Sectors

Key focus areas include :

• Joint ventures
• Blockchain
• Cybersecurity
• Fintech start ups

Opportunities in India

In 2016–17, Australia exported $54 million in financial and insurance services to India and imported $31 million. The biggest opportunities in financial services will be in joint ventures and investment rather than exports. India is attuned to the need to develop a better understanding of blockchain if the technology is to be used for economic modernisation. Another important issue is around Financial services organisations facing some of the most challenging threats to their cybersecurity as the convenience of modern consumer banking – including ATMs, point-of-sale systems and mobile banking. Cybercrimes have vastly increased the number of endpoints that need to be protected. There is opportunities to provide support for Australian fintech start-ups to establish themselves in India.

India’s urban populations will grow substantially out to 2035. Without significant investment, India’s urban infrastructure gap will continue to widen. India has major, nationwide programs underway and an appetite for investment and expertise. Key focus areas include :

• Urban water supply
• Affordable housing
• Waste
• Transport and Road safety

Opportunities in India

No Indian city receives piped water 24 hours a day, seven days a week. 47 % of households have individual water connections Average duration of water supply in urban areas is one to six hours per day Around 40 % of available water in India is unusable for any purpose. There are 65 million slum dwellers in India according to 2011 census data and at current rates 38 million urban housing units will be needed by 2030. Waste collection services cover 70–90 % of needs in major cities, but less than 50 % t in smaller cities less than 30 % of solid waste is segregated. Additionally, although India has about 1 % of the world’s vehicles it accounts for more than 10 % of global road fatalities. In essence , improved water resource management, waste management services and Intelligent transport systems for Road safety are required to set forth urban development.

India is seen as a pioneer in making significant advances with relatively low funding levels. Investments in Science and Innovation will be crucial for India to sustain its economic growth through to 2035. Currently, several world -standard technology clusters and start -up ecosystems exists in India. Science and innovation will be crucial to India maintaining its economic growth out to 2035. Despite relatively low funding levels, India is making significant advances. It benefits from a large talent pool and several world-standard technology clusters and start-up ecosystems.

Opportunity in India

In 2015, the spend was 0.9 % of GDP, compared to 1.9 per cent in China, 2.7 % in the United States and 0.6 % in Australia but despite relatively low funding, India performs well on innovation relative to its GDP per capita. India has become a global research and development hub for sophisticated sectors like network equipment, medical equipment, aerospace, automotive, biotechnology and computation.
India has 25 innovation centres and has been ranked as the top innovation destination in Asia.

In 2017, India ranked 60 on the Global Innovation Index, up from 81 in 2015, driven by increased investment from private institutions and improvements in the capture and use of data – the 2017 Global Innovation Index ranked India second for innovation quality for middle income countries.

Close to 800 leading companies from around the world have set up research and development centres in India – Google Capital (a venture capital fund financed by Alphabet Inc) has announced it will establish its first office outside the United States in India – in 2015 Rio Tinto established its big data Analytics Excellence Centre in Pune .The research ecosystem in India presents a significant opportunity for multinational corporations across the globe due to access to technical talent , low wages , proximity to regional markets. India has a vibrant entrepreneurial scene that is producing numerous affordable innovations.

Out to 2035, India’s increasing urbanisation, rising household incomes and industrial activity will drive demand for greater volumes of key Australian resource commodities. Australian resource exports to India, particularly metallurgical coal, but also copper and gold, will continue to make up the bulk of our merchandise trade. India is one of the most important future markets for Australian METS companies. As India grows and seeks to modernise its mining sector, METS will increase across the board. Australian METS companies have a competitive edge, particularly in the coal value chain and beneficiation.

Key focus areas include :

• Metallurgical coal
• Iron Ore
• Copper
• Gold

Opportunity in India

A number of Australian METS companies have an established local presence, or use a local partner, in India. This investment, while modest in overall dollar terms, has the potential to grow and create Australian company clusters . To an extent, this is already taking place in Kolkata (West Bengal), a regional hub for METS and a gateway to the mineral-rich states of Jharkhand, Chhattisgarh and Odisha.

India’s National Steel Policy 2017 sets a highly aspirational steel consumption target of 255 million tonnes per annum by 2030 (India’s crude steel production is currently around 100 million tonnes). This would require around 196.4 million tonnes of metallurgical coal per annum – an expected growth in demand of 4–5 % per annum from 2016 to 2030. By 2030, over 90 % of India’s metallurgical coal demand is expected to be met by imports.

Indian demand for copper is being driven by urbanisation, increased rollout of electrical transmission networks, and the manufacturing sector. India has limited copper ore reserves, constituting just 2 % globally, and imports around 95 % of its copper requirements as concentrates.

Opportunity In India

India has set a target of producing 28 million tonnes of pulses by 2025 under its ‘Pulse Program’ but even if this is achieved India might need to import 5–10 million tonnes. Australia could potentially export 4 million tonnes by 2035.India’s textile industry (currently worth USD108 billion) is the second largest employer after agriculture, especially for women.India is the largest milk producing country in the world, with production of 156 million tonnes in 2015–16. Demand for milk is growing at an average 7 % per annum while milk production is growing at 4 % with strong demand for value-added milk products.

Opportunity in India

India is one of the world’s fastest growing outbound travel markets In 2017, 23 million Indians travelled overseas, with this figure expected to approach 70 million by 2035. Growth in India’s outbound tourism market is driven by , rising personal income levels and changing lifestyles for the burgeoning consumer classes , affordable airfares and diverse travel packages , India’s 30 million strong diaspora and international student base which serves as a pull factor for those visiting friends and relatives. Technology-led travel research and booking platforms are increasingly accessible to the average Indian consumer .