Warehousing Sector Surges in India

In anticipation of the national Goods and Services Tax roll-out in July, warehousing facilities will increase by 18 percent to 132.5 million sq ft, and this sector is likely to see investments of about $700 million, according to industry experts

Delhi-NCR had the maximum warehousing stock in 2016 at 29.3 million sq ft, followed by the Mumbai Metropolitan Region, Bangalore, Pune, Chennai  Kolkata, Hyderabad, and Ahmedabad.

A warehouse

Ramesh Nair, CEO, JLL India, told BusinessLine that in 2016, the Grade A and B warehousing stock touched 111.9 million sq ft from 96.8 million sq ft in 2015, and that the GST roll out will “up-grade warehousing infrastructure.”

According to Nair, Pune and Chennai lead the way in Grade A and B warehouse rentals due to their proximity to manufacturing hubs, and local market dynamics.

 

May 30, 2017   No Comments

Apple Looks to Expand in India

India has offered to allow Apple Inc., to import mobile handset components intended for use in local manufacturing tax free; but these concessions will be subject to the condition of increasing local value addition over a period of time.

Aruna Sundararajan, Secretary at the Ministry of Electronics and IT told Reuters, “We have offered them tax exemptions on those components which could not be manufactured in India.” She added that Apple will need to increase the local manufacturing component gradually in phases of 3, 5, 7, and 10 years as the local capacity builds up.

In mid-May, Apple‘s OEM partner, Wistron, started assembling the iPhone SE in Bangalore, India, in order to lower the price point and make it more affordable to Indian consumers.

Ravi Shankar Prasad, the federal minister for Electronics and IT said that Apple had approached the Indian government to expand Wistron’s facilities in Bangalore, and that government officials were in touch with Apple for expanding the facility and setting up new plants.

apple-ipad_1

May 26, 2017   No Comments

India’s Infosys to Set Up Tech Center in Indiana

Bangalore, India-based information technology company Infosys announced that it will establish a central Indiana tech center, the first of four facilities it plans to launch as part of a broader expansion in the United States that is projected to create 10,000 jobs over the next two to four years.

Vishal Sikka, CEO of Infosys joined Republican Governor Eric J. Holcomb to announce an $8.7 million investment to lease and equip office space in the Indianapolis area that will accommodate 2,000 new workers by the end of 2021, reports abc News.

Indiana Gov Holcomb

Indiana Gov. Holcomb

Speaking on the occasion, Governor Holcomb said, “Indiana continues to put the tools in place, such as the Next Level Trust Fund and incentivizing direct flights, that allows us to attract and retain great companies like Infosys. In addition, our higher education institutions are producing a world class workforce, establishing Indiana as the innovation hub of the Midwest. I look forward to working with Infosys to elevate Indiana to the next level.”

 

May 14, 2017   No Comments

In India, Montblanc’s Luxury Goods Looking Up

European luxury firm Maison Montblanc, which has a joint venture with India’s Bangalore-based Titan, is looking at a turnover of $100 million  over the next four years. The joint venture currently has seven boutique stores, and Titan’s managing director Bhaskar Bhat said, “We have a plan for about 25 stores under the joint venture … which is a five year journey plan, but we believe we can do it faster.”

Titan Logo

Business Standard reports that the boutiques will sell writing instruments, watches, men’s accessories and leather goods. “Large cities are our primary thrust for stores. We will explore some online [business] because the non-metro customer certainly has an allure of MontBlanc. We are not considering physical stores in non-metros right now,” Bhat added.

 

May 9, 2017   No Comments

What Technology Innovations is India Working at?

In his article in Fortune on whether India can become an innovation hub for the world, journalist Ashish Gupta explores India’s capability in cutting-edge technology and disruptive innovation.

In his search for answers, Gupta talks to many stalwarts in the field of innovation: Vijay Govindarajan, Coxe Distinguished Professor at Dartmouth, Marvin Bower Fellow at Harvard Business School, Lakshmi Pratury, founder, host and curator of INK Talks, and Brock Pierce, serial entrepreneur, digital currency visionary, and chairman of the U.S.-based Bitcoin Foundation.

Bower tells him, “The time for incremental change is over; it is time for non-linear, breakthrough innovations, not just for solving the country’s [India’s] complex problems, but also for creating a far more equitable and inclusive society.” Pratury, says, it’s time for India to take some ‘exponential risks’.

Pierce identifies AI as the greatest innovation of our time, and says that perhaps it will define the future of Indian innovation. Sanjeev Tyagi, founder and head of research at Ericsson’s Bangalore research and development center, confirmed to Gupta that his team of researchers are at work on cloud computing, machine learning, and IoT where a group of passengers and a fleet of buses are part of a study that uses data, apply machine learning and machine intelligence to optimize bus routes. Ericsson and Intel are looking into the ability to scale computer/network/storage independently of each other. Tyagi adds that for the interconnected world of the future, we need to “create a system that uses machine learning and IoT for self-learning [learning from the past], self-healing [the ability to find solutions when something goes wrong], and self-organizing, so it can allow new devices to become a part of the system.”

Sriram Raghavan, director of IBM’s research center in Bangalore, says his team is working in the areas of IoT and cognitive computing, IoT and blockchain technology, AI and blockchain technology to create new applications and provide different services to global clients such as Bank of America Merrill Lynch, and Mahindra and Mahindra in India.

India’s HCL Technologies has developed two mission-critical systems for the new Boeing 787 Dreamliner: one to avoid collisions in the air, and another to facilitate landing in zero visibility.

Mumbai-based Tata Consulting Services is investing deeply in high-potential areas such as genomics; metagenomics; integrated computational materials engineering for building stronger, lighter metals; robotics and automation; as also in human-centric systems.

Fortune says: All these are applications of existing technology. Clearly, this is going to be how innovations happen in this country, where the technology may not be original, but the use of it is.

 

Innovation Poster

May 4, 2017   No Comments