacts and members at the IACC K, Thanksgiving Day Celebrations 27th November 2010

at The Windsor, Bengaluru

PRESIDENT OBAMA VISITS IACC MEMBER ELICO’S STALL IN MUMBAI

ELICO’s soil testing instrument displayed during President Obama’s visit to Agri Expo in Mumbai during his visit to India

Mr. K. Raghavendra Rao, Chairman & Managing Director, Orchid Chemicals & Pharmaceuticals Ltd

addressing IACC (TN) Branch breakfast meeting – ‘MEET SUCCESS FIRST HAND’ on Nov 26, 2010.

Seminar on MSME Schemes and Benefits, Limited Liability Partnership Act, Presumptive Taxation & E-Filling held on November 26, 2010 at Ahmedabad Management Association, Ahmedabad

Seminar on “International Certifications”-The Key to Global Market Access’ held in Hyderabad on

24th November 2010.

IACC-VARANASI CONDUCTS ‘PROSPECTS OF BUSINESS WITH USA’ AND DEV DEEPAWALI PROGRAM

CA Mukul Kumar Shah, Chairman-IACC Varanasi, greets Ms. Judy Reinke, Minister Counsellor for

Commercial Affairs during three day program on “Prospects of Business with USA” from 20th to

22nd November 2010 in Varanasi, UP.

Gautam Mahajan, President –IACC during Brain Storming Meeting On “Small & Medium

Enterprises” (SME)-Prospects of Business with USA in Varanasi on 20 November 2010

IACC-WIC SUPPORTS SECURE CITIES INDIA –II, HELD IN MUMBAI

Calendar of IACC Events for 2010-11 (as on 30 Nov 2010)

Date Topic City

2 - 4 December 2010 International Taxation Conference 2010 (supported by IACC)

Mumbai

3 December 2010 Workshop on " SEC 10" Chennai

9 December 2010 Workshop on "Conflict Resolution" Chennai

10 December 2010 Mediation for Commercial Disputes Bengaluru

10 December 2010 Corporate Governance New Delhi

11 December 2010 `Showcasing West Bengal with reference to potentials for US investment’ By Shri Nirupam Sen, Hon`ble Miister of Commerce & Industry. - Address by Ms. Beth Payne, US Consul

General in the wake of the visit by President Obama

Kolkata

14 December 2010 Interactive session on Inter-trade between USA & India

Madurai

16 December 2010 ‘Annual Fellowship Nite’ Pune

January 2011 Lincoln Memorial lecture Ahmedabad

11-12 February 2011 7th Indo-US Economic Summit: Cementing Economic Bonds

New Delhi

10-11 March 2011 Indo-US Habitat Forum New Delhi

18-19 May 2011 (tentative)

Suite 2011 (Partner State: New York State Department of Economic Development)

New York, USA

US DEPARTMENT OF COMMERCE CERTIFIED TRADE SHOWS IN US

Event Name Industry Date Location

Greater NY Dental Meeting 2010

(Dental Eq.) 11/26/2010 - 12/1/2010 New York City, NY, United States

PowerGen 2010 (Electrical Power Systems) 12/14/2010 - 12/16/2010 Orlando, FL, United States

2011 International CES (Consumer Electronics) 1/6/2011 - 1/9/2011 Las Vegas, NV, United States

AG CONNECT Expo 2011

(Agricultural Machinery & Eq.) 1/7/2011 - 1/10/2011 Atlanta, GA, United States

International Builders' Show 2011

(Architectural/Constr./Engineering SVC)

1/12/2011 - 1/15/2011

World of Concrete 2011

(Architectural/Constr./Engineering SVC)

1/18/2011 - 1/21/2011 Las Vegas, NV, United States

International Poultry Expo/International Feed Expo 2011

(Agricultural Machinery & Eq.) 1/26/2011 - 1/28/2011 Atlanta, GA, United States

American International Toy Fair 2011

(Toys/Games) 2/13/2011 - 2/16/2011 New York, NY, United States

Graphics of the Americas (GOA)

(Printing/Graphic Arts Eq.) 2/24/2011 - 2/26/2011 Orlando, FL, United States

International Home and Housewares Show 2011

(Books/Periodicals) 3/6/2011 - 3/8/2011 Chicago, IL, United States

B2B: Trade Opportunities

Please find enclosed the list of companies that are interested in doing business with India Partners.

Members desirous of knowing more information about the following companies may kindly get in

touch with IACC Head Office, Mumbai.

Contact Persons: R.K.Chopra, Secretary General, e-mail: rkc@iaccindia.com Sudhanva Sundararaman, Executive Director, e-mail: sudhanva@iaccindia.com

S.NO Company Website Requirements Product

1 TBC Consoles www.tbcconsoles.com Distributors Specialized

furniture and

consoles

2 US Paper

Counters

www.wecount.com Agents and

Distributors

Paper counters and

batch tabbers

3 Manchester

Wood

Products

www.manchesterwood.com Agents and

Distributors

Outdoor chairs and

occassional tables

4 Mohawk Red

International

www.mohawkred.com Distributors Floor tiles, roofing

slates and

landscape stones

5 American

Defence

Systems

www.adsiarmor.com Agents and

Distributors

Highly advanced

defense

equipments

6 NTI Global www.NTIGlobal.com Agents and

Distributors

Specialized

swimming pool

solar covers

7 Beech Nut

Nutrition

Corporation

www.beechnut.com

Distributors Baby and toddler

foods

8 NTI Global

Flexible

Ducting

www.NTIGlobal.com Agents and

Distributors

Flexible Ducting

9 Mark-10 corp www.mark-10.com Distributors Force and Torque

measuring

instruments

10 Energy Onix

Broadcast

Equipment

www.energy-onix.com Agents and

Distributors,

broadcast

stations

AM and FM

shortwave

broadcast

transmitters

11 Auterra, Inc www.auterrainc.com Agents Patented catalyst

for crude Oil

12 Capsys Corp. www.capsyscorp.com End

Users/General

Contractors

Construction of

Non combustible

modular buildings

13 ADH Health

Products Inc

www.adhhealth.com Agents and

Distributors

Dietary

supplements and

Health Products

14 J.K.Jewelery

Inc.

www.jkfindings.com Agents and

Distributors

Jewelery made of

precious and semi

precious stones,

metals and pearls

15 D.W.Haber &

Son

www.habersilver.com Agents and

Distributors

Banquet

Products(Chaffing

dishes and

silverware)

16 Silicon Carbide

products, Inc.

www.scprobond.com Agents and

Distributors

Custon

manufacture Nitrite

Bonded and

reaction Bonded

Silicon Carbide

Components.

17 Galson

Laboratories

www.galsonlabs.com Agents and

Clients

Industrial Hygiene

Equipment Rental

18 Mercury Pen

Company, Inc.

www.mercurypen.com Distributors Desk pen, Pen

Holders, Writing

Instruments

19 Wagner

Lumber

www.wagnerlumber.com Direct

Sales/Agents

Hardwood Lumber

20 Gorbel Cranes www.gorbel.com Direct

Sales/Agents

Industrial Cranes,

Jib cranes,

Intelligent Lifting

devices

UNDERVALUED U.S. WINERY ACQUISITION OPPORTUNITY

Highlights:

1) Winery/Vineyard/Real Estate valued under $15m 2) 30+ years of continuous operations 3) 100 acre vineyard/winery operation 4) 25,000 cases of wine and champagne produced per year 5) Estate produced, award-winning portfolio of red, white and rose wines, plus

champagne 6) 70 acres of resort quality, high value real estate sub-divided into 5 buildable lots 7) Multi-million dollar business with positive cash-flow 8) Sale of winery validated via high-end, high-profile New York based real estate broker

Benefits to Indian Corporate Investors: 1) Enhance captive needs of company via opportunity to directly produce/supply wine

for the company’s needs (restaurants, hotels/hospitality, corporate gifts, etc.) 2) Enhance strategic opportunities and market penetration for the company in the U.S.

via winery headquarters 3) Opportunity to expand and enhance winery operations/sales in the U.S. 4) 35+ additional acres can be planted with vines for increasing estate wine production 5) Wine production can be expanded by another 40,000 cases per year 6) Abundant acreage to expand Visitor’s Center, build conference facility, restaurant,

etc. 7) Use winery as a platform to procure bulk wines from other parts of the world for

bottling and direct export to the Indian market 8) Potential for export to rapidly expanding Indian wine market (see fig 1.0 below)

India Wine Sales by Case: 2004-2011

Year Total Cases Domestic Imported

2004 550,000 470,000 80,000

2005 620,000 520,000 100,000

2006 750,000 630,000 120,000

2007 900,000 750,000 150,000

2008 1,100,000 920,000 180,000

2009 1,400,000 1,180,000 220,000

2010 1,700,000 1,440,000 260,000

2011 2,000,000 1,700,000 300,000

Fig: 1.0 Wine Market in India

Feature State: State of California

1) Snap Shot: State of California 2) Economy 3) State of California Trade with India (Imports & Exports) 4) Doing Business In California

(a) Business Advantages (b) Innovation Hub Initiative

5) California: Exports, Jobs, and Foreign Investment 6) SME Exclusive:

(a) Starting a Business: (b) Choosing a Business Structure (c) Registering a Business (d) Administering Employees (e) Site Selection and Location (f) Business Incubators (g) Acquiring Office Manufacturing Equipment (h) Obtaining Office/Facility Insurance (i) Small Business/Disabled Veteran Business Enterprise Advocates & Liaisons

Snap shot: State of California:

California is the most populous state in the United States and the third-largest by land area. California is also the most populous sub-national entity in North America. It is located on the U.S. West Coast, bordered by the Pacific Ocean to the west and by the states of Oregon to the north, Nevada to the east, Arizona to the southeast, Baja California, Mexico, to the south. Its 5 largest cities are Los Angeles, San Diego, San Jose, San Francisco, and Long Beach, with Los Angeles, San Diego, and San Jose each having at least 1 million residents. California has a varied climate and geography and a multi-cultural population. California's geography ranges from the Pacific Coast to the Sierra Nevada Mountains in the east, to the Mojave Desert areas in the southeast and the Redwood–Douglas fir forests of the northwest. The center of the state is dominated by the Central Valley, one of the most productive agricultural areas in the world. California is the most geographically diverse state in the nation, and contains the highest (Mount Whitney) and lowest (Death Valley) points in the contiguous United States. Almost 40% of California is forested a high amount for a relatively arid state.

Official language(s) English

Demonym Californian

Capital Sacramento

Largest city Los Angeles

Largest metro area Greater Los Angeles

Area Ranked 3rd in the US

- Total 163,696 sq mi (423,970 km2)

- Width 250 miles (400 km)

- Length 770 miles (1,240 km)

- % water 4.7

- Latitude 32° 32′ N to 42° N

- Longitude 114° 8′ W to 124° 26′ W

Population Ranked 1st in the US

- Total 36,961,664 (2009 est.) 33,871,648 (2000)

- Density 234.4/sq mi (90.49/km2) Ranked 11th in the US

- Median income US$61,021 (9th)

Elevation

- Highest point Mount Whitney 14,494 ft (4,418 m)

- Mean 2,900 ft (884 m)

- Lowest point Death Valley -282 ft (-86 m)

Before statehood California Republic

Admission to Union September 9, 1850 (31st)

Governor Arnold Schwarzenegger (R)

Lieutenant Governor Abel Maldonado (R)

Legislature State Legislature

- Upper house State Senate

- Lower house State Assembly

U.S. Senators Dianne Feinstein (D) Barbara Boxer (D)

U.S. House delegation 34 Democrats, 19 Republicans

Time zone Pacific: UTC-8/-7

Abbreviations CA Calif. US-CA

Economy:

As of 2007, the gross state product (GSP) is about $1.812 trillion, the largest in the United

States. California is responsible for 13 percent of the United States gross domestic

product (GDP). As of 2006, California's GDP is larger than all but eight countries in the world

(all but eleven countries by Purchasing Power Parity). California's unemployment rate

exceeds 12%.

In terms of jobs, the five largest sectors in California are trade, transportation, and utilities;

government; professional and business services; education and health services; and leisure

and hospitality. In terms of output, the five largest sectors are financial services, followed by

trade, transportation, and utilities; education and health services; government; and

manufacturing.

California currently has the 5th highest unemployment rate in the nation at 12.5% as of

January 2010 and had continued to rise, up significantly from 5.9% in 2007.

California's economy is very dependent on trade and international related commerce

accounts for approximately one-quarter of the state’s economy. In 2008, California exported

$144 billion worth of goods, up from $134 billion in 2007 and $127 billion in 2006.

Computers and electronic products are California's top export, accounting for 42 percent of

all the state's exports in 2008.

Agriculture is an important sector in California's economy. Farming-related sales more than

quadrupled over the past three decades, from $7.3 billion in 1974 to nearly $31 billion in

2004. This increase has occurred despite a 15 percent decline in acreage devoted to farming

during the period, and water supply suffering from chronic instability. Factors contributing

to the growth in sales-per-acre include more intensive use of active farmlands and

technological improvements in crop production. In 2008, California's 81,500 farms and

ranches generated $36.2 billion products revenue.

Per capita GDP in 2007 was $38,956, ranking eleventh in the nation. Per capita income varies

widely by geographic region and profession. The Central Valley is the most impoverished,

with migrant farm workers making less than minimum wage. Recently, the San Joaquin

Valley was characterized as one of the most economically depressed regions in the U.S., on

par with the region of Appalachia. Many coastal cities include some of the wealthiest per-

capita areas in the U.S. The high-technology sectors in Northern California,

specifically Silicon Valley, in Santa Clara and San Mateo counties, have emerged from the

economic downturn caused by the dot-com bust.

In 2010, there were more than 663,000 millionaires in the state, more than any other state

in the nation.

Trade with India:

State of California is the Largest Trading Partner from US to India.

Exports of Total All Merchandise to India

State 2005 2006 2007 2008 2009

United States

7,918,602,428 9,673,570,797 14,968,845,536 17,682,084,740 16,441,395,486

California 1,342,118,575 1,689,263,594 1,949,546,707 2,328,637,801 2,178,300,325 Source: Source: Foreign Trade Division, U.S. Census Bureau.

Doing Business in California

If you're doing business in California or you plan on starting a California business, here's information that may be helpful.

Business Advantages

1) California is the No.1 state for venture capital (VC). California receives four times more venture capital (as a share of gross state product) than the national average

2) In 2008, California companies received more than $14.2 billion, or 50.1 percent of all VC invested in the U.S. That’s far more than any other state and represents a 40 percent increase over 2003.

3) California is the number one state for attracting foreign direct investment.] 4) California is one of the top 5 states in the area of science and technology; specifically: No.1

in Risk Capital and Entrepreneurial Infrastructure and No.3 in Research and Development Inputs.

5) California is one of the top 10 states in the areas of high-wage services, fastest growing companies, initial public offerings (IPO), innovation capacity and patents

6) California’s 3.5 million small businesses represent the largest network of small employers of any state. These firms cut across every industry sector and offer small employers a robust network of business-to-business opportunities

7) California’s small businesses account for 99.2% of the state's employers and 52.1% of its private-sector employment.

8) California has proven to be an attractive location for international employers, ranking #1 in the U.S. in the number of employees supported by U.S. subsidiaries. U.S. subsidiaries in California employ 572,500 Californians

9) Furthermore, U.S. subsidiaries support 133,700 manufacturing jobs in California. Manufacturing companies tend to have a strong “multiplier” effect on the economy—stimulating a substantial amount of activity and jobs in other sectors through their demand for inputs from other suppliers.

10) Almost 9% of manufacturing jobs in California are supported by U.S. subsidiaries. 11) California’s location on the Pacific Rim gives businesses access to the global economy and

one of the largest trade networks of any state. 12) California's export shipments of merchandise in 2009 totaled $120 billion, ranking California

second only to Texas ($163 billion) among the states in terms of total exports in 2009

13) California's largest export market was Mexico, with the state posting exports of $17.5 billion to Mexico in 2009. Mexico alone accounted for 15 percent of California's goods exports in 2009. Other top markets include Canada ($14.3 billion), Japan ($10.9 billion), China ($9.7 billion) and South Korea ($5.9 billion).

14) The state's leading export category in 2009 was computers and electronic products, which alone accounted for 29 percent, or $35.2 billion, of California's total merchandise exports. Other top exports were transportation equipment (2009 exports of $12.8 billion), machinery manufactures ($10.7 billion), and chemical manufactures ($10.2 billion).

15) Small and medium-sized firms generated more than two-fifths (44 percent) of California's total exports of merchandise in 2007. This was the seventh highest percentage among the states, and was well above the 30 percent national export share.

16) Twelve metropolitan areas in California exported over $1 billion in merchandise in 2008. The leading metropolitan area in exporting was Los Angeles-Long Beach-Santa Ana with $60.0 billion in merchandise exports in 2008. This area represented 39 percent of California's exports, and ranked as the third largest metro area exporter nationally.

17) Other major metropolitan areas in California that exported in 2008 included San Jose-Sunnyvale-Santa Clara ($27.0 billion), San Francisco-Oakland-Fremont ($20.5 billion), San Diego-Carlsbad-San Marcos ($15.9 billion), Riverside-San Bernardino- Ontario ($6.2 billion), Sacramento-Arden-Arcade-Roseville ($3.6 billion), Oxnard- Thousand Oaks-Ventura ($2.6 billion), El Centro ($2.5 billion), and Fresno ($2.0 billion).

18) Industrial Research and Development (R&D) in California totaled $50.6 billion, which represents almost 25 percent of the national total

19) California offers a 15-24 percent R&D tax credit to businesses, which is made possible by large share of federal funding for R&D. The UC Technology Transfer Program is first among U.S. universities, both in terms of the number of patents granted and in the number of successfully commercialized inventions — more than 1,000 inventions a year.

20) California has 40 federal laboratories – more than any other state. 21) Three out of the ten NASA centers are located in California – more than any other state. 22) In 2008, over 19,000 patents originated in California, far more than any other state. 23) Since 1963, 432, 404 patents have originated in California which; representing 17 percent of

all the patents issued in the history of the U.S. and more than twice the number originating from the next closest state (New York).

Innovation Hub Initiative

In an effort to harness and enhance California’s innovative spirit, the state of California launched its new, forward-thinking Innovation Hub (iHub) initiative. The iHub initiative will improve the state's national and global competitiveness by stimulating partnerships, economic development, and job creation around specific research clusters through state-designated iHubs. The iHubs will leverage assets such as research parks, technology incubators, universities, and federal laboratories to provide an innovation platform for startup companies, economic development organizations, business groups, and venture capitalists.

On March 20, 2010, the State announced the six inaugural designations of the iHub initiative. The initiative will be a continuous process, and work on future designations is currently underway. For more information on the iHub initiative, please feel free to contact the Governor’s Office of Economic Development's Innovation and Emerging Technologies Unit.

California Innovation Hubs

California: Exports, Jobs, and Foreign Investment

Report: November 2010

Exports Support Jobs for California's Workers

Export-supported jobs linked to manufacturing account for an estimated 5.8 percent of

California's total private-sector employment. Nearly one-quarter (23.7 percent) of all

manufacturing workers in California depend on exports for their jobs.

Exports Sustain Thousands of California Businesses

A total of 59,998 companies exported goods from California locations in 2008. Of those,

57,461 (96 percent) were small and medium-sized enterprises with fewer than 500

employees.

Small and medium-sized firms generated more than two-fifths (44 percent) of California's

total exports of merchandise in 2008. This was the seventh highest percentage among the

states, and was well above the 31 percent export share for SMEs nationally.

Foreign Investment Creates Jobs in California

In 2007, foreign-controlled companies employed 605,600 California workers, the most of

any state. Major sources of foreign investment in California in 2007 were Japan, the United

Kingdom, Germany, Switzerland and France.

Nearly one-quarter (22 percent), or 132,900 of these workers, were in the manufacturing

sector in 2007.

Foreign-controlled companies accounted for 9 percent of total manufacturing employment

in California in 2007.

Foreign investment in California was responsible for 4.6 percent of the state's total private-

industry employment in 2007.

California Depends on World Markets

California's export shipments of merchandise in 2009 totalled $120 billion, ranking California

second only to Texas ($163 billion) among the states in terms of total exports in 2009.

California's largest export market was Mexico, with the state posting exports of $17.5 billion

to Mexico in 2009. Mexico alone accounted for 15 percent of California's goods exports in

2009. Other top markets include Canada ($14.3 billion), Japan ($10.9 billion), China ($9.7

billion) and South Korea ($5.9 billion).

The state's leading export category in 2009 was computers and electronic products, which

alone accounted for 29 percent, or $35.2 billion, of California's total merchandise exports.

Other top exports were transportation equipment (2009 exports of $12.8 billion), machinery

manufactures ($10.7 billion), and chemical manufactures ($10.2 billion).

California's Metropolitan Exports

Seven metropolitan areas in California exported over $1 billion in merchandise in the first

half of 2009.

The leading metropolitan area in exporting was Los Angeles-Long Beach-Santa Ana with

$24.6 billion in merchandise exports for the first-half of 2009. This area represented 41.4

percent of California's exports, and ranked as the third largest metro area exporter

nationally.

Other major metropolitan areas in California that exported in the fist-half of 2009 included

San Jose-Sunnyvale-Santa Clara ($9.5 billion), San Francisco-Oakland-Fremont ($7.3 billion),

San Diego-Carlsbad-San Marcos ($6.3 billion), Riverside-San Bernardino- Ontario ($2.5

billion), Sacramento-Arden-Arcade-Roseville ($1.7 billion), Oxnard- Thousand Oaks-Ventura

($1.2 billion), El Centro ($920 million), and Bakersfield ($713 million).

Source: U.S. Department of Commerce. Nov 2010

SME Exclusive

Starting a Business:

Choosing a Business Structure

When beginning a business, you must decide which form of business entity to establish. Your form of business determines the amount of paperwork you have to file, your personal liability regarding investments into your business, and the taxes you have to pay.

Defining a Business

Types of business entities:

Sole Proprietorship

General Partnership

Limited Partnership

Limited Liability Partnership

Limited Liability Company

Corporation

Registering a Business

All business registration is made with the California Secretary of State (hereafter referred to simply as the Secretary of State). Steps to be followed are as under:

Registering a Business Name

Filing for local licenses and permits

Registering a Companies Trademark and Business Mark

Registering for Business Taxes

Administering Employees

There are specific federal, state and local requirements regarding equal opportunity employment, employee safety and health protection, taxes and insurance. These and other issues about administering employees are discussed below.

Equal Employment Opportunity Laws

(a) Employee Rights

(b) At-Will Employment and Wrongful Termination

(c) Employee Safety and Health Protection

Employee Benefits

Establishing Wages and Hours

Filing Employment Taxes

Obtaining Worker’s Compensation Insurance

Site Selection and Location

Property leasing agreements can be as variable as the property locations. Sites can be found for short periods to very long periods of time, with anywhere from ready-to-occupy facilities to build-to-suit arrangements.

In the United States, there is generally no limitation on foreign companies purchasing and owning real estate.

Locating site options for an office, manufacturing, research and development, or distribution facility is one of the key services provided by the Governor's Office of Economic Development's CalBIS unit. CalBIS stands ready to work with local economic development corporations and real estate professionals to assist a foreign business in finding the appropriate location for a California expansion.

Business Incubators

Small, start-up companies that need limited office space for only a few months to initiate their businesses may do well to participate in one of the business incubator programs. There are a growing number of business incubators throughout California sponsored by various entities, such as universities, cities or counties, ethnic or industry associations, or private companies.

The business incubator is a cost-effective way for companies to find space to start their businesses. A few incubators are solely international in focus, while most of the others welcome domestic and international businesses. Incubator facilities can vary, but generally they offer an individual office, cubical or at least a desk for the businessperson, plus communal communication and business services. The incubator offers other benefits to a newly formed business. Within the organization are advisors and/or mentors who can guide a business person on legal, financing, banking, and personnel matters.

Acquiring Office Manufacturing Equipment

Office furnishings can be rented or bought through businesses that deal primarily with office occupants. These companies are easy to locate through local telephone Yellow Pages under “office furniture and equipment, dealers or rental.” Companies that sell telephone and computer systems, copy, fax and mail machines and other technical equipment can also be located through the Yellow Pages. Companies selling other office supplies such as pens, paper, tape and staples can be found through the Yellow Pages listed under “office supplies” or “stationers,” or through catalog sales.

Obtaining Office/Facility Insurance

It is prudent for a business, whether service- or manufacturing-oriented, to obtain property and liability insurance coverage for the physical office or facility.

In general, a business owner policy (BOP) covers:

Property: Building (if owned);

Business personal property (building contents);

Time element (business income and extra expense);

Liability: Premises/building; and,

Business operations (Includes bodily injury or property damage).

Specific coverage can be added to a BOP for things such as flood, fine arts and equipment and employee dishonesty (forgery, embezzlement, burglary). The best source to find a business or commercial insurance broker is through the telephone Yellow Pages, listed under “insurance.”

Small Business/Disabled Veteran Business Enterprise Advocates & Liaisons

Advocates

State agencies with annual expenditures over $100,000 have available to small business and DVBE suppliers, a liaison to help them resolve contracting issues with the state. The small business/DVBE advocate's duties must at minimum, include the following services:

Make information regarding pending solicitations available to, and consider offers from, California small business suppliers capable of meeting the state's business need, and who have registered with the state for this purpose.

Ensure that payments due on a contract with a small business are made promptly.

The Department of General Services (DGS) maintains a current directory of all Small Business Advocates and their contact information.

Liaisons

Government Code § 11148.5(a) mandates that “each state agency that significantly regulates small business or that significantly impacts small business shall designate at least one person who shall serve as a small business liaison.”

The small business liaison has the general responsibility of being available to small businesses to respond to any and every concern they may have regarding all of his or her agency’s activities and responsibilities.

Getting Loans and Financial Assistance

Commercial Financial Institutions

The best chances for obtaining commercial loans are through in-country financial institutions or their overseas branch offices or affiliates with which a business already has an account and/or relationship. CalBIS does not provide guidance on obtaining commercial loans; however, CalBIS can assist companies in identifying California offices of foreign financial institutions.

Venture Capital

The benefits, risks, sources and guides to obtaining venture capital are widely documented. For starters, a great amount of information can be found at a local bookstore about the possibilities, application processes, and publications that list sources of venture capital.

Government Sources

Several state-sponsored financial assistance programs are available to firms locating, expanding or modernizing facilities in California. The types of assistance available can be grouped into three broad categories:

Business financing

Business financing is provided directly to companies in order to undertake various projects. Each program has its own specific requirements for qualification and terms for approval. Financing is available in the form of industrial development bonds, small business loan guarantees and export finance loan guarantees, among others.

Environmental loans

Environmental loans reflect California’s commitment to the preservation of the environment. The state has implemented various loan programs to help companies clean up the environment and implement environmentally friendly programs. The loan proceeds are used for such things as replacing or upgrading underground petroleum tanks, reducing hazardous waste and recycling.

Public infrastructure financing

Public infrastructure financing provides financial assistance to cities and counties for public infrastructure projects. Although not directly available to individual businesses, cities and counties can obtain public infrastructure financing that benefits qualified businesses locating in their areas.

California Small Business Loan Guarantee

The Small Business Loan Guarantee Program allows a business to not only acquire a loan it could not otherwise obtain, but to establish a favorable credit history with a lender so that the business may obtain future financing on its own.

ELIGIBLE APPLICANTS:

Any small business as defined by the U.S Small Business Administration (typically businesses that employ one hundred people or less).

ELIGIBLE USES:

Proceeds must be used primarily in California and for any standard business purpose beneficial to the applicant’s business, such as expansion into new facilities or purchase of new equipment.

GUARANTEE AMOUNT:

Guarantees can cover up to 90 percent of the loan amount, with the guaranteed portion of the loan not exceeding $500,000. The guaranteed percentage varies and subject to negotiation between the Financial Development Corporation (FDC) and the lender.

LOAN INFORMATION:

The term of the loan guarantee may extend up to seven years.

Interest rates are negotiated between the borrower and the lender. The FDC may charge a guarantee fee of up to 2 percent for guarantee amounts up to $150,000, and 3 percent for guarantee amounts over $150,000, plus a documentation fee.

Processing time takes three to five weeks, depending on how quickly the applicant provides the necessary information and documentation, and on the lender’s responsiveness.

Collateral is generally required, but each transaction is tailored to meet the borrower’s financial situation.

Opening a Bank Account

To open a bank account in California, a company or individual might want to consider opening an account at a bank in the home country that has affiliated branches in California. Although new California accounts will most likely require the same documentation whether affiliated with a foreign bank or not, having an account at the same bank in the home country may facilitate the process of opening an account in California.

To open a company bank account, the company must first register to conduct business in California and obtain file-stamped copies of the registration papers (see Part 2 of this document, Defining and Registering Business Entities). Once registered, an authorized company representative would go to see a new accounts officer at the bank where the company wishes to open an account. Documents required to open an account for a firm include all three categories of the following:

Business name statement, where applicable

Employer Identification Number (EIN)

File-stamped copies plus copy certification from the Secretary of State validating that the company is registered to conduct business in California. Note: Certificates of Registration or Qualification may also be included.

To open an individual account in California, the new accounts officer will ask for a taxpayer identification number. This will be either a Social Security Number (SSN) or an Individual Taxpayer Identification Number (ITIN). These can be obtained free of charge from the Social Security Administration.

Lawfully admitted aliens with Immigration and Naturalization Service (INS) permission to work in the United States will need a Social Security Number (SSN). The Social Security Administration (SSA) has a new process for non-citizens to apply for Social Security number (SSN) cards as part of the immigration process. Now, people age 18 and older applying for immigrant visas with the U.S. Department of State can also apply for SSN cards at the same time.

If the individual requested a Social Security number card as part of the visa application and is age 18 or older when arrived in the United States, the information needed to issue a card will be shared with the U.S. Department of State and the U.S. Department of Homeland Security. The individual does not need to fill out a special application or go to a Social Security office. The Social Security Administration will assign the individual a number and mail the Social Security card to the U.S. mailing address where the Department of Homeland Security will send the individual’s Permanent Resident card. The card should be received within 3 weeks. If the individual does not receive it, and/or the mailing address has changed, call the Social Security Administration. The Administration will provide the Department of Homeland Security and the Department of State with the number assigned to that individual.

If the individual did not request a Social Security number card as part of the visa application or is under age 18 when arriving in the United States, the individual must apply for a card at a Social Security office and should call to find out where to apply once a permanent address is established. When visiting a Social Security office to apply for a Social Security card, the individual will need his or her passport or travel document, Permanent Resident Card (Form I-551), if received, and a birth certificate for each family member applying for a number. A Social Security representative will help the individual complete the application.

Those who do not meet the requirements to obtain a SSN may apply for an Individual Taxpayer Identification Number (ITIN) by completing the Application for IRS Individual Taxpayer Identification Number (Form W-7) and submitting it to the nearest SSA office.

Selling Merchandise

Businesses in California that sell tangible personal property in the state are liable for the collection of sales tax and must apply to the Board of Equalization for a seller’s permit for each location in the state. If a business changes ownership or business locations, it must obtain a new permit.

Under the Sales and Use Tax Law, the sale or use of tangible personal property in California is subject to a statewide tax of 8.25 percent. This rate includes both a state tax and a state-administered local sales and use taxes for cities and counties. Several counties and cities also have special district taxes that are applied in increments of .125 to .50 percent. Since a county or city may have more than one special tax district, sales and use tax rates in California range from about 8.25 percent to 8.85 percent depending on the place of sale or use.

Sales and use taxes are overseen by the California Board of Equalization (BOE). For a complete, current list of tax rates by county and city, businesses should obtain a copy of BOE Pamphlet No. 71, California City and County Sales Use Tax Rates.

NOTE: There is no federal sales tax, use tax or value-added tax.

The Franchise Tax Board administers an 8.84 percent tax (known as the “Bank and Corporation Franchise Tax”) on net corporate income.

California S Corporations are subject to tax rate of 1.5 percent on net income.

California uses the unitary method to determine the portion of income reasonable attributable to this state and thus subject to the Bank and Corporation Franchise Tax. Corporations deriving income from sources both within and outside the state are required to report the income of all related business units in a combined report. The combined income derived from all business activity is apportioned to each state or nation using an apportionment formula.

The percentage of property, payroll, and sales attributed to California, versus worldwide operations, is calculated. They are then added together, with double weight given to sales, and divided by four.

This calculation determines the percentage of the unitary or combined income subject to California’s bank and corporation franchise tax.

Apportionment Formula = percentage of unitary income subject to California’s corporate tax. (California Payroll (percent) + CA property (percent) + CA Sales (percent) + CA Sales (percent)).

Multinational corporations may make a “Water’s Edge” election whereby they exclude most income derived from foreign operations from the combined report. Foreign business units or corporations that have an apportionment percent in excess of 20 percent must be included in the combined report. The election lasts for seven years, but it is continuously renewed unless a notice of non-renewal is filed by the business.

Effective January 1, 2011 California Businesses will have the option to select a Single Sales Factor. This allows companies to choose to weigh only sales made in the state – not property or payroll – to determine corporate taxes owed.

Seller's Permit

Businesses in California that sell tangible personal property in the state are liable for the collection of sales tax and must apply to the Board of Equalization for a seller’s permit for each location in the state. If a business changes ownership or business locations, it must obtain a new permit.

To file for a seller’s permit – whether selling as retail or wholesale – the registrant must complete an Application for a Seller’s Permit and Registration as a Retailer (Form BOE-400-SPA). The registrant can file either by mail or in person. When applicable, the BOE will forward a copy of the application to the California Employment Development Department (EDD) to assist in the registration of the employer for unemployment tax purposes.

Businesses using tangible personal property in California purchased for use in the state, without the payment of sales tax, are liable for use tax. A company would most commonly be subject to use tax on property that is purchased outside California and used in the state, or inventory that is purchased without tax and then converted to business or personal use. Generally, a business can report use tax by reporting the purchase price of the property on line 2 of its sales tax return. If a business does not need a sales tax permit, it must register for a use tax permit if it incurs a use tax liability on a regular basis. To determine if a business needs a use tax permit, a company representative should contact one of the Board of Equalization offices listed at the end of this section.

There is no fee for obtaining a sales or use tax permit. However, the BOE may require a security deposit for some corporations. Notification will be given through a Notice of Security Requirements.

Manufacturing Products

Permits

A company seeking to establish a manufacturing facility in California will need to obtain the appropriate government permits for the type and location of the business.

Protecting California’s Environment

Land Use and Planning Obligations for Both Sellers and Manufacturers

Land use and planning in California is regulated by a set of environmental review requirements. Any project that will potentially affect the environment engages certain requirements stated in the California Environmental Quality Act (CEQA).

The permit process is independent yet integral to the CEQA process. The issuance of any permit must consider potential environmental consequences of activities to be conducted under the requested permit. CEQA, in turn, addresses those concerns in one document in which all permit agencies, the land use decision agency, the project proponent, and the general public participate. The document, typically an Environmental Impact Report (EIR), is the initial step upon which subsequent permit decisions are based.

Although streamlined in recent years, the California permitting process can be complex. Issuance of the permits indicates that the company agrees to build and operate its facility in compliance with the federal, state and local building and environmental laws. Many small, non-manufacturing facilities may not require a significant permit process or an EIR.

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Conceived, Designed and Researched by: R.K. Chopra, Secretary General, IACC; E-mail: rkc@iaccindia.com S. Sudhanva, Executive Director, IACC; E-mail: sudhanva@iaccindia.com