Friday, January 01, 2010

2010: Industries to watch in India

2009 was a year when smarter companies equipped themselves by tightening their belts, and by enhanced performance oriented systems. As a result of holding back, even though the economy might take time to revive itself to its heydays, 2010 promises to be a year of job creation!

1. Power Sector

2010 is slated to see a slew of power IPO's -eg NTPC, Jindal, Sterlite, REC are collectively expected to raise more than Rs 27000 crores over the year-which is almost equal to the amount raised by power in the last 2 years!!

2.Heavy Infrastructure

Nearly one lakh crore worth road projects are up for award presenting opportunities. One can imagine the spurring demand for professionals in the areas of project management, especially mega projects and CFOs with big ticket fund raising expertise apart from project specific niche areas.

3. Automotive

The automobile sector seems to be back on track with several global majors vying for the local market with a shift in focus to smaller and more fuel efficient vehicles even as the top end market continues to expand in India.

Hyundai wants to turn India into its small-car export hub. Fiat plans to source $1 billion of parts from India. General Motors, Renault-Nissan, Toyota, Suzuki and Volkswagen are building new factories or expanding their existing operations. Add Tata Motors and Mahindra’s plans, one can expect a lot more action!

4. Education

There is now a clear recognition that the domestic supply of higher education in India is unduly constrained. A key issue has been the question of entry of foreign educational institutions into higher education in India.

One has seen an increasing interest by PE funded enterprises making their foray in primary education (read affordable schools) and so there would be a lot of action in the remedial tutoring field. Add that to the competitive and professional education, the demand for teaching professionals augurs well.

I reckon we shall be seeing a lot more segmentation happening- for adult education, and vocational training, and cross pollination of experienced professionals moving from the industry too, soon thereafter.

5.The Green sector

Though these are early days yet, for sheer potential, renewable energy, environment management, water and waste management, carbon trading and other climate related sectors as the government and the private sector gets its act right. With US Prez Obama's penchant for clean energy, one could expect some of the initiatives triggered by the $50billion stimulus package into clean and energy efficiency measures, I am bullish some of the investments would create jobs in India!!

Further, one can imagine there would be a demand for expatriate executives and returning Indians as local expertise is lacking or non existent in the domain.

Sectors like healthcare and FMCG continue to be robust, while we see increased action in areas like telecom-which will call for new skills!!

Indian telecom markets are likely to undergo a tectonic shift with the introduction of new licensees, mobile number portability (MNP) and the launch of 3G services all scheduled in the next one year. New players will nibble at the market share of the incumbents, the rural markets will provide the growth....

I feel I shall need to devote another post to the kinds of jobs that would be on offer :-)!

At this juncture, 2010 seems to be a promising year!! Happy New Year!


1 comment:

arun said...

Bang on target! Today's papers mention that Maruti Suzuki sold more than 1 lac cars in one month! The first time any company did this in India. And their sales increased by 50% in December, 09 compared to December, 08. Similar is the story with Tata Motors who increased sales by 100% in Dec, 09 compared to Dec, 08.

Its all the more significant as normally automobile sales in December will be very sluggish! We can easily surmise that the economy is back on tracks as cars are bought by people from all the sectors and the booming sales reflect/confirm that the recession is definitely over at least in India! May we expect "normalcy" in job market?!

I would also include FMCG as well as Healthcare...we can't live without paste and penicillin!

Arunn Bhagavathula