News Nook: Oct 15, 2024

Indian Sector Specific News:

A) Indian Telecommunication:

1) PM Modi Inaugurates ITU-WTSA and India Mobile Congress 2024

• PM Modi inaugurated the ITU-World Telecommunication Standardisation Assembly (ITU-WTSA) 2024 and the India Mobile Congress 2024 in New Delhi, marking the first time ITU-WTSA is held in India and the Asia-Pacific region.
• The event brings together 3,000 industry leaders from over 190 countries to discuss standards for technologies like 6G, AI, IoT, and cybersecurity.
• 400 exhibitors and 900 startups from more than 120 countries will showcase innovations, with over 100 sessions and 600 speakers.
• Source: Investing.com

2) India Aims for 5G Intelligent Villages to Bridge Digital Divide

• India is focusing on 5G intelligent villages to address the digital divide in rural areas.
• The initiative is aimed at bringing advanced 5G connectivity to underserved regions, fostering growth in education, healthcare, and agriculture.
• This development is part of India's broader effort to achieve digital inclusion and economic empowerment for rural communities.
• Source: Economic Times

B) Indian BFSI:

1) Digital Ad Impressions Surge in 2023

• In 2023, digital ads were 4 times more than in 2019. Compared to 2022, there was a 31% increase.
• Big companies like Amazon, Snapchat, Samsung, Apple, and Flipkart spend the most on these ads, with e-commerce and social media being the top areas for advertising.
• In 2024, more than half (57%) of all ad money in India will be spent on digital ads.
• Search ads (like Google search results) will make up 22% of that, and retail media ads (ads on shopping platforms) will make up 18%.
• Source: Storyboard18

C) Indian Renewable Energy:

1) India Surpasses 200 GW in Renewable Energy Production

• India has crossed the 200 GW mark in renewable energy, led by solar and wind power.
• Top states include Rajasthan (31.5 GW), Gujarat (28.3 GW), and Tamil Nadu (23.7 GW).
• India is the only G20 nation to have met its climate targets ahead of schedule.
• Source: Economic Times

D) Indian Agriculture:

1) Uttar Pradesh to Utilize Satellite Data for Agriculture

• The Uttar Pradesh government aims to enhance agricultural productivity by deploying satellite data for monitoring and analysis.
• A dedicated command center has been established to evaluate cultivable land and crop status across kharif, rabi, and zaid seasons.
• The state has a sown area of 16.94 million hectares, with satellite data revealing an actual sown area of 17.74 million hectares.
• UP's cropping intensity stands at 177.10%, surpassing the national average of 155.40%.
• Source: Economy Post

E) Indian IT:

1) Revival of Fresher Hiring in IT Sector

• 10-12% increase in fresher hiring expected, driven by demand in AI, ML, cybersecurity, and cloud computing.
• Companies like TCS report high deal pipelines, necessitating fresh talent amid a growing graduate supply due to previous hiring slowdowns.
• Despite a skills gap between education and industry, collaboration between sectors and attractive job offerings are crucial for attracting top talent.
• Source: The Week

2) Growth of India's IT Sector

• India's IT sector contributes approximately 7% to GDP in FY 2023-24, projected to reach $124.6 billion in 2024, reflecting a 10.7% increase.
• Nasscom forecasts the tech industry, including hardware, will hit $254 billion this fiscal year, with major firms expanding into cloud, AI, and data analytics.
• Top three tech companies by market cap in 2024 are Tata Consultancy Services (Rs 15.44 lakh crore), Infosys (Rs 7.77 lakh crore), and HCL Technologies (Rs 4.87 lakh crore).
• Source: Times Of India

F) Indian Infrastructure and Real Estate:

1) Bridge Construction Over Uyyakondan Canal Set to Begin in November

• Construction of two key bridges over the Uyyakondan canal in Tiruchirapalli will start in November, enhancing infrastructure and reducing traffic congestion.
• This initiative aims to improve connectivity and support local transportation needs.
• Source: Construction World

G) Indian FMCG:

1) FMCG Sector Outlook 2024

• India’s FMCG sector is projected to grow to $220 billion by 2025, driven by a 14.9% CAGR.
• Key challenges include supply chain disruptions, changing consumer preferences for sustainability, and rising raw material costs.
• Source: Financial Express

2) FMCG Sector Q2FY25 Earnings Preview

• Revenue growth is expected in the low to mid-single digits amid challenges like rural demand, inflation, and competition from smaller players.
• The Nifty FMCG index outperformed NIFTY 50, rising 15.55% in Q2, but margins may face pressure from rising costs and competition.
• Source : Upstox

3) Dussehra Sales Update

• Durable retailers saw sluggish growth of 6-7% during Dussehra, lower than the 10-15% growth last year; however, brands like Panasonic reported a 20-30% increase in sales for premium products.
• E-commerce sales surged by 16% in the first 10 days of the festive season, driven by categories like home decor and electronics, reflecting a trend towards premiumization.
• Source: Financial Express

International Markets:

• OPEC has lowered its 2024 global oil demand growth forecast to 1.93 million barrels per day due to a downgrade in China's consumption, resulting in Brent crude prices dropping 2% to $77 amid concerns over economic slowdown and the ongoing Israel-Iran conflict affecting market stability.
• Turtle Beach is expanding its gaming accessories in Canada, launching products at Best Buy, and entering Latin American markets (Mexico, Colombia, and Chile) with new headsets and controllers to enhance its global presence.

• The IMF has urged Pakistan to eliminate tax breaks and protections for the agriculture and textile sectors, citing their inefficiency and negative impact on economic growth, and recommended a shift toward more technologically advanced industries to enhance competition.