With elections in sight, low food prices are a budget problem for PM Modi

A low inflation spell in an election year should be good news for any government, right? Wrong.

For Prime Minister Narendra Modi, the subdued inflation numbers, due largely to low food prices, may present a budget problem. His government may have to shell out more to compensate farmers for low market prices of some crops under a plan announced this year with a view to double farm incomes by 2022.

“India’s falling food prices could become a bane for Modi,” said Soumya Kanti Ghosh, chief economic adviser at the nation’s largest lender State Bank of India. “A bumper harvest that’s led to crashing of food prices will increase the burden on the government to compensate farmers.”

In July, the government raised support prices of crops such as cotton, soybeans and paddy rice to ensure farmers get at least 50 per cent more than the estimated production costs. That means in the event of a crash in market prices, the government would have to chip in and ensure the sale of the produce by farmers at guaranteed prices.

Gaganyaan: Isro’s first manned space mission on schedule, says Raghavan

Gaganyaan – The Indian Space Research Organisation will complete its first manned space mission on schedule as the programme was finalised a few years ago, K Vijay Raghavan, principal scientific advisor to the government of India, has stressed.

“This mission is not happening out of the blue, nor is it a coincidence. We were giving shape to this mission for a while,” Raghavan told PTI-Bhasha in an interview.

One of the most distinguished biologists, Raghavan, 64, was appointed the principal scientific advisor in March.

The post of principal scientific advisor was created by the Atal Bihari Vajpayee government in 1999. The PSA is the topmost advisor to the government on scientific policy matters.

Since Prime Minister Narendra Modi announced on Independence Day this year that India will put a man or woman in the space on board ‘Gaganyaan’ by 2022, Raghavan said, Isro has been moving ahead to complete the mission as per the schedule.

Rahul Gandhi slams mob lynchings and attacks on Dalits; BJP hits back

Congress President Rahul Gandhi on Wednesday said mob lynchings and attacks on Dalits and minorities reflected the anger that currently pervaded India’s society because of growing joblessness and the Narendra Modi government taking away protections provided to the country’s poor. He said the Modi government’s demonetisation and poorly implemented goods and services tax (GST) have destroyed the informal economy and killed jobs in the small and medium businesses, which contributed to this anger.

Addressing a gathering at the Bucerius Summer School at Hamburg in Germany, of which Rahul Gandhi is an alumnus, the Congress president pointed to the example of the rise of the Islamic State, in Iraq and Syria to caution that excluding a large number of people from the development process could lead to creation of insurgent groups anywhere in the world.

Vajpayee’s health continues to remain critical, on life support: AIIMS

Former prime minister Atal Bihari Vajpayee‘s condition continues to remain critical, All India Institute of Medical Sciences (AIIMS) said in a statement on Thursday. Vajpayee’s health worsened on Wednesday and he is on life support system.

“Former Prime Minister Atal Bihari Vajpayee Health condition continues to remain the same. He is critical and on life support systems,” the statement by the hospital read.

Senior BJP leaders Lal Krishna Advani, External Affairs Minister Sushma Swaraj, agriculture minister Radha Mohan Singh, Union Home Minister Rajnath Singh paid visits to the AIIMS on Thursday to enquire about the health of the former prime minister.

Earlier in the morning, Vice President M Venkaiah Naidu visited AIIMS to enquire about the condition of Atal Bihari Vajpayee, who has been undergoing treatment at the premier institute.

Delhi chief minister Arvind Kejriwal, West Bengal chief minister Mamata Banerjee and Congress president Rahul Gandhi are expected to visit the premier medical institute soon.

Prime Minister Narendra Modi also visited AIIMS on Wednesday at around 7:15 pm in the evening to enquire about the health condition of Vajpayee. After Modi, Railway Minister Piyush Goyal and BJP MP Meenakshi Lekhi also paid a visit.

‘Excellent question’: Rahul pokes Gadkari over ‘where are the jobs’ comment

Congress President Rahul Gandhi on Monday took a potshot at the Narendra Modi-led government over the unemployment issue after one of his cabinet ministers conceded that there is a job crunch.

“Excellent question (Nitin) Gadkariji. Every Indian is asking the same question. Where are the jobs,” Gandhi tweeted attaching a news report in which the Union Road Transport and Shipping Minister questioned the rationality behind a job reservation stir when there were not enough jobs in the first place.

Gandhi’s remarks came a day after Gadkari on Sunday told reporters in Maharashtra that reservation would not guarantee employment as jobs were shrinking.

“Let us assume the reservation is given. But there are no jobs. Because in banks, the jobs have shrunk because of IT. The government recruitment is frozen. Where are the jobs?” Gadkari asked.

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As Sec 377 is in force, Rahul Gandhi must marry before we hug him: BJP MP

A day after Rahul Gandhi said Bharatiya Janata Party (BJP) MPs step back on seeing him as they fear he might hug them, BJP MP Nishikant Dubey on Thursday took a jibe, saying the leaders might be divorced by their wives if they embrace the Congress president as “Section 377 hasn’t been scrapped as yet”.

Dubey said BJP MPs can hug Gandhi only when the Congress president gets married.=

“Why should we hug him. Section 377 hasn’t been scrapped as yet. And our wives will also give divorce to us. If Rahul Gandhi gets married, then we will hug him,” he said.

The IPC’s Section 377 criminalises sex among people of the same gender.

Rahul vs Modi: Congress and BJP fight over Rafale deal in Lok Sabha

The Congress party on Monday fielded former defence minister A K Antony in the Lok Sabha to demand the Narendra Modi government make public the price at which Rafale fighter jets are being purchased.

Countering Antony’s charges, Law Minister Ravi Shankar Prasad termed it a “collective singing of falsehood” to defend Congress president Rahul Gandhi. Prasad said Gandhi was “prima facie guilty of breach of privilege for misleading” the Lok Sabha.

The Congress chief had raised the issue of the price of Rafale in the Lok Sabha on Friday, during the debate on the no-confidence motion against the government. In the discussion, Prime Minister (PM) had termed Rahul’s accusations “childish”. Some of the members of parliament (MPs) of the BJP have also moved a privilege motion against the Congress chief.

On Monday, the Congress accused the PM and Defence Minister Nirmala Sitharaman of “lying” in Parliament on the Rafale deal. The party said there was no secrecy clause in the 2008 Indo-French pact.

The Centre, however, has argued that the agreement binds the government from revealing price details. The Congress might even move a privilege motion against the PM and Sitharaman for “misleading” the Lok Sabha.

World not ready to Make in India? Samsung plant masks Modi govt’s struggle

Despite a sleek marketing campaign, the world isn’t quite ready to ‘Make in India.’

Last week, Indian Prime Minister Narendra Modi and South Korean President Moon Jae-in celebrated the inauguration of what Samsung Plant called the world’s largest mobile phone factory. At the splashy event just outside New Delhi, Modi said the facility was “extremely important” for his ‘Make in India’ initiative to boost manufacturing to 25 per cent of India’s economy by 2020 and create millions of jobs. Samsung said the plant was a “shining example” of the success of the program.

But the investment is more the exception than the norm. Data from the World Bank and the Reserve Bank of India (RBI) show manufacturing hasn’t received a significant boost since Modi took office in 2014.

While India’s economy has overtaken France to become the world’s sixth largest, manufacturing has shrunk to about 15 per cent of gross domestic product (GDP) from a peak of 18.6 per cent in 1995, according to the World Bank. Other data show new investments in India have dropped and stalled projects are on the rise.

BJP pulls out of alliance with PDP in Jammu and Kashmir, CM Mufti resigns

The Bharatiya Janata Party (BJP) broke its alliance with Jammu and Kashmir’s ruling Peoples Democratic Party on Tuesday, forcing Chief Minister Mehbooba Mufti to resign at the end of an uneasy partnership at a time when fresh violence was stalking the militancy-hit state.

“It has become untenable for the BJP to continue in the alliance government in Jammu and Kashmir,” general secretary Ram Madhav said in New Delhi, blaming Mufti’s party for challenging security conditions. He did not, however, name Mufti in his address to the press.

The BJP’s decision, which was taken after consulting Prime Minister Narendra Modi and party chief Amit Shah, raised the possibility of governor’s rule in the politically volatile state for the eighth time, news agency PTI reported.

“Keeping in mind that Jammu and Kashmir is an integral part of India and in order to control the prevailing situation in the state, we have decided that the reins of power in the state be handed over to the governor,” Madhav said.

Immediately after his news conference, senior PDP minister and party’s chief spokesperson, Naeem Akhtar, told reporters in Srinagar that CM Mufti will submit her resignation to Governor N N Vohra.

In the national capital, Madhav said the Centre’s ruling BJP did everything feasible for the development of the state, which has been on the boil since the killing of a militant leader two years ago.

A welfare scheme for 500 mn Indians: Is this Modi’s big plan for 2019?

Prime Minister Narendra Modi is set to extend a welfare program to India’s 500 million workers as he bids for re-election 2019, but he has limited time and resources to implement the ambitious plan.

PM Modi aims to initially provide three programs — old age pension, life insurance and maternity benefits, while leaving out unemployment, child support and other benefits — to most working citizens, government officials said, asking not to be identified as discussions are private.

While it could translate into significant political gains to offset the challenges he faces in the lead up to the national poll, it is likely to add pressure on India’s fiscal deficit, already one of the widest in Asia.

The government has drafted a bill to extend benefits to all workers, including those in informal employment, by merging and simplifying 15 federal labour laws into one. It plans to present the bill in July in the upcoming session of Parliament, Labour Minister Santosh Gangwar told Bloomberg News, while remaining non-committal on a full-fledged roll-out before the national poll.