Freight Rates Cause a Fright

The government-appointed G.K. Pillai committee, which was formed to propose refund rates under Remission of Duties and Taxes on Exported Products (RoDTEP), gave its verdict earlier this week. Keeping the panel’s recommendations in mind, the policy think tank is likely to take a fresh look at this incentive scheme that promises to benefit scores of Indian exporters. Not only is the Indian export community eager to find out the subsidy rates but even the US appears to be keen to understand the operational status of RoDTEP.

With the ongoing global shipping crisis and skyrocketing freight, rice exporters anticipate a slow growth as buyers have adopted a wait-and-watch approach. In addition, the country has been hit with the second wave of coronavirus and localized lockdowns are also being implemented in several states, which has led to several trade and supply chain related concerns.

Govt likely to tweak RoDTEP scheme amid outcry over refund rates

The Department of Commerce may take a relook at the refund rates recommended by a government-appointed committee for the recently announced Remission of Duties and Taxes on Exported Products (RoDTEP). This is after an industry outcry over the suggested rates.

2nd wave hurts biz resumption, lockdowns may soften economic growth in June quarter: Analysts

The rise in COVID-19 infections led to the steepest decline in economic activity since mid-April last year, and the lockdowns announced by Maharashtra will accentuate the already impacted retail and recreation mobility, analysts said on Monday. Japanese brokerage Nomura said a proprietary tool to gauge business resumption has dropped sharply to 90.7 for the week ended April 4, the steepest fall since mid-2020. It said the Nomura India Business Resumption Index (NIBRI) had been rising every month since April.

High ocean freight may lead to slow start in rice exports

After record exports of around 12 million tonnes (mt) of non-basmati rice during 2020-21, exporters are confident of sustaining the trend this fiscal. However, they see a slower start to the shipments in current fiscal as buyers have turned cautious over the sharp increase in freight rates.

India, Canada may explore possibility of inking mini trade deal this month

India and Canada may come back to the negotiating table later this month after a gap of almost four years to explore the possibility of signing a mini trade deal. The two sides have been negotiating a Comprehensive Economic Partnership Agreement (CEPA) since 2010 with the latest round of negotiations held in August 2017.

RBI Monetary Policy: Key takeaways from Governor Shaktikanta Das' address

The RBI Monetary Policy Committee (MPC) on April 7 kept the key policy rates unchanged at 4 percent indicating that a status-quo will desirable at this juncture when the growth-inflation scenario remains uncertain.