India Business Newsletter (August 01

India Business Newsletter

August 01 - August 31, 2022

Greetings from Consulate General of India,

New York!

Welcome to the August 2022 edition of our newsletter, bringing you important policy and high-impact news.

We hope you find it useful.

A Forum for Indian Businesses in North East USA

(Covering: Connecticut, Maine, Massachusetts, New Hampshire,

New Jersey, New York, Ohio, Pennsylvania, Rhode Island and Vermont)

India's Q1FY23 GDP growth expected at 15.7% with possibility of upward bias: SBI Ecowrap

India's GDP is expected to be much higher in Q1FY23 and growth is expected around 15.7 per cent with a large possibility of an upward bias because several indicators have shown good progress in the Indian economy, as per the latest SBI Eco-wrap report. The progress in the economy is seen despite global spillovers, elevated inflation and some slackening of external demand as geopolitical developments take their toll on world trade.

US and India are key partners, says Ambassador Taranjit Sandhu in his Independence Day Address

The United States will be a key partner in the journey of India in the next 25 years as the country aspires to ascend to new heights of prosperity, India's Ambassador to the US Taranjit Singh Sandhu said. He said The India-US partnership has become one of the most consequential relationships for both the countries and for the world.

Goverment issues consolidated overseas investment rules to promote ease of doing business

In a bid to promote ease of doing business, the finance ministry notified the consolidated rules for overseas investment by Indian entities. The Foreign Exchange Management (Overseas Investment) Rules, 2022 will subsume extant regulations pertaining to Overseas Investments and Acquisition and Transfer of Immovable Property Outside India Regulations, 2015. A person resident in India may make overseas investment in an IFSC in India within the limits, a gazette notification issued by the finance ministry said. Clarity on Overseas Direct Investment and Overseas Portfolio Investment has been brought in and various overseas investment related transactions that were earlier under approval route are now under automatic route, significantly enhancing ‘ease of doing business’ it said.

US demand to lift India’s lab-made diamond exports to $8 Billion

India, which cuts or polishes about 90% of the diamonds sold in the world, is ramping up sales of laboratory-made gems as demand from the US surges and they become more accepted in other markets. Exports of polished lab-grown diamonds may double in the current financial year started April 1 from $1.3 billion in the prior year, Vipul Shah, vice chairman of the Gem & Jewellery Export Promotion Council, said in an interview. “We have a huge potential to grow exports to $7 billion-$8 billion in the next few years on the back of US demand and acceptability in the UK and Australia," he said.

India in advanced stage of talks with US for procuring MQ-9B drones

India is in an "advanced stage" of negotiations with the US to procure 30 MQ-9B Predator armed drones for over USD 3 billion to crank up its surveillance apparatus along the frontier with China as well as in the Indian Ocean region, people familiar with the developments said on Sunday.

Ahead of 5G roll out in India, PM Modi makes big announcement about 6G launch

PM Modi said that the nation is prepping to launch the 6G services by the end of this decade. The announcement was made during the Smart India Hackathon 2022 event. Making an announcement about the 6G network, PM Modi said during the Grand Finale of Smart India Hackathon 2022,”We are preparing to launch 6G by the end of this decade. The government is encouraging Indian solutions in gaming and entertainment.”

The world sees India as an engine of economic growth: Piyush Goyal

Union Minister for Commerce and Industry, Consumer Affairs, Food and Public Distribution and Textiles, Piyush Goyal said that the world now sees India as an engine of economic growth. Shri Goyal said that developed countries are very keen to sign trade deals with India now. Stressing upon the need for transparency and ease of doing business, the Minister assured traders and entrepreneurs that the Government will fully support traders who raise their voice against harassment by any authority. He called upon traders to work with the Government to reduce compliance burden of people and businesses, but asked that they strictly follow ethical trade practices. Unnecessary, cumbersome and counter-productive laws and regulations must be uprooted to improve ease of doing business, he added.

India to be the fastest-growing Asian economy in FY23: Morgan Stanley

India is likely to be the fastest-growing Asian economy in the Asian region in 2022-23, according to analysts at Morgan Stanley, who expect India’s gross domestic product (GDP) growth to average 7 per cent during this period – the strongest among the largest economies – and contributing 28 per cent and 22 per cent to Asian and global growth, respectively. The Indian economy, they said, is set for its best run in over a decade, as pent-up demand is being unleash

India Pavilion at NY Now from 14^th August to 17^th August at Jacob K. Javits Center, New York, USA, 2022

Consul General inaugurated the Indian Pavilion organized by PHD Chamber of Commerce and Industry (PHDCCI), Wool and Woolen Export Promotion Council ( WWEPC) and Export Promotion Council for Handicrafts (EPCH) held at Jacob Javits Center on 14^th August, 2022. NY Now was a B2B exhibition for wholesale products and innovative designs and showcased the best of Indian handicrafts, design-driven products- across home , lifestyle, handmade and gift products. NY Now was a production- sourcing venue for overseas artisan enterprises to showcase their products and production capabilities at export terms from the country of origin. Live demonstration of craft making was also organized during the NY Now at the India Pavilion.

13th India week New York, - Diamond Dealer Club , Participation of GJEPC (August 15-18, 2022)

Consul General, Mr. Randhir Jaiswal, along with Consul (Trade) attended the 13th India Week New York along with Consul (Trade), organized by the Gem & Jewelry Export Promotion Council (GJEPC) in association with Diamond Dealers Club (DDC) on 16th August, 2022. The flagship event was held exclusively for loose diamond, colored gemstones and Lab Grown diamonds providing a platform for the Indian diamantaires in USA to fortify the business relationship at one of the largest buying hub of diamonds and promoting networking between major diamond wholesalers/ manufacturers from New York and India; diamond dealers who are the members of DDC and trade diamonds NY and buyers from other states.

BMM Convention with Indian Companies in Atlantic City Convention Center, New Jersey, August 12, 2022

Consul General Mr. Randhir Jaiswal inaugurated the Brihan Maharashtra Mandal (BMM) Business Summit and Conference in association with Choose New Jersey and Maharashtra Chamber of Commerce (MACCIA) organized by Mr Navin Pathak, Chief Operating Officer of Entry India, LLC., USA., on 12th August, 2022 promoting US – India Business and Trade. A delegation of over 50 Indian companies participated in this event. Consul General spoke about India’s transformative growth and reforms. The goal of this conference was to establish a Memorandum of Understanding between Choose NJ and MACCIA for supporting cross-border business and trade between the two states and inviting Choose NJ officials with a delegation of New Jersey companies to Mumbai for “ Maharashtra International Trade Expo’ to be held from 2nd till 11th December, 2022. The MOU was signed on 11th August, 2022. The meeting was primarily held between Mr. Wesley Mathews, CEO at Choose NJ and Mr. Lalit Gandhi, President of MACCIA.

ODOP Float in India Day Parade in Manhattan

Continuing the pitching for ODOP items, the Consulate participated in India Day Parade, one of the largest Indian American events in the United States, on 21^st August in Manhattan, New York with ‘One District One Product’ float. It displayed products from districts/states across India. Some of these products include saffron and pashmina shawl from J&K, blue pottery from Rajasthan, woodwork from Uttar Pradesh, Temi Tea and organic turmeric from Sikkim, Araku Valley Coffee from Andhra Pradesh, and millet pasta and buttermilk from Gujarat. Some of the holistic health, ayurvedic and nature-based wellness products were also showcased at the parade venue. Consulate’s ODOP float generated excitement amongst the visitors who were eager to learn more about the products and ways to procure them here in USA.