Benetton applies for FDI in single-brand retail

index.jpgSource : Livemint 25 May 2017

New Delhi: Two companies, including fashion chain Benetton Group, have sought approval of the government to enter India through the “FDI in single-brand retail” route.

The Benetton Group sells apparel under the brand name of United Colors of Benetton.

Benetton India Pvt. Ltd has sought approval to undertake e-commerce and retail trading of imported goods, according to the department of industrial policy and promotion (DIPP).

Karnataka-based Actoserba Active Wholesale Pvt. Ltd wants to undertake single-brand retail trading and e-commerce of Zivame branded lingerie products. Two foreign individuals—Katarzyna Dmoch and Rami Shinnawie—have also sought nod from the government to set up a 100% foreign-owned Indian retail arm of Caracole Interior Designs, Qatar.

Currently, foreign direct investment (FDI) up to 49% is permitted under the automatic route but beyond that limit, government’s nod is required. Foreign investment is allowed subject to certain conditions, which require products to be of a “single brand” only and to be sold under the same brand globally.

New Delhi: Two companies, including fashion chain Benetton Group, have sought approval of the government to enter India through the “FDI in single-brand retail” route.

‘Export target of $900 billion by 2020 not feasible’

Source : Hindu Business Line  25 May 2017

New Delhi, May 25:  Exporters say meeting the export target of $900 billion by 2020 seems tough, given the current global economic scenario; a more realistic goal would be $700-750 billion.

The Federation of Indian Export Organisations (FIEO) has also expressed apprehensions that paying input taxes first and then claiming refunds under the Goods and Services Tax (GST) regime could lead to losses worth 2 per cent of export value, and has asked the government to bear that burden.

“Reaching the target of $900 billion set in the Foreign Trade Policy would require exports to grow at a compound rate of 27 per cent (from the current fiscal to 2019-20). Given the current global scenario, the possible rate of growth might be 15 per cent, which would translate into exports of $700-750 billion by 2019-20,” said FIEO Director General Ajay Sahai.

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China downgrade shows emerging market ratings stuck in reverse

index.jpgSource : Economic Times 26 May 2017

LONDON: A Moody’s downgrade on China on Wednesday and the likelihood that Brazil and South Africa face further rating cuts in the coming months is highlighting how emerging market credit quality remains stuck in reverse. Since the start of 2014, Reuters analysis shows that the big three rating agencies – S&P Global, Moody’s and Fitch – have racked up more than 150 emerging market downgrades between them.

That averages out a roughly one a week and though there have been hopes that rising global growth and commodity prices will ease the pressure, that does not seem to be occurring yet.

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Ecuador expresses interest in negotiating PTA with India

Source : Economic Times 26 May 2017

NEW DELHI: South American country Ecuador has expressed interest in negotiating a trade agreement with India to further boost commercial ties between the two nations.

The northwestern South American country wants to negotiate a preferential trade agreement (PTA), under which two trading partners reduce or eliminate customs duties on only certain number of products traded between them.

The matter was recently discussed during the meeting between Commerce Secretary Rita Teaotia and Ecuador’s Vice Minister of Trade Humberto Jiménez. Teaotia led an official and a business delegation to Ecuador and Colombia from May 16 to 19.

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India, Japan come up with AAGC to counter China’s OBOR

Source : Economic Times 26 May 2017

NEW DELHI: India on Thursday launched a vision document for Asia-Africa Growth Corridor (AAGC) at the ongoing African Development Bank meeting in Gujarat. The initiative, which comes amid China’s mega One Belt One Road project to connect Asia with Africa, is a joint vision of Prime Minister Narendra Modi and his Japanese counterpart Shinzo Abe. It aims for Indo-Japanese collaboration to develop quality infrastructure in Africa, complemented by digital connectivity.

The AAGC, based on India’s decades old goodwill in Africa and Japan’s financial resources, aims to be an efficient and sustainable mechanism for linking economies, industries and institutions, ideas and people among, and between, Africa and Asia in an inclusive fashion. There is still vast and untapped potential among, and in between, Asia and Africa, which needs to be explored for shared growth, development, peace, prosperity and stability of these regions, officials said.

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Israel to supply advanced defence systems to Navy

indexSource: Financial Express, May 22, 2017

Jerusalem: Israel will supply advanced long-range air and missile defence systems to four Indian Navy ships under a USD 630 million deal to be jointly executed with Bharat Electronics Limited, state-owned Israel Aerospace Industries said. The announcement of the deal came ahead of a possible visit of Prime Minister Narendra Modi to Israel in July. Israel last month bagged a USD 2 billion deal – its largest ever – to supply the Indian Army and Navy with missile defence systems, with the IAI taking the lion’s share of it worth USD 1.6 billion.

The IAI yesterday said the latest contract was for supplying Long Range Surface to Air Missile (LRSAM) systems. The LRSAM is a joint development by the IAI and India’s Defence Research and Development Organisation (DRDO). It comprises several state-of-the-art elements, advanced phased- array radar, command-and-control system, launchers and missiles with advanced radio-frequency (RF) seekers.

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Africa eyes $ 100 bn bilateral trade with India

Source: The Hindu Business Line, May 20, 2017

Ahmedabad: Driven by infrastructure and manufacturing sectors, the bilateral trade between India and Africa is expected to touch US $ 100 billion (approx Rs. 6,50,000 crore) in the next two years, as the continent advances towards industrialization, informed a top official of the African Development Bank (AfDB) here on Saturday.

“In 2005-06 the total bilateral trade between India and Africa stood at US $ 11.7 billion, which has reached to US $ 56.9 billion by 2015-16. Now we expect the bilateral trade to exceed US $ 100 billion in the next two years, helped by the Prime Minister Narendra Modi’s push for India-Africa partnership,” said Dr Akinwumi A. Adesina, President, African Development Bank ahead of the 5-day annual meeting of the AfDB Group at Mahatma Mandir.

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