Restrictions on gold imports to be reviewed by March end: FM

January 27, 2014

Gold_importsNew Delhi, Jan 27: The restrictions on gold imports will be reviewed by March end, Finance Minister P Chidambaram said today.

"I am confident that by the end of this year we will be able to revisit some of the restrictions on gold import but we will do so only when we are absolutely sure that we have a firm grip on the current account deficit," he said while addressing tax officials at the Customs Day here.

To contain the rising gold imports, the government had increased customs duty on the yellow metal three times in 2013. The levy currently stands at 10 per cent.

Besides, the Reserve Bank has also linked imports of the metal to exports amid a widening CAD and depreciation of the rupee.

Gold imports, which touched a high of 162 tonnes in May, fell to 19.3 tonnes in November in the wake of a series of curbs by both the government and the RBI.

The imports in December was a "little higher" than in November, Finance Secretary Sumit Bose told reporters.

Chidambaram said there has been about 1-3 tonnes of gold smuggled into the country every month following the restrictions imposed on shipment last year.

"I know gold smuggling has increased...But the restrictions on gold import were absolutely necessary because it is these restrictions which have brought down gold import which in April and May had crossed 300 tonnes.

"If we had not imposed restrictions, there was no way we could have managed balance of payments or the current account deficit," he said.

With the clamour for a duty cut on gold imports growing, Congress President Sonia Gandhi had last week written to Commerce Ministry in this regard.

Gold imports constitute the second biggest component in the import bill after crude oil. Spurt in gold import had pushed CAD to a record high of USD 88.2 billion or 4.8 per cent of GDP last fiscal.

Chidambaram said the long-term method to control the CAD is not to indulge in policy repression by restraining the import of gold.

"The long-term goal is to increase exports. We have to earn as many dollars as we need through exports to pay for imports. We need to find ways to increase exports," he said.

For the April-December period, exports aggregated USD 230.3 billion and imports USD 340.3 billion, with the trade deficit at USD 110 billion.

In value terms, gold and silver imports in April-December period declined 30.3 per cent to USD 27.3 billion from USD 39.2 billion during the same period a year earlier.

To restrict gold imports, the RBI in August last year had said entities should ensure that at least one-fifth, or 20 per cent, of every lot of import of gold is exclusively made available for the purpose of exports and the balance for domestic use.

Chidambaram said these restrictions were necessary to contain CAD.

"While we have lost some in perhaps tightening the gold smuggling, we have gained tremendously in terms of controlling the current account deficit and being able to manage the balance of payments and bringing about large stability in the currency," he said.

The government expects to bring down the CAD, which is the difference between the inflow and outflow of foreign exchange, to USD 50 billion in current fiscal from USD 88.2 billion in 2012-13.

The CAD in the first half (April-September) of current fiscal narrowed to USD 26.9 billion (3.1 per cent), from USD 37.9 billion (4.5 per cent) in the first half of 2012-13.

Declining gold imports has also contributed to the improvement in CAD, which dropped to 1.2 per cent in second quarter, as against 4.9 per cent in the first quarter.

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News Network
May 10,2020

New Delhi, May 10: The Delhi government has asked district magistrates to release 2,446 Tablighi Jamaat members from quarantine centres and ensure that they do not stay in any other place except their homes.

The district magistrates will explore the possibility of sending those Tablighi members, who belong to other states, in buses to their designated places in accordance with social distancing norms and other protocols, DDMA Special CEO K S Meena said in a letter to deputy commissioners (administration).

As man as 567 foreign attendees of the congregation held in Delhi's Nizamuddin area in March, will be handed over to the police, Meena said.

"They (foreign Jamaat attendees) will be handed over to police in connection with several violations like visa violation," a government official said on Saturday.

Delhi Home Minister Satyendar Jain had recently ordered the release of Tablighi members who have completed their required quarantine period in centres and tested negative for COVID-19.

"Out of such people belonging to Delhi, who could be released as per prescribed guidelines should be issued passes to travel from the quarantine centres.

"Under no circumstances, the aforesaid persons should be allowed to stay in any other places including mosques," Meena said in the letter.

In respect of those Tablighi members belonging to other states, it should be ensured by the nodal officer and the area ACP that such people reach their place of residence, he also said.

"The DC should also inform the respective resident commissioner of their states in respect of each and every movement of such persons from Delhi," the Delhi Disaster Management Authority (DDMA) Special CEO said.

Thousands of Tablighi Jamaat members had been taken out of its Markaz (centre) in Nizamuddin, where they had gathered for a religious congregation, and quarantined as the area became a major hotspot after a number of members tested positive for coronavirus.

On March 31, the Delhi Police's Crime Branch had lodged an FIR against seven people, including Maulana Saad Kandhalvi, on a complaint by Station House Officer, Nizamuddin, for holding the congregation.

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News Network
April 2,2020

Mumbai, Apr 2: NCP chief Sharad Pawar on Thursday

urged Muslims to observe Shab-e-Barat staying inside their homes, and also suggested that the birth anniversary celebrations of Dalit icon Dr B R Ambedkar be postponed in view of the coronavirus outbreak.

Pawar said Ram Navami, being observed on Thursday, is celebrated with fervour every year across the country.

"Unfortunately, there is this threat of coronavirus this year and we have to observe some restrictions...but I am sure people must be remembering Lord Ram staying inside their homes," he said in his address via Facebook.

Shab-e-Barat, also known as the night of forgiveness,will be observed on April 8.

Members of the Muslim community visit graveyards to remember their relatives who are no more, Pawar said, and called for taking precautions to avoid gathering of people given the coronavirus crisis.

Pawar said congregation such as the one held last month in Delhi's Nizamuddin area by Tablighi Jamaat could have been avoided, and urged people to ensure there is no repeat of such meetings on Shab-e-Barat.

"The meeting should have been avoided, but it was notand others may have to pay for it," Pawar said referring to the religious meeting in the national capital.

He said the "possibility of some people who attended the meeting carrying the disease cannot be ruled out" and pressed for maintaining discipline given the situation caused by the COVID-19 outbreak.

"Shab-e-Barat is on April 8. Muslims remember their relatives, who are not more, by visiting kabrastan (graveyard). It should be observed inside home. Precaution should be taken to see there is no repeat of the Nizamuddin meeting-like episode," he said.

The birth anniversary of Ambedkar, the architect of the Indian Constitution, is observed on April 14.

Pawar said people should also think about postponing Ambedkar's birth anniversary celebrations.

"We normally celebrate it (the anniversary) for two or so months. We should think whether we should really observe the programme at this juncture (given the coronavirus threat).

If we come together, we may have to face health issues," the former Union minister said.

He said in general, 90 per cent people have been observing the lockdown, but 10 per cent are not doing so.

The Centre and the Maharashtra government may have to extend the lockdown period if discipline is not observed till April 14 (till when the lockdown is in force), he said, urging people to toe the line in the interest of each other.

Pawar also praised Chief Minister Uddhav Thackeray, the state administration and police for working round-the- clock, and asked people to cooperate with them by staying at home.

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Agencies
May 9,2020

New Delhi, May 9: The Supreme Court on Friday agreed to consider a plea raising the issue of mass termination and the illegal salary cut of employees in IT/ITES/BPO/KPI by their employers during the lockdown due to the spread of the coronavirus.

A bench comprising Justices Ashok Bhushan, S.K. Kaul and B.R. Gavai, taking up the matter through video conferencing, agreed to examine the issue and listed it for May 15.

The petition, argued by senior advocate Devadatt Kamat, was filed by National Information Technology Employees Sena (NITES) through advocate-on-record Amit Pai, and sought implementation of directions issued by the Centre on March 29 and similar advisories issued by several other states mandating payment of wages/salaries to the employees and also directed not to terminate them during the period of lockdown.

A directive was issued by the Union Ministry of Labour and Empowerment to all Chief Secretaries of state governments to issue advisories to public and private companies to not lay off employees or implement pay cuts during lockdown.

In the Centre for Monitoring Indian Economy (CMIE) report published on April 19, it was noted that "several companies across the country have started to terminate its employees without any reasonable cause and have started withholding their salaries. It is submitted that in such testing times, the rights of the employees ought to be protected by necessary orders/directions to the companies through the Respondents to effectively implement the lockdown and to contain the spread of the virus", said the plea.

On March 29, the Centre issued an order directing all states and Union Territories to issue orders, requiring all the employers in the industrial sector and shops and commercial establishments to pay wages on the due date without any deduction during their closure due to the lockdown.

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