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Today Sector News – 30.05.2018

Today Sector News – 30.05.2018


* AGRICULTURE: The agriculture ministry is weighing an option to mandate the textile industry to buy cotton and jute from farmers at least at the minimum support prices fixed by the Centre.

* AVIATION: The Central Bureau of Investigation has registered a case against Tony Fernandes, chief executive officer of AirAsia Berhad, and others over alleged violation of norms for getting licences to fly on international routes from India. AirAsia India has refuted charges of wrongdoing after media reports said Central Bureau of Investigation has booked group Chief Executive Officer Tony Fernandes and others for alleged violation of norms for securing a licence to fly on international routes from India.

* BANKING: Public sector banks, which are on the brink of being placed under Reserve Bank of India's prompt corrective action framework, are approaching the regulator seeking a delay in restrictions on their lending and expansion till December this year. The government is hopeful state-run banks will be able to slash bad loans by as much as 3 trln rupees this financial year, mostly through debt resolution under the Insolvency and Bankruptcy Code.

* COMMODITY: International Sugar Organization today raised its estimate for global sugar surplus in 2017-18 (Oct-Sep) to a record 10.5 mln tn, more than double the February estimate of 5.15 mln tn, due to larger outputs likely in India and Thailand--the two largest sugar producers in Asia.

* ENERGY: IL&FS Energy, a subsidiary of IL&FS Group, has partnered with SoftBank-owned SB Energy to jointly develop grid-connected solar parks.

* EXCHANGES: Singapore Exchange Securities Trading has deferred the launch of its new India equity derivative products following the Bombay High Court's order extending the stay on such a launch. The National Stock Exchange of India and Singapore Exchange Ltd on Tuesday agreed before the Bombay High Court to take their dispute over SGX's India-focused derivative products to arbitration.

* FERTILISERS: Fertiliser firms will have to buy products like urea and Diammonium phosphate from retailers for manufacturing crop-specific soil nutrients in order to avail subsidy from the government under the current direct benefit transfer system.

* PHARMACEUTICAL: Pharmaceutical companies offering buy-one-get-one-free schemes or 20% extra for the same price may have to pay goods and services tax on the extra quantities, raising prospect of the principle being applied to a broad spectrum of consumer products.

* STEEL: The National Company Law Appellate Tribunal had allowed a plea by the committee of creditors for Essar Steel seeking early hearing on the cross appeals moved by the two resolution applicants, ArcelorMittal India and Numetal.

* TAXATION: As much as 200 bln rupees is pending with the government on account of goods and services tax refund, creating liquidity crisis for exporters, Federation of Indian Export Organizations said.