Top headlines: Coffee Day stares at bankruptcy; RoDTEP likely to be tweaked

From Coffee Day staring at bankruptcy as asset sale fails to make headway to RBI committing to OMO calendar, here are top headlines this morning

Coffee Day stares at bankruptcy as asset sale fails to make headway

The lenders to Coffee Day Enterprises Ltd (CDEL), which owns and operates a café chain, are considering sending the company to the National Company Law Tribunal (NCLT) for debt resolution after the firm announced that it had defaulted on its loans in the March 2021 quarter. According to an exchange filing, for the March quarter, CDEL’s outstanding debt was Rs 280 crore. Read More

White goods, solar modules get Rs 10,738 crore worth of PLI push

The Union Cabinet on Wednesday approved production-linked incentive (PLI) schemes for white goods (air conditioners and LED lights) and high-efficiency solar photovoltaic (PV) modules with a total budgetary outlay of Rs 10,738 crore in a bid to boost domestic manufacturing. While incentives worth Rs 6,238 crore would be provided over five years for manufacturing of white goods in India, the outlay for solar PV modules is Rs 4,500 crore. Read More

How the second Covid-19 wave could mar the summer of recovery for airlines

Last Sunday as Prime Minister Narendra Modi was meeting top bureaucrats over rising Covid cases, chief executive of a private airline asked his head of operations to prepare for a sudden grounding of operations. Just a month ago, the CEO had met investors and the talk revolved around a total recovery and bright future of Indian aviation. He’s back to plugging daily cash burn. Read More

RBI commits to OMO calendar, leaves key policy rates and stance unchanged

The Reserve Bank of India (RBI) today took a step toward formalising its own version of quantitative easing, committing to support the bond market through secondary market purchases, starting with Rs 1 trillion in the first quarter. Though the central bank said this will be in addition to open market operations (OMOs), in essence, this is a calendar for OMOs, a long-standing demand from the bond market. Read More

India, China border woes hit Bird group's electric hatchback car plans

A year after the Bird group, which supplies aviation services to hospitality, tied up with Chinese automaker Haima Automobiles to assemble an electric hatchback car, the promoters (the Bhatia family) are now re-assessing the joint venture given the change in geopolitical realities between the two countries. According to experts, the car was expected to have a price tag of Rs 10 lakh and launched this June. Read More

Dixon partners with Bharti to make telecom equipment under PLI scheme

Dixon group on Wednesday formed a joint venture (JV) with Bharti Enterprises to apply for government’s production-linked incentive (PLI) scheme for manufacturing of telecom and networking products. Under the plan, the JV is targeting the Bharti group to pick up 80-85 per cent of the value of its cumulative sales of five years. Read More

Govt likely to tweak RoDTEP scheme amid outcry over refund rates

The Department of Commerce may take a relook at the refund rates recommended by a government-appointed committee for the recently announced Remission of Duties and Taxes on Exported Products (RoDTEP). This is after an industry outcry over the suggested rates. A person aware of the development said as much as Rs 30,000 crore would be needed for the RoDTEP, as compared to the Rs 13,000 crore allocated in the Budget. The finance ministry’s revenue department has also examined the recommendations of a committee chaired by former home and commerce secretary GK Pillai. Read More

India's air passenger mkt may double by 2030 from pre-Covid level: Boeing

India's domestic air passenger market is expected to double its size by 2030 from the pre-pandemic level, aircraft manufacturer Boeing said on Wednesday. "We saw a 55 per cent decrease in domestic passenger traffic through 2020. Our forecasts are showing that during the next 10 years, by 2030, Indian domestic market is expected to double the size of the 2019 market. It is quite remarkable," said David Schulte, managing director of Regional Marketing, Boeing Commercial Airplanes. Read More