VOL XXV, ISSUE 14

31 July 2024

  POLICY SCAN                                                                                    

1. CBIC Notification No. 41/2024-Customs dated 31st July 2024:Government Introduces New Duty Exemption for Laboratory and R&D Goods

The Ministry of Finance has announced Notification No. 41/2024-Customs, which introduces important changes to customs duties for goods classified under HS Code 9802 00 00, intended for laboratory use or research and development (R&D) purposes, are now eligible for a 10% customs duty exemption.

Key Points:

1. Notification Amendment: This notification amends the previous notification No. 50/2017-Customs dated 30th June 2017.

2. New Entry Addition:

1. S. No. 606A: Introduced for goods classified under HS Code 9802 00 00.

2. Goods Covered: All goods excluding undenatured ethyl alcohol of any alcoholic strength for use in:

• Laboratories

• Research and Development (R&D) purposes.

3. Duty Rate: 10%.

3. Condition for Exemption:

1. Condition No. 123: Importers must submit an undertaking to the Deputy Commissioner or Assistant Commissioner of Customs, confirming:

1.  The imported goods will be used solely for laboratory or R&D purposes.

2.  The goods will not be sold or traded after importation.

3.  Non-compliance will result in the importer being liable to pay the duty exempted under this notification.

4. Effective Date: The amendments will take effect from 1st August 2024.

These essential amendments and conditions introduced by Notification No. 41/2024-Customs, facilitating specific exemptions for goods used in laboratories and R&D purposes while ensuring compliance with the specified conditions.

For detailed circulars issued by the Ministry of Finance, members are advised to refer to the CBIC Web site. 

For detailed circulars issued by the Ministry of Finance, members are advised to refer to the CBIC Web site

2.  Customs Notification No. 50/2024-Customs (N.T.) dated July 19, 2024: SEZ Units Now Covered Under Revised Export Rules

The Central Government has issued Notification No. 50/2024-Customs (N.T.), making amendments to the previous Notification No. 24/2023-Customs (N.T.) dated April 1, 2023

Key Amendments:

• Inclusion of Special Economic Zones (SEZs):

• The term "unit in Special Economic Zone" has been added to Clause 2, Sub-clause (1) in item (b) of the notification, broadening its scope to include units in SEZs along with Export Oriented Units (EOUs)

• Proviso for SEZs:

   

  • A new proviso has been added: For exports by units in Special Economic Zones, the shipping bill or bill of export must be presented on or after July 1, 2024.

These amendments are aimed at aligning the export procedures for SEZ units with the updated regulations, ensuring clarity and consistency in the export documentation process.

 For detailed circulars issued by the Ministry of Finance, members are advised to refer to the CBIC Web site. 

3. DGFT Public Notice No. 15/2024-25 dated 25th July 2024:  DGFT Announces Key Amendments to EPCG Scheme

The Directorate General of Foreign Trade (DGFT) has introduced significant changes to Chapter 5 of the Handbook of Procedures 2023 concerning the Export Promotion Capital Goods (EPCG) Scheme. These updates are designed to ease compliance requirements and improve business efficiency.

Key changes include:

• Extended Certificate Submission: Authorization holders now have up to 3 years (previously 6 months) to submit a certificate confirming the installation of capital goods. Extensions beyond 3 years are allowed with a composition fee of INR 10,000 per year.

• Updated Fees for EO Period Extensions: New composition fees have been introduced:

• Within 6 Months: INR 10,000

• After 6 Months but Within 6 Years: INR 15,000

• Beyond 6 Years: INR 30,000, plus additional late fees.

• Retention of Spares Time Limit: The 3-year time limit for ‘spares’ remains unchanged, and the previous provision for this has been removed.

• Applicability to FTP 2015-20: The revised provisions also apply to authorizations issued under the Foreign Trade Policy (FTP) 2015-20.

These amendments are effective immediately and are aimed at reducing the compliance burden while enhancing the ease of doing business under the EPCG Scheme.

For detailed circulars issued by the DGFT, members are advised to refer to the DGFT Web site. 

4. DGFT Trade Notice No. 09/2024-25 dated 23rd July 2024: Verification of DGFT Documents

The Directorate General of Foreign Trade (DGFT) has implemented a new process for verifying the authenticity of electronically issued documents:

• Unique Document Identification Number (UDIN): All electronically issued Licences, Authorisations, Scrips, Certificates, and Instruments now feature a UDIN at the top-right corner.

• Verification Process: To verify a document, enter the UDIN on the DGFT Website: dgft.gov.in (DGFT Verify UDIN) under "Info for Customs Authorities." No specific login credentials are required. The complete document can be downloaded for review.

• For Paper Copies: Compare the details of the paper copy with the downloaded electronic version to confirm authenticity.

This update aims to streamline the verification process and reduce the need for direct DGFT intervention. All members are encouraged to use the online verification facility.

For detailed Trade notice issued by the DGFT, members are advised to refer to the DGFT Web site dgft.gov.in. 

5. Trade Notice No. 10/2024-25 Date: July 25, 2024: Launch of Steel Import Monitoring System (SIMS) 2.0

The Ministry of Steel has officially launched the updated Steel Import Monitoring System (SIMS) 2.0 from 25th July 2024.

Important Updates:

• New Portal: SIMS 2.0 is now available at https://sims.steel.gov.in. Please begin using this platform for all steel import registrations effective immediately.

• Transition Notice: The previous SIMS 1.0, hosted on the DGFT website, has been discontinued. Applications submitted on SIMS 1.0 can still be accessed for viewing or download on the DGFT website until further notice.

• Helpdesk Support: For any questions or technical assistance, please contact the SIMS 2.0 Helpdesk:

o    Phone: 011-23213945, 011-23214201

o    Email: simshelpdesk@mstcindia.in

Prompt adoption of the new system for steel imports will ensure a seamless transition and help maintain compliance with import regulations.

For detailed Trade notice issued by the DGFT, members are advised to refer to the DGFT Web site dgft.gov.in. 

6. RBI Circular No.: RBI/2024-25/52 dated July 24, 2024 : Revised Domestic Money Transfer Framework

The Reserve Bank of India (RBI) has announced important updates to the Domestic Money Transfer (DMT) framework, effective from November 1, 2024. These changes reflect advancements in banking services and digital payments since the framework’s introduction in 2011.

Key Updates:

• Cash Pay-out Service:
  Remitting banks are now required to record the beneficiary’s name and address for cash pay-outs.

• Cash Pay-in Service:

• Remitters must be registered with a verified mobile number and a self-certified Officially Valid Document (OVD).

• Transactions must include Additional Factor of Authentication (AFA) for added security.

• Banks and Business Correspondents (BCs) must comply with Income Tax Act regulations related to cash deposits.

• Remitter details should be included in IMPS/NEFT transaction messages.

• Transaction messages must include an identifier for cash-based remittances.

• Card-to-Card Transfers:
  These transactions are excluded from the DMT framework and will follow separate guidelines.

• Existing Instructions:
  All other instructions from the 2011 circular, including transaction limits, will continue to apply.

These updates are designed to enhance the security and efficiency of domestic money transfers, aligning with current technological advancements and regulatory standards.

For detailed RBI circular issued by the RBI, members are advised to refer to the RBI Web site. 

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         INDUSTRY  SCAN                                                                             

General

Govt says India’s semiconductor market to cross $100 billion by 2030

India’s semiconductor market, which includes a robust chip design and engineering sector, is tipped to cross $100 billion in valuation by 2030, Union minister of state for information technology Jitin Prasada said in Parliament on Wednesday. Initiatives that will help the domestic semiconductor market reach the milestone included production-linked incentive (PLI) schemes for setting up chip fabs (fabrication plants), display fabs, chip testing and packaging plants, a design-linked incentive (DLI) scheme to further boost local chip design, and finally, promotion of local component manufacturing and domestic manufacturing of “large scale electronics," he added. Further, efforts to modernize the Centre-owned Semi-Conductor Laboratory in Mohali are also underway—which could further add to this milestone.

Source: https://www.livemint.com/, July 31, 2024

‘7 Industries To Bring In Rs 81,137-Crore Investment, Jobs’: Maharashtra To Get Its First Semiconductor Chip Plant

Maharashtra’s cabinet sub-committee for industries has approved the establishment of seven major industries which would bring in an investment of Rs 81,137 crore, including the state’s first semiconductor chip manufacturing plant. The meeting was recently chaired by Chief Minister Eknath Shinde and attended by Deputy CMs Devendra Fadnavis and Ajit Pawar, and Industries Minister Uday Samant. The semiconductor chip manufacturing plant will be set up by RRP, a leader in the electronics sector. The company will invest Rs 12,000 crore in two phases, creating 4,000 jobs. The company has commenced work in the Mhape industrial area in Navi Mumbai, with the plant expected to start by September 2024. Also, JSW Energy PSP will invest Rs 25,000 crore in Nagpur, creating 5,000 jobs. This plant will manufacture lithium-ion batteries. JSW Green Mobility Ltd will invest Rs 27,200 crore in Chhatrapati Sambhajinagar, aiming to create 5,200 jobs. This investment will focus on electric and hybrid vehicles, chargers and modules.

Source: https://www.news18.com/, July 29, 2024

Budget Leaves EV Sector Hanging, FAME III Pending

The EV sector did not receive any direct financial support or announcements regarding subsidies to promote green technology in the Union Budget for 2024-25. Despite hints from Heavy Industries Minister H D Kumaraswamy at a recent industry event that there would be no new purchase subsidy scheme announced for electric vehicles in the Budget, the industry remained hopeful for initiatives that would boost EV sector growth. A source familiar with the developments mentioned that the third edition of the FAME scheme is being planned. This next phase will continue to offer subsidies for electric vehicles but has not yet received approval from the Prime Minister’s Office. The new edition is expected to include electric trucks for the first time and might maintain a similar budgetary allocation to the second edition, which concluded on March 31 of this year.

Source: https://www.electronicsb2b.com/, July 24, 2024

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Information Technology

Indian IT firms cautiously advance GenAI projects, facing scaling hurdles

A recent study by Gartner predicts that 30 per cent of generative AI (GenAI) projects will be abandoned after the proof-of-concept stage by the end of 2025. The statement is full of concern as GenAI is being seen as the new growth area for the over $200 billion IT (information technology) services industry. For once, the CEOs of India's top four IT services firms were on the same page as they said that generative AI deals continue to be small and hence not yet contributing meaningfully to the revenue. Currently, only a few generative AI deals have been fully executed, with the majority still in the proof-of-concept (POC) phase as organisations strive to demonstrate and realise value. A few large IT services firms such as TCS, Wipro, and Infosys have quickly addressed market needs and embraced generative AI early in the process, while other firms have adopted a more conservative approach.

Source: https://www.business-standard.com/, July 30, 2024

Measures being taken to promote Information Technology (IT)/IT enabled Services (ITeS) industry across the country

According to National Association of Software and Services Companies (NASSCOM), India’s technology industry revenue is estimated to reach $254 Bn in FY2023-24 including exports of around $200 Bn. The telecom subscription data mentions that as on 31st May, 2024, there are 116.895 crore wireless subscribers and 93.513 crore broadband subscribers. As per a report by JLL Research, the data centre industry in India is expanding and has an installed data centre capacity of 854 MW in 2023. As per Department of Telecommunication, BharatNet (earlier known as National Optical Fibre Network) project is being implemented in a phased manner to provide broadband connectivity to all the Gram Panchayat (GPs) and villages. The infrastructure created under BharatNet project is a national asset, accessible on a non-discriminatory basis to the Service Providers, and the same can be utilised to provide broadband services, such as Wi-Fi Hotspots, Fibre to the Home (FTTH) connections, leased lines, dark fibre, backhaul to mobile towers, etc.

Source: https://orissadiary.com/, July 31, 2024

ICT Academy signs Rs 88-crore MoUs to train 90K students in Tamil Nadu

 Aimed at training over 90,000 students across the state, the Information and Communication Technology Academy has signed multiple memorandums of understanding (MoUs) worth a total of Rs 88 crore with corporate companies, government departments and product-specific companies. The focus will be to train students, especially women, from government colleges and help at least 70% of those land jobs. The students will be trained in various areas including information technology, cybersecurity, soft skills like communication, banking, financial services and insurance (BFSI) skills, business processing outsourcing (BPO), and retail sector skills among others. In an event held in Chennai where the MoUs were exchanged, Information Technology and Digital Services Minister Palanivel Thiaga Rajan said it is important to guide parents of government school students so that they choose fields that have employability, and also help educational institutions shape their curriculum based on industry needs.

Source: https://www.newindianexpress.com/, July 31, 2024

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Consumer Electronics

Consumer Electronics Market Projected to Reach USD 955.85 Bn. by 2030

Consumer Electronics Market was valued at USD 748.25 Bn. in 2023 and the market size is estimated USD 955.85 Bn. by 2030 to grow at a CAGR of 3.56 percent for 2024 to 2030, according to Stellar Market Research. The Consumer Electronics Market is marked by wide availability, supported by a strong global supply chain and large-scale retail networks, both online and offline. The market's broad availability matches up with a variety of consumer requirements and tastes, making it more convenient while also encouraging widespread usage. Consumer Electronics Market is doing very well, with high need and steady supply. Strong patterns of consumption are pushed by constant developments in technology along with a rise in the amount of money that consumers can spend.

Source: https://www.openpr.com/, July 31, 2024

Up 188% in 1 year; this multibagger consumer electronics entity to report Q1 today; here's what to expect

Consumer durable major Dixon Technologies is expected to post good results in the April-June quarter. In Q1, Zee Business Research estimates the company to post a consolidated revenue of Rs 5,650 crore as against Rs 3,272 crore in the same quarter last year, a sharp year-on-year increase of 73 per cent during the review period. EBITDA- a profitability metric is also expected to log 61 per cent growth at Rs 214 crore versus Rs 133 crore, a jump of 61 per cent on year. Margins at the company are seen to decline by 30 bps on-year and are expected at 3.8 per cent compared to 4.1 per cent. The contraction in margin is likely on the back of a change in the product mix. The company's net profit is seen to increase by 70 per cent from Rs 67 crore in Q1FY24 to Rs 114 crore during the quarter under review.

Source: https://www.zeebiz.com/, July 30, 2024

Budget measures to enhance competitiveness in domestic, export markets: Consumer electronics players

Appliances and consumer electronic industry hailed the Union Budget, saying moves such as duty waiver on critical materials for strengthening semiconductor ecosystem, additional three crore houses under PM Awas Yojana, and focus on energy transition would drive growth for the sector. With a vision to invigorate the manufacturing sector through various PLI (production linked incentive) schemes, this budget connects these initiatives directly to employment growth, said the Consumer Electronics and Appliances Manufacturers Association (CEAMA). CEAMA also welcomed the budget proposal to remove customs duties on 25 critical materials essential for strengthening the semiconductor ecosystem in the country. Finance Minister Nirmala Sitharaman while presenting the FY25 budget also proposed reduction of import tariff on various critical minerals from 10 per cent to 2.5 per cent.

Source: https://economictimes.indiatimes.com/, July 23, 2024

India Smartphone Shipments Fall 2% YoY in April-June Quarter, Record Highest Ever Q2 Value

India’s smartphone shipments fell 2% YoY in Q2 2024 (April-June), according to Counterpoint’s Monthly India Smartphone Tracker. The decline was influenced by a heatwave, a seasonal slump, and slower demand from Q1 2024. In response, OEMs hosted sales events in Q2 to clear inventory, leading to a reduced sell-in and a period of degrowth. Heatwave conditions in various regions led to lower footfalls in offline channels and delayed smartphone purchases as consumers prioritized appliances like air conditioners and refrigerators. This reduced demand caused an inventory build-up. However, summer sales at online channels, good harvest and aggressive promotions towards the end of the quarter provided relief to OEMs, helping close the quarter on a better note than at the beginning. During the quarter, Xiaomi reclaimed the top spot with a 23% YoY growth in its shipments, driven by a streamlined and focused portfolio that spans from the entry-level to affordable premium segments. To further solidify its position, the company employed a strategy to push flagship handsets, improve marketing and expand distribution channels.

Source: https://www.counterpointresearch.com/, July 31, 2024

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Telecom

India’s 4G Stack to Help with 100% Coverage Says Telecom Minister: Report

The union telecom minister of India, Jyotiraditya Scindia, has said that India's indigenously developed 4G stack will help in achieving 100% mobile coverage, said a PTI report. At present, the coverage stands at 70-80% (in terms of citizens) and there are about 120 crore devices that are in use. BSNL (Bharat Sanchar Nigam Limited) is deploying the indigenous 4G stack that comes from TCS (Tata Consultancy Services) led consortium including Tejas Networks and Centre for Development of Telematics (C-DoT). The indigenous technology stack can be a huge win for India as it can be exported to other nations and be used by telecom operators who don't want to pay a premium to large vendors such as Huawei, Ericsson, and Nokia. The stack can also be used to upgrade to 5G at a later point by BSNL, which is great as it would allow the state-run telco to launch next-generation network services in a jiffy.

Source: https://telecomtalk.info/, July 30, 2024

Minister Reveals Seven Data Breaches in Telecom Sector Over Two Years

In a recent Lok Sabha session, Minister of State for Communications Pemmasani Chandra Sekhar disclosed multiple data breaches in the telecom sector, totaling seven incidents over two fiscal years. Specifically, two breaches occurred in 2023-24 and five in 2024-25. The minister reported that the causes of these breaches remain undetermined, and thus no actions have been taken against any service providers to date. In a written response, the minister emphasized the government's ongoing efforts to monitor and address cybersecurity concerns in the industry. Significant breaches were noted, including unauthorized access to BSNL servers and data sales involving Airtel and Tata Tele subscribers. CERT-In and NCIIPC's reports highlighted the severity of these incidents, underscoring the increasing threats from cyber actors.

Source: https://www.devdiscourse.com/, July 25, 2024

India's 2047 goal of USD 35 trillion economy offers Airtel big growth opportunities: Sunil Mittal

India's strides towards the ambitious goal of being a USD 35 trillion economy by 2047, will provide Airtel tremendous growth opportunities and new avenues of business, Chairman Sunil Mittal has said. Mittal said 5G will play a critical role in accelerating the vibrant growth of India's digital landscape, as he asserted that Airtel is committed to being at the forefront of this intersection and working with policymakers and multiple stakeholders for achieving this goal. India's push on digitisation has made it an outlier in terms of delivering both public services and goods to the last mile, and observed that the telecom industry's significance as an economic multiplier is only likely to increase. The Airtel top honcho exuded confidence that the company will continue to break new ground in being a leader of India's digital transformation journey.

Source: https://economictimes.indiatimes.com/, July 30, 2024

DoT plans to update trade codes for telco gear for better tracking

The Department of Telecommunications (DoT) is working on updating the classification of traded telecom equipment to better track its trade. This will enable higher domestic manufacturing, and plugging leakages in Customs duty collections, officials said. This follows recommendations by the Telecom Regulatory Authority of India (Trai) to update the codes, and better capture data on the wide range of telecom equipment imported to and exported from India. The globally standardized Harmonised Commodity Description and Coding System, better known as (HSN) tariff nomenclature, is used by governments to classify traded goods. HSN codes are given to every traded product. The DoT has launched an exercise with the commerce department and the Directorate General of Foreign Trade (DGFT) for updating the codes, officials said. It will also help simplify and expand the telecom products covered by the two production-linked incentives (PLIs) in the sector.

Source: https://www.business-standard.com/, July 31, 2024

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EV’s & Auto Electronics

Ola Electric IPO: Analyst views on loss-making firm's valuations, EV outlook & more

Ola Electric Mobility is set to launch its initial public offering (IPO) on Friday, August 2, and the issue can be subscribed till Tuesday, August 6. Ola Electric is among the top electric vehicle (EV) player in the country in terms of revenue and it is India's first pure play EV primary offering. It is building vertically integrated technology and manufacturing capabilities for EVs and EV components. OLA Electric IPO shall be offered in the fixed price band of Rs 72-76 with a minimum bid for 195 equity shares and its multiples thereafter to raise nearly Rs 6,146 crore. The issue includes a fresh share sale of Rs 5,500 crore and offer for sale (OFS) of up to The issue is a combination of fresh issue of 8.49 crore shares worth Rs 645.56 crore. While the losses continue to remain concerns for the analysts, brokerage firms continue to be positive on the company's leadership in the EV market and management's vision to become a single-stop EV solution provider. On the valuation front, the issue appears to be full price and policy volatility, delay in EV cell plant and a few more factors that may cap investors' interest.

Source: By Pawan Kumar Nahar, https://www.businesstoday.in/, July 31, 2024

BYD And Uber's Strategic Partnership Aims To Accelerate The Global Shift To Electric Vehicles

BYD, a leading manufacturer of new energy vehicles and power batteries, has announced a strategic partnership with Uber. This multi-year agreement aims to introduce 100,000 new BYD electric vehicles (EVs) onto the Uber platform across key global markets. Initially focusing on Europe and Latin America, the collaboration will extend to the Middle East, Canada, Australia, and New Zealand. Uber drivers are transitioning to electric vehicles five times faster than private car owners. However, surveys indicate that high prices and limited financing options remain significant barriers. To address these issues, the partnership will offer various incentives such as discounts on charging, vehicle maintenance, insurance, and flexible financing and lease options tailored to different markets. In addition to expanding EV access, BYD and Uber will collaborate on future autonomous-capable vehicles for the Uber platform. As the largest on-demand mobility and delivery service globally, Uber is well-positioned to scale autonomous vehicle technology worldwide.

Source: By Irwin Mills, https://www.drivespark.com/, July 31, 2024

Cracks in EV bubble: 51% EV owners want to switch to ICE vehicles

The signs have been there since the beginning of the year, but the noise or if one can even say the hype of the electric vehicles managed to drown out reality. In January 2024, high-flying EV companies like Rivian and Lucid saw their shares tank 80-90 per cent in the US market. A couple of months later, the unthinkable happened, Tesla started offering discounts and other incentives like affordable finance options. According to a McKinsey survey, the global average for EV owners who want to switch back to petrol or diesel vehicles is around 29 per cent and 46 per cent in the US. We may think that we are shielded from all these numbers, but a report by Park+ shatters this myth about India witnessing a fast-growing EV sector and we are only talking about the four-wheeler segment. The question arises, have EV owners got over range anxiety? This will surprise you, but that’s not why they have doubts in their mind. The major hurdle continues to be charging anxiety.

Source: By Arup Das, https://www.financialexpress.com/, July 28, 2024

Automakers Face Roadblocks in Switching to Electric Vehicles

As The Wall Street Journal (WSJ) reported Sunday (July 28), pressures on car company profits only add to the challenge of embracing electric vehicles (EVs), with several major automakers recently releasing earnings that missed market expectations. Among the issues: warranty expenses, overstocked vehicle inventory, and problems with overseas operations. On top of that, the report said, investors are worried that the robust pricing power car companies had during the pandemic is waning. “The results of our competitors are not demonstrating that price pressure is going to vanish,” said Carlos Tavares, chief executive of Stellantis. The report also noted that Wall Street’s enthusiasm for car companies’ connected car/EV ambitions have faded as well, as demand for electric cars hasn’t taken off as much as expected.

Source: https://www.pymnts.com/, July 27, 2024

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Defence & Solar

Indian Navy's new Scorpene submarines to have Made in India 'Heart' by BEL with French architecture: French Naval Group

Amid ongoing procedure to buy three more Scorpene class submarines for the Indian Navy, Naval Group-- the French partner for the project, said that the heart or the combat management system of these new submarines would be made in India by the Bharat Electronics Limited and supported by architecture from France. Indian Navy is negotiating a deal with Mazagaon Dockyards which will partner with the French Naval Group to build three more Scorpenes for the Indian Navy after it gets its first six boats by the end of this year. As per the requirements, the additional three submarines will have to have up to 60 per cent indigenous content. Based on the present plan, the heart of the submarine, which is the combat system will be an indigenous one from Bharat Electronics Limited based on French architecture. This will be a very important step towards indigenous content.

Source: https://economictimes.indiatimes.com/, July 29, 2024

Senator Marco Rubio introduces U.S.-India Defense Cooperation Act

U.S. Senator Marco Rubio on July 25 introduced a bill in the U.S. Senate which proposes to treat India on par with its allies like Japan, Israel, Korea and NATO allies regarding technology transfers and supporting India in its response to growing threats to its territorial integrity. It also proposes to bar Pakistan from receiving security assistance if it is found to have sponsored terrorism against India. The bill notes that the U.S.-India partnership is vital to countering China’s influence. It is essential to enhance our strategic diplomatic, economic, and military relationship with New Delhi, the bill asserts. Among other things, the bill would set a Statement of Policy that the U.S. will support India in its response to growing threats to its territorial integrity, provide necessary security assistance to India to deter adversaries and cooperate with India for defence, civil space, technology, medicine and economic investments.

Source: https://www.thehindu.com/, July 26, 2024

Govt Takes Several Steps To Promote Business, Boost Exports And Manufacturing

Government has taken various steps to boost domestic and foreign investments in India. These include the introduction of Goods and Services Tax, reduction in corporate tax, improving ease of doing business, FDI policy reforms, measures for reduction in compliance burden, measures to boost domestic manufacturing through public procurement orders, Phased Manufacturing Programme (PMP) and QCOs (Quality Control Orders), to name a few. Further, keeping in view India’s vision of becoming ‘Atmanirbhar’, PLI Schemes for 14 key sectors have been announced with an outlay of Rs. 1.97 lakh crore to enhance India’s Manufacturing capabilities and Exports. With the objective to improve Ease of Doing Business and Ease of Living, The Government has taken initiatives to Simplify, Rationalize, Digitize and Decriminalize Government to Business and Citizen Interface across all the States/UTs. So far, more than 42,000 compliances have been reduced and more than 3,800 provisions have been decriminalized. National Single Window System (NSWS) is a unified platform for applying for all G2B clearances from various Central Ministries/Departments and State Departments.

Source: https://www.indiandefensenews.in/, July 31, 2024

Vietnam PM Arrives In India For State Visit, To Hold Bilateral Meet With PM Modi

Vietnam Prime Minister Pham Minh Chinh, arrived in India for his three-day state visit on Tuesday. He was welcomed by Union Minister of State for External Affairs, Pabitra Margherita, at the airport. Taking to social media platform X, Ministry of External Affairs spokesperson, Randhir Jaiswal said the visit of Vietnam PM will further strengthen the comprehensive strategic partnership between the two nations. Warm welcome to PM Pham Minh Chinh of Vietnam as he arrives in New Delhi on a State Visit. Received by MoS @PmargheritaBJP at the airport. India & Vietnam share civilizational links and a longstanding friendship based on mutual trust. The visit will further strengthen our Comprehensive Strategic Partnership. PM Pham Minh Chinh is on his visit at the invitation of Prime Minister Narendra Modi. He is being accompanied by a high-level delegation, including several ministers, deputy ministers, and business leaders.

Source: https://www.indiandefensenews.in/, July 31, 2024

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MSME

(Special section of the MSME related news under ELCINA Micro & Small Industry Forum)

39% of MSMEs in India now women-owned: Govt data

39 per cent of micro, small and medium-sized enterprises registered with the MSME Ministry under the revised MSME definition of 2020 are women-owned, according to the data shared by the MSME Minister Jitan Ram Manjhi recently in a written reply to a question in the Lok Sabha. The count included the GST-exempted informal micro units registered on the Udyam portal via the Udyam Assist Platform (UAP). As of July 25, 2024, 1.84 crore enterprises out of around 4.78 crore Udyam-registered units (since July 2020), including UAP units (since January 2023), were women-owned. The percentage of women owners of Micro, Small, Medium Enterprises (MSMEs) registered on Udyam and Udyam Assist Platform (UAP) since the launch of Udyam on 01.07.2020 and the launch of UAP on 11.01.2023 in the country is 39 per cent.

Source: https://www.financialexpress.com/, July 29, 2024

MoD & NSE Partner to Boost Defence MSMEs

The Defence Ministry and the National Stock Exchange on Monday signed an agreement that seeks to help Micro, Small and Medium Enterprises and emerging companies in the defence sector to scale up their business operations, explore new markets and fund their research and development activities. The Memorandum of Understanding has been signed to facilitate capital market access to the MSMEs. It intends to facilitate MSMEs in the defence sector to raise productive capital for their growth plan efficiently and transparently through the NSE platform 'NSE Emerge', the defence ministry said in a statement. The platform offers new and viable options for raising equity capital from a diversified set of investors, it said. The MoU was signed by the additional secretary the Department of Defence Production (DDP) and managing director, NSE in the presence of Defence Secretary Giridhar Aramane.

Source: https://money.rediff.com/, July 27, 2024

MSME Ministry Expands Employment Opportunities Across India

Government implements various schemes to promote MSME sector. These include Prime Minister Employment Generation Programme (PMEGP), Procurement and Marketing Support (PMS) scheme, Credit Guarantee Scheme for Micro and Small Enterprises (CGSMSE), Micro and Small Enterprises Cluster Development Programme (MSECDP), Scheme of Fund for Regeneration of traditional Industries (SFURTI), A Scheme for Promotion of Innovation, Rural Industry & Entrepreneurship (ASPIRE) etc. The focus of PMEGP is exclusively on employment generation by setting up new micro enterprises. As per data available on Udyam registration and Udyam Assist Platform, employment is reported to be 7.44 crore in FY2023-24 as compared to the employment reported during FY2021-22 (3.49 crore). Under Prime Minister’s Employment Generation Programme, the average annual estimated employment generation during the last three years is 7.4 lakh. Further, as reported by RBI, credit disbursement to MSMEs has been increased from 16.97 lakh crores in FY2022-23 to 22.04 lakh crore in FY2023-24, indicating higher credit disbursement to the MSME sector.

Source: https://indiaeducationdiary.in/, July 26, 2024

Big Focus Is On MSME Sector As It Generates Crores Of Jobs: PM Modi

Prime Minister Narendra Modi on Tuesday said that the government has a big focus on the MSME sector as it generates crores of jobs. "The manufacturing ecosystem has transformed in the last 10 years, our big focus is on the MSME sector as it generates crores of jobs,” PM Modi said. “Today India has 1.40 lakh startups and 8 crore people have started their business with MUDRA loans, PM Modi said at the CII post-budget conference. Our govt has clear intent and commitment, we are working with full focus on Viksit Bharat, Modi said. He also said that in his third term, India is to become the third-largest global economy. PM Modi said that the size of the budget has increased 3 times to Rs 48 lakh crore in 10 years of the NDA government.

Source: By Nami Singh Sengar, https://www.news18.com/, July 30, 2024

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https://elcina.com/roadmap-for-developing-pcb-eco-system-in-india	Roadmap For Developing PCB Eco-System in India Key Findings Indian PCB market and industry size in terms of domestic production, exports, and imports Growth drivers and challenges (needs & gaps) in the Indian PCB industry Growth potential of PCB manufacturing in India and identify enablers for creating & strengthening the domestic value chain Key inputs required viz. investments, technology, and infra eco-system Details of key PCB value chain players – global and domestic, who can be invited to invest to establish a strong PCB industry
https://elcina.com/ems-task-force-report-on-market-industry-analysis-of-ems-sector-in-india	EMS Task Force Report Key Findings Currently EMS Industry (Contract Manufacturing Services) are valued 832 Bn $ and are projected to grow 1055 Bn by 2025. Domestic electronics manufacturing is estimated at USD 75 Bn of which 39 Bn constitutes EMS value. This is divided into 23.5 Bn domestic Mfg. and USD 15.5 Bn PCBS/Sub-Assembly imports. Further USD 53.5 Bn is finished Electronic Goods imports of which USD 17 Bn is EMS value. Thus total EMS opportunity loss is US$ 32.5 Bn (15.5 +17). The report estimates that EMS production can grow realistically from USD 23.5 Bn today to USD 152 Bn by 2025 at CAGR of 45%. This will meet 75% of the countries EMS requirement of US$ 203 Bn by 2025 against a total estimated market of 400 Bn.
https://elcina.com/elcina-task-force-report-on-electronic-components	ELCINA Task Force Report on Electronic Components Key Findings Current status of component manufacturing in India – Areas of competence vs Gaps and inadequacies Components which urgently require investments and growth in domestic manufacturing Emerging technology and new components for upcoming opportunities Constraints and bottlenecks to be addressed Overcoming Policy constraints, WTO (ITA-1) deadlock and Zero Duty issue Strategy for overcoming these constraints Eco-System requirements- Role of Central and State Governments
https://elcina.com/elcina-directory-of-indian-electronics-industry	ELCINA Directory of Indian Electronics Industry 2023-24 Description ELCINA Directory of Indian Electronics Industry – includes the updates on Indian Electronics Industry and a host of additional improved features covering business environment, statistical industry scan, company databases plus various projections. This handy compendium with its easy-to-read format attracts the attention of a growing number of users (within India and abroad) Apart from electronics industry, the users of this Directory range from financial institutions, commercial banks, FIIs, Consultancy organizations as well as industry promotion institutes across the world….

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