SATURDAY, 6 NOVEMBER 2021 l NEW DELHI ~10.

00
VOLUME IX NUMBER 14 l 16 pages in 1 section

WORLD P8 WORLD P8

PFIZER DEVELOPS COVID PILL THAT JACK MA'S MEET WITH TRUMP
CUTS SEVERE ILLNESS BY 89% TURNING POINT FOR HIS CHINA TIES
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RECOVERY
VIRUS
TRACKER RATE HIGHEST
SINCE MAR ‘20 Govt may ban non-audit Fuel pump dealers
Total 34,333,754
INDIA
é12,729
services to audit clients bleed on sudden
Active cases Recovered
148,922 33,724,959 459,873
é343 é12,165
Deaths

é221
Move will improve corporate governance, address conflict of interest concerns cut in excise duty
RUCHIKA CHITRAVANSHI WHAT ARE NON-AUDIT | Accounting and book-keeping
services
TWESH MISHRA

Vaccination
1,079,396,641 New Delhi, 5 November
SERVICES
New Delhi, 5 November

é 2,220,473 | Internal audit

WORLD Total
248,813,323
Deaths
5,033,576
LENDERS TO AIRCEL
AND RCOM HOPE FOR
FASTER RESOLUTION
Lenders to bankrupt wireless telephone
companies Aircel and Reliance
Communications are pinning their hopes on
a recent report by a Reserve Bank of India
panel recommending asset resolution
companies to bid for firms undergoing
bankruptcy process. With the next hearing of
the Aircel debt resolution in the Delhi High
Court set to take place in November, lenders
are hoping the dispute will end soon.
POLITICS & PUBLIC AFFAIRS P15
Ahead of polls, PM says this
decade belongs to U’khand
This decade belongs to Uttarakhand, there will
be unprecedented boost to connectivity in the
region in the coming years and migration of
people from the hills will stop, Prime Minister
Narendra Modi said on Friday. He inaugurated
and laid the foundation stone of reconstruction
F
irms auditing the accounts of The excise duty cut on petrol and diesel
“public-interest entities” such as | Design and implementation of any has not come as a festive bonanza for all.
Note: Total cases
include 1 migration;
financial information system
listed or large unlisted companies Having stocked up on fuel ahead of
arrow shows 1-day
change; figures as
of 9 pm IST; sources: could be debarred from providing | Actuarial services Diwali expecting higher sales, petroleum
Ministry of Health
non-audit services to them. dealers are now staring at significant
and Family Welfare;
| Investment advisory services
CoWin.gov.in; Johns Government sources said they were losses because of the sudden duty cut.
Hopkins Coronavirus
Resource Center considering this move, which would | Investment banking services Ajay Bansal, president of the All India
improve corporate governance and Petroleum Dealers Association, told
address conflicts of interest that arose
| Rendering of outsourced financial
services
Business Standard that pump owners FUEL ECONOMICS
when the same firm provided audit and bought fuel from oil companies at a rate Excise duty continues to be a
non-audit services to a company. | Management services that included central and state levies. significant component of fuel price in
This will, however, require a change “This makes us vulnerable to knee-
in the Companies Act. The corporate
Source: Section 144 of Companies Act 2013
jerk changes in excise rates. The state
Delhi (~ per litre)
Component Diesel Petrol
affairs ministry could push for this
change in the next round of amend-
for them,” a senior company lawyer said.
In February last year,
audit firm that took the same call.
Experts have said there was pressure
government-levied value added tax
(VAT) can be claimed and additional Price charged by oil 49.33 47.93
ments to company law, according to a PriceWaterhouse India and Deloitte from stakeholders to keep audit and non- payments made by dealers are reim- companies to dealers
senior official. Haskin and Sells and its network firms audit at arm’s length. bursed quarterly. But there is no mech-
“While providing audit services, the had decided to give up offering non- With the auditing profession under anism to claim the additional excise Freight 0.28 0.3
same firm should not also be involved in audit services to public interest entities the scanner and two of the big four firms duty component which is levied by the Excise duty 21.8 27.9
management consultancy or fundraising they audit here. (the other two being KPMG and Ernst & Centre and has been paid by the Value Added Tax 12.68 23.99
activities,” the official added. Deloitte had said it would not provide Young) stopping non-audit services for dealers,” he said.
The Companies Act gives a list of non- non-audit services to listed companies audit clients, there is pressure on the way The Centre on Wednesday Dealer margin* 2.58 3.85
audit services, which include account- and other entities where public money audit companies function. announced a reduction in excise duty Fuel price 86.67 103.97
ing, book-keeping, internal audit, and was involved, such as banks and insurance A recent consultation paper by the cor- on petrol by ~5 a litre and on diesel by
* Average Source: IndianOil
2> actuarial and management services. companies, if they were its audit clients. porate affairs ministry has raised concern ~10 a litre. The move came into effect
“These services are vague. One inter- The PwC network of firms had stopped over the issue of remuneration, which is from Thursday, bringing down the
prets them suiting one’s own purpose. For providing non-audit services to Indian decided by the management of the firm. retail price of petrol in Delhi to ~103.97 Inflation could rescue
instance, what are management services? audit clients governed by the National “Reliance on clients’ fees may affect a litre and diesel to ~86.67 a litre.
fiscal deficit in FY22
They are not defined and audit firms can
use the term to mean what works out best
Financial Reporting Authority (NFRA).
Grant Thornton India LLP is another
the independence of an auditor,” the
paper said.
“On average, every dealer across the
country has faced a loss of ~1.5 lakh per The surging inflation is
pump because of the Centre’s decision welcome news for the Centre
to suddenly lower excise duty. Most as it seeks to meet the fiscal
dealers had bought additional petrol deficit target. SUBHOMOY
SHADES OF
Diwali retail sales at and diesel stock because of Diwali,”
Bansal added.
Dealers earn a commission of ~2.58
a litre on diesel and ~3.85 a litre on
BHATTACHARJEE
writes

23 states lower VAT

4>
INFLATION
PART-I

+
projects worth over ~400 crore in the state
where elections are just a few months away. 10-yr high of ~1.3 trn petrol. The excise duty cut has wiped
out these gains for the fuel stocks
already purchased by the dealers since
rates on petrol, diesel
Twenty three states have cut value-
PEERZADA ABRAR the sale of these products will have to added tax (VAT) on petrol and diesel
COMPANIES P3 Bengaluru, 5 November be made at the reduced price. A dealer after the Centre lowered excise duty
Airtel eyes big growth generally stocks up on petrol and diesel on fuels. Karnataka reduced prices the

from payment bank

Shoppers across the country bought
products worth ~1.25 trillion this
INFOSYS, L&T TOP PICKS for the coming three days at one go.
Turn to Page 15 >
most.
TWESH MISHRA writes 4 >
Bharti Airtel aims at leveraging its 180 million-
plus digital service customers and wide
Diwali, helping retailers log decade-
high sales — a sign of resilient demand FOR SAMVAT 2078 EXCISE DUTY CUT COULD REDUCE CONSUMPTION LIKELY TO GET
presence in rural areas to grow its payment even as inflation remains high. Despite unprecedented levels of
INFLATION BY 30 BPS ~35,000-CRORE BOOST P4
bank business. Airtel’s payment bank began The Confederation of All India uncertainty in Samvat 2077, investors
operations in 2016 – first among the seven Traders (CAIT), which represents about have little to complain about on the
payment banks that are currently operational 70 million traders, said the tremendous returns front. The BSE Sensex delivered
in the country. Airtel Payments Bank has a sales response has made businesses returns of 38 per cent in this period, while
customer base of 15 million. optimistic about the future.
Traders are now gearing up for the
wedding season, scheduled to start
the Nifty registered a return of over 40 per
cent. As is the case in bull markets,
companies in the small- and mid-
Govt looks to net $30 bn
FESTIVE CHEER
in fresh funds via PLI
from November 14, said CAIT. capitalisation basket outperformed the
benchmarks. RAM PRASAD SAHU writes 14 >
ON “During Diwali this year, there is an
estimated business of about ~1.25 lakh
Diwali sales at retail shops over the years
( In ~ crore)
SATURDAY crore (trillion) in the entire country, SURAJEET DAS GUPTA
125,000

SPECIALS which is a record figure in the last dec- New Delhi, 5 November
ade,” said CAIT National President B C
72,000

Bhartia and Secretary General Praveen The government is banking on its Production
60,000

WEEKEND RUMINATIONS
Khandelwal. “In Delhi alone, this busi- Linked Incentive (PLI) scheme to kick off substan-
50,000

Red, black — and green

43,000

ness was about ~25,000 crore.” tial fresh investments to make up for the rock bot-
35,000

Company accounts are in the red (loss) Bhartia and Khandelwal said con-
or black (profit). Increasingly, though, sumers preferred Indian goods this time,
they may be going green — to track leading to a direct loss of over ~50,000
the impact of the firm’s activities on crore of business to Chinese exporters.
the environment.
T N NINAN writes 9>
In demand were items such as
earthen lamps, candles and paper
mache lamps, which helped small
potters, craftsmen, and handicrafts-
men rake in substantial profits. Sweets,
> RESULTS RECKONER
dry fruits, footwear, watches, toys,
home décor, and fashion clothing also
Quarter ended Sep 30, 2021; common sample saw huge demand.
of 1,091 cos (results available of 1,289) Consumers spent over ~9,000 crore
SALES on gold jewellery and silverware, they
Sep 30, 2020 -5.6% ~13.94 trn î said, while traders selling packaging
items saw sales of ~15,000 crore.
Sep 30, 2021 30.6% ~18.21 trn ì Before this, online players had also
NET PROFIT seen encouraging sales.
2016 2017 2018 2019 2020 2021
Source: CAIT
The first week of online festival sales
in October, where various e-commerce
firms participated, saw 23 per cent year-
on-year sales growth in 2021. This means
goods worth $4.6 billion (~32,000 crore)
were sold online, according to a recent
report released by homegrown firm
RedSeer Consulting.
Turn to Page 15 >
THE FUTURE OF
DIGITAL-ONLY SITES
The number of Indians accessing news
online has risen from 150 million in 2016
to over 461 million in July 2021.
“The sheer time spent online and
competition have increased,” says Neha
Singh, sales director, Comscore India. “But
how do you monetise?” she asks. Ad rates
for digital news remain woefully low. To this,
add the pandemic.
VANITA KOHLI-KHANDEKAR writes 7>
tom levels seen during the pandemic.
Thirteen PLI schemes are already off the
ground based on commitments made by eligible
players. The government expects them to bring
in incremental investments of around $30 billion
by financial year 2024-25 (FY25).
DEEP POCKETS
Incremental capex
Jefferies, which has undertaken a yearly
breakup of the investment based on Commerce
expected by companies
Ministry data, says that in the first two years of ($ bn) 12+ 10+
FY22 and FY23, the PLI scheme will bring in
around $10 billion of fresh investments. 7+
In the first year (FY22), the flow will be mini-
mal, around $2 billion. Experts say this is because
most of the big PLI schemes where eligible players 2*
have been selected or are in the process of being
finalised, have already lost a large part of their
first financial year (FY22) due to the second wave FY 22 FY23 FY 24 FY 25
and fear of another wave. Turn to Page 15 > * approx fig. Source: Government & Jefferies

Sep 30, 2020 59.2% ~1.53 trn ì

Sep 30, 2021 24.6% ~1.91trn ì

> NIFTY THIS WEEK

Career development with a little help from robotic friends
NEHA ALAWADHI
New Delhi, 5 November
Among the significant changes brought
about by the pandemic is people’s
increasing trust in artificial intelligence
(AI), including for advice on career
development, according to a survey by
Oracle and Workplace Intelligence, an
Net change 245 % change 1.4 HR research and advisory firm, titled
“AI@Work”.
The report found that 75 per cent of
people globally and 91 per cent in India
were willing to make life changes based
on robot recommendations.
Compared with 82 per cent of the
global workforce, 92 per cent of Indians
believe robots can support their careers
better than a human. Nearly half the
respondents said robots are better at
giving unbiased recommendations,
while 46 per cent believe robots are
better at delivering resources tailored to
current skills or goals.
Additionally, 50 per cent of respon-
*T&C Apply dents said robots are better at quickly
TECH SUPPORT
answering questions about career and
44 per cent people said robots do a
better job of finding new jobs that fit
their current skills.
“Today, AI is seen as a way of assist-
ing our decision-making. I strongly
believe even with all of the technology
in the bag, the need for human inter-
one silver lining amid the chaos and
96% of 92% Indians believe robots can trauma, which is the rising acceptance
workforce in support their careers better than a of mental health issues at work. As per
India not human our survey, 68 per cent of respondents
satisfied with from India struggled with mental health
their employer’s 44% believe that robots are better at work more in 2021 than in 2020,” said
Shaakun Khanna, head HCM applica-
support at giving unbiased recommendations
tions strategy, Oracle Asia Pacific.
According to the survey, 96 per cent
46% believe robots 50% respondents believe of Indians said the definition of “suc-
cess” has shifted for them since the
are better at delivering robots are better at quickly
resources tailored to answering questions about pandemic, and that success is now
more aligned with achieving work-life
current skills or goals their career
balance (52 per cent), prioritising men-
44% people said robots do a better job of finding tal health (44 per cent), having flexibil-
ity over when and where they work (49
new opportunities that fit their current skills per cent), and having a meaningful job
(44 per cent), which contribute more to
face is significantly higher… Studies Workers across the world have been their success than a steady pay check.
like AI@Work help to understand the negatively impacted over the past year Going into 2022, professional devel-
issues better, validate our beliefs and by the pandemic, with people in India opment is top priority with many will-
open our eyes to the new reality, which and the UAE struggling the most, but ing to give up key benefits such as vaca-
is the case for now. Humanness needs a also being the most open to technology tion time (52 per cent); monetary
technology buddy,” said SV Nathan, for support, the study found. bonuses (51 per cent); and even part of
national president, National HRD “Covid-19 has tossed our lives and their salary (43 per cent) for more
Network. work routines into disarray, but there is career opportunities. Turn to Page 15 >

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X
 2 COMPANIES
.>
NEW DELHI | 6 NOVEMBER 2021
<

IN BRIEF
NCLT approves GAIL buying Lenders to Aircel & RCom AM/NS raises
IL&FS’s 26% stake in OTPC
The National Company Law Tribunal has
approved state-owned gas utility GAIL
hope for faster resolution prices by 8%
in Sept auto
(India) Ltd's acquisition of bankrupt
Infrastructure Leasing and Financial
Services' 26 per cent stake in ONGC
Tripura Power Company (OTPC), GAIL said
RBI panel recommends that ARCs be allowed to bid for bankrupt firms

contracts
on Friday. OTPC is a special purpose DEV CHATTERJEE agement) by the ARC acquired
vehicle between Oil and Natural Gas Mumbai, 5 November through AIF and IBC should
Corporation (ONGC), IL&FS Group and Government of Tripura (GoT) not together exceed the AUM

L
for setting up of a 726.6 MW combined cycle gas turbine (CCGT) enders to bankrupt acquired via SR issuance at
thermal power plant at Palatana, Tripura. ONGC holds 50 per cent wireless telephone any time, the panel said.
interest in the company in the project that supplies electricity to the companies, Aircel and As of now, the ARCs as
northeastern states. Tripura government holds 0.5 per cent while Reliance Communications, secured creditors are allowed
India Infrastructure Fund II holds the balance 23.5 per cent stake. are pinning their hopes on the to resolve their financial
"NCLT has granted approval for the acquisition of 26 per cent equity Reserve Bank of India’s (RBI’s) assets through the IBC pro-
stake of Infrastructure Leasing & Financial Services (IL&FS) Group by panel report recommending cess, but the current regu-
GAIL (India) Ltd in OTPC," GAIL said in a stock exchange filing. PTI asset resolution companies latory framework does not
(ARCs) to bid for companies allow them to bid as resolu-
undergoing bankruptcy pro- tion applicants or bidders
Sun TV Networks Happiest Minds aims cess. under the IBC.
reports Q2 PAT to lower revenue With the next hearing of The main rationale was
the Aircel debt resolution in With the next hearing of the Aircel debt resolution in Delhi that the legal and regulatory
at ~395.55 crore dependency on US Delhi High Court set for the High Court set for the third week in November, lenders are design of ARCs is focused on ISHITA AYAN DUTT forced to raise rates as prices
Sun TV Networks on Friday Happiest Minds Technologies, third week in November, hoping the dispute will end soon recovery of debt from the bor- Kolkata, 5 November have been rising globally since
reported a consolidated profit which last week reported a 30 lenders are hoping the dispute rower and not on resolution of restrictions were eased.
after tax (PAT) of ~395.55 crore per cent jump in net income at will end soon. allowed to go ahead as the RBI (NCLAT) on the dispute over the borrower’s insolvency. At ArcelorMittal Nippon Steel Sample this, domestic flat steel
for the second quarter ended over ~44 crore for the September The RBI panel report had earlier objected to the spectrum dues payable to the the same time, the Act does India (AM/NS India) has set- prices nearly doubled to
September 30. The company quarter, wants to bring down its released on November 2 has Aircel acquisition saying the government. provide tools to ARCs which tled contracts with major auto ~72,000 a tonne in June from
had reported a PAT of ~335.02 dependency on the world's recommended that ARCs ARCs cannot acquire bank- Lenders have ~45,000 could be used for insolvency companies for the July- ~38,000 a tonne a year ago,
crore in the July-September largest software market US to should be allowed to bid for rupt companies under the IBC crore exposure to Reliance resolution (example, change September period with an 8-9 while long steel prices rose 1.4
period a year ago, Sun TV Net- under-65 per cent on a sustain- bankruptcy cases under the laws. UV ARC had moved the Communications and the in/takeover of management, per cent hike in prices, passing times to ~57,900 a tonne.
work said in a BSE filing. Its able basis. The US is the single Insolvency and Bankruptcy Delhi HC in November last company has to also pay debt to equity conversion, on a part of the runaway steel Contract prices for auto com-
revenue from operations was largest revenue head for all Code (IBC) 2016 via securities year against the RBI’s notice ~30,837 crore as AGR dues till etc). However, ARCs in gen- prices to the end-user. panies were, however, lower.
~848.67 crore during the peri- domestic software firms prima- trusts or Alternate Investment warning of possible cancella- and March 2020 and has pro- eral, have not been using “We have settled for the The second wave of Covid-
od. It was ~768.69 crore in the rily because the country is the Fund structures. tion of the ARC’s registration vided for an additional charge these tools. July-September quarter with 19, however, weakened the
corresponding quarter of the most tech-savvy market with “The RBI has to file its over its move to acquire of ~4,713 crore for the year The panel said the regula- most of the auto OEMs (origi- domestic market and prices
previous fiscal. Sun TV Networks the highest adoption levels and reply to the Delhi HC by Aircel. Since then, the matter ended March 31 this year, tions should allow ARCs to nal equipment cooled during
total expenses were ~385.20 also the largest investor in tech- November third week and the was pending in court. according to its annual report. also use the IBC framework. manufacturers) July-September.
crore in Q2 of FY21-22. PTI nology and automation. PTI panel report will be brought Lenders have ~20,000 The RBI panel, which had The report said expertise and are also rev- STEEL CONTRACTS However, they
to the court’s attention by the crore exposure to Aircel and reviewed the role of ARCs in acquired through IBC in erting to six-mo- FOR AUTO SECTOR began rising
parties,” said a bank official. the company also owes an resolution of stressed assets, resolving borrower insolvency nthly contracts. n AM/NS India settles again from
Ola begins pilot of grocery Under the present regulatory additional ~14,000 crore to the has said ARCs may be allowed will help ARCs in maximising So, we have also contracts with major October, on the

delivery service in Bengaluru framework, the RBI has the

power to allow ARCs to bid for
Indian government
adjusted gross revenue (AGR)
as to participate in IBC as a res-
olution applicant either
recovery of dues. However,
the ARC should remain asset-
concluded con-
tracts for H2-
auto OEMs for
July-September
back of some
recovery in
Ride-hailing platform Ola has started piloting a quick delivery the assets, according to the dues. UV ARC emerged as the through their SR (securities light in order to avoid conflict FY22 (second ha- quarter and H2FY22 demand and
service for items like grocery, personal care and pet care products in panel report, the official said. highest bidder for Reliance receipts) trust or through the of interest in resolution of lf of FY21-22),” cost push. After
Bengaluru, making a foray into the quick commerce sector, UV ARC, which emerged Communications, too, whose AIF (alternative investment assets acquired in the trusts said Ranjan n Increase will be the latest
according to sources. The sources said Ola is starting a pilot of its 'Ola as the highest bidder to take- debt resolution is pending funds) sponsored by them. managed by them as com- Dhar, chief mar- in two parts — increase this
Store' in Bengaluru starting off with a few key localities, and then to over Aircel and Reliance with the National Company This is subject to the condition pared to assets acquired in keting officer, 8 to 9 per cent in month, flat steel
expand across major cities in India in the coming months. The Communications, was not Law Appellate Tribunal that AUM (asset under man- their own balance sheet. AM/NS India. each period prices are closer
service is aiming for a sub-15-minute delivery timeline, they added. “The incr- to levels seen in
When contacted, Ola declined to comment. The sources said the ease will be in n JSW Steel to June and long

Delay in getting strategic investor

service is available within the Ola app and is rolling out to select
consumers in Bengaluru. PTI
two parts, appro-
ximately 8-9 per
cent in each per-
finalise contract the
for July-Sep quarter
steel is higher
than that.
“We follow
iod. The first set- index-based

Vedanta now holds

a concern for Rel Gen: Brickworks tlement period is for July- pricing for auto. Overall, the
September and the second for steel price index was throwing
H2,” Dhar added. Other steel up a rise of ~15,000-19,000 a
ABHIJIT LELE a negative outlook on subor- The rating agency said the RGICL has more than 20 majors, too, are understood to tonne, but we have not let this

exclusive rights
Mumbai, 5 November
Uncertainty in getting a
strategic investor is casting a
dinated debt. insurance company had years in the insurance busi- be negotiating contracts. cause an immediate impact on
The negative outlook fac- shown steady growth in over- ness and a 4.67 per cent mar- Sources indicated that JSW our auto clients, who are cur-
tors in its maintaining a cush- all financial performance. ket share in the sector as on Steel is in discussion to close rently facing headwinds due
ion on the solvency ratio RGICL reported an income September 30, 2021. The com- the contract, but for the to the chip shortage. We have

+
to Cairn brand shadow on the profile of
Reliance General Insurance
Company Ltd (RGICL), a sub-
higher than the minimum
regulatory norm as the cur-
rent parent is not in a position
of ~727 crore in FY21 (~559
crore in FY20) and profit after
tax of ~208 crore in FY21 (~259
pany has a diversified distri-
bution network with 129
branches across India, with
September quarter, which normalised the increase over
would be finalised soon. two periods for ease of auto
The status of Tata Steel’s companies,” said Dhar. “AM/-
TWESH MISHRA After being taken over by sidiary of Anil Ambani-con- to provide it financial support, crore in FY20). The insurance the support of around 30,000 contracts is not known. But NS India firmly believes in a
New Delhi, 5 November Vedanta Group, the domestic trolled Reliance Capital. if needed. firm has adequate liquidity. Its agents. Tata Steel, JSW Steel, and symbiotic relationship with all
company, Cairn India, disas- While its track record, According to Brickwork, cash and bank balance was Intense competition is one AM/NS India supply about 90 our customers as the relation-
Cairn Energy, the Scottish oil sociated itself from Cairn experienced management Reliance Capital carries a “D” ~169.97 crore at the end of of the credit risks for the com- per cent of the steel require- ship is not spot but very long
and gas exploration company, Energy. They companies are team, and diversified product rating. The solvency ratio is a September 2021. The nearest pany because it has to con- ments of auto companies. term in nature,” he added.
will change its name to Capri- separate legal entities with dif- offers work as strengths, the measure of the risk an insurer debt repayment is the coupon tinuously come up with dif- Discussions for auto con- Typically, auto contracts
corn Energy on December 13. ferent promoters and share- weak credit profile of its par- faces of claims that it cannot payment of ~21 crore towards ferent products. Acquiring tracts are protracted. For are settled for a period of six
The LSE stock ticker of the holders. Cairn India was later ent and intense competition absorb. The ratio gives an the subordinate debt pro- new businesses with a lower instance, the June quarter months. But the volatility in
company will remain CNE. merged into Vedanta Ltd in act as constraints. insight into the ability of an gramme, falling due on premium ticket size is com- contracts were closed by most prices witnessed last year
“This follows an agreement 2017 and renamed as Cairn Oil Brickworks Rating, which organisation to meet its finan- August 16, 2022. The subordi- petitive. RGICL faces compe- companies towards the end of prompted companies to move
at the time of the Cairn India and Gas. had placed the debt of the cial obligations. Its solvency nated debt repayment of ~230 tition from the private as well June with a 10-12 per cent to quarterly contracts. Now,
Initial Public Offering that the Prachur Sah, deputy CEO, company on watch since ratio was 1.65 times in FY21, crore is due on August 17, as public sector general insur- escalation in prices. AM/NS India is switching back
name would ulti- Cairn Oil & Gas, said: November 2020, has assigned up from 1.52 per cent in FY20. 2026. ance companies in India. Steel firms have been to half-year contracts.
mately be changed,” Cairn Energy will “The disassociation
a statement on the be Capricorn of Cairn Oil & Gas
Cairn Energy web- Energy from from Scottish com-
site said.
“Cairn Energy
December 13 pany Cairn Energy
was always a matter
will discontinue the use of the of fact. This clarity will help us
Lenders to McLeod Russel sign ICA for debt resolution
brand name ‘Cairn’ as part of disengage from issues involv- signed/executed an ICA to ating corporate insolvency res-
its corporate identity by ing Cairn Energy.”
ISHITA AYAN DUTT
Kolkata, 5 November provide for ground rules for
HOW IT UNFOLDED olution process (CIRP) against
December 2021,” Vedanta said Cairn Energy was in a dis- finalization and implementa- August 6: NCLT, New Delhi, admits the company.
in a statement. “The brand pute with the government on Banking lenders to McLeod tion of resolution plan in application filed by Techno for The application was
‘Cairn’ is exclusively owned by retrospective tax. The Centre Russel India have signed an respect of borrower/company, initiating CIRP against admitted, but McLeod reached
Vedanta,” the statement eventually gave in and agreed inter creditor agreement (ICA) the notice read. Sources said, McLeod Russel a settlement with the creditor
added. to a settlement with Cairn as part of debt resolution “Banks are working on the res- August 29: McLeod files application and the NCLT accepted an
The word ‘cairn’ in Scottish Energy. efforts. olution and it will get com- application for withdrawal
for withdrawal from CIRP
Gaelic means a pile of stones. “Given the recent legis- Disclosing the signing of pleted very soon.” under Section 12A on
Commenting on the lative change in India and our ICA with its consortium of Broadly, the plan will September 3: NCLT, New Delhi, September 3.
change, Vedanta Chief Exec- participation in the related tax lenders, the company said in a include a combination of cap- allows application for withdrawal The debt resolution discus-
utive Officer (CEO) Sunil refund process, we are now stock exchange filing on Friday ital infusion by promoters and November 5: McLeod informs stock sion with banks resumed there-
Duggal said: “When Cairn putting in place the planned that the Reserve Bank of India restructuring of balance debt. exchanges about inter-creditor after. Some lenders were
Energy exited its Indian oper- name change,” Cairn Energy (RBI) issued directions for McLeod owes banks about deal with consortium of lenders already on board. The compa-
ations in 2011 after selling its said. “The majority of Cairn’s ‘Prudential Framework for ~1,800 crore and with unpaid ny’s notes to first quarter resu-
stake to Vedanta Group, it con- subsidiaries have been known Resolution of Stressed Assets’ interest, the total amount is lts had mentioned that the ICA
tinued to use the brand name as Capricorn for some time. It which came into immediate said to be around ~2,300 crore. ceedings filed against the com- a comprehensive debt restruc- process was paused when for arriving at and implement-
‘Cairn’ though the brand is an established name across effect i.e. June 7, 2019. The filing to the exchanges pany by Techno Electric & turing under June 7, 2019 cir- Techno filed an application ing the resolution plan had
‘Cairn’ is owned by Vedanta our global operations,” the Pursuant to the provisions, comes about two months after Engineering, a financial cred- cular of the RBI had been in the before the National Company already been confirmed and
(erstwhile Cairn India).” company added. all banking lenders have the withdrawal insolvency pro- itor. Discussions with banks for works for a while. However, the Law Tribunal (NCLT) for initi- signed by certain lenders.

HSBC-backed B2B platform Serai looks to broaden India play

HSBC-backed firm says it has been able to
catch the eye of some mid-cap firms as well
SHIVANI SHINDE
Mumbai, 5 November
Serai, the business-to-business
(B2B) digital platform by HSBC
that aims to ease global trade, is
betting big on India as firms from
the country account for over
7,000 of its 16,000 members, who
are spread across 110 nations.
India is the largest contributor
to Serai’s member base, and the
platform, which went live in 2019,
saw a 19 per cent month-on-
month growth in Indian
members since February 2020.
Says Vivek Ramachandran,
chief executive officer of Serai:
“The organic growth we have
seen in India has been huge. We
see ourselves continuing to invest
in the market and it’s not just for
SMEs (small and medium enter-
prises), we have been able to
proposition targets in mid-caps
and India has some of the world’s
largest plants and largest apparel
manufacturers using the plat-
form.”
Of the 3,000 RFQs (requests
for quotation), a feature on Serai’s
platform launched in May, 31.9
per cent come from Indian
buyers. Maharashtra, Delhi,
Tamil Nadu, and Gujarat generate
the highest traffic on Serai. And
prominent Indian companies like
Shivalik Prints, Radnik Exports,
and Indian Designs are on the
platform.
Though Serai missed the
opportunity presented by the ini-
tial lockdown to onboard more
businesses, it has, nevertheless,
seen a huge uptick since from
businesses that want to trade
without having to travel long dis-
tances.
“We started this year with
2,500 members and we have
KEY STATS
16,000+ companies in all
41% sellers/manufacturers,
54% are buyers/brands
7,000+ companies on Serai’s
platform from India
19% MoM growth in Indian
companies joining the platform
since February 2020
31.9% of 3,000 requests for
quotation (RFQs) — a feature on
Serai’s platform launched in May
this year — from Indian buyers
“The organic growth we have
seen in India has been huge. We Top geographies: India, UK,
see ourselves continuing to Bangladesh, US and Australia
invest in the market and its not Most traffic in India:
just for SMEs...” Maharashtra, Delhi, Tamil Nadu
Vivek Ramachandran and Gujarat
CEO, Serai, India Source: Serai
grown almost 8-10x. There’s been about people digitally, building
a sea change in people willing to digital relationships, that’s going
accept new technology. I think to become much more impor-
digital engagement, learning tant,” added Ramachandran.
Ramachandran a key factor
spurring this shift is the emer-
gence of smaller retail and
brands, and new-age start-ups
that are making consumers more
aware of who makes the products
they buy, and the condition in
which these products are made.
At present, Serai is focused on
the apparel industry, but will con-
sider any other sector that is frag-
mented.
What makes Serai a unique
case is that it’s a start-up from one
of the world’s largest retail banks,
HSBC, but does not use the bank’s
platform to access customers and
doesn’t cross-sell the bank's pro-
ducts.
“The idea is to build a digital
platform that can disrupt the way
business is being done. It was a
small group of us who proposed
to the bank’s board that technol-
ogy will change how businesses
connect with each other and how
they train each other and if that is
the case, then why don’t we be the
disruptor,” added
Ramachandran.
He also added that this is new
for HSBC — this is the first time it
has set up a legal entity with an
agreement to go beyond banking,
but in a domain that the bank
understands well.
“Noel Quinn, HSBC’s CEO
sums it up very well. Serai is
building a digital equivalent of
HSBC’s brick-and-mortar fran-
chise. Our objective is to simplify
global trade,” he added.
When asked why not just
invest in an existing start-up,
Ramachandran said that there
were no such businesses that
were trying to solve the global
trade problem.
“The basic problem why trade
is so inefficient is everyone is try-
ing to solve their little piece of
problems, so the logistics sector is
digitising the shipping sector,
banks are trying to digitise
financing, but the reality is that
data is scattered and because
buyers cannot get data on sellers,
there is lack of trust and, hence,
lack of trade. We want to make
sure that that information is avail-
able in a simple manner,” he
added.
Ramachandran says that a lot
of demand on the platform is
being driven by ESG (environ-
mental, social and corporate gov-
ernance) requirements. Many of
the large buyers want to know
who the suppliers in their supply
chain network are and what kind
of practices they follow. Serai has
a Traceability solution that allows
apparel businesses to track cotton
and other raw materials going
into their products. Through the
product, businesses can trace the
order flow throughout the supply
chain, manage supply chain risks
and collect data for compliance
purposes.Ramachandran is also
hopeful that in a few years the
start-up ecosystem that’s so far
been trying to solve local prob-
lems can also access this platform
to solve global issues.
Serai, headquartered in Hong
Kong, has a team of 120 people.

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 .
NEW DELHI | 6 NOVEMBER 2021 COMPANIES 3 <

Airtel bets on rural play After capacity boost, NCLT

prepares to fast-track cases
to boost payments biz RUCHIKA CHITRAVANSHI
New Delhi, 5 November NCLT got 18 fresh recruits, a
The NCLT has 28 courts and 16
Benches across India. Having dedicated
Looks to leverage 180 mn new president and Benches for IBC cases has been one of
IN REPAIR MODE
A
fter getting a much-needed shot a chairman, during the industry’s suggestions. “NCLT can do
digital customer base in the arm of 18 appointments, the last month, this on its own as well. These decisions
n Revenue n Net loss (in ~ crore) a new president and a chairman, after more than required a full-time president, who has
ANEESH PHADNIS after over one and a half years, one and a half just been appointed to lead such an ini-
627
Mumbai, 5 November 474 464 the National Company Law Tribunal years tiative,” a legal expert, who did not wish
434 (NCLT) is sitting in a more comfortable to be named, said.

B
harti Airtel aims at leveraging its
180 million-plus digital service cus-
tomers and wide presence in rural
areas to grow its payment bank business.
“We are well placed as we can leverage
the over 180 million customers we have
across our digital assets. We offer a pleth-
ora of services, such as lucrative interest
rates, gift cards, FASTags, telecom
recharges, payments and debit cards. Our
large merchant base of more than 8 mil-
lion allows us to drive both engagement
and monetisation. This is one area that
is now seeing solid traction,” Bharti
Airtel’s chief executive officer (CEO)
Gopal Vittal had said in a post results’
conference call.
Airtel’s payment bank began opera-
tions in 2016 – first among the seven pay-
ment banks that are currently opera-
tional in the country. Airtel Payments
Bank has a customer base of around 115
million with a monthly transacting user
base of 31 million.
Vittal said the payment bank’s revenue
is close to ~1,000 crore on an annual basis
and the bank made profit at both operating
and net basis in the second quarter.
Airtel believes that payments banks
will be a significant growth driver along
with its enterprise and digital businesses.
A surge in digital transactions across
the country over the past few years and
wider adoption of 4G-enabled smart-
phones are expected to drive digital trans-
actions further. Airtel’s presence in tier 3
cities also gives it an edge over competi-
tors, Vittal added.
“With 0.5 million business correspon-
dents (retail agents engaged by banks), we
are well ahead of anyone else in the mar-
ket. To put this in context, our total pay-
ments bank distribution is two times that
of the total ATMs and bank branches in
the country. This allows us to offer a full
338
254
2019 2020 2021
Financial year
stack digital account. It is this advantage
that has enabled us to get into leadership
in the remittance market. A second big
opportunity is Aadhaar-enabled payment
systems. This segment is expected to grow
over 45 per cent CAGR (compound annual
growth rate) over the next four years. We
are also driving financial inclusion by
being a key player in the distribution of
various government-sponsored schemes,”
Vittal said.
The payment bank’s take rate (rate of
conversion of gross merchandise volume
into revenue) is 0.74 per cent. This is
among the highest in the industry, he
added.
position than it was a month ago. While
this should help in clearing the backlog
of cases in the short term, experts feel
the authority needs to be strength-
ened with adequate training, infrastruc-
ture and mechanisms to ensure independ-
ence from the government.
Earlier this month, the government
appointed eight judicial and ten techni-
cal members at the NCLT Benches after
the Supreme Court (SC) directed the
posts be filled immediately. Of the 63
sanctioned posts, 43 are now occupied.
The government recently advertised for
15 more posts for six technical and nine
judicial members.
“Most new members have resumed
office recently. In the next two to three
months we should see some difference
in the pendency of cases,” a senior official
said. Two of the most important appoint-
ments happened on October 29. Justice
Ashok Bhushan, a former SC judge, was
appointed chairperson of the NCLT and
Justice Ramalingam Sudhakar, former
chief justice of Manipur High Court, was
named president.
Some NCLT members also point out
that the original mandate of the NCLT
was to
deal with cases under the company law.
However, these days the adjudicating
authority is mostly dealing with cases
related to the Insolvency and Bankruptcy
Code (IBC).
“The strength sanctioned does not
take into account the added workload of
NCLT. IBC has become primary work.
There will be a shortage of members till
this is addressed,” a senior NCLT official
said.
As of August 2021, nearly 21,000 cases
were pending at the NCLT. Of these,
13,000 related to IBC and the remaining
dealt with company law.
To make best use of the available
resources, some members are doubling
up for other Benches as well. For
instance, in the absence of any judicial
member at the Allahabad Bench, a
member of the Kochi Bench has stepped
in.
Meanwhile, the NCLT will start to see
attrition from June with several
members retiring. Many have
just one year of service left.
For the judges recently
appointed, the NCLT held a
colloquium on IBC, company law
among other subjects.
Judges play a critical role in insol-
vency proceedings and must be inde-
pendent and competent in today’s soci-
ety. We need trained and skilled judges
to conduct such adjudications success-
fully and quickly,” said Sonam
Chandwani, managing partner, KS Legal
and Associates.
IBC and company law practitioners
have raised the issue of lack of domain
expertise among NCLT members as one
of the big challenges in the judicial pro-
cess.
A senior lawyer also said the NCLT
has to stay independent of the govern-
ment in matters where the government
is one of the litigants.
“While the increase in strength is
great news for NCLT, will it improve juris-
prudence or quality of judgments?” he
asked.

‘From next quarter, we hope to see positive growth’

PNB Housing Finance is set to present its short and long-term capital disbursements, and 96 per cent of have opened six branches (for states such Rajasthan, Gujarat,
requirements to the board, CEO HARDAYAL PRASAD tells Nikunj Ohri. It is also these are to the retail segment. affordable housing) and another Uttar Pradesh, Maharashtra,
looking to increase its presence in tier 2 and 3 cities to expand its affordable From next quarter, we will either seven would be opened by Telangana, Kerala, and Madhya
housing portfolio. Edited excerpts: look at a slight or zero December. We will start Pradesh. We plan to start
growth. It will not be looking at this portfolio operations in seven cities by
Housing demand has picked up also become a challenge. negative, as we are in a big way. December.
but your profit has declined by 25 experiencing for 8-9
per cent. Why? Will your entire focus be on the quarters. And later, the Will you expand your What will be the approach on
We decided to reduce our retail segment? growth would be 7-10 per presence to cater to the raising growth capital?
HARDAYAL
corporate book in 2019, which On the retail side, for eight cent, in line with the PRASAD affordable housing As and when capital requirement
resulted in a decline of 44 per quarters, our portfolio shrank, but industry growth. segment? is there, we will go to the market,
cent. This was a high-yielding this quarter has witnessed flat
CEO, PNB Housing This business comes and seek permission of the board. PNB couldn’t participate in the prepare a plan, and discuss it, we
Finance
book, but risky due to stress. growth. We will start growing Will the stress be more from smaller towns and Short-term capital requirement QIP earlier? How would it provide will know their decision. They
Income has come down, but from the next quarter in terms of towards affordable housing? we are continuing to push it will be up to March, medium term capital this time? have committed that they
expenditure hasn’t. Interest rates retail books. There has been a 68 We created a vertical in January to through our presence into new would be one to three years, and That’s best left for PNB and other remain supportive of the
started to decline, and that had per cent increase in focus on affordable housing. We territories. We have identified long-term capital beyond that. stakeholders to answer. Once we company.

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 4 ECONOMY & PUBLIC AFFAIRS
.>
NEW DELHI | 6 NOVEMBER 2021
<

Excise duty cut on petrol, diesel Consumption likely

could reduce inflation by 30 bps to get ~35K-cr boost
FUEL TAX CUTS
INDIVJAL DHASMANA tion in three months, bringing PAINLESS FOR
New Delhi, 5 November the total impact to 0.24 per-
centage points.
CENTRAL GOVT
Various estimates

T
he Centre’s move to cut Yuvika Singhal, economist
excise duty on petrol by at QuantEco Research, said the for tax revenue, net
~5 a litre and on diesel direct and indirect impact of to Centre (~ trillion)
by ~10 a litre could reduce the the Centre's steps would be 0.13
consumer price index (CPI) percentage points on the CPI
Budget estimate
inflation rate by up to 0.30 per- inflation rate each. “The com- 15.45
centage points. bined impact would be in the ICRA’s estimate after
However, not all of it will be range of 0.25-0.30 percentage six months*
visible in the November infla- points,” she said.
tion data, which will be The CPI cooled to a five- 16.85
released in December, as the month low of 4.35 per cent in Estimate after revenue
second round impact takes September from 5.59 per cent loss due to fuel tax cut
time to take effect.
Meanwhile, petrol prices
in the previous month.
Petrol has a weighting of
16.5
Source: Union Budget, ICRA,
were down by ~5.26 to ~6.77 a 2.19 per cent, while it is 0.15 per BS calculations
litre and diesel rates were lower cent for diesel in the CPI. * ICRA estimates that
Centre’s net tax revenue
by ~11.16 to ~12.48 per litre in Petrol’s price rise remained will be ~1.4 trillion higher
the four major metros — Delhi, elevated even as it moderated
Mumbai, Chennai, and Kolkata
TRACKING THE INDEX DROP IN FUEL PRICES to 22.26 per cent in September
than budgeted

— as on November 4, when the
cuts were enforced, over those
on November 3 and held on to
those rates on November 5.
However, petrol prices ruled
over ~100 a litre in all these four
metros, while diesel rates came
down below ~100. Before the
duty cut, diesel prices were
below ~100 a litre in Delhi.
Several NDA-ruled states
such as Uttar Pradesh,
Himachal Pradesh, Bihar,
Gujarat, Goa, Karnataka,
Uttarakhand, Assam, Manipur,
and Tripura have reduced
value-added tax on these two
fuels, which has further low-
ered the retail prices in these
states. Uttarakhand saw an
~11.69 a litre decline in petrol
prices and Shimla witnessed
~17.33 per litre lower diesel
prices as on November 5 com-
pared to November 3.
On the other hand, the
measures could cost the Union
government around ~60,000
crore in the remaining five
Month CPI (In % YoY)
Jan-21 4.06
Feb-21 5.03
Mar-21 5.52
Apr-21 4.23
May-21 6.3
Jun-21 6.26
Jul-21 5.59
Aug-21 5.3
Sep-21 4.35
Note: Detail CPI inflation is not available from March
to June
months this fiscal year, official
sources said. However, an
increase in demand for fuels
due to reduction in prices
could somewhat alter the
numbers given above.
Madan Sabnavis, chief
economist at CARE Ratings,
said the direct impact of the
Centre's measures would be
0.18-0.2 percentage points on
CPI inflation. However, the sec-
ondary impact would be
around 50 per cent of the direct
Petrol Diesel Prices in four metros in ~/litre from 24.01 per cent in the pre-
12.53 10.61 vious month. The diesel infla- ABHISHEK WAGHMARE Some research agencies have put a higher
Before excise After excise Change in
20.67 20.69 duty cut* duty cut** prices# tion rate rose to 22.44 per cent Pune, 5 November number on the revenue loss. Nomura, for
NA NA from 22.06 per cent during this instance, finds that the revenue loss for the
Petrol Diesel Petrol Diesel Petrol Diesel period. The inflation rate in After nearly 18 months, the Union govern- remaining part of FY22 will be ~45,000 crore.
NA NA these two items of fuels ment cut a slice from the exorbitant rates of “We revise our estimate of the fiscal deficit to
Delhi 110.04 98.42 103.97 86.67 6.07 11.75
NA NA remained over 20 per cent tax on petrol and diesel. The cut of ~5 per litre 6.5 per cent of GDP (previously 6.2 per cent)
NA NA Mumbai 115.85 106.62 109.98 94.14 6.77 12.48 since February this year. on petrol and ~10 per litre on diesel will pro- versus the budget target of 6.8 per cent,” it said.
23.7 24.27 Chennai 106.66 102.59 101.4 91.43 5.26 11.16
ICRA Chief Economist Aditi vide relief to millions of consumers. But, as Reduction in fuel prices at retail level will
24.01 23.61 Nayar said the first order with any tax cut, this will hit the govern- also ease inflation to some extent. After all,
22.26 23.21 Kolkata 110.49 101.56 104.67 89.79 5.82 11.77 impact of the Centre's meas- ment’s treasury. How much? transportation is a cost borne by the masses,
ures would be visible in the A Business Standard analysis shows the and inflation in that segment has been the
* On November 3; **on November 4
Source: MoSPI, PPAC #After duty cuts from pre-duty cuts in ~/litre November CPI data, which Centre will lose close to ~35,000 crore owing highest in a decade. “The tax cuts should
should now range between 3.5 to the decision. Sounds like a big loss to the lower headline CPI inflation by 0.14 percent-
per cent and 4 per cent, allow- exchequer, but this amount will remain in the age points due to direct effects, and up to 0.3
impact and hence could be reduction in fuel cost passed on ing a breather ahead of the next consumers’ pockets for consumption in the percentage points, if indirect effects are
around 0.1 percentage point, he to consumers by producers. It review by the RBI’s monetary remaining part of the financial year. included,” it added.
said. “We expect around 0.3 may start reflecting on prices policy committee. In other words, an amount worth nearly 0.15 This is how the calculation on the poten-
percentage point reduction from next month or whenever CRISIL Chief Economist D per cent of gross domestic product will be tial loss to the exchequer has been done. The
from the point of view of CPI truckers decide on revision in K Joshi said the move was pos- available to Indians for private consumption Centre has earned revenue at the older
inflation,” he said. freight rates,” he said. itive for the growth-inflation for five months. This is nothing less than a (higher) rates for seven months of this finan-
Devendra Pant, chief econ- Rahul Bajoria, chief India mix and would help curb fuel stimulus to spend. cial year. As regards petrol and diesel, 40-42
omist at India Ratings, said the economist at Barclays, said inflation and support growth. And the Centre need not worry because of per cent is consumed in the past five months,
direct impact of the cut would overall, the direct impact of “Its impact will be visible in robust revenues from personal and corporate on average, a look at their consumption in
lead to a 0.15 percentage point this tax reduction would be the November CPI data, to be income taxes. The Centre has garnered 55 per previous years tells us.
decline in the retail headline 0.12 percentage points on the released by December 12. The cent of its annual receipts in the first six The government expected ~3.2 trillion this
inflation rate. CPI in November, and it would second round effects will be months of 2021-22 against the usual average year from the two fuels in the full financial
“The second round impact lead to an indirect impact of visible over the next few of 40 per cent in the first half. Further, growth year at the older tax rates, according to the
will depend on the extent of 0.12 percentage point reduc- months,” he said. over FY20 (two years) has been strong at Union Budget 2021-22. Probable revenue from
31 per cent, falling in line with the average the last five months has been calculated using
annual revenue increase of 14 per cent in nor- the share mentioned above. Further, petrol
mal times. accounts for nearly 30 per cent in the retail

Freight rates on key routes to cool

SHALLY SETH MOHILE
Mumbai, 5 November
+ Freight rates on key trunk routes are
expected to come down by 10-12 per
cent in the next few days following the
cut in diesel prices, according to the
Indian Foundation of Transport
Research and Training (IFTRT).
The prices of fruit, vegetables, and
other consumables are expected to
reduce, offering a relief to consumers.
If we consider the Centre’s tax revenues consumption of the two most commonly used
only, the position is stronger: As much as 60 fuels. This share, or weighting, has been used
per cent has been covered halfway through to arrive at the estimate of the revenue lost.
the financial year. The Centre and states together have pock-
reduced VAT too,” said Hemal Thakkar, Economists have predicted the Centre will eted close to ~7 trillion just from levying tax on
TAKING A HEAVY TOLL director, CRISIL. exceed its revenue target this year. ICRA Chief the two fuels since the rates were raised after
Rental movement Diesel consumption Initially freight rates did not increase Economist Aditi Nayar expects the Centre’s tax the pandemic began.
(in~) price escalation* (in ~) in the same proportion as diesel prices, coffers will get ~1.4 trillion more than the After the Centre’s decision to cut fuel taxes,
Trunk route As of Oct 1 As of Nov 1 Chg % so there were chances of freight rates Budget projection, in addition to ~50,000 crore some states have followed suit and reduce sales
further increasing as demand was buoy- from higher-than-expected dividend from the tax (or value-added tax) on the fuels.
Delhi-Mumbai-Delhi 120,000 132,000 10 5,600
ant, he said. “The gap between freight Reserve Bank of India. Even if the fuel tax cut Unlike the Centre, states’ earnings from
Delhi-Nagpur-Delhi 105,500 115,000 10 5,500 and diesel prices will be determined by shaves off ~35,000 crore from the Centre’s kitty, fuels have remained steady at ~2 trillion
Delhi-Kolkata-Delhi 104,000 116,500 12 5,800 demand-supply dynamics, which will its revenue position is set to remain strong. annually for three years.
Delhi-Guwahati-Delhi 156,500 175,200 12 8,800 find a balance in the coming days,” he
Delhi-Hyderabad-Delhi 138,000 154,600 12 6,000 said. Bal Malkit Singh, former president
of the All India Motor Transport

23 states lower VAT rates

*Diesel price hiked by ~7.55 per litre in October ; Note: Average diesel consumption 4 km/litre Source: IFTRT
“Freight rates are expected to come Congress, said: “We welcome the move
down 10-12 per cent in the next few has dried up. The combined effect of hike was more than double the increase and are requesting the state govern-
days,” said S P Singh, senior fellow at reduction in cargo availability and drop in diesel prices due to the high utilisa- ments to reduce VAT.”
the IFTRT, a think-tank. He attributed in excise and VAT will drag down tion of 80-85 per cent on key trunk Diesel prices and other costs, includ- TWESH MISHRA Puducherry, and by ~12.62 in Kerala, Meghalaya, Andaman
it to the fall in diesel prices and an freight rates by at least 12 routes, according to the ing tyre prices, have gone up drastically, New Delhi, 5 November Mizoram. Similarly, the price & Nicobar, Jharkhand, and
expected drop in value-added tax (VAT) per cent. It can go up to IFTRT. It was fuelled hitting the transporters’ viability, he of diesel has reduced by ~19.49 Punjab have also held back
rates by state governments. 14-15 per cent by month- by festive season said, adding, he was not sure if the Twenty-three states and per litre in Karnataka, VAT cuts.
In Delhi, for instance, the diesel price end, Singh said. demand and a 25 demand would hold up even after the union territories have cut followed by On Wednesday
is down by ~12, also on account of reduc- Since states charge per cent increase festivals. Sachin Haritash, founder and value-added tax (VAT) on Puducherry evening, the Centre
tion in VAT. In some states the reduction VAT not just on the in factory dis- chief executive officer, Mavyn, a digital petrol and diesel after the (~19.08) and had announced a
is ~14, said Singh. The expected fall in base price but also on patches. trucking platform, said the transport Centre lowered excise duty on Mizoram (~18.34). reduction in excise
truck rentals will be the first in five the excise duty the However, some industry would respond to the diesel auto fuels on Wednesday. Thirteen states duty on petrol by
months. After plunging 23-27 per cent Centre levies, the inci- sector watchers price reduction with immediate effect, According to an official continue to hold ~5 a litre and diesel
in April and May owing to the pandemic, dence of price reduc- said the cut in die- which, in turn, will reduce the prices of statement, states that reduced on to existing VAT by ~10 a litre. The
rentals have been rising since June. tion is higher. The sel prices alone might not perishable goods like fruit, vegetables, fuel prices the most were rates, including large move came into effect
With the high tide of the festive sea- reduction was larger in reduce freight rates. The forces poultry, and dairy products. “We expect Karnataka, followed by states like Rajasthan, from Thursday morning,
son ending with Diwali, the freight vol- states with a higher VAT. Truck oper- of demand and supply will be the key contract and spot prices to cool. It would Puducherry and Mizoram. Maharashtra, Odisha, bringing down the retail price
umes started reducing in October-end. ators running on medium and long determinant. “We will have to wait and bring back truck operators who have On a per litre basis, petrol Chhattisgarh, Delhi, West of petrol in the national cap-
So the additional demand of 30-35 per routes had taken an average price hike watch as not only has the Centre been off the road due to high fuel has reduced by ~13.35 in Bengal, Tamil Nadu, ital to ~103.97 a litre and diesel
cent, which came up due to the festivals, of 10-12 per cent during in October. The reduced excise but several states have prices,” said Haritash. Karnataka, by ~12.85 in Telangana, Andhra Pradesh, to ~86.67 a litre.

Inflation holds key to rein in govt’s fiscal deficit
The first of a three-part series looks at the
relationship between inflation, govt finances
SUBHOMOY BHATTACHARJEE
New Delhi, 5 November
The surging inflation is welcome news
for the finance ministry as it seeks to
come close to achieving the fiscal deficit
target for FY22.
The good news will stay even though
the rising rates have begun to push up
the cost of government borrowing.
“The average cost of borrowing by
the Centre will not move much this
financial year,” said Pinaki Chakraborty,
director, National Institute of Public
Finance and Policy.
The weighted average
borrowing cost in FY21 was
5.79 per cent, which was the
lowest in the past 17 years,
and the weighted average
maturity was 14.49 years,
according to the finance
ministry data.
The combined deficit of
the Central government SHADES OF
and the states is expected to
moderate. An India Ratings
INFLATION
report issued last week
shows the states have in
PART-I
aggregate borrowed 10 per
cent less than what they
had announced at the beginning of the
financial year.
Balancing maths: This is also the
sense within the finance ministry as
discussions with the line ministries are
about to be wrapped up. The fiscal
deficit of 6.8 per cent for FY22 looks
likely to be achieved. The Department of
Investment and Public Asset
Management in the finance ministry has
said that the sale of Bharat Petroleum
Corporation and the listing of Life
Insurance Corporation will happen in
FY22, bringing in the projected ~1.75
trillion to government receipts.
The reason why higher inflation
(consumer price index [CPI] or
wholesale price index [WPI]) helps in
lowering the estimated fiscal deficit is
simple. The fiscal deficit, which is the
difference between the
expenditure of the
government by way of
revenue, capital, and loans net
of repayments, on the one
hand, and revenue receipts
plus capital receipts (net of
borrowing) is calculated as a
percentage of nominal GDP —
nominal GDP because the way
it is calculated on current
prices includes the inflation
component.
To estimate the real rate of
GDP growth, statisticians net
out inflation using a GDP
deflator, a weighted average of
the CPI and WPI. In September, the
former was currently running at 4.35 per
cent and the latter at 10.66 per cent.
Higher inflation would therefore shrink
the deficit just as a higher subsidy
reduces nominal GDP. On balance,
however, the numbers as of now show
the effect of higher inflation will
overwhelm the higher subsidy.
High inflation, if it persists in the next
fiscal year, could create difficult policy
choices for Finance Minister Nirmala
Sitharaman for FY23.
“High inflation, like steroids, helps
government estimates look good
initially but in subsequent years makes
it difficult to project any of the numbers
accurately,” said Deep N Mukherjee,
visiting professor of finance at the
Indian Institute of Management
Calcutta. The minister has to take a call
on whether to keep the fiscal deficit for
FY23 unchanged or assume more fiscal
consolidation. Fiscal consolidation will
be rewarded by foreign borrowers,
ILLUSTRATION: BINAY SINHA
whom the ministry plans to tap
aggressively in FY23, by pushing for
inclusion in the global bond indices. But
it might need the government to cut its
capital expenditure as it is the only space
where there is scope for a cut.
Government capital expenditure is
budgeted to grow to 2.49 per cent of GDP
in FY22, consistently raising its share
since FY19.
The Central government accounts
for about one-third of the public capital
spend. The states will find it difficult to
meet their two- share of two-thirds.
According to the CARE Ratings data,
eight of the largest states are running a
revenue deficit in the first five months of
FY22. It means they will have to cut back
on capex to meet their deficit targets
casual labourers. It was signed last
week. A very small one was the waiver of
a ~300 per month charge on senior
management grade officers for the
despite the Finance Commission’s
forbearance. So meeting the fiscal deficit
laptops given to them for official use. In
fact, the government-run marketplace,
targets could come at a cost.
Borrowing maths: Finance ministry
e-GEM, has suddenly found a huge
bump-up in its order books as
officials have discovered the government departments have begun to
expenditure of the Centre in FY22 is place invoices for all sorts of expenses —
running behind the rate for FY21. from laptops to sundry office
According to the updated monthly data equipment. More orders to stimulate
of the Controller General of expenditure in government
Accounts, the expenditure of ministries are expected in the
the Centre is at 46.7 per cent HIGH INFLATION, next few weeks.
of the Budget Estimates for IF IT PERSISTS IN While the finance ministry
the first six months of the THE NEXT FISCAL has been liberal with the
year, against 48.6 per cent YEAR, COULD spending plans of key
last year. This includes both CREATE DIFFICULT ministries from the
capital and revenue POLICY CHOICES beginning of the year, it will
expenditure. FOR FINANCE be a tough task to spend their
A major item of additional MINISTER entire budget. In FY20, the
revenue expenditure could SITHARAMAN year before Covid, these
be the proposed extension of FOR THE NEXT ministries — health,
the scheme for supplying an FISCAL YEAR education, rural
additional 5 kg of food grains development, and drinking
per person per month, as a water and sanitation, with
Covid help measure. The PM Garib budgets of about ~1 trillion and more for
Kalyan Anna Yojana ends this month. each — had an unspent balance of
However, officials have factored in an ~47,808 crore at the end of the year.
extension till the end of this fiscal year, This year, because the relaxation in
which will cost the government another spending orders has come close to the
~53,000 crore. firming up of the Budget numbers, the
Overall, while the food and fertiliser
subsidies will exceed the budget targets,
expectations of a shortfall in
expenditure are similar. This is the
the trends in others are not so certain.
To expedite expenditure, the finance
reason the Department of Economic
Affairs has projected no increase in
ministry has begun to relax austerity- borrowing programmes for the year
linked circulars given to central from the markets. The higher interest
ministries to bring their expenditure to rates, as Chakraborty says, will not skew
a dead halt from April 2020. the bill for interest on borrowings,
The big relaxations of late include projected at ~8.09 trillion for FY22.
the grant of a bonus equivalent to 30 Higher inflation and the consequent
days’ pay to non-executive employees of rise in the interest rates will begin to bite
the Central government, including into government finances in FY23.

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 6 ECONOMY & PUBLIC AFFAIRS
>
NEW DELHI | 6 NOVEMBER 2021 1

Delhi’s post-Diwali air

No plan to extend Experts want India to be
quality poorest in 5 yrs
cautious on trade deals
free ration scheme SHREYA NANDI
New Delhi, 5 November
TRADE DEALS
& TIMELINES
“We are understaffed at
present. Due to such ambitious

beyond Nov: Govt

With India warming up to sign
at least three early-harvest and
full-blown trade deals within
the next five months, experts
AGENCIES harked back to the past, saying
New Delhi, 5 November the country must be circum-
spect in such deals.
UAE: Comprehensive
Economic Partnership
Agreement by March 2022
UK: Interim trade deal
by March 2022, followed
by a comprehensive FTA
targets, (hope) we don’t end up
making any mistake while
signing EHAs by March,” said
Pradeep S Mehta, secretary-
general, CUTS International, a
global think tank on trade, reg-
ulation, and governance.
Anwarul Hoda, chair pro-

An anti-smog gun being used to spray water droplets to curb
air pollution, as a thick layer of smog engulfs Delhi following
Diwali celebrations, on Friday
Delhi recorded its poorest post-
Diwali air quality in five years
on Friday with a deadly cocktail
of noxious fumes from
firecrackers and stubble
burning pushing the 24-
average AQI to 462, according
to data from the Central
Pollution Control Board (CPCB).
The 24-hour average air
quality index (AQI) the day after
Diwali was 435 last year, 368 in
2019; 390 in 2018; 403 in 2017
and 445 in 2016. The AQI was
382 on Diwali day this year, 414
PHOTO: PTI
after residents flouted the ban
on firecrackers to celebrate
Diwali and emissions from
farm fires in the region peaked
at 36 per cent. Residents in
many parts of Delhi-NCR
complained of an itchy throat
and watery eyes on Friday.
The neighbouring cities of
Faridabad (469), Greater Noida
(464), Ghaziabad (470),
Gurgaon (472) and Noida (475)
also recorded ‘severe’ air
pollution levels. The Delhi
government had announced a
T
he Union government
on Friday said there was
no proposal at present
to extend the distribution of
free ration as part of the
Pradhan Mantri Garib Kalyan
Yojana (PMGKAY-3) beyond
November 30.
It’s because the economy is
reviving and the open market
sale scheme disposal of food-
grains has been exceptionally
good this year, Food Secretary
Sudhanshu Pandey said on
Friday. The PMGKAY was
announced in March 2020 to
address the Covid distress.
Initially, the scheme was
launched for the April-June
2020 period but was further
extended till November 30.
Under the PMGKAY, the
Retail edible oil prices
drop by ~5-20 per kg
Edible oil prices in the major
retail markets across the
country have declined by ~5-
20 per kg after various
measures, including an import
duty cut, by the government,
in Indonesia, Brazil and other
countries. “The government
has taken a number of steps to
ensure consumers get relief
from high prices. We are happy
to share the trend from 167
India is currently negotia-
ting free trade agreements
(FTAs) with the UK, the
European Union, the United
Arab Emirates, and Australia.
In most cases, India is
approaching a strategy to first
ink a mini trade or early-har-
vest deal, which will be a pre-
cursor to an FTA that will be
signed eventually.
Without disclosing names,
Union Commerce and
Industry Minister Piyush Goyal
had said two more countries
and a group of nations have
evinced an interest to start FTA
talks with India — a harbinger
of the world wanting to do
business with India.
Australia: Comprehensive
Economic Cooperation
Agreement by end-2022;
early-harvest agreement to
be signed by December 25
EU: Talks expected to start
by year end
While industry and govern-
ment officials have said signing
early-harvest agreements
(EHAs) can be a good strategy
since it signals commitment
from both nations and kicks off
trade in a small (albeit limited)
way, some believe the targets
are too grandiose right now.
fessor of Indian Council for
Research on International Eco-
nomic Relations’ trade policy
and WTO research progra-
mme, said India should be
mindful of the past experience
of FTAs, especially concerning
EHAs, since they have resulted
in adverse developments for
India. “EHAs have to be
drafted carefully. Earlier, we
had signed an FTA with
Thailand, which also had an
EHA component. It only
resulted in an inverted duty
structure and India suffered
quite a bit. One has to ensure
that there is no adverse effect
through an inverted duty
structure,” said Hoda.

~, bond may stay calm as Fed’s

in 2020; 337 in 2019; 281 in 2018; complete ban on firecrackers
319 in 2017 and 431 in 2016. till January 1, 2022, and ran an
A thick layer of acrid smog aggressive campaign against
hung over Delhi-NCR on Friday their sale and use. PTI
IN BRIEF
Block input tax credit only
on basis of evidence: CBIC
The CBIC has come out with guidelines on
blocking of tax credit by GST field officers,
saying that such blocking should be on the
basis of ‘material evidence’ and not just out
of ‘suspicion’. The guidelines laid down five
specific circumstances in which such credit
could be blocked by a senior tax officer.
These include availment of credit without any invoice or any valid
government supplies free
ration to 800 million ration
card holders identified under
the National Food Security Act
(NFSA). The free ration is given
over and above the subsidised
grains distributed to them via
ration shops. The government
has been giving rice and wheat
to bulk consumers under the
OMSS policy to improve avail-
ability in the domestic market
and check prices.
According to official esti-
mates, the Centre will bear an
additional expenditure of
~67,266.44 crore on extending
the free food grains distribu-
tion programme for five
Food Secretary Sudhansu
Pandey said on Friday.
The official said that
branded oil makers have also
revised the rates for new stock.
Domestic edible oil prices
have soared in tandem with
the global prices which shot up
due to reduced availability of
edible oils for food use
following diversion for biofuel
months starting from July,
which together with the
~26,602 crore extra spending
on the scheme for May and
June entails a total expected
extra expenditure of ~93,868
centres. Edible oil prices have
declined quite significantly in
the range of ~5 and 20 per kg in
the major retail markets across
the country,” Pandey said
during a press briefing.
The government monitors
retail prices of six edible oils
from 167 centres across the
country.
PTI
crore on free food in FY22.
This additional subsidy
expenditure of around ~93,868
crore will be over and above the
Budget Estimates of ~242,836
crore of food subsidy in FY 22.
$15-bn taper on expected lines
ANUP ROY
Mumbai, 5 November
The US Federal Reserve’s $15
billion monthly taper is
unlikely to affect India’s bond
and currency market, as
global markets, including in
India, were prepared for up to
$20 billion cut-back a month.
“The taper was mostly fac-
tored in and will only have a
marginal impact. There is no
tantrum, rather it is happen-
ing smoothly this time,” said
Joydeep Sen, consultant, fixed
income, at Phillip Capital.
“Maybe we will see some
nominal incremental impact
when it actually happens, but
there are so many factors in a
dynamic market,” Sen said.
The US Federal Reserve
said it would start its tapering
later this month. It will buy
$10 billion less in treasuries
and $5 billion in mortgage-
backed securities. The US
Fed also said inflationary
pressures would last well into
next year.
The 10-year bond yield
had closed at 6.34 per cent on
Wednesday. The market was
closed on Thursday and
Friday.

How ambitious are India’s 2030 climate plans

document, or availing of credit by purchasers on invoices on which
GST has not been paid by sellers. The Central Board of Indirect Taxes
and Customs (CBIC) said the commissioner, or an officer authorised
by him, not below the rank of assistant commissioner, must form an
opinion for blocking of input tax credit (ITC) only after “proper
application of mind” considering all the facts of the case.
Goyal: Time to target 5-fold rise in
+
technical textile exports in 3 yrs
Union Minister Piyush Goyal on Friday said the time has come to
target a five times increase in the export of technical textiles in
three years, from the current $2 billion to $10 billion. Addressing
representatives of the Indian Technical Textile Association here,
the minister said the government will support production-
linked incentives for the textile sector in states supporting the
development and offering affordable infrastructure for textile
manufacturing like cheap land and power.
DoT fixes Dec 2022 deadline for
transition to new IP addresses
The Department of Telecom has fixed December 2022 as the
deadline for internet service providers to customise their
network as well as change modem and routers at customers'
premises for the services as per the internet protocol address
IPv6. The DoT has set June 30, 2022, as the last date for
government organisation for complete transition to IPv6,
according to an official note issued on November 2. PTI
Sidhu withdraws resignation
ABHISHEK WAGHMARE & ISHNAAN GERA
PTI Pune/New Delhi, 5 November
As India set itself on a path to the long-
term target of becoming a net-zero econ-
omy by 2070, Prime Minister Narendra
Modi committed to the world four dis-
tinct near-term targets to be achieved by
2030: improving renewable power gen-
eration capacity, greening India’s energy
use, cutting emissions explicitly, and
reducing the economy’s dependence on
carbon-emitting fossil fuels.
How has India performed on these
fronts so far? And how achievable — or
PTI steep — does the target look from this
point in time?
#Mission2030 Target 1: Take India’s
non-fossil energy capacity to 500 Gw
Of the 388 Gw of installed power
capacity in India today, nearly 150 Gw
is from renewable sources, including
hydroelectric power. It has taken us
seven years to double the capacity
from 2014. The previous doubling was
achieved in eight years.
Now, to achieve 500 Gw by 2030,
India needs to add 350 Gw in nine
years. For that, we need to double the
capacity in less than five years, accord-
sources. To go from 24 per cent to 50 per
cent in nine years is a challenge, as it TARGET 1: TAKE INDIA’S NON-FOSSIL TARGET 2: MEET 50% OF ENERGY
would require a quadrupling of renew-
able power generation in a decade. This CAPACITY TO 500 Gw FROM RENEWABLES
is the most conservative scenario,
wherein the generation from fossil fuels
Renewables capacity (including hydro) in Gw in TWh or billion units
is considered steady at 2019 levels. If that
increases every year — which is more CAGR CAGR CAGR CAGR
likely than not — renewable power gen-
3.3% 7.9% 10.1% 14.5%
eration would need to increase by a
higher multiple by 2030, probably five or
six times that of today.
The improvement till now has been
tepid: the share of renewables in power
generation was 19 per cent in 2010, and Source: IEA Electricity Information 2020, BS Analysis
2030 is an estimate assuming fossil fuel generation does not increase in
17 per cent in 2000 (The share was higher Source: CEA, BS Analysis; Data after 2021 are estimates the next 10 years
in 1990 due to larger share of hydropower
and relatively underdeveloped thermal
power stations). TARGET 3: REDUCE CARBON EMISSIONS TARGET 4: REDUCE CARBON INTENSITY
#Mission2030 Target 3: Reduce
BY 1 BN TONNES BY 45%
Annual emissions in CO2e, billion tonnes
total projected carbon emissions By the target year... Reduce emission intensity by...
by 1 bn tonnes
2005 - Base 0%
Modi also announced a direct cut in car-
bon emissions in this decade and prom- 2016 - Actual 24%
ised that India’s total emissions till 2030
would be 1 billion tonnes lesser than the 2020 - Original pledge 25%
current projection. The Climate Action 2030 - Paris pledge 35%
Tracker projects India’s annual emissions
at 4 billion tonnes of CO2e in 2030.
Reduction of 1 billion tonnes over Assumption: Reduction of 1 bn tonnes over nine years = 111 mn tonnes of
2030 - Glasgow pledge 45%

as Punjab Congress president ing to back of the envelope calcula-

tions. The annual trend has been cal-
nine years would require —math-
ematically — a reduction of 111 million
cut per year
Source: OurWorldInData, Climate Action Tracker, BS Calculations
Source: Technical analysis of the third biennial update report
of India, UNFCCC

Congress leader Navjot Singh Sidhu on Friday said he has
withdrawn his resignation as Punjab Congress chief, over a month
after he took the decision to step down from the post. “I have
taken back my resignation,” he said. Making the announcement,
Sidhu, however, said he will assume charge the day Punjab will
get a new Advocate General. He had earlier expressed his
reservations over the appointment of senior advocate A P S Deol as
the state's advocate general. PTI
culated using compounding the
growth rate from 2022 to 2030.
#Mission2030 Target 2: Meet 50%
of energy requirement from
renewable energy
Today, India produces 24 per cent of the
electricity generation from renewable
tonnes each year. This would cut
India’s annual emissions by 2.5-3 per
cent by 2030.
#Mission2030 Target 4: Reduce
carbon intensity of its economy
by less than 45%
In its voluntary pledge in 2010, India had
envisaged that the emission intensity of its economy
would reduce by 25 per cent from the 2005 levels by
the year 2020. In its assessment, India found and
reported that intensity was cut by 24 per cent in
2016 itself, way ahead of the target. In the 2016 Paris
agreement, India planned to reduce the intensity
by 35 per cent (from 2005 levels) by 2030. In Glasgow
2021, the prime minister made the target further
ambitious by announcing that India will cut the car-
bon intensity by 45 per cent of 2005 levels by 2030.

From PPP to organisational changes, a tightrope walk for Vaishnaw

TWESH MISHRA
New Delhi, 5 November
Union railway minister Ashwini
Vaishnaw has completed three
months in office but the Indian
Railways that was at the crossroads
of getting in more private
investment into the system is still
not full steam into it despite his
predecessor Piyush Goyal’s push.
One of the key challenges is to
pick up the thread for private trains,
tender for which was designed
during Goyal’s tenure, but had to be
discharged due to tepid response.
Where the Indian Railways did
move ahead, however, was station
redevelopment which was largely
pursued through Indian Railways
Stations Development Corporation,
a joint venture of Ircon and RITES.
The corporation oversaw the
completion of the Habibganj and
Gandhi Nagar station
modernisation projects. It was also
taking up the modernisation of the
Bijwasan railway station. IRSDC,
however, is in the process of being
shut down in line with the Sanjeev
Sanyal committee report that the
Union government adopted
recently. The redevelopment work
would be carried out by the zonal
railways themselves post the
shutting down of IRSDC.
Electrification of 68,155 route
kilometre (RKM) broad-gauge
railway routes by December 2023 is
nearing completion. According to
an official release from September
2018, the electrification of sections
covered under the Cabinet
Committee on Economic Affairs
decision was to result in net savings
of Rs 3,793 crore annually.
The projected cost saving is
much higher today diesel was
around ~70 to ~75 a litre during the
period of these initial estimates but
is now retailing close to ~100 a litre
in parts of the country. The average
retail price of diesel has zoomed and
this means more expensive
operations for the Indian Railways
that earmarked ~11,000 crore for
buying diesel for the current year.
According to latest data, 46,677
route kilometre (rkm) of track elect-
rification has been achieved of
which 796 rkm has been done dur-
ing 2021-22. The target for this
financial year is 8,000 rkm (the
highest ever) out of which the
Central Organisation for Railway
Electrification (CORE) has been
tasked with electrifying 6,000 rkm.
This is a taller target than before
with electrification of 6,015 rkm
being achieved in 2021-21 and 5,276
rkm in 2019-20, an annual record
being set in both years. If achieved,
a new record would be attained this
year too.
While there are other railway
institutions that are also
conducting the electrification, the
largest share of this responsibility
lies on the shoulders of CORE.
“Nine of our project units are
committed to achieve 100 per cent
electrification of the Indian
Railways network by December
2023,” Y P Singh, general manager of
CORE, told Business Standard.
In addition to modernising the
railway infrastructure, the
electrification would offset
pollution and bring the national
transporter closer to its aim of
becoming a ‘net-zero carbon
emitter’ by 2030. This also requires
more deployment of renewable
energy. This has been a challenging
area for the Railways that has a goal
of setting up 20 GW of solar energy
generation capacity on surplus land
and land along the tracks. Despite
multiple bid extensions, renewable
energy project developers have not
been very enthused by the
proposals.
But these energy focused
initiatives would not be enough to
pull the Indian Railways out of the
financial difficulty. There is dire
need to improve freight earnings,
something that has been working in
Vaishnaw’s favour. According to
Rail Ministry data, freight revenue
in September 2021 stood at
~10,815.73 crore, 9.19 per cent higher
than ~9,905.69 crore earned in
September 2020. Earnings from
freight traffic in 2021-22 till
ILLUSTRATION: BINAY SINHA
September 2021 rose to ~66,609
crore on a cumulative basis which
was 32.73 per cent higher than
~50,184.18 crore during the same
period of the previous financial
year. If this trend continued, it
would mean an improvement in
operating ratio, a measure of the
financial performance of the Indian
Railways.
The New Bhaupur — New
Khurja Section of dedicated freight
corridors (DFCs) that was
inaugurated on December 29, 2020
while the Rewari — Madar Section
operationalised on January 7, 2021
have helped in increasing freight
loading. The Dedicated Freight
Corridor Corporation of India has
started consultations to develop a
section of the corridor under public
private partnership mode, hoping
to rake in more revenues.
Despite all these efforts,
earnings alone cannot turnaround
the Railways that has been
adjusting its advance payments for
managing operating ratio (OR) to
present better optics. Nearly 70 per
cent of the Indian Railway’s
expenses are staff costs, which are
perceived as a drag on the budget.
The committee under Sanyal,
the principal economic advisor, the
Ministry of Finance, has
recommended a turnaround
strategy that includes exiting non-
core activities and introducing
more public-private partnerships in
activities such as running the 94
railway schools and 125 hospitals.
Seven central training institutes
(CTIs) are to merge into the National
Rail and Transportation Institute
which could help in ‘significantly’
reducing training costs.
Sanyal also has far-reaching
recommendations for the Railway
Public Sector Undertakings (PSUs).
He has proposed winding up CORE
once the electrification is complete,
and the Railway Recruitment
Control Board (RRCB), the Central
Organisation for Modernisation of
Workshops, and the Indian
Railways Organisation for Alternate
Fuels (IROAF). Of these, IROAF has
already shut shop, but shutting
down other organisations of the
railways will not be that easy.
Sanyal has also proposed
winding up the Centre for Railway
Information Systems (CRIS) and
giving its work to Indian Railway
Catering and Tourism Corporation
(IRCTC), a PSU whose core function
is internet ticketing. Further,
RailTel Corporation, a PSU that
largely provides enterprise services
to other PSUs, is also proposed to be
merged with IRCTC.
These recommendations have
riled up employees in most PSUs. It
will be a tightrope for Vaishnaw to
walk who has been taking a while to
merge the Railways existing eight
group A services into a single service
called Indian Railway Management
Service. This move was approved by
the Cabinet in 2019 but is nowhere
near implementation.

This PDF was originally uploaded to Business Standard Newspaper - ePaper (https://t.me/bs_epaper). Subscribe now to get this edition before anyone else!! Backup channel: @news_backup
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 .
NEW DELHI | 6 NOVEMBER 2021 TAKE TWO 7 <

The future of digital-only news
The first lot of these online entities is finally
making money. But regulation and the
availability of capital will determine
their future
VANITA KOHLI-KHANDEKAR
Pune, 5 November
“Unmasking the killer behind the
Cobra: How Kerala cops cracked
the case.”
“Tiger T-23 captured alive in the
Nilgiris after 21-day hunt.”
PRINT - THE ONLINE READERSHIP STORY
> DEC-17
THE TOP INDIAN NEWS PROVIDERS ONLINE
> JUL-21
investor in the site. Its flagship, The
Quint, shut the year with ~22 crore
in revenues. “It has been profitable
for the last four quarters and in the
current one it generated free cash
flow,” he adds.
Six years after its launch,
Inshorts, which offers news stories
from different newspapers, agen-
Satellites can
fourths of the ~23,500-crore adver- standing who is likely to pay or not.
tising money spent on digital. This If I push the wrong user to a pay-
leaves just about 20-30 per cent for
thousands of digital brands. To this,
wall, I will lose him. Algorithms on
who needs to be shown the paywall track carbon
add the pandemic. “During both
these (Covid) waves, users and inven-
are critical,” reckons Gupt. This
requires investing in artificial intel- pledges made
tory increased but revenue fell,” says ligence (AI), key to Google and
by nations
Puneet Gupt, COO, Times Internet. Facebook’s dominance.
That’s the second question:
Total unique visitors/ % reach Average minutes
viewers (in million) per visitor
The push for pay where is the capital? HENRY FOUNTAIN
The Morning Context was set up in “Raising money is a challenge,” 5 November
Total internet audience 273 100.0 2,933.4 late 2020 with funds from friends says Vellore. “In the short-term, rev-
News/information category 222 81.1 95.9 and family. The idea behind the sub- enue models are not defined. Three Under the 2015 Paris
scription-based business site was to years back it was possible to build Agreement to limit global
News media firm do “long form quality journalism,” a business on the back of advertis- warming, nations must
The Times Of India sites 85 31.2 41.6 says Ashish K Mishra, editor-in- ing. Now, that may be true only for measure and report progress
chief. It claims to have a renewal rate the bigger guys. The future of inde- toward their pledged reduc-
India Today Group 61 22.2 14.4
of 60 per cent on its small base. pendent media in India will involve tions in emissions. They reg-
“Annual subscribers are in sync with some element of reader revenue.” ularly submit greenhouse gas
the product. They hang out longer Mishra adds, “To build a sustain- inventories, detailing emis-
and their renewal rates are higher, able business you need capital for sion sources as well as
Total unique visitors/ % reach Average minutes too,” says Mishra. three years. However, to raise even removals, or sinks, of the gas-
viewers (in million) per visitor Many of the early movers and a million dollars (~7.5 crore), we es. These are then reviewed
legacy brands are learning what The need permissions. No Venture cap- by technical experts.
Total internet audience 468 100 3,991.10 Morning Context has within the first italist (VC) or benefactor wants to One new project, Climate
News/information category 461 98.5 153.6 few months. “It is important for us go through that. The Wire is a Trace, which former US Vice
News media firm not to chase reach. What really helps Section 25 (non-profit) company; President Al Gore described
us is deeper investment in our stories for-profit firms need to build some at an event alongside the
Times Internet Limited 395 84.4 83.9
and video to get subscribers,” says proof of concept.” COP26 summit in Glasgow,
Zee Digital 244 52.1 14.6 Ritu Kapur, co-founder and manag- Bahl agrees, “VCs are not invest- uses artificial intelligence and
Network 18 229 49.0 18.1 ing director, The Quint. ing in media; they prefer e-com- machine learning to analyse
HT Media Group 191 40.7 7.7 As the focus shifts, “it (the busi- merce or ed-tech. They will not satellite imagery and sensor
ness) becomes a mix of advertising fund your path to profitability, but data to come up with what it
The Indian Express Group 173 36.9 6.0 and subscription, and both have may come in if you are profitable.” says are accurate emissions
India Today Group 167 35.8 6.8 different compulsions,” says Gupt. The Information Technology estimates in near-real time.
Dailyhunt 156 33.3 58.8 While immediacy of news is impor- (Intermediary Guidelines and But Nasa researchers and
NDTV 133 28.5 5.2 tant for the ad-driven audience, Digital Media Ethics Code) Rules, colleagues Wednesday
depth is more important for sub- 2021, notified by the Indian govern- reported what they called a
Jagran New Media 107 22.8 7.0 scribers. It is, however, the adver- ment in February this year, have milestone toward a different

T
hese were some headlines on
The News Minute (TNM) on a
typical morning this October.
The news
site founded by Dhanya Rajendran,
Chitra Subramaniam and Vignesh
Vellore remains resolutely focused
on India’s five southern
states. “We don’t touch on other
states. Our niche is here,” says
Vellore, CEO, TNM.
This, along with its on-ground
journalism, has meant that six years
later, “TNM is very close to prof-
itability,” says Raghav Bahl, co-
founder Quint Media and an
cies and websites crunched to 60
words each, is one of India’s largest
news aggregators. In 2019, it
launched Public, an open news plat-
form a la YouTube. Till early this
year, it had 60,000 “creators”,
including ward members, MPs,
MLAs, among local residents, in
hundreds of small towns who use
it to upload short videos on local
happenings. Public brings in about
80 per cent of Inshorts’ 75 million
unique users. In March 2021,
Inshorts got over ~102 crore in rev-
enue. “If everything goes well, we
should hit ~150-160 crore in FY
TV9 Network 103
Source - Comscore MMX Multi-platform Reports, India, June 2021
2022,” says co-founder and CEO,
Azhar Iqubal.
The Quint, TNM and Inshorts are
the happy green shoots of some-
thing that began in 2014 – the rise
of journalism-driven websites offer-
ing or aggregating news. The num-
ber of Indians accessing news
online has risen from 150 million
in 2016 to over 461 million in July
2021. “The sheer time spent online
and competition have increased,”
says Neha Singh, sales director,
22.0 7.1
Comscore India (see chart). “But
how do you monetise?” she asks.
That’s the first big question.
Ad rates for digital news remain
woefully low at ~50 to ~250 for every
thousand unique visitors, according
to data from media buying agency
Lodestar UM. Print gets six times and
TV three times that. Google
and Facebook, by virtue of being the
biggest gateways into the internet,
have the largest audience. In 2020,
they walked away with roughly three-
tising part that is the “mainstay for
building subscriptions. Though
ARPU (average revenue per user)
on subscription is 20 to 30 times
that of advertising, it will start
showing only when there are tens
of millions of users,” Gupt adds.
Currently, India has less than a mil-
lion subscribers to news sites.
Entertainment OTTs, by compari-
son, have over 60 million.
Reaching, say, 10-20 million pay-
ing subscribers is tough even for the
~1,625-crore Times Internet, which
has 395 million unique visitors. “Lot
of data science goes into under-
posed another challenge. The code
has a grievance redressal mecha-
nism with a heavy regulatory hand.
While it has been taken to court,
the fact remains that setting up and
running an independent news
organisation has got tougher.
What drives traffic in the
cacophony of thousands of sources
is credibility. “The source of news
online has become important,” says
Shrikant Shenoy, general manager,
Lodestar UM. The trickle of rev-
enues into the digital news ecosys-
tem then is the proof of concept that
investors need.
goal: measuring the actual
changes in carbon dioxide
concentrations in the atmos-
phere. The researchers said
that by plugging satellite
measurements of CO2 into an
Earth-systems model, they
were able to detect small
reductions in atmospheric
concentration of the gas over
the United States and other
areas that were a result of
coronavirus lockdowns in
early 2020.
@2021 The New York Times

> PART-7 N N N

Charaiveti: An Where BlackRock sees BloombergQuint, “India's GDP

will not grow because
payments are digital, but

academic’s journey
because payments being

TARITWAN PAL, CC0, VIA WIKIMEDIA COMMONS

value in India’s biggest IPO digital have enabled lenders to
give credit.”
To see why he may be right,
ANDY MUKHERJEE consider the behaviour of the
5 November firm’s current and future rivals.
Unity Small Finance Bank,
What exactly do the likes of a brand-new, digital-first insti-
PRANAB BARDHAN BlackRock Inc and Canada tution, arose this week from the
Pension Plan Investment Board ashes of a scam-tainted coop-
+ In spite of my abiding interest in literature see in the unprofitable Indian erative lender, with BharatPe,
when I came to college, I was vaguely payments startup heading for another payments fintech like
inclined to major in History. In the long the country's biggest-ever initial Paytm, as one of its two equal
break between school and college, I public offering? A simple owners. This might be a
chanced upon two books of Marxist answer: the raw power of data. predictable diversification: The
history which opened me to a new vista of Paytm, formally known as wafer-thin margins on which
looking at history. The first was Maurice One97 Communications Ltd, small retailers in emerging
Dobb’s Studies in the Development of has signed up BlackRock, the markets like India operate can’t
Capitalism. This book showed me that there world’s largest asset manager, sustain a pure-play payments
is a discernible pattern in the jumble of facts and CPPIB together with the business such as Visa Inc or
in history, which attracted me. Soon after, sovereign wealth funds of PayPal. There’s little to be
I read a lesser Marxist history book, A L Singapore and Abu Dhabi as gained from giving
Morton’s People’s History of England, which anchor investors for next week’s brand-building — to garner But it’s this very competitive shopkeepers QR codes to
showed me how recasting the old widely- ~183 billion ($2.46 billion) IPO. ~100 of revenue. Of that, ~70 nature of the payments game receive funds if you can’t also
known history of England from the people’s The $1.1 billion sale to corner- went toward processing pay- that encourages more mer- lend them money.
perspective gives you new insights. These stone investors saw more than ments and another ~86 were chants in small cities and towns But then, consider the oppo-
books whetted my appetite to read more 10 times as much demand as spent on cash-backs and other to accept cashless instruments, site manoeuvre. Bajaj Finance
of Marxist history. shares on offer, according to enticements. “You bypassing expensive cards and Ltd, India’s top consumer
In Presidency College there was a thriv- Bloomberg News. cannot have a business that contactless systems like PayPal lender, said in an investor pres-
ing tradition of Marxist history; the doyen At Presidency College there was a thriving tradition of Marxist history The Indian online-payment says, ‘Pay a ~500 bill and take Holdings Inc, which has left the entation that it has signed up
of the historians there was the Marxist his- pioneer had tremendous nov- ~250 cash-back,’'' Aditya Puri, Indian domestic scene entirely. more than 3 million customers
torian Susobhan Sarkar, who had inspired the bus and rush to that library. The maga- Amlan Datta, whom my elty value five years ago. When the then-chief executive of The anchor investor interest for its wallet. It’s now applying
generations of history students there. (I zine column we breathlessly read first was communist friends loved to hate. When I Prime Minister Narendra Modi HDFC Bank Ltd, India’s largest in the Paytm IPO is the biggest for a payment aggregator
managed to attend a couple of his lectures that of Isaac Deutscher, the Polish Marxist first went to College, he had recently pub- suddenly immobilised 86 per lender by market val- validation yet of the license that will enable cus-
as a sit-in student, but soon he was to leave writer, famous for his three-volume lished a book titled For Democracy, which cent of the country’s currency ue, said in 2017, Indian model of digi- tomers to settle merchants’ bills
Presidency after a long career there). biography of Trotsky. was essentially a short tract giving the usual in November 2016 in a failed bid adding that e-wallets tisation: From pay- without requiring mediation by
Sarkar’s son, Sumit, also a famous historian The coffeehouse those days attracted liberal arguments against Stalinism in a to freeze out ill-gotten cash, the have no future. ments to health care, a third-party app. If the whole
now, was a contemporary of mine in all kinds of characters. One table has several cool-headed logical way. When I read it, I fledgling app, whose name is In its most recent an open-markets pro- purpose of getting into pay-
College. All around me, in College and in budding poets smoking away and, short of did not consider it a great book, nor did I shorthand for “pay through quarter, however, tocol — running on ments is to lend, why would a
the coffeehouse, the dominant intellectual money, sometimes sharing one cup of cof- find anything particularly objectionable. mobile,” won millions of new Paytm ended up While Paytm top of a public utility profitable financier want to
current was that of Marxists. fee among themselves (Allen Ginsberg, the The abusive words I heard about him made customers overnight. Founder with a ~27 surplus on handles the — can be a viable enter a potentially money-los-
College Street, the main thoroughfare American Beat poet, in what I believe his me curious, and one day I walked across to Vijay Shekhar Sharma couldn’t the same ~100 rev- equivalent of alternative to propri- ing business?
in front of the College, and the road which last poem, is nostalgic about his Kolkata his table and introduced myself. Very soon hide his glee. Warren enue. Thanks to nearly $80 etary platforms and Chalk it up to the fear of
I walked everyday between my home and days in early 1960s, referring wistfully to we became good friends in spite of our large Buffett’s Berkshire Hathaway additional over- billion of predatory pricing. getting outflanked by BharatPe
College, was athrob with energetic leftist the “young coffeehouse poets”); another age and status difference—he a university Inc joined Masayoshi Son's heads, it’s not yet a payments What a firm might and Paytm. BharatPe co-owns
movements, the most table noisily discussing their professor and a leading public intellectual, SoftBank Group Corp and profit — but it’s get- annually to lose in take rates on a bank. Paytm is stuck with a 49
important of which were the literary preferences as signi- I, a callow student recently out of high Alibaba Group Holding Ltd as ting closer. HDFC 22 million individual transac- per cent stake in a so-called pay-
College Street was
protracted agitations in the fiers of political partisanship school. What I immediately liked about investors in the startup. Bank is now a merchants, its tions is more than ments bank, which isn’t allowed
athrob with “take rate” for made up by the
demand for adequate food (Sartre vs Camus, Bengali him, even though I disagreed with him on That was then. India’s tech- partner of Paytm. to lend and can
energetic leftist
at affordable prices for the poets Buddhadeb Bose vs many points, he’d give me a patient hearing nology landscape has evolved The economics translating gains from handling only accept deposits below a
movements, the
poor. Loud processions, bar- Bishnu De, etc); in a corner and honour my arguments by giving a so rapidly since 2016 that most are improving, even transactions billions of them. certain level.
most important of
ricades, blocking of streets, table two lovebirds cooing to respectful, point-by-point rebuttal. After businesses nowadays pay next though phone wal- to revenue is A low-margin, The next step for Paytm and
which were the
tear gas, police chasing of each other ignoring the din some time when we knew where we agreed to nothing for receiving lets have become a just 0.6% high-volume busi- its payments bank is to amalga-
protracted
students, and and bustle around; at another to disagree on politics, we moved to other customer payments over commodity. The ness can create its mate into a full-fledged, unre-
agitations in the
occasional police shooting table a rising film star subjects like literature. I also found out that smartphones. And the pricing underlying technology, which own data moat. Since most of stricted lender, credit-card
demand for
became part of my (Soumitra Chatterjee) and a he had the largest collection of western clas- pressure isn’t going to ease, Paytm uses to compete against India’s retailers are too small issuer and deposit taker, and
adequate food at
daily excitement. friend (Nirmalya Acharya) are sical music records or glossy books of west- except that merchants will want Alphabet Inc’s Google Pay and and too informal to otherwise flex its own balance sheet like
affordable prices
But on the intellectual busy editing the latest issue ern art reproductions of all my acquain- to pay less even for add-on serv- Walmart Inc’s PhonePe, is a be able to access credit, digital the digital-only KakaoBank
for the poor
level doubts slowly gathered of the leading intellectual tances. So by arrangement I used to go to ices, such as reconciling shared utility anyone can payments act as valuable — and Corp in South Korea. That’s
in my mind, not so much Bengali magazine Ekshan; at his home Sunday afternoons when I’d listen accounts and handling returns commercialise. So while Paytm often the only — informational where the pot of gold lies, and
about Marx, but more about some of the another some students are loudly dis- to the music and look at the art prints for and refunds. handles the equivalent of near- collateral. The BlackRock may have figured it
Marxists around me. Many of them were cussing the student union elections or the hours. He also introduced me to Chinese Back when it didn’t have ly $80 billion of payments money-making opportunity is out better than analysts moan-
unreconstructed Stalinists; they would dis- latest soccer game results; at one table a cuisine, appreciation of which has been today’s 57 million unique annually to 22 million mer- in extending credit to ing over transactions not trans-
miss the by-then well-documented atroci- young man is holding the open palms of long-lasting with me. monthly users, Paytm incurred chants, its “take rate” for trans- mom-and-pop stores, based on lating into revenue. That’s a fea-
ties of Stalin as mere American propaganda, two women making a pretense of reading Although I remained an admirer of ~162 in direct costs — not count- lating transactions to revenue their digital cash-flow trail. As ture, not a bug.
and go on repeating the usual Party line them; another table has some famous Marxist history (over time with a growing ing overheads like salaries and is just 0.6 per cent. Paytm founder Sharma told BLOOMBERG
and cant, to which I became allergic. They Bengali writers on their way back from vis- list of important qualifications) I soon
also dismissed too easily the value of what iting their publishers in the neighbouring realised that to delve into the materialist
they described as ‘bourgeois democracy’. book district; at a corner table a lonely interpretation of history I needed to
In general I found the official Marxist bearded once-famous poet, now mentally understand the intricacies of Economics,
schema much too neat to fit in many of the unbalanced,
complexities of social relations around. middle distance…..
is staring at the so this was how I gravitated to that subject.
Looking back I think my first exposure to
India to use revenue surge to fund welfare drives
Actually reading Marx, particularly his late For a time I also edited an (English) polit- Marxist history being with Maurice Dobb’s AFTAB AHMED The government is also like- The government has also presented on February 1.
works, I found him much more open than ical-literary magazine from the coffeehouse book may have inclined me in that New Delhi, 5 November ly to lose ~550 billion-600 bil- approved ~400 billion extra The prime minister’s
the Marxists I met — no wonder faced with titled ISM (Indian Students’ Magazine), direction, since Dobb himself was an lion in additional revenue after in fertiliser subsidies administration is planning to
so-called Marxists around him, he which was started and funded by a young economist (whom I met several years later India will utilise a big bump in cutting fuel taxes this week to top up its rural job-guarantee
reportedly told his son-in-law that he was businessman, a regular at the coffeehouse, in Cambridge, England). There is a story revenue collection to fund arrest runaway prices. effort by up to ~300 billion, said
not a Marxist. whom I did not know well but who wanted that when he was first offered the job in welfare programmes instead “Even after the cut in fuel declined to comment. the second official, having used
There were furious debates among to be associated with intellectual activities. Cambridge by the conservative economist of trying to beat its fiscal deficit taxes we should be able to Before the fuel tax cut, up ~730 billion allocated for the
several of us at the coffeehouse tables. In In the beginning, before others’ Dennis Robertson, he wanted to come target or lower borrowing, exceed the tax collection target many economists had predict- current fiscal year.
order to fortify my arguments I started read- contributions started coming, I wrote the clear that he was a member of the British two government sources for the year but will use the ed India bettering its fiscal The government will also
ing up particularly on the writings of editorial, and one of the main essays inside, Communist Party, to which Robertson told Reuters. funds for the rural job pro- deficit target of 6.8 per cent by have to provide an additional
anti-Stalinist European leftists. Every and just to show that sufficient number of replied, “So long as you give us a fortnight’s The country is set to exceed gramme and 30-50 basis points for the year ~500 billion each for its free
Friday the local British Council Library people are reading it, once I even wrote with notice before blowing up the chapel, it’d its 2020/21 revenue collection subsidies,” said one of the offi- that ends on March 31. Market food drive and an incentives
would get its latest copy of The New a false name one of the letters to the editor, be all right.” target of ~15.45 trillion, but a cials, both of whom declined participants had also expected programme for exporters, said
Statesman. As soon as the day’s classes were criticising my own editorial of the big chunk of the extra cash will to be identified. “Fiscal deficit the government to review its officials. The government has
over, a friend (Premen Addy, a previous month. The author is Professor of Graduate School at go to a rural job programme and borrowing will be at the budgeted borrowing of ~12.055 also approved ~400 billion
historian and also the captain of the Another regular at the coffeehouse was University of California, Berkeley. The article was and to provide free cereals to budget estimate levels.” trillion before starting discus- extra in fertiliser subsidies.
college cricket team) and I would take an economics professor (not at the College), first published in the blog 3 Quarks Daily the poor. The finance ministry sions on its next budget to be REUTERS
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NEW DELHI | 6 NOVEMBER 2021 1

IN BRIEF Footprint of top 1% threatens 1.5°C limit: Study

Xi, Biden likely to agree to Richest 1% will account for 16% of total emissions by 2030, while poorest 50% will release one tonne of CO2 a year
reopen consulates: Report AGENCIES
US President Joe Biden and 5 November
Chinese leader Xi Jinping are
likely to announce the
reopening of consulates
The carbon dioxide emissions
of the richest 1 per cent of
shuttered last year, Politico humanity are on track to be 30
reported, which would be times greater than what is
one of the biggest steps yet compatible with keeping
to repair ties fractured global heat-
during the Trump administration. The two leaders, who ing below
are planning a virtual summit in the near future, are also 1.5C, new
likely to announce an easing of visa restrictions, the news research
outlet reported Thursday, citing sources it didn't identify. warns, as
The US is also seeking to make progress on trade and scientists
climate issues, as well as start a bilateral nuclear weapons urge gov-
dialogue — something Beijing has resisted. BLOOMBERG GLASGOW ernments to
“constrain
COP26 luxury car-
31 Oct–12 Nov bon con-
Boeing 737 oversight case ends sumption”
of private jets, megayachts and
with $225-million settlement space travel, The Guardian
reported. But emissions of the
Boeing Co's current and former poorest 50 per cent will con-
directors have reached an
agreement of about $225
million to settle a shareholder
LED BY YOUNG ACTIVISTS, THOUSANDS PROTEST IN GLASGOW
tinue to be below climate
goals. According to BBC, the
research, carried out by two
European environmental
agencies, comes as world
leaders meet at the COP26 cli-
REALITY CHECK: Emissions set
Young climate
activists have
to rise 13.7% by 2030, says UN
poured into Global carbon emissions are on track to rise by 13.7% by
Glasgow and 2030, according to an updated UN analysis. According to a
surrounded the news report in The Guardian, that is a stark contrast to the
site of the COP26 50 per cent cut that is needed by then to retain the possib-
summit to ility of keeping global temperature rise to 1.5C and avoid the
demand action worst impacts of the climate crisis. The glimmer of good
from global news is that the projected rise in 2030 emissions is down
leaders, as the from 16% two weeks ago, after 14 new national pledges were
focus of the event included.
turns toward the
impact of climate
change on future
Naftoke Dabi at Oxfam. The
richest 1 per cent — which is a
Guardian, in total they will
account for 16 per cent of total
generations population smaller than emissions by 2030, up from 13
PHOTO: AP Germany — are on track to be per cent of emissions in 1990.
releasing 70 tonnes of CO2 per The charity commissioned
person a year if current con- the study from the Stockholm
mate conference in Glasgow.
"A tiny elite appear to have a
sumption continues, accord-
ing to the study.
Environment Institute and the
Institute for European
free pass to pollute," says According to The Environmental Policy.

Pfizer says Covid-19 pill cut Jack Ma’s meeting

lawsuit that claimed the plane
maker's board failed to
properly oversee safety matters related to the 737 MAX,
the Wall Street Journal reported, citing people familiar

hospital, death risk by 89% Trump was the

with the matter. As part of the proposed settlement,
Boeing has agreed to hire an ombudsman to handle
internal issues and appoint a board member with
experience in aviation safety, according to the report.
Boeing declined to comment. REUTERS ROBERT LANGRETH
5 November
Jeff Bezos’ Blue Origin loses
P his ties with China
fizer said its Covid-19 pill
reduced hospitaliations and
suit over NASA moon lander deaths in high-risk patients
by 89 per cent, a result that
A US federal judge ruled against Blue Origin brought by Jeff has the potential to upend how the
Bezos' company in a bid to overturn a NASA contract disease caused by the coronavirus is
awarded to rival SpaceX, founded by Elon Musk, to build treated and alter the course of the pan-
the next craft for Moon landings, news agency AFP demic. The shares surged.
reported. The ruling put an end to a months-long legal The drugmaker said in a statement
battle that had prevented the US space agency from on Friday that it was no longer taking
working with SpaceX on the lunar lander called Starship, new patients in a clinical trial of the
which will allow Americans to return to the Moon as part treatment “due to the overwhelming
of the Artemis program. "NASA will resume work with efficacy” and planned to submit the
SpaceX under the Option A contract as soon as possible," findings to US regulatory authorities
the agency said in a statement after the ruling. AGENCIES for emergency authorisation as soon
as possible.
The results mean there are now two
Russian diplomat found promising candidates for treating
Covid-19 patients early in the course
tal pill to regulators after a study
showed it slashed the risk of getting
seriously ill or dying by half in patients
with mild-to-moderate Covid-19.
A pill that could be taken at home
at the first sign of symptoms is a cru-
cial tool for taming the Covid-19 crisis
globally, so long as it’s widely avail-
KEY POINTS
n Pfizer’s pill is now the second
antiviral pill behind Merck’s to
demonstrate strong
effectiveness for treating Covid
at the first sign of illness
n Pfizer said it plans to submit
its data to the Food and
Drug Administration “as
soon as possible”
In Pfizer’s trial of 1,219 unvacci-
nated adults, five days of treatment
with its drug dramatically reduced the
rate of hospitalisation when it was
started within either three days or five
days of symptom onset, the company
said. The drug, Paxlovid, binds to an
enzyme called a protease to stop the
turning point for
REUTERS
Hong Kong, 5 November
This was supposed to be Jack
Ma’s finest hour: a year ago to
the day, his Ant Group was
meant to go public in a $37 bil-
lion blaze of glory. Instead
Beijing reined in his empire,
abruptly clipping the wings of
corporate China's biggest star.
Now, to the cautious cheer of
investors, the billionaire Alibaba The billionaire tycoon is taking
e-commerce tycoon is taking his
first tentative steps back on to
his first tentative steps back
on to the global stage with a

dead outside Berlin embassy of the disease. Last month, Merck &
and partner Ridgeback Biotherap-
able. A Pfizer spokesperson said sub-
missions to other regulatory agencies
virus from replicating itself. Some
drugs for HIV work in a similar way.
the global stage with a low-key
trip to Europe where he's culti-
low-key trip to Europe

A Russian diplomat was found dead last month outside eutics LP submitted their experimen- will occur shortly after the US filing. BLOOMBERG vating like horticulture. It’s a far knowledge of the matter and one
the country's embassy in the German capital, it has cry from the height of Ma's Beijing government source.
emerged. According to BBC, the man's body was statesman-like powers in 2017 Alibaba’s government rela-
discovered on the pavement on 19 October by police when he travelled to New York tions team was subsequently told

Airbnb results beat estimates as

guarding the Berlin compound, Der Spiegel website to meet President-elect Donald by Chinese officials that Beijing
reported. The man had apparently fallen from an upper Trump for one-on-one talks in was unhappy about Ma meeting
+ floor, but it was unclear how, it added. Germany's foreign Trump Tower days before inau- Trump without its prior approval,
ministry confirmed the diplomat's death to reporters but guration and promised to create two of the people close to the
would not give further details. AGENCIES
company weathers Delta crisis a million American jobs.
That high-profile outing had
roiled the Chinese government,
company said. Ma's charitable
foundation, which handles his
media queries, did not respond
Iran says has enriched over Airbnb shares surged on Friday after
the company reported record sales UBER POSTS FIRST ADJUSTED PROFIT
which first learned of the meeting
and jobs pledge along with the
to a request for comment.
The State Council Information
210 kgs of uranium to 20% and earnings, proving the vacation-
rental giant’s resilience even as the Uber reported its first-ever adjusted the period that ended in September. A
rest of the world when Ma held
an informal televised Q&A ses-
Office and the Ministry of Foreign
Affairs did not respond to requ-
Iran's atomic agency said Friday that its stockpile of 20 delta variant of Covid-19 prompted profit as a public company, boosted by writedown of its stake in China’s Didi, sion with reporters in the lobby ests for comment. All the sources
per cent enriched uranium has reached over 210 new travel concerns and restrictions. a recovery in ride-hailing and previously reported drove the loss. of the skyscraper, according to declined to be named due to sen-
kilograms (463 pounds), the latest provocative move Revenue grew 67 per cent to $2.2 sustained demand in its delivery The company offered a conservative four people close to Alibaba with sitivity of the matter.
ahead of upcoming nuclear talks with the West. In a billion in the third quarter, Airbnb said business. Earnings before interest, tax, forecast for the fourth quarter.
report carried by semi-official Tasnim and Fars news in a statement. depreciation and amortisation was $8 Adjusted earnings will be $25 million to
agencies, spokesman Behrouz Kamalvandi said the
atomic agency had produced well beyond a 120 kilogram
target for 20 per cent enriched uranium set by
Analysts forecast $2.07 billion,
according to data compiled by
Bloomberg. Net income of $834 million
million in the third quarter, Uber said.
It recorded a net loss of $2.4 billion in
$75 million in the period that ends in
December, Uber said. BLOOMBERG Beijing’s bond market
parliament. Under the historic 2015 nuclear deal
between Iran and the World Powers, Iran was not meant
far exceeded Wall Street’s expectation
of $456.2 million. The shares jumped
CEO Brian Chesky has said the new
travel trends born from the Covid era
pening,” he said in a letter to share-
holders. People “can now work from meltdown brings world
of hidden bills to light
to enrich uranium above 3.67 percent. Enriched uranium as much as 12 per cent in early trade, are likely here to stay. “But something anywhere, travel any time, and stay
above 90 percent can be used for nuclear weapons. AP the most since February, to $200.52. bigger than a travel rebound is hap- longer. BLOOMBERG

China’s property developers Evergrande was on the hook for

are struggling to pay bills that an unknown bond issued by a

To build metaverse, Meta first wants to build stores
The company has discussed opening physical stores to showcase its virtual reality and augmented reality devices
MIKE ISAAC
5 November
One of Mark Zuckerberg’s first steps
toward building the metaverse may
be physical instead of virtual.
Meta, the social media
company formerly known as
Facebook, has discussed opening
retail stores that will eventually
span the world, said people with
knowledge of the project and
company documents viewed by
The New York Times. The stores
would be used to introduce people
to devices made by the company’s
Reality Labs division, such as
virtual reality headsets and,
eventually, augmented reality
glasses, they said.
These devices are gateways to
the metaverse, a futuristic digital
like “curiosity, closeness,” as well as
a sense of feeling “welcomed” while
experimenting with headsets in a
“judgment free journey,” according
to the documents.
Discussions about physical
stores predated Facebook’s
rebranding by many months, with
serious work on the initiative
having started last year, the people
said. And the project, which is still
in development, may not proceed,
they said. But if Meta moves forw-
An attendee at Facebook’s developer conference in 2018 using an ard with stores, it would be a first
Oculus Quest VR headset PHOTO: AP VIA NYT for a tech giant that has existed
largely digitally, with more than 3.5
world where people move from exciting, exactly the way Zucker- billion people using its apps such as
virtual to augmented versions of berg sees it. The aim of the stores is Facebook, Instagram, WhatsApp
reality almost seamlessly. to make the world “more open and and Messenger. A Meta spokeswo-
The stores would help show connected,” according to the docu- man declined to comment.
people that virtual reality and au- ments viewed by The Times. They Skepticism about the metaverse
gmented reality can be fun and are also intended to spark emotions also abounds. While Meta’s Reality
Labs division has had modest past
success with the Oculus Quest 2, a
low-priced headset that was pop-
ular last year, virtual reality remai-
ns a niche market for hobbyists and
enthusiasts. “We are, at best guess,
at least five to 10 years out from a
fully fleshed out Meta product or
service,” said Tim Derdenger, a
professor at Carnegie Mellon Univ-
ersity’s Tepper School of Business.
Early designs for Meta’s stores
appeared modern, with a flat, mini-
malist aesthetic to the building
exteriors and subtle placement of
the Facebook brand.
The flagship Facebook Store
had been planned for Burlingame,
Calif, where Meta has an office for
its Reality Labs employees. It was
also unclear whether those plans
would continue. NYT
many of their bond investors
didn’t know were there in the
first place. Missed payments on
off-balance sheet IOUs such as
high-yield consumer products,
secretive loans and private bond
guarantees have rocked China’s
credit market in recent weeks.
Dollar bondholders are
struggling to know their place
in the repayment queue in the
event of a default, forcing a dra-
matic repricing of risk that’s all
but frozen the primary market
for developers.
Kaisa Group said it failed to
meet payments on wealth pro-
ducts, triggering a plunge in its
bonds and shares.
Fantasia Holdings Group
defaulted on a dollar bond last
month only weeks after assuring
it had sufficient working capital
and no liquidity problems. Its
failure to pay undermined the
credibility of Chinese issuers just
after Bloomberg reported China
separate entity. The repeated sh-
ocks have only worsened inve-
stor sentiment. An index track-
ing developer shares slumped as
much as 3.3 per cent on Friday
to its lowest level since March
2017. China Aoyuan tumbled ov-
er 15 per cent. Shimao Group dol-
lar bond due 2026 sank about 10
cents to 71 cents on the dollar.
The rout has sent junk dollar
bond yields toward 22 per cent.
That makes it prohibitively
expensive for firms to tap the off-
shore market to repay debt as
they did in the past. Other ave-
nues for cash-raising are narrow-
ing rapidly.
Plunging home sales have
curbed revenue, while finding
buyers for asset disposals is
proving challenging. Evergr-
ande last month ended discus-
sions to sell a controlling stake
in its property-management
business that would have raised
about $2.6 billion. BLOOMBERG

THE BS CROSSWORD #3392 BS SUDOKU #3507

ACROSS:
1 Herb (with some musical
pertinence) (6)
4 Grounds for a celebration (8)
9 What you have here, we hear,
are for hanging hammocks (5)
10 Most popular batter rested in
dugout at last (9)
11 Guns for a steamship (4)
12 A boy sent back for the artist (4)
13 Wooden actor-knight (5)
15 Taking a pen and writing of a
Greek god (7)
16 For each a soda (1,3)
19 Elaborately-attired man,
about fifty, is a failure (4)
20 Betraying no emotion when
Greek god has first expired (7)
23 Walked around a region of Asia
Minor (5)
24 To get you back, get restlessly under Slaven (4) 26 Unidentified flying objects Hard:
eager to run (4)
25 How irritating to be seen in
5 As worn by clergymen and
office workers? (8,5)
responsible for this
exploding of us (4)
««««
stitches (4) 6 More a matter of totting it all Solution on Monday
27 Play records with swank! up? (10)
(3,2,4) 7 The evergreen trees that
28 Referee provided rise for a baffle exiles (6) SOLUTION #3391
player (5) 8 None disturbed Antony (3,3)
29 To rejuvenate Her Grace, 10 Another starting point for
SOLUTION TO # 3506
perhaps? (8) the hobby (5-8)
30 Tragic heroine has aged, and 14 A noble lad destroyed by a
has little energy (6) drug (10)
17 Files put in the wrong order HOW TO PLAY
with malicious intent (8) Fill in the grid so that every
DOWN: 18 Never the sort of town to see row, every column and
1 Properly adjusted car lights a rodeo in ? (3-5) every 3x3 box contains the
give good illumination (3,5) 21 State of inactivity puts up
digits 1 to 9
2 Spotted Scotsman in bar in gold (6)
region of North Italy (8) 22 Clear headed regarding
3 Promising start for show vision of some Egyptians (6)

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OPINION 9
Volume IX Number 14
ILLUSTRATION: BINAY SINHA
NEW DELHI | 6 NOVEMBER 2021

WEEKEND RUMINATIONS
T N NINAN in Germany, burn forests in Australia, starve people
in Africa and submerge islands in the Pacific. All

Red, black — and green the world’s people, therefore, have a legitimate
interest in the greenhouse gases emitted in any
given jurisdiction.
An early and tragicomic demonstration of this

C
ompany accounts are in the red (loss) or black (profit). Increasingly, though, shift in international relations was the dust-up in
they may be going green — to track the impact of the firm’s activities on 2019 between Brazilian President Jair Bolsonaro
the environment. The back story is that a bunch of global investors issued and his French counterpart, Emmanuel Macron.
a warning this week to the big four accounting firms that dominate global Mr Bolsonaro, a populist firebrand, was at that time
corporate audit work: Get your act together on the issue, or face investor activism allowing fires to burn wide swathes of the Amazon
to stop you from doing auditing work at the companies they invest in. rainforest. It happens to be the world’s primary
Meanwhile, economists like Cambridge University’s Partha Dasgupta have “lung” or “carbon sink,” pulling greenhouse gases
gained traction on integrating national accounts (which track GDP) with the dam- out of the atmosphere and storing them in trees.
age that economic activity causes to Earth’s natural capital — the sustainability Except now the Amazon was belching carbon back
into the air.
question. Dr Dasgupta did a “review” in February for the UK Treasury, on bio-
Speaking for many, the French president
diversity. He said that nearly 40 per cent of Earth’s natural capital (forests, rivers,
accused his Brazilian counterpart of abetting “eco-
etc) had been destroyed by human activity between 1992 and 2014, and you would cide.” Sounds like the new genocide, doesn’t it?
need 1.6 Earths to sustain the current level and pattern of economic consumption.

Climate change will kill

Mr Bolsonaro shot back that Mr Macron was a neo-
Closer home, a former Reserve Bank of India governor, Urjit Patel, has argued for colonialist and followed up with a sexist jibe aimed
integrating green issues into central bank actions. at Mr Macron’s wife.
On their part, big global investors are increasingly lining up to say they will The underlying issue was sovereignty: Is a rain-

abstain from investing in the shares of companies that don’t meet ESG
(Environment, Society and Governance) norms. This past week, institutional
investors with $130 trillion at their disposal (reportedly 40 per cent of the world’s
capital) pledged on the sidelines of the environment summit in Glasgow to put
limiting climate change, and weaning off fossil fuels, at the centre of their work.
One has to be careful about taking such commitments seriously. Green
accounting and ESG investing initiatives have been around for some time, but
made little headway — partly because there are no uniform standards for such
accounting in companies, and because mainstream economists have largely
ignored the issue. But both may be about to change.
sovereignty as we know it
forest located in Brazil the business of Brazil or of
the world? Would, in a hypothetical future scenario,
an alliance led by France be within its rights to
declare war on Brazil to prevent ecocide, and
thereby humanity’s suicide? (Fortunately, 100 coun-
tries including Brazil this week pledged instead to
A concept that came out of the Thirty Years War could become cooperate in phasing out deforestation).
obsolete in the age of ecological apocalypse This opens a new line of thinking about world
affairs. Policymakers are already steeped in analy-
ses of the new types of conflict that global warming

A
s we collectively hurtle into the era of climate least the new consensus offered the chance of pre- will cause within and between countries. Those
So these efforts must be viewed against the failure so far of governments to change, international relations as we’ve venting another indiscriminate bloodletting. include wars over access to freshwater, the disap-
achieve meaningful progress towards the goal of limiting the increase in global known them for almost four centuries will Even then, the principle of sovereignty was pearance of arable land or mass migrations.
temperature, caused by carbon emissions, to 2 degrees Celsius. William Nordhaus, change beyond recognition. This shift is probably never absolute or uncontroversial. For a long time, But the creeping obsolescence of Westphalian
who won the economics Nobel three years ago, has worked out the striking con- inevitable, and possibly even necessary. But it will the best idealist counterargument was humanitar- sovereignty as the operating system of international
clusion that despite all the global conferences on the environment over the last also cause new conflicts, and there- ian — that countries have not just relations would cause even more upheaval. And
30 years, the rate of decline in carbon emissions per unit of GDP has remained fore war and suffering. the right but the duty to inter- this looks inevitable. Some powers or alliances will
more or less unchanged at 1.8 per cent per annum. One might as well have not Since the Peace of Westphalia in vene in other states if, say, those in the future contemplate military interventions in
1648, diplomats have — in peace- are committing atrocities such as other states to end what they will define as ecocide.
held those conferences.
time and war alike — for the most genocide. Others may even go to war if they believe rival coun-
That governments will continue to fail is clear from some other numbers. For part subscribed to the principle of Now, however, there’s an even tries are taking unilateral measures against climate
instance, the average price of carbon (a carbon tax) was estimated by the World national sovereignty. This is the more powerful case against sov- change that threaten their own interests.
Bank at $2 per tonne in 2019. Dr Nordhaus estimates that even a $50 price (which idea, enshrined in the Charter of the ereignty, put forth by thinkers America’s National Intelligence Council, for
he says would double the price of coal-fired electricity) would not do the trick — United Nations, that foreign coun- such as Stewart Patrick at the example, has thought about what would happen if
and of course such a uniform tax makes no provision for climate justice. Montek tries have no right “to intervene in Council on Foreign Relations. It’s some country were to spray huge quantities of aero-
Singh Ahluwalia and Utkarsh Patel, in a comprehensive paper for the Centre for matters which are essentially within that in a world where all coun- sols into the stratosphere. Such geoengineering
Social and Economic Progress, cite a differential pricing approach from the the domestic jurisdiction of tries collectively face the plan- might reflect sunlight and cool the planet, as ash
International Monetary Fund: A $25 carbon tax for India that would be a third of any state.” ANDREAS KLUTH etary emergency of global warm- does after a big volcanic eruption. But it could also
the tax for the wealthiest countries. Even this would mean a 27-43 per cent increase The concept was born, along with ing, sovereignty is simply no change weather patterns and rob other countries
in the cost of coal-fired electricity. Since electricity is already subsidised in India, the entire system of modern states, longer a tenable concept. of their livelihood. Who in this scenario would be
in the physical and psychological rubble of the That insight has probably also dawned on many sovereign over what?
forget about betting on such price increases.
Thirty Years War. Starting in 1618, the European delegates to COP26, the United Nations climate The time to think about the demise of sover-
Against this daunting backdrop, the question is: Can investor activism, sup-
powers intervened in one another’s territories summit now underway in Glasgow. What’s at stake eignty is now. Maybe we’ll need an ecological equiv-
ported by new financial and economic accounting practices, deliver better results almost willy-nilly. Round after round of war left in those negotiations is not any country’s “national” alent to what the World Trade Organization is to
than governments have? Especially since the experience, and awareness, of the about one in three central Europeans dead. It was interest as such, except insofar as it’s part of the commerce: A new international body that makes
damage potential of climate change has grown sharply in recent years, particularly in that continental graveyard that statesmen (they collective interest of our species in preserving the the conundrum explicit and attempts to maintain
among the wealthy. If you fear that your home might burn down in a wildfire, were all men) stipulated that it was best if every global commons: The atmosphere and biosphere. order. Even then, the world is likely to become more
you might be more willing to put your money into an ESG fund than in an alter- state henceforth minded only its own business. And although aviation regulators might disagree, unstable and dangerous, not only ecologically but
native. And if your thermal power project finds it difficult to attract the capital Nobody at the Peace of Westphalia was deluded the borders around our territorial jurisdictions just also geopolitically. We all dread environmental
required, you might just drop the idea. For all one knows, therefore, the moves enough to think that this realist notion would end don’t extend up into the air. Armageddon. But we don’t want another Thirty
by investors and accounting innovations by economists and auditors could make war as such. After all, by acknowledging sover- A carbon dioxide molecule emitted in China, the Years War either.
a critical difference on the margin. Call it Plan B. There is no Plan C. eignty, the system accepted that countries pursue US or India will waft who-knows-where and accel-
their national interests, which tend to clash. But at erate climate change everywhere. It will flood cities ©Bloomberg
+

The politics of illegal drugs and legal highs Tough choices

ras, grass, dagga, or marijuana— the names
themselves indicate the width of its global
use. Apart from recreational usage, it’s pre-
scribed to cancer patients and amputees,
as a painkiller, an anti-nausea specific, and
an appetite-stimulant.
The global market is estimated at over
chief patron of the drug.
It would make sense for the law to be
rewritten to allow recreational and medi-
cal use. The drug could then be taxed. It
could be branded with Geographical
Indicators like Darjeeling tea, or cham-
pagne to emphasise the strong branding
different preferences into play.
India, is political dopamine. Physical EYE CULTURE Essentially, this will encourage
dopamine is a neurotransmitter, carrying greater specialisation and also help
messages through the nervous system. It SUHIT K SEN share the load of international crick-
is produced naturally by the body and eting duties across a larger pool of
released to signify pleasure, when some
activity is “approved”. This could be as
diverse as drinking wine, eating steak,
R ahul Dravid has
appointed the head coach of
been

the Indian cricket team. He follows

$25 billion. Recreational cannabis is legally
available in Canada, and the US, with
listed cannabis marketers. Recreational
use is legal in most of Latin America and
VIEWPOINT the Caribbean. In Holland, it is sold in cof-
fee-shops. It is legal to grow, and to carry
DEVANGSHU DATTA up to 3 grams for personal consumption
in Luxembourg and Belgium. Germany
of renowned cultivation centres like
Manali, Kedarnath, Wayanad , Manipur.
This would fuel tourism as well. Bio-
research into variants and slick packaging
for value-addition could enable the crea-
tion of franchised chains.
There are several reasons why such
legalisation will not happen, despite being
solving differential equations, taking cold
baths, lifting weights, having sex, beating
up people who follow different religions
— anything a given individual finds
pleasurable.
Dopamine drives addiction — whether
it’s smoking, or running marathons, dopa-
mine tells the body what is fun. One prob-
Ravi Shastri, who will step down
after the T20 World Cup. It is being
seen as a good, positive choice.
Given Dravid’s successful stint with
the junior squad, there is room for
optimism.
To begin with, however, one
point must be remembered. The
players. There should be no
assumptions about cross-format
selection. Just because some players
have been doing well in Tests will
not mean that they are guaranteed
selection in ODIs or T20 games.
The problem in India is that the
BCCI has a tendency to encourage
the idea that the superstars have
the final say in some matters. Thus,
it was assumed that it was up to

W
orldwide, narcotics laws vary. But
India’s are among the most con-
fusing. An individual can be
arrested and refused bail because someone
else was carrying a prohibited substance,
cannabis.
Mind you, cannabis is recommended
for consumption in multiple religious
texts, starting with the Vedas, and variants
are sold from government-run shops in
several states. Millions of Indians consume
it openly on a regular basis, for reasons
ranging from religious, to recreational and
medical.
Civilised countries everywhere have
started to decriminalise recreational use.
You can call it ganja, bhang, hasheesh, cha-
ignores possession of up to 6 grams. The
Austrians refer users to healthcare servic-
es, rather than terming it a criminal
offence. The UK issues a warning for first
offence of possession, and fines for sub-
sequent offences.
This indicates variations and contra-
dictions in worldwide laws. But nowhere
else in the world is anybody arrested for
not carrying cannabis. To add to the con-
fusion, bhang is ritually consumed by hun-
dreds of millions on Holi. The government
tom-toms the organisation of out-of-turn
Kumbh Melas, where thousands smoke it
openly. The prime minister offers public
prayers at Kedarnath, whose presiding
deity, Shiva, is seen by devotees as the
an obvious way to hike revenues. One is,
the individuals running the ban machin-
ery stand to lose if the drug is legalised;
the exchequer would gain but officials run-
ning the prohibition machinery would
lose. Hence, there’s always internal push-
back against lifting prohibitions.
This is generically true everywhere for
all goods and services, which are in
demand but prohibited. It could be sex-
work, alcohol, porn, or gold. Once some-
thing is banned, the state ceases to make
revenues and instead spends to enforce
the ban. But since demand exists, those
who provide it mark up the price and pay
off the officials tasked to enforce the ban.
The other reason, more specific to
lem for addicts is that an addict needs pro-
gressively more of the drug to trigger
dopamine release.
This is just as true for addictive political
messaging. If a political party offers vikas,
it may trigger enough political dopamine
to win an election. But next time round,
simply vikas may not be enough. If outrage
is the preferred trigger for releasing more
political dopamine, it’s necessary to keep
offering more cause for outrage, or more
creative variations of outrage. Cannabis,
which has been lauded as an aid to creative
thought for millennia, triggers the release
of physical dopamine. It’s truly creative to
use its absence to trigger political dopa-
mine instead.
coach or manager of a cricket team
has less influence than one of a foot-
ball team. The coach or manager of
a football team is the person in con-
trol. In cricket, the coach shares
power with the captain. The captain
of a football team has a relatively
smaller role in the entire set-up.
This is obviously because the cap-
tain of a cricket team makes inde-
pendent, on-the-spot decisions all
the time: Field placings and bowling
changes, for instance.
Even off the field, the captain
has a big say in deciding the batting
line-up and when to rejig it in
accordance with circumstances on
the ground. This could happen in
consultation with the coach, but
Sachin Tendulkar to decide when
he was going to retire. The same
attitude was evident in the case of
Kapil Dev. This is not to suggest
that they did not make epochal
contributions to Indian cricket.
They did. The point is that the
BCCI, like boards elsewhere, has to
take hard decisions in an inde-
pendent, unbiased manner.
India’s performance in the ongo-
ing T20 World Cup showcases the
need for hard decisions at the top.
The team was comfortably outpaced
by Pakistan and New Zealand. The
fact that the team lost is not a matter
of concern. You can put in a decent
shift and still lose. What is a matter
of great concern, however, is that

India’s approaching democratic crisis
Donald Trump handily in 2020 by margins
of 10 or more percentage points.
The US Democratic Party is grappling
with a specific problem that will not go
away, and is symptomatic of the broader
problem that faces small-d democratic pol-
ities the world over. How can constitu-
tional and democratic institutions survive
this new era of partisanship when some
geographical areas find themselves per-
TICKER manently under-represented in national
MIHIR S SHARMA politics? For the Democrats, the impor-
tance of the West Virginian senator, Joe
another few years the question of inde-
pendence for Scotland will recur. This is
not just because sub-nationalism and
Scottish identity politics have grown in
recent decades, but also because the elec-
torate in Scotland is considerably to the
left of the national electorate — and faces
the prospect of going from being king-
makers in the Westminster Parliament, as
they were for decades and especially dur-
ing the Blairite hegemony of the early
2000s, to a permanent minority as the
English electorate moves to the right.
time. This divergence can be explained both
by economic factors — more urban and
richer areas tend to have lower fertility —
and by cultural ones — areas where women
are more empowered and educated simi-
larly have lower fertility.
Yet the point remains that, over time,
the electoral power associated with the
states with continually rising populations
will further eclipse that wielded by the
states where populations are declining.
Echoes of this basic problem have already
been noted in the debate over whether the
the captain has a say, unlike in foot-
ball where typically the captain is
not consulted when substitutions
are made.
There is a point behind keeping
this idea in the forefront. It means
that in cricket, once appointed, the
coach and the captain have to work
in concert. Mutual respect and a
spirit of accommodation on both
sides are essential. There is no rea-
son to think that Dravid and India’s
current captain, Virat Kohli, will not
get along, but the men who make
the important decisions have to take
a few difficult calls.
Before the T20 World Cup, Kohli
the Indian team as a whole looks
jaded and singularly lacking in
motivation. These are obviously
matters connected to squad rotation
and leadership.
The appointment of Dravid as
the coach could be an opportunity
to make fundamental changes in
the way things work. To begin with,
the coach should have a greater and
more important say over a wide
range of issues. First, he should be
able to pick his managerial team:
Bowling, fielding and batting
coaches, and others.
Second, Dravid’s opinion should
be sought on future leadership

O
ver in the United States, the
Democratic Party has had a very
bad week. President Joe Biden,
speaking at the COP26 climate change con-
ference in Glasgow, went through the
motions of noting that countries like
China, Russia and others had not com-
mitted sufficiently to, among other things,
phasing out coal-fired power on time. Yet
most of those watching knew that
Mr Biden himself could not credibly com-
mit the United States to action, given that
he is largely unable to get his own agenda
through a Washington that his party nomi-
nally controls, thanks in part to firm objec-
tions from a pivotal US senator represent-
ing the coal-mining state of West Virginia.
And, to make things worse, the Republican
Party did unexpectedly well in local and
state-wide elections over the past few days,
even in areas where Mr Biden had defeated
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Manchin, is that he is one of the few
members of that party representing a state
with a demographic profile — white, rural,
post-industrial, low-education — that is
natural fodder for the Republican Party
and that also receives disproportionate
power within the national electoral sys-
tem. Many Democratic Party operatives
are struggling with the fact that, even with
a 4-6 per cent lead over the Republicans
in national polls, they would wind up los-
ing both houses of the US Congress and
even presidential races. This is thanks to
the structure of American democracy, in
which voters in small, rural states have
greater power in Washington than those
in the multi-ethnic coastal states where
Democrats dominate.
Other electoral democracies have their
own version of this problem. In the United
Kingdom, for example, it is likely that in
The lesson: When different parts of a
single country find themselves sorted per-
manently into different wings of the ideo-
logical, fiscal and policy spectrum, the
pressure it puts on national integrity and
the functioning of political institutions can
become unbearable.
In India, we will soon face a variation of
this problem, created by the differing
demographic, cultural and economic tra-
jectories of various parts of the country.
Demographically, the latest round of the
National Family Health Survey showed
that, by 2019-20, the only large states in
which the number of children per woman—
the “total fertility rate” or TFR — exceeded
the “replacement rate” were Bihar, Uttar
Pradesh, Rajasthan, Madhya Pradesh, and
Jharkhand. Everywhere else, the TFR was
below the replacement rate: A sign that
their populations will start shrinking in
Finance Commission should split reve-
nues between states on the basis of the 1971
Census or more recent ones where the
northern states have a greater numbers
advantage.
Going forward, India will face a choice
between dealing with the UK problem or
the US problem. It will either have to create
a system in which certain geographical
areas will wind up being permanent polit-
ical outsiders at the Union level — the
Scotland issue — or it will have to create a
system in which certain votes are weighted
more heavily than others — the US
Democrats’ disadvantage. This is not an
easy choice, and there are no good
answers. But it is a choice that is unavoid-
able. Which one we choose will determine
the effectiveness of our institutions, the
nature of our politics, and indeed the inte-
grity of our Union, going forward.
had announced that he would be
stepping down from the role as cap-
tain in the shortest format. Some see
this as a preemptive move to
retain the captaincy in Tests and
One-day Internationals (ODIs).
Notwithstanding Kohli’s move, it is
time for the Board of Control for
Cricket in India (BCCI) to think
about the captaincy issue.
There are good reasons to believe
that the pressure of leading has
been telling on Kohli’s form with the
bat, especially in Test cricket. It
might not be a bad idea to make a
leadership change all round and opt
for three separate captains for the
three different formats. This will
almost automatically mean that the
squads will change for different for-
mats as different captains will bring
issues. It is true that whereas Rohit
Sharma picks himself as T20
skipper, there are no obvious choic-
es in the ODIs and in Tests. That is
where Dravid’s experience and
savvy would come into play. Of
course, Kohli could remain captain
in ODIs, in which his performances
are still top drawer, but another
Test captain could help him
recover form.
Third, Dravid should have a
greater say in squad selection. That
could give a hands-on and balanced
feel to the selection process.
These might sound like quib-
bling in the face of an unexpectedly
poor performance. But structural
issues must be addressed to ensure
that performances remain at the
highest level across formats.
 10
>
NEW DELHI | 6 NOVEMBER 2021 1

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 .
NEW DELHI | 6 NOVEMBER 2021 11 <

NOBLE CO-OPERATIVE BANK LTD.

HEAD OFFICE: Raghunathpur, MP-1 Road, Sec-22 Noida.
Phone: 0120-4503015, e-mail: ncblnoida@gmail.com)
E-AUCTION SALENOTICE FOR SALE OF IMMOVABLE PROPERTY
APPENDIX-IV-A (See proviso to rule 8(6) also read with rule 9(1)
E-Auction Sale Notice for Sale of Immovable Asset under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act,
2002 read with proviso to rule 8(6) of the Security Interest (Enforcement) Rules, 2002.
Notice is hereby given to the public in general and in particular to the Borrower(s) and Guarantor(s) that the below described immovable property mortgaged
to the Secured Creditor, the symbolic possession of which has been taken by the Authorized Officer of Noble Co-operative Bank Ltd. (i.e.. the Secured Creditor),
will be sold on “As is where is”, “As is what is” and “Whatever there is” for recovery of below mentioned amount. The details of Borrower, Guarantor, secured
asset, Amount Due, Reserve price, E-auction date & time, EMD and Bid Increase Amount are mentioned below: -
Name & Address of Borrower/Guarantor:
Loan account: M/s. V. R. International: Propreitor Robins Singh (Borrower) S/o Shri Ram Vinod Singh, R/o Flat No. S-5, Second Floor, Plot No. 176, Sector-
4, Vaishali, Ghaziabad
Mr. Sattan Yadav(Guarantor) S/o Shri Rajbal, R/o House No. 169, Parthala Khanjarpur, Sector-122, Noida
Mr. Shailesh Singh (Guarantor) S/o Late Shri Ram Vinod Singh, R/o Flat No. S-5, Second Floor, Plot No. 176, Sector-4, Vaishali, Ghaziabad
Mrs. Sangeeta Singh (Guarantor) W/o Shri Shailesh Singh, R/o Flat No. S-5, Second Floor, Plot No. 176, Sector-4, Vaishali, Ghaziabad
Total Dues: Demand Notice Date and Outstanding Amount:
In Loan account OD 40 in the capacity of borrower: As on 27th July, 2020 Rs. 63,07,492/- (Sixty Three Lakhs Seven Thousand Four Hundred Ninety
Two) + further applicable simple interest + penal interest + legal charges + recovery charges + miscellaneous charges and other expenses to the extent
not included earlier in the above mentioned outstanding loan amount.
Status of Possession: Symbolic Possession
Last date & time for submission of emd and bid form: 09.12.2021 upto 4:00 P.M.
Sr. Description of the Immovable Property with known encumbrances:- Reserve Price, EMD, Bid Increase Date & Time of
No: Amount E-Auction
1. All that part and parcel of the residential freehold plot situated at Khasra No. 61, Reserve Price:Rs.45,00,000/-(Forty Five Lakhs) 10.12.2021 from
Village Rasoolpur Nawada, Sector-62, Noida, having super area of 180 sq.yard EMD: Rs. 4,50,000/- (Four Lakhs Fifity 03:00 P.M. to 04:00 P.M.
>kj[k.M ljdkj registered in favour of Mr. Sattan Yadav S/o Shri Rajbal. Thousand) (with unlimited extensions
Bounded By: As per site plan Bid Increase Amount: Rs. 10,000/- (Ten of 10 min. each)
xzkeh.k dk;Z foHkkx] eq[; vfHk;ark dk dk;kZy; Encumbrances: Not known apart from the above. Thousand)
102] f}rh; rYyk] vfHk;a=.k Hkou] dpgjh jksM] jk¡ph Terms of Sale
bZ&fufonk vkea=.k lwpuk 1. Theauctionsalewill be‘Online E-Auction/ Bidding’ through website https:// Sarfaesi.auctiontiger.net also on Auctiontiger Mobile App on 10.12.2021
bZ&fufonk la[;k:- 43/2021-22/RWD/DHANBAD fnukad :- 03.11.2021 from 03.00 PM to 04.00 PM. with unlimited extensions of ten minutes duration each. The secured asset will not be sold below the reserve price.
2. Intending bidders shall hold a valid e-mail address. For details, please contact M/s e- procurement Technologies Ltd., Ahmedabad, Contact Persons:
eq[; vfHk;ark] xzkeh.k dk;Z foHkkx] >kj[k.M] jk¡ph }kjk fuEu fooj.k ds vuqlkj e-procurement i)fr ls fufonk Ram Prasad - 8000023297, Nitish Jha - 8800896847, e-mail id: delhi@auctiontiger.net , support@auctiontiger.net. Landline - 079-61200559/595/596. Toll Free
vkeaf=r dh tkrh gSA No: 18001035342
vkbZMsUVh fQds'ku izkDdfyr jkf'k ¼:i;s esa½ dk;Z 3. Bidders are advised to go through the website https://sarfaesi.auctiontiger.net also on Auction tiger mobile app for detailed terms and conditions of
Ø0 la[;k@iSdst dk;Z dk uke lekfIr Auction Sale before submitting their bids and taking part in the e-auction sale proceedings.
vad esa
la0 la[;k v{kj esa dh frfFk 4. Prospective bidders may avail online training on e-auction from M/s e-procurement Technologies Ltd., Ahmedabad, Contact Person: Ram Prasad -
RWD/ Qrsgiqj ls tkedqnj rd iFk nks djksM+ pkSchl yk[k 8000023297, Nitish Jha - 8800896847. e-mail id: delhi@auctiontiger.net, support@auctiontiger.net. Landline - 079-61200559/595/596
DHANBAD/ 02/ fuekZ.k@ lqn`<+hdj.k dk;Z ¼ya& 4-100 2,24,39,500.00 mupkyhl gtkj ik¡p 12 ekg 5. Bids shall be submitted through online procedure only in the prescribed format with relevant details.
1.
2021-22 fd0eh0½ lkS :0 ek= 6. EarnestMoneyDeposit (EMD)shallbedeposited through RTGS/NEFT/Fund Transfer to credit of account no. 9999001004421. Account Name:
RWD/ fi.MªkgkV iapk;r varxZr fi.MªkgkV ls ,d djksM+ lurkuos SARFAESI E-AUCTION, Noble Co-operative Bank Ltd., IFSC Code: YESB0NCB001, before submitting bid online.
DHANBAD/ 03/ NksVk vEcksuk jsyos LVs'ku rd iFk dk 1,97,53,500.00 yk[k frjiu gtkj 12 ekg 7. A Copy of the bid form along with enclosure submitted online (also mentioning UTR No.) shall be forwarded to the Authorised officer, Noble Co-
2.
2021-22 lqn`<+hdj.k dk;Z ¼ya& 4-700 fd0eh0½ ik¡p lkS :0 ek= operative Bank Ltd. H.O. Ragunathpur, M.P. Road-1, Sector-22, Noida, Distt. Gautam Budh Nagar or soft copies be forwarded by email to recovery@noblebank.in
2- osclkbZV esa fufonk izdk'ku dh frfFk%& 17-11-2021 The bid price to be submitted shall be above the reserve price and bidders shall improve their further offer in multiples of Rs. 10,000/- (Rupees Ten Thousand).
3- bZ&fufonk izkfIr dh vafre frfFk ,oa le;%& 26-11-2021 vijkg~u 5-00 ctsA The successful bidder shall have to pay 25% of purchase amount (including Earnest Money already paid), on the closure of the e-auction sale proceedings within
4- ¼d½ eq[; vfHk;ark dk;kZy;] xzkeh.k dk;Z foHkkx] vfHk;a=.k Hkou] dpgjh] jk¡ph vFkok ¼[k½ ftyk fu;a=.k d{k] jk¡ph vFkok ¼x½ 24 hours of the sale in the same mode as stipulated in clause -6 above. In case of default in payment of remaining amount of 25% of bid amount within the
ftyk fu;a=.k d{k] /kuckn esa ls fdlh Hkh dk;kZy; esa fufonk 'kqYd] vxz/ku dh jkf'k] 'kiFk i= ds ewy izfr ,oa viyksM fd;s prescribed period, the EMD amount will be forfeited and the secured assets will be resold.
x;s rduhdh ;ksX;rk nLrkost dh ,d izfr tek djus dh frfFk%& 29-11-2021 iwokZg~u 10-00 cts ls vijkg~u 3-30 cts rdA The balance 75% of bid amount shall have to be paid within '15' days of acceptance/confirmation of sale conveyed to them by the secured creditor in the same
5- fufonk [kksyus dh frfFk ,oa le;%& 30-11-2021 iwokZg~u 11-30 ctsA mode as stipulated in clause -6 above. In default in payment of the remaining 75% of the bid amount within the prescribed period, the amount deposited will be
6- fufonk vkeaf=r djus okys inkf/kdkjh dk uke ,oa irk%& eq[; vfHk;ark] xzkeh.k dk;Z foHkkx] 102] f}rh; rYyk] vfHk;a=.k forfeited and secured asset will be resold.
Hkou] dpgjh pkSd] jk¡ph] >kj[k.M] fiu& 834001 8. The EMD of unsuccessful bidder will be returned within 7 days from the date of auction and the bidder will not be entitled to claim any interest,
7- bZ&fufonk izdks"B dk nwjHkk"k la0& 0651&2207818 costs, expenses or any other charges (if any).
8- fufonk 'kqYd >kj[k.M jkT; esa vofLFkr Hkkjrh; LVsV cSad@vU; jk"Vªh;d`r cSad }kjk fufonkdkj ds uke@vdkmaV ls gh 9. The sale is subject to confirmation by Bank. If the borrower/guarantor pays the amount due to the Bank in full before date of sale, no Sale will be
fuxZr cSad Mªk¶V ds :i esa dk;Zikyd vfHk;ark] xzkeh.k dk;Z foHkkx] dk;Z ize.My] /kuckn ds i{k esa ,oa /kuckn esa Hkqxrs; gksxk conducted.
tks ykSVk;k ugha tk;sxkA The property is to be sold on “As Is Where Is” and “As Is What It Is” condition and the intending bidders should make discreet enquiry as regard any claim,
foLr`r tkudkjh ds fy, osclkbZV jharkhandtenders.gov.in esa ns[kk tk ldrk gSA uksMy inkf/kdkjh charges on the properties of any authority, besides the Bank's charges and should satisfy themselves about the title, extent, quantity of the property before submitting
PR 256515 Rural Work Department(21-22)#D bZ&izksD;qeZUV lsy their bid. No claim of whatsoever nature regarding the property put for sale, charges/encumbrances over the property or on any other matter, etc., will be entertained
after submission of the online bid.
10. The Undersigned has absolute right and discretion to accept or reject any bid or adjourn/ postpone/cancel the sale or modify any terms and condition
of the sale without any prior notice or assigning any reason thereof.
11. The purchaser shall bear the stamp duties charges (including those of sale certificate issued by the Bank), registration charges, all statutory dues
payable to government, taxes and rates (both existing and the once that might arise in future relating to the said property). The sale certificate will be issued only
in the name of the successful bidder.
12. The intending purchasers can inspect the property with prior appointment at his/her expenseson the time and date mentioned above. For inspection
of the property, please contactour Head Office at phone no. 0120-4503010, 0120-4503013.
13. For any further details contact the Authorised Officer, Recovery Department, Noble Co-operative Bank Ltd.,H.O. Raghunathpur, M.P. Road-1, Sector-
22, Noida.
Date : 06.11.2021 AUTHORIZED OFFICER Noble Co-operative Bank Ltd.

NEW & RENEWABLE ENERGY DEVELOPMENT Govt. of Jharkhand

CORPORATION OF A.P. LTD (NREDCAP), TADEPALLI
(A State Government Company) Energy Department
Energy
Regd.Off. # 12-464/5/1, River Oaks Apartments, CSR Kalyana Mandapam Road, Jharkhand Renewable Ener
Energy
gy Development Agency (JREDA)
Tadepalli, Guntur District, Pin: 522 501. Tel: 0863 2347650 / 51 / 52 / 53
NREDCAP
Clean Energy for Sustainable E-Mail : pdwe@nredcap.in, we@nredcap.in,Website : www.nredcap.in
3rd Floor,
Floor, S.L.D.C. Building, Kusai Colony
Colony,, Doranda, Ranchi-834002.
Ref: NREDCAP/SE/42-250/RESCO/1-1000 KWp/2021-22 Dt: 03.11.2021 Ph.: 0651-2491161,
0651-2491161, Fax: 0651-2491165,
0651-2491165,
NOTICE INVITING TENDER
E-mail: info@jreda.com; Website:
Website: www
www.jreda.com
.jreda.com
Inviting Tender for Empanelment of Bidders for implementation of Grid e-Procurement Notice
Connected Roof top Solar PV system at various locations in Andhra Pradesh Tender reference no.: 14/JREDA/PMU/21-22 Dated: 01.11.2021
state under RESCO Mode. Tender document and details will be uploaded in our 1 Name of the work Engagement of Consultancy firm for setting up of Project
web-site : www.nredcap.in Management Unit (PMU) for Jharkhand Renewable Energy
Sd/- V.C. & MANAGING DIRECTOR, NREDCAP Development Agency (JREDA), Ranchi
2 Period of Contract 24 (Twenty-four) Months
3 Date of publication of NIT on website: 08.11.2021 (Monday)
http:// jharkhandtenders.gov.in
4 Date & time of Pre-bid meeting 17.11.2021 (Wednesday at 1.00 P.M.
5 Last date & time for receipt of online bids 01.12.2021 (Wednesday) upto 05:00 PM
6 Submission of original copies of Bid fee & 01.12.2021 and 02.12.2021 up to 5.00 P.M.
EMD (Offline)
7 Technical Bid Opening Date 03.12.2021 (Friday) at 3.00 P.M.
8 Name & address of office inviting tender Director, Jharkhand Renewable Energy Development
Agency(JREDA) 3rd Floor, SLDC Building, Kusai, Doranda,
Ranchi- 834002 (Jharkhand)
9 Contact no. of procurement officer 0651-2491167/68/61
10 Helpline no. of e-procurement 0651-2491167/68/61
Any corrigendum/addendum can be seen on website: http://jharkhandtenders.gov.in & www.jreda.
com. Further details can be seen on website: http://jharkhandtenders.gov.in & www.jreda.com
PR.NO.256518 Energy(21-22):D Sd/- Director, JREDA, Ranchi

dk;Zikyd vfHk;Urk dk dk;kZy;

is;ty ,oa LoPNrk ize.My la- 1] /kuckn
vYidkyhu bZ&izksD;ksjesaV fufonk lwpuk
¼izFke vkea=.k½
fufonk lwpuk la[;k&DHANBAD-1/17/2021-22 fnukad & 03-11-2021
1 dk;Z dk uke 8203 NOS. DOMESTIC HOUSE CONNECTION I N
VARIOUS PANCHAYAT COVERED UNDER JnNURM
URBAN WATER SUPPLY PROJECT.
Branch Address: Federal Bank
Shalimar Bagh Br., BN-57, Ground YOUR PERFECT BANKING PARTNER
THE FEDERAL BANK LTD. 2 izkDdfyr jkf'k :0 393-23350 yk[k
Floor, East Shalimar Bagh -110088 3 vxz/ku dh jkf'k :0 3-94 yk[k
REGD. OFFICE: ALWAYE, KERALA
4 dk;Z iw.kZ djus dh vof/k 03 ekg
NOTICE FOR PRIVATE SALE OF GOLD
Notice is hereby given for the information of all concerned that Gold Ornaments pledged in 5 osclkbZV ij fufonk izdk”ku dh frfFk ,oa 08-11-2021] 4-00 cts vijkg~u rdA
the following Gold loan accounts, with the under mentioned branches of the Bank, which le;
are overdue for redemption and which have not been regularized so far in spite of repeated 6 izh chM ehfVax dh frfFk ,oa le; 16-11-2021] 11-30 cts iwokZg~u
notices, will be put for sale in the branch on or after 15/11/2021 as shown below: v/kh{k.k vfHk;Urk dk dk;kZy;] is;ty ,oa LoPNrk vapy] /kucknA
7 chM izkfIr dh vfUre frfFk ,oa le; 29-11-2021-] 5-00 cts vijkg~u rdA
BRANCH/VENUE : Federal Bank Shalimar Bagh Br., BN-57, Ground Floor,
East Shalimar Bagh -110088 8 ifjek.k foi= dk ewY;,oa vxz/ku dh jkf”k 30-11-2021] 5-00 cts vijkg~u rdA
tek djus dh frfFk] le; ,oa LFkkuA ¼1½ dk;Zikyd vfHk;Urk dk dk;kZy;] is;ty ,oa LoPNrk ize.My la -1]
Account No. Name Account No. Name
/kucknA
HIRA LAL KALRA 16806100007147 PRINCY 16806400004786 ¼2½ v/kh{k.k vfHk;Urk dk dk;kZy;] is;ty ,oa LoPNrk vapy] /kucknA
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RAJ KUMAR JHA 16806100009028 CHATTERPAL 16806400004844 iz{ks=] nqedkA
MANISH KUMAR SETHI 16806100009036 RAJENDER SINGH 16806400004851 9 rduhdh chM [kksyus dh frfFk ,oa le; 01-12-2021] 03-00 cts vijkg~u
PROMOD 16806100009176 SAINI 10 fufonk vkeaf=r djus okys inkf/kdkjh ,oa dk;Zikyd vfHk;ark] is;ty ,oa LoPNrk ize.My la-1] /kuckn
NEELU MISHRA 16806100009218 RAM KISHOR SHARMA 16806400004968 dk;kZy; dk irk
RAHUL 16806100009242 RANJEET KUMAR 16806400005353 11 bZ&izksD;ksjesaV dk;kZy; dk lEidZ ua0 0326&2311259
SURAJ CHOPRA 16806100009283 SEBASTIAN C M 16806400005510 12 bZ&izksD;ksjesaV lsy dk gsYi ykbZu ua0 0651&2480345
MANISH VERMA 16806100009333 SEBASTIAN C M 16806400005528 uksV %& ¼1½ dsoy bZ&fufonk gh Lohdkj fd;k tk;sxkA
PARVESH 16806100009358 SEBASTIAN C M 16806400005536 ¼2½ foLr`r tkudkjh gsrq osclkbZV ua0& http://jharkhandtenders.gov.in ij ns[ksA izkDdfyr jkf”k ?kV vFkok c<+
KAMAL K KARDAM 16806100009556 SEBASTIAN C M 16806400005544 ldrh gS mlh izdkj ls vxz/ku dh jkf”k Hkh ns; gksxhA
SURESH KUMAR 16806100009721 NITIN JAIN 16806400005601 ¼3½ fufonk fcuk dkj.k crk;s dHkh Hkh la”kksf/kr ;k jn~n fd;k tk ldrk gSA
RAVI 16806100011107 SUJITH P SAJAN 16806400005627 dk;Zikyd vfHk;ark]
ty gh thou gSA
is;ty ,oa LoPNrk ize.My la-1] /kuckn
Place : New Delhi, Date : 06.11.2021 Branch Manager, The Federal Bank Ltd. PR.NO.256500 Drinking Water and Sanitation(21-22):D

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 12
>
NEW DELHI | 6 NOVEMBER 2021 1

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NEW DELHI | 6 NOVEMBER 2021 13
<

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 14 THE SMART INVESTOR: SAMVAT SPECIAL
>
NEW DELHI | 6 NOVEMBER 2021 1

INFY, L&T TOP PICKS OF BROKERAGES

Public sector banks, information technology companies, cement
makers, and consumption plays are among other picks

STOCKS FOR SAMVAT 2078 As on Nov 03, 2021 As on Nov 03, 2021
Target Upside Target Upside
Company Price 1-Yr chg price (%) Company Price 1-Yr chg price (%)
(~) (%) (~) (~) (%) (~)
ANAND RATHI ICICI Bank 786 76.9 900 14.5
Indo Count Industries 242 53.7 334 37.9 Reliance Industries 2,484 34.3 2,800 12.7
Rossari Biotech 1,352 73.8 1,840 36.1 Larsen & Toubro 1,889 103.1 2,100 11.2
Vardhman Special Steels 274 280.2 350 27.9 ACC 2,421 45.7 2,550 5.4
Coforge 5,066 138.0 6,465 27.6 State Bank of India 528 157.7 550 4.2
Hindalco Industries 478 165.9 578 20.9
Infosys 1,703 60.3 2,000 17.5
MOTILAL OSWAL SECURITIES
APL Apollo Tubes 845 164.8 1,032 22.2
AXIS SECURITIES SBI Life Insurance 1,178 49.4 1,431 21.4
ICICI Securities 744 65.8 940 26.3 Infosys 1,703 60.3 2,001 17.6
Can Fin Homes 646 39.3 800 23.9 Indian Hotels 204 111.7 231 13.3
Cyient 1,105 169.8 1,300 17.7 Trident Ltd 39 398.1 44 12.7
SBI Life Insurance Co 1,178 49.4 1,350 14.6 Varun Beverages 938 109.4 1,047 11.6
APL Apollo Tubes 845 164.8 960 13.7 Jubilant FoodWorks 3,725 72.8 4,091 9.8
Cholamandalam Investment 612 106.4 690 12.7 Orient Electric 376 74.9 409 8.7
KNR Constructions 292 138.1 325 11.3 Tata Motors 485 261.7 521 7.5
Mindtree 4,627 251.3 5,100 10.2 UltraTech Cement 7,891 73.4 8,411 6.6
Safari Industries India 868 101.9 930 7.2 OTHER STOCK PICKS: STATE BANK OF INDIA, VIP INDUSTRIES,
ACC 2,421 45.7 2,570 6.2 MACROTECH DEVELOPERS, UNITED SPIRITS, TATA POWER CO

HDFC SECURITIES NIRMAL BANG

Adani Ports & SEZ 709 100.5 936 32.0 Laurus Labs 495 69.8 722 46.0
Indian Bank 167 183.3 214 27.6 Accelya Solutions India 1,161 42.0 1,673 44.2
CESC 89 56.3 113 27.5 Fermenta Biotech 297 (1.0) 421 41.6
Gati 150 149.6 187 24.5 Can Fin Homes 646 39.3 900 39.3
Cyient 1,105 169.8 1,371 24.1 Acrysil 749 426.4 950 26.9
Network18 Media & Inv. 86 154.8 106 23.6 SBI Cards & Payment Services 1,105 35.9 1,400 26.6
Hindustan Petroleum Corp 314 69.2 385 22.5 Sona BLW Precision Forgings 643 NA 800 24.4
RAM PRASAD SAHU fast-moving consumer spends, and and gradually improving asset quality
private banks) underperformed the of banks could sustain earnings Eris Lifesciences 803 55.0 966 20.3 Sanghi Industries 68 125.6 84 23.9

D
espite unprecedented levels of market in Samvat 2077, some of the growth. Brokerages expect the Nifty Reliance Industries 2,484 34.3 2,986 20.2 Navin Fluorine International 3,418 46.9 4,131 20.9
uncertainty in Samvat 2077, themes could do well in the future. earnings growth to be upwards of mid-
investors have little to com- Kotak Research believes banks teens in 2021-22.
Mahindra & Mahindra Fin. 195 55.4 227 16.2 Bharti Airtel 699 56.7 838 19.9
plain about on the returns front. The could be in focus, led by demand But the year is not without risks. OTHER STOCK PICKS: BHARTI AIRTEL, BANK OF BARODA, LARSEN & TOUBRO
BSE Sensex delivered returns of 38 per revival in the retail sector, such as Reliance Securities believes that RELIANCE SECURITIES
cent in this period, while the Nifty housing, automobile, and unsecured the key risks for global equities would ICICI DIRECT Kalpataru Power Transmission 411 62.6 678 64.9
registered a return of over 40 per cent. loans. The pharmaceutical sector also be a sharp rise in bond yields in the Vardhman Special Steels 274 280.2 340 24.3
As is the case in bull markets, looks promising, with the speedy US, the likelihood of reversal of the US Ramkrishna Forgings 1,051 181.7 1,700 61.7
Bank of Baroda 101 124.0 120 18.9 Gujarat Gas 632 113.9 967 53.0
companies in the small- introduction of generic Federal Reserve’s soft monetary pol-
and mid-capitalisation drugs, rural health pro- icies, and elevated energy prices. This, Action Construction Equipment 254 253.8 300 18.3 HCL Technologies 1,177 46.2 1,480 25.8
basket outperformed the grammes, life-saving together with high valuations at 22x Gateway Distriparks 296 217.1 350 18.2
benchmarks, with BROKERAGES drugs, preventive vac- the 2022-23 earnings for the Nifty, Nippon Life India Asset Mngt. 422 53.8 526 24.5
POINT OUT THAT Bata India 2,036 56.8 2,380 16.9
+ returns almost twice cines, and US Food and could result in periodic corrections. Infosys 1,703 60.3 2,120 24.5
those of frontliners. INVESTORS MUST Drug Administration Says an analyst at Kotak Research, Mahindra Lifespace Developers 283 216.6 325 14.8 Larsen & Toubro 1,889 103.1 2,303 21.9
What dominated the approvals, they add. “The rich valuations of the Indian TCNS Clothing Co 781 102.0 860 10.1
returns charts over the BE SELECTIVE The July-September market and of most sectors after the Varun Beverages 938 109.4 1,141 21.7
past year were realty, IN THEIR quarter results indicate sharp rerating in the multiples of most JM FINANCIAL UltraTech Cement 7,891 73.4 9,400 19.1
metal, and public sector that consumption stocks from their pre-pandemic levels
undertaking (PSU) bank
STOCK PICKS, demand is now close to raise the prospects of a pull-back in Jindal Steel & Power 423 109.8 533 26.0 Ashok Leyland 143 70.5 170 18.9
indices which doubled ESPECIALLY pre-pandemic levels. the market and/or modest returns for JB Chemicals & Pharmaceuticals 1,649 68.0 1,988 20.5 YES SECURITIES
shareholder value.
Brokerages believe some
IN THE This should help com-
panies in the multiplex,
a ‘longish’ period of time.”
In this context, brokerages point
Prism Johnson 122 61.3 145 19.2 CRISIL 2,821 40.4 4,460 58.1
of these themes — such MID-CAP SPACE quick service restau- out that investors must be selective in GAIL India 150 79.1 178 18.0 SBI Cards & Payment Services 1,105 35.9 1,625 47.0
as realty and banks — rant, amusement park, their stock picks, especially in the HCL Technologies 1,177 46.2 1,375 16.9
will continue into automobile, and avia- mid-capitalisation space, given that Prince Pipes & Fittings 754 222.7 1,091 44.6
ICICI Prudential Life Insurance 623 52.2 725 16.3 ICICI Bank 786 76.9 1,112 41.5
Samvat 2078. tion sectors. they tend to fall more sharply than
Say analysts at Motilal Oswal The rise in consumption is also their larger peers when selling Finolex Cables 488 78.8 565 15.9 Polycab India 2,338 151.7 3,300 41.2
Research, “We believe that real estate expected to help in the revival of the pressures intensify. Max Financial Services 980 62.7 1,135 15.8
is on the cusp of an upcycle with sev- capital expenditure cycle which, cou- While brokerages are bullish on IndiaMart InterMesh 7,325 55.0 10,200 39.3
eral macro factors supporting low pled with the government’s thrust on multiple themes, there are two stocks
Steel Authority of India 122 252.1 139 13.5 PNC Infratech 335 96.6 460 37.4
interest rates, benign prices, and ris- the infrastructure sector, will aid com- which find mention in the top Diwali Macrotech Developers 1,181 NA 1,165 (1.3) Gland Pharma 3,698 NA 4,925 33.2
ing affordability, coupled with low panies in the construction/infrastruc- picks of most brokerages: Infosys and
home ownership in India.” ture and capital goods space. Larsen and Toubro (L&T). KOTAK SECURITIES Acrysil 749 426.4 995 32.9
In addition to direct realty plays, There are multiple positives which While L&T’s value doubled over the Bharat Petroleum Corp 415 27.8 550 32.5 Dalmia Bharat 2,013 138.9 2,640 31.2
brokerages believe home improve- should sustain the earnings growth of past year, Infosys gained 60 per cent
ITC 223 30.8 275 23.6 OTHER STOCK PICKS: APOLLO PIPES, GREENPANEL INDUSTRIES
ment companies across sectors, such Corporate India. While key macroeco- during this period. PSU banks, infor-
as cement, pipes, tiles, consumer nomic indicators are showing a posi- mation technology companies, Hindustan Unilever 2,411 17.1 2,950 22.4 Current & target prices rounded off; top picks (max 10) of each brokerage
electricals, paints, and plywood, will tive trend and should help sustain cement makers, and consumption sorted on upside; companies mentioned below the table are additional picks
Hindalco Industries 478 165.9 565 18.2 (in excess of the top 10); NA: Not applicable as the company has listed in the
benefit from higher consumer spends. demand and revenue growth, delever- plays stand out as clear favourites last one year Compiled by BS Research Bureau
While defensives (pharmaceutical, aging of the corporate balance sheet among the picks for Samvat 2078. Infosys 1,703 60.3 2,000 17.5 Source: Brokerage reports

IPO rush continues;

Use new annual info statement to get errors corrected
Make sure the information in this statement matches with your I-T returns, else you could get a tax notice
BINDISHA SARANG
The Income Tax (I-T) Department
has rolled out the new Annual
Information Statement (AIS) on its
compliance portal (incometax.gov.-
in), which provides comprehensive
information to taxpayers on their
financial transactions.
It aims to make the filing of I-T
returns easier for taxpayers, and
comes with a facility to provide
online feedback.
Moiz Rafique, managing partner
at Privy Legal Services LLP, says,
“The I-T Department prepares and
publishes an annual statement of
the taxpayer’s financial transactions.
The purpose of this report is to make
all eligible taxpayers pay taxes sys-
tematically, thereby reducing the
possibility of tax evasion.”
More details captured
The new AIS will contain more infor-
mation than the existing Form 26AS,
which primarily provides informa-
tion on Tax Deduction at Source
(TDS) and Tax Collected at Source
(TCS) that has been deposited, and
financial transactions exceeding cer-
tain prescribed threshold limits.
Sandeep Bajaj, managing part-
ner, PSL Advocates & Solicitors,
says: “The new AIS includes
additional information relating to
interest, dividend, securities trans-
Paytm, 2 other issues
HOW TO DOWNLOAD THE NEW AIS reasonable time.”
to open next week
n Log into the e-filing click on ‘Download’ Six pre-defined responses are
portal using your PAN or available under the feedback tab: PRESS TRUST OF INDIA scheduled to open on
n Click on the PDF and
Aadhaar and your Information is correct, income is not New Delhi, 5 November November 8, November 9 and
enter password to open taxable, information is not fully cor- November 10, respectively.
password the document
rect, information relates to other Hectic fundraising through So far in 2021, as many as
n Go to the ‘Services’ n The password will be your PAN/year, information is duplicate IPOs will continue next 46 companies have floated
section in the top menu, PAN and your date of birth or included in other information, week, with three firms — their IPOs to raise ~80,102
click on ‘Annual and information is denied. One97 Communications, crore and market experts
n View all the details in
Information Statement Naveen Wadhwa, deputy gen- owner of Paytm; Sapphire believe that the year
your AIS
(AIS)’ and then eral manager (DGM), Taxmann, Foods India, which operates should close with the ~1-tril-
on ‘Proceed’ n In case of any
says, “If the taxpayer chooses ‘infor- KFC and Pizza Hut lion primary mar-
discrepancy in the AIS or mation related to other PAN/year’, outlets; and Latent IPOs of Paytm, ket fundraising.
n Click on the Download
the TIS, submit online then he must mention details of the View Analytics — Sapphire Foods Apart from
button in the AIS tab feedback and it will be
other PAN and relationship with are set to launch India and Latent these, PowerGrid
n Select PDF option and updated.
that person.” their initial share- View Analytics InvIT, the infras-
sales to collectively are scheduled to tructure invest-
actions, mutual fund transactions, the pre-filled facility.” arately in the AIS. Rana says, “To Points to remember mop up about open on ment trust (InvIT)
foreign remittance, etc. The modify or deny the information, Experts say providing taxpayers the ~21,000 crore. November 8, sponsored by the
reported information will be pro- Taxpayers can offer feedback the source of the information option of feedback in case of infor- This comes after November 9 and Power Grid
cessed to remove duplication.” If there is a mismatch between a tax- should be contacted for confirma- mation mismatch is welcome. five companies suc- November 10, Corporation of
Even if a taxpayer receives ~500 payer’s financial transaction and the tion. If the taxpayer has already Wadhwa says, “This facility was not cessfully concluded respectively India, mopped up
from a mutual fund, that will be data reported in the AIS, he can offer filed the ITR, and some information available earlier, and taxpayers often their public offer- ~7,735 crore
reflected in the new AIS. feedback on it. Rana says, “Unlike has not been included in it, the struggled to find a solution to the ings (IPOs) this week. through its IPO, and
The AIS will also contain a tax- Form 26AS, information shown in return should be revised to reflect mistakes in their Form 26AS.” Those five firms are — Brookfield India Real Estate
payer information summary (TIS), the AIS can be modified. If a tax- the correct information.” Finally, taxpayers need to be cau- FSN E-Commerce Ventures, Trust raised ~3,800 crore via
which will show the aggregated payer feels that the information in Based on the feedback provided tious while using the AIS. Ashok which runs online market- its initial share-sale.
value of his financial transactions. the AIS is incorrect, relates to in the AIS, the derived information Shah, partner, NA Shah and place for beauty and wellness The fundraising so far
The taxpayer can use these aggre- another person or year, or there is in TIS will get updated in real time. Associates, says, “Carefully review products Nykaa; Fino this year is way higher than
gated values to file his income-tax duplication, there is a facility for Aditya Chopra, managing partner, each transaction in the AIS. Request Payments Bank; Policybazaar ~26,611 crore collected by 15
return (ITR). submitting online feedback.” Victoriam Legalis — Advocates & modification if you find erroneous parent entity PB Fintech; dec- companies through initial
The AIS is expected to make the Multiple types of information Solicitors, says, “The incorporation information. If you fail to do so, you orative aesthetics supplier share-sales in the entire
task of filing ITR easier and faster. can be submitted in bulk through of a process for submitting feedback could face unnecessary hardship.” SJS Enterprises; and micro- 2020.
Kapil Rana, founder and chairman the AIS. Rafique says, “You may sug- and comments will help not only Wadhwa adds, “A taxpayer could crystalline cellulose maker Such impressive fundrais-
of HostBooks, says, “One can import gest numerous changes at one go.” taxpayers but also the concerned get a notice if the information filed Sigachi Industries. ing through IPOs was last
the information contained in the AIS The reported value and value authorities in screening and remov- in his ITR doesn’t match the infor- The three-day IPOs of seen in 2017 when firms
directly to one’s ITR form through after feedback will be shown sep- ing incorrect information within mation contained in the AIS.” Paytm, Sapphire Foods India mobilised ~67,147 crore
and Latent View Analytics are through 36 initial share-sales.

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 .
NEW DELHI | 6 NOVEMBER 2021 POLITICS & PUBLIC AFFAIRS 15 <

Bank of Baroda
‘DECADE BELONGS TO UTTARAKHAND’ Jasola Branch, New Delhi
BO: GF-3 Sushant Lok Phase 1 POSSESSION NOTICE (For Immovable property only)

PM promises development,
Vipul Square, Gurgaon Haryana-122009
Email: sushantlok@indianbank.co.in
CORRIGENDUM
Please refer to our E-auction Sale
Notices, published in this newspaper
(As per appendix IV read with rule 8(1) of the security interest (Enforcement) Rules, 2002)
Whereas, The undersigned being the Authorized Officer of The BANK OF BARODA under
the Securitization And Reconstruction of Financial Assets and Enforcement of Security
Interest Act 2002 and in exercise of power conferred under section -13(12) read with rule - 3
of the Security Interest (Enforcement) rules, 2002, issued a demand notice dated
01.07.2021 calling upon the Borrower Mrs Parveen W/o Mr Rasid Ali & Mr Rasid Ali S/o

end to migration from hills

on 20.10.2021 Borrower Names - 1.
Pratap Kumar Kopulla 2. Kavita
Godinho e-auction date - 06.11.2021
is now changed to 10.11.2021. Other
terms and condition will be same.
PRESS TRUST OF INDIA Date: 05.11.2021 Authorised Officer
Dehradun/Kedarnath, 5 November Place: Gurgaon, Haryana Indian Bank
Mr Khalil Ahmad to repay the amount mentioned in the said notice being Rs.
9,56,769.16/- (Rupees Nine Lakhs Fifty Six Thousand Seven Hundred Sixty Nine and
paise Sixteen only) as on 31.05.2021 together with further Int. and charges w.e.f
01.06.2021 at the contracted rate plus costs, charges and expenses till date of
Payment within 60 days from the Notice/Date of receipt of the said notice.
The Borrower having failed to repay the amount, notice is hereby given to Borrower and the
Public in general that the undersigned has taken possession of the property described
herein below in exercise of power conferred on him/her under sub-section (4) of Section 13
of the Act read with Rule 8 of the security Interest Enforcement Rules, 2002, on this the
30th day of October of the year 2021.

P
rime Minister Narendra Modi on
Friday predicted a decade of devel-
opment for Uttarakhand and an
end to migration from the hills, as he
inaugurated a rebuilt samadhi of Adi
Shankaracharya in Kedarnath.
Addressing a gathering of priests and
devotees, he said the redevelopment of
centres of faith in India shows the coun-
try’s growing pride in its ancient saints
and philosophers like Adi Guru
Shankaracharya and Swami
Vivekananda.
A grand Ram temple is being built in
Ayodhya to restore its glory after cen-
turies while the work on the Vishwanath
Dham project in Kashi is nearing com-
pletion, the prime minister said.
Modi also inaugurated and laid the
foundation stone of reconstruction proj-
ects worth over ~400 crore at Kedarnath
in Uttarakhand where the Assembly elec-
tions are just a few months away.
Mentioning the under-construction
Chardham all-weather road and the
Rishikesh-Karnaprayag rail link projects,
he said the pace at which infrastructure
projects are being carried out in
Uttarakhand more pilgrims will visit the
state over the next 10 years than in the
last 100 years. “The third decade of the
century belongs to Uttarakhand. Take it
from me. I am saying this from a holy
land,” Modi said.
The growing network of homestays
will create livelihood opportunities for
locals at their homes and stop migration
from the hills by the youth in search of
employment, he said.
“I have reversed the old saying that
Pahad ka Pani aur jawani kabhi pahad
ke kam nahin aate (hills never benefit
from its water and youth).” Describing
Uttarakhand as a land of bravehearts who
Prime Minister Narendra Modi at Kedarnath Temple, in Uttarakhand
“Problems related to the armed forces are being resolved on priority. I
had the fortune of fulfilling their demand for One Rank One Pension
which was pending for four decades”
NARENDRA MODI, Prime Minister
don’t hesitate to lay down their lives to
protect India’s frontiers, the prime min-
ister said the modernisation of the
defence sector had boosted the morale of
the forces and increased their valour.
“Problems related to the armed forces
are being resolved on priority. I had the
fortune of fulfilling their demand for One
Rank One Pension which was pending for
four decades,” the prime minister said.
Modi, who began his visit to Kedarnath
by offering prayers at the Himalayan tem-
ple, said visiting the place has always been
an overwhelming experience for him.
“Every time I come to bow at the feet
of Baba Kedar, the glowing peaks that sur-
round the temple and the winds that blow
here take me to a different world. The
experience is so overwhelming that I can-
not describe it in words," he said.
The Borrower/Guarantors/Mortgagors in particular and the public in general is hereby
cautioned not to deal with the property and any dealings with the property/ies will be
subject to the charge of the BANK OF BARODA for an amount of Rs. 9,56,769.16/-
(Rupees Nine Lakhs Fifty Six Thousand Seven Hundred Sixty Nine and paise
Sixteen only) as on 31.05.2021 together with further Int. and charges w.e.f
01.06.2021 at the contracted rate plus costs, charges and expenses till date of
Payment.
The borrower's attention is invited to provision of sub-section (8) of section 13 of the Act, in
respect of time, available, to redeem the secured assets.
DESCRIPTION OF THE IMMOVABLE PROPERTY:
All that part and parcel of the property one Industrial Property Built up property at plot no. F-
25/1, admeasuring 215 sq. ft, situated in the layout plan of C-580 Third Floor, Pocket-11,
Jasola Vihar at New Delhi bounded as under:
East : Flat No. C-824 West: Flat No. C-584 South: Open (below) North: Entry/Open (below)
Date: 30.10.2021 Authorised Officer
Place: New Delhi Bank of Baroda
PHOTO: PTI
Talking about the extensive damage
caused to Kedarnath by the 2013 deluge,
he said the devastation was so huge it
was almost impossible to think of
rebuilding things.
“But my gut and also my experience
in reconstructing the earthquake-hit
Kuchch always told me that Kedarnath
will get back on its feet even stronger
than before."
However, the credit for the recon-
struction works in Kedarnath should go
to Baba Kedar without whose blessings
nothing could have been done, he said.
Modi also thanked Uttarakhand Chief
Minister Pushkar Singh Dhami for the
urgency with which took up the comple-
tion of projects and the labourers who
worked in sub-zero temperatures to
implement them.

India to host security dialogue on

Afghanistan, invites China, Russia
PRESS TRUST OF INDIA
+ New Delhi, 5 November
Russia, Iran, and almost all
central Asian countries have
confirmed their participation
at a regional security dialogue
on Afghanistan to be hosted
by India on November 10, offi-
cial sources said on Friday.
Pakistan’s media com-
ments to not participate in the
dialogue is unfortunate but
not surprising and it reflected
Islamabad’s mindset of view-
ing Afghanistan as its “protec-
torate”, they said. The sources
said Pakistan’s comments
against India on the matter are
an unsuccessful attempt to
deflect attention from its “per-
nicious role” in Afghanistan. lier due to the pandemic. mat, the sources said.
India is hosting the dia- “There has been an over- They said invitations for
logue to discuss the overall whelming response to India’s the dialogue have been
security situation in invitation. Central Asian extended to China and
Afghanistan following the countries as well as Russia and Pakistan too, and formal
Taliban's capture of Iran have confirmed responses are awaited.
power in the coun- SOURCES SAY participation. The “However, Pakistan has
try. The meeting PAKISTAN HAS enthusiastic resp- indicated through the media
will be held at the INDICATED onse is a manifesta- that it will not attend.
level of the national THROUGH MEDIA tion of the impor- Pakistan's decision is unfortu-
security advisers of THAT IT WILL tance attached to nate, but not surprising. It
the participating NOT ATTEND India's role in reflects its mindset of viewing
countries. India’s THE TALKS regional efforts to Afghanistan as its protec-
NSA Ajit Doval will promote peace and torate,” the source said.
chair the dialogue. security in Afghanistan,” said “Pakistan has not attended
Two earlier meetings in a source. the previous meetings of this
this format have been held in It is for the first time that format. Its media comments
Iran in September 2018 and all Central Asian countries against India are an unsuc-
December 2019, the sources and not just Afghanistan's cessful attempt to deflect
said adding the third meeting immediate land neighbours attention from its pernicious
in India could not be held ear- are participating in this for- role in Afghanistan,” it said.

> FROM PAGE 1 Sales... Govt... cement, the average capacity

utilisation has already gone

Fuel... It claimed that Flipkart Group

But it’s not that dealers don’t
make gains from price volatili-
ty. “Dealers have a tendency to
stock up when they anticipate
fuel prices to go up due to crude
oil price movement. This leads
to them making gains well
beyond the dealer margin that
is assured to them. But the
recent excise cut may have
caught them off guard,” said a
senior executive at an oil-mar-
keting company.
“This comes as a business
risk,” the official added.
The Centre had last tinkered
with excise duty in March and
May 2020, when it was hiked in
two instalments by ~13 per litre
on petrol and ~15 per litre on
diesel. These hikes were in tan-
dem with falling international
crude oil prices then.
“The dealers could not avail
themselves of the benefit of the
excise duty hike that the Centre
had implemented because
instead of raising petrol and
diesel prices, the oil companies
had absorbed the price revi-
sion. This led to no change in
the outgo for a dealer who paid
the same price for buying
petroleum products as before
the hikes in March and May
2020,” Bansal said.
Commenting on the price of
petrol and diesel after the excise
revisions and their use as a
political tool, Bansal said, “Des-
pite the recent excise cut, the
petrol price is well above ~100 a
litre in Delhi. The Centre and
state governments should stop
using petrol and diesel prices
as political tools and moderate
them across the country. Cons-
umers are now comfortable
paying ~70-80 a litre for petrol
and ~60-70 a litre for diesel.
Bringing auto fuels under the
goods and services tax regime
can be one avenue for this.”
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X
emerged as the leader, with a
64 per cent market share.
Earlier, RedSeer Consulting
had forecast a sale of $4.8 bil-
lion in the first week of the fes-
tival season. The overall online
shopper base grew by about 20
per cent compared to last year,
with Tier 2 contributing to
about 61 per cent of all shop-
pers. Also, the “gross merchan-
dise value per shopper has
grown by 1.04X — indicating
an inherent aspiration in the
shopper”, it said.
E-commerce firms Amazon
and Flipkart recently said the
early trends of their festival
sales event reflected increased
participation from tier 2 and 3
cities. Amazon’s month-long
Great Indian Festival 2021 and
Flipkart’s The Big Billion Days
started early in October.
Amazon recently said its
month-long sales event has
seen the biggest-ever shopping
activity for its sellers and brand
partners, bringing services to
millions of customers. The sale,
which started at midnight of
October 2 for Prime members
and went live for all customers
on October 3, saw participation
from 99.7 per cent pin codes.
Local shops on Amazon
clocked a 2x spike and sold over
10 products every minute.
As Bharat gets ready for 5G,
more than 84 per cent of mid-
range segment of smartphones
bought on Amazon were 5G-
ready. More than one million
customers purchased a smart-
phone on Amazon for the first
time. About 1 in 6 smartphones
and 1 out of 4 TVs sold during
this time had Alexa Built in or
worked with Alexa. Over 120
audio products were pur-
chased every minute.
Amazon’s voice assistant Alexa
answered over 36 million
requests during the event.
The rest of the investments
will fructify in FY23 and FY24.
In the steel sector, based
on company announcements,
the big companies plan to
spend nearly 2.5x on capex
between FY22 and FY24, com-
pared with the previous three
years, with over ~78,000 crore
of fresh investments.
The government itself is
expecting investments of
~40,000 crore in specialty
steel through the PLI scheme
for which it has earmarked
an outlay of ~6,322 crore as
incentives.
There are also other
high-tech areas outside the
PLI where investments have
been lined up, such as data
centres. Real estate consul-
tancy JLL India points out
that companies have already
committed $3 billion till 2023
to double the capacity to 1 Gw,
especially given the accelera-
tion that the pandemic has
given digitisation, along with
the impending roll out of
5G services.
Capacity utilisation is a
key barometer on which com-
panies decide on fresh invest-
ment and expansion of capac-
ity was adversely impacted by
the second wave.
But the good news is that
capacity levels are inching
back to pre-Covid times.
According to a FICCI-Jefferies
assessment, the average
capacity level in industries
cutting across automobiles,
capital goods, cement, chem-
icals and fertilisers, metal and
metal products, and textiles
stood at 73 per cent pre-pan-
demic in December 2019, rose
to 76 per cent in December
2020, and then fell after the
second wave to 72 per cent in
the June 2021 quarter.
However, in many sectors
such as automotive, and
above the pre-Covid
December 2019 levels.
The big fall was seen in
consumer durables and elec-
tronics, where capacity utili-
sation fell from 85 per cent
pre-second wave to 60 per
cent this June. A large part of
the fall was due to the short-
age of semiconductor chips.
Clearly, the big-ticket
items in which incremental
new investment is expected
to come up though the
PLI scheme include
automobiles and auto compo-
nents (~42,000 crore),
advanced chemistry cells
(~45,000 crore), pharma drugs
(~15,000 crore), and solar PV
(~17,200 crore).
According to estimates by
Jefferies and commerce min-
istry data, investment in PLI
schemes, together with
investment in data centres,
should add somewhere
between $10-15 billion in
annual fresh investments in
the next few years.
Career...
In India, 96 per cent of the
workforce is not satisfied with
their employer’s support.
“Through daily tracking,
diagnostics, and providing
outlets for employees to dis-
cuss their issues, technology
can be used intelligently to
ensure the emotional and
mental well-being of the
workforce,” said Khanna.
The survey that was based
on a study of more than
14,600 employees, managers,
HR leaders, and C-suite exec-
utives across 13 countries also
found that people across the
world have felt stuck in their
personal and professional
lives, but are ready to regain
control of their futures.
 16
>
NEW DELHI | 6 NOVEMBER 2021 1

> CAR REVIEW N N N

Predatory, cloned journals more
rampant in post-pandemic world
RITWIK SHARMA mote quality research in univer- journals have to be Scopus
New Delhi, 5 November sities. It also led to the creation of indexed, with indicators of quality
a UGC-CARE List of journals. The research, but researchers are

T
wo years ago, a Pune-based
PhD student who is
enrolled at a university in
Madhya Pradesh submitted a
paper to a social science journal
that promised to upload it online.
She only had to pay ~5,000 to pub-
lish the paper, and immediately
received a PDF file of her paper
and a certificate via mail.
“But later when I searched
online, I could neither find the
paper nor the journal’s website,”
says the 32-year-old who does not
want to be identified.
It’s one of thousands of exam-
ples of researchers falling prey to
fake, cloned or predatory journals
— a practice that has become
more rampant in a digital age and
especially in a post-pandemic sce-
nario where academia has shifted
from the real to the virtual world.
Although there are no esti-
mates available, the financial loss-
es are immense. Researchers
often end up paying upwards of
~20,000 for an article, says Sumit
Narula, a whistle-blower, adding
that in India the number of res-
earch papers published in fraud
journals could be as high as 3,000
to 5,000 in a year. Narula, who
heads the Amity School of Com-
munication at Amity University,
Gwalior, was also cheated by a
predatory journal in March 2020.
Since then, he has been tracking
fraud journals and conducting
workshops to help students and
researchers identify them.
Predatory publishing is one
that charges publication fees from
authors without vetting articles
for quality and legitimacy.
Researchers are tricked into pub-
lishing with them, even though
some authors may be aware that
the journals are of poor quality or
fraudulent. Cloned journals are a
counterfeit mirror of and exploit
the title and ISSN (International
Serial Standard Number) of
authentic journals; some cloned
journals actively chase authors
who may be duped into paying
an open-access publication fee,
explains Narula.
He flags suspect cases to lead-
ing citation databases such as
Scopus (owned by Dutch publish-
er Elsevier) and Web of Science
(owned by analytics firm
Clarivate), which identify and dis-
continue predatory journals.
In November 2018, the
University Grants Commission
(UGC) announced the setting up
of a Consortium for Academic and
Research Ethics (CARE) to pro-
UGC-CARE List now has two
groups:
I. Journals found qualified
through UGC-CARE protocols
II. Journals indexed in globally
recognised databases
The list is updated quarterly
and includes the corresponding
cloned journals that mirror the au-
thentic ones. The latest list shows
36 journals in Group I and 40 in
Group II.
Misguided or misinformed
The problem of fraud journals per-
sisted earlier but it became bigger
since publishers went digital, says
Sangeeta Menon, who heads
South Asia publishing for aca-
demic publisher Emerald. Among
the highest number of victims of
predatory journals comes from
South Asian countries, mainly
India, she adds.
There are multiple reasons for
this. First, there is a lack of under-
standing of open/paid access
research and predatory publish-
ing among researchers. “There is
a lot of focus from the Indian gov-
ernment to have quality research
output. So there is pressure that
sometimes unable to distinguish
between genuine and false impact
factors created by fake agencies.
Because of these problems, we
have seen a lot of predatory jour-
nals flourish.”
Emerald signs up journals for
open access and conducts work-
shops on it. It calls itself a digital-
first publisher with open access
and doesn’t put the onus of mak-
ing payments on researchers. It is
Audi serves up treat
sponsored by institutes.
“Around 2010-11 publishers
found themselves in a position
where they had to go open access
for off-roading
(which offers unrestricted access
online to research). When we are
working with a fairly misguided
or misinformed market about
open access (that it’s all free or
aficionados
predatory), we as publishers are
struggling because researchers are
asking for open access from us,”
Q5, its latest SUV with a facelift, is a ‘luxury
Menon says. crossover’ and jack of all trades
She points out that India is
among the top five nations in PAVAN LALL than before and that may have something
terms of the output of scholarly Mumbai, 5 November to do with the fact that the wheel size has
publications, but its citation share been increased from 18 to 19 inches.
is barely above 3 per cent. Think of any top-ranking luxury carmak- While the Q5 is a light driving car that
er and it’s almost always defined by a few feels like you can easily fling it over and
More on business-standard.com star products that serve as their best- around brooks and brushes and hills and
sellers. It’s the S Class and sedans for plains, it’s also versatile in that its rear
Mercedes-Benz, the 3 Series and other seat is as comfy and spacious as you’d
sporty saloons for BMW, and the Q range expect. This makes it a car that can be

The opium connection

Imperial Russia. The allied forces decisive- of SUVs for the VW-owned Audi. That’s used to drive as well as for being chauf-
ly routed China and sacked the Forbidden not just a point of view. It’s a reality feured around in. While no one second
City. The Treaty of Tientsin (1858) extracted backed by statistics. guesses a German car’s creds on safety
even more concessions, including legali- Historically, at least 45 percent of and strength, it’s good to know that
sation of opium trade, rights to 10 ports, Audi’s sales have come despite its light-weight feel
A readable account reprises a history that extensive reparations, and access to mis- from the Q lineup. While the Audi Q5 has received
SPEC SHEET
India has forgotten but China has not sionaries to the interior. Successive British
parliaments readily bought into the argu-
Audi has expanded its
range of SUVs, touting n Power: 190hp
a rating of 5 stars (NHT-
SA), and is also equipped
SHREEKANT SAMBRANI mild preparations even for infants suffer- ment that the country was fighting against technology and light n Torque: 420 NM with eight airbags — two
ing colic pain. the suppression of free trade. Notable Whig weight as their unique n Transmission: 7-speed more than some of its
That ultimate narcotic, opium, has been India had two major connections with politicians including Thomas Macauley features, it also made a S tronic peers. However, as with
in the news ever since the Taliban regained putting opium on the political map, one were swayed by such logic. strong case for its stand- n Cylinders: 4
any SUV with a high
control of Afghanistan. It was a major rev- rather roundabout and another, arising But that was not all. England also need- ing as the German SUV n Displacement: 1984 cc
ground clearance, do not
enue-earner for the earlier Taliban regime. from it, very direct. Princess Catherine de ed sugar. So it encouraged sugarcane cul- of choice for a number of expect this to be immune
n Kerb weight: 1,555 kg
Even as it laid waste many a life all over Braganza of Portugal brought the Bombay tivation in South Africa and the Caribbean, reasons despite manu- to the risk of rollover if
n Price: ~42,34,000
the world, cultivating poppy, its source, was and surrounding islands to England as which it ruled. It had forsworn the slave facturing low-key but pushed too hard.
a life-saving occupation for innumerable dowry upon her marriage to Charles II in trade, but had no qualms about transport- competent sedans such (ex-showroom) Audi has moved its
dirt-poor farmers in that godforsaken land. 1666. She also brought tea to England (news ing thousands of impoverished Bihari and as the A4, A6 and A8. entire product range in
The fear now is that this history to me). It became almost Tamil farmers as indentured labour to The latest Audi Q5 (2021) then is posi- the country to petrol and electric lines
may repeat itself. instantly the preferred bever- these lands, which was slavery in all but tioned for buyers as a “luxury crossover” since last year. So far, it has already intro-
This reviewer discovered age of the court and the rich. name. This triangular arrangement led to offering a premium vehicle capable of duced eight new products in the market
another, more immediate, con- The trouble was it had to be the emergence of large trading houses and delivering an elevated driving experi- in the first nine months of the year and
+ nection with Baroda (the review imported from China, and agencies. And vast fortunes for some ence whilst being a very powerful car. the Q5 marks the ninth launch for the
uses historic place names and England had little to offer in OPIUM INC: HOW A GLOBAL Britons and Indians. While it looks sleeker and more stream- four rings. Considering that Audi says
spellings), where I live. A recent return that the Chinese wanted DRUG TRADE FUNDED THE Thomas Manuel provides a very read- lined than its earlier avatar, the new Q5 its product’s marketing pillars are bol-
pamphlet to mark the 150th except silver. BRITISH EMPIRE able, but not necessarily comprehensive, comes with a spacious design and pre- stered by new body styles, petrol engines
anniversary of India’s first mod- BOOKS Throughout the next cen- Author: Thomas Manuel account of all this and more, up to now, cisely designed ergonomics that make and electric vehicles, expect the Q5 to
ern narrow gauge railway line
between Dabhoi and Karjan,
& IDEAS tury, the East India Company
tightened its hold on Bengal,
Publisher: HarperCollins when poppy cultivation is outlawed in most
countries except for medicinal purposes
for both pliant driving and a comfortable roll out in a pluggable version not too
passenger experience. Inside the car, kit- far down the road.
two agriculturally important He quotes culminating in the Battle of Price: ~599 but opium continues to menace the world. ted out in leather with Audi’s trademark Out in the hills of Maharashtra,
towns in the district, recalled the Chinese Plassey (1757) when Robert Pages: xxii+272 pp He quotes the Chinese historian Tan Chung digital cockpit and an instrument clus- through rough country roads and hilly
that the original line was historian Clive’s 3,000 soldiers gained who pithily summarised the situation: The ter, the vibe is all technology and soft- terrain the Q5 cruised ahead like a champ
strengthened for steam locomo- Tan Chung effective control of large Chinese got the opium, the British got tea ware. And that’s not a bad thing given never letting its passengers ever feel the
tive haulage of two major crops who pithily swathes of the lower Gangetic of monopoly and agency houses emerged and the Indians got colonialism. But the the world we live in. undulations of the path ahead.
of the hinterland, cotton and summarised plain all the way up to today’s in East India. Opium processors and traders book under review is not a historical opus, Examples include keyless entry, lane Ample trunk space, great sound
poppy seed, to Karjan on the the situation: Assam and Orissa. Even under included devout Gujarati Hindus and Jains, as becomes clear from the author’s creden- keeping assist, lane departure warning, acoustics, super-responsive steering,
main line to Bombay port for The Chinese got Mughal rule, Bihar produced Parsis, respected Scottish Presbyterians tials, journalistic more than anything else. park assist, automatic emergency braking and optimum suspension and comfort
export to England in case of cot- the opium, the 4,000 chests (77 kg each) of and Jews. Their personal religiosity did not So one must treat this as reportage, most and traffic jam assist. I almost leaned mean this is an SUV that you don’t feel
ton and Canton in China for opi- British got tea opium annually. By 1773, the extend to compassion for either the exploit- likely inspired by Amitav Ghosh’s magis- over to check if there was an Instagram tired even after spending four hours
um. I have been well aware of and the Indians Company had arrogated the ed peasant compelled slave-like into poppy terial Ibis trilogy though not acknowledged assist button anywhere. In the exterior, driving around in. Down a hilly road,
poppy cultivation in Madhya got colonialism monopoly rights to opium to cultivation or the benighted Chinese whose as such. It is also not up to the mark in det- the Q5 now sports a new bumper and once one slowed down, a four-foot-long
Pradesh, around Ratlam and itself. It established an Opium addiction ruined their economy and lives. ails such as names and spellings, or dates. higher air inlets. Moreover, new design cobra saw the Q5 coming and scooted
Neemuch, more than 250 km away. I did Department, under whose aegis poppy cul- The ruling Ch’ing dynasty, fighting India gained independence in 1947 and cues for LED headlamps and tail lamps to the side of the road to let the car pass.
not know that poppy was grown right here tivation eventually grew to half a million sundry warlords within, was too feeble to China became the People’s Republic under have also been incorporated. Clearly, there are some things that even
and that too under the benign eye of acres in the next 100 years. The department resist the British attempts to sell more and Mao Zedong in 1948. How the two coun- The ride seems a little more planted nature doffs its hat to.
princely India’s most enlightened member, had a Benares agency and a Bihar agency, more opium. Its periodic edicts banning tries progressed in the next 75 years is com-
Sayajirao Gaekwad. but poppy cultivation had spread to Malwa opium import and trade had no effect. The mon knowledge. We have long forgotten
Opium and its narcotic effects have in Madhya Pradesh, under the control of mandarin Lin Tse-shu, the Commissioner colonial subjugation and all that went with THE BIG LEAGUE
been known for millennia. Medicine men the Holkars (and, as mentioned above, even for Canton, burned 20,000 chests of opium it, but not, methinks, the Chinese the dual
in ancient Rome prescribed it for relieving to Gujarat under the Gaekwads). after issuing an order for its seizure in 1839. humiliation of enforced addiction to an
Audi Q5 (2021) BMW X3 Lexus NX 300h 2021 Volvo XC60
pain. They were also aware of its addictive Opium from eastern India was pro- That was followed by the First War of evil substance and extraterritoriality. It Price ~55 Lakh ~57.89 lakh ~63.12 lakh ~61.90 lakh
nature and debilitating effects on users. cessed as a Company (later Crown) monop- Opium, which the British won and probably extends even to the present. (expected price) (avg. showroom price) (starting price)
But it counted rulers and nobility in vari- oly and shipped to China from Calcutta. imposed severe conditions on the dynasty Could that be what drives Xi Jinping’s Horsepower 261 248 235 250
ous lands among its consumers. Mughal The western opium was processed and through the Treaty of Nanking that led to People’s Republic relentlessly to world Engine 2.0L I-4 Turbo (base) 2L Turbocharged 2.5-litre inline- 2.0L turbocharged
emperors from Babur to Shah Jahan and traded by merchant houses in Bombay, also the perpetual surrender of Hong Kong. In dominance and never leave an opportu- 4-cylinder 4 w/3 electric I-4
their courtiers were also addicts. The local for shipping to China. Eventually, the the Second War of Opium, Britain was nity to show India down, whether it is in
vaidyas and hakims had very dilute and British government gave up any semblance joined by its then arch rival France and military fields or diplomatic circles?
motors

LUNCH WITH BS > VIKRAM CHOPRA | CO-FOUNDER & CEO, CARS24 “My friends in Delhi had some books different things, regardless of whether you worked at Housing.com.
from Vidyamandir (a prominent coaching succeed or not. Post-Warton, Chopra launched Fab-
institute for IIT-JEE, NEET and so on). “My mom was a homemaker. We were Furnish, an online shopping destination

In the fast lane

With his pre-owned cars business having almost
And, of course, we’d all heard about the
IITs and their reputation for STEM
(science, technology, engineering, and
math),” he says, adding that he was led to
believe it was all very hard and impossible
to crack. But when he started going
doubled in valuation and expanding into newer through the brochures, he found he
could solve the problems fairly easily.
areas, Chopra takes Pavan Lall through his life’s So he decided to give it a shot.
It wasn’t as easy as it seemed, though,
journey, which has been ‘bleisure’ all the way and Chopra barely scraped through the
screening exam and then passed the
a notch above middle-class but weren’t
always stable economically, since there
would be pressures at times when my
father ran these ventures,” he says.
My chicken and rice is spicy but hits the but was sold off by the time he turned 32.
mark. I see Chopra pop a black grape into
the air and snap it up effortlessly.
Chopra’s first gig, an internship at a
large steel factory, involved recording the
temperature and testing. He was so
unprepared for it that he got heat stroke
after a day’s exposure and had to be
for furniture, furnishings and such — the
idea being that a store can only offer these
many designs, while the online world is
limitless. The business ran well for a while,
“What I learnt was that the challenge was
not demand, but supply — a reality that
can be applied to a lot of businesses in
India,” he says. “It’s counterintuitive to
build supply first but it works.”
His latest gig, Cars24, which he laun-
ched with three other friends, is testimony

F
or a tech entrepreneur who’s steered
a startup idea into a billion-dollar
venture, Vikram Chopra lacks the
trademark arrogance and attitude that
over ~13,757 crore ($1.84 billion). And now mains, all the while aware that there was hospitalised. The factory world to that. The company, he says, is
it plans to set up seven giant service little difference between the 10,000-odd wasn’t for him, he concluded. “What I learnt eventually going to be gunning
centres, or Mega Refurbishment Labs applicants in terms of intellect. He got into Besides, his peers were joining was that the for an IPO. “The key to this
(MRLs) as it calls them, in top metros IIT Bombay where he studied metallurgy consulting firms, private equity challenge was business is speed,” he adds,
ILLUSTRATION: BINAY SINHA

accompany most CEOs who’ve seen such
success in such a short span of time. On
the contrary, he seems more like the
quintessential kid-next-door who’s all set
to go to the Indian Institute of Technology
(IIT) — except, of course, he’s not.
We are meeting for lunch, although
virtually. While I am in Mumbai digging
into a bowl of rice, chicken curry and green
vegetables, Chopra is in Dubai, partaking
of a selection of mixed grapes. He’s there
on a “bleisure trip” — part business,
part leisure.
Chopra’s life has been in the fast lane
for a while now. Launched in 2015, barely
six years ago, his company, Cars24, raised
over ~3,300 crore ($450 million) in fund-
ing from DST Global, Falcon Edge, Soft-
Bank Vision Fund 2 and others in Sept-
ember — almost doubling its valuation to
— all before the end of this year. The and materials science. The mindset in his players and venture capital not demand, since customers change their
e-commerce platform for pre-owned family was always academics, academics outfits — that is, if they weren’t but supply — minds fast and can move on if
cars, which became one of the earliest and academics; everything else pursuing MBAs abroad. He a reality that you don’t catch them.
unicorns in the auto space bang in the was secondary. joined McKinsey and later can be applied As Chopra and his partners
middle of the pandemic last year, needs But the inspiration to think and act out venture capital firm Sequoia, to a lot of pursue the twists and turns that
these mega centres to spruce up for sale of the box came in part from his father, enjoying the investing process businesses in accompany the journey of every
the 20,000-odd cars it buys a month. who Chopra describes as a “real engi- that also involved an India,” he says growing concern, I ask him
At 38, Chopra is a young entrepreneur neer”. His father, an electrical engi- exploration of the Indian which of these three prepared
— but old enough, he says, to have seen the neer, spent his life working for business landscape. him the most for this entrepre-
pre-internet time. Born in Raebareli, the Hindustan Aeronautics Ltd (HAL). Later, he went off to Wharton for a neurial adventure: McKinsey, Wharton,
politically significant Uttar Pradesh Later, he also started a movie rental business degree, but six months down Sequoia? “Honestly, you don’t learn that
constituency, he says there was no internet business. “It was a matter of pride realised it wasn’t for him and returned. much about running a business unless
in his town until he was in Class 9. This is for me to be able to get my friends “I had gone there half-heartedly,” he you do it yourself,” he replies, pensively.
part of the reason he headed out of his the latest flicks,” he says. But that says, adding that he did, however, get “Poker has taught me much more about
hometown and after college in Lucknow, business was short-lived and was something valuable out of that trip. It’s how humans behave and, of course, I am
turned his gaze IIT-ward. The decision to hit hard by piracy. Eventually, his here that he met his future wife, who aware that if losing can be because of bad
go to one of India’s foremost engineering father moved to Hyderabad to work for a was working at Bessemer Venture luck, then many a time winning, too, is
schools, he says, came about as a result polyester company whilst also trying his Partners and was a year senior to him at simply a result of good luck.” Given the
of friends sharing coursework hand at a printing press in between. All Wharton. Later, she ran a jewellery track record of the last six years, he and his
coaching brochures. that showed Chopra that it’s okay to try startup called 21Diamonds and also mates are clearly in the lucky lane.

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X