Who Needs to Look at India in 2025?

Company Setup

Company Setup

Company Setup

Jul 7, 2025

1 Macro snapshot — India in numbers

  • GDP: ≈ USD 3.8 trillion, with the IMF projecting ~6.8 % real growth in FY 2025-26.

  • Demographics: 67 % of 1.44 billion citizens are under 35; 12 million new entrants to the workforce each year.

  • Digital economy: 150 billion annual UPI payments; cheapest 1 GB mobile data cost among G-20.

  • Capital inflows: USD 46 billion net FDI in FY 2024-25 — highest ever for India, third-highest globally.

  • Political stability: Single-party majority since 2014; 34 places jumped in World Bank Logistics index (2016-24).

2 India vs peer destinations

Metric

India

Vietnam

Indonesia

Population (millions, 2025)

1,440

100

281

Median age (yrs)

29

34

32

Urban internet cost (1 GB, USD)

0.13

0.70

0.48

Corporate tax headline rate

22 % (new regime)

20 %

22 %

Average monthly engineer salary (USD)

1,100

1,300

1,250

English‑proficient graduates (’000/yr)

850

100

120

Beacon Filing takeaway: India’s talent pool and data-cost advantage outweigh slightly higher corporate tax versus ASEAN peers.

3 Five structural advantages foreign founders love

  1. Unified Single Market — GST subsumed 17 taxes; interstate e-way bill lets a truck cross India in 72 hrs (vs 138 hrs pre-2017).

  2. Digital Public Infrastructure — Aadhaar, UPI, Account-Aggregator rails slash KYC cost by 70 %.

  3. Production-Linked Incentive (PLI) Schemes — 14 sectors, USD 26 bn incentives till 2028; mobile phones alone drew Apple & Samsung supply chains.

  4. Growing Middle Class — 85 million households will earn > USD 10k disposable income by 2027 (EY estimate).

  5. Geo-economic hedge — “China + 1” sourcing strategy pushes suppliers to India for risk diversification.

4 Hot sectors for 2025-30

Sector

2025 size (USD bn)

CAGR 25–30 %

FDI route

Beacon Filing insight

Electronics mfg

115

21

100 % auto (minus defence)

PLI up to 6 % cash‑back on sales

Renewable energy

19 GW add/yr

> 25

100 % auto (generation)

Green‑H2 duty waiver till 2030

FinTech & payments

85

18

100 % auto (B2B)

GIFT‑IFSC grants 10‑yr tax holiday

EV & battery

7

34

100 % auto (manufacturing)

Customs duty cut on Li‑ion cells to 5 %

Pharma CDMO

55

14

100 % auto

Bulk‑drug parks offer 50 % cap‑ex subsidy

5 Incentive menu you can mix-and-match

  • GIFT City Section 80LA: Choose any 10 of 15 years at 0 % income tax.

  • SEZ profit holiday: 15 yrs (100 % for 5 yrs, 50 % next 10).

  • State SGST refunds: Maharashtra, Tamil Nadu refund 50-75 % of state GST for mega projects.

  • Import-duty exemptions: Zero customs on capital goods routed through SEZ/GIFT for export production.
    Beacon Filing models NPV of each incentive stack so CFOs know which state + scheme combo maximises IRR.

6 Entry pathways & timelines

Pathway

Calendar days to go-live (typical)

Beacon Filing deliverable

Wholly‑owned subsidiary (Pvt Ltd)

18 – 25

SPICe+, PAN/TAN, GST + 1‑yr compliance concierge

LLP with 100 % FDI

25 – 35

FiLLiP, FDI‑LLP filings, resident DP service

GIFT IFSC unit

55 – 70

IFSCA licence pack + SEZ operationalisation

Contract manufacturing via Indian OEM

30

Draft and vet 100 % buy‑back agreement; map GST reversal risk

7 Biggest mistakes we fix Using a trading entity for future manufacturing — loses PLI eligibility; we structure spin-off before cap-ex hits. Late Form FC-GPR / FLA filings — RBI penalties at USD 7,000 per entry; our FEMA desk files within 30 days of share issue. Over-aggressive royalty pricing — triggers 10 % withholding + transfer-pricing adjustment; Beacon Filing benchmarks to OECD range.

8 Real-world founder stories

Seoul-based SaaS opened a GIFT unit; 10-year tax holiday saved USD 1.8 m in year 1.
Dutch EV battery firm flipped a contract-manufacture deal into a 100 % subsidiary in 22 days; imported pilot line duty-free.
US wellness brand tested D2C demand via an Amazon India storefront, then moved into a Bengaluru warehouse once monthly GMV hit ₹1 cr.

9 Beacon Filing — your India launch engineer

  • Big-4 trained CAs + ex-DPIIT policy officers on one retainer.

  • FEMA, transfer-pricing and indirect-tax desks in-house — no agency ping-pong.

  • Launch-to-scale playbook: entity set-up → incentives → bookkeeping → audit → exit support.

  • Flat-fee + SLA: weekly progress tracker, escrow refund if milestone slips.

Ready to make India your fastest-growing market?
Book a strategy call and let Beacon Filing turn regulations into runway.

Disclaimer (23 July 2025): Data reflects sources available on the date above; laws and incentives may change. Always seek personalised professional advice before acting.

Business clarity, operational excellence, and transformation support for leaders ready to grow with intention.

Contact us

336, Sector 16B, Dwarka, New Delhi 110078

Phone :

+91 8745013644

Copyright © 2025 Beacon Filing. All rights reserved.

Business clarity, operational excellence, and transformation support for leaders ready to grow with intention.

Contact us

336, Sector 16B, Dwarka, New Delhi 110078

Phone :

+91 8745013644

Copyright © 2025 Beacon Filing. All rights reserved.

Business clarity, operational excellence, and transformation support for leaders ready to grow with intention.

Contact us

336, Sector 16B, Dwarka, New Delhi 110078

Phone :

+91 8745013644

Copyright © 2025 Beacon Filing. All rights reserved.