สรุปข่าวเศรษฐกิจอินเดียประจำวันที่ 6 มีนาคม 2555
India, Indonesia agree to fast track FTA talks
India and Indonesia agreed to fast track the ongoing negotiations for early conclusion of the proposed comprehensive market opening pact, aimed at enhancing bilateral economic engagement between the countries.
Commerce and Industry Minister Anand Sharma, who is here for a three-day visit, met Indonesian Economy Minister Hatta Rajasa and discussed about the progress of the free-trade agreement.
In October last year, both the sides started negotiations for Comprehensive Economic Cooperation Agreement (CECA), which would cover trade in goods, services and investment. The bilateral trade stood at over USD 20 billion in 2010-11.
India and the 10-member Association of South East Asian Nations (Asean) has already implemented free trade pact in goods and are engaged in intense negotiations to widen the scope of the pact.
India and Indonesia have identified five areas - manufacturing and skill training; healthcare and pharmaceuticals; mining, agro and food processing; R&D - where joint working groups will be set up.
(Source: Economic Times, Indiatimes, Press Trust of India)
Retail chains confused on multi-brand FDI, kirana stores ready to burn effigies
Since December 5, when the government put on hold the move to allow 51 per cent FDI in multi-brand retail, 13 days after the Cabinet decision to open the sector, global and domestic retail chains have been looking for a solution in the state election results, mainly that of Uttar Pradesh.
Bharti Walmart, a joint venture between American major Walmart and India’s Bharti group, refused to comment on the impact the poll results could have on the retail FDI decision.
The JV operates cash-and-carry business in India, but Walmart wants to foray into India in multi-brand retail in a big way. While no FDI is allowed in multi-brand, there’s no restriction on foreign investment in cash-and-carry or wholesale business. Recently, the government hiked the FDI limit in single brand retail from 51 to 100 per cent.
French retail giant, Carrefour, which too is operating cash-and-carry stores in India in the absence of permission to open multi-brand outlets here, did not comment on how election results may change the multi-brand FDI scenario.
(Source: Economic Times, Business Standard, Caclubindia)
Govt bans cotton exports effective immediately
India has banned cotton exports with immediate effect, the Directorate General of Foreign Trade (DGFT) said on Monday, as the world's second-largest exporter of the fibre moves to conserve supplies for local mills.
India had already exported 8.5 million bales, higher than government estimates made in January of 8.4 million bales of 170 kilograms each for the year, on strong demand from China. Over 80 percent of exports so far have headed to the Asian giant.
Traders in India had signed contracts for nearly 10 million bales in total for export at $1.01-$1.03 per lb, including those already shipped.
Domestic textile makers were worried that such large quantities of exports would cut availability in the domestic market, traders said.
Cotton arrivals from the new crop in Indian spot markets have dropped 4.4 percent in the current cotton year until Feb. 26, to 22.33 million bales, state-run Cotton Corp of India said on Monday on its website.
(Source: Economic Times, Reuters India, Moneycontrol.com)
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