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If you live in cities, you might have had more encounters with a private security guard than a police officer. Their ubiquitous presence is more or less taken for granted, especially in industrial areas, public instalments and office spaces.

 

With 7 million security guards and 1.4 million police officers, India has five times as many private security guards than police officers. This disparity is highest in the world. The private security guard-to-police officer ratio is second highest in the world for South Africa at 2.5. China has five million private security guards compared to 2.7 million police officersThe study done by The Guardian shows that half of the world population lives in countries where there are more private security workers than police officers. Globally, the market is USD 180 billion now and is expected to be USD 240 billion by 2020.

 

Private security industry in India: Market and Jobs

 

A FICCI and Grant Thronton report counts low police to citizen ratio (1:720 against the UN advised 1:450), high global terrorism index (7.86 out of maximum 10), increase in crime rate, increase in the number of public events, increase in the number of ATMs resulting in higher volume of cash logistics, infrastructure related crimes and urbanisation of the economy as reasons for such high demand for private security services.

 

There is one more startling fact about policing in India which further feed to the demand. In a police deprived country, for every VIP there are three policemen deputed for his or her security. According to Bureau of Police Research and Development data, 56,944 policemen and women have been deployed just for the safety of 20,828 VIPs.Graph showing increase in property-related crimes over one year. This is indicative and may or may not reflect the current situation. 

 

Government policies like making guards in schools and ATMs mandatory and instalment of CCTV cameras at various locations have resulted in accelerating the demand. For example, a back of the envelope calculation shows that there are around 15 lakh education institutions in India and the mandatory 3 security guards on a 24-hour basis only translate into 45 lakh new jobs.

 

During the first decade of 21st century, the sector was relatively unaffected by the economic slowdown which grew rapidly at CAGR of 25 percent. It picked up even more and the Indian security industry was Rs 400 billion in 2014. It is expected to reach Rs 800 billion by the year 2020—doubling in six years.

 

The private security industry forms a lucrative option for unskilled workers to get employment. The number of people employed in the sector "is expected to rise manifold as the size of the industry increases," says Rahul Kapur of Grant Thornton India LLP.

 

According to estimates, by 2020, five million new jobs will be created in the security service sector—again, almost doubling in six years.

 

With almost 80 percent share, manned guarding is the largest component of the private security services. The rest is guards employed in cash logistic services.

 

However, one major point of worry is that a large chunk of all the guards employed is in the unorganised sector, hence are bereft of EPF, ESI and other employee-related schemes.Graph showing increase in property-related crimes over one year. This is indicative and may or may not reflect the current situation. 

 

Government policies like making guards in schools and ATMs mandatory and instalment of CCTV cameras at various locations have resulted in accelerating the demand. For example, a back of the envelope calculation shows that there are around 15 lakh education institutions in India and the mandatory 3 security guards on a 24-hour basis only translate into 45 lakh new jobs.

 

During the first decade of 21st century, the sector was relatively unaffected by the economic slowdown which grew rapidly at CAGR of 25 percent. It picked up even more and the Indian security industry was Rs 400 billion in 2014. It is expected to reach Rs 800 billion by the year 2020—doubling in six years.

 

The private security industry forms a lucrative option for unskilled workers to get employment. The number of people employed in the sector "is expected to rise manifold as the size of the industry increases," says Rahul Kapur of Grant Thornton India LLP.

 

According to estimates, by 2020, five million new jobs will be created in the security service sector—again, almost doubling in six years.

 

With almost 80 percent share, manned guarding is the largest component of the private security services. The rest is guards employed in cash logistic services.

 

However, one major point of worry is that a large chunk of all the guards employed is in the unorganised sector, hence are bereft of EPF, ESI and other employee-related schemes.Some of the major firms active in India are Peregrine (55,000 employees), Securitas (35,000 employees), G4S (130,000 employees), SIS (96,000 employees) and Tops (130,000 employees). All these five companies collectively generate a revenue of Rs 22.12 billion. In fact, SIS, Securitas and Peregrine have registered the highest growth of more than 30 percent in the last five years.

 

The rapid growth has made sure that the wages have also grown in tandem. “Growth in manned guarding industry is driven by growth in the number of guards, as well as an increase in revenue per guard. Revenue per guard is usually linked to minimum wage rates as determined by various states on an occasional basis and is linked to inflation. There has been around 15 percent increase in minimum wages over the last two years,” says another FICCI report published in 2012-13.

 

With hundreds of smart cities coming up, an increased concern for private security and Indian economy on a high growth trajectory, the demand is set to increase which justifies the lofty projections laid out by the reports.

 

Source:- Money control News

In western India, a pair of shiny black Trump buildings with gold insignia tower over the city of Pune. In nearby Mumbai, a 75-story Trump skyscraper+ will be one of the tallest in the megacity. In a swanky suburb of Delhi, two Trump partners have big plans. And in Kolkata, a new Trump tower is under way

 

Three years after Donald Trump arrived on his private jet for a deal-making tour, India has become the only major developing country where his business is roaring. It has the most construction projects with Trump licensing deals of any country outside of the U.S

 

After his election, Trump abandoned a number of international projects and promised not to engage in new foreign deals that could trigger conflicts of interest. With the Indian deals struck earlier, his company is barreling ahead. While in office, Trump has been building a strong bond with Prime Minister Narendra Modi — as his company builds ties with some partners who have faced legal troubles

 

Modi hugs Trump at the White House in Washington+ , on June 26

 

Modi was one of the first to visit Trump after he took office and invited daughter Ivanka to lead a delegation to a business summit in November. All of this has raised fresh questions about whether Trump Organization's deals with politically-connected foreign tycoons could put his interests ahead of the nation's and entail special treatment by foreign authorities

 

India is a key US ally in Asia and its rivalry with both Pakistan and China fosters many areas where Trump and Modi need each other—nuclear weapons, anti-terrorism, Afghanistan and trade, among others. So far, Trump doesn't seem to have spared India in policies ranging from visas for technology workers to the Paris climate accord. Still, the risk that he might let his business interests outweigh national needs—or that Modi might cut him a break on taxes or permits in exchange for policy tweaks—remains a big concern for government ethics experts in the US. A spokesman for Modi did not respond to repeated requests for commen

 

Asked about potential conflicts in India, the Trump Organization said it's "very proud of the success we have achieved in that market with five active properties under various stages of development." The White House referred questions to the Trump Organization

 

Trump's Indian partners Atul and Sagar Chordia celebrated the U.S. victory by flying immediately to New York to congratulate the president-elect, increasing congressional calls for Trump to divest his businesses. He opted instead to hold onto his assets and hand management to his two older sons

 

Whatever concerns have been raised in the U.S. regarding the blending of business and policy, Trump's election seems only to have increased the value of his brand in India, though some voices in the Indian press have begun to question the effects of politics and well-publicized conflicts of interests on his brand. Here, political ties have long been the fastest route to get approvals for big projects. Only Afghanistan is more burdensome when it comes to dealing with construction permits, according to a ranking of 186 nations in the World Bank's 2017 Doing Business report

 

In fact, the link between construction and politics is so tight in India that research by political scientists Milan Vaishnav and Devesh Kapur shows that cement consumption declines in the lead-up to state assembly elections because firms redirect cash from construction to campaigns

 

"No one in India would think twice about him being engaged in politics on the one hand and real estate on the other," said Vaishnav, senior fellow at the Carnegie Endowment for International Peace. "It's an open secret that to be successful in Indian real estate, you have to be well connected in politics.

 

In a more surreal display of Trump's allure in India, a small village, encouraged by a charity group, renamed itself Trump Village and put up a Trump billboard to help get much-needed toilets. A local commissioner lashed out at the stunt and ordered the billboard removed. Bindeshwar Pathak, an activist who led the effort, expects the name will stick, however: "You can now say 'I want to go to Trump Village' and people will tell you how.

 

One question facing Modi is to what extent his changes in real estate policy could impact the bottom line of Trump Organization or its partners. Last year, he ended a tax loophole often used by the rich to buy property in someone else's name

 

In his high-profile visit to Mumbai in August 2014, Trump praised Modi for winning the country's first single-party parliamentary majority in 30 years

 

"India is a great place to invest, especially after the elections," Trump told reporters. He held a banquet attended by 500 of Pune's rich and powerful, in which TV cameramen pushed for position while a Bollywood star interviewed the American tycoon

 

Trump spoke about his global ambitions to build towers in China and South America. As it happens, those projects have largely failed to materialize. His group scrapped deals in Brazil last year after being cited in a local corruption probe, in which the group hasn't been charged with any crimes, and several projects in China and Russia have floundered

 

Not so in Modi's India, where an extended economic boom and the political influence of Trump's allies have helped his business flourish

 

In Pune on a recent afternoon, men in military uniform guarded the entrance of the Trump towers as auto rickshaws buzzed about on the street outside. The twin 23-story buildings stand out in the city's unremarkable skyline. They were erected by Panchshil, the real estate business of the Chordia family. Patriarch Ishwardas Chordia, who hailed from a family of sugar traders, was college buddies with a powerful political broker, Sharad Pawar, whom Modi has lauded for his guidance in his early days in politics, and whose family members have shared business interests with the Chordias

 

When Chairman Atul Chordia, his brother and an associate visited Trump days after the election, Trump praised Modi. The Chordias had been negotiating a second deal, which Trump scrapped along with other projects days before his inauguration. Chordia declined to comment

 

In nearby Mumbai, Abhishek Lodha is trying to secure approvals for the last few floors of the Trump Tower Mumbai. The managing director of Lodha Group said in an interview at the firm's office that he negotiated the tower deal over six months prior to Trump's election, which included a visit to Trump Tower in New York for meetings with Donald Jr. and Ivanka. Once in Mumbai, Trump the elder made a few tweaks to the project: bigger kitchens, air-conditioning in the lobbies and kitchens, and he picked out the facade design

 

Lodha is no political novice. His father is the deputy boss in Maharashtra state for Modi's Bharatiya Janata party. After the government revised rules to allow transfer of development rights to the city of Mumbai in November, Lodha was the first to take advantage and surrendered some mill land. The group gained rights to more floor space in the city but hasn't said how it will use it

 

Almost 900 miles to the north in the Delhi suburb of Gurgaon, Pankaj Bansal is one of two Trump partners in a city where a Dubai-style boom of sky-rises emerged almost overnight out of farmland. Bansal, who traveled with Modi in business delegations to Russia and Japan, agreed to meet at M3M's Golf Estate, though declined to comment on his Trump tie-up

 

The entrance to the resort is flanked by shanties of workers. Bansal collects cars and likes to sky dive, and his company sells dreams to those fancying themselves as "the gentry"—a promotional video by his Polo Suites project offers a chance to "breathe the air of nobility, and live your life king-sized, to walk like gods amongst men.

 

Gurgaon's market is tough at the moment, but Bansal said he expects the family-run company to weather India's economic slowdown by delivering on projects as competitors face crises. Two managing directors of Unitech Limited, for example, are fighting allegations that they duped customers after they were arrested in April over a delayed project. Unitech, which is not a Trump partner, did not respond to requests for comment

 

"People who are delivering are doing okay," said Bansal. "People who aren't are bleeding blood.

 

The name—M3M—tells something about the company's self-image. It stands for Magnificence in the Trinity of Men, Materials and Money. The group has been facing some legal troubles of its own. It has denied allegations in a police report in March that an executive bribed forestry officials to clear 2,200 trees at a development site. The company says the allegations are completely false

 

The company was entangled for years in a tax investigation into the suspected use of fronts in land purchases, a practice which is banned in India. M3M's chairman offered to pay millions in advance tax when investigators raided group offices and seized funds and valuables in 2007, though court documents show the funds were later recouped after no incriminating evidence was found. The company said an appeal by the income tax department was dismissed in its favor in 2015

 

Trump's other partner in Gurgaon, IREO, also had its offices searched by tax investigation in 2010. The group said in an emailed response that it complied with tax authorities and provided all of its relevant shareholding details. No charges were filed. The executive who announced the Trump deal for the private equity real estate firm is the brother-in-law of Sudhanshu Mittal, a ruling party leader, though the company said he is not associated in any ownership or management capacity.

 

Sources: Times of India

Lending and borrowing money is now India’s fastest-growing segment, and the successful industry and lenders are the latest darlings of equity investors. The share of banks and non-banking finance companies (NBFCs) in the market capitalisation (market cap, or m-cap) of all listed companies is now at an all-time high, as manufacturing companies and non-financial services such as information technology (IT) battle demand slowdown.  Banks and NBFCs, including insurance companies, now account for 22.3 per cent of the combined m-cap — the highest in at least two ...

 

Source: Business Standard

MUMBAI (Reuters) - Prime Minister Narendra Modi inaugurated India's biggest dam on Sunday, ignoring warnings from environment groups that hundreds of thousands of people will lose their livelihoods.

 

The controversial Sardar Sarovar Dam on the Narmada river in the country's western state of Gujarat that will provide power and water to three big states was dedicated to the people of India by Narendra Modi.

 

The project has been beset by controversies since the laying of the foundation stone by Prime Minister Jawaharlal Nehru in 1961. The construction of the project began in 1987.

 

The dam is the second biggest dam in the world after the Grand Coulee Dam in the United States.

 

Ahead of the inauguration Modi said in a tweet, "This project will benefit lakhs of farmers and help fulfill people's aspirations." (1 lakh = 100,000)

 

The dam is expected to provide water to 9,000 villages and the power generated from the dam would be shared among three states - Madhya Pradesh, Maharashtra and Gujarat.

 

The Narmada Bachao Andolan (NBA), led by social activist Medha Patkar, has been protesting against the project, raising several environmental concerns.

 

Construction on the dam had been suspended in 1996 following a stay by the Supreme Court which allowed work to resume, four years later, but with conditions.

 

Patkar and her supporters started the protest against the inauguration of the dam on Saturday and the opening of its gates which would raise the level of water and risk displacing several villages.

 

"Today is a very sad day for India, and for one of our biggest peoples' movements and struggle - the Narmada Bacchao Andolan," Ravi Chellam, executive director at Greenpeace India said in a statement.

 

"The Sardar Sarovar Project... signals ruin not development for tens of thousands of unsuspecting, hapless and poor farmers," Chellam added.

 

Source: Business Insider

Union minister R K Singh today said that the Centre proposes to make India the number one country in both generation and consumption of power but set no time-frame to achieve the goal.

 

"We are the third largest country in the world vis-a-vis power generation but we are the fourth largest in power consumption. We have to achieve the goal of becoming number one country in power generation and consumption," Singh, MoS for Power (Independent charge), told reporters here.

 

Singh, who is also a first-time Lok Sabha member from Ara, however, did not set any time-frame to achieve the goal.

 

"Consumption (of power) is an index of development," he said while making it clear that more power consumption shows that people are using more and more electronic gadgets and equipment.

 

Pegging India's power generation at 3.3 lakh Mw, Singh said that out of this, 70,000 Mw is generated through renewable energy which the government intends to increase to 1.75 lakh Mw.

 

Singh, a former union home secretary, was felicitated at the BJP's state unit headquarters here after being made a union minister in the recent reshuffle of the Modi government.

 

He was accompanied by Bihar BJP chief Nityanand Rai, senior party leaders Nagendra jee, Ganga Prasad, Devesh Kumar and MLAs Gyanendra Singh Gyanu, Nitin Navin, Niraj Singh and others during the press meet.

 

Lauding the Bihar government for doing good work in the power sector, the minister said Bihar has done better than other states in carrying out rural electrification and asked officials to further expedite the works going on various projects in the state.

 

The government has also set a target of providing "24X7 power supply" with "no power cut" regime, Singh said while making it clear that this goal is not only confined to Bihar alone but for the entire country.

 

The government has already set a target of carrying out rural electrification by the end of this December, he said while asking all the states to submit the list of those villages which have been left out of the rural electrification work as the government is committed to complete electrification of these villages by the end of March 2018.

 

The Centre has provided various funds for carrying out strengthening of the distribution network in Bihar, he said adding the work on various projects and schemes worth Rs 20,000 crore is already underway in the power sector.

 

To check power pilferage, he advocated installation of "pre-paid meters" that would do away with the problems of meter reading, distributing energy bills and revenue collection.

 

"The collection has gone up with the installation of pre-paid meters as some states have adopted it and the Bihar government should also go for it," he added.

 

Asked about the fate of 130 Mw Dagmara hydel power project which is located in this area (Supaul), Singh said that the hydel project is not viable due to high capital cost.

 

Singh hails from Supaul district of Bihar.

 

Source: Business Standard