What on earth is my company doing in India?

When working in India, Dutch companies quickly think of three things: poverty, bureaucracy and corruption. But this simple ABC no longer applies to the country that, according to the World Economic Forum "will play a key role in the global industrial industrial revolution 4.0". In addition, continued economic growth is making India according to McKinseythe most attractive emerging market in the world to make a long-term investment in.

The Mumbai skyline by Vidur Malhotra

The world's fifth largest economy is not only moving like a train economically. The country is modernising at a rapid pace: cities are being made more liveable with the Smart City plan, India is the world's fastest digitalising country after Indonesia, and since 2019 it has held the title of World Poverty Reduction Champion. All these improvements will not only ensure that in the next ten years, around 500 million Indian households will climb up the socio-economic ladder and end up in middle and higher income groups, but also that these Indians will start spending that extra money via their mobiles , largely online.

Selling in India

By 2050, India will have surpassed the US and Europe to become the largest consumer market in the world. Anyone who is serious about the future of their business would therefore do well to explore India. Preferably today rather than tomorrow, because building relationships - crucial in India - obviously takes time.

The country's large multinationals have known this for a long time. Philips, Unilever, Heineken, TomTom, Elsevier, DSM, AkzoNobel and Shell: they have all been there for years. And not just to outsource their IT. Philips has a wonderful innovation campus there, Heineken is one of the largest beer sellers in the country, Ahold gets its grapes there and TomTom has developed a separate navigation system especially for the Indian market.

In India, there are opportunities for every sector

For SMEs, there are opportunities in almost every sector. For instance, Dutch water, energy, mobility and waste companies can make a significant contribution to the construction of the hundred smart, sustainable cities that are currently being planned. Dutch agri- and food companies can also have fun in India. Since 40% of all fruit and vegetables rot before reaching the Indian market, there are enormous opportunities for greenhouse builders, logistics players and cold storage suppliers.

The creative sector is also growing rapidly: Endemol grew in 10 years to become the largest TV producer in India and the Amsterdam Dance Event has been organising a special ADE Global session in Mumbai since 2016. And what about the retailers who are struggling so much in the Netherlands: the Dutch clothing brand Scotch & Soda has been in India for three years now and will soon open its eighth physical shop. In addition, they will be venturing into the fast-growing Indian e-commerce market with their local partner. And they are not the only ones, the big American giants such as Amazon, Walmart and Apple are aiming massively at (online) sales in India in 2020.

The question now is not if, but when your company will also take its first steps on the Indian market. Are you curious as to how your company can benefit exactly? We can help you understand the Indian market and draw up a plan together with you!

How to grow in India

No percentage gleaning, but rock-hard growth. That can be the reality in India. Just look at Logicash, the Indian subsidiary of Syntech International in Limburg. While the number of ATMs in India has grown from 100,000 to 180,000 in two years' time, Logicash's cars and mopeds drive through virtually the entire country to fill them up with piles of rupees. In a year and a half, the company, led by a local director, was profitable. By now, Logicash has 15 offices and employs more than 3,000 people in India. This is expected to grow to 40 offices and over 10,000 employees in the coming years (almost 20 new people a week).

Jesse van der Zand of Janta Meals (Photo: Janta Meals)

Janta Meals has a similar story. In two years' time, entrepreneur Jesse van de Zand has built 21 outlets in Gurgaon. The restaurants are going like mad, with 15,000 meals a day on sale: lentil and vegetable curries with rice or roti. Meanwhile, Van de Zand is holding far-reaching talks on expansion in Haridwar, a pilot is running in Bangalore and he is in the middle of final negotiations with four Indians who want to invest in Janta Meals.

The entertainment industry is also booming, observes Richard Zijlma, director of the Amsterdam Dance Event, which is landing in India for the first time in 2016. "India is a large, explosively growing market for electronic music," says Zijlma. "Just look at world-famous Dutch DJs like Armin van Buuren, Hardwell and Tiësto. Each and every one of them regularly tours India. There, they do not perform in small venues, but in stadiums and at large dance festivals. India is the gateway to Asia.

1. Have a strong core team

"I think every Dutch company that wants to grow rapidly in India must find a Dutch employee willing to live full time in India. In addition, an Indian partner with a relevant business network and a business mindset is essential. Without the Dutchman, everything is too slow and without the Indian, doing business in India is too complicated." Jesse van de Zand, Janta Meals.

2. Find Indian investors

"The Indian economy is growing rapidly and the elite are constantly looking for new investment opportunities. There are active angel investor networks that have quite a lot of money available and there is a lot of investment. Doing business with Indian investors is not much different than anywhere else in the world. Of course, here it's a bit more about a personal connection, but in the end it's all about the business deal." Jesse van de Zand, Janta Meals.

3. Keep believing in what makes sense to you

"Indians are quick to say that something can be done easily or that something is impossible. Follow your own feeling and stick to it." Gandert Roosen, Roosen Industries

4. Stay sharp in negotiations

"Indians are often tactically very smart. Once, I was having dinner for hours with an 80-year-old business associate. I had the feeling that he was slowly dozing off, until he suddenly surprised me and threw a proposal on the table." Gandert Roosen, Roosen Industries

5. Show respect

"Treat everyone with respect. Indians are a proud people, and rightly so. This country has a rich history and will achieve a lot in the years to come. Therefore, adopt a reserved attitude, especially if you are relatively young. Indians are allergic to arrogant foreigners." Gandert Roosen, Roosen Industries

Also have big growth plans in India or useful tips for growth entrepreneurs? Let us know about it!

Amsterdam Dance Event to Mumbai

The Amsterdam Dance Event (ADE), the world's largest festival and conference for the electronic music industry, is poised to conquer the Indian market. From 7 to 10 April 2016, ADE is organising its first Global Session in the Indian dance capital Mumbai. A festival as an export product. "India is the gateway to Asia."

"India is a large, explosively growing market for electronic music," explains Richard Zijlma, director of the Amsterdam Dance Event, of the jump to Mumbai. "Indians are crazy about electronic music. Just look at world-famous Dutch DJs like Armin van Buuren, Hardwell and Tiësto. They all tour India regularly. There, they do not perform in small halls, but in stadiums and at big dance festivals. Or take Afrojack. Last week he played in Chennai and this Saturday in Hyderabad.

India has traditionally had a large and lucrative entertainment industry, says Zijlma. "And electronic music is currently dominant in it," he grins. "The surrounding industry is also growing: tourism, producers, event organisers." There are plenty of opportunities for Dutch players, Zijlma thinks. "After all, the Netherlands plays a major role in the electronic music world. A good Indian partner is very important, though. Through our collaboration with Percept, we have a lot of expertise in India and we also reach the right scene."

ADE Director Richard Zijlma (Photo: Merlijn Hoek)

According to Zijlma, India is a place where there is room for innovation. "Our Indian partner Percept, initiator of the Sunburn Festival, organised The World's Biggest Guest List at the end of last year, for example. A benefit where Dutch DJ Hardwell played for free and visitors could donate money for the benefit of children from the slums. The event was also a world record attempt."

It's not just foreign DJs who will be punching the clock during ADE in Mumbai next month. "Absolutely not. We are bringing together the most exciting players in tech, media and entertainment in India and creating connections between key international players and the scene locally. Arjun Vagale from one of the leading DJ crews in India will be giving the opening keynote address. We will also be presenting, for example, Sandunes, the latest project from Indian DJ and producer Sanaya Ardeshir. I am also looking forward to the tribute to legendary Bollywood producer Charanjit Singh, who passed away in 2015. Singh was internationally ahead in using the latest technological equipment in his music. I expect an event with its own colour and character. It will be a nice mix."

Are you active in the cultural sector and do you want to export to India? We are happy to think along with you!