The Future of Emerging Markets
Breaking the Barriers for Growth
Speaking on the investment strategies Auma has for the country, Goel discloses, “Our company consistently invests in our local facilities to keep these in-line with the best in the world. Our R&D facilities have recognition from the Department of Science and Technology and develop products locally to meet the requirements of the Indian customers. Our focus is on high-end technologies for process automation.”
Key to Growth
Apart from bringing in investments in the country, a majority of multinational companies are using India as their pivot for increasing their market share. Elaborating on the same Goel mentions, “Auma India is an important player in the Auma Group, and it supports the supply of equipment by the Indian EPCs and valve manufacturers for national and international projects. A good percentage of Auma India’s production is used outside India in the equipment supplied through Indian companies.”
Rao too informs that his company exports goods manufactured in India. “India has the largest operation outside Switzerland in terms of engineering and manufacturing activities, investment and manpower. Burckhardt Compression Group has various types of compressors in its product basket. Out of which the smaller frame size compressors are exclusively built in India and are exported across the globe.”
A Focus for Investment...
Consistent with the investment, Rao also states that India is and will remain key for his company’s growth given the strategic location and the advantages that the country provides to its firm specific strategy.
For the Freudenberg Group, India is a market with one of the world’s biggest potentials. “For us the motto is long-term commitment for long-term success. We will continue to strengthen our market position by serving our customers in India to the best of our abilities, just as we do throughout the world,” conveys Dr Großmann. The Freudenberg Group feels that it will grow more quickly in the growth regions of the world than in established markets. In 2014, the technology group generated overall sales of `1,497 crore (+32.8% Vs. 2013) in India.
As of December 31, 2014, Freudenberg employed 2,800 full-time associates at around 50 locations in India—with four R&D centers and 14 production sites with state-of-the-art shopfloors. The company, according to Dr Großmann, will continue to invest in India over the coming years.
The Future Looks Bright
To the point It is clear that India’s latent potential is going to be the reason for companies to further invest in the process sector. Adding to this is the fact that regions such as India will show higher growth than that in established markets for companies who have a multinational presence. And in tune with the Make in India campaign, the future seems to be a bright one for the sub-continent.