INTERNATIONAL | PAGE 7 eFE | PAGE 9 BACK PAGE | PAGE 24 Vijay clears floor test with support ofAIADMK faction Entry ofAI could start new disruption cycle for Indian IT NEW DELHI, THURSDAY, MAY 14, 2026 UK King outlines govt agenda as Starmer faces quit calls FOLLOW US ON TWITTER & FACEBOOK. APP AVAILABLE ON APP STORE & PLAYSTORE WWW.FINANCIALEXPRESS.COM VOL LII NO. 64, 38 PAGES, `12 (PATNA & RAIPUR `12, SRINAGAR `15) 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 , C H A N D I G A R H , C H E N N A I , H Y D E R A B A D , K O C H I , K O L K ATA , L U C K N O W, M U M B A I , N E W D E L H I , P U N E READ TO LEAD SENSEX: 74,608.98 ▲ 49.74 NIFTY: 23,412.60 ▲ 33.05 NIKKEI 225: 63,272.11 ▲ 529.54 HANG SENG: 26,388.44 ▲ 40.53 `/$: 95.71 ▼ 0.08 `/€: 112.04 ▲ 0.31 BRENT: $107.47 ▼ $0.30 GOLD: `1,60,324 ▲ `9,143 MARKETS PAGE 6 RBI EASES RULES FOR OUTWARD REMITTANCES ● Petitionforstay onTataTrusts boardmeetflops MODI-FIED CONVOY: PM GETSAUSTERITYROLLING RBI ON WEDNESDAY removed the prior approval requirement for non-bank entities to form tie-up arrangements for facilitating outward remittance services through banks in India, reports PTI. Air India cuts more overseas flights as fuel costs soar AIR INDIA HAS announced a second round of international flight cuts between June and August as soaring jet fuel prices and prolonged airspace restrictions continue to hurt the profitability of overseas operations, reports Akbar Merchant. ■ PAGE 4 Sebi proposes changes to boost municipal bonds MARKETS REGULATOR SEBI has proposed a number of changes to municipal bonds, according to a proposal paper on the regulator's website posted on Wednesday, in a bid to boost their popularity, reports Reuters. Among the key changes, it has proposed that these bonds can be issued for refinancing. ■ PAGE 6 » RESULTS CORNER« AIRTELQ4 PROFITUP 10.5%, ARPU DOWNTO `257 PAGE 4 TATAMOTORSTOPS STREET, PROFITJUMPS 70% PAGE 4 TVS MOTOR PROFITJUMPS 31%TO `998 CRORE PAGE 5 ● Court questions locus standi of petitioner URVI MALVANIA Mumbai, May 13 Aview of the significantly downsized convoy of Prime Minister Narendra Modi, in New Delhi on Wednesday. The Prime Minister has urged citizens to cut down fuel consumption and spend more wisely. Modi’s move prompted several chief ministers of BJP-ruled states and other leaders to adopt similar measures Import duty on gold, Fuel priceswill go up if oil stays silver hiked to 15% ● Moveaimedat easingpressureon currentaccount FE BUREAU New Delhi, May 13 THE GOVERNMENTON Wednesday raised the customs duty on imports of gold and silverto 15% from 6%,and on platinum to 15.4% from 6.4%, effective immediately, to safeguard macroeconomic stability, conserve foreign exchange and moderate nonessential imports amid the West Asia crisis. The move comes just days after Prime Minister Narendra Modi urged citizens to avoid discretionary gold purchases for at least a year as part of a broader appeal for economic restraint amid the ongoing geopolitical uncertainties. Sharesoftopjewellerycompanies,which had tumbled up to6%followingtheannouncement,endedthedayonamixed note.WhileTitan closed nearly »INSIDE« THE CABINET ON Wednesday approved a 0.4%-8% increase in the minimum support price (MSP) of 14 major kharif crops for the 2026-27 season (JulyJune), but raised the support priceforpaddy,theseason'skey crop,byonlya modest 3%. This is the second consecutiveyearthepaddyMSPhasbeen hiked moderately, while still adhering to the norm of MSP being150%ofthepaid-upcosts. With a huge surplus of rice stocksinthecentralpool,thesignal to the farmers is to diversify into more remunerative crops like pulses and oilseeds, especially in northern Punjab and Haryana.Withaheatwaveanda below-normal monsoon feared to adversely impact the kharif crop, the regulated increase in paddy MSP to `2,441 per quintalcouldhitfarmers’incomes. However, policymakers haveamorecompellingreason to put a lid on MSP increases, considering the surge in economic costs of grains distributed under the National Food Security Act and the resultant spike in food subsidy. “Due to this decision,farmerswill get over`2.6 lakh crore bythewayof MSPthis season,” Information and Broadcasting Minister Ashwini Vaishnaw said. He said the MSPs have been fixed to ensure remunerative prices for farm- METAL MOVES % change on May 13 5.63 Manappuram Finance Muthoot Finance 4.65 0.95 Titan Company Thangamayil Jewellery -0.34 Kalyan Jewellers -1.85 ■ Hike includes a 10% basic customs duty & a 5% agri infra & development cess on gold and silver ■ Total import levies, including 3% integrated GST, will double from 9.18% to 18.45% 1% higher on the BSE, Kalyan Jewellerswas down nearly2%. According to government notifications,thehikeincludes a 10% basic customs duty and a 5% Agriculture Infrastructure and Development Cess (AIDC) on gold and silver,with consequential changes to related items such as gold/silver dore, coins, findings, and jewellerycomponents. GOLD FINANCIERS SEE SHARES RISE P6 Cabinet clears modest 3% hike in paddyMSP SANDIP DAS New Delhi, May 13 ANI EDIT: MOVE A SIGNAL, NOTA SOLUTION P8 According to experts, total import levies, including a 3% integrated goods and services tax (IGST) which is applied on the value including the BCD, will double from 9.18% to 18.45%. The IGST does not amount to a tariff as it is appliedinlieuoftheGSTlevied on local transactions. Continued on Page 7 GOLD IMPORT DUTY MOVES OVER THE YEARS P2 high: RBI guv ANUP ROY May 13 SANJAY MALHOTRA, GOVERNOR, RBI THE GOVERNMENTMAYneed to increase retail fuel prices if the conflict in West Asia drags on,Reserve Bank of India (RBI) GovernorSanjayMalhotrasaid. His remarks came after Prime Minister Narendra Modi urged voluntary austerity, including cutting down on petrolanddieseluseandputting off gold purchases,to preserve foreignexchangereserves. “If this is to continue for longer period of time,it is just a matter of time before the government will pass on some of the price increases,” Malhotra said at a conference hosted by theSwissNationalBankandthe InternationalMonetaryFundin Switzerland on Tuesday.Excise dutieshadbeencutwhilestaterunfuelretailerswereabsorbing the increase in crude prices as theconflictcontinues,headded. Retailinflationedgedup to 3.48% in April from 3.40% in March, coming in lower than expected as the government absorbed higher crude costs. However,risks remain as rising Wehavethis frameworkofflexible inflationtargeting, butinsuchtimes it’snotsufficient ● Move comes »INSIDE« TRUCKING & LOGISTICS SECTOR BRACES FOR HIT PAGE 2 energypricesfromtheWestAsia conflictweigh on the outlook. Supplychaindisruptionsare beginning to hit India. Continued on Page 7 ● TRUMPIN CHINAFOR HIGH-STAKES MEETWITH XI US President Donald Trump walks with China’s Vice-President Han Zheng during a welcome ceremony upon his arrival at Beijing Capital International Airport on Wednesday. Trump is accompanied by top US executives , including Tesla chief Elon Musk, Apple CEO Tim Cook and Nvidia chief AP Jensen Huang MSP hike for kharif crops (%,y-o-y) Paddy* 2026-27 ■ PAGE 24 3 3 5.9 5.6 Tur Soyabean Maize 0.41 8.9 7.13 7.8 8.2 7.22 Cotton** Source: CACP, *common variety **medium staple, season:June-Sept »INSIDE« NOD TO `37,500-CR COAL GASIFICATION SCHEME PAGE 2 ers and are at least 50% above the cost of production across all 14 kharif crops. The margins are estimated to be highest formoong (61% ), followed by bajra and maize (56%) and turorarhar(54%). Continued on Page 7 ■ Bombay HC allows withdrawal of plea against SRTT ■ Life trustee cap at centre of dispute ■ Court questions petitioner’s legal standing Judges flag gaps in disclosures made ■ the trust before any action had actuallybeen taken. Senior advocate T Raja, appearing for the petitioner, argued that the SRTT board oughttobereconstitutedbefore anyfurthermeetingswere held because three of its six trustees were“perpetual”orlifetrustees. Continued on Page 7 AkashAmbani named Jio MD PRICE POINTS 2025-26 THE BOMBAY HIGH Court on Wednesday allowed a petition challenging the composition of theSirRatanTataTrustboardto be withdrawn after sharply questioning the petitioner’s legal standing and pointing to gaps in the disclosures made before the court. Thepetitionhadalsosought a stay on the board meeting of the Sir Ratan Tata Trust (SRTT), which was supposed to be held onMay8,butwaslaterrescheduled to May16. Avacation bench of Justices AdvaitSethnaandSandeshPatil observed that the petitioner, ThaneresidentSureshTulsiram Patilkhede,had relied on representations allegedly submitted before the Charity Commissionerbyunidentifiedthirdpartiesratherthancomplaintsfiled by him directly. The bench also questioned the urgency of the plea, remarking that it appeared to be attempting to pre-empt possible decisions of CASE FILES as firm prepares for mega IPO URVI MALVANIA Mumbai, May 13 RELIANCE INDUSTRIES (RIL) HAS appointed Akash Ambani asmanagingdirectorofJioPlatformsforafive-yearterm,effectiveApril9thisyear,asthegroup preparesfortheproposedlisting ofitsdigitalbusinessthatcould become the country’s largest initial publicoffering (IPO). The appointment was approved by the board on April 9 and has been filed with the Ministry of Corporate Affairs, subjecttoshareholderapproval, peopleawareofthemattersaid. Akash Ambani was earlier executive director on the board of Jio Platforms and currently serves as Chairman of Reliance Jio Infocomm, the group’s telecom arm. The move comes at a crucial stage for Jio Platforms,which is targetingalistinginthefirsthalf ofthiscalendaryearafterChairman Mukesh Ambani announced the plan at RIL’s annual general meeting last year.The proposed IPO is expected to raise around `50,000 crore,accordingtopeoplefamiliarwith the discussions. Those close to the latest development said the elevation TAKING CHARGE ■ Akash Ambani was earlier executive director on board of Jio Platforms ■ Appointment cleared by the board and filed with corporate affairs ministry ■ He currently serves as chairman of Reliance Jio Infocomm ■ Akash took over as chairman of the telecom business in 2022 was aimed at providing leadership continuity and investor confidence ahead of the listing, withboththechairmanandMD roles remaining within the Ambani family.Akash Ambani hasincreasinglytakenchargeof the group’s digital and telecom initiatives over the past few years, particularly during Jio’s nationwide 5G rollout and its expansion into newer technologyareassuchasartificialintelligence, cloud infrastructure and enterprise digital services. Continued on Page 7 Factories across the country grapple with declining orders, rising fuel bills Kilnscool,loomsslow,workersleave:WarbattersMSMEs VIVEAT SUSAN PINTO, NANDINI OZA & NARAYANAN V Mumbai, Ahmedabad & Chennai, May 13 ACROSS THE COUNTRY'S industrial belts, the West Asia war is no longer a temporary trade disruption linked to a distantgeopoliticalconflict.For thousands of micro, small and medium enterprises (MSMEs), theprolongedUS-Iranconflict, now into its third month, is turning into a survival crisis — freezing production lines, chokingexportsandtriggering fresh waves of job losses across some of the largest manufacturing clusters. From Surat’s textile units andMorbi’sceramicfactoriesto Bhiwandi’s powerlooms and Rajkot’s engineering workshops,businesses are grappling with shrinking export orders, rising fuel and freight costs, erraticgassuppliesandanacceleratingexodusofmigrantworkers.Industryrepresentativessay many labour-intensive MSME clusters are operating below capacity as owners cut shifts, delayproductionortemporarily shut units to containlosses. Consider this: A third of the 1.5millionworkforceemployed inSuratinGujarathavereturned home since the start of the war. CRISIS MODE ■ As per govt estimates, MSME sector supports more than 110 million jobs ■ Industry bodies warn most MSMEs can’t absorb weeks of supply disruptions or fuel rate hikes ■ Prolonged disruption may trigger one of the sharpest employment shocks since Covid ■ Labour-intensive sectors such as textiles, ceramics, leather and engineering goods to be badly hit The situation is no different in Bhiwandi, Maharashtra, home to 35% of the country's power looms, where several business ownersarestrugglingtosustain operations amid surging raw material prices and dwindling workforceavailability. Morbi’s factory owners in Gujarat saythe sharp rise in gas prices and erratic LPG supplies aftertheescalationhaveturned New Delhi production economics upside down.An estimated 200,000400,000 workers in Morbi, India’sceramicscapital,arefacing salarycuts,idle days,oroutright job losses, trade experts said.Whilesomeunitsareopening up gradually, it may take monthsforthesituationtonormalise at Morbi,theyadded. Earlier this month,the governmentapprovedanover`2.5lakh-crore loan facility, backstopped by the Centre, to help businesses including MSMEs and airlines to deal with the impact of theWestAsia crisis by providingadditionalfunding. Continued on Page 7