Obama arrives in India, PM Modi receives him

January 25, 2015

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New Delhi, Jan 25: US President Barack Obama today arrived here on a three-day visit during which both sides will seek to break the deadlock in operationalising the civil nuclear pact, firm up a defence cooperation agreement besides broadening ties in areas like trade and investment.

In a departure from protocol, Prime Minister Narendra Modi received Obama, who was accompanied by his wife Michelle and a high-level delegation, at the Palam airport. Modi and Obama hugged each other, reflecting their personal chemistry.

Obama will be the first US President to grace the Republic Day parade as the Chief Guest tomorrow.

He will hold extensive talks with Modi on a number of strategic issues including ways to break the impasse in implementation of the civil nuclear deal and enhancing defence and economic ties.

Both countries are working hard to have "excellent" outcomes from the visit of Obama.

The two countries will also deliberate on ways to boost trade and economic ties as well as the crucial issue of climate change.

Both countries are working hard to have "excellent" outcomes during the visit.

Officials said "progress has been made" on the nuclear issue and India was looking forward to "effectively" work with the US in the "extremely important" field.

The Indian liability law holds the suppliers directly liable in case of a nuclear accident while countries like France and the US have asked India to follow global norms under which the primary liability is with the operator.

Since all the nuclear power plants in the country are run by the government-owned Nuclear Power Corporation of India Ltd, following international norms will mean the government would have to pay the damages in case of an accident.

Earlier this week, American Ambassador Richard Verma had noted that bilateral trade had grown five fold to USD 100 billion in the past decade, and added that, "We believe there is no reason it can't grow another five-fold, to USD 500 billion by 2020."

Climate change issue is also expected to figure prominently in talks between Modi and Obama.

Both Obama and Modi are also likely to discuss issues relating to India's neighbourhood as well as global issues.

Curtailing his India-visit, Obama had decided to skip a trip to Agra to see iconic Taj Mahal to be able to fly directly from New Delhi to Saudi Arabia following the death of King Abdullah.

An unprecedented security arrangement, comprising Delhi Police and para-military forces, has been put in place in the city.

Snipers of Delhi Police and National Security Guards occupied all high-rise buildings on the routes which Obama will be travelling.

Central Delhi has turned into a virtual fortress with security agencies partly or completely shutting down nearly 71 buildings. Even bonafide citizens of this area, including MPs and officers of the Armed Forces, have been either issued special passes or have to establish their identities to enter the zone.

A joint team of the US Secret Services and sleuths of central security agencies were monitoring specially established control rooms which are connected to freshly installed CCTVs for the VVIP.

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Barack Obama arrives in India: 6 top points

Obama arrives

New Delhi, Jan 25: U.S. President Barack Obama arrives in India on Sunday for the second time, to build on what he calls one of the defining relationships of the 21st Century. Following are some key areas likely to be discussed during his visit:

Strategic Importance

India’s size, location, fast-growing economy and potential as a democratic counterbalance to China makes the South Asian nation an increasingly important element of U.S. military and commercial strategy. Prime Minister Narendra Modi’s assertiveness in the region has already aligned India more with Washington, but they do not see eye-to-eye on Pakistan, and India is worried about the exit of U.S. troops from Afghanistan. India wants greater cooperation on terrorism and access to high-technology goods for civilian and military use.

Defence

The United States overtook Russia as the biggest weapons supplier to India, the Indian government said in August. India is the world’s biggest weapons importer. U.S. officials confidently predict deals will be unveiled on the trip, including possibly joint production of Raven drones and systems for Lockheed’s C-130 transport planes. Standing in the way of closer ties are Indian curbs on foreign companies owning majority stakes in defence companies and U.S. curbs on exporting certain technologies.

Civil Nuclear

U.S. and Indian officials are trying to unblock billions of dollars of potential trade in nuclear energy, but it’s not clear if an agreement can be reached in time for Obama’s visit. The two sides signed a landmark civilian nuclear deal in 2008. Holding up the trade is India’s reluctance to pass legislation shielding suppliers from liability in the event of a nuclear accident, a deviation from international norms.

Climate Change

The United States and India are expected to announce efforts to work together to combat climate change ahead of key global talks in Paris later this year. India, the world’s third largest carbon emitter, is reluctant to follow the United States and China in committing to a peak year for emissions on the grounds it needs economic growth to alleviate poverty. Instead, India is likely to trumpet its plans for a rapid expansion of renewable energy, for which it needs U.S. investment and technology, and improving energy efficiency.

Renewable Energy

India wants U.S. companies to help lead investments of $100 billion in renewable energy. Modi promised to help renewable energy companies overcome entry to the Indian market during his trip to Washington last year. A barrier to investment is a requirement that foreign companies make much of the equipment within India, which business leaders say will push up costs.

Economic Ties

Modi and Obama last year targeted a five-fold increase in annual trade to $500 billion. But U.S. business leaders have been frustrated by limits on their access to the Indian market, and battles over intellectual property protection. India and the United States have also filed several cases against each other at the World Trade Organisation over protection of their domestic steel, poultry and solar industries. India is trying to shed an image of arbitrary taxation on foreign companies and may be close to a bilateral tax deal with Washington.

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News Network
May 6,2020

New Delhi, May 6: Taking a cue from states, the Centre announced one of the steepest hikes in duties on petrol and diesel in the recent past, by raising it by Rs 10 and Rs 13 per litre, respectively, in a notification issued late on Tuesday.

Retail prices, however, will see no change as the price hike will be absorbed by oil marketing companies against the fall in crude prices.

Road and infrastructure cess was hiked by Rs 8 for petrol and diesel and the special additional excise duty (SAED) was hiked by Rs 2 per litre and Rs 5 per litre, respectively. While the road cess will only go into the Centre’s coffers, the hike on account of SAED will be passed on to states via devolution at 42 per cent. Hence, the states will get only Rs 0.84 per litre in case of petrol and Rs 2.1 in case of diesel.

The decision comes after several states increased the value added tax (VAT) on petrol and diesel making use of the lower price regime. The Delhi government on Tuesday increased VAT on petrol and diesel to 30 per cent each, from 27 and 16.75, respectively. As a result, the price of petrol in Delhi increased by Rs 1.67 to Rs 71.26 a litre and diesel by Rs 7.10 to Rs 69.29 in Delhi on Tuesday.

Amid falling international crude oil prices, the Centre introduced an enabling provision in March to raise excise duty on petrol and diesel by Rs 8 per litre in the Finance Act. The government had on March 14 raised excise duty on petrol and diesel by? 3 per litre each, which was to help raise an additional ?39,000 crore in revenue annually.

This duty hike included Rs 2 a litre increase in SAED and Rs 1 in road and infrastructure cess. It raised SAED to Rs 10 for petrol and Rs 4 for diesel. The limit has now been increased to Rs 18 a litre in case of petrol and Rs 12 in case of diesel by way of amendment of the Eighth Schedule of the Finance Act.

Economists said the move would impact retail inflation by over half a percentage point at least. “With lower consumption, there was loss of revenue for Centre and states, who earn Rs 6 trillion annually or Rs 50,000 crore monthly from fuel. Amid lockdown in April, the collection must have come down to just Rs 5,000 crore, and this will hold for May.

This means that Centre and states have lost 20 per cent of annual revenue from fuel. Hence, they have hiked duties to recover losses,” said Madan Sabnavis, chief economist, CARE Ratings. He added that the hike will impact inflation by at least 0.6-0.7 percentage points.

According to industry experts, an estimate of the additional government revenue cannot be made as the consumption of petrol and diesel has dropped to 40 per cent of what it was before the lockdown. The duty hike comes following a drop in international crude oil prices in April, owing to lower consumption figures globally. At 11.50 pm on Tuesday, Brent was priced at $30.67 a barrel, while West Texas Intermediate (WTI) crude was seen at $24.36 a barrel. On Monday, the Indian basket of crude oil was priced at $23.38 a barrel, after touching a 15-year low last month.

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News Network
June 3,2020

New Delhi, Jun 3: Seasoned diplomat and former spokesperson of the External Affairs Ministry Raveesh Kumar has been appointed as India's next Ambassador to Finland, the government announced on Wednesday.

Raveesh Kumar, a 1995-batch Indian Foreign Service officer, served as the spokesperson of the MEA from July 2017 to April 2020 during which he deftly articulated India's position on a number of sensitive issues including last year's Balakot strike, reorganisation of Jammu and Kashmir and the controversy surrounding the National Register of Citizens.

"He is expected to take up the assignment shortly," the MEA said.

Before becoming the MEA spokesperson, Kumar was serving as Consul General of India in Frankfurt.

Kumar started his career at the Indian Mission in Jakarta and it was followed by his postings in Thimpu and London.

In his nearly 25-year career, Kumar also looked after the East Asia desk in the headquarters of the MEA in Delhi and served as Deputy Chief of Mission in Jakarta followed by his posting as Consul General in Frankfurt from August 2013 to July 2017.

In Finland, he succeeds Vani Rao.

Finland is an important country for India in Europe, and bilateral trade has been on an upswing in the last few years.

Around 35 Indian companies have invested in Finland in IT, healthcare, hospitality and automotive sectors while over 100 Finnish companies have operations in India in energy, textiles, power plants and electronics sectors.

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June 18,2020

New Delhi, Jun 18: Prime Minister Narendra Modi on Thursday launched the auction process for 41 coal blocks for commercial mining, a move that opens India’s coal sector for private players, and termed it a major step in the direction of India achieving self-reliance.

Launching the auction of mines for commercial mining, that is expected to garner ₹33,000 crore of capital investment in the country over next five to seven years, the Prime Minister said India will win the coronavirus war and turn this crisis into an opportunity, and the pandemic will make India self-reliant.

The launch of the auction process not only marks the beginning of unlocking of the country’s coal sector from the lockdown of decades , but aims at making India the largest exporter of coal, the Prime Minister said.

Presently, despite being the world’s fourth largest producer, he said India is the second largest importer of the dry-fuel.

“Allowing private sector in commercial coal mining is unlocking resources of a nation with the world’s fourth-largest reserves,” he pointed out.

Major scams had taken place in coal action earlier, but the system has been made “transparent” now, the Prime Minister said lambasting past policies of keeping the sector closed.

Mr. Modi said that this auction process will result in major revenues to states and create employment besides developing the far-flung areas.

The commencement of auction process of these blocks, part of the series of announcements made under ‘Atmanirbhar Bharat Abhiyan’, is likely to contribute ₹20,000 crore revenues annually to the state governments.

In line with the Prime Minister’s self-reliance call, the aim behind the auction process is to achieve self-sufficiency in meeting energy needs and boosting industrial development.

The government has taken an important decision to open up coal and mining sector to competition, capital and technology, he said.

Coal and Mines Minister Pralhad Joshi, who was also be present during the launch event, said ₹50,000 crore is being invested in the sector to jack up India’s coal output to 1 billion tonne.

With a view to achieve self-reliance in the coal sector, the Ministry of Coal in association with FICCI launched the process of auction of 41 coal mines under the provisions of Coal Mines (Special Provisions) Act and Mines and Minerals (Development and Regulation) Act.

Upon attainment of peak rated capacity of production of 225 million tonnes (MT), the government said, these mines will contribute about 15% of the country’s projected total coal production in 2025-26.

It will also lead to employment generation for more than 2.8 lakh people — direct employment to approximately 70,000 people and indirect employment to approximately 2,10,000 people, as per the government.

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