- Thursday, February 27, 2025
By: Shubham Ghosh
HERE are news in brief related to Indian economy and business for Thursday, July 13, 2023:
The finance ministry of India is not considering any duty waivers for American automaker Tesla Inc, the country’s revenue secretary Sanjay Malhotra told Reuters on Thursday. In June, Tesla CEO Elon Musk said Indian prime minister Narendra Modi was pushing the US giant to make a “significant investment” in the country, adding that an announcement on that line was likely soon. Talks between Tesla and the Indian government in the past have featured demand for customs duty waivers for importing electric vehicles but New Delhi rejected them. “Any duty waiver for Tesla is not under active consideration of the department of revenue, as of now,” Malhotra was quoted as saying.
Indian food-delivery company Swiggy on Thursday announced its acquisition of LYNK Logistics, a retail-distribution company operating in the fast-moving consumer goods (FMCG) sector, Reuters reported. The move marks Swiggy’s entry into the retail business-to-business (B2B) segment. LYNK, which is based in Chennai, serves as an authorised distributor to retail stores and boasts a network of over 100,000 retail outlets across eight Indian cities. The stakes in LYNK were sold by Ramco Cements and Ramco Industries to Bundl Technologies, which operates under the brand name of Swiggy. After the acquisition, LYNK will continue to function independently, with co-founder and chief executive Shekhar Bhende at the helm.
A number of Indian ministers consider online gaming platforms to be a “social evil,” and the government believes that a new 28 per cent tax will serve both social and economic purposes by reducing revenues, according to the country’s revenue secretary Sanjay Malhotra, Reuters reported. The decision to impose the tax on the $1.5 billion online gaming industry, which has attracted foreign investment, has raised concerns about job losses and reduced earnings. The government panel had previously proposed “de-addiction measures” for online gaming. Officials have dismissed calls for a tax review, stating that further industry consultation is unnecessary. The revenue of fantasy gaming platforms during the Indian Premier League this year rose 24 per cent from a year earlier to over $342 million with over 61 million users participating, Redseer consultancy said in July.
India’s cash-strapped Go First Airlines has announced another extension of flight cancellations until July 16 due to operational reasons. The airline apologised for the inconvenience caused and mentioned that it has filed an application for immediate resolution and revival of operations. Meanwhile, a court-appointed Resolution Professional overseeing the airline’s insolvency process has invited expressions of interest from potential investors. The last date for receipt of interest is August 9. The grounding of Go First flights has reportedly put pressure on airfares, especially on routes where the airline had a significant presence.
A memorandum of understanding was signed on Thursday to promote the use of millets among India’s armed forces and ensure the availability of nutritious food. The agreement, signed in the presence of defence minister Rajnath Singh and health minister Mansukh Mandaviya, will introduce millet-based menus in defence ministry mess, canteens and other food outlets under the former ministry. The collaboration aims to raise awareness about the nutritional benefits of millet-based food products and provide training on food safety and hygiene to food handlers and chefs, a government release said. The ministers also unveiled a book promoting millet consumption and highlighted India’s leadership in declaring 2023 as the International Year of Millets.
The decision taken by Taiwanese electronics major Foxconn to withdraw from a $19.5 billion semiconductor joint venture (JV) with India’s Vedanta is a “credit negative” for the latter’s UK parent Vedanta Resources, debt research firm CreditSights on Thursday said, Reuters reported. Foxconn said earlier this week that it had withdrawn from the JV, ditching a deal they had inked last year to set up semiconductor and display production plants in the Gujarat state. Vedanta on Wednesday said it would still enter the space this year having lined up partners.
(With agencies inputs)
