Swedish tech RSP expanding operations in India
Author: BI Bureau
New Delhi: Swedish tech giant Robot System Products (RSP) is setting its sights on India for an enhanced operational footprint, coupled with plans for a potential manufacturing hub.
RSP has opted to amplify its presence in India, marking a stark departure from its 2018 decision to shutter operations in China. This decision came despite China leading the world in industrial robot consumption with annual sales hitting an impressive 250,000 units. In stark contrast, India currently boasts a more modest figure of 5,500 annual industrial robot sales.
The company has recently established a subsidiary in India, with local partner Arvind Vasu, scion of the TTK Group in Chennai, holding a significant stake. While currently in the exploratory phase, Vasu indicates that RSP India is seriously considering the establishment of a manufacturing unit in the near future.
Eddie Eriksson, President of RSP, highlights that mounting concerns over climate change are prompting Western companies to decentralize manufacturing, aiming to reduce transportation-related carbon emissions. In this strategic move, RSP has selected India as its preferred destination for expanding operations.
"In the western world, we feel that China doesn’t feel as secure as it used to be," notes Eriksson, adding that "China is not low cost anymore."
Specializing in crafting components like grippers and cable management systems, RSP does not manufacture industrial robots itself. However, its products are designed to seamlessly integrate with robots from various brands, positioning RSP as a robot-brand-independent provider.
Despite India's comparatively smaller market size, RSP remains bullish on its prospects. Arvind Vasu underscores the potential by pointing out, "Robot density in India (number of robots divided by the number of employees) is 4; in most other countries, it is 30 and above." This observation underscores the significant growth opportunities RSP envisions in the Indian market.
/BI
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The exports of agricultural commodities from March to June 2020 shot up by 23.24 percent on-year to Rs 25,552.7 crores.
As the economy comes to a standstill amid the coronavirus-led lockdown, India’s agriculture sector has taken the baton of economic growth in its hands. The exports of agricultural commodities from March to June 2020 shot up by 23.24 percent on-year to Rs 25,552.7 crores, according to the Ministry of Agriculture & Farmers Welfare. The government said that self-reliant agriculture is critical for the goal of an Atmanirbhar Bharat and for this, agricultural export is extremely important as besides earning foreign exchange for the country, the exports help farmers, producers, and exporters to take advantage of the wider international market and increase their income.
The surge in exports has also resulted in increased production in the farm sector by increasing coverage area and productivity. The share of India’s agricultural exports and imports in the world agriculture trade in 2017 was 2.27 percent and 1.90 percent, respectively. Even during the difficult time of pandemic lockdown, India took care not to disturb the world food supply chain and continued to export, the government said.
Ministry of Agriculture has prepared a comprehensive action plan for the promotion of Agri trade; the twofold approach focuses on boosting Agri Export with emphasis on value addition and action plan for Import Substitution. Recently, the Agriculture sector has witnessed a series of reforms, giving more choices to the farmers to sell their produce at competitive rates.
To mention a few, the Export strategy focuses on the export promotion of fast-evolving niche markets of Wellness food/ Health-conscious food/nutraceuticals, Development of “Brand India” in campaign mode to help penetration into new foreign markets and of new products which automatically translates into higher value realization, Gulf countries have been identified as focus destination to increase the market share which is a strong market for India though presently India caters to only 10-12% share of their total imports. A product-market matrix has been made containing a list of products of strength that could be expanded in new geographies and a list of known markets which can be introduced with newer products.
At the behest of the Department of Agricultural Cooperation & Farmers’ Welfare, Ministry of Agriculture, product-specific Export Promotion Forums have been created to lead Agri exports to new heights. Each Export Promotion Forum shall be having exporters of the related commodity as its members along with official members representing concerned Ministries/Departments of the Central and State Governments. Chairman APEDA shall be the chairman of each of these forums. The forums will meet at least once every two months, to discuss recommendations on issues pertaining to the export.
The recommendations of the forum will be placed in the product committee / Authority of APEDA. The Forum will keep in close contact with the concerned organization of the Ministry of Agriculture such as MIDH, Extension, NPPO, etc., DGFT, Ministry of Civil Aviation, MoFPI, etc. to further the interest of agricultural export.
