Indian Economy: News and Discussion

[Cutting Edge 2]

MoUs worth Rs 2 lakh crore signed at IITLS Summit 2017
Updated: May 05, 2017 20:17 IST

New Delhi [India], May 5 (ANI): Thirty-four memorandum of understanding (MoU) MoUs amounting to about Rs 2 lakh crores were signed in the three day India Integrated Transport and Logistics Summit that was concluded in New Delhi today.

These MoUs were in the areas of port connectivity, Integrated Check Posts (ICP) in the states of Bihar, Uttarakhand, Uttar Pradesh, West Bengal, Manipur, access to land port in Tripura, Assam and Mizoram, development of Logistics Parks in Telengana, Andhra Pradesh, Karnataka, Madhya Pradesh, Assam, Gujarat, Mizoram, development and furthering of multi modal logistics parks in Mumbai and Bengaluru and Haryana, exploring investment opportunities in logistics sector, dredging of inland waterways, implementation of 79 port connectivity projects under Sagarmala, development of port roads to Chennai and Vishakhapatnam ports, and connectivity to airport in Navi Mumbai, among others.

Some of these MoUs are between government agencies, while others are between government to business and business to business.

The Summit was attended by around 3000 delegates from India and abroad, which included central and state government organizations, international organizations like the World Bank and the Asian Development Bank (ADB), delegates, global transport and supply chain experts and representatives of private companies.

The sessions focused on six major themes that included Multi Modal Logistics Parks, New Developments in Urban Transportation, Freight Corridors for Economic Development, Supply Chain Transformation- Storage Innovations, GST and Role of Digitization for Decongestion and Standards and Skills for Logistics. Fifty speakers from across the globe shared their views, expertise and experience about developing the logistics and integrated multi modal transport sector in India.

Addressing the concluding session of the summit, the Minister for Road Transport and Highways and Shipping Nitin Gadkari said, "There is an urgent need to bring down logistics cost in the country to globally comparable rates if we hope to achieve double digit growth figures and ensure the welfare of the weakest sections of society."

Gadkari further stated the summit is a very welcome, first step towards realizing this objective.

"The participation of both the government and the private sector has been very encouraging, adding that even states from the North East have come forward to sign MoUs. He said the suggestions of all stakeholders will be considered and a road map will be drawn for progress along these lines.

Rajasthan Chief Minister Vasundhara Raje spoke about the ongoing developments in the transport and logistics sector in her state and welcomed the steps being taken to develop multi modal integrated transport in the country.

"Rajasthan has the highest length of National Highways in the country. Six economic corridors pass through the state. The state has close proximity to the prosperous northern and western regions of the country. Air infrastructure in the state is also good with Jaipur, Jodhpur and Udaipur having full fledged airports. She said multi modal integrated transport and logistics would benefit Rajasthan to a great extent."

Haryana Chief Minister Manohar Lal Khattar also welcomed the organization of the summit and said Haryana is fully capable and prepared to participate in the upcoming transport and logistics revolution in the country.

"The state has a lot of potential to contribute to the growth of warehousing and supply chain logistics. He also informed that the state is working in a big way to enhance and modernize its transport and warehousing network," Khattar said.

The Ministry also gave away awards to the winners of a contest for designing solar toll plazas.

http://www.aninews.in/newsdetail-Mg...2-lakh-crore-signed-at-iitls-summit-2017.html

 

[F-14B]

MoUs worth Rs 2 lakh crore signed at IITLS Summit 2017
Updated: May 05, 2017 20:17 IST

New Delhi [India], May 5 (ANI): Thirty-four memorandum of understanding (MoU) MoUs amounting to about Rs 2 lakh crores were signed in the three day India Integrated Transport and Logistics Summit that was concluded in New Delhi today.

These MoUs were in the areas of port connectivity, Integrated Check Posts (ICP) in the states of Bihar, Uttarakhand, Uttar Pradesh, West Bengal, Manipur, access to land port in Tripura, Assam and Mizoram, development of Logistics Parks in Telengana, Andhra Pradesh, Karnataka, Madhya Pradesh, Assam, Gujarat, Mizoram, development and furthering of multi modal logistics parks in Mumbai and Bengaluru and Haryana, exploring investment opportunities in logistics sector, dredging of inland waterways, implementation of 79 port connectivity projects under Sagarmala, development of port roads to Chennai and Vishakhapatnam ports, and connectivity to airport in Navi Mumbai, among others.

Some of these MoUs are between government agencies, while others are between government to business and business to business.

The Summit was attended by around 3000 delegates from India and abroad, which included central and state government organizations, international organizations like the World Bank and the Asian Development Bank (ADB), delegates, global transport and supply chain experts and representatives of private companies.

The sessions focused on six major themes that included Multi Modal Logistics Parks, New Developments in Urban Transportation, Freight Corridors for Economic Development, Supply Chain Transformation- Storage Innovations, GST and Role of Digitization for Decongestion and Standards and Skills for Logistics. Fifty speakers from across the globe shared their views, expertise and experience about developing the logistics and integrated multi modal transport sector in India.

Addressing the concluding session of the summit, the Minister for Road Transport and Highways and Shipping Nitin Gadkari said, "There is an urgent need to bring down logistics cost in the country to globally comparable rates if we hope to achieve double digit growth figures and ensure the welfare of the weakest sections of society."

Gadkari further stated the summit is a very welcome, first step towards realizing this objective.

"The participation of both the government and the private sector has been very encouraging, adding that even states from the North East have come forward to sign MoUs. He said the suggestions of all stakeholders will be considered and a road map will be drawn for progress along these lines.

Rajasthan Chief Minister Vasundhara Raje spoke about the ongoing developments in the transport and logistics sector in her state and welcomed the steps being taken to develop multi modal integrated transport in the country.

"Rajasthan has the highest length of National Highways in the country. Six economic corridors pass through the state. The state has close proximity to the prosperous northern and western regions of the country. Air infrastructure in the state is also good with Jaipur, Jodhpur and Udaipur having full fledged airports. She said multi modal integrated transport and logistics would benefit Rajasthan to a great extent."

Haryana Chief Minister Manohar Lal Khattar also welcomed the organization of the summit and said Haryana is fully capable and prepared to participate in the upcoming transport and logistics revolution in the country.

"The state has a lot of potential to contribute to the growth of warehousing and supply chain logistics. He also informed that the state is working in a big way to enhance and modernize its transport and warehousing network," Khattar said.

The Ministry also gave away awards to the winners of a contest for designing solar toll plazas.

http://www.aninews.in/newsdetail-Mg...2-lakh-crore-signed-at-iitls-summit-2017.html

As usual the numb skulls that run kerala forgot about it all

 

[Letters from Adi]

They should invest more in the tourism and entertainment sector more imo.
It's a sad thing that Singapore gets thrice as many tourists than us.
Forbes estimates Indian movie industry has a $10B potential but is held up in a $2B figure.

They need to improve the infrastructure more.

 

[Villager]

India to import LPG from Iran to meet rising demand

LPG consumption in 2016-17 rose 9.8 per cent to 21.55 million tonnes. (Reuters)

India has for the first time ever signed a contract to import LPG from Iran as it looks at additional sources of cooking fuel to meet rising domestic demand. State-owned oil firms will import one very large gas carrier (VLGC), or 44,000 tonnes, per month for an initial six-month period, industry sources said. India imports almost a million tonnes of LPG every month to meet rising demand that has been further fuelled by the government drive to give free gas connections to poor women. LPG consumption in 2016-17 rose 9.8 per cent to 21.55 million tonnes. Of this, 11 million tonnes came from imports.

India mainly imports LPG via term contracts from major Middle Eastern producers Saudi Aramco, Qatar’s Tasweeq, Abu Dhabi National Oil Co and Kuwait Petroleum Corp.

Sources said LPG imports will rise over the next three years to 16-17 million tonnes as the government pushes for making available cooking gas cylinders to the poor and wean them off polluting fuels. The country is looking to import LPG from Bangladesh. India had imported 8.8 million tonnes of LPG in 2015-16.

Imports last year made India the world’s second-largest importer of liquefied petroleum gas (LPG), behind China. It overtook Japan, which imported 10.6 million tonnes. Last May, the government launched a programme to provide free cooking gas connection to poor women with a view to cut on use of firewood and polluting fuels like dried cow dung.

LPG demand is projected to grow by 9.7 per cent to 23.7 million tonnes in the current fiscal and is likely to touch 35 million tonnes by 2031-32. A record 3.45 crore LPG connections were given during the fiscal ended March 31, 2017, including 2.2 crore free connections to poor women. This has taken the number of LPG consumers to 20.08 crore. As many as 6 crore connections have been given in last three years, taking LPG to 72.84 per cent of the population.

The government is targeting giving out 3 crore connections including 1.5-2 crore under the free LPG connection scheme during the 2017-18 fiscal and another 4 crore in the following year. This would help take LPG coverage to 95.49 per cent of the population.

 

[busesaway]

I'm an advocate for the fund based model of economic growth. It essentially involves large government-owned investment funds that provide loans, grants, subsidies, and investments into companies that have potential for economic growth, and economic assistance for infrastructure projects and social welfare enhancement (healthcare, sanitation, education, etc...).

The government can retain some moderate control over the economy through the economic investment leverage, while also retaining the free market competition and ability for individuals to keep themselves on top of what's going on.

I'm not a hater of socialism but I think that the fund based model is more efficient. It's worse to allow foreigners into the market that to have socialist companies, and the worst is to allow talent/money to leave the country.

 

[Cutting Edge 2]

India’s economy is set for a $1.3 trillion bonanza from 60 million new homes

May 10, 2017

Prime minister Narendra Modi’s ambitious plan to build homes for all Indians by 2022 could spark an economic revolution worth $1.3 trillion,which is a little more than Mexico’s GDP.

Between 2018 and 2024, some 60 million new homes are set to be built, mostly under the government’s affordable housing programme, as Asia’s third-largest economy looks to upgrade its people’s quality of life.

This is expected to create over 2 million jobs annually and add up to 75 basis points to India’s GDP, brokerage firm CLSA said in a report last week.

“The housing sector is at a tipping point and will be the economy’s next big growth driver,” the report said. “The catalyst is the government’s big push for an ambitious housing program.”

Since coming to power in 2014, Modi has focussed on expanding affordable housing. In June 2015, he announced his mission to construct 20 million homes across the country by 2022. In February 2017, for the first time, India gave the affordable housing sector infrastructure status, which will incentivise and subsidise it, besides ensuring tax benefits and institutional funding.

Last December, as Indian banks’ coffers filled up with cash following the demonetisation of high-value currency notes, the government launched two schemes to make it easier for the poor to access housing. First, it offered a discount of 4% on the interest rate for loans of up to Rs9 lakh for low-income individuals building homes. For loans worth up to Rs12 lakh, the interest rate was to be discounted by 3%. Secondly, in rural India, Modi promised a 3% interest waiver on loans up to Rs2 lakh to modify a house.

The report came shortly before India put into effect a new law aimed at regulating the real estate sector. Under the new law, each state and union territory in India will have its own regulator. It also requires companies to create an escrow account, where 70% of the money collected from the buyers of under-construction homes will have to be deposited. This money can only be used for the construction of the project.

Overall, things have been looking stable for the industry for a while. “In the past five years, mortgage rates have dropped 250 basis points, property prices have remained broadly stable and per capita incomes have posted a 10% CAGR,” the CLSA report said.

https://qz.com/979059/indias-economy-is-set-for-a-1-3-trillion-bonanza-from-60-million-new-homes/

 

[Butter Chicken]

PMO office has directed loss making PSU's to auction land for low cost housing.About 2000 acres in prime locations across India

 

[abu bakr]

http://www.dnaindia.com/analysis/column-it-s-the-economy-gentlemen-2434009

It’s the economy, gentlemen: By 2030, India’s GDP will be the third largest in the world
India must counter China’s pride in having an economy five times India’s and a defence budget three times India’s, with an economic resurgence

MINHAZ MERCHANT | Thu, 11 May 2017-08:05am , DNA
By 2030, India’s GDP will be the third largest in the world, outshining Japan, Germany, and Pakistan

When former United States President Bill Clinton coined the famous phrase, “It’s the economy, stupid”, little did he know how right he would prove to be, however impolite his choice of words. A quarter-century later, it’s still the economy that drives the world order.

China derives its quasi-superpower status from its economy that has grown eight-fold to $11 trillion since Clinton made that remark in the early-1990s. It is a lesson India must learn. China’s economy is now so powerful that countries like Vietnam, which fought and won a short, sharp war against Beijing in 1979, are mending ties with it despite a festering dispute over sovereignty in the South China Sea. The Philippines sued China under the United Nations Convention on the Law of the Seas (UNCLOS). It won the case but has now dropped the idea of enforcing the verdict which China has anyway dismissed with contempt.

Even the United States, with an economy nearly twice the size of China’s, has backed away from confronting Beijing over the South China Sea and North Korea. China’s belligerence against India, raised a couple of notches after the Dalai Lama’s visit to Arunachal Pradesh, derives from its belief that with an economy five times India’s and a defence budget three times India’s, New Delhi has few options but to swallow its pride.

India must counter this with an economic resurgence of its own. There is empirical evidence that this is entirely feasible. A new report by the United States Department for Agriculture Economic Research Service (USDA ERS), based on data collated by the World Bank and the IMF, projects the Indian economy will be the world’s third largest by 2030 with a GDP of $6.84 trillion. The USDA report assumes an average annual Indian GDP growth rate of 7.4 per cent, which is a conservative estimate. Keep in mind too that the estimate of $6.84 trillion is at current exchange rates (not purchasing power parity — PPP) and thus undercounts India’s low-cost, rupee-based GDP. So a $6.84 trillion GDP in 2030 would be equivalent in PPP terms to nearly $15 trillion — in the same range as China’s or America’s GDP (again in PPP terms) today.

To put these figures in perspective, consider the USDA’s projection of the GDPs in 2030 of the following developed countries: Japan ($6.37 trillion), Germany ($4.38 trillion), Britain ($3.60 trillion), and France ($3.44 trillion). India’s GDP (undercounted in non-PPP terms) will in 2030, therefore, be nearly double Britain’s and France’s, far larger than Germany’s and ahead of Japan’s.

The key assumption is 7.4 per cent growth of Indian GDP over 17 years — eminently within reach if sensible economic policies are followed, beginning with the implementation of the Goods and Services Tax (GST), FDI liberalisation, labour reforms, and a thrust on infrastructure, healthcare, and education.

The geopolitical ramifications of a $6.84 trillion GDP are far-reaching. Pakistan strives for equivalence with India at every turn though its GDP today is merely 11 per cent of India’s. By 2030, at even a heightened annual growth rate of 4 per cent, Pakistan’s GDP will be around $500 billion — barely 7 per cent of India’s. Critically, the 5:1 gap in GDP between China and India will narrow to less than 3:1 in 2030 as China’s GDP grows more slowly to $19.20 trillion, according to USDA’s projections. Equally critically, the gap between India’s and Pakistan’s GDPs will widen from the current 9:1 to 14:1.

All this doesn’t mean Pakistan’s proxy terrorism against India will disappear. But if an economically powerful India simultaneously strengthens its military and diplomatic strategy against Islamabad, a change in Pakistan’s criminal behaviour can’t be ruled out. China’s stance too could change. Chinese academics are beginning to question the wisdom of the China-Pakistan Economic Corridor (CPEC) that passes through Pakistan-occupied Kashmir (PoK). They are stressing a closer dialogue with India over disputed PoK which could disrupt CPEC infrastructure there as it has in Balochistan.

But the Chinese, despite their rhetoric over Arunachal Pradesh, see the future with greater clarity than most others. They have studied the USDA’s 2030 projections for India.

The problem is that while clear-headed analysts in Beijing have begun to realise India’s potential, the mandarins in New Delhi, docile as ever in matters of foreign policy, have not. That must change if India is to punch at, not below, its geopolitical weight.

 

[Butter Chicken]

India imposes anti-dumping duty on 47 steel products for 5 years

NEW DELHI: India imposed retroactive anti-dumping duties on some steel products of foreign firms including POSCO and Nippon Steel & Sumitomo Metal Corp, the latest in a series of protectionist measures that have already drawn international complaints.

The duties on hot-rolled flat products of alloy or non alloy steel, originating in or exported from China, Japan, Korea, Russia, Brazil and Indonesia, will be effective for five years from Aug. 8, 2016, the Ministry of Finance said in a statement on its website on Friday.


Indian companies such as JSW Steel, Tata Steel and SAIL have already benefited from the restrictions on overseas purchases, with imports falling around 37 percent to 7.4 million tonnes and exports jumping 102 percent to 8.2 million tonnes in the year ended March 31 from a year ago.

http://economictimes.indiatimes.com...products-for-5-years/articleshow/58639456.cms

 

[Butter Chicken]

Demonetisation effect: 9.1 million new taxpayers

The government added 9.1 million new taxpayers in 2016-17, an 80% increase over the typical yearly rise, highlighting the impact of India’s November demonetisation of high-value currencies.

This is expected to significantly boost the government’s tax revenue. India had only 55.9 million individual taxpayers at the end of 2015-16.

The Economic Times, citing two top government officials, reported on 3 May that the number of people who filed tax returns surged by 9.5 million.

Not everyone who pays tax files returns. Many are salaried employees whose tax is deducted and paid by the employers. In 2015-16, only 37 million individuals filed tax returns.

The increase in taxpayers may be used by the government to justify demonetisation, which critics have claimed did not help in its original objective of curbing black money, terror financing or counterfeit notes.



“About 9.1 million new taxpayers have been found, significantly expanding the taxpayer base,” a senior government functionary said on condition of anonymity.

The person, who is in a position to be aware of data and thinking at the highest levels of the government, added that this was partly on account of demonetisation.

It is estimated that a substantial part of the invalidated currency has returned to the banking system—official data on this is yet to be released—but the government has insisted, and rightly so, that the mere act of depositing money in a bank account doesn’t convert black money into white money.

A second person, a government official familiar with the matter who asked not to be identified, confirmed this number. He said that every year, typically, India adds around 6 million taxpayers, and around 1 million stop paying taxes (on account of death, retirement, etc). That would mean India added around 4.1 million more taxpayers in 2016-17 than it otherwise would have.

The second person said India ended the year with 65 million taxpayers. In June 2016, Prime Minister Narendra Modi asked the income-tax department to work towards increasing India’s tax base to 100 million individuals.

A low taxpayer base has for long been a key drag on the government’s finances. India’s tax revenue, including indirect taxes, as a percentage of its gross domestic product (GDP) was 16.7% in 2016, compared with 25.4% in the US and 30.3% in Japan.

Among the 37 million individuals who filed tax returns in 2015-16, 9.9 million showed income below the exemption limit of Rs2.5 lakh; 19.5 million, income between Rs2.5 lakh and Rs5 lakh; 5.2 million, between Rs5 lakh and Rs10 lakh; and only 2.4 million people showed income over Rs10 lakh. Of the 7.6 million individual assesses who declared income above Rs5 lakh, 5.6 million were in the salaried class. Only 172,000 people declared income exceeding Rs50 lakh in the entire country.

In comparison, in the last five years, more than 12.5 million cars have been sold and, in 2015, 20 million Indians travelled overseas, either for business or pleasure.

In his budget speech on 1 February, finance minister Arun Jaitley quoted these figures and said India is largely a tax non-compliant society. “The predominance of cash in the economy makes it possible for the people to evade their taxes,” he said.

Jaitley added in his speech that after demonetisation, the preliminary analysis of data received in respect of deposits made by people in old currency presented a revealing picture. “During the period 8 November to 30 December 2016, deposits between Rs2 lakh and Rs80 lakh were made in about 10.9 million accounts with an average deposit size of Rs5.03 lakh. Deposits of more than Rs80 lakh were made in 1.48 lakh accounts with average deposit size of Rs3.31 crore. This data mining will help us immensely in expanding the tax net as well as increasing the revenues, which was one of the objectives of demonetisation,” he said then.

This year’s Economic Survey said that perhaps the most important marker of the success of demonetisation would be tax collections.

“The number of new income tax payers as well as the magnitude of reported and taxable income should go up over time. That will be the surest sign of success.”

The International Monetary Fund, in its latest Asia Pacific Economic Outlook, said that after demonetisation, bank deposits of large amounts were expected to attract high scrutiny by tax authorities and the information obtained as a result of income verification could lead to a durable impact on the tax revenue base. “With only about 1% of the Indian population paying personal income taxes, the scope for broadening the tax base is clearly large,” it said.

http://www.livemint.com/Politics/WR...tisation-effect-91-million-new-taxpayers.html

 

[Butter Chicken]

Forex reserves reach record high at $377.7 billion

Read more at:
http://economictimes.indiatimes.com...ofinterest&utm_medium=text&utm_campaign=cppst

 

[Akshay_Fenix]

Retail inflation in April drops to new record low of 2.99%

http://www.livemint.com/Politics/Hl...-in-April-drops-to-new-record-low-of-299.html

Jai Ho Modi Sarkar.

March industrial output up 2.7 percent

India released on Friday a new series of industrial output and wholesale inflation data, revising the base year to 2011/12 from 2004/05.

Under the new base year, while the mining sector has almost similar weights (14.4% in new series against 14.2% under old series), manufacturing has a higher weight at 77.6% under the new series against 75.5% under the old series. The weight of electricity in IIP under the new series has declined to 8% from 10.3% under the old series.

To reduce volatility in the capital goods segment, data in the new series will now be captured in terms of ‘work in progress‘ to better represent the growth in the segment and to avoid reporting of production figures in bulk after the completion of production

Under the new series, manufacturing sector in March grew 1.2% while mining and electricity sectors grew 9.7% and 6.2% respectively.

http://www.livemint.com/Politics/9o...h-cools-to-27-on-poor-manufacturing-show.html

April WPI inflation at 3.85 percent

http://in.reuters.com/article/india-inflation-idINKBN1881K9

 

[Butter Chicken]

Road to Swadeshi! PMO giving final touches to big 'Buy Indian' policy

Buy Indian and Make in India – the government will bring out a full-fledged ‘price preference’ policy favouring Indian-owned companies. The policy, likely to be finalised by end of May, is being driven by the PMO and is aimed at boosting Indian enterprises across sectors.

Preferential pricing is expected to allow additional time to Indian-owned bidding companies so that they can match the lowest bid in case the latter was made by an entity that’s partly Indian-owned or mostly foreign-owned.

http://economictimes.indiatimes.com...ig-buy-indian-policy/articleshow/58651467.cms


Suzuki is pumping in billions of dollars to further strengthen its position in India

Suzuki has lined up investments worth close to Rs 10,000 crore to set up manufacturing facilities in Gujarat to produce 750,000 vehicles a year.

It announced a factory to make lithium ion batteries — rechargeable batteries used in electric and hybrid vehicles — in joint venture with Toshiba and Denso. And, if one ties along the proposed partnership with Toyota, Suzuki is clearly thinking far ahead into the future. The move, in fact, has a potential to drive car electrification in the country.

Read more at:
http://economictimes.indiatimes.com/articleshow/58650876.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

 

[Cutting Edge 2]

Indian IT Layoffs: Thousands of Jobs Set to be Axed

12/05/2017

Indian IT firms are witnessing their slowest growth in a decade, while global firms are shifting their budgets from traditional IT services to newer areas such as digital and cloud.

New Delhi: Once India’s global claim to fame, the country’s information technology (IT) sector is seeing a spate of layoffs by IT majors like Tech Mahindra, Wipro, Infosys and Cognizant.

The churn in the IT sector — which is moving towards increasing automation, use of artificial intelligence and is beset by tightening visa regulations — is likely to affect mid-level employees with 10-15 years of experience the most, as many are averse to learning new skills, industry experts have said.

Further, Indian IT firms are witnessing their slowest growth in a decade, while global firms are shifting their budgets from traditional IT services to newer areas such as digital and cloud, which require engineers to engage with clients instead of working remotely. Even as this shift takes hold of the sector, automation is increasingly taking over low-end maintenance work, forcing companies to shift workers to other projects and reduce hiring from campuses.

Tech Mahindra joins the bandwagon

Software services firm Tech Mahindra has sacked a thousand-odd employees this month. However, what happened at Tech Mahindra is not an outlier, other IT majors like Wipro, Cognizant, Infosys and Capgemini are also facing their own share of challenges, and moving to either prune or re-skill their respective workforce.

“We have a process of weeding out bottom performers every year and this year is no different,” a Tech Mahindra spokesperson said.

As on December 31, 2016, the company’s total employee headcount stood at 117,095, while the software division had 80,858 employees.

Wipro was the canary in the coal mine

Late in April, Wipro sacked around 500 of its employees as part of its appraisal process. The company is reported to have weeded out “non-performers” after a “rigorous performance appraisal”.

While Wipro did not specify the exact number of affected employees, the company said it “undertakes a rigorous performance appraisal process on a regular basis to align its workforce with the business objectives, strategic priorities of the organisation, and requirements of our clients”.

“This systematic and comprehensive performance evaluation process triggers a series of actions, such as mentoring, retraining and up-skilling. The performance appraisal may also lead to the separation of some employees from the company and these numbers vary from year to year,” it said.

In fact, Wipro, India’s third-largest software exporter, has a programme Band Inertia, which looks at scrutinising employees for performance in the same band for longer periods, identify gaps to reskill, and mark out those who are unable to upskill with newer technologies]

The real bloodbath could be at Cognizant

US-listed IT major Cognizant Technology Solutions, which has a significant workforce in India, is said to be reducing its employee count by as much as five per cent, which translates to close to 10,000 workers.

Also, as reported last week, the Nasdaq-listed solutions provider has floated a voluntary separation option for its employees at the senior management level.

Globally, the company employs around 260,000 employees, of this around 75% of the workforce is based in India.

Here too, according to what the company spokesperson told Business Standard, the layoffs will take place as part of the Cognizant’s performance review process. Typically, the bottom one per cent of the workforce is weeded out for non-performance, a common practice across IT firms as part of the annual appraisal exercise. The appraisal process generally ends by March.

This year, the appraisal cycles came in the backdrop of a recent report by advisory firm McKinsey & Company, which said that almost half of India’s 3,700,000-strong IT services workforce will be “irrelevant” over the next three-four years. In fact, industry body Nasscom has also said that both freshers and existing employees should look at self-learning to stay relevant at a time when digitisation is causing disruption in the industry.

Like Wipro, Infosys too tightens appraisal process

While Wipro has Band Inertia, Infosys is also undertaking a similar exercise for mid-level professionals, scrutinising their performance when the company is shifting its focus on automation and delivering software-led services to its clients.

“A continued low feedback on performance could lead to performance actions, including separating an individual, and this is done only after feedback,” said Infosys in a statement. Around 1,000 people may be impacted in the bi-annual assessment at the tech major.

Also, as reported earlier, Infosys could hand out pink slips to hundreds of mid- and senior-level employees as it carries out bi-annual performance review amid a challenging business environment.

https://thewire.in/134836/indian-firm-layoffs-tens-thousands-across-companies-set-axed/

India's Infotech meltdown: Is IT sector facing its worst crisis?
May 12, 2017

The IT job market in India is seemingly crashing. There are reports that the information technology firms in India are in the middle of one of the largest job cuts ever seen in this Industry.

The number of layoffs this year is set to be twice that of last year, with inability to adapt to new technologies, inadequate growth, rise in costs (and subsequent fall in profits) and the use of automation tools which reduce the number of employees needed the main reasons behind the same.

Seven of the biggest IT firms in the country are in the process of laying off more than 56,000 engineers. This number is only set to grow as companies have been unable to deal with newly elected US President Donald Trump's nationalist-protectionist policies.

As a result of Trump's new policies, many IT companies are in the process of hiring US citizens and asking Indian H-1B Visa holders to return back to India. Infosys has announced plans to hire 10,000 US citizens over the next two years and Wipro has already hired over 2,800 US citizens in the past 18 months.

http://indiatoday.intoday.in/video/indias-infotech-meltdown-it-jobs-it-sector/1/952759.html

 

[abu bakr]

http://timesofindia.indiatimes.com/...-led-programme-to-uk/articleshow/58662726.cms

India extends its LED programme to UK
Sanjay Dutta| TNN | May 13, 2017, 11.11 PM IST

LONDON: Nearly a century after importing equipment from Britain for setting up its first thermal power station at Hussainsagar in Andhra Pradesh, India on Saturday launched the process to export 'Ujala' -- Hindi for light -- to the UK with affordable 'Made in India' LED bulbs.

 

[abu bakr]

Ganga cruise sailing from Kolkata to Varanasi among best river travel experience in the world


New Delhi: Cruising down the magnificent Ganga criss-crossing the majestic Himalayas, interspersed with verdant terrains and vignettes of the holy city of Moksha on the way, could well be an experience to remember.

What if this cruise figures right up there among the very best in the world and a must one to go for along with the likes of the Volga or the Danube?

Ganges Voyager II sails from Kolkata to Varanasi. Reuters

Check this out. Reputed international publication Conde Nast Traveller has put the Ganga cruise on its checklist as one of the top six river cruises to take in 2017.

The global luxury and lifestyle magazine has placed the luxury cruise vessel Ganges Voyager II, which sails on the Ganga from Kolkata to Varanasi, in the league of cruises on the Mekong and the Yangtze in China, the Amazon in South America, the Volga in Russia and the Irrawaddy in Myanmar.

Shipping, Road Transport and Highways Minister Nitin Gadkari, who dreams making India a global hotspot for cruise tourism -- be it river or sea -- says massive work is under way on the Ganges, be it for cruise tourism or cargo transport, and a 'nirmal and aviral Ganga' will take India to the path of development.

"We are working on a massive scale to make India a global hotspot in tourism. We have received offers from Dubai's Sultan to develop cruise tourism here," Gadkari said.

Conde Nast's endorsement of the Ganga as a cruise destination is a shot in the arm for river tourism in the country.

"Massive work worth Rs 5,000 crore is under way to develop various projects on the Ganga with the World Bank assistance, including development of multi-modal hubs," Gadkari said.

The Inland Waterways Authority of India, a body under the Ministry of Shipping, is facilitating cruise operations on National Waterways-1 (river Ganga) from Kolkata to Varanasi in collaboration with private cruise operators.

The facilities, provided by the IWAI, include navigation aids, including night navigation facility, embarking and disembarking at designated locations, facilitating expeditious crossing of the Farakka Navigation Lock, pilotage, and assistance in distress.

The National Waterway NW-1 from Varanasi to Haldia is being developed by the IWAI, under the Jal Marg Vikas Project (JMVP).

In addition to becoming one of the principal cargo movement routes in India, this stretch on NW-1 has good potential for river cruise tourism.

The minister said that as many as 168 cruises had came to major ports last year and a terminal in Mumbai is being constructed at a cost of Rs 800 crore.

Also, a policy is in the works to make India a global destination for cruise shipping and work is in progress to identify such circuits.

Five circuits each are being identified for international and domestic cruise services and a report is likely by this month.

"Endowed with a sprawling 7,500 km of coastline, we have taken steps in a big way to promote cruise tour, which includes relaxation of policies and developing infrastructure," he said.

So far, Indians had been travelling to South-East Asia, the Mediterranean and the Caribbean to experience the cruise, but for the first time, Europe's key player Costa Cruises launched Costa neoClassica in India recently, which has confirmed seven voyages.

A task force to promote cruise tourism in the country has been constituted under the chairmanship of the tourism secretary, with the shipping secretary as co-chairman.

The idea is to put India on the global cruise map, both for oceans and rivers, Gadkari said, adding that it comes with a huge job potential. India saw 1.76 lakh cruise passengers in 2016-17, a merely 0.5 per cent of the global pie.

Domestic cruise passengers are estimated to grow to 1.5 million by 2031-32.

Of the 12 major ports, only five -- Mumbai, Goa, Cochin, New Mangalore and Chennai -- have facilities to berth international cruise ships.

One of the circuits identified so far is "coastal circuit" for development of coastal tourism infrastructure, an official said.

The government is developing a modern 2 lakh square feet terminal in Mumbai to make it a landmark destination, which will have infrastructure to accommodate cruise ships with size for 4,000 passengers.

The project includes hospitality, retail, shopping, restaurants and will allow general visitors during non-cruise seasons.

Apart from its huge coastline, India has the geographical advantage as it is strategically located between the Mediterranean and China, he said.

Recently, the Mumbai Port Trust, which has a dedicated berth for cruise tourism, hosted its largest passenger ship Genting Dream with 1,900 passengers.

Listing out the policy initiatives to promote cruise shipping, the minister said ships are now allowed to stay for three days, up from the earlier 24 hours, and rules have been simplified to attract more vessels.

The government has allowed foreign flag vessels carrying passengers to call at Indian ports without securing a licence from the director general of shipping till February 5, 2024.

Also, major ports will offer a minimum of 30 percent rebate across the board on all vessel-related charges for cruise shipping and not levy any priority fee.

On land excursions, an average tourist spends USD 70-100 per day and with a cruise ship of 3,000 capacity.

Also, average employment on a cruise ship, as per studies, is one job for 3-4 passengers, which translates into a boost for recruitment as well.


http://www.firstpost.com/india/gang...r-travel-experience-in-the-world-3429244.html

 

[abu bakr]

7,000 MW 'Make in India' nuclear projects to create 33,400 jobs: Govt

http://www.businesstoday.in/current...ojects-to-create-33400-jobs/story/252417.html

 

[xeaaex]

Indian economy is house of cards. All fake numbers from Feku Modi.

in India unemployment is increasing at really high rate. Poor people are dying in streets. No toilets for 40% population.

Yes you are absolutely right and foreign companies are crazy investing in such countries.
Curse those foreign investors they are investing like crazy in India.
Instead they should invest in porkistan which is worlds largest and highest quality producer of pork( read terrorist ) which they forcefully export to India where they are minced by Indian army.

Arey zhandwey baki ke investors kya chu hai? Aur tu badha shana hai!
Porkis beg for visa
Porkis beg for role in Bollywood movies
Porkis wants to perform in India
Porkis even beg to play cricket with them.
Loosers!

 

[Butter Chicken]

Volvo to start assembling cars in India by year-end

http://www.livemint.com/Companies/8...tart-assembling-cars-in-India-by-yearend.html

 

[Cutting Edge 2]

India’s FDI inflows at a record $60.1 billion in 2016-17
The commerce and industry ministry says India has now become the topmost attractive destination for foreign investment.

Updated: May 19, 2017 20:15 IST

Foreign direct investment inflows hit an all-time high of $60.1 billion in 2016-17, the commerce and industry ministry said on Friday, as the Narendra Modi government eased rules to lure global conglomerates to set up shop in sectors such as defence and railways.

In the last three years, the government has eased 87 FDI rules across 21 sectors to accelerate economic growth and boost jobs.

“The country has now become the topmost attractive destination for foreign investment,” the ministry said in a statement.

FDI inflows were at $55.6 billion for the year ending March 2016, which was a record. In 2016-17, the FDI inflows were even higher at $60.08 billion.

Since 2014, the Modi government opened up “conservative” sectors like rail infrastructure and defence. FDI reforms were also carried out in financial sector, medical devices and construction sectors.

FDI rules were radically overhauled across sectors such as broadcasting, retail trading and air transport. The Modi government amended legislation to hike the foreign investment cap to 49% in insurance and pension from the earlier 26%.

“The momentum of positive business climate was further ignited with launch of Make in India initiative in September 2014,” the ministry said.

In addition, initiatives such as introduction of composite caps in the FDI policy and raising the FIPB approval limit were also undertaken to promote ease of doing business in the country.

For retail trading of food products, the government permitted 100% FDI with unqualified condition that such food products have to be manufactured or produced in India.

http://www.hindustantimes.com/busin...-in-2016-17/story-7a8pt2u7e8IJttptDQcwhO.html