1.   

RBI's old guard junks priority sector status for export credit

The government’s proposal to include export credit under priority sector lending to help exporters secure easy and affordable loans has hit a roadblock, with the Reserve Bank of India (RBI) expressing reservations on further expanding the priority sector lending list. Apparently, the objections have come from the old guard in RBI. The finance ministry had written to RBI to include advances for exports under priority lending to provide a boost to the sector amid the slowdown.

2.   

India demands changes in WTO trade deal, but industry hails it

India demands changes in WTO trade facilitation agreement (TFA) Industry supports it present form as they say it will reduce transaction costs India has asked for making it compulsory for the customs authorities globally to allow exporters to take back portions of the rejected consignments Government has also asked that the customs procedure should be made more transparent and non-discriminatory TFA aims at reducing transaction cost, red tap at international borders

3.   

Government weighs trade with some nations in local currencies

In an attempt to contain a bloated current account deficit (CAD) that puts pressure on the rupee, the government is considering making it mandatory for trade with a few countries to take place in local currencies to reduce dependence on the dollar. The commerce ministry constituted a task force in August to explore the possibility of India trading in local currencies with some key trading partners. The panel is expected to submit its report in the first week of October.

4.   

Saudi-Indian cooperation on agriculture boosted

The Saudi-India Business Network (SIBN) held an interactive session on agriculture and the food processing industry at the Indian Embassy on Wednesday. Businessmen from the two countries put forth their input to further deepen cooperation in this field. Representatives from 42 Indian processed food and agro industries also spoke with Saudi businessmen and importers about opportunities for the expansion of trade and investment in their field.