The government has begun work on redrafting the proposed national industrial policy, keen to offer benefits in addition to what states provide. “We don’t want to replicate the state models but we have decided to engage in wider consultations,” said a senior official aware of the plans. The government has already constituted a working group to prepare the contours of the new industrial policy to make India a manufacturing hub. The working group, comprising members from seven state governments, the Centre and domestic industry, will consult stakeholders, identify pain points of industry and develop actionable solutions for short and medium term and also delineate the role for the private sector in achieving the national targets. The move comes even as India’s industrial production shrank 1.1% in August, the worst performance in almost seven years, reflecting a slump in demand and highlighting the challenge faced by the government in reversing the economic slowdown. The working group, comprising members from seven state governments, the Centre and domestic industry, will consult stakeholders, identify pain points of industry and develop actionable solutions for short and medium term and also delineate the role for the private sector in achieving the national targets. The move comes even as India’s industrial production shrank 1.1% in August, the worst performance in almost seven years, reflecting a slump in demand and highlighting the challenge faced by the government in reversing the economic slowdown. The Department for Promotion of Industry and Internal Trade (DPIIT) had proposed the new industrial policy last year, with an aim to create jobs for the next two decades and attract $100 billion foreign direct investment annually.
Source: Economic Times
A notification by the Cabinet Secretariat announced the addition of Neelkanth Mishra, Nilesh Shah, Anantha Nageswaran's names as part-time members of the EAC-PM. Less than a month after reconstituting the Economic Advisory to the Prime Minister, the centre has added three more part-time members to the advisory body – Neelkanth Mishra, Nilesh Shah and Anantha Nageswaran. Mishra is the India Equity Strategist for Credit Suisse, Shah is the Managing Director of Kotak Mahindra Asset Management, and Nageswaran is the Dean of IFMR Graduate School of Business. Since they are part-time members, they may not have to take leave from their current posts. The new appointments were announced through a notification by the Cabinet Secretariat on Wednesday. Late last month, the centre had reconstituted the EAC-PM for a period of another two years. Rathin Roy from the National Institute of Public Finance and Policy and Shamika Ravi of Brookings Institution were dropped as part-time members. Sajjid Chenoy, India economist at JP Morgan was the new part-time member announced at that time. Part-time member Ashima Goyal of Indira Gandhi Institute of Development Research and full-time members Bibek Debroy of NITI Aayog and Ratan Watal are continuing to be part of the EAC-PM. Debroy retains his role as chairman of the EAC-PM, while former Finance Secretary Watal will continue being the member-secretary. After the latest additions, the strength of the EAC-PM has gone up to seven, with two full-time members and five part-time members, from five full-and part-time members total in the body’s earlier term. The EAC-PM was revived in September 2017 with a term of two years. It replaced the erstwhile PMEAC which was headed by former Reserve Bank of India governor C Rangarajan during the terms of former Prime Minister Manmohan SinghThe council was tasked with analyzing any issue, economic or otherwise, referred to it by the PM, according to its terms of reference. The body could also take up the issues suo motu. It has submitted around three-four papers to the Prime Minister’s office, on issues like employment, fiscal situation, economic growth, manufacturing and infrastructure. None of its work has been made public.Its latest work, still ongoing, is a task force on employment, it has submitted a brief to the PMO on what to do to alleviate growth slowdown, and hence create jobs. A more detailed report is expected to be submitted on the same.
Source: Business Standard
It is important for India to keep fiscal deficit in check, even though its revenue projections look optimistic, Chief Economist of the International Monetary Fund (IMF) Gita Gopinath has said. As against India's real growth rate of 6.8 per cent in 2018, the IMF in its latest World Economic Outlook, released on Tuesday, projected the country's growth rate at 6.1 per cent in 2019 and noted that the Indian economy is expected to pick up at 7 per cent in 2020. In India's case, there has been a negative impact on growth that has come from financial vulnerabilities and the nonbank financial sector, and the impact on consumer borrowing and borrowing of small and medium enterprises, Gopinath said. The prominent Indian-American economist was speaking to reporters ahead of the annual meeting of the IMF and the World Bank. On the projections in the World Economic Outlook report, Gopinath said appropriate steps have been taken. Appreciative of the recent steps being taken by Finance Minister Nirmala Sitharaman to address the economic challenges being faced by India, she said there is still a lot more that needs to be done.
Source: Economic Times
The stagnation of the ITIs didn’t occur only because services rapidly became the dominant sector of the Indian economy while the ITIs remained skilling factories for the manufacturing sector. Against a backdrop of a large skilling gap—as per government data, less than 5% of the workforce is formally skilled, compared to say 28% in China and 75% in Germany—Delhi planning a Skills and Entrepreneurship University is welcome news. The university, as per news reports, will focus on ensuring graduates are skilled in accordance with market needs. So, it will not be enough to just bring existing Industrial Training Institutes (ITI), polytechnic institutes, and skill development centres under the aegis of the university, as is planned; the need will be to ensure that the training programmes are upgraded significantly given how obsolete ITI training has meant poor uptake of pass-outs by industry. The proposed university will also be open to collaborations with foreign skilling institutes and universities. For the university to have any meaningful impact, it will need to address the shortcomings of the present skilling ecosystem in the country. The stagnation of the ITIs didn’t occur only because services rapidly became the dominant sector of the Indian economy while the ITIs remained skilling factories for the manufacturing sector. Manufacturing itself has shifted decisively towards Industry 4.0, which is founded on emerging technologies that the ITIs are largely not equipped to train people for. It is simply not enough anymore, for instance, to hold a Bachelor’s degree (vocational) in computer science without competence in data analytics or machine learning. Industry’s tech-positive turn is also impacting services—secretarial assistants, for instance, require a much more sophisticated set of skills than they did in the past. With near-logarithmic progression of technological developments, the need for continuous up-skilling has emerged as a key demand. Data from the World Economic Forum show that nearly 54% of the country’s workforce today is in need of re-skilling, with nearly 41% needing re-skilling/up-skilling levels that could take anywhere between a month and over a year to achieve. Increasing automation also imposes a higher ask, in terms of both skill requirement and minimum learning levels. While the McKinsey Global Institute estimates that in a mid-point scenario, automation will cost the country 57 million jobs—it will add 114 million jobs at the baseline scenario—100 million new jobs will require secondary-level education, and jobs requiring college level education will go up by 50%. India’s manufacturing sector has staggering levels of under-education—in textiles/clothing alone, as per an Icrier estimate, 55% of the workers with no formal education, nearly two-thirds of those with below-primary-level education and 54% of those with primary-level education hold jobs that require higher educational attainment. This means any meaningful skilling effort will also need to tackle poor educational attainment. Yet, the gap between education and skilling remains quite wide. Skilling efforts will also have to fight societal attitudes towards skills training/apprenticeship. To be sure, the mismatch between skills training and industry requirements dims apprenticeship’s appeal—industry is reluctant to invest in apprentices given they come with low-level/outdated prior training. But, the fact is that significantly large numbers opt for a regular degree course, even if it does little for a person’s employability. Merely having a skills university will not address this.
Source: Financial Express
The index is based on seven pillars, which include five enablers and two performance indicators. NITI Aayog released the first India Innovation Index on the lines of the Global Innovation Index on Thursday. Karnataka, Tamil Nadu, Maharashtra, and Telangana have topped the chart. States were ranked on parameters such as innovation capability, challenges and opportunities, and actions needed to be implemented for promoting innovation. The index is based on seven pillars, which include five enablers and two performance indicators, some of which include human capital, investment, knowledge workers, and knowledge output.
Source: Business Standard
The Union government has directed public sector banks (PSBs) to look for an alternative resolution mechanism outside the Insolvency and Bankruptcy Code (IBC). The government has further told them to build “resilient credit risk control systems” for high-value loans, and has set a deadline of 45 days to decide upon consortium lending proposals. These measures are part of a second round of reforms under the Enhanced Access and Service Excellence programme, known as EASE 2.0, sent by the finance ministry to all PSBs. PSBs will be bound to follow EASE 2.0 because the 64-point ...
Source: Business Standard
Strengthening the manufacturing industry and increasing domestic demand are key imperatives. The IMF expects global economic growth to be just 3% this year, the lowest since the 2008 global financial crisis. Unlike in 2008, when India was insulated from a global economic meltdown, the economy now is on the ebb, with growth in the first quarter of 2019-20 hitting a six-year low of 5% and growth projections being slashed by agencies for the rest of FY20. What reforms can India pursue at this stage to align its manufacturing and trading activity with global demand patterns and protect itself from the world’s growth pangs? In a conversation moderated by Vikas Dhoot, Nagesh Kumar and N.R. Bhanumurthy look at the challenges and the road ahead. Edited excerpts: What has changed in the global economy in the last two years which has turned the headwinds India’s way? Nagesh Kumar: The latest IMF World Economic Outlook says there is a synchronised global economic slowdown. The trigger was probably the trade slowdown. Recently, the WTO also indicated that world trade growth would be 1.2% , down from 3%. So, a very anaemic or even a flat growth rate in trade is pulling down the economy. And because this is the age of global integration, all economies get affected. The trigger also lies in the protectionist tendencies of world economies and the U.S.-China trade war. India is also affected by this and other domestic issues. N.R. Bhanumurthy: The global slowdown seems to have started in early 2018 largely because of the premature withdrawal of the stimulus that the global economy was introduced to in the post-2008 crisis. Added to that, emerging market economies started showing some weaknesses. Brazil and South Africa have already got into the recessionary stage. A big country like China started slowing down although there are many who say it is deliberate to reduce the overheating the economy was facing. U.S. and China trade policies have worsened the global situation. The most unfortunate consequence of this for India is that compared to 2008, we are not immune to global slowdown. In fact, in 2008 we were growing faster. That is the main worry for us. Unfortunately, we seem to have realised only now that there is a slowdown. Some of us have argued it started in the second quarter of 2018 when we saw the pressure the domestic economy was facing. I would say that the global slowdown should take away almost 1.5 percentage points off the growth rate. The rest is domestically driven slowdown, with some cyclical and structural factors. I was looking at some of the numbers from the RBI. One scary number from April 2019 to right now: the net change in non-food credit to the commercial sector actually declined by ₹18,870 crore compared to the accretion of credit by ₹3.5 lakh crore a year ago. That shows the extent of the slowdown. In my view, it is becoming deeper now although the government has taken some measures in this period. My guess is we will be in the 6% growth rate (zone) for some more time. We thought India’s economy was largely insulated because of a large domestic market. Is there something that has changed in the last two years? NK: As the Indian economy has gradually opened up since 1991, the global economic situation has had spillovers in India. Between 2003 and 2008, the Indian economy was averaging between 8% and 9% growth. After the collapse of Lehman Brothers, it came down to 6.2%, but we were very solid. There is always a spillover of global headwinds on the Indian economy. Not only through trade, but through capital inflows which have been affected. What has also precipitated this, this time, is the Non-Banking Financial Companies [NBFC] crisis which has affected the flow of credit to capital goods. The demand for capital goods is down, as is car sales. Real estate is in trouble. The flow of credit to some of these sectors, which were an important determinant of sales, has been affected. This has resulted in a spillover in the rest of the economy. This is the time we have to worry about fiscal stimulus, not fiscal consolidation. There is a slump in demand. Public investment is very critical. Then there should be some kind of social spending which affects people in need with a high propensity to consume. Any cash reaching the poor will find its way into the market quickly. The reduction of corporate tax will have only a medium-term impact. In the short term, we need to get the money in the hands of the poor which pushes them to the market so aggregate demand gets generated and, in the process, we also address the inequalities in recent times. NRB: If you look at the global context, there are issues about how the U.S.-China trade war should have helped India. We should have done things differently. We started introducing import tariffs when we should have done the reverse. The reduction of corporate tax rates should have been done at the time of introducing the Budget. I am hoping that tariff duties will be reduced by the government. India’s exports have not been able to keep pace with expectations, especially in labour-intensive sectors like textiles, where Vietnam and Bangladesh have surged ahead. Is there something India can do to meet the challenges in the global landscape? NK: The dynamism in world trade is in the Eastern side. The Western markets are really flat. There is also a rise in protectionism. In such a situation, we need to tap the Asian markets. In that context, RCEP [Regional Comprehensive Economic Partnership] is an important initiative. It gives us a possibility to integrate the Indian economy and production with the value chains in east-Asian countries. However, you could be part of a trade agreement and not make use of it. And this is precisely the story of Indian industry. We have failed to make use of the preferential market access that was made available through various trade agreements. Indian industry has grown with the comfort of having a large domestic market. We need to nudge industry to look at global and regional markets, especially for labour-intensive goods. I think that one very important critical factor is the competitiveness of the exchange rate. We need to avoid the appreciation of the rupee if we are to strengthen the domestic manufacturing industry. Any appreciation of the rupee facilitates more imports and less exports, adversely affecting domestic production. NRB: I am apprehensive of India joining RCEP. I have found that even the government is not sure what the outcomes of various trade agreements have been. In RCEP, how are we going to manage countries like China? Do we have that kind of expertise? We need some kind of a strategic assessment of sectors where India can benefit, both as an exporter and importer. I’m not sure if we have that kind of data. Does India need to change its outlook towards import and export tariffs? For instance, when onion prices shoot up, exports are banned below a particular price. How badly does this dent India’s credibility as a global supplier? NK: Consistency in policies and visibility in the market are very important. You need to be seen as a reliable source of what you’re exporting. But agricultural commodities are more volatile than industrial ones. Crop failures happen, and you need to sometimes go out of the market. It does affect your reliability as an exporter, but in the agricultural commodities market, this is understood as it may be unavoidable sometimes. But there is always a possibility of managing our affairs better by having reserves or surpluses. NRB: Going back to what Dr. Kumar said about RCEP, if you look at Bangladesh and Vietnam, some companies from India have gone to those places. This is not to say that we are not entirely competitive — we are in the textile sector — but some domestic policies have pushed industries outside the country. We need to set our house right and be clear about our priorities before jumping onto the big wagon called RCEP. NK: There was a lot of pressure from some countries in the grouping to exclude India. Now that India has got in, this opportunity will not come back. We do not have the luxury of getting our house first in order and then rejoining. What Dr. Kumar is saying gels well with what former Chinese Premier Wen Jiabao said a few years ago in Singapore. Tracing Chinese economic history, he had said the country prospered whenever it was open to the world, and slipped back in the global economy whenever it closed its doors. ‘If you want to get rid of poverty and develop, you have no option but to open up,’ he had said. Perhaps, that’s the spirit in which RCEP and other trade agreements should be viewed? NRB: China was extremely competitive on the manufacturing side. They could bulldoze their commodities across the world. Are we in a position to do similar things? We did so with the service sector. But on the manufacturing and industry front — and RCEP is relevant to this — given our current level of productivity and social capital, are we in a position to compete in the next 10-15 years? That is my apprehension. As Dr. Kumar said, trade always improves the welfare of the people. But we need to see who will benefit less and who will benefit more. In this respect, the government will have to improve regulations for businesses so that they don’t have handicaps vis-a-vis global competitors. NK: Even on the manufacturing side, it is not that we are not competitive in the entire sector. We do have a fair bit of exports in the pharmaceutical sector. Even in auto components, India is a major exporter. It is not a story which is uniformly bad, but we can do better. NRB: One analytical chapter of the IMF report talks about policy measures needed to revive growth in emerging market economies. I found two of the five measures interesting: increase domestic finance and improve governance mechanisms. We need to do well in these areas. I am not sure if measures like merging banks are the best idea. We don’t need fewer banks; we need more banks and more financial instruments to go forward. If we look at the cost of doing business, it is very high compared to countries in East Asia for reasons such as governance. We should definitely join RCEP, but we need to improve on various indicators to make use of the membership.
Source: The Hindu
Investors can find no better place in the world than India that has a democracy loving and capitalist respecting environment, Union Finance Minister Nirmala Sitharaman has said. She also assured international investors at an interaction session at the IMF's headquarters that the government was continuously working to bring reforms. "It (India) is one of the fastest growing (economies) even today. It has the best skilled manpower and a government that is continuously doing what is required in the name of reforms, above all democracy and rule of law," Sitharaman said on Wednesday. Responding to a question on why investors should allocate funds for India, she said that even if the court system is a bit delayed, India is a transparent and open society. The rule of law works and there are a lot of reforms happening, even those to cut down delays, she said. "So you will not have anything better... democracy loving, capitalist respecting environment... in India," Sitharaman said at the event hosted by the Federation of Indian Chambers of Commerce and Industry in association with the US India Strategic and Partnership Forum. Responding to questions from major insurance companies, who urged her to remove the cap on investment in this sector, she said the government needs to understand what the expectations of the sector are other than removing of the cap. Sitharaman said she would be quite open to it and they could send her the details. The Union finance minister, however, said she will not be able to give them an assurance at this point of time, but will work on the matter. Asserting that the government is engaging with everyone on a weekly basis and there is no trust deficit with the corporate sector and investors, she said there is a greater understanding that this government is willing to hear and also wanting to respond. The government is committed to maintaining fiscal deficit in India, she said. To a question on the slowdown in the Indian economy, the finance minister said the government is taking steps to address problems in the "stressed" sectors. “Though the budget was presented in July, in a year when there was interim budget present before the election, we didn't wait for the next budget to come in February of 2020, almost on a 10-day interval, we have been announcing one or the other intervention with which each of the stressed areas can be addressed," she said. Overall in order to boost consumption, the government has very clearly said public expenditure for infrastructure will be clearly front loaded, Sitharaman said. “Similarly, for increasing money in the hands of the people so that consumption can improve, I've requested all the building sector banks together with their partners, non-banking, financial companies to reach out to villages, reach out to districts and extend every kind of credit that they would want," she said. The two-prong approach makes sure consumption is boosted, both through spending on public infrastructure or by putting actual money in the hands of the people, and ensures the stress, which is specific to some sectors, is addressed, Sitharaman said. This has to be a continuous system till the time the economy really shows substantial uptick, the Union finance minister said. Earlier in the day in New York, US-India Strategic Partnership Forum (USISPF) in partnership with FICCI, Bank of America and Citibank hosted an interaction with institutional investors. Senior members of the New York financial services industry were present for this round table that included insurance companies, debt restructuring companies, private equity, equity investors and banks. Sitharaman's message to the industry reiterated India's commitment to transparent policy-making, implementing banking reforms in close collaboration with the RBI, creating liquidity flow, exploring ways to bring in private sector investments and deepening economic reforms. “Our discussions with Minister Sitharaman were extremely candid and positive, building upon some extremely positive reforms that the Government has undertaken in six months," Mukesh Aghi, USISPF President said. “The Modi 2.0 government has demonstrated its willingness to deepen its collaboration with industry and create a level playing field for foreign investors. Most significantly, the industry has welcomed lower corporate tax rates in India," he said. Aghi said the move encourages greater investments from American firms who are already betting big on India. "It was one of the long-standing asks from Forum members and included in the recommendations that we provided the government," he said.
Source: Livemint
Textiles, Commerce and Industries Minister Thongam Biswajit Singh launched the Live Streaming and Training of SAMARTH, Scheme for Capacity Building in Textiles Sector today at the Manipur Trade & Expo Centre, Lamboi Khongnangkhong, Imphal. Addressing the formal launching function, Biswajit said that Manipur is the first State to launch training under the scheme. He said the State had signed an agreement on August 14, 2019 in the presence of Union Minister Smriti Zubin Irani to take project SAMARTH and impart skill development to 25,000 youth in the State. He said SAMARTH which is also known as the Scheme for Capacity Building in Textile Sector (SCBTS) will provide demand driven placement oriented skills. He said the scheme aims to enable provision of sustainable livelihood either by wage or self employment to all sections of the society. He continued that the scheme in the State targets to provide skill development trainings to 25000 youth in batches. He said that if there are any possibilities the concerned authorities should focus in imparting the training in all the districts so as to encourage weavers of all districts. Biswajit said that the State has witnessed an increase in the number of weavers and looms over the years. Citing the Fourth All India Handloom Census 2019-20, the Minister said the number of weavers has increased to 2,12,481 weavers in 2019-20 from 2,04,319 weavers in 2009-10 and 2,11,148 looms in 2019-20 from 1,90,634 in 2009-10 . He said that the increase in number of weavers only show the standing of handloom in our society. Biswajit also observed that the handloom/textile sector is second to only agriculture as a source of livelihood. Encouraging the youth, Biswajit said that no skilled labour or worker will remain idle. He said if all workers become skilled. Acknowledging the efforts and support of the weavers, Seeking support and cooperation of all, Biswajit said that the department cannot survive alone and needs cooperation and sharing of ideas with all. Biswajit also explained various schemes and programmes including Mission for Economic Empowerment of Traditional Artisans & Craftsmen (MEETAC), Delivery Scheme among others.He also talked about the upcoming MANITEX. Director Lamlee Kamei delivered the welcome address. The programme was also attended by MHHDC Ltd. Chairman S.Rajen Singh as president, KVIB, Chairman L Radhakishore Singh, MANIDCO Ltd. Chairman Dr Radheshyam Yumnam and Kshetrigao A/C MLA Nahakpam Indrajit as guests of honour. Principal Secretary (Textiles, Commerce and Industries) P.Vaiphei attended as the chief host. Meanwhile, as part of the programme Project Managers District Handlooms and Textiles, Manipur, WSC Imphal were honoured in recognition of their contribution in the field.
Source: E- Pao
The rupee darted up 27 paise to close at 71.16 against the US dollar on Thursday, led by optimism over the Brexit deal amid softening crude oil prices. Persistent foreign fund inflows and robust buying in domestic equity markets added to the momentum, forex traders said. At the interbank foreign exchange market, the rupee opened at 71.38 against the US dollar. During the day, the domestic unit fluctuated between a high of 71.14 and a low of 71.47, before finally ending at 71.16, up 27 paise over its previous close. "Rupee has appreciated nearly 1 per cent in two days. The hopes of US-China closing the phase-one trade deal along with the announcement Brexit deal, has kept all emerging market currencies including rupee, afloat," said Rahul Gupta, Head of Currency, Emkay Global Financial Services. Global markets rallied after Britain and the European Union said they have struck an outline Brexit deal after prolonged negotiations. The deal, however, must still be formally approved by the bloc and ratified by the European and UK parliaments. Weak US economic data fall in dollar index and speculation over the third rate cut by US Fed added to the strength in rupee, Gupta said, adding that the domestic currency can appreciate further if the Brexit deal gets parliamentary approval. "On the domestic front, in the last couple of sessions FIIs too have participated, which is supporting the rupee," said Gaurang Somaiyaa, Forex & Bullion Analyst, Motilal Oswal Financial Services. Foreign institutional investors (FIIs) remained net buyers in the capital markets, infusing Rs 1,158.63 crore on Thursday, exchange data showed. The dollar index, which gauges the greenback's strength against a basket of six currencies, slipped 0.31 per cent to 97.69. The Financial Benchmark India Private Ltd (FBIL) set the reference rate for the rupee/dollar at 71.5051 and for rupee/euro at 79.0184. The reference rate for rupee/British pound was fixed at 91.3506 and for rupee/100 Japanese yen at 65.77. Meanwhile, Brent futures, the global oil benchmark, was trading 0.50 per cent lower at USD 59.12 per barrel. The 10-year government bond yield was at 6.50 per cent. On the domestic equity market front, the 30-share BSE Sensex rallied 453.07 points, or 1.17 per cent, to 39,052.06. The broader NSE Nifty too spiked 122.35 points, or 1.07 per cent, to settle at 11,586.35.
Source: Financial Express
On the 150th birth anniversary of Mahatma Gandhi, the Embassy of India, Thimphu and the Royal Textile Academy, Thimphu together with the support of the Ministry of Micro, Small & Medium Enterprises, Government of India, the Khadi and Village Industries Commission and the Fashion Design Council of India (FDCI) curated on 16 October at the Royal Textile Academy, Thimphu, a special event, Khadi-Thagzo, jointly celebrating the textile heritage of Khadi and traditional Bhutanese fabric. A total of 48 ensembles featuring leading designers from India and Bhutan were showcased on this occasion, fusing Khadi with Thagzo hand-made textile of Bhutan to create innovative garment lines. From India, the event displayed the works of Anamika Khanna, Rajesh Pratap Singh and Samant Chauhan. From Bhutan, the talent of Chadrika Tamang, Kencho Wangmo, Tshering Choden & Sangay Choden was on display. In addition, six Indian designers (Anjana Bhargav, Nitin Bal Chauhan, Paras Gairoliya, Payal Jain, Rahul Mishra & Renu Tandon) created a special Khadi ensemble each, which too were spotlighted at the event. The event had, as as objective, to encourage traditional textiles and weaving, both a forte of India and Bhutan, and to foster a collaboration between the traditional textile artisans and designers from both countries, further cementing the close & friendly ties between India & Bhutan. To this end, the four Bhutanese textile designers who showcased their work at the Khadi-Thagzo Textile Presentation, had visited Lotus India Fashion Week from 10-12 October 2019, on invitation from FDCI Chairman Sunil Sethi. In follow up to the event, it is proposed to retail Khadi in Thimphu, bringing this heritage fabric of India to Bhutan. The Khadi-Thagzo Presentation was witnessed by a high-profile audience including Her Majesty the Queen Mother Ashi Sangay Choden Wangchuck as the Chief Guest, Shri Vinai Kumar Saxena, KVIC Chairman as the Guest of Honour, Prime Minister of Bhutan Dr. Lotay Tshering, Cabinet Ministers, Ambassadors, members of the media and several other distinguished guests.
Source: Economic Times
CAIT had in a letter on Monday urged Goyal to order an audit into the business model of all e-commerce firms. The government is probing Wal- Mart-owned Flipkart and Amazon over the alleged predatory pricing, commerce minister Piyush Goyal said on Thursday. Warning of stringent action as per the law for any violation, he said detailed questionnaires have been sent to these companies and their response is awaited. According to media reports, the e-commerce majors have grossed up over $3 billion in gross merchandise value during the festive sales held over the past fortnight, which typically see over half of their annual sales. "E-commerce companies have no right to offer discounts or adopt predatory prices. Selling products cheaper and resulting the retail sector to incur losses is not allowed," Goyal told reporters. They are also not permitted to own products and sell them, he said and that they are only platforms helping sellers connect with potential buyers. Without specifying the exact transgressions, Goyal said his ministry has received complaints from the traders body CAIT alleging violations of norms by these players. "A detailed questionnaire has been sent to them. Today or tomorrow, a supplementary questionnaire will also be sent," he said and reminded that he had earlier also warned these e- commerce players. "We will take stringent action against them, if there is violation of any law in letter or in spirit. The law is clear. Action will be taken as per the law," he said. The national traders body CAIT had in a letter on Monday urged Goyal to order an audit into the business model of all e-commerce firms and the foreign-owned Amazon and Flipkart in particular. In the letter, CAIT also said since Amazon and Flipkart claim that individual brands are offering discounts, government should convene a meeting with major brands to ascertain the truth. "The business model of Amazon and Flipkart should be audited by the government to arrive at the real conclusion," it said in the letter. Following the complaint from the traders body, senior officials of the department for promotion of industry and internal trade had met with Amazon and Flipkart representatives last week. Goyal scotched rumours that the Railways might exit its ticketing arm IRCTC which had a stellar stock market debut earlier this week following a hugely successful IPO. There is no plan to fully sell IRCTC. This is speculation based on wrong information, he said.
Source: Business Standard
Fashion designer Anita Dongre believes learning should always go on and should never end. She keeps true to that by being hands on with her knowledge of technology. At an event last month she said, "You cannot run a business today without being upraised of the current technology. Whether it is a software system, technology you use at the front end of your stores, technology you use for understanding your customer, it is very crucial as businesses today will be run by tech." Even after being in the fashion business for many years, Dongre keeps her lessons going. She keeps learning and growing. "I read up a lot about it, keep myself abreast of the latest technology. I go back to the company and say, 'Why don't we adopt this'. We keep working on that. If you reach a stage where you feel I know everything, that will be the end. There are lots of stages of learning - reading, sitting with the right mentor, understanding. That is a process that will never stop. There is so much to learn every single day," she added. The vision is very clear for the House of Anita Dongre. "We will grow, we will not grow for the sake of growing. As an Indian company, we will grow with sustainability as our core. We are aiming to be India's first sustainable fashion house. We want to grow slowly and meaningfully and gracefully," she ended.
Source: Economic Times
|
Item |
Price |
Unit |
Fluctuation |
Date |
|
PSF |
1019.21 |
USD/Ton |
0% |
10/17/2019 |
|
VSF |
1513.31 |
USD/Ton |
0.05% |
10/17/2019 |
|
ASF |
2163.18 |
USD/Ton |
0% |
10/17/2019 |
|
Polyester POY |
1012.87 |
USD/Ton |
-1.84% |
10/17/2019 |
|
Nylon FDY |
2326.01 |
USD/Ton |
0% |
10/17/2019 |
|
40D Spandex |
4074.03 |
USD/Ton |
0% |
10/17/2019 |
|
Nylon POY |
2523.36 |
USD/Ton |
-0.56% |
10/17/2019 |
|
Acrylic Top 3D |
5328.67 |
USD/Ton |
0% |
10/17/2019 |
|
Polyester FDY |
1261.68 |
USD/Ton |
-0.56% |
10/17/2019 |
|
Nylon DTY |
2177.99 |
USD/Ton |
0% |
10/17/2019 |
|
Viscose Long Filament |
2297.81 |
USD/Ton |
0% |
10/17/2019 |
|
Polyester DTY |
1141.86 |
USD/Ton |
-1.22% |
10/17/2019 |
|
30S Spun Rayon Yarn |
2124.42 |
USD/Ton |
-0.20% |
10/17/2019 |
|
32S Polyester Yarn |
1621.16 |
USD/Ton |
0% |
10/17/2019 |
|
45S T/C Yarn |
2410.59 |
USD/Ton |
0% |
10/17/2019 |
|
40S Rayon Yarn |
1776.22 |
USD/Ton |
0% |
10/17/2019 |
|
T/R Yarn 65/35 32S |
2269.62 |
USD/Ton |
0% |
10/17/2019 |
|
45S Polyester Yarn |
2396.49 |
USD/Ton |
-1.16% |
10/17/2019 |
|
T/C Yarn 65/35 32S |
2015.87 |
USD/Ton |
0% |
10/17/2019 |
|
10S Denim Fabric |
1.25 |
USD/Meter |
0% |
10/17/2019 |
|
32S Twill Fabric |
0.69 |
USD/Meter |
0% |
10/17/2019 |
|
40S Combed Poplin |
0.96 |
USD/Meter |
0% |
10/17/2019 |
|
30S Rayon Fabric |
0.57 |
USD/Meter |
0% |
10/17/2019 |
|
45S T/C Fabric |
0.66 |
USD/Meter |
0% |
10/17/2019 |
Source: Global Textiles
Note: The above prices are Chinese Price (1 CNY = 0.14097 USD dtd. 17/10/2019). The prices given above are as quoted from Global Textiles.com. SRTEPC is not responsible for the correctness of the same.
China and Mauritius signed a free trade agreement (FTA) here Thursday, the first FTA between China and an African country, according to the Ministry of Commerce (MOC). The China-Mauritius FTA is the 17th FTA signed by China. The agreement covers trade in goods and services and investment and economic cooperation. The FTA will not only provide a more powerful institutional guarantee to deepen bilateral economic and trade relations, but also boost China-Africa economic and trade cooperation, according to the MOC. Negotiations on the China-Mauritius FTA were officially launched in December 2017. The two sides formally concluded the negotiations on Sept. 2, 2018, after four rounds of intensive negotiations. In the area of trade in goods, China and Mauritius will eventually achieve zero tariffs on 96.3 percent and 94.2 percent of product tariff items, respectively, involving 92.8 percent of import volume for both countries from each other. For the remaining tariff items of Mauritius, the tariffs will also be greatly cut, and the maximum tariffs for most of the involved products will not exceed 15 percent. China's main exports to Mauritius, such as iron and steel products, textiles and other light industrial products, will benefit from it. Special sugar produced in Mauritius will also enter the Chinese market gradually. The two sides also agreed on rules of origin, trade remedies, technical barriers to trade and sanitary and phytosanitary issues. In the area of trade in services, China and Mauritius both promised to open up more than 100 sub-sectors. Mauritius will open up more than 130 sub-sectors in important service fields such as communications, education, finance, tourism, culture, transportation and traditional Chinese medicine to China. This is the highest level of opening up in the field of services in Mauritius so far. In the field of investment, the agreement has been greatly upgraded from the 1996 China-Mauritius bilateral investment protection agreement in terms of protection scope, protection level and dispute settlement mechanism. This is the first time that China has upgraded the previous investment protection agreement with an African country, which will not only provide stronger protection for Chinese enterprises to go to Mauritius, but also help them further boost investment cooperation in Africa through the platform of Mauritius, according to the MOC. Meanwhile, the two sides also agreed to further deepen economic and technical cooperation in agriculture, finance, medical care, tourism and other fields. The two sides will undergo respective domestic procedures for the agreement to take effect.
Source: Xinhua
Leaders of 27 EU countries have unanimously backed the Brexit deal. The UK's parliament will vote to ratify the deal in a rare Saturday session. Follow the developments as they happened.
Read the events of October 17 as they happened below:
17:51 German Chancellor Angela Merkel said the EU and the UK need to wrap up a free trade agreement as soon as possible following the UK's exit from the bloc. She told a news conference that the Brexit deal facilitated an orderly Brexit and a transition period until the end of 2020, giving time for such an agreement to be settled. "There is an essential difference compared with when Theresa May was prime minister. Then it was not clear how future relations would look, whether there would be membership of the customs union or not," Merkel said. "Now it is quite clear that Great Britain will be a third country and with this third country we must sort out a free trade agreement very quickly," she continued. 17:40 President-elect of the European Commission Ursula von der Leyen told reporters that the deal was of utmost importance "as a starting point for future relationship to the United Kingdom." "On the other hand, of course I'm sad that our British friends are leaving the European Union," she said. 17:05 In his own press conference following the EU's endorsement of the Brexit deal, Johnson said there was "a very good case for voting for this deal" on all sides of the House following negotiations he called long, painful and divisive. "I'm very confident that when MPs of all parties look at this deal they'll see the merits of supporting it, of getting Brexit done on October 31, and of honoring the promises made repeatedly to get Brexit done," he said. 16:42 In a press conference following the endorsement, President of the European Council Donald Tusk said that if there's a request for an extension made, he will consult member states on how to react. He also said that the EU and the UK were "very close to the final stretch" of Brexit, with approval of the British parliament and the European Parliament as the last hurdles to surmount. He also expressed sadness at the prospect of the UK leaving the EU, saying he's "always been a Remainer." EU Brexit chief negotiator Michel Barnier said the UK would remain "our economic partner, our friend and our ally" to guarantee Europe's security, and that the future relationship the EU and the UK negotiate in the next phase of Brexit would prove more important than this accord. 16:39 German Chancellor Angela Merkel said that achieving the deal had been "real hard work," and called the agreement "a compromise for all sides," and "an opportunity to have good, close relations with Britain in future as well." When asked whether the EU's apparent refusal to consider an extension undermines the UK's parliament, she said: "We will address any decision by the British Parliament and didn't make any decision today for any eventuality." 16:10 Leaders of the remaining 27 EU countries have unanimously endorsed the Brexit deal, formally sending it to the UK's parliament for ratification. The leaders invited EU institutions to take steps to ensure the agreement can be implemented on November 1, but emphasized they wanted "as close as possible a partnership with the United Kingdom in the future." 15:32 UK Prime Minister Boris Johnson told EU leaders at the summit in Brussels that he was relatively positive about the new Brexit deal passing the House of Commons, an EU official said. Johnson proceeded to leave the room and the 27 EU leaders to debate the matter without him. 15:11 Ahead of the EU summit in Brussels, Johnson was greeted by other EU leaders with handshakes and claps on the back. European Parliament President David Sassolisaid the assembly could ratify the draft Brexit agreement by the deadline at the end of the month if it's endorsed by EU leaders and the UK parliament. "We're ready to do our duty, which is to examine the text and adopt the necessary procedures so that the time limits are respected," Sassoli said. The EU assembly has "the final word, if you like, but the second to last word is in the hands of others," he continued. EU leaders appear ready to endorse the agreement by Friday, leaving it to the UK's parliament to debate the text on Saturday. If it's approved by both the EU and the UK, the European Parliament could rubber stamp the deal in Strasbourg, France, next week — roughly one week before the UK's October 31 deadline. 13:25 The UK's parliament has voted to hold a rare Saturday session in order to put the Brexit deal to a vote, the first such session since the 1982 Falklands War. Parliament will sit from 08:30 UTC on Saturday, at which time Johnson is set to make a statement to lawmakers, followed by a 90-minute debate and then voting. The vote is one necessary step to ratify the deal. If the deal passes through parliament, legislation would then need to be passed by the October 31 deadline to complete the ratification. Johnson's new plan faces significant opposition in a deeply divided parliament, with his rivals — among them Labour leader Jeremy Corbyn, Scottish First Minister Nicola Sturgeon and Brexit party leader Nigel Farage — rejecting the new plan immediately after it was announced. 13:10 European Commission President Jean-Claude Juncker reiterated to reporters in Brussels ahead of the EU summit that he has ruled out granting the UK another Brexit extension. "There will be no prolongation," Juncker said. "We have concluded a deal so there is not an argument for a further delay." Johnson said that the deal allows the UK to leave the EU "in two weeks' time" in a tweet earlier today. This could raise the stakes in the House of Commons when it votes on the proposed deal. It's designed to leave those parliamentarians reluctant to accept the deal as agreed by Johnson thinking that their choice is between this deal, and none at all, at the end of the month. However, this decision is not Juncker's to make, but that of the leaders of the other 27 EU member states. At a press conference with Johnson earlier today, Juncker said he was "happy about the deal and sad about Brexit." Speaking alongside Juncker, British Prime Minister Boris Johnson said the agreement was "a very good deal for both the EU and for the UK," and that the deal would allow the UK to leave the block as scheduled on October 31 "whole and entire." 12:56 After reaching a five-month high of $1.2941 following Thursday's announcement of a Brexit deal, the British pound was trading 0.3% lower at $1.2789 after Northern Ireland's Democratic Unionist Party (DUP) said it could not support the plan, adding that it was "not in Northern Ireland's long term interests." 12:50 British lawmakers have approved the government's plan to vote on Prime Minister Boris Johnson's Brexit deal during a special session of parliament on Saturday. They also backed a change to the rules that would allow amendments to be proposed and put to a vote. The prime minister has urged MPs to "get this excellent deal over the line." 12:44 Irish Prime Minister Leo Varadkar says the Brexit deal is good for Ireland and Northern Ireland, hailing the avoidance of a "hard border." "We have (a) #Brexit Agreement that allows (the) UK (to) leave (the) EU in (an) orderly way," Varadkar wrote on Twitter. "We have (a) unique solution for NI that respects (its) unique history and geography." 12:33 Leader of the British House of Commons Jacob Rees-Mogg says a 90-minute debate on the Brexit agreement is expected to take place in the UK parliament on Saturday. British lawmakers are due to vote later on Thursday on whether that weekend session should go ahead. "The prime minister will make a statement updating the House on the outcome of the negotiations at the European Union Council. The debate that follows will be a motion to either approve a deal or to approve a no-deal exit," Rees-Mogg said. 12:06 DW correspondent in Brussels Georg Matthes says concessions have been made on both sides, notably, on the UK's side, that Northern Ireland will remain aligned to the standards of the internal market and the customs union. "If you look at the EU side, the main concession here really is that it will be UK customs officials who will be controlling that the EU's customs laws will be applied when it comes to goods crossing from the UK into Northern Ireland," he said. 11:47 German Foreign Minister Heiko Maas has described the agreement as "nothing less than a diplomatic feat." He told reporters in Berlin the deal was "proof that we all worked very responsibly together," but stressed that it still needed to be discussed by EU leaders and the European Parliament. 11:39 Nicola Sturgeon, the leader of the Scottish National Party (SNP), says her party rejects the new Brexit deal because it "would take Scotland out of the European Union, out of the single market and out of the customs union against the overwhelming democratic will of the people of Scotland." She said lawmakers with the SNP, which has 35 seats in the 650-seat House of Commons, "will not vote for Brexit in any form." 11:23 Irish Foreign Minister Simon Coveney says the deal is "a big step forward" and worth supporting because it protects Irish interests. "It's a deal that recognizes all of the issues that we have been raising for the last three years. It is a deal that will protect people on this island, it will protect peace on this island, it will protect trade on this island," he said. 11:14 Brexit Party leader Nigel Farage is calling on the British Parliament to oppose the new deal, saying it's "just not Brexit" and still binds Britain to the EU. He said he would prefer to see a "clean break" with Europe rather than "another European treaty." He added that he also favors new elections and an extension of the October 31 Brexit deadline over a parliamentary vote on the current terms. 11:06 The EU's chief Brexit negotiator, Michel Barnier, says Northern Ireland will remain in a customs union with Britain under the agreement, but will continue to apply limited EU internal market rules in order to avoid border controls with EU member Ireland. Barnier said a dual customs regime would be observed, depending on whether goods are destined to stay in Northern Ireland or end up in the EU. He added that the EU and the UK wanted to negotiate a free trade agreement, and that Brussels was offering a deal "without tariffs and quotas between the EU and the UK." 10:57 In his initial response, Barnier hailed the deal, saying it answered the uncertainty created by Brexit: "We have delivered, and we have delivered together." The agreement still needs to be ratified by EU member states and UK lawmakers. Barnier said that Johnson "told President Juncker ... he believed he was able to get the deal approved," by British MPs, adding that Johnson said he was "confident about his capacity to convince a majority." The House of Commons on three occasions rejected previous Brexit agreements under Johnson's predecessor Theresa May. 10:49 EU Commission President Jean-Claude Juncker has urged the 27 member states to get behind the Brexit deal. In a letter to EU Council President Donald Tusk, Juncker said EU countries are "best served by an orderly and amicable withdrawal of the United Kingdom from our Union." "Our hand should always remain outstretched as the United Kingdom will remain a key partner," he wrote. "I believe it is high time to complete the withdrawal process and move on as swiftly as possible to the negotiation on the European Union's future partnership with the United Kingdom." 10:45 Finnish Prime Minister Antti Rinne said: "The ball again is in the British Parliament('s court) ... I hope it goes through this time." "I hope we are now at the end of this process. But there are still many doubts — for instance, inside the British Parliament." 10:41 EU leaders arriving in the Belgian capital for a summit are commenting on the agreement. French President Emmanuel Macron said the deal was "good news." "The deal now needs to be technically explained, politically presented. It will be done in the coming hours. As far as I'm concerned, I am satisfied we managed to find it and reasonably confident it can be ratified by the British and European parliament." 10:25 Britain's main opposition party is "unhappy" with the new Brexit deal, Labour leader Jeremy Corbyn said in Brussels. "From what we know, it seems the prime minister has negotiated an even worse deal than Theresa May's, which was overwhelmingly rejected," Corbyn said. 10:14 Dutch Prime Minister Mark Rutte said: "Very encouraging news that there is an agreement, now we have to study the details. But in itself very encouraging." 9:50 The pound has surged following news of the provisional deal on Brexit. The currency, which has been volatile over the past week on conflicting reports of progress, jumped to $1.2934 (€1.16) from $1.2805 earlier in the morning. 9:35 Johnson has praised the deal between Britain and the EU, saying they have agreed on a "great" new Brexit deal and urging lawmakers to approve it on the weekend. "Now parliament should get Brexit done on Saturday so we can move on to other priorities like the cost of living, the NHS, violent crime and our environment."
Source: Dw
The textile sector is on the verge of complete standstill due to the worst-ever financial crisis emanating from the imposition of the 17% sales tax, CNIC condition for transactions and high cost of bank borrowing. To further complicate the matter, delay in processing of refund claims has completely blocked the flow of cash within the sector, on top of that, the FBR issued Bonds in lieu of sales tax refunds are nothing more than non-negotiable paper carrying no sovereign guarantee. Given such stark illiquidity in the market and very slim margins in the sector, these imprudent policy measures combined will lead us to a massive de-industrialization, fall in exports, worsened Balance of Payments (BoP) and unmanageable levels of unemployment. Pakistan's largest manufacturing industry and locally produced cotton which is commonly labeled as “white gold" is subjected to a major collapse after the abolition of SRO 1125-Zero rating and imposition of 10% sales tax on locally produced cotton. Abolition of SRO has created unsustainable discrimination against the domestic industry supplying input goods to exporting units against exporters importing their inputs through DTRE, EOU or Bonds. These schemes allow a registered exporter to import goods without duty and taxes and to purchase zero-rated input goods. This ‘discriminatory' treatment between the imported raw materials and locally manufactured similar input goods is resulting in the closure of the local industry while encouraging unnecessary imports. The 17% Sales Tax regime on exports has increased the cash flow requirement equivalent to additional Rs. 25 to 30 billion per month on $ 1.1 Billion (or Rs 170 Billion) worth of textile exports each month. The laborious system of refunds based on receiving the export proceeds after dispatching the goods makes it difficult for industry to self-finance Rs 180 -Rs 240 billion to continue financing the export requirement. The refinance limit of Rs. 480 billion has already been exhausted, which requires industry to finance Rs. 520 billion through own resources which could very well have gone towards modernization and expansion. Furthermore, textile industry, despite being efficient and competitive, is losing its own domestic market to the imported textiles that are either grossly under-invoiced or are smuggled into the country. Additionally, the value of textile products dumped in the name of used products is enormous in Pakistan. Pakistan's imports for used clothing are almost 10 times greater than India's. Moreover, when a company holding a DTRE, Bond or EOU licence needs to buy raw materials like cotton, yarn or greige fabric, if it imports them, it does not have to pay sales tax or duties, whereas, if they buy the same material from domestic industry, it is required to pay 17% GST and wait for its ultimate refund after exports which entails a minimum wait of 9 months. A fair treatment can only be ensured if the entire input chain is subject to the same percentage of sales tax. Under these circumstances, the domestic industry has no chance to compete with imported raw materials. In the past, since the entire sector was zero rated, domestically produced goods had a commercial edge on imports because of rapid availability and assurance of timely delivery and quality. Liquidity is the critical factor for every business entity in deciding the ratio of imported and local raw materials. Financial gains promised to change input ratio in favour of imported raw materials having no sales tax on them clearly illustrates the commercial advantage attached to increasing quantum of imported raw material in input mix. No businessman is likely to limit his liquidity in the chain of sales tax refunds on domestic inputs when this can be avoided through cheaper imports. The new GST rules have distorted the level playing field that was operating and now heavily favors sales tax free imports. This distorted playing field applies to all the raw materials in the textile industry starting from cotton, yarn to greige fabric to PSF etc. In the case of cotton, local phutti prices are already depressed by Rs 300-400/maund. It is feared that the limited demand for domestically produced cotton may lead to a situation where the substantial amount of cotton crop in the fields may not even be picked up. Currently, cotton is subjected to 3 different types of duty and taxation systems. First of all, if cotton is imported through DTRE and EOU, etc., it is exempted of any duty or tax. Secondly, there is 5% sales tax on direct cotton import without any scheme, thirdly, a 10% sales tax is levied on domestic purchase of cotton. The highest level of taxation on domestic cotton purchases is actively promoting cotton imports over domestic cotton purchase. The system of having multiple tax rates for similar commodities in identical markets is bound to be abused and will definitely fail. The 17% GST system can only survive if same rate is applied across the system. It appears that the government policies do not take into account the need to develop and support domestic industry and are actively substituting local production with imports. Similarly, deindustrialization and a massive loss of jobs is bound to occur as the government policies continue to favor imports over domestic production. Under the current circumstances since more inputs will be imported, net exports (difference between exports and inputs) will decline and the balance of payments (BoP) would be adversely affected. Cotton economy is a major source of revenue for Pakistan. Liquidity and Working capital in business is just live blood in human body. Optimum and appropriate movement of blood through the body is extremely necessary to continue life. Like human blood, the proper circulation of funds (working/circulating capital) is utmost necessary to continue business. The vicious cycle of stuck liquidity is detrimental to the large scale manufacturing sector. Running any businesses is now fraught with uncertainty and as a result, exports are most likely to decline precipitously in future. Amendments are urgently required in the Sales tax laws and rules so that sales tax is payable on all goods that are imported under any scheme except those that are not manufactured in Pakistan. The refund policy has to ensure refund within 7 days of Goods Declaration (GD) filed with Customs to ensure liquidity of the market and restoration of cash flows to avoid a market crash. The delay in the payments of outstanding dues has precipitated the textile sector to an unsustainable liquidity crisis which will significantly hinder any export growth.
Source: Business Recorder
Britain and the European Union (EU) agreeing to a new Brexit deal spells good news for Indian companies with large investments in the United Kingdom (UK). If the agreement is ratified by the British Parliament, it will end the uncertainty plaguing the operations of many Indian companies for the last three years, said analysts. The biggest relief will be felt at Bombay House, the headquarters of the Tata group, one the largest industrial investors in the UK through companies such as Tata Motors, Tata Steel, Tata Consultancy Services, Indian Hotels, and Tata Global Beverages. The group has invested nearly 50 billion pounds in the UK since its acquisition of Corus Steel in 2007. Other Indian companies with a large exposure to Britain include Mastek, CRISIL, Solara Active Pharma, eClerx Services, Majesco, and Rico Auto Industries. In an interview with Bloomberg, Tata group Chairman N Chandrasekaran had said that dealing with tariffs was the “new normal” for the global auto industry and that negotiations around Britain’s exit from the EU had taken too long. “Sometimes it’s better to have clarity than a desirable result,” he said. Tata Motors-owned JLR is likely to be impacted by Brexit. Shares of Tata Motors jumped about 10 per cent on the BSE on Thursday after the deal was announced, although JLR was hesitant to declare an end to the Brexit struggles of the car industry. “We welcome the latest developments and await the next steps, but we cannot comment further until we have considered the detail of the deal and know whether it is supported by Parliament,” the company said in a statement.
Source: Business Standard
