0281

SUMMER INTERNSHIP PROGRAM

1 | P a g e

The Indian engineering industry is the largest among the industrial sectors in the country, with small and medium enterprises (SMEs) playing a dominant role in the growth of this industry. In the recent past, the industry showed impressive growth propelled by growth of user industries such as refinery, power, railways, infrastructure, mining, automobiles, auto components and others. Engineering Export Promotion Council (EEPC) was set up in 1955 as a non- profit organization under the sponsorship of Ministry of Commerce, Govt. of India, for export promotion of engineering goods, projects and services from India. Now the council is known as EEPC INDIA because it has diversified its business and they are looking after imports and investments also.

This report provides comprehensive information about the marketing activities of the council, detail of the various promotional events conducted for 2009 and Technology upgradation fund scheme for engineering sector. For this purpose this project has been divided into three stages which are given in the following table:

STAGES MAIN ACTIVITY Stage 1 Study of Marketing Activities of the council

Stage 2 Marketing of various promotional activities of the council

Stage 3 Technology Upgradation Fund Scheme Stage 1: Study of Marketing Activities of the council

The objective behind the study of marketing activities of the council was to get an idea that how the council works on ground level.

The marketing activities of the Council are manifold and in addition to direct marketing, structured promotional events are organized on a regular basis so as to create awareness on the capability of Indian engineering exporters. The various promotional activities carried out on a regular basis are product specific delegation to select countries, exclusive Indian Engineering Exhibition, country participation in Specialized Trade Fairs, Catalogue Show, Buyer-Seller Meets, Product Specific Seminars and Conferences - both in India and abroad.

� Publicity & Promoting the ‘Made in India’ brand � Organizing INDEE / INDIATECH Exhibition � Participates at leading Exhibitions and Trade Fairs � Seminars and Conferences

1: Executive Summary


2 | P a g e

� Trade Delegations and Buyer-Seller Meet � Trade Informatics Division (TID) � Foreign Offices of the Council � The India Engineering Center � Export Related Services to Members � Services to the Overseas Buyers

Stage 2: Marketing of various promotional activities of the council

This project also focuses on the marketing efforts required to achieve the overall objective of proposed promotional activities for 2009. The Council organizes structured promotional events on a regular basis to create awareness on the capability of Indian engineering exporters. The objective was to increase the effectiveness of the proposed promotional activities conducted for growth of engineering export.

Basically the work was to identify the potential suppliers in India who are able to cater goods and services conforming to overseas buyer’s needs so that focused direct efforts can be made towards the promotional activities. This work was an attempt to encourage the member exporters to participate in the events.

Stage 3: Technology Upgradation Fund Scheme

The capability of Indian MSME (Micro, Small and Medium Enterprises) products to compete in international markets is reflected in its share of about 40% in total engineering exports. In view of this, export promotion from the small scale sector has been accorded high priority in India’s export promotion strategy which includes simplification of procedures, incentives for higher production of exports, preferential treatments to MSMEs in the market development fund, simplification of duty drawback rules, etc.

With a view to rendering assistance to Micro, Small and Medium Manufacturing Enterprises in the field of exploring market potential, export promotion, participation in international trade fair exhibition government is implementing various schemes and one of them is Technology Upgradation Fund Scheme. The commerce ministry has asked the Engineering Export Promotion Council, India (EEPC) to work out the details including defining all the sub-sectors that would be included in the scheme and also the eligibility criteria.

EEPC India is developing a Technology Upgradation Fund Scheme for the Engineering Sector. In this Scheme, financing mechanism will be provided to engineering companies to updrade their existing as well as new technologies. For this purpose, EEPC India seeks the views of the members on the nature of technology required by each segment of engineering so that it is possible to include these technologies in the Technology Upgradation Fund Scheme.


3 | P a g e

So a part of the study was to define the scope of technology upgradation fund scheme. A Questionnaire was designed and sent to all the members of the council to get all the details of their existing technologies and the technology to which they would like to upgrade. After getting the requirements from the member exporters, analysis was done and the scope of the Technology Upgradation fund Scheme was defined. Finally a draft of technology upgradation fund scheme was prepared covering the different aspects of the scheme.

The various aspects covered in the scheme are as follows:

� Definition of Technology Upgradation � Objective � Fund Requirement � Scope of the scheme � Scheme Outline � Eligibility of other investments � Voluntary Retirement Scheme � Eligible Specified Machinery � General Eligibility Conditions � Loans under the Scheme � Working Capital Requirements � Technical Advisory-cum Monitoring Committee (TAMC) � Nodal Agency

� Nodal Banks

To conclude all I will say this project titled “Study of marketing Activities, Technology Upgradation fund scheme for engineering sector and marketing of various promotional activities of EEPC India” discusses the initiatives taken up by EEPC India to boost Indian engineering export.


4 | P a g e

EEPC… …YOUR TRUSTED PARTNER

� Largest Export Promotion council in the country. � Considers QUALITY as the very essence of successful marketing of any product.

Introduction

Way back in 1955-56, the nascent Indian engineering sector was in the process of diversifying and restructuring the narrow export base of the industry and it needed a strong push - the Engineering Export Promotion Council (EEPC) was set up in 1955 as a non- profit organization under the sponsorship of Ministry of Commerce, Govt. of India, for export promotion of engineering goods, projects and services from India.

Two - Point Objective

� Facilitating exports of Indian engineering products & services to the global market. � To provide the overseas buyers true value.

Accreditations

� Council has the distinction of achieving the ISO 9002 accreditation from world renowned KPMG.

� This has further been upgraded to ISO 9001:2000 for designing and organizing exclusive Indian Engineering Exhibitions abroad.

Membership

Council has a membership of nearly 13,000 Indian firms covering the entire spectrum of engineering industry consisting of

� Large Corporate Houses, � Small and Medium Enterprises (60%), � Trading Companies, � Business and Trade associations.

Functions Of The Council

� Fixation of annual target for engineering exports thereby deciding upon the measures and promotional activities that are required to be undertaken for achieving the same.

2.1: Company Profile

2: Introduction


5 | P a g e

� Make suggestions and recommendations on policy matters to the government for consideration, particularly at the time of framing the Foreign Trade Policy and Union Budget.

� Acts as an Interface between exporters and various � Government Agencies, � Customs, � Excise, � Reserve Bank of India, � Export Credit Guarantee Corporation (ECGC), � Export Import Bank Of India, � Shipping Lines,

� Freight Forwarders Association in all matters to ensure smooth growth in exports.

� Council is in constant touch with Directorate General of Foreign Trade (DGFT) and Government of India for the clarification on matters relating to policy and procedures of the Foreign Trade Policy.

EEPC Offices In India and abroad

7 Offices in India:

Head office: Kolkata

Territorial Division: New Delhi

Regional Offices:

� Chennai (South) � Kolkata (East) � Mumbai (West) � New Delhi (North)

Sub-Regional Offices:

� Bangalore � Hyderabad � Jalandhar

4 Overseas Offices:

� Chicago, United States (covering North, Central and Latin America), � Dusseldorf, Germany (covering Europe and adjoining regions), � Singapore (covering ASEAN countries, Far East Asia and Oceania), and � Lagos, Nigeria(covering African Countries)


6 | P a g e

� To learn the various marketing activities of the organization.

� To increase the effectiveness of the proposed promotional activities conducted for growth of engineering export.

� To increase the effectiveness of Technology Upgradation Scheme.

This objective will be achieved by:

� Understanding the global business environment and the markets in which business activities take place.

� Organizing participation in the important trade fairs/exhibitions projecting the capabilities and technological advancement of Indian Engineering Industry

� Identifying the potential suppliers in India who are able to cater goods and services conforming to overseas buyer’s needs so that focused direct efforts can be made towards the promotional activities.

� Dissemination of useful trade information to member exporters in areas like enquiry, tender, project, trade opportunities, market reports, country reports, trade statistics etc. by means of e-mails and hosting in the Council’s Website on regular basis.

� Focused publicity for the events.

� Encouraging the member exporters to participate in the events. Also, find out the grievances, if any.

� Identifying the sub-sectors and the eligibility criteria for Small and Medium Enterprises for availing the benefit of Technology Upgradation Fund Scheme.

� Understanding marketing activities of the council.

� Study of the product panels. The Council has set up different Product Panels keeping

in view the highly diverse nature of the engineering sector.

� Some Research work on secondary data available from different sources like internet, reviews, material provided by EEPC and magazines.

� Secondary Research for identification and selection of potential member exporters for the required products.

2.2: Objectives

2.3: Methodology


7 | P a g e

� Analyzing the opportunities for various promotional activities.

� Circulation of the Council’s weekly E-Info bulletin in electronic form to all members for providing a wealth of useful information.

� Getting the requirement of the SME regarding the new technology they want to bring with the help of the questionnaire.

� Based on the requirement analysis defining the scope of Technology upgradation fund scheme.

� The project basically focuses on the marketing efforts required for the

promotional activities in India whereas the council does lots of activities for promoting the event overseas as well.

� Limited practical experience in this field.

� Limited availability of primary data.

� Part of the study is based on the secondary data available on internet and past records.

2.4: Limitation of the Study


8 | P a g e

The Indian engineering industry is the largest among the industrial sectors in the country, with small and medium enterprises (SMEs) playing a dominant role in the growth of this industry. In the recent past, the industry showed impressive growth propelled by growth of user industries such as refinery, power, railways, infrastructure, mining, automobiles, auto components and others.

Structure The industry has two segments, namely heavy engineering and light engineering. The heavy engineering segment involves sophisticated technology and greater competence, calling for a more organized format. However, for the light engineering segment, the entry barrier is low in terms of lower capital and technological requirements, which has resulted in many unorganized, fragmented medium and small enterprises. The two segments produce a range of products including material handling equipment, gears, industrial machinery, machine tools and electrical equipment among others. The light engineering industry comprises of a number of sectors including castings and forgings to the highly sophisticated micro-processors based process control equipment and diagnostic medical instruments. This group also includes industries like bearings, steel pipes and tubes, fasteners, etc. The products covered under the engineering industry are largely used as input to the capital goods industry. Hence, the demand of this sector depends on the demand of the capital goods industry.

Growth Trends

Production

� The automobile industry accounts for bulk of the total demand of this industry, with an estimated share of 35 percent. The share of the electrical industry is 12 per cent, after market (replacement) share is 40 percent and the remaining 13 percent comprises consumption by other industries.

� The production of ball and roller bearings during the year 2006-07 was 327.9 million. During the year 2007-08 (up to December 2007), the production was reported at 218.87 million numbers. The bearing industry is eligible for 100 per cent foreign direct investment (FDI) under the automatic route.

3: Main Text

3.1: Outlook and Potential of Indian Engineering Industry


9 | P a g e

� The Indian foundry industry is the fifth largest in the world. Usually, each foundry cluster caters specifically to some end-use markets. For example, the Coimbatore cluster is famous for pump-sets castings, the Kolhapur and Belgaum cluster for automotive castings, the Rajkot cluster for diesel engine castings and Batala and Jalandhar cluster for machinery parts and agricultural implements.

� The production of steel castings and C.I. castings for the year 2006-07 in the organized sector was 7.79 lakh tonnes. During the year 2007-08 (up to December 2007) the production stood at 5.72 lakh tones

� Most of the units manufacturing medical equipments are in small-scale industries SSI sector. The production for the year 2005-06 in the non-SSI sector is reported to be Rs 301.5 crores (US$ 61.85 million). During 2007-08 (up to December 2007) the production was reported at Rs 245.60 crores (US$ 50.39 million).

� The production for process control instruments for the year 2006-07 in the non-SSI sector is reported to be Rs. 326.03 crore (US$ 66.89 million). During the year 2007-08 (up to December 2007) the production was reported at Rs. 289.01 crore (US$ 59.30 million).

� The Indian forging industry has evolved as a major contributor to the manufacturing sector of the Indian economy. The key demand driver is the automobile industry. About 65 per cent of the total forging production is used in this sector. Thus, the fortunes of the forging industry are dependent upon the growth of automobile industry. The other industries that use forgings include Railways, Defence, Oil Exploration, Cement, Steel Industry and other engineering industries. During the year 2007-08 (up to December 2007) the production stood at 3,52,662 tonnes.

� The total production of all kinds of bicycles in the organized sector was 105.98 lakh numbers during the year 2006-07. During the year 2007-08 (up to December 2007) the production was reported at 81.13 lakh numbers.

� The production of nuts and bolts in the organized sector for the year 2006-07 was 90,629 tonnes. During the year 2007-08 (up to December 2007) the production of the industrial fastener industry stood at 66,772 tonnes.

� The machinery sector (except the transport equipments), which grew at a robust rate of 12.2 percent during April-November 2007, presents a mixed picture. The index of production of industrial machinery grew at 27.9 per cent during the period. The other drivers of growth included boilers, turbines and computer system and its peripherals, whose indices of production grew by 36.6 per cent, 57.4 per cent and 36.5 per cent, respectively, during April-November 2007 compared to the corresponding period in 2006. While the production of insulated cables/wires of all kinds increased by more than 2.5 times, the production of telecommunication cables, telephone instruments, TV receivers, and power and distribution transformers declined during the period.


10 | P a g e

� The EEPC conducted a series of workshops in 15 cities across India to increase the capacity of Indian engineering SMEs post-FTA.

� Engineering exporters are now looking at the domestic market seriously, as inventories are mounting due to global slowdown and crunch in demand.

Exports

� The Indian industry, because of its technological strength in the field has advantage over other developing countries in exports. This clearly indicates the current trend for increase in outsourcing by international manufacturers of engineering products from India.

� According to Engineering Exports Promotion Council (EEPC)’s earlier estimate that engineering exports could touch US$ 30 billion by 2008-09, with SMEs contributing nearly 40 per cent to the overall exports has already been accomplished in 2007-08.. Engineering exports have already crossed US$ 30 billion in the year 2007‐08. Engineering exports have been registering steady growth each year and has registered a growth of 25 per cent during 2007-08 over the previous year.

� As per 2007-08 estimates of EEPC, out of total engineering exports, capital goods and machinery account for around 38 per cent. Primary iron and steel and related items constitute 35 per cent; consumer durables about 15 per cent and non-ferrous metals and products about 12 per cent in all.

� The industry has an export target of US$ 100 billion by 2016, which can be achieved if exports grew by 20 per cent per annum up to 2010 and then by 14 per cent till the end of 2016.

Source: Engineering Exports Promotion Council (EEPC)

� Engineering Process Outsourcing (EPO) services are an emerging area in this industry. The Indian EPO market has the potential to exceed US$ 40 billion by 2020, raising India's market share in this category to 30 per cent from 12 per cent in 2006.


11 | P a g e

� The approximate export and import figures of the ball and roller bearings for the year 2006-07, are Rs 835.3 crore (US$ 171.38 million) and Rs 1920.6 crores (US$ 394.05 million) , respectively.

� The approximate export and import figures of the casting industry for the year 2006-07 were Rs 1978.6 crores (US$ 405.95 million) and Rs 47.5 crores (US$ 9.75 million), respectively.

� The approximate export and import figures of the Seamless Steel pipes & tubes industry for the year 2006-07 were Rs 1,192.4 crore (US$ 244.64 million )and Rs 2,646.5 crores, (US$ 542.98 million), respectively. 100 per cent foreign equity is allowed for the manufacture of this item under the automatic route.

� There was export of process control instruments worth Rs 201.1 crore (US$ 41.26 million) against import of around Rs 1231.1 crore (US$ 252.59 million) during 2006-07. 100 per cent foreign direct investment is allowed in this sector under automatic route.

� The approximate export and import figures of the industrial fastener industry for the year 2006-07 were Rs 886.9 crore (US$ 181.97 million) and Rs 819.5 crore (US$ 168.14 million), respectively

Constraints

� Growth of the sector has been hampered by the Reserve Bank of India (RBI) not supporting the export credit needs of small- and medium-scale exporters of engineering goods, which is likely to adversely affect the export target of US$100 billion by 2016.

� Indian Engineering exporters faced a disability factor of 16 to 18 per cent in comparison to just 6 to 8 per cent faced by their counterparts in South East Asia. Taxation issues such as service tax, state levies among others, amounting to "export taxes" erode the competitiveness of Indian exports.

� Reduction in the number of foreign offices of EEPC has also limited the exposure of Indian engineering SMEs abroad. The foreign branches of EEPC help SMES get relevant market and product related information to plan their export strategies accordingly.

� An additional fear for the engineering goods exporters has been over the large scale dumping by Chinese companies, whose orders to the US are said t have shrunk substantially in the wake of the financial crisis.

� The major imports of machine tools are already hampering the extensive use of indigenously developed tools.


12 | P a g e

Government Initiatives

Recognizing the critical importance of the engineering sector, the Government of India has taken several initiatives over the years to help the sector grow.

� The government established EEPC in 1955 under the umbrella of the Ministry of Commerce to diversify and restructure the narrow export base of the industry. From a small base, the EEPC has grown to become the largest export promotion council in India, with 60 per cent of its members being SMEs.

� EEPC has constituted a task force in December 2008 mainly to survey the current export pattern post meltdown in terms of both value and volume. A key element of the study would be to understand how the banks were now looking at export finance for the SMEs, who dominate export production in the engineering sector.

� Around 36 per cent of the total FDI is directed towards engineering industry through an automatic route, but subject to a limit of US$ 2 million of lump sum payments. Royalty payment is restricted to 5 per cent and 8 per cent on domestic and exports respectively. Depreciation on general plant and machinery is proposed to be around 15 per cent.

� Removal of tariff protection on capital goods

� Delicensing of heavy electrical industry and allowance of 100 per cent FDI.

� Various initiatives focused on infrastructure development and construction.

� The reduction of custom duties on various equipments.

� Urging the Government to extend its support with investments, like it made in the Hindustan Machines Tools, that gave an impetus to growth to the machine tools sector, more R&D institutions such as the Central Manufacturing Technology Institute (CMTI) should be set up in Bangalore, Rajkot, Ludhiana and Delhi, which are key manufacturing centers.

Future Opportunities

With industry-friendly policies and recommendations by bodies such as the EEPC, the engineering industry is poised for greater growth. An EEPC study recommends a focused approach for developing economies including China, East Asian and Latin American countries which are likely to emerge as key destinations for engineering exports. It also called for a concentrated approach towards developing a support infrastructure by the government in order to attract FDI and facilitate exports by SMEs.


13 | P a g e

The main users of the machine tools are automotive, auto component, aerospace, chemical processing and mother machine tool (that produces the machine tools required by the user industries) industries and this huge dependence on imported machine tools has now created the urge to indigenously develop the technology for producing high quality and reliable machine tools in the country.

In a bid to boost the sub-contracting business in industrial engineering in India, the Government is encouraging members of the EEPC with subsidy to put up their stalls in Hannover Messe, an international industrial technology fair, to be held in Germany in April, 2009.

Last year, 4800 small and medium enterprises in the industrial engineering sector worldwide

participation at the fair. This year, it expects over 6000 participants. About 50 EEPC

members confirmed their presence in Germany this April, while 120 independent sub-

contracts have already registered for the fair. The fair generated enquiries worth US$ 8.5

million for the Indian pavillion, when it was held in April 2008. IMTEX and Toolech 2009

may see the participation of leading foreign machine tool companies with Germany’s strong

patronage for the fourth consecutive participation in the event, underlining the keen interest

in the event. More than 25 countries will be participating in the eight-day meet.

At the golden jubilee celebration of the EEPC in January, 2007, former President APJ Abdul Kalam presented a nine-point roadmap for the engineering sector. He stressed on the need to review procedures, duties and levies imposed on the engineering goods exporters.

The US-India SME Summit in February 2008 attracted a large number of delegates and speakers who emphasized the need for a process through which SMEs could enhance their global competitiveness. The summit paid special attention to enhancing SME-partnership in engineering and manufacturing sectors. A major Indian SME business delegation, consisting of 65 Indian companies from a wide range of sectors including general engineering and machine tools visited Chicago in connection with the Summit.

Region Wise Export of Indian Engineering Goods & Services from 1956-57 t0 2007-08:

1956-57 2007-08

� Asia: 74% � Africa: 23% � Oceanic Islands: 2% � Australasia: 1%

� Asia: 25% � Europe: 25% � America: 19% � Middle East: 18% � Africa: 11% � Oceanic: 1% � Others: 1%


14 | P a g e

Export Promotion Activities & Services

The marketing activities of the Council are manifold and in addition to direct marketing, structured promotional events are organized on a regular basis so as to create awareness on the capability of Indian engineering exporters. The various promotional activities carried out on a regular basis are product specific delegation to select countries, exclusive Indian Engineering Exhibition, country participation in Specialized Trade Fairs, Catalogue Show, Buyer-Seller Meets, Product Specific Seminars and Conferences - both in India and abroad.

� Publicity & Promoting the ‘Made in India’ brand

� Organizing INDEE / INDIATECH Exhibition

� Participates at leading Exhibitions and Trade Fairs

� Seminars and Conferences

� Trade Delegations and Buyer-Seller Meet

� Trade Informatics Division (TID)

� Foreign Offices of the Council

� The India Engineering Center

� Export Related Services to Members

� Services to the Overseas Buyers

Publicity & Promoting the ‘Made in India’ brand

In the present scenario of global trade, emergence of trading block has necessitated the need for increased awareness on the India’s capabilities in the engineering sector and for popularizing the ‘Made in India’ brand image in the overseas markets.

With this objective in view, Council’s publicity programme does not only bank on releasing advertisements in leading dailies, but also highlighting the industrial image of India through screening of its film entitled: MADE IN INDIA at various Seminars/Conferences, Buyer-Seller Meets and International Exhibitions. Copies of this film are distributed amongst Chambers of Commerce and Trade Associations both in India and abroad, Indian Missions in identified thrust market, Foreign Missions in India. Council also distributes CD containing details of its members to leading Buying Houses, Chambers and Trade Associations, Trade Bodies, Indian Missions abroad.

3.2: Stage 1 Study of Marketing Activities of the council


15 | P a g e

It also brings out product specific catalogues on a regular basis highlighting the major manufacturers of such products, standard adopted, export destination and other details in order to instill confidence amongst the buyers on the reliability of Indian products.

The foreign offices of the Council – on the other hand – are spearheading Council’s direct publicity in overseas markets by undertaking exhaustive mailing campaign, disseminate information on source of supply and developments.

Organizing INDEE / INDIATECH Exhibition

The Council, to create increased awareness on India’s rapid progress in the engineering sector, organizes Wholly Indian Engineering Exhibition, known as INDEE. These exhibitions were branded as INDIATECH earlier.

These exhibitions are primarily meant to project to the overseas buyers about transformation of the Indian engineering industry from a supplier of low value, labor intensive products to technologically advanced items comparable with the products from the developed nations. The first of such series of exhibitions took place in Singapore followed by Jakarta and Bangkok.

Participates at leading Exhibitions and Trade Fairs

The Council also regularly organizes country participation in specialized overseas trade fairs like IHF and IFMA in Cologne, Spring Fair in Birmingham, National Hardware Fair in Chicago and similar other trade fairs all over the globe. In addition, the Council participates on a regular basis in several other exhibitions in large number of countries by setting up Information Booth in which product catalogues and literatures pertaining to Indian companies are displayed.

This multi-pronged involvement in specialized engineering exhibition and trade fairs have proved to be extremely productive and yielded in good result for Indian exporting community.

Seminars and Conferences

The Council organizes on a regular basis seminars and conferences on a wide range of topics to foster increased trade and formation of strategic alliances. Such conferences had earlier been held in Paris, Houston, Tokyo, Düsseldorf and other major cities on the issues related to third country cooperation in projects and sub-contracting.

The focus on such conferences have, of late, taken a paradigm shift and today they are oriented to focus on trade exchanges between India and trading blocks. The most recent of such conferences like Euro-India conference on sub-contracting collaboration, trade with SAARC, Afro-India, Indo-Lac, Indo-NAFTA were organized in which participants from these regions were invited for interaction with their Indian counter-parts on such platforms.


16 | P a g e

The participants in these events, from both the sides, found the meets to be extremely useful and were also immensely benefited.

Trade Delegations and Buyer-Seller Meet

The Council sponsors on a regular basis visit of multi-product Trade Delegations to identified market overseas to foster closer cooperation to promote strategic alliances and Joint Ventures with overseas companies. It also sponsors the visit of overseas delegations to India for similar activities on specific products and from various countries or regions so that continuity is maintained in the trade dialogue. The proposals for the delegations in both the directions are finalized on the basis of detailed inter-action and with the full support of the Ministry of Commerce, Government of India.

Trade Informatics Division (TID)

The Council has a Trade Informatics Division (TID) with servers in New Delhi, Kolkata, Mumbai and Chennai to provide single source of comprehensive information on Councils members, planned activities, trade data, macroeconomic snapshots of India and other countries, trade enquiries, market reports, overseas tender information, commercial news highlights, country profiles, importer’s list, home pages of Council’s members, Exim Policy highlights and hyperlinks to important data sources. The council’s website has been useful and updated information for overseas and Indian companies.

Besides exchange of data between offices, a number of in-house software is being used or is being developed to streamline operations.

Foreign Offices of the Council

International marketing of Indian engineering products now forms the major plank in the activities of the Council. The Council with its network of foreign offices located in Chicago, Düsseldorf, Singapore and Johannesburg assists its member exporters on an on-going basis for identifying potential products and markets thereby also generating business enquiries for them. The foreign offices are also regularly compiling market intelligence based upon which market survey reports are prepared for the benefit of the Indian exporters. They are also maintaining close liaison with buyers in the overseas markets and wherever necessary arranging their business promotion visits to India.

Council had earlier 13 foreign offices in early eighties which have been reduced to 4 only to date. The main focus of the Council’s foreign offices is, however, to service the SMEs who contribute nearly 40% to the overall engineering exports and also constitute two-third of the Council’s overall membership strength. Foreign offices of the Council are effective tools for Indian engineering exporters particularly for the SMEs who do not have the required infrastructure to get market and product related information and plan their export activities accordingly. Therefore, reduction in number of foreign offices has ultimately put the Indian


17 | P a g e

exporters into a great deal of trouble, as it is very difficult for the Council’s four foreign offices to cover the entire territory. Since engineering exports are the prime foreign exchange earners of the country, increase in Council’s foreign office is a must.

The India Engineering Center

India Engineering Centre (IEC) is set up by Engineering Export Promotion Council (EEPC) under the Market Access Initiative Scheme of the Ministry of Commerce Industry, Government of India. India Engineering Centre is a multipurpose outlet, which provides facilities like showroom, warehousing, distribution and marketing support to Indian engineering participating organizations.

The showroom of IEC provides a physical exposure of participant’s products to the US buyers and builds a bond of confidence. This will facilitate the Indian companies to invite their buyers in the US to the Showroom to have a look and satisfy themselves on the various aspects connected with quality and specifications of the goods.

EEPC has entered into an agreement with the leading shipping and forwarding company Schenker for providing warehousing facilities to members. The Schenker provides storage and handling of goods thereby ensuring timely delivery of Indian products as per the convenience of the US buyers. The distribution of products to any destination in USA can be provided as per the instructions.

As on date, 29 organizations from auto components, castings, forgings, pumps & compressors, machinery, SS utensils and hand tools etc. sectors are participating in IEC initiative.

The IEC was inaugurated on 27th September 2005 by Shri Kamal Nath, Hon’ ble Minister for Commerce & Industries, Government of India.

Export Related Services to Members

The services of the Council are planned in a manner to create an ambience for providing appropriate services to its members by taking up on their behalf issues related to policy and procedures for exports, timely availability of finance, coordination with financial institutions, banks and other institutions.

The Council keeps its members abreast of the trends and opportunities in international markets to provide commercially useful information so as to help, sustain and expand their exports. It also offers professional advice to the members in areas such as, technology upgradation, quality and design improvement, product development, innovations, environment protections, standards and specifications.,


18 | P a g e

In addition to the above, Council is always alert to the demands and ever changing needs of the small and medium enterprises in recognition to their commitments to exports and substantial contribution of the total engineering exports. It highlights issues related to small, medium and tiny sector exporters with the concerned authorities and also plays an active role in providing Market Development Assistance (MDA) for the cause of export marketing and market entries.

Services to the Overseas Buyers

EEPC provides a host of services to overseas buyers at no cost so as to facilitate in their sourcing of engineering goods & services from India. This includes -

� Acts as a dynamic vehicle and trusted link between Indian exporters and foreign buyers and helps to maintain mutual rapport.

� Identifies suitable suppliers in India who are able to cater goods and services conforming to buyer’s needs.

� Arranges visits of overseas buyers, exploratory missions, delegations to India.

� Provides supplier’s profile and status reports on request.

� Assists in establishing collaboration for third country exports.

� Makes foreign publicity to create awareness amongst overseas buyers on India’s technical competence and supply capability.

� Acquaints overseas buyers with business climate and policies prevailing in India.

� Helps in amicable settlement of trade disputes and removing operational constraints.


19 | P a g e

This project also focuses on the marketing efforts required to achieve the overall objective of proposed promotional activities for 2009.

The Council organizes structured promotional events on a regular basis to create awareness on the capability of Indian engineering exporters.

After organizing the event the council disseminates the useful information regarding the event to its member exporters by sending them circulars which consists of detailed information including the cost involvement and the application form.

To achieve overall objective of the event the council encourage the member exporters to participate in the events. This is done by identifying the potential members of the council.

The Council has set up different Product Panels keeping in view the highly diverse nature of the engineering sector. Each of these panels make concentrated effort to reach out its products & services to the global market. At present the council has 39 product panels.

In all the promotional events almost 5-6 product panels are involved comprising of approximately 1500 member exporters. We shortlist around 40-50 potential members based on their export performance. All the members are supposed to submit a certificate certifying their export performance in engineering goods and services during last year. Finally from there we shortlist those members whose export performance is above Rs. 50 Crores and send them personalized e-mails and reminders regarding the event.

All this is done basically for assuring their participation to achieve the overall objective of the event.

The council has categorized its members under three heads

Membership Categories

There are three categories of Members as detailed below:

Ordinary Member

All those:

(a) Who manufacturer process or convert engineering goods

(b) Merchant Exports and Export House

(c) Design engineering consultancy, erection ship-builders, ship-repairers, civil engineering

3.3: Stage 2 Marketing of various promotional activities of the council


20 | P a g e

and construction firm

(d) Institution, Chambers of Commerce & Industry and Trade Association

(e) Small Scale Units borne on the list of Directorate of industries or small Scale Service Institutes having engineering goods export of more than Rs. 60 lakhs during the preceding year: who are engaged in or interested in export promotion of engineering goods and services:

Associated Member

Small Scale Units borne on the list of Directorate of industries or small Scale Service Institutes whose export in engineering goods are up to Rs. 60 lakhs during the preceding year provided that any of the Small Scale Units falling in the above category, who voluntarily wishes to join the Council as Ordinary Member, will be permitted to do so.

Nominated Member

Individual nominated by the Government or other organizations in the Working Committee shall be treated as Nominated Members.

For promoting Indian Engineering Industry the council has organized various exhibitions this year. List of the Proposed Promotional activities is given below:

Proposed Promotional activities till June 2009:

Region Name of the Event Region/Country Dates Area(Sqm)/

Participants

General India Pavilion at

HANNOVER

MESSE 2009

Hannover, Germany 20-24 April

2009

500

50


project near east

2009

Amman, Jordan 04-07 May

2009

144

16

Focus

ASEAN +2

India Pavilion at

NATIONAL

MANUFACTURI

NG WEEK 2009

Melbourne, Australia 12-15 April

2009

99

10


21 | P a g e

Region Name of the Event Region/Country Dates Area(Sqm)/

Participants

Focus

ASEAN +2

India Pavilion at

INTERMACH

2009

Bangkok, Thailand 13-17 May

2009

99

10


SAUDI ELENEX/

AIRCON

Riyadh, Thailand 13-17 May

2009

99

10


Poznan

International Fair

(ITM 2009)

Poznan, Poland 06-10 June

2009

99

10


SUBCON 2009

Birmingham, UK 09-11 June

2009

132

10

Focus CIS India Pavilion at

KYIV

TECHNICAL

2009

Kiev, Ukraine 10-12 June

2009

132

10

General Indian Pavilion at

NEWCAST 2009

Dusseldorf, Germany 23-25 June

2009

297

33


22 | P a g e

The government is working out an ambitious technology upgradation fund scheme (TUFS) for the engineering sector, which constitutes the largest chunk of exports from India (over a fifth of the total exports) and employs 10 million people.

The approximately Rs 2,500 crore-scheme is to help the small and medium enterprises (SME) in the sector, particularly those units involved in value addition, import sophisticated and environmental-friendly machinery using cheaper credit to, in turn, produce competitively priced export items.

The plan is to create a huge demand in India for the latest capital goods, encourage SMEs to upgrade their technology, cut production costs and better compete with Chinese products in the international market, sources said. They said the scheme, once implemented, would also help boost industrial production and exports.

The timing of the preparation for the scheme is also significant as the government is expected to take a final stance on whether it would take part in ‘sectoral’ negotiations in the World Trade Organization (WTO) Doha Round negotiations on industrial goods. In the ‘sectorals’, India will have to decide on making commitments on either drastically reducing or eliminating duties on several items in sectors including engineering within the agreed timeframe.

Developed nations, eyeing larger market access in developing countries in the industrial goods market, want provisions on ‘sectorals’ to be included in the final text of the Doha Round talks. The US is keen on getting more markets access in three sectors - chemicals, electrical electronics and industrial machinery – for its goods in emerging economies.

The TUFS for the domestic engineering sector could then act as a compensation for them, as they are against the government entering into ‘sectoral negotiations. On the other hand, developed countries will be able to increase their capital goods export to India due to the demand following TUFS, sources said.

The TUFS would be a mix of credit at a lower interest rate and longer repayment period for these SMEs, who would then be mandated to boost their exports.

Small Industries Development Bank of India (SIDBI) would be the nodal financial institution for the scheme and it would either refinance the commercial banks lending to these SMEs or provide direct finance to SMEs. The commerce ministry has now asked the Engineering Export Promotion Council, India (EEPC) to work out the details including defining all the sub-sectors that would be included in the scheme and also the eligibility criteria.

3.4: Stage 3 Technology Upgradation Fund Scheme


23 | P a g e

EEPC has got in touch with Deloitte Touche Tohmatsu India and PricewaterhouseCoopers to help them in preparing a comprehensive draft scheme in this regard and in ensuring that the TUFS does not violate any WTO norms, including on subsidies.

The EEPC has already studied the TUFS and the Technology Mission on Cotton that helped the textiles industry to retain/improve its global market share after the removal of the Multi Fibre Agreement.

The engineering units that would be included in the scheme broadly belong to auto and auto components, electrical equipments, forgings, sheet metals, fasteners, transmission line towers, machinery & mechanical appliances, bicycle and parts, fencing and hardware. These are where most value addition happens in engineering exports sector, sources said.

About 70% of engineering exports is very low in value addition. “It is, therefore critical that we move up the value chain to increase our global market share. TUFS would incentivize SMEs invest in productive activities. The demand for capital goods in India can also play a role in reviving global economic growth,” he said. He sought the introduction of TUFS with corresponding fiscal measures like increasing the depreciation rate from 15% to 25% under the Income Tax Act for plant and machinery.

TUFS would also help the sector meet the European Union’s latest social accountability norms, including pollution norms and bring more acceptability in the international markets.

Good machinery could also act as an import substitute as the country would be able to produce more of good quality products in 6 to 12 months of such a scheme coming into force.

For this Purpose a questionnaire was designed and sent to all members of the Council to get their requirements on technology upgradation.

Refer to Annexure 5.3: Questionnaire on Technology Upgradation Fund Scheme.


24 | P a g e

Basically this requirement analysis was done to define the scope of this scheme. We got almost 60 responses from the members and from there we identified the sectors which will be covered under this scheme. After this the draft for this scheme was prepared which cover the following aspects:

� Definition of Technology Upgradation � Objective � Fund Requirement � Scope of the scheme � Scheme Outline � Eligibility of other investments � Voluntary Retirement Scheme � Eligible Specified Machinery � General Eligibility Conditions � Loans under the Scheme � Working Capital Requirements � Technical Advisory-cum Monitoring Committee (TAMC) � Nodal Agency

� Nodal Banks The Draft of Technology Upgradation Fund Scheme for the Engineering Sector is discussed in detail covering all its aspects.


25 | P a g e

Draft: Technology Upgradation Fund Scheme for the Engineering Sector � Definition of Technology Upgradation

Technology upgradation would ordinarily mean induction of state-of-the-art or near state-of-the-art technology. In the varying mosaic of technology in the Indian engineering sector, technology upgradation would mean a significant step up from the present technology level to a substantially higher one involving improved productivity, and/or improvement in the quality of products and/or improved environmental conditions including work environment for the unit. It would also include installation of improved packaging techniques as well as anti-pollution measures and energy conservation machinery. Further, the units in need of introducing facilities for in-house testing and on-line quality control would qualify for assistance, as the same is a case of technology upgradation.

� Objective

In spite of huge growth of Indian engineering sectors in the last few decades, the industry is suffering from severe technological obsolescence and lack of economies of scale. It is important to note that currently, contribution of high value added products to India’s engineering exports is insignificant and estimated at less than 2 to 3% of the total exports in 2004-05. Hence, there is need to concentrate on exports of higher value-added items so that the contribution of value added items in India’s engineering exports increases from current level to about 10% to 15% in near future.

Therefore the main objective behind the Scheme is to provide the necessary policy wherewithal for modernization of the engineering sector of the country.

� Fund Requirement

A corpus fund of Rs 500 crores will be arranged for this scheme and extensive R&D of the Indian engineering sector.

� Scope of the scheme

The Scheme will cover the following sectors, among others, and may be amended by the Government from time to time:

� Iron and Steel based products/sectors; fabricated steel structures, construction steel,etc � Hand Tools � Cutting Tools � Machine Tools � Sewing Machine and Parts � Bicycle Parts � Fasteners � Castings and Forgings


26 | P a g e

� Ring Rolling Mills with capacity to produce large outside diameter rings (up to 5 meters)

� Pumps � Electric Motors and Generators � Electrical Consumer Durables, � Welding Electrodes and wires Manufacturing � Non Ferrous Metals � Electrical Laminations for Motors and Transformers � Auto Components and Aerospace � Industrial Machinery, Other engineering machinery, Medical Devices, etc

The Scheme will be available for sourcing Capital Goods, Machinery items, Equipments, Clean Technologies including Tooling for production of Value Added Goods.

� Scheme Outline

The Scheme now provide Interest subsidy/capital subsidy/Margin Money subsidy on the basic value of the machineries and will include the tax component for the purpose of valuation.

� Capital Investment Subsidy plus Interest Reimbursement: A Capital Subsidy of 15% will be given for technology upgradation under the Scheme. There will not be a minimum or maximum limit for the cost of the new technology under the Scheme. For the balance, loan will be provided for acquiring the new technologies under the Scheme.

� Rate of Interest:

The loans will be made available from Banks & Financial Institutions. A reimbursement of 5 percentage points on the interest charged by the lending agency on a project of technology upgradation in conformity with the Scheme will be provided.

� Foreign Currency Loan:

The provision of Foreign Currency loan will be there for the engineering sector. The scheme will cover for exchange rate fluctuation not exceeding 5% per annum.

� Margin Money Subsidy @ 30% for MSME

The Scheme will now provide 30% Margin Money subsidy for MSME units in lieu of 5% interest reimbursement on investment in TUF compatible specified machinery subject to a capital ceiling of Rs. 300 lakh and ceiling on margin money subsidy Rs.30 lakh. A minimum of 15% equity contribution from beneficiaries will be ensured.


27 | P a g e

� Coverage of weak but potentially viable MSME units under TUFES:

Relaxation in norms for cash profit, promoters’ margin, debt equity ratio and revaluation of assets should be considered by Financial Institutions and Banks while preparing restructuring proposals for MSMEs.

� Cutoff Date: To determine the eligibility for capital subsidy for the eligible specified machinery the cutoff date will be date of commencement of commercial production irrespective of the date of the sanction of the loan. The date of commencement of commercial production shall be certified by Chartered Engineer and Chartered Accountant.

� Eligibility of Other Investments

1) The following investments for engineering sector will also be eligible to the extent necessary for the plant and equipment to be installed for Technology Upgradation and the total of such investments will not normally exceed 50% of the total investment in such plant and machinery:

� Land and factory building including renovation of factory building and electrical installations;

� Preliminary and pre-operative expenses; � Margin money required for working capital, specifically required for the

technology upgradation;

2) Investments in the installation of the following facilities including necessary equipment may be eligible only up to 30% of the cost of machinery:-

� Energy saving devices;

� Clean Energy Technologies including for nuclear energy and other alternative energy; � In-house R&D. � Information technology including Enterprise Resource Planning (ERP); � Total quality management (TQM) including adoption of appropriate ISO / BIS

standards.

3) Investment in the acquisition of technical knowhow including expenses on training and payment of fees to the foreign technicians.

4) Lending in excess of the limits prescribed above in respect of the items included in above paras (1) and (2) will attract the normal lending rates.


28 | P a g e

� Investment in common infrastructure or facilities by an industry association, trust or co-operative society in an industrial cluster or estate

Investment in common infrastructure facilities owned by the association, trust or co-operative society of the units participating in the TUFS, to the extent necessary for this purpose, including the following only up to 30% of the cost of TUFS eligible machinery of the participating in the TUFS modernization with a maximum of financial cap to be determined by the Technology Advisory and Monitoring Committee under the Chairmanship of Union Commerce Secretary from time to time:

� Common utilities, viz., water supply, power substation etc.

� Common captive power generation (including non-conventional sources).

� Common effluent treatment plant.

Any additional investments would attract the normal lending rates.

� Voluntary Retirement Scheme (VRS)

Voluntary retirement scheme (VRS) for restructuring of man power of an existing unit as a part of the technology upgradation project will be eligible for funding as a part of the project.

Eligible Specified Machinery

Installation of the following types of machinery in a new unit or in an existing unit by way of replacement of existing machinery and / or expansion will be eligible for coverage under TUFS scheme:

� Auto Components ------------------------------------------------ Annexure - A � Electric Motors and Generators � Electrical Consumer Durables � Castings, Forgings, Fasteners------------------------------------ Annexure - C � Hand Tools/ Cutting Tools -------------------------------------- Annexure - D � Non Ferrous metals ----------------------------------------------- Annexure - E � Pumps -------------------------------------------------------------- Annexure - F � Process Control Equipments ------------------------------------ Annexure - G � Machine Tools----------------------------------------------------- Annexure -D � Sewing Machine and Parts--------------------------------------- Annexure –H � Fabricated Steel Structures, Construction Steel, etc---------- Annexure-- I � Bicycle Parts------------------------------------------------------- Annexure-O � Precision Machined components------------------------------- Annexure--O � Others ------------------------------------------------------------ Annexure – O

Annexure - B


29 | P a g e

Other machinery eligible under TUFS scheme are as follows:

� New Environmental Technology/Machinery Required ------ Annexure – P � Energy Control or Saving Technology/Machinery Required Annexure – Q � Quality Control Equipment Required -------------------------- Annexure – R � Testing and Evaluation Machinery required -------------------Annexure – S � Other Ancillary Equipments required -------------------------- Annexure – T � Other Technology or Machinery -------------------------------- Annexure – U

� General eligibility conditions

Type of unit

� Existing unit with or without expansion and new units � Existing units can modernize and / or expand with the appropriate eligible technology. � New units must set up their entire facilities only with the appropriate eligible

technology. � Engineering units with 100% foreign equity

� Benefit of other Schemes

Engineering units are permitted to avail of benefits of other schemes, in addition to TUFS, unless specifically provided otherwise.

LOANS UNDER THE SCHEME

Under the Technology Upgradation Fund Scheme (TUFS), loans will be provided subject to terms and conditions given below:

� Amount of loan: The assistance will be need-based. There will be no minimum or maximum limit for individual loans.

� Promoter’s contribution: To be decided by the lending agency on the basis of its existing normal norms.

� Rate of Interest:

• Rupee loan:

Effective rate of interest to the concerned borrower will be five percentage points lower than the prevailing commercial rates of interest charged by the lending agencies concerned; the Ministry of Commerce will reimburse the five percentage points under the scheme.


30 | P a g e

• Foreign Currency Loan:

As applicable for normal Foreign Currency loan. However, cover for exchange rate fluctuation not exceeding 5% per annum would be provided under the scheme.

• Period of interest reimbursement:

a) 1. Interest reimbursement of 5% for eligible segments will be available for a period of 10 years including 2 years of implementation and moratorium. The implementation and moratorium period can be more than two years but interest reimbursement for implementation and moratorium period will be limited to two years only.

2. Interest reimbursement under TUFS would continue to be available during any extended / rescheduled period of repayment of loan not exceeding a maximum period of 10 years including two years of implementation and moratorium period, if such re-scheduling is accepted by the concerned nodal agency / coopted agency.

3. Interest reimbursement may be stopped if the borrower becomes defaulter in the repayment of the loan for two quarters. However, if the repayment is resumed and default also made good within six quarters from the initial default, then the 5% interest reimbursement for eligible segments may be restored covering the amount and period of default.

4. Period of re-payment is to be decided by between lending agencies and the units. However, banks are free to give loan for more than 10 years but subsidy will be given only for a period of 10 years including implementation and moratorium period of maximum up to 2 years.

b) If an account becomes a non-performing asset (NPA), the interest reimbursement would not be available. The interest reimbursement will be available from the date of coming out of the NPA category.

c) Other conditions, viz., period of loan, security, conversion option, Debt-Equity- Ratio etc.: Eligible units will be of minimum economic size. Other conditions will be such as determined by the lending agency as per its existing normal norms.

d) Contingency provisions: The contingency provision (non-firmed up cost) to the extent of 5% maximum (on actual basis) may be covered under TUFS in respect of plant and machinery and other investments eligible under TUFS.

e) Assistance under TUFS for loan sanctioned by the consortium banks when some banks of the consortium are not co-opted by the Nodal Agencies:

In cases of consortium finance, the entire project is to be covered under TUFS even if some of the consortiums FIs/banks are not co-opted by the Nodal Agencies. In such cases the interest reimbursement claim to the Nodal Agencies may be routed through


31 | P a g e

the co-opted bank including the claim in respect of the loan disbursed by non co-opted banks. The co-opted bank would ensure that the project was meeting the technology and other norms prescribed under the Scheme.

f) Transferring the TUFS loan from one bank / FI to another bank / FI as well as closing down one term loan account under TUFS and availing of fresh term loan:

The outstanding principal amount under TUFS loan account from one bank / FI can be transferred to another bank / FI subject to the condition that portfolio (i.e. balance principal amount) remains unchanged and the overall repayment period does not exceed 10 years. However, this facility will be provided three times during the tenure of the loan.

g) Conversion of rupee term loan into foreign currency loan and vice-versa:

Conversion of rupee term loan (RTL) into foreign currency loan (FCL) and vice-versa on annual basis is permitted under TUFS. The base rate of exchange will be the rate prevailing on the date of conversion of rupee term loan into FCL. The tenure of the loan amount will remain the same subject to the 10 years repayment period and availability of foreign currency line of credit with the lending agency.

h) Foreign currency loan for rupee liability:

It is permitted to avail of foreign currency loan (FCL) under TUFS for rupee liability also.

i) Coverage of forward premium:

The cost of forward cover premium for Foreign Currency Loan under TUFS limited to 5% per annum for eligible segments on the base rate of exchange as an option, which may be exercised only once in the each financial year of the project is covered.

� Working Capital Requirements

Since success of the technology upgradation scheme, to a large extent, depends upon the availability of adequate working capital, lending institutions would like to be assured that the borrowing units have made adequate arrangements for meeting the working capital requirements. Commercial banks should also accord priority in providing adequate working capital support to the assisted units.

� Technical Advisory-Cum Monitoring Committee (TAMC)

� The Government will constitute a Technical Advisory-cum -Monitoring Committee (TAMC) under the Chairmanship of Union Commerce Secretary and Technical experts from industry covering the different segments, as members.


32 | P a g e

� Amendment in the list of machinery in terms of addition / deletion will be done by the TAMC.

� If any question of interpretation or clarification is raised by the lending agency / entrepreneurs as to the eligibility of any unit or machinery under the scheme, the views of the TAMC will be obtained.

� The TAMC will also monitor and review the progress of the scheme periodically.

� The Committee will also monitor and review the progress of the scheme and apprise the Ministry periodically.

� Nodal Agency (NA)

� The nodal agency under the scheme will be EEPC India.

� Applications for assistance under the Fund Scheme may be submitted in the prescribed form available from EEPC India.

� EEPC India will scrutinize the applications and recommend the applications to the TAMC who will then forward the same after duly vetting the applications to the Nodal Banks for expeditiously processing loan applications. EEPC India will charge a nominal processing fee to be determined by the Government for rendering this service.

� EEPC India will furnish periodically information in respect of sanction and disbursement of the loans and other related information to the Ministry of Commerce & Industry. Such information in respect of the Nodal banks will be co-ordinated and furnished by EEPC India to the Ministry of Commerce & Industry.

� Nodal Banks

Following Scheduled Commercial Banks may be made the nodal banks for implementation of TUFS in the engineering sector.

� State Bank of India � Bank of India � EXIM Bank � Central Bank of India � Punjab National Bank � Andhra Bank � Union Bank of India � Indian Overseas Bank � Bank of Baroda � ICICI Bank � HDFC Bank


33 | P a g e

� Axis Bank � Canara Bank � Indian Bank

� In case of financing by multiple banks, the bank with major share of term loan may assess

eligibility of the project under TUFS for itself and also for other banks, provided the said bank is a nodal bank.

� EEPC India would render advisory services to Nodal Banks during the formative stage and may organize workshops with other sectoral industry bodies for the benefit of the nodal banks ‘on demand’ basis.

� In case of any doubts regarding eligibility of a case or any other related issue nodal banks may contact EEPC India or the Department of Commerce.

MONITORING/APPRAISAL MECHANISM

An Inter-ministerial Steering Committee under the Chairmanship of Union Commerce Secretary will lay down norms for a monitoring and appraisal mechanism for effective implementation of the scheme and may set up appropriate machinery therefore. The Steering Committee would also periodically review the functioning of the scheme.


34 | P a g e

1. Engineering Process Outsourcing (EPO)

2. Industrial Machinery for manufacture of Paper, Cement and Chemicals including Pressure Vessels, Boilers and Heat Exchanger and Textile Mill Machinery & Accessories including all types of Knitting Machines.

3. Food Processing Machinery, Sugar Mill Machinery including Pharmaceutical Machinery. (This will include Oil, Tea, Coffee, Flour, Dal, Rice and Canning Mill Machinery and Dairy Equipments and Animal Drawn Sugarcane Crushers)

4. Agricultural Machinery – Field Equipments including Agricultural Tractors and Trailors, Spare Parts and Agricultural Implements, Tools, Irrigation Equipments such as Sprinklers etc.

5. Industrial Machinery – others including Heating, Cooling and other Air-Conditioning Equipments.

6. Motor Vehicles excluding Two Wheelers and Three Wheelers.

(This will include Heavy Duty Trucks, Jeeps, Chassis, Bus Bodies, Ambulances, Cars etc.)

7. Automobile Components Spare Parts, Accessories including Storage Battery for Automobile Application and Auto Servicing Garage Equipments.

8. Bicycles, Bicycle Components and Accessories.

(This will also include Tricycles and parts thereof)

9. Internal Combustion Engines, Compressors and parts thereof.

10. Electric Power Machinery, Switchgear and Controlgear including Cable, Conductors, Cable/Conductor Accessories and Industrial Storage Batteries.

(This will also include Electric Generators, Power and Distribution Transformers, Electric Motors, Telephone Cable ACSR)

11. Two Wheelers and Three Wheelers-Complete.

(This will cover all sorts of Scooters, Motorcycles, Mopeds and Three Wheelers).

12. Electric and Home Appliances, Fans, Sewing Machines, Dry Batteries, Torch Lights and other Electrical manufactures – N.O.S.

13. Iron & Steel.

4: Appendix

4.1: List of Panels (Effective from 14th November, 2008)


35 | P a g e

14. Machine Tools.

15. Hand Tools.

16. Fabricated Steel Structures including Transmission Line Towers.

17. Steel Pipes, Tubes and Fittings thereof.

18. Steel Wire products – all types including Steel Wire, Wire Ropes and Strands.

19. Other Steel Products – all types

(This will include all Primary Steel based items not otherwise specified).

20. Sanitary Castings.

(This will also include Valve Box, Water Meter Box and Meter Lids).

21. Ferrous Industrial Castings.

(This will also include Spun Pipes, Pressure Tested Pipe Fittings and Alloy Steel Castings)

22. Steel Forgings – all types.

23. Aluminum and Manufactures thereof.

24. Non-Ferrous Metals & Manufactures thereof (other than Aluminium) including EPNS Wares etc.

25. Design, Technical and Consultancy Services.

26. Super Star/Star/Trading and Export House.

27. Fasteners – all types

28. Pumps – all types.

29. Project Exports.

(This will also include Civil Construction Works connected with Industrial Projects).

30. Construction and Earthmoving Machinery including Cranes, Hoists, Mining Equipments and Tractors for Construction and Earthmoving purpose.

31. Free Trade Zone and 100% Export Oriented Units.

32. Mica and other Mineral based Products.

33. Miscellaneous Manufactures-N.O.S. including Ferrous Holloware and Office Equipments.

(This will include all residual products not otherwise specified and Office Equipments including Photocopier, Typewriter, Duplicator etc.)

34. Small & Cutting Tools including Engineers Files.

35. Instruments – all types.


36 | P a g e

36. Railway Rolling Stock and Components, Signalling Equipments and other Transport Equipments including Air-Crafts, Ship Building and Repairing etc.

37. Ferro Alloys.

38. Stainless Steel Houseware Products.

(This will cover Utensils, Cutlery, and Kitchen Equipments etc.)

39. Builders Hardware including Hinges, Door Fittings, Locks, Pad Locks etc. of Base Metal.

(Prepared on 16/12/2008)


37 | P a g e

EEPC India Invites Participation for

India Pavilion at Hannover Fair 2009 (20 - 24 April, 2009)

Hannover Fair is the world’s leading technology event. It is the leading showplace for all sectors of industry – in particular mechanical and plant engineering, automotive sectors, electrical engineering and electronics. It is the conglomeration of eleven high profile trade shows under one roof. It offers a unique opportunity to establish contacts with many business leaders and unlock new sources of business potential.

EEPC INDIA is organizing an India Pavilion in the Subcontracting and Energy sector of Hannover Fair 2009. Subcontracting sector covers materials components and system for mechanical engineering, the automotive industry and plant industry. Energy sector is the leading trade fair for conventional power generation, transmission and distribution.

Focus Products

Subcontracting Sector

- Castings

- Solid forming

- Non-cut metal parts

- Machine-cut parts

- Automotive components

- Sub-assemblies and metal structures

- Tool and mould making

- Fastenings, locks and fittings

- Plastic parts and rubber processing

- Production and assembly services

- Contract work

- Engineering services

Energy Sector

- Cabling

- Transformers

- Switchgear

- Power supplies

- Instrumentation

- Network management

- Systems engineering

4.2: Circulars of Exhibitions


38 | P a g e

Venue

Hall Nos. 3 & 4 for Subcontracting Sector Hall No. 12 for Energy Sector Hannover, Germany

Date

Monday, 20th - Friday, 24th April, 2009.

Participation Charges

For SMEs

One side open booth: Euro 250 or US$ 335 per sq. mtr. or Indian Rs. 16,000/- per sq. mtr.

(Built up booth) + Rs. 1,978/- per sq. mtr. as deposit towards Service Tax.

Two sides open booth: Euro 280 or US$ 375 per sq. mtr. or Indian Rs. 18,000/- per sq. mtr.

(Built up booth) + Rs. 2,225/- per sq. mtr. as deposit towards Service Tax. (Subject to availability)

For Non-SMEs

Euro 290 or US$ 390 per sq. mtr. or Indian Rs. 19,000/- per sq. mtr.

+ Rs. 2,348/- per sq. mtr. as deposit towards Service Tax. (Built up booth)

Note: In case Service Tax is not chargeable, the deposit would be returned to participants. If participants make payments in US dollars, then Service Tax is not applicable.

Stall Size : Hall 3 : 3.5 x 3 = 10.5 sq. mtr.

Hall 4 : 3 x 3 = 9 sq. mtr.

Hall 12 : 3 x 3 = 9 sq. mtr.

Participation charge includes following services :

- Display Booth with standard furniture - Catalogue/EBI listing

(In alphabetical section - name/address. And in product section - three product entries)

- Publication of Brochure on Indian participation

- Common Interpreter services - Fax connection (call charges extra)

- On site assistance in various business related matters - Electricity charges

- Stand cleaning services


39 | P a g e

Mode of Payment

Full payment is to be made along with the Application Form latest by 30th January, 2009. Payment may be made by Demand Draft/at par Cheque drawn in favour of “EEPC INDIA” .

Cancellation of Participation

Request for cancellation of participation will be accepted if Council receives the same in writing on or before 6th February, 2009. Council shall not entertain any cancellation afterwards. Any cancellation after the due date shall result in forfeiture of the amount already paid on this account.

Display Booth

There will be in-built display booths of 9/10.5 sq. mtr. each. Council will provide the following: - Carpeted floor - One table - One lockable cabinet - Three chairs - One book rack - Three spot lights - One plug socket - One waste basket - One ashtray - Fascia

Selection Criteria

Selection of participants will be done after receiving full payment strictly on first-come-first served basis.

Benefit of the member-exporters EEPC INDIA is organizing this event under the MAI Scheme of Ministry of Commerce & Industries, Government of India. Therefore no MDA grant would be available. The rates mentioned above are highly subsidized as per MAI Scheme of Government of India.

Submission of Application

Interested firms may please send the Application Form , duly filled in and signed, along with full Payment latest by 30th January, 2009 to any of the following:

R. Maitra Bhaskar Sarkar Executive Director Addl. Executive Director & Secretary EEPC INDIA EEPC INDIA Vandhna (4th Floor) Vanijya Bhavan (1st Floor) 11, Tolstoy Marg International Trade Facilitation Centre New Delhi - 110 001 1/1, Wood Street, Kolkata - 700 016 Tel. : 91-11-23353353, 23711124/25 Tel. : 91-33-22890651/52


40 | P a g e

Fax : 91-11-23310920 Fax : 91-33-22890654


41 | P a g e

Application Form

India Pavilion at Hannover Fair 2009

(20 - 24 April, 2009)

Name of the Company :

Postal Address :

Phone (with area code) :

Fax (with area code) :

E-mail :

Website

Total Space required :

Amount with DD/at par Cheque No. & date :

Name & Designation of the Chief Executive :

Name & Designation of the Participant :

Type of Units : SSI � Non-SSI �

Status : � Manufacturer/Exporter � Merchant Exporter � Export House

Total Annual Export : 2005-2006 2006-2007 2007-2008 (in Million US$)

Total Export to EU Countries : 2005-2006 2006-2007 2007-2008 (in Million US$)

Foreign Collaboration, if any :

Products Manufactured/Exported :

Countries of Export :

Accreditation to International Standards : (like ISO, QS)


42 | P a g e

Nature of Display : Display of Samples�

Display of Posters �

Please use separate sheet to furnish details of your company (within 80 words) for the Exhibitors’ Profile.

Please send us this Form duly filled in and signed along with full payment and 2 (two) copies of passport size colour photographs of the Participant.

Signature :

Date: Office Seal :


43 | P a g e

India Pavilion at INTERMACH 2009, Bangkok, Thailand

(13 - 17 May, 2009)

INTERMACH is Asia’s No. 1 High-Tech Machinery Exhibition and covers a broad spectrum of industries, covering everything from oil to aerospace. It is a unique combination of many specialized manufacturing businesses. It will provide an opportunity to the exhibitors to display and demonstrate their latest product range and manufacturing technology along with a whole spectrum of relevant information. It is also expected to offer good exposure to a large gathering of interested visitors in the whole ASEAN Region while creating a host of future business opportunities and platforms.

Backed by Thailand Board of Investment (BOI) and timed to coincide with the business cycle in May, INTERMACH joined forces with SUBCON THAILAND - the only exhibition for the subcontracting industry in the Kingdom. The 2008 event generated capital inflow of more than 4.2 billion Baht. Over 35,000 local and foreign exhibitors from over 45 countries were in attendance and the two events became the driving force behind dozens of new business partnerships - making an important contribution to the Thai economy.

India’s trade with the ASEAN Region dates back to time immemorial. The Region is one of India’s major trading partners. India’s overall exports to ASEAN Region have grown from US$ 4.62 billion in 2002-03 to US$ 12.61 billion. In the engineering sector India’s exports have grown from US$ 1089.96 million in 2003-04 to US$ 3927.46 million in 2007-08 showing a growth of 260% in a span of five years, though India’s share in total extra-block imports of the Region is still miniscule. This shows that still much potential exists there. It will therefore, be a right time for Indian engineering industry to showcase their capabilities in order to get a substantial share of the ASEAN market.

EEPC INDIA is organizing an India Pavilion at INTERMACH 2009 which would provide an excellent opportunity for business relationships with customers from all over the world.

Focus Products • Sheet Metal Fabrication Machinery & Accessories

• Machine Tools & Accessories

• Molds & Dies Production Machinery & Accessories

• Metal Working Machines & Accessories

• Welding Equipment & Accessories

• Industrial Automation & Robotics

• Logistics & Transport Equipment & Systems

• Material Handling Equipment & Storage Systems

• Hydraulic/Pneumatic Equipment

• Hand Tools, Power Tools & Accessories


44 | P a g e

• Supporting and Auxiliary Equipment & Systems

• Plastics & Rubber Processing Machines & Accessories

• Packaging Equipment Machinery & Systems

• Fasteners & Accessories

• Pumps, Valves, Fittings & General Hardware

• Cleaning Equipment & Accessories

Venue

Bangkok International Trade & Exhibition Centre, Bangkok, Thailand

Date

May 13 - 17, 2009 (5 days)

Participation Charges

One side open built-up booths : Euro 300 per sq. mtr. or Rs. 21,000/- per sq. mtr.

(minimum 9 sq. mtr.) + Rs. 2,163/- per sq. mtr. as deposited towards Service Tax.

20% extra for corner stall (subject to availability).

Note: In case Service Tax is not chargeable, the deposit would be returned to participants.

If participants make payments in Euros, then Service Tax is not applicable. Display Booth Participation charge includes following services:

– Fascia

– Carpeting

– One square table

– One lockable cabinet

– Three folding chairs

– One socket point 5Amp 220V

– Two 40W fluorescent lights

– One waste basket

Mode of Payment Full payment is to be made by Demand Draft/at par Cheque favouring “EEPC INDIA” along with the filled-up Application Form.


45 | P a g e

Date of Payment

Full payment is to be made along with the Application Form latest by 14th April, 2009.

Cancellation of Participation

Request for cancellation of participation will be accepted if EEPC India receives the same in writing on or before 21st April, 2009. EEPC India shall not entertain any cancellation afterwards. Any cancellation after the due date shall result in forfeiture of the amount already paid on this account.

Selection Criteria

Since limited space is available, selection of participation will be done strictly on first-come-first served basis.

MDA Entitlements

All eligible participants will be entitled to MDA grant under Focus ASEAN Programme of Ministry of Commerce, Government of India as per the MDA Guidelines effective from April 01, 2006. Assistance would be permissible on travel expenses by Air in Economy Excursion Class fare and/or charges of built up furnished stall subject to an upper ceiling of Rs. 1,50,000/- (Rupees One Lakh Fifty Thousand only). Further, eligibility for MDA grant is subject to exporting companies having FOB value of exports up to Rs. 15 crores in the preceding year, having complete 12 months membership with EEPC with regular filing of returns and fulfilling other conditions, details of which can be obtained from respective Regional Offices of EEPC India.

Interested firms may please send the Application Form , duly filled in and signed, along with full Payment latest by 14th April, 2009 to the respective Regional Offices or to:

R. Maitra Bhaskar Sarkar Executive Director Addl. Executive Director & Secretary EEPC INDIA EEPC INDIA Vandhna (4th Floor) Vanijya Bhavan (1st Floor) 11, Tolstoy Marg International Trade Facilitation Centre New Delhi - 110 001 1/1, Wood Street, Kolkata - 700 016 Tel. : 91-11-23353353, 23711124/25 Tel. : 91-33-22890651/52 Fax : 91-11-23310920 Fax : 91-33-22890654


46 | P a g e

Application Form

India Pavilion at INTERMACH 2009, Bangkok, Thailand

(13 – 17 May, 2009)


Postal Address :



E-mail :

Website :


Amount with DD/Cheque No. & date :



Type of Units (please tick mark) : � SSI � Non-SSI

Status (please tick mark) : � Manufacturer/Exporter � Merchant Exporter � Export House


Total Export to ASEAN countries : 2005-2006 2006-2007 2007-2008 (in Million US$)




Accreditation to International Standards : (like ISO, QS, etc.)

Please use separate sheet to furnish details of your company (within 80 words) for the


47 | P a g e

Exhibitors’ Profile.

Please send us this Form duly completed and signed along with your participation fees by Demand Draft/Cheque and 2 (two) copies of passport size colour photographs of the Participant.

Signature :

Date : Office Seal :


48 | P a g e

EEPC India invites Participation for India Pavilion at Saudi Elenex 2009 Riyadh, Saudi Arabia

(24 - 27 May, 2009)

Saudi Arabia’s electricity sector is expanding by 7% a year. Over the coming 20 years, projects worth almost US$ 120 billion are going to be undertaken to satisfy demand for electricity generation, distribution and transmission - creating demand, as well, for subsidiary electricity-related products and equipment. Saudi Government spends billions of dollars on constructing and upgrading power plants, and will have to rely strongly on foreign investors and suppliers to satisfy the surge in demand for electricity-related equipment and machinery.

Saudi Elenex is the International Electrical Engineering, Power Generation and Distribution Exhibition in Saudi Arabia. Saudi Elenex 2009 taps into rising demand for electrical products, amid powerful construction sector growth. Since the year 2000, Saudi Arabia’s power generation equipment market has been growing by around 5% annually, and the oil, gas and petrochemicals sectors are likely to drive electricity demand for a long time to come. Organizers expect another successful year, with key decision makers attending Saudi Elenex on the lookout for lucrative investment deals in this growing market. Saudi Elenex, Saudi Aircon and Saudi Luminex exhibitions will be held concurrently to ensure the large number of visitors.

EEPC INDIA is organizing an India Pavilion in Saudi Elenex 2009. Participating in the above exhibition will enable Indian companies to further widen their reach in the highly lucrative Middle East market and also would provide an excellent opportunity for establishing business relationships with customers from all over the world.

Product Category

• Power Stations • Power Plant Equipment • High Voltage Transmission • Distribution Networks • Switchgear Products • Transformers • Diagnostic Equipment • Monitoring & Control • Portable Generators • Electrical Engineering • Electrical Supplies • Switches and Controls • Cable and Wiring • Power Protection • Testing Equipment


49 | P a g e

Venue Riyadh Exhibition Center Riyadh, Saudi Arabia Date 24 – 27 May, 2009 (4 days) Participation Charges

One side open built-up booths : US$ 250 per sq. mtr. or Rs. 13,000/- per sq. mtr.

(minimum 9 sq. mtr.) + Rs. 1,339/- per sq. mtr. as deposited towards Service Tax.

20% extra for corner stall (subject to availability).

Note: In case Service Tax is not chargeable, the deposit would be returned to participants.

If participants make payments in US Dollar, then Service Tax is not applicable. Display Booth There will be in-built display booths of 9 sq. mtr. Council will provide the following :

- Carpeted floor - One table - Two chairs - One counter - Three spot lights - One plug socket - One waste basket - Fascia Mode of Payment Full payment is to be made along with the Application Form latest by 9th April, 2009. Payment may be made by Demand Draft/at par Cheque drawn in favour of “EEPC INDIA” . Cancellation of Participation Request for cancellation of participation will be accepted if Council receives the same in writing on or before 16th April, 2009. Council shall not entertain any cancellation afterwards. Any cancellation after the due date shall result in forfeiture of the amount already paid on this account. Selection Criteria Since limited space is available, selection of participation will be done strictly on first-come-


50 | P a g e

first-served basis.

Benefit of the member-exporters

EEPC INDIA is organizing this event under the MAI Scheme of Ministry of Commerce & Industries, Government of India. Therefore no MDA grant would be available. The rates mentioned above are highly subsidized as per MAI Scheme of Government of India.

Submission of Application Interested firms may please send the Application Form , duly filled in and signed, along with full payment latest by 9th April, 2009 to the respective Regional Offices or to :


Application Form

India Pavilion at Saudi Elenex 2009 Riyadh, Saudi Arabia (24- 27 May, 2009)


Postal Address :



E-mail :

Website :





51 | P a g e



Status (please tick mark) : � Manufacturer/Exporter � Merchant Exporter

� Export House


Total Export to Middle East countries : 2005-2006 2006-2007 2007-2008 (in Million US$)





Nature of Display : Display of Samples �




Signature :

Date : Office Seal :


52 | P a g e

EEPC India Invites Participation for India Pavilion at Project Near East 2009, Amman, Jordan

(04 - 07 May, 2009) Project Near East is the only construction exhibition serving the markets of Jordan, Iraq, Syria and the Palestinian Territories. The organizer IFP Jordan has merged two of their most successful shows – Rebuild Iraq and Project Jordan – into one mega IFP event. Now with one visit to Amman, Jordan participants will gain exclusive access to lucrative construction and development markets in Jordan, Iraq, Syria and the Palestinian Territories. Amman is the gateway to near east markets because of Jordan’s strategic location, open relationships with neighboring countries and business-friendly laws for foreign investors. Amman is well known as a hub for business and the Kingdom’s political and economic stability has fostered its position as a trade base.

The US$ 100 billion reconstruction sector in Iraq is one of the largest in the world – and is going to continue growing as more and more investors recognize Iraq’s exciting investment potential. Throughout the country, hundreds of ambitious multi-billion-dollar construction and development projects, spanning every sector, are in progress or in the pipeline. The expansion of Iraq’s exciting construction sector is being further fuelled by advantages for foreign investors offered by the country’s liberal open markets, as well as the country’s powerful oil resources, and continued strong commitment on the part of international donors. Leading developers and construction sector players from the four corners of the globe continue to eye Iraq as a potential-laden area for exports.

Amman is the preferred residence for prominent Iraqi businessmen and investors. Project Near East offers international, regional and local companies an unprecedented opportunity - risk-free - to be a part of Iraq’s reconstruction.

EEPC India is organizing an India Pavilion at Project Near East 2009 scheduled to be held at Amman, Jordan during 04 - 07 May, 2009. It would provide an excellent opportunity for establishing business relationships with customers from all over the world.

Product Category

• Construction Equipment • Building Materials • Products and Services • Power Generation • Electrical Engineering • Lighting and HVAC • Water and Agriculture • Airport Equipment • Contracting


53 | P a g e

Venue Amman Exhibitions Park, Amman, Jordan Date 04 - 07 May, 2009 (4 days) Participation Charges One side open built-up booths : US$ 200 per sq. mtr. or Rs. 10,500/- per sq. mtr. (minimum 9 sq. mtr.) + Rs. 1,082/- per sq. mtr. as deposited towards Service Tax.

20% extra for corner stall (subject to availability). Note: In case Service Tax is not chargeable, the deposit would be returned to participants. If participants make payments in US Dollar, then Service Tax is not applicable. Mode of Payment Full payment is to be made along with the Application Form latest by 9th April, 2009. Payment may be made by Demand Draft/at par Cheque drawn in favour of “EEPC INDIA” . Cancellation of Participation Request for cancellation of participation will be accepted if EEPC India receives the same in writing on or before 16th April, 2009. EEPC India shall not entertain any cancellation afterwards. Any cancellation after the due date shall result in forfeiture of the amount already paid on this account. Display Booth There will be in-built display booths of 9 sq. mtr. each. EEPC India will provide the following : - Carpeted floor - One table - Two chairs - One wall shelves - Three spot lights - Fascia Selection Criteria Since limited space is available, selection of participation will be done strictly on first-come-first-served basis.


54 | P a g e

Benefit of the member-exporters

EEPC INDIA is organizing this event under the MAI Scheme of Ministry of Commerce & Industries, Government of India. Therefore no MDA grant would be available. The rates mentioned above are highly subsidized as per MAI Scheme of Government of India.

Submission of Application Interested firms may please send the Application Form , duly filled in and signed, along with full payment latest by 9th April, 2009 to the respective Regional Offices or to :


Application Form

India Pavilion at Project Near East 2009, Amman, Jordan (04 - 07 May, 2009)


Postal Address :



E-mail :

Website :






55 | P a g e


Status (please tick mark) : � Manufacturer/Exporter � Merchant Exporter � Export House


Total Export to Middle East countries : 2005-2006 2006-2007 2007-2008 (in Million US$)





Nature of Display : Display of Samples�




Signature :

Date: Office Seal :


56 | P a g e

EEPC India is developing a Technology Upgradation Fund Scheme for the Engineering Sector. In this Scheme, financing mechanism will be provided to engineering companies to upgrade their existing as well as new technologies. For this purpose, EEPC India seeks the views of the members on the nature of technology required by each segment of engineering so that it is possible to include these technologies in the Technology Upgradation Fund Scheme.

Accordingly Members are requested to kindly intimate the following details to enable us to present the list of technologies for inclusion in the TUFS for the Engineering Sector:

A. DEFINITION OF TECHNOLOGY UPGRADATION

Technology Upgradation would mean induction of state-of-the-art or near-state-of-the-art technology. But in the widely varying mosaic of technology obtaining in the Indian Engineering Industry, at least a significant step up from the present technology level to a substantially higher one for such trailing segments would be essential. Accordingly, technology levels will have to be benchmarked in terms of specified machinery for each sector of the engineering industry. Machinery with technology levels lower than that specified will not be permitted for funding under the TUF Scheme.

2. ELIGIBLE MACHINERY Installation of the following types of machinery in a new unit or in an existing unit by way of replacement of existing machinery and / or expansion will be eligible for coverage under TUF scheme:

Please Identify the Machinery and Technology required in your Company: 1. Name, Address and Contact details of Company/Unit:

2. Generic Name of the Engineering Industry segment to which your Unit belongs (such as, castings, forgings, fasteners, pumps, etc)

4.3: Questionnaire on Technology Upgradation Fund Scheme


57 | P a g e

3. Details of Your Machinery/Technology:

4. Details of Upgraded or New Technology Required by you:

5. Details of New Environmental Technology/Machinery Required by you:

6. Details of Energy Control or Saving Technology/Machinery Required by:


58 | P a g e

7. Details of Effluent Treatment Plants: Effluent treatment plant with primary, secondary and / or tertiary treatment facility. (For units linked to common effluent treatment plant, effluent treatment plant with primary treatment system)

8. Details of Quality Control Equipment Required by you:

9. Details of Testing and Evaluation Machinery required by: 10. Other Ancillary Equipments required by you:

11. Please add any other Technology or Machinery required by you that are not covered so

far. Please give all the details of the technologies so that we can justify the inclusion.


59 | P a g e

12. Any other comments/suggestions/advise:

PLEASE EMAIL THE FILLED UP QUESTIONNAIRE TO: [email protected]


60 | P a g e

ANNEX - A

List of the Auto Component machinery eligible under TUF Scheme

Sl. No. Item Required

1 Induction Hardening m/c based on Thyristor technology

2 Fine Blanking Press ( Hydraulic / Mechanical ) with decoiler and straightner

3 Cold forging header

4 Hot forging press

5 Lathe machine

6 CNC – 5 axis gear shaping

7 CNC – shaving machine

8 CNC – multiple axis turning center

9 CNC – multiple axis worm grinder

10 CNC – multiple axis machining center

11 CNC – whirling machine

12 Automatic cold forg.

13 CNC lathe machine

14 SMD SOLDERING LINE

15 EMI TESTING EQUIPMENTS

16 EMC TESTING EQUIPMENTS

17 DIAL PRINTING PRINTER

18 Shot Peening machine

4.4: Annexure A-U: Technology Upgradation Fund Scheme


61 | P a g e

ANNEX - B

List of the Electrical machinery eligible under TUF Scheme


1 Machine shop

2 Dynamic balancing machine

3 Plasma cutting machine

4 Laser cutting machine

5 Press brake hydraulic

6 Automatic cut to length line

7 Annealing furnace

8 Flux Cored Welding Wire Manufacturing Line

ANNEX - C

List of the Castings, Forging machinery, Fasteners eligible under TUF Scheme


1 Vertical Machining Center axis, Mazak Make)

2 Coordinate Measuring Machine (CMM)

3 Hydraulic/Pneumatic Press

4 Conveyor Systems

5 Press Forgings

6 CNC and VMC turning centre

7 Ring Rolling machine.

8 High pressure moulding

9 Sand cooling plant


62 | P a g e


10 Cold box core shooter

11 Automatic sand control

12 Induction furnace

13 Electric holding furnace

14 Sand multi controller (GF++)

15 Shakeout (Vario drive)

16 57 PLC For HPML

17 Bentonite conveying system (KLEIN MAKE)

18 FANUC Retrofitting packages for machine tools.

19 Robotics for fettling activity.

20 Forging Press 600 Tons

21 Polishing Machines 4 Nos.

22 Jolt cum High Pressure Moulding M/c (Indigenous) with Handling facilities to replace Sand Slinger

23 IMF Italy Core Shooter with curing Agent Amine Gas Generating Unit (replacement of CO2 Core tech.)

24 New Spectrometer (18 Channel) – Replacement

25 Table type Shot Blasting M/c for CMS Crossings( a must for CMS Crossings)

26 Pneumatic Sand Conveying System (replacement of mechanical Sand Handling)

27 Pressure Die Casting

28 JUNKER Make – CBN Crankshaft cylindrical grinding machines

27 CNC Crankshaft turning center

28 CNC Crankshaft Pin milling

29 CNC Crankshaft Deep hole drilling


63 | P a g e


30 Upgradation of Hydraulic crankshaft grinding machines to CNC system

31 Abrasive Cutting machine

32 Automatic multi-arm Super finishing machine

33 Automatic Mass balancing & centering machine

34 Forging Presses

35 Forging Upsetter

36 Automatic Ring Rolling

37 CNC Machine with live tools

38 CNC Grinding Machines

39 Resistance heated electrical furnaces

40 Hydraulically operated tiltable gravity die casting machines with plc control

41 Automatic high speed bandsaw with table feed

42 Low pressure die casting machines with plc control

43 Screw compressors (20hp)

44 VML

45 Grinder

ANNEX - D

List of the Hand Tools and cutting tools machinery eligible under TUF Scheme


1 Center less grinding machines

2 Cylindrical grinding machines

3 Fllute and relief Grinders


64 | P a g e

4 Point grinder

5 Screw Forging

6 Metal Gatherings

7 Conventional Turning Lathes

8 Conventional Drill Machines

9 Conventional Grinding Machines

10 Conventional Straightening Machine

11 Forging Press

12 Knuckle joint presses

13 Automatic Socket Forging Machinery

14 Hydraulic Presses

15 Hydraulic or Pneumatic Drop Forging Hammer

16 Fork lift

17 Furnace with automatic temperature controller & recorder.

18 Automatic Band saw machine

19 Automatic Electroplating plant

20 Vibrator/Barrels along with media

21 Shot blasting machine

22 Costing, Forging Simulation Software

23 CAD/CAM Software

24 Machining Centre

25 CNC Wire cut machine

26 Profile projector

27 Plastic Blow Moulding Machine

28 Fully Automatic CNC Injection Moulding machine

29 Special Purpose machines for Machining/Grinding/Polishing/finishing


65 | P a g e

Spanner, Wrenches and other tools.

30 High Pressure Moulding Machine

31 Automatic Mould Handling Machinery

32 Simultaneous Jolt/Squeeze moulding machine

33 Solvent Based Cleaning Systems

34 PVD tool coating Plant

35 Edge coolant filtration system

36 Induction brazing machine for tools

37 Profile grinding machine

38 Diamond coating plant

39 Tungsten carbide rod cutting machine

40 Diamond wheel profiling machine

41 Sunnen Horizontal Honing Machines ML 4000

42 Ace / Mori Seiki / Mazak CNC Lathe with bar feed attachment

43 Jung Bore Grinders or equivalent

ANNEX - E

List of the Non-Ferrous Metals Machinery eligible under TUF Scheme


1 Up cast with induction melting

2 Rod rolling mill

3 Online annealers

4 Tandem flattening mills


66 | P a g e

ANNEX - F

List of the Pump machinery eligible under TUF Scheme


1 Mig welding machine

2 Vertical boring machine (3000mm x 2500mm HT)

3 Flanging Machine

4 Radial drill machine

5 Shearing machine

6 Plasma cutter

7 CNC Lathe Machine

8 Automatic Stator winding machine

9 Semi Automatic Hot Stacking machine

10 Precision Balancing machine

11 CNC machining center

12 CNC Rolling Machine

13 Pump Testing Arrangement

ANNEX - G

List of the Process control machinery eligible under TUF Scheme


1 Tig welding Machine

2 CNC bending/ Cutting machine

3 Cutout punching Machine


67 | P a g e

ANNEX-H

List of Sewing Machines and Parts


1 High speed power press with progressive tool

2 Replacement technology for swaging operation

3 Complete manufacturing line for integrated processing of needles (combine swaging, cutting, rounding, branding, die press and milling operations), combine Fin grinding and pointing)

4 Coating technology for needles (E.g. TiN coating , diamond coating process for needles)

5 Laser / EDM machines for tool manufacturing and needle manufacturing

6 Automatic handling system of the parts at chemical processing stages like chemical deburring, plating etc.

ANNEX-I

List of Machines for Fabricated Steel Structures/Construction Steel


1 Threading, through-feed/ infeed for Dia: 65mm max Machinery with automatic controls and higher range

2 Cold Roll Forming, 11 Stands with latest features of rolling, straightening, power supply, Range: 1000mm max Blank width

ANNEX – O

List of the other machinery eligible under TUF Scheme


1 CNC Turning Centre

2 Sheet Cutting & Bending m/c

3 Height Guage

4 CMM

5 Gear Grinding M/c


68 | P a g e

6 Hydraulic Press M/c

7 Vertical Milling M/c

8 Gear Shaper

9 Lathe M/c

10 Bearing Assly M/c

11 Liquid Hydro Forming Bellow Machine with Engineering Package.

12 Ultra High pressure pump – 4000 bar pressure

13 CNC lathes

14 CNC milling machine

15 Bending and forming m/c

16 Laser cutting m/c

17 Swaging machine

18 Lapping machine

19 Centre less grinder

20 Band saw cutting m/c

21 Retrofit CNC Lathe for shaft turning, CNC Mill for Key cutting

22 Conventional Cylindrical Grinding

23 Shaft Turning lathe

24 Spline cutter

25 Surface Grinding

26 CNC mini Lathe, CNC Turn mill center, CNC Shaft turner

27 CNC Plasma Cutter, CNC Water jet cutter, Tig welding, MIG welding, Arc welding,

28 CAD / CAM software

29 ERP software

30 One strip slitting machine

31 One strip winding machine


69 | P a g e

32 One set of degreasing, cleaning and heating machine

33 One set of 10-head wire forming machine

34 One set of 10-head wire drawing machine

35 Wire winding machine

36 Flash butt-welding machine for strip

37 Butt-welding machine for wire

38 Pointing machine for wire

39 Automatic closed loop Cleaning & Drying plant

40 High speed power press with progressive tool

41 Replacement technology for swaging operation

42 Complete manufacturing line for integrated processing of needles (combine swaging, cutting, rounding, branding, die press and milling operations), combine Fin grinding and pointing)

43 Coating technology for needles (E.g. TiN coating , diamond coating process for needles)

44 Laser / EDM machines for tool manufacturing and needle manufacturing

45 Automatic handling system of the parts at chemical processing stages like chemical deburring, plating etc.

46 Automatic Bottle Necking Machine

47 CNC Milling M/C

48 Clean room Class 10,000

49 Laser Marking Eqpt.

ANNEX - P

List of Environmental Technology/Machinery � Vacuum hardening furnace with controls � Press Forgings � CNC and VMC turning centre � Ring rolling machine � Dry type dust collectors for foundry fumes & dust � DUST Extraction system with collector for Sand Plant. � Fume extraction system and scrubbers for Furnaces and SGI Converter. � Dust collector system for Fettling shop


70 | P a g e

� Forging Electric Furnace � Heat Treatment Electric Furnace � Environmental / Pollution Control device. � ZLC 160t machine � Gas burner � Robot (metal pouring � Automatic fetch machine � Automatic spray � Oil reclamation unit for lubricants � Oil reclamation unit for soluble oil other quenchants � Induction Heating Machines � Air pollution equipment comprising exhaust hoods � Chimney � Scrubber � Common Effluent Treatment Plant � Coolant filtration units � Mist collectors � Ultrasonic cleaning unit � Hydrogen batch annealers � Plasma Nitriding Furnace � Generator Auto Stop system � Solar lighting for pathway � Vertical Lathe 4000dia � CNC Plano Miller 3000 x 6000 � CNC cylindrical Grinding machine � CNC Lathe � Shot blasting � Painting � High Speed CNC Machining Centre � EDM Machine � Die Spotting � Water jet cutting machine up to 100mm � Fumes / dust absorption machine � Replacement of Hexavalent Chrome Plating � Alternate technology for the chemical deburring � Automated packaging facilities to reduce wastes � Special corrosive resistant building material for chemical areas � HEPA Filters, AHU’s etc. � Water Purifier with capacities between 2500 to 10000 LPD


71 | P a g e

ANNEX - Q

List of Energy Control or Saving Technology/Machinery Required

� Press Forgings � CNC and VMC � Ring Rolling � VFD compressors � Melt control for induction furnaces � Fuel efficient cupolas � Electric Billet Heating of Billet � Vent Piercing Device. � Invertors for big motor above 20 HP- (10 No’s) � Fan less cooling towers Energy monitoring system for all plants � Energy efficient lighting. � 500 KVA power factor controller (Automatic) � Micro Processor based Energy Control Devices � Energy saving Factory Lighting � Variable frequency drives for all high horsepower motors � CO2 welding machines � CNG as against furnace oil/LDO/HDO � UPS � Stabilizers � Servo meter � Machinery Energy meters � Material gathering machines with electrical heaters. � Reduce rolling machine � Induction Heating furnace � Induction melting , up cast , rod rolling , online annealers , induction annealers � Energy saving lamps � High eff. Motors � Heat reflectors � Welding Inverter � Plasma cutting Machine Inverter based � Instrumentation and software for sub-station upgradation to control demand, power

factor automatically � Solar energy utilization –solar cells, solar boilers � Energy efficient lamps, motors and electrical systems � Replacement of the genset with software controllers for engine and alternator � Replacement of compressors with energy efficient compressors & motors � Better controllers and instrumentation for auto start and stop of high power

consuming plants. � Introduction of PLC controllers to eliminate electro mechanical relays and timers.


72 | P a g e

� RO plant for reuse of waste water � Overhead Crane: 6 MT capacity � Hoist: 3MT capacity � Fork Lift: 3MT capacity with automation � Wind Mill of 1 MW capacity � Lighting – LED based � Light/ Movement Sensors

ANNEX - R

List of Quality Control Equipment

� Coordinate Measuring Machine (3d) � CNC lead profile tester � CNC coordinate measuring machine � CNC contour measuring machine � CNC non – contact type laser inspection machine � Single stroke photo inspection machine � Coordinate Measuring Machine (Mitutoyo) � CMM � Profile Projector � Spectrometer � Endoscope � Do-all cutting machines. � On line NDT � Three coordinate measuring table 3m x 2m / system � Crankshaft Gage – ADCOLE Model 1100 � Co-ordinates measuring machine � Portable Hardness Tester – Microdur MIC10 (UCI) � Digimar CX2 – 1000/40 Measuring system � 3 Point electronic gauge for diameter inspection � Snap dial gauge for diameter inspection � Electronic crankshaft length checking instrument � Surface Finish Checking Machine � Perth meter � Metal Conductivity Test Kit � Tool maker microscope � Vision inspection system � Vickers hardness tester � SEM � LASER micrometers � Metallurgical test equipment � Roundness tester


73 | P a g e

� Surface finish tester � Profile projector � Digital Micrometer � Digital Height Gage � Inner and Outer Radius Gage � Fillers � Metallurgical Microscope � Spectrometer � Hardness tester � Ultrasonic testing machine � Spectrophotometers � Online measuring laser micrometers � CMM � Ultrasonic � Flaw detectors � Coordinate Measuring Machine � Gauss Strength Meters � Spectro Analyzer � Hardness Testing machine � Ultrasonic Machine � Thickness Meter � Tensile Testing Machine � 3D CMM � MICROHARDNESS TESTER � SURFACE FININSH TESTING MACHINE � UV TEST CHAMBER � Automated Vision system for needle inspection � Optical system with camera for tool and die inspection � Modern facilities for chemical analysis � Vision inspection system � Automatic inspection and packing machine for cutting tools � Equipment to check web thickness/web taper of tools � Tool maker microscope � Coating thickness measuring equipment � Scanning electron microscope � Auto Measuring � Profile Projector � Microbiology Lab. � Go, NO GO Gauges � Thread Guages


74 | P a g e

ANNEX - S

List of Testing and Evaluation Machinery

� CNC lead profile tester � CNC coordinate measuring machine � CNC contour measuring machine � CNC non – contact type laser inspection machine � Low accuracy CMM for pattern and casting measurements � Thermal analysis software � Non contact casting measurement � Solid modeling and AutoCAD software � Energy Audit Instruments � FARO – CMM (Portable) – Casting inspection. � CMM – OHIO – For part inspection. � Optical brinell hardness tester. � Torque Testing Machine � Universal Testing M/c (40 MT) � Testing for Fracture Toughness � Micro processor based semi automatic Bogie Testing M/c � Metallurgical Imaging Device � Spectrometer � NDT (Non Destructive Testing) – To check case depth. � Engine Test bed with Dynamometer for SIMPSON, TATA, LEYLAND engines � Hardness testing machine � Foundry Software � Partial discharge kit � Impulse generator � Franklin Tester � Portable CMM � CNC machining center(high speed) � CNC PCB drilling + routing machine � Positional accuracy checking equipment � Force testing equipment � Eddy current tester � Coercivity tester � Material Composition Analysis – Spectrometer � Universal Testing Machine � Torque testing machine � Torque testing and life cycle testing equipment for hand tools. � Heat Treatment Furnace � Microscope � Meggar


75 | P a g e

� Digital Bore Gauze � Hardeness testing of needle tips � CO, O2 Gas Analysers � Breaking angle testing equipment � Tensile Strength Machine: 2” dia capacity � Hardness Testing Equipment: 2” dia capacity � CAD system software along with Hardware such as Computer system � Chemical Composition Analysis – Spectrometry based/ Weight Based � Hardness Testing Machine � Mechanical Testing Machines

ANNEX - T

Other Ancillary Equipments

� Air Compressor � Water / Air Chiller for Hydraulic Oil � Automatic function control technology � Machining centers for pattern making � MAGMA Soft – Software for simulation of castings. � Salt Spray test. � Inline X-ray testing for components. � CNC machine die sinking machine � CNC spark erosion machine � CNC graphite electrode machine � Wheel type swing table shot blasting machine � Refrigerated Air Dryer � Genset 250 KVA � Forklift � Rotary Degassing � Bottom Drop Solution Treatment Furnace � Precipitations Treatment Oven � 100% power backup � Humidity controllers � Automatic brazing machine � Automatic insertion machine � Automatic packaging machine � Automatic PCB ring setting machine � Modern Packing / Box closure Machine � Metalizing machines � Complete zinc plant � Profile Projector � Electrostatic painting plants


76 | P a g e

� High efficiency generating sets � Paint Thickness meter � DE-oiling and drying technology � Setting up of Hot Rolling Mill for backward integration of manufacturing process

� Rolling Mill with capacity to roll items such as Round/Flat Bars and Rebars/ Deformed Bars with Dia; 8mm to 36mm. Full equipments along with handling systems to be installed

� Varnishing/Coating Plant for Laminations � Water Treatment Plant

ANNEX- U

Other Technology or Machinery

� Hydraulic Torque Multiplier Unit (For maintenance) � Washing and drying for components � Ladle Furnace (vacuum /Argon Gas based) � Digital Bar-Coding � CAD/CAM Design Software like PRO E, CATIA, CADEM, DELCAM,

MASTERCAM � Digital hardness tester � Metal spinning machine � Laser alignment machine � Diamond coating technology � Annealing and Cold forging Technology � Hydraulic/Pneumatic Drop Forging Hammer � Forging Presses � Machinery for manufacturing sockets � Automatic moulding machines � Automatic mould handling plants

� Automatic feeding and collection technology for needles � Sound proof booths


77 | P a g e

The following have been used as a reference in the course of preparation of this report:

� http://www.eepcindia.org

� http://www.importexporthelp.com

� http://www.eurojournals.com

� http://www.imsme.org

� http://www.wikipedia.com

5: References

0281

Documents

summer internship

summer internship

combine fin

trade informatics

product specific

bank fi

side open

product specific