23 Jul 2020
Keen to expand your business by entering new markets and exploring new opportunities? The ongoing pandemic, which is re-writing the rules of business and driving companies into re-think, re-strategise and re-boot mode, can be an excellent opportunity to enter new markets.
The Confederation of Indian Industry (CII) has been at the forefront of helping companies expand their global footprint. As early as 1977, it opened its first overseas office in Saudi Arabia, opening new vistas and horizons for Indian firms. It also began taking Missions and Delegations overseas and held international trade fairs and exhibitions to help Indian industry expand its global footprint.
With the same spirit and vision, CII launched Market Facilitation Services (MFS) in 2019 with the focussed aim of helping companies enter global markets. A consultancy service, MFS is part of CII’s constant efforts to reorient activities to keep pace with changing paradigms in the global trade and investment ecosystem by providing fee-based, bespoke firm-level advisory services for specific requirements of companies.
The outbreak of Coronavirus has disrupted economies across the globe, and as and when they start reviving, global trade-related activities are likely to resume at a faster pace than investment-related activities. MFS produces reports and studies which will help companies make informed choices about entering new markets given the depth and range of information presented in them.
It presents reports in three categories:
Country Import Profile Reports
Export Advisory Reports
Investment Advisory Reports
Country Import Profile Report
These reports cover:
- The top 25 imports of countries over five years, which are examined to give detailed and focussed information to help companies plan projects using this business intelligence as a starting point.
- A list of top 25 imports at the six-digit level for five years, along with the CAGR of imports. Additionally, each of the 25 products is further analysed to show which countries are top exporters for each 6-digit product, what are India’s exports and ranking, and what is the tariff levied.
- An analysis of the balance of trade for each of the top 25 products to gauge if imports are taking place for re-exports, or, for local consumption.
- A list of NTLs (National Tariff Line), where available, to highlight customisations for that market.
- A list of trade barriers, if any, for top imports.
- A list of importing companies in that country for the top imported products so that Indian industry has the first touchpoint.
Each report also covers any COVID-related measures/initiatives announced by governments, apart from a conclusion suggesting specific product categories that hold potential for exports.
So far, MFS has released eight reports on Thailand, Vietnam, Myanmar, Malaysia, Indonesia, Singapore, Egypt and South Africa covering the ASEAN region and select African economies.
Export Advisory Reports
These reports assist in formulating export plans since they help identify changes required to products, such as size and labelling, for export markets. They also help assess domestic production capacity for catering to exports. Each report covers:
i. Computation of RCA to highlight export potential.
ii. A shortlist of top importing countries basis analytical tools such as shift-share analysis, moving average and imports’ CAGR to arrive at a comprehensive list of top importing countries.
iii. List of export competitors, India’s exports, ranking and exports’ CAGR.
iv. Tariffs levied on imports from export competitors and imports from India.
v. List of non-tariff measures and import requirements.
vi.List of NTLs, where available.
vii. List of importing companies in top importing countries.
Investment Advisory Reports
These reports help companies prepare their market entry strategy. Each report covers:
- The big picture assessment, including a political landscape review as well as a macroeconomic review, overall ease of doing business and a market overview and analysis.
- Competition analysis, including a SWOT analysis of principal components.
- An evaluation of the regulatory and policy landscape including the list of approvals and registrations required, and incentives available to foreign investors.
- Labour rules and regulations including employment and immigration laws, visa rules and minimum wages and salaries as per government regulations.
- Company incorporation, including the process for incorporating the business entity.
CII, with 9 overseas offices in Australia, China, Egypt, Germany, Indonesia, Singapore, UAE, UK, and the USA, as well as institutional partnerships with 394 counterpart organisations in 133 countries, serves as an excellent platform for companies keen to expand business operations overseas.
Through the dedicated services offered by MFS, companies can leverage CII’s business intelligence, knowledge and reach to navigate their way in this new world and ride the wave of change.
For more details, contact Bhavna Seth Ranjan at bhavna.ranjan@cii.in.