Indian Economy: News and Discussion

HariPrasad-1

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Because most, if not all of the core technological equipment are coming from them. And their companies also control most of the world mines and food trading.
And that is exactly what I say. If we starts exporting high technology stuff, there will not be a question of export hitting because of currency appreciation. When we enter into the phase of high tech stuff manufacturing and export, the equation of " high exchange rate results into low export" doesn't hold good.
 

Coalmine

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Central Electronics Limited?
If yes, then pls don't get this privatized. It is better working one and if privatized they will start commission bazi!
They are selling it to a furniture company
 

Haldilal

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Ya'll Nibbiars looks like the job market is literally in crises not jut me but others.

 

Ugra Bhairav

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India takes on China, Vietnam in electronics manufacturing; eyes $300 billion in local production by FY26

TNN | Jan 24, 2022, 09.55 PM IST
India takes on China, Vietnam in electronics manufacturing; eyes $300 billion in local production by FY26


NEW DELHI: India's counter-attack on China and Vietnam in manufacturing of electronics is set to get additional fire-power.

On target is $300 billion in output over the next four years, including $120 billion reserved for exports; broadening of product-basket for incentives; specially crafted large industrial zones with modern facilities; and permissions for factories that may hold up to as many as 1 lakh workers with dormitories, kitchens, medical set-ups, and housing complexes.

The plan is to give scale to electronics manufacturing set up that would ultimately lead to creation of strong supplier eco-system, massive employment opportunities, and global servicing.

IT and electronics minister Ashwini Vaishnaw and junior minister Rajeev Chandrasekhar presented ‘Vision Document 2.0’, prepared by their ministry and presented by the India Cellular & Electronics Association through its chairman Pankaj Mohindroo.

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Vaishnaw said that the government, which has already committed nearly $17 billion over the next six years across four production-linked incentive (PLI) schemes (semiconductor and design; smartphones; IT hardware, and components) will be coming out with more categories where benefits will be extended for local manufacturing. These are likely to include hearables and wearables, industrial and auto electronics, and telecom equipment.

The government wants the charge to come not only from global players such as Taiwanese Foxconn and Wistron (both Apple’s contract manufacturers) and Korean Samsung, but also from ‘domestic champions’ such as Optiemus, Dixon, and Lava.

Vaishnaw said he has spoken to the labour ministry regarding issues in setting up large factories that can have as many as one lakh employees, and have housing complexes for the workers.

Also, he said that his ministry is identifying land for building vast integrated manufacturing zones (going up to as much as 1,000 acres) with all requisite facilities such as land, power, roads, and connectivity built-in, much in line with what’s allotted in China and Vietnam.

The industry welcomed the proposal. “The plug-and-play model is indeed welcome. It takes away concerns around land acquisition, road and infra, power, and connectivity,” Sunil Vachhani, chairman of Dixon said.

Lava’s chairman Hari Om Rai also said that local companies need to go global while expanding manufacturing within India.

Minister Chandrasekhar said growth of digital consumption and diversification of global value chains will help achieve the targets.

Chinese conspicuous by absence

The mega meet of local and global electronics makers did not have Chinese players as participants or speakers.

Asked what role does India sees for the Chinese in Indian electronics manufacturing, junior IT & electronics minister Chandrasekhar said, “We don’t have any particular view... the concept of trust in value chain is an important attribute in post-Covid world and any investment and any investment partner that meets the trust criteria can manufacture.”

:clap2::clap2::clap2:
 

sauntheninja

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And that is exactly what I say. If we starts exporting high technology stuff, there will not be a question of export hitting because of currency appreciation. When we enter into the phase of high tech stuff manufacturing and export, the equation of " high exchange rate results into low export" doesn't hold good.
Its not about exports otherwise countries would hoard Japanese or Chinese currencies its more about currency being stable and not susceptible to shocks usd is the global currency because usa is a great power and its currency is incredibly stable
 

HariPrasad-1

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Its not about exports otherwise countries would hoard Japanese or Chinese currencies its more about currency being stable and not susceptible to shocks usd is the global currency because usa is a great power and its currency is incredibly stable
And it is not about US only. UK pound has bigger value than USD though it is a miniscule economy compared to US. There are many other examples.
 

Haldilal

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And it is not about US only. UK pound has bigger value than USD though it is a miniscule economy compared to US. There are many other examples.
Ya'll Nibbiars their financial centre is helping them and also the Central Bank policies. And while our RBI is not concerned about the Rupeew depictions.
 

HariPrasad-1

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Ya'll Nibbiars their financial centre is helping them and also the Central Bank policies. And while our RBI is not concerned about the Rupeew depictions.
RBI is not concerned because still that mentality persist that strengthening INR will impact the export. I think we should adopt a highly defensive policy so far as import is concern like China did initially. Once we do not need big imports, our position will get strengthen. We need an aggressive industrialization to minimize the imports. Once the import falls, and trade surplus starts to happen in a big way, our currency will start strengthening. We have a great chance to become world's top economy in PPP in next two decades but to be No 1 in Nominal will be difficult unless we can bring INR to RS 15 against USD which is the right value.
 

rockdog

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Because most, if not all of the core technological equipment are coming from them. And their companies also control most of the world mines and food trading.
The Chinese trade volume in 2021 reached record high and earned 4000 billion USD surplus, meanwhile the RMB to USD raised from 6.9 : 1 to 6.3 : 1 ; and the trend some said will be 5:1。

Theoratically, if a country wants to increase export, the normal way is to devalue its currency, but since USA is printing huge wave of green note and global manufacture was damaged, it gave the golden opportuty to China to raise the RMB without hurting the export, since the oversea buyer had no choice but buying from China.

It also made China would buy valuable asset and resource from global with relatively low prices, but with the purchasing process, those resource price will go up and hurt nations like India since India need to import lots of stuff.

So for everything from everything, manufacture is the King.
 

FalconSlayers

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Another SaaS Unicorn Startup




 

Crazywithmath

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RBI is not concerned because still that mentality persist that strengthening INR will impact the export. I think we should adopt a highly defensive policy so far as import is concern like China did initially. Once we do not need big imports, our position will get strengthen. We need an aggressive industrialization to minimize the imports. Once the import falls, and trade surplus starts to happen in a big way, our currency will start strengthening. We have a great chance to become world's top economy in PPP in next two decades but to be No 1 in Nominal will be difficult unless we can bring INR to RS 15 against USD which is the right value.
RBI is concerned; they do not let the rupee appreciate or depreciate drastically. Remember how massive inflows last year could not appreciate the rupee? They want a stable rupee with minimum fluctuations and throughout the last few years, they are already getting there.

How exactly does currency appreciation help an emerging economy apart from inflating the nominal GDP? Do you want India to end up like some barely functioning economy (BD for instance) ? Emerging economy currencies have a tendency towards depreciation; naturally. How and why should the trend be reversed? As long as depreciation is minimal (~ 1%+) why should we even bother?

Rupee was under a free fall during UPA (which had nothing to do with export facilitation). As long as that does not repeat we are fine.
 

HariPrasad-1

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RBI is concerned; they do not let the rupee appreciate or depreciate drastically. Remember how massive inflows last year could not appreciate the rupee? They want a stable rupee with minimum fluctuations and throughout the last few years, they are already getting there.

How exactly does currency appreciation help an emerging economy apart from inflating the nominal GDP? Do you want India to end up like some barely functioning economy (BD for instance) ? Emerging economy currencies have a tendency towards depreciation; naturally. How and why should the trend be reversed? As long as depreciation is minimal (~ 1%+) why should we even bother?

Rupee was under a free fall during UPA (which had nothing to do with export facilitation). As long as that does not repeat we are fine.

Trace my old posts. RBI generally do not intervene unless in the cases of big fluctuation. So far as weak rupee is concern, it will only help rich country to extract the wealth of weak currency country at an unreasonably low price. Why US, UK and other countries do not think like that? What I said earlier was that if enter into the export of elite countries who exports high end monopoly items, their export will not impact with appreciation of currency. For example Boing's export does not affect with appreciation in US currency (USD). What I argued was that we need currency appreciation to boost economy size. Currency depreciation eats up our growth of GDP in local currency and does not allow us to grow in terms of Nominal GDP. I did not argue about its pros and cons.

Our GDP in PPP is 4 times less than our GDP Nominal. This shows that our currency is highly depreciated. This is not good for the fifth largest economy of the world. This seems like the fortieth or Fiftieth economy.
 
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nixin

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Made in India: Government planning to come with policy that fill facilitate creation of an Indeginous operating system as an alternative to Apple's iOS and Google's Android: MoS IT

At least they are started thinking about this also .
 

Haldilal

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Made in India: Government planning to come with policy that fill facilitate creation of an Indeginous operating system as an alternative to Apple's iOS and Google's Android: MoS IT

At least they are started thinking about this also .
Ya'll Nibbiars In pats such scheme were done but they were nothing more than basic Linux upgradedes.
 
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ezsasa

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Android is just a linux kernel with some extra hardware drivers in it doesn't make sense to start from scratch
it makes all the sense to develop expertise within the country, tomorrow if apple and android start delisting Indian apps in their app store/play store in the name of political correctness, India will need to have a solution and expertise in hand to scale up. This is what china did, and US politics does not have leverage on chinese digital space because of this.
 
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sauntheninja

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it makes all the sense to develop expertise within the country, tomorrow if apple and android start delisting Indian apps in their app store/play store in the name of political correctness, India will need to have a solution and expertise in hand to scale up. This is what china did, and US politics does not have leverage on chinese digital space because of this.
Chinese manufacturers were denied from using the android kernel for their mobile phones so they did make a new os particularly huawei https://www.harmonyos.com/en/ but this too is mostly based on the android kernel
 

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