CII has strong links with key economic partners of India across the globe. This past month, CII delegations traveled to Russia, Germany, Switzerland, the UK, Japan, and South Korea, to engage with leading decision-makers of influential countries and organizations to forge solutions to drive the country’s growth, sustainability and stability agenda. Our cover story highlights the keenness of Indian industry to explore overseas markets for both trade and investment, and integrate itself into the dynamic global value chain.
4. Edited, printed and published by Chandrajit Banerjee, Director General, CII, on behalf of Confederation of Indian Industry fromThe Mantosh Sondhi Centre,
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Journal of the Confederation of Indian Industry
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Contents Volume 39 No. 07 July 2017
newsmaker
03 Interaction with the Prime Minister of India
spotlight
22 International Day of Yoga
mindspace
24 Facilitating the Transition to GST
25 'Industry is happy that GST has been Introduced'
27 A Historical Tax Reform
Building Capacity
30 India moves up in the Global Innovation Index Rankings
cover story
05 Deepening Indian Industry’s
Global Footprint
CII has strong links with key economic partners
of India across the globe. This past month, CII delegations traveled
to Russia, Germany, Switzerland, the UK, Japan, and South Korea,
to engage with leading decision-makers of influential countries
and organizations to forge solutions to drive the country’s growth,
sustainability and stability agenda. Our cover story highlights the
keenness of Indian industry to explore overseas markets for both trade
and investment, and integrate itself into the dynamic global value chain.
plus...
portfolio for
excellence
Societal Interface
REGIONAL REVIEW
... AND MORE
5. Communiqué July 2017 | 3
newsmaker
A
CII delegation, led by Ms Shobana Kamineni,
President, CII, had the honor of calling on
Mr Narendra Modi, Prime Minister of India, on
13 June in New Delhi. During the hour-long
interaction, Mr Modi shared his perspectives and vision
for the Indian economy, and guided CII on potential
CII Interaction with the
Prime Minister of India
activities and initiatives that it could take up.
The CII delegation included Mr Rakesh Bharti Mittal,
President Designate, Mr Uday Kotak, Vice President,
Dr Naushad Forbes, Immediate Past President, Mr Ajay
S Shriram, Past President, and Mr Chandrajit Banerjee,
Director General.
Narendra Modi, Prime Minister of India, with Shobana Kamineni, President, CII, at an interaction in New Delhi
Narendra Modi, Prime Minister of India, with (L-R) Uday Kotak, Vice President, CII, and Executive Vice Chairman and MD, Kotak Mahindra Bank
Ltd; Rakesh Bharti Mittal, President Designate, CII, and Vice Chairman, Bharti Enterprises; Chandrajit Banerjee, Director General, CII;
Shobana Kamineni, President, CII, and Executive Vice Chairperson, Apollo Hospitals Enterprise Ltd, and Government officials
7. Communiqué July 2017 | 5
Deepening
Indian Industry’s
Global Footprint
A
fter several years of disturbed conditions and volatility in the global
economy, signs of growth and stability are visible. The International
Monetary Fund has forecast global growth to strengthen to around
3.5% for the next couple of years, led by the emerging economies.
At the same time, political conditions seem to be changing, and there is a
distinct negative sentiment regarding globalization.
In recent years, the global trade architecture too has been shifting.
Mega Free Trade Agreements like the Transatlantic Trade and Investment
Partnership (TTIP) of the US and the EU, and the Regional Comprehensive
Economic Partnership of ASEAN plus 6, including India, are proof of WTO plus
and WTO extra commitments. The issue is how to continue on the growth
path and make sure economies do not come to early stagnation points.
For India, global growth conditions have become a vital factor for its own
progress. The subdued environment of the last few years has had a direct
impact on our growth story. This is indeed a challenging time for Indian
industry, which is looking at overseas markets for both trade and investment
opportunities. Indian industry, despite all the hurdles on the domestic front
resulting from infrastructure gaps and problems of financing, is eager to
integrate itself into the dynamic global value chain.
After two years of downturn, India’s exports finally expanded in 2016-17
cover story
India and the world
8. 6 | July 2017 Communiqué
by 5.3% to $276 billion. However, this is still below the level of exports in
2011-12, which was well over $300 billion.The top five export destinations for the
country in 2016-17 were the US, UAE, Hong Kong, China and Singapore.
Foreign direct investment (FDI) has emerged as a vital success story for the
country in the last three years, which witnessed about $160 billion flowing
in, a third of the cumulative FDI since April 2000. With about 30 sectors
being liberalized, and the abolition of the Foreign Investment Promotion
Board (FIPB), India presents an open and attractive market for overseas
investors.
The Government is keenly promoting India’s overseas relations.
Prime Minister Narendra Modi has himself visited over 50 countries, and
has signed a number of agreements for greater trade and investments.
The ambit of economic relations is widening to include energy, climate change,
urbanization, technology and R&D, and space, among others. Defense has
emerged as a key sector of cooperation as India has liberalized its defense
manufacturing sector and is encouraging the participation of global majors
to help it develop into a manufacturing hub for defense equipment, with
the relevant technologies.
CII engages strongly with key economic partners of India through different
platforms. This past month, a strong 54-member CEOs delegation led by the
President, CII, participated in the St Petersburg International Economic Forum
2017 (SPIEF) in Russia for the ninth consecutive year, to engage with leading
decision-makers of emerging economic powers to forge solutions to drive
the growth and stability agenda. At the Horasis India meeting at Interlaken,
Switzerland, top investors came together to learn more about recent reforms
and new opportunities in India. CII also traveled to Germany with the Prime
Minister, on his second visit to the country, and had useful interactions with
German industry. In the UK, CII's annual CEOs’ mission met with a range
of senior Government, industry, and academia members to understand the
implications of Brexit for India. Alongside, CII facilitated missions for State
Governments such as Chhattisgarh, where the Chief Minister led a Government
and industry delegation to South Korea and Japan.
Such interactions deepen the overseas footprint of Indian industry. As the
world realigns with emerging realities, India has the opportunity to capture
more space in multiple manufacturing and services sectors.
cover story
9. Communiqué July 2017 | 7
C
oinciding with the visit of Mr Narendra Modi,
Prime Minister of India, to Russia, CII organized
a strong 54-member CEOs Delegation to the
St Petersburg International Economic Forum 2017
(SPIEF) from 1-3 June. The delegation, led by Ms
Shobana Kamineni, President CII, and Executive Vice
Chairperson, Apollo Hospitals Enterprise Ltd, included
12 members of the CII India-Russia CEOs Forum.
CII has been organizing the CEOs delegation to the
SPIEF for the past 9 years. The SPIEF gathers leading
decision-makers of emerging economic powers to
identify and deliberate on the key challenges facing
Russia, emerging markets, and the world at large,
while engaging communities to find common purpose
and establish frameworks to forge solutions to drive
the growth and stability agenda. Over 8000 delegates
registered for the Forum this year.
The Prime Minister of India was the Guest of Honor,
and India was accorded Guest Country status at SPIEF
2017, to commemorate the 70th
anniversary of the
commencement of diplomatic relations between India
and Russia this year.
The members of the CII India-Russia CEOs Forum called
on Prime Minister Narendra Modi and Mr Vladimir Putin,
President of Russia, at Konstanin Palace in St Petersburg,
where they discussed issues to help boost bilateral
economic relations between the two countries.
EAEU-India Partnership
Speaking at a session on ‘Eurasian Economic Union
(EAEU) – India: A Strategic Partnership,’ at SPIEF, Mr
Ramesh Abhishek, Secretary, Department of Industrial
Policy and Promotion (DIPP), Ministry of Commerce and
CEOs Delegation to SPIEF 2017
Narendra Modi, Prime Minister of India, and Nirmala Sitharaman, Minister of State (Independent Charge) of Commerce & Industry, India,
with Indian and Russian CEOs at the Make in India Lounge in St Petersburg, Russia
CII has been organizing the CEOs delegation to SPIEF for the
past 9 years, to engage with decision-makers of emerging
economic powers to find common purpose and establish
frameworks to forge solutions to drive the growth and
stability agenda
cover story
10. 8 | July 2017 Communiqué
Industry, India, stated that the Government of India, as
well as the Governments of the Eurasian Economic
Union (EAEU) member countries, have decided to launch
negotiations for an India-EAEU free trade agreement
(FTA) shortly.
India’s trade with the EAEU region is barely $8.4 billion,
which is well below potential. It is for this reason that
India and the EAEU set up a Joint Feasibility Study
Group to prepare a report on the India – EAEU FTA
at SPIEF in 2015, he said. The report has since been
finalized and accepted by the Governments on both
sides, following which negotiations on the FTA are to
be launched, he added.
Mr Ramesh Abhishek called for promoting connectivity
between India and the EAEU region. The International
North South Transport Corridor would be extremely
critical for this, he said. Highlighting the role being played
by the ‘Green Corridor’ in promoting trade facilitation
between India and Russia, he felt the Corridor could be
extended to the other EAEU countries in due course.
Ms Veronika Nikishina, Minister for Trade, Eurasian
Economic Commission, pointed out that the EAEU has
so far concluded only one FTA, with Vietnam, and the
one with India would be the second. This demonstrates
the importance the EAEU accords to India, she said.
A strong FTA between India and the EAEU would help
strengthen the strategic partnership between the two,
said Ms Shobana Kamineni.
Mr Chandrajit Banerjee, Director General, CII, said
the potential India-EAEU FTA is just one part of the
strategic partnership. It will provide a foundation for
further deepening of ties between India and members
of the EAEU, he added.
India – Russia Business Dialogue
A dedicated cell would be set up within Invest India
to promote Russian investment in India. The cell would
provide hand-holding services to Russian companies
who wish to enter India, said Mr Ramesh Abhishek,
addressing the India-Russia Business Dialogue
organized by CII in cooperation with the DIPP, during
the SPIEF.
India, he said, has undertaken several reforms that are
Atul Chaturvedi, Additional Secretary, DIPP;
Chandrajit Banerjee, Director General, CII;
Ramesh Abhishek, Secretary, DIPP;
Satish Reddy, Co-Chair, India-Russia CEOs Forum,
and Chairman, Reddy’s Laboratories Ltd, and
Shobana Kamineni, President, CII, and Executive
Vice Chairperson, Apollo Hospitals Enterprise Ltd,
inaugurating the Make in India Lounge
at SPIEF 2017
Valeriy Dovbnia, CEO, Cyrillica LLC; Vineet Mittal, MD, Welspun Energy; R V Deshpande,
Minister of Large & Medium Industries and Infrastructure Development, Karnataka;
M V Ramana, EVP and Head – Branded Markets, Dr Reddy’s Labs, and
D V Prasad, Additional Chief Secretary, Karnataka,
at a session at the Make in India Lounge at SPIEF 2017
cover story
11. Communiqué July 2017 | 9
Narendra Modi, Prime Minister of India, and Vladimir Putin, President of Russia, with Indian and Russian CEOs at the
India-Russia CEOs Meet at the Konstantin Palace in St Petersburg
making it a more attractive place to do business, such as
the introduction of GST, and the new Bankruptcy Code,
among others. Alongside, flagship campaigns launched
by the Government of India are creating numerous
opportunities for Russian companies in India, in areas
spanning defence manufacturing, ship-building, smart
cities, manufacturing, and infrastructure development,
among others, he said.
Ms Shobana Kamineni felt that the India-Russia
relationship needs to evolve from being a buyer-seller
one to one of collaboration for technology transfer and
joint production in key sectors. Projects such as the
cover story
‘Green Corridor’ between India and Russia to promote
trade facilitation, and the International North South
Transport Corridor need to be expedited, she said.
Mr Chandrajit Banerjee called on Indian and Russian
companies to work together in knowledge and
technology-based sectors in line with the fourth industrial
revolution.
Panelists at the session highlighted the emerging
opportunities in areas such as infrastructure development,
energy, pharmaceuticals, banking and finance, IT and
transportation, among others.
C
II and Horasis co-hosted the Horasis Global India
Business Meeting on 25-26 June in Interlaken,
Switzerland. The Meeting was supported by the
Bern Economic Development Agency. A 20-member CII
delegation, led by Ms Shobana Kamineni, President,
CII, attended the meeting.
Horasis is a 'Global Visions Community' and an
Horasis Global India Business Meeting
international organization committed
to enacting visions for a sustainable
future. It provides strategic foresight
to public and private entities who
envisage growing into global and
sustainable organizations.
The Horasis India Meeting is the
foremost annual meeting of Indian
business leaders and their global
counterparts in Europe. Through this
meeting, Horasis offers business and
Government a platform to discuss a
wide range of issues related to the
Indian economy.
The 2017 Meeting explored Indian firms’ rise to global
eminence while engaging the Horasis global visions
community for dialogue and impact. Around 300 senior
decision-makers engaged in a discussion on how India's
economy can grow rapidly and sustainably. They also
examined how Indian companies can use Europe as a
springboard for globalization.
CII CEOs delegation with Marie Gabrielle Ineischen-Fleisch, State Secretary for Economic
Affairs, Switzerland, at the Horasis Global India Business Meeting, in Interlaken
13. Communiqué July 2017 | 11
G
ermany is among India’s most important partners,
both bilaterally and in the global context, said
Mr Narendra Modi, Prime Minister of India, at
the inaugural session of the Indo-German Business
Summit in Berlin on 30 May. However, the economic
partnership between the two countries is still below its
full potential. India is ready with open arms to welcome
German companies to enhance this partnership, he
added.
Ms Angela Merkel, Chancellor of Germany, advocated
relaunching the free trade negotiations between the
EU and India. A great many protectionist trends can
currently be seen in the world. Germany, by contrast, is
keen on fair global trade, she declared, to an audience
of top business leaders from both countries.
Strengthening
ties with
Germany
A CII CEOs’ delegation, led by Ms Shobana Kamineni,
President, CII, visited Berlin coinciding with the Prime
Minister’s visit to Germany, and participated in the
session, organized by APA-BDI, in partnership with
CII and other partners. Dr Hubert Lienhard, Chairman,
APA, and President and CEO, Voith GmbH, introduced
the session.
Ms Shobana Kamineni complimented Prime Minister
Modi for three outstanding years of reforms, where
Indian industry has experienced major results on
the ground, accompanied by a surge in business
confidence.
Earlier, the CII CEOs attended the Leaders' Luncheon
Meeting between Prime Minister Narendra Modi
and Chancellor Angela Merkel, held at the German
Chancellery, which was addressed
by both leaders. The delegation had
an opportunity to speak about their
business interests in Germany and
highlight issues and concerns.
The Business Summit featured a
panel discussion on ‘Indo-German
Business Cooperation – The Way
Forward.’ Mr Baba N Kalyani, CMD,
Bharat Forge Ltd, participated in the
panel discussion on behalf of CII.
Narendra Modi, Prime Minister of India, and
Angela Merkel, Chancellor of Germany, with
Shobana Kamineni, President, CII, during
the Indo-German Business Summit in Berlin
At the discussion on 'Indo-German Business Cooperation – The Way Forward' in Berlin
A CII CEOs’ Delegation visited Berlin coinciding with the
Prime Minister’s visit to Germany, and participated in the
Indo-German Business Summit
cover story
14. 12 | July 2017 Communiqué
India and Germany
Forging New Linkages
The Prime Minister’s second visit to Germany promises
to scale up trade and investment cooperation to greatly
benefit both sides
G
ermany is one of India’s most significant trading
partners, and India’s largest trading partner
in the European Union. The two countries
share strong business and economic ties, based on
common principles of democracy as well as common
views on international trade. In a changing regional
landscape, the two countries can forge new linkages,
including in emerging industries, to leverage each
other’s strengths.
German industry has been present in India since
long, and has contributed significantly to the country's
development through various initiatives. The India-
Germany partnership received a major boost in 2015
with Prime Minister Narendra Modi’s visit to Germany,
when India was partner country for the Hannover Messe
2015, the world’s biggest industrial fair. At the trade fair,
the Prime Minister unveiled the iconic ‘Make in India’
symbol and launched the manufacturing mission. He
promised an open and smooth investment climate for
German companies, and called for greater participation
from German businesses in India.
The strategic partnership between the two countries
has been further strengthened by the Inter-governmental
Consultation (IGC), aimed at increasing cooperation
and identifying potential areas of bilateral trade and
investment. The third IGC was held in New Delhi
in October 2015, with the fourth held during Prime
Minister Modi’s visit to Germany on 29-30 May,
this year.
Germany is India’s sixth largest trading partner, with
total trade between the two rising from $15 billion
in 2007-08 to $18.73 billion in 2016-17. India’s exports
to Germany have increased from $5.1 billion to $7.2
billion over the last decade, while Indian imports from
Germany increased from $9.9 billion to $11.5 billion in
the same period.
cover story
India’s trade with Germany is well-diversified and
composed primarily of manufactured products. Among
India’s top imports from Germany, machinery and
parts occupy the leading position followed by electrical
machinery and equipment, medical equipment, vehicles
and parts, and plastics. Major Indian exports to Germany
include machinery and parts, followed by apparel and
clothing accessories, organic chemicals, and vehicles
and parts.
In the last few years, Indian investments in Germany
have been steadily increasing. Indian corporate entities
have invested more than $6 billion in Germany as on
December 2016, while Germany is India’s 7th
largest
foreign direct investor in cumulative terms at $9.7
billion.
The India-Germany partnership is likely to grow stronger
in the coming years, given India’s expected high rate
of growth. Key sectors of opportunity for German
companies in India include manufacturing, infrastructure,
technology and services.
The Indian Government is keen to promote ‘Make in India'
with an expanding role in advanced and high-technology
sectors. Germany’s strategy of Industry 4.0 can be a
good template, as also an area of partnership. Sectors
such as automotives, pharmaceuticals, and machinery
are strong areas of cooperation.German companies could
consider more sectors for manufacturing partnerships,
such as industrial automation, robotics, and artificial
intelligence. Indian software companies too could be
good partners for the evolving smart manufacturing
sphere.
The India-Germany cooperation agreement in vocational
training, apprenticeship, and skill development can be
stepped up greatly. India can learn valuable lessons
from Germany’s dual system, a vocational training
system considered one of the best in the world.
16. 14 | July 2017 Communiqué
A skill development university could be considered by
Germany.
Another important area where the two countries can
collaborate is urban development. A joint working group
has been set up on sustainable urban development to
work on urban planning and infrastructure. The focus
areas include renewable energy, water management,
urban waste management and energy efficiency. CII
is facilitating a German consortium for cooperation in
India's Smart City initiative.
Both sides should also undertake initiatives for the
promotion of MSME cooperation to achieve bilateral
trade targets. The ‘Make in India Mittelstand’ program
launched at the 3rd
IGC proposes to facilitate the entry
of German MSMEs in India.
German assistance and cooperation is also key to the
success of the Indian Government’s plans for its railway
sector. The important areas where assistance will be
required include modernization of railway infrastructure,
semi-high speed and high-speed railways, and training
of railway personnel.
There is a need to expand the list of educational
and professional qualifications from India which
are recognized by Germany. The list should be
expanded to include degrees in accounting, legal
services, medicine and others, to promote services
cooperation.
Finally, support from the German Government is
essential for fast-tracking the India-EU Free Trade
Agreement, which will usher in greater economic and
strategic cooperation between the two nations and
strengthen the bilateral trade relationship.
As two of the largest and most stable economies of
their respective regions, India and Germany enjoy huge
advantages in building their economic engagement. The
Prime Minister’s second visit to Germany promises
to scale up their trade and investment cooperation to
greatly benefit both sides.
cover story
17. Communiqué July 2017 | 15
M
s Shobana Kamineni, President, CII, led
a high-profile CEOs delegation to the UK
from 27 – 29 June, to reinforce Indian
industry’s commitment to strengthening UK-India
business ties. Coming in the midst of considerable
political developments, following the UK’s recent
election outcome, and at the heels of its Brexit
negotiation to leave the EU, the 16-member delegation
met with diverse stakeholders, including Government,
parliamentarians, industry and academia, to reinforce
the overall strategic and economic relationship at this
critical time.
CII’s 122nd
Anniversary Celebrations
Over 250 stakeholders in the India-UK economic
landscape attended a grand reception at the majestic
Banqueting House in the legendary Palace of Whitehall
to mark CII’s 122nd
anniversary celebrations and welcome
the delegation. The stellar line up of VIPs included Mr
YK Sinha, High Commissioner of India to the UK, Amb
Dinesh Patnaik, Deputy High Commissioner of India to
the UK, Sir Hugo Swire KCMG, MP, former Minister
for Asia, Foreign & Commonwealth Office, UK; Sir
Malcolm Grant, Chairman, NHS England, Sir Richard
Lambert, Chairman, British Museum, Lord Jonathan
Exploring Emerging
Opportunities in the UK
A high-profile CEOs delegation visited the UK to reinforce
Indian industry’s commitment to strengthening UK-India
business ties in the post-Brexit scenario
Greg Clark (center), Secretary of State for Business, Energy and Industrial Strategy, UK, and Lord Kumar Bhattacharyya, Member of the House
of Lords, and Chairman, Warwick Manufacturing Group, with the CII delegation in Westminster
Mark Field, Minister for Asia and the
Pacific, Foreign & Commonwealth Office,
UK; Patricia Hewitt, Chair, UKIBC, and
Shobana Kamineni, President, CII, at CII’s
annual India-UK conference in London
YK Sinha, High Commissioner of India to the UK;
Greg Hands, Minister for Trade and
Investment, UK, and Chandrajit Banerjee,
Director General, CII,
at India House in London
Shobana Kamineni with
Sir Malcolm Grant, Chairman,
NHS England, at the
CII Reception in London
cover story
18. 16 | July 2017 Communiqué
Marland, Chairman, Commonwealth Enterprise and
Investment Council, Ms Carolyn Fairbairn, Director
General, Confederation of British Industry, renowned
business leaders and celebrities, and members of the
UK Parliament.
CII India-UK Annual Conference
The CII India-UK Annual Conference, with the theme,
‘UK-India Economic Relations: Beyond Brexit,' was
supported by the UK India Business Council (UKIBC) and
MIDAS as regional partner, representing Manchester.
Mr Mark Field, MP, the newly-appointed Minister for
Asia at the Foreign Commonwealth Office, UK, said
Brexit means exciting new opportunities for both
countries to forge closer economic, cultural, security
and commercial ties.
The speakers concluded that, looking beyond Brexit,
the UK’s strengths will remain grounded to attract
Indian investment. The growing focus on ease of doing
business in India offers huge scope for UK companies
to deepen their operations in the country, they said.
High Commissioner Sinha launched a CII publication,
‘India’s Business Footprint in the UK – Case Studies
and Highlights,' which profiles the stories, investments
and strategies of diverse Indian companies in the UK.
The report was later presented to Mr Mark Field and
Mr Greg Hands, MP, Minister for Trade and Investment,
Department for International Trade, UK.
India and Commonwealth Linkages
The CII delegation met with Sir Christopher Geidt
KCB KCVO OBE from HM The Queen’s Private
Office at Buckingham Palace. Mr Tim Hitchens,
CEO, Commonwealth Summit 2018 from the Cabinet
Office, and Mr Richard Burge, CEO, Commonwealth
Enterprise and Investment Council, also joined the
meeting, which discussed building stronger India-
Commonwealth ties through trade, and shared
values.
CII delegates discussed new initiatives in engaging
the youth in business leadership and bolstering gender
parity agenda, which are shared challenges across the
Commonwealth.
Academic Engagement
In partnership with Universities UK International Unit,
the Association of Commonwealth Universities, and the
Commonwealth Enterprise and Investment Council, the
CII delegation held an India-UK University and Industry
Roundtable on ‘Strengthening Education and Innovation
Partnerships between Universities and Business.’ Vice
chancellors, international deans and senior representatives
of over 15 academic institutions discussed existing
partnerships as well as future collaboration prospects
between industry and academia on educational exchanges,
R&D and youth engagement.
Trade, Investment and
Technology Collaboration
Mr YK Sinha hosted a Luncheon Meeting with Mr
Greg Hands, Minister for Trade and Investment, UK.
Acknowledging the strong investment partnership,
with the UK among the top four investors in India,
and India as the 3rd
largest investor in the UK, the
Minister emphasized the need for collaboration and
welcomed ‘practical, actionable policy proposals’ from
the group.
CII, in collaboration with the Legatum Institute,
organized a Thought Leadership Roundtable to
discuss trade imperatives between India and the
UK. Strategists and business leaders agreed that an
economic partnership agreement, not necessarily a
‘free trade' deal, is necessary to bolster the trade and
investment relationship, and is also a more realistic
prospect. They also discussed how the Commonwealth
configuration could be leveraged for multilateral trade
negotiations.
The CII CEOs delegation met Lord Kumar Bhattacharyya,
cover story
Sir Christopher Geidt KCB KCVO OBE, from HM The Queen’s Private Office, with the CII CEOs delegation at Buckingham Palace, London
19. Communiqué July 2017 | 17
India – UK CEO Forum
The India-UK CEO Forum met with Mr Liam Fox,
Secretary of State for International Trade, UK, in
London on 16 June. The forum discussed the
main opportunities for collaboration between the
two countries, the barriers to realizing them, and
recommendations on how to remove these barriers.
Mr Y K Sinha, High Commissioner of India to the
UK, and Mr Sanjeev Gupta, Additional Secretary,
Department of Industrial Policy and Promotion,
Ministry of Commerce and Industry, represented
the Government of India at the meeting.
CII is the secretariat to the Forum, along with
the UK India Business Council. The Forum is co-
chaired by Mr Ajay Piramal, Chairman, Piramal
Enterprise Ltd, and Sir Gerry Grimstone, Chairman,
Standard Life.
cover story
Member of the House of Lords, and Chairman,
Warwick Manufacturing Group, along with Mr Greg
Clark, Secretary of State for Business, Energy and
Industrial Strategy, UK, on 29 June in the House of
Lords, Westminster. Several officials from the Royal
Society were also invited to the interaction, which
discussed the UK’s approach on trade and skills and
immigration control in the context of Brexit, and areas
for collaboration, including automotive manufacturing
excellence.
Parliamentary Engagement
CII, in partnership with the Indo-British All Party
Parliamentary Group (APPG), organized a parliamentary
interaction for the delegation on 29 June in Westminster,
hosted by Mr Virendra Sharma, MP - Ealing, Southall,
and Chair, Indo-British APPG. Baroness Usha Prashar,
Deputy Chair of the British Council, moderated the
discussion to explore greater engagement between
the two countries.
nd
20. 18 | July 2017 Communiqué
cover story
I
n a bid to promote manufacturing activities in
Chhattisgarh, and attract big-ticket investments from
companies in South Korea and Japan, CII joined hands
with the Chhattisgarh Government to organize twin
business missions to the two leading Asian economies
from 29 May to 5 June.The delegation, led by Mr Raman
Singh, Chief Minister of Chhattisgarh, articulated the
core strengths of the young and mineral-rich State to
prospective investors in Seoul, Osaka andTokyo, through
seminars, presentations and B2B meetings.
At the Chhattisgarh Investor Seminar organized in Seoul
by CII in association with the Korea Trade-Investment
Promotion Agency (KOTRA) and the Indian Chamber of
Commerce, the Chief Minister and the accompanying
Government officials and CII members showcased the
opportunities and key enablers in Chhattisgarh, which
shares borders with 7 other Indian States.
The speakers included Mr Vikram K Doraiswami,
Ambassador of India to South Korea, representatives
from the Chhattisgarh administration, including
Mr Vivek Dhand, Chief Secretary, Mr Aman Kumar Singh,
Principal Secretary to the Chief Minister, and Secretary,
IT, and Mr N Baijendra Kumar, Additional Chief Secretary
to the Chief Minister, and Secretary, Commerce and
Industries, and also Mr Ramesh Agrawal, Chairman, CII
Chhattisgarh, and Director, Real Power Pvt Ltd.
The State Government signed an MoU with Sungh Ha
Telecom for setting up a mobile manufacturing unit in
Naya Raipur at an estimated cost of `120 crores.
In Osaka, the delegation invited Japanese investors to
be a part of the ‘Make-in-India’ program by setting up
units in Chhattisgarh, which has made rapid strides in
core industries such as steel, cement and electricity.
“Now our focus is on promoting IT, agriculture, forest
produce, solar energy and automobiles. Chhattisgarh
is developing world-class infrastructure on a massive
scale,” said Mr Raman Singh, at a seminar attended
by members of the Japan Foreign Trade Organization
(JETRO), the Osaka Chamber of Commerce and
Industries, and the Indian Chamber of Commerce and
Industries, Japan.
The delegation held one-on-one meetings with senior
representatives of leading companies in all three cities.
Showcasing Chhattisgarh
CII joined hands with the Chhattisgarh Government to
organize twin business missions to South Korea and Japan, led
by Mr Raman Singh, Chief Minister of Chhattisgarh, to articulate
the core strengths of the young and mineral-rich State to
prospective investors in Seoul, Osaka and Tokyo
Raman Singh, Chief Minister of Chhattisgarh, addressing the Seminar on Advantage Chhattisgarh, in Osaka
At the Chhattisgarh Investor Seminar in Seoul
22. 20 | July 2017 Communiqué
Q&A for National Bureau of Asian Research
In preparation for the historic Trump – Modi Summit,
Mr Chandrajit Banerjee, Director General, CII, discussed
the likely priorities of the Prime Minister during his US
visit in a Q&A with the National Bureau of Asian Research.
Mr Banerjee also discussed the Prime Minister’s
domestic performance thus far, and provided predictions
on the future of India’s economic growth as well as the
US-India partnership.
The article can be found at: http://www.nbr.org/research/activity.
aspx?id=786
‘Innovation: Fueling the US - India
Commercial Partnership’
CII and the Hudson Institute hosted an industry panel
titled 'Innovation: Fueling the United States-India
Commercial Partnership,’ coinciding with the historic
meeting between Prime Minister Modi and President
Trump on 26 June in Washington, DC.
Congressman George Holding, Co-Chair of the
Congressional Caucus on India and Indian Americans,
keynoted the panel, which was moderated by Ambassador
Husain Haqqani, Senior Fellow and Director for South
and Central Asia, Hudson Institute.The panelists included
Mr Pratyush Kumar, President, The Boeing Company
India, Vice President, Boeing International, and MD,
Boeing Defence India; Mr Danny O’Brien, Government
Relations Leader for Transportation, Global Government
Affairs and Policy, General Electric; Mr James Shapiro,
Resident Director, North America, Tata Sons, and Mr
A Amarnath, Senior Vice President, Wipro Ltd. The
company representatives discussed their integrated
business operations and the ways in which they help
create jobs in both India and the US, given the reality
of global supply chains.
Education was also a major theme, and the industry
representatives shared the STEM (Science, Technology,
Engineering and Mathematics) education initiatives their
companies are funding throughout the US and India to
stave the skills gap and accommodate the new jobs that
will inevitably be created with the rise of automation.
United in their conviction that innovation lies at the heart
of the US-India two-way flow of investment and job
creation, the participants concluded that real, tangible
outcomes of corporate innovation are solidly growing
the US-India partnership.
Reception for Delegates of
SelectUSA Summit
CII and the Embassy of India, Washington DC, hosted
a reception on 20 June for the Indian delegates of the
SelectUSA Investment Summit, the highest-profile event
globally dedicated to promoting foreign direct investment
in the US. The attendees included representatives from
various Indian companies interested in investing in the
US, as well as officials from the economic development
organizations of several American States, including New
York, California, Montana, and Florida.
Ambassador Reenat Sandhu, Deputy Chief of Mission,
Embassy of India, welcoming the guests, said the
Embassy and consulates would be more than willing
to help companies looking to invest in the US.
Ms MaryKay Loss Carlson, Chargé d’Affaires, Embassy
of the United States in New Delhi, also spoke.
Taking the US-India
Partnership Forward
At the CII – Hudson Institute Industry Panel in Washington DC
cover story
At the CII – Embassy of India reception for SelectUSA India
delegates in Washington DC
23. Communiqué July 2017 | 21
Undersea Natural Gas Pipeline from Iran to India
South Asia Gas Enterprise
(Siddho Mal Group)
A-6, Connaught Place, New Delhi-110001
Ph: +91-11-23324245 / 43581237
E-mail:
www.sage-india.com
siddhomalage@vsnl.net
AfganistanAfganistan
Iran Landfall PointKuh-e-Mobarak
Ra's Al Jifan
Gujarat Landfall PointSohar Port
Gas Pipelines are more competitive than LNG upto a distance of 2500/3000 kms, due to
high cost of gas liquefaction/transportation/re-gasification ( 5-6 USD / mmbtu).
In India’s quest for Energy Security, through a New Route, , a Global Consortium, is
developing a $4.5 Billion world's deepest Common Carrier Natural Gas Pipeline, directly
fromIrantoGujaratcoastinIndia,throughtheArabianSea.
(Aroute via Oman is also being explored ).
SAGE
Fuelling India's 'Make in India' plans and Gas based Economy vision by this path-breaking
infrastructureProject,forhighereconomicgrowth.
Meeting needs of Power/Fertilizer Industry for affordably priced gas, while moving to a low
carboneconomy,afterParisClimateChangeDeal.
Alternative & safer route to bring/swap Turkmenistan/Russian & other region's Gas to
India Gujarat coast.
Annual saving of USD one billion approx. ( Rs.6000/7000 Cr. ) in comparison with
similar quantity LNG import.
Gas Qty: 31.1 mmscmd under a 20/25 years Long-Term Gas Supply Contract with Iran.
Pipeline tariff: USD 2.5 per mmbtu range.
24. 22 | July 2017 Communiqué
C
II extended full support to the Prime Minister
and the Government of India, acting as an
ambassador of the ancient and invaluable practice
of Yoga, and spreading awareness to people in all rungs
of society across the country. CII, Young Indians (Yi)
and the CII Indian Womens Network celebrated the 3rd
International Day ofYoga across the country with the Art
of Living Foundation as the official knowledge partner,
and the support of several other organizations.
On 21 June, and the days preceding it, awareness
sessions on Yoga were organized in 23 cities across
the country, touching as many 10,14,443 persons. In
Mysuru alone, 54,511 people were impacted directly
through various programs onYoga, including flash mobs,
rallies and Yoga practice sessions.
CII East joined the world in celebrating the 3rd
International Yoga Day by organizing special yoga
sessions in Kolkata and Siliguri in West Bengal, Patna
in Bihar, Jamshedpur in Jharkhand, Bhubaneswar in
Odisha, and Raipur in Chhattisgarh.
Industry captains, representatives from member
companies and their families, students, and CII
employees limbered up to do yoga workouts, and get
‘refreshed and rejuvenated from within.’ Yoga trainers
from reputed organizations such as the Isha Foundation
and Art of Living, taught and explained, through both live
demonstrations and video clippings, how a few minutes
Mysuru Ahmedabad
patna raipur
Lu
International Day of Yoga
of yoga a day can make a world of difference in the way
we feel, work, think, speak, interact and perform.
In Guwahati, a special yoga session was organized at
the campus of Assam Downtown University.
CII Northern Region organized special Yoga sessions in
Chandigarh, Noida, Delhi, Lucknow, and Ludhiana. CII
and Young Indians Chandigarh Tricity Chapter organized
a session on ‘Yoga: The Way of Life’ engaging more
than 50 persons. In Delhi, a workshop on Yoga and an
energizer session on ‘Whole Brain Thinking’ was held at
the Chandra Arya Vidya Mandir orphanage for more than
500 girls. Sessions on Yoga were held at the premises
of several member companies too.
In the Western Region, interactive Yoga sessions in Panaji,
Ahmedabad, Vadodara, Bhopal, Mumbai, Kolhapur, Nashik,
Aurangabad and Pune, saw the remarkable participation of
over 2,500 participants. Held in collaboration with Indian
Women Network and Young Indians, the Yoga activities
were supported
and conducted
by institutions like
the Vivekananda
Kendra, the Art of
Living Foundation,
a n d l e a d i n g
corporates.
Around 8,640
spotlight
25. Communiqué July 2017 | 23
udhiana
Jamshedpur
Bhubaneswar
Kolkata
chandigarh
ChennaiGuwahati
DELHI
participants, representing industry and institutions,
took part in Yoga sessions held in 15 centers across
South India, in Chennai, Bengaluru, Mysuru, Hyderabad,
Kochi, Thiruvananthapuram, Puducherry, Coimbatore,
Erode, Madurai, Trichy, Salem, Karur, Vijayawada and
Visakhapatnam. CII partnered with the Isha Foundation,
the Art of Living Foundation, Government Yoga and
Naturopathy Medical College, Veda 3 Maharishi, and
Agneeshwara Yoga Centre for these sessions.
Mumbai
spotlight
noida
26. 24 | July 2017 Communiqué
mindspace
economy
C
II is playing an active
role in the successful
implementation of the
landmark Goods and Services
Tax (GST), and is hand-holding
industry through the transition
process into the new regime.
CII has undertaken a number
of initiatives and actions on
issues revolving around GST,
and will continue its efforts to smoothen implementation
and rationalization of the law in the coming months.
Policy
CII, in consultation with its members, submitted
timely inputs on the Report on Business Processes
(Registration, Payment, Refund and Return) and on the
Model GST Law.
Meetings and Interactions with
the Government
CII, along with select members, met with the Revenue
Secretary and the Ministry of Finance team, and
submitted the CII Representation on the GST Law.
The CII leadership appeared before the Empowered
Committee of State Finance Ministers on GST, and
select members had interactions with representatives
Facilitating the
Transition to GST
Shobana Kamineni, President, CII, and Executive Vice Chairperson,
Apollo Hospitals Enterprise Ltd, and Chandrajit Banerjee, Director General, CII,
attending the GST Launch Ceremony in Parliament, in New Delhi
CII has undertaken various initiatives
and actions on issues revolving
around GST
Hasmukh Adhia, Revenue
Secretary, addressing the CII-CNBC
Session on GST, in New Delhi
Workshops on GST in Patna (left), and New Delhi
27. Communiqué July 2017 | 25
mindspace
of the GST Network (GSTN), and the Central
Board of Excise and Customs (CBEC). In parallel,
CII regional offices and state offices organized
several meetings with relevant State Government
officials.
Advocacy
A number of articles by CII leadership have been
published in the press and journals, as also CII
advertisements on GST.
Various presentations on GST were made in CII
sectoral committees. A masterclass and webinars
on GST for select sectors were held.
Ms Shobana Kamineni, President, CII, and
Mr Chandrajit Banerjee, Director General, CII,
attended in the prestigious GST Launch Ceremony
conducted in Parliament on 30 June midnight, to
support the Government in this very important
initiative.
GST Seminars
CII organized a series of day-long seminars in
various locations pan-India to deliberate on key
GST issues, and help industry understand the
GST implementation better.
The seminars had participation from the
Government, subject experts and industry, to
facilitate a smooth transition to the new indirect
tax regime.
Pan India GST Training Programs
As a part of its GST initiatives and to educate
industry on GST, CII is conducting two-day
extensive pan-India training programs, both open
and in-house, for industry. More than 30 such
sessions have already been conducted in various
locations till date, to impart knowledge on the
GST law from both theoretical and practical
perspectives, for its effective implementation.
The faculty includes Government officials, GST
trainers and subject experts, to share hands-
on experience and in-depth knowledge on the
GST Law.
In addition, the regional offices of CII, too, have
been very active in taking GST policy advocacy
and membership services forward.
In all, CII has been very closely involved with
the Government as well as with industry on the
GST front. Going forward, more action can be
expected in this space.
‘Industry
is happy
that GST
has been
Introduced’
The gains from GST
are undeniable, relating
to lower transaction
costs, ease of doing
business, wider tax
coverage, and faster and
more efficient logistics,
says Shobana Kamineni
QHas industry faced any hiccups after the GST rollout?
What is the feedback you have received from
industry?
So far, there are no major issues in the GST rollout. The
main transition challenge related to stocks of goods, and the
Government has provided additional time for disposing of old
stocks. Industry is happy that GST has been introduced and
is willing to go through a transition period.
QHow much time do you think it will take to get things
smooth?
CII's sense is that it may take anything from two months to
about a year. A smooth rollout would depend on how well
the IT back-end of the GST Network (GSTN) operates, and
how much integration is done between vendors and buyers.
Most enterprises have been working with their vendors and
buyers up and down the supply chain to ensure that invoice-
matching takes place.
QThere has been concern that in the short term, growth
may be impacted due to the GST rollout, as industry
28. 26 | July 2017 Communiqué
and traders come to terms with various rules of the
new tax regime.
For a couple of months, some moderation may be
possible, but this would likely be temporary.
QMany commentators believe that a multi-rate GST
may not add 2% to GDP as was earlier predicted,
due to the existence of multiple rates.
The gains from GST are undeniable, relating to lower
transaction costs, ease of doing business, wider tax
coverage, and faster and more efficient logistics. With
so many parameters involved, CII has not estimated an
exact data point, but we are convinced that a couple
of years down the road, the GDP could settle at over
1 percentage point faster pace of growth, other
things remaining as they are.
QIs there any concern that GST
will be inflationary in the
initial days, especially in terms
of services?
The GST Council has done an
excellent job in fitment of rates,
ensuring non-inflationary levels
while maintaining the revenue
neutral objective. In services, the
rates prima facie appear to be 3
percentage points higher, but CII's
expectation is that enterprises will be
able to avail of input tax credit. Further, luxury
tax or cess in certain States has been eliminated. So
overall, as per the CII analysis, there will be minimal
impact on inflation.
QHow do you see the anti-profiteering provisions of
GST, and is there any communication from industry
not to use it? Do you think there is enough competition
in the market to take care of prices?
CII has been assured by the Government that the
anti-profiteering rules will be carefully used. In an
interaction with CII, Dr Hasmukh Adhia, Revenue
Secretary, stressed that cases would need to be
considered by a multi-tier system before a conclusion
on undue price hikes is reached. The markets are quite
free and will not tolerate such hikes.
QWould you like the GST Council to start working
towards a 2 or 3 rate structure in GST instead of
the current multi-rate structure?
Yes, this is what CII has taken up with the Government
several times. With just 1 or 2 rates, GST can be an
efficient tax, and we hope that the GST Council would
favorably consider it within the near future.
QWith demonetization and GST being two disruptive
forces, is there a need for the RBI to cut interest
rates to give a helping hand to industry?
CII believes that demonetization and GST are both good
for the economy and will lead to greater formalization
going forward, adding to tax revenues. That said,
however, we are also convinced that with inflation
currently at the lowest point since 2012, a subdued
industrial growth rate and low investments, the
RBI can certainly help boost the economy
through a reduction in interest rates.
QWhen do you expect private
investment to pick up?
Currently, capacity utilization
remains at around 72%, while
companies usually plan fresh
investments when it is around
80%. In certain sectors, such as
tractors and automobiles, demand
has picked up, and within a couple
of quarters, we could see capacity
utilization build up. This is when CII projects
that a rise in private investments would begin to
show up. Incidentally, sectors like aviation are adding
capacity and are growing at over 25% year-on-year,
creating huge opportunities.
QWhich other areas of reform would you like the
Government to focus on now?
The Government has undertaken commendable reforms,
with GST being the most transformational of them all.
The focus on attracting FDI, ease of doing business
and resolving non-performing assets has been quite
effective. CII would like to see more actions in ease
of doing business at the State level, and also faster
movement on issues such as disinvestment, agricultural
markets and labor reforms.
We are satisfied with the current direction of the
Government and believe that the reforms agenda would
continue to be intensive in days to come.
Shobana Kamineni is President, CII, and Executive Vice Chairperson, Apollo Hospitals Enterprise Ltd. An edited version of this interview was
published in The Asian Age on 9 July 2017.
mindspace
29. Communiqué July 2017 | 27
A
number of concerns have been raised from
several quarters about the historical Goods and
Services Tax (GST) relating to complexities,
administration, network, and so on. Most of all,
consumers have expressed anxiety about the rates and
impact on inflation. However, most of these worries
stem from lack of sufficient information.
A truly transformative indirect tax reform of the scale and
impact of GST is bound to face several initial glitches,
not least because it is placed on a single network.
From the perspective of industry, we are convinced
that the tax will bring huge benefits to all stakeholders,
including consumers, service providers, manufacturers,
small enterprises, and the Government.
To begin with, we must keep in mind that the GST
replaces a complex and convoluted indirect tax
structure which included myriad taxes, tax-on-tax, and
multiple rate structures. The new tax replaces as many
as eight taxes levied by the Central Government, and
subsumes nine taxes of the State Governments. As
each State Government had its own tax structure, the
tax applicable on each item used to be different in
different States, an anomaly that has been resolved
by GST.
Our calculations show that the combined impact of
Central Excise and State value-added tax (VAT) on,
say, a bicycle, is over 10%. On an inter-state sale, an
additional 2% Central Sales Tax (CST) is charged. Under
GST, while the tax rate on a bicycle is applicable at
12%, CST would no longer be applied. Additionally,
in a seamless supply chain, each node is able to avail
of input tax credit on components used in the value
addition, and therefore, the ultimate tax paid by the
final consumer works out to be lower.
The GST Council has mostly adhered to well-defined
principles while calculating the GST on goods, taking
care not to add to inflation, while also maintaining
the revenues of the Government. It is noteworthy
that over 80% of goods have been placed in the
18% or lower tax bracket. Some of the anomalies in
tax rates have been addressed, taking into account
industry views. For example, tax rates on certain
processed foods, insulin, and other items, have been
brought down.
On the services side, the four-tier structure of the
goods side has been replicated. Under GST, most
services are imposed 18% rate but the varying tax
slabs on hotels and transport of different categories
add to the complexity. On the other hand, services
too will gain from input tax credit so that overall, final
prices will not be unduly impacted.
Thus, on the rate structure, a good beginning has been
made. As the tax is implemented and teething troubles
are sorted out, all stakeholders are likely to be persuaded
about the simplicity of fewer tax slabs, and the GST
Council may converge the multi-tiered structure into,
at most, two slabs at a later stage.
We would also call for removal of cesses once the
States are compensated for loss of revenues, if any.
Further, certain goods that have been left out of the
purview of GST at this stage, such as petroleum and
alcohol, could be fitted into it as well.
A major concern being raised is about the GST
Network (GSTN) and the need for several filings
each month. The GSTN is the online system which
The GST will bring huge benefits to all stakeholders,
including consumers, service providers, manufacturers,
small enterprises, and the Government,
says Chandrajit Banerjee
A Historical Tax Reform
mindspace
31. Communiqué July 2017 | 29
is a single point for submission of all tax returns.
It is felt that small traders and manufacturers may not
own computers or have access to internet connectivity.
The Government is addressing this concern by enabling
common service centers in villages to offer the facility of
uploading returns. In addition, apart from the designated
34 service providers, additional or subsidiary service
providers are also on hand.
Interestingly, there are now ads for GST-enabled
computers, where software is being bundled in as
a complete accounting and tax filing package for
businesses.
A single point of contact with the indirect tax system,
and that too, online, is likely to be simpler than the
previous Central and State tax system. With invoices
being matched online, and input tax credit easily
available, more vendors are likely to be encouraged
to step into the tax net, adding to the Government’s
tax revenues.
From the perspective of the small enterprise too,
those who would like to benefit from the tax credit
on inputs used by them can pay the regular tax and
file returns, just like larger enterprises. Notably, the
input tax credit for a buyer comes only when all its
suppliers are paying their taxes on time, which is a
powerful incentive for buyers to ensure that their
suppliers are regular in making the payment and
filing taxes.
Several complexities arise from the anti-profiteering
clause, which would be difficult to monitor; the
e-way bill system; and the valuation of goods for
the purpose of tax application. CII has suggested
that invoice value be accepted as a valuation, and
we hope that the anti-profiteering clause will soon
be waived. There will also be complications arising
from the definition of goods and their placement
within the harmonized system.
We, however, believe that the GST Council, a body
which has prudently and carefully addressed such
a huge and complex system, will be able to devise
solutions for these and other emerging chjallenges in
the consensus mode, as it has done so far.
Industry is ready for GST and looks forward to the
benefits of this transformative tax reform.
Chandrajit Banerjee is Director General, CII. This is an edited
version of the article that appeared in The Asian Age on
21 June 2017.
mindspace
32. 30 | July 2017 Communiqué
Building Capacity
India moves up in the Global
Innovation Index Rankings
E
very year, CII collaborates as
Knowledge Partner for the Global
Innovation Index (GII) report co-
published by World Intellectual Property
Organization (WIPO), Cornell University,
USA, and management institute INSEAD. A
prestigious report to measure the innovation
readiness and output of the country, the GII
is widely cited. As a knowledge partner, CII
believes in the role of innovation as a major driver
of growth and an important contributor to enhanced
competitiveness.
In the latest GII report released on 15 June this year,
India has improved its ranking, moving up to the 60th
position among 127 economies, from last year’s rank
of 66. The country occupied the top spot among the
Central and South Asian countries. India is also ahead
of most of its lower middle income counterparts and
has been a consistent ‘innovation achiever’ (economy
that performs at least 10% above its
peers for its level of GDP) every year
from 2011 to 2017.
As demonstrated by the GII rankings over the
last few years (Figure 1), India has consistently
outperformed on innovation relative to its GDP
per capita and is now in the top half in the
innovation rankings. The improvement from 2015
comes after five previous years of decline and derives
from various achievements in specific innovation
parameters as well as improvements in India’s input and
output performance, driving innovation activities.
Innovation Input Index
GII 2017 has been calculated as a simple average of two
sub-index scores, namely, the Innovation Input Sub-Index
and the Innovation Output Sub-Index. These indices
assign scores to economies based on their performance
in terms of various innovation indicators.
Figure 1: Global Innovation Index: India
Source: Global Innovation Index, 2017
33. Communiqué July 2017 | 31
The Innovation Input Sub-Index is comprised of five
input pillars that enable and facilitate innovation, namely,
Institutions, Human Capital and Research, Infrastructure,
Market Sophistication, and Business Sophistication. Figure
2 presents India’s performance on these indicators over the
last five years. The input pillars are in turn determined by a
sub-set of indicators driving innovation growth.
In the last five years, India has improved its rank on all
the input indicators, which, in turn, helped it achieve a
higher rank in the GII rankings. Noteworthy are India’s
achievements in terms of Human Capital and Research,
Business Sophistication, and Infrastructure.
India’s achievements in Human Capital and Research have
been remarkable over the last five years. The country has
moved up 41 spots in this ranking, from 105 in 2013 to
64 in 2017. India’s improvement in this category came on
account of its improved rank in terms of Research and
Development (32), which is one of the three categories
determining the overall Human Capital rank. Among the
various R & D indicators, India secured impressive rankings
in terms of Global R&D companies (14), QS University
Ranking (21) as well as Gross Expenditure on R&D (43).
The other two categories that determine the Human Capital
rank are Education (114) and Tertiary Education (68).
In terms of Business Sophistication, India has moved up
39 spots in the last 5 years, with a rank of 55 in 2017, up
from 94 in 2011. The improvement was on account of India
achieving a high rank in Innovation Linkages (37), one of the
indicators that determine the overall ‘Business Sophistication’
rank, where it performed exceptionally well in terms of
Figure 2: India’s Performance on the
Innovation Input Sub-Index
Source: Global Innovation Index, 2017;
Note: falling rank reflects better performance
Building Capacity
34. 32 | July 2017 Communiqué
University/Industry Research Collaboration (23) as well
as State of Cluster Development (26).
In terms of Infrastructure, India’s rank substantially
improved from 89 in 2011 to 73 ithis year, largely driven
by impressive performance in Gross Capital Formation,
where India achieved a rank of 12.
India also improved its rankings in terms of Market
Sophistication and Institutions, moving up 10 spots in
the rankings for both the indicators since 2013.
Innovation Output Index
The Innovation Output Sub-Index provides information
on outputs which are the results of innovative activities.
It comprises of two output pillars – Knowledge and
Technology Outputs, and Creative Outputs. Figure 3
presents India’s performance over the last five years
in terms of these two indicators.
India’s rank in terms of Knowledge and Technology
Outputs has remained fairly stable over the last five
years, with the rank changing from 37 in 2013 to 38 in
2017. The three categories which determine the overall
rank for this are Knowledge Creation (55), Knowledge
Impact (30) and Knowledge Diffusion (26).
India occupied the top rank under Information and
communication technology (ICT) services exports,
under Knowledge Diffusion, and has a high rank of
5 in the growth rate of GDP per person engaged,
under Knowledge Impact. India has also achieved
impressive ranks in the category of ICT, with a rank of
33 for Government’s online service, and 27 for online
e-participation.
On the other hand, India has the potential to do much
better in the Creative Outputs category. Although
there has been a substantial improvement from last
year’s rank of 94, India’s rank moved down from 65
in 2013 to 85 in 2017 in this category. India needs to
undertake efforts to improve its ranks in the categories
of Intangible Assets (78), Creative Goods and Services
(67) and Online Creativity (103), which determine the
overall Creative Outputs rank.
CII’s Engagement
CII works closely with Indian industry to promote
innovative technologies and establish linkages for
successful technology absorption and commercialization.
CII also works with the Government to encourage
strategic investments in emerging technologies to
facilitate an innovation ecosystem. CII has consistently
brought to the Government’s attention the need
for improving India’s ranking on the GII and the
need for creating awareness about India’s innovation
potential.
At the launch of GII 2016 in New Delhi, organized by
CII, NITI Aayog and the Department of Industrial Policy
and Promotion (DIPP), a high-level Task Force was
constituted on Innovation by the Minister of State for
Commerce and Industry, with a view to improve the
innovative ecosystem of the country.
CII, along with NITI Aayog and DIPP, also launched
the GII online portal to capture real-time data on
innovation from the Indian States, along with GII and
other indicators.
CII, NITI Aayog and DIPP, in consultation with the
World Economic Forum, WIPO, Cornell University,
OECD, and others, are working towards structuring
an India Innovation Index Framework based on GII
and certain additional India-centric parameters, to
reflect the state of India’s innovation ecosystem.
This would be a central point of reference wherein
all international agencies would be able to access
India’s data and analytics.
The Global Technology and Innovation Alliance (GITA)
is a project by CII and the Department of Science
and Technology, started in 2007-08 to stimulate
private sector investment in R&D with industrial
R&D programs in partnership with other countries.
CII also boosts R&D partnerships between industry
and academia and works on the Prime Minister’s
scholarship program which funds PhD candidates
through companies. These, and other initiatives
spearhead India’s innovation journey.
Figure 3: India’s Performance on the
Innovation Output Sub-Index
Source: Global Innovation Index, 2017
Building Capacity
36. 34 | July 2017 Communiqué
Portfolio for Excellence
Green Business
Prime Minister acknowledges IGBC
Sixteen elevated stations of the Kochi Metro Rail Ltd
have been awarded with Platinum rating under the
CII Indian Green Building Council (IGBC) Green MRTS
Rating System.
Mr Narendra Modi, Prime Minister of India, while
inaugurating the metro stations on 17 June, said, “It is
heartening to note that all the stations as well as the
Operation Control Centre of Kochi Metro have achieved
platinum rating, which is the highest certification level
given by the Indian Green Building Council.”
GreenCo Rating to Units of Indian Railways
Coinciding with World Environment Day celebrations
in Indian Railways, Mr Suresh
Prabhu, Minister of Railways,
presented GreenCo plaques
and certificates to three units
of Indian Railways at a program
in New Delhi on 5 June. The
units areTirupati workshop, Ajmer
workshop, and Integral Coach
Factory, Chennai.
As on date, CII has awarded the
GreenCo rating to 6 units of Indian
Railways.
GreenCo Summit 2017
The CII Godrej Green Business Center promotes
Green concepts and ecological sustainability in Indian
industry through the GreenCo (Green Companies) Rating
System. The GreenCo rating is a robust evaluation
process, the first-of-its-kind in the world, that rates the
environmental performance of a company on 10 broad
green parameters. At present,
over 270 companies in India, from
both manufacturing and service
sectors, are working on their
GreenCo rating, and many other
companies are in the pipeline.
The 6th
edition of the annual
GreenCo Summit, held on
22-23 June in Pune, highlighted
the latest trends, success stories,
and green journey of organizations
that have set new benchmarks in
environmental management.
Mr Suresh Prabhu, Minister of Railways, in his video
message, said economic development and environmental
protection should go hand in hand. He highlighted various
green initiatives undertaken in Indian Railways.
Investing in sustainability will go a long way in ensuring
business profitability in the long run, as energy efficiency,
water conservation and waste management are fast
becoming critical parameters of corporate performance,
said Ms Shobana Kamineni, President, CII, and Executive
Vice Chairperson, Apollo Hospitals Enterprise Ltd.
Dr RA Mashelkar, Former Director General, CSIR,
and President, The Global Research Alliance, said
compliance with environment
protection norms alone is not
enough. Instead of considering
it as an adversity, industry must
look at it as opportunity. A
proactive approach to what could
be future sustainability needs
will prove crucial to corporate
competitiveness, he said.
Mr Jamshyd N Godrej, Chairman,
CII Godrej GBC, Past President, CII,
and CMD, Godrej & Boyce Mfg. Co.
Suresh Prabhu, Minister of Railways, presenting
the GreenCo plaque to officials from Integral Coach
Factory, Chennai, at a function in New Delhi
Narendra Modi, Prime Minister of India, at the inauguration of the Kochi Metro Rail Ltd, in Kochi
37. Communiqué July 2017 | 35
Portfolio for Excellence
Ltd, said India is well-placed to participate meaningfully in
the global sustainability movement. "Industry's efforts in
sustainability will help not just them but also the society
at large," he said, adding that India's efforts in this area
will make it a leading voice in the world.
The Sustainable Development Goals (SDGs) adopted by
the United Nations cannot be achieved by government
alone.The participation of industry as well as civil society
in the process is important, stressed Mr Rene Van Berkel,
Representative, UNIDO Regional Office in India.
Environment protection is the responsibility of industry.
Going beyond compliance and ensuring continuous
improvement is the key to achieving sustainability with
profitability, observed Mr Pradeep Bhargava, Chairman,
Greenco Summit 2017, and Director, Cummins India Ltd.
Highlights
• 500+ delegates
• 50 companies, large, small and medium, and Indian
railway units awarded with GreenCo rating
• Concurrent sessions on Life Cycle Assessment (LCA)
and GreenCo SMEs
• 11 projects awarded as most innovative environmental
best practices
• 10 projects awarded as innovative environmental
best practices
• Release of 2nd
edition of the book, ‘Green Champions
of India’
• Release of GreenCo educational material
CII IGBC Amaravati Chapter
On 23 June, the CII IGBC launched its 23rd
local chapter
in Amaravati, Andhra Pradesh, to work closely with
the stakeholders to take forward the green building
movement in the State.
Carbon Footprint Study
for Meghalaya
CII, with support from the
Department of Forest and
Environment, Meghalaya, has
developed the Carbon Footprint
Report for the State. The report
was released by Ms Ampareen
Lyngdoh, Minister of Information
Technology and Communication,
Meghalaya, at a workshop in
Shillong on 28 June. The
study was carried out based
on IPCC guidelines for national
greenhouse gas (GHG) inventory.
As part of the study, CII has recommended measures
for GHG mitigation with the focus on hotspots for
GHG emissions.
Earlier, CII had prepared similar State-level carbon
footprint reports for Tamil Nadu, Odisha, West Bengal
and Andhra Pradesh.
Environmental Sustainability
A training program on environmental sustainability
for officials of Indian Railways, held on 29-30 June in
Hyderabad, had sessions on green buildings, green
companies (GreenCo), green products and GreenPro
certification, energy efficiency, and greenhouse gas
inventorization.
Congratulations!
Mr S Raghupathy, Deputy Director General, CII, was
elected Chair of the World Green Building Council’s
(WorldGBC) Asia Pacific Regional Network (APN) for a
two-year term commencing 1 July 2017. Mr Raghupathy
is already a Board Member of the WorldGBC.
The APN is a platform for 15 Green Building Councils
in the region to exchange knowledge, generate new
ideas and design solutions to speed up green building
in their own markets and across the region.
Anil Sinha, Co-Chair, GreenCo Summit 2017, and Head Quality – CV Business, Tata Motors Ltd;
Pradeep Bhargava, Chairman, Greenco Summit 2017, and Director, Cummins India Ltd;
Shobana Kamineni, President, CII, and Executive Vice Chairperson, Apollo Hospitals Enterprise Ltd;
Dr RA Mashelkar, Former Director General, CSIR, and President, The Global Research Alliance;
Jamshyd N Godrej, Chairman, CII Godrej GBC, Past President, CII, and CMD, Godrej & Boyce Mfg.
Co. Ltd, and Rene Van Berkel, UNIDO Representative of Regional Office in India
Release of Carbon Footprint Report of Meghalaya, in Shillong
39. Communiqué July 2017 | 37
Portfolio for Excellence
‘Future of Jobs: Enterprises and Livelihoods’
India needs new jobs. With around 10-12 million youth
entering the Indian job market each year, job creation
has to be at the center of all policy-making. CII has
undertaken the ‘Future of Jobs in India’ initiative to
address this dynamic trend.The highlights and outcomes
of this key initiative were emphasized in a conference on
‘Future of Jobs: Enterprises and Livelihoods’ in Mumbai
on 8 June. Experts from related fields addressed various
aspects of the jobs challenge and landscape in India,
while exploring the future scenario.
Mr Jamshyd N Godrej, Past President, CII, and CMD,
Godrej & Boyce Mfg Co Ltd, expressed concern at the
widening gap between the numbers of jobs created,
and jobs required, despite strong GDP growth during
the past few years.
Dr Rajiv Lall, Founder MD & CEO, IDFC Bank, felt that
despite the global job crunch, India may have better
success in creating new job opportunities. “It is critical
to tap the right resources and develop suitable planning
processes to ensure that new job creation meets the
requirements,” he said.
Job creation is all about the challenge of inclusive
growth globally, said Mr Arun Maira, Former Member,
Planning Commission of India.
Ms Aparna Bijapurkar, Project Leader, Boston Consulting
Group, said the immediate real challenge lies in
identifying the relevant drivers that could dramatically
boost India’s job creation potential.
A CII Report on ‘Future of Jobs: Enterprises and
Livelihoods’ was released during the Conference.
3D Applications and Printing
A workshop on 23 - 24 June in Mumbai focused on
the need to make business competitive by adopting
3D printing in various pockets in an organization. The
workshop, attended by 30 senior executives, presented
the business case for 3D printing, and discussed
prototypes, 3D printing technologies, and case studies,
to accelerate innovation within organizations.
Gold Sash Program
The 3rd
batch of the Gold Sash Program [Module I]
kicked off in Mumbai on 12 June. The program offers a
part time, one-year, intensive course on manufacturing
excellence for industry professionals, with the objective
to create a culture of collaborative excellence in
manufacturing, and to develop a bank of world-class
manufacturing leaders for the future.
Process Safety Management
The CII Center of Manufacturing Excellence, in
association with the National Safety Council, organized a
workshop on ‘Process Safety Management’ in Mumbai
on 22-23 June.
Process Safety Management is an application of
management systems to identify, understand, and
control process hazards to prevent process-related
injuries and incidents. It is a multi-faceted proactive
program to identify, evaluate and mitigate foreseen
problems, and consequently reduce their impact on
the public and the environment.
Manufacturing
Excellence
Aparna Bijapurkar, Project Leader, BCG India; Arun Maira, Former
Member, Planning Commission of India; Dr Rajiv Lall, Founder MD
and CEO, IDFC Bank; and Jamshyd N Godrej, Past President, CII,
and CMD, Godrej & Boyce Mfg Co Pvt Ltd, releasing the
CII Report on ‘Future of Jobs’ in Mumbai
Workshop on 3D Printing in Mumbai
Raghunath Medge, President, Mumbai Dabbawala Association, with
Gold Sash program participants in Mumbai
40. 38 | July 2017 Communiqué
SME Competitiveness
Energy Management
ISO 50001 Internal Auditor Certification
The international standard, ISO 50001, developed by
experts from more than 60 countries, outlines the
best energy practices globally. A two-day Energy
Management System (ISO 50001) Internal Auditor
Certification Program was conducted on 16-17 June in
Chennai to help companies implement a systematic
approach to energy efficiency.
Combining best practices in project management,
energy monitoring and energy awareness, ISO 50001
enables organizations to improve energy efficiency, and
reduce greenhouse gas emissions and other related
environmental impacts.
Energy Efficient Systems
A two-day advanced training program on Energy Efficient
Systems was conducted by experienced energy auditors,
certified by the Bureau of Energy Efficiency, Ministry
of Power, on 21-22 June, in Pune.
Energy Audit
A detailed energy audit carried out at Tiwana Oil Mills
Pvt Ltd, Village Kharori, District Fatehgarh Sahib, an ISO
9000:2008 certified company. The audit has identified
energy conservation measures to envisage an annual
energy saving potential of `85.49 lakhs. With an
investment of `56.21 lakhs, the simple pay-back period
of the investment is only 8 months.
QUALITY TOOLS
7QC Tools
Thirty-two delegates from various manufacturing
companies benefited from a training program on ‘7QC
Tools – A Way to Problem-solving’ on 21 June in
Gurugram. The program described how the 7 QC tools,
popular with quality-conscious companies throughout
the world for improvement of quality of products and
processes, use statistical techniques for problem-solving
and quality control activities, while facilitating Lean
Manufacturing.
ISO 50001 Internal Auditor Certification Program in Chennai
Training Program on Energy Efficiency in Pune
Detailed Energy Audit of Water Pumps at Tiwana Oil Mills Pvt. Ltd,
in Kharori
Training Program on 7QC Tools in Gurugram
Portfolio for Excellence
42. 40 | July 2017 Communiqué
Portfolio for Excellence
Quality
Laboratory Management & Internal Audit
Indian Industry has adopted the Total Quality
Management (TQM) approach, which requires
manufacturing companies to establish efficient and
effective control in measurement systems, including
laboratory measurement systems,
to develop products with lesser
and lesser rejection and more
acceptance by customers. Towards
this, the ISO/IEC 17025:05 sets
standards for personnel competency
and laboratory capability to be
implemented and maintained by
laboratories intending to generate
testing and/or calibration reports and
certificates acceptable by customers,
nationally and internationally.
The CII Institute of Quality (CII IQ)
organized a 4-day training program
on Laboratory Management and Internal Audit as per
ISO/IEC 17025:05 in Gurugram on 20-23 June, for
representatives of 19 organizations, to enable them
to understand the requirements of all clauses of ISO/
IEC 17025:05.
Good Manufacturing Practices – The
Toyota Way
A Study Mission of 15 participants from six companies
visited Toyota Kirloskar Motor Pvt Ltd, Bengaluru, on
21 June, to observe good manufacturing practices,
‘The Toyota Way.’ This study mission was designed to
enable the participants to understand the manufacturing
practices of the Toyota Production System (TPS) and
adopt methodologies which would help sustaining
results in today’s competitive world. The participants got
first-hand insights and experiences from the company
on TPS including Toyota Kirloskar Gurukul practices,
Gemba visit and case study presentations.
Uncertainty Measurement in Testing
and Calibration
A 2-days training program on Uncertainty Measurement
in Testing & Calibration on 12-13 June in Bengaluru
covered the basic principles of uncertainty measurement
and their specific application in various measurements.
In addition, advice on approaches for specific queries
raised by the participants was also provided.
Zero Defect through Statistical Techniques
A comprehensive workshop on ‘Producing Zero Defect
through Statistical Techniques (Implementing MSA &
SPC)’ on 27-28 June in Gurugram addressed different
statistical methods used for evaluating and analyzing
the capability of the measurement systems as well as
controlling manufacturing process variations to achieve
zero defects in mass production environment.
Best Practices in TPM, Lean and
Quality Improvement
The CII IQ TPM Club India organized a visit to four
leading Total Productive Maintenance (TPM) and Lean
practicing companies in Pune: Bajaj Ltd, Lumax Auto
Technologies Ltd, MVML, and SKF Ltd, on 15-16
June. The mission showcased each company’s best
practicing methodologies to the 33 participants from 10
organizations, and demonstrated how the TPM culture
can help organizations achieve excellence.
Improving Operating Efficiencies
The CII Institute of Quality conducted four training
programs in June to enhance the operating efficiencies
of Indian companies.
At training program on 5S Work Place Management
and Visual Management was held on 7-8 June at Ace
Designer and Bharat Electronics Ltd, Bengaluru, to
discuss the effectiveness of communication and reaction,
an important component of Lean Manufacturing. The
program highlighted the importance of 5S from a visual
management perspective, besides showing how to
implement the sustenance of 5S and the methods of
the visual control system to impress customers and
retain them.
Delegates at MVML, Pune
43. Communiqué July 2017 | 41
A 22 member mission to JCB India Ltd and Bosch Ltd
Jaipur on Good Manufacturing Systems was conducted
21-22 June. Another mission, on Good Manufacturing
Practices, visited Toyota Kirloskar Motor Pvt Ltd and
Volvo India Ltd in Bengaluru on 26-27 June, to provide
firsthand insights and experiences from the company
shop floors to 17 participants, to help them adopt
sustainable methodologies for success in today’s
competitive world.
A 2-day workshop on Global 8D – Problem Solving
Technique on 14 - 15 June in Gurugram addressed the 8
disciplines of solving major problems in the production
process. Eight participants from four organizations
benefitted from this problem-solving methodology for
product and process improvement.
Poka-Yoke Competition
The first-ever competition on Human Mistake Proofing,
(Poka-Yoke) was held on 26 June in Bengaluru with 70
teams competing in 3 different categories - Control,
Shutdown and Alarm. There were140 participants,
including 20 delegates, who took part in this prestigious
event of the CII TPM Club and benefitted from the best
practices and case studies of different manufacturing
companies in India.
Forgetfulness amongst humans leads to mistakes,
commonly termed as ‘operator carelessness/negligence’
or ‘operator inattentiveness.’The PokaYoke methodology
helps to eliminate product defects by preventing,
correcting, or drawing attention to human errors as and
when they occur. This competition was held to create
overall awareness on human mistake-proofing in shop
floor activities; share ideas and knowledge on good
methodologies and useful information, and enhance
thought processes, besides recognizing and rewarding
the best poka yoke presentations.
The winners of this competition will compete in the
For more details on CII IQ activities, please contact:
QMS: qms@cii.in
TPM Club India : ravi.joshi@cii.in
Lean Six Sigma: mamata.rai@cii.in
Champions Trophy Competition on 7 September in
Chennai.
The Winners
Category
Control Shutdown Alarm
1st
Mahindra &
Mahindra Ltd,
– Auto Division,
Zaheerabad
Mahindra Vehicle
Manufacturers
Ltd
Varroc
Engineering Pvt
Ltd, VEPL – III
2nd
Fiat India
Automobiles
Pvt Ltd
Lumax Auto
Technologies
Ltd, Chakan
Titan Company
Ltd, Watch
Case Plant
3rd
Mitsubishi Heavy
Industries-Vst
Diesel Engines
Pvt Ltd
NA NA
Winners of the 1st
Poka Yoke Competition with jury members,
in Bengaluru Training for Food Safety Supervisors
Training in food safety for personnel in the food
business covering the entire food chain is a
prerequisite for ensuring safe and hygienic food for
the end consumer. The Food Safety and Standards
Authority of India (FSSAI) recently launched the Food
Safety Training and Certification Program (FoSTaC) to
deliver food safety training programs to the target
audience, and to build capability of food safety
supervisors of food business operators across the
country. These trainings are recognized nationally. The
successful participants are awarded with the FoSTaC
certificate. The ultimate objective is to promote good
sanitary and hygienic practices as per Schedule 4
of the Food Safety Regulations through a cascaded
training methodology.
Supporting the FSSAI’s vision of having at least one
FoSTaC food safety supervisor in every food business
operation, the CII Surakshit Khadya Abhiyan (CII
SKA), as the approved Training Partner of FSSAI for
FoSTaC Manufacturing Food Safety Supervisor trainings,
launched a Food Safety Supervisors Training Program for
Food and Agriculture
Portfolio for Excellence
44. 42 | July 2017 Communiqué
Food Manufacturing Advanced (Level 2) in May. The
program is supported by Mission Health, the CSR
initiative of GSK Consumer Healthcare.
The FSSAI has identified two food safety experts from
FACE as National Level Resource Persons (NLRPs)
to help create the training package for general and
various sectors, as also tools for assessment and
certification. These NLRPs first conducted Training of
Trainers (TOT) courses in Bengaluru, Mumbai, Delhi
and Kolkata. The certified trainers are envisaged to
then cascade the training to develop certified food
safety supervisors, who would, in turn, disseminate
the learnings to the food handlers in their respective
organizations.
Subsequent to the successful kick-off of the TOT
program, the CII SKA has, in the last two months,
completed 19 training programs for food safety
supervisors for food manufacturing advanced
(level 2) across the country, reaching out to food
business operations in far-flung locations such as
Kalburgi, Kolhapur, Jalandhar, Ludhiana, and Hubli,
as well as cities like Mysore and Chandigarh. The
plan is to complete 100 training programs for the
manufacturing and midday meal sector, pan India,
during 2017-18.
Godhuli Mukerjee, Food Safety Commissioner, West Bengal,
with participants of the FoSTaC Program, in Kolkata
Srinivas Gowda, Food Safety Commissioner (Acting), Karnataka,
with participants of the FoSTaC Program, in Bengaluru
Portfolio for Excellence
45. Communiqué July 2017 | 43
Making the Pulp and Paper Sector
Water-Secure and Sustainable
Water management must be undertaken in an integrated
manner where surface and groundwater interactions are
looked at dynamically, said Mr U P Singh, Additional
Secretary and Director General, National Mission for
Clean Ganga, Ministry of Water Resources, River
Development & Ganga Rejuvenation, at the national
conference on ‘Moving towards Making Pulp and Paper
Sector Water Secure and Sustainable,’ organized by
CII on 23 June in New Delhi. Integration would build
a strong case of water security where conservation
techniques would get widely accepted, he added.
The conference highlighted that the three main drivers of
water management today are regulations, marketplace,
and droughts. Industries need to focus on source
protection and remediation, and deploy water audits,
and integrated tools such as CII’s WATSCAN to find
solutions for water management and ensure process
integration to reduce fresh water consumption in the
pulp and paper sector, it was suggested.
The pulp and paper industry is instrumental to human
development, said Dr Vandana Kumar, Joint Secretary,
Department of Industrial Policy & Promotion, Ministry
of Commerce and Industry, calling for synergistic efforts
in water conservation.
Ms RitaTandon, Director, Central Pulp & Paper Research
Institute, Saharanpur, called upon the industry to take
up innovative technologies through process optimization
and technological updates. She invited CII to help in
Water Management
skill development to enhance competitiveness and
ensure sustainability.
Mr Sanjay Singh, CEO, ITC Paper Boards and Specialty
Paper Division, urged the paper industry to apply the
WATSCAN tool developed by CII’s Center of Excellence
on Water, the CII – Triveni Water Institute, for developing
a water security road map.
Dr. Madhusudanan M, Additional Director, Central
Pollution Control Board, Ministry of Environment and
Forests and Climate Change, said the charter program
enacted by the Board in the Ganga basin, would soon
form the new national standard, once it is notified by
the Ministry of Environment and Forests.
Mr K C Naik, Member Secretary, Central Ground Water
Authority, said the body is promoting regulations, policy
reforms and governance mechanisms. Technological
innovations have a key role in reducing groundwater
exploitation, he said.
Key Takeaways
• Industry must develop synergistic efforts towards
water conservation.
• Industry must use decision support systems such as
WATSCAN for siting their plants and for developing
a water security road map for industry.
• Technological innovations should be adopted to
reduce groundwater exploitation.
• There is a need to develop water storage structures
to ensure sustainability in the pulp and paper
sector.
• Appropriate measures should be taken to ensure
water security in mill operations, adhering to
Government compliances.
• Water needs to be looked at in an integrated
manner.
K C Naik, Member, Central Ground Water Board, Ministry of Water Resources, River Development &
Ganga Rejuvenation; Dr Vandana Kumar, Joint Secretary, DIPP; Sanjay Singh, Chief Executive, ITC Ltd-
Paperboards and Specialty Papers Division; UP Singh, Additional Secretary & Director General, National
Mission on Clean Ganga, Ministry of Water Resources, River Development & Ganga Rejuvenation;
Rita Tandon, Director, Central Pulp & Paper Research Institute, and Dr Madhusudan M, Additional
Director (Scientist ‘E’) & Divisional Head, IPC –III, Agro – based industry, at the national conference on
‘Moving towards Making Pulp and Paper Sector Water Secure and Sustainable,’ in New Delhi
Portfolio for Excellence
47. Communiqué July 2017 | 45
Societal Interface
G20 Young Entrepreneur
Alliance Summit
Yi organized a delegation to the G20
Young Entrepreneur Alliance (YEA)
Summit in Berlin, Germany, on 15-16
June. The G20 YEA Summit is a forum where young
entrepreneurs, thought leaders and top entrepreneurship-
focused organizations from around the world meet
with their peers, share best practices and develop
recommendations to drive youth entrepreneurship.
These recommendations are then put forth to leaders
attending the B20 and G20 Summits, and are actioned
by G20 YEA members in their respective countries.
An active member of this alliance since its inception,
Yi has taken strong delegations to each of the annual
summits since 2011.
In Berlin, the Yi members had networking meetings
with delegations from Canada, Australia, and Germany.
Mr Carsten Lexa, G20 YEA President for Germany, said
that India and Germany have great opportunities to work
with each other, and called on the youth on both sides
to put more efforts towards this. Mr Jacob Joy, National
Chairman, Yi, and Director, J J Confectionery Pvt Ltd,
invited the German delegation to India to promote
opportunities to work together for a larger cause.
Celebrating World Environment Day
World Environment Day is the United Nation's principal
vehicle for encouraging worldwide awareness and action for
the protection of our environment. It has become a flagship
campaign for raising awareness on emerging environmental
issues, and a global platform for public outreach, with
over 143 countries
participating every
year.
Y i C h a p t e r s
celebrated World
Environment Day
on 5 June with
diverse activities.
These included an
extensive plantation
drive in Thiruvananthapuram, a bicycle rally with the
theme of ‘Say No to Sound Pollution’ in Hyderabad, and
a Radio Talk in association with Radio City 91.1 FM, in
Vadodara, with the theme of ‘Connecting
people to nature.’
Masoom Training Program
The Yi National Masoom team organized a
two-day elite training program in association
with Arpan, an NGO, to sensitize members on
the issue of child sexual abuse, and to develop
master trainers to conduct Masoom sessions
in a professional way. The training program
on 16-17 June in Mumbai was attended by
Chairs of the Masoom project from Kochi,
Chennai, Bhopal, Mumbai, Jaipur, Madurai,
Kolkata, Lucknow, and Trichy.
The sessions, made lively through the use of
questionnaires, role play and presentations, focussed
on understanding the needs of children of different
age groups, how the trauma of abuse affects the child
physically and psychologically, and how a support person
can help the child in such situations. Legal perspectives
on the issue, and on Protection of Children from Sexual
Offences (POCSO) were discussed in detail.The program
also threw light on the different schemes available to
support the child and his/her family.
Yi delegation at the G20 Young Entrepreneur Alliance (YEA) Summit in Berlin
Plantation Drive in Thiruvananthapuram
Masoom Elite training program in Mumbai
48. 46 | July 2017 Communiqué
Regional Review
Eastern RegionE
Ending Open Defecation
The Swachh Bharat Abhiyan aims to end the practice
of open defecation all over the country by 2019. CII
Jharkhand, in association with the State's Department
of Drinking Water and Sanitation, organized a conclave
on 'Open Defecation-free Swachh Jharkhand,' on
9 June in Ranchi. Mr Raghubar Das, Chief Minister
of Jharkhand, who was the chief guest, shared the
initiatives of the State Government to achieve the
target by 2018. He stressed the importance of sharing
best practices, promoting collaborative and innovative
approaches, and building synergy between industry and
the Government.
Session with Union Minister of State
for Civil Aviation
CII Jharkhand organized an interactive session with
Mr Jayant Sinha, Union Minister of State for Civil Aviation,
on Momentum Jharkhand: Building Competitiveness for
MSME and Ease of Doing Business, on 16 June in
Hazaribagh. Mr Sinha urged CII to
continue working with the State
Government for development,
and underscored the need for the
structured growth of MSMEs.
Seminar on Future Cities
The seminar on
Future Cities in
Kolkata on 30
June had the
theme of ‘Making
Cities Clean, Green
and Vibrant.’ Mr
Firhad Hakim,
Minister of Urban
Development and
Municipal Affairs,
We s t Be n g a l ,
described the Government’s plan to launch a subsidized
housing scheme for slum dwellers. Mr Debashis Sen,
Additional Chief Secretary, West Bengal & CMD, West
Bengal Housing Infrastructure Development Corporation
Ltd, shared the Government’s ‘core vision’ of embedding
human elements in the way urbanization happens in
the years to come.
Ms Rumjhum Chatterjee, Chairperson, CII Mission on
Cities, and Group MD & Head - Human
Capital, Feedback Infra Pvt Ltd, said future
cities must be built around a culture
which will attract not only job-seekers and
residents, but tourists as well. Mr Umesh
Chowdhary, Chairman, CII (ER), and Vice
Chairman & MD, Titagarh Group, stressed
the need to encourage investments through
PPP for infrastructure development.
A CII-PWC Report on Future Cities was
unveiled at the event.
Sunil Bhaskaran, Chairman, CII Jharkhand, and VP - Corporate Services, Tata Steel Ltd;
Sanjay Pattnaik, Chairman, CII (ER) CSR & Affirmative Action Sub-committee, and MD,
Tata Sponge Iron Ltd; A P Singh, Principal Secretary, Drinking Water & Sanitation, Jharkhand;
Raghubar Das, Chief Minister of Jharkhand; and Sunil Kumar Barnwal, Secretary, Industries,
Mines & Geology, Jharkhand, at the Jharkhand-Open Defecation Free Conclave, in Ranchi
Jayant Sinha, Union Minister of State for Civil Aviation, addressing
an interactive session in Hazaribagh
S C Sethi, Chairman, CII (ER)
Infrastructure Subcommittee, and
Chairman, SPML Infra Ltd;
Umesh Chowdhary, Chairman, CII (ER)
and Vice Chairman & MD, Titagarh Group;
and Firhad Hakim, Minister of Urban
Development & Municipal Affairs,
West Bengal, at the Seminar on
Future Cities, in Kolkata
49. Communiqué July 2017 | 47
Nursing Conclave 2017
The Nursing Conclave 2017 on 23 June in Kolkata
was attended by more than 300 nurses representing
hospices of all sizes. The State Government is setting
up skill laboratories for nurses, said Ms Chandrima
Bhattacharya, Minister of Health and Family Welfare,
West Bengal. Mr Sanjay Prasad, Chairman, CII (ER)
Healthcare Sub-committee, and President & CEO,
Mission of Mercy Hospital & Research Centre, said
that CII, a champion of ethical business, has come out
with a set of recommended practices for the healthcare
sector. The other key speakers included Prof Bhabatosh
Biswas, Vice Chancellor, West Bengal University of
Health Science; and Ms Latika Das, Registrar, West
Bengal Nursing Council.
Bihar Investors’ Roadshow in Mumbai
Mr Jai Kumar Singh, MIninister of Industries, Bihar, led
a high-powered delegation to Mumbai to present Bihar
as an emerging destination for investors, at a roadshow
organized by CII. The Minister also participated in one-
on-one meetings with senior executives of Hindujas,
Uber India, ICICI Bank, Axis Bank, Indian Hotels Co Ltd,
Enarr Capital, etc, to talk about the policy reforms and
‘business-friendly’ initiatives undertaken in the State.
Dr S Siddharth, Principal Secretary, Industries, Bihar,
described a few recent policy reforms that are facilitating
business. Mr Rakesh Swami, VP – Corporate Affairs
& Policy Advocacy, GE India, and Mr Shrinath Savoor,
Joint President, Strategy & Business Development,
Shree Cement Ltd, shared their rewarding experiences
of operating in Bihar, and also their expansion plans
in the State.
Financing Innovation
CII is working on a plan to launch a counseling cell for
start-ups. A session on ‘Financing Innovation’ was held in
Kolkata on 23 June, as part of the exercise to handhold,
mentor and guide prospective innovators in terms of
financing, funding, and technology. The forum engaged
nine funding/ financing agencies in pre-scheduled B2B
meetings with about 50 start-ups.
Mission to Volvo Eicher Plant
A 12-member CII Eastern Region team visited the Volvo
Eicher Commercial Vehicles Ltd plant at Pithampur, 35
km from Indore, in Madhya Pradesh, to understand the
best sustainable global practices in terms of quality
and technology, as well as waste management and
pollution control.
Roundtable on Start-Ups
CII organized a Roundtable on Start-Up Future in
Jamshedpur on 6 June to hold a brainstorming session
before CII Jharkhand submits its recommendations for
the State’s Start-up Policy.
At the Nursing Conclave in Kolkata
At the Bihar Investors' Roadshow in Mumbai
Session on Financing Innovation, in Kolkata
CII ER delegation at the Volvo Eicher Commercial Vehicles Ltd Plant
at Pithampur
Roundtable on Start-Up Future in Jharkhand, in Ranchi
regional review
51. Communiqué July 2017 | 49
regional review
Awareness Session on Sexual Harassment
at Workplace
At an awareness session on Sexual Harassment of
Women at the Workplace at Jamshedpur on 2 June,
experts explained in detail the laws which make
it mandatory for all companies – government and
private – to provide a safe working environment for
all women.
Krishi Unnati
The conference titled Krishi Unnati - Making Farming
an Attractive Livelihood Opportunity, was held on 8
June as a ‘partnership platform’ for the Government,
industry, farmers, institutions and other stakeholders
to create a roadmap to double farmers’ income in the
next five years through skill development, vocational
training, and career counseling.
Awareness Session on Sexual Harassment at Workplace
in Jamshedpur
At Krishi Unnati, in Bhubaneswar
nORTH EASTern RegionNE
North East Healthcare Conference
The CII North East Council, in association with the
Government of Manipur, organized the first-ever
Healthcare Conclave for the North East, ‘Building an
Ecosystem for Delivery of Quality Healthcare Services,’
on 16 June in Imphal.
Mr N Biren Singh, Chief Minister of Manipur, who was
the chief guest, said the new Government in Manipur
is working on a plan to transform the State into a
thriving healthcare and medical tourism hub. With
Myanmar across the border, the State’s geographical
L Jayanta Kumar Singh, Minister of Health & Family Welfare,
Manipur; N Biren Singh; Chief Minister of Manipur, and Dr R C Deka,
Chairman, CII North East Healthcare Committee, and former
Director, AIIMS, at the North East Healthcare Conference in Imphal
advantage is enormous, he said.
Mr L Jayanta Kumar Singh, Minister of Health and
Family Welfare, Manipur, said the State Government
is not only proactive and industry-friendly, but is also
committed to bringing big-ticket investments to the
healthcare sector. Shortage of doctors and paramedical
staff is an issue. The way out can be Public Private
Partnership (PPP), he said.
A CII report titled ‘Healthcare in North East India –
Challenges & Opportunities,’ was unveiled by the Chief
Minister.
Promoting ties with China
The Chinese Government is keen
to see cooperation between
businesses in the two countries
deepen and thrive, said Mr Li
Baijun, Commercial Counsellor.
Embassy of China, at an interaction
on 3 June in Guwahati.The focus of
the discussion was on sectors like
agriculture, tourism, facility building, bamboo and tea.
Mr Abhijit Barooah, Co-Chairman, CII North East
Council, and MD, Premier Cryogenics (P) Ltd, called on
Chinese companies to set up units, particularly bamboo
machinery units, in the North East.
Mr Li Baijun also visited the Amsoi Tea Estate for a
first-hand feel of tea plantations in Assam.
Session with Li Baijun, Commercial Counsellor. Embassy of China,
in Guwahati