RBI waves ED threat to keep exporters in line, foil hedging against rupee
In a bid to crack down on hedging against the rupee, the Reserve Bank of India (RBI) has warned exporters that they could be reported to the Enforcement Directorate (ED) if they failed to record their export proceeds with the banks. About 90,000 exporters, comprising a sizeable segment of the community, are at risk from this new rule.
The central bank has got the data to carry out its threat on the basis of a software it had introduced in 2014. The software, known as Export Data Processing and Monitoring System (EDPMS), is used by banks in their business with exporters. The system has greatly helped exporters, allowing them to get out of the maze of paper entries in their dealings with banks. It has also helped India rise on the Ease of Doing Business scale. Read more
The ripples from the growing alarm in other countries over the security risks presented by Huawei Technologies’ telecom equipment have reached Indian shores, with the telecom export body raising a red flag about possible dangers to national security from the private Chinese tech giant.
Close on the heels of other countries imposing bans or restrictions on the use of Huawei’s 5G telecom equipment, the Telecom Equipment and Services Export Promotion Council (TEPC) plans to write to the National Security Advisor, Ajit Doval, asking for similar restrictions to be imposed in India on equipment manufactured by Huawei and all Chinese majors. Read more
J&J faulty hip implants case: 218 patients apply for compensation
The government has received compensation requests from 218 patients affected by Johnson & Johnson’s (J&J’s) faulty hip implants, an official has said.
The government, hoping that the Supreme Court will get J&J to pay compensation to the patients, is evaluating how much each one should get, the official has added.
The hip implants manufactured by J&J’s wholly-owned subsidiary DePuy International were found to be faulty, and several instances of revision surgeries were reported in India and across the globe.
An expert committee formed by the government had proposed that age and risk factor from the disability caused would be considered for compensation, over and above the base amount. Read more
Govt identifies cities, highways for electric vehicle charging infra
With four months left for the Lok Sabha polls, the Union government has decided to give a strong push to electric mobility by allowing private charging at residences and offices, besides de-licensing setting up public charging stations, and offering priority connections for setting up such stations.
A charging station has been allowed to source electricity from any power generation company through open access.
These guidelines for electric vehicle (EV)-charging infrastructure were spelt out by the Union Ministry of Power on Friday. The ministry said the tariff for supplying electricity to public-charging stations will be determined by the appropriate electricity commission. Read more
Volume, and not price, is the lever of growth for FMCGs, study shows
Premiumisation has been a strong and recurring theme for most fast-moving consumer goods (FMCGs) for a few years now.
The trend has seen companies roll out pricier products, aimed at tapping into the consumer’s need for a better lifestyle. Firms have also insisted that this trend is here to stay and it will only grow.
However, a closer look at an FMCG company’s turnover today presents a different picture. A break-up of turnover, according to Nielsen, shows that 75 per cent of an FMCG company’s sales is led by volume growth, while 25 per cent is price-led growth. The research agency says two years ago the situation was different. Read more