Bullet trains to Ganga clean-up: Here’s what’s in Japan’s goody bag for Modi

September 2, 2014

Tokyo, Sep 2: Living up to the hopes and expectations of several watchers, the Japanese government on Monday announced a public-private investment of 3.5 trillion yen (Rs 2.03 lakh crore) in India. The two countries have set a target of doubling Japan's foreign direct investment and the number of Japanese companies in India within five years.

Modi and AbeJapanese funding will also be made available for Public Private Partnership (PPP) projects in Indian government's initiatives in the fields of manufacturing, clean energy, skill development, water security, food processing and agro industry, agricultural cold chain and rural development.

In a joint press conference, Indian Prime Minister Narendra Modi and his Japanese counterpart Shinzo Abe commented on a number of issues including strategic maritime cooperation, security cooperation and taking forward nuclear talks.

"The two prime ministers ... affirmed their shared commitment to maritime security, freedom of navigation and overflight, civil aviation safety, unimpeded lawful commerce, and the peaceful settlement of disputes in accordance with international law," the joint statement said.

They also agreed to accelerate talks on the possible sale of an amphibious aircraft to India's navy - likely to become Japan's first overseas military sale in nearly 50 years and a result of Abe's more muscular approach to defence in the face of an assertive China.

Abe and Modi agreed to look into upgrading a 'two-plus-two' format for security talks by bringing together their foreign and defence ministers, and directed officials to launch working level talks on defence equipment and technology cooperation.

They also agreed to hold regular maritime exercises, and that Japan would continue to participate in US-India drills.

The two leaders also welcomed a substantial agreement on a commercial deal on the manufacture and supply of rare earth chlorides, a key element of defence industry components and hi-tech wares, by India to Japan.

Here's a quick wrap-up on everything that happened since Modi began his five day official visit to Japan:

On Indo-Japanese relations:

The Indian Prime Minister said that better relations between the two countries would be better for the world and reiterated that the world was sure that the 20th century would belong to Asia.

"The 21st century belongs to Asia ... but how the 21st century will be depends on how strong and progressive India-Japan ties are," Modi said.

On Japanese investments in India:

Prime Minister Narendra Modi announced a special team in his office to fast-track investments from Japan.

"Two nominees selected by Japan will also be part of this decision-making team, which will evaluate the business proposals," he said.

The 3.5 trillion yen( $34 billion of investment from Japan to India including Official Development Assositance(ODA) during a 5-year period will be under the aegis of India-Japan Investment Promotion Partnership for development of projects including infrastructure and building of smart cities.

Thirdly, Japan will invest substantially in the Metro project in Ahmedabad

On a civil nuclear deal:

Modi said there had been progress on a civil nuclear deal and there had been discussions on the matter. "We have asked officials at our end to take it forward so that there can be strategic co-operation on the issue," Modi said.

The Prime Minister said he hoped that some sanctions on Indian companies would be lifted and said that the agreement on defence equipment showed that relations between the two countries had improved.

"Over nuclear co-operation there has been progress over the last several months. I was able to have discussions with PM Modi on the issue and we were able to deepen our understanding on both sides," Abe said.

Lifting of ban on HAL

Japan government also lifted ban on HAL and five other Indian entities, which had been imposed in the aftermath of the 1998 nuclear tests.The removal of the ban will enable these companies to have cooperation with Japanese firms, including transfer of technology.

On bullet trains:

Japan has also expressed readiness to provide financial, technical and operational support to introduce bullet trains in India.

On security and defence cooperation:

"We agreed to comprehensive agreements on defence and security co-operation," Abe said on Monday. Japan said it would remove six of India's space and defence-related entities from Japan's foreign fund user list.

On maritime cooperation:

The two countries agreed to hold regular maritime drills, and that Japan would continue to participate in U.S.-India drills.

On smart cities:

A pact was signed, at the start of Modi's visit, under which his constituency Varanasi will be developed as a 'smart city', with cooperation and experience of Kyoto, the Japanese 'smart city' which is a confluence of heritage and modernity.

There will also be public-private initiatives to set up Electronics Industrial Parks in India and Japan.

On cleaning Ganga:

Modi reportedly discussed his Ganga cleaning plans with Abe. The Japanese PM has asked him to suggest ways in which Japan can help the country in the issue.

On education:

India will promote Japanese language education. The two countries have discussed a big push for collaboration in information technology.

On Energy

On energy cooperation, the two countries decided to collaborate in the procurement of liquefied natural gas (LNG) and upstream development of oil and gas as well as clean coal technology.

Comments

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.
News Network
March 10,2020

Mar 10: Indian energy tycoon Mukesh Ambani is no longer Asia’s richest man, relinquishing the title to Jack Ma after oil prices collapsed along with global stocks.

The rout, exacerbated by mounting fears that the spread of the novel coronavirus will thrust the world into a recession, erased $5.8 billion from Ambani’s net worth on Monday and pushed him to No. 2 on the list of Asia’s richest people, according to the Bloomberg Billionaires Index. Ma, the Alibaba Group Holding Ltd. founder who relinquished the No. 1 ranking in mid-2018, is back on top with a $44.5 billion fortune, about $2.6 billion more than Ambani.

Oil plunged the most in 29 years on Monday as Saudi Arabia and Russia vowed to pump more in a struggle for market share. The slump comes just as the coronavirus is spurring the first decline in demand in more than a decade. That raises questions about whether Ambani’s flagship Reliance Industries Ltd. will be able to cut net debt to zero by early 2021, as he has pledged. The plan hinges on a proposal to sell a stake in the group’s oil and petrochemicals division to Saudi Arabian Oil Co., the world’s biggest crude producer.

While the coronavirus has curtailed some of tech giant Alibaba’s businesses, the damage has been mitigated by increased demand for its cloud computing services and mobile apps.

Reliance Industries, by comparison, has no such silver lining. The Indian conglomerate’s shares plunged 12% on Monday, the most since 2009, extending this year’s decline to 26%. Alibaba’s American depositary receipts have slipped 6.8% so far in 2020.

Ma reclaims crown after Reliance shares were pummeled in 2020.

Few of the world’s billionaires fared well in Monday’s collapse as the S&P 500 Index and Dow Jones Industrial Average each plunged more than 7.5%, the most since the 2008 financial crisis, threatening to end the longest bull market in history. But no one did worse than those whose fortunes are underpinned by oil. Wildcatter Harold Hamm’s fortune was cut almost in half to $2.4 billion and fellow oil magnate Jeff Hildebrand lost $3 billion, bumping both from Bloomberg’s 500-member wealth ranking.

In a pivot toward new businesses such as telecommunications, technology and retail, Ambani’s Reliance Industries has piled on billions of dollars of debt over the years.

It spent almost $50 billion -- most of it funded by borrowings -- to build Reliance Jio Infocomm Ltd., which became India’s No. 1 wireless carrier within about three years of its debut. As the mobile venture took off, Ambani also unveiled plans for an e-commerce empire to rival Amazon.com Inc. in India.

Addressing concerns over the liabilities, Ambani pledged in August to cut the group’s net debt to zero from about $21 billion as of last March. The Aramco deal is crucial to that plan for which Reliance Industries has valued its oil-to-chemicals division at $75 billion including debt, implying a $15 billion valuation for the 20% stake that’s for sale.

Signs of a potential delay to that deal unnerved some investors, hammering the stock since it touched a record high on Dec. 19.

Reliance Industries expected the Aramco transaction to be completed by March, but people familiar with the matter said in February that talks were still ongoing to bridge differences between the two parties over the deal’s structure.

Adding to the uncertainty, Indian Prime Minister Narendra Modi’s administration has petitioned a court to halt the proposed stake sale, threatening a key source of funds needed to pare net debt.

But Ambani, 62, may soon bounce back from the setback, said Harish H.V., managing partner at ECube Investment Advisors in Bengaluru, India.

“The game isn’t over,” he said. “Ambani has successfully built a robust business model which would keep him in the game. Moreover, his telecom business will start yielding results in coming years.”

Comments

SmR
 - 
Tuesday, 10 Mar 2020

The curses of the bank depositors savings which vanished with collapsing economy and fraudlent seems to have gradully affecting riches of Ambani's.

 

AU
 - 
Tuesday, 10 Mar 2020

in Holy Quran Allah says; but they plan and Allah plans, and Allah is the best planners..(Surah Al Anfal 8:30)

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.
News Network
February 28,2020

Feb 28: National oil marketer Indian Oil Corporation (IOC) on Friday said it is ready to supply low emission BS-VI fuels from April 1 and that there will be a marginal increase in retail prices.

The largest oil supplier has spent over Rs 17,000 crore to upgrade its refineries to produce the low-sulfur diesel and petrol, the company's chairman Sanjiv Singh told reporters here.

Without disclosing the quantum of price increase, Singh said, “there will definitely be a marginal increase in retail prices of the fuels from April 1 when the whole country will be run on new fuels, which will have a sulphur content of only 10 parts per million (ppm) as against the present 50 ppm.

“But let me assure you, we will not be burdening the consumers with a steep hike,” Singh said.

He said, state-run oil marketing companies (OMCs) have invested Rs 35,000 crore to upgrade their refineries, of which Rs 17,000 crore have been spent by IOC alone.

Earlier this week, the sell-off bound BPCL said it had invested around Rs 7,000 crore for the same. ONGC-run HPCL has not so far disclosed its readiness for BS-VI supplies or its capex on the same.

HPCL had said from February 26-27 it was ready with BS-VI fuels and that it would sell only the new fuels from March 1.

IOC switched to BS-VI fuel production a fortnight ago and all its depots and containers are ready now, Singh said.

However, he said some remote locations, where the intake is very low, will take some more time to switch. But the company is planning to drain out the entire BS-IV stock and replenish the new fuels at such locations, he added.

Further, it has been reported that the companies will have to increase prices by 70-120 paise a litre, but Singh said, to arrive such a weighted average is not possible given the complexities of each refinery.

He, however, asserted that the price hike will not be a burden on consumers.

We are not looking at this investment from a pure return on investment basis, but this is a national mandate and we have done it.

Having said that, all those countries that moved to low emission fuels are charging higher prices; and from April 1, our prices will also be benchmarked against Euro VI prices as against the present practice of the cost-plus model, Singh concluded.

Comments

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.
News Network
July 1,2020

Jul 1: Gold prices in India hit an all-time high on Wednesday, tracking a global rally, as surging coronavirus cases in many countries raised the metal's safe-haven appeal.

Local gold futures hit an all-time high of Rs 48,871 ($646.66) per 10 grams in early trade, taking their gains to 25% in 2020 so far. The contract had gained nearly 25% in 2019.

However, this dampened the retail demand for gold in India, the world's second-largest consumer of the precious metal.

"Retail demand is negligible. Buyers are postponing purchases anticipating a correction in prices," said a Mumbai-based bank dealer with a bullion importing bank.

In thin trade, dealers were offering a discount of up to $22 an ounce over official domestic prices on Wednesday afternoon, up from the last week's $18. The domestic price includes a 12.5% import tax and 3% sales tax.

The country's gold imports in May plunged 99% from a year earlier as international air travel was banned and jewellery shops were closed amid a nationwide lockdown to curb the spread of coronavirus.

In overseas market, spot gold firmed near an eight-year peak on Wednesday, as a spike in coronavirus cases in the United and States and many other countries has cast a shadow on hopes for a quicker global economic recovery, driving inflows into safe-haven assets.

According to a latest Reuters tally, the coronavirus has infected more than 10.48 million people worldwide so far.

Comments

Add new comment

  • Coastaldigest.com reserves the right to delete or block any comments.
  • Coastaldigset.com is not responsible for its readers’ comments.
  • Comments that are abusive, incendiary or irrelevant are strictly prohibited.
  • Please use a genuine email ID and provide your name to avoid reject.