July 20, 2006
More than a dozen business deals are currently in negotiation or have been completed between Manitoba and India companies, while Manitoba has received five visiting business delegations from India since the province led a trade mission there this past February, Deputy Premier Rosann Wowchuk announced.
"Promoting Manitoba as a gateway for trade and investment in North America and introducing Manitoba businesses to emerging opportunities in India were the goals of the mission, which was the largest in Manitoba history," said Wowchuk, who is also acting minister of Intergovernmental Affairs and Trade.
The mission included 45 delegates from more than 34 companies and organizations. Since the mission:
The Jorgenson Group of Companies announced a partnership with Taj Hotels to open the first of a planned line of Taj Vault Salon and Spas. The first of the spas will open this September at the Taj Chennai. The Jorgenson Group also announced a joint venture with the Indian company Dadha to distribute Farouk Systems hair and beauty products in India.
Red River College (RRC) has invested in three return visits to India as they finalize several business agreements:
an Aviation Management Diploma Program with AMITY Business School;
a program to have RRC instructors teach with CIIS College in the Punjab;
an International Business Advanced Diploma with Rajagiri Institute in Kochin, Kerala; and
aviation training courses with Hindustan Engineering College in Chennai.
Winnipeg Aviation has received the first of five students
from India for an
eight-month commercial pilot training program. Another 35 applications have
been accepted and are awaiting student visas.
East India Company has identified potential partners for a spice line and is proceeding with establishing a packing and distribution operation in Winnipeg.
As well, four Manitoba companies are working on sales that could amount to more than $1 million within the next 12 months, while another four are negotiating potential joint-venture agreements with businesses in India.
"In addition to a number of business events, there were more than 300 one-on-one business meetings arranged during the February mission," Wowchuk said. "Many of these have produced follow-up opportunities that are now underway. We applaud the efforts of Manitoba companies."
India is one of the world’s fastest-growing markets and is Manitoba’s largest trading partner in south Asia. So far in 2006, export sales to India are $8.04 million versus $6.29 million in the same quarter of 2005, an increase of more than 25 per cent. Two-way trade with India totalled $45 million in 2004, proving there is room for growth, Wowchuk said, noting the province expects to double its trade with India over five years.
"We know that opportunities exist in biotechnology, aviation, energy, agriculture, telecommunications, mining, transportation and professional services," the minister said. "It is important for Manitoba Trade to work with our business community in order to tap into this growing marketplace."
During the mission, Manitoba businesses and schools signed a number of agreements:
Biotech research – Alkem Laboratories Ltd., one of India’s fastest growing pharmaceutical companies, and the University of Manitoba signed an agreement to collaborate on research and development initiatives with the Richardson Centre for Functional Foods and Nutraceuticals.
Engineering training – The University of Manitoba and Mahalingam College of Engineering and Technology in Bangalore (MCET) signed an innovative two-plus-two agreement to allow students to take their first two years at MCET and their final two years at U of M.
ICT training – Red River College (RRC) has signed an agreement to work to develop a joint-diploma program in computer science with the Lovely Institutes in Punjab that would see Indian students, starting as early as September 2007, study in both India and Manitoba.
Aviation training – RRC signed an agreement with Frankfinn Aviation Services, India’s most renowned training institute in the aviation hospitality sector. Frankfinn is planning a major expansion and diversification into Air Frankfinn, a regional airline.
While in India, Premier Gary Doer also signed an agreement with the Confederation of Indian Industry (CII) in Chandigarh. The agreement, between CII and Manitoba Trade, established a partnership that will provide on-the-ground assistance and advice for Manitoba and Indian businesses looking to expand or invest in either marketplace.
The premier was also the keynote speaker at several business events including receptions hosted by CII and the Indo-Canadian Business Chamber. In addition, Doer and Carole Vivier of Manitoba Film and Sound met with a group of India film producers from Bollywood to highlight Manitoba’s advantages as a prime filming location.
The mission took place Feb. 10 to 17, with stops in Delhi, Mumbai, Chandigarh and Amritsar. The cost of sending six people to India totalled $41,509 and included travel to India, transportation within the country, accommodations, food and other expenses. The group included the premier, who arrived Feb. 9, ($6,217), Denis Rocan, who arrived Feb. 10, ($5,469), Bidhu Jha ($5,972) and three trade and economic development staff ($23,851). These costs were in line with those from a similar Alberta mission to India and Hong Kong in 2004.
Members of the 45-member business delegation paid their own travel costs and received professional support from Manitoba Trade and Investment totalling $86,521. This included arranging business and promotional events, meetings and receptions, establishing one-on-one contacts and providing general logistical support. Business delegates were also assisted with transportation, internal travel, meeting rooms and other mission-related costs.
Manitoba’s trade mission to India was the largest in Manitoba history. Its costs were in line with the costs of Manitoba’s second-largest mission in 1998 to Jalisco, Mexico. The Jalisco mission included nine government representatives plus 23 business delegates and cost $120,000.
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