According to Dublin, Ireland-based Research and Markets, India, the largest producer and consumer of milk globally, should report a 15.6% year-on-year growth in revenues for this year.
India’s demographics and dietary habits have changed over the past two decades, and the demand for cheese, ice cream, and yogurt now takes precedence over the demand for just milk.
Globally, milk prices have remained low last year because of weak import demand and oversupply. This was compounded by the slow down in the economy of China, Russia‘s ban on EU produce, and the abolition of the EU’s dairy production quotas, says the Dairy Reporter.
April 23, 2017 No Comments
In a long article, supported ably by charts, the South China Morning Post compares the differences between the economies of India and China, and puts forth reasons why “India could trump China as U.S. policy shifts“.
Highlights of the publication’s views:
|SCMP Views on||India||China|
|Debt||India’s debt ratios are only half of those of China and have not been growing during the past decade||The country is awash in debt. China’s total debt (public + private) portends slower growth|
|Trade||Much less export dependent: Exports account for 13 % of GDP||Export dependent: Exports total 21 % of GDP|
|Exports to US: 1.6% of GDP||Exports to US: 4% of GDP|
|India’s lack of dominance in the traded-goods sector may help avoid the ire of a more insular U.S.||Vulnerable to any change in the mood in Washington|
|Politics||India doesn’t appear to be on President Trump’s radar and…||President Trump has focused his trade concerns on two countries: China and Mexico|
|… This is good news for India and worrisome for China||A trade war with the US could destabilize China’s economy and augment the probability of a debt crisis and a currency devaluation|
|Currency||The Indian rupee is probably about fairly valued||Currency is overvalued|
|India’s FX reserves rose from $326 billion in early 2016 to $337 billion in early 2017||Spent one quarter of its currency reserves defending the renminbi|
|Equity Markets||India’s Nifty Fifty Index has vastly outperformed the China A50 in recent years; trades at 18.6x earnings||China A50 trades 12.8x earnings for Chinese shares|
|Demographics and Agriculture||India’s per capita consumption is 2500 calories per day||Chinese per capita consumption is now over 3,000 calories per day|
|India’s population will probably expand by 30% over the next 25 years||China’s will probably stay about the same adding about 0.1 per cent to China’s population per year|
|India represents an enormous opportunity for the world’s farmers, especially those who can provide lentils, peas, chickpeas, almonds and other dietary staples. Also, as India grows richer, consumption of dairy and vegetable oils will probably grow considerably||China, by contrast, has a mature diet and its food consumption needs may not change a great deal going forward|
April 13, 2017 No Comments
Luxembourg – $223.4 billion
India – $118.2 billion
April 13, 2017 No Comments
Analysts differ on their opinions on whether India stands to gain if there were to be a trade war between the U.S. and China, but the majority say India stands to benefit from the tensions.
“A protectionist America hurts China more than it hurts India, though India is not without concerns,” states Ashok Malik, a distinguished fellow at the Delhi-based Observer Research Foundation.
It would be “premature” to assume U.S.-China ties will nosedive given the scale of their interdependence, says Ashok Kantha, a former ambassador to China and director of the Institute of Chinese Studies in New Delhi.
April 10, 2017 No Comments
Noida, India-based automotive component firm Motherson Sumi Systems, a joint venture between its parent Samvardhana Motherson Group and Sumitomo Wiring Systems of Japan, acquired Finland’s PKC Group Plc for about $609 million.
“We are very happy to announce that we have successfully acquired 93.75 per cent shareholding in the PKC Group, which has significant market presence in the American and European markets with major growth plans in China,” chairman Vivek Chaand Sehgal of Motherson Sumi said in a statement. The acquisition will expand the company’s footprint significantly in the commercial vehicle segment.
Headquartered in Helsinki, Finland, PKC is a global tier 1 supplier of wiring harness and associated components to original equipment manufacturers in the heavy and medium duty commercial vehicles and locomotive segments across North America, Europe, Brazil and China, reports Livemint.
April 3, 2017 No Comments