INDIASURGING AHEAD

CONSULATE GENERAL OF INDIA FOR SOUTHEAST UNITED STATESATLANTA

INDIA : A PROFILE

• 7th largest country by area – 1. 3 million square miles

• 2nd most populous country-1.3 billion

• 29 States and 7 Union Territories

• Parliamentary form of government on the Westminster model

• World’s Largest Democracy : 840 million registered voters, 1786 PoliticalParties [ 7 national, 49 State parties ]

• Unparalleled Diversity – Multiethnic; Multilingual & Multi-cultural Society

DIVERSITY

• Every possible race and ethnicity

• 7 Great Religions – 4 originated in India

• 22 official languages, 13 different scripts, 1700+ “mother tongues”, innumerable dialects

• 8 classical dance forms

• 3rd highest number of billionaires.

• 3rd largest scientific & technical manpower

• Geography- Hottest to Coldest and Driest to Rainiest

DEMOGRAPHY

• Youngest country in the world by 2020 with nearly ½ population under 25 years

• Median age of 29 years, China & US (37 years) & 45 years (West Europe)

• Expected to have the largest workforce (65% of population) in the world by 2025

• India has the potential to have a surplus of around 47 million skilled workers,while countries across the world expected to have a shortfall of around 57million

• Largest English speaking population in the world

EDUCATION

• More than 1.5 million schools - over 260 million students enrolled

• One of the largest higher education systems enrolling over 34.6 million students.

• 799 Universities, 39071 colleges and 11923 Stand Alone Institutions

• Education market in India is expected to value around US$ 180 billion by 2020.

• India has become the second largest market for e-learning after the US. The sectoris currently pegged at US$ 2 billion and is expected to reach US$ 5.7 billion by2020.

ARMED FORCES

• 3rd largest army with 1.3 million personnel, behind US and China.

• 4th largest Air Force

• 5th largest Navy

• Nuclear Weapons State

• Annual defense spending $ 50 billion

INDIAN ECONOMYAN OVERVIEW

• World’s 3rd largest economy in PPP Terms ($ 9.5 trillion) - 2nd largest by 2050

• World's 5th largest economy in real terms ($2.5+ trillion) – 3rd largest by 2030

• World’s 2nd fastest growing large economy since 1992. Fastest since 2015

• Largest recipient of Greenfield FDI since 2015 - $62.3 billion (2016) - 9th overall

• Largest recipient of overseas remittances - $ 65 billion in 2016

• Total trade in goods and services approaching $ 1 trillion

OVERVIEW - CONTINUED

• Total foreign exchange reserves over $ 400 billion – Ranked 8th globally

• Forecast: Real GDP to grow at an average of 7.8% in 2017/18-2022/23

• Strong Consumer Demand, expanding formal economy and rising public

infrastructure spending

SIZE OF INDIAN MARKET

• Last mega market of 1.3 billion people

• Middle class estimated at almost 300 million which is likely to reach 500

million by 2030.

• Internet users crossed 450 million in June 2017 [829 million by 2021]

• Over a billion cellphone subscribers

• Around 400 million smartphone users

AUTOMOTIVE SECTOR

• Auto sector contributes 7% of India's GDP

• 25 million vehicles produced (between April 2015- March 2016)

• 3rd largest market globally with annual turnover of $145 billion in 2016

• To reach $260-$300 billion by 2026

• Auto-component turnover $ 40 billion to touch $100 billion by 2020

• National Mission for Electric Mobility – Commitment to sell only electric cars by 2030

CIVIL AVIATION

• 9th largest aviation market; expected to be 3rd largest by 2026

• World’s fastest growing domestic travel market for the 22nd time in a row, recording a26.6% year-on-year growth in January 2017.

• India has replaced Japan to become the third largest domestic aviation market globally,recording a total of 100 million domestic flyers in 2016.

• Airbus and Boeing estimate India will need 1610 and 1740 aircrafts respectively overnext 20 years

• Government to invest $ 120 billion over next decade in airport infrastructure navigationservices

ELECTRONICS

• One of the fastest growing sectors, turnover of $ 400 billion by 2020

• domestic production will be $100 billion.

• Demand supply gap of $ 300 billion

• Electronics imports 3rd highest after Crude Oil ad Gold.

• 70% of revenue from Mobile phones, Flat panel TVs, Notebooks,Desktops, digital cameras, inverters & UPS, LCD monitors, servers, MemoryCards & USB drivers , 4W EMS

RETAIL

• India has replaced China as the most promising markets for retail

expansion, supported by expanding economy, coupled with booming

consumption rates, urbanizing population and growing middle class.

• India’s retail market is $ 600 billion expected to be $ 1 trillion by 2020

• To become the world’s fastest growing e-commerce market with sales

expected to reach $ 120 billion by 2020 from $ 30 billion in 2016. By

2025, it will touch $ 220 billion (GMV) with 530 million shoppers

HEALTHCARE

• Healthcare comprises hospitals, medical devices, clinical trials, outsourcing, telemedicine,medical tourism, health insurance and medical equipment.

• The Indian healthcare sector is growing at a brisk pace due to its strengthening coverage,services and increasing expenditure by public as well private players (16.5% from 2000-20)

• The total industry size is expected to touch $160 billion by 2017 & $ 280 billion by 2020.

• Pharmaceuticals market would be $ 55 billion [6th largest]

• Medical Equipment will be $25-30 billion by 2025 [ 75% imports and 30% from US]

INFORMATION TECHNOLOGY

• India is the world's largest sourcing destination for the information technologysector, accounting for approximately 67% of the $150 billion market.

• The Indian IT sector is expected to triple its current annual revenue to reach US$350 billion by 2025.

• It already employs about 10 million people in India.

• While India's cost competitiveness in providing IT services continues to be its USP,it has gained prominence in terms of intellectual capital with most global IT firmssetting up their research innovation centers in India.

ENGINEERING R & D

• India accounted for 40% of total globalized engineering & R&D

• Indian market to reach $ 38 billion by 2020

• More than one-third of the top 1,000 global R&D spenders have centers in India.

• Around 50 % of Fortune 500 companies have more than 10% of their global headcount in India.

• 943 MNCs have set up 1208 R&D centers and workforce of 363,000 (2016)

DEFENSE

• 4th largest defense spender with $ 50.6 billion in 2015-2016

• Spending Likely to reach $ 64 billion by 2020

• 36% for capital acquisitions

• Only 25 % manufactured in India

• Focus on Make in India

STARTUPS

• India is today the third largest startup nation behind US and UK

• 4400 existing technology startups; expected to reach up to 12,000 by 2020.

• Start Up Investments $ 6 billion (2017); $ 4 billion (2016); $9billion (2015)

• 72% of the founders are 35 years and below in age.

• 10 Unicorns and at least 50 more in the future

• Flipkart, Snapdeal, OLAcabs, Paytm, Justdial, Zomato, Quikr, Shopclues, InMobi,Hike, MuSigma, RenewPower .

RENEWABLE ENERGY

• 175 GW of Renewables by 2022. 3rd Largest Solar market in the world

• 100 GW Solar Power (13.11 GW)

• 60 GW of Wind Power (32.5GW)

• Bio-power (8.29 GW) , Small Hydro(4.38 GW) and Waste to Energy

• India needs $200 billion out of which domestic investment $100 billion

• Installed 58 GW by July 2017

GOVT. OF INDIA’S FLAGSHIP INITIATIVES

• MAKE IN INDIA

• DIGITAL INDIA

• SMART CITIES MISSION

• CLEAN INDIA MISSION

• SKILL INDIA

• START UP INDIA

• NAMAMI GANGE

INDIA UNITED STATES RELATIONS

• Strategic Partnership with a global reach

• Based on shared values of freedom, democracy, pluralism and rule of law

• Mutual interests in having a rule based, open & fair internationaleconomic and political order, including free flow of global commerce.

• Common challenges of international terrorism, Climate Change, Maritime& Cyber Security etc.

• Strong people-to-people ties

INDIA UNITED STATES RELATIONS

• More than 40 government-to-government dialogues from counterterrorism

and counter-piracy to healthcare, trade and investment, maritime to

cyber-security, higher education and skill development, space and ocean

research, defense to homeland security, intelligence cooperation, clean

energy and climate change, HADR etc.

• India and US are important security partners within and beyond the Indo-

Asia-Pacific region.

INDIAN DIASPORA

• Nearly 3.5 million Indian Americans live in the US

• Highest educational attainments (Indian Americans 25 years and above- 9% Bachelor’sDegree & 44% Master’s/Ph.D/Advanced Professional: National average 31% and 11% respectively)

• Highest median household income ($89,000 which is $39000 above US median)

• 15 % of all Start-Ups in Silicon Valley

• Own 40% of all hotel rooms in the US

• Every 7th patient in US treated by an Indian origin doctor

INDIAN STUDENTS

• India is the 2nd largest source of International students in the US

• 166,000 students in 2015-2016 academic year. Likely to touch 200,000

this year. 75 % in STEM

• Grew at 25% previous year

• Contribute over $ 5 billion to the US economy

• Growing at 20-25% over last few years

TOURISM

• Over 1.2 million US tourists visited India in 2015 contributing $ 3 billion to

Indian economy.

• Over 1 million Indian tourists travelled to the US in 2015 contributing $

11.4 billion to the US economy

INDIA US DEFENSE COOPERATION

• Designated as ‘Major Defense Partner’: to facilitate technology sharing to

a level at par with US’s closest allies

• Defense Framework Agreement (renewed) in 2015, DTTI & LEMOA

• Most military exercises (over 50) with each other

• Military Training & education (bilateral and for African countries)

• Defense trade increased from $1 billion in 2008 to over $15 billion

• C-130 J, C-17, P8, Harpoon Missiles, Apache and Chinook Helicopters, M777 light howitzers etc.

DEFENSE TRADE & TECHNOLOGY INITIATIVE

• DTTI to strengthen our industrial cooperation and move away from

“buyer-seller” to a more collaborative relationship involving co-

development and co-production

• Exploring projects : Aircraft carriers; jet engines, intelligence, surveillance

& reconnaissance; chemical-biological protection; naval systems; and air

systems.

• DTTI has made possible transfer of radar, gas turbine engine, night

vision, and other technologies and facilitated cooperation on topics such

as aircraft carrier design

DEFENSE COOPERATIONCONTINUED

• US has supported India’s membership of the 4 multilateral export controlregimes – Nuclear Suppliers Group (NS), Missile Technology Control Regime ,Wassenaar Arrangement and the Australia Group

• Framework for the India US Cyber Relationship signed in June 2016 – aims atenhancing and institutionalizing broad based cooperation on cyber issues tohave an open, secure, reliable and interoperable cyberspace environment.

INDIA- US ECONOMIC RELATIONS

TRADE IN GOODS AND SERVICES (2016)

• US is India’s second largest trading Partner

• India is US’s 9th largest goods trading partner

• Total Goods and services trade is estimated at $114.8 billion

• India’s Imports from US at $42.0 billion

• India’s Exports to US at $72.8 billion.

• Total Trade deficit in favor of India $30.8 billion

• Total Trade in services was an estimated $47.2 billion.

• US Services exports $20.3 billion; US Services imports were $26.8 billion.

US EXPORTS(2016)

• India was the 18th largest goods export market for US with goods exports of $21.7billion: up 124.2% from 2006.

• Top goods exports : precious metal and stone (diamonds), machinery, optical andmedical instruments, mineral fuels and electrical machinery. Top Agricultural exports: treenuts, cotton, pulses, fresh fruit, and planting seeds.

• U.S. exports of services to India estimated at $20.3 billion in 2016; 211% greater than2006.

• Leading US services exports: travel, transport, and intellectual property (computersoftware, audio and visual related products) sectors.

US IMPORTS(2016)

• India was the 9th largest source of goods imports for US

• U.S. goods imports from India totaled $46.0 billion

• Main items: precious metal and stone (diamonds), pharmaceuticals,

mineral fuels, miscellaneous textile articles, and machinery

• Main items of agricultural products imports : spices, rice, tree nuts,

essential oils, and processed fruit & vegetables

DIRECT INVESTMENTS

• US FDI in India has grown almost 200% in decade

• U.S. FDI in India was $28.3 billion in 2015. Increased 200% over a decade

• Over 2000 US companies in India employing over a million people. Sales of

these companies amounted to $ 76.7 billion in 2014

• India's FDI in the United States was estimated at around $15 billion in 2015,

Increased over 500% since 2006

• Over 200 Indian companies in the US employing over 100,000 people across US

INDIAN IT & ITES COMPANIES

• $2 billion in direct investment 2011-2013.

• Indian IT Industry supports 410,000 jobs directly and indirectly

• Pays $22 billion in taxes

• $7 billion in Social Security contributions (2011-2015).

• Impact 120,000 + lives affected by their CSR

• 75% of Fortune 500 companies use their services

THANK YOU

Consulate General of IndiaAtlanta

5549 Glenridge Drive NESandy Springs, GA-30342

Email: cg.atlanta@mea.gov.incgoffice.atlanta@mea.gov.in