A GLOBAL PROJECT ON LG SOUTH KOREA

BENEFITS TO PARENT COUNTRY (SOUTH KOREA) India to be the 5th largest consumer market by 2025 India is worlds largest functional democracy with a population of over One Billion people. India second fastest growing major economy after China.

2

Telecoms & consumer products. Driving global innovations.

markets

through

local

Local and efficient manufacturing to reduce cost. The Foreign investment up to 100% is possible in the Indian consumer electronics to set up units exclusively for exports.

It is possible to import duty-free all components and raw materials, manufacture products and export. Korean Companies can Import Raw Materials, Inputs used in Manufacturing at Concessional Import Duty in India Export to Korea from India with Export Benefits & Concessional Import Duty in Korea

INFRASTRUCTURE OPPORTUNITIES:Power

Energy shortage at 7.7% / Peak shortage of 12.3% Ongoing projects: 52000 MW:Competitive Bids Investment US$ 60 bn

Private Ultra Mega Power Projects (4000 MW / USD 4 bn each) thrRoads

Annual growth 12 -15% in passenger traffic and 15 -18% for cargo Investment Opportunities US $ 30 billion till 2012Ports

960 million tones of traffic

by 2013-2014

7.7 % p.a. growth expected in cargo handling till 2013-2014 Investment opportunities: US $ 20 bn till 20125

BENEFITS TO HOST COUNTRY (INDIA) The Indian Durables market, with a market size of US$ 27.38 billion in 2008-09, has grown by 7.1% over the previous year. The rapid business economic growth is increasing and enhancing employment and opportunities.

The production in the consumer electronics industry has been estimated at US$ 6.7 billion in 2009-2010. The segment registered a growth of 18 % in 2009-10 from US$ 5.5 billion. The consumer electronics segment contributes about 27% .

INDIA - FACTSArea Population GDP (PPP) 3.3 million sq. km. 1.1 billion $5.16 trillion (2008 est.) $1.3 trillion (nominal) {11th (nominal); 3rd (PPP)} 6.7% (2009) 7.8% (2010) projected $1021 (nominal); $4543 (PPP) Agriculture: 19.9% Industry: 19.3% Services: 60.7% (2006 est.)8

GDP growth GDP per capita GDP by sector

INDIAS GDP GROWTH RATE% GDP Growth 9.00 8.00 7.00 6.00 5.00 4.00 3.00 2.00 1.00 0.00 1950-51 to 1959-60 1960-61 to 1969-70 1970-71 to 1979-80 1980-81 to 1989-90 1990-91 to 1999-00 2000-01 to 2008-0999

7.89

6.05 5.17 3.68 3.45

3.29

Profits & Dividends can be Freely Flow. Stable & Well Developed Banking System

India has followed a calibrated globalization process liberalization of FDI regime reduction in import tariff fully convertible current account compliance with WTO norms

The sales growth of LG Global (12.5%) is comparatively low than to LG India (21%). India as a manufacturing Hub . There is an Excellent political relations in India. Encourage Korean companies manufacturing in India

to

setup

INDIAS HUMAN RESOURCES

R&D Laboratories in India. Indian Engineers and IT Experts in Korea.

Designing & Research . Scientists and Researchers .12

INDIAS COST COMPETITIVENESSPosition India China Relative Difference (%)

HR manager Marketing manager Project manager Software developer Financial analyst Accountant Sales representative Production worker

15,100 14,300 10,000 10,300 8,400 5,700 4,700 1,900

32,000 25,800 23,400 13,400 13,200 9,000 5,100 2,300

112 % 80% 134% 30% 57% 58% 8% 21%

Indias labour costs as a percentage of value added are one of the lowest among Asian countries13

LARGE INTELLECTUAL CAPITAL BASEAnnual additions to the stock of science and engineering graduates750000 700000 650000 600000 550000 500000 450000 400000 350000 300000India C hina J a pa n US A E uro pe a n c o m m unit y

690000

530000 470000 420000 350000

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THANK YOU ...........