Egypt
(Source : Embassy of India, Cairo)
Potential products of Imports from India
Automobile and auto components (8708 ) - Egypt is strategically located close to many developing countries with open markets for car imports. The Egyptian automotive Market Volume in 2018 reached 19,804 vehicles (15088 are passenger cars, 1586 buses and 3130 trucks) compared to 14,673 vehicles in 2017 (with increase of 35.6 %).
All auto majors like GM, Toyota, BMW, and Hyundai have presence in Egypt. Our exports of automobiles during 2018-19 were USD 136.2 million and auto components were USD 77.5 million in the same period (Total 213.4 Million USD).
Following the implementation of zero tariffs for automobile imports from EU to Egypt early this year, as per provisions of Egyptian – European Partnership Agreement, there were some concerns among local auto component manufacturers on likely adverse impact on them. However, the Egyptian Government has recently come up with customs incentive scheme to protect local manufacturing while at the same time keeping the doors open for imports.
Bajaj has a partnership with Ghabbour of Egypt for CKD assembly of two and three wheelers for Egyptian markets. TVS and Mahindra also have presence in the market.
Project exports in railways, construction, renewable energy, infrastructure etc.(Railway Items: 86) (Electrical Machinery:85) - Egypt has announced various mega projects which have created opportunities for the project exports by the Indian companies. Some of the major projects are: Suez Canal Economic Zone, High Speed Trains and new Metro lines, Housing units’ project, 1.5 million feddan (acre) land reclamation project, Renewable Energy projects and new Administrative Capital.
Switzerland
(Source : Embassy of India, Berne)
In the month of June 2020, the Indian exports to Switzerland (USD 229 million) became more than India’s imports from Switzerland (USD 157). A particular increase has been noticed in the export of HS Code 71 from India to Switzerland. HS Code 71 pertains to Natural or cultured pearls, precious or semi-precious stones, precious metals, metals clad with precious metal, and articles thereof; imitation jewellery; coin. In the month of June 2020, compared to May 2020, there has been a reduction in world’s total exports to Switzerland by -3.2% while there has been an increase of 116% in India’s exports to Switzerland. The Swiss exports to India have come down tremendously; the cumulative exports from January- June 2019 were USD 11 billion which has reduced to USD 3.49 billion for the duration January-June 2020.
Significant trends in trade and investment in June 2020
Trade in Goods - The total export products to Switzerland registered an increase of 116.04%, (USD 229 Million) in June 2020 as compared to May 2020 (106 USD million). India’s increase in exports in June 2020 was particularly seen in the field – Heterocyclic compounds with nitrogen hetero-atom[s] only, containing an unfused pyridine ring, whether or not hydrogenated, in the structure, n.e.s. [HS Code 2933.39]; Diamonds, worked, but not mounted or set (excl. industrial diamonds) [HS Code 7102.39]; and Organic derivatives of hydrazine or of hydroxylamine [HS Code 2928.00].
The total import products from Switzerland registered a significant increase of 45.37% in June 2020 (USD 157 Million), as compared to May 2020 (USD 108 million).
India’s registered increase in imports was particularly seen in the field of Wrist-watches, whether or not incorporating a stop-watch facility, with automatic winding (excl. of precious metal or of metal clad with precious metal) [HS Code 9102.21]; Immunological products, put up in measured doses or in forms or packings for retail sale, whether or not modified or obtained by means of biotechnological processes [HS Code 3002.15]; and Gold, incl. gold plated with platinum, unwrought, for non-monetary purposes (excl. gold in powder form) [included in the special trade since 1.1.2012] [HS Code 7108.12].
Analysis - Due to the ongoing COVID-19 pandemic, trade between India and Switzerland was affected with India’s trade with Switzerland for June 2020, accounted for 0.80% of Switzerland’s total trade.
It is interesting to note that in June 2020, for the first time India’s exports to Switzerland have become more than India’s imports from Switzerland.
Trade in Services - The Service-related data is available on the Swiss side only on quarterly basis. In comparison to the 4th Quarter of 2019, in the 1st Quarter of 2020,the Services exports from India to Switzerland saw increase in Consulting Services (14.1%); followed by Telecommunications, computer and information services (9.6%) and Technical, trade-related, and other business services (6.8). The Services imports from Switzerland saw increase in, Other services [Manufacturing services, maintenance and repair services, construction services, personal services, government services] (2.9%); and Licence fees (1.2%). Overall, the Services trade was in favour of India.
Analysis - Overall the trade in Services is in favor of India. License Fees [IPR related] expectedly is in favour of Switzerland.
Investment - As per DIPP, the FDI from Switzerland to India from April 2000 to March 2020 stood at USD 4842.38 million, making 1.03% of the total FDI Equity inflow. As per Department of Economic Affairs, Government of India, the FDI from Switzerland to India from Jan. – May 2020 stood at USD 0.28 million. As per RBI figures, the total ODI from India to Switzerland during June 2020 was USD 2.84 million compared to USD 0 million in May 2020.
Investments
Von Roll Holding AG to modernise its Bangalore Plant: On 07 July 2020, Swiss industrial company, Von Roll Holding AG, reported that with its investments in its existing plant in Bangalore it is going to modernise the Plant into the most modern production facility for electric wire coils in India. This move makes Von Roll the only company in the electrical insulation market worldwide, which covers the entire value chain from raw material extraction to ready-to-install wire coils.
Gurit to invest CHF 20 million in Indian Wind Energy market: On 24 July 2020, Swiss based composite solutions, technologies and products company Gurit Holding AG, reported the setting up of a core material kitting facility in Gujarat with an investment of CHF 20 million to support the Indian Wind Energy. The facility in Gujarat will go on line early 2021, and Gurit will also establish and set-up a tooling operation for blade moulds and accessories, a core material extrusion operation for PET core material and a second kitting plant in one integrated campus in Tamil Nadu in 2022. Gurit has already presence in Indian subcontinent from its sales office in Pune, which provides strong tooling installation and service field force for India.