Product Country
Increase Font Size Decrease Font Size
Menu
Market News
Commerce Ministry to seek views on draft agriculture export policy

Jan 17, 2018

The commerce ministry would soon float a draft agriculture export policy to seek stakeholders' views with an aim to boost outward shipments by identifying new markets and products, a senior official today said.
 
Joint Secretary in the department of commerce Santosh Kumar Sarangi said the commerce ministry is working on the policy.
 
It would focus on identifying markets, products and involve states to boost agriculture exports from the country, he said here at the event of Trade Promotion Council of India (TPCI).
 
The country’s agriculture exports grew by 18 percent to about USD 21 billion during April-October this fiscal.
    
Source: Money Control



India looks for more private capital in farms to boost incomes

Jan 17, 2018

 India is considering simpler regulations to attract more corporate investment in agriculture as Prime Minister Narendra Modi seeks to keep his promise to double farmers’ income by 2022, an adviser to the government said.
 
Asia’s third-largest economy, more than half the country’s population depend on farming for their livelihood, should relax rules for companies investing in contract farming, transport, marketing, warehouses and food processing, said Ramesh Chand, member of the government think tank National Institution for Transforming India, also called NITI Aayog. India’s farms should become outsourcing hubs for global supermarket chains, he said, noting he expects an announcement on the policy in the 1 February budget.
 
We need to simplify regulation, give incentives and remove hurdles in their way, said Chand in an interview in New Delhi. For any improvement in farmers’ income, private corporate investments in farming should at least double from the current 2% of total annual investments in agriculture, he said.
 
Agriculture, which contributes 17% to the $2.3-trillion economy, has remained relatively untouched by reforms with growth rates averaging below 3% over as many decades. Lack of technology, inefficient markets and small landholdings have worsened challenges.
 
About a quarter Indian farmers live below the official poverty line, while 52% of farming households are indebted in spite of guaranteed prices for crop purchases by the federal government on at least three crops—wheat, rice and cotton. Farmers have long been demanding 50% profits over the cost of production and waiver of their agricultural loans.
 
Jagdish Thakkar, a spokesman in the Prime Minister’s Office, didn’t respond to a call seeking comment.
    
Source: Live Mint



India could benefit from stronger global growth next fiscal: Crisil

Jan 17, 2018

India will benefit from stronger global growth in the fiscal 2019 provided there are no more after effects from the implementation of the new goods and services tax (GST) and the economy manages to tide over the asymmetry in monetary policy of advance economies together with higher crude oil prices, rating agency CrisilBSE 0.40 % said in a report on Tuesday. 
 
Though global economic growth recovered in 2017, India could not take advantage because of domestic disruptions caused by the implementation of the new GST and as after effects of the November 2016 demonetisation still lingered. 
 
 
India's export led sectors like leather, textiles and gems and jewellery which were already reeling from the demonetisation were hit further after GST which was implemented in July. India's export growth during April-October 2017 at 9.5% appears sedate compared with Vietnam's 23.8%, South Korea's 18.4%, and Indonesia's 17.8%, Crisil said. 
 
However, global growth momentum is expected to continue in 2018 which means India's exports may have a chance for a comeback provided there are no further domestic disruptions. International Monetary Fund (IMF) expects global growth to rise to 3.7% in 2018 after picking up by an estimated 50 basis points (bps) to 3.6% in 2017. 
 
    
Source: The Economic Times



Food subsidy bill may swell by 10% in 2018-19 budget

Jan 17, 2018

The Centre's food subsidy bill is likely to go up by 10 per cent to around Rs 1.60 lakh crore in the 2018-19 budget due to rise in minimum support prices but no change in subsidised rates of foodgrains, sources said. 
 
The 2018-19 Union Budget will be presented on February 1. 
 
Since November 2016, the government is implementing the National Food Security Act, under which foodgrains are supplied every month at a highly subsidised rates of Rs 1-3 per kg to over 80 crore people in the country. 
 
For the 2017-18 fiscal, the government has earmarked Rs 1,45,338 crore for food subsidy. This is likely to increase by at least 10 per cent in the 2018-19 fiscal, sources said. 
 
The total budget allocation for the food ministry is also expected to increase to Rs 2.20 lakh crore (inclusive of food subsidy) in the next fiscal from Rs 1.96 lakh crore in this year, the sources added. 
 
The food bill is expected to rise in 2018-19 because of about 7-8 per cent increase in the minimum support price (MSP) of rice and wheat, which are supplied to the poor at subsidised rates via ration shops. 
 
    
Source: The Economic Times



'Expect India's rank to improve in global IP index'

Jan 17, 2018

India's rank may improve in the international intellectual property index this year with the introduction of national IPR policy adding to its systemic efficiency, a top official at the Global Innovation Policy Center said today 
 
India languished near the bottom in the index last year, ranking 43rd out of 45 global economies. 
 
 
The sixth edition of the report brought out by the US Chamber of Commerce's Global Innovation Policy Center (GIPC) will be released on February 8. This year, the index will map the performance of 50 countries against 40 indicators. 
 
However, the GIPC perceives India's IP systems to be relatively weak compared to other major markets, including other BRICS (Brazil-Russia-India-China-South Africa) nations. It wants legal certainty especially for attracting investment in research and development in high-risk sectors like pharma. 
 
 
You will see that India's performance on our index is very similar to the trend with the Global Innovation Index, with the World Bank Doing Business report. India has gradually climbed the ladder on these so you will find it is a similar trend on our index too. 
 
I think it will be a good news for the policymakers here in keeping with the steps that have been taken under the new (IPR) policy, Patrick Kilbride, International Vice President, GIPC told PTI. 
 
He said a new category has been introduced this year on systemic efficiency, which looks at how countries are working to enable domestic entrepreneurs to take advantage of intellectual property (IP) rights, where India is expected to perform quite well. 
 
Talking about India's national IPR policy, Kilbride said When a statute makes it likely that a patent will be overturned or it creates that impression of uncertainty then it makes it difficult for the industry to invest in long term high risk, expensive R&D. 
 
He said India has the ability to position itself to take advantage of its strengths in the technology sector and knowledge economy. 
 
 
    
Source: The Economic Times



Red chilli to turn costlier by March

Jan 17, 2018

Red chilli is expected to turn costlier by March due to an expected 30% plunge in output in the main producing states of Andhra Pradesh and Telangana, combined with failure of the crop in Madhya Pradesh. 
 
 
After as much as 50% fall following a bumper crop, average prices moved up gradually from Rs 35 per kg during the year as the stock thinned. Average prices are around Rs 75 per kg now and the premium quality fetches Rs 100 per kg. The harvest has just begun and will continue till March. Only then we will know whether the crop will be sufficient to meet domestic consumption and export. But since a shortfall is predicted, prices would definitely rise, said Ravipati Peraiah, MD, Vijayakrishna Spice Farms. 
 
India usually produces 15-16 lakh tonnes of red chillies. Last year saw a bumper crop of over 18 lakh tonnes, which, together with the carryover stock, took the total supply to more than 19 lakh tonnes. 
 
After meeting the domestic consumption of 13 lakh tonnes and export, the trade expects an inventory of more than three lakh tonnes as opening stock. Since the production is likely to be around 12 lakh tonnes together with the carryover stock it could be a hand-tomouth existencefor the trade, Peraiah said. 
 
 
    
Source: The Economic Times



Target, Lotte Plaza, Magnit to participate in India’s food fair

Jan 17, 2018

 
As many as 75 global retail chains including Target from the US, Lotte Plaza from South Korea and Magnit from Russia are participating in Indus Food, the country’s mega international food and beverages trade show, beginning on Thursday.
 
The two-day global food trade fair in Greater Noida, organised by the Trade Promotion Council of India (TPCI), will see participation of over 400 exhibitors and attract buyers from about 43 countries resulting in business of an estimated $1.5-2.5 billion.
 
Global retail chains, like the ones participating in Indus Food, have the capacity to invest in back-end infrastructure for food which is vital to reduce wastage and increase exports, Santosh Sarangi, Joint Secretary, Commerce Ministry, pointed out.
 
Farm shipments up
Agricultural exports from India grew at 18 per cent to $ 21 billion in the April-October 2017-18 period compared to just 5 per cent growth seen in 2016-17. However, exports of agricultural produce need to grow at a much faster pace to touch $60 billion by 2020 (double from $31 billion in 2015) which is essential to help double farmers’ incomes in line with the Prime Minister’s stated policy.
 
Draft policy
The Commerce Ministry will put up a draft Agricultural Export Policy for stakeholders’ comments in the next 20-25 days which will aim at boosting exports further by identifying new markets, niche products and involving states, Sarangi said.
 
Exports can be increased largely by focussing on value-addition and bringing down wastage through pre- and post-harvest interventions, Sarangi said.
 
The policy will also focus on cluster development for mangoes, shrimps, oranges, grapes, etc and teaching farmers global best practices.
 
Once the draft Agricultural Export Policy is approved by the Commerce Minister, we will put it up online for stakeholders’ comments and suggestions, Sarangi said, adding that the policy will be placed before the Cabinet only if the final document includes provisions that would need approval at the top level.
    
Source: The Hindu Business Line



India, Egypt to enhance bilateral trade, says Embassy official

Jan 17, 2018

India and Egypt have discussed measures to enhance bilateral trade and supply of agricultural products. India’s Ambassador Sanjay Bhattacharyya met with Ali El-Sayed Moselhi,
 
 Egyptian Minister of Supply and Internal Trade, yesterday and discussed means of enhancing the bilateral trade and finding new opportunities for collaboration. 
 
The meeting was also attended by P K Das, Director-Marketing (The State Trading Corporation of India Ltd) and SP Kar, Executive Director (Food Corporation of India). During the meeting, Egyptian Minister for Civil Supply hailed India for sending the emergency rice consignment to Egypt in 2016. 
 
The Minister welcomed more Government-Government agreements for supply of agricultural products. This form of cooperation has huge potential to significantly buoy our bilateral trade as well as exchanges in the field of public distribution systems for the common people, Ambassador Bhattacharyya said. I am very excited about the prospects of G-G cooperation in this area from the overall context of our strong bilateral relations, the Ambassador added.
 
Get latest news and updates on Auto Expo 2018, check breaking news on Budget 2018, like us on Facebook and follow us on Twitter.
    
Source: Financial Express



India plans common logistics portal to ease movement of goods, reduce logistics cost

Jan 17, 2018

New Delhi: In a move to ease the transportation of goods, the government is planning a common platform integrating all transactions involved in their production and export. 
 
The commerce department has initiated work on an integrated logistics portal or logistics e-marketplace to connect buyers with logistics service providers with all the government agencies such as customs, Port Community Systems, Sea and Air Port terminals, Shipping lines, Railways, among others. Customs department Icegate will also get integrated with the portal. 
 
 
The speed and cost of doing business depends on logistics...our new logistics division will look at this,commerce and industry minister Suresh Prabhu said on Tuesday while signing an agreement with the Confederation of Indian Industry (CII) for cooperation in the logistics sector. 
 
Logistics costs in India are pegged at 13-14% of the GDP are higher than those in developed countries and the government aims to reduce it to 10% by 2022. Form point of production to export, there are 64 transactions and 37 government agencies involved. 
 
The major challenges are multiple regulatory policy regimes, no seamless movement of goods and lack of single window clearance and coordination among various stakeholders. 
 
The World Bank Logistics Performance Index ranked India 35 in 2016 as compared to 54 in 2014. 
 
    
Source: The Economic Times



Archive