Automakers focus on exports to increase sales, reduce inventory

Agencies
December 12, 2019

New Delhi, Dec 12: Even as Indian automobile industry's domestic sales performance continues to decline, increased shipments of BS-IV vehicles at attractive prices along with low base effect lifted auto exports to over 17% in November, the third straight month of rise in overseas shipments on a year-on-year (YoY) basis.

Industry insiders and market watchers predict the trend to continue in the coming months to reduce the BS-IV inventory levels.

As per the data furnished by the Society of Indian Automobile Manufacturers (SIAM), the sector's exports across categories was higher by 17.60% at 411,470 units from 349,893 units shipped abroad in November of 2018.

In October, overall exports had grown by 2.72%.

On the other hand, SIAM data showed the sector's total sales declined by 12.05% to 17,92,415 units in November from 20,38,007 units sold during the corresponding month of the previous year.

At present, the domestic market suffers from an economic slowdown which is a culmination of several factors such as high GST tax rates, stagnant wages and a distressed farm sector.

"Exports have improved in both two-wheeler and passenger vehicle segment reporting positive traction in markets outside India. The two segments have shown growth of almost 20% each," said Sridhar V., Partner, Grant Thornton India LLP.

"This healthy traction in exports is a consequence of some of the OEM focus on turning India into a supply hub for markets other than India and have seen acceptability specifically in Middle East, Africa and SAARC regions. It could also be that many are still in BS-IV equivalent and a push in that market is seeing positive results."

According to Suman Chowdhury, President-ratings at Acuite Ratings and Research: "Many of the OEMs have set up manufacturing plants in India to cater to the demand in South Asian and African nations."

"With the significant slowdown in the domestic demand, the focus on exports has increased further. Hyundai, Nissan and Kia Motors have seen a jump in their PV exports in November though the volumes are still insignificant as compared to the domestic volumes."

Furthermore, the data disclosed that passenger vehicles' overseas sales during the month under review rose by 20.37% to 58,562 units this November, on a year-on-year basis.

In terms of passenger cars, exports edged higher by 13.60% to 39,390 units, while utility vehicle' overseas sales grew by 38.16% to 18,909 units.

Conversely, exports of the key indicator of economic activity -- commercial vehicles -- went down by 29.03% to 5,694 units.

The overseas sales of three-wheelers in November rose by 2.04% to 47,827 units.

In the case of two-wheelers, which include scooters, motorcycles and mopeds, exports stood higher by 21.57% to 299,147 units.

The period from April to November 2019 saw the overall automobile exports grow by 3.28%. During the period passenger vehicles and two wheelers exports grew by 5.36% and 6.50%, respectively.

"The growth in two-wheeler exports can be attributed to demand recovery in some key export destinations in African continent as well as Latin America following some stabilisation of macro-economic challenges," said Shamsher Dewan, Vice President, Corporate Sector Ratings, ICRA.

"Apart from two-wheelers, passenger vehicle exports have also grown by 5.3% during FY2020, supported by OEM specific initiative to leverage on manufacturing capacities available in India."

Besides, Dewan said that India's automobile exports are primarily concentrated on nearby markets and developing countries in Africa, Latin America and southeast Asia.

"Accordingly, it is not a reflection of demand recovery in major automobile markets of China, Western Europe etc," Dewan said.

Nonetheless, Fitch Ratings Associate Director Snehdeep Bohra told IANS: "The trend in November coincides with the fact that OEMs are trying to reduce the BS-IV inventory levels to a manageable limit. In this context they seem to have focused on exports."

"However, with some automakers expecting a stable domestic market from next year onwards this may not represent a sustained shift towards exports."

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Agencies
July 2,2020

Leiden, Jul 2: Astronomers have discovered a luminous galaxy caught in the act of reionizing its surrounding gas only 800 million years after the Big Bang.

The research, led by Romain Meyer, PhD student at UCL in London, UK, has been presented at the virtual annual meeting of the European Astronomical Society (EAS).

Studying the first galaxies that formed 13 billion years ago is essential to understanding our cosmic origins. One of the current hot topics in extragalactic astronomy is 'cosmic reionization,' the process in which the intergalactic gas was ionized (atoms stripped of their electrons).

Cosmic reionization is similar to an unsolved murder: We have clear evidence for it, but who did it, how and when? We now have strong evidence that hydrogen reionization was completed about 13 billion years ago, in the first billion years of the universe, with bubbles of ionized gas slowly growing and overlapping.

The objects capable of creating such ionized hydrogen bubbles have however remained mysterious until now: the discovery of a luminous galaxy in which 60-100 percent of ionizing photons escape, is likely responsible for ionizing its local bubble. This suggests the case is closer to being solved.

The two main suspects for cosmic reionization are usually 1) a population of numerous faint galaxies leaking ~10 percent of their energetic photons, and 2) an 'oligarchy' of luminous galaxies with a much larger percentage (>50 percent) of photons escaping each galaxy.

In either case, these first galaxies were very different from those today: galaxies in the local universe are very inefficient leakers, with only <2-3 percent of ionizing photons escaping their host. To understand which galaxies governed cosmic reionization, astronomers must measure the so-called escape fractions of galaxies in the reionization era.

The detection of light from excited hydrogen atoms (the so-called Lyman-alpha line) can be used to infer the fraction of escaping photons. On the one hand, such detections are rare because reionization-era galaxies are surrounded by neutral gas which absorbs that signature hydrogen emission.

On the other hand, if this hydrogen signal is detected it represents a 'smoking gun' for a large ionized bubble, meaning we have caught a galaxy reionizing its surroundings. The size of the bubble and the galaxy's luminosity determines whether it is solely responsible for creating this ionized bubble or if unseen accomplices are necessary.

The discovery of a luminous galaxy 800 million years after the Big Bang supports the scenario where an 'oligarchy' of bright leakers emits most of the ionizing photons.

"It is the first time we can point to an object responsible for creating an ionized bubble, without the need for a contribution from unseen galaxies.

Additional observations with the upcoming James Webb Space Telescope will enable us to study further what is likely one of the best suspects for the unsolved case of cosmic reionization," said Meyer.

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Agencies
July 13,2020

New Delhi, Jul 13: The Telecom Regulatory Authority of India (TRAI) has blocked Bharti Airtel's Platinum and Vodafone Idea's RedX premium plans that offer faster data speeds and priority services to customers as both the plans were violating net neutrality norms.

The telecom watchdog has asked Bharti Airtel to explain within seven days how such a similar plan being launched does not violate the rules of net neutrality.

Vodafone Idea's RedX plan has been in the market since November 2019. They made some modifications in May 2020 and the Bharti Airtel was soon going to launch a similar plan.

According to TRAI, the higher speed for premium customers discriminate against others and violates net neutrality.

Responding to TRAI's move, Airtel spokesperson said: "We are passionate about delivering the best network and service experience to all our customers. This is why we have a relentless obsession to eliminate faults and have been consistently recognised by international agencies as the best network in terms of speed, latency and video experience."

"At the same time, we want to keep raising the bar for our post-paid customers in terms of service and responsiveness. This is an ongoing effort at our end," the spokesperson said.

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Agencies
May 17,2020

As millions of people get hooked to online dating platforms, their proliferation has led to online romance scams becoming a modern form of fraud that have spread in several societies along with the development of social media like Facebook Dating, warn researchers.

For example, extra-marital dating app Gleeden has crossed 10 lakh users in India in COVID-19 times while dating apps like Tinder and Bumble have gained immense popularity.

According to researchers from University of Siena and Scotte University Hospital led by Dr Andrea Pozza, via a fictitious Internet profile, the scammer develops a romantic relationship with the victim for 6-8 months, building a deep emotional bond to extort economic resources in a manipulative dynamic.

"There are two notable features: on the one hand, the double trauma of losing money and a relationship, on the other, the victim's shame upon discovery of the scam, an aspect that might lead to underestimation of the number of cases," the authors wrote in a paper published in the journal Clinical Practice & Epidemiology in Mental Health.

Around 1,400 dating sites/chats have been created over the last decade in North America alone. In the UK, 23 per cent of Internet users have met someone online with whom they had a romantic relationship for a certain period and even 6 per cent of married couples met through the web.

"The online dating industry has given rise to new forms of pathologies and crime, said the authors.

The results showed that 63 per cent of social media users and 3 per cent of the general population reported having been a victim at least once.

Women, middle-aged people, and individuals with higher tendencies to anxiety, romantic idealization of affective relations, impulsiveness and susceptibility to relational addiction are at higher risk of being victims of the scam.

Online romance scams are, in other words, relationships constructed through websites for the purpose of deceiving unsuspecting victims in order to extort money from them.

The scammer always acts empathetically and attempts to create the impression in the victim that the two are perfectly synced in their shared view of life.

"The declarations of the scammer become increasingly affectionate and according to some authors, a declaration of love is made within two weeks from initial contact," the study elaborated.

After this hookup phase, the scammer starts talking about the possibility of actually meeting up, which will be postponed several times due to apparently urgent problems or desperate situations such as accidents, deaths, surgeries or sudden hospitalizations for which the unwitting victim will be manipulated into sending money to cover the momentary emergency.

Using the strategy of "testing-the-water", the scammer asks the victim for small gifts, usually to ensure the continuance of the relationship, such as a webcam, which, if successful, leads to increasingly expensive gifts up to large sums of money.

When the money arrives from the victim, the scammer proposes a new encounter.

The request for money can also be made to cover the travel costs involved in the illusory meeting. In this phase, the victim may start having second thoughts or showing doubt about the intentions of the partner and gradually decide to break off the relationship.

"In other cases, the fraudulent relationship continues or even reinforces itself as the victim, under the influence of ambivalent emotions of ardor and fear of abandonment and deception, denies or rationalizes doubts to manage their feelings," said the study.

In some cases, the scammer may ask the victim to send intimate body photos that will be used as a sort of implicit blackmail to further bind the victim to the scammer.

Once the scam is discovered, the emotional reaction of the victim may go through various phases: feelings of shock, anger or shame, the perception of having been emotionally violated (a kind of emotional rape), loss of trust in people, a sensation of disgust towards oneself or the perpetrator of the crime and a feeling of mourning.

"Understanding the psychological characteristics of victims and scammers will allow at-risk personality profiles to be identified and prevention strategies to be developed," the authors suggested.

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