GCR On Australia

A GLOBAL / COUNTRY STUDY AND REPORT ON
Building and Brass Hardware Industry of Australia
Submitted to Gujarat Technological University
IN PARTIAL FULFILLMENT OF THE REQUIREMENT OF THE AWARD FOR THE DEGREE OF MASTER OF BUSINESS ASMINISTRATION UNDER THE GUIDANCE OF
Ashok Bantwa Assistant Professor
Submitted by
MBA SEMESTER III/IV ----------------------------------------------------------------------------------------
Shree Jaysukhalal Vadhar Institute of Management Studies, Jamnagar MBA PROGRAMME Affiliated to Gujarat Technological University Ahmedabad
Preface
Australia ranks as one of the best places to live in the world by all indices of income, human development, healthcare and civil rights. The sixth-largest country in the world by land mass, its comparatively small population is concentrated in the highly-urbanized east of the Australian continent. Australia is the only country in the world to occupy a single continent. It is a land of contrasts containing many different climates with unique flora and fauna found nowhere else on Earth. In the fast going world hardware parts and components have become very essential for every major industry. Hardware industry has rapid grown in the current few years and it is subsequent growth, development and encourages the economic boom in the several industrialized country of the world, this sector is one of the largest and most important in the global market. From construction to IT, textiles and from furniture to banking and biotech, we can feel the presence of hardware products everywhere. Now a days different products & varieties of hardware parts and components are available in the market. Also it is useful for the decoration therefore it gives a different looks where fix it, whether in the building or other place. This report is aimed at studying economic and business environment prevailing in Australia and identification of business opportunities prevailing in building brass hardware industry of Australia. The first part of report include demographic and economic overview of Australia, overview of industries, trade and commerce prevailing in Australia, overview of different economic sectors of selected country, Present Trade Relations and Business Volume of different products with India and SWOT analysis of Australia.
Second part of the report contain an introduction to building and brass hardware industry of Australia, Structure, Functions and Business Activities of selected industry, comparative position of Australian building hardware industry with building hardware industry of India, present position and trend of business with India and Gujarat. Policies and norms of Australia for building hardware industry including norms for import, export, licensing, permissions, taxations, Policies and Norms of India for Import or export to the Australia including licensing / permission, taxation etc, Present Trade barriers for import export of building and brass hardware products to Australia. Potential for importing and exporting building hardware material to and from Australia, business opportunities in future and conclusion and suggestions.
Acknowledgement
We are very grateful first of all to Gujarat Technological University for giving such a project work to us as a full credit subject. This indeed expands our horizons and gives us a feeling that our management course is not just restricted to traditional and conventional studies but it includes such kind of work which can be called as contribution from us towards the economy of India. We express our deepest and sincere gratitude towards our institute, JVIMS- Jamnagar, for being fully supportive and giving us all the access and facilities that we needed to complete this Herculean task. We are finally very thankful to Dr. K J. Thankachan,- Director, JVIMS and Dr. Ajay D. Shah- Dy. Director, JVIMS for being patient and very kind to us, supporting us, correcting our errors and mistakes and also being there always as a information point whereby we could get all the needed information which was difficult for us to collect for completing this project.
Table of Content
Sr. No
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 Preface Acknowledgement Part 1 Introduction to Australia Demographic Profile of Australia Economic Overview of the Australia Overview of Industries Trade and Commerce in Australia Overview of Different Economic Sectors of Australia Overview of Business and Trade at international Level Present Trade Relations and Business Volume of Different Products with India Part 2 Introduction to Building Hardware Industry of Australia Structure, functions and business activities of selected Industry Comparative position of brass building hardware industry with India and Gujarat Present Position and Trend of business with India during last 3 to 5 years Policies and Norms of Selected Country for Selected Industry Policies and Norms of India for Import and Export Present Trade Barriers for Imports and exports Business Opportunities in Future Present trends of business between India and Australia during last 3-5 years Potential for import export in India / Gujarat Market Conclusion
Topic
Page No.
2 3 4 5 8 12 21 27 32 34 39 40 58 77 85 90 100 105 112 137 143 145
GCR - Australia
Part 1
Introduction
By taking into consideration all indices of income, healthcare, human development, civil rights etc. Australia is considered as a one of the best places in the world to live. Australia is sixth largest country in the world by land area. Its population is highy concentrated in urban areas.1 Australia is the only country in the world occupying a single continent. Australia is a land of disparity including many different climates with distinctive flora and fauna.2
Country Background
Indigenous settlers came on the A ustralian continent about 40 thousand years before the first Europeans began discovery in the 17th century. Capt. James COOK took control of the east coast in the name of Great Britain. Commonwealth of Australia came into existence through creation of six different colonies during 18th and 19th centuries. 3 By taking the advantage of its natural resources Australia made significant development of its agriculture and manufacturing industries. In present scenario Australia has made itself into an internationally competitive and highly advanced economy. Australia became one of the fastest growing economy during the 1990,s. Long term concerns of Australia includes pressure on infrastructure sector, ageing of the population, and number of environmental issues such as frequent droughts.4
http://www.bbc.co.uk/news/world-asia-15674351 2 http://www.virtualoceania.net/australia/travel/overview.shtml 3 http://www.appliedlanguage.com/about-us/knowledge-hub/country-guides/australia/ 4 https://www.cia.gov/library/publications/the-world-factbook/geos/as.html
Country Overview
Capital: Population: Weights & Measures Language Currency: Time Zone: Area Canberra 22.7 Million Metric English (AUD) Australian Dollar 100 cents equal 1 AUD Dollar GMT + 10 hours 7,682m sq km
Important facts about Australia, Australia is worlds smallest continent and is sixth largest country by total land area Australia is enriched with a coastline of 34,218 kilometers With relatively old and least fertile soils, Australia is considered as a flattest continent in world Australia is credited to have lowest population density in world of 2.8 inhabitants per square kilometer. Per capita income of Australian people is sixth highest in world. Australia is also credited to have second highest human development index in the world It also ranks high in number of international comparisons of national performance like health,, education, quality of life, economic freedom and protection of civil and political rights School education up to age of 11 is compulsory in Australia The adult literacy rate of Australia is 99 per cent
Chapter 1
Demographic Profile of Australia
Demographic Profile of Australia

This section includes information about people and society of Australia. 1. Nationality: Australia 2. Population: 22,015,576 (July 2012 est.) 3. Population growth rate: 1.126% (2012 est.) 4. Birth rate: 12.33 births/1,000 population (2011 est.) 5. Death rate: 6.88 deaths/1,000 population (July 2011 est.)5 6. Net migration rate: 5.93 migrant(s)/1,000 population (2012 est.) 7. Urbanization: Urban population: 89% of total population (2010) 8. Ethnic Group:6 White Asian Aboriginal and other
(Source: CIA World Fact Book)
92% 7& 1%
9. Languages:7 English Chinese Italian Greek Arabic Vietnamese Other Unspecified

78.5% 2.5% 1.6% 1.3% 1.2% 1% 8.2% 11.3%
5. http://www.appliedlanguage.com/about-us/knowledge-hub/country-guides/australia/ 6 http://www.appliedlanguage.com/about-us/knowledge-hub/country-guides/australia/ 7 http://www.appliedlanguage.com/about-us/knowledge-hub/country-guides/australia/
10. Religions:8 Australia is a religiously diverse country and has no official religion. Protestant Anglican Uniting Church Presbyterian and Reformed Catholic Eastern Orthodox Other Christian Buddhist Muslim Other Unspecified None
27.4% 18.7% 5.7% 3% 25.8% 2.7% 7.9% 2.1% 1.7% 2.4% 11.3% 18.7%
11. Age Structure: Age Group 0-14 years 15-64 years 65 years and over
Percentage 18.3% 67.7% 14%
Male/Female Ratio 2,040,848/1,937,544 7,469,092/ 7,266,143 1,398,576/ 1,654,508
12. Median age: Total Male Female

37.7 Years 37 Years 38.4 Years
8 http://www.appliedlanguage.com/about-us/knowledge-hub/country-guides/australia/
10
13. Major cities - population:9 Sydney Melbourne Brisbane1 Perth

4.429 Million 3.853 million 1.97 million 1.599 million
14. Sex Ratio At birth Under 15 years 15 to 64 years Above 65 years Total Population
1.06 male/female 1.05 male/female 1.03 male/female 0.85 male/female 1 male/female
15. Literacy: Definition: age 15 and over can read and write Total Population Male Female
99% 99% 99%
16. Unemployment, youth ages 15-24: Total Population Male Female

11.6 % 12.6 % 10.4%
11
Chapter 2
Economic Overview of the Australia
12
Economic Overview of the Australia

Because of its ample natural resources in the form of wide reserves of iron ore, coal, gold, copper, uranium, natural gas, and renewable energy sources, Australia has became the center of attraction for investment. 10
A series of key investments, such as the investment of US$40 billion Gorgon Liquid Natural Gas project, will considerably expand the resources sector. Australia with its large service sector is considered as one of the major exporter of natural reserves, food and energy. Key doctrine of Australias trade policy includes support for open trade and the successful culmination of the Doha Round of multilateral trade negotiations, particularly for agriculture and services. The Australian economy is growing at very high rate for last 17 consecutive years.
Afterward, the former government introduced a fiscal stimulus package of US$50 billion to compensate the effect of the slowdown in world economy, while the Reserve Bank of Australia reduced interest rates to historic lows. These policies - and continued demand for commodities, especially from China - helped the Australian economy bounce back after just one quarter of harmful growth.
The economy grew by 1.3% during 2009 - the best performance in the OECD - by 2.7% in 2010, and by 3.0% in 2011. Unemployment in Australia is expected to reach 8-10%, peaked at 5.7% in year 2009 and decreased to 5.0% in 2011. As a result of an improvement in economic performance, the budget deficit is expected to crest below 4.2% of Gross Domestic Product and the government could return to budget surpluses as early as 2015. Australia is credited to be the first country in the world to raise interest rates, with seven interest rate hikes during October 2009 and November 2010.11
10 http://www.appliedlanguage.com/about-us/knowledge-hub/country-guides/australia/ 11 https://www.cia.gov/library/publications/the-world-factbook/geos/as.html
13
The economy of Australia is a developed, modern market economy with a GDP of approximately US$1.23 trillion. in 2011. It was the 13th largest national economy by nominal GDP and the 17th largest measured by PPP adjusted GDP, representing about 1.7% of the World economy.
Australia was also ranked the 19th largest importer and 19th largest exporter The Australian economy is dominated by its service sector, representing 68% of Australian GDP. The agricultural and mining sectors (10% of GDP combined) account for 57% of the nation's exports. The Australian economy is dependent on imported crude oil and petroleum products, the economys petroleum import dependency is around 80% - crude oil + petroleum products.
Rich in natural resources, Australia is a major exporter of agricultural products, particularly wheat and wool, minerals such as iron-ore and gold, and energy in the forms of liquified natural gas and coal.
The economy relies heavily on trade to remain stable, but with its location is far from other well populated countries. The economy has seen an extra boost from the expansion of the natural resources mining industry and this looks set to continue for the near future.
1. GDP (purchasing power parity): This entry gives the gross domestic product (GDP) or value of all final goods and services produced within a nation in a given year. Year GDP (USD Million) 2003 2004 2005 635.5 2006 647.6 2007 773 2008 800.2 2009 848.4 2010 882.4
571.4 611.7
14
2. GDP - real growth rate This entry gives GDP growth on an annual basis adjusted for inflation and expressed as a percent. The growth rates are year-over-year, and not compounded. Year GDP % 2003 3 2004 3.5 2005 2.7 2006 2.7 2007 4.3 2008 2.3 2009 1.2 2010 2.7
3. GDP - per capita (PPP): This entry shows GDP on a purchasing power parity basis divided by population as of 1 July for the same year.
Year GDP (USD ) 2003 2004 2005 31600 2006 333003 2007 37300 2008 38100 2009 39900 2010 41000
29000 30700
4. Shares of different sectors in the economy: Service Industry Agriculture

71.2% 24.8 4%
5. Inflation rate (consumer prices): This entry furnishes the annual percent change in consumer prices compared with the previous year's consumer prices.
Year Inflation Rate 2003 2.8% 2004 2.3% 2005 2.7% 2006 3.8% 2007 2.3% 2008 4.4% 2009 1.8% 2010 2.9%
15
6. Total Imports: Major imports by Australia include machinery and transport equipment, telecommunication equipment and parts, computers and office machines, petroleum products and crude oil. Major imports by Australia include machinery and transport equipment, computers and office machines, telecommunication equipment and parts, crude oil and petroleum products. This entry provides a listing of the highest-valued imported products; it sometimes includes the percent of total dollar value. Year Imports (USD Billion) 2003 2004 2005 119.6 2006 127.7 2007 160 2008 193.3 2009 160.4 2010 200.4
82.91 98.1
7. Major Import Partners: This entry provides a rank ordering of trading partners starting with the most important; it sometimes includes the percent of total dollar value12 China US Japan Thailand Singapore Germany Malaysia
18.7% 11.1% 8.7% 5.2% 5.1% 5% 4.3%
16
8. Total Exports: Major exports by Australia include gold, wool, Coal, alumina, meat, iron ore, wheat, transport equipment and machinery. This entry provides the total US dollar amount of merchandise exports on an f.o.b. (free on board) basis. These figures are calculated on an exchange rate basis, i.e., not in purchasing power parity (PPP) terms. Year Exports (USD Billion) 2003 2004 2005 103 2006 117 2007 142.1 2008 190.2 2009 154.8 2010 210.7
68.67 86.89
9. Major Export Partners This entry provides a rank ordering of trading partners starting with the most important; it sometimes includes the percent of total dollar value. China Japan South Korea India US
25.1% 18.9% 8.9% 7.1% 4%
17
10. Unemployment rate: Definition of Unemployment rate: This entry contains the percent of the labor force that is without jobs. Substantial underemployment might be noted.
Year 2003 2004 5.1% 2005 5.1% 2006 4.9% 2007 4.4% 2008 4.2% 2009 5.6% 2010 5.1%
Unemployment 6% Rate
11. Industrial production growth rate: This entry gives the annual percentage increase in industrial production (includes manufacturing, mining, and construction).
Year Production Growth Rate 2003 -0.1% 2004 1.9% 2005 1.1% 2006 -3.5% 2007 4.1% 2008 3% 2009 -4.1% 2010 3%
12. Debt external: This entry gives the total public and private debt owed to nonresidents repayable in foreign currency, goods, or services. These figures are calculated on an exchange rate basis, i.e., not in purchasing power parity (PPP) terms.
Year Debt (USD Billion)
2003
2004
2005 308.7
2006 323.4
2007 585.1
2008 826.4
2009 770.3
2010 1094
176.8 233.5
(Source: CIA World Fact Book
18
13. Investment (Gross Fixed): This entry records total business spending on fixed assets, such as factories, machinery, equipment, dwellings, and inventories of raw materials, which provide the basis for future production. It is measured gross of the depreciation of the assets, i.e., it includes investment that merely replaces worn-out or scrapped capital.
Year Imports (USD Billion)
2003 25
2004 25.32
2005 25.9
2006 26.8
2007 27.3
2008 28.7
2009 28.3
2010 27.4
14. Current Account Balance This entry records a country's net trade in goods and services, plus net earnings from rents, interest, profits, and dividends, and net transfer payments (such as pension funds and worker remittances) to and from the rest of the world during the period specified. These figures are calculated on an exchange rate basis, i.e., not in purchasing power parity (PPP) terms. Year 2004 2005 2006 2007 2008 2009 2010
Current Account Balance (USD) - 38,300,000,000 -42,090,000,000 41,620,000,000 56,780,000,000 -41,880,000,000 41,330,000,000 -35,230,000,000
19
15. Central bank discount rate: 4.35% (31 December 2010 est.)13 This is the Reserve Bank of Australia's "cash rate target," or policy rate 16. Commercial bank prime lending rate: 7.8% (31 December 2011 est.) This entry provides a simple average of annualized interest rates commercial banks charge on new loans, denominated in the national currency, to their most credit-worthy customers. 17. Major Industries: Mining Industrial and transportation equipment, Food processing, Chemicals, Steel14
14
http://www.appliedlanguage.com/about-us/knowledge-hub/country-guides/australia/
20
Chapter 3
Overview of Industries, Trade and Commerce in Australia
21
Overview of Industries, Trade and Commerce

1. Trade and Commerce Overview: Rich in natural resources, Australia has a largely affluent society and an open and innovative economy, resulting in growing foreign investment over the past decade. Australia continues to be a strong advocate of increased trade liberalisation in the World Trade Organization and plays an active role in global trade talks. Australias largest export market is China, followed by Japan, the Republic of Korea, India, the United States, and the UK. Strong political, economic and cultural links to the UK make Australia a more significant market for UK exports than its comparatively small population might suggest. The UK is Australias fifth largest two-way trading partner, worth A$22.6 billion in 2010. British investment in Australia increased A$34 billion in 2009 to reach A$499 billion, making the UK the countrys second biggest foreign investor after the US. And it is second largest foreign direct investor, worth with A$63 billion, or 14.5 per cent of the total. Despite the global economic slowdown, UK foreign direct investment into Australia increased by A$1.8 billion in the year to December 2009.
2. Trade Group Membership If the goods are the produce or manufacture of New Zealand.(Based on % of
NZ origin content/manufacture), the Closer Economic Relations (CER) between Australia and New Zealand provides for the possible elimination of duty. 15
15 http://www.international-orders.com/content/view/38
22
If goods are the produce or manufacture of Canada, the Canada and Australia Trade Agreement (CANTRA) provides for possible elimination of some duty rates.
Australia is also a party on the Convention of International Trade on Endangered Species (Flora and Fauna), Montreal Protocol and Wassenauer Agreement.
The Australia-United States Free Trade Agreement (AUSFTA) came into force on 01/01/2005. Austrade also provides practical advise for exporting to United state. Australian custom service provides advise to importers on tariff changes arising from the AUSFTA.16
3. Import Export Guidelines

I. Import Clearance Processes All the imported goods in Australia are subject to clearance by the custom authorities. For goods with a value of $1000 (AUD) or greater, Importers are responsible for obtaining a formal Customs clearance17 Consignments prized below $1000 (AUD) will be processed via a self accessed declaration. Customs does employ cost-recovery schemes for processing declarations. The amount of cost is determined based on on whether the entry is submitted as an electronic or manual declaration.18 Customs also provides assistance to the private importers to clear their own goods.
16
http://www.fedex.com/us/international/irc/profiles/irc_au_profile.html?gtmcc=us
http://www.international-orders.com/content/view/38
18
23
Federal Express customs clearance service is included in the price of it's FXIP service. Although, we do recover any direct fees associated with processing declarations.19
II.
Import Duties: By classification of goods within the Australian Customs Tariff, the rates of duty payable by the importer is decided. In some situation, anti-dumping or countervailing measures, which result in the imposition of additional rates of duty, may also apply. A Customs processing fee applies to goods that require formal entry to customs of $54.20 (AUD) which includes a $6.50 (AUD) quarantine fee for which a declaration is lodged.20
III.
Export Clearance Processes Export entries are lodged electronically by a registered user of the ICS (Integrated Cargo System) either as an owner or as an agent acting on behalf of an owner; which may be prepared by the owner or an agent appointed by the owner.
21
Before the goods are being lodged on the board or aircraft transporting them out of Australia exporters must report all export details The ICS operates 24 hours a day. Provided there are no regulatory impediments, customs aims to transmit a clearance within a few minutes of receipt of a complete and accurate electronic entry22
19
http://www.international-orders.com/content/view/38 20 http://www.international-orders.com/content/view/38 21 http://www.international-orders.com/content/view/38 22 http://www.international-orders.com/content/view/38
24
4. Tax Policies
There are many forms of taxes levied by Australian government. Individuals and companies in Australia are required to pay taxes or charges to all levels of government: local, state, and federal governments. Taxes are collected to pay for public services and transfer payments. Income taxes are considered as the most significant form of taxation in Australia, and are collected by the central government through the Australian Taxation Office. Australian GST revenue is collected by the Federal government, and then paid to the states under a distribution formula determined by the Commonwealth Grants Commission of Australia. Following are the kind of taxes. I. Personal income taxes
Income taxes on individuals are imposed at the federal level. This is the most significant source of revenue in Australia. The state governments do not impose income taxes. Theses taxes in Australia are imposed on the personal income of each person on a progressive basis, with the application of higher rates to the people with higher level of income.
II.
Capital gains tax
In Australia capital gain taxes are levied on capital gain arising from disposal, sale or transfer of any capital assets except in case of specific exemptions. III. Corporate taxes
Companies and corporations pay company tax on profits made by them. Corporate taxes in Australia are calculated at flat rate of 30%. Taxes are paid on corporate profit before its distribution to shareholders in the form of dividend. IV. Goods and Services taxes
Entities registered for goods and service tax are required to pay value added tax at the rate of 10%. A number of supplies are exempt from GST (e.g., many basic foodstuffs, medical and educational services, exports), input-taxed (residential
25
accommodation, financial services, etc.), exempt (Government charges) or outside the scope of GST. V. Property taxes
Most of the local governments in Australia meet its funding requirement by levying taxes on land value, industrial, residential and commercial properties. In addition, some State governments levy tax on land values for investors and primary residences of high value. VI. Excise taxes
The Federal Government imposes excise taxes on goods such as cigarettes, petrol, and alcohol.
26
Chapter 4
Overview of Different Economic Sectors of Australia
27
Overview of Different Economic Sectors of Australia

Australia possesses a well-diversified economy boosted by the strength of its services and resources industries. In the past two decades, Australia has enjoyed a period of uninterrupted economic growth an average of 3.3 percent in real GDP growth annually. A vital component to this growth has been the gradual shift of markets by Australias industry sectors. Previously, Australias industry sectors main focus was to serve the needs of the European and North America markets; however Australias decision to turn its attentions to the East Asian markets, particularly China and Japan, has coincided with Australias recent economic progress. The following section include brief profile of important Australian industries.
1. The Financial Services Industry

Australia has a sophisticated financial services sector and is ideally positioned as a centre for the Asia-Pacific region. This is demonstrated by deep and liquid financial markets and regional leadership in investment management as well as in areas including infrastructure financing and structured products. The strength of the financial services sector is underpinned by a mandated retirement savings scheme, highly skilled and multilingual workforce and advanced business infrastructure. Finance and insurance is the fourth largest sector in Australias economy, generating 8.1 per cent or A$81 billion of real gross value added in 2007-08. This contribution is up from 6.5 per cent two decades ago and its expansion has also aided growth in related sectors such as communications, property and business services. Highly developed financial markets make Australia one of the major centres of capital markets activity in Asia and Australias large and mature financial s ervices sector has assets of more than A$4.3 trillion, which is equivalent to almost four times GDP.
28
2. Infrastructure
Because of its vibrant economy and internationally renown lifestyle Australia is growing at continuous rate over a period of time. With significant rise in population Australian government has increased its spending on important infrastructure projects with high emphasis on civil engineering and construction sector. Transport and utilities projects have become centre of attraction for long term investment. With the objective of identifying priorities and reducing impediments, Australian government had set up Export Infrastructure Task Force Looking at continuous and rising demand Australian government is expecting more foreign companies to enter in Australian infrastructure development market.
3. Biotechnology
Excellent research facilities, world-class scientists and a strong but flexible regulatory regime have made Australia a powerhouse of biotechnology and pharmaceutical innovation. Australia is home to a thriving network of 470 biotechnology companies. Of these, 49 per cent are involved in therapeutics, 15 percent in agricultural biotechnology and 13 per cent in diagnostics. In 2008, the BioIndustry Review reported that 399 alliances had been announced involving Australian life science companies in the previous 12 months. Of these, over 70 per cent were with international organisations 101 with North American organisations, 100 with European organisations and 57 with Asian organisations (Source: Hopper and Thorburn, 2008 BioIndustry Review: Australia and New Zealand).
29
Australia has a well established medical device industry, a strong position in nanobiotechnology and is internationally regarded for its expertise in stem cell research.
4. Information Technology and Telecommunications

The listed IT and telecommunications sector consists of several large corporates, including telecommunications carriers and numerous small to medium sized businesses. SMEs make up the majority of the sector and consist of telecommunications distributors and resellers, IT consultancies and software developers and vendors.
5. Agriculture
Australias diverse climate enables it to sustain a wide variety of agribusiness enterprises, including: tropical and temperate horticulture, coastal and inland aquaculture, grain, oilseed and fibre production, dairy farming, farming, forestry and timber production Australia is renowned for its high quality produce thanks to its geographic isolation and stringent quarantine and monitoring procedures. A culture of ongoing innovation also means the industry is highly competitive livestock
internationally Australias agricultural sector presents valuable opportunities for new investors within a stable investment and regulatory environment. The industry is comprised of a large number of small operators, meaning there are low barriers of entry for new players. There is increasing global demand,
particularly from the developed world, for Australian food products such as beef and dairy
30
6. Consumer
Companies operating in the consumer sector are distinguished by the discretionary or staple nature of their product offering. Companies involved in the production and distribution of food and beverages are considered to be staples, whereas companies involved in media, general retailing and gambling make up the consumer discretionary sector.
7. Industrials and Materials

The industrial sector consists of a broad range of companies in construction and engineering, infrastructure, transport and commercial services. The materials sector (excluding metals and mining) includes producers of agricultural commodities, fertilisers, paper and forestry products, chemicals and building materials
31
Chapter 5
Overview of Business and Trade at international Level
32
Overview of Business Level
and Trade at international
Australias trade policy is geared to increasing economic activity, liberalizing trade and maximizing access for Australia in the international market place. Australia is an active player in the WTO, in particular on agriculture. Australia is actively pursuing regional and bilateral free trade agreements, which, it hopes, will deliver stronger trade and economic growth. FTA's have been completed with the US, Singapore, Thailand, New Zealand, Chile and ASEAN, and negotiations are underway with China, Malaysia, Japan, Korea, the Gulf Cooperation Council, Pacific islands (through the Pacific Agreement on Closer economic Relations) and the Trans Pacific Partnership. Further bilateral FTA's with India and Indonesia are also under consideration.
33
Chapter 6
Present Trade Relations and Business Volume of Different Products with India
34
Present Trade Relations and Business Volume of Different Products with India
1.
Australias Trade with India Overview
India and Australia have a strong and productive bilateral partnership. Australian exports to India are on the rise, India is now Australias 4th biggest export market underlining the importance of India as a major export and investment destination for Australia. Australias leading merchandis e exports include Coal, Gold, Copper Ore, Wool, Horticulture, etc. This makes India the fastest growing export market for Australia. Services exports to India have also been growing rapidly with education leading from the front. Australia is now the 2nd biggest overseas education destination for Indian students. Indian tourist arrivals have also been on the rise contributing to Australias services exports to India. Australias exports include the minerals and fuels, energy investment and collaboration on areas of joint significance.
2. India Australia Trade Relations

Though India Australia trade relations are active today its full potential has still not been achieved. Which means that there exists substantial scope for improvement in Australia India trade relations. In year 2004-05 trade turnover between India and Australia reached a record A$ 7.25 Over the corresponding figure of A$ 5.86 billion in 2003-2004 the amount of total trade recorded an increase of about 23.7% Indias export to Australia was at A$ 1.22 billion at the end 2004-05. India's import figure stood at A$ 4.87 billion In 2003- 2004, and it amplified by 24% in the next year to stand at A$ 6.05 billion. The major items that Australia exports to India are as under: o o o o o Copper and copper ores Silver and platinum Gold Wool Vegetables
35
o Electronic components o Telecommunication equipment The major items that Australia imports from India include, o o o o o Floor coverings Precious and semi precious stones Textile Leather and leather goods Agricultural products
Efforts have been made to promote India Australia trade relations through establishment of Joint Ministerial Commission (JMC) and Joint Business Council (JBC)
3. Indias Merchandise Export to Australia

Though merchandise exports by India to Australia are varied but its volumes are not very huge. The man items are jwellery, pearls, precious and semiprecious stones, textile materials, floor coverings, engineering goods, textile yarn, base metals, travel goods and handbags, mens or boys clothing, womans or girls clothing, plantation and agriculture products, chemicals and related products etc.
4. Indias merchandise imports from Australia

Indias merchandise imports from Australia are restricted to a small range of primary commodities such as copper & concentrates, silver and non ferrous metal scraps, monetary gold, coal etc. It also include dried fruits, chickpeas, pulses, peas, apples and manufactured items.
36
5. Major Australian Exports to India

Products Non-monetary gold Coal Education Copper ores and concentrates Crude petroleum Amount (A$m) 7,125 5,532 3,148 1,180 499
6. Major Australian Imports from India

Products Tourism Pearls and gems Rotating electric plant and parts Jewellery Medicaments (including veterinary) Amount (A$m) 403 141 121 107 87
7. Present Business Volume

o India was Australias 4th largest export destination for its goods and 5th largest trading partner in goods and services in 2010-11. o Australia was Indias eighth biggest trading partner in the year 2010-11. o Bilateral trade in goods : A$ 17.82 bn. (US$17.66 bn.) (2010-11)* o India's Exports : A$ 2.08 bn. (US$2.05 bn.) (2010-11)* o India's Imports : A$ 15.74 bn. (US$ 15.58 bn.) (2010-11)* o Main exports : Pearls & gems, Rotating electric plants, Jewellery Made-up textiles, and Medicaments (incl. veterinary). o Main imports : Coal, non-monetary gold, copper and copper ores, Crude Petroleum, Fertilizers (excl. crudes) etc. o Bilateral trade in services :A$ 3.19 bn. (US$ 3.15 bn.) (2010-11) o India's Service Exports : A$0.69 bn. (US$ 0.68 bn.) (2010-11)
o India's Service Imports : A$ 2.5 bn. (US$ 2.47 bn.) (2010-11)
37
Year* Total trade Indias Exports Indias Imports
2005 - 06 $10.12 bn. $1.28 bn. $8.84 bn.
2006 - 07 $10.75 bn. $1.46 bn. $9.29 bn.
2007 - 08 $10.92 bn. $1.60 bn. $9.32 bn.
2008 09 $17.53 bn. $2.11 bn. $15.42 bn.
2009 - 10 $18.02 bn. $1.84 bn. $16.17 bn.
2010 - 11 $17.82 bn. $2.08 bn. $15.74 bn.
8. Opportunity for the Indian Co. in Australia Over the past five years India has been the fastest growing market for
Australian exports.
The countrys highly-skilled and multilingual workforce is a big plus for Indian
companies wanting to set up shop there.
India and Australia are exploring the possibility of a Free Trade Agreement 9. Sectors attractive to Indian entrepreneurs
If we look at the Indian economy, it is predominantly driven by the services sector. There is a degree of expertise already in India in services but its domestic expertise. There is a great opportunity to invest in international services. In the health and medical fields, Australia is quite advanced, but sometimes quite short in funds to develop as commercially. Investment into that in Australia would develop product and service delivery. There is some very rich R&D concept and product development in Australia that would benefit to link up with Indian commercialization power. Tourism too. Here is a real opportunity that comes out of the economic downturn, apart from the fact that people will have less money; they still want to go somewhere. We will see more tourists. So investments into the tourism sector in Australia will see rewards coming from that. Sports is another area. India should invest some of the expertise that Australia has in sports medicine, sports management, sports performance, logistics, and bring in more money.
38
GCR - Australia
Part 2
Building Hardware Industry
39
Chapter 7
Introduction to Building Hardware Industry of Australia
40
Introduction to Building Hardware Industry of Australia

1. Industry Overview
In the fast going world hardware parts and components have become very essential for every major industry. Hardware industry has rapid grown in the current few years and it is subsequent growth, development and encourages the economic boom in the several industrialized country of the world, this sector is one of the largest and most important in the global market. From construction to IT, textiles and from furniture to banking and biotech, we can feel the presence of hardware products everywhere. Now a days
different products & varieties of hardware parts and components are available in the market. Also it is useful for the decoration therefore it gives a different looks where fix it, whether in the building or other place. The Building Supplies Wholesaling industry sells everything from plumbing supplies and power tools to metal fasteners, awnings, and cement, paint and hardware products. It also sells some timber products such as moldings, sashes, trusses, cupboards, wardrobes and window units. The industry derives 70% of its revenue from the supply of building materials to the housing construction market. Industry revenue is expected to total $20.50 billion in 2011-12, down by 3.1% on the previous year. Industry value added is about $4.10 billion, or 0.4% of Australia's GDP. Over the past five years, revenue has increased by an annualized 0.5%, falling well short of the pace of expansion in Australia's GDP (2.6%) and influenced by the divergent trends in the downstream construction markets. Building hardware often refered as architectural hardware or construction hardware or home hardware and even finish hardware is involving all the hardware that is required in building and construction. Building hardware serve for the decoration, finishing and safety of buildings like the doors, drawers and windows. There is no Quota system for Hardware. The constant increasing demand for luxurious building, people
41
would like to purchase unique building hardware products. Therefore the reputed companies are manufacturing their business to higher value added products. These building hardware products are describe below: o Building Products Building products & supplies can be broadly categorized into: DoorHardware,Bathroom Hardware, Furniture Hardware, Safety & Security
Hardware,Plumbing Hardware, Cabinet Hardware, Window Hardware,Curtain Hardware o Manufacturer & exporter of building hardware Manufacturer and exporter countries like India, Australia, America, Canada, Saudi Arabia, Taiwan, Sri Lanka, Malaysia, and Singapore. India is the largest country in manufacturing and exporting of building hardware products.
2. The Australian Hardware Market

A steady growth of the markets for building materials and hardware, there is an increasing demand for hardware products for interior decoration. The Australian hardware market is developed rapidly in recent year. This market has grown significantly over the last decade and is now generally accepted to include home improvement, home leisure and building products. The market is currently estimated to generate sales of approximately $22 billion per annum. The Australian hardware market is manufacture and export of the many hardware products. Sales cover a wide range of hardware products includes: o Building products, o Decorator products, o Garden, nursery and outdoor leisure products, o Home hardware, o Tools and electrical and lighting products. Australia's per capita hardware consumption is one of the highest in the world, with high levels of home ownership and dry weather conditions.
42
3. Structure of building brass hardware market in Australia

Australia is having highly fragmented hardware market. Two major players in Australian hardware market, Bunnings and BBC jointly control 13.2% market share of Australian hardware market. Key features of Australian hardware market is as under. o Mostly builders do everything from fitting doors and accessories to providing the repair and maintenance services. o The terms and condition for the fitting and selection of the hardware components are mentioned in the contract. o Customers have to select items from their display homes and then the price is fixed. o Ones the contract is signed customers need to pay extra cost if they want to add something more. o All the facilities are there such as full bathroom, hot water system, air conditions, security system, gas, cupboards, electric fittings, camera security etc are provided by the builders. o Bunnings is the biggest hardware warehouses in each suburb where each everything in hardware components from high to low prices are available. o We just have to move and were everything in the home is supplied by them.
43
4. Contribution and role of industry in Australian Economy

The construction industry is the fourth largest contributor to Gross Domestic Product (GDP) in the Australian economy and plays a major role in determining economic growth. In chain volume terms, the construction industry accounted for 6.8% of GDP in 2008-09, compared with 7.0% in 2007-08. The industry had previously experienced seven consecutive years of growth as a proportion of GDP, since the introduction of the Goods and Services Tax (GST) in 2000-01. As at May quarter 2009 the construction industry employed 9.1% of the Australian workforce, making it Australia's fourth largest industry. The construction industry operates in both the private and public sectors, engaging in three broad areas of activity; residential building, non-residential building and engineering construction. Demand for, and supply of, these services is driven by economic factors including population growth and consumer confidence, changes in interest rates and inflation. Most recently, government policies affecting housing and infrastructure projects have been an influence. The availability of resources, such as labour and building materials, and changes within closely linked sectors (e.g. agriculture, mining and manufacturing), also drive change in the industry. There is a current media focus on the residential building component of construction, highlighting low levels of housing availability and affordability in Australia's major cities. In 2009, media interest centred around Australia's economic response to the Global Financial Crisis (GFC), which saw increased Government funding for infrastructure. Much attention has been given to the affect of government intervention in stimulating economic growth and maintaining demand for labour, particularly for the construction of residential and education buildings.
44
5. Major Players in Australian Hardware Market

This section includes brief profile of major players in Australian Hardware Market
I.
Bunning Warehouse
There are various products which bunnings produce and therefore is the top most company in Australia . Various lists of products which bunnings produce which are as listed below: Paint Accessories, Storage, Flooring, Kitchens, Bathrooms, Plumbing, Home Safety, Doors and Gates, Ladders, Fixings, Building Supplies, Building Materials, Garden Tools, Electrical, etc.
Bathroom and Kitchen Products by Bunnings

o Cooking Appliances : Various kinds of facilities which are available for bathroom and kitchen by BUNNINGS are explained as under
Various tools of brass used by bunnings in cooking appliances are as under : Cooktops which is a cooking unit used for hotplates or burners Ovens Range hoods Sink mixer
45
o Showers
Various varieties of showers are produced by bunnings as hardware brass industry . It varies in size, shape, quality, etc. o Lighting and Electrical Fittings Interior lighting which they provides are as follows
Floor lamps Mix and match lamps Pendant lamps Table lamps o Hardware Items
Satin chrome trilock
Trilock traditional leverset
46
Lockwood785 CYL4 slinding wind
lockwood 001 deadlatch
This are some of the hardware products of Bunning which is used in doors, mirrors etc. o Outdoor Fittings
Counter weight balance
Tools used in outdoors fitting
o Tools and Hardware Hand tools and tools storage include: Cutting and cleaning tools Driving Tools Metal tool mboxes Shaping tools
47
Services Provided by Bunnings

o Colour Consultant o Colour Matching o Gas Swap o Hire Shop o Installation o Moving Planner o Kids Activities o Special Orders o Trailer Hire o Cutting Keys o Hot Water Replacement
48
BUNNINGS AND SUSTAINABILITY :
Sustainability is important to BUNNINGS because fundamentally, it's the right thing to do and customers and Team Members expect it. They make no claim to be perfect and understand that the operations have an impact both on the communities they live in and more widely. As such, they are committed to reducing that impact and building a more sustainable business. The following are the benefits of sustainability : 1. Less water 2. Responsible sourcing 3. More education and awareness The topmost competitor of Bunning is IKEA, which produces similar kinds of products as Bunnings such as all interior decoration and biggest warehouses in world in Sydney. Other competitors are ACC (Australain Construction Company), Masterton, etc,
49
II.
IKEA
IKEA is the main competitor of BUNNINGs. Following is the detail about it :
Products by IKEA
o Eating Serveware, Coffee & tea, Dinnerware, Cutlery, Glassware & jugs, Place mats & dining textiles, Napkins.
o Desks Cable management & accessories, Desks & computer desks, Table tops & legs.
50
o Children's IKEA
(Product name :- PATRULL FAST Safety gate, white)
Safety, Cot mattresses, Baby textiles, Changing tables & nursing, Storage furniture, Children's tableware, Highchairs, Baby toys, Children's beds, Children's mattresses, Children's textiles, Junior chairs, Toys & play, Cots, Children's mirrors, Small furniture, Children's lighting, Storage system, Small storage. o Cooking Cooking accessories, Ovenware, Knives & chopping boards, Mixing & measuring tools, Food storage & organising, Dish-washing accessories, Kitchen textiles, Frying pans & woks, Pots & sauce pans, Bakeware, Kitchen utensils.
51
(Product name :- KONCIS Roasting tin with grill rack, stainless steel) o Bathroom storage Wash-stands, Wash-basins, Taps, Bathroom storage, Bathroom accessories,
(Product name :- GODMORGON/ BRVIKEN Wash-stand with 4 drawers, black-brown)
52
o Beds & mattresses Queen & double beds, Single beds, Guest beds & day beds, Loft beds & bunk beds, Headboards, Mattresses, Sofa-beds.
(Product name :- PUNKT Castor for soft floors) o Chairs Armchairs, Bar tables & chairs, Highchairs, Junior chairs, Stackable & foldable chairs, Caf furniture, Dining sets, Step stools & step ladders, Office chairs, Upholstered chairs, Chair covers, Dining chairs, Stools & benches. o Clothes storage
(Product name :- BJRNUM Folding hook)
Hooks & hangers, Wardrobes, Chests of drawers, Clothes organisers, Clothes storage system, Racks & stands, Shoe cabinets, Shoe, coat & hat racks.
53
o Decoration Candle holders & candles, Clocks, Frames & pictures, Plant pots & plants, Vases, bowls & flowers. o Flooring
(Product name :-RIGGA Clothes rack) o Kitchen cabinets & appliances Pantry, Knobs & handles, Wall panels, Step stools & step ladders, Interior fittings, Wall storage, Ovens, Cookers, Hobs, Microwave ovens, Extractor hoods & filters, Dishwashers, Free-standing kitchens, Kitchen cabinets, Kitchen islands & trolleys, Kitchen taps & sinks Worktops. o Lighting Integrated lighting, Ceiling lamps, Children's lighting, Work lamps, Wall lamps, Spotlights, LED lights, Bathroom lighting, Floor lamps, Light bulbs & batteries, Shades, bases & cords, Table lamps. o Product range : The IKEA product range is wide in several ways. First, it's wide in function: you'll find everything you need to furnish your home, from plants and living-room furnishings to toys and whole kitchens. Second it's wide in style. The romantic at heart will find just as much as the minimalist. And finally, by being coordinated, the range is wide in function and style at the same time, and at all times. No matter which style you prefer, there is something for everyone.
54
Anybody can make a good-quality product for a high price, or a poor-quality product for a low price. But to make good products at low prices, you need to develop methods that are both cost-efficient and innovative. That is why at IKEA they approach things a little differently. Design the price tag first See things differently Flat packing saves shipping cost Responsibility for people and the environment Good design and function o Products and materials : IKEA works to ensure that products and materials are adapted to minimise any negative impact on the environment, and are safe for customers from a health perspective. As part of business idea, they insist on keeping costs low and always try to use resources wisely when designing the products. They strive to use renewable and recyclable materials in products.
55
III.
ACC
ACC team have established a structure and a system that ensures that they maintain a unimpaired respect for client relationships, traditional ethics and superb craftsmanship. ACC provides experienced, expert service throughout the Gold Coast and Brisbane for: o Developers of residential, commercial, retail and mixed-use construction projects o Multi-storey, mid-rise unit blocks and developments o Luxury homes Australian Construction Company Saving you time, saving you money! At ACC, the accomplishments and qualifications to provide any construction service for any type of development, including: retail, commercial, residential, institutional, medical, industrial and tourism projects. Their experience is in building construction, project management and cost planning has enabled ACC to develop an outstanding management team. This team works closely with all contributors to the project - the developer, architect, designers, consultants, etc. Architects and developers rely on ACC to turn their plans into reality, with the least amount of stress, knowing that with the knowledge of the ACC team, they can rest assured they would achieve a quality product in the fastest possible time. At ACC, they offer the complete development service - from conception through building completion and handover.
o Australian Construction Company: Luxury Homes

A tangible reality Initial agreement The contract The building begins The project The keys to your new home
56
IV.
Masterton
Masterton Homes Pvt Limited is a locally owned private company. Masterton obtain their revenue from their operations in the house construction industry in Australia. The company employs over 200 staff. Masterton Homes have been building homes throughout NSW for 50 years and are one of the most awards builders in Australia.
Masterton Homes builds and sells home designs that include :

o Single storey Designs o Double storey designs o Sloping Blocks $ Tri-Level o Country Collection o Duplex Designs o New Life Series
This Company includes industries which are :

o House Construction in Australia o Engineering Consultancy Services in Australia o Multi- unit Apartment and Townhouse Construction in Australia Masterton Brings excellence in building standards and customer service to each and every home they build which is proven by continually winning industry awards for innovative home designs.
57
Chapter 8
Structure, functions and business activities of selected Industry
58
Structure, functions and business activities of selected Industry
1. Introduction
The brass parts industry is primarily an intermediate industry supplying a wide variety of brass parts and components to almost all the engineering industries ranging from electrical/ electronics industry to automobile industry. Its phenomenal growth could also be ascribed to the growth and diversification of other engineering related sectors of the industry. The brass parts industry has a heavy concentration in Jamnagar. The brass parts manufactured in Jamnagar find their place in the overseas market to such an extent that the area is considered to be on111e of the largest automobile and cycle tube valve manufacturers in the world. Because of their precision and quality, these tube valves are mainly exported in European and North American markets. The products are marketed through various marketing channels to countries like U.K., USA, Canada, Australia, Middle East, Europe, Africa, Sri Lanka, Pakistan, Indonesia, Malaysia, Singapore, Japan, Bangladesh, etc.
From a few insignificant brass button making units in the cottage sector in the early 40s, Jamnagar now has a vibrant full -fledged Rs.700 crore industry with almost 4,500 units engaged in manufacturing brass-parts, with a product range of as many as 10,000 items. This is besides the 3,500 home-based units, which support job and manufacturing units with some odd labour-intensive jobs. A staggering 1, 50,000 people earn their daily bread here.
59
2. History of brass part industry

The brass parts industries in Gujarat is mostly concentrated in an around Jamnagar district which caters to the requirement of around 70% of the machine brass component of the country and also in some quantity export to various countries. The brass parts industry in Jamnagar supplies to wide ranging industries such as electrical appliances, automobiles, bicycles, electronics, building hardware etc.
As per the account the brass parts industry in Jamnagar above 60 years old. It started around the late 1940s as a result of downfall of the brass button making units. The main cause for its downfall was the lack automated machines. They were not able to meet the demand for the good qualities of buttons manufactured by them. This was not the only reason the development of nylon buttons in Japan brought down the demand by a huge margin. It because non feasible for the manufacturer to continues in the competitive world of buttons. With minor changes in the available machinery the brass button manufacturer changed their production into brass parts components. Their led to the development of the brass machine manufacture in Jamnagar. Along with this the casting also developed in Jamnagar. They were able to do it in a very cost effective manner.
The brass part products in Jamnagar require a lot of machining activities like turning, milling, grinding, drawing, boring, threading etc. Jamnagar known as the brass city of India, has been an important industrial centre since long for brass related parts. Jamnagar is inhabited by a various types of brass related work units which include Brass foundry; Brass parts manufacturing, Electroplating and Extrusion units. There are about 3500 brass related units alone in Jamnagar. Majority of these Brass units in Jamnagar are in operation since last 15 to 20 years. All these units are located in pockets of Shankartekri, MP Shah Udyognagar, Patel colony and Dared areas.
60
Jamnagar Brass cluster like many other clusters was in dire-straits with regard to the energy efficiency and conservation. In almost all units, whether big or small, there had been no conscious effort to take up energy conservation and energy efficiency measures as a part of day to day operations. Many a times, the small scale entrepreneur was not even aware of measures that could bring down the percentage energy cost, which automatically brings down the manufacturing cost. Some of the bigger units had experimented with few parameters to improve energy efficiency in the units, but the results and outcome was confined to them only. All the units in Jamnagar Brass cluster had been operating in traditional conditions and most of
equipments/utilities using in cluster were procured from the local suppliers. They are making the equipments on their traditional expertise, which had remained unchanged over the years. Till now there has been very little focus on energy conservation activities in the units. Also, there have been no concrete external interventions as well to help the small units come out of their shell and rise up to the necessary energy efficiency benchmarks.
3. Raw material used:

The raw material requirement of the Jamnagar Brass cluster is met mainly from the following three sources: Old brass, copper and bronze utensils Imported brass scrap and honey Brass scrap from ship breaking yard
Majority of the raw material requirement in Jamnagar Brass cluster is met through imports. The countries from which it is imported are USA, Singapore, Gulf and European countries. The imported raw material is available mainly in three forms i.e. Honey scrap, Dross of brass & Pale in the form of strips.
The quality of brass scrap and honey varies widely and its composition is not uniform. Most of the times, this scrap is made of two to three different metals and the job of the worker is generally to separate other metals (like aluminium, iron) from the
61
copper and brass. It is a tedious process but still practice in Jamnagar. Moreover the separating process can never be 100% accurate and a lot of impurities and other metals reach the foundry for melting. As a result the quality of casting is affected.
Technically speaking brass is an alloy of Copper and Zinc and ratio of these products is 60:40 respectively. For getting the right products and good quality, it is important that this composition is maintained. However, due to the heterogeneous nature of the scrap (honey) and different alloying of the base metal, it becomes almost impossible to maintain this ratio. As a result, the quality of the final product varies, defects are produced and the rejection rate increases. Apart from the Brass scrap; copper, zinc, led, other metal alloys and clay etc are used as raw material depends on the final product requirement.
4. Products manufactured:
Major products manufactured in Jamnagar Brass cluster are:
Building hardware like Door & Window Hinges, Stoppers, Knobs, Studs, Handles Sanitary & bathroom fittings Like Venetian Blinds, Hangers, Taps, Curtain fittings Electronic & Electrical accessories like Socket pin, Battery terminal, switches, tester, computer sockets Automobile & Cycle tube valves, Industrial control valves Agricultural Implements like Tractor accessories Brass jewellery and Buttons like Necklace, Ear rings, Bracelet, Rings, Bangles Various other precision machine components as per customers specification Pen parts
The products manufactured in the Jamnagar Brass cluster weigh in a range from 1 gm to 10 kg and in terms of its length and diameter it varies from .05 mm to 60 cm. The following figure shows the classification of Brass part manufacturing units based on type of manufacturing product.
62
5. Present status of the industries

Jamnagar is known as a reputed brass parts manufacturing centre for more than half a century. At present there are 4,500 units engaged in brass parts and component manufacturing in Jamnagar. The industry gives direct employment to nearly 50,000 workers and nearly 1, 00,000 persons indirectly. Beside the 4,500 brass parts manufacturing units, there are 130 electroplating and metal finishing units and about 400 brass foundries. These foundries cater to the needs for raw material of these local enterprises. Of the 400 brass foundries, 20-25 are oil-fired and rests are coke-fired. It is estimated that around 280-300mt of brass scrap is recycled every day.
The value of the products manufactured in this cluster Rs960 crore per annum. Of this, Rs. 392 crore worth of brass parts is exported and the rest supplied to the domestic market. While 95 per cent of the brass scrap is imported, exports of the brass parts (especially bicycle tube valves, auto valves, battery terminals and cable glands, builder hardware, safety razors, inserters and other electric items, grease nipple, pencil sharpeners, precision computer and telecom parts and components, brass parts and components used in aircraft/ space craft) is put at about 20 22 per cent of the total turnover. Exports are growing at an annual rate of 15 per cent since the last 5 to 7 years.
The product-wise contribution of output is: Automobile and cycle tube valve-35 percent; Building Hardware-25 percent; Sanitary and bathroom fitting-15 percent; Precision components-5 percent; other catagories-20 percent. As mentioned earlier, brass parts and components have wide range of applications especially in the engineering industry. Approximately 10,000 varieties of brass parts are manufactured in this city. Most of these parts and components are turned in 5-10 sized. If we multiply these sizes with the number of parts and component, the range becomes staggering. Almost every day some new part or component is added to the list. However, most of the entrepreneurs manufacturing these parts and components do not know the end use of their product, as they work on the basis of drawings provided by their clients.
63
6. Global presence
The brass parts manufactured in Jamnagar finds its place in the overseas market as well. Jamnagar is one of the largest automobile and cycle tube valve manufacturers in the world. Because of its precision and quality, these tube valves are exported in European and North American markets. The products are marketed through various marketing channels to countries like U.K., USA, Canada, Middle East, Europe, Africa, Sri Lanka, Pakistan, Indonesia, Malaysia, Singapore, Japan, Bangladesh, Italy, Germany, Australia, France, Norway, Saudi Arabia, Yemen, Thailand, etc.
7. Factors behind the development of brass parts industry in Jamnagar

The process of emergence of brass parts cluster in Jamnagar was spontaneous and not induced. A few pioneering entrepreneurs started manufacturing screws, pins and bulb holder. As their enterprises grew in volume and operation, others also followed.
Availability of raw material

Raw materials used in brass parts are brass honey, dross of brass, pales in the form of strips and other scrap. This raw material became easily available in and around Jamnagar at a reasonable price. As the industry grew the process of procuring raw material, from within the country and abroad became more and more smooth. Other inputs like coke, molasses and machines were also available locally.
Skilled manpower
Easy availability and low cost of labour was an important factor for the development of the industries. Skilled manpower was easily available within the city and because of higher payments, more and more agricultural labourers, marginal farmers and even saltworkers started learning the skills of making brass parts. Also the level of agricultural development was very low mainly due to scarcity of water so Brass Parts industry was becoming an easy alternative for people. Due to the low-cost labour, getting brass parts manufactured was becoming cheaper for the large industries as compared to imports of these parts.
64
Customized machines
The Jamnagar is also known for its ability to manufacture customized machines. Depending on the job, its configuration, local technicians were able to make desired modifications in the existing machines. This provided flexibility in the process of manufacturing, which is considered to be one of the most important facilitating factors for the growth of the brass parts industries in Jamnagar.
Existence of well developed ports

Jamnagar has a pretty long coastline and the ports developed by Gujarat Maritime Board (GMB) were well developed. GMB has developed two ports viz., Rosi Bandar & Bedi Bandar. These ports had facilities of doing loading and unloading business in the ship. These ports have really contributed in flourishing the export-import business not only for brass parts manufacturing enterprises but also for enterprises involved in manufacturing chemical, fertilizer, textile and salt. Moreover the strategic location of Jamnagar made export-import business easier.
Flexible specialisation
There are about 10,000 varieties of brass parts manufactured in Jamnagar. The entrepreneurs were able to make wide range of parts having different configuration, dimensions and tolerances. Even the machines are customised locally and made available in the market at reasonable prices. Disintegrated firms and subcontracting arrangement made the manufacturing more flexible and specialised. Even when the buyers placed orders of 200000 pieces of a particular size cycle tube valve and 25/30 pieces of other sizes cycle tube valves, the manufacturers were able to execute the same.
The soil base

Though there is no apparent technical reason to support their clay, the entrepreneurs at Jamnagar are of the opinion that the soil (chikni mitti) composition also helped in manufacturing quality brass castings. A composition of oil and sand is used in the mould to a particular give shape and size to the brass parts. The more is the binding property of soil and sand, the better is the quality of casting manufactured. The availability of water also ushered the growth of the industries.
65
Patronage from govt. Of gujarat

The Industries Dept, Govt. of Gujarat has facilitated the growth of the industries by providing basic infrastructure and loan on easy terms. In the year 1976, Gujarat Industrial Development Corporation developed the GIDC industrial estate in Shankar Tekri. Land, electricity, water and industrial sheds were also provided amply.
Entrepreneurship
Gujarat is well known for its entrepreneurs. People here, especially in Saurashtra region (Jamnagar belongs to Saurashtra region of Gujarat) are very entrepreneurial in nature. If they get slightest business opportunity they will not mind to jump on it. As some pioneering people started the business and getting good return on their investment, others did follow. This has happened with diesel engine cluster in Rajkot, Tiles cluster in Morbi etc. The demonstration effect and the entrepreneurial and risk taking attitude of the local people also paved the way for the growth of this cluster.
Market potential
There was enough potential in the domestic market for these parts manufactured in Jamnagar. During the early years, electrical pins, holders, cycle tube valves were marketed in Calcutta, Mumbai, Ludhiana and Delhi. It was the time when buyers from all over the country were eager to get brass parts from Jamnagar and they were ready to make book orders by making advance payments. Moreover, in the early 1960s, the bicycle manufacturers within the country. Reduced their import substantially and started procuring it from the domestic market. Besides, in the late 70s, the leading cycle tube valve manufacturing countries like Germany, Italy, USA, Japan changed their product line from tube valve to precision components. They were interested in making high value products instead of low value ones. They started concentrating more and more on premium product line to get higher value for their product and greater return on their investment. This factor opened a new avenue for the manufacturers at Jamnagar and they started exporting the cycle tube valves to these developed countries during late 70s and early 80s. All these have contributed for the emergence and growth of the brass parts industries at Jamnagar.
66
8. Jamnagar brass scenario:

Jamnagar has been recognized as most important industrial centre for brass parts so Jamnagar is known as brass city in India. Various types of brass related work units which include Brass foundry; Brass parts manufacturing, Electroplating and Extrusion units are occupied in Jamnagar. There are about 3500 brass related units alone in Jamnagar. Majority of these Brass units in Jamnagar are in operation since last 15 to 20 years. All these units are located in pockets of Shankartekri, MP Shah Udyognagar, Patel colony and Dared areas. The brass part products in Gujarat require a lot of machining activities like turning, milling, grinding, drawing, boring, threading etc.
9. Structure of brass parts industry in Jamnagar

The industry in Jamnagar is unique in the sense that almost 98 percent of the production is carried out by small sector industries.
ENTREPRENEURS WHO IMPORTS SCRAPS AND HONEY CASTING UNITS
MACHINING UNITS
PLATING UNITS
DEALERS, MERCHANT TRADERS, EXPORTER AND MARKETING AGENTS SUPPLIERS OF MACHINERY AND TOOLS, PACKAGING MATERIALS ETC.
67
Category-1:
In the first step of structure there comes an entrepreneur who imports brass craps and honey and then distributes it to the local manufacturers as per their requirement. For booking orders more than 500 tons per annum entrepreneurs can get 10% discount on import duty as per government policy. This policy has become specialized activity and there are about 20 large importers in Jamnagar.
Category-2:
After the entrepreneurs from the first stage provides the scrap to the manufacturers then comes casting unit at second stage. The imported scrap and honey and the locally available pale and dross are melted in the foundry. The melted metal is then poured in the mould to give different shapes and sizes. There are about 400 brass foundries supplying the basic raw material (i.e. casting) to the machining units. Quality control and standardization is very much important in this phase. This is one the most problematic areas in Jamnagar and a lot of technological intervention are required to minimize defects and produce quality castings.
Category-3:
This stage comprises Machining units. Jamnagar is known for brass machining operation. Over here, by machining the casted component is given its final shape, size and configuration. There are several types of machines available in Jamnagar like drawing machine, slotting and drilling machines, turning machine, cutting and threading machine, grinding machine, milling machine, etc. The most of the value addition is done in the machining phase and there is lot of technicalities involved in the process of manufacturing. Lot of technical training, technology up-gradation and implementation is to be carried out in this machining phase. There are around 5,000 enterprises involved in this brass parts machining business.
68
Category-4:
Plating units engaged in electroplating business are the main constituents of this category. This is the last operation and defects in which can be immediately seen by the customers. It is not necessary that all the brass parts needs to be plated before it reaches the final customers. Only in specific products, for e.g: electronics and electrical accessories, the process of electroplating is done. There are around 130 electroplating units in Jamnagar. They are basically doing the job work for the large manufacturers.
Category-5:
This stage is comprised of dealers, merchant traders, exporters & marketing agents. 80% of the brass parts manufactured in the cluster are sold through these dealers/traders. Only in limited number of cases manufacturers sell their products directly to the customers. Most of the exporters are located in Mumbai, New Delhi & Calcutta and the manufacturers are supplying their products to various exporters. There are also big traders who procure and sell the product in the domestic market. About 250 small, medium and large traders/exporters are involved in this business.
Category-6:
In this category, there are suppliers of machinery and tools, other inputs like jigs and fixtures, molasses, coke, crucible, furnace, measuring instrument, borax, packaging material, etc. These supplies/ inputs are required in various stages of manufacturing and finishing process. There could be 200 such players in this category.
69
10. SWOT analysis of brass industry

STRENGTHS Markets Strong presence in the domestic market Ancillary arrangement with large industries Developing trust and relationship in the long run Not much import of brass parts (till date) Technology Availability of customized machines Machines are available at low prices Demonstration effect -----------------------------------------------------Inputs availability Raw material and other inputs available in sufficient quantity. ----------------------------------------------------Innovation capability Ability to develop duplicate & customized machines Flexible operating practices Skills Vast pool of skilled labourers On-the-job learning possible WEAKNESS Markets Loosing ground in the international market Lack of information on customer preferences in the international market Middlemen/ traders enjoying most of the profits in the value chain ---------------------------------------------------Technology Traditional method of production Low level of technological development Manufacturing defects and high rejection rate Problems with quality and productivity Inputs availability Most of the raw materials are imported High custom duties on raw material Innovation capabilities Hardly any changes brought in design, technology, process and marketing ---------------------------------------------------Skills Non-existence of technical training institute No skill upgradation training for the workers
Business Environment Stable business environment till 1998

70
OPPORTUNITY
THREATS
Markets Markets Globalization can usher tremendous market Competition is going to increase potential for the competitive firms Tariff and non-tariff barriers are depleting Overseas importers suddenly change their sourcing country Quality & productivity is the rule of the game Imports increasing in the coming years Enterprises can join hands together for ------------------------------------------------international marketing & brand building Technology Advent of latest technology through intervention Increasing technological awareness among entrepreneurs Tremendous enthusiasm on the part of the industry actors Brighter prospects of establishing Common Facility Centre Possibility of establishing R&D institutions or laboratory Inputs Availability Competition is going to make availability of inputs cheaper and sufficient -------------------------------------------------Technology Low level of technological development can cause a major threat unless it is changed/modernized Technology is an ever changing process --------------------------------------------------------------------------------------------------------------------------------------------------------
Inputs Availability Difficulty in encountering competition unless raw material imports are made cheaper Quality of raw material
Innovation Capability Exposure visits, participating in exhibitions making the entrepreneurs and technicians more innovative Demonstration effect
Innovation Capability Innovation is required in every facets of business operations
Skills Increased awareness is likely to improve the skill base of the workers
Skills Skill base of the workers needs upgradation to adopt latest technology Business Environment The changing business environment is always a problem for the less enterprising firms.
71
--------------------------------------------------
11. Industry structure analysis
The above figure depicts the Industry Structure Analysis of the Brass Parts Industry in Jamnagar. This industry structure analysis determines firm level profitability, competition, SME viability and prospect of growth. The entry barrier in the above cluster is low because anyone can enter the industry with a minimum investment of Rs. 30,000-50,000/-and inputs are available plenty. There is no proprietary skills/ technology and there is hardly any product differentiation and brand identification. But for some enterprises, customer loyalty is very high. There are enterprises, which are supplying their parts, components to the large industries and fixed clientele abroad for the last 20-25 years. Another positive factor is the economies of scale. These two factors (customers loyalty and economies of scale) pose some impediment for new firms entering into business. Adoption of latest technology (which is a costlier affair) can certainly provide impetus for the growth of the large firms. Moreover, enough emphasis should be given on brand building. Technology and brand can serve as entry barriers.
The rivalry amongst firms is moderate as it is limited in the exporting market front. Rivalry among firms can be made healthy by encouraging non-price competition and product differentiation. Rivalry is moderated by the fact that the exit barrier is also very low.
72
The bargaining power of the suppliers in the cluster is low and there are a large number of suppliers available in the market. There is hardly any switching cost from one supplier to another and no input differentiation. There is hardly any evidence of suppliers forward integrating. The bargaining power of the suppliers can further be reduced by forming hard networks for common bulk purchase. So far bargaining power of the customers is concerned, it was found to be on the higher side. There is hardly any product differentiation and the customers can switch from one supplier to another. The switching cost is also very low. Moreover, customers are quality and price sensitive. However, for some enterprises there is strong customersupplier relationship and the level of trust and loyalty is very high. Some customers of the large industries do not want switch over to new supplier on the fear of getting bad quality and not in-time delivery. The bargaining power of the customers can be reduced by forming consortium, promoting brand building and encouraging product differentiation.
73
12. Types of operations:

Brass units in Jamnagar Brass cluster are engaged in three different types of operations; those are: Casting (Brass foundry & Extrusion) Machining Electroplating
JAMNAGAR
CASTING MACHINING PLATING
MELTING SECTION
MOULDING SECTION
DRAWING/ SHAVING
TURNING/ CUTTING
DRILLING
THREADING
POLISHING
GOLD, SILVER, ZINK, NICKEL, COPPER ETC PLATING
Wiredrawing:
The brass rods are wire drawn to obtain fine finishing. This process is necessary to give the brass rods an even surface before they are put to machines for turning.
Turning:
With the aid of dies and other tools the finished rods are turned into parts and components. This is the main operation through which every brass parts and component has to pass before other operations are performed on it.
Threading:
The turned parts are then put to threading operations. This operation is necessary only for the parts requiring threads which are not a common feature to all the components.
74
Drilling:
After drawing of threads, or as applicable, the parts are put to drilling operations and drilled as required.
Grinding:
Parts required to be put through the grinding process are ground.
Slotting:
Parts requiring slots are put to slotting operation and the required numbers of slots are made on the parts. The last three operations need not follow the order given above. They can be interchanged according to the requirement of a part. They have been given here to illustrate the main processes that go into making a whole part but need not follow in every case.
Checking:
The finishing parts are then checked individually for machining and other defects and defective ones segregated.
Packing:
Brass parts are packed in dozens, numbers, gross and kilogram as the packing nits according as the nature of the parts and trade practice applicable to them.
13. Production process followed by brass industry

The manufacturing process of brass parts is comprised of three main operations. Casting, Machining and Plating. Following chart depicts the process.
CASTING
MACHINING
PLATING
The brass scrap is melted at 1600 0C in the foundry. The same is poured in a mould to get the final casting. The casted material, mostly brass rod/ wire is then goes through various machining operations like drawing, cutting, milling, drilling, threading, burnishing, etc. The machining process is job-specific and varies from one product to another. The machined component, parts is then sent to plating shop for electroplating.
75
Some of the plating operations done in Jamnagar are: nickel plating, zinc plating, copper plating, cadmium plating, silver plating, cobalt plating, gold plating, etc. The plating is done as per the requirements of the customers and application of the parts in the final product. For example, to get superior conductivity electrical parts are generally copper or silver-plated.
76
Chapter 9
Comparative position of brass building hardware industry with India and Gujarat
77
Comparative position of brass building hardware industry with India and Gujarat
1. Construction and building Material

The construction industry is the second largest industry in India after agriculture. It accounts for about 11% of Indias GDP 23 . It makes significant contribution to the national economy and provides employment to large number of people. According to a study by ASSOCHAM, the burgeoning Indian construction industry, currently worth $70 billion, will rise to US$120 billion by 2010.24The Commonwealth Games - 2010 in New Delhi have thrown mega opportunities for Building Material Companies, Construction Equipments & Technologies companies. The Govt. of India has permitted FDI up to 100% for development of integrated townships in India last year. India is now the second most favored destination for FDI, behind China The Indian construction industry, an integral part of the economy and a conduit for a substantial part of its development investment, is poised for growth on account of industrialization, urbanization, economic development and people's rising expectations for improved quality of living in the coming years
23
www.indianmirror.com/indian-industries/construction.html
www. I H S G L O B A L I N S I G H T. C O M / C O N S T R U C T I O N
24
78
2. Importance of construction infrastructure in India

As India continues down its path of development, infrastructure is no less important. Although the Indian government has been proactive in building necessary infrastructure in the energy, transportation, and urban sectors, additional investment is needed. India is the fourth largest economy, with a GDP of US$1,242.8 billion in 2008 25. Between 2000 and 2008, India's GDP growth rate doubled from 5.7% in 2000 to 9.3% in 2007 before tapering to a robust 7.9% in 2008 26 . The industrial sector has predominately fueled this growth. During 2000-07, contributions by the industrial sector to India's total value-added increased from 26.2% in 2000 to 29.4% in 200727. According to IHS Global Insight, India's GDP is expected to continue along a robust growth path, albeit slower than growth witnessed in recent years. Between 2008 and 2012, India's real GDP growth will range between 6.5% and 8.2%28. During the same period, India's nominal GDP growth will range from 9.3% in 2008 to 13.5% in 2012, with a negative growth rate of 1.7% in 200929.
3. Indias construction industry

Construction is an important part of the industrial sector and one of the core sectors of India's economy. According to IHS Global Insight, US$175 billion was spent on construction in India in 2007 after growing 156% since 2000 30. Out of US$175 billion, US$140 billion was spent on nonresidential, and the remaining US$35 billion was spent on residential construction. Construction spending is expected to increase to US$370 billion by the end of 2013, with residential totaling US$63 billion and nonresidential registering US$307 billion. This represents a compound annual growth rate (CAGR) of 13.3%. 31 IHS Global Insight's nonresidential construction forecast for India, including major sub-categories transportation, public health, energy, office, commercial, institutional, and industrial is expected to rise at a CAGR of 13.9% during 2007-13.
25
26 27 28 29
www. Otcrepoter.com
www. scribd.com
www.scribd.com/doc/35545727/India-Construction-1-7
WWW. I H S G L O B A L I N S I G H T. C O M / C O N S T R U C T I O N WWW. I H S G L O B A L I N S I G H T. C O M / C O N S T R U C T I O N
30 31
www.otcreporter.com/Reportdetails.asp?rptid=347 www.indiaconstructionindustry.com
79
4. Evolution of Brass:
The introduction of metal changed the lives of the people in the ancient world. It made agriculture easier, providing farmers with more efficient tools to work their land. The first two metal and its alloy widely used by humans, copper (and its alloy brass) and gold are still important in peoples lives today. There was tremendous change in the industrial revolution due to the production of copper and its alloy beginning with a demand for more and better raw material. Brass has long been the first material of choice in the construction of measuring instrument for use of sea or in any moist, salt-laden atmosphere32.
5. Brief History of brass industries in India

The story of Indian Brass began during the age of the Indus Valley civilization i.e. around 2400BC to 1700BC 33 . The extraction of this spread to other sites such as Kalibangan in Rajasthan, Lothal in Gujarat and Laimabad in Maharashtra. The two most well known sites are of course Mohanjodaro and Harappa.
6. History of Brass Industries in Gujarat

Gujarat has been the home of metal workers from as early ages. It was spread all over the state. Brass parts are used in building hardware components. Builders' hardware, or just builders hardware, is a group of metal hardware specifically used for protection, decoration, and convenience in buildings. Building products do not make any part of a building, rather they support them and make them work. It usually supports fixtures like windows, doors, and cabinets. Common examples include door handles, door hinges, bolts, latches, numerals, letter plates, switch plates, and door knockers. The brass industry of Jamnagar is one of the largest in India. The brass parts industries are mostly concentrated in an around Jamnagar district. It caters to the requirement of around 70%
32
John Zronik, Metal Shapping our world, Published By Crabtree Publishing Company, Canada,
2005,
33
Damodar Dharmanand Kosambi, Ancient India: a history of its culture and civilization, The University
of Machigan, Panthoon Books, 1966, page-26.
80
of the machine brass component of the country34. It also export the brass to various countries. The brass parts industry in Jamnagar supplies to wide ranging industries such as electrical appliances, automobiles, bicycles, electronics, building hardware etc. The following table shows the illustrative growth of brass parts industries in Jamnagar Table No.1 GROWTH OF BRASS PART INDUSTRIES IN JAMNAGAR Sr.no 1 2 3 4 5
6 7
Year 1952 1954-55 1960-61 1967-68 1979-80

1988 1994
No.of units 1 15 250 700 1500

3000 3500
8 9 10 11
1998 2000 2008 2012*
4500 4000 5000 5200
Source: Jamnagar factory owners association * Expected to be 5200 units in 2012.
The above table shows the emergence and growth of Brass part industries in Jamnagar. It was started in 1952 with 1 unit. And in mid 1950s the number increased to 15. Then in 1980s the number rouse to 1500 units which showed a great incre ase. But in 2000 the number decreased to 4000 units from 4500 in 1998 due to the recession period. But again in 2008 it rouse to 5000.
34
S.P. Kashyap, Indira Hirway, Dynamic Development in Gujarat, Centre for Development Alternatives,
Ahmedabad, 2002,
81
7. CURRENT OUTPUT
So far output is concerned the value of products manufactured from this cluster is 300 crores per annum. Out of this, 30 crore worth of brass parts are exported and the rest are consumed in the domestic market. The product wise contribution of the output is as follows : The following figure shows the classification of Brass part manufacturing units based on type of manufacturing product. Table No. 2 Classification of Brass part manufacturing units in Jamnagar Brass cluster Products Proportion Automobile and cycle tube valves 35% Building hardware 25% Sanitary and bathroom fittings 15% Precision components 5% Other categories 20% Source: WINROCK International India GRAPH NO 1
proportion
Automobile and cycle tube valves Building hardware 35% 5% 15% Sanitary and bathroom fittings Precision components
20%
25%
Other categories
82
Automobile and cycle tube valves and building hardware consist of 35% and 25% respectively. 70% of machined brass components of the country is manufactured in Jamnagar. Builders hardware is commonly available in brass, steel aluminium, stainless steel, and iron. Main suppliers in the world of builders hardware mainly exist in China, India, Mexico and some in the U.S.
8. Types of products
Door hardware Furniture hardware Safety & security hardware Plumbing hardware Cabinet hardware Window hardware Curtain hardware The products manufactured in the Jamnagar Brass cluster weigh in a range from 1 gm to 10 kg and in terms of its length and diameter it varies from .05 mm to 60 cm. The following figure shows the classification of Brass part manufacturing units based on type of manufacturing product. So from the above graph no 1 we can see that the building hardware unit of Jamnagar brass part industries is second highest among the brass part manufacturing units. Its scope in world market is very high. So if we want to start the building hardware industry in Australia it will benefit us. So the scope of starting the industry is very wide and especially the material of building hardware which will be exported from Gujarat and Jamnagar will be of great benefit in Australia as Jamnagar is the hub of brass industries. It is beneficial due to following advantages.
83
9. Scope of industry in australia

So the scope of starting the industry is very large and especially the material of building hardware which will be exported from Gujarat and Jamnagar will be of great benefit in Australia as Jamnagar is the hub of brass industries. o customization of machines available in the market o availability of raw material o enough potential market for these parts manufactured in Jamnagar o easy availability of the labour o low labour cost o established GIDC industrial estate o Establishment of ports o strategic location o flexible specialization
84
Chapter 10
Present Position and Trend of business with India during last 3 to 5 years
85
Present Position and Trend of business with India during last 3 to 5 years
Bilateral merchandise trade between India and Australia for the calendar year 2010 stood at A$ 18.336 billion, higher by 11 % over last year 2009. Indian export to Australia for the calendar year 2010 was A$ 1.967 billion a fall of 3.1 % , over the same period in 2009, while Indian imports from Australia stood at A$ 16.368 billion a rise of 13 % for the same period.
86
Bilateral merchandise trade between India and Australia has increased by an annual average of around 18 percent over the past five years to 2010. India was ranked fifth among Australia's merchandise trading partners in 2009 - 10.
Indias exports of merchandise goods to Australia.

India top ten exports represent around 38 % of its overall export to Australia. Diamonds & gems, Jewellery and Medicaments were the top three commodities from India. Indias exports of merchandise goods to Australia have increased by an annual average of around 11 percent over the past five years to 2010.
Indian top ten exports to Australia 2010
87
Indias imports of merchandise goods from Australia. The main Imports include three commodities coal, non monetary gold and copper ores which account for 82 percent. Coal was the dominant import in 2010. Indias imports of merchandise goods increased by an annual average of over 19.5 percent over the past five years to 2010.
Indian top ten imports from Australia 2010
88
Bilateral Trade in goods over the last five years 2006 to 2010.
Data Sources: Australian Bureau of Statistics &DFAT
89
Chapter 11
Policies and Norms of Selected Country for Selected Industry
90
Policies and Norms of Selected Country for Selected Industry

There are various formalities and registrations to be made with different authorities before an exporter can enter into export business and accept an export order.
Selection of name of the firm
An entrepreneur can choose any name for the firm he wants to start. It is desirable that the name of the firms indicates that the business relates to export/import.
Approval to name of firm
There is no need to obtain prior approval of regional licensing authority of DGFT (Directorate General of Foreign Trade) for the proposed name of business firm. However, if the firm is planning to export readymade garments to any country; approval from Apparel Export Promotion Council (AEPC) is required. The entrepreneur has to apply to AEPC in the prescribed application form for the clearance of the name. Once the name is approved, registration of firm in that name with AEPC is to be made within a period of three months. After the registration is done, the firm would become registered exporter.
Registration of Organization
The form of organization can be sole partnership, partnership firm under Indian partnership act, 1932 or join stock company registered under the companies act, 1956.
Opening of Bank Account
The firm or company has to open a bank account with branch of a commercial bank, authorized by reserve bank of India to deal in foreign exchange. The firm may require pre and post shipment finance for its business
Obtaining Permanent Account Number
Export income is subject to a number of exemptions and deductions under the income tax act. For claiming those exemptions and deductions, it is necessary for every exporter to obtain permanent account number from the income tax authority.
91
Registration with Sales Tax Authorities
Exporter need not pay sales tax while making purchases meant for export. But for availing the benefit, firm has to register with sales tax authorities and secure sales tax number.
Importer - Exporter Code Number (IEC)
No export or import transaction can be made without obtaining an importer-exporter code number. IEC number is a pre-condition for exports from and imports into India. IEC number entitles to import or export any item of non-prohibited goods. This code number is made compulsory now. The registered/head office of the applicant shall make an application for grant of IEC number to the regional office of DGFT (known as Regional Licensing Authority), having territorial jurisdiction over the firm, along with the following documents: profile of the exporter/importer, demand draft from a bank for rs.1000 as fees, certificate from the banker of the applicant, two copies of passport size of the applicant, declaration on applicants letterhead that there is no association of the applicants firm with caution listed firms. The licensing authority shall allot the IEC number in prescribed format. There is no expiry date for iec number. This number is invariably used in all documents particularly in bill of entry in case of imports and shipping bill in case of exports.
Registration Cum Membership Certificate (RCMC)
It is obligatory for every exporter to register with appropriate Export Promotion Council (EPC) and obtain registration cum membership certificate. Any person applying for import or export license or any other benefit under the current EXIM policy is required to obtain registration cum membership certificate (RCMC). The benefits provided in the current EXIM policy are available only to those having valid RCMC with the receipt of the certificate the exporter will be known as Registered Exporter.
92
Registration with Export Credit and Guarantee Corporation (ECGC)
The exporter should also register with export credit and guarantee corporation of India (ECGC) in order to secure export payments against political and commercial risks. It also helps to get financial assistance from commercial banks and other financial organization.
Registration with other authorities
It is desirable for the exporters to become members of local chamber of commerce, productivity council or any other trade promotion organization recognized by the ministry of commerce or industry. Local membership helps the exporters in different ways, including in obtaining certificate of origin, which is vital for exporter to certain countries.
Registration for business identification number (BIN)
The exporters have to obtain pan based Business Identification Number (BIN) from DGFT (Director General Foreign Trade) prior to filling for custom clearance of export goods. Purpose of bin is to bring a common identification number to all persons dealing with various regulatory agencies such as custom department, central excise etc.
Export Licensing
Many items of goods are free for exports without obtaining any license, if they do not fall in the negative list. The negative list consist of goods the import or export of which is prohibited, restricted or canalized.
Prohibited items
These items cannot be exported or imported. These items include wild life, exotic birds, wood and wood products in the form of logs, timber, pulp and charcoal. These are the items, export or import of which is restricted through license. They can be imported or exported only in accordance with the regulations governing in this behalf.
93
Canalized items
Goods which are canalized can be imported or exported through the canalizing agency, specified in the negative list. So it is necessary for the exporter to check the nature of the item before he enters into the contract or even makes efforts to secure the export order. Needless to add, the items of export agreed upon should not be fall in the negative/ banned list.
Import Export Policies

o Processes for import clearance o Import Clearance Processes35 Custom clearance is compulsory for all goods imported into Australia. For goods valued $1000 or above importers are required to obtain formal custom clearance. Self accessed declaration is required for the consignments valued below $1000. For processing declaration cost recovery schemes are used by custom. Depending on the form of entry in electronic or manual declaration the amount of cost is determined. Customs also provide assistance to the private importers to clear their own goods o Document Requirements 36 All shipments tendered to Federal Express should have an International Airway Bill as well as a completed Commercial Invoice that covers each of the following: currency (US dollars, AU dollars, etc); invoice terms (FOB, CIF, etc); complete description of the goods; name and complete address of the consignor and consignee; country of origin of the goods; value of the outside packages; quantity of the goods, selling price of the goods to the buyer; amounts of any freight or insurance costs associated with the transport to Australia; labour costs incurred in packing the
35 36
http://www.international-orders.com/content/view/38 http://www.international-orders.com/content/view/38
94
goods; amount of any royalties paid; any details that might affect the selling price such as discounts, rebates, compensation, etc. The customers are also required to obtain licences, permits, and clearances as required by government policy All multiple piece shipments (MPS) require a commercial invoice detailing the contents of each individual package within the shipment. o Valuation by Customs 37 Based on WTOs valuation agreement, customs determines the value of goods imported into Australia. Transaction value method is the most frequently used method used to determine the custom value. Transaction value method is based on the price actually paid for the goods The price paid or payable might be subject to adjustment. In some
cases this may also include additions for commissions or royalties not included in the original price. Alternative valuation methods are considered for determining the value of customs in case the price paid cannot be accepted. The customs value also includes all the costs incurred in the form of foreign inland freight and foreign inland insurance. Likewise, the customs value also include, the cost of outside packages and labour for packing.
95
o Import Duties38 Based on classification of goods within Australian customs tariff rates of duty payable by the importer is determined. In some situations, anti-dumping or countervailing measures, which generally result in the imposition duties at additional rates, may also apply. For the goods that require formal entry to the customs, a custom processing fee of $54.2 also applies. o Antidumping39 Dumping arises when an exporter sells goods to an Australian importer at a lower price than the goods are sold on the domestic market of the country of export. Subsidisation occurs where government aid, by way of subsidy or other forms of financial aid, is given to produce or export goods. Australia is very vigilant in protecting local industry against
dumping and other unfair trading practices. Whenever it is found that the dumping of goods is adversely affecting any Australian business engaged in producing similar goods, the remedial measures are taken to control it. o Australia Import Prohibitions40 On behalf of government agencies customs often carry out the seizure of goods entering into Australia As prohibited goods are subject to change, importers are advised to pre check the goods covered by category of prohibited goods The following is a non-comprehensive list of items that are prohibited entry into Australia: goods bearing certain official emblems or designs (i.e. ANZAC); goods bearing incorrect or misleading labels or markings;
38 39 40
http://www.international-orders.com/content/view/38 http://www.international-orders.com/content/view/38 http://www.international-orders.com/content/view/38
96
goods which infringe on trade marks, copyrights or Olympic insignia; certain goods related to cultural heritage (i.e. goods from Papua New Guinea); dangerous goods as defined by IATA; filament light globes, Milk (except from New Zealand), All Meat Products,All Wood Products. o Processes for Export Clearance41 Owner or an agent acting on behalf of owner may lodge the export entries electronically by a registered user of Integrated Cargo System Before the goods are lodged on a board or ship transporting them to Australia, exporter must provide all the export details. The Integrated Cargo System operates 24 hours a day. Customs aims to transmit a clearance within a few minutes of receipt of a complete and accurate electronic entry, provided there are no regulatory impediments. o Exemptions from export entry42 The following classes of Goods are exempt from export entry requirements: Personal or household effects (including motor vehicles or pets) of a passenger or crew of a ship or aircraft other than goods, which are regarded as commercial consignments or are in commercial quantities. A postal consignment that has a free on board (FOB) value not exceeding $2000.00 (AUD) except for: a) dutiable goods on which duty is unpaid; b) excisable goods on which excise duty is unpaid; c) goods on which a person intends to claim a drawback of customs duty or excise duty; d) goods which require any permit or permission. e) Containers whether empty or loaded that belongs to a business in Australia that is exported on a temporary basis to be re-imported.
41 42
97
Goods which require an export permit are required to be entered for export irregardless of any exemption(s) that might apply. o Export Prohibitions43 In addition to the goods prohibited by regulation and/or law, the following items are prohibited for export from Australia via FedEx Express International Priority (FXIP) Service: a) Dangerous goods as defined by International Air Transportation Association (IATA) b) Dry Ice o Document Requirements 44 Customs Officers may issue Restricted Goods Export Permits (RGPs) for the exportation of firearms for non-commercial purposes that are part of the accompanied or unaccompanied personal or household effects of a passenger of a ship or aircraft. RGP's are issued for privately owned non-military firearms where no more than five firearms are exported in one consignment. RGP's are not issued for firearms exported via the post, sent as gifts or sent overseas for repair. Inquiries regarding the exportation of firearms qualifying under the guidelines for the issue of RGPs should be directed to the Customs office at the intended port of export. Where the proposed exportation does not qualify under the guidelines, inquiries are to be directed to the Department of Defence.
43 44
98
Exporters incentives & drawback:

o Advance license
Inputs required for manufacturing export products can be imported without payment of custom duty under advance license. Since the raw materials can be imported before exports of final product, the license issued for this purpose is called advance licenses. An advance license is issued under duty exemption scheme to allow import of inputs, which are physically incorporated in the export product. o Duty Free Replenishment Certificate (DFRC) DFRC is issued to a merchant exporter or manufacturer exporter for the duty free import of inputs such as raw materials, components, intermediates, consumables, spare parts, including packing materials to be used for export production. o Duty Entitlement Passbook Scheme (DEPB) Under the DEPB scheme, an exporter may apply for credit as a specified percentage of fob value of exports, made in freely convertible currency. The credit shall be available against such export products and at such rates as may be specified by the director general of foreign trade (DGFT) by way of public notice issued in this behalf, for import of raw materials, intermediates, components, parts, packaging materials, etc. o Export Promotion Capital Goods Scheme (EPCG) EPCG scheme was introduced by the EXIM policy of 1992-97 in order to enable manufacturer exporter to import machinery and other capital goods for export production at confessional or no customs duties at all. This facility is subject to export obligation, i.e., the exporter is required to guarantee exports of certain minimum value, which is in multiple of tit1e value of capital goods imported.
99
Chapter 12
Policies and Norms of India for Import and Export
100
Policies and Norms of India for Import and Export

India and Australia have several commonalities, which serve as a foundation for closer cooperation and multifaceted interaction, on lines similar to what India has developed with other Western countries. Both are strong, vibrant, secular and multicultural democracies. They both have a free press and an independent judicial system; the English language is an important link. Cricket, and now the large numbers of Indian students coming to Australia for education, are significant elements in awareness at the popular level. The relationship has grown in strength and importance since Indias economic reforms in the nineties and has made rapid strides in all areas - trade, energy and mining, science & technology, information technology, education and defense Australia is in Indias extended neighbourhood, a point made by then Australian Foreign Minister Stephen Smith when he made a key note address in September 2008 at the University of Western Australia Despite the intersecting commonalities, India and Australia have only in recent years been able to significantly enhance the relationship, reflected in the decision taken in November 2009 during PM Rudds visit to India, to take it to the level of a strategic partnership. Australia is Indias eighth largest trading partner and India is Australia's fifth largest. Indias ranking among Australias export destinations has risen from twelfth to fourth in the period 2003-04 to 2009-10. Trade is growing exponentially. From A$ 6.54 bn in 2003-04, trade in goods and services between India and Australia reached A$ 21.01 billion (US$ 20.81 billion) in 2010-11. Indias exports to Australia were A$ 2.77 billion (US$ 2.73 billion), while Indias imports from Australia were A$ 18.93 billion (US$ 18.73 billion).
101
Indias export of goods to Australia in 2010 -11 was A$ 2.08 bn (US$ 2.05 bn) and Indias import of goods was A$ 15.74 bn (US$ 15.58 bn). Indias export of services was A$ 0.69 bn (US$ 0.68 bn) and import of services was A$ 2.5 bn. (A$ 2.47 bn). Indias main service exports to Australia are computer and information services and tourism. Main Australian service exports to India are education, education-related travel and tourism.
India is Australias largest export market for gold and chic kpeas, second largest market for coal and copper ores and third largest market for lead and wool.
Four products coal, non monetary gold, copper ores & concentrates and petroleum accounted for over 80 percent of Indias imports from Australia, with coal and gold being the dominant imports in 2010-11.
Indias major exports to Australia in 2010 -11 were pearls and gems, jewellery, medicaments and passenger motor vehicles. The India-Australia Joint Ministerial Commission was established in 1989 and has held thirteen meetings to date, the last one in Canberra on 12 May 2011. The Indian delegation for the JMC was led by Shri Anand Sharma, Minister for Commerce & Industry. At the conclusion of the JMC, the two sides agreed to commence negotiations for a Comprehensive Economic Cooperation
Agreement (CECA), which has now begun. India and Australia also announced formal launching of the CEO Forum with Mr. Navin Jindal, MP as co-chair on the Indian side and Mr. Lindsay Fox as co-chair on the Australian side. Dr. Craig Emerson, Trade Minister visited India in January 2011 to participate in the Partnership Summit at Mumbai. The signing of five Action Plans in 2008, in the areas of coal, mining, power, petroleum & natural gas and new & renewable energy is significant, underlining the importance of the natural resources sector in the bilateral engagement. Indian investment in Australia is growing. Major Indian investments in Australia include that by Indias Oswal Group (ammonia plant); Sterlite Industries
102
(copper mines; Aditya Birla Group (copper mines); Gujarat NRE Co. (coal mines); Asian Paints; Reliance has entered into a partnership agreement with Uranium Exploration; IFFCO and Legend Holdings of Australia have entered into an agreement involving investment of over A$ 100 mn by IFFCO in Legends phosphate projects with buyback arrangements; NMDC and Rio Tinto have entered into an agreement for joint exploration in India, Australia and other countries. TATAs have enhanced their investment in a mining joint venture (led by Vale of Brazil) in Queensland. Tata Power and Australian company Geodynamics have entered into an agreement involving Tata Power taking an 11.4 per cent stake in Geodynamics for A$ 44.1 million. Petronet LNG, New Delhi has signed an agreement with ExxonMobile in August 2009 to source 1.5 mmtpa of LNG from the Gorgon Project, for 20 years starting from 2014. The Adani Group of India, owners of the countrys largest private port have acquired a coal mining prospect from Linc Resources in the Galilee Basin in Queensland. The deal is valued at $1 billion. $500 million in cash paid to Linc Resources and a royalty of $2 per tonne over 20 years. Adani has also acquired rights to manage the Abbot Point Coal loading terminal for a period of 99 years at a cost of A$ 1.83 billion. Lanco Infratech made the biggest Indian investment to date in Australia, spending almost A$ 850 million to buy Griffin coal assets. GVK Power and Infrastructure is in the process of finalising purchase of two thermal coalmines from Australia s Hancock Prospecting for about US$ 2.4 billion. GVK Power and Infrastructure has finalised purchase of two thermal coal mines from Australias Hancock Prospecting for about US$ 2.4 billion and is also investing in development of rail network from the mine to the nearest port, which entails a total investment of U$10 bn. NMDC has concluded the purchase of half stake in Perth based Legacy Iron Ore in September and is conducting due diligence for the purchase of the Ridley magnetite project of Atlas Iron Ore. Infosys has acquired Portland Group, a sourcing and category management services firm in Australia for A$ 37 million.
103
All the major Indian IT companies have a presence in Australia and are rapidly growing. These include Infosys; Satyam Mahindra; TCS; HCL; Polaris Software Lab Ltd; Birlasoft; NIIT; ICICI Infotech; Wipro; Mahindra-British Telecom Ltd; i-Flex; igate; among others. Satyam Mahindra has the largest roduct development centre outside India in Melbourne. At present, there are no direct flights from Australia to India. Tourism is growing rapidly; 1,65,500 Australian tourists visited India in 2010 and 1,38,700 Indian tourists visited Australia in 2010.
104
Chapter 13
Present Trade Barriers for Imports and exports
105
Present Trade Barriers for Imports and exports

There are major following kinds of trade related barriers in Australia.
Trade Policy:
For the Protection of industry for most of the past decades behind tariff protection, Australia began to reduce its tariff including in its most protected industries such as automobiles and textiles. The Australian economy has since reaped the rewards of tariff reduction through lower prices of imported business inputs, increased productivity and improved international competitiveness.
Import Controls:
There are no special requirements for applying an import licence, nor are there any quotas on imports. However, under the Customs (prohibited Imports) Regulations, controls take the form of a) an absolute prohibition meaning that import of these goods is banned in any circumstances; and b) a restriction where imports are allowed only if written authorization is obtained from the relevant authorities, or if compliance with certain regulations is met. For some commodities, import permits are required to facilitate clearance of goods.
Customs Valuation and Tariff
Australia adopted the Harmonized Commodity Description and Coding System (HS). The Australian Government has planned for the progressive reduction of tariff protection for local industry. The tariff reduction programme has already reduced 48% of Australian tariff to zero and 35%. About 86% of tariff rates now range between zero and 5%, except certain automobile products and the textile, clothing and footwear commodities. The average applied most-favoured-nation (MFN) rate for industrial products is 4.6%, while the applied MFN tariff for agricultural products is less than 1%. While there are several ways of valuing goods for customs purposes, the method most applied is the transaction value based on the price actually paid for the imported goods.
106
Customs Clearance (Permission):
Importers who want to clear their own goods should contact the Customs Information and Support Centre for advice on Customs requirements and operating hours. Customers should be aware of their obligations and base on their assessments of import procedures. Penalties may be imposed for the submission of incorrect or misleading information. Customs advises that purchasing goods over the Internet or mail order are subject to customs controls. Restricted goods brought into the country require an import permit. Goods may be imported duty and tax free if their value is $1000 or less, with the exceptions of tobacco and alcoholic products. However, multiple packages to the same addressee from a single consignor arriving at the same time are liable for tax assessment.
Anti-dumping and Countervailing Duties
An applicant may apply for a dumping duty or a countervailing duty, when a consignment of goods is imported or is likely to be imported and an Australian industry producing the similar goods believes that, there exist reasonable grounds. For number of countries including China and India Australia has initiated a number of anti-dumping proceedings. Currently there are a number of mainland origin goods subject to Australia's anti-dumping measures,
45
including preserved
pineapples,
preserved
mushrooms and certain chemicals.
Marking and Trade Descriptions:
Importers are required to ensure that goods entering Australia are correctly labeled. It is an offence to import goods that do not bear a required trade description, or bear a false trade description. Imported goods that require a trade description must be marked with the name of the country in which the goods are made and a true description of the goods in English language, with weight or quantity.
45
http://www.hktdc.com/info/mi/a/sbr/en/1X006MWA/1/Small-Business-Resources/Trade-Regulations-ofAustralia.htm
107
Documentary Requirements:
Bill is required on all freight shipments. "To order" bills are permitted, Freight collect shipments are generally acceptable. Certificate of Origin is not usually required except it is specially requested by importers. Invoice should include name of vessel/carrier, shipper and consignee, country of origin of the goods, marks and numbers, quantity and weights, order date and number, selling price, method of payment etc. Other documents may include packing list to facilitate cargo clearance. 46
Product Standards and Consumer Protection:
Australia has maintained some standards requirements particularly quarantine and health restrictions that have an impact on the free flow of goods. Laws provide consumers with a ready cause of action against the manufactures or importers of defective products. The Trade Practices Act prohibits restrictive or unfair trade practices, misleading or deceptive conduct, false representations, deceptive offering of gifts and prizes in connection with the sale or promotion of the goods and services.47
Custom Services:
The Australian Customs Service (ACS) for both barrier surveillance and commercial compliance. Along with a range of obligations associated with goods procured from overseas, an Australian importer is subject to import duty liability at a rate directly linked with the tariff classification of the goods. These may vary depending on the nature of the goods. Some industry sectors (such as the motor vehicle and textile clothing and footwear) are given higher protection through tariffs than other industries. Australia already has many tariff classifications (product categories) that are duty free (zero rated) or, if not duty free in own right, most manufactured items imported from overseas will only have a maximum of 5% levied on the export value or "free on board" cost (FOB). The FOB being the basis, applying to Australia, with certain additions or deductions, from which one compiles the Customs Value in arriving at the applicable duty. Moreover, The goods which is imported from the New Zealand is totally duty free
46
http://www.hktdc.com/info/mi/a/sbr/en/1X006MWA/1/Small-Business-Resources/Trade-Regulations-ofAustralia.htm 47 http://www.hktdc.com/info/mi/a/sbr/en/1X006MWA/1/Small-Business-Resources/Trade-Regulations-ofAustralia.htm
108
Customs will not permit the goods if it is from following criteria 1. 2. 3. Have a value over AUD $1,000. Contain Alcohol or Tobacco of ANY quantity or value. Contain Prohibited Imports listed on customs governments site.
TAX Provisions
o Sales Tax:
The Australian Taxation Office (ATO) whereby, generally speaking, a Sales Tax (known as various ad valorem rates) is levied on imports into Australia. While there are exemptions or concessions available through the various Tax Schedules or formal rulings from the ATO, imports are taxable dealings. This tax (involving an increase in the import cost level to arrive at a taxable value) is in addition to any Customs Duty. A standard formula is used by the ATO to establish the tax liability, which ordinarily is payable at time of importation. For wholesalers, a scheme operates to relieve this burden of liability until later in the supply chain. From 1 st July, 2000 Sales Tax was transferred into Goods and Service Tax (GST) at rate of 10% on all the Goods & Services provided. This is a value added tax levied on goods and services throughout the supply chain, again with credits working to maintain equitability in the system. There are very few exemptions. o Australia Filing Requirements and Payment of Tax: A company is usually required by the Australian Taxation Office (ATO) to have a tax year of 12 months (except in its first year) synchronized with the end of the standard tax year, which ends on June 30 each year. Only companies that are foreign controlled will normally be allowed to vary their tax year dates to match that of their overseas controlling entity. Annual tax returns for most companies are due by February 28 each year, and companies generally pay their tax under the pay-as-you-go (PAYG) system in either a single lump sum or in quarterly installments.
109
Other Trade Related Barriers with Trade between India and Australia
o Tariff reduction for trade in goods:
There are still major barriers to trade with India, despite recent reforms. Indian tariff rates and trade barriers more generally remain among the highest in the world. In addition to tariffs, India imposes various duties, such as safeguard and anti-dumping duties, and non-tariff restrictions such as import bans and standards or certification agreements. The Australia India Free Trade Agreement Feasibility study also identifies this as an area that can immediately improve the trade relationship between our countries, across a broad range of goods. Both India and Australia have committed to trade liberalization over recent decades, but there is still more work to be done. o Supporting the services sector: The Indian Government in recent times has committed to the deregulation of services sectors, including telecommunications and ICT. We also recognise the significant changes that have occurred in the financial sector although foreign investment in Banking and Insurance remains relatively less open. Education and Tourism as key services sectors would benefit from greater promotion and profiling in market in order for Australia to be considered a leading destination. Services and knowledge based exports for both India and Australia are important to our future growth and sustainability, any Agreement should recognise the importance the services sector. o Recognising the role of private sector: The role of the private sector and business community is critical to the success of any Agreement. It must be a driving force for Australia and India. Private sector investment and cooperation will drive the future of the Australia India relationship. There must beongoing recognition and engagement with the sector to reap the benefits of any future bilateral agreement. AIBC is well regarded by the Australian and Indian Governments as having a significant role to play in facilitating the ongoing improvement in Australias trade and investment ties with India.
110
o Facilitating investment: The investment opportunities in both India and Australia are significant. To date they have been hampered by significant bureaucratic overlaps. AIBC members have reported cross-sectoral problems, where various ministries and bureaucracies do not align in decision making and processing, which delays approvals and complicates the requirements for global investors. Hurdles to investment must be addressed if we are to build and grow the two way investment between our nations. Better understanding of the culture and business models from Indian investors in Australia is also important. o Resources and energy :
There is no doubt that trade and investment in resources and energy are critical to the bilateral relationship. In many ways, Australian resources and energy exports to India serve as a crucial motor of Indian economic growth. Whilst the exports of resources and energy dominate Australias trade with India, we have an opportunity to add to this in expanding cooperation in mining services, expertise and technology to increase productivity on both sides. Inherent in this relationship is continued cooperation and investment between Australia and India in relation to low emission and renewable energy climate change and sustainable development.
111
Chapter 14
Business Opportunities in Future
112
Business Opportunities in Future

1. Introduction
Property and construction are the backbone of the Australian economy. It provides 14% of nations wealth and employees 7, 30,000 people. It has impact on other industries also. If the industry uses its resources effectively than it would be more competitive. Looking to the future is an important step in an industry. So the national initiative of cooperative research for construction innovation Australia is taking a significant step forward in establishing a vision for the future construction industry. Industry leaders and members around the country have been consulted in order to refine the research for our important industry.
2. An overview of brass industry

The brass parts industry is primarily an intermediate industry. Supplying a wide variety of brass parts and components to almost all. The engineering industries ranging from electrical/ electronics industry. To automobile industry. Its phenomenal growth could also be ascribed. To the growth and diversification of other engineering related sectors. Of the industry. The brass parts industry has a heavy concentration in, Jamnagar. Jamnagar is famous known as CHOTTA KASHI, PARIS OF SAURASTRA. Brass city etc. the origin of kingdom of NAWANAGAR former known as Jamnagar can be tracked of the times of Jam Hala who crossed over the north and entered saurastra and entered the greeted part of territory of haler. The districts head quarter is Jamnagar.
113
3. Table showing growth of construction sector.

YEAR GDP (CURRENT PRICES) CRORES. IN GDP(CONSTRUCTION)IN % CRORES CONTRIBUTION OFGDP BY
CONSTRUCTION SECTOR TOTAL GDP. TO
2005 2006 2007 2008 2009
28,77,701 32,82,385 37,79,385 43,20,892 49,33,183
2,12,807 2,64,173 3,19,180 3,76,266 4,37,017
7.4 8.0 8.4 8.7 8.9
The Construction sector has been growing at a compounded annual growth rate (CAGR) of about 11.1 per cent over the last eight years. The Construction sector accounts for around9.0 per cent of GDP today. (The contribution of Construction to GDP from 2005 to 2009 is given in Tables.)
114
4. Opportunities
Knowing the market.
The building and construction industry has slowed down considerably after the December 2006 coup. Between 2000 and 2006 there had been multi-million dollar projects such as the Outrigger on the Reef, the Sofitel Resort and Spa, the Hilton, the Radissons, Colonial/Motibhai Suva Central, MH City Centre, Mid-City Plaza and many more. Currently, private sector foreign investment remains subdued, however, the interim Government advises it is committed to investing in capital works in the infrastructure of roads, water and sewerage and there are plans for around a$170 million of capital works in water utilities alone by 2012. Road-related works and government housing projects have been financed by Banks from Asian countries, which has resulted in tethering of the bulk of delivery to these countries corporations.
Future opportunities
Growth of the Construction sector will also give a boost to many other economic activities. It will stimulate substantial growth in the construction equipment industry as well as a host of other down-stream industries like cement, steel, paints/chemicals, fixture & fittings, bricks & tiles, non-ferrous metals/plastics/glass, timber and wood based products. The main opportunities in services are in the provision of consulting for designs, management of building projects and construction as head contractor. The head contractor then engages the local contractors to assist. Companies must be aware of the long lead times from project conception to implementation.
115
5. Brass parts manufactured in jamnagar
Jamnagar is associated with manufacture and export of Brass Precision Components, Brass & M. S. Machine Screws, Brass Nuts & Bolts, Washers, Brass Molding Inserts, Brass Building Hardware Fittings, Antique Brass Hinges, Antique Brass Handles, Tower Bolts, Gate Hooks, and Ball Catchers etc. Operating from India, Jamnagar is committed to provide customers with world class quality standards. The organization follows international standards in the production of our products, ensuring global acceptance for them. Jamnagar is a hub for Brass industry of India.
116
Product Range
Jamnagar Brass Components India has been established as one of the leading manufacturers and exporters of high quality brass hardware fittings. The products have been appreciated both in the domestic as well as in the international market. They are as follows:
Brass Electrical and Wiring Accessories

o Brass Cable Glands o Brass Earthing Equipment and Accessories o Brass Neutral Link o Brass Line Taps
Brass Door Hinges/ Tower Bolts Brass Hardware Fittings

o Brass Door Hinges o Antique Brass Handles o Tower Bolts o Gate Hooks
117
Quality
Jamnagar Brass Components in India Quality has been the utmost priority since the very beginning. They closely monitor every section of our production process to ensure quality that matches international standards.
6. Table showing different types of hardware.
SANITARY HARDWARE
DOOR HARDWARE
CONSTRUCTION HARDWARE
FURNITURE HARDWARE
PLUMBING HARDWARE
118
We will now see all this four hardware in detail.
i.
Sanitary hardware
Sanitary Hardware includes an extensive range of bath ware products and accessories that are used to organize, decorate as well as to beautify the bathroom. Available in a number of designs, styles and finishes sanitary hardware offers great value to the sanitary representing the beauty & art. Smart selection in bath hardware can be an all important design decision in creating an ideal new bathroom. From Bathroom Shower and Sanitary Fittings to Towel racks and Grab Bars, the wide line of bathroom hardware products come in a variety of designs, style and material choices to compliment any decor. With the heavy use, which comes with household bathrooms, the bath hardware products are designed to withstand typical wear and tear.
Industry overview:
Sanitary hardware industry comprises establishments that are primarily engaged in the manufacturing, supply & trade of the sanitary hardware, fittings and accessories. With every passing year, companies are coming up with innovative products or old products with new designs and features. With the increasing world population, the demand for more houses and hence bathroom hardware products is also growing. Government as well as private sector is making huge investments in the bath hardware sector. Rapid urbanization and growth of number of residential facilities are also deriving the demand for bath hardware products. Rising personal incomes and increasing purchasing power parity are also contributing to the growth of this industry.
119
Types of sanitary hardware:
Some of the category of Sanitary Hardware Products includes: o Towel Racks o Towel Bars o Towel Warmers o Towel Hangers o Robe Hooks o Tumble Holders o Soap Trays o Toothbrush Holders o Soap Holders o Bathroom Mirrors o Bath Seat o Bathtubs o Sanitary Fittings
Materials of sanitary hardware:
Some of the most popular materials used to manufacture stylish and luxurious bath accessories. They come in a variety of possible colors and finishes to satisfy individual tastes and preferences. These are as follows: o Chrome, o Brass, o Steel.
120
Finishes of sanitary hardware:
Some other finishes that manufacturers use for bath hardware products includeo Stainless steel, o Oil rubbed bronze, o Satin nickel, o Brushed satin nickel, o Gold, o Polished chrome, o Darker browns with copper patina, o Bronze and antique Englishs finishes, etc. o Bathtubs o Sanitary Fittings
121
Growth drivers in sanitary hardware industry
Some of the key growth drivers of sanitary hardware industry areo Rising income of the people & businesses, o Increasing urbanization, which is resulting in growing demand for sanitary hardware, o Rising investment in the construction sector both by domestic players as well as MNCs,.
Opportunities in sanitary hardware industry:
Sanitary hardware has come a long way from its use as merely a basic functional hardware to a decorative accessory with ability to give bathrooms a stylish update, tie a design together. However, industry experts give significant importance to functionality as well, as it makes the bath space work more efficiently. Some of the factors that are influencing the current opportunity in sanitary hardware industry areo Ergonomic issues, o Open floor plans, o Streamlined design trends, o New technology, o Demands of consumers for ease of use.
Though the opportunity in decorative sanitary hardware is towards a cleaner, simpler look, its use to inculcate the personal style of individuals into their baths is also on the rise. While many manufacturers are witnessing increasing demand towards simplicity in decorative hardware ornate, lush look are still in opportunity. With the degree of ecoprotection awareness increasing among the people, manufactures are actually making commendable attempts to design products, including flooring, surfacing, and sustainable or recycled materials such as bamboo and cork.
122
ii.
Door hardware.
Door hardware is used for decorative hardware products which have emerged as an inexperienced way adding a unique touch to your home. Different door parts as well as unique door hardware not only ensures the proper functioning of door but enhances the appearances as well as the the existing life of the door. These products come in a variety of styles and finishes with antique and stylish finishes which is most popular among the people who select the door hardware. These products are generally made keeping in mind how user friendly they are. They are several door hardware products which are manufactured keeping in mind the old aged persons, disabled, and children.
123
Types of door hardware:

o Door knobs o Door hinges o Door stops o Door push plates o Door panels o Door knockers o Door latches o Door frames.
Materials of door hardware.
Door hardware products are using the materials such as brass, bronze, alluminium, iron steel and stain less steel. Some of the methods that are used to make door hardware casting, forging, and extrusion. They are made in such a way that satisfies the customers taste and preference. The materials which are used are as follows: o Antique nickel o Antique brass o Satin chrome o Satin brass
124
Opportunities in door hardware industry.
Door hardware industry has undergone a huge transformation from function to functional aesthetics, facilitating a variety of furnishes which can satisfy every consumer demand. According to industry experts people look for stylish designs while buying their door hardware. They are now more concerned about the appearance of their doorknobs, levers, and hinges in relation to how they will match other items in their home. The technological advancements have taken door hardware into new level in recent years as the facility access systems flourish in scope and complexity. For instance, electronic door hardware enables doors to be locked and unlocked with the use of a peripheral device - a simple electric push button, a motion sensor, or even complicate access control equipment, such as a card reader or digital keypad. Concern for environment is yet another social trend, which is influencing the door hardware industry .a need has been aroused for industrial products which can support the green initiatives through environmental conservation and preservation, Even though production and developments are still undergoing some major changes, the trend towards more environment friendly finishes is growing faster.
125
iii.
Furniture hardware.
Furniture hardware products include all components and fittings that are used to fix designs and build furniture products. The primary functions of these products include fixing different windows and doors, to help moving parts function smoothly, to enhance attractiveness, comfort as well as the overall life of furniture products. Furniture hardware comes in variety of models and types. Some of the important materials that are used to make furniture hardware are cast iron, hand forged iron, brass, stainless steel, and chrome. Some of the popular finishes for furniture hardware products include polished brass furnish polished chrome.
126
Types of furniture hardware

o Hinges o Latches o Label holders o Levelers o Handles o Casters o Keyhole covers o Furniture arms
Hardware a crucial component in furniture.
Furniture is used for sitting, resting, or storing materials is made from wood based materials that do not affect the functioning directly. Furniture acquires beauty and safety from its designs and its hardware. These attributes helps the furniture to give value and advantage by furnishing beauty to the furniture.
Opportunity in furniture hardware industry.
Furniture has come a long way from its use as functional accessory for a decorative hardware that gives a beautiful and unique look to the furniture products. Furniture hardware products come in an extensive range of designs, styles and finishes to satisfy the consumer demand. People are more concerned about the appearance of hardware products. In recent years the furniture hardware industry has extended its offerings to help builders and facility. Interior and exterior furniture sets include various types of hardware products that are designed to ensure durability and value which facilitate the style.
127
The volume of furniture hardware sold depends largely on the sale of furniture products and the rise in personal income of individual and business. Imports of hardware products are emerging as a major competive factor.
128
iv.
Building Hardware
The Brass Building Hardware Products are widely demanded in the market due to the unmatched quality and performance in respective applications. The use of optimum quality materials in the manufacturing of the Brass Building Hardware ensures high durability, tensile strength and resistivity to adverse conditions.
Brass Hinges
The brass hinges\ hinge are known for their spectacular designs and durability , these are known for their flawless finish and thus , are widely used where doors need to open up to 180 degree in order to clear the wall.
Brass Tower Bolt
These brass tower bolts are simple but elegant looking. Made of the best quality brass metal, these stylish bolts are made to last for lifetime. The brass tower bolts are beautifully designed and are perfect for office as well as home use.
Iron and Brass Aldrops
These aldrops are available in various ranges and specifications.moreover steel aldrops are perfect in design and finish for window and door bolting purpose.
129
Brass Khooti
These are durable, corrosion resistant and made up of best quality raw material
Baby Latches
These are Top Brass bay latch that comes with a wide section and with a Latch with normal section.
130
Gate Hooks
These are highly appreciated for its high durability and corrosion resistant features. It is primarily used for providing firm support to windows and fabricated in accordance with required standards.
Iron and Brass Aldrops

These aldrops are available in various ranges and specifications. Moreover, steel aldrops are perfect in design and finish for window and door bolting purpose.
131
Tower bolt
These are designed to perfection and have excellent finish as well as edges.
Brass Anchor Fitting Components

The imperial brass components are involved on the manufacture and supply of highquality brass anchor fittings. Products come from composed from high-end brass. Product has a feature in its internal tapering module that makes it possible for the anchor to expand and initiate the auto lock the suspension rod in an upright position.
132
Opportunities in building hardware.

Brass building hardware ensures higher durability. People prefer these products because they come from high-end brass. There is greater opportunity in building hardware in future because of high end brass.
v.
Plumbing Hardware
Plumbing hardware industry is an integral component of the economy of a country, which is closely linked to the construction industry. The industry as a whole constitutes one of the most largest and profitable employment in construction sector.48 Plumbing hardware products are fundamental to determine the water efficiency, energy, sustainable site, fire protection, and pollution systems of commercial and residential projects. The scope of the growth and development is expected to broaden over the next decade as plumbing hardware plays a progressively important in the environment conservation and green building design.49 Plumbing hardware products are important tools in regard to all plumbing operations, such as plumbing fixtures for bathroom sinks, bathtubs, toilets, showers and so on. When people require plumbing hardware, whether it is a small pipe, or a hinge or whatever it may be, they are required to visit a specialty plumbing hardware store for all of your plumbing hardware requirements.
48 49
http://www.hardwaremarketplace.com/building-hardware/plumbing-hardware-industry-overview.html http://www.hardwaremarketplace.com/building-hardware/plumbing-hardware-industry-overview.html
133
Type
Some of the important categories of plumbing hardware are,50 Plumbing pipes Tube fittings Pipe fittings Hose fittings Plumbing tubes Valves
Copper in Plumbing Hardware:

Over the years, copper based plumbing hardware products have continually proved themselves the most superior and reliable for all sort of water delivery and drainage
50
http://www.hardwaremarketplace.com/building-hardware/plumbing-hardware-industry-overview.html
134
systems. The metal is mans first and still most indestructible non -precious metal that is used in a variety of plumbing applications51 With the fact copper resists corrosive elements better than any other engineered metal; it long ago set the standards for plumbing applications. It was the natural outgrowth of an economic system, which stressed economies of scale in production and sought substitute materials, which would do the same work for less money in some cases; they have found that some of the old, basic materials are still the best, still the most economical, such as copper, as they give long trouble free performance.
52
In plumbing hardware industry, sales are driven by the construction and hardware retailing industries. The profitability of companies depends largely on merchandising and effective inventory management. The industry is high competitive, where small businesses can compete with their larger counterparts by offering specialty products, offering all the parts keeping specific customer requirements in mind, or delivering superior service.53
Opportunities in plumbing industry:

The incorporation of information technology are into the different facets of building design and construction industry and it is revolutionizing the plumbing hardware industry. Sustainable and environment-friendly designs are a major focus of the plumbing hardware industry. Demand is growing for more sophisticated and multifunctional products. The current pace of innovation in the use of material is unparalleled and more materials is being produced in a short span of time.
51 52
http://www.hardwaremarketplace.com/building-hardware/plumbing-hardware-industry-overview.html http://www.hardwaremarketplace.com/building-hardware/plumbing-hardware-industry-overview.html 53 http://www.hardwaremarketplace.com/building-hardware/plumbing-hardware-industry-overview.html
135
Forecast:
According to experts, smart home and bath products will be the hot trend in next decade. In the ideal environment friendly home of tomorrow, toilets will flush water recycled from the washing-machine or dish-washer. Certification of green plumbers will be standard practice by the year 2015.54
Conclusion
we have seen all the four hardware in detail and there opportunity and by this information we can conclude that there would be great demand of this type of hardware in later years as people would like to have this type of hardware in future so we can say that it would be greater opportunity for us to expand brass business in Australia. We can analyze that construction sector is in growing phase and there is great opportunity if India expands the brass construction business in Australia. There has been increase in GDP of construction sector by 8%in 2009. Also there are four hardware shown in this report which is highly popular among the people and also the demands of that hardware are also increasing day by day. There are almost four types of hardware they are sanitary, door, furniture, brass and plumbing. Among them furniture hardware would have greater opportunity in future as people are more concerned with their interior as well as exterior decoration of their home.
54
http://www.hardwaremarketplace.com/building-hardware/plumbing-hardware-industry-overview.html
136
Chapter 15
Present trends of business between India and Australia during last 3-5 years
137
Present trends of business between India and Australia during last 3-5 years
Recent years have seen remarkable growth in the trading relationship between India and Australia, fuelled by the many complementarities between the two economies. Twoway trade has grown in value from $3.3 billion in 2000 to $22.2 billion in 2010 a rise of 23.4 per cent per annum since 2000. India is the world's largest democracy and is a market of 1.2 billion people. Its youthful population, diversified economy and growth trajectory present significant opportunity for Australian business, especially in the agriculture, energy, manufacturing and services Australian exports to India: Australian imports from India: India's principal export destinations: India's principal import sources: A$16,412 million A$1,967 million United Arab Emirates, USA, Chin China, United Arab Emirates, USA
138
Top Export Products

Name of Commodity Apr 2005 Feb 2006 Apr 2006 - Feb 2007 Export Value of Goods Value (INR in Crores) Value (US$ in Millions) Value (INR in Crores) Value (US$ in Millions) Value (INR in Crores) Value (US$ in Million s) INDIA EXPORT OF MANUFACTURES OF METALS INDIA EXPORT OF NON-FERROUS METALS INDIA EXPORT OF FERRO ALLOYS 1,008.15 227.81 1,417.38 312.19 40.59 37.04 0.28 0.28 4,923.14 1,112.4 6 14,323.1 9 3,154.76 190.94 183.58 2.81 2.81 16,674.57 3,767.8 7 20,156.0 5 4,439.47 20.88 17.82 3.95 Value (INR in Crores ) Value (US$ in Millio ns) 3.95 Export Value of Goods %Growth %Grow th %Shar e %Shar e
An FTA between India and Australia would be expected to address tariff and non-tariff barriers. It would go beyond each countrys commitments in the World Trade Organization (WTO) and cover substantially all trade in goods.
139
Top Import Products

Name of Commodity Apr 2005 - Feb 2006 Import Values of Goods Values (INR in Crores) Values (US$ in Million s) Apr 2006 - Feb 2007 Import Values of Goods Values (INR in Crores) Values (US$ in Million s) %Grow th Values (INR in Crores) %Grow th Values (US$ in Million s) %Sha re Value s (INR in Crore s) India Import Of 15,086. 3,409.0 9 34,051. 38 7,499.9 9 125.70 120.00 4.62 4.62 Values (US$ in Million s) %Share
- METALIFERS 80 ORES & METAL SCRAP India Import Of - NONFERROUS METALS India Import Of MANUFACTU RES OF METALS 4,816.9 1 7,287.5 5
1,646.7 3
10,830. 59
2,385.4 9
48.62
44.86
1.47
1.47
1,088.4 5
6,431.9 1
1,416.6 6
33.53
30.15
0.87
0.87
140
Recent years have seen remarkable growth in the trading relationship between India and Australia, fuelled by the many complementarities between the two economies. Over the past five years, bilateral trade in goods and services has increased by 24 per cent annually to US$16 billion in 2008-09. Two-way investment is also significant, estimated at over US$1.5 billion including portfolio investment in 2008.
Investment
The higher GDP growth in India has been accompanied by an increase in the investment rate and a somewhat larger increase in the savings rate. The rate of
domestic investment increased to 36 per cent of GDP in 2007. At the same time, the rate of gross domestic savings increased from 21 per cent of GDP in the pre-reform period to around 36 per cent.
Australian economy
Australia has a highly open, market-based and capital-intensive economy which is currently enjoying a prolonged economic expansion, presently in its 18th year. It grew by an average of 3.5 per cent from the early 1990s to 2009, but the global financial crisis has had an impacted on rates of economic growth in Australia from late 2008 to 2009
141
Trends In India's Foreign Trade

Indias merchandise exports reached a level US $ 126.3 billion during the year 2006 -07 registering a growth of 22.5 per cent over the previous year. The Indian exports have witnessed a sustained high growth rate of more than 20 per cent during the Tenth Plan period. The performance has been very encouraging during the last three years wherein exports grew at an average annual rate of 25.6 per cent in dollar terms. The growth of exports, so far, has been in line with the targets set out in the Foreign Trade Policy 2004-09.
142
Chapter 16
Potential for import export in India / Gujarat Market
143
Potential for import export in India / Gujarat Market

Demand of the products
According to the CIA World Factbook, Australia exports coal, gold, meat, wool, alumina, iron ore, wheat, machinery and transport equipment and imports machinery and transport equipment, computers and office machines, telecommunication equipment and parts; crude oil and petroleum products. Indias merchandise exports to Australia are diverse but volumes are not very large. India traditionally exports textiles and clothing to Australia. The main items are pearls, precious, semi-precious stones, made-up articles -textile materials, floor coverings, jewellery, textile yarn, engineering goods/ manufactures, manufactures of base metal, footwear, travel goods & handbags, women's or girls', clothing, mens or boys' clothing, and other commodities including chemicals and related products, plantation & agricultural products. Indias exports increased to A$ 2 billion in 2009. This was 11 % higher than the corresponding figure of A$ 1.8 billion in 2008. Generating sets & motors, pearls & gems, medicaments, jewellery,textile manufactures and topped the export basket in 2009.
Potential of the products for export

India is having a huge potential for exporting goods to Australia. Specially talking about the Jamnagar brass parts industry, the study says that Jamnagar fulfils only 0.01% of the total demand of the world for brass building hardware products. Considering this scenario, Jamnagar is having huge opportunity & potential market for exporting brass products. And the above data also shows that the percentage of construction industry in the GDP of the country is around 7% which is a huge Percentage. It is also know to us that in Australia the construction business is not concentrated to few players so we can excel in Australia.
144
Conclusion
After studying the demographic and economic environment of Australia and other factors like position of different economic sectors, business and trade by Australia in world market and with India and Gujarat, overview of building brass and hardware industry of Australia, present position of trade and business with India, Australian and Indian policies and norms for import and export and current and potential business opportunities prevailing in the industry, it can be concluded that there exist promising business opportunities in Australia for Indian and Gujarati entrepreneurs. we have studied all the four hardware sectors in detail and their potential opportunities and by this information we are concluding that there would be great demand of this type of hardware in later years as people would like to have this type of hardware in future so we can say that it would be greater opportunity for India and Gujarat to expand brass business in Australia. We analyzed that construction sector is in growing phase and there is great opportunity if India expands the brass construction business in Australia. There has been increase in GDP of construction sector by 8%in 2009.
145

GCR On Australia

Transféré par

Informations du document

Titre original

Copyright

Formats disponibles

Partager ce document

Partager ou intégrer le document

Options de partage

Avez-vous trouvé ce document utile ?

Ce contenu est-il inapproprié ?

Droits d'auteur :

Formats disponibles

GCR On Australia

Transféré par

Droits d'auteur :

Formats disponibles

A GLOBAL / COUNTRY STUDY AND REPORT ON

Building and Brass Hardware Industry of Australia

Submitted to Gujarat Technological University

Ashok Bantwa Assistant Professor

MBA SEMESTER III/IV ----------------------------------------------------------------------------------------

http://www.bbc.co.uk/news/world-asia-15674351 2 http://www.virtualoceania.net/australia/travel/overview.shtml 3 http://www.appliedlanguage.com/about-us/knowledge-hub/country-guides/australia/ 4 https://www.cia.gov/library/publications/the-world-factbook/geos/as.html

Demographic Profile of Australia

9. Languages:7 English Chinese Italian Greek Arabic Vietnamese Other Unspecified

78.5% 2.5% 1.6% 1.3% 1.2% 1% 8.2% 11.3%

5. http://www.appliedlanguage.com/about-us/knowledge-hub/country-guides/australia/ 6 http://www.appliedlanguage.com/about-us/knowledge-hub/country-guides/australia/ 7 http://www.appliedlanguage.com/about-us/knowledge-hub/country-guides/australia/

Percentage 18.3% 67.7% 14%

Male/Female Ratio 2,040,848/1,937,544 7,469,092/ 7,266,143 1,398,576/ 1,654,508

12. Median age: Total Male Female

37.7 Years 37 Years 38.4 Years

13. Major cities - population:9 Sydney Melbourne Brisbane1 Perth

4.429 Million 3.853 million 1.97 million 1.599 million

1.06 male/female 1.05 male/female 1.03 male/female 0.85 male/female 1 male/female

99% 99% 99%

16. Unemployment, youth ages 15-24: Total Population Male Female

11.6 % 12.6 % 10.4%

Economic Overview of the Australia

(Source: CIA World Fact Book)

(Source: CIA World Fact Book)

(Source: CIA World Fact Book)

4. Shares of different sectors in the economy: Service Industry Agriculture

(Source: CIA World Fact Book)

(Source: CIA World Fact Book)

18.7% 11.1% 8.7% 5.2% 5.1% 5% 4.3%

(Source: CIA World Fact Book)

25.1% 18.9% 8.9% 7.1% 4%

(Source: CIA World Fact Book)

(Source: CIA World Fact Book)

Year Debt (USD Billion)

(Source: CIA World Fact Book

Year Imports (USD Billion)

(Source: CIA World Fact Book)

Overview of Industries, Trade and Commerce

3. Import Export Guidelines

http://www.international-orders.com/content/view/38 20 http://www.international-orders.com/content/view/38 21 http://www.international-orders.com/content/view/38 22 http://www.international-orders.com/content/view/38

Capital gains tax

Overview of Different Economic Sectors of Australia

1. The Financial Services Industry

4. Information Technology and Telecommunications

7. Industrials and Materials

Overview of Business Level

and Trade at international

Australias Trade with India Overview

2. India Australia Trade Relations

3. Indias Merchandise Export to Australia

4. Indias merchandise imports from Australia

5. Major Australian Exports to India

6. Major Australian Imports from India

7. Present Business Volume

o India's Service Imports : A$ 2.5 bn. (US$ 2.47 bn.) (2010-11)

Year* Total trade Indias Exports Indias Imports

2005 - 06 $10.12 bn. $1.28 bn. $8.84 bn.

2006 - 07 $10.75 bn. $1.46 bn. $9.29 bn.

2007 - 08 $10.92 bn. $1.60 bn. $9.32 bn.

2008 09 $17.53 bn. $2.11 bn. $15.42 bn.

2009 - 10 $18.02 bn. $1.84 bn. $16.17 bn.

2010 - 11 $17.82 bn. $2.08 bn. $15.74 bn.

Introduction to Building Hardware Industry of Australia

2. The Australian Hardware Market