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Tag: narendra modi

  • Importance of Ethanol in Economy and why India is Spending $7 Billion in Ethanol production?

    India has been planning to shift more into a much greener source of energy. The country has decided to increase the production of Ethanol to increase the production by 2025. Let’s look at the importance of Ethanol in the economy and why India is planning to spend an amount of around USD 7 billion for the production of Ethanol.

    Ethanol Production in India – Latest News
    The reason why India is Spending $7 Billion in Ethanol production
    How Ethanol is made in India?
    How will Ethanol benefit Indian Economy?
    FAQ

    Ethanol Production in India – Latest News

    India has announced that the country is planning to spend an amount of USD 7 billion in order to boost Ethanol production as the country is planning to reduce the dependency on importing the foreign oil and to increase the roll out of much more greener sources of energy.

    India’s oil secretary, Tarun Kapoor had conveyed in an interview that in order to meet the 20 % ethanol blended fuel standard by the year 2025, there will be a requirement of 10 billion litres of Ethanol.

    The reason why India is Spending $7 Billion in Ethanol production

    The Ethanol production target is estimated to be more than triple the amount of Ethanol that is going to be produced as compared to the Ethanol production as of November 2021. As of now, Ethanol produces 9% of the gasoline blend added Tarun Kapoor.

    This move is expected to require around USD 500 billion for the investments in order to build new bio-refineries. The Prime Minister of India, Narendra Modi had also conveyed in the month of June 2021 that the target of the nation in order to make gasoline of 20 % ethanol by the span of 5 years by 2025 is expected to save a huge amount for the country.

    The increase in the Ethanol production is expected to save around USD 4 billion annually. This move will also help in increasing the use of renewable sources of energy as India is the world’s third largest importer of oil and this will help in turning the excess rice and damaged foods of the country into Ethanol.

    Is Landomus Group really willing to Invest $500 Billion India to help fight the pandemic?
    Landomous Group which is a lesser-known US firm has announced that it would liketo invest an amount in India. The firm has said that it would want to invest USD500 billion by making an appeal to PM Narendra Modi. Let’s look at whether thecompany really wants to invest the amount. Landomus Realty…
    StartupTalkyAlan Joseph

    How Ethanol is made in India?

    As of now, the majority of the country’s Ethanol output is made up of the molasses that is obtained from sugarcane. However, the South Asian nations are trying to push for much more production from sources other than sugar which is estimated to make only 10 % of the contribution to the Ethanol production.

    The Government has also conveyed that they would provide financial assistance for setting up the distillation units which will rely more on molasses and the grains for raw materials. According to Tarun Kapoor, the country is expected to reach a stage where the contribution for production of Ethanol will be 50 % grain based and 50 % sugar based.

    Production volume of ethanol in India
    Production volume of ethanol in India

    How will Ethanol benefit Indian Economy?

    The Ethanol industry will create a lot of jobs in the economy both direct and indirect jobs other than these the Ethanol will boost the rural economies; the co-product provides a valuable market for the corn grown.

    Ethanol also helps in reducing the dependency on energy dependence and will reduce the importing of oil barrels of the country. The Ethanol biorefineries also make more than the fuel they also contribute towards food by providing nutritious animal feed like distillers grains. This is one of the most sought-after animals feeds as it is very nutritious.

    Ethanol also contributes towards removing carbon from the environment which is expected to remove around pollution caused by 10 million cars on the road. It is also a cleaner and more greener option compared to the traditional fuel options.

    List of Fuel delivery Startups around the world
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    StartupTalkyAlan Joseph

    Conclusion

    Ethanol has already been extensively adopted in the United States and has been contributing to the country’s economy. The approach taken by the Government of India towards increasing the production of Ethanol will be a significant step in the major sectors of the economy from Automobile to Agriculture.

    FAQ

    Who is the largest producer of ethanol in India?

    Uttar Pradesh has become on of the highest producer of ethanol in the country with the number of distilleries producing the solvent from heavy molasses, a by-product of cane juice.

    Is ethanol production profitable in India?

    The profit on ethanol production has come down to 5rs/litre.

    What is Ethanol used for?

    Ethanol is an industrial chemical; it is used as a solvent, in the synthesis of other organic chemicals, and as an additive to automotive gasoline (forming a mixture known as a gasohol).

  • Make In India, how India plans to manufacture revolution

    The make in India campaign focuses on sectors like oil and gas, railways,  electronic systems,ports and shipping,  renewable energy, roads and highways. Space, textile and garments, thermal power, tourism and hospitality and wellness.

    Mr. Narendra Modi, Prime Minister of India,  said

    “I want to tell the people of the whole world: Come, make in India. Come and manufacture in India. Go and sell in any country of the world, but manufacture here. We have skill, talent, discipline and the desire to do something. We want to give the world an opportunity that come make in India,”

    PROS of Make in India Campaign

    Campaign for the masses

    The Prime Minister emphasized on the development of labour intensive manufacturing sector. This campaign is to generate a lot of employment opportunities in Manufacturing.This would  help  National Manufacturing Policy   in achieving objectives through this campaign. The aim is to increase the GDP from current 15-16% to 25% till 2022. (Manufacturing sector)

    The purchasing power of people will get increased through employment. This will help to eradicate poverty. This would also help in the expansion of consumer base for companies.

    Growth of Factories over the Years
    Growth of Factories over the Years

    Model of the Make In India campaign

    The model of the campaign  is look east and link west policy . This will strengthen the industrial linkages with other countries. This would also help to build bilateral ties with many countries.The growth model is Export-Oriented. This will improve India’s Balance of Payments. This would also help in piling up foreign exchange reserves.

    An auto response mechanism will be formulated by the government. The Government also has decided to resolve  issues about procedural clearings. This will be done at different levels in a given time frame. This is a positive step towards an industrial friendly environment.

    Foreign investment will not only bring foreign capital. It will also bring technical expertise and creative skills .

    Fortifying the Rupee

    The emergence of the manufacturing industries would help in converting India. The nation would then will be a hub. A place for the fabrication of various commercial products. This would lead to be a grand collection of the FDI. All this in return  would help to strengthen the rupee. This would help against the domination of the American dollar.

    Up-gradation of technology

    India is an underdeveloped country. This means that we  lack various latest, new age mechanization. Lack of new technology is a big hurdle in the path to development of the nation. But due to the campaign a lot of investors would be attracted to India. This would give India an opportunity to upgrade to the latest version of technology.

    Availability of Youth

    The young generation is often referred to as a unending fuel.  Youth comprises of a major Indian population . This youth often moves outside the nation to study and make a future. India due to the lack of young labor misses out on all the innovative and creative points. Make in India can make this possible by keeping the youth in the nation. This would also give them ample opportunities.

    StayHappi Company Profile – Generic Medicine Startup in India
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    StartupTalkyChayanika Goswami

    CONS of Make In India campaign

    India, the second China?

    When it comes to a theoretical perspective. It can be seen that the campaign tends to violate  the theory of comparative advantage. India should import the products that cost more at production in state .

    Is the world ready for a second China? This goes as per the point made by Dr. Raghuram Rajan. Government of India wishes to convert India into a second China. India but has no time advantage like China.

    India to stop imports?

    Make in India will lead India to focus only on export. This will lead India to make some changes in it’s export promotion measures. This can have a devastating effect on the import bill.India suffers from a countless number of companies that are called infrastructural bottleneck. To overcome this India has to invest a huge amount over a span of some years. Generating such a big amount is a a hard task.

    Agricultural negligence

    Agricultural sector will take the greatest blow due to this campaign. India has 61% cultivable land. This will happen due to the introduction of industrial sector. This introduction would lead to the negligence of Agriculture.

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    StartupTalkyAbhishek Gupta

    Depletion of Natural resources

    The Make in India campaign  focuses  on Manufacturing Industries. To set up these a lot of industries have to be build up. The manufacture of these requires a lot of natural resources be it fuel, water land. So a lot of new build ups would cause in depletion of these.

    Loss of Small businesses

    The Make in India welcomes foreign companies.  To invest and manufacture in India. This act eases up the rules for foreign trade and investment. This act may seem very healthy when it comes to foreign relations. But this would cause domination over small businesses . This would force them out of business.

    Recognition of Indian Products

    The make in India campaign would help increase the brand value of Indian products. But this wont help the brand when it would come to the upper middle class. The upper middle class are the people who can actually afford all this. So making a mark in front of them would be a great task.

    Make In India
    Make In India

    Pollution

    India  is currently unable to do anything with the problems like Pollution. According to stats Pollution Index  of India is 76.50. The Make in India is supposed to increase this further. The level of Pollution in India would rise to levels never seen. This would make the condition in India worse. So, Make in India can help India economically. But would have adverse effects ecologically.

  • How Entrepreneurs are Helping to Fight COVID-19?

    Needless to mention, Coronavirus has affected every aspect of human life. Lockdowns and social distancing particularly has had immediate effect on several banking activities. Thus, at the same time, many efforts are being made to raise funds and help startups and SMEs. Experts in the sector have greatly underscored the need for focusing on digital channels and platforms during times like these. After the coronavirus wiped $7.6 trillion off the world’s stock markets in four days, global health groups are asking companies, governments and even the public for billions of dollars to fight the contagion. The World Health Organization(WHO)set up a website seeking contributions from anyone in an attempt to raise at least $7 billion.

    On Tuesday (March 24) evening, Prime Minister Narendra Modi announced that the whole country has been put on lockdown and had announced INR 15,000 Crore package to strengthen the Indian healthcare infrastructure in India. The fund will be used to develop testing facilities, personal protective equipment and procure more isolation beds, intensive care unit (ICU) beds and ventilators. Moreover, the government will be using the fund to train paramedical and medical staff helping in treating affected patients. Earlier in the day, finance minister Nirmala Sitharaman had relaxed timelines for filing taxes and raising default thresholds for avoiding bankruptcy proceedings. She had added that the government will soon announce a package to address the coronavirus impact on the economy.

    In one such efforts, Prime Minster of India, Narendra Modi announced a special emergency fund for the nation to fight crisis like COVID-19 on March 29. Prime Minister’s Citizen Assistance and Relief in Emergency Situations Fund (PM CARES Fund), is a dedicated national fund with the primary objective of dealing with any kind of emergency or distress situation, like posed by the Coronavirus pandemic, and to provide relief to the affected. Hours after the announcement, entrepreneurs and celebrities from various walks of life have come together to show their appreciation.

    Ratan Tata

    Joining a number of India Inc leaders who are doing their bit in their own way, Ratan Tata has committed Rs 500 crore for protective equipment for frontline workers, respiratory systems for treatment of increasing cases and testing kits in the fight against COVID-19. In a tweet on March 28, Ratan Tata shared a post detailing how Tata Trusts and the group companies will help as India battles to contain the spread of COVID-19 crisis. Ratan Tata tweeted, “COVID-19 is one of the toughest challenges we will face as a race. The Tata Trusts and the Tata group companies have in the past risen to the needs of the nation. At this moment, the need of the hour is greater than any other time.” The amount would be used for personal protective equipment for the medical personnel on the frontline, respiratory systems for treating increasing cases, testing kits to increase per capita testing, setting up modular treatment facilities for infected patients, and knowledge management and training of health workers plus the general public.

    Following Ratan Tata’s announcement, N. Chandrasekharan, chairman of Tata Sons, announced an additional Rs 1,000 crore in support towards COVID-19 and related activities. He said in a statement, “We will work together with the Tata Trusts and our Chairman Emeritus Mr. Tata and would be fully supporting their initiatives, and work in a collaborative manner to bring the full expertise of the group. In addition to the initiatives articulated by Tata Trusts, we are also bringing in the ventilators necessary and are gearing up to also manufacture the same soon in India.”

    Mukesh Ambani

    One of the top business tycoons of India, Mukesh Ambani has also contributed in his own ways. In collaboration with the Brihanmumbai Municipal Corporation (BMC), the Sir HN Reliance Foundation Hospital has set up a dedicated 100-bed centre at Seven Hills Hospital, Mumbai, for patients who test positive for COVID-19. Reliance Industries Limited is enhancing its production capacities to produce 100,000 face-masks per day and a large number of personal protective equipment for the nation’s health-workers to equip them further to fight the coronavirus challenge. Reliance Industries has donated Rs 500 crore to PM’s Citizen Assistance and Relief in Emergency Situation (PM CARES) Fund to help government in the fight against coronavirus.

    Similarly, other companies in India have come forward to contribute. Digital payments company Paytm said it aims to contribute Rs 500 crore to the fund. For every contribution or any other payment made on Paytm using the wallet, UPI and Paytm Bank debit card, the company will contribute an extra up to Rs 10, Paytm said in a statement. Also, Flipkart-owned PhonePe also launched a donation drive and said it aims to contribute up to Rs 100 crore to PM CARES Fund towards fighting coronavirus crisis. Infosys Foundation has also committed Rs 100 crore to fight COVID-19. Uday Kotak, managing director of Kotak Mahindra Bank announced a Rs 60 crore donation. On March 22, Anand Mahindra, CEO of Mahindra and Mahindra also offered the group’s hospitality arm as a medical care facility and said the group will work on how its manufacturing facilities can manufacture ventilators. Engineering and construction giant Larsen & Toubro (L&T) on Monday announced Rs 150 crore donation to the PM-CARES Fund to fight the coronavirus outbreak and said it has set aside over Rs 500 crore per month to support about 1.60 lakh contract workers. JSW Group, an Indian business operating in metals and mining has announced contributing Rs 100 crores to the prime minister’s citizen assistance and relief in emergency situations (PM-CARES) fund in the light of the ongoing Coronavirus outbreak. Paint and decor company, Asian Paints on Monday has announced contributing Rs 35 crores towards Covid19 Relief Fund.

    However, startups and small businesses were getting anxious about the support from the government considering the pressure they are facing to keep the operations running smoothly in the light of funds being scarce and market demand being low. This combined with the pressure to plan for remote teams due to the lockdown across India. Amid the country-wide lockdown, startups have been calling for a relief package for small businesses and the startups which are struggling as the coronavirus pandemic continues to hamper daily life. A Reuters report has now said that the India government may bring an INR 2.3 Tn ($20 Bn) relief fund by the end of the week for the poor sections of the population and businesses. For this, various entrepreneurs have showed willingness to help.

    Mark Zuckerberg & Bill Gates

    The Chan Zuckerberg Initiative, the philanthropic arm of Facebook founder Mark Zuckerberg and his wife Priscilla Chan, has announced plans to team up with the Bill and Melinda Gates Foundation to donate USD 25 million to a research fund exploring possible COVID-19 treatments. Separately, a coalition backed by Bill Gates and Norway is considering a crowdfunding campaign as they seek to attract about $2 billion to speed up development of vaccines. Mastercard and charity foundation Wellcome are also partnering with Bill & Melinda Gates as part of the initiative, which started with $125 million in seed funding at its launch. The goal of the project is to develop affordable treatments to COVID-19 that can be distributed at scale.

    In the same way, Facebook wants to help small and medium-sized businesses (SMBs) survive the coronavirus pandemic. Now it is offering $100 million in grants to 30,000 companies in over 30 countries. Sheryl Sandberg, chief operating officer of Facebook, said on her page on Tuesday (March 17) that the social media giant(Facebook) wants to “do our part” to help with the “enormous challenge in front of us.” To that end, the company is extending a total of $100 million in cash, as well as credits for advertising, to a maximum of 30,000 eligible small businesses.

    Similarly, Facebook’s Head of Health Kang-Xing Jin said in a blog post that Facebook is also supporting COVID-19 fact-checkers with a $1 million grant, in partnership with the International Fact-Checking Network (IFCN). The funds will be used to launch a program to increase capacity during the coronavirus pandemic. Facebook has also opened a special hub to help SMBs during the pandemic, and is planning virtual training through Blueprint, its free e-learning training program. The company’s goal is to assist companies “in this new and unsettling environment.”

  • How is Narendra Modi helping Startups Fight against the Coronavirus Outbreak?

    Due to Coronavirus outbreak, every aspect of business is suffering through many problems and challenges. Flight, hotel booking firms are the worst hit. There is stupendous drop in demand of gig economy. Whereas, at the same time, video conferencing providers and online education companies, messaging platforms and of course healthcare & pharmaceutical companies are witnessing a boom in demand but the situation has become for worse for the startups & small scale businesses as they have limited sources and capital.

    Effect of COVID-19 on Startups

    With reduced revenue and uncertainty caused by the COVID-19 outbreak, various tech startups not just in India but across the globe are temporarily letting go of workers to help keep their businesses survive during this collapsing economic period. In the past couple of weeks, the situation has become more extreme with a ‘State of Emergency’ being called in some countries, leaving other regions unsure of what’s to come next. Social distancing mandates are forcing businesses to shut down and heavily reduce staff during COVID-19 outbreak. The labour department is facing a rush of unemployment insurance claims which is likely to increase in the next few weeks.

    Coronavirus crisis is also affecting many aspects related to startups. For instance, postponing the EU-Startups Summit to April 2021. The EU-Startups Summit gathers over 1,500 founders, startup enthusiasts, corporates, angel investors, VCs, and media from across Europe. The two-day event is a great opportunity for networking, and a meeting point for aspiring entrepreneurs and investors who are aiming to build international tech companies. This summit was planned to take place on May 28-29 this year but now it is postponed to April 2021.

    Government’s Aid to Startups

    Today, the world is collectively dealing with the spread of Covid-19 and taking emergency measures to contain and eventually eliminate the virus. One such measure was taken by Indian government. Prime Minister Narendra Modi saw the power of the digital medium that can be utilised to serve the country and encouraged many of us to go all out to build a nationwide digital infrastructure. Modi’s ‘Digital India’ mission enabled India to build a robust mobile broadband infrastructure which accelerated the rise of technology startups in a short span of time. This is now coming to play a very vital role in supporting the PM’s call on social distancing while keeping the country moving during coronavirus pandemic.

    According to reports, a mega exercise to increase Indian startups’ visibility globally is in the works. For this, the government planning to hire a consulting firm to evaluate the progress of the Startup India programme to chalk out an action plan to attract investment and identify bottlenecks which prevent businesses and high-net-worth individuals from investing in them. The consultant will identify challenges in\ regulatory approvals, taxation, ease of doing business, global expansion and facilitate startups in getting access to markets such as in private and public procurement, both in India and abroad.

    COVID-19 Solution Challenge

    The government of India has realised the need to open up the search for solutions to the startup ecosystem with the ‘Covid-19 Solution Challenge’. On March 16,2020, Prime Minister Narendra Modi announced the launch of the challenge on the Twitter and urged startups and entrepreneurs to come up with their technology-backed solution to curb the coronavirus outbreak. Prime Minister Narendra Modi has appealed to public to share any technology-driven solutions for strengthening the fight against COVID-19, saying such efforts can help the government and make public join the mission against the virus.

    PM Narendra Modi announced the Challenge on Twitter on March 16

    PM Modi said, “Harnessing innovation for a healthier planet. A lot of people have been sharing technology-driven solutions for Covid-19. I would urge them to share them on the government-citizen engagement platform MyGov.in.”

    According to the MyGov platform, startups and individuals can send their ideas to help the government in fighting the coronavirus outbreak. Suggestions sent in will be evaluated by the government and some of the ideas will be adopted. The last date of submission of ideas for the Covid-19 Solution Challenge is on March 31. Participants can either send a document or a YouTube video of the idea using the MyGov Platform. The solutions that are deployed by the government will also receive rewards. INR 1 Lakh, INR 50K and INR 25K have been promised to the top three ideas respectively. This amount can be used as funding in startups. So it’s a good opportunity to earn funding just by pitching the idea.

    The government said that it has already started to get inputs from individuals and startups that have developed technologies and innovative solutions in areas such as bioinformatics, datasets, applications for diagnostics and more. These technologies are expected to soon become part of the government’s efforts in the fight against the coronavirus.

    Also Read: These Brands will Generate Massive Revenue During the Coronavirus Outbreak

    With increasing cases of people getting infected by the novel coronavirus, a group of entrepreneurs and venture capitalists had written to Prime Minister Narendra Modi suggesting a lockdown starting as early as March 20 across the impacted cities for two to three weeks; to which PM Modi has taken action by implementing Section 144 on account of which only allowed shops can remain open till March 31. So, it has become almost ceased all the operations for startup till March 31.

    According to experts, there are still ways to keep the operations going during lockdown too. According to top venture capitalists and entrepreneurs from India and China, overcommunication, keeping a cash runway and having a fixed routine despite working from home are some of the keys for startups to deal with the fallout from the novel coronavirus. While China is returning to normalcy and business as usual, the experiences of Chinese firms and entrepreneurs can serve as a reference point for Indian founders, where cases of the virus are still rising rapidly.