OPINION, P10 WELL BEING FE LINES Contrary to popular belief, oft-consumed beverages such as tea, coffee and sodas actually strip your body of water Page 6 Bob Dylan's Blowin’ in the Wind gets a new life as tech preserves and enhances his music Page 8 WHEN YOUR DRINK CAN LEAD TO DEHYDRATION Two divided democracies ACROSS THE AISLE, P CHIDAMBARAM The timeless voice LEISURE Follow us on Twitter & Facebook. App available on App Store & Play Store WWW.FINANCIALEXPRESS.COM VOL. XXI NO. 36 CLOSETSAND CONTROVERSIES FINANCIAL EXPRESS ON SUNDAY NEW DELHI SUNDAY, JULY 3, 2022, 20 PAGES, `10 (PATNA `10, RAIPUR `10) P U B L I S H E D F R O M : A H M E D A B A D , B E N G A L U R U , WHAT'S INSIDE Mighty millets One of the oldest cultivated grains in the world but largely confined to the rural and tribal populations, millets are increasingly being brought to the mainstream by govt as well as private entities ■ WORDS WORTH, P4 Meden agan A meditative manifesto on how liberalism can liberate itself from its self-inflicted miseries The Financial Services Institutions Bureau (FSIB), which will replace the Banks Board Bureau (BBB), will be much more than a headhunter to fill in key posts at state-run banks, insurers and other financial institutions (FIs), according to an official order reviewed by FE, reports Banikinkar Pattanayak. Page 3 Financial services great aspect of UK-India FTA: Sunak The financial services sector holds out an ‘exciting’ prospect of closer exchange between India and the UK with a free trade agreement (FTA) being negotiated between the two countries, according to British chancellor Rishi Sunak, reports PTI. Page 17 C H E N N A I , READ TO LEAD H Y D E R A B A D , K O C H I , K O L K A T A , L U C K N O W , Telcos to save up to `2,100 crore a year FE BUREAU New Delhi, July 2 THE UPCOMING AUCTIONS could lower spectrum usage charge (SUC) and drive annual cash savings of `700 crore to `2,100 crore fortelecom operators, as per estimates drawn by analysts. Bharti Airtel, Reliance Jio, and Vodafone Idea can maximise net savings at `2,000 crore/`2,100 crore/ `700 crore,respectively,if they buy 500/500/300 MHz in 26 GHz band,respectively,as per estimates drawn up by brokerage Jefferies. As is known,under the new policy announced by the government in September 2021, spectrumacquiredthroughthe upcoming auctions and even future oneswill not attract any SUC REGIME CHANGE ■ On spectrum acquired till 2013, SUC range was 3-8% of operators' adjusted gross revenue, depending on spectrum band and amount of spectrum held ■ While SUC was set at spectrum usage charge. While the methodology of calculating SUC is the same as earlier, the department of telecommunications recently removed the 3% floor rate on SUC. This would mean that as and when operators buy more spectrum in future auctions, over a period of time their SUC will become zero on their entire spectrum holding. The SUC regime has changed over the past decade. For instance, on spectrum 5% for spectrum acquired in 2014 and 2015 auctions, it was lowered to 3% for spectrum acquired in the 2016 and 2021 auctions ■ This has been brought down further to 0% from 2022 acquired till 2013, the SUC range was 3-8% of operators' adjusted gross revenue, depending on the spectrum band and amount of spectrum held. From 2014, the government moved to a uniform SUC regime independent of bands and amount of spectrum held. While this was set at 5% for spectrum acquired in 2014 and 2015 auctions,it was lowered to 3% for spectrum acquiredinthe2016and2021 auctions. This has been brought down further to 0% from 2022. Telcos hold 80-95 MHz of unpaired spectrum at blended SUC rate of 2.9-3.9% in each circle across bands. In the upcoming auctions, the operators can acquire up to 130MHz/ 1,110MHz in 3300MHz/ 26GHz bands, respectively, which will help them lower their blended SUC rate. Continued on Page 2 PRESS TRUST OF INDIA New Delhi, July 2 VIKRAM CHAUDHARY New Delhi, July 2 ENTRY-LEVEL HATCHBACKS may be losing market share to sport utility vehicles (SUVs), but the country’s largest passengervehicle manufacturer, Maruti Suzuki, continues to focus on the category.According to sources, the company will soon reintroduce Alto K10,which was discontinued in March 2020. Currently,the car has been codenamed Y0M. Sources said the Alto K10, which has an engine capacity of998cc,isbeingreintroduced because the company feels there’s not much competition and there’s still a good market in the segment. Today, apart from Maruti Suzuki’s own SPresso, the only other entry- BACK IN RACE ■ Maruti Suzuki feels that there's not much competition in segment ■ One of the ■ Alto K10 was launched in 2010 and sold 880,000 units till March 2020 ■ S-Presso, reasons why Alto K10 was phased out was falling sales launched by Maruti Suzuki in 2019, took away some Alto K10 sales ■ Apart from Maruti Suzuki S-Presso, the only other entry-level hatchback at the moment is Renault Kwid level hatchback in India is Renault’s Kwid. Gaurav Vangaal, associate director,lightvehicle forecast- has amended certain rules related to the Foreign Contribution(Regulation)Act(FCRA), allowing Indians to receive up to `10 lakh in ayearfrom relatives staying abroad without informing the authorities.The earlier limit was `1 lakh. In a notification, the home ministry also said if the amount exceeds,the individuals will now have 90 days to inform the government instead of 30 days earlier. The new rules, Foreign Contribution (Regulation) Amendment Rules, 2022, were notified by the home ministry through a gazette notification on Friday night. “In the Foreign Contribution (Regulation) Rules, 2011, in rule 6,—for the words “one lakh rupees”, the words “ten lakh rupees” shall be substituted; and for the words “thirty days”,the words“three months” shall be substituted,” the notification said. Rule 6 deals with intimation of receiving foreign funds ing, S&P Global Mobility, told FE that the current market share (7.8%) of entry-level hatchbacks is big enough to take in a new model. In FY22, Maruti Suzuki sold 211,762 units of Alto and S-Presso,and Renault sold 26,535 units of Kwid, making the entry-level hatchback a 250,000-unitstrong market. With 4.3 million units in almost 20 years, Maruti Suzuki’s Alto is India’s largest selling car,in terms of cumulative sales. Launched in 2000,the first generation of Alto continued till 2012, when 1.8 million units of the car were sold during the period. It was available in two engine options—the 1,061 cc that it shared with the Wagon R and the 796 cc that it shared with Maruti 800. In 2005, Alto replaced Maruti 800 as India’s largest selling car, a position it maintained till 2018 when Maruti Suzuki’s Dzire ended its 13year dominance. Continued on Page 2 Eco-friendly brands make hay out of wood products ● Demand for sustainable alternatives rises with plastic ban PRICE DISPARITY ■ With rising demand, input costs have also gone up significantly, even though manufacturers of alternative products have tried not to pass on the hike to consumer The cost per unit of a paper straw is 30-40 paise, while that of plastic is 10-15 paise ■ VAISHALI DAR New Delhi, July 2 THE BAN ON single-use plas- tic effective July 1 has come as an opportunity for ecofriendly solutions providers, who are seeing a rise in demand for their products. Offering innovative alternatives to plastic like biodegradable garbage bags, bamboo ■ On the other hand, the price of plastic polypropylene granules is `115 per kg, while biodegradable polylactic acid is `425 per kg, making the alternative 400% expensive ■ Non-availability of alternatives is also a concern toothbrushes to wooden cutlery, trays, stirrers, ice cream spoons, reusable kitchen towel sheets,the manufactur- ers of sustainable products have ramped up production accordingly. Chuk,the flagship brand of D E L H I , P U N E Money matters THE UNION HOME ministry Maruti Suzuki to bring back Alto K10 hatchback ● The 1.0-litre entry-level car was discontinued in March 2020 N E W Relatives abroad can send up to `10L to Indians ■ From 2014, govt moved to a uniform SUC regime independent of bands and amount of spectrum held M U M B A I , FCRA RULES AMENDED SPECTRUM USE CHARGE ABOLITION ● SUC to decline progressively as regulatory levies eased for 5G auctions ■ SPOTLIGHT, P5 IN THE NEWS FSIB to be much more than just a headhunter C H A N D I G A R H , Regressive fashion trends and diktats may take us a step back Page 7 Yash Pakka Limited,one of the pioneers in the sustainable packaging industry since the past 40 years, has seen about 50% year-on-year growth in terms of revenue.Anticipating a surge in demand since the draft notification of the ban was released by the government in March 2021, production was ramped up last October and 30% additional capacitywas added to the production unit inAyodhya,Uttar Pradesh. The production in FY2020-21 was 10 tonne per day,which was increased to 14 tonne per day in FY2021-22,a 40%increaseinproductionon a per day basis. Continued on Page 2 New Delhi ■ Earlier limit was `1 lakh ■ If amount exceeds, 90 days to inform govt instead of 30 days earlier ■ NGOs, individual getting foreign funds no longer have to declare every quarter from relatives. It stated earlier that “any person receiving foreign contribution in excess of `1 lakh or equivalent thereto in a financial year from any of his relatives shall inform the central government (details of funds)within30 days from the receipt of such contribution”. Continued on Page 2
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