News Nook: Nov 27, 2024

Indian Sector Specific News:

A) Indian BFSI:

1) PSU Banks to Boost Credit Growth with New Products

Public sector banks will launch new products within 3-4 months to enhance credit growth, especially for MSMEs, as part of efforts to support financial inclusion and young entrepreneurs.
The government is addressing rising digital fraud risks and promoting digital innovations and financial literacy to ensure financial sector stability.
Source: Economic Times

2) SEBI Action Delays C2C Advanced Systems IPO

SEBI's intervention led to the postponement of C2C Advanced Systems' IPO listing, requiring the company to appoint an independent auditor and offer investors a withdrawal option until November 28.
Despite concerns, the IPO was subscribed 116 times, but the grey market premium (GMP) dropped to 40% amid regulatory scrutiny.
Source: Economic Times

B) Indian Automobile:

1) U.S. Rejects Reconsideration of Automatic Emergency Braking Rules

The U.S. National Highway Traffic Safety Administration declined a request to revisit new regulations mandating automatic emergency braking systems in automobiles.
The rules aim to enhance road safety, with no changes planned despite pushback from some stakeholders.
Source: Economic Times

2) Jaguar Land Rover Faces UK Competition from Chinese Partner

Chery Automobile plans to introduce its premium Jaecoo brand in the UK, directly competing with Jaguar Land Rover's Range Rover lineup with more affordable SUVs like the Jaecoo 7, priced at €29,435.
This move follows criticism of JLR’s brand makeover and highlights increasing competition in its home market.
Source: Business Standard

3) Mahindra Enters EV Market with BE 6e Series Priced at ₹18.9 Lakh

Mahindra launched the BE 6e EV with futuristic "Heartcore Design," offering advanced features like ADAS Level 2+, dual screens, and a 682 km range with its 79 kWh battery option.
With premium amenities like an infinity roof and fast charging (20-80% in 20 minutes), Mahindra aims to redefine electric mobility in India.
Source: Trak

C) Indian Pharma:

1) Indian Pharma Industry Records 10% Growth in 2023-24

The pharmaceutical industry's turnover in India reached ₹4,17,345 crore in 2023-24, marking a 10% growth compared to 2022-23.
This growth highlights the sector's strong performance and expanding market in the country.
Source: ANI News

2) Pharma Contract Manufacturing Faces Growth Slowdown

Contract manufacturing revenues in the pharmaceutical finished dose sector are reportedly slowing down, reflecting challenges in demand and production.
The report highlights concerns over sustained growth in the contract manufacturing segment.
Source: Economic Times

D) Indian Telecommunication:

1) Vodafone Idea Shares Jump on Clarification

Vodafone Idea shares rose 15% intraday and closed 9.18% higher after clarifying no communication was received from DoT on bank guarantee waivers.
Reports suggest the Cabinet approved waivers for pre-2022 spectrum, aiming to reduce telecom sector financial stress.
Source: CNBC-TV18

2) Comviva Appoints Raja Mansukhani as Chief Strategy, Technology, and Transformation Officer

Comviva, a leading mobility solutions provider, has appointed Raja Mansukhani as its new Chief Strategy, Technology, and Transformation Officer.
Mansukhani brings extensive experience to drive strategic growth and technological transformation within the company.
Source: Economic Times

E) Indian Agriculture:

1) Seized DAP Found to Be of Poor Quality: Agriculture Minister

Laboratory tests confirmed that 23 bags of Di-ammonium Phosphate (DAP) fertiliser seized from SBS Nagar district contained much lower levels of nitrogen and phosphorus than standard levels.
An FIR was filed under relevant sections of the Essential Commodity Act and Fertilizer Control Order after a raid on a trader’s house, following complaints about high DAP prices.
Source: Hindustan Times

F) Indian IT:

1) Growth in IT Jobs Amid Market Slowdown: WorkIndia Report

Despite a 10% overall decline in IT job postings in 2024, Tier-1 cities like Pune, Bengaluru, and Mumbai saw significant growth, with demand for both freshers and experienced professionals rising by 325%.
A shift towards higher salaries and specialized skills is evident, with positions offering ₹60,000 and above seeing growth. Additionally, gender preferences in IT roles have shifted, with a 20% increase in male candidates sought.
Source: CXO Today

G) Indian FMCG:

1) HUL to Demerge Ice Cream Business into Separate Listed Entity

Hindustan Unilever Ltd (HUL) has announced the demerger of its ice cream business into a new, independent, publicly listed entity to maximize shareholder value.
This strategic move comes as the ice cream business operates under a distinct set of market dynamics and growth opportunities.
Source: Economic Times

2) Reliance Consumer Disrupting FMCG Market with Aggressive Pricing

Reliance Consumer Products (RCPL) is shaking up the FMCG sector by offering trade partners 6-8% margins, double the industry average, and pricing products 20-40% lower than competitors.
Focusing on smaller markets and kirana stores, RCPL is driving competition with major brands like Coca-Cola, Nestlé, and Britannia, while disrupting pricing norms across daily essentials and groceries.
Source: Times Now News

H) Indian Infrastructure:

1) Indian Real Estate Sector Growth by 2047

India’s real estate sector is expected to reach $4.8 trillion by 2047, contributing 18% to the projected $26 trillion GDP, with PropTech growing to $600 billion.
Tier II & III cities are emerging as new investment hubs, supported by national infrastructure projects and a rising middle class.
Source: Economic Times

2) Datta Power Infra's Rs 50 Billion Investment in Rajasthan

Datta Power Infra has committed to investing Rs 50 billion in Rajasthan’s renewable energy sector, marking a significant step in advancing the state’s clean energy initiatives.
The investment agreement was formalized through a memorandum of understanding (MoU) with the Rajasthan government in Jaipur.
Source: Construction World

Indian Economy and Government Initiatives:

India-China trade has a concerning $18 billion discrepancy in reported figures for 2023. This gap highlights reporting issues and anomalies in key sectors. Experts are calling for closer scrutiny of the trade data between the two countries.
India’s GDP growth forecast for FY25 is revised down to 6.8%, slightly lower than the previous 7%. Economic slowdown is observed, with sectors like agriculture and construction holding up, while mining and utilities have declined.
Consumer finance is weakening due to regulatory measures in the personal loans market.
India’s long-term economic prospects remain strong due to a thriving startup ecosystem and government policies.
Source: LiveMint, Economic Times, Outlook Business