24 September, Auckland
It is not too late for New Zealand companies to be a part India’s run-away technological revolution. This was the view of two speakers at the third Reimagining India New Zealand Relationship event “Global Trade and Economic Challenges for New Zealand and India”, held on 24 September, 2018, by New Zealand India Trade Alliance, at Pwc.
Speaking to a houseful, Mr. Som Mittal, former President of NASSCOM, the flagship industry association for India’s 154-billion-dollar IT industry, outlined the Tech Opportunity in India. He highlighted the five key consumer driven sectors that drive growth in India; infrastructure, technology, financial services, automotive and healthcare sectors.
Mr Mittal, who is also the NZTE India Beachhead Advisor, said there has been a surge in the Indian middle class, which by 2022 will be the largest segment of the population. By the year 2025, India’s contribution to global middle-class consumption will be at par with that of China, overtaking both China and India by 2027.
India is connected, and will be even more connected. Currently there are 465M internet users in India, this will increase to 750M by 2021. There are currently 300M smartphone users, doubling to 600M by 2021. By 2021 average data consumption is expected to rise from 4GB/mth per user to 8GB/mth.
This rapid digital adoption in India is the driving growth for devices, hardware and software solutions. 8% of India’s total GDP contribution is now Tech Sector based, this, according to Som Mittal presents a huge opportunity for New Zealand tech companies.
— Kanwaljit S Bakshi (@bakshiks) September 24, 2018
Mr Mittal said a vibrant startup ecosystem has also emerged under the Modi Government’s “Start-Up India” programme, with around 5200 tech startups in India in 2017, and 700 of those classed as advanced tech start-ups. Mr Mittal sees this sector as an easy opportunity for New Zealand companies to partner with India.
Mr. Mittal said the ease of doing business emphasis, and major structural reforms India has undergone in the recent past has made the Indian economy truly global. Kiwi companies need to embrace the idea of “selling WITH India instead of selling BY India”.
Super interesting! Loved the comment about evolving business; start a JV or minor partner, then iterate to become something else. Don’t just segment the market, micro segment https://t.co/hui7qOXel6
— Bex Stevenson (@bex_stevenson) September 24, 2018
India’s High Commissioner to New Zealand, his Excellency Mr. Sanjiv Kohli, lauded NZITA for their excellent work towards developing healthier trade relations between NZ and India. He said the Indian economy is undergoing a paradigm shift, with most of the economy being driven by people in below the age of 30. This trend is likely to continue, with India is forecast to have a market with a very young consumer base in the next 20 years. Mr Kohli said New Zealand businesses should take the opportunity to position themselves in India and harness the varied opportunities presented by this young, ambitious and consumer-oriented market.
— New Zealand India Trade Alliance 🇳🇿🇮🇳 (@ItanzIndia) September 24, 2018
Both speakers stressed on the need to build two-way relationships and embrace, learn and share knowledge and expertise together.
Watch His Excellency Sanjiv Kohli’s view on NZ India Relationship
Watch Som Mittla’s insights into NZ India Bilateral Trade