TROPER TIMMUS

Cementing Bonds:

11-12 February 2011 – Hotel The Lalit, New Delhi

7th Indo-US Economic Summit

thThe Indo American Chamber of Commerce organized its Cementing Bonds : 7 Indo-US Economic

Summit on 11-12 February 2011 at Hotel The Lalit, New Delhi

The Conference Partner for the Summit was Services Export Promotion Council and Govt of Punjab was

the Partner State. Grant Thornton was the Knowledge Partner.

The Supporting organizations during summit were Federation of Indian Micro and Small & Medium

Enterprises, Indian Industries Association and SME Chamber of India.

Mr Montek Singh Ahluwalia, Deputy Chairman, Planning Commission, GOI inaugurated the Summit.

Mr. Donald Lu, Deputy Chief of Mission, US Embassy; Dr Naresh Trehan, Chairman & Managing

Director, Medanta – The Medicity delivered the Special Address.

Mr Gautam Mahajan, President, IACC delivered the Welcome Address. Mr. Lalit Bhasin, Summit

Chairman made a Theme Presentation and Mr. Atul Sharma, Regional President, and Managing Partner,

Link Legal proposed the Vote of Thanks.

Mr Virbhadra Singh, Hon'ble Minister for Micro, Small and Medium Enterprises, GOI was the Chief

Guest during the session on SMEs.

Mr Subodh C Agarwal, Chief Secretary, Govt of Punjab addressed during the session on Partner State.

Ms Vibha Puri Das, Secretary, Department of Human Resource Development was the Keynote Speaker

during the session on Education.

The summit was addressed by 53 speakers and panelists representing policy makers, industry leaders &

subject matter experts.

A group of 14 member's delegation from Franklin County Columbus Mission also participated in the two

day summit.

Over 150 participants attended the summit. The summit focused on the following:

• Empowering SMEs

• Indo-US Financial & Economic Partnership

• Partner State : Punjab

• Corporate Liability

• Entertainment

• Education

• R & D

• Hospitality

• Health & Medical

The summit was widely covered by both electronic and print media.

The Summit was led by Mr. Lalit Bhasin, Summit Chairman and Mr S K Mitra, Summit Co-Chairman and

National Executive Vice President, IACC and Director, Avigo Capital Partners; Mr Pradeep Gupta,

Summit Co-Chairman and Chairman, Cyber Media Group assisted by a Committee Members consisting

of Mr Gautam Mahajan, National President, IACC & President, Customer Value and Foundation Inter-

Link; Mr Shourya Mandal, Executive Vice President, IACC and Partner Fox Mandal; Mr Atul Sharma,

Regional President, NIC and Managing Partner, Link Legal; Mr Vasant Kini, Regional President, SIC &

Managing Director, Titanium Industries India Pvt Ltd; Mr Vasant Subhramanyan, Regional President, EIC

& Director & CEO, Last Peak Data Pvt Ltd and Mr Pradeep Udhas , Regional President, WIC & Executive

Director, KPMG

Grant Thornton was the Knowledge Partner for the Summit.

Services Export Promotion Council was the Conference Partner

Govt of Punjab was the Partner State.

Federation of Indian Micro and Small & Medium Enterprises, Indian Industries Association and SME

Chamber of India were the supporting organizations.

A group of 14 member's delegation from Franklin County Columbus Mission was present during the two

day summit.

The Summit brought together Indian and US Corporate leaders, eminent personalities, financial experts

and policy makers to exchange ideas on some of the important sectors.

During the Summit held on 11– 12 February 2011, following speakers addressed the summit:

th11 February 2011

Summit Committee

Knowledge Partner

Conference Partner

Partner State

Supporting Organizations

Delegation

0405

Inaugural Session

Empowering SMEs-Integrating SMEs into Global Supply Chain

Welcome Address

Mr Gautam Mahajan, National President, IACC & President, Customer Value Foundation

Theme Presentation

Mr. Lalit Bhasin, Summit Chairman & President, Society of Indian Law Firms

Address by

Dr Naresh Trehan, Chairman and Managing Director, Medanta – The Medicity

Address by

Mr Donald Lu, Deputy Chief of Mission, US Embassy

Addresses by the Chief Guest

Mr Montek Singh Ahluwalia, Deputy Chairman, Planning Commission, GOI

Vote of Thanks

Mr Atul Sharma, Regional President, IACC & Managing Partner, Link Legal

Chairman – Mr. N V Srinivasan, Branch Chairman, IACC – Tamil Nadu & CEO, NVS & Associates &

Director, NVS MACS

Economic Incentives of doing business in US for SME's

Mr Michael E Zatezalo, Managing Partner, Kegler Brown Hill & Ritter Co

Progressive re-orientation of SME sector in India

Mr Anil Bhardwaj, Secretary General, Federation of Indian Micro and Small & Medium Enterprises

(FISME)

Integrating SME's Global supply chain – Auto components sector

Mr Uday K Mishra, Vice President (ADD and Materials – CVBU), Tata Motors

Integrating Indian service sector in the US supply chain & vice-versa

Mr Ashish Hastak, Vice President & National Head, Data Business (SMB / SME), Airtel

Partnering and empowering SMEs for accelerated business growth - ICICI Bank experience

Mr. Kumar Ashish, General Manager, Retail Business Head – North, ICICI Bank Ltd

The changing Global supply chain – A US perspective for SME's

Mr Kenny McDonald, CEO, Columbus 2020

Keynote Address

Mr Virbhadra Singh, Hon'ble Minister, Ministry of Micro, Small and Medium Enterprises, GOI

Chairman & Summit Co-Chairman - Mr S K Mitra, National Vice President, IACC & Director, Avigo

Capital Partners

Mr. Pradeep Udhas, Executive Director, KPMG

Mr Raj Kumar Agarwal, Partner – AAS & North India Operations, Haribhakti & CO

Ms Roopa Purushothaman, Head of Research, Everstone Investment Advisors Pvt Limited

Mr G V Subramanayam

Introduction

Mr Gautam Mahajan, President, Indo-American Chamber of Commerce

Welcome Address

Mr R K Verma, IAS, Secretary, Local Govt. & Managing Director, Punjab Infotech

Opening Remarks

Shri Subodh C Agrawal, Chief Secretary, Govt of Punjab

Presentation on Investment Opportunities in Punjab

Mr R K Verma, IAS, Secretary, Local Govt. & Managing Director, Punjab Infotech

Address by

Dr S S Channy, IAS, Principal Secretary, Industries & Commerce, Govt of Punjab

Mr Suresh Kumar, IAS, Principal Secretary, Department of Technical Education, Govt of Punjab

Presentation on Success stories of Punjab

Mr Sarvjit Singh

Closing Remarks by

Mr S C Agrawal, IAS, Chief Secretary, Govt of Punjab

Chairman - Mr Atul Sharma, Regional President, IACC & Managing Partner, Link Legal

Mr Lalit Bhasin, Managing Partner, Bhasin & Co

Mr Neeraj "Neil" Verma, Attorney Greenberg Traurig LLP, Houston, Texas

Mr Sushant Sarin, National Head - Liability Lines, Tata AIG General Insurance Company Limited

Indo-US Financial & Economic Partnership: Critical Infrastructure

Projects-Finance, Execution, Quality, Speed

Partner State: State of Punjab

Corporate Liability on man-made disaster: Liability, Mitigation, Disaster

Management

0607

Corporate Liability on Man disaster

Ms Shantha Raman, Sr Associate, Maheswari & Co, Advocate & Legal Consultants

Chairman - Mr. Anand Desai, Managing Partner, DSK Legal

Bollywood-Hollywood Collaboration

Mr. Rajiv P Dalal, Managing Director, Motion Picture Dist. Association (India) (P) Ltd

Cross border film-making challenges from an Indian viewpoint

Mr Sandeep Marwah, Chairman & Managing Director, Marwah Productions

Piracy in Entertainment -- India's Perspective

Mr T C James, Director – NIPO Consultant, FICCI

Regulation of Content and Censorship – TV, film

Ms Aslesha Gowariker, Partner, Desai & Diwanji, Regional Vice President, WIC

Address by

Mr Arvind Kumar, Joint Secretary, Ministry of Information and Broadcasting

th12 February 2011

Chairperson - Dr Kavita A Sharma, Chairperson, IACC Indo-US Education Forum & Director, India

International Centre

Keynote Address

Ms Vibha Puri Das, Secretary – Higher Education, Ministry of Human Resource Development, GOI

Partnering in Higher & Technical Education

Ms. Randy L. Allen, Associate Dean for International and Corporate Relations Samuel Curtis Johnson

Graduate School of Management, Cornell University

Wholly owned subsidiary of Illinois Institute of Technology Chicago

Mr D Rajagopalan, Director – Operations, Illinois Institute of Technology (India) Pvt Ltd

Successful Partnership

Ms. Savita Mahajan, Deputy Dean and CEO, Mohali Campus Indian School of Business, Hyderabad

Education on Partnering in Higher & Technical Education

Ms Vibha Sharma, Director, Office of U.S.-India Higher Education Cooperation, United States - India

Educational Foundation (USIEF)

Mr Atul Sharma, Managing Partner, Link Legal

Entertainment – Jai Ho! Enhancing Relationship

Education - Partnering in Higher & Technical Education

Making India a Global R&D Hub: Success Stories

Hospitality: Bonding Indo-US ties

Health & Medical -Capacity Building for Growing Healthcare Industry:

Trade Opportunities for Indo-US Partnership

Summing up

Chairman - Mr Pradeep Gupta, Chairman, CyberMedia Group

Reverse Innovations from Emerging Marketing – Innovating for India and Beyond

Dr. Viswanath Poosala, Head of Bell labs - India, Alcatel Lucent

Mr. I Vijaya Kumar, CTO, Wipro

Making India a Global R & D Hub

Prof Balakrishnan, Dy Director (Faculty) & Professor, CSE, IIT Delhi

Applied R & D – success & challenges

Mr Shalendra Porwal, Managing Director and CEO, Battelle India

Overview on SEPC

Mr. Rajesh Sharma, Director General, Services Export Promotion Council

Address by

Ms Jyotsna Suri, Chairperson & Managing Director, Bharat Hotels

Keynote Address

Mr. Sanjay Kothari, Addl Secretary, Dept of Tourism

Chairman - Dr Pervez Ahmed, CEO & Managing Director, Max Healthcare Institute Ltd

Capacity Building for Growth Healthcare Industry : Trade Opportunities for Indo-US partnership

Mr Siddhartha Nigam, Partner, M & A, Grant Thornton

Skill Development (Education & Training)

Dr Shubnum Singh, Vice President, Medical Affairs and Founder Member , Max Healthcare Institute

Ltd

Emerging Opportunities in Indian Healthcare

Dr Rana Mehta, Sr. Vice President, Technopak

Opportunities & Challenges for the diagnostic services in India

Dr Aparna Jha AhHuja, Lab Director, Clinical Reference Lab, Super Religare Laboratories

Capacity building for growing healthcare industry

Dr Ravi Gupta, Editor in Chief, e-Health

Mr. Lalit Bhasin, Summit Chairman & President, Society of Indian Law Firms

0809

Inaugural Session

With the objective of redefining the bilateral understanding between India and USA, the inaugural session set the tone for the summit, with eminent personalities engaging in thought provoking discussions over a number of aspects relating to the economic makeup of the two countries.

Mr. R K Chopra, moderator for the session, briefly described the goals of IACC, as to act as a catalyst in two way trade between India and USA. He talked about the improvement in ties amongst the countries and stated that India had been raised to the A2 level of strategic alliance by USA.

Following him, Mr Gautam Mahajan, President, IACC, talked about the growth in prominence of IACC, with the establishment of a region in USA, its fifth region overall. He also mentioned of some of the initiatives from IACC in the coming year, one of them being the formation of an Indo-US think-tank, having a long term orientation and think about issues relating to India and USA over the next 20-30 years.

Mr Lalit Bhasin, Summit Chairman and Managing Partner, Bhasin& Co., took to the stage next and added a humorous touch to the proceedings, by describing the stance of the nations as that of asking each other “Will you be my valentine?”, the summit taking place so close to the Valentine's Day. Drawing on his vast experience in the legal domain, he talked about India and USA possessing the two largest bars in the world, with more than 1 million lawyers, and also of the growing proximity between the two nations.

As the most anticipated speaker of the session, Deputy Chairman of the Planning Commission, Mr Montek Singh Ahluwalia succeeded Mr Bhasin, and chose to engage in an interactive dialogue with all present. He began by mentioning that the visit by the US President was a successful one and that it had established a broad framework for economic cooperation between the two countries, and thus that one can expect significant expansion in Indo-US economic cooperation. He was appreciative of the efforts taken by the Chamber for promotion of the interests of SMEs, because of their significance, and talked about SMEs being the biggest provider of employment, providing more employment per unit of capital than large scale firms. He also mentioned about the use of Facebook by the Government for inviting inputs on the Twelfth Plan, thus bringing about an unprecedented level of public engagement in the planning mechanism. On being asked about the lessons that the two countries could learn from each other, he chose to answer on the India front by saying that India could adopt the best practices from not just USA, but all over the world, while leaving it to the US representative Mr Donald Lu to answer the question from the American perspective.

Dr Naresh Trehan, CMD of Medanta, continued the session, and based on his vast experience in the medical and healthcare sector, provided his insights on the same. He talked about the lower than desired levels of healthcare facilities available to the residents of both India and USA, and of the high cost involved in accessing quality healthcare. To highlight this, he mentioned that the cost of providing for healthcare for a family of four in USA is as high as 25% of their income, and that this also inhibits SMEs in hiring as they have to provide for healthcare in compensation packages. He proposed formulation of a policy to treat only specific ailments on a personalized basis, while drawing a list of general ailments that can be treated in hospitals, as a way to reduce costs.

Highlights of the Proceedings

Mr Donald Lu, Deputy Chief of Mission of US Embassy, gave a perfect conclusion to the session, by using the metaphor of preparing cement. He said the three rules for making cement- patience, use of good ingredients, and right craftsmanship, were also applicable the efforts for enhancement of ties between USA and India. While talking of the tripling of the Indo-US trade, the strength of this relationship was brought out by him, when he mentioned that US-India trade is balanced, with a proportionate number of goods being imported and exported by the countries from and to each other, unlike the unbalanced trade relation with China. Further, an important facet was brought to the front, when he mentioned that the people of the two nations were the ones leading the forging of relationships, and that the governments were following their lead. He gave credit to Dr Manmohan Singh, Prime Minister of India, as the greatest proponent of Indo-US relationship.

The first session of the summit was then brought to a close, by a summary of the session given by the session moderator, Mr R K Chopra, and the felicitation of the dignitaries by IACC.

Government of India is interested in a significant expansion in relationship with US and is working on liberalizing the rules for the mutual transfer of technology between the two nations to stimulate mutual SME growth between the countries. India and the US have different standards for defining the SME sector enterprises. There have been developments in this regard and recently a delegation was sent to US to analyse the SMEs of US so as to gain an insight on the functioning of the sector which will help us to analyse and frame policies which can be of mutual benefit for both the countries. Also the Ministry of MSME is in process to come out with set of policies to encourage banks and financial institutions to forward loans and funds to both Indian & the US SMEs in India. Planning commission has initiated a new drive by marking its presence on Facebook through which it welcomes recommendations on the policies related to the MSME front. Mr Montek Singh Ahluwalia, Deputy Chairman Planning Commission pointed out there is a need to learn from countries such as Germany, China and other countries of the world where the SME's are performing efficiently.

The real problem faced by SMEs in India is the sector wise demand versus skill mapping being non-existent. The contact forums are not widely accessible and there are no well-defined standards and benchmarks for the industries. There is a grave need to focus on Demand-Skill exchange support groups. In India, SMEs constitute 95% of the industries and provide employment to more than 60 million people. The lack of transaction process history, sectoral data, legal framework, and poor entrepreneurship attitude utility in secondary market are the problems that SMEs face today. There is a need to promote corporate linked businesses, cluster businesses and business banking. To address such needs some steps are been taken which includes constitution of Emerging India Reward, the biggest SME award to provide recognition to SMEs; Developing SME toolkits in partnership with IBM; CFO forums and International trade series.

Infrastructure is an important sector where US can partner with India. In order to have a successful partnership US companies need to factor in the Indian macro-environment that will affect their decision

Empowering SMEs – Integrating SMEs into Global Supply Chain

Indo-US Financial & Economic Partnership : Critical Infrastructure Projects - Finance, Execution, Quality, Speed

1011

making such as Tax changes, new laws, trade barriers, demographic change, and government policy changes. To help analyze these factors the PESTEL model could be particularly useful in providing high quality environment to companies from the US:• Political factors: Political decisions impact vital areas for business such as the education of the

workforce, the health of the nation and the quality of the infrastructure of the economy such as the road and rail system. India has 3rd largest road infrastructure with 47% of roads motor able.

• Economic factors: At present, there is a funding mismatch for SMEs as most banks charge high interest rates. Infrastructure bonds (IIFCL) have supported Indian government in raising adequate funds. Higher inflation may provoke higher wage demands from employees and raise costs. But higher national income growth may boost demand for a firm's products.

• Social factors: India has comparative advantage with young population of median age hovering around 25 years. 550 million of Indian population is in age group of 18 to 35.

• Technological factors: Technology has reduced costs, improved quality and lead to innovation. Telecom is a worthy example where reduced call rates have resulted in inclusion of 'bottom of the pyramid'.

• Environmental factors: The general move towards more environmentally friendly products and processes is affecting demand patterns and creating business opportunities. The great demand for electricity will be served through nuclear power plants in future.

• Legal factors: Legal changes in Central Government policies affect the whole business environment for both domestic and foreign players.

The following suggestions can be looked into to improve Finance, Execution, Quality, and Speed of critical infrastructure projects:• Most of the Indian companies have healthy balance sheets where lots of assets can be

intermediated. Thus securitization needs to attain some level of volume and efficiency. Unlisted companies must be allowed to raise funds at a cheap rate. Trust deficit between the corporate and the authorities must be bridged by effective risk management.

• Factoring in all the risks, Public-Private Partnership model must be implemented in continuum for critical infrastructure projects. This will ensure sizable risk sharing with the government and possible escalation in passing various clearances.

• Ultra mega power plants can be a game changer. Warehouses and water projects should be accorded high importance considering the limited resources and priority of timely distribution of materials.

• Fast legal empowered committees must be set up to avoid any crucial delays in project execution. Single window clearances must be ensured with help of IT.

Punjab is among the rising states in India in terms of Human development, GDP growth and Industrial base. Punjab has the privilege of being the first state in India with 100% connectivity to rural regions with metalled roads. It has the fourth highest rail density among all States and Union Territories in India with the railway line length of 2,134 km. It also has International airports in Amritsar, Mohali and Ludhiana. In terms of support infrastructure, Punjab is projected to become a power surplus state by 2013. It has one of the lowest industrial tariffs in India. It has the highest per capita cellular connectivity and 47% telephone density. Punjab is classified as the mall capital of India. Bharti-Walmart and Metro Cash & Carry have established their presence firmly. Consumerism is blossoming as only 2% people are below poverty line in Punjab.

Small Scale Industries in Punjab comprise of 160,640 units and dominates roughly 40% of the

Partner State : State of Punjab

production, 60% of exports and 15% investment of the industrial sector in the State. Future planning is on for capacious apparel parks and technology parks in various cities like the Global Industrial & Knowledge City at Rajpura focusing on IT/ITeS and Agro processing sector, Industrial park at Kapurthala, TechknowPark at Ropar, IT cities at Mohali, Sneta. Growing with times, Punjab is setting up Biotech Park at Knowledge City, Mohali to promote biotech industry in agriculture, food, pharmaceutics, energy & allied sectors.

Punjab is known for ushering the 'Green Revolution' in India and this continues till date when the state contributes 60.9% to the National Food Pool for Wheat and 27.8% for Rice.

Punjab has experienced growing IT exports with 355 units registered with Software Technology Park of India, Mohali with export to the tune of Rs. 11.96 billion in 2009-10. The Quark City has a built up area of 4 million square feet and prominent companies like Dell have established their base here.

Government has taken proactive measures to accelerate the growth path in terms of infrastructure, industry and education in the state of Punjab. The government led reforms and initiatives are bound to offer multiple opportunities for corporate in the near future.

The Indian law on corporate liability is not developed enough and needs a definitive concept of punitive damages. The debacle in rules and regulations under Indian law have grasped the corporate liability as more being subjective. The Risk and Blame are two parts which playa crucial role while judging both the after effects for any accident and the victims.

The most recent case of a catastrophe to deal with the case of corporate liability is the British Petroleum 'Oil Spill'. There is a debate in the US senate about the amount of damages that can be awarded for an Oil spill of such a magnitude. While tackling the situation of British Oil Spill Problem, the company was penalized but what was more important was that to identify the real loss with all the aspects like, economic, environmental etc. The US law provides a clearer framework where individuals such as directors can be held directly responsible in case the disaster is a direct result of reckless negligence. Also, the US law is being reviewed to include in it clauses which stress more on avoidance and prevention of such disasters.

Another, issue facing the Indian problem of corporate liability is whether the financial fines and punishment imposed on the corporate entities would be sufficient to cover the damages of Lives and assets lost during the disaster. The main problem here is that in India there is a low Insurance coverage. This is particularly important when considering the fact that in the year 2009, on a global scale, Natural and Manmade disasters caused losses to the tune of $ 50 billion and out of that $ 25 billion were paid from insurance covers. While in India, there are government funds which cover Natural disasters there are hardly any financial covers for manmade disasters.

Corporate Liability on Man Made Disasters: Liability, Mitigation, Disaster Management

1213

Entertainment-Jai Ho! Enhancing Relationship

Education – Partnering in Higher & Technical Education

Entertainment Relations have been very crucial for both the countries which produces maximum amount of share of entertainment industry in the whole world. It has been observed that this collaboration has been very successful for the Television segment but has yielded mixed results for the movie industry. Hollywood movies have a lion share in foreign markets but in India they have managed to garner just about 5-10% share. The main reason for such a turn out has been the problem of Piracy, particularly in the Indian market. Reducing Piracy and maintaining Intellectual Property Rights (IPR) has been always a problem to this industry. Various technological Advancements like UFO broadcast etc. are under process but still Information &Broadcast ministry need to mould various acts to prospect a better future for this sector while combating piracy.

Nevertheless, both the countries are leaping ahead with various joint ventures and collaborative efforts. Initiatives like Indo-American art council and Indo-American friendship association have opened new doors for association between the entertainment industries in both the countries.Leading US studios like Fox star studio, BFX Studio etc. have been collaborated with Bollywood on movie projects such as ChandiniChowk to China, Roadside Romeo and My Name is Khan. The entertainment collaboration has been seen on 3 different levels, namely commercial, creative, and media industry. It is projected that within 3 years, 60-100% media consumption would be online.

According to UNO, Glamour business is the biggest business throughout the world. The main factors to be considered while having foreign collaborations in the Glamour industry are the difference in the Aptitude, Language, facilities and Culture of the two demographics.

Education is of essence for India as around 550 million of Indian population is in age group of 18 to 35; there is a need of large educated workforce; and in turn there is a huge potential to enhance the capability of Indian education sector. There is an urgent need to reform the education sector of India and bring our education sector at par with the best practices of the world and this be achieved by influx of Information Technology based teaching methodology. A major recent development in this regard is the inauguration of Illinois Institute of Technology (India), a subsidiary of Illinois Institute of Technology, USA. With the emergence of new technologies in the IT domain, advancements have been made to provide the programs online. These include distance learning programs, internet streamed videos supplemented by video/audio conference calls.

A McKinsey report has projected India as a future global education hub and has suggested that a foreign Private-Public Partnership model should be promoted to realize this. Foreign partnerships have led the way in this direction. The Cornell University, Ithaca, New York and India have had more than a century old partnership in promoting education reforms. There are a lot of projects under joint execution of Cornell and India with eminent Indian personalities like Mr Ratan Tata and Mr Narayan Murthy serving as board members of some of these projects which includes projects with Indian council for agricultural Research and National Institute of Food Technology. Further, there exists a need for research focus on emerging markets in the curriculum and a need for the importance of an emotional connect for an engaging, vibrant and responsive partnership.

Ambiguities in laws relating to acquisition of land by foreign entities is prohibited in India and acts as a major inhibitor in setting up of Indian campuses of world class foreign universities. Also there is an ambiguity on the front of formation of trusts; societies etc. and such issues should be addressed at the earliest if India intends to become a global destination for world class education.

stThe India of the 21 century has a new perspective to the term Research & Development. The concept of R&D has gone through a 'Metamorphosis'. Earlier, R&D was majorly an academic intensive concept perused by PHD scholars whereas now R&D centres are major driving force for corporate innovation. This fact is particularly visible by seeing a rapid increase in the number of private sector research facilities across the country.

The reason for this transition has been the business value realized from path breaking research and development exercise. Emerging markets like India have a huge scope of research in fields of science, technology and infrastructure. India is quite unique in such research opportunities because it has established markets both at the Top and Bottom of pyramid. Both these markets have large untapped research capabilities. Corporates have realized that India is a great place for 'Opportunity led Research' as there are many problems which need innovative and cost effective solutions.

In addition to the above progress in the field of R&D there are certain steps needed to turn India into a Global R&D hub. The education system has to be modelled in such a manner so as churn out 'Skilled' people in sufficient quantity for research oriented firms as opposed to just profit driven corporate houses. Also, there needs to be a conducive environment for research oriented companies. Companies like GE research & GM Research have been successful in China which promotes such environment. Further, such initiatives in the long run would help in establishing Role-Models in fields of research driven sciences and technologies. With this the younger generation would be inspired to take up research oriented career options and in turn propel India as a global R&D hub.

The relevance of the hospitality sector in the growing Indian economy is huge. This is emphasized further considering the fact that the largest number of members in the Services Export Promotion Council belong to the hospitality sector. With initiatives such as Market Development Assistance Scheme, under the Ministry of Commerce and Industry, the Government of India is providing a support system to areas which have a huge scope for improvement in the US-India relations, namely Healthcare Tourism and US entertainment in India. The immense scope of growth in the Hospitality sector is particularly highlighted by the size of incoming tourism from USA, which currently stands at $0.8 billion and that of outbound tourism at $0.4 billion. The tourism is a $3 billion a day industry, inclusive of all levels of development, and one which contributes more than 5% to the global GDP. India on its part has put in special efforts with successful campaigns in the recent past to promote and enhance tourism, such as the Incredible India Campaign and the award winning promotion done under the same.

Immediate need of reforms is felt considering the significant inhibitors to the bilateral tourism & cross promotion. The unrefined processes that are followed for granting visas, holding checks and inspections,

Making India a Global R&D Hub

Hospitality: Bonding Indo-US ties

1415

need to be stamped out. Though certain areas of cooperation already exist between entities in India and USA as seen in the case of Joint Ventures between small and big hotels, it is strictly commercial and not process based so as to be able to drive out the lacunas. The main reason for this the difference in hospitality segments targeted by both the countries. While Indians in the hospitality sector have concentrated on the luxury segment, Americans have mastered the two stars to four stars segment.

The collaboration can be successful only if done on equal terms and not differential terms.

Capacity building for a growing Healthcare industry is primarily dependent in two aspects, namely -Prevention of Diseases and General Healthcare. Out of these, India healthcare sector needs a boost in the prevention of Diseases segment. In order to achieve this there is a tremendous need to have significant Public-Private partnerships. Today, 80% of the healthcare concerned real-estate infrastructure is owned by the government whereas the other 20% of the healthcare related real-estate with the private sector caters to 80% of the population.

Investment has never been a detriment for the India healthcare sector. What has been actual bane is the availability of skilled workforce required for this sector. So without the workforce support there is little point in providing world class infrastructure for health care and in turn this results in lesser number of healthcare facilities in India. Furthermore, healthcare delivery model needs to be revamped. Though we have the expertise we are limited by the reach to the larger segment of the population. The insurance sector also has to play a huge role in giving the means to the needy for affording general healthcare.

Investments in the healthcare sector are particularly needed for the Research & Development as there are few research facilities than actually needed. This investment in recent time has been provided by major US based Private Equity players, Pharmaceutical organizations and Medical Institutions. The only drawback has been that the investments have been limited to tier-I cities and have failed to reach tier-II and tier-III cities.

The pharmaceutical sector also has a huge potential for both foreign and domestic majors as about 90% of the sector is still unorganized.

Health & Medicine-Capacity building for Growing Healthcare Industry : Trade opportunities for Indo-US partnership

For further information please contact

Atul Vyas

Regional Director

Indo-American Chamber of Commerce

Room No. 403, PHD House, 4/2 Siri Institutional Area, August Kranti Marg, New Delhi 110016

Tel: 26518201, 26963387, 26531965; Fax: 26531954;

Email:atul@iaccindia.com; ragashree@iaccindia.com; neelu@iaccindia.com; ruchika@iaccindia.com

Website : www.iaccindia.com

Govt of Punjab

Conference Partner

A view of the US delegates at the Summit Session on Indo-US Financial & Economic Partnership - L to R Ms Roopa Purushothaman, Head of Research, Everstone Investment Advisors Pvt Ltd; Mr Pradeep Udhar, Executive Director, KPMG; Mr S K Mitra, Mr Raj Kumar Agarwal, Partner – AAS & North India Operations Haribhakti & CO; Mr G V Subrahmanyam, Partner, Grant Thornton Advisory Pvt Ltd

Mr Gautam Mahajan, National President, IACC delivering the Welcome address during the Inaugural Session

Mr Lalit Bhasin, Summit Chairman making the Theme Presentation

Mr Montek Singh Ahluwalia, Deputy Chairman, Planning Commission delivering the Inaugural Address at the Summit

Dr Naresh Trehan, Chairman & Managing Director, Medanta – The Medicity delivering the Special Address during the Inaugural Session

Mr Montek Singh Ahluwalia releasing the KPMG study

Mr Donald Lu, Deputy Chief of Mission, US Embassy at the Inaugural Session

Mr Virbhadra Singh, Hon’ble Minister for MSME addressing the session on SME

Mr Montek Singh Ahluwalia, Deputy Chairman, Planning Commission releasing the study made by Knowledge Partner – Grant Thornton titled “The new resilient United States : Opportunities for Indian Companies. Seen from L to R Mr Donald Lu; Mr Gautam Mahajan; Mr Montek Singh Ahluwalia, Mr Vishesh Chandiok, National Managing Partner, Grant Thornton India; Mr Lalit Bhasin; Dr Naresh Trehanand Mr Atul Sharma, Regional President, IACC

Session on SME – L to R – Mr Gautam Mahajan; Mr Virbhadra Singh, Hon’ble Minister for MSME; Mr N V Srinivasan, Branch Chairman, IACC Tamil Nadu Branch; Mr Michael Zatezalo, Managing Director, Kegler Brown Hill & Ritter

Shri Subodh C Agrawal, Chief Secretary, Govt of Punjab addressing the session on Partner State of Punjab

Session on Partner State : State of Punjab. Seen from (L to R) Mr R K Verma, IAS, Secretary, Local Govt. & Managing Director Punjab Infotech; Mr Gautam Mahajan; Shri Subodh C Agrawal, Chief Secretary, Govt of Punjab ; Dr S S Channy, IAS, Principal Secretary, Industries & Commerce, Govt of Punjab; Mr Sursh Kumar, Principal Secretary, Department of Technical Education, Govt of Punjab ; Mr Sarvjit Singh

Session on Corporate Liability. L to R Mr Neeraj Verma, Attorney, Greenberg Traurig LLP, Houston, Texas; Mr Sushant Sarin, National Head - Liability Lines, Tata AIG General Insurance Company Limited Mr Atul Sharma, Regional President, IACC & Managing Partner, Link Legal; Ms Shantha Raman, Sr. Partner, Maheswari & Co

Session on Entertainment - L to R Ms Aslesha Gowariker, Partner, Desai & Diwanji, Regional Vice President, WIC; Mr. Rajiv P Dalal, Managing Director, Motion Picture Dist. Association (India) (P) Ltd; Mr. Anand Desai, Managing Partner, DSK Legal; Mr Arvind Kumar, Joint Secretary, Ministry of Information and Broadcasting; Mr Sandeep Marwah, Chairman & Managing Director, Marwah Productions; Mr T C James, Director – NIPO Consultant, FICCI

Session on Entertainment : Mr Arvind Kumar (Centre) Joint Secretary, Ministry of I & B is sharing a lighter moment with fellow panelists. He is flanked by Mr Anand Desai, Managing Partner, DSK Legal (L) and Mr Sandeep Marwah, Chairman & MD, Marwah Productions ( R )

Session on R & D - L to R Prof Balakrishnan, Dy Director, IIT Delhi; Dr. Viswanath Poosala, Head of Bell labs - India , Alcatel Lucent; Mr Pradeep Gupta , Chairman, CyberMedia Group; Mr Shalendra Porwal, Managing Director and CEO, Battelle India; Mr. I Vijaya Kumar , CTO, Wipro

Session on Education : L to R Ms Vibha Sharma, Director, Office of U.S.-India Higher Education Cooperation, USIEF; Ms. Randy L. Allen, Associate Dean for International and Corporate Relations Samuel Curtis Johnson Graduate School of Management, Cornell University; Dr Kavita A Sharma, Chairperson, IACC Indo-US Education Forum & Director, India International Centre ; Ms Vibha Puri Das, Secretary – Higher Education, Ministry of Human Resource Development, GOI, Ms. Savita Mahajan, Deputy Dean and CEO, Mohali Campus Indian School of Business; Mr D Rajagopalan, Director – Operations, Illinois Institute of Technology (India) Pvt Ltd and Mr Atul Sharma, Managing Partner, Link Legal

Session on Hospitality : Ms Jyotsna Suri, Chairperson & Managing Director, Bharat Hotels chairing the session. L to R Mr Rajesh Sharma, Director General, Services Export Promotion Council; Ms Jyotsana Suri; Mr Lalit Bhasin and Mr Sanjay Kothari, Additional Secretary, Ministry of Tourism

Ms Vibha Puri Das, Secretary – Higher Education, Ministry of Human Resource Development addressing the participants during the Session on Education

Session on Health & Medical : Dr Pervez Ahmed, CEO & Managing Director, Max Healthcare Institute Ltd (Fourth from right) addressing the delegates. Seen from L to R - Mr Siddhartha Nigam, Partner, M & A, Grant Thornton; Dr Rana Mehta, Sr. Vice President, Technopak; Dr Shubnum Singh, Vice President , Medical Affairs and Founder Member , Max Healthcare Institute Ltd; Dr Aparna Jha Ahuja, Lab Director, Clinical Reference Lab, Super Religare Laboratories Ltd