Government appoints five experts to Air India’s board

Source: ZeeNews

New Delhi: The Central Government has appointed five experts from different fields as part-time Directors on the Air India Board, including IIM-Ahmedabad professor Ravindra H Dholakia, to suggest cost-cutting measures for the national carrier.

Civil Aviation Minister Ajit Singh appointed them to utilise their specialised skills to help Air India achieve the targets set by the government through its Turnaround and Financial Restructuring Plans.

Besides Dholakia, other non-official part-time Directors are Gurucharan Das, Dr. Prem Vrat, Air Marshal (Retd.) K.K. Nohwar, PVSM VM, and Renuka Ramnath.

These persons not only have expertise in their specific fields, but also have served in various reputed organisations at highest levels.

Gurucharan Das is a Graduate with Hon. from Harvard University in Philosophy and has worked as CEO of Procter & Gamble India, besides holding high posts in other organisation. Dr. Prem Vrat is M.Tech. and Ph.D. and is presently working as Vice Chancellor and Professor of eminence, ITM University Gurgaon.

Air Marshal (Retired), K.K. Nohwar, PVSM VM, is a military aviator with more than 40 years of experience in the field of aviation. Dr. Dholakia is Ph.D. in Economics and M.A. with distinction, Gold Medallist in Economics and Eco-Metrics.

He is Professor in Economics and Public System of IIM, Ahmedabad. Renuka Ramnath holds a Bachelor Degree of Engineering and MBA with AMP from Harvard Business School.

She is a founder, Managing Director and CEO of Multiples Alternate Asset Management which manages 400 million dollars of Indian and international capital.

Mr. Sudhir Vyas, Secretary (West) visited Toronto

Source: Indian Economic Business News

Secretary (West) Shri Sudhir Vyas accompanied by Ms. K. Nadini, Dir(AMS) and Dr. Piyush Singh, Under Secretary (AMS), visited Canada during 29-30 April, 2013 for Foreign Office Consultations. The delegation visited Toronto on April 30. A luncheon roundtable was organised by C D Howe Institute and a dinner reception by Canada-India Business Council (C-IBC) and IIT Alumni Association of Canada (IITAC). Secretary addressed the participants at the Institute, comprising mainly of academics, think tanks and universities, on the topic ‘Canada-India Relations: The Untapped Potential’. The reception audience consisted of business representatives and professionals active in India-Canada economic corridor. Speaking at these two events Secretary pinpointed three pillars for Canada and India to build on viz Energy, Food Security and Trade & Economic Co-operation. Secretary had separate meetings with University of Toronto and NASSCOM Canada chapter members.

Alberta oil patch risks losing Indian investment over Ottawa’s mixed messages

Source: Economic Times via Indian Economic Business News

Canada’s mixed messages on foreign investment from state-owned enterprises threaten to spook India’s major energy giants, the country’s top diplomat in Ottawa said recently. Ottawa is contemplating tweaks to the Investment Canada Act that would broaden the definition of state ownership and potentially subject minority purchases of natural gas and oil sands assets to the opaque net-benefit test, according to an analysis by lawyers at Osler Hoskin & Harcourt LLP. The federal government introduced new rules last year after the $15.1-billion purchase by China’s CNOOC Ltd. of Nexen Inc. and the $6-billion acquisition of Progress Energy Resources Corp. by Malaysia’s Petronas. The changes barred state-run companies from majority ownership of oil sands assets or companies. “This would be a departure from what was clarified in Ottawa in December … and will certainly add considerable uncertainty for potential investments,” Nirmal V erma, India’ s High Commissioner to Canada, told an investment conference in Calgary hosted by the Canada-India Business Council.

3 Petroleum Minister announces launch of Direct Benefit Transfer for LPG scheme in 20 districts

Source: Press Information Bureau via Indian Economic Business News

The Government of India is launching Direct Benefit Transfer for LPG (DBTL) scheme in 20 high Aadhaar coverage districts from 1.6.13. The scheme aims to curb leakages and prevent black-marketing and provide subsidy to consumers in their bank accounts. For the benefit of LPG consumers, OMCs have provided the facility on their web-sites to check whether the Aadhaar number has been attached to LPG consumer number/bank account. For the benefit of LPG consumers, who cannot complete formalities by 1.6.13, a grace period of three months is being given to complete the formalities. After this period, all consumers who have not completed the formality will get LPG cylinders at market price, without any subsidy, till they complete the same.

World Bank sees India growing at 6.1% this fiscal

Source: Hindu Business Line via Indian Economic Business News

The World Bank sees India regaining economic momentum and recording 6.1 per cent GDP growth in the current fiscal. Growth is expected to increase further to 6.7 per cent in 2014-15, the World Bank said in its latest India Development Update, a bi-annual report on the Indian economy. The 6.1 per cent growth forecast for 2013-14 is much higher than the five per cent growth estimated for 2012-13. The World Bank’s optimism stems from positive data points in the recent months in the areas of manufacturing, inflation and better export numbers, said Denis Medvedev, Senior Country Economist, World Bank, India. Despite the current downturn, long-term prospects remain bright for India, said Martin Rama, World Bank’s Chief Economist for the South Asia Region.

Government plans a comprehensive system to extend oilfield contracts

Source: Economic Times via Indian Economic Business News

The government is putting in place a comprehensive system to extend oilfield contracts with private and public companies to help field operators such as Cairn India know well in advance if lease for the oilfield they operate will be extended for another term. Oilfields are leased to companies for 15-25 years, but before the lease expires the company needs to know if it will retain the field so that it can decide whether or not it should invest thousands of crores of rupees to produce oil and gas. To facilitate this, the government has constituted an inter-departmental committee to extend petroleum leases in producing blocks such as BG- operated Panna-Mukta and Tapti oilfields, JTI’s Dholka oilfield and Cairn India’s Rajasthan block. The committee will also decide terms and conditions for such extensions, officials said. “The scope of this committee can be extended to include several other exploration- related issues that may include recent proposal of DGH disallowing eight discoveries in the D6 block because of some timeline issues,” one official said. Last year, the government granted 20.5 sq km additional area in the prolific KG basin to Gujarat State Petroleum Corp, as the company’s fields extend beyond its block located near gas discoveries of Reliance Industries and ONGC.

India’s ‘Mr. Incredible’ tries to bring the country up to speed

Source: Economic Times via Indian Economic Business News

India has long been cited as one of the fastest growing economies in the world, but it hasn’t always been the most hospitable place for business travelers. Ranked 132 out of 185 on the World Bank’s Ease of Doing Business Index, the country is often viewed as a hassle by executives. Part of the problem is that India has grown faster than its infrastructure. “Infrastructure that we created for 2020 are already getting filled up by 2012,” says Amitabh Kant, the man who is planning to bring India up to speed by 2017. Kant already revolutionized his country once. The instigator of the “Incredible India” campaign, he polished India’s flagging tourism image and turned it into a must-visit destination for the discerning traveler. Marketing aside, the campaign made sure journeying through the subcontinent was met with relative ease. Roads were repaved, landmarks rebuffed and the sector as a whole was trained to work with foreign guests. Today, the country sees 6.8 million overseas tourists annually. Now he is tackling what may be India’s most ambitious infrastructure project to date. The Delhi-Mumbai Industrial Corridor, a $90 billion state-run enterprise, will involve connecting the 932 mile stretch between Delhi and Mumbai with new ports, airports, highways and rail links. For Kant, though, the real achievement will be the undertaking’s economic knock-on effect.

Harper Government tables social security agreement with India

Source: Canada Newswire via Indian Economic Business News

On April 23rd, the Honourable Diane Finley, Minister of Human Resources and Skills Development, tabled in the House of Commons the Social Security Agreement between Canada and India, which will coordinate pension benefits between both countries. “Our government is committed to ensuring retirement security for Canadians, whether here or abroad,” said Minister Finley. “This agreement will reduce the pension contribution costs for Canadian companies sending employees to India and ensure that those same Canadian employees receive the pension benefits they are entitled to for time spent working abroad.” Once in force, this agreement will also make it easier for people who have lived and worked in both India and Canada to qualify for public pension benefits from either, or both, countries. Periods of coverage under the Employees’ Pension Scheme of India may help towards eligibility for Canadian benefits and vice versa. Canada has signed 57 social security agreements; 53 are currently in force. The Social Security Agreement between Canada and India is expected to enter into force in 2014, once both countries have completed their legislative procedures.

Parliamentary Secretary Obhrai highlights Strong Relationship between Canada and India

Source: Marketwire via Indian Economic Business News

Deepak Obhrai, Parliamentary Secretary to the Minister of Foreign Affairs, recently addressed the delegates of the inaugural Canada-India Oil and Gas Forum. Parliamentary Secretary Obhrai outlined the government’s aggressive work to reach new markets for Canadian natural resources and advance two-way trade and investment with India. “Canada and India benefit greatly from our mutual economic and cultural ties,” said Parliamentary Secretary Obhrai. “The Government of Canada continues to aggressively pursue agreements that would help fulfil the energy needs of one of the fastest-growing regions in the world.” Canada and India have complementary interests. India is the third-largest consumer of energy in the world and seeks diversification of supply to provide greater energy security and to fuel its dynamic growth. India is looking to Canadian energy exports to help power its transformation into an economic giant. “Increasing Canadian exports to the Asia-Pacific region is vital to Canada’s future prosperity,” said Parliamentary Secretary Obhrai. “Canada’s vast energy resources are essential to the quality of life of Canadians from coast to coast, as they make a vital contribution to Canada’s economy. This is why we will continue to encourage investment and responsible development of those resources.”

Indian IT companies set to be hit as Canada tightens visa norms for foreign workers

Source: Globe and Mail via Indian Economic Business News

Canada has joined the US in tightening the visa regime for foreign workers, a move that could be detrimental for Indian IT service companies with operations in that country. Seen by experts as a ‘knee-jerk’ reaction to the recent controversy surrounding iGate and Canadian bank Royal Bank of Canada (RBC), the move is set to increase the time and costs associated with procuring a temporary work permit. The Accelerated Labour Market Opinion (ALMO) programme, a fast-track immigration programme to secure a temporary work permit in two weeks, has also been suspended. Indian companies will now have to revert to the Labour Market Opinion (LMO), a time-consuming process, compared with H1B visa regime in the US. A LMO is an authorisation that a recruiter has to obtain from the Canadian state, if a job has to be offered to an Indian. Moreover, the employer has to prove that it had advertised for the position across Canada, but was unable to find a qualified Canadian to do the job. The latter is what makes it time-consuming. Moreover, a new fee will be imposed on employers when they apply for an LMO. In addition, the Canadian Government also intends to increase work permit fee from the present $150. However, it has not specified the quantum of the rise. In its third change, Canada has also disallowed a rule allowing companies to pay temporary foreign workers 15 per cent less than prevailing wages for high-skilled positions, and five per cent less for low-skilled ones.

India ranks 8 among 27 most powerful nations in world

Source: The Times of India via Indian Economic Business News

India is among the top 10 most powerful countries in the world. In a first-of-its-kind study of “national power” a group of eminent strategic experts and scholars have placed India at the eighth position among a group of 27 most powerful countries in the world. The study, conducted by the New Delhi-based Foundation for National Security Research (FSNR), judged “national power” by various indices, including energy security, population, technological capability etc. An interesting index of national power was judged by “foreign affairs capability”, which includes self-reliance in defence, membership of multilateral groupings, role in global rule-making and soft power. Interestingly, though China comes out as the second most powerful nation in the world after the US, Chinese foreign affairs’ capability is comparable to India’s, even though in terms of total power New Delhi comes way below Beijing. Professor Satish Kumar, introducing the study, said, “The Group of Experts evolved a criterion consisting of the following elements for the selection of countries which could be regarded as actually or potentially the most powerful: (i) Population above 50 million; (ii) GDP above US$ 500 billion; and (iii) defence expenditure above US$ 5 billion.” The effort, he said, was to have an Indian assessment of indices of power. The US is by far the world’s most powerful nation, several notches ahead of its nearest competitor, China.

India says it plans to double renewable energy sources by 2017

Source: Thomson Reuters via Indian Economic Business News

The Indian government recently said it planned to double its renewable energy capacity by 2017. Prime Minister Manmohan Singh said that India would ramp up its use of wind, solar and biomass energies in the coming years. “It is proposed to double the renewable energy capacity in our country from 25,000 MW in 2012 to 55,000 megawatts by the year 2017,” he said at the Fourth Clean Energy Ministerial conference in New Delhi.”We have set ourselves a national target of increasing the efficiency of energy use to bring about a 20 to 25 per cent reduction in the energy intensity of our GDP by 2020.” Mr. Singh said that a low carbon strategy was necessary for sustainable growth. Mr. Singh, however, said these non- conventional sources of energy had reduced in price but were still higher than dirtier, more conventional sources of power, like coal. It will soon be the second-largest contributor to increasing global energy demands, accounting for 18 percent of the growth. Despite intense sunshine throughout the year, India has little solar capacity and much of its solar hardware is manufactured abroad. Mr. Singh said that that needs to change. “India is potentially a large market for production of such (solar) equipment and it is also a potentially competitive, attractive production base for supplying other countries,” he said at the conference.

More reforms coming in 2-4 months: Chidambaram

Source: Indo-Asian News Service via Indian Economic Business News

Finance Minister P. Chidambaram has ruled out the possibility of early elections and said the government will take more reform initiatives in the next two-four months in a bid to boost economic growth and contain deficit and inflationary pressure.“We will continue to take small significant steps. We will also take forward some big ideas. India’s economy will continue to reform,” Mr. Chidambaram said at The Economist’s India Summit organised by the UK-based economic magazine recently. Mr. Chidambaram said the government will push for the passage of major reform regulations, like land and insurance bills, in the ongoing budget session of parliament.The finance minister said the government would need support from the main opposition party to get the bills passed in parliament.“There are many more executive actions that have to be taken, some of these executive actions we will take in the next 2-4months,” Chidambaram said. In the last one year, the government has taken several initiatives to push forward reform process. The steps include cutting subsidies on petroleum products and liberalizing overseas investment norms for retail, aviation and some other sectors. The finance minister said he was hopeful to keep fiscal deficit below 4.8 percent of the gross domestic product (GDP) in the current financial year.

Anand Sharma launches 21 new textiles parks

Source: Press Information Bureau via Indian Economic Business News

Union Minister for Commerce, Industry and Textiles Anand Sharma launched 21 New Textile Parks approved under Scheme for Integrated Textile Parks (SITP). These new parks take the total number to 61 parks as 40 Parks were sanctioned earlier. The Scheme for Integrated Textiles Parks (SITP) has been instrumental in development of wide range of models for green field clusters from a 1000 acre FDI driven integrated cluster, to a 100 acre power loom cluster and a 20 acre handloom cluster. Under the scheme, 61 parks have been sanctioned-40 projects were started in the 11th Five Year Plan and another 21 projects are to be implemented in the 12th Five Year Plan. Out of the 40 parks sanctioned earlier, a total of 25 Parks are already operational. Most of the balance Parks are expected to be completed during this financial year. The estimated employment generation is over 10 lac persons with total estimated investment of Rs. 27, 562 crore. Out of the 21 new parks, six are in Maharashtra, four in Rajasthan, two each in Andhra Pradesh and Tamil Nadu and one each in Uttar Pradesh, West Bengal, Tripura, Karnataka, Gujarat, Himachal Pradesh and Jammu & Kashmir.

Government boosts incentives to give exports a leg-up as growth picks up for 3rd month

Source: Hindustan Times via Indian Economic Business News

The government on April 18th announced a host of measures to boost India’s exports including sops to special economic zones (SEZs). The initiatives announced by Commerce and Industry Minister Anand Sharma as part of the annual supplement to the Foreign Trade Policy (FTP) are aimed at pushing exports which declined by 1.76 per cent to USD 300.6 billion during 2012-13 and pushed up the trade deficit to USD 190.91 billion. These included easier land requirement norms, simpler exit options, cheaper credit and tax breaks for import of machinery. The new rules for SEZs will allow IT firms to claim tax breaks by moving offshore work to such duty-free enclaves. The earlier requirement of minimum 10-hectares for such campuses has been done away with and IT SEZs can now be set up if the these are spread across at least 100,000 square metres in seven major cities including Mumbai, Delhi and NCR, Chennai, Hyderabad, Bangalore, Pune and Kolkata. For category B cities, IT companies can set up SEZs even in a smaller built-up area of 50,000 square metres and for remaining cities in only 25,000 square metres. In view of the acute difficulties in aggregating large tracts of uncultivable land for setting up SEZs, the government also halved the minimum land area requirement to 500 hectares for multi-purpose SEZs and to 50 hectares for sector-specific SEZs. It has also been decided to permit transfer of ownership of SEZ units, including sale of units. Exports in March 2013 stood at $30.8 billion (Rs.1,69,400 crore), compared to $28.8 billion ( Rs. 1,58,400 crore) in the same month of the previous year. Imports dipped by 2.87% to $41.16 billion in March, leaving a trade deficit of $10.31 billion-down from $13.5 billion in March last year.

Economy to grow at 6.4 percent in 2013-14: PM panel

Source: Indo-Asian News Service via Indian Economic Business News

The Indian economy is expected to grow at 6.4 percent in the current fiscal against the estimated 5 percent expansion registered in the previous year, the Prime Minister’s Economic Advisory Panel said. “The economy has bottomed out and we will achieve higher growth of 6.4 percent in the current financial year,” Prime Minister’s Economic Advisory Council chairman C. Rangarajan said recently. He said agriculture sector growth is likely to increase to 3.5 percent 2013-14 as compared to the estimated 1.8 percent growth in the fiscal ended March 31, 2013. The growth of manufacturing sector is likely to increase to 4 percent in the current financial year as compared to 3.1 percent in the previous year. The services sector is estimated to expand by 7.7 percent in 2013-14 as compared to 6.6 percent growth projected for the previous fiscal. Mr. Rangarajan said growth would accelerate further if the government expedites clearance for major projects. “If we take action for speedy implementation of projects we can achieve the higher rate of growth quickly even in the short-term,” he said. According to the panel’s estimate, the country’s main inflation is expected to be at around 6 percent in the current financial year as compared to the estimated 5.96 percent at the end of the financial year 2012-13. Mr. Rangarajan said moderation in inflation would give scope for monetary policy easing by the central bank. The central bank has been maintaining tight monetary policy for the last three years to contain inflation.

Meghalaya government seeks report on Garo Hills rape

Source: Times of India

SHILLONG: The state government has sought a detailed report from the West Garo Hills district administration on an incident of rape of a girl by miscreants from neighbouring Assam in Boldamgre village of the Garo Hills.

Social welfare minister Deborah C Marak convened a meeting with principal secretary (social welfare) PW Ingty and other officials in which they discussed the incident. “We have asked the concerned district administration to submit a report on the unfortunate incident,” Marak told reporters.

The state police have also asked their counterparts in Assam to arrest the absconding accused involved in the case.

“On Sunday morning, over a dozen armed miscreants from the Hat-Singimari region of Assam numbering entered the village and raped an 18-year-old girl in the village, about 12 km from Garobadha town. They also went from house to house attacking people and looting them,” a police spokesperson said.

Reportedly, the girl was attacked by the criminals and she was raped by an unidentified person. The dacoits also took away Rs 7,000 from the house of one Gajang Sangma after assaulting his family members.

Meanwhile, several NGOs, including the North East Network, have condemned the rape.

“It’s shocking that despite evidence of increasing sexual violence against women, the state government has not been able to enforce the anti-rape law strictly. The law puts special onus on the police department to act in cases of atrocities on women,” NEN said.

On the other hand, concern over sexual assaults on minors in Meghalaya is on the rise, with even the state home minister, Roshan Warjri, recently voicing her anguish in the state assembly over atrocities on women perpetuated in random in the state, which, ironically follows a matrilineal system.

Investigation is already underway in the incident of gang rape of a school girl in the Garo Hills a few months ago.

India’s cheap food plans to prove costly for government

Source: Reuters

India may soon pass a new law to give millions more people cheap food, fulfilling an election promise of the ruling Congress party that could cost about $23 billion a year and take a third of annual grain production.

The National Food Security Bill, which aims to feed 70 percent of the population, could widen India’s already swollen budget deficit next year, increasing the risk to its coveted investment-grade status.

The ambitious bill, a priority for Congress President Sonia Gandhi, will raise India’s annual food subsidy spending by 45 percent. It promises wheat and rice at a fraction of the cost to some 810 million people, expanding current handouts to roughly 318 million of India’s poorest.

Critics say the food bill is little more than an attempt to help Congress, reeling from corruption scandals, win re-election in a vote expected by next May.

The government has already budgeted 900 billion rupees ($16.6 billion) for the scheme in the current fiscal year ending March 2014. If the bill is passed, it will need to come up with as much as 1.3 trillion rupees in 2014/15, adding to a total subsidy burden that already eats up about 2.4 percent of gross domestic product.

“It is very difficult to say whether the government will be able to get the Food Security Bill passed or not, but it is definitely going to further widen the budget deficit,” D.H. Pai Panandiker, head of private think-tank RPG Foundation, said.

“The finance minister is already worried about the budget deficit, and it is going to add to his agony.”

Reducing fuel and fertilizer subsidies would be the best way of mitigating the costs, Panandiker said. Other measures will also be needed to fund the plan, which may include spending cuts and higher taxes.

Finance Minister Palaniappan Chidambaram said in March the rollout of the new food subsidies was unlikely to happen before the middle of the current fiscal year, which started April 1, curbing the financial cost. Chidambaram aims to cut the fiscal deficit to under 4.8 percent of GDP in the current year from around 5 percent in 2012/13.

BULGING STOCKS

Feeding its poor is a matter of urgency for India, home to about 25 percent of the world’s hungry poor, according to the World Food Programme, the food aid arm of the United Nations.

India is one of the world’s biggest producers of rice, wheat and sugar, but it is also one of the largest consumers with a 1.2 billion population. It exports little and builds up stockpiles to cover handouts, which are now overflowing after bumper harvests, which have come close to 200 million tons a year of rice and wheat.

The law would have little effect on India’s export volumes in a good crop year, but “in a year of shortage, there could be some impact” on international markets, a Singapore-based trader said.

The bill will give rice at 3 rupees per kg to the poorest people, less than 10 percent of current retail prices, and wheat at 2 rupees per kg.

The government estimates it would need about 61 million tons of grains, only 3 million tons than it currently makes available, to provide the extra food, hoping better distribution systems and a clamp-down on corruption will reduce wastage.

Last year only about 41.4 million tons was actually distributed by state governments in cheap food schemes.

The Congress party, which leads the ruling coalition, wants to pass the bill by May 10 when the parliament session ends.

But debate this week has been disrupted by opposition parties, which say the government is pushing the populist move as a smokescreen to avoid defending itself over corruption scandals.

Last week, police arrested the nephew of Railway Minister Pawan Kumar Bansal in connection with allegations that he accepted a bribe of $160,000 to arrange the promotion of a railway official.

The government may try to pass the bill again in the parliamentary session that starts around July 23 or push it through without a vote when parliament is not sitting, using special constitutional powers. It must then win approval for the bill within six weeks of parliament’s return.

($1 = 54.2250 Indian rupees)

China and India withdraw troops from Daulat Beg Oldie, Ladakh, ending standoff

Source: Global Post

The withdrawal ended a 20-day standoff after Chinese troops breached the militarized border. Experts say Beijing’s latest probe could embolden New Delhi.

NEW DELHI, India — Following a three-week standoff, China and India have withdrawn their respective forces from a disputed area of Daulat Beg Oldie, Ladakh, along their shared border.

The agreement was reached after intense negotiations during a flag meeting between Indian and Chinese commanders on Sunday, according to media reports.

Both sides withdrew to their respective pre-incursion positions near the so-called “Line of Actual Control” (LAC).

Times of India quoted Chinese foreign ministry spokeswoman Hua Chunying as saying:

Following the standoff at the border area, China and India with the larger interests of bilateral relations in mind have taken a cooperative and constructive attitude.

The 20-day-old standoff between the Chinese and Indian armies began after 50 soldiers from China’s People’s Liberation Army (PLA) crossed about 10 miles inside the disputed territory and set up a tented post. They subsequently put up four more tents and also deployed Molosser dogs, DNA India reported.

India responded by setting up its own post less than a quarter mile away.

Sources had told NDTV that India, unhappy with the way negotiations were progressing, was considering cancelling an impending trip to China by its External Affairs Minister Salman Khurshid.

Meanwhile, the Chinese premier, Li Keqiang, is scheduled to visit New Delhi on May 20.

Chinese incursions along the LAC have increased over the past five years.

Indian foreign policy experts say that Beijing is trying to force New Delhi to concentrate on problems within its immediate neighborhood, rather than working to become a regional power.

For China, the forever-fizzling talks to resolve the border dispute are just another tool to keep a potential rival off-balance.

The most recent incident is no different, according to Shrikanth Kondapalli, a professor of Chinese studies at Jawaharlal Nehru University.

“They [the Chinese soldiers] came at their own sweet timing and left almost as abruptly,” said Kondapalli, dismissing claims that the soldiers’ exit was the result of clever Indian diplomacy. “They were driving a lesson [home] to India that India is talking too much without much actual strength.”

As part of its “Look East” policy, New Delhi has over the past few years been taking a more assertive stance in bilateral relations and engaged with countries that China considers to lie entirely within its sphere of influence.

In October 2011, for instance, Indian Prime Minister Manmohan Singh refused to back down from a confrontation over a joint oil exploration with Vietnam in the disputed South China Sea.

Meanwhile, India has been consistently strengthening ties with groups like the Association of Southeast Asian Nations (ASEAN). And the United States has pitched for the Indian navy to play an important role in the Pacific, as well as the Indian Ocean, as part of President Barack Obama’s pivot to Asia.

In that context, China’s latest probe might have unintended consequences — pushing New Delhi to a stronger position, rather than scaring it into a weaker one.

“This will have an impact on the Indian foreign minister’s visit to China next week and the premier’s visit to India slated for the later half of this month,” said Kondapalli. “Anti-China feelings are strengthening in India with this incident.”

GlobalPost senior correspondent for China, Benjamin Carlson, said China’s retreat was “deeply confusing from a strategic point of view.”

Why Chinese troops crossed the de facto border in the first place is a mystery; why they bulked up their presence after the initial Indian protest is a mystery; and why the PLA eventually decided to stand down is a further mystery.

The whole incursion may simply have been a tactic to gain bargaining power in border negotiations with India, Carlson said, adding:

… it’s difficult to see how this will play in China’s favor as India joins China’s other neighbors in viewing the regional giant’s territorial aspirations with greater suspicion.

 

Bangladesh toll reaches 377, building owner arrested

Source: Reuters India

The owner of a factory building that collapsed in Bangladesh killing hundreds of garment workers was arrested on Sunday trying to flee to India, as hopes of finding more survivors from the country’s worst industrial accident began to fade.

Mohammed Sohel Rana was arrested by the elite Rapid Action Battalion in the border town of Benapole, Dhaka District Police Chief Habibur Rahman told Reuters, ending a four-day manhunt that began after Rana Plaza, which housed factories making low-cost garments for Western retailers, caved in on Wednesday.

Bangladesh television showed Rana, a local leader of the ruling Awami League’s youth front, being flown by helicopter to the capital Dhaka, where he will face charges of faulty construction and causing unlawful death.

Authorities put the latest death toll at 377 and expect it to climb higher with hundreds more still unaccounted for.

Four people were pulled out alive on Sunday after almost 100 hours beneath the mound of broken concrete and metal, and rescuers were working frantically to try to save several others still trapped, fire services deputy director Mizanur Rahman said.

“The chances of finding people alive are dimming, so we have to step up our rescue operation to save any valuable life we can,” said Major General Chowdhury Hassan Sohrawardi, coordinator of the operation at the site.

About 2,500 people have been rescued from the wrecked building in the commercial suburb of Savar, about 30 km (20 miles) from the capital, Dhaka.

Officials said the eight-storey complex had been built on spongy ground without the correct permits, and more than 3,000 workers – mainly young women – entered the building on Wednesday morning despite warnings that it was structurally unsafe.

A bank and shops in the same building closed after a jolt was felt and cracks were noticed on some pillars on Tuesday.

Police said one factory owner gave himself up on Sunday following the detention of two plant bosses and two engineers the day before.

Anger over the disaster has sparked days of protests and clashes, with police using tear gas, water cannon and rubber bullets to quell demonstrators who set cars ablaze.

Garment workers blockaded a highway in a nearby industrial zone of Gazipur on Sunday demanding capital punishment for the owners.

The main opposition, joining forces with an alliance of leftist parties which is part of the ruling coalition, called for a national strike on May 2 in protest over the incident.

Built on a filled-in pond

Wednesday’s collapse was the third major industrial incident in five months in Bangladesh, the second-largest exporter of garments in the world behind China. In November, a fire at the Tazreen Fashion factory in a suburb of Dhaka killed 112 people.

Such incidents have raised serious questions about worker safety and low wages, and could taint the reputation of the poor South Asian country, which relies on garments for 80 percent of its exports. The industry employs about 3.6 million people, most of them women, some of whom earn as little as $38 a month.

Emdadul Islam, chief engineer of the state-run Capital Development Authority (CDA), said on Friday that the owner of the building had not received the proper construction consent, obtaining a permit for a five-storey building from the local municipality, which did not have the authority to grant it.

Furthermore, another three storeys had been added illegally, he said. “Savar is not an industrial zone, and for that reason no factory can be housed in Rana Plaza,” Islam told Reuters.

Islam said the building had been erected on the site of a pond filled in with sand and earth, weakening the foundations.

North American and European chains, including British retailer Primark and Canada’s Loblaw, a unit of George Weston Ltd (WN.TO), said they were supplied by factories in the Rana Plaza building.

Since the disaster, the Bangladesh Garment Manufacturers and Exporters Association (BGMEA) has asked factory owners to produce building designs by July in a bid to improve safety.

Commonwealth meet in Sri Lanka ‘accommodates evil’, Canada says

Source: Times of India

LONDON: Canadian foreign minister John Baird has condemned the decision to allow Sri Lanka to host the Commonwealth heads of government meeting in November as “accommodating evil”.

Baird spoke out after his Commonwealth counterparts in London on Friday agreed to press ahead with the meeting despite strong criticism over Colombo’s human rights record.

“We’re appalled that Sri Lanka seems poised to host CHOGM and to be chair-in-residence of the Commonwealth for two years,” the Canadian minister told Guardian newspaper late Friday.

“Canada didn’t get involved in the Commonwealth to accommodate evil; we came to combat it. We are deeply disappointed that Sri Lanka appears poised to take on this leadership role.”

Prime Minister Stephen Harper has said Canada will boycott the November 15-17 meeting unless Sri Lanka investigates suspected war crimes including the alleged indiscriminate killing of civilians by government troops in the climax of the civil war in 2009.

Commonwealth secretary-general Kamalesh Sharma said Sri Lanka had not been on the formal agenda at Friday’s talks but said it had been discussed, and there was no opposition to November’s meeting being held in that country.

It was a “collective decision”, he told a press conference afterwards, adding: “No member of government has indicated remotely that it wishes to change the venue.”

Sharma said the Commonwealth was working with President Mahinda Rajapakse’s regime to address international concerns.

And he said he believed Colombo subscribed to the principles of human rights, democracy and rule of law laid out in the Commonwealth charter signed by Queen Elizabeth II last month.

“All member states subscribe to the same principles and values equally,” he said.

“Interacting with them on many fronts — as I have been doing at all levels — I am fully persuaded that they are sincere in subscribing and following those values.”

Ladakh incursion: China expresses readiness to work with India deal with differences

Source: Times of India

BEIJING: China on Sunday took note of Prime Minister Manmohan Singh’s remarks over PLA’s incursion into the Depsang Valley and said that it is willing to work with New Delhi to deal with differences while maintaining peace at borders and forging strategic cooperative partnership.

“We have noted Prime Minister Manmohan Singh’s statement,” a statement by the Chinese foreign ministry said.

“The two sides have been in communication through the working mechanism for consultation and coordination on boundary affairs, border meetings and diplomatic channels for a solution to the incident in part of the western section of the China-India border,” the statement said.

According to the statement, the reaction was in response to a question over Singh’s remarks that Chinese troops incursion into the Depsang Valley in Ladakh can be settled through talks.

Singh told media in New Delhi on Saturday that India does not want to “accentuate” the situation in the wake of the recent Chinese incursion in Ladakh and is working on a plan to resolve it.

“We do have a plan. We do not want to accentuate the situation. We do believe that it is possible to resolve this problem. It is a localized problem. I think the talks are going on,” Singh said.

China had denied that its People’s Liberation Army (PLA) soldiers had pitched tents in Daulat Beg Oldi (DBO) sector in Ladakh amounted to trespass and violation of the line of actual control (LAC).

The Chinese statement said “we stand ready to work together with India to properly deal with differences and maintain peace and tranquillity in the border areas in a bid to boost the healthy and stable development of China-India strategic and cooperative partnership.”

It said “while actively developing friendly cooperation in recent years, China and India have committed themselves to settling disputes including the boundary question through peaceful negotiation and preventing the disputes from affecting the development of bilateral relations”.

The two sides are currently trying to resolve the issue through border consultation mechanism inked last year even as external affairs minister Salman Khurshid is due visit Beijing on May 9, which officials said would be followed by new Chinese Premier Li Keqiang visit to New Delhi.

Kerala, Tamil Nadu agree to share water

Source: Times of India

THIRUVANATHAPURAM: Ministerial-level talks between Kerala and Tamil Nadu on sharing water under the Parambikulam-Aliyar river pact ended here on Sunday on a positive note with TN agreeing to release 100 cusecs per day to Kerala.

In response to Tamil Nadu’s gesture, Kerala agreed to release 40 cusecs per day to Tamil Nadu from Shiruvani river to Coimbatore.

Briefing reporters after the meeting which was attended by Tamil Nadu PWD minister T Ramalingam, Kerala water resources minister PJ Joseph said the joint water regulatory board, consisting of officials from both states, would meet soon to discuss water sharing from Sholayar river.

The meeting was held against the background of Kerala government’s decision to move Supreme Court to get due share of water from the neighbouring state under the Parambikulam-Aliyar river agreement.

Kerala had accused Tamil Nadu of not honouring the pact by not releasing the due share to Chittor river in Palakkad which was facing acute drought situaion.

Kerala had also brought to Tamil Nadu’s notice the drought situation prevailing in Palakkad and non-availability of water under PAP had adversely affected agriculture sector.

As per the Parambikulam-Aliyar project (PAP), Kerala is entitled to get 7,250 million unit cubic feet in a water year (between July 1 to June 30).

A joint water regulatory board of officials from Tamil Nadu and Kerala release the water under a “fortnightly pattern”.

Dikshit accepts protest letters over inflated bills

Source: Hindustan Times

Chief Minister Sheila Dikshit on Sunday accepted the 10,50,000 letters written to her by the Delhi residents over inflated water and power bills following the protest of Aam Aadmi Party (AAP) at Jantar Mantar  in the national Capital.

AAP leader Arvind Kejriwal said Dikshit’s agreeing to accept the letters is “people’s victory.”

Kejriwal vowed that the movement against the inflated bills would continue until the tariffs are brought down, and alleged that both the Congress and the BJP have together cartelised the water and electricity sector in the state.

“At 9 am one of my associates, Dilip Pandey, got a call from the chief minister’s Office saying Sheila Dikshit wanted to talk. Dikshit said she will receive the protest letters. She was compelled to do so because of the people’s pressure. She had to bow down to the people,” said Kejriwal, while addressing a gathering.

Since the chief minister agreed to accept 10,50,000 letters of protest to her written by the people of Delhi highlighting the inflated bills, the AAP activists called off their scheduled march to her residence, AAP spokesperson Aswathi Muralidharan said.

In the afternoon, AAP activists Manish Sisodia and Kumar Vishwas along with 10 other party members boarded a bus, carrying the  protest letters from Jantar Mantar and handed these over to Dikshit’s staff around 3 pm at her residence at Motilal Nehru Marg in New Delhi’s VIP area.

Kejriwal said the movement against inflated water and power bills would continue till the bills are either waived off or the charges are reduced.

“Our aim is not just to submit these (over) 10 lakh letters, but we are seeking action on them. Our protest is unlike that of the Bharatiya Janata Party’s Vijay Goel who simply protests for limelight. We have said we won’t pay our bills and this movement will continue till these bills are reduced,” he asserted.

Kejriwal said the Congress governments both at the Centre and in the state had failed to address the issue of water crisis in the national Capital.

“Every year, the Prime Minister says that we will provide water to every household in this country. They have not been able to provide water to Delhi in the past 65 years. How will they provide water to the entire country,” he asked.

“Sheila Dikshit has been in power for the past 15 years. Why has not the issue been addressed,” he asked. Most of the water tanker companies are owned by leaders of these two parties, and the government was hand in glove with the power discoms, he alleged.

Earlier, Delhi Traffic Police eased the traffic restrictions they had imposed in Janpath-Sansad Marg area due to protests and demonstrations.

Kejriwal fasted for 15 days earlier this month to press his demand for reduction in water and electricity tariffs in the capital.

Parliamentary Secretary for Foreign Affairs attends Armenian Presidential Inauguration

Parliamentary Secretary for Foreign Affairs attends Armenian Presidential Inauguration

Deepak Obhrai, Parliamentary Secretary to the Minister of Foreign Affairs, will be attending the inauguration of Serzh Sargsyan, President of the Republic of Armenia, on April 9, 2013 where he will convey congratulations on behalf of Prime Minister Harper and Canada.

The Parliamentary Secretary will also meet with the Armenian Foreign Minister to congratulate Armenia on the successful membership bid to La Francophonie and express hope for working closely with Armenia on Canada’s priority themes within this body. These themes include children and youth, equality between women and men, and sustainable economic growth among members.

Mr. Obhrai will also take the opportunity to reiterate Canada’s strong support for the efforts by Turkey and Armenia to normalize relations and address historical differences.

Fix education so we don’t have people without jobs, conference told

Source: MetroNews

Canada must fix its educational system to ensure that a looming demographics shift doesn’t leave result in a “people without jobs and jobs without people” scenario, experts warn.

“The demographic time bomb that’s ticking is getting louder and louder,” said John Manley, president and CEO of the Canadian Council of Chief Executives, which hosted a conference on the issue in Toronto on Monday.

“There’s a mismatch between the training and education that’s being offered, and the jobs that are being created.”

The influence of the postwar baby boom generation has long been known, but the potential impact is staggering. According to Rick Miner, former Seneca College president, by 2036 those under the age of 15 and over the age of 65 will represent 65 per cent of the Canadian population, compared with 44 per cent in 2010.

“That means nearly two-thirds of the population will be over 65 or under 15, compared to the population working full-time. That’s frightening,” Miner said.

These demographic changes can be mitigated by getting more people into the workforce who have been traditionally under-represented including immigrants, aboriginals, women, those with disabilities, those in their early 20s and older workers.

Miner also believes there also needs to be a revamp of post-secondary education, where institutions must work together.

He noted high school students sometimes do an extra year to get into a particular university program. And even after university, some graduates can’t find work so they return to do a community college program — meaning it can be as many as six or seven years of schooling, post-high school.

Others at the conference also cautioned that preparing students for the jobs of tomorrow is difficult, especially given that 25 per cent of today’s jobs didn’t exist 30 years ago.

Linda Hasenfratz, chief executive officer of auto parts company Linamar Corp., added that young people are often encouraged to study something they love, with promises they’ll find a job in the end.

“It doesn’t always work out that way,” Hasenfratz said, adding sometimes they discover they studied what they love, but they can’t get a job that gives them the level of income they want.

She believes more training needs to be done in secondary school, where students can be exposed to skills used by carpenters and machinists as a building block for learning.

They might then choose a skilled-trades apprenticeship or community college to become an engineering technologist, or university to become an architect, based on initial exposure to carpentry, she said.

Others also warned that job demands can fluctuate dramatically so governments and educational institutions must react carefully to deal with shortages. For example, teachers were desperately needed, so more teacher training spots were added. But now universities continue to graduate new teachers even though there are few job openings.

CAW economist Jim Stanford added that the top three jobs of the future are truck driver, retail clerk and health care assistant.

“We should be realistic about where the jobs are,” he said, adding if society needs truck drivers, those jobs need to be valued with appropriate wages and working conditions.

“There is a cultural bias against blue-collar occupations against the idealized white-collar occupations,” he added.

‘India is compelling example for Commonwealth’

Source: The Economic Times

LONDON: India is a compelling example for the Commonwealth nations on issues of human rights and democracy, Canada’s special envoy for the 54-member grouping has said.

Describing India as a “powerful, significant and important player in the Commonwealth,” Senator Hugh Segal, Canada’s special envoy for Commonwealth renewal, said, “We believe that both on issues of human rights and democracy India is a compelling example for the rest of the Commonwealth.”

He said “India’s presence is fundamental. India’s influence around the world is increasing because of the power of its economy, remarkable exports in terms of trade and technology and skills sets. It is one of the fundamental pyramids of the Commonwealth and fundamental to its survival and success.”

“Canada has always viewed India as an important bilateral ally and we see them as partners in efforts to modernize the Commonwealth and make it as effective in people’s lives as humanly possible.

“India has been a partner of growing significance. It has invested in the Commonwealth. It has been very active on issues like Commonwealth scholarships and technical assistance.”

He said aid from India to other Commonwealth countries has been a great value and importance and “we believe that the interest India has taken for championing human rights and other issues as it relates to Sri Lanka is a very constructive force.”

“A constructive force of engagement and we respect Indian participation and contribution. We also feel India can do even more.”

Canada supports Safe Drinking Water Project in India

Source: Connect – Canada in India

The Canadian International Development Agency (CIDA) and Québec non-governmental organisation (NGO) SOPAR are working with Indian NGO Bala Vikasa on a unique project to provide safe drinking water, in a cost-effective manner, in many villages in Andhra Pradesh, India. With the first plant installed two decades ago in Gangadevipally, Canada has supported Bala Vikasa in setting-up over 250 such water systems. A noteworthy recent development on the project has been the use of Any Time Water machines, which dispense 20 litres of water by swiping a card at the machine, similar to the principle of an automated teller machine (ATM).

Richard Bale named as new Consul General for Canada in Mumbai

Source: Connect – Canada in India

Taking over as the new Consul General for Canada in Mumbai on March 5, Richard Bale said, “Canada has great potential for collaboration in the Indian market in the areas of education, energy, agriculture and infrastructure. I look forward to working with Canadian and Indian organizations and people to increase the linkages between our two countries.” As Head of Canada’s mission in Mumbai, Consul General Richard Bale leads the charge in promoting relations between Canada and Western India, including the states of Maharashtra, Gujarat, Goa and Madhya Pradesh.

Welcoming the new appointment, Stewart Beck, High Commissioner for Canada to India, said, “Canada and India are working together towards achieving the ambitious goal of increasing bilateral trade to $15 billion by 2015. We are happy to welcome Richard to India and are confident that he will play a significant role in helping us not only to meet our objectives but to surpass them.”

Canada’s Minister of State for Tourism in India

Source: Connect – Canada In India

Maxime Bernier, Canada’s Minister of State (Small Business and Tourism), led a tourism delegation to India, from February 25-28 to promote Canada as a destination of choice for Indian travellers and highlight Canada’s bilateral relations with India. During his visit, Minister Bernier met with his counterpart, Dr. K. Chiranjeevi, India’s Minister of State, in Delhi, and, attended Focus Canada–India 2013, hosted by the Canadian Tourism Commission, in Jaipur. Minister Bernier also led a discussion on ways India and Canada can work together to facilitate travel and trade between the two countries.

Canada-India research centre builds healthier communities

Source: Networks of Centres of Excellence of Canada via Indian Economic Business News

Communities in Canada and India will be the first to try out new technologies related to water quality, infrastructure and public health, owing to the new India-Canada Centre for Innovative Multidisciplinary Partnerships to Accelerate Community Transformation and Sustainability (IC-IMPACTS). The centre was announced in November as the winner of the Canada-India Research Centre of Excellence competition, an NCE initiative introduced in the 2011 federal budget. “Canada needs to be connected to an international supply of ideas, research, talent and technologies in order to prosper in an increasingly competitive global environment,” said Prime Minister Stephen Harper in announcing the competition results. “This new Canada-India Research Centre of Excellence will build stronger bilateral research ties and create valuable learning opportunities while generating positive economic and social benefits for both countries.” Major Canadian and Indian universities, as well as various private and public sector partners in Canada and India, will pool their expertise in IC- IMPACTS’ efforts to develop and implement better ways of providing safe drinking water, building sustainable and affordable infrastructure, and preventing and treating diseases in the two countries.