Indian Economy-News & Updates

[Hindustani78]

http://www.thehindu.com/news/nation...g-season-begins/article9297625.ece?ref=tpnews

Sugar cane crushing operations in the Salem Cooperative Sugar Mill at Mohanur for 2016-17 commenced here on Saturday.

District Collector M. Asia Mariam inaugurated the crushing by dropping a sugar cane bunch onto the conveyor belt.

MLAs K.P.P. Baskar, and K.S. Moorthy; administrative committee president M. Sivabagyam; and managing director of the mill R. Priya; were present.

Quantity

Ms. Asia Mariam said that 3.50 lakh tonnes of sugar cane obtained from 3,451 acres have been proposed to be crushed during the current season.

During 2015-16, about 3.47 lakh tonnes of sugar cane were crushed with an average sugar recovery of 8.30 per cent.

The Collector added that the payment for farmers would be credited to their bank accounts within 14 days after receiving the sugar cane. She said that the mill bagged second place at the national level for best financial management for 2015-16.

She requested the farmers to supply the much needed sugar cane to the mill so that the target is achieved.

District Revenue Officer K. Palanisamy, Aavin president Chinnasamy, officials, farmers and workers too participated.

 

[Nilgiri]

 

[itachii]

Manufacturing growth hits nearly 2-year high

India’s manufacturing sector growth expanded at its fastest pace in almost two years in October, boosted by a surge in output and new orders, but it came alongside a sharp rise in input costs and some pass on to end-consumers, says a survey.

The Nikkei Markit India Manufacturing Purchasing Managers’ Index (PMI) — a gauge of manufacturing performance — rose to 54.4 in October from 52.1 in September, indicative of a robust improvement in manufacturing business conditions in the country. A reading above 50 in terms of manufacturing performance indicates expansion, while the marking below it means contraction. “October data provide positive news for India’s economy, as manufacturing output and new orders expanded at the fastest rates in 46 and 22 months, respectively,” Pollyanna De Lima, Economist at IHS Markit and author of the report, said.

In October, output increased for the 10th straight month and at the quickest rate in nearly four years and survey respondents attributed the latest rise in production to strong growth of new orders.

“The sector looks to be building on the foundation of the implied pick-up in growth in the previous quarter,” Lima said but added that the extended easing cycle of the Reserve Bank, however, brought upside risks to inflation. The latest PMI data should help reinforce views India’s economy is growing at a robust pace, but it could also point to risks of inflation gathering steam and crimping the Reserve Bank of India’s room to ease policy further. The RBI’s Monetary Policy Committee (MPC), which has three members nominated by the government and the rest from RBI, lowered repo rate to 6.25 per cent from 6.50 per cent at the end of 2-day deliberations on October 4. The next meeting of the MPC is scheduled on December 6 and 7.

On prices, the survey said that part of the increase in cost burdens was passed on to consumers by way of higher selling prices, which is likely to continue on an upward trend as we head towards the year end. The amount of new work received by manufacturers grew markedly during October and the rate of expansion hit a 22-month high, largely driven by improved underlying demand.

http://indianexpress.com/article/bu...uring-growth-hits-nearly-2-year-high-3732936/

@Nilgiri

 

[Nilgiri]

Manufacturing growth hits nearly 2-year high

India’s manufacturing sector growth expanded at its fastest pace in almost two years in October, boosted by a surge in output and new orders, but it came alongside a sharp rise in input costs and some pass on to end-consumers, says a survey.

The Nikkei Markit India Manufacturing Purchasing Managers’ Index (PMI) — a gauge of manufacturing performance — rose to 54.4 in October from 52.1 in September, indicative of a robust improvement in manufacturing business conditions in the country. A reading above 50 in terms of manufacturing performance indicates expansion, while the marking below it means contraction. “October data provide positive news for India’s economy, as manufacturing output and new orders expanded at the fastest rates in 46 and 22 months, respectively,” Pollyanna De Lima, Economist at IHS Markit and author of the report, said.

In October, output increased for the 10th straight month and at the quickest rate in nearly four years and survey respondents attributed the latest rise in production to strong growth of new orders.

“The sector looks to be building on the foundation of the implied pick-up in growth in the previous quarter,” Lima said but added that the extended easing cycle of the Reserve Bank, however, brought upside risks to inflation. The latest PMI data should help reinforce views India’s economy is growing at a robust pace, but it could also point to risks of inflation gathering steam and crimping the Reserve Bank of India’s room to ease policy further. The RBI’s Monetary Policy Committee (MPC), which has three members nominated by the government and the rest from RBI, lowered repo rate to 6.25 per cent from 6.50 per cent at the end of 2-day deliberations on October 4. The next meeting of the MPC is scheduled on December 6 and 7.

On prices, the survey said that part of the increase in cost burdens was passed on to consumers by way of higher selling prices, which is likely to continue on an upward trend as we head towards the year end. The amount of new work received by manufacturers grew markedly during October and the rate of expansion hit a 22-month high, largely driven by improved underlying demand.

http://indianexpress.com/article/bu...uring-growth-hits-nearly-2-year-high-3732936/

@Nilgiri

Yup saw this news yesterday. The overall high end job growth is looking on the up as well. The mass sector job growth is the last main piece in the puzzle....a very crucial one....that Modi govt needs to get right in the upcoming months as credit situation eases, business and labour regulations continue to improve, land-lease kicks off, and GST kicks in. The spark will be this current quarter from the data I have seen, and the momentum needs to not be squandered. India can sure use at least another 10 or so Modis in various states....but at least we have one now where it counts.

 

[Nilgiri]

Looks like exports are about to turn a major corner soon, finally!:

http://www.business-standard.com/ar...-trend-to-show-sharp-rise-116103101235_1.html

Export credit breaks trend to show sharp rise

Exporters attribute this recovery to better exports in geographies such as the European Union


After several months of sluggish growth, export credit by banks has risen significantly. The outstanding gross export bank credit saw a 27.9 per cent increase as of August 2016 on a year-on-year basis, against 19.2 per cent in September 2015, data from Reserve Bank of India show.

After a sustained period of negative growth, export credit has been witnessing a positive growth for the past six months. Exporters attribute this recovery to better exports in geographies such as the European Union, along with the reintroduction of interest equalisation scheme, which was earlier known as interest subvention.


In November 2015, the government had introduced a three per cent interest equalisation scheme on pre-and post-shipment rupee export credit, retrospectively with effect from April 1, 2015 for five years. In April 2014, the government had withdrawn three per cent interest subvention scheme for exports. Lower interest rates were also a contributing factor for increased export credit.

“There are encouraging signs of exports and many sectors are picking up. There is a big demand in project finance, requiring medium and long-term credit. However, global growth remains a challenge. India’s growth in trade was around 10 per cent for a decade, mainly because of high global growth in trade.

Also, export credit insurance facilities need to be strengthened,” said Yaduvendra Mathur, chairman and managing director at Exim Bank.

It may be noted that India’s merchandise exports during September 2016 has shown signs of revival registering 4.62 per cent growth in dollar terms (5.45 per cent higher in rupee terms) valued at $22,880.56 million (Rs 1,52,699.59 crore) in September 2016, against $21,869.36 million (Rs 1,44,814.06 crore) during September 2015.

According to Suranjan Gupta, additional executive director at the Engineering Export Promotion Council of India, engineering exports to the European Union in the month of September saw a 20 per cent growth on a year-on-year basis, against 12.8 per cent in the same period last year.

“In September, there has been a revival in some markets in Europe. Domestic situation is not great; so manufactures are pushing for exports. Both in the months of July and September, engineering exports on an average was above $5 billion,” said Gupta. Exporters also attribute longer credit period offered by Indian exporters to the increase in export credit. Earlier, Indian exporters were offering goods at 30-60 days credit period; they are now offering the same at 60-90 days period. Thus, by offering an extended time of repayment, exporters are looking to incetivise international buyers. In consequence, the loans in books of banks remain outstanding for a longer period.

“In the past two months, we have seen exports have shown growth. We are getting a longer credit period, which means need for finance goes up.

Earlier, we used to sell goods at a credit of 30-60 days, but now we are selling at 60-90 days due to demand constraints,” said P K Shah, director of Nipha Exports.

 

[rott]

I don't mean to diss, but i heard the double decker hasn't caught on much in India. Is this true?

 

[anant_s]

I believe u guys end up with a bad deal, just look Taiwan hsr using Japan's technology, due to high construction and operation cost,

Project cost run overs and time spillage are quite normal on Indian Infa projects and therefore i won't be surprised if this project too has this problem.
However on Japan's co-operation, the project comes with extremely lenient funding offer and was offered by Japan's PM. Secondly this route Mumbai Ahmadabad is an extremely busy route with a relatively low distance ~350 kms and hence this project is implemented as a template to see, if Indian passenger sector has matured to lap HST.
Longer routes are then planned and here Chinese help will come into fray. Infact China is already having a consultancy contract on Delhi Madras HSR link (~2000 kms). I believe planners have taken into account Chinese expertise on long distance rail links on cross country terrains.

On question of land, most of these links are proposed on existing land owned by railways along existing rail routes, so, this isn't as bad as green field projects. However funding remains an issue and i wish to see how it is tackled.

I don't mean to diss, but i heard the double decker hasn't caught on much in India. Is this true?

Not really, these are well patronized services, especially after Double Decker AC services have been launched. these have seating accommodations only and operate on short distance service (300+300 kms to & fro) presently.

 

[Hindustani78]

The centre is expected to begin full-fledgedoperations on Saturday.— photo: rajendra singh hajeri
Govt. has fixed Rs. 624 a quintal on Fair Average Quality basis

Onion farmers in the district have reason to cheer with the district administration opening an onion procurement centre at the APMC yard on Friday.

The government has opened such centres in Vijayapura, Bagalkot, Haveri, Gadag, Koppal, Raichur, Ballari, Chitradurga, Davangere, Belagavi, Dharwad and Chikkamagaluru. In Vijayapura, only one centre has been opened, but depending on the need more may be opened, he added.

Horticulture Department, onion was cultivated on around 3,300 hectares in the district during the kharif season. “In 2011, the district had procured around 288 quintals of onion, and this year it will be at least double of that,” he said.

 

[Bad Guy]

FDI in India rises 30 per cent to $21.6 billion in April-Sep

 

[Hindustani78]

Taking stock:Rahim Khan, chairman of The Karnataka State Warehousing Corporation, inspecting a godown in Bidar on Saturday.

http://www.thehindu.com/news/nation...city-of-godowns/article9311492.ece?ref=tpnews

The Karnataka State Warehousing Corporation will ensure that farmers in the State get remunerative price for their produce by increasing the storage capacity of its godowns, corporation chairman Rahim Khan, MLA, said here on Saturday.

Mr. Khan also told The Hindu that the State government would seriously consider building hi-tech silos in villages and community godowns in gram panchayats.

“Till now, we concentrated only on storage of grains. Now, we will consider constructing cold storages to store fruits and vegetables,” he said.

Farmers will be able to store their produce for as long as they desire and sell when they feel the price is right, he said, adding that the corporation will also help farmers get bank loans by pledging their produce.

Officials told him that while Bidar had a total storage capacity of 44,500 tonnes, Basava Kalyan had 10,000 tonne capacity godowns. Aurad, Bhalki and Hudgi had a capacity of 5,000 tonnes each, they said.

M. F Patil, divisional manger, also told the chairman about the need to repair some old godowns.

 

[cloud_9]

That's a colossal fck up!

 

[CorporateAffairs]

#Apple seeks incentives to shift production to India from China!
http://economictimes.indiatimes.com...p-manufacturing-unit/articleshow/55271554.cms

 

[AndrewJin]

Project cost run overs and time spillage are quite normal on Indian Infa projects and therefore i won't be surprised if this project too has this problem.
However on Japan's co-operation, the project comes with extremely lenient funding offer and was offered by Japan's PM. Secondly this route Mumbai Ahmadabad is an extremely busy route with a relatively low distance ~350 kms and hence this project is implemented as a template to see, if Indian passenger sector has matured to lap HST.
Longer routes are then planned and here Chinese help will come into fray. Infact China is already having a consultancy contract on Delhi Madras HSR link (~2000 kms). I believe planners have taken into account Chinese expertise on long distance rail links on cross country terrains.
View attachment 349469

On question of land, most of these links are proposed on existing land owned by railways along existing rail routes, so, this isn't as bad as green field projects. However funding remains an issue and i wish to see how it is tackled.


Not really, these are well patronized services, especially after Double Decker AC services have been launched. these have seating accommodations only and operate on short distance service (300+300 kms to & fro) presently.
View attachment 349470

I actually like double decker....
Here we also have double decker sleepers, used in long-distance services.
But the speed is not fast, 120-160km/h, only on conventional lines.

 

[Hindustani78]

Gatimaan Express runs between Delhi and Agra at a maximum speed of 160 kmph. PHOTO: PTI

Railways has recently introduced Gatimaan Express between Delhi and Agra at 160 km per hour speed.
After the successful launch of Gatimaan Express, the Railways has undertaken a mammoth exercise of reducing journey time on the Delhi-Howrah and Delhi-Mumbai routes by increasing the speed of trains up to 160 km per hour at an estimated cost of Rs. 10,000 crore.

“We have firmed up an action plan to increase the train speed up to 160 km per hour on the total 9,000-km main trunk routes across the country as part of the Mission Raftaar project. To begin with, we have started the work on two major busy routes of Delhi-Mumbai and Delhi-Howrah,” said a senior Railway Ministry official involved in the project.

Railways has recently introduced Gatimaan Express between Delhi and Agra at 160 km per hour speed.

Strengthening of the track, upgrading of signalling system and fencing off vulnerable sections along the route are to be undertaken to ensure the speed on the two busy corridors, as per the plan.

While the Delhi-Howrah route is used by about 120 passenger trains and around 100 goods trains every day, some 90 passenger services and an equal number of freight trains run on the Delhi-Mumbai corridor daily.

‘Scope for more trains’

“Once these two major routes are upgraded to 160 km per hour speed, there will be scope for launching more passenger trains in these sectors. This will reduce the waiting list of passengers in some of the popular trains as many more such services with similar facilities will be on the offer,” the official said.

As far as cost is concerned, the official said, it was being calculated and is estimated to cost about Rs. 10,000 crore for the two sectors.

All zones involving the two corridors have been instructed to undertake the work as a mission so that trains can move at a maximum speed of 160 kmph in the next three years.

The 1,400-km-long Delhi-Howrah and the 1,500-km-long Delhi-Mumbai rail corridors are among the two major busy routes of the Golden Quadrilateral of Indian Railways. Other routes are Howrah-Chennai, Delhi-Chennai and Chennai-Mumbai.

 

[kadamba-warrior]

#Apple seeks incentives to shift production to India from China!
http://economictimes.indiatimes.com...p-manufacturing-unit/articleshow/55271554.cms

What do we have to lose?!

Just do whatever it takes to get them on our shores please. Others will follow eventually.

It hurts my eyes just to look at how much forex we pay for even basic electronic goods for a country that is supposed to be good at software.