Daily News - Friday, 3 January 2025
Coffee Sipping: India to spend $3.2 bn by 2028 (Financial Chronicle)
In 2024, Indians spent $1.5 billion on out-of-home coffee consumption, with the market projected to grow to $3.2 billion by 2028, reflecting a CAGR of 15-20%. The market’s growth is driven by the increasing preference for premium coffee, which now makes up 46% of the market, while the mass segment is expected to shrink from 50% to 30-35% by 2028. The mid-segment, priced between ₹100-₹200, will see an expansion from 4% to 8-10%, as consumers shift towards higher-quality and customizable options like Americano and Cappuccino.
Mkt leaders urge FM to take steps to improve liquidity (mint)
During pre-budget consultations with Finance Minister Nirmala Sitharaman, industry leaders from the capital market and financial sectors advocated for measures to enhance market liquidity and reduce taxes on fixed deposit products. They proposed aligning the taxation of fixed deposits with that of equity investments and simplifying KYC procedures for non-resident Indians (NRIs), such as introducing video KYC for NRIs in FATF countries. These proposals come at a critical time, as India faces slowing economic growth and trade challenges, with previous consultations also highlighting the need for investment boosts in sectors like education, healthcare, and MSMEs.
Dec manufacturing PMI slips to 56.4, weakest in 2024 (Financial Express)
Manufacturing activity in India slowed in December, with the HSBC India Manufacturing PMI dropping to 56.4, its lowest in 12 months, from 56.5 in November, reflecting softer demand and price pressures. While cost inflation eased slightly, it remained historically high, and the rate of expansion in new orders, factory output, and stocks of purchases showed signs of weakening, indicating slower industrial growth ahead. Despite a moderate rise in export sales, manufacturers faced rising costs for materials, labour, and containers, and while they remain optimistic about future output, concerns about inflation and competition continue to temper sentiment.
India to add 30 GW RE capacity in FY 25-26 (Financial Express)
India is set to add 30 GW of renewable energy capacity over FY25-26, supported by favourable policies, liquidity, lower equipment costs, and the waiver of interstate transmission charges, with a continued focus on energy storage and infrastructure development. The country’s non-fossil fuel capacity reached 214 GW in November 2024, marking a 14% increase from the previous year, while renewable energy additions doubled to nearly 15 GW between April and November 2024. In addition to renewables, India plans to add 4 GW each of nuclear and hydro capacity, though these projects face execution risks due to their long gestation periods.
Iran minister in Delhi for talks to boost ties (Financial Express)
Ahead of Donald Trump’s return to the White House, Majid Takht-Ravanchi, Iran’s Deputy Foreign Minister, is in New Delhi for talks with Indian officials to strengthen bilateral trade, particularly through the Chabahar port, and explore collaboration in tourism and agriculture. Iran aims to increase trade ties with India, diversify its economy, and facilitate tourism, despite challenges posed by past sanctions, especially those impacting oil trade. Tehran also expressed concerns over regional security, including the situations in Gaza, Lebanon, and Syria, and plans to sign a major partnership agreement with Russia by January’s end, while strengthening its relationship with China.
