The Indian government has launched a five-year mission to boost cotton productivity, focusing on extra-long staple cotton, improved fiber quality, and revitalizing the textile industry. With goals like achieving 1,000 kg yield per hectare through techniques like High-Density Planting System (HDPS), the initiative aims to bridge the productivity gap with global leaders. Key strategies include introducing climate-resilient seed varieties, expanding crop insurance under PMFBY, and promoting Kasturi Cotton as a premium global brand. This comprehensive approach seeks to reduce import reliance, strengthen exports, and ensure better incomes for farmers. Finance Minister Nirmala Sitharaman has introduced a five-year initiative to boost cotton productivity, providing crucial support to farmers grappling with low yields. The mission focuses on increasing the production of extra-long staple cotton, enhancing fiber quality, and revitalizing India’s textile industry. This announcement was made as part of the Union Budget for FY26, presented on February 1, 2025. Given that cotton plays a central role in India’s agrarian economy and textile sector, the initiative is expected to have great benefits. Union Minister Giriraj Singh announced in October 2024 that the government has set a target of achieving 1,000 kg of cotton yield per hectare across 11 major cotton-producing states. This ambitious goal will be pursued by replicating the High-Density Planting System (HDPS) successfully used in Akola, Maharashtra. The HDPS technique involves planting more cotton plants in a smaller area, significantly improving yields. By adopting this method, the government aims to bridge the gap with global leaders such as China, Australia, and Brazil, where cotton yields range from 2,000–2,200 kg per hectare. To achieve this goal, the Cotton Corporation of India (CCI) has been tasked with identifying one district in each state for cotton productivity trials. These trials will allow for the implementation of best practices and provide valuable insights into the effectiveness of high-yield strategies before broader adoption. Cotton being one of the India’s most significant fiber and cash crops, supports the livelihoods of nearly 40–50 million people engaged in its cultivation, processing, and related industries. As the backbone of the cotton textile industry, it plays a crucial role in both agricultural and industrial sectors, contributing significantly to employment and exports. Source: TradeMap, Values in US$ billion at HS 52 India leads the world in terms of cotton production, with 120.69 lakh hectares under production. However, only 33% of this area is irrigated, while 67% relies on rainfall, making cotton crops vulnerable to erratic weather patterns. Despite being the largest producer globally, India ranks 38th in productivity, with an average yield of just 510 kg per hectare—far below international benchmarks. Challenges in Cotton Farming Cotton farming presents considerable challenges due to its high water consumption and environmental impact. In India, where water scarcity is a major concern, cotton farmers struggle with low yields and financial instability as the crop demands significant water resources. Producing just one kilogram of cotton requires approximately 7,000 to 10,000 liters of water—the equivalent of making a single t-shirt and a pair of jeans—placing immense strain on water supplies, particularly in arid and semi-arid regions. Globally, cotton farming covers only 2.6% of cultivated land yet consumes up to 10% of the world’s agricultural water. To mitigate these issues, adopting more efficient irrigation techniques is essential for improving sustainability and securing farmers’ livelihoods. Efficient irrigation methods and drought-resistant varieties can help optimize water use. A major challenge in cotton farming is also the growing resistance of pests to genetically modified crops. The introduction of BT cotton initially brought significant benefits, such as reducing insecticide use and doubling yields. Today, more than 80% of Indian cotton farmers depend on BT cotton. However, pests like the pink bollworm have developed resistance, reducing its effectiveness and threatening productivity. This growing resistance underscores the need for integrated pest management strategies and more sustainable farming practices to protect yields and ensure long-term viability. Moreover, continuous cotton cultivation depletes soil nutrients, reducing productivity. Another major challenge is outdated farming techniques that hinder cotton yields and fiber quality. Limited access to modern practices results in inefficient planting, poor pest control, and lower productivity. Additionally, a growing labor shortage in agriculture exacerbates these issues, making it harder for farmers to manage labor-intensive tasks like planting and harvesting. Providing training programs, improved mechanization, and access to high-quality seeds can help enhance yields, address labor constraints, and benefit both farmers and the cotton industry. Climate change poses a growing threat, bringing extreme weather events that disrupt crop growth. Climate-resilient cotton varieties and precision agriculture techniques can help mitigate these risks. By adopting adaptive strategies, farmers can safeguard productivity and ensure long-term sustainability. India’s increasing reliance on cotton imports is yet another major concern. The Cotton Association of India (CAI) projects a 42% rise in imports to 2.5 million bales this year, while exports are expected to decline by 37% to 1.8 million bales. This trend not only affects farmers’ earnings but also impacts the country’s trade balance, making it essential to boost domestic production. Niranjan Chaudhari, a cotton farmer, highlights these issues: “Government support remains inadequate, leaving farmers exposed to risks. Market volatility and fluctuating demand create financial instability, making it difficult to secure fair prices. Sudden weather changes have led to new crop diseases, increasing cultivation costs, especially as labor expenses rise. As a result, cotton farming is becoming less viable, forcing many farmers to abandon it.” To address these challenges, the government has announced several measures aimed at improving cotton yields and ensuring long-term sustainability. A key initiative is the release of high-yield, climate-resilient varieties for 32 crops, including cotton. These improved seed varieties will be made available to farmers within the next three years and are expected to enhance resistance to pests and diseases while improving overall yield. The government has focused on expanding the coverage of the Pradhan Mantri Fasal Bima Yojana (PMFBY) to include more cotton farmers. This crop insurance scheme provides financial protection against losses due to adverse weather conditions, natural disasters, and pest infestations. By reducing the financial risks associated
OpenAI unveils GPT-4.5: A smarter, more reliable AI model
OpenAI has launched GPT-4.5, its latest AI model, offering improved reasoning, reduced hallucination rates, and better creative insights. Initially available to ChatGPT Pro users, the model will roll out to more users soon. Despite GPU shortages slowing deployment, OpenAI continues to push AI innovation forward. OpenAI has launched a research preview of its latest AI model, GPT-4.5, bringing improvements in reasoning, creativity, and accuracy. Available to ChatGPT Pro users and developers worldwide, the model will soon be accessible to ChatGPT Plus and Team users, followed by Enterprise and Edu users next week. OpenAI, the company behind ChatGPT, has been at the forefront of artificial intelligence innovation. Founded in 2015, the organization has introduced several groundbreaking models, including GPT-3, GPT-4, and GPT-4o, each enhancing the ability of AI to generate human-like text, understand context better, and assist with complex tasks. GPT-4.5 represents the next leap in this evolution, refining AI’s pattern recognition, reducing hallucinations (incorrect or made-up responses), and demonstrating improved creative problem-solving. One of the standout improvements in GPT-4.5 is its significantly lower hallucination rate. According to OpenAI, the new model has a hallucination rate of 37.1%, a notable drop compared to GPT-4o’s 61.8% and the o1 reasoning model’s 44%. This means GPT-4.5 is more reliable when generating factual information, making it a valuable tool for research, content creation, and professional use. Despite its advancements, GPT-4.5 does not yet support voice or video capabilities. However, it does allow users to upload files and images, making it more versatile for writing, coding, and problem-solving tasks. This aligns with OpenAI’s broader vision of creating AI models that can seamlessly integrate into various professional and creative workflows. OpenAI CEO Sam Altman described GPT-4.5 as “a giant, expensive model,” emphasizing that GPU shortages have been a major challenge in its rollout. “We will add tens of thousands of GPUs next week,” Altman shared on X, acknowledging the difficulty in predicting demand surges that put pressure on hardware availability. The release of GPT-4.5 reinforces OpenAI’s leadership in the AI space, coming just months after the launch of GPT-4o. As competition in AI continues to grow, OpenAI remains focused on pushing the boundaries of what AI can achieve, making it smarter, more reliable, and accessible to a wider audience. With AI becoming increasingly integrated into everyday life—from content creation to business operations—models like GPT-4.5 are shaping the future of how we interact with technology. As OpenAI continues its research and expansion, users can expect even more powerful AI tools in the near future.
AI in healthcare to add US$ 30 bn to India’s GDP
AI in healthcare is expected to add US$ 25-30 billion to India’s GDP by 2025, improving accessibility, diagnostics, and treatment, as per a recent Deloitte report. Government initiatives like the India AI Mission and the Digital Personal Data Protection Act, 2023, support responsible AI adoption and data security. AI adoption in healthcare (40%) surpasses sectors like FMCG and manufacturing but faces challenges like data security, regulatory fragmentation, and rural infrastructure gaps. The report noted that while India exports surgical consumables, it relies on imports for high-tech equipments. Investments in AI training, infrastructure, and policy reforms can enhance adoption, positioning India as a global AI healthcare leader. India’s healthcare sector is poised for a transformation, driven by AI and technology-driven innovations fueling rapid growth. According to a Deloitte report, the Artificial Intelligence (AI) in healthcare is expected to contribute US$ 25-30 billion to India’s GDP by 2025, significantly improving accessibility, diagnostics, and treatment outcomes,. As per the report, Government led initiatives including the India AI Mission and the Digital Personal Data Protection Act, 2023, are fostering a digitally empowered healthcare ecosystem while ensuring responsible AI integration and data security. The report, “Digital Healthcare – Top 10 Myths Debunked Digital Health & AI“, highlights that AI adoption in healthcare has exceeded 40%, outpacing sectors like FMCG (30%) and manufacturing (25%). Deloitte India Life Sciences and Healthcare Industry Leader Joydeep Ghosh emphasized that India’s digital healthcare landscape is evolving rapidly, driven by AI-powered diagnostics, MedTech innovations, and digital health records. India’s exports of surgical consumables and disposables reached US$ 1.6 billion in FY 2022-23, reflecting its growing global presence in the healthcare market. However, the report noted that despite advancements, AI adoption in healthcare is lagging behind the banking and financial services due to concerns over- Data security, Regulatory fragmentation, and Limited digital infrastructure in rural areas. Additionally, a shortage of AI-trained professionals complicates the seamless integration of these technologies into clinical workflows. The report noted that while India has emerged as a net exporter of surgical consumables, the country still remains dependent on imports for high-tech medical equipment, highlighting the need for a stronger domestic manufacturing base. It said that strategic investments in training, infrastructure, and policy reforms can accelerate AI adoption, paving the way for a technologically advanced and self-sufficient healthcare system. Mr. Ghosh said, “With targeted investments and focused policy advancements, India can become a global leader in AI-powered healthcare, elevating patient outcomes and accessibility.” India’s healthcare sector India’s healthcare sector has witnessed remarkable transformations over the past few decades, driven by advancements in infrastructure, technology, and accessibility. This progress has been fueled by dedicated efforts to achieve Sustainable Development Goals (SDGs) and a strong commitment to strengthening healthcare infrastructure. The government-led initiatives have played a crucial role in shaping the healthcare landscape. The National Health Policy provides a strategic framework for health system reforms, while the Ayushman Bharat-Pradhan Mantri Jan Arogya Yojana (PM-JAY) extends financial protection by offering Rs 5 lakh per family for secondary and tertiary care hospitalization to 104 million beneficiary families. Additionally, the Ayushman Bharat Digital Mission aims to establish an integrated and interoperable digital health infrastructure. The Digital healthcare platforms such as CoWIN, e-Sanjeevani, Arogya Setu, and e-Hospital have further enhanced accessibility and service delivery, ensuring healthcare reaches every corner of the country. Other Initiatives like mobile cancer detection hubs in Telangana and Uttar Pradesh, along with AI-driven diagnostic labs in Himachal Pradesh, are enhancing early disease detection and making advanced diagnostics more accessible and affordable. Regulatory reforms and supportive policies have also fueled growth in the pharmaceutical and medical technology sectors, fostering innovation and economic expansion. Additionally, the fragmentation in health service financing has significantly reduced over the years due to the increasing reach of government health insurance schemes and social security initiatives. Furthermore, the transition from the Rashtriya Swasthya Bima Yojana (RSBY) to PM-JAY has had a particularly profound impact, leading to a decline in out-of-pocket expenditure (OOPE) from 64.2% in 2013-14 to 47.1% in 2019-20. This shift reflects improved affordability and accessibility, making quality healthcare more attainable for millions across the country. As automation lowers costs and improves efficiency, private sector involvement in rural healthcare is becoming increasingly viable and scalable. Collaborations with the private sector, healthcare startups, non-profits, and international partners have been instrumental in expanding access to advanced medical services, driving innovation, and promoting health equity. However, to fully harness AI’s potential, challenges such as regulatory alignment, workforce training, and infrastructure limitations must be addressed.
Adani & Reliance invest ₹1 trillion to transform Assam
Adani Group and Reliance Industries have each pledged ₹50,000 crore to Assam, marking a historic investment in the state. Focused on infrastructure, energy, and retail, these projects will drive job creation, boost industrial growth, and position Assam as a key economic hub in India’s northeast. The Adani Group has pledged an investment of ₹50,000 crore in Assam, making it one of the largest business commitments in the state’s history. This investment will focus on key sectors such as airports, aerocities, city gas distribution, power transmission, cement, and road infrastructure, significantly boosting employment and economic development. Chairman Gautam Adani reaffirmed the company’s dedication to Assam’s progress, stating that the state is on a path to greatness and that Adani Group is committed to supporting its transformation. He emphasized the group’s long-term vision for Assam and its promise to contribute to the region’s development. Speaking at a business summit in Guwahati, Prime Minister Narendra Modi highlighted Assam’s strategic location as a gateway to Southeast Asia, making it an attractive investment destination. He credited the region’s growing stability—achieved through peace accords and border dispute resolutions—as a key factor in unlocking Assam’s economic potential. In addition to Adani Group’s major investment, Reliance Industries Chairman Mukesh Ambani also announced a ₹50,000 crore investment over the next five years. This funding will focus on green and nuclear energy, strengthening supply chains, and expanding Reliance’s retail network across Assam. Ambani recalled Reliance’s past investments in the state, noting that ₹12,000 crore has already been deployed since the 2018 investment summit. With the latest commitment, Assam is poised to advance in technology and artificial intelligence (AI), positioning itself as a crucial player in India’s economic growth. The combined investments from Adani and Reliance are expected to drive large-scale job creation, improve infrastructure, and accelerate industrial expansion. These developments will further integrate Assam into India’s broader economic framework, transforming it into a rising powerhouse in the country’s northeast.
India’s tablet PC shipments sees robust 42.8% YoY growth in 2024
Tablet PC shipments in India soared by 42.8% in 2024, reaching 5.73 million units, fueled by channel promotions, enhanced Android capabilities, and government-backed education initiatives. Both consumer and commercial segments experienced substantial growth, with Apple, Samsung, and Lenovo dominating the market. The rising cost of notebooks further boosted tablet demand, particularly in commercial sectors such as FMCG and hospitality. The Indian tablet market witnessed an unprecedented surge in 2024, driven by rising notebook prices and significant advancements in Android features. According to the latest data from the IDC Worldwide Quarterly Personal Computing Device Tracker, tablet shipments (including detachables and slates) reached 5.73 million units in 2024, marking an impressive 42.8% year-over-year (YoY) growth. While the market saw a decline of 17% YoY in Q4 2024 due to delays in government manifesto deals, the overall momentum remained strong throughout the year. Consumer and Commercial Segments Show Robust Growth The consumer segment registered a healthy 19.2% YoY growth in 2024, fueled by aggressive eTailer promotions, cashback offers, and discounts. Samsung dominated the eTailer channel, securing a 24.4% share. Meanwhile, the commercial segment grew by an astonishing 69.7% YoY. This growth was primarily driven by a remarkable 104.5% YoY surge in the education sector, supported by government-funded educational projects. However, the Very Large Business (VLB) segment witnessed a 9.9% YoY decline. “With Android tablets getting better cameras, software updates, and app integration, they are becoming the preferred choice for light productivity and entertainment, even attracting some PC buyers. More than 60% of shipments were entry-level tablets (≤US$300), but the average selling price (ASP) increased from US$309 in FY2023 to US$ 336 in FY2024 in the consumer segment. Rising component costs have led to increased notebook PC prices, making tablets a more attractive option for consumers,” said Priyansh Tiwari, Research Analyst, IDC India & South Asia. Top 5 Tablet Brands in India (2024) 1. Samsung – Market Leader with a 42.6% Share Samsung continued its dominance in the Indian tablet market, holding a 42.6% share in 2024. It maintained leadership in both the consumer (32.1%) and commercial (51.1%) segments. The company had a strong presence in public sector education projects and executed a strategic inventory push during online sales. In Q4 2024, Samsung held a 35.5% market share. 2. Acer Group – Strength in Government and Education Deals Acer secured the second position with an 18.7% market share in 2024. Its success was largely attributed to the commercial segment, where it commanded a 32.8% share, thanks to several government and education sector deals. Acer held an 8.9% share in Q4 2024. 3. Apple – Premium Segment Growth Apple claimed the third spot with an 11% market share in 2024. The company saw a 45.3% YoY increase in the commercial segment, driven by growing adoption of iPads among top enterprise executives, government ministries, and FMCG firms. Apple also grew in the consumer segment by 4.7% YoY. In Q4 2024, it held an 18.1% share. 4. Lenovo – Strong Performance in eTailer Channel Lenovo secured a 9% share in 2024, with a strong 18.6% YoY growth in the consumer segment. The company’s success was largely driven by demand for its budget-friendly models priced between $150 and $250, particularly in the eTailer channel. In Q4 2024, Lenovo held a 12.5% share. 5. Xiaomi – Exceptional Growth with a Focus on Online Channels Xiaomi also captured a 9% market share in 2024, registering an outstanding 101.7% YoY growth. The company gained traction in Q3 2024, holding a 27.3% share of the total consumer market. Xiaomi’s aggressive focus on both offline and online sales channels, coupled with new product launches, contributed to this growth. The company held a 10.5% share in Q4 2024. The Road Ahead: AI-Powered Tablets and Expanding Use Cases Looking ahead, commercial tablets are expected to remain a preferred computing device in large-scale government deals and enterprise applications. Industries such as FMCG, hospitality, and BFSI are increasingly adopting tablets for enhanced portability and productivity. Commenting on the market outlook, Bharath Shenoy, Research Manager, Devices Research, IDC India & South Asia, noted, “The commercial tablet segment continues to play a crucial role in major government manifesto deals. The acceptance of tablets across various verticals, including FMCG, hospitality, and BFSI, is growing due to their convenience as portable productivity devices. With AI-powered tablets expected to launch in the coming months, the market is set to maintain its growth momentum, particularly in the consumer segment.” India’s tablet market witnessed an extraordinary surge in 2024, driven by rising notebook prices, improved Android features, and increased demand across consumer and commercial segments. Samsung, Acer, Apple, Lenovo, and Xiaomi emerged as the top five players, each leveraging unique strategies to capture market share. As AI-powered tablets make their way into the market, the Indian tablet industry is poised for sustained growth, offering consumers and businesses innovative and affordable computing solutions.
Our B2C battery leasing program is designed for rapid scalability: Urja Mobility
Urja Mobility is revolutionizing India’s electric vehicle (EV) landscape with its innovative battery and vehicle leasing solutions. By eliminating high upfront costs, the company is accelerating EV adoption through flexible Battery-as-a-Service (BaaS) and Vehicle-as-a-Service (VaaS) models. Co-founder & CTO Anagh Ojha has been instrumental in driving this transformation, integrating AI, IoT, and data analytics to optimize battery performance and fleet efficiency. In this conversation, he shares insights on Urja Mobility’s strategic partnerships, latest innovations, and vision for large-scale electrification in India. IBT: Urja Mobility has been a pioneer in EV and battery leasing. How does your model help overcome high upfront costs and accelerate EV adoption in India? Anagh Ojha: Urja Mobility eliminates the biggest barrier to EV adoption—high upfront costs—by offering flexible battery and vehicle leasing models. Our Battery-as-a-Service (BaaS) and Vehicle-as-a-Service (VaaS) solutions ensure that businesses and individual drivers can access high-quality EVs without heavy capital investment. Instead of purchasing batteries outright, users pay a nominal subscription or pay-per-use fee, significantly reducing their financial burden. This model enhances affordability, accelerates adoption, and ensures seamless operations for fleet operators, delivery services, and ride-sharing companies. By optimizing asset utilization and reducing downtime through predictive analytics, Urja Mobility guarantees maximum efficiency and cost savings. IBT: Your recent partnership with Eastman Auto aims to revolutionize the e-rickshaw sector. How will this collaboration enhance the accessibility and affordability of EVs? Anagh Ojha: Our partnership with Eastman Auto is a game-changer for the e-rickshaw industry, bringing together Urja Mobility’s cutting-edge leasing solutions and Eastman Auto’s robust manufacturing expertise. By integrating our high-performance lithium-ion batteries into Eastman Auto’s vehicles, we create a cost-effective, high-efficiency solution for last-mile connectivity. The collaboration reduces ownership costs for drivers while offering longer battery life, faster charging, and superior vehicle performance. This synergy will empower micro-entrepreneurs, delivery executives, and urban transport operators to transition seamlessly to electric mobility, driving large-scale electrification in India. IBT: With the launch of your B2C battery leasing program in 10 cities, how do you plan to scale this initiative and cater to a wider audience? Anagh Ojha: Urja Mobility’s B2C battery leasing program is designed for rapid scalability. By leveraging digital onboarding, localized distribution networks, and franchise models, we aim to expand to 50+ cities within the next two years. Our cloud-based energy management system ensures efficient tracking, remote diagnostics, and proactive maintenance, enhancing user experience and maximizing uptime. Additionally, strategic partnerships with NBFCs, OEMs, and logistics companies enable us to offer affordable financing, ensuring that even grassroots-level operators can benefit from our solutions. With aggressive expansion plans and a strong technology backbone, we are on track to revolutionize urban mobility and empower millions of drivers. IBT: Battery-as-a-Service (BaaS) and Energy-as-a-Service (EaaS) are gaining traction in India. How is Urja Mobility leading this transformation, and what are the key benefits for fleet operators? Anagh Ojha: Urja Mobility is at the forefront of India’s BaaS and EaaS revolution, offering fleet operators a seamless, cost-efficient alternative to battery ownership. Our innovative leasing solutions eliminate CAPEX, optimize OPEX, and provide predictable energy costs, making fleet electrification financially viable. Our AI-powered platform enables real-time battery health monitoring, smart charging, and predictive maintenance, ensuring higher uptime and lower operational disruptions. By integrating renewable energy sources and battery second-life applications, we further enhance sustainability and profitability, giving businesses a competitive edge in the evolving mobility landscape. UM105e, 5KWHr battery for E-rickshaw, Source: Urja Mobility IBT: Urja Mobility’s lithium-ion battery solutions promise faster charging (2-4 hours). How does this technology help mitigate range anxiety and improve fleet efficiency? Anagh Ojha: Our advanced lithium-ion battery solutions are designed to minimize downtime and maximize productivity. With ultra-fast charging capabilities (full charge in just 2-4 hours), fleet operators can seamlessly integrate charging into daily schedules without significant interruptions. Our proprietary thermal management system ensures superior battery health and longevity, reducing replacement costs. Additionally, our smart-charging algorithms dynamically optimize charging cycles based on usage patterns, enhancing battery efficiency and ensuring drivers can operate with confidence. By mitigating range anxiety and boosting fleet performance, we enable businesses to achieve greater profitability and sustainability. IBT: How is Urja Mobility integrating IoT, AI, and data analytics to optimize battery performance, enhance safety, and extend battery life? Anagh Ojha: Urja Mobility is redefining EV asset management with AI-driven predictive analytics and IoT-based real-time monitoring. Our proprietary platform continuously assesses battery health, usage patterns, and environmental conditions, optimizing performance and preempting failures before they occur. AI-powered diagnostics enable proactive maintenance, reducing unplanned downtime and extending battery life. Our smart BMS (Battery Management System) enhances safety by detecting anomalies and preventing thermal runaway. With end-to-end data insights, we empower fleet operators with actionable intelligence, enabling them to optimize routes, reduce energy wastage, and improve overall cost efficiency. IBT: With INR 100 Cr in funding secured, what are your immediate investment plans to expand your leasing and energy solutions? Anagh Ojha: With INR 100 Cr in funding, Urja Mobility is poised for exponential growth. Our immediate focus is on scaling our leasing portfolio, expanding our footprint across Tier 2 and Tier 3 cities, and strengthening our AI-driven energy management infrastructure. We are aggressively investing in R&D to enhance battery life, charging efficiency, and second-life applications. Strategic partnerships with OEMs, financial institutions, and logistics players are also in the pipeline to accelerate adoption. Additionally, a portion of the funds will be allocated to marketing, talent acquisition, and operational enhancements to solidify our position as the leader in the EV leasing ecosystem. IBT: What role do battery leasing models play in supporting India’s EV infrastructure and achieving large-scale electrification goals by 2030? Anagh Ojha: Battery leasing models are crucial in making EV adoption financially viable and sustainable. By removing the high upfront cost of battery ownership, we enable businesses, drivers, and fleet operators to transition to EVs effortlessly. This model also accelerates infrastructure development by ensuring efficient battery circulation and reducing dependency on extensive charging networks. Our leasing approach aligns with India’s 2030 electrification goals by democratizing access to clean mobility, driving economic inclusion,
India’s tech sector to hit US$ 286.6 bn revenue by FY’25
India’s tech industry is set for major expansion in FY25, with 125,000 new jobs expected—more than double last year’s additions. Revenue is projected to grow 5.1% to US$ 282.6 billion, driven by AI, cloud computing, and digital transformation. As hiring rebounds and investments rise, the sector is on track to surpass US$ 300 billion by FY26, reinforcing India’s position as a global tech leader. India’s tech industry is set for strong growth in FY25, with the sector expected to add 125,000 new jobs, more than double the 60,000 jobs created last year, according to Nasscom’s annual strategic review for 2025. Industry revenue is projected to grow 5.1%, reaching US$ 282.6 billion, and is expected to surpass US$ 300 billion by FY26. After an 18-month slowdown due to global economic pressures, the industry is bouncing back. Nasscom estimates that by the end of FY25, India’s IT workforce will reach 5.8 million employees. AI adoption, the rise of agentic AI, and the increasing maturity of Global Capability Centres (GCCs) are driving the transformation. Key sectors such as Engineering R&D (ER&D), Business Process Management (BPM), and IT services are fueling demand for skilled professionals. The IT services sector is expected to grow by 4.3% in FY25, reaching US$ 137.1 billion, while ER&D is set to grow 7% to US$ 55.6 billion, making it the fastest-growing segment. BPM revenues are projected to rise 4.7% to US$ 54.6 billion. Domestic revenues will likely see 7% growth to US$ 58.2 billion, outpacing export growth of 4.6%, bringing total exports to US$ 224.4 billion. GCCs continue to play a key role in the industry’s expansion, with over 1,760 GCCs employing 1.9 million professionals. Revenue generated by Indian service providers and global MNCs through GCCs is now nearly equal, reflecting a balanced contribution to growth. Tech investments remain focused on AI, cloud computing, cybersecurity, and data analytics. According to Nasscom’s Tech Industry CEO Survey 2025, 63% of CEOs expect AI spending to exceed 10% of their total tech budget by FY26. Additionally, over 90% of the top 20 IT service firms are integrating AI, cloud, and data analytics into their businesses. More than 55% of AI initiatives are long-term partnerships aimed at scalable AI solutions, and 10-15% of enterprise AI proof-of-concepts (PoCs) are transitioning into full-scale production. Despite global economic uncertainties, industry leaders remain optimistic. The survey indicates that 77% of CEOs expect higher business growth in FY26, while 85% believe client tech spending will either remain steady or increase. Additionally, 45% foresee a better hiring environment in FY26 compared to FY25. Rajesh Nambiar, Nasscom’s president, emphasized that India’s growing tech skill intensity will be crucial for sustaining long-term growth. India’s digital economy is expanding rapidly, contributing 12% to GDP, with digital public infrastructure alone adding 1%. The e-commerce sector is growing at an annual rate of 35%, with GMV projected to hit US$ 200 billion. Investments in enterprise software, cloud computing, and a 21% rise in data center capacity have further boosted domestic tech spending, which has outpaced export growth for the second year in a row.
Sharaf Group to invest ₹5,000 cr in Kerala dry ports
UAE-based Sharaf Group has unveiled plans to invest Rs 5,000 crore in Kerala over the next five years, citing the state’s favorable business climate and skilled workforce. The investment will be directed towards developing two dry ports, generating numerous job opportunities and driving economic growth in the region. In a significant boost to Kerala’s industrial and economic landscape, UAE-based shipping and logistics giant Sharaf Group has announced an investment of Rs 5,000 crore in the state over the next five years. The announcement was made by Sharaf Group Vice Chairman, His Excellency General Sharafuddin Sharaf, at the Invest Kerala Global Summit, a key business event aimed at attracting investments to the state. Sharaf Group, which has been operating in India for nearly three decades and has a presence in seven major cities across the country, has chosen Kerala as its next major investment destination. According to General Sharafuddin Sharaf, the decision to invest in Kerala was driven by the state government’s proactive initiatives to improve the ease of doing business and streamline administrative procedures. Another crucial factor in this decision was Kerala’s highly skilled and educated workforce, which the company believes will be instrumental in executing its ambitious projects. “The state has a large pool of highly educated and capable human resources, which is a key advantage for businesses looking to establish operations here,” he said at a press conference during the summit. Development of Two Dry Ports As part of its investment plan, Sharaf Group will be setting up two dry ports in Kerala. The exact locations of these dry ports will be finalized in consultation with the state government. The move is expected to enhance logistics and trade efficiency in the region, further positioning Kerala as a key player in India’s shipping and logistics sector. General Sharaf expressed optimism that this investment would attract further business opportunities to Kerala. “Investment attracts more investment. As more companies come, it will energize the sector and create a robust ecosystem for trade and commerce,” he stated. The announcement was welcomed by Kerala’s Industries Minister, P Rajeeve, who termed it as “positive news” for the state. He highlighted that the investment would generate a significant number of job opportunities and strengthen Kerala’s appeal as a business-friendly destination. “The arrival of Sharaf Group in Kerala will encourage more companies to invest in the state, leading to overall economic growth,” Rajeeve noted in a Facebook post, adding that further discussions would be held to facilitate the investment process. Invest Kerala Global Summit 2025 The two-day Invest Kerala Global Summit, where this announcement was made, commenced on Friday. Organized by the Government of Kerala in collaboration with industry organizations, the summit aims to attract global investments across multiple key sectors. The event focuses on areas such as artificial intelligence and robotics, aerospace and defense, logistics, maritime industries, packaging, and pharmaceuticals, among others. The Sharaf Group’s investment aligns with Kerala’s broader strategy of fostering industrial growth and enhancing its logistics infrastructure. The investment in dry ports is particularly significant, as it will improve cargo movement, reduce transportation costs, and boost trade efficiency. Economic Implications and Future Prospects The Rs 5,000 crore investment is expected to create thousands of direct and indirect jobs in Kerala, offering new employment opportunities across logistics, trade, and related sectors. Additionally, improved logistics infrastructure will benefit small and medium enterprises (SMEs), exporters, and manufacturers, making it easier for them to access domestic and international markets. Kerala’s efforts to attract global investors are showing positive results, and the Sharaf Group’s decision to invest in the state is a testament to its growing reputation as an investment-friendly destination. As Kerala continues to position itself as a hub for industrial and economic growth, such strategic investments will play a crucial role in shaping its future. With the backing of major global players like Sharaf Group, Kerala is set to strengthen its standing in India’s logistics and trade sector. The investment is not just a financial boost but also a vote of confidence in the state’s governance, infrastructure, and workforce capabilities.
India’s quick commerce 100% YoY growth US$ 250 bn Market
India’s quick commerce sector is set to grow by 75-100% year-on-year, far outpacing traditional retail, according to Bernstein. Driven by advantages in proximity, pricing, and product variety, quick commerce is rapidly gaining market share, especially in top cities with a US$ 250 billion grocery market. India’s quick commerce sector is growing rapidly, with an expected year-on-year (YoY) increase of 75-100%, significantly higher than traditional retail, which is set to grow at a much slower rate, according to a report by Bernstein. The report highlights that quick commerce holds a competitive edge due to its advantages in proximity, pricing, and product selection. It stated, “Quick commerce is uniquely positioned across Proximity, Pricing & Selection & will continue to grow at 75-100% YoY vs retail at low teens.” Bernstein’s analysis reveals that quick commerce is advancing more swiftly than other internet-based retail channels in India. By 2025, the sector is poised to further solidify its position as a dominant force in the market. The report underscores the vast potential of India’s grocery market, especially in the top 40-50 cities, which collectively represent a market size of approximately US$ 250 billion. Quick commerce is strategically positioned to capture a significant share of this market. It noted, “2025 will see amplification of quick commerce vs other channels. Top 40 – 50 cities constitute approx. US$ 250 billion of the overall grocery market.” As consumer preferences shift towards faster and more convenient shopping experiences, leading consumer goods companies are increasingly recognizing quick commerce as a vital sales channel. E-commerce currently contributes around 8-10% of total revenues for major FMCG companies. Within this, quick commerce has emerged as a significant growth driver. In the financial year 2024, quick commerce accounted for nearly half of all e-commerce sales, which made up 6.8% of total FMCG sales. The report also highlights the success of Direct-to-Consumer (D2C) brands on quick commerce platforms. Over 30% of product offerings on these platforms come from D2C or new-age brands, reflecting their growing presence and consumer appeal. Bernstein further emphasized, “We expect Quick commerce to continue leapfrog other channels (retail, E-com) with growth led by new categories & Tier 2 expansion.” This indicates that the sector’s future growth will not only stem from core markets but also from expanding into new product categories and smaller cities. Key drivers of quick commerce growth Proximity and Speed: The appeal of quick commerce lies in its ability to deliver products within minutes, catering to the growing demand instantly. With strategically placed dark stores and micro-fulfillment centers, platforms can efficiently handle last-mile delivery, meeting urgent consumer needs. Competitive Pricing & Product Variety: Despite offering rapid delivery, quick commerce platforms maintain competitive pricing through optimized supply chains and strategic brand partnerships. Coupled with a wide selection of products—from groceries to lifestyle essentials—this variety keeps consumers engaged. Tier 2 City Expansion: Beyond metro cities, quick commerce is eyeing growth in Tier 2 markets, where rising digital adoption and changing consumer habits create new opportunities. Expanding into these regions allows platforms to tap into underserved markets and broaden their customer base. India’s quick commerce sector is led by players like Zomato, Big Basket, Zepto, Blinkit, and Swiggy Instamart. E-commerce giants Amazon and Flipkart are also entering the segment, recognizing its high growth potential. As quick commerce continues to evolve, it is expected to play a transformative role in India’s retail landscape, offering consumers unmatched convenience while providing brands with faster and more efficient sales channels.
More than just taste, Indian food is an experience and a legacy
IBT interacted with Vinod Punn, President of Punn Impex Limited, Canada, to discuss key trends shaping the Food & Beverage (F&B) market, the evolving preferences of consumers, and the growing demand for Indian F&B products globally. He shared insights on sourcing challenges, sustainability, and untapped opportunities for Indian suppliers looking to expand in international markets. IBT: Can you share some key trends currently shaping the F&B market in your country? How have consumer preferences evolved over the past few years? Vinod Punn: The F&B market in my country has been undergoing a significant transformation, driven by changing demographics, increasing globalization, and evolving consumer expectations. One of the most notable trends is the growing demand for diverse and authentic ethnic foods, particularly among the large South Asian diaspora in North America. This demographic shift has created a thriving market for traditional food and beverage products from home countries, as people seek to reconnect with their culinary heritage while living abroad. Additionally, there is an increasing emphasis on convenience, health-conscious consumption, and sustainable sourcing. Consumers are more informed than ever and are looking for products that align with their values—whether it’s clean-label ingredients, ethical sourcing, or eco-friendly packaging. As a result, brands that cater to these preferences are gaining a competitive edge in the marketplace. IBT: What factors do your customers prioritize when choosing F&B products—taste, quality, sustainability, or something else? Are there any specific cultural or regional preferences influencing the market? Vinod Punn: From my experience, while taste and authenticity remain top priorities, quality within a reasonable budget is a crucial factor for many consumers in my region. People want products that remind them of home but also meet their expectations in terms of freshness, ingredients, and overall value for money. Sustainability is also becoming an increasingly important consideration, particularly among younger consumers who are more environmentally conscious. However, affordability still plays a defining role, especially in price-sensitive markets. The challenge for brands is to strike a balance between maintaining premium quality and ensuring cost-effectiveness. Cultural preferences also have a significant impact on buying behavior. The presence of a strong South Asian community has led to a surge in demand for authentic Indian, Pakistani, and Bangladeshi food products. Consumers look for items that not only satisfy their taste buds but also provide a nostalgic connection to their cultural roots. IBT: What are the key considerations for you when sourcing F&B products internationally? How do sustainability and traceability factor into your procurement decisions? Vinod Punn: Sourcing internationally comes with a unique set of challenges and responsibilities. While my company may be relatively small in scale, we are deeply committed to making a meaningful economic impact by fostering a sustainable supply chain. We focus on procuring high-quality food products from South Asian markets, ensuring that our sourcing practices are efficient and aligned with the sustainability regulations of the country we import into. While we may not have the resources of a multinational corporation, we contribute to sustainability by working with suppliers who follow ethical practices and by optimizing logistics to reduce waste and emissions. Traceability is another key aspect of procurement, as consumers are increasingly interested in knowing where their food comes from. Transparency in the supply chain helps build trust and reassures customers that they are getting authentic, safe, and high-quality products. IBT: What types of F&B products are you currently sourcing from Indian suppliers? What makes Indian F&B products stand out in the global market? Vinod Punn: India’s rich culinary heritage and diverse agricultural output make its food products highly sought after worldwide. In my business, we focus on importing essential Indian food products that hold a strong cultural significance for the diaspora. These include traditional sweets, snacks, and pantry staples that have been a part of Indian households for generations. What sets Indian F&B products apart in the global market is their authenticity, unique flavors, and deep-rooted connection to culture. Indian food is not just about taste—it’s an experience, a story, and a legacy passed down through generations. Additionally, India’s vast agricultural landscape enables it to produce a wide variety of spices, grains, and processed foods that cater to diverse consumer preferences across different regions. IBT: Are there untapped opportunities or product categories where Indian companies could expand in your market? Vinod Punn: Absolutely! While Indian food products already have a strong foothold in markets with a high South Asian population, there is still immense untapped potential beyond these communities. Indian cuisine has a universal appeal, and with the right marketing and adaptation strategies, it can reach a much wider audience. For instance, categories such as ready-to-eat meals, plant-based protein products inspired by Indian flavors, and healthier snack alternatives have significant growth potential. There is also an opportunity for Indian brands to explore fusion food concepts that blend traditional Indian ingredients with Western preferences, making them more accessible to a global audience. Moreover, functional foods—such as those incorporating Ayurvedic ingredients, superfoods, and herbal infusions—could attract health-conscious consumers looking for natural and holistic nutrition options. 6) What advice would you give Indian suppliers looking to strengthen their presence in your market? Vinod Punn: For Indian suppliers looking to expand in North America or other international markets, my advice would be to take a strategic and gradual approach. Instead of trying to scale up too quickly, it’s essential to first understand the local consumer trends, regulations, and competitive landscape. Building a strong brand presence requires localization—adapting packaging, marketing, and product offerings to suit the preferences of the target audience. Additionally, investing in high-quality packaging and clear labeling (including nutritional information and allergen warnings) can significantly enhance consumer trust and appeal. Another crucial factor is distribution. Partnering with the right local distributors and retail chains can ensure better market penetration and visibility. Lastly, storytelling and branding play a vital role—Indian brands that effectively communicate their heritage, authenticity, and value proposition can carve a niche for themselves in a highly competitive global market.
