EMBASSY OF INDIA

A. Major Bilateral Economic and Commercial Developments

1. Sun Pharma to expand Taro facilities

Taro Pharmaceutical Industries Ltd; controlling shareholder, India's Sun
Pharmaceutical Industries Ltd., is keeping its promise made during the
struggle for control of the Israeli company and will expand Taro's
operations. Sun Pharma announced that it will invest $100 million (4.5
billion rupees) over the next two years to expand and upgrade its

2. Dental device company Sialo signs Indian distribution deal

Sialo Technology Israel Ltd. has signed a 36-month distribution
agreement with India's Analytical and Medical Technologies Pvt.
Ltd. (AMT) to market Sialo's root canal and dental implant products in
India. AMT did not undertake to buy a minimum number of products, but
it will assume the responsibility and costs for obtaining regulatory
permits for them.

3. Teva president seeking partners in India

Teva Pharmaceutical Industries Ltd. president and CEO Shlomo Yanai
traveled to India to meet company employees and discuss potential
collaborations with Indian pharmaceutical companies.

B. Economic updates in Israel

1. Home prices up 63% since May 2007

Despite data published by the Ministry of Finance, which found a fall in
home prices, the Central Bureau of Statistics has reported a rise.
According to the figures published in the Central Bureau of Statistics
latest survey on home prices, the average price of an apartment rose by
1.5% in April 2011, and rose by 63.2% since the housing price index
measurements have begun in May 2007.

2. Arava Power inaugurates Israel's first solar field

After more then 5 years of bureaucracy Arava Power inaugurated the first
solar field in Israel called Ketura Sun, which is located in the fields of
Kibbutz Ketura, in the Arava. The first Israeli solar field is spread over 80
dunam (about 20 acres) of land and consists of 18,500 photovoltaic
panels, which were produced by Chinese Suntech Power. All the panels
are expected to produce about 9 million kilowatts per year, which would
provide electricity for a year for three average size kibbutzim in the

3. BoI: Housing prices rose 14% over the past year

The steps taken to reduce the demand and increase the supply of houses
have still not made a sufficient impact, and house prices continued to
increase rapidly, although at a slower pace than in 2010, stated the Bank
of Israel in its Survey of Recent Economic Developments.
The Bank of Israel says that Demand for apartments and activity in the
construction industry continued to grow despite the rise in the interest
rate that has reduced the demand for apartments for investment purposes.

4. Bank of Israel to invest foreign reserves abroad

The Bank of Israel plans to start investing some of its foreign currency
reserves in equities abroad by the end of the year. The pilot investment
would be through index trackers rather than specific stocks, and that
investments would be made in the largest, most liquid and sophisticated
markets through outside asset managers who are yet to be chosen.

5. Ministry gives nod to develop Noa gas field

Minister of National infrastructures Dr. Uzi Landau has instructed Noble
Energy to develop the Noa North gas reserve in the Noa license. The final
decision to develop the field came after operator Noble Energy convinced
the Ministry of National Infrastructures experts that the field did not spill
over into other parts of the reserve, which is partly under the jurisdiction
of the Palestinian Authority in the economic zone of the Gaza Strip.

6. Average monthly salary nears NIS 9,000
The average monthly salary in Israel rose to NIS 8,966, the Central
Bureau of Statistics reported. The number of salaried employees in the
country totals 2,984,000 based on preliminary estimates by the National
Insurance institute.
Israel's best paid employees remain in the electricity and water sectors in
with an average gross salary of NIS 22,855 followed by the financial
sector with an average gross salary of NIS 19,354.
The average monthly salary in industry is NIS 13,045, while public
administration employees earn NIS 12,584. Health services employees
and nurses earned an average of NIS 6,967 in March, while those
working in catering and hotels earned just NIS 4,166.

7. Israel's trade deficit balloons to US $6.2 billion

Israel's trade deficit almost tripled to US $6.2 billion in January-May
2011 from US $2.2 billion in the corresponding months of 2010, the
Central Bureau of Statistics reported. The trade deficit for May rose to an
all-time high of US $1.89 billion from US $790 million in May 2010.
The jump in the trade deficit was due to a sharp increase in imports,
including electronics, combined with a slowdown in exports, including
industrial exports.

C. Israeli Collaborations Worldwide

1. Israel Chemicals buys Mexican specialty chemicals company

Israel Chemicals Ltd. has signed an agreement to acquire Mexican
functional food ingredients and specialty chemicals manufacturer,
Cosmocel Quimica SA de CV. Israel Chemicals did not disclose the size
of the deal, but said that it expects to close it within weeks.
This is Israel Chemicals' third acquisition this year, after acquiring
Spanish fertilizer company Antonio Fuentes Mendez SA in April, and
completing its acquisition of US company Scotts' Global Professional
business in March. Israel Chemicals is also investing heavily to expand
its Spanish potash unit Iberpotash SA.

2. Ormat to build a 45-MW geothermal plant in New Zealand

Ormat Industries Ltd. US subsidiary Ormat Technologies Inc. has signed
a 45-megawatt BOT (Build, Operate and Transfer) agreement with New
Zealand's Tikitere Geothermal Power Ltd. (TGL) to build and operate a
geothermal power plant in the Tikitere geothermal area near Rotorua, on
New Zealand's north island. The company did not disclose the size of the
deal. This is Ormat's third project in New Zealand announced in the past
few months. Earlier it won a US $130 million contract - the largest ever
in the company's history - with Mighty River Power Ltd. for the first
stage of the Ngatamariki geothermal project. It also won a US $20
million contract to supply a geothermal power station. Ormat geothermal
plants already provide 260 megawatts of electricity in the country.

3. Better Place signs renewable energy deal in Australia

Electric car venture Better Place LLC has signed a US $60 million 10-
year deal with Australia's ActewAGL Ltd. for the supply of renewable
energy to Better Place’s electric car charging network in Canberra. This is
the largest renewable energy deal of its kind in Australia. ActewAGL will
supply the renewable energy from wind, hydro, and solar sources.

4. IAI sets up €43 million wind turbine joint venture

Israel Aerospace Industries Ltd. (IAI) will set up a €43 million joint
venture with a foreign company to develop, manufacture, set up, and
license wind turbines for the production of electricity. Each turbine will
have three megawatt capacity, and can be installed on land or at sea.
IAI and its partner, whose name the company did not disclose, will own
the joint venture in equal shares, and will share profits from any future
sales. The partner will transfer all its intellectual property rights for the
wind turbines to the joint venture.

5. New Chinese-Israeli fund CIGate.Asia raises US $88 million

CIGate.Asia is completing the raising of $88 million. CIGate.Asia aims
to enable Chinese corporations to invest in Israeli companies. The idea is
to create introductions between Chinese corporations and Israeli start-ups,
which will lead to their acquisitions and the establishment of Chinese
R&D centers in Israel. On the Israeli side, the objective is to give Israeli
start-ups a gateway into the Chinese market via local companies.

6. AMD to establish Israel R&D center in Tel Aviv

Advanced Micro Devices Inc. announced that it will set up an R&D
center in Tel Aviv, based on heterogeneous computing and 3D graphics
developer Graphic Remedy, which it acquired six months ago.
AMD says that the Israeli R&D center will develop next-generation
parallel computing platforms.
7. General Electric to set up new Israeli R&D center

General Electric will open its eighth R&D center in the country, at an
investment of $3-5 million. The R&D center will engage in research in
medical devices, water, and clean energy. The R&D center will be set up
in Haifa, near the center of GE subsidiary GE Healthcare, which has
hundreds of employees who work on medical imaging systems. GE
currently has 450 employees at seven centers in Israel, out of the
company's total global workforce of 30,000.

8. Elbit in first export deal for most advanced UAV

Chile is the first country outside Israel to procure the most advanced
unmanned aerial vehicle (UAV) made by Elbit Systems Ltd. the Hermes
900. Industry sources estimate the deal at several tens of millions of
dollars. Elbit Systems will also supply ground control stations and
designated payload systems for a range of operations.

9. Ness Technologies bought by Citi unit for US $307 million

IT services and solutions company Ness Technologies Ltd. announced
that Citigroup Inc. unit Citi Venture Capital International (CVCI) will
acquire the company for US $307 million in cash. Ness's board of
directors recommended that the shareholders approve the deal.

10. Amdocs, AT&T inaugurate Israel innovation center

Amdocs Ltd. and AT&T Inc. inaugurated their permanent Israeli
innovation center. The center will enable Israeli start-ups and developers
to work with AT&T, Amdocs's biggest customer.

D. New Technologies – Israeli Companies in focus

1. A new syringe to inoculate 3000 chickens an hour

A new Israeli development will allow mass inoculation of poultry. The
innovative syringe, developed by E. Nechmad Ltd. will improve present
day immunization average by 15%. Moreover, it will assure correct
dosage using a special mechanism and prevent wastage.

2. Artificial meniscus
    The Israeli developed artificial meniscus can potentially ease the lives of
    millions of people worldwide. The implant will allow patients that
    undergone knee surgery to attain full function of their knee. The implant
    maintains the smooth motion that does not wear the knee.

    3. Laser shield

    Sky Shield, a new system developed in Israel by Elbit Systems will
    protect civilian airliners from shoulder-fired missiles using a high-
    powered jamming laser to misdirect the oncoming missile. The system, a
    long coming solution to the shoulder-fired missiles threat, will be
    installed in Israeli airliners in the coming year.

     E. India-Israel Bilateral Trade Statistics

    (i) Bilateral trade figures for the month of May 2011

            Bilateral trade figures for May 2011 have been received from the
    Central Bureau of Statistics of Israel. Salient points are:

     India-Israel two-way trade increased by 5.48% in May 2011, from
    US$ 422.9 million in May 2010 to US$ 446.1 million in May 2011.

      Indian exports to Israel increased by 31.25% from US$ 176 million
    in May 2010 to US$ 231 million in May 2011. Indian exports excluding
    diamonds increased by 22.9% from US$ 59.8 million in May 2010 to
    US$ 73.5 million in May 2011.

      Israeli exports to India decreased by 12.87% from US$ 246.9
    million in May 2010 to US$ 215.1 million in May 2011. Israeli exports
    excluding diamonds decreased by 56.11% from US$ 143.8 million in
    May 2010 to US$ 63.1 million in May 2011.

      There was an increase of 41.13% in diamonds traded between the
    two countries in May, from US$ 219.3 million in May 2010 to US$ 309.5
    million in May 2011. Export of diamonds from India to Israel increased
    by 35.54% from US$ 116.2 million in May 2010 to US$ 157.5 million in
    May 2011. Exports of diamonds from Israel to India increased by
    47.42% from US$ 103.1 million in May 2010 to US$ 152 million in May

      Balance of trade for May 2011 is in India’s favor by US$ 15.9
      Israel’s two-way global trade increased by 34.26% from US$
    9657.9 million in May 2010 to US$ 12966.9 million in May 2011. India’s
    share in Israel’s two-way global trade decreased from 4.37% in May
    2010 to 3.44% in May 2011.

      Share of India’s exports in Israel’s global imports (including
    diamonds) decreased from 3.62% in May 2010 to 3.33% in May 2011.

      Share of India’s exports in Israel’s global imports (excluding
    diamonds) decreased from 1.43% in May 2010 to 1.29% in May 2011.

      Share of Israel’s exports to India in Israel’s global exports
    (including diamonds) decreased from 5.13% in May 2010 to 3.56% in
    May 2011.

      Share of Israel’s exports to India in Israel’s global exports
    (excluding diamonds) decreased from 4.27% in May 2010 to 1.67% in
    May 2011.

    (ii) Bilateral trade figures for the period January-May 2011

          Salient points of the bilateral trade figures during January-May
    2011 (Central Bureau of Statistics of Israel) are:

      India-Israel two-way trade during Jan-May 2011 decreased by
    0.43% from US$ 2161.8 million in Jan-May 2010 to US$ 2152 million in
    Jan-May 2011.

      Indian exports to Israel during January-May of 2011 increased by
    20.28% (from US$ 770.1 million in Jan-May 2010 to US$ 926.3 million
    in Jan-May 2011). Indian exports to Israel excluding diamonds
    increased by 21.65% (from US$ 281.2 million in Jan-May 2010 to US$
    342.1 million in Jan-May 2011).

      Israeli exports to India during January-May of 2010 decreased by
    11.89% (from US$ 1391.7 million in Jan-May 2010 to US$ 1226.2
    million in Jan-May 2011). Israeli exports to India excluding diamonds
    for this period decreased by 45.35% (from US$ 868.5 millions in Jan-
    May 2010 to US$ 474.6 millions in Jan-May 2011).

      There was an increase of 31.98% in diamonds traded between the
    two countries during January-May of 2011 (from US$ 1012.1 millions in
    Jan-May 2010 to US$ 1335.8 millions in Jan-May 2011). Exports of
    diamonds from India to Israel during this period increased by 19.49%
    (from US$ 488.9 million in Jan-May 2010 to US$ 584.2 million in Jan-
    May 2011) while imports into India increased by 43.65% (from US$
    523.2 million in Jan-May 2010 to US$ 751.6 million in Jan-May 2011).

     Balance of trade during January-May of 2011 is in Israel’s favor by
    US$ 299.9 millions.

      Israel’s two-way global trade during January-May of 2011
    increased by 24.16% (from US$ 47270.6 million in Jan-May 2010 to
    US$ 58695.1 million in Jan-May 2011). India’s share in Israel’s two way
    global trade in this period decreased from 4.57% (in Jan-May 2010) to
    3.66% (in Jan-May 2011).

      Share of India’s exports in Israel’s global imports (including
    diamonds) for this period, decreased from 3.28% (in Jan-May 2010) to
    3.02% (in Jan-May 2011).

      Share of India’s exports in Israel’s global imports (excluding
    diamonds) for this period decreased from 1.38% (in Jan-May 2010) to
    1.31% (in Jan-May 2011).

      India is ranked 10th largest import source of Israel including
    diamonds, and 16th largest import source excluding diamonds (in Jan-
    May 2011).

      Share of Israel’s exports to India in Israel’s global exports
    (including diamonds) for this period, decreased from 5.83% (in Jan-
    May 2010) to 4.37% (in Jan-May 2011).

      Share of Israel’s exports to India in Israel’s global exports
    (excluding diamonds) for this period decreased from 5.05% (in Jan-
    May 2010) to 2.53% (in Jan-May 2011).

      India is ranked 4th largest export destination of Israel (including
    diamonds) and 9th when excluding diamonds (in Jan-May 2011).

    (Source: The Central Bureau of Statistics of Israel, www.cbs.gov.il)

    F. Business offers from Israeli companies

    No Company                          Products
1.    Café Yarok                          Café Yarok, a trading house and supplier
      9 Feinshtein St. Misor-Hanof,       of quality green coffee beans, is looking
      Rishon Le-Zion, Israel 75469        for       leading      green        coffee
      Contact:    Mr.     Ofer    Nixon   producers/suppliers of Monsoon Malabar
      (Managing Director).                AA, Plantation AA and Cherry AA.
      Tel: +972-509-474745
      Fax: +972-77-555-8398
      Website: www.cafeyarok.com
      Email: ofer@cafeyarok.com

2.    Y. Sefami Ltd.                  The company is looking for stationary &
      84 Ben Zvi Rd. Panorama Bldg., office equipment suppliers/exporters. Its
      Tel Aviv, Israel.               policy is based on:
      Tel: 972-3-6816127                   Quality products
      Fax: 972-3-6817732                   Compatible prices
      Email: Sefami1@bezeqint.net          Professional, efficient and quick
      Website: www.officeyashir.co.il          service

3.    MSP                             The    company        offers International
      Moshav nahala 24, 79540 Israel. commerce services accompanied by
      Contact: Mr. Shuker Sahar       technological skills.
      Mobile: 972-52-3944942
      Website: www.msp-intl.com

G.      Exhibitions and Conferences in Israel

Serial Date of      Details of Event
 1.    27           Israel Unmanned Systems 2011
       March        Exhibition and Conference
       to 1         http://www.airlift.co.il

 2.      5-6        CleanTech 2011
         July,      15th International Summit and Exhibition for Clean
         2011       Technology

 3.      5-6        Jovella 2011
         July,      The 8th International Jewelry Exhibition in Israel
         2011       http://www.stier.co.il

 4.      1-3        FisCom
         Nov,       International Exhibition for Office and Computer
        2011       Technologies

  5.    1- 3       Isprint
        Nov,       International Exhibition for Printing Industry and Cross
        2011       Media Technologies

  6.    8-10       ACLIMA
        Nov,       International Exhibition for Air-Conditioning, Heating,
        2011       Refrigerating and Ventilation

  7.    15-17      Watech Israel 2011
        Nov,       The 6th International Water Technologies, Renewable
        2011       Energy, and Environmental Control Exhibition

  8.    29 Nov-    KITEX
        1 Dec      International Exhibition for Institutional Kitchen and
        2011       Restaurant Equipment

  9.    15-17      Agritech Israel 2012
        May,       The 18th International Agricultural Exhibition
        2012       http://www2.kenes.com/agritech2012/Pages/Home.aspx

 10.    10-13      Plasto Ispack 2012
        Sep,       International Exhibition for Plastics, Rubber and
        2012       Packaging Innovations

Address & contact details of the Commercial Wing, Embassy of India:

Mr. Sanjay Vyas, First Secretary (Economic & Commerce), Embassy of
140, Hayarkon Street, Tel Aviv 63451 – P.O. Box 6633, Tel Aviv 61033.
Tel: 03-5291999; Fax: 03-5270821; E-mail: eoitlvcom@indembassy.co.il
Please send your comments, feedback and enquiries to the Commercial Wing of the Indian
Embassy in Tel Aviv. Please visit the Website: www.indembassy.co.il

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