Assocham Economic Research Bureau

THE ASSOCIATED CHAMBERS OF COMMERCE AND INDUSTRY OF INDIA

ASSOCHAM Economic Weekly

29th

September, 2013 1

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Contents

1. Macroeconomy

1.1 Report on Evolving a Composite Development Index of States

1.2 India Rural Development Report 2012/13

1.3 First Advance Estimates of Crop Production

1.4 India-US Joint Declaration on Defence Cooperation

2. Corporate Sector

2.1 TRAI Releases Recommendations on Full Mobile Number Portability

2.2 Performance of the Private Corporate Business Sector during Q1 2013-14

2.3 Use of Importer-Exporter Code Number Allotted to Importers/Exporters by DGFT

3. Market Trends

4. Global Developments

4.1 UK Index of Services, July 2013 4.2 China’s Industrial Profits from Principal Business Increased

4.3 US Multifactor Productivity Increases

5. Data Appendix

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1. Macroeconomy

1.1 Report on Evolving a Composite Development Index of States

The Raghuram Rajan Committee for Evolving a Composite Development Index for States has

recommended that each State may get a fixed basic allocation of 0.3 percent of overall funds, to

which will be added its share stemming from need and performance to get its overall share.

The Committee has come-up with a Multi dimensional Index of backwardness based on per capita

consumption as measured by the NSSO, the poverty ratio, and a number of other measures which

correspond to the multi dimensional approach to defining poverty outlined in the Twelfth

Plan. The Committee has recommended that States that score 0.6 and above on the Index may be

classified as ―Least Developed”; States that score below 0.6 and above 0.4 may be classified as

―Less Developed”; and States that score below 0.4 may be classified as “Relatively Developed”.

The Committee has observed that the demand for funds and special attention of different States

will be more than adequately met by the twin recommendations of the basic allocation of 0.3

percent of overall funds to each State and the categorisation of States that score 0.6 and above as

―Least Developed” States. According to the Committee, these two recommendations, along with

the allocation methodology, effectively subsume what is now ―Special Category‖.

Using the index, the Committee has identified the ―Least Developed” States as Arunachal

Pradesh, Assam, Bihar, Chhattisgarh, Jharkhand, Madhya Pradesh, Meghalaya, Odisha, Rajasthan

and Uttar Pradesh.

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The Prime Minister has also directed that the recommendations of the Committee may be

examined and necessary action in this behalf may be taken.

Please refer to Table 1:

Table 1

Underdevelopment/ Need Index

State Underdevelopment/ Need Index

Odisha 0.798

Least Developed

Bihar 0.765

Madhya Pradesh 0.759

Chhattisgarh 0.752

Jharkhand 0.746

Arunachal Pradesh 0.729

Assam 0.707

Meghalaya 0.693

Uttar Pradesh 0.638

Rajasthan 0.626

Manipur 0.571

Less Developed

West Bengal 0.551

Nagaland 0.546

Andhra Pradesh 0.521

Jammu & Kashmir 0.504

Mizoram 0.495

Gujarat 0.491

Tripura 0.474

Karnataka 0.453

Sikkim 0.43

Himachal Pradesh 0.404

Haryana 0.395

Relatively Developed

Uttarakhand 0.383

Maharashtra 0.352

Punjab 0.345

Tamil Nadu 0.341

Kerala 0.095

Goa 0.045 Source: Ministry of Finance

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1.2 India Rural Development Report 2012/13

The Report provides a comprehensive landscape of rural India, covering debates on topical issues,

providing empirical analyses and synthesising literature across a spectrum of issues including

regional disparity and deprivation; the changing nature of livelihoods; sustainability of natural

resources; and the changing role of the state and local self-governance. It reviews all major central

government rural programmes and schemes and, in particular, the flagship MGNREGA. It will be

a valuable resource for policy makers, state and local bodies, researchers and the private sector.

The Report highlights the need to develop new strategies for farm livelihoods.

Income from farm livelihoods is no longer sufficient for a household, especially for smaller

and marginal farmers, who make up 85 percent of farm holdings, and for dryland farmers

that occupy more than half the cultivated area.

Need to encourage new crop models for them, and revive traditional crops like millets, that

suit drylands. Cultivation of different varieties of millets, which are hardy and nutritious, can

be promoted by procuring and distributing through the public distribution system (PDS).

Various types of collective farming have helped small farmers overcome problems of scale,

insecure land tenancy and poor access to credit, modern supply chains and storage.

Nearly 2 million farmers in Andhra Pradesh have successfully adopted community-managed

sustainable agriculture (CMSA), significantly reducing their cost of cultivation and soil

toxicity by doing away with chemical inputs while increasing or maintaining yields.

Water efficiency in farming is also critical as 80 percent of water use is for agriculture.

Water must be considered a community resource and the management of both ground and

surface water must be looked at holistically across all uses of water.

Non-farm income sources are increasingly important – 43 percent of rural families rely on

non-farm employment as their major income source.

Indian rural households are typically pluri active, combining work on their own farm, with

that on others’ farms, animal husbandry, and commuting or migrating to undertake non-farm

activities in villages, towns or cities.

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Non-farm employment offers better wages and social mobility for lower castes to move out

of agricultural labour. There is also some evidence that higher non-farm wages have helped

increase agricultural wages.

Non-farm work is predominantly casual in nature with most work in the construction and

trade sectors. Even manufacturing employment has become increasingly informal over time.

This denies workers job security and benefits of formal employment.

Must tackle the important barriers to non-farm livelihoods - lack of access to credit,

marketing and skills. Financing skill training is difficult: trainees are not assured job

placement or higher wages, and employers find training not relevant or employee retention

difficult. While some projects have worked scalable solutions are needed.

Recently, the government launched Aajeevika – aimed at skill development, assisting the

poor set up small businesses and expanding access to capital through SHGs.

Poverty, though reducing, is increasingly concentrated amongst certain regions and social

groups.

In 1993–94, nearly 50 per cent of the rural poor lived in seven states — Jharkhand, Bihar,

Assam, Odisha, Chhattisgarh, Madhya Pradesh and Uttar Pradesh. This rose to 65 percent in

2011–12, though states like Bihar, Chhattisgarh and Uttar Pradesh have reduced poverty

significantly since 2009-10.

These states, along with Rajasthan, also fare worst on education learning levels, child and

maternal health, and poor penetration of healthcare services.

Only 18 percent of rural households have access to all three basic services – drinking water

within premises, sanitation and electricity – and 20 percent have none of them.

Almost all the bottom two quintiles of districts in terms of access to the three basic services

are in Rajasthan and the seven states excluding Assam. There are also pockets of deprivation

in richer states, such as Andhra Pradesh, Maharashtra and Karnataka, which are mostly

in dryland areas.

Poverty is markedly higher among scheduled castes (SCs) and scheduled tribes (STs) who

together constituted 44 percent of the rural poor in 2009-10.

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Despite progressive legislation, SCs and STs continue to face discrimination, limiting their

participation in economic, social and political spheres. They have the highest rates of

malnutrition, child mortality, and access to public health services. STs fare the worst.

Government spending on productivity-enhancing infrastructure has a more significant and

lasting impact on poverty reduction than spending on subsidies.

Village-level connectivity has improved, especially roads, electricity and

telecommunications. Yet results are not commensurate with government expenditure.

Household-level access is poor, especially for the most vulnerable, and infrastructure assets

are often of poor quality, incomplete, unusable or badly maintained.

Almost all villages are connected to the grid, but 45 percent of rural households lack

electricity connections. Electricity supply is often unreliable and water supply unavailable or

polluted. Almost 70 percent rural households lack sanitation facilities.

Also, in education, nutrition and health, service delivery is marred by widespread

absenteeism of government healthcare providers and teachers, leading to poor outcomes.

Learning from past experience, government approaches are changing and must include:

Community ownership of assets: Some communities have successfully monitored

drinking water quality, ensured equitable access and maintenance of assets built.

Maintenance: PMGSY has built all-weather quality roads, with maintenance built

into the construction contract. States must set aside funds to budget for maintenance.

Change in targeting approach. The 2011 Socio-Economic and Caste Census, has

collected information on a range of deprivation indicators, is verified by the

gramsabha.

Greater flexibility under schemes for states and PRIs to adapt to local conditions.

Addressing institutional fragmentation, streamlining responsibilities between

ministries and between state and local governments, and greater convergence in

scheme delivery.

Incentivising private provision where possible: Just as competition expanded reach

and affordability of telecoms in urban areas needs to be replicated in rural areas by

using the universal service obligation fund to encourage private competition in rural

telephony.

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Improve transparency and accountability of public service delivery through social

audits or public checks by the gram sabha. Increased use of performance-based

incentives and conditional cash transfers could also significantly improve outcomes.

Panchayati Raj Institutions (PRIs) were envisioned to create more participatory, accountable

and resource-efficient governance but they have not succeeded for several reasons.

States need to devolve more funds, support staff and functions as well as ensure regular

revenue flows to PRIs. They must also clarify and assign responsibilities to avoid overlap

with parallel agencies, and strengthen capacity building of PRIs.

Interference by local elites and corruption could be addressed by increasing

gram sabha awareness on participation rights, and social audits.

MGNREGA has provided an average of 40-50 days of employment per year to about 25

percent of all rural households making it the largest public works programme in India’s

history.

Self-targeting has worked to an extent, as the Scheme has served more poor and

disadvantaged households, women, SCs and STs, than better-off households.

It has helped empower women by providing them employment on equal terms. Women

account for almost half the total person days of employment under MGNREGS.

The Scheme has contributed to reducing poverty, both directly as well as indirectly, by

putting upward pressure on agricultural wages.

But the programme has inadequate coverage amongst the needy (despite their demand for

work) especially in those states that have a high incidence of poverty, possibly reflecting

weaker governance in those states. Other issues that must be dealt with urgently are delays

in providing work and in wage payments, and shortage of engineering staff.

MGNREGA holds considerably more potential which can be unlocked by ensuring that

good quality assets are built and there is more active participation by the gram sabha which

strengthens local government.

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1.3 First Advance Estimates of Crop Production

As per the first advance estimates of production of kharif crops, 129.32 million tonnes

(MT) foodgrains is likely to be produced in the current season. These production estimates are

higher by 8.75 million tonnes than the average production of 120.57 million tonnes.

The estimated production of major crops during kharif 2013-14 is as under:

CROP PRODUCTION ( million tonnes)

Foodgrains 129.32

Rice 92.32

Coarse Cereals: 30.99

Maize 17.78

Pulses: 6.01

Tur 3.04

Urad 1.33

Oilseeds 23.96

Sugarcane 341.77

Cotton 35.30 million bales (170 kg each)

Source: PIB, 24 September, 2013

As per 1st advance estimates, production of rice estimated at 92.32 million tonnes, though

marginally lower as compared to last year’s kharif production, is higher than five years’ average

production of 85.40 million tonnes. The estimated production of coarse cereals, is however, higher

than average production by 1.50 million tonnes mainly on account of increase in production of

maize.

The estimated production of Kharif Pulses is also higher than the average production by 0.42

million tonnes mainly due to higher than average production of tur and urad.

There is a significant improvement in the production of soyabean, and total production

of kharif oilseeds, estimated at an all time record of 23.96 million tonnes is higher than the

average production by 4.56 million tones.

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The current year’s production of sugarcane estimated at 341.77 million tonnes, is higher by 17.83

million tonnes as compared to average production. The production of cotton estimated at an all

time record of 35.30 million bales (of 170 kg each), has registered an increase of 5.60 million

bales as compared to average cotton production of 29.70 million bales. Production of jute is also

estimated to be marginally higher than its average production.

1.4 India-US Joint Declaration on Defence Cooperation

India-United States defence cooperation and engagement has increased significantly over the past

decade, in step with the overall deepening of India-US relations. In this context, India and the

United States endorse the following general principles for fulfilling this vision:

The United States and India share common security interests and place each other at the

same level as their closest partners. This principle will apply with respect to defence

technology transfer, trade, research, co-development and co-production for defence articles

and services, including the most advanced and sophisticated technology. They will work to

improve licensing processes, and, where applicable, follow expedited license approval

processes to facilitate this cooperation. The U.S and India are also committed to protecting

each other’s sensitive technology and information.

The U.S. continues to fully support India's full membership in the four international export

control regimes, which would further facilitate technology sharing.

The two sides will continue their efforts to strengthen mutual understanding of their

respective procurement systems and approval processes, and to address process-related

difficulties in defence trade, technology transfer and collaboration.

The two sides look forward to the identification of specific opportunities for cooperative

and collaborative projects in advanced defence technologies and systems, within the next

year. Such opportunities will be pursued by both sides in accordance with their national

policies and procedures, in a manner that would reflect the full potential of the

relationship.

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2. Corporate Sector

2.1 TRAI Releases Recommendations on Full Mobile Number Portability

In accordance with the provisions contained in the National Telecom Policy-2012 regarding ―One

Nation- Full Mobile Number Portability‖, TRAI received a reference from the DoT vide its letter

dated 27th Dec 2012, seeking the recommendations of TRAI under TRAI Act for implementing

full Mobile Number Portability i.e. MNP across licensed service areas.

The salient features of the recommendations are following:

a) After the Full Mobile Number Portability (inter-service area portability) is implemented

the Recipient Operator will forward the porting request to the MNPSP of the zone to

which original number range holder (the Telecom Service Provider to which the number

originally belonged before its first porting) belongs.

b) Telecom Service Providers will be given 6 months time for implementation of Full Mobile

Number Portability.

c) Some modifications have been suggested to the MNP service licence, to facilitate inter-

service area porting (Full MNP)

d) Testing Fee for testing the various scenarios in Full MNP may be reduced to 25% of the

current prescribed Fee for TSPs and MNPSPs.

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2.2 Performance of the Private Corporate Business Sector during Q1 2013-14

Sales growth (Y-o-Y) continued to decelerate and reached the post crisis low of 2.6 per

cent. Total expenditure growth also declined to 2.2 per cent mainly due to raw material

expenses contraction.

Earnings before Interest, Tax, Depreciation & Amortization (EBITDA or operating profits)

grew marginally by 1.1 per cent against near stagnation seen in the previous quarter.

However, net profit contracted for the second consecutive quarter. While EBITDA margin

remained range bound, net profit margin declined further.

Sales of the manufacturing sector remained almost stagnant with a growth of only 0.8 per

cent in Q1:FY14. EBITDA and net profits contracted and profitability in terms of

EBITDA and net profit margins worsened.

Sales growth for the non-IT services sector was lower than that of the previous quarter.

EBITDA recorded a meager growth of 1.3 per cent but net profit contracted. EBITDA and

net profit margins recorded some improvement.

Improvement in sales growth was noticed for the IT sector. EBITDA also grew at a higher

rate in comparison to the previous quarter. Net profit increased after contraction in

Q4:FY13. While EBITDA margin improved, net profit margin continued to decline.

Growth in the interest expenses recorded increase in Q1:FY14 at the aggregate level and

also for the manufacturing sector. Interest coverage ratio (Earnings before Interest &

Tax/Interest expenses) contracted for manufacturing and services (other than IT) sectors.

Decline in sales growth was spread across most of the industries. Sales contracted in the

motor vehicles, iron & steel, cement, coke & refined petroleum products and electrical

machinery and apparatus industries among the major industries. Cement, iron & steel and

construction industries witnessed significant contraction in EBITDA and net profit. Profit

margins contracted in all these industries. Interest coverage declined in most of the

industries.

Please refer to Table 2:

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Table 2

Performance of Non – Government Non-Financial Companies

Indicator

Q1FY13 Q4FY13 Q1FY14

Amount in

Rs. billion

Y-o-Y

Growth in

Per cent

Amount in

Rs. billion

Y-o-Y

Growth in

Per cent

Amount in

Rs. billion

Y-o-Y

Growth in

Per cent

Number of Companies 2,790 2,686 2,768

Sales 7167 13.4 7,773 4.2 7258 2.6

Value of Production(VOP) 7217 12.9 7,829 4.1 7273 2.1

Expenditure, of which 6302 15.8 6,849 4.7 6353 2.2

Cost of Raw Material 3436 13.4 3,710 2.6 3283 -2.7

Staff Cost 517 17.3 552 13.5 573 13.9

Power & fuel expenses 268 22.4 253 3.7 248 1.1

Operating Profits (EBITDA) 916 -3.7 979 -0.1 919 1.1

Other Income 159 29.5 196 -1.4 204 28.0

Depreciation 246 10.3 266 8.4 265 9.4

Gross Profits (EBIT) 828 -2.5 909 -2.6 858 3.9

Interest 282 37.9 280 10.9 303 12.1

EBT 546 -15.4 630 -7.7 555 -0.1

Tax Provision 161 -3.6 157 -2.5 157 0.8

Net Profit 424 -10.7 441 -16.0 376 -10.9 Source: RBI

2.3 Use of Importer-Exporter Code Number Allotted to Importers/Exporters by DGFT

As per Section 7 of The Foreign Trade (Development and Regulation) Act, 1992 read along with

Rule 12 of Foreign Trade (Regulation) Rules 1993, every person should make import or export

only with Importer-Exporter Code (IEC) Number allotted to him. This has been further amplified

by Para 2.9.2 of Hank Book of Procedures, Vol.I, 2009-14 which states that an IEC Number

allotted to an applicant is valid for all its branches/divisions/units/factories. Therefore, the IEC

Number cannot be used by anyone other than the IEC holder himself/herself, except in case

importers or exporters are exempted from obtaining IEC and who use permanent (common) IEC

Numbers under Para 2.8 of Hand Book of Procedures, Vol.I, 2009-14.

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It has been brought to the notice of the Directorate General of Foreign Trade that some

importers/exporters are effecting imports/exports by using IECs issued to others which is a

complete violation of provisions of the Foreign Trade Policy

The Directorate General of Foreign Trade vide their Policy Circular No. 6(RE-2013)/2009-2014

dated 16th

September, 2013 have cautioned the importers/exporters as well as all other stake

holders to comply with the provisions of FT(DR) Act and Rules made there under while using

their IEC Number. Non-compliance/violation of these provisions would attract action in the form

of suspension/cancellation of IEC or imposition of penalty, as appropriate, under the relevant

provisions of FT (DR) Act and Rules.

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3. Market Trends

BSE: The 30 share BSE Sensex decreased by 1.7 per cent and closed at 19,727.27

NSE: S & P CNX NIFTY decreased by 1.9 per cent and closed at 5833.20

Dollar: The value of Rupee appreciated by Rs. 0.7 against the US dollar during the

week and closed at Rs 61.81 per dollar.

Euro: The value of Rupee appreciated by Rs. 1.3 against the Euro and closed at Rs.

83.42 per euro.

Gold: Prices of gold increased by Rs. 474.91 per 10 grams during the week and closed

at Rs. 30269.29 per 10 grams.

Silver: Prices of silver increased by Rs. 523.48 during the week and closed at Rs.

50241.16 per kg.

Crude Oil: The prices of crude oil decreased by USD 1.4 and closed at USD 106.9 per

barrel.

Forex Reserves: India’s Foreign Exchange reserves increased by USD 2.0 billion to

USD 277.3 billion during the week-ended Sep, 20, 2013.

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4. Global Developments

4.1 UK Index of Services, July 2013

The Index of Services increased by 1.8% in July 2013 compared with July 2012. Three of the

four components of the services industries increased in the most recent month compared with

the same month a year ago.

The largest contributions came from business services & finance, which contributed 0.8

percentage points to total growth, and distribution, hotels & restaurants, which contributed 0.7

percentage points to total growth.

The latest Index of Services estimates show that output increased by 0.2% between June 2013

and July 2013, having been flat between May 2013 and June 2013.

Evidence suggests that the warm weather may have had a positive impact on overall output in

the services industries in July. In particular, Retail Sales, released on 15 August 2013,

highlighted that the sunny weather boosted sales across a range of products including food,

alcohol, clothing and outdoor items.

The Index of Services increased by 0.6% in Q2 2013 compared with Q1 2013. This figure is

unchanged from the previously published estimate used in the Second Estimate of Gross

Domestic Product (GDP) and is consistent with the estimate used in the Quarterly National

Accounts published on 26 September 2013.

In Q2 2013, the Index of Services was 0.3% below its peak level in Q1 2008, demonstrating

that almost all of the lost output in services during 2008 and 2009 has now been recovered.

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4.2 China’s Industrial Profits from Principal Business Increased

From January to August, the industrial profits of enterprises above designated size achieved

3,486.39 billion yuan, an increase of 12.8 percent over the same period last year, 1.7 percentage

points higher than that in the first seven months. Of which, the industrial profits from principal

business achieved 3,580.06 billion yuan, an increase of 4.9 percent over the same period last year,

0.2 percentage point lower than that in the first seven months.

In August, the industrial profits of enterprises above designated size achieved 483.17 billion yuan,

an increase of 24.2 percent over the same period last year, up by 12.6 percentage points over the

previous month. Of which, the industrial profits from principal business achieved 445.39 billion

yuan, an increase of 4.0 percent over the same period last year, up by 2.2 percentage points over

the previous month.

From January to August, the revenue from principal business of enterprises above designated

reached 64,505.85 billion yuan, increased 10.9 percent over the same period last year. The cost of

main business revenue for per hundred yuan stood at 85.9 yuan, with the profit margin hit 5.4

percent when calculated with total profits, and 5.55 percent when calculated with profits from

principal business.

Source: China Statistical Office

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4.3 US Multifactor Productivity Increases

Multifactor productivity – defined as output per unit of combined inputs – increased in 55 of the

86 four digit NAICS manufacturing industries in 2011, This was down from 2010, when

multifactor productivity increased in 63 of those industries. However, more industries recorded

increases in multifactor productivity in both 2010 and 2011 than in any year since 2004.

Multifactor productivity is measured in two transportation industries. Multifactor productivity

increased 1.2 percent in air transportation and decreased 1.6 percent in line-haul railroads.

Multifactor productivity indexes relate the change in real output to the change in the combined

inputs of labor, capital, and intermediate purchases consumed in producing that output.

Multifactor productivity growth measures the extent to which output growth has exceeded the

growth in inputs, and reflects the joint influences on economic growth of a variety of factors that

are not specifically accounted for on the input side, including technological change, returns to

scale, enhancements in managerial and staff skills, changes in the organization of production, and

other efficiency improvements.

Fewer 4-digit NAICS industries exhibited increases in output or combined inputs in 2011

compared to the previous year. Output increased in 54 manufacturing industries in 2011,

compared to 60 in 2010. However, the number of industries where output increased and the

number of industries where combined inputs increased were much higher in 2011 compared to

2009.

For some manufacturing industries, multifactor productivity rose despite falling output, as

combined inputs fell more rapidly. This occurred in 12 of the industries studied, including other

transportation equipment, household appliances, cutlery and hand tools, and printing and related

support activities.

Combined inputs of capital, labor, and intermediate purchases rose in 47 manufacturing industries

in 2011, compared to 54 industries in 2010. Purchases of intermediate inputs rose in 48 industries,

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labor hours rose in 51, and capital services rose in 25 industries. Industries with the largest

increases in combined inputs were motor vehicles; audio and video equipment; agriculture,

construction and mining machinery; and turbine and power transmission equipment.

Of the 39 industries where combined inputs fell in 2011, multifactor productivity rose in 31.

Within this group, the largest declines in combined inputs occurred in other transportation

equipment and household appliances. In both industries, the declines in combined inputs were

primarily caused by decreases in intermediate purchases.

5. Data Appendix

Table 3

Latest Available Financial Information

Item Sep. 13, 2013 Sep. 20, 2013

Percentage

Change

Deposits of Scheduled Commercial

Banks with RBI (Rs.Billion) 3,563.62 3,206.48 -10.0

Foreign Currency Assets of RBI

(Rs.Billion)

25,307.32 24,586.83 -2.8

Advances of RBI to the Central

Government (Rs.Billion) - - -

Advances of RBI to the Scheduled

Commercial Banks (Rs.Billion) 428.00 422.28 -1.3

Table 4

BSE Sensex and NSE Nifty Index

Index Sep. 23, 2013 Sep. 27, 2013

Percentage

Change

BSE SENSEX 20,060.82 19,727.27 -1.7

S & P CNX NIFTY 5945.80 5833.20 -1.9

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ASSOCHAM Economic Research Bureau

ASSOCHAM Economic Research Bureau (AERB) is the research division of the

Associated Chambers of Commerce and Industry of India. The Research Bureau

undertakes studies on various economic issues, policy matters, financial markets,

international trade, social development, sector wise performance and monitoring global

economy dynamics.

The main banners of the Bureau are:

ASSOCHAM Eco Pulse (AEP) studies are based on the data provided by various

institutions like Reserve Bank of India, World Bank, IMF, WTO, CSO, Finance Ministry,

Commerce Ministry, CMIE etc.

ASSOCHAM Business Barometer (ABB) are based on the surveys conducted by the

Research Team to take note of the opinion of leading CEOs, MDs, CFOs, economists and

experts in various fields.

ASSOCHAM Investment Meter (AIM) keeps the track of the investment

announcements by the private sector in different sectors and across the various states

and cities.

ASSOCHAM Placement Pattern (APP) is based on the sample data that is tracked on a

daily basis for the vacancies posted by companies via job portals and advertisements in

the national and regional dailies, journals and newspaper. Data is tracked for 60 cities

and 30 sectors that are offering job opportunities in India.

ASSOCHAM Financial Pulse (AFP) as an analytical tool tracks quarterly financial performance

of India Inc; forming strong inter-linkages with the real economy and presents sectoral insights

and outlook based on financial indicators, demand signals and corporate dividend activity.

Email: research@assocham.com

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THE KNOWLEDGE CHAMBER

Evolution of Value Creator ASSOCHAM initiated its endeavor of value creation for Indian

industry in 1920. It has witnessed upswings as well as upheaval of Indian Economy and

contributed significantly by playing a catalytic role in shaping up the Trade, Commerce and

Industrial environment of the country.

ASSOCHAM derives its strength from the following Promoter Chambers: Bombay Chamber of

Commerce and Industry, Mumbai; Cochin Chamber of Commerce and Industry, Cochin; Indian

Merchant's Chamber, Mumbai; The Madras Chamber of Commerce and Industry, Chennai; PHD

Chamber of Commerce and Industry, New Delhi.

VISION

Empower Indian enterprise by inculcating knowledge that will be the catalyst of growth in the

barrier less technology driven global market and help them upscale, align and emerge as

formidable player in respective business segment

MISSION

As representative organ of Corporate India, ASSOCHAM articulates the genuine, legitimate

needs and interests of its members. Its mission is to impact the policy and legislative

environment so as to foster balanced economic industrial and social development. We

believe education, health, agriculture and environment to be the critical success factors.

GOALS

To ensure that the voice and concerns of ASSOCHAM are taken note of by policy makers and

legislators. To be proactive on policy initiatives those are in consonance with our mission. To

strengthen the network of relationships of national and international levels/forums. To develop

learning organization, sensitive to the development needs and concerns of its members. To

broad-base membership. Knowledge sets the pace for growth by exceeding the expectation, and

blends the wisdom of the old with the needs of the present.