Are you ready for the facts on how much India has changed?

(Based on an article by Monika Halan, consulting editor at Mint and writer on household finance, policy and regulation)

Indian elections have just opened – so, how long does it take to find out if your name is on the Indian electoral role? Go to the Election Commission site, it asks you to SMS to check if your name is on the list—thirty seconds later, you will get a confirmation that your name is or is not there. Things move fast in modern India.

As Monika Halan writes – “Most people get their Provident Fund (PF) balance on SMS too. Also, the passport and visa processes are mostly all automated and keeps us well-informed about the progress of the process.”

So, what else works fast and well in India?

The metro network where it exists, in cities like Delhi and Kochi, is superb.

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Getting or renewing a passport used to be a total nightmare a decade back. Enter private sector plus technology and the average time it takes for the passport application process is 30 minutes to under 4 hours. The passport reaches home by courier in a couple of days. At every stage, you get an SMS informing you what will happen next.

What about getting a driving licence? At least in Delhi, the process is mostly painless—online form filling, and 30 minutes to three hours of time in the local office. The licence reaches home in just a few days – according to Monika Halan.

Property registration used to be a nightmare. But Halan says “That again is a breeze. Again, a mix of technology and processes has reduced transaction time and pain hugely.”

Payments is the other huge success story of modern India. Forgetting your wallet at home is no big deal anymore. The money is in the phone. In a wallet, on an app or available through mobile banking. Riding on the backbone built by the National Payments Corp. of India (NPCI), transaction options and ease are both world-class.

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So how long does it take you to get a Wi-fi connection? How long does it take you to open a bank account? At least in the big metros, a Wi-fi connection happens within a day. Opening a bank account takes lesser time. The average time for these services in most developed countries is much longer. In most of Europe, for instance, it takes at least a month to get both these services.

Modern India is fast. Click on “buy” at 11pm and hear the doorbell ring at 9am the next morning.

A huge shift has happened in India and even Indians have failed to notice. The mix of technology, competition and cheap labour – plus reformist governments – means modern India has some of the simplest and fastest processes in the world.

All of this in just over a decade.

Time to catch up with what is really happening in modern India?

Australian media – especially Fairfax – misrepresent modern India

India is not understood in Australia – China continues to hold our national imagination. Our myopia on India is a problem because within ten years India is tipped to become the third largest economy in the world.

Multiple cliched views of India dominate – slums (despite millions lifted out of poverty), public sector corruption (despite serious advances through use of IT) and the so-called Hindu fundamentalism of Indian Prime Minister Narendra Modi (despite four years of relative communal stability).

How does Australia get India so wrong? Our media influences our national perspective on India, and recent coverage of developments in the holy city of Varanasi (The sacred as strategy, The Age, 9 April) shows how we focus on cliché and miss the big picture. The article branded development in this city as Modi’s move to “insert religion into the centre of the political debate”.

So, what is happening in India and why should Australia care?

Four things are important for Australia – India’s investment growth, rising local consumption, over a decade of around 7% economic growth per year and governments (central and 29 states) awash with money due to the GST.

As a result, every part of this country is being transformed and demand is rising for products and services of the type Australia is good at. By contrast, our trade with India is stagnant – if not for rising numbers of Indian students, trade would be in decline. Clearly, we are missing something.

What is the real picture in Varanasi? Sure, as reported a major new promenade is being built – as much as anything to enhance the tourism appeal of this great city. Branding it as driven by a religious view is as silly as claiming tourist development around Uluru is “divisively pro-indigenous”.

But the bigger picture is far more interesting. Varanasi is just one of one hundred “smart cities” being developed across India, with new roads, freeways, cleanliness, sewage treatment, trade and convention centre, traffic management and more upgraded within five years. Located on the banks of the River Ganges, the city will also become a multi-modal river and road transport hub, supporting local industry.

Varanasi is preparing for a 25 per cent growth in tourist numbers, fuelled by a combination of India’s middle class and international visitors.

To see this as promoting “a distinctly Hindu state” displays a stubborn refusal to see the bigger picture in India. What is happening here is happening across India.

Just look at tourist numbers for the Taj Mahal, India’s best-known symbol of Muslim India rule – located in Agra, another city having infrastructure upgrades as part of the Modi Government’s Smart City program. In the last year there were approximately five million tourists, of which 4.5 million were Indians of all beliefs. This weight of numbers demands infrastructure upgrade, and the Taj Mahal and Varanasi are examples of many across the country.

Indians are becoming more interested in their own history and they can afford travel. It makes no sense to link this to some divisive religious plot.

International yoga day is another example of Indians promoting and being confident about their heritage – celebrated in countries around the world with many millions in the west now more interested in yoga. That yoga grew within Hindu India is incidental.

Australia should know how much India is changed – we have just taken our first delivery of railway carriages made in India for Sydney’s public transport upgrade. Modi’s “Make in India” program is working.

Health is improving – a new study shows that the lives of 50,000 Indian children have been saved through a measles vaccination campaign run between 2010 and 2013.

We know a lot about the generosity of Bill Gates, but Indian tech billionaire Azim Premji has just given away US$21 billion to philanthropy, becoming the biggest endowment in Asia – our region.

At a BDO “Improving Business with India” seminar last month I tongue-in-cheek explained rapid change in India by launching my “India Shopping Mall Index”. Here goes – there were 3 shopping malls in India in 1999 – just 20 years later there are over 350 malls and another 85 in the pipeline.

The Indian Finance Minister has estimated India will have a middle class of around 600 million by 2030 when it becomes number three economy in the world.

All of this is exciting news for Australia – we would know about these great changes and opportunities if we avoided the old cliched views of India. If we continue to view India though a prejudiced lens, we will see only what we look for – such as Modi and Hindu nationalism or the poverty of slums – and we will miss the great changes that offer real possibilities for us.

Within our volatile and changing region, India could become our most important friend – but right now we are looking at India with blinkers on.

Stephen Manallack is a blogger at IntoIndia.blog and former President, Australia India Business Council (Victoria)

The above article was submitted to The Age on Tuesday 9 April – not yet published.

History in the making as India begins shipping trains to Australia  

When a consignment of six metro coaches built in Baroda was shipped from Mumbai on Friday, it created history in India’s manufacturing sector.

The metro coaches, built for the Australian government, was the first of its kind India has ever exported.

The coaches, which measure 75 feet in length and weigh 46 tonnes each, were loaded in house by the Mumbai Port Trust.

Over the next two-and-a-half years, a total of 450 ‘Made in India’ metro coaches will be exported to Australia.

This is also the first of its kind export India is doing ever since the launch of ‘Make in India’, which aims at turning the country into a global manufacturing destination.

Things are changing fast in India and it is good to see it linking with Australia as it creates history.

(Thanks also to my friend and former AIBC President Rashi Kapoor for alerting me to this story)

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Pictured are “made in India” carriages for the Kochi metro system – so India is supplying for domestic demand as well as exporting

Why I am an optimist

Seeing the massive changes in India and China, it is clear that in five years they will have less pollution and better health than today.

In fact, there is a lot of good news around if you look for it in the right places.

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These reports come from my friends at FUTURE CRUNCHhttps://futurecrun.ch/goodnews

Volkswagen, the largest car manufacturer in the world, responsible for 1% of global carbon emissions, has committed to going fully carbon neutral by 2050. NYT

America has officially entered coal cost crossover. 74% of existing coal plants now cost more to operate than to replace with wind and solar. Utility Dive

Between 10th and 17th March, Germany got 72.6% of its electricity from renewable energy resources. Did someone just say “baseload power?” Renew Economy

In January 2015, at the height of ISIS’s power, 7.7 million people were estimated to live under its rule. As of last week, that number is zero. CNN

Between 2010 and 2013, India ran a measles vaccination campaign. A new study estimates that it saved the lives of about 50,000 children. Nature

This year will see almost two billion people in 50 countries vote, the largest number in history. Did someone just say “death of democracy?” Al Jazeera

Indian tech billionaire Azim Premji is giving away $21 billion to philanthropy, the fifth largest endowment in the world and the biggest in Asia. ET Tech

Clever win by animal rights activists. Australia has passed a law that prevents companies using data from animal testing for developing cosmetics. The Age

Deep in the frozen forests of Russia’s far east, the Siberian tiger is staging a quiet comeback, thanks to government-led conservation efforts. CBC

And – the above is just one of their regular fortnightly summaries.

Good news – it’s there if you look in the right places.

There are also many locations where you will find constant “bad news” – the choice of where to get your information is up to you. Below are examples of news sources committed to spreading fear and despair…

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Indian governments “awash with money” as the GST has impact

Gross Goods and Services Tax (GST) collection by the Government of India reached Rs 1.07 trillion (US$ 15.41 billion) in March 2019, registering the highest monthly collection in FY19.

This is a stunning boost to both the Central and the 29 State Governments.

We used to advise businesses wanting to enter India that they should only deal with government there “if they have to”. But things have changed. Not only do the central and the State Governments have lots of money, they are all proactive in encouraging business – and competing hard to outdo each other on ease of business and encouragement for entrepreneurs.

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So, our advice today – include governments in your list of people to talk to about doing business with India.

 

 

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India’s product and services exports to hit US$540 billion this year

Can this be true?

India’s merchandise and services export would touch USD 540-billion mark this fiscal, Indian Commerce Minister Suresh Prabhu said Thursday.

Seems the figures back it up – India was once an isolated domestic economy but is now a major global exporter.

He said exports are growing at a healthy pace and shipments of goods would reach over USD 330 billion.  Similarly, services exports would touch about USD 200 billion.

The goods exports grew by 8.85 per cent this year and the Indian economy continues to hit around 7 per cent growth annually.

Surely this is one of the world’s great economic stories.

How China and India differ in the consumer goods market

India’s share in the consumption of consumer goods is expected to double by 2030 and favourable demographics (youth) will soon take it ahead of China in regional market dynamics, according to a report by Credit Suisse.

Interestingly, in India it is the home-grown brands like watchmaker Titan, hosiery company Rupa and another watchmaker Sonata which are gaining the most out of this propensity to spend in India.

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However, India is at a comparative disadvantage vis-a-vis China because of factors like less urbanisation, high concentration of urban pockets and lower enrolments in higher education.

It said in 2015, China had 150 million more people in working age than India, while by 2045, the northern neighbour will have 300 million less people than India in the bracket.

Additionally, China will also have to grapple with ageing related issues by 2045, it said, pointing out that the Communist country will have 350 million people aged over 65 as against 200 million in India.

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It marked out the apparel and meat sectors as the ones with ‘high’ growth potential as the per capital income of the country grows, followed by beverages, cars, cereals, personal computers, smart phones and education with ‘medium’ growth potential, while healthcare, consumer credit and tourism were the ones with ‘low’ potential.

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From a consumption perspective, the Chinese prefer more of travel and entertainment-related options, it is staples that dominate the Indian story, the brokerage said.

India scores over China when it comes to spending intentions, the brokerage said, pointing out that the desire to spend is declining “more broadly” in China.

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World auto industry investing in Indian auto startups

India is attracting global investment, especially in automotive startups – global automobile manufacturers have invested around $491 million in 2018 in Indian automobile industry start-ups, led by Essel Green Mobility’s investment of $300 million into Bengaluru-based on-demand AC bus service provider Zipgo, according to market intelligence firm Venture Intelligence.

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There were 13 investments during the year. In 2018, Taiwanese two-wheeler manufacturer Kwang Yang Motor, known as Kymco, invested $65 million in Gurugram-based electric two-wheeler maker Twenty Two Motors, while auto major Mahindra and Mahindra invested $40 million in self-drive car company Zoomcar.

Toyota Tsusho Corporation, the trading arm of Toyota Group, invested around $30 million in Droom Technology, the operator of India’s largest online automobile marketplace by co-leading Series D fundraising of the company. The firms also concluded a pact on the overseas expansion of the used car and motorcycle marketplace business.

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What’s the “biggest story in the world you have not heard about”? Happening in India right now

“The biggest global story you haven’t heard about right now is India’s sanitation drive,” according to my friends at FUTURE CRUNCH. See https://futurecrun.ch/ 

Since 2014, 90 million toilets have been built, 93% of households now have access, and 500 million people have stopped defecating in the open.

This is change on a massive scale – but not such a big story for the short concentration span of the major media.

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Pictured – Indian Prime Minister Modi launches the program in 2014

The government claims that since its Swachh Bharat Mission programme started in October 2014, 500 million people have stopped defecating in the open, down from 550 million at the beginning of the programme to less than 50 million today. Over 90 million toilets have been built across rural India under the Mission. 615 districts have been declared ODF, along with 30 ODF States and Union Territories, as per the government.

“A clean India would be the best tribute India could pay to Mahatma Gandhi on his 150-birth anniversary in 2019,” said Shri Narendra Modi, Indian Prime Minister, as he launched the Swachh Bharat Mission at Rajpath in New Delhi.

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The Independent Verification Agency has presented their findings to the Expert Working Group (EWG) constituted for oversight of the survey, comprising representatives from organizations including the World Bank, UNICEF, Water Aid, Bill & Melinda Gates Foundation, India Sanitation Coalition, NITI Aayog, and Ministry of Statistics and Program Implementation.

Swachh Bharat Abhiyan or Swachh Bharat Mission is a nation-wide campaign in India for the period 2014 to 2019 that aims to provide sanitation, clean up the streets, roads and infrastructure of India’s cities, towns, and rural areas. The campaign’s official name is in Hindi and translates to “Clean India Mission” in English.

It is India’s largest cleanliness drive to date with three million government employees and students from all parts of India participating in 4,041 cities, towns, and rural areas.

Do you agree this could be the biggest story in the world today that you have not heard about?

Asia Society showing the way on “global competence” for students

We are facing massive and fast change. Industrial 4.0 (the Fourth Industrial Revolution) is beginning to impact – the technology a current student will use in their first job has probably not been invented yet. And where we work is becoming irrelevant – we will all be global.

It is therefore good to see the Asia Society and its Centre for Global Education taking such a lead on the idea of global competence – articulating the knowledge and skills students need in the 21st century.

Our universities need to move fast on this. 

According to the Asia Society, globally competent students have the knowledge and skills to:

Investigate the World

Globally competent students are aware, curious, and interested in learning about the world and how it works. MY COMMENT – curiosity is the basis for cross-cultural success, it embraces difference, is tolerant and generous.

Recognize Perspectives

Globally competent students recognize that they have a particular perspective, and that others may or may not share it. MY COMMENT – we still hear frustrated business leaders asking “why can’t they be more like us”. Recognising perspectives is the basis of acceptance – which is a reality based way to deal with difference.

Communicate Ideas

Globally competent students can effectively communicate, verbally and non-verbally, with diverse audiences. MY COMMENT – there is a huge job to train and motivate students from Asian cultures to speak up and have confidence in their ideas – once they do speak up, we will quickly learn how much value they add.

Take Action

Globally competent students have the skills and knowledge to not just learn about the world, but also to make a difference in the world. MY COMMENT – my guess is that in Industrial 4.0 many of the jobs of the future will be ones we create for ourselves – individually or in teams. This used to be called entrepreneurship but might morph into a new form.

Please share your perspectives…