Indian Govt announces sops to revive exports

NEW DELHI, Dec 26: Faced with a widening trade deficit, the Indian government on Wednesday announced a slew of incentives to reverse decline in exports which will still fall much short of the USD 360 billion target for the current fiscal. The two per cent interest subsidy scheme, which was to end on March 2013 has been extended for one more year.

Besides, more sectors have been covered under it with the engineering exporters being the major beneficiaries.

Merchandise shipments to the US, European Union and the Asian markets will qualify for additional sops.

Exporters are facing a demand slowdown in these markets.

Unveiling these measures, Commerce and Industry Minister Anand Sharma said, "With these measures, we should be able to give a push to our exports in the last quarter of this financial year. The objective is to stabilise the situation and try and move from the negative territory to positive".

He also expressed the hope that with the help of these steps exporters will be able to ship more and help the country reduce the widening trade gap, which has touched USD 175.5 billion between January-November.

Rising trade deficit has been cited by several global rating agencies like S&P as a key area of concern for the Indian economy.

While exporters have welcomed the sops extended by the government, the minister did not quantify the total benefits which will accrue to the sector.

Exports during April-November period this year contracted by 5.95 per cent to USD 189.2 billion.

Merchandise exports are in negative zone since May this year.

On the USD 360 billion exports target for this fiscal, he said: "Given the global slowdown and the contraction at some of the major destinations of India's exports, we are finding it difficult to meet the target."

Sharma said that India's exports should be viewed in the backdrop of the global slowdown, particularly the development in Europe, and the contraction is directly linked to that.

As part of the incentive package, the government today announced introduction of a pilot scheme of 2 per cent interest subvention for project exports through EXIM Bank for countries of SAARC region, Africa and Myanmar.

"This scheme will be operational immediately for a combined worth of USD 500 million to begin with," Sharma said.

The objective of the scheme is to boost exports to these countries by providing long term concessional credit through EXIM Bank, as co-financing in infrastructure sectors such as housing, irrigation, road projects and renewable energy.

Besides, a decision has been taken to grant incentive on incremental exports that would be made during January-March 2013 over the base period January-March 2012.

These steps would help in "bringing down the rising trade deficit and keep it at least in percentage terms as it was in 2011," Sharma said.

While exports of engineering and gems and jewellery items contracted by 5.3 per cent and 10 per cent respectively, that of cotton yarn, jute, readymade garments and handicrafts shrunk by 11 per cent, 14 per cent, 8 per cent and 65 per cent respectively during April-November period this fiscal.

"This is a matter of serious concern to us. They are directly linked to job creation and job sustenance," he said.

He said that some sectors like agriculture managed healthy exports growth.

The country has so far exported rice, wheat, cotton and sugar worth USD 6 billion, USD 3.4 billion, USD 4.3 billion and 1.8 billion.

Sharma said that rising trade deficit has direct bearing on current account deficit (CAD) and domestic currency.

CAD stood at 3.9 per cent of GDP in April-June quarter.

Bansal opens Canara Bank's first Rural Self Employment Training Institute in Punjab

By Deepak Arora

CHANDIGARH, Dec 16: Union Minister for Railways Pawan Kumar Bansal inaugurated the very first Canara Bank Rural Self employment Training Institute in the state of Punjab at Tapa Mandi, Barnala district here today. He also inaugurated the first batch of 3o days training on Multi Phone Servicing.

Applauding Canara Bank initiative of establishing the Institute in one of the backward areas of Punjab, the Minister called upon the unemployed youth to make the best use of the training facilities provided by the Institute. He thanked Canara Bank for establishing the Institute at Tapa as per the wishes of the people of the area.

Mr Ashok Kumar Gupta, Executive Director of Canara Bank, welcomed the dignitaries and the audience. He informed that Canara Bank is a peoples Bank and has practiced its serving the Society initiatives for more than a century of its inception. Canara Bank has been a pioneer in initiating and implementing multifaceted and innovative programmes aimed at the development of people from the lower strata of the society.

Mr Gupta said the initiatives of the Bank are multifarious covering different spheres like - Training unemployed youth, Primary Health, Rural Clinic Service, Drinking Water, Community Development, Empowerment of Women, various relief, welfare and developmental initiatives.

He highlighted Canara Bank initiatives in the arena of Rural Development in general and in the State of Punjab in particular.

As many as 58 training Institutes spread across 16 States of the country sponsored by the bank has trained over 4.60 lakh youth with over 70% settlement, added Mr Gupta.

Mr Vijay Inder Singla, Member of Parliament, Sangarur, was the chief guest on the occasion.

Addressing the gathering Mr Singla termed opening of Canara Bank RSETI as a historic event for the people of Tapa. Mr Singla appealed to the gathering to take advantage of newly established training Institute in upgrading their livelihood skills.

Mr Sunil Gupta, Mr Khalid Luqman Bilgrami, Mr G V Manimaran, Directors on the Board of Canara Bank were the guests of Honour for the programme.

Mr S S Bhat, General Manager, Priority Credit and Financial Inclusion Wing H O, Mr R Madhusudan, General Manager, CO Chandigarh, senior executives and large number of staff from Canara Bank participated in the programme.

Mr Mohammad Sadique MLA, Badour, Mr Kumar Rahul, DC Barnala, Mr BK Gupta, General Manager, Northern Railways, graced the function.

During the function, Rupay cards were handed over to farmers by the Minister. More than 5000 people of the area attended the function.

The programme was a grand success and has given a boost to the image of the Bank.

IFFCO shines at the International Cooperative Alliance Asia Pacific Regional Assembly

NEW DELHI: World’s largest producer and marketer of the processed fertilizer in cooperative sector, IFFCO have made its mark in the regional general assembly of ICA Asia Pacific at Kobe, Japan by bagging two prominent positions in different International sectoral and thematic committees of ICA Asia Pacific.

Dr. Gopal N. Saxena, Director – Cooperative Development, IFFCO has been unanimously elected as chairman of ICA Asia Pacific Research Committee for a period of four years and Mr. K SM Gowda, Director on Board, IFFCO and Chairman IFFCO Tokio General Insurance has been also elected unanimously as Chairman, Agriculture Committee of ICA Asia Pacific.

The 10th ICA-AP Regional Assembly and related meetings are being held in Kobe, Japan from November 26 to 30.

The ICA-AP Regional Assembly, which meets once every two years, brings together the representatives from member organizations in the Asia Pacific Region. The 10th ICA-AP Regional Assembly will bring together the interests of 530 million cooperators through the representatives from 78 member organizations in 25 countries.

This time for Kobe, the general theme is “Cooperatives Build a Secured Society” to be shared by all sectoral and thematic committee meetings.

Dr. U.S. Awasthi, Managing Director, IFFCO expressed his happiness over this development and asserted that this is a result of untiring efforts put forth by IFFCO for the overall upliftment of its members in India and went on to say that it is a recognition of the success of the Indian Cooperative movement on a global scale.

Dr Awasthi also said that IFFCO has been working for the development of cooperatives at grassroots level since its inception and continues to work for the betterment of agriculture in general and farming community in particular.

Founded in 1895 ICA is an independent Non Government Organization which has 220 members' organizations from 85 countries representing over one billion individuals’ world wide.

Recently issued Global Coopertive Monitor, IFFCO bagged 20th position in agriculture sector among Top 300 cooperatives in the world.

IOC plans 15 million tonne refinery in Gujarat

NEW DELHI, Nov 27: Indian Oil Corp, the nation's largest oil firm, has said it is planning to build a new 15 million tonne refinery in Gujarat as part of its plans to almost double its refining capacity.

IOC, at present, has seven refineries with a cumulative capacity of 54.2 million tonnes per annum capacity.

"We have a prespective plan to raise this capacity to 100 million tonnes by 2021-22," IOC Director (Refineries) R K Ghosh said in New Delhi on Tuesday.

The company, which already has a 13.7 million tonnes refinery at Koyali in Gujarat, is planning another 15 million tonness unit in the state due to easy availability of land.

"We have commissioned Engineers India Ltd to do a configuration and location study," he said adding the study is likely to come-in by year-end after which the company will commission a detailed feasibility report (DFR).

The refinery on the west coast is to come up by the 13th Five Year Plan.

He said IOC plans to expand its Koyali refinery to 18 million tonnes while also raising capacity of Mathura refinery to 11 million tonnes from current 8 million tonnes.

Also, Panipat unit is being considered for expansion to 18 or 21 million tonnes from current 15 million tonnes.

Its under construction 15 million tonne Paradip refinery in Orissa would be expanded to 20 million tonnes in future.

"Paradip refinery will be commissioned by next year end," he added.

Canara Bank launches 'Direct Cash Transfer Programme'

PUNE, Nov 26: Mrs Archana S Bhargava, Executive Director, Canara Bank, inaugurated “Direct Cash Transfer Programme” of Government of India linked to Aadhaar Card at Deccan Gymkhana Branch coming under Pune Circle of the bank and gave a call to observe the fortnight November 26 to December 10 “Common Man’s Fortnight” and complete the exercise of opening accounts.

She announced that all Canara Bank branches in 51 districts identified for implementation of direct cash transfer will conduct nationwide campaign of opening of accounts.

Mrs Archana Bhargava, who is an ardent and passionate crusader of financial inclusion initiative of the bank, termed the bank as poor and common Man’s bank.

She listed the various initiatives taken by the bank such as introducing education loans, opening 243 financial inclusion branches, opening of 522 ultra small branches covering 1621 allotted villages with more than 2000 populations in 24 states covering 30000 SHG members with micro insurance at a nominal rate of Rs 100 and opening 6063 Aadhaar linked accounts.

She also stressed that Canara Bank caters to the poor and uneducated through various rural development activities like Jalyoga, RUDSET & RSETI Institutions, and Rural Clinic services.

She complemented the General Manager, Pune Circle, Mr D R Shirodkar and other staff for opening of 17 branches out of which seven are financial inclusion branches. She remarked Pune circle is doing well under all financial inclusion initiatives.

Mrs Archana Bhargava explained in detail the unique initiative of the Government's “Direct Cash Transfer” of benefits/subsidies to accounts
linked with Aadhaar card. She was emphatic that this will revoluationise the way subsidies will be distributed to the common man doing away with middlemen.

As a token, she distributed saving bank passbook linked to Aadhaar card to 15 beneficiaries and gave a clarion call to the employees of Canara Bank to observe this fortnight as the period of opening all accounts of beneficiaries in all branches and complete the exercise in this fortnight.

Mrs Archana Bhargava was in Pune city to participate in the annual BANCON-2012 Conference organised by Bank of Maharashtra. Mr D R Shirodkar, General Manager, Pune Circle, Mr K.S.Prabhakar Rao, General Manager, Head office, Staff and Executives of Pune circle, beneficiaries from Wagholi and Ahalwadi branches were present on the occasion.

Govt to launch direct cash subsidy transfer from Jan 1

NEW DELHI, Nov 24: Government will launch the payout of direct cash subsidy to people through the Aadhaar based system in 51 districts of the country from 1st January, Finance Minister P Chidambaram said.

He said the government intends to complete roll out of the direct cash transfer through the Aadhaar system in the entire country by the end of 2013.

This will, among other things, facilitate the pay out of direct cash subsidies to the targeted beneficiaries.

"We want the roll out (of Aadhaar-based subsidy transfer) to be completed by the end of 2013," he said at the Bancon conference in Pune on Saturday.

The Finance Minister noted that the government spends thousands and thousands of crores of rupees on pension and various subsidies.

"We are going to launch the ambitious programme of payout of direct cash subsidy to people through the Aadhaar system in 51 districts across 15 states", he said.

Chidambaram said Prime Minister Manmohan Singh will take a meeting of the cash transfer committee on Monday in the run up to the implementation of the scheme from the beginning of next year.

Stating that the economy is in a slowdown mode, he said the economic growth is expected to be 5.5 percent in the second quarter.

"For us 8 per cent growth is not an aspiration. We must aspire for over 8 per cent growth", he said.

advertisements