Indian economy on verge of slow recovery; unemployment remains key challenge: PHDCCI

News Network
October 25, 2020

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New Delhi, Oct 25: Industry body PHDCCI expects India’s GDP to contract by 7.9 per cent in the current financial year and grow by 7.7 per cent in 2021-22, assessing that the worst is over and the economy is on the verge of a slow recovery.

The chamber, however, stated that unemployment remains a key challenge to be addressed by the government.

The PHDCCI drew the conclusions based on its analysis of 25 high-frequency economic indicators which point out that there has been a pickup in business normalisation.

However, the unemployment rate still remains a worry as it worsened to 8.3 per cent in August from 7.4 per cent in July, it said in a report.

"Going ahead, India should focus on moving away from imports from China, divert trade towards friendly economies, build domestic capacities and significantly scale-up indigenous production with a thrust to become self-reliant," PHD Chamber of Commerce and Industry (PHDCCI) said.

It said also that efforts should be made to diversify the portfolio of export products in terms of more countries and also in terms of more products, where India has a core competence.

PHDCCI President Sanjay Aggarwal said on the back of various reforms undertaken by the government during the last six months, economic recovery has become visible in the high-frequency indicators.

“At this juncture, on the basis of PHDCCI Economic and Business Momentum (EBM) Index, we estimate that the GDP growth will be at around (-) 7.9 per cent for the current financial year 2020-21 and 7.7 per cent for the next financial year 2021-22,” Aggarwal told PTI.

The chamber suggests that the government should prioritise demand creation measures to attain a positive growth trajectory in the third and fourth quarters of the current financial year ending March 2021.

“Demand creation will have a significant effect on the enhanced production sentiments of producers, increased investments and employment creation. Investments in the infrastructure will refuel the growth trajectory with increased demand for commodities such as steel, cement and power which in turn will rejuvenate private investments and create new employment opportunities in the country,” said Aggarwal.

The chamber observed that while several sectors of the economy will continue to have the after-effects of the pandemic, recent economic data shows that the worst is over and India is on the verge of a slow recovery.

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News Network
May 19,2024

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Naturals Ice Cream founder Raghunandan Kamath passed away following a brief illness. Born to a mango vendor in a village in Mangaluru, Kamath went on to establish Naturals, an ice cream parlour estimated to be worth Rs 400 crore today. 

"Our thoughts on the sad demise of our patron and founder of Naturals Ice Cream, Late Raghunandan Kamath. Indeed a very sad and unfortunate day for us," the company said.

Mr Kamath grew up helping his father in selling mangoes in a village Karnataka's Mangaluru. This was when he learned the art of picking the ripe fruit, plucking it, sorting it, and preserving it.

As the legend goes, a young 14-year-old Kamath boarded a train from Mangaluru and came to Mumbai (then Bombay). 

After working at his brother’s restaurant, Kamath had an idea — if ice creams have fruit flavours, why can’t they have real fruits. He decided to fill this void in the market. But unsure of whether customers would come, he began his business with serving pav-bhaji as the main dish and the ice cream as an add on.

His first ice cream parlour was launched in 1984 in Juhu, with the initial menu featuring around 12 flavours, each being a testament to the knowledge he acquired during the time he assisted his father in Mangaluru.

The demand kept growing and he opened five more outlets in 1994. Currently, it has over 165 outlets across 15 cities.
 
His story was captured expansively in ‘Intelligent Fanatics of India’, a book co-authored by Mumbai-based journalist Pooja Bhula.

Inspired by his mother's techniques, Kamath also developed innovative machines to streamline production and ensure consistency, notes the company website.

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News Network
May 10,2024

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The Supreme Court Friday granted interim bail to Delhi Chief Minister Arvind Kejriwal till June 1 in the excise policy case.

The top court, however, stated that it will be passing a detailed order over the matter soon.

On Thursday, the Enforcement Directorate had opposed the move to grant interim bail to Kejriwal saying that “any special concession” to him will “amount to anathema to the rule of law and equality… thereby creating two separate classes in the country viz. ordinary people, who are bound by the rule of law as well as the laws of the country, and politicians who can seek exemption from the laws”.

The ED had arrested Kejriwal on March 21 in the excise policy case.

“The right to campaign for an election is neither a fundamental right nor a constitutional right and not even a legal right,” the ED said, maintaining that to its knowledge, “no political leader has been granted interim bail for campaigning even though he is not the contesting candidate”.

After the ED filed its affidavit, the AAP, in a press release, said, “The legal team of Delhi Chief Minister and AAP National Convenor, Shri Arvind Kejriwal, has raised strong objection to the affidavit filed by the Enforcement Directorate opposing interim bail in the Supreme Court.”

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News Network
May 7,2024

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The Israeli military says it has taken full control of the Rafah crossing, which borders Egypt.

Israeli tanks took over the crossing after advancing during the night following heavy bombardment of residential areas.

The military said the crossing is now disconnected from the Salah a-Din road in eastern Rafah, which was seized before.

Tel Aviv said it would continue the operation in Rafah even after the Palestinian resistance movement Hamas said it had agreed to a proposal on ceasefire in Gaza put forward by Qatari and Egyptian mediators.

Earlier, Israeli military aircraft heavily bombed Rafah accompanied with ground advances shortly after Hamas said it had accepted the ceasefire proposal.

The official Palestinian news agency Wafa and Egyptian media said Israeli military vehicles advanced towards the Palestinian side of the Rafah crossing with Egypt, as well as the Karem Shalom crossing with the Israeli-occupied territories.

A Palestinian security official and an Egyptian authority have told the Associated Press news agency that Israeli tanks have entered Rafah, reaching as close as 200 meters from Rafah’s border crossing with neighboring Egypt.

The Israeli military has said it was conducting “targeted strikes” against Hamas in eastern Rafah.

Israeli prime minister Benjamin Netanyahu's office has also said "Israel is continuing the operation in Rafah to exert military pressure on Hamas" in order to advance the release of captives and what it called "the other objectives of the war."

In the meantime, it described the proposal on ceasefire as "far from Israel's essential demands," but added that it would send negotiators for talks "to exhaust the potential for arriving at an agreement."

The military strikes on Rafah came ahead of talks in Egypt on Tuesday aimed at sealing a truce proposal accepted by Hamas, which was put forward by Qatari and Egyptian mediators. 

According to a copy of the proposal, there will be three phases to ending Israel’s onslaught against Gaza.

The first phase calls for a complete withdrawal of Israeli troops from the Netzarim corridor and the return of displaced Palestinians to their homes. The second phase involves an announcement of a permanent cessation of military operations. In the last phase, there would be a complete end to the blockade of the Gaza Strip. 

In return, Israel would be required to release an unspecified number of Palestinian prisoners, withdraw its troops from certain regions of the Gaza Strip, and allow Palestinians to travel from the south of the coastal sliver to the north.

About 1.5 million Palestinians are sheltering in Rafah, once designated a “safe zone” by the Israeli military. Palestinians are now struggling to evacuate the city, after the Israeli military dropped leaflets ordering them to leave as a large-scale assault on the city is planned.

UN Secretary General Antonio Guterres has said that a ground invasion of Rafah would be “intolerable” and called on Israel and Hamas “to go an extra mile” to reach a truce deal.

“This is an opportunity that cannot be missed, and a ground invasion in Rafah would be intolerable because of its devastating humanitarian consequences, and because of its destabilizing impact in the region,” Guterres told reporters on Monday ahead of a meeting with Italian President Sergio Mattarella in New York.

Jordanian Foreign Minister Ayman Safadi has also warned that Israel is “jeopardizing the deal by bombing Rafah.”

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