Daily News - Friday, 19 July 2024
Malaysia wants India to ease export restrictions on rice, sugar and onion (Business Standard)
Malaysia's Minister for Plantation and Commodities, Datuk Seri Johari Bin Abdul Ghani, has requested India to maintain export channels for essential commodities like rice, sugar, and onions despite any overall bans, citing Malaysia's significant reliance on these imports. In discussions with India's Union Agriculture Minister, Ghani also expressed a desire for collaboration on India's National Mission on Edible Oils-Oil Palm (NMEO-OP), aiming to reduce import dependence by boosting domestic palm oil production to 2.8-3.0 million tonnes by 2032-33. Emphasizing the efficiency of palm oil production and its sustainable practices, Ghani highlighted Malaysia's readiness to invest in India's palm oil sector and ensure continued supply, given that 80% of Malaysia's annual production of 18-19 million tonnes is surplus.
Tax tweaks, incentives must for electronics push (Financial Express)
To become a significant player in the global electronics value chain and grow its manufacturing size to $500 billion by 2030, India needs to overhaul import tariffs, provide fiscal incentives, and develop schemes to support the sector, according to a Niti Aayog report. The report emphasizes the need for easier visas for overseas workers, expedited foreign direct investment approvals, especially from countries sharing land borders with India, and attracting high-level talent for high-precision manufacturing and design. Addressing cost disparities in component manufacturing through tailored incentive schemes and reducing high tariffs, which currently put Indian electronics exports at a cost disadvantage, are critical steps recommended to enhance competitiveness and profitability in the sector.
US move may double India pharma contract manufacturing in 3 years (Financial Express)
The Indian pharmaceutical industry's contract manufacturing business is expected to double in the next three years due to the US Biosecure Act, which restricts federal sourcing from Chinese pharma companies, thereby shifting manufacturing to India. This act is anticipated to accelerate growth for Indian contract development and manufacturing organizations (CDMOs) and contract research organizations (CROs), with the contract manufacturing segment projected to reach $44.63 billion by 2029 and the CRO segment growing at a 10.75% CAGR to reach $2.5 billion by 2030. Despite competition from countries like Ireland and Singapore and a transitional period provided by the Act's grandfathering clause, Indian companies, supported by government grants and a skilled workforce, are well-positioned to capitalize on this shift, although significant investment in infrastructure and talent is required.
In India Solar System, Quality to be Star (The Economic Times)
The Ministry of New and Renewable Energy (MNRE) is set to release a draft policy for ensuring the quality and reliability of solar cells used in India, introducing an "approved list of models and manufacturers (ALMM)" for solar cells, with industry consultations and feedback being incorporated. With India's cell manufacturing capacities expected to exceed 30 GW by the end of the financial year, the MNRE is also planning to invite bids for 500 MW offshore wind capacity and considering extensions for the production linked incentive (PLI) scheme for solar photovoltaic modules due to participant demands. Additionally, the ministry has disbursed significant funds for rooftop solar installations under the PM Surya Ghar Muft Bijli Yojana, with sufficient domestic module supplies to meet the rising demand, aiming to solarize 10 million households.
India seeks deep duty cuts in exports to South Korea (mint)
India is seeking significant tariff reductions on its exports to South Korea, including agricultural products, textiles, pharmaceuticals, electronics, and petrochemicals, as part of the ongoing review of the Comprehensive Economic Partnership Agreement (Cepa), which came into effect in 2010. India is also pushing for better market access for products like steel, rice, and shrimp, citing challenges with non-tariff barriers and stringent standards imposed by South Korea, which include a 513% import duty on rice and a 5% duty on shrimp. Meanwhile, South Korea is requesting improved mobility access for its professionals, and both nations are addressing trade imbalances, with India’s trade deficit with South Korea standing at $14.72 billion in FY24.
