Top 10 biz headlines: US-India trade deal, merger of insurers, and more

From US-India coming close to a trade deal to govt planning to merge three public insurers, here are the top 10 business headlines for Wednesday

US-India trade deal very soon, says Donald Trump after meeting with PM Modi

US President Donald Trump on Tuesday promised a trade deal with India “very soon”, and a larger deal down the line. Asked if any trade deal was expected between the two countries, Trump, after his bilateral talks with Prime Minister Narendra Modi on the sidelines of the UN General Assembly meeting, told reporters: “We are doing very well...I think very soon we will have a trade deal. We will have a larger deal later on.” Read More

Corporation tax cut: Toyota plans to bring key global suppliers to India

Toyota Kirloskar Motor will consider getting some of the key suppliers in its global sourcing network to set up manufacturing units in India as the company seeks to avail of benefits of a lower corporation tax that new manufacturing units are now eligible for, a top company executive said. Read More

Hope floats for Essel Group, may get more time to repay Rs 7,000 crore debt

With less than a week to go before the deadline to repay Rs 7,000 crore comes up, Subhash Chandra-led Essel Group’s senior executives said the majority of lenders had agreed to extend the timeline to March 2020. The company will hold a formal meeting with mutual fund houses and other lenders in the next couple of days to finalise the modalities of the extension. Read More

Direct tax code panel calls for branch profit tax on foreign companies

A panel on direct tax legislation has recommended introducing a branch profit tax for foreign companies on the amount repatriated to their overseas partners. The task force suggested reducing the corporation tax rate for these companies to the level applicable to their domestic counterparts (25 per cent). Read More

Govt may set up GoM to expedite merger of three insurance companies

The Union government is planning to form an alternative mechanism, or a group of ministers (GoM), led by Finance Minister (FM) Nirmala Sitharaman, to expedite the process of merging three public sector insurance companies. Read More
 

Automakers may offer incentives to customers for scrapping old vehicles

The government may pass on the onus to automakers of providing incentives to customers for giving up old cars and discounts on new ones. In the draft Vehicle Scrapping Policy, the Ministry of Road Transport and Highways has proposed that automobile manufacturers should facilitate the collection of scrapped vehicles, supply new ones and provide discounts and benefits to customers on new cars in lieu of giving up older ones. Read More

Indian firms unlikely to be hit by USFDA's red flag on antacid medicines

After high blood pressure drug (sartan), the same carcinogenic impurity is back to haunt the global pharma industry once again, this time for antacid ranitidine. Analysts, however, feel the impact on Indian formulation makers will not be high as the drug market size in the US is relatively small, around $50 million. Read More

Air India Asset Holdings, other PSUs line up Rs 20,000-crore bond issue

Encouraged by the overwhelming response to its three-year Rs 7,000 crore bond issue last week, Air India Asset Holdings Ltd (AIAH) is planning to float another Rs 15,000 crore of bonds in a week or two, this time for 10 years, sources familiar with the matter said. Read More

Rs 25,000-cr scam: ED books Sharad Pawar, nephew for money laundering

The Enforcement Directorate (ED) has registered a money laundering case against Nationalist Congress Party (NCP) chief Sharad Pawar, nephew Ajit Pawar and several former directors of Maharashtra State Co-operative Bank in connection with a Rs 25,000-crore loan scam. Read More

DMart Shares Gain Most Among Peers After Tax Cut, M-Cap Crosses Titan’s

Macro factors are turning in favour of India’s most efficient retailer — Avenue Supermarts. With lower tax rates, negligible debt, falling property prices and weakening competition, the owner of the DMart retail chain is perfectly placed to ramp up its store count, reports Economic Times. Avenue Supermarts’ shares have run up 17%, the highest among consumer and retail stocks, since the announcement of corporate tax cuts and have hit a record.