Indian Economy: News and Discussion

Haldilal

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View attachment 231391

How many cities in India can boast of an near 100km2 of industrial space? If we subtract the empty space in the screenshot above and include other smaller clusters not in the image, Pune region has >10000 hectares of zoned industries. Most cities in India except Chennai and NCR will be lucky to have a few thousand hectares. This is why Pune grows in autopilot regardless of the government, thanks to the sheer volume of MNCs and startups setting up production facilities. And at least a quarter of the factories above were set up in the last few years. @Haldilal
Ya'll Nibbiars The Pune is the defacto Industrial Capital of India the Size of Small and medium Size firms Invetsment is staggering and plus the large ones, if the Pune is shut down the whole Nation stands still. And was surely supposed by the EV Industry happened in every firm in last few years at the Pune, this kind of Invetsments don't make noise but has such impact which changes the region forever.
 
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Azaad

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NutCracker

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another_armchair

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This may be of interest to those holding FMCG stocks.
 
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another_armchair

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Wonder what took them so long. Should have started this Q3 of 2022 when prices were firming up big time. Now Tur dal is retailing at over 200 a kilo.
 

thebakofbakchod

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This may be of interest to those holding FMCG stocks.
So the K shaped growth told by libbus is in fact the truth. Rural india is still struggling which is unsurprising, considering how little investment is done to bring them to the middle class. Instead every politician in every party is giving them freebies so that they will remain poor 10 years from now and the cycle repeats.
 

thebakofbakchod

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The government needs to get off their ass and set up a new fund that gives cheap low interest loans to such companies. The reason the investment is over 5-6 years is because no Indian company can raise cheap loans, so most of them fund expansion using their existing funds.


Edit: Plant is coming up in Odisha. Waste Bengal's loss is Odisha's gain. This is a kolkata based company

The company has a vision to produce 200,000 MTPA of Lithium Iron Phosphate (LFP) Cathode Active Material, catering to 100 GWh of Li-ion Battery, in phases over the next 5-6 years.

Phase I of the capacity expansion will be of 40,000 MTPA at an estimated cost of Rs 1,125 crore and to be operational in 27 to 36 months at Odisha. The capex will be funded largely through internal accruals and balance from debt. At full utilization of 40,000 MT, the company expects to generate a revenue of ~4X the capex with a very strong profitability and returns profile.

https://www.financialexpress.com/business/express-mobility/
 

ezsasa

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The government needs to get off their ass and set up a new fund that gives cheap low interest loans to such companies. The reason the investment is over 5-6 years is because no Indian company can raise cheap loans, so most of them fund expansion using their existing funds.


Edit: Plant is coming up in Odisha. Waste Bengal's loss is Odisha's gain. This is a kolkata based company

The company has a vision to produce 200,000 MTPA of Lithium Iron Phosphate (LFP) Cathode Active Material, catering to 100 GWh of Li-ion Battery, in phases over the next 5-6 years.

Phase I of the capacity expansion will be of 40,000 MTPA at an estimated cost of Rs 1,125 crore and to be operational in 27 to 36 months at Odisha. The capex will be funded largely through internal accruals and balance from debt. At full utilization of 40,000 MT, the company expects to generate a revenue of ~4X the capex with a very strong profitability and returns profile.

https://www.financialexpress.com/business/express-mobility/
let's say such a fund of one lakh crores is created, and 10-15 years from now 50% of the investments fail.

what would be your response be?

a) blame the govt
b) blame the babus
c) blame the companies

d)
giphy.gif
 

thebakofbakchod

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let's say such a fund of one lakh crores is created, and 10-15 from now 50% of the investments fail.

what would be your response be?

a) blame the govt
b) blame the babus
c) blame the companies

d)
View attachment 231521
If the investment failed due to corruption then hang both the culprit and whoever signed off the loans, if not do nothing. And manufacturing plant capex in India never had anywhere close to 50% failure rate. The only way that can happen is if there is a massive overcapacity that cant be exported out or a big change in technology making the current plant unviable. Considering India has huge production deficit in all new-age industrial sectors, there is low chance of either happening.
 

Haldilal

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let's say such a fund of one lakh crores is created, and 10-15 years from now 50% of the investments fail.

what would be your response be?

a) blame the govt
b) blame the babus
c) blame the companies

d)
View attachment 231521
Ya'll Nibbiars Even if percentage of firms fails the rest can still keep the books in Greens. And such kind of funds are not new, SWAMIH in real estate and many others were packed by both public and private financial Instuites and have been blocbuster in the returns.

where ever govt is involved, corruption and inefficiencies come along with it. can't wish it away.



the country is not able to find long term funding solutions for infra projects, which is a core industry. setting a fund for a future tech might be difficult.



instead let the market handle the funding part, and govt on it's part removes policy roadblocks which hinder those investments. both market and govt working on their core strengths.



if the argument would have been Govt should invest on R&D in this vertical, then i would not have made these points.
Ya'll Nibbiars You are forgetting the Government has Resarch Funding on Individual level amd small scale levels. What lack is on large and corporate levels. Sometimes on this scale was muted many years ago but nothing happened.


images - 2023-12-06T133949.545.jpeg
 
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ezsasa

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If the investment failed due to corruption then hang both the culprit and whoever signed off the loans, if not do nothing. And manufacturing plant capex in India never had anywhere close to 50% failure rate. The only way that can happen is if there is a massive overcapacity that cant be exported out or a big change in technology making the current plant unviable. Considering India has huge production deficit in all new-age industrial sectors, there is low chance of either happening.
where ever govt is involved, corruption and inefficiencies come along with it. can't wish it away.

the country is not able to find long term funding solutions for infra projects, which is a core industry. setting a fund for a future tech might be difficult.

instead let the market handle the funding part, and govt on it's part removes policy roadblocks which hinder those investments. both market and govt working on their core strengths.

if the argument would have been Govt should invest on R&D in this vertical, then i would not have made these points.
 

indus

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Wonder what took them so long. Should have started this Q3 of 2022 when prices were firming up big time. Now Tur dal is retailing at over 200 a kilo.
Crop has its own harvest cycles. Tur will be ready from January onwards so it will be imported then only
 

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