Tuesday, 5 February 2019

TAXATION UPDATES 05.02.2019





FY20 DIRECT TAX COLLECTION GROWTH TARGET OF 15% REALISTIC: REVENUE SECY

The finance ministry has set a realistic target of 15 per cent growth in direct tax collection at Rs 13.80 trillion for next year, which is lower than the 20 per cent increase estimated in the current fiscal, Revenue Secretary Ajay Bhushan Pandey said on Monday. The Interim Budget 2019-20 has estimated to collect Rs 13.80 trillion from direct taxes, which include Corporate tax and Personal Income Tax, compared to Rs 12 trillion in the current fiscal -- representing a growth of 15 per cent. For three successive years, if you had a good revenue growth, then at some time you have to make a realistic estimate because any increase that you do is on a much higher base, Pandey told PTI. The increase in the direct tax collection was 15 per cent in 2016-17, 18 per cent in 2017-18, and 19.76 per cent in 2018-19. The mop-up was Rs 8.50 trillion in 2016-17, Rs 10.02 trillion in 2017-18 and is estimated at Rs 12 trillion in the current fiscal (2018-19).
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TAX REBATE BENEFICIARIES WILL NOT GO OUT OF RADAR: REVENUE SECRETARY

The 30 million taxpayers, who will benefit from the income tax rebate for annual income of up to 5 lakh, will not go out of the income tax department’s database and will be liable to pay taxes when their income breaches the threshold, said revenue secretary Ajay Bhushan Pandey. Pandey said in a post-budget interview that beneficiaries of the tax rebate will have to file a simple online tax return to be eligible for the benefit The idea is to ensure that the department does not lose out on the assessee base, gained through sustained efforts at formalization of the economy, including the November 2016 demonetization move. The return to be filed online by the beneficiaries is a simple one-page form. It serves twin purposes. It gives relief to those in the middle class who earn less. At the same time, they remain in the tax system, as they have to file returns to avail the rebate. In any particular year if the taxable income goes above 5 lakh, tax is payable. We do not lose the intelligence related to the taxpayer, Pandey added. About 68 million returns have been filed so far in the current assessment year, while the number of effective taxpayers, including individuals who have their taxes deducted at source by employers but have not filed returns, will be higher. There were 74 million effective taxpayers for the assessment year 2017-18.
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GOVT TO FORM WORKING GROUP TO RESOLVE ANGEL TAX ISSUE OF STARTUPS

The government has decided to form a small working group to look into the issue of angel tax being faced by startups and come out with a workable solution in 4-5 days a top official said Monday. The issue was discussed in a meeting convened by the department for promotion of industry and internal trade (DPIIT). We had a roundtable on resolving the issue of angel tax. We have a number of suggestions. We will form a small working group and try to come out with some suggestions and solutions in the next 4-5 days, Ramesh Abhishek told. He also said the Central Board of Direct Taxes (CBDT) has asked its officers not to take any coercive action against them. Akhilesh Ranjan, who attended the meeting said, investors, entrepreneurs and founders have raised this issue and they were explained why this tax provision exists in statute. We do not want to tax startups under that provision, (but) we want somebody to define what is a startup, he said adding there should be some parameters for startups. Ranjan further said income tax (I-T) officers have already been instructed not to enforce recovery of angel tax and dispose of their appeals on priority. Number of notices is much less. Tax notices are also less in number, he said. Notices are sent on the basis of computerised process.
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FISCAL DEFICIT WIDENS TO RS 7.01 LAKH CRORE IN APRIL-DECEMBER 2018

Fiscal deficit for the month April- December has widened to Rs 7.01 lakh crore compared to Rs 6.20 lakh crore in the previous year. Revenue deficit for the same period compared to the preceding year stood at Rs 5.36 lakh crore. Revenue spends for April- December has also increased to Rs 16.2 lakh crore against Rs 14.62 lakh crore in the previous year. Accordingly, Fitch Solutions revised its forecast for the central government fiscal deficit to come in at 3.6 per cent of GDP in FY 2019-20, from 3 per cent previously, which reflects our expectation for a wider fiscal deficit in FY 2019-20 versus FY2018-19.
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INDIA'S EXPORTS TO SURPASS USD 314 BN PEAK THIS YEAR

The country's exports in the current fiscal year are expected to surpass the earlier peak of USD 314 billion in 2013-14, a senior official said Monday. This year, we are very confident that we will go past our earlier peak, our earlier peak of 2013-14. We will go past that peak quite comfortably this year, Union Commerce Secretary Anup Wadhawan told. The earlier peak was 314 billion, he said. The achievement comes against the backdrop of a very challenging global environment, Wadhawan said. The earlier peak was 314 billion. We will be comfortably beyond that. Mind you, that is in a very, very challenging global environment. It's an environment where petroleum prices are coming down and 15 per cent of our exports are petroleum products. So, in spite of that, we are going to achieve a new peak, he said. After that, for the last three years, the country's exports were growing, he added.
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FAKE INVOICE FRAUD: FIRMS INFLATE TURNOVER TO BAG LOANS

Investigation into the GST fake invoice fraud has revealed that companies in the dock obtained bank loans by reportedly fudging turnover in their balance sheets. Directorate-General of GST Intelligence of Hyderabad and Visakhapatnam has written to banks to conduct vigilance inquiry into bank loans obtained by the companies in question. Hero Wiretex Company, which is based at Rajam in Srikakulam in Andhra Pradesh and reportedly supplying fake invoices to infra companies in Telangana and Andhra based, has 33 crore charge on it currently. GST intelligence sleuths had arrested in the past one week Hero Wiretex Company MD S Raghunath Gupta and CFO S Raveendra on the charge of making fake invoices worth 200 crore. GST officials told that the loan issue was also brought to the notice of income tax department sleuths during recent coordination meeting of various departments. Bankers, after conducting an internal vigilance probe, have to lodge a complaint with the Central Bureau of Investigation. The fake invoice scam came to light on January 18, 2019, when two kingpins of the scam were arrested for running companies that issued 680 crore worth fake invoice without actual supply of goods by floating shell firms. The investigators also found that several major infra companies, which were executing government projects in irrigation and other infra works in both Telangana and Andhra Pradesh, had conspired with iron and steel companies and issued fake invoices. Most shell firms floated were ‘based’ in Delhi where after a series of transactions cash has been withdrawn. Most GST fake invoice fraud cases were reported from the steel industry. Suitcase companies were created by opening a bank account using PAN and Aadhaar details of family members and employees.
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ED SLAPS RS1,585 CRORE PENALTY ON DEVAS FOR FOREX VIOLATION

The Enforcement Directorate (ED) imposed a Rs 1,585 crore penalty on satellite services provider Devas Multimedia Ltd, its directors and foreign investors for illegal foreign investment of Rs 579 crore against the Foreign Exchange Management Act (FEMA) 1999, the agency said on Sunday. The authority held Devas, its directors and foreign investors guilty of illegal foreign investment of Rs 579 crore in contravention of section 6(3) of FEMA and imposed Rs 1,585.08 crore penalty, an ED statement here said. The city-based Devas was set up in 2004 by a few former employees of the state-run Indian Space Research Organisation (ISRO) and entered into an agreement with its commercial arm, Antrix Corp, to provide bandwidth in satellites for services on commercial basis in digital media and broadcasting space. Based on tip-off, an investigation was initiated on investments Devas received from overseas persons as they were in contravention of the FEMA provisions, said the statement. The investigation revealed that Rs 579 crore was brought into the company by many foreign firms in violation of the Foreign Investment Promotion Board approval and provisions of section 6(3)(b) and 6 (3)(d) of FEMA and Foreign Exchange Management Regulations. In another case under the Prevention of Money Laundering Act (PMLA), a designated city special court took cognisance of the prosecution complaint on February 1 against Devas for entering into an agreement with Antrix by fraudulently claiming that it had the ownership and intellectual property rights (IPRs) to use the technology for delivering multimedia services. Employees of ISRO and Antrix also conspired with Devas to enter into the agreement. On its strength, the latter fraudulently raised Rs 579 crore overseas and illegally transferred 85 per cent of it out of India to its subsidiary in the US in the guise of services and fee, said the statement.
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COMMERCE DEPARTMENT TO MEET EXPORTERS ON TUESDAY IN WAKE OF SLOWING EXPORTS GROWTH

Senior officials of department of commerce will meet exporters and export promotion councils on Tuesday in the wake of slowing growth of various exporting sectors. Declining exports of labour intensive products including leather, gems and jewellery, man-made yarn, and pharmaceuticals had pulled down the overall growth of outward shipments from the country in December to 0.34% at $27.9 billion. 17 out of 30 sectors had showed a decline in exports in December. The meeting has been called because China is slowing down and our exports are facing a spin off of the global trade environment. Boosting exports is a priority, said an official in the know of the details. The department has identified nine sectors gems and jewellery, leather, textiles, engineering, electronics, chemicals, pharma, agriculture and marine products to achieve at least a 16% growth in exports in FY 19. India’s exports were $303 billion in 2017-18. Another person said the idea of the meeting is to have preliminary discussions before the Board of Trade meeting on February 15, which will chaired by commerce and industry minister Suresh Prabhu. The 70-member board is a top advisory body on external trade and advises the government on policy measures related to foreign trade. Some exporters want higher incentives while others are expected to raise concerns regarding flow of credit.
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RS 230-CRORE GST SCAM BY TAMIL NADU STEEL TRADERS UNEARTHED

The state commercial taxes department has blown the lid off a Rs 230 crore scam involving Salem-based steel traders Mahendra Kumar Singhi and wife Suman, owners of Steel Hypermart India Pvt Ltd, and chartered accountant Mukesh Surana, who allegedly claimed several crore rupees as input tax credit by producing fake invoices of steel trading. This is believed to be one of the biggest GST frauds detected in the state. The department has sealed the offices and residential premises of the accused in Hosur, Bengaluru and Salem. Around Pongal, we found that the invoices of some companies were suspicious and searched their offices and residences of their promoters in Salem and Bengaluru. The searches revealed that a CA was the mastermind behind the fraud It was going on since 2017 when the GST was rolled out, a senior commercial tax official told. The modus operandi is in the form of a circular ‘trade’ of steel and some byproducts using just invoices. It was started by Mahendra Kumar Singhi and his wife Suman Singhi, owners of Steel Hypermart India Pvt Ltd. They were operating in Salem, Hosur and Bengaluru, said the official. The Singhis were helped by chartered accountant Mukesh Surana, who also owns a company dealing in steel. Surana was helping them claim input tax credit in the name of five companies. Some companies which were actually trading in steel also used fake invoices, our investigation revealed, the official said. The department has sealed the offices and residential premises of the accused in Hosur, Bengaluru and Salem. The Singhis obtained anticipatory bail, fearing arrest. We will take action against the accused as per the GST Act, he said. The department is likely to lodge a complaint with the Institute of Chartered Accountants of India against Surana for his involvement in the racket. At present, GST software does not match purchases and sales This loophole has been one of the main causes for traders claiming input tax credit using fake invoices. For every sale, there should be a purchase. But at present, we are not able to ascertain it using the software. We are trying to fix this problem and by June, a new software will be rolled out, said the official. The commercial taxes department has also developed its own software to scrutinize returns filed by assessees periodically. The Statistical Analysis Software helps us analyse the returns and throw up suspicious entries. All assessing officers have been instructed to use this software to detect suspicious returns, he said.
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GST THROWS A CHALLENGE TO CAG: RAJIV MEHRISHI

GST has come as a challenge for government auditor CAG as huge numbers are to be worked Comptroller & Auditor General of India (CAG) Rajiv Mehrishi said Monday. The new indirect tax regime, however, also offers an opportunity as the data is available on a single platform making it possible to do a 100 per cent audit, Mehrishi observed. GST is a challenge. For that this institution (CAG) has risen very very well. It is a challenge since huge numbers are to be worked. But interestingly, it has thrown us a very interesting challenge. So far, as expenditure and revenue were concerned it was quite simple for us when we audited a particular state for revenue and expenditure. But here we have a new element which is neither Centre neither state and yet owned by both, Mehrishi said while speaking at the Platinum Jubilee celebration of the Institute of Chartered Accountants of India (ICAI). However, the CAG has started to figure out the best method that it can adopt under the Goods and Services (GST) regime, he said. There is an opportunity that all the data is available in a single platform and it may be possible for the CAG to do a 100 per cent audit. This way the institution can move towards assurance when it comes to audit, he said, adding, that will be a good beginning as this will be a good opportunity to move towards assurance as far as GST is concerned. Lauding implementation of GST as one of the most important economic reforms in 70 years, Mehrishi said it is not only tax friendly and compliance friendly but also consumer friendly as it eliminates multiple taxation.
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JUBILANT FOUND GUILTY OF NOT PASSING RS 41.42 CRORE GST BENEFIT ON SALE OF DOMINOS PIZZA

Jubilant FoodWorks, the operator of Dominos Pizza chain in India, has been found guilty of not passing on GST-cut benefit of Rs 41.42 crore on sale of some pizza products and has been directed to deposit the illegal gains with the government. The National Anti-Profiteering Authority (NAA) passed the order on an email complaint filed by a customer that Jubilant FoodWorks had not reduced the prices of 'Dominos Stuffed Garlic Bread' and 'Medium Veg Pizza' despite a cut in GST rate from 18 per cent to 5 per cent. Goods and Services Tax (GST) rate on restaurants was cut to 5 per cent without Input Tax Credit (ITC) from 18 per cent with ITC, with effect from November 15, 2017. The NAA held that Jubilant FoodWorks has not passed on the benefit of reduction in the rate of tax to its customers during the period November 15, 2017 to May 31, 2018. It found that quantum of denial of rate cut benefit or profiteered amount illegally earned by Jubilant FoodWorks is over Rs 41.42 crore and asked the company to reduce prices of its products by way of commensurate reduction in taxes. The Respondent (Jubilant FoodWorks) is directed to refund to the applicant an amount of Rs 5.65 along with interest @18 per cent from the date of charging the above amount from him till its refund. He is further directed to deposit the balance amount of Rs 41,42,97,629.25 in the ratio of 50:50 in the Central and the State Consumer Welfare Funds along with interest @18 per cent till the same is deposited, within a period of 3 months, the NAA said. The NAA also asked the Directorate General of Anti-Profiteering (DGAP), which investigated the case, to conduct further investigation post May 31, 2018, to check if the benefit of tax reduction was passed to customers. It is clear that the Respondent has resorted to profiteering by charging more price than what he could have charged by issuing wrong tax invoices. He has further acted in conscious disregard of the obligation which was cast upon him by the law, by issuing incorrect invoices in which the base prices were deliberately enhanced more than what he was entitled to increase due to denial of ITC and thus he had denied the benefit of reduction in the rate of tax, the NAA said. The authority has also issued a show cause notice to Jubilant FoodWorks to explain why penalty should not be imposed on the company.
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PONZI SCAM: CBI SENT 20 NOTICES IN 2017-18 FOR QUESTIONING SIT MEMBERS

The CBI sent as many as 20 notices for examination members of a Special Investigation Team, including Kolkata Police commissioner Rajeev Kumar, before knocking on his doors on Sunday evening which spiralled into an unprecedented tussle between the two agencies, officials said Monday. The 20 notices were sent by the Central Bureau of Investigation (CBI) between September 2017 and December 2018. The CBI was handed over the probe by the Supreme Court in 2014 but the agency was allegedly finding it difficult to get all the documents and evidence collected by the special investigation team of West Bengal, which had initiated the probe against the Saradha Group, an official said. The agency started calling members of the SIT in 2017 to record their statements to get insights into their probe and seek information about the evidence and records collected by them during their searches on Saradha Group of companies and other premises which was the first company to face action in ponzi scam case. It shot off 20 notices between September 15, 2017 and December 8, 2018 seeking presence of SIT officials, including its head Kumar, but in most cases the officials did not turn up on one pretext or another, the official said. Shankar Bhattacharyya, an inspector at Bidhan Nagar police commissionerate, was sent a notice on September 15, 2017, another senior official said requesting anonymity. Three days later the agency called Dilip Hazra, also an inspector at the police station, and issued a notice to Rajeev Kumar to appear for questioning on the same day. Kumar cited engagement in law and order duties during the ongoing festive season to skip the call, the official said. It was followed by another notice on October 23, 2017 but he responded with same excuse. The Kolkata Police commissioner was again called through a notice dated December 8, 2018 but he proposed that queries can be sent to him which will be answered or a joint meeting of SIT members and the CBI can be convened.
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TELCOS SEEK GST WAIVER ON PAYMENTS TO GOVT, RS 35,000-CR INPUT CREDIT ADJUSTMENT

Telecom firms, barring Reliance Jio, have asked the government to waive GST on spectrum payments and other levies, while adjusting accumulated tax credits of Rs 35,000 crore in the pending payments. In a letter to Telecom Minister Manoj Sinha Monday, the Cellular Operators Association of India (COAI) said value-added tax or goods and services tax (GST) is not applicable to government services internationally as they are considered 'out of scope' or regarded as non-economic activities or sovereign functions that are outside the ambit of tax. Therefore, in line with the international practices, it is requested that payment of regulatory levies (licence fees (LF), spectrum usages charges (SUC), and spectrum payments) made by telecom operators should be exempted from tax under GST. The same could be achieved by issuing exemption notifications as per provisions stipulated under GST Act, said COAI Director-General Rajan S Mathews in the letter. COAI members include Bharti Airtel, Vodafone Idea and Reliance Jio. Mathews, however, said Reliance has a dissenting view in the matter. He said that according to a report of the Telecom Regulatory Authority of India, the industry's revenue reduced 32 per cent between April-June 2016 and April-June 2018, and it is expected that the revenue in 2018-19 will be lower than that of the revenue in 2013-14 at Rs 1.45 lakh crore. Since the industry's revenues have declined substantially, the output GST on revenue is unable to absorb input GST credits available. Such a situation has led to blocking of approximately Rs 35,000 crore of operator's capital in the form of excess GST credits, Mathews said. Telecom operators adjust input credit in GST that they collect from customers. Mathews said levy of GST on a reverse-charge basis on both spectrum payout and LF, and SUC-related payments are leading to a cascading cash-flow impact requiring payment of GST, which cannot be set off against a corresponding GST liability.
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KUMAR MANGALAM BIRLA MOVES PMO FOR RELIEF ON VODA IDEA SPECTRUM DUES

Kumar Mangalam Birla has met officials in the Prime Minister’s Office (PMO) to negotiate a deferral of payment of Rs 9,500 crore to the government by way of spectrum charges this year, government officials told. Officials, however, said any company-specific relief would be difficult, and pointed out that the telecom industry itself is divided over the need for any financial relief with latest entrant Reliance Jio not being in sync with market leader Vodafone Idea and Bharti Airtel’s call for relief. Birla met with senior officials at the PMO to discuss the possibility of some sort of respite for the company, a senior government official told. Vodafone Idea has to pay about Rs 3,500 crore in March and another Rs 6,000 later as spectrum payments. Vodafone Idea is in the middle of a financial crisis due to falling revenues and huge losses. The company posted a consolidated loss of Rs 4,973 crore for the quarter ended September, and is expected to report loss of some Rs 4,500 crore in the October-December quarter. The company will announce its December quarter results on February 6. Such a situation has led to blocking of approximately Rs 35,000 crore of operators' capital in the form of excess GST credits, it said. Utilise the excess GST credit as payment towards the telecom operator’s liability towards spectrum auction and licence fee/SUC. The industry body also urged the government to exempt all regulatory levies such as licence fee, and facilitate spectrum repayment from payment of GST under reverse charge mechanism going forward as this would ensure that further accumulation of credit on this account would cease. While the industry has made investments to the tune of Rs 10.4 lakh crore over the years, industry financials have been adversely hurt by factors beyond the control of the operators, COAI said.
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CRISIL SME TRACKER: A GST LEG-UP FOR MICRO ENTERPRISES

The interim Budget 2019-20 has proposed several measures aimed at micro enterprises which account for more than 99 per cent of India’s micro, small and medium enterprise (MSME) universe. Among other things, it doubled the limit for exemption from Goods and Services Tax (GST) to Rs 40 lakh, from Rs 20 lakh. It also proposed an attractive composition scheme for small businesses having a turnover of up to Rs 1.5 crore, wherein these can pay only a one per cent flat rate and file only one annual return. Similarly, small service providers with a turnover of up to Rs 50 lakh can now opt for the composition scheme and pay GST at six per cent instead of 18 per cent. The government believes more than 35 lakh small traders, manufacturers and service providers will benefit from these measures. The government also announced that businesses with a turnover of less than Rs 5 crore — comprising over 90 per cent of GST payers — will soon be allowed to file quarterly returns, as against only annual returns right now. Micro enterprises also stand to benefit from the full tax rebate to middle-class taxpayers and small proprietary enterprises for an income of up to Rs 5 lakh. As per the National Sample Survey on MSMEs, 73rd Round (2015-16), 96 per cent of MSMEs are proprietary concerns, and the bulk of these are micro enterprises.
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EXPORT PROMOTION CAPITAL GOODS SCHEME

In order to facilitate import of capital goods for producing quality goods and services and enhance India’s manufacturing competitiveness, the Central Government has been implementing a Scheme called the Export Promotion Capital Goods Scheme under the Foreign Trade Policy for manufacturer exporters with or without supporting manufacturer(s), merchant exporters tied to supporting manufacturer(s) and service providers. Under the Scheme, EPCG Authorizations are issued with actual user condition and import validity of 24 months to import capital goods (except those specified in negative list) for pre-production, production and post-production at zero customs duty, and subject to fulfilment of specific Export Obligation equivalent to 6 times of duties, taxes and cess saved on capital goods, to be fulfilled in 6 years from date of issue of Authorization. In addition, the Authorization holder is required to fulfil Average Export Obligation achieved by him in the preceding three licensing years for the same and similar products. However, if minimum 75% of specific Export Obligation and 100% of Average Export Obligation is fulfilled within half the original export obligation period, remaining export obligation can be condoned. Further, in case of indigenous sourcing of capital goods and for exports of Green Technology products, specific EO is only 75%. For Units located in North East Region and Jammu & Kashmir, specific EO is only 25%. Presently, capital goods imported for physical exports are also exempt from IGST and Compensation Cess up to 31.03.2019. The number of defaulters reported in the last three years is 1347 nos. in 2015-16; 1122 nos. in 2016-17 and 1031 nos. in 2017-18. The Regional Authorities have taken penal action under the Foreign Trade (Development & regulation Act), 1992 by issuing show cause notices and passing adjudication orders for recovery of customs duty along with interest.
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TEXTILE EXPORTS

As per World Trade Organization’s (WTO) systems, the Least Developed Countries (LDCs) enjoy Generalized System of Preferences (GSP) because of which they enjoy duty advantage. In view of this India faces duty disadvantage upto 9.6% vis-à-vis other neighbouring LDCs. The global demand of textiles has also declined significantly between 2014-17 contributing to reduction of textiles exports from India. Duty Drawback scheme rebates the incidence of Customs and Central Excise duties suffered on inputs used in manufacture of export goods. Duty Drawback scheme is not related to lack of innovations in the textile industry or its losing out to neighbouring countries. To increase exports of textile industry, Government announced a Special Package for garments and made-ups sectors. The package offers Rebate of State Levies (RoSL), labour law reforms, additional incentives under ATUFS and relaxation of Section 80JJAA of Income Tax Act. Further, the rates under Merchandise Exports from India Scheme (MEIS) have been enhanced from 2% to 4% for apparel, 5% to 7% for made-ups, handloom and handicrafts w.e.f. 1st November 2017. Products such as fibre, yarn and fabric in the textile value chain are being strengthened and made competitive through various schemes, inter alia, Powertex for fabric segment, Amended Technology Upgradation Fund Scheme (ATUFS) for all segments except spinning, Scheme for Integrated Textile Parks (SITP) for all segments, etc. Assistance is also provided to exporters under Market Access Initiative (MAI) Scheme. Further, Government has enhanced interest equalization rate for pre and post shipment credit for the textile sector from 3% to 5% w.e.f. 02.11.2018. The benefit which was limited to only manufacturers earlier has been extended to merchant exporters from 2019. During the last five years, no new Free Trade Agreements has been signed by India. However, the India- ASEAN Trade in Goods (TIG) Agreement has been expanded in November, 2014 to include Services and Investment Chapter under the Agreement. Further India Chile PTA which was signed in March, 2006 has been expanded on 6th September, 2016 and came into force with effect from 16th May, 2017.
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FIRST STATE LEVEL AWARENESS PROGRAMME ON AGRI EXPORT POLICY HELD IN PUNE

Suresh Prabhu, in his address at the first state level awareness programme on agriculture export policy said that in order to achieve the purpose of the policy clusters have been identified across the country for development of agriculture exports. In Maharashtra, six clusters have been identified for grapes, mango, pomegranate, banana, oranges and onion for successful implementation. Farmer Producer Organizations (FPO’s) and co-operatives should be linked with the farmers and exporters. Required infrastructure needs to be provided in these clusters and use of latest technology in agriculture has to be adopted. He also stressed on attractive packaging in order to increase the demand for the identified products. Indian Institute of Packaging has been roped in for working on packaging standards for international markets. Government of India has recently released an Agriculture Export Policy which aims at reinvigorating the entire value chain from export oriented farm production and processing to transportation, infrastructure and market access. The Agriculture Export Policy is framed with a focus on agriculture export oriented production, export promotion, better farm realization and synchronization with policies and programmes of Government of India. It is required to have a Farmers’ Centric Approach for improved income through value addition at source itself which will help minimize losses across the value chain. For creating awareness among the farmers, exporters and other concerned stakeholders, a first State level awareness programme on Agriculture Export Policy was organized on 2nd February, 2019 in Vaikunth Mehta National Institute of Cooperative Management (VAMNICOM), Pune. The Minister further stated that in India, agriculture and horticulture production is around 600 million tonnes per year and 30% of fresh horticulture produces goes waste. Hence, there is an urgent need to strengthen the supply chain to avoid these losses and theproducts should not be confined only to our boundaries and we therefore need to explore international markets for exportingIndia’s agriculture produce. We have to consider the quality standards and health standards at the production level itself, the Minister said.
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WORKSHOPS FOR IMPLEMENTATION OF AGRICULTURAL EXPORT POLICY

Meetings and Workshops have been conducted to evolve a roadmap for implementation of the Agriculture Export Policy. A national level meeting was held in New Delhi, on 8th January 2019, under the chairmanship of Minister of Commerce & Industry. Meetings are also being organised at State and Cluster levels to implement the Agriculture Export Policy. Increasing agricultural exports from the present levels, to around USD 60 billion by 2022 is one of the objectives of the Agriculture Export Policy. Promoting exports of agricultural products from the country is a continuous process. Various measures to increase agricultural exports, both strategic and operational, have been included in the newly introduced Agriculture Export Policy. The Department of Commerce also has several schemes to promote exports, including exports of agricultural products, viz. Trade Infrastructure for Export Scheme (TIES), Market Access Initiatives (MAI) Scheme, Merchandise Exports from India Scheme (MEIS) etc. In addition, assistance to the exporters of agricultural products is also available under the Export Promotion Schemes of Agricultural & Processed Food Products Export Development Authority (APEDA), Marine Products Export Development Authority (MPEDA), Tobacco Board, Tea Board, Coffee Board, Rubber Board and Spices Board. These organisations also seek to promote exports through participation in international fairs & exhibitions, taking initiatives to gain market access for different products in different markets, dissemination of market intelligence and taking steps to ensure quality of exported products.
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GEMS AND JEWELLERY DOMESTIC COUNCIL

An Ad-hoc National Committee of Domestic Council for Gems and Jewellery consisting 14 Members representing various associations of Gems and Jewellery Sector has been constituted to draft Memorandum and Article of Association and other Rules/Bye-laws of the Domestic Council. The Government is supporting the process of setting up of Domestic Council for Gems and Jewellery, to encourage and boost domestic gems and jewellery sector It is envisaged that the domestic industry would be benefited from such a representative body which would be the forum for highlighting the issues and concerns of the industry that require redressal through policy measures. Further, with a view to strengthen the Gems & Jewellery industry in the country, the Government has taken a number of steps such as establishment of Special Notified Zone (SNZ); setting up of Common Facility Centres for gem and jewellery sector; announcement of separate ITC HS Code for lab-grown diamonds; and providing financial assistance for participation in international fairs, organizing buyer-seller meets, creation of export related infrastructure, etc. under various schemes of the Department of Commerce to boost the industry.
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SHIPPING COMPANIES SEEK GST PARITY

The implementation of Goods and Services Tax (GST) has impacted a wide range of sectors including the shipping industry. Within the sector, there are some areas wherein the GST levy is tilted in favour of international players instead of the domestic ones. Also, there are certain pain points in the sector that have been highlighted to the government, although an outcome is long awaited. The areas that the sector is looking for some government attention includes discrimination in taxability of outbound freight in the hands of Indian shipping companies versus foreign shipping companies, import of vessels face IGST of 5%, place of supply and Input Tax Credit (ITC) in case of bunker fuel and other goods, no refund of ITC for GST on outbound freight services provided to Indian customers, sale of vessel located outside India, and possible classification issue for bareboat charter of vessels, among others. Among the most teething issue is related to freight. A recent EY paper on the shipping industry threw some light on the subject. Firstly, there is discrimination in the taxability of outbound freight when compared between Indian and foreign shipping companies. For example, if an Indian shipping company is providing services of transportation of goods outside the country by a vessel to a domestic exporter, then the place of supply of such transportation services is the exporter's location and 5% GST is payable by the Indian shipping company. However, if a foreign shipping company is providing the same services to an Indian exporter, then the place of supply of such transportation services will be the place of destination of such goods, i.e., outside India and thus, GST is not applicable. Hence, the move doesn't provide a level playing field and this might reduce the competitiveness of the domestic shipping companies as compared to foreign companies who carry out same activities without any taxation in India, read EY's recent paper on the subject. However, post-amendment, a reading of various provisions of the IGST Act highlights a different situation the supply of goods or services, where the supplier is located in India and the place of supply is outside India, is an inter-state supply and liable to GST. Thus, the intention of a level playing field was not fulfilled. To address the issue, the government extended the exemption of transportation of goods from India to outside India by air or sea vessel without the requirement of reversal of ITC42. However, this exemption has a sunset clause restricting it up to September 30, 2019. The issue of a non-level playing field for Indian shipping industry will, however, surface post-September 30, the EY paper added. Secondly, there is no ITC refund on outbound freight services for Indian customers. Services by way of transportation of goods by a vessel provided by an Indian shipping company to a domestic exporter in case of exports is treated as an exempt supply till September 30, 2019.
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MODI GOVT CUTS CAPITAL EXPENDITURE BY OIL PSUS; SPENDING DROPS TO 4-YEAR LOW IN 2019-20

State-owned oil firms’ capital expenditure has hit a four-year low with PSUs such as ONGC and IOC planning to invest Rs 93,693 crore in oil and gas exploration, refining and petrochemicals in the 2019-20 fiscal year. The capital expenditure outlay of Oil and Natural Gas Corp (ONGC), Indian Oil Corp (IOC), GAIL (India) Ltd, Bharat Petroleum Corp Ltd (BPCL), Hindustan Petroleum Corp Ltd (HPCL), Mangalore Refineries and Petrochemicals Ltd and their subsidiaries is the lowest since 2014-15, according to Union Budget for 2019-20 documents. Oil PSUs had proposed an investment of Rs 89,335 crore in the current fiscal year ending March 31, 2019, but will end up investing Rs 94,438 crore. This is lower than Rs 132,003 crore invested in 2017-18, Rs 104,426 crore in 2016-17 and Rs 97,223 crore invested in 2015-16. They had invested Rs 89,180 crore in 2014-15. The decline in spending comes at a time when the government is emphasising on raising domestic output to cut costly oil imports. India had spent USD 109.1 billion on oil and gas imports in 2017-18 while the same for the current fiscal are projected to rise to about USD 130 billion. ONGC, according to Budget documents, is projected to spend Rs 32,921 crore in 2019-20, down from Rs 33,007 crore in the current year. IOC’s planned capex will see almost 2 per cent reduction at Rs 25,083 crore. Oil refining and fuel marketing companies HPCL and BPCL will, however, see a rise in capex at Rs 9,500 crore and Rs 7,900 crore respectively. Gas utility GAIL has proposed 10 per cent less capex at Rs 5,339 crore. ONGC Videsh Ltd, the overseas arm of ONGC, has proposed 15.5 per cent lower capex at Rs 5,161 crore. India has 26 sedimentary basins measuring 3.14 million square kilometers. These are classified into four categories: Category-I basins where commercial production has been established like Cambay, Mumbai Offshore, Rajasthan, Krishna Godavari, Cauvery, Assam Shelf and Assam-Arakan Fold Belt; Category-II basins with known accumulation of hydrocarbons but no commercial production so far such as Kutch, Mahanadi-NEC (North East Coast), Andaman-Nicobar and Kerala-Konkan-Lakshadweep. Category-III basins have hydrocarbon reserves that are considered geologically prospective such as in Himalayan Foreland Basin, Ganga Basin, Vindhyan basin, Saurashtra basin, Kerela Konkan basin, Bengal basin; and Category-IV which are the ones having uncertain potential which may be prospective by analogy with similar basins in the world. These include Karewa basin, Spiti-Zanskar basin, Satpura–South Rewa–Damodar basin, Chhattisgarh basin, Narmada basin, Deccan Syneclise, Bhima-Kaladgi, Bastar basin, Pranhita Godavari basin and Cuddapah basin.
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INDIA HAS TENDENCY TO ROOT FOR UNDERDOG: RUCHIR SHARMA ON 2019 POLLS

There is a tendency in India to root for the underdog against any dominant figure but the Congress would need all the help it could muster to defeat the BJP in the 2019 general elections, says global investor-writer Ruchir Sharma. He also claims that the election setbacks in 2018 have lowered Narendra Modi's chances of victory from near certain to 50:50. That's exactly how Indians like their leaders: on edge, fearing for their jobs and not taking voters for granted, he says. Sharma has come out with a new book Democracy on the Road which is the result of his travels through the country following election campaigns - from Naxalite areas on the border of Nepal to the southernmost tip in Tamil Nadu - for the last 20 years. He predicts an interesting Lok Sabha election. Modi remained India's most popular leader, and the BJP's organisational might under Amit Shah, with the formidable RSS providing an army of campaign volunteers, would be hard to match, Sharma says. He feels in some large states such as Uttar Pradesh and Bihar, the Congress was still a token force and would need to ally with the regional supremos. Facing unified alliances, the BJP could win a third of the popular vote, as it did during the Modi wave of 2014, yet lose its majority of seats in the Lok Sabha, he claims.
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WILL APPEAL AGAINST EXTRADITION ORDER, SAYS VIJAY MALLYA AFTER UK APPROVAL

Hours after his extradition to India was approved by the UK government fugitive business tycoon Vijay Mallya on Monday said he will initiate the appeal process The 63-year-old business tycoon had been found to have a case to answer before the Indian courts by Westminster Magistrates' Court in London on December 10, 2018. Under the Extradition Treaty procedures, the Chief Magistrate's verdict was sent to Home Secretary Sajid Javid because only he was authorised to order Mallya's extradition. Javid, the UK's senior-most Pakistani-origin minister, had two months from that date to sign off on that order. The UK Home Office confirmed on Monday that after considering all matters, Javid had signed Mallya's extradition order on Sunday. Mallya now has 14 days from February 4 to apply for leave to appeal to the UK High Court. In a tweet, Mallya said he will initiate the appeal process against his extradition.
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UK HOME OFFICE ORDERS MALLYA’S EXTRADITION

British Home Secretary Sajid Javid has signed the order for Vijay Mallya’s extradition to India, providing the opportunity for any appeal to process to be kickstarted. The businessman — whose legal team had previously indicated their intention to appeal the extradition — will now have two weeks to lodge an appeal The signing of the order came just a few days shy of the two-month window from the date of judgement — December 10 last year — within which a decision had to be made. On 3 February, the Secretary of State, having carefully considered all relevant matters, signed the order for Vijay Mallya’s extradition to India said the Home Office in a statement. Vijay Mallya is accused in India of conspiracy to defraud, making false representations and money laundering offenses. Under Britain’s extradition rules, Javid had two months from the judgement to determine whether or not to order the extradition. In making extradition decisions, the Minister has to consider issues including whether the death penalty would be involved or the person be extradited to a third country (neither of which would apply in this case). An appeal can only be lodged after the signing of the order by the Minister.
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DELHI HIGH COURT SEEKS ED'S RESPONSE ON DEEPAK TALWAR'S PLEA CHALLENGING DEPORTATION

The Delhi High Court on Tuesday sought a response from the Enforcement Directorate on corporate lobbyist Deepak Talwar's plea challenging his detention after being brought here from Dubai. Talwar, in Enforcement Directorate custody after being deported from Dubai on Thursday, has challenged his deportation before the court. Talwar is wanted by the ED and the CBI in a case of misusing over Rs 90 crore taken through foreign funding route as part of corporate social responsibility (CSR). He has been charged with criminal conspiracy, forgery and under various other sections of the FCRA for allegedly diverting Rs 90.72 crore worth of foreign funds meant for ambulances and other articles received by his NGO from Europe's leading missile manufacturing company. Talwar was booked by the ED and the Central Bureau of Investigation (CBI) in criminal cases of corruption, while the Income Tax Department charged him with tax evasion.
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HIGH COURT ADJOURNS HEARING ON CBI ATTEMPT TO ENTER KOLKATA POLICE COMMISSIONER'S HOUSE

The Calcutta High Court Tuesday adjourned hearing in the West Bengal government's plea challenging the CBI's attempt to enter Kolkata police chief Rajeev Kumar's residence to question him on chit fund scams. State Advocate General Kishore Dutta told Justice Shivakant Prasad that the Supreme Court is hearing a plea by the central agency with regard to the incident of Sunday relating to the CBI action and prayed that as such, the matter in this court be adjourned. Justice Prasad adjourned hearing in the matter till Thursday and verbally asked the AG to tell the state police to cooperate in the investigation. The Calcutta High Court on Monday had refused immediate hearing on the case following objection by the Union government.
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THWARTING CBI PROBE AMOUNTS TO MURDERING CONSTITUTION: BJP MP G.V.L. NARASIMHA RAO

Describing the resistance to questioning of the Kolkata police Commissioner by Central Bureau of Investigation (CBI) officials as an attempt to protect the corrupt, BJP MP G.V.L. Narasimha Rao commented on Twitter that Chief Ministers Mamata Banerjee, Arvind Kejriwal and N. Chandrababu Naidu were actually violating the Constitution by fraudulently claiming to save the democracy Mr. Rao was referring to the recent withdrawal of general consent to the CBI by the governments of West Bengal and Andhra Pradesh. He further stated that the general consent to CBI was not an omnibus exemption and pointed out the CBI was probing the chit fund case in West Bengal on the orders of the Supreme Court. Reacting to Mr. Naidu’s tweet that the misuse of institutions by the Central government to victimise political opponents in States reached dangerous proportions, Mr. Rao observed that preventing the CBI officers from doing their duty amounted to ‘murder of the Constitution’ and dubbed the ‘save democracy front’ sought to be formed by the host of non-BJP parties as ‘a murder democracy front’. In a separate tweet, Mr. Narasimha Rao said, In Chandrababu Naidu’s government, there is no protection for Central government funds and for public money No protection for even Lord Venkateswara’s ornaments, citing the theft in Tirumala Tirupati Devasthanams’ Govindaraja Swamy temple, which, he said, epitomises the loot in Andhra Pradesh.
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MAKE PUBLIC MINUTES OF CBI CHIEF SELECTION PANEL MEETING, DEMANDS KHARGE

Rishi Kumar Shukla took charge of the probe agency, Congress leader Mallikarjun Kharge, who was part of the selection panel, expressed apprehensions over the 1983-batch IPS officer’s lack of experience and hoped that it would not hamper his ability to rebuild the institution destroyed by the BJP government. In a letter to Union minister Arun Jaitley, who had accused the Leader of the Opposition of dissenting regularly, Kharge said the value of the Prime Minister’s Office was brought down in the way the government handled the appointment of the CBI Director. Kharge, who had in a dissent note to the Centre said Shukla had no experience in investigating anti-corruption cases, also demanded that minutes of the meeting of the PM Narendra Modi-led panel on the appointment of the CBI chief be put in public domain. The panel also included Chief Justice of India Ranjan Gogoi. In his note, Kharge said 1983-batch UP cadre officer S Javed Ahmed was more qualified for the post in line with the Supreme Court guidelines and provisions of the Delhi Special Police Establishment Act. However, Jaitley shot back at the Congress leader, saying Kharge had dissented when Alok Verma was appointed as CBI chief, dissented when Verma was transferred and had now dissented when Shukla was appointed.
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GOVERNMENT SAYS MEHUL CHOKSI STILL A CITIZEN, PUSHING FOR ANTIGUA EXTRADITION

Fugitive jeweller Mehul Choksi, a main defendant in the country's largest bank fraud case, is still an Indian citizen despite holding an Antigua and Barbuda passport, an official told Reuters, adding the government is pushing for his extradition Bringing Choksi back to India would be a boon for Prime Minister Narendra Modi as he tries to bolster his anti-corruption credentials ahead of a general election due by May. Choksi, along with his nephew, diamond tycoon Nirav Modi, are accused of colluding with a handful of bankers to secure credit from overseas banks using fraudulent guarantees. Both have denied the allegations and have moved abroad. Choksi has secured a passport from Antigua and Barbuda, where wealthy foreigners can become citizens in exchange for investing in the country. But officials still consider him an Indian citizen, Venkatachalam Mahalingam, the Indian High Commissioner to Guyana and Non-Resident High Commissioner to Antigua and Barbuda as well as St. Kitts and Nevis, said in an interview in Georgetown last week. He has not renounced his Indian citizenship. We have revoked his passport, but that does not mean we have revoked his citizenship. We must agree if someone wants to renounce their citizenship; we have not agreed, Mahalingam said. You cannot commit some crime and run away from the country and (think) we'd allow you to renounce your citizenship. That would look really stupid. If all sides agree Choksi is Indian, he could potentially be extradited from Antigua using a Commonwealth-based agreement. But his Antiguan citizenship complicates the situation even though India does not permit dual citizenship.
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INX MEDIA CASE: CBI GETS LAW MINISTRY NOD TO PROSECUTE P CHIDAMBARAM

The law ministry granted sanction to the Central Bureau of Investigation (CBI) to prosecute former finance minister P Chidambaram in connection with the INX media case according to law ministry sources. On January 25, the investigative agency told the Delhi High Court that it wanted to carry out custodial interrogation of Chidambaram in the case, in which the court had reserved its judgment. We are opposing the anticipatory bail of P Chidambaram and want to take him on the police remand for interrogation. We want to exercise our statutory right to investigate the case, Solicitor General (SG) Tushar Mehta told the court while appearing on behalf of the CBI.
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HC REFUSES BENGAL GOVT'S PLEA FOR URGENT HEARING AGAINST CBI

The Calcutta high court on Monday refused immediate hearing on the West Bengal government's plea against the CBI's attempt to question city police chief Rajeev Kumar at his residence in connection with chit fund scam cases. Following objection by the Union government, Justice Shivakant Prasad refused to give the matter an immediate hearing and listed it for Tuesday. State Advocate General Kishore Dutta submitted that despite a stay by the high court on steps regarding notice to state police officials, the CBI sought to enter Kumar's residence on Sunday and question him. He submitted that the court is scheduled to hear the matter on February 13 and as such, the CBI's attempt to enter Kumar's official residence was in violation of its order. Additional Solicitor General Kaushik Chanda submitted that the stay was on a CBI notice to only Arnab Ghosh, the then deputy commissioner (detective department) of Bidhannagar Police, which initially investigated the chit fund case, and two other police officials - Dilip Hazra and Sankar Bhattacharya. He further told the court that the CBI has already moved the Supreme Court, on the order of which the central agency is investigating the chit fund cases, and as such the hearing on the state's prayer be adjourned. He submitted that the Supreme Court has fixed hearing on CBI's plea on Tuesday.
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VVIP CHOPPER CASE: DELHI COURT EXTENDS ED CUSTODY OF RAJEEV SAXENA BY 4 DAYS

A Delhi court Monday extended by four more days the ED custody of Rajeev Saxena, an accused in the Rs 3,600-crore AgustaWestland case Saxena, a Dubai-based businessman, was extradited from Dubai on January 31 and sent to four-day custody of the Enforcement Directorate (ED) the same day. The court had allowed his custodial interrogation after the agency alleged that he and another accused provided global corporate structure to launder money. The ED had alleged that in connivance with another accused, Guatam Khaitan, Saxena provided a global corporate structure for laundering illegal proceeds of the crime for payment to various political persons, bureaucrats and Air Force officials to influence the contract to supply 12 VVIP helicopters in favour of AgustaWestland.
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SUNANDA PUSHKAR DEATH CASE AGAINST SHASHI THAROOR SENT TO SESSIONS COURT

A Delhi court Monday sent Sunanda Pushkar's death case against Congress leader Shashi Tharoor to Sessions court for further proceedings. Additional Chief Metropolitan Magistrate Samar Vishal sent the court to the case to Additional Sessions Judge Arun Bhardwaj since the offence under Section 306 (abetment of suicide) of the Indian Penal Code was triable by a sessions judge. The court also directed Delhi police to preserve vigilance report in the matter The maximum punishment for the offence is 10 years of imprisonment. Tharoor, former Union minister and Pushkar's husband, has been charged under sections 498-A (husband or his relative subjecting a woman to cruelty) and 306 of the Indian Penal Code (IPC), but has not been arrested in the case.
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AYODHYA CASE: PLEA IN SUPREME COURT CHALLENGING LAW ON LAND ACQUISITION CLOSE TO DISPUTED SITE

A plea has been filed in the Supreme court challenging Acquisition of Certain Area constitutional validity of Ayodhya Act, 1993. This has come days after the Centre filed an appeal in the top court urging to return the non-disputed surplus land that was earlier acquired near disputed ite to a Hindu trust and other original owners. The government had acquired the said land under the Acquisition of Certain Areas of Ayodhya Act, 1993. the act provides for the acquisition of a certain area at Ayodhya and for matters linked therewith or incidental thereto. The Centre, in its application, requested for modification of the apex court order of March 31, 2003. Under this order, it was asked to maintain the status quo in connection with the land that included non-disputed acquired plots.
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ANYTHING CAN HAPPEN UNTIL POLLS ARE ANNOUNCED: NITISH KUMAR

Deftly side-stepping queries on the face-off between the West Bengal government and the Centre, Bihar Chief Minister Nitish Kumar said Monday anything can happen in the country until the Lok Sabha elections are announced. He, however, firmly ruled out the possibility of the Modi government making an attempt to dislodge Chief Minister and Trinamool Congress chief Mamata Banerjee from power in view of the crisis. Kumar pointed out that unlike in the past, when Congress governments at the Centre used to clamp Presidents rule at will, now there were clear guidelines laid down by the Supreme Court. On Sunday, an all-out war broke out between the Centre and the Mamata Banerjee government, with the West Bengal leader beginning a sit-in protest at a city landmark over the CBI's attempt to question the Kolkata Police chief in connection with chit fund scams, insisting it stifled the spirit of Constitution and federalism. What is happening between the CBI and the West Bengal government is for them to explain. I am not in the habit of commenting on others. But this is all a matter of a month or so, until the Election Commission comes out with the poll schedule and model code of conduct comes into force, Kumar said. Asked whether he would have reacted in a manner similar to that of Mamata Banerjee had the police chief of his state been embroiled in a similar controversy, Kumar asked laughingly do you think I will have a DGP with such a record? An atmosphere of tension and bitterness prevails in the country. And we can witness anything, all types of things, in the next one month. These need to be watched and handled with patience, he said. Asked whether he thought such a confrontation between a state and the Centre was detrimental to the integrity of the country, he said that nobody is concerned about the country. All are interested in votes. But our country is a great one. And it has weathered many odds.
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MODI-LED KAURAVAS WILL BE DRUBBED BY RAHUL IN POLLS: ANTONY

The coming Lok sabha elections will witness the second Kurukshetra war in which the Narendra Modi-led Kauravas will face a drubbing by the Congress party led by Rahul Gandhi, veteran AICC leader A K Antony has said. The 2019 Lok Sabha election will witness a second Kurukshetra war in which the Kauravas led by Narendra Modi will be destroyed by Rahul Gandhi. This year's election is not simply any other Parliament election. This is a war to save the country, to save the Constitution, its morals and values, constitutional institutions and other threats faced by the country, Antony said. RSS and Modi haven't grown big enough to teach nationalism to the Indian National Congress the Indian National Congress doesn't need any lessons on nationalism from the RSS and BJP, Antony said. There was a need to save India from the Modi government as the country was facing the worst unemployment scenario in the last 45 years, he said.
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CENTRE’S CROP INSURANCE SCHEME AIMED AT TAKING AWAY FARMER’S MONEY, SAYS RAHUL GANDHI

Rahul Gandhi Sunday said the Centre’s crop insurance scheme is aimed at taking away farmers income to fill up pockets of big businessmen. At his first rally in Bihar after taking over as party president, Gandhi accused the Nitish Kumar government in the state of making empty promises like Modi. He promised that if the Congress is voted to power in the Lok Sabha polls a number of steps would be taken to deal with farm distress and unemployment. Raising the slogan of chowkidaar chor hai (the watchman is the thief) — an allusion to Modi, Gandhi accused the NDA government at the Centre of committing irregularities in the Rafale deal. He alleged that policies of the Modi government, including crop insurance, were aimed at taking away hard-earned money of farmers to fill up the pockets of big businessmen. In contrast, he said, his party’s governments in Rajasthan, Madhya Pradesh and Chhattisgarh waived farm loans within a few days of coming to power. Madhya Pradesh Chief Minister Kamal Nath, Chhattisgarh Chief Minister Bhupesh Baghel and Rajasthan Chief Minister Ashok Gehlot were also present at the rally.
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NEW DELHI, 4TH FEBRUARY, 2019 GERMAN DELEGATION MEETS MOS COMMERCE AND INDUSTRY

A high level German delegation led by Dr. Andreas Pinkwart, German Minister of Economic Affairs, Digitalisation and Energy of North Rhine Westphaliamet with Minister of State of Commerce & Industry, C R Chaudhary, in New Delhi. Both sides held discussions on a wide range of subjects with the Indian side looking for greater collaboration with Germany in projects like smart cities, food processing sector, building of airports, dairy sector and technology for green energy. The German side wished to gain more insight into the economic and industrial development in India and also learn more about German investments in India and their facilitation through the Indo-German Fast Track mechanism. Further, Germany desired to look at opportunities and challenges for German companies in India and to get a better understanding of the start-up India programme and its current status. C. R. Chaudhary, said that there is great opportunity for German investment in the 100 smart cities being created in the country and construction of airports which will rise to 400 by 2025 in the country under the UDAN project.
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MINISTRY OF COAL SIGNS AN MOU WITH MINISTRY OF ENERGY, REPUBLIC OF POLAND

Ministry of Coal entered into a Memorandum of Understanding with Ministry of Energy, Republic of Poland. The objective of this MoU is to foster relations in the field of coal mining and clean coal technologies through the already established Joint Coal Working Group as well as research institutes and academia between the two countries covering the following areas

a. To promote trade and investment in the coal sector, enhance the understanding of coal related energy issues, particularly clean coal technologies, and promote the exchange of information on policies, programmes and technologies with special emphasis on coal exploration and exploitation, research and development, technical cooperation and capacity building.
b. To review the activities implemented under MoU.
c. To identify other forms of cooperation mutually agreed upon by the Participants.
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INDIA IMPOSED ANTI-DUMPING DUTY ON 99 CHINESE PRODUCTS AS ON JAN 28: COMMERCE MINISTRY

To protect domestic players from cheap imports, India has imposed anti-dumping duty on as many as 99 Chinese products as on January 28 this year, Parliament was informed Monday. As on 28.01.2019, anti-dumping duty is in force on 99 products imported from China, Minister of State for Commerce and Industry C R Chaudhary said in a written reply to the Lok Sabha. Chinese products on which the duty was imposed include chemicals and petrochemicals, fibres and yarn, machinery items, pharmaceutical, rubber and steel items, he said. Countries carry out anti-dumping probe to determine whether their domestic industries have been hurt because of a surge in cheap imports.
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INDIA-US CASE AT WTO

The United States’ unilateral measure of imposition of additional customs duty of 25% on steel products and 10% on aluminium products are violative of the WTO provisions. As these measures affect India’s trade, India has challenged the US before the WTO Dispute Settlement Body (DSB) seeking to bring these measures consistent with WTO provisions. Since the bilateral consultations under the Dispute Settlement Mechanism held on 20th July 2018 did not result in resolution of the dispute, a Dispute Settlement Panel was established on 4 December 2018 to adjudicate the dispute.



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Thanks & Regards,
CS Meetesh Shiroya   

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