The excise exemption hike announced from Rs.1 cr. to Rs.1.5 cr. to SSI sector should have been enhanced to Rs.2 crore. Although credit limit to small scale sector has grown 20% which is hardly 9% of the total credit required by the small scale sector, the only consolation to SSI is doing away with surcharge.

The extension of MAT 10A and 10B may adversely affect the EOU and IT sector besides the increase in dividend distribution tax and extension of tax to mutual fund will adversely affect the capital market and investors.

Various excise incentives on readymades, food mixes, reduction on excise on petrol and petroleum products as well as doing away with import duty on steel scrap and coking coal are steps in right direction.

Introduction of rural bonds, increase in farm credit and support to NABARD by hike in bond limits will benefit the small scale sector and also generate employment.

However, AIAI feels the Finance Minister could have given boost to the manufacturing sector by introduction of investment allowance, which would have also generated employment as manufacturing sector has not generated much needed employment.

The reduction of 5% in the cost of freight with regard to foodgrains, fertilizers, steel and petrol and diesel products will bring down inflation and will further reduce cost of the products for Industry.

AIAI welcomes the announcement of the Railway Minister about the investment in three-storey freight containers, investment of Rs. 2500 cr to upgrade container and increase of container traffic by five fold to 100 MT. is need of the hour in view of the growing import-export cargo and the issue of 15 private container licences along with the various other expansion plans such as additional lines, increase of wagons and containers programmes besides construction of freight corridor.

AIAI feels reduction in freight could have been more in view of 17% increase in freight and railway carrying 80 MT additional load. However, dedicated railway line for coal mines and power plant is step in right direction.

As railways are connecting major ports such facilities should be extended to minor ports also as their need is same as existing ports.

However the reduction in fares across the board as well as laying emphasis on passenger traffic in view of competition by air traffic is a step in right direction.

We are looking for peace and understanding in the neighbouring countries and world. It is over a decade and we hope we will have peace in our country, said Mr. Gul Hussain Ahmadi, Consul General of Afghanistan while speaking at the meeting organized by the All India Association of Industries (AIAI) on World Understanding Day in association with World Trade Centre (WTC) and Rotary Club of Mumbai South.

Mr. Ahmadi further said that peace and stability promotes trade economic activities and growth which is imperative for country like Afghanistan.

Mr. Peter Forby, Consul General of Australia said it is important to have peaceful situation in the country for economic activities to promote trade and world understanding.

Mr. Herman Merckx, Consul General of Belgium said that one should emulate example of European Union which commenced with the union of 15 countries and now have 27 countries as members of the Union with proper understanding, same code and same format of working. The emergence of European Market is one such grand example of promoting peace and stability through trade and also having close relation and better understanding among the neighbour and neighbouring countries.

Ms. Nabila I. Farhana, Consul General of Arab Republic of Egypt said that terrorism should be curbed at any cost as terrorism is not an answer to any problem.

Mr. Hyosuke Yasui, Consul General of Japan said inspite of the First and Second World Wars and the resultant discord, the idea that only trade can eradicate animosity and bring prosperity amongst nations is receiving universal acceptance. If such events are held all over the world, it will have cumulative effect and all that is harsh and dissonant in the world will melt into one sweet harmony. Japan has learnt hard way to growth, but has been successful in economic development.

Mr. Vijay Kalantri, President, All India Association of Industries (AIAI) said the motto of trade and industry organization is to have world understanding for solidarity, peace and stability for better economic activities and trade.

Mr. Kalantri further added that interaction between the people is very important because interaction helps to promote better understanding and a proper framework in promoting trade. In the course of trade, empathy towards difficulties of the other side is developed which helps to resolve problems and to eradicate animosity.

Mr. Jagdish Khanna, Former Governor, Rotary International said that it is the foundation day of Rotary and world over Rotarians celebrate World Understanding Day to promote better understanding between countries and people.

Consul Generals of various countries such as Srilanka, Yemen, Italy, Indonesia, Madagascar, New Zealand, Haiti, Germany, Romania also attended the function and spoke on the occasion.

"Late Shri Mahatma Gandhi is a universal authority for non-violence, struggle for solidarity and even today in reality, the methods of Satyagraha used by him are correct and one can follow them to bring peace and stability to the world as a whole and not just individuals. If one wants to fight corruption one must get united, not in the name of religion, not through political party but it has to be a citizens' movement to fight this epidemic," said H.E. Mr. Lech Walesa, Former President of Poland and winner of Noble Prize for Peace during a reception organized in honour of His Excellency by the All India Association of Industries (AIAI), Indo Polish Chamber of Commerce & Industry (IPCCI) and World Trade Centre (WTC) at Mumbai.

Mr. Walesa said the decisive and aggressive action and efforts of the US after the 9/11 episode were very correct otherwise much more damage would have been done to the world by the terrorism, if US would not have acted firmly. The next target would have been Moscow by Chechanya activists. Any sort of terrorism should be curbed irrespective of who is doing and who is behind it.

"When I fought the struggle for democracy, economic reforms, market economy with the sole criteria that everybody should grow, but still I am being misunderstood by some. But in years to come, my countrymen and those who opposed me shall realize that my motives and intention were in the interest of my countrymen", said Mr. Walesa.

Mr. Walesa said that after the Second World War, Soviet Union wanted to dominate European Bloc and we were the suppressed lot. The Soviet Union through their soldiers and satellite communication controlled us but it could not last long as they were not capable. Such events evoked motivation and I could break the barriers of communism, bring in market economy against the wishes of many. What I wanted was "when Europe was united, US was united why couldn't we?" My fight was for unity, freedom for all and freedom of economy. The world of borders can not be sustained in view of high technology and consciousness among the people because of education.

Mr. Walesa, while speaking on Russia said, its a big country and has passed through lot of problems during transition period from communism to reforms but it survived because of plenty of natural resources. In fact, we should go in for globalization for peace, prosperity and co-operation to everybody's well being.

Mr. Walesa said I would like to create history. I am not a religious leader nor a fanatic. There is only one God. So why fight in the name of religion and divide the Society, he stressed.

He was worried about growing gap between the Least Developed countries like Africa of which the developed world is not aware and not looking at it. There will be a revolution if we neglect the Least Developed countries who are amongst the have nots. In the name of globalization, one should not take undue advantage but bring in upliftment of the downtrodden. His fight in this regard would continue, said Mr. Walesa.

It may not be out of place that I lost my next Presidential election in 1995 because of my principle for Democracy and betrayal by my close associates and so called well-wishers but I could not speak openly at that time or else they would have killed me. Today, the situation is different so I am speaking, said Mr. Walesa.

Mr. Vijay Kalantri, President, All India Association of Industries (AIAI) said here is a man who brought in Democracy from Communism, fought for countries in East Europe against racial discrimination and have risen from a mere electrician to the highest position in the country and won the Nobel Prize for Peace. One feels elated to be in the company of such an inspiring personality. We have a lot to learn from Mr. Walesa, who is the role model for the modern world.

Mr. Kamal Morarka, President, World Trade Centre (WTC) said that after King Martin Luther, Nelson Mandela, Thomas Jefferson and Mahatma Gandhi who all fought for peace and freedom, if I could recall any name I say with pride, it is Lech Walesa who has changed the course of history.

Mr. Ashok Chavan, Minister of Industry (Cultural Affairs), Government of Maharashtra said we are proud to receive Mr. Walesain our city. There are very few revolutionary politicians like Mr. Walesa and we need more of such people in this world.

Mr. Y. R. Warerkar, Director, World Trade Centre (WTC) proposed the vote of thanks.

Mr. Janusz Bylinski, Consul General of the Republic of Poland in Mumbai was also present and spoke on the occasion. The meeting was well attended by leading Industrialists, Government officials and dignitaries from all walks of life.

Socio-Cultural Section of Indonesia Embassy in association with the All India Association of Industries (AIAI) showcased the Indonesian culture by organizing Indonesian Night and Fashion Show at Taj Mahal Hotel and Palace - Mumbai. Ms. Carmanita an Indonesian Designer showcased the contemporary design of Indonesian Batik.

All the garments that were showcased were very graceful and very well presented by the Designers and the Indian models.

Mr. Budi Ermawarn, Trade Attache, Indonesian Embassy said that this is the first time we are organizing with AIAI and look forward similar events with AIAI to present old and commonality of both the countries.

Mr. Vijay Kalantri, President. AIAI said there are lot of common culture between Indonesia and India and we share common culture and culture has a big force to bind two countries which also results into better prospects for trade and investments. Next year we are proposing to organize with the Indonesian Consulate a Fashion Show with Beauty Contest.

This event could be regarded as a contribution of Indonesian society to the global effort to make the world a more peaceful and harmonious place to live in through the promotion of cultural interaction among nations. The United nations has in fact given the highest priority to such an effort.

The event will also provided the opportunity for the public, the fashion industry and international community in India to take a closer look to the traditional and contemporary design of Indonesian Batik, with a view to seek any possibility of enhancing co-operation in the fashion industry of the two countries.

Mr. Baptista Tito Dos Santos, Consul General of Indonesia, and Government officials were present at the show. The Fashion Show was very well attended by people of all walks of life.

There are tremendous opportunities for Indian companies for close co-operation with HEBEI province in sectors such as textile machinery, construction machinery, pharmaceuticals, chemicals etc and other regional products said Mr. Jianjun Liu, Secretary General- Hebei Enterprise Directors Association during a meeting organized by the All India Association of Industries (AIAI) and World Trade Centre (WTC).

Mr. Liu further added that India China bilateral trade reached US$ 13.65 billion in January-July 2006, representing an increase of 26.8% over same period last year. India registered a trade deficit of US$ 1.24 billion during the period January -July 2006 as against a trade surplus of US$ 1.42 billion in the corresponding period of 2005. The trade deficit was on account of a massive increase in India's imports by 59.47 per cent to reach the level of $ 7.45 billion during this period. India's exports at US$ 6.2 billion registered a marginal increase of 1.81 percent. During this period, India's exports to China increased marginally to touch US$ 6.2. billion while imports from China increased to US$ 7.45 billion.

Mr. Vijay Kalantri, President, All India Association of Industries (AIAI) in his welcome address that China is the 2nd largest partner of Indian. The four day visit in November this year of Mr. Hu Jintao, president of China to India marks a significant step forward in India-China relations. The leaders of the two countries noted with satisfaction the all round progress made in recent years in India-China relation and their regional and multilateral co-operation. Both Indian and China proposed a 10 point strategy in bilateral relations to promote socio-economic development of the two countries and to fully realize the substantial potential of their co-operation in a wide range of areas.

Mr. Kalantri further added that India China will endeavour to raise the volume of their bilateral trade to US$ 40 billion by 2010. India China will make joint efforts to diversify their trade basket, remove existing impediments and optimally utilize the present and potential complementarities in their economies.

Mr. Y. R. Warerkar, Director, MVIRDC - World Trade Centre proposed the vote of thanks.

India and Romania have set a target of $ 1 billion trade in the next two years. The target could be reached through increased collaboration between the two countries. Indo-Romania bilateral trade grew to $ 450 million in 2005, an increase of 69% over the previous year. India-Romania trade, which stagnated during 1999-2001, is again on the upswing. In 2004, trade between the two countries grew by an impressive 103%, as compared to 2003. The two countries can elaborate in the areas of drugs and pharmaceuticals, iron ore, machinery and instruments, iron and steel and inorganic chemicals. India has the capabilities and capacities to diversify our trade basket to include non-traditional niche products said Mr. Dorin -Stefan Refca, Counselor, Ministry of Economy and Commerce, Asia-Oceanic Division, leader of the High Level Delegation from Romania while addressing the All India Association of Industries (AIAI) and World Trade Centre (WTC).

Mr. Refca further said that we are looking for Investing partners from India in sectors such as steel, pharma and textiles to enable them to take advantage of the European Union market and there are some units available for privatization. The special economic zones recently set up in several Indian states provide internationally competitive business environment. The Romanian industry can seriously consider the opportunities to invest in these zones and benefit from the preferential policies of the Indian Government.

Mr. Vijay Kalantri, President, All India Association of Industries (AIAI) said that there are tremendous opportunities for investing in Romania. Tourism can be one important sector for economic co-operation between India and Romania apart from the already existing areas like drugs, pharmaceuticals, inorganic chemical, machinery and instruments among other. Bilateral trade in anticipated to cross the one billion dollar mark within 2-3 years.

Mr. Y. R. Warerkar, Director, MVIRDC - World Trade Centre proposed the vote of thanks.

There are tremendous opportunities for Indian Information technology companies to set up a shop in Virginia. Some of the important 12 Indian companies are already existing such as Infosys, TCS, Patni and others and there are tremendous opportunities in areas for distribution, food processing, automobile, plastic and electronic said Ms. Kimberly B. Weir, International Investment Manager of Virginia Economic Development Partnership during a meeting organized by the All India Association of Industries (AIAI) and World Trade Centre (WTC).

Ms. Kimberly further added that Virginia has the 2nd largest port in US and has good connectivity by rail and road and as such serves as a biggest distribution centre for US. The Governor of Virginia is also proposing to visit India in April 2007.

Mr. Vijay Kalantri, President, All India Association of Industries (AIAI) in his welcome address said that US is India's largest trading partner specially in IT, automotive and other areas. We are looking forward for more and more opportunities for export to US.

We shall be happy to work in close co-operation to promote bilateral trade between India and US.

Mr. Y. R. Warerkar, Director, MVIRDC - World Trade Centre proposed the vote of thanks.

While addressing a high level delegation from France Mr. Jean Charles Demarques, Consul General of France said that there are tremendous opportunities to work together between Indian and France in areas of High-tech, Technology transfer and joint ventures at a programme organized by the All India Association of Industries(AIAI).

Mr. Demarques further said that I see lot of enthusiasm and there has been good interactive and B2B meetings between French industrialists and Indian counterparts and I am confident that this will result in both business prospects in near future and yield fruitful results and give impetus to trade between India and France.
Mr.Demarques further added that France is very keen in doing business with India. In view of India's growth story, they would like to partner with India and not like to be left behind.

Mr. Vijay Kalantri, President, All India Association of Industries (AIAI) said that we could work with French companies in areas of automation, textile, engineering, biotech and use their expertise which will help us in becoming competitive in the Global scenario.

Mr. T.S. Bhattacharya, Chairman & Managing Director, State Bank of India and other bankers, over 200 Industrialists, Consular corps and others attended the function.

A high powered delegation of the Polish Information and Foreign Investment Agency or PAIiIZ led by Mr. W. Szelagowski, Vice President during a meeting organized by Indo Polish Chamber of Commerce & Industry (IPCCI) in association with All India Association of Industries (AIAI) said that Poland is keen on inviting investments in IT & BPO sectors from India in view of the India's global brand image in this sector and some of the Indian companies are already operating in Poland.

Mr.Szelagowski said that Polish Government is keen that Indian businessmen set up their offices in Poland and will give them every assistance. He further added that it takes not more than two to three weeks to start any business and it is also cheaper to do business in Poland compared to the rest of Europe. The delegation would like to tell the Indian businessmen about the investment opportunities and facilities available in Poland and the areas in which they can participate. He said that they have a vast pool of well qualified students who can join Indian companies and Poland is also very advanced in R & D.

Mr.Janusz Bylinski, Consul General of the Republic of Poland said that trade between India and Poland is growing and the Consulate and the Embassy will be keen to help in whichever possible way to increase bilateral trade between both the countries.

Mr.Vijay Kalantri, President, Indo Polish Chamber of Commerce & Industry (IPCCI) and All India Association of Industry (AIAI) while welcoming the delegation said that the Poland is the focus area of our organization for promoting trade and the trade which is US$ 560 million now, will double in next 3 years specially in sectors of Information Technology (IT), BPO, textiles, pharma and automobile.
Mr.Jerzy Midak, Consul for Trade and Promotion Affairs was also present at the meeting.

Mrs.Rupa Naik, Executive Director, IPCCI and AIAI proposed the vote of thanks.

While inaugurating the 4th China Products Exhibition 2006 organised by the All India Association of Industries (AIAI) in association with WORLDEX, Mr. Song Deheng, Consul General, Consulate General of the Republic of China said that after the recent visit of President H.E. Hu Jintao of China, who visited India two weeks ago, pushed Sino-India relation to a new high. Mr. Deheng pointed out that both China and India are endowed with historical opportunities for accelerating their development. He hoped that the two countries seize hour and siege minute to expand economic co-operation and promote bilateral trade to greater scope, thus contribute to the development of our respective countries and flourish Asia. For this purpose, President Hu put forward a 5-point proposal for promoting China-India economic and trade co-operation. The first proposal was to promote trade diversification. India and China have set a goal of US$ 40 billion bilateral trade by 2010.

He further added that having held successfully three Chinese Product Show since 2004, CCPIT has done a wonderful job in pushing forward the Sino-Indian bilateral trade and that China Product Exhibition 2006 will continue to play greater role in this regard.

Mr.Wu Hemin, Vice Mayor of Ningbo Municipal People's Government said that we are looking forward for close co-operation with Indian counterparts for promoting bilateral trade for mutual interests.

Mr.Vijay Kalantri, President, All India Association of Industries (AIAI) in his welcome address said that China is the 2nd largest partner of India in the world. This is the fourth consecutive year that we have organized the China Products Exhibition in India and it is generating an overwhelming response as more than 130 companies and 170 delegates are participating in this multi product exhibition and there are lot of areas of synergy and co-operation for working together.

Mr.Bai Mingshao, Vice Chairman of CCPIT Guangdong Sub-Council, Ms. Zhao Wenhing, Vice Chairperson of CCPIT Commerce Sub-Council and Mr. Zhang Hanchu, Ningbo Sub Council-Chairman of CCPIT were also present at the event.

Technology transfer, joint ventures in the area of Energy such as Gas, Power and Oil are the thrust areas for co-operation between India and Iran said Mr. M.Marvi, Deputy for Energy in President Office (TCO) while addressing an august gathering of top industrialists at meeting organized by All India Association of Industries (AIAI).

Mr. M. Marvi, further said that India possesses the capability and the competence in these areas and by joining hands with India, both countries will prosper and enter new era of co-operation.

Mr. Marvi further added that the latest LNG, Gas and Oil deals between India and Iran along with different projects in steel industry, tourism, free trade zones and oil products are the most important fields for bilateral co-operation.

Mr.Marvi further said that exploration as well as small scale ancilliarisation is the need of the hour. The bilateral trade figures presently, is US$ 5 billion annually. While this has traditionally been predominated by the hydrocarbon sector, recent years have seen a significant increase in its diversification to other sectors. Sectors like cement and aluminium have shown some success in the form of joint ventures. An Agreement in the area of LNG was recently entered into and has been appreciated by the Iranians. The recent official visit of H.E. Dr. Manouchehr Mottaki, Hon'ble Minister of Foreign Affairs of Islamic Republic of Iran to India will only boost the bilateral relations.

Mr. S.M.H. Emami, Head of Division of Downstream -TCO said that Investment opportunities in the field of petrochemical could be tapped by the Indian companies as it also has access to chemical from the Middle East. Iran is the second largest oil reservoir and there could be many areas of co-operation between India and Iran in the downstream in petrochemical sector.

Mr.Mohammed Shokrani, Consul General of Islamic Republic of Iran while speaking on the occasion said that the old and continuous friendly relations between Iran and India in different fields, provide good opportunities for further co-operation in areas of mutual interest. The bilateral economic relations during the past decades have always been very good.

Iran is keen to develop co-operation in areas such as steel industry, pharmaceuticals, textiles, automobiles, telecommunications and Information Technology.

Mr.Vijay Kalantri, President, All India Association of Industries (AIAI) in his welcome address said Iran is an important partner for India and we look forward to the laying of the Iran Gas pipeline as it will not give impetus to growth in every sector.

Mr. Kalantri further added that the assurance of the pipeline coming up soon the bilateral co-operation between both countries will reach newer heights.
The meeting was well attended by Industrialists and officials from various sectors.

There are tremendous opportunities between India and Poland specially in the field of textiles, pharma, construction, building material, agro based products and Information Technology said Ms. Hanna Zdanowska, Director, Lodz Chamber of Industry & Commerce while addressing the members of Indo Polish Chamber of Commerce & Industry (IPCCI) and World Trade Centre (WTC) in Mumbai.
Ms.Zdanowska, leading 20 member high level business delegation to India stated that they are keen to promote bilateral trade with India and also are seriously looking at technology trasfer and joint ventures between the business community of both countries.
Ms.Zdanowska said there is lot of commonlity between India and Poland and the Polish would like to deal with India on long term basis and concentrate on trade with India as India is a reliabel trade partner and she hopes that the trade will double in the next 3 years, as it has been growing since the last two years.
Mr. Vijay Kalantri, President, IPCCI said Poland and India have signed a co-operation agreement aimed at boosting trade and investment between the two countries. Trade between India and Poland was worth $512 million in the first eleven months of 2005 with balance of trade in favour of India. Trade with India currently accounts for a meager 0.25 percent of Poland's foreign trade.
Polish exports to India including defence industy products and industrial machinery were worth $ 177 million in the eleven months of 2005. the value of Polish imports from India including textiles and chemical products was $335 million in the same period.
The profile of India's export basket to Poland id fairly diversified. Our major exports have bulk tea, coffee, unmanufactured tabacco, de-oiled cakes, black pepper, cotton yarn, cotton textiles, made-ups and apparel, jute manufacturers, mica and mica products, light engineering products like hand tools and consumer electronics and some machinery tools and textile machinery.
India's major imports from Poland have been equipment for power stations, railway equipment such as wheel sets, rails etc. Coal mining machinery, ships and ship engines, machine tools, other capital goods and commodities such as cooking coal, sulphur, rapeseed oil, chemicals and pharamaceuticals, ferrous and non-ferrous metals.
Mr. Y.R. Warerkar, Director, MVIRDC - World Trade Centre proposed the vote of thanks.

Mauritius offers tremendous business and investment opportunities in thrust areas such as