Opening the Doors Don Rae, International Market Manager: India May 2012 India
Today’s presentation • To highlight the purpose of the strategies • To highlight the goals • To highlight services & support that business can access
Impressions different crowded unpredictable complex kaleidoscope Gandhi cricketmind-blastingJai Ho! Frag mentedextremeprotectionistchaoticmarigold intense difficult incredible! the Raj competitive price colourful poverty wealth redtape Bollywood fascinatingGovernment monsoon karmaTajMahalassault on the senses paradox
Purpose of the NZ Inc, India Strategy • India to become a core trade, economic and political partner by 2015 • To outline why NZ exporters should target India • To provide the information/contacts needed to get started • To provide a framework so public/private sector can work together
NZ Inc India Strategy Goals • Vision: India will become a core trade, economic and political partner of New Zealand by 2015 • Grow merchandise exports to at least NZ$2 billion – complete FTA, protect existing commodity trade, boost non-commodity exports • Grow our services trade with India by an average of 20% per annum • Improve the bilateral investment relationship and facilitate growth in investment • Attract and retain skilled migrants from India • Engage more deeply with India on regional and global issues that will affect New Zealand’s future prosperity and security • Raise the profile of New Zealand’s value proposition in India – branding, cricket diplomacy, political contacts
Services/Support • NZTE – see next slide • India New Zealand Business Council – information, contacts • Ministry of Science & Innovation – R&D funding • MFAT – engagement/consultation on India FTA • Local EDA (ATEED) – business development services • Ministry of Education – export education, education fairs • MAF – biosecurity, certifications • High Commission of India to New Zealand – visas, information
NZTE: We help New Zealand businesses to grow bigger, better, faster in international markets
New Zealand’s exports to India NZ$ 938 million: 80% Commodities: Coal, wood, dairy, wool, hides & skins, metal, fruit Plus Services: Tourism, Education, ICT, Architecture We import: pharmaceuticals, gem stones, electrical machinery, apparel & textiles, machinery, leather
Keys to Success • Understand the market: supply chain, focus, competition, price • Choose the right partner in the right place at the right time • Proactive: follow-up, due diligence, promotion, persistence • Patience and commitment: long-term investment, regular visits • Understand the rules and what they mean • Adapt your offering to the local market: Indianise • Exit strategy
Market entry options • Agent / broker • Distributor, customer, contractor etc • Representative office • Branch office • Project office • Franchise / technology transfer • Wholly owned subsidiary • Joint venture / acquisition
Opportunities for New Zealand • Food & beverages • Tourism • Education Consumer lifestyle Skills • Agritech • Dairy • Fruit Food supply chain INDIA • ICT • Healthcare Innovation Industry Infrastructure • Aviation • Value added wood • High value manufacturing services • Commodities
Business culture • Networks: it’s all about relationships • Family: “business becomes personal” & business families • Hierarchy: everything flows from the top, but consensus required • Judgement: deciding what to put on the table, when to act • Time: more about intentions, understanding and relationships • Communication: be clear what is agreed, what is understood • Beliefs: respect religion and tradition as part of the business fabric • Corruption: NZ Crimes Act • Reciprocity & social responsibility • Government is everywhere
Cultural Differences From “Riding the waves of Culture” – Fons Trompenaars & Charles Hampden-Turner
NZTE in India Delhi Richard White, Trade Commissioner richard.white@nzte.govt.nz With Ministry of Foreign Affairs & Trade, Immigration NZ, Education NZ Mumbai Gavin Young, Consul-General & Trade Commissioner gavin.young@nzte.govt.nz With Immigration NZ, Tourism NZ CONTACT: Your NZTE Customer Manager or Tel. 0800 555 888 Don Rae don.rae@nzte.govt.nz 027 227 9028 03 372 7525
