Weekly News Updates-India Apr 12 to Apr 18, 2023

India's global computer services exports increased; Electronics exports surpass garments in India; Google withdraws SC appeal of the NCLAT; Vedanta Foxconn jv aims to generate sales by FY27; India voices strong opinions about importing Russian oil; Pou Chen Group from Taiwan to invest $280 million in India

India’s global computer services exports increased by 11% in FY23

According to an analysis, the country’s proportion of global computer services exports increased to almost 11% in the year after software exports reached a historic high of USD 320 billion.

According to Radhika Rao, a senior economist at DBS, the nation still lags in the overall services export share, which is currently at 4%.

She claims that this year’s improving external balance dynamics, which are also assisted by lowering commodity prices, would be further enhanced by the strong performance of the services trade.

In contrast to the country’s overall services export share of only 4% in 2022, the country’s share of computer services exports to the worldwide market is a significant 10–11%.

India’s share in global computer services exports jumps to 11 pc in FY23: Analysis, ET Telecom (indiatimes.com)

Smartphone boom: Electronics exports surpass garments

A jump in the shipment of mobile phones has led to an increase in exports of electronics, which have surpassed readymade textiles, a longstanding pillar of Indian exports.

According to the most recent data from the department of commerce, electronics exports increased by almost 50% to $23.6 billion in 2022–2023 alone. The export of ready-to-wear clothing increased by just a little over 1% to $16.3 billion over the previous fiscal year.

Thanks to the widespread sale of generic medications, electronics ranked as the sixth-largest item in the basket, just slightly below the $25.4 billion in drugs and pharmaceuticals, one of India’s main exports. Estimated mobile phone shipments are more than $11 billion.

Smartphone surge: Exports of electronics pip garments, Retail News, ET Retail (indiatimes.com)

Google withdraws SC appeal of the NCLAT ruling over the Rs 936 billion penalty

On April 17, tech giant Google retracted the Supreme Court’s ruling against the National Company Law Appellate Tribunal (NCLAT) for refusing to postpone the CCI’s Rs 936 crore fine for alleged abuse of its dominant position regarding its Play Store policy.

Google already did so by appealing the CCI’s order In NCLAT.

The CCI penalized the tech giant on October 25, 2022, for forbidding app developers from using third-party billing or payment processing services to provide in-app invoicing for their products in the Google Play Store. Mobile applications can be downloaded via the Google Play Store, a digital marketplace that Google owns and manages.

Google Withdraws SC Appeal Against NCLAT Order, Refuses to Stay on CCI’s Rs 936 Crore Fine – Equitypandit

Vedanta Foxconn jv hopes to generate sales by FY27

According to newly appointed venture CEO David Reed and Akarsh Hebbar, managing director of Vedanta’s semiconductor and global display business, Vedanta-Foxconn Semiconductors, a joint venture between India’s Vedanta group and Taiwanese contract manufacturer Foxconn, hopes to generate revenue from its semiconductor fabrication unit in India in FY27. They stated in an interview that work on the plant is expected to start before the end of the current fiscal year.

The top executives made it clear that the venture’s shareholding structure wouldn’t alter and that a contract with a technological partner had been signed for the semiconductor fab unit. The $20 billion project is pending official permission, and the joint venture hopes to order the plant’s equipment by the end of FY24.

https://www.livemint.com/companies/news/vedantafoxconn-jv-aims-to-generate-revenue-from-india-s-semiconductor-fab-unit-by-fy27-11681843591434.html

India voices strong opinions about importing Russian oil and pledges to look for the best deal

As it navigates foreign concerns, which it views as the biggest economic threat, India will consider purchasing Russian crude oil near or beyond the price cap imposed by the G-7.

The stance underlines the urgent necessity in the 1.4 billion-people nation to reduce inflation and promote growth in the face of an unexpected output cut by OPEC+ and western sanctions aimed at reducing Russia’s oil revenues in the wake of the invasion of Ukraine. India has become one of the major consumers of Russian crude, along with China. It now ranks above Saudi Arabia and Iraq as India’s biggest supplier.

India Oil Imports: India talks tough on Russian oil imports, says will look for best deal – The Economic Times (indiatimes.com)

Pou Chen Group from Taiwan to invest $280 million in India to manufacture footwear

The Pou Chen Group of Taiwan, widely regarded as the biggest producer of athletic and casual footwear for well-known brands, has signed a Memorandum of Understanding (MoU) to invest in Tamil Nadu, India. According to MoU signed by the Tamil Nadu Government and the Pou Chen Group, High Glory Footwear India Private Limited would invest Rs. 2,302cr (about $280mn) over a 12-year period and contribute to the creation of 20,000 jobs here. The proposed investment will probably lead to the construction of a factory in the Tamil Nadu district of Kallakurichi’s SIPCOT industrial park.

Reports state that Pou Chen is a licenced contract manufacturer which produces athletic and casual shoes for global companies like Adidas, Nike, Asics, Clarks, Reebok, Puma, and New Balance. The proposed factory in Tamil Nadu will be the company’s first in India, and it already has production lines in other countries in Asia and Latin America.

Taiwan’s Pou Chen Group to invest $280mn in India for footwear manufacturing – India News News (wionews.com)