India Indian Economy + Infra Archive

[Lonewolf]

Will be air India for sure. Infact I expect Air Asia India and Vistara to be absorbed into the bigger air India family. But I don't know how long it will take them to make a profit.

Last aircrafts were bought in 2004-2008 circa and they were never renovated. Renovation needs to be done. In addition to the debts Tata would need to pay out slowly.

And retire those near retirement air hostess , import some chicks ,like ethiad and Qatar ones

 

[crixus]

And retire those near retirement air hostess , import some chicks ,like ethiad and Qatar ones

what about hostesses from Hooters ?

 

[Manomed]

Everyone need Australia coal when the winter is coming now.

Australia will not stop accusesing China of virus disinformation

Corona virus was probably made in china

 

[Lonewolf]

what about hostesses from Hooters ?

Well they aren't professional air hostess , nice as chicks but not my flavour

 

[Nilgiri]

The Indian government is planning a massive redevelopment project in the country’s capital New Delhi. The current administrative area called Central Vista will be completely renovated with total costs estimated at around 2.7 billion USD.

Select video clips courtesy of Getty Images

 

[Nilgiri]

ChemChina unit sells Europe's top solar-panel maker to billionaire Mukesh Ambani's Reliance Industries for US$771 million

China's state-controlled chemical giant is selling its entire stake in Europe's biggest solar-panel producer to a company controlled by Asia's richest billionaire, Mukesh Ambani, as the global race to generate clean energy heats up amid efforts to contain carbon emissions. China National...

finance.yahoo.com

China's state-controlled chemical giant is selling its entire stake in Europe's biggest solar-panel producer to a company controlled by Asia's richest billionaire, Mukesh Ambani, as the global race to generate clean energy heats up amid efforts to contain carbon emissions.

China National Bluestar Group, a unit of China National Chemical Corp (ChemChina), has agreed to sell Oslo-based REC Solar Holdings to Reliance New Energy Solar, a wholly-owned subsidiary of Indian conglomerate Reliance Industries, at an enterprise value of US$771 million, according to a statement issued by the Mumbai-listed energy group on Sunday.

The purchase will give Reliance a ready global platform and an opportunity to grow in key green energy markets including in the US, Europe and the Asia-Pacific region, the company said in a statement on Sunday.


Do you have questions about the biggest topics and trends from around the world? Get the answers with SCMP Knowledge, our new platform of curated content with explainers, FAQs, analyses and infographics brought to you by our award-winning team.

Reliance, the flagship company of founder and chairman Ambani, has almost US$74 billion in annual sales. Ambani, 64, is ranked by Forbes as the richest person in Asia, with a net worth of US$101.5 billion.

Employees of Norwegian firm REC Solar Holdings make photovoltaic cells and modules at the company's manufacturing facility in Singapore. Photo: Agence France-Presse alt=Employees of Norwegian firm REC Solar Holdings make photovoltaic cells and modules at the company's manufacturing facility in Singapore. Photo: Agence France-Presse

The REC acquisition "is in line with our strategy of investing in new and advanced technologies and operating capabilities aimed at achieving Reliance's goal of enabling 100 gigawatt clean and green energy before the end of this decade", Ambani said in the statement.

Reliance plans to use REC's industry leading technology in the Indian firm's fully integrated, metallic-silicon-to-photovoltaic-panel manufacturing facility at Dhirubhai Ambani Green Energy Giga Complex, located in the city of Jamnagar on the western coast of India in the state of Gujarat. This facility's capacity will start at 4GW, before ramping it up to 10GW per annum, according to Reliance.

The conglomerate said it is now ready to set up a global scale integrated photovoltaic giga factory and make India a manufacturing hub for the lowest cost and highest efficiency solar panels.

India wants to produce 450GW of renewable energy by 2030 to take the lead in the transition from fossil fuels to green energy, and contribute to tackling the climate-change crisis. China itself has set a carbon-neutrality target by 2060 to stem environmental degradation.

Explainer: What is Syngenta and why is it set to be this year's biggest IPO?

Goldman Sachs acted as the financial adviser to Reliance, while Davis Polk & Wardwell provided legal advice to the group in the transaction, according to the Sunday statement. Apart from REC, ChemChina also controls Swiss agrochemical producer Syngenta and tyre-maker Pirelli.

Bluestar bought REC Solar, Europe's biggest solar-panel supplier in November 2014 for US$640 million. It later combined REC Solar with Elkem, a Norwegian silicon producer, which Bluestar earlier acquired in 2011.

REC was founded in 1996 with operational headquarters in Singapore and regional hubs in North America, Europe and Asia-Pacific, employing 1,300 people group-wide.

Reliance said it will support REC's expansion plans, including 2GW to 3GW cells and module capacity in Singapore, a new 2GW cells and module unit in France, and another 1GW modules plant in the US.

This article originally appeared in the South China Morning Post (SCMP), the most authoritative voice reporting on China and Asia for more than a century. For more SCMP stories, please explore the SCMP app or visit the SCMP's Facebook and Twitter pages. Copyright © 2021 South China Morning Post Publishers Ltd. All rights reserved.

Copyright (c) 2021. South China Morning Post Publishers Ltd. All rights reserved.

 

[Nilgiri]

Tesla targets 2022 to finalize India manufacturing plans: analyst

Tesla’s manufacturing efforts in India could launch as soon as 2022, according to Soumen Mandal, an analyst at Counterpoint Research. Tesla has been targeting an entrance into the Indian automotive market for several years, with 2021 seeing the most progress for the electric automaker to finally...

www.teslarati.com

Tesla’s manufacturing efforts in India could launch as soon as 2022, according to Soumen Mandal, an analyst at Counterpoint Research. Tesla has been targeting an entrance into the Indian automotive market for several years, with 2021 seeing the most progress for the electric automaker to finally begin building its cars in the country.

Mandal sees India as perhaps one of the largest beneficiaries of the ongoing EV movement globally, and the analyst believes Tesla is well aware of this fact. If this is the case, Tesla will likely want to make their mark early and often, as it could prove to be a deciding factor in whether the company tastes success in India, a risky region for the company’s growing initiative to transition the Earth to sustainable energy.

“None of the big automakers wants to leave out the opportunity to acquire a share in the India market,” Mandal said, according to a new report from Economic Times of India. “Tesla is not an exception in this case. The cheap availability of resources and lower labor cost will allow Tesla as well as other automakers to earn a higher profit if they set up a local manufacturing or assembly plant.”

Tesla CEO Elon Musk with India Prime Minister Narendra Modi (Photo: Narendra Modi/Twitter)

Tesla has sparred with government officials in India for several months, playing a game of chess to see which entity will cater to the other’s wishes. At first, Tesla planned to build a manufacturing facility in the region. However, CEO Elon Musk reasonably backtracked as he was not yet convinced that Tesla would be a good fit in India.

Instead, Musk wanted to test the demand for Tesla’s EVs in India by utilizing an import method. As Tesla has an already active production facility in Shanghai and another in Germany that will begin production imminently, there are plenty of routes for Tesla’s EVs to make it to India. The issue remains, however: import duties are doubling the price of vehicles, and Tesla won’t be able to accurately test demand in India if these taxes are not reduced.

India’s currently active political administration is undoubtedly keen on keeping manufacturing efforts at home. This means that Tesla’s requests for import duty reductions were likely scoffed at by the country’s higher-ups, who had no intentions of continuing any talks of catering to Tesla’s wishes. However, government officials once again derailed Tesla’s attempts to make headway with these requests, as officials stated India couldn’t make “company-specific incentives” a reality. Instead, Tesla would have to launch a manufacturing plant in India, which put the possibility of “Tesla India” on ice for the time being.

This wish was eventually reconsidered by some government officials. Duties do have the possibility of being pulled back. One Indian official said, “We haven’t firmed up the reduction in duties yet, but there are discussions that are ongoing.”

Mandal believes that India will eventually work something out with Tesla as the opportunity may be too good to pass up. “Hence, the desire to earn more profit as well as the wish to acquire a market share in one of the to-be largest auto markets is bringing Tesla to India,” the analyst said. Tesla has been the only automaker to basically avoid any production stoppages due to the global semiconductor shortage, and India must know that. “All most every automaker is currently suffering from the ongoing semiconductor shortage. While most of the automakers like Stellantis, Volkswagen, Toyota, BMW, Ford and others have cut production severely due to the ongoing chip crisis, Tesla has not been affected significantly,” Mandal said.

What do you think? Let us know in the comments below, or be sure to email me at [email protected] or on Twitter @KlenderJoey.

 

[Zapper]

Don't sell China-made EVs in India, Nitin Gadkari tells Elon Musk's Tesla​

https://www.hindustantimes.com/indi...-tells-elon-musk-s-tesla-101633686831688.html

 

[Rajendra Chola]

And retire those near retirement air hostess , import some chicks ,like ethiad and Qatar ones

It's actually an misconception that other airlines have "young" hostesses but Air India air hostesses are sometime rude. Had faced it twice. Hope they work out the attitude. I understand they are under pressure. So are we for various reasons.

 

[HTurk]

India is a big country with a large population. How can this airline not benefit from its own home advantage? Look at European, American, Chinese or even Turkish airlines. They all grew at home first.

 

[Nilgiri]

India is a big country with a large population. How can this airline not benefit from its own home advantage? Look at European, American, Chinese or even Turkish airlines. They all grew at home first.

It was run by a bunch of corrupt thugs and idiots (aka govt) for too long so it atrophied and turned into a taxpayer hobby in the end....since it almost never posted any kind of profit or value-addition to rest of economy.

You see, the govt (in cold war leftie mentality) stepped in and nationalised this formerly private airline in the early 50s....replacing profit-motive with govt-bureaucrat "motives" in probably the worst sector imaginable to do this.

Other (Private) airlines picked up all the slack starting in the 90s (when the sector was liberalised for private players to enter) to now....they are all inevitably doing immensely better....and largely for the reason you mention.

So it is both ironic and fitting the waste of time, effort and money the govt did with this exercise comes full circle and the original owner (Tata pre 1953) re-acquires the enterprise now.

 

[Indos]

@Nilgiri how good is it ??

Chinese system works fastest

Any update on this project ?

 

[Nilgiri]

https://twitter.com/i/web/status/1449286670197555205

 

[Nilgiri]

India's poised to grow like it did in 2003-10, says Jefferies

India's economic growth averaged 8.5% to 9% between 2003 and 2010, up from the 5.5%-to-6% average before that. It said the risk appetite of banks is set to increase as bad loans have fallen - just as they did in 2003-04.

economictimes.indiatimes.com

The Indian economy is poised for a repeat performance of growth last seen between 2003 and 2010 led by corporate deleveraging and profitability, lower bad assets and demand for housing, Jefferies said.

India's economic growth averaged 8.5% to 9% between 2003 and 2010, up from the 5.5%-to-6% average before that.

The US brokerage analysed six key components of the economic cycle: Demand for housing, drop in bank NPAs, corporate profitability, interest rates, corporate leverage and capex revival.

It said the risk appetite of banks is set to increase as bad loans have fallen - just as they did in 2003-04.

"Between 1997 and 2004, bank gross NPA ratio moved down from 16% to 8%. Similarly, the Indian banking system's gross NPA has moved down from 12% in March 2018 to 7% now and alongside a provisioning jump, the net NPAs are down 59%," Jefferies said. "Provision costs are off drastically. While banks are still risk-averse, we believe that the stage is now set for an increase in risk appetite. Strong capability and seven-year high RoEs further support lending growth."

Although the broader capital expenditure cycle has not turned yet, it is likely to follow the housing cycle with a lag.

"The housing cycle improvement is visible. A historical analysis since 1996/97 suggests that Indian housing up-cycles and down-cycles typically last for 6-8 years," Jeffries said.

"The period between 2012/13 and 2020 was a prolonged down-cycle and 2021 is the first year of an upcycle, with a visible uptick in volumes and pricing. Housing construction is a large job creator and has multiple economic linkages capable of driving an economic upturn."

This along with robust expansion in corporate profitability will push up growth. Annual corporate profit growth was a poor 0.4% between FY11 and FY20, but has increased to 51% between FY20 and FY22.

Jefferies expects profit growth to increase further to 15% between FY22 and FY24, led by the financials and other cyclical sectors.

Companies have also used the slowdown in the last six years to deleverage as a result of which the debt to equity ratio for 600-plus non-financial companies has come off from 1 times to 0.7 times, creating space for the next economic upcycle.

Although interest rates are set to rise from current record lows, it is unlikely to hit the economic recovery despite a rise in yields - as it did in the 2003-2010 economic upcycle. "Corporate investment is still sluggish as capacity utilisation and risk appetite is low. Property uptick should help reduce risk averseness. Overall, the broader capex upturn should follow over the next 4-6 quarters," the US brokerage said.

 

[SavageKing456]

It would've been even better if we got double digit growth

 

[Jackdaws]

India's poised to grow like it did in 2003-10, says Jefferies

India's economic growth averaged 8.5% to 9% between 2003 and 2010, up from the 5.5%-to-6% average before that. It said the risk appetite of banks is set to increase as bad loans have fallen - just as they did in 2003-04.

economictimes.indiatimes.com

The Indian economy is poised for a repeat performance of growth last seen between 2003 and 2010 led by corporate deleveraging and profitability, lower bad assets and demand for housing, Jefferies said.

India's economic growth averaged 8.5% to 9% between 2003 and 2010, up from the 5.5%-to-6% average before that.

The US brokerage analysed six key components of the economic cycle: Demand for housing, drop in bank NPAs, corporate profitability, interest rates, corporate leverage and capex revival.

It said the risk appetite of banks is set to increase as bad loans have fallen - just as they did in 2003-04.

View attachment 33756


"Between 1997 and 2004, bank gross NPA ratio moved down from 16% to 8%. Similarly, the Indian banking system's gross NPA has moved down from 12% in March 2018 to 7% now and alongside a provisioning jump, the net NPAs are down 59%," Jefferies said. "Provision costs are off drastically. While banks are still risk-averse, we believe that the stage is now set for an increase in risk appetite. Strong capability and seven-year high RoEs further support lending growth."

Although the broader capital expenditure cycle has not turned yet, it is likely to follow the housing cycle with a lag.

"The housing cycle improvement is visible. A historical analysis since 1996/97 suggests that Indian housing up-cycles and down-cycles typically last for 6-8 years," Jeffries said.

"The period between 2012/13 and 2020 was a prolonged down-cycle and 2021 is the first year of an upcycle, with a visible uptick in volumes and pricing. Housing construction is a large job creator and has multiple economic linkages capable of driving an economic upturn."

This along with robust expansion in corporate profitability will push up growth. Annual corporate profit growth was a poor 0.4% between FY11 and FY20, but has increased to 51% between FY20 and FY22.

Jefferies expects profit growth to increase further to 15% between FY22 and FY24, led by the financials and other cyclical sectors.

Companies have also used the slowdown in the last six years to deleverage as a result of which the debt to equity ratio for 600-plus non-financial companies has come off from 1 times to 0.7 times, creating space for the next economic upcycle.

Although interest rates are set to rise from current record lows, it is unlikely to hit the economic recovery despite a rise in yields - as it did in the 2003-2010 economic upcycle. "Corporate investment is still sluggish as capacity utilisation and risk appetite is low. Property uptick should help reduce risk averseness. Overall, the broader capex upturn should follow over the next 4-6 quarters," the US brokerage said.

Realestate micromarkets within Bombay are razor hot at the moment. A large role has been played by the discounts offered by the Government.

 

[Lonewolf]

Any update on this project ?

Going pretty well , my city got a pipeline addition,saw on outskirts

 

[Nilgiri]

Realestate micromarkets within Bombay are razor hot at the moment. A large role has been played by the discounts offered by the Government.

Federal or state govt?

 

[Nilgiri]

https://twitter.com/i/web/status/1449583353632485388

 

[Lonewolf]

https://twitter.com/i/web/status/1449583353632485388

One thing I like about TN , irrespective of political party , their development work never cease