India’s wholesale inflation rises to 5.13% in September from 4.53%

Source: Business Standard, Oct 16, 2018

New Delhi: The wholesale price index (WPI)-based inflation rate surged to 5.13 per cent in September from 4.53 per cent in the previous month, reflecting an increase in the rate of non-food articles’ price rise.

Though CPI inflation also rose in September compared to the previous month, the price rise was higher in WPI. CPI inched up to 3.77 per cent in September from 3.69 per cent in August.

This may be due to a higher weight of food items — over 45 per cent — in CPI than 15 per cent in WPI.

Food prices continued to fall for the third consecutive month in a row even as the rate of decline slowed in September. Food deflation came down to 0.21 per cent in September from 4.04 per cent in August. It stood at 2.10 per cent in July. Read the rest of this entry »

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Taiwan firm Kymco to invest $65 million in Indian electric scooter market

Source: Business Standard, Oct 15, 2018

New Delhi: Taiwanese electric scooter manufacturer Kymco on Monday announced a foray into the Indian market in partnership with local e-scooter start-up 22 Motors.

Kymco said it would invest $65 million in the Indian market over the next three years in introducing new products and localising batteries.

Kymco, which has annual revenue of $1.36 billion, sells 700,000 vehicles, mostly scooters, in markets like Taiwan and Europe.

It launched electric scooters early this year in Taiwan.

“People do not want to buy electric scooters because they worry about range anxiety, the wait time for charging and the price difference compared to petrol scooters. We have a total solution that solves all these problems,” said Allen Ko, chairman of Kymco. Read the rest of this entry »

September exports down 2.15%, trade gap at 5-month low

Source: The Economic Times, Oct 15, 2018

NEW DELHI: India’s trade deficit declined to a five-month low in September even as exports contracted, providing some respite from the rising gap that has sparked concern about the current account deficit (CAD).

The gap between exports and imports, or trade deficit, declined to $13.98 billion in September from $17.39 billion in August following slower growth in imports.

Exports were pegged at $27.95 billion in September, down 2.15% from a year ago, while imports rose 10.45% to $41.9 billion, lowest in five months. Read the rest of this entry »

India, UAE discuss ways to increase investments

Source: The Economic Times, Oct 15, 2018

NEW DELHI: India and the UAE Monday discussed ways to increase investments in areas including highways, airports and infrastructure.

The issue was discussed during the meeting of the UAE-India High Level Joint Task Force on Investments.

“Both sides deliberated on opportunities for cooperation and investment in both countries. Also discussed in specific detail a number of potential investment projects in India, in the highways sector; infrastructure corridor projects, Sagar Mala projects and new greenfield airports,” Commerce and Industry Minister Suresh Prabhu said in a series of tweets.

Prabhu also announced a fast track mechanism between India and the UAE to attract investments. Read the rest of this entry »

India’s oil imports surge to $10.91 bn in September

Source: The Economic Times, Oct 15, 2018

MUMBAI: India’s crude oil imports in September touched $10.91 billion, up 33.6 percent from a year ago, Indian government data showed on Monday.

Shipments of gold to India, the world’s second-biggest buyer of bullion, rose 51.5 percent last month, the data from India’s trade ministry showed.

India last week announced tariff hikes on several electronic items and communication devices, in a bid to rein in imports and bolster a weak rupee, but did not levy additional duties on gold to prevent increased smuggling of the precious metal.

India attracted USD 22 bn of FDI flows in first half of 2018: UN report

Source: The Economic Times, Oct 16, 2018

India attracted USD 22 billion of FDI flows in the first half of 2018, according to a UN report which states that the global foreign direct investment dropped by 41 per cent in the same period due to tax reforms carried out by the Trump administration.

The UN Conference on Trade and Development (UNCTAD) said on Monday in its ‘Investment Trends Monitor’ report that in South Asia, India attracted USD 22 billion of FDI (foreign direct investment) flows, contributing to the subregion’s 13 per cent rise in FDI in the first half of the year.

The report, however, said that with the USD 22 billion FDI, India just about managed to make it to the top 10 host economies receiving the most FDI during the period. Read the rest of this entry »

Govt may not further hike import duty on non-essential items

Source: The Hindu Business Line, Oct 14, 2018

New Delhi: The government may not go for another round of import duty hike on any more items and could take other measures to contain the impact of rupee slide on current account deficit (CAD), an official said.

The government, within a span of two weeks, has hiked import duty on a host of household items like refrigerators and air conditioners, and telecom and communications system products as it looked to cut import of non-essential items. “Further hike in import duty on non essential goods is not likely,” the official told PTI.

In the latest round of duty hike effective October 12, the Finance Ministry increased the levy of import of base station, IP Radios, soft switches and Voice over Internet Protocol (VoIP) equipments, and optical transport equipments, among others, to up to 20 per cent. Read the rest of this entry »