Indian Projects worth USD 500 billion?
India is seeing tremendous growth across many industries and along with it is seeing an increase in mega projects. The estimated value of the Indian infrastructure projects is around USD 500 billion. The major chunk of these projects constitute infrastructure projects. Here are some of the project details;
Arcelor Mittal's Jharkand plant ready to take off?... Project value - USD 20 Billion
Government identifies 10th ultra mega power project. The total cost of all these power projects = 1000000 Crores of Indian Rupees :-)
Reliance Industries, Jamnagar refinery expansion project - US$ 5.7 billion, to emerge as the world's largest single location refinery
TATA Nano, the world's cheapest car
Boeing and Tata JV to make aerospace parts
Why do India and other emerging markets are experiencing investment in these large projects?
These projects are becoming mandatory to sustain the enviable growth rates achieved by India (average 9% growth). In most of the places, the current infrastructure cannot support additional growth. Coupled with this, India need power to sustain it's growth. The attempt by the current government to sign an MOU with the US for nuclear cooperation did not materialize due to the opposition by the communist party of India. This situation will trigger the scope for more power related infrastructure projects.
Impact of these projects on community?
The impact of these projects on community are mixed. While the new projects benefits millions of Indians it has it's negative effects as well. A recent survey reveals that 77% of the Indian population failed to benefit from the boom. Ensuring the sharing of the benefits of the growing economy is a big challenge every Indian has to face, else it will increase the ditance between the haves and the have nots. Most of the mega infrastructure projects, diplaces the villagers from their natural habitats, depriving them of their livelihood and quality of life. Here are two classic examples of these;
How can project managers round the world can take advantage of the mega projects happening in India?
Yes, definitely this is a great opportunity for project managers with global exposure to venture into India. Especially in civil engineering, the Indian project managers lack exposure to the demands of these mega projects (technology, scales). This gives ample opportunities for project managers with international exposures to pitch in (20% of the pilots in India are non-Indians).
If you are a project manager on a mega project in India or another emerging market, what are the risks and how can best mitigate them?.
Arcelor Mittal's Jharkand plant ready to take off?... Project value - USD 20 Billion
Government identifies 10th ultra mega power project. The total cost of all these power projects = 1000000 Crores of Indian Rupees :-)
Reliance Industries, Jamnagar refinery expansion project - US$ 5.7 billion, to emerge as the world's largest single location refinery
TATA Nano, the world's cheapest car
Boeing and Tata JV to make aerospace parts
Why do India and other emerging markets are experiencing investment in these large projects?
These projects are becoming mandatory to sustain the enviable growth rates achieved by India (average 9% growth). In most of the places, the current infrastructure cannot support additional growth. Coupled with this, India need power to sustain it's growth. The attempt by the current government to sign an MOU with the US for nuclear cooperation did not materialize due to the opposition by the communist party of India. This situation will trigger the scope for more power related infrastructure projects.
Impact of these projects on community?
The impact of these projects on community are mixed. While the new projects benefits millions of Indians it has it's negative effects as well. A recent survey reveals that 77% of the Indian population failed to benefit from the boom. Ensuring the sharing of the benefits of the growing economy is a big challenge every Indian has to face, else it will increase the ditance between the haves and the have nots. Most of the mega infrastructure projects, diplaces the villagers from their natural habitats, depriving them of their livelihood and quality of life. Here are two classic examples of these;
How can project managers round the world can take advantage of the mega projects happening in India?
Yes, definitely this is a great opportunity for project managers with global exposure to venture into India. Especially in civil engineering, the Indian project managers lack exposure to the demands of these mega projects (technology, scales). This gives ample opportunities for project managers with international exposures to pitch in (20% of the pilots in India are non-Indians).
If you are a project manager on a mega project in India or another emerging market, what are the risks and how can best mitigate them?.
- So far, most of the foreigners have seen India in the capacity of either as a boss or collaborator or customer. Being a team member of an Indian project team can be a new experience. One has to be mentally prepared for it.
- Getting things done here is time consuming. One has to adjust to it.
- Government systems are not very transparent
- And, it is one of the biggest democracy. Everyone is aware of their rights :-). Human rights activists are very strong
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