Post #10
IT & ITeS - Neutral
Industry Snapshot:
The Indian IT-BPM industry in aggregate is estimated at USD 146 billion in FY15, export segment of which is estimated at USD 98.5 billion, according to NASSCOM. IT Services exports are expected to grow at a moderate pace of 12-14% in FY16.
The nominal growth expectation is attributable to mixed set of economic data from the western markets which account
for about 80% of the income of Indian IT exporters and currency headwinds. While U.S. economy has recorded notable
recovery, economic fluctuation in Europe has been a cause of concern. The domestic IT services market meanwhile is
approaching USD 50 billion according to NASSCOM driven by growing e-commerce, under penetrated market in SMEs and government’s spending in e-governance projects.
Media and Entertainment - Positive
Industry Snapshot:
The Indian media and entertainment industry estimated to be at Rs.1,026 bn witnessed an overall growth of 11.76% in
CY2014 (period from January to December 2014). Of the total market size, the share of television and print media continued to garner highest share of 46.3% and 25.67% respectively, during CY2014. Other segments such as gaming and digital advertising animation & visual effects (VFX), albeit at nascent stage of growth, continued to exhibit strong growth rates.
Given the stimulus provided by the rollout of phase one & two of cable digital access system (DAS) and continued phase
three rollout, the television segment is poised to exhibit strong growth. Besides, with continued growth of gaming and
digital advertising media, strength in the film sector and the emergence of E-commerce as a significant new category, the
industry is slated to grow at a healthy rate in the near term.
Mining and Minerals - Neutral
Industry Snapshot:
The mining and metallurgical sector remains vital for the development and economic growth of the developing countries
and India remains geologically endowed with a number of mineral resources. Currently, In-metallic dia produces around 87 minerals, which includes fuel minerals, metallic minerals, non-minerals, atomic minerals and minor minerals. In India, the mining sector is dominated by coal comprising around 80% of the mined reserve, while the balance 20% comprises various other minerals which includes copper, iron, lead, bauxite, zinc, gold, uranium, etc.
Although the country is more or less self-reliant with respect to a number of minerals, a significant gap exists with regards
to a large number of critical minerals and metals such as coal, uranium, copper ore, etc, for which the country is partly or
largely dependent on imports. Various inefficiencies in the sector including policy lacuna, political interference, stringent
government regulations, environmental issues, lack of infrastructure and financing mechanism have hampered the growth
of the sector. Accordingly, the share of Indian mining and quarrying sector has been low around 2% of Indian GDP vis-àvis other mining nations having been around 5-6% of its GDP. It is estimated that every 1% increment in the growth rate
of mining and quarrying results in 1.2-1.4% increment in the growth rate of industrial production and correspondingly, an
approximate increment of 0.3% in the growth rate of India’s GDP.
In January 2015, the Government of India issued MMDR ordinance which supersedes the MMDR Act, 1957. The act
mandated the setting up of District Mineral Foundations (DMFs) and launched programs meant to provide for the welfare
of areas and people affected by mining-related operations, thus bringing reforms in the sector and thrust on fast-tracking
projects.
Non-ferrous Metals - Neutral
Industry Snapshot:
The base metal industry is bearing the brunt of the downward revision in global macroeconomic outlook. Muted
industrial activity along with sluggish demand outlook from the developing economies, persisting concerns of the slowing
Chinese economy and cheap imports are exerting pressure on the overall demand and subsequently the prices of these
metals. However, the changing socio-economic conditions and expected recovery of demand from the developed markets are likely to stabilize the demand for these metals in the medium term.
CARE expects prices of all base-metals to remain volatile on the back of the ongoing macroeconomic development in the Euro zone and other major developing countries. Chinese economic outlook and the strengthening of the US dollar vis-à-vis the other major currencies in the world is also likely to have its effect on the global base metal prices.
Oil and Gas - Positive
Industry Snapshot:
Oil and gas industry globally is divided into three major sectors viz
(1) Upstream (involves exploring and production of crude oil)
(2) Midstream (stores oil, gas and refined products as well as transports them to refineries) and
(3) Downstream (includes all refineries and petrochemical plants which converts the crude oil into various petroleum products).
India depends on imports for more than 80 per cent of its domestic crude oil needs.
Paper - Neutral
Industry Snapshot:
The Indian Paper Industry has three segments: Packaging paper and boards, Printing and Writing, and Newsprint. The
growth in the Indian paper industry is largely dependent on the rate of growth of the economy as well as growing literacy
rate and the government thrust on education-for-all. The Indian Paper Industry is highly fragmented and competitive in
nature. Large paper manufacturers have established their dominance in high-value segments like copier, coated packaging & board, while smaller units cater to low-value segments such as creamwove, kraft paper etc. Raw-material, energy and stores and spares (including chemicals) forms about 75-80% of the total operating costs for the paper industry.
Icon...
speculating on here 
. Carry on with guess work. Remember my post, you'll get to finally hear about that number I gave you, in January of next year. And then you can thank this daddy later. I leave you all alone to make a mountain out of some thin air as always, enjoy
