Indian Economy: News and Discussion

[Johny_Baba]

Why shld we promote palm oil when we know abt the bad affects of palm oil plantations on the rainforests of Indonesia and Malaysia. The only benefit palm oil has is its cheap cost. Its harmful to health and shld not be consumed. Rather than promoting palm plantations, Govt shld boost production of local oilseeds such as mustard, peanuts, soyabean, sunflower. It wl be a boon for the consumer as well as farmers.

Let me tell you a stroy that my father has told me countless times,
in his times,i mean 80s, situation was like this here in Gujarat
> Higher Middle Class and Riches used to consume Sesame (Til) Oil, but it was costly even by then standards so not everybody could afford it,
> Almost everybody below those, i.e. lower middle class and even the poor used to consume groundnut oil, in fact many riches also preferred it because it left very distinctive flavour in food during cooking that was liked by people here, and since Gujarat was primary producer of Groundnuts (=mungfali) it was affordable as well,

thus Mungfali Ka Tel was our de-facto official cooking oil here, affordable and used and liked by all people here coming from rags to riches

> Rest the govt "ration shops" were distributing Palm Oil but not even most majboor people consumed it heck it was considered a taboo-like thing here to use Palm Oil for anything back in those times (still if you'd tell old generation that certain thing is fried in Palm Oil they'll look at it with certain suspicion)

Situation took a 180 degree turn when
- Govt. suddently decided that we were having shortrage of cooking oils here so to "supplement" local cooking oils and reduce "shortrage" mixing of Palm Oil with local cooking oil was allowed, but upto 1/3rd percent at max
- This resulted in various cooking oil refineries starting mixing up Palm Oil in virtually every cooking oil, resulting in influx of heavy imports of palm oils ( which was limited before as there were not many consumers ),subsequently it also resulted in prices of other oils going up as the kisaan had to start exporting finest quality of mungfalies to outside buyers due to refineries not picking up their produce like before, thus this artificial storage was created and as alternative many other cooking oils that were virtually absent here prior like Cottonseed Oil, Soyabean Oil, Sunflower Oil and what not - popped up,further messing up whole market of desi cooking oils.

^in long run influx of palm oils and govt allowing mixing up of it with common cooking oil resulted in situation where local cooking oils became expensive as heck for even middle classes, gareeb ka toh puchho hi mat.

 

[DerBronzeLord]

And he strikes again. I am scared of your idiocy.

He isn't saying anything wrong. If your currency has a higher value, how are you going to export at lower rates? I have told you this numerous times. If you run a business, where you export stuff, you will understand that a weaker currency is required. Look at how China devalued it's currency in a controlled way, and set up the dual-currency system to push exports in the mid-1990's. Come into a debate with facts. I have told you numerous times that a stronger currency will crush a nation's exports.

 

[India Super Power]

Due to nalle log , who can't work hard and get a decent job , ya our country is lacking proper job providing sector , so what do they want , government job.

Whenever i see these shit post , commie alert

No I'm infact modi supporter and I hate commies and socialists, but sometimes I have feeling that modi is good for making reform which are required but he is worse for economy as he is being criticized by many of them and with logic.
If something wrong then pls ignore

 

[sunshine]

He isn't saying anything wrong. If your currency has a higher value, how are you going to export at lower rates? I have told you this numerous times. If you run a business, where you export stuff, you will understand that a weaker currency is required. Look at how China devalued it's currency in a controlled way, and set up the dual-currency system to push exports in the mid-1990's. Come into a debate with facts. I have told you numerous times that a stronger currency will crush a nation's exports.

China's exports boomed after it joined the WTO in 2003.
From the last 20 years, China's exchange rate changes, China's export changes, the impact of the exchange rate is minimal，No positive correlation.

 

[here2where]

Let me tell you a stroy that my father has told me countless times,
in his times,i mean 80s, situation was like this here in Gujarat
> Higher Middle Class and Riches used to consume Sesame (Til) Oil, but it was costly even by then standards so not everybody could afford it,
> Almost everybody below those, i.e. lower middle class and even the poor used to consume groundnut oil, in fact many riches also preferred it because it left very distinctive flavour in food during cooking that was liked by people here, and since Gujarat was primary producer of Groundnuts (=mungfali) it was affordable as well,

thus Mungfali Ka Tel was our de-facto official cooking oil here, affordable and used and liked by all people here coming from rags to riches

> Rest the govt "ration shops" were distributing Palm Oil but not even most majboor people consumed it heck it was considered a taboo-like thing here to use Palm Oil for anything back in those times (still if you'd tell old generation that certain thing is fried in Palm Oil they'll look at it with certain suspicion)

Situation took a 180 degree turn when
- Govt. suddently decided that we were having shortrage of cooking oils here so to "supplement" local cooking oils and reduce "shortrage" mixing of Palm Oil with local cooking oil was allowed, but upto 1/3rd percent at max
- This resulted in various cooking oil refineries starting mixing up Palm Oil in virtually every cooking oil, resulting in influx of heavy imports of palm oils ( which was limited before as there were not many consumers ),subsequently it also resulted in prices of other oils going up as the kisaan had to start exporting finest quality of mungfalies to outside buyers due to refineries not picking up their produce like before, thus this artificial storage was created and as alternative many other cooking oils that were virtually absent here prior like Cottonseed Oil, Soyabean Oil, Sunflower Oil and what not - popped up,further messing up whole market of desi cooking oils.

^in long run influx of palm oils and govt allowing mixing up of it with common cooking oil resulted in situation where local cooking oils became expensive as heck for even middle classes, gareeb ka toh puchho hi mat.

Dalda was also a cheap and popular cooking medium those days, a cheaper ghee... eventually met palm oil's fate in the kitchen.

 

[mokoman]

China's exports boomed after it joined the WTO in 2003.
From the last 20 years, China's exchange rate changes, China's export changes, the impact of the exchange rate is minimal，No positive correlation.
View attachment 79367View attachment 79368

Isnt that the reason China is accused of currency manipulation ?

Intentionally keeping its rate down for exporters.

 

[Lonewolf]

No I'm infact modi supporter and I hate commies and socialists, but sometimes I have feeling that modi is good for making reform which are required but he is worse for economy as he is being criticized by many of them and with logic.
If something wrong then pls ignore

I'm not targeting you sir , modi did reform , reform take time to bear fruit , sometimes they have temporary devastating effect , economy is such a big term , you have to look for world situation , market mentality , natural factors , riots , protest , trade war , supply disruption , if someone naive say anything about economy I don't form opinion on their conclusion only , we have to learn a lot about a small phenomenon in economy to draw any conclusion .

 

[sunshine]

Isnt that the reason China is accused of currency manipulation ?

Intentionally keeping its rate down for exporters.

The data will not lie, and the RMB continues to appreciate.It went from 8.2 to about 6.5 in one breath, up more than 20%, and then fluctuated around there.
If we look at the ratio of exports to GDP, China ranks 133rd in the world, and India ranks 134th, both at 18%.
China's exports only seem to be high in total, but in fact, the impact on China is not so great.

 

[Lonewolf]

Dalda was also a cheap and popular cooking medium those days, a cheaper ghee... eventually met palm oil's fate in the kitchen.

In Rajasthan , there are tribal village who supply pure mustard , ground nut oil to us.

In lot of village people eat kichdi of bajra with ground nut oil , these people are out of grid so supply at lower rates

 

[Popeye]

Epic!
https://www.hindustantimes.com/indi...l-smuggled-in-from-nepal-101613628078991.html

 

[HariPrasad-1]

He isn't saying anything wrong. If your currency has a higher value, how are you going to export at lower rates? I have told you this numerous times. If you run a business, where you export stuff, you will understand that a weaker currency is required. Look at how China devalued it's currency in a controlled way, and set up the dual-currency system to push exports in the mid-1990's. Come into a debate with facts. I have told you numerous times that a stronger currency will crush a nation's exports.

And I have numerous times explained how it can happen.

Now please explain me why united states and China has a very high export inspite of their currency valued very high. Give me the answer of my question and you will get the answer of yours. As per your logic Afghanistan should have very high export because their currency is valued very low.

 

[BlackViking]

Why shld we promote palm oil when we know abt the bad affects of palm oil plantations on the rainforests of Indonesia and Malaysia. The only benefit palm oil has is its cheap cost. Its harmful to health and shld not be consumed. Rather than promoting palm plantations, Govt shld boost production of local oilseeds such as mustard, peanuts, soyabean, sunflower. It wl be a boon for the consumer as well as farmers.

At the end of the day consumer thinks of saving money. Why would people like to buy costly oil?

 

[fire starter]

The UPA government issued bonds valued at Rs 1.44 lakh crore between 2005 and 2010. However, only two bonds worth Rs 1,750 crore each matured during the tenure of the NDA government. This implies that the government has only repaid Rs 3,500 crore. The next payment will be due in October 2021.

Fact check | Are interest payments on UPA-era oil bonds responsible for high fuel prices?

It can be argued that despite enjoying windfall gains from the drop in global oil prices, the NDA government opted to shore up revenue by raising taxes, instead of passing the benefit to customers.

www.google.com

 

[indus]

At the end of the day consumer thinks of saving money. Why would people like to buy costly oil?

Because every cheap thing isnt healthy too. It comes with a cost to the health. Secondly, oil millers dont pass on the total cost savings achieved due to mixing palm oil. For e.g, if 1 ltr pure mustard costs 100 Rs, while palm oil costs 50 Rs ltr. So if they mix 20 pcnt oil, the cost of adulterated oil is 90 Rs. But they will keep lesser difference between pure and adulterated options and market it at 95Rs. For the consumer, it looks cheaper while miller is squeezing profit both from admixing and profiteering at same time.

 

[Indx TechStyle]

We should focus on textiles also, Bangladesh has increased their GDP with Textiles alone and we can also increase our GDP substantially by doing the same

We should dominate the textiles as imagine that textiles alone made Bangladeshi GDP per capita same as ours, then imagine how much can we gain by doing same, we would need 30 Such parks as India’s domestic demand alone is huge, like everyone buys textiles almost every week In any form. Export orders would be even better as we have a better soft power than Bangladesh like anyone would prefer Made in India over Made in Bangladesh.

We are already third latest textile manufacterer in world after PRC and US even though it's a smaller share of our industry which is grossly undervalued.

Since saturated value of textiles is not even a fraction of heavy machineries, softwares and aircrafts, it pegs a retarded and later neutralised growth for textile dependent countries like Pak & Bangladesh but guarantees a long term growth for India.

Shifting focus from high end products (electronics, aerospace and construction etc.) toward low-end (clothing) doesn't make sense in any case. Don't mind if I say that you sometimes talk too insane.

Economic Complexity Index - Wikipedia

en.m.wikipedia.org

 

[Lonewolf]

We are already third latest textile manufacterer in world after PRC and US even though it's a smaller share of our industry which is grossly undervalued.

Since saturated value of textiles is not even a fraction of heavy machineries, softwares and aircrafts, it pegs a retarded and later neutralised growth for textile dependent countries like Pak & Bangladesh but guarantees a long term growth for India.

Shifting focus from high end products (electronics, aerospace and construction etc.) toward low-end (clothing) doesn't make sense in any case. Don't mind if I say that you sometimes talk too insane.

Economic Complexity Index - Wikipedia

en.m.wikipedia.org

I mean we can dominate it , will reduce Pakistani exports , grass eating will be reality much faster

 

[ladder]

We are already third latest textile manufacterer in world after PRC and US even though it's a smaller share of our industry which is grossly undervalued.

Since saturated value of textiles is not even a fraction of heavy machineries, softwares and aircrafts, it pegs a retarded and later neutralised growth for textile dependent countries like Pak & Bangladesh but guarantees a long term growth for India.

Shifting focus from high end products (electronics, aerospace and construction etc.) toward low-end (clothing) doesn't make sense in any case. Don't mind if I say that you sometimes talk too insane.

Economic Complexity Index - Wikipedia

en.m.wikipedia.org

We need another mass employment sector. Technical complexity of that sector will depend upon how much skill we can impart to our population.

What should be your suggestion?

Keep your expectations real, I have seen welders with ITI degree who hardly can weld. And they aren't exceptions.

To think about very high skill advancement for the masses may not translate exactly on ground.

 

[BlackViking]

Because every cheap thing isnt healthy too. It comes with a cost to the health. Secondly, oil millers dont pass on the total cost savings achieved due to mixing palm oil. For e.g, if 1 ltr pure mustard costs 100 Rs, while palm oil costs 50 Rs ltr. So if they mix 20 pcnt oil, the cost of adulterated oil is 90 Rs. But they will keep lesser difference between pure and adulterated options and market it at 95Rs. For the consumer, it looks cheaper while miller is squeezing profit both from admixing and profiteering at same time.

I know that. But the thought process of our people is like that. Even if one is able to save 2 rupees they will go for that.

 

[Lonewolf]

I know that. But the thought process of our people is like that. Even if one is able to save 2 rupees they will go for that.

I waited for bus , to save 8 rupee daily for half an hour

 

[BlackViking]

I waited for bus , to save 8 rupee daily for half an hour

I can understand