Union Minister for Chemicals & Fertilizers and Health & Family Welfare, Dr. Mansukh Mandaviya chairs CEO Conclave at PLASTINDIA 2023

India not only provides robust technical expertise but values it holds while doing commerce; This allows us to harmonize welfare of our citizens along with development of industries: Dr. Mansukh Mandaviya

“Government focusing on promoting Innovation, Research & Development”

“Wide & Elaborate consultations held with local and International stakeholders which will help in long term policy support, investment as well as export promotion”

Posted On: 03 FEB 2023 8:02PM by PIB Delhi

“India not only provides robust technical expertise and big market but the values it holds while doing commerce. We differentiate well between commerce and service towards nation and we thus, prioritize benefit for all rather than few. This also allows us to harmonize welfare of our citizens along with development of industries too. This conclave is one such step where I encourage all the stakeholders to understand India’s ethos and invest in our growth story.” This was stated by Union Minister of Chemicals & Fertilizers, Dr Mansukh Mandaviya at the CEO Conclave at PLASTINDIA 2023. The conference saw the presence of over 90+ CEOs of the Plastic Industry from both India and abroad. Exhibitors from more than 45 Countries of the world as well as more than 2,00,000 Business Visitors across the world are expected to visit. Read More Business News on our website.

Speaking on the occasion, Dr. Mandaviya stated that “these brainstorming sessions are important for exchanging ideas and best practices. It will bolster the ecosystem of stakeholders involved in plastic industry.” Informing about India’s advantages to the participants, Dr. Mandaviya said that “the country boasts a strong and impartial legislative structure along with favorable manpower and technical expertise.” He said that “the present government is focusing on promoting innovation, research & development. This has led to over 100 unicorn startups flourishing in the country, favorable ecosystem for new businesses and a rising economy.” “India provides a big market as the consumption power is increasing along with a rising middle class”, he further added.

Reiterating the vibrant support by the government, Dr. Mandaviya stated that “the present government has a strong decisive approach and a long-term vision under the leadership of our Hon’ble Prime Minister. This long-term vision of government has facilitated policy flexibility and creation of roadmaps in each sector as India enters the Amrit Kaal. Similarly, plastic industry’s roadmap has also been created after wide and crucial consultations with local and international stakeholders and will help in long term policy support, investment as well as export promotion”. “The recent comprehensive budget catering to all sections of society is a result of such crucial consultations and government being perceptive to its people” he further added.  

Dr. Mandaviya finally encouraged the investors to invest in India and assured that strong support will be provided by the government so that the growth story of India continues. He was hopeful that these meetings and consultations will create opportunities to showcase India’s capabilities and will help in facilitating growth of the Indian Plastic Industry. Dr. Mandaviya also visited the stalls at the exhibition where he interacted with CEOs of firms comprising Innovations and R&D, Processors, Recycling and brand owners.

Shri Arun Baroka, Secretary (Ministry of Chemicals & Fertilizers), Shri Jigish Doshi, President, PLASTIndia, Shri Ajay Shah, Chairman NEC along with Industry players such as dignitaries from major Industry groups like Supreme Industries, Kabra Extrusion Technique, Brückner group, Lohia group, Reifenhäuser GmbH & Co. KG Maschinenfabrik, Windmöller & Hölscher, Jindal Polyfilms, Fanuc India, Borouge, Jain Irrigations, Henkel, Reliance group, Haldirams, Creative Plastics, Speciality Films, Alliance to End Plastic Waste, and others participated in the event.

Ministry of Coal

With 12.94 % Increase Coal Production Touches 89.96 Million Ton in January, 202328 Coal Mines Produce More than 100%

Coal based Power Generation Goes up by 17.79%

Posted On: 03 FEB 2023 4:48PM by PIB Delhi

India’s overall coal production increased by 12.94% to 89.96 Million Ton (MT) from 79.65 MT during Jan’23 as compared to Jan’22. As per the provisional data of the Ministry of Coal, during Jan’23 Coal India Ltd (CIL) registered a growth of 11.44%, whereas SCCL and captive mines/others registered a growth of 13.93% and 22.89% respectively.

Of the top 37 coal producing mines, 28 mines produced more than 100% and the output of three mines stood between 80 and 100 per cent during Jan, 2023.

At the same time, coal despatch increased by 8.54% to 81.91 MT from 75.47 MT during Jan’23 as compared to Jan’22. During Jan’23, CIL, SCCL and captives/others registered a growth of 6.07%, 14% and 21.9% by despatching 64.45 MT, 6.84 MT and 10.61 MT respectively. The Power utilities despatch has increased by 8.01% to 67.72 MT during Jan’23 as compared to 62.70 MT in Jan’22

Coal based power generation has achieved a growth of 17.79% in Jan’23 and overall power generation in Jan’23 has been 18.33% higher than the power generated in Jan’22. Similarly, total power generation has advanced in Jan’23 to 136973 MU from 128536 MU in Dec’22 and registered a growth of 6.56%.

Coal Ministry Targets 1017 million ton Production in 2023-24

Posted On: 06 FEB 2023 4:39PM by PIB Delhi

The target of all India coal production has been fixed at 1017 Million Ton (MT) for the financial year 2023-24. steps taken by the Government to increase domestic coal production by engaging Mining Developers cum Operators (MDOs) are as under:-

(i) Coal India Limited (CIL) has identified 15 projects with total project rated capacity of 168.58 MTY for implementation through MDO mode. Out of these 15 projects, Letter of Award (LoA) has already been issued to nine projects having total capacity of 126.74 MTY.

(ii) NLC India Limited (NLCIL) is implementing two MDO projects with 29MTY.

This information was given by Union Minister of Coal, Mines and Parliamentary Affairs Minister Shri Pralhad Joshi today in a written reply in Rajya Sabha.

Varied Measures to Ensure Sustainable Coal Mining

Posted On: 13 FEB 2023 3:37PM by PIB Delhi

The best practices adopted by Coal PSUs for sustainable coal mining are as below:

1. Bio-reclamation / Plantation: Coal PSUs have been making constant and sincere efforts to minimize the footprints of coal mining through sustained reclamation and afforestation of areas in and around coal mines. Coal PSUs have brought about 8,090 Ha by planting about 180.30 lakh saplings from FY 2019-20 to FY 2022-23 (up to January 2023).
2. Development of Eco-Parks: Mining areas, after the exhaustion of coal reserves, offer good potential for promoting tourism by developing eco-parks, sites for water sports, golf grounds, avenues for recreation, adventure, bird watching etc. Over the years, Coal PSUs have developed 30 Eco-parks by undertaking sustainable coal mining practices.
3. Mine Water utilization for community use: In the process of coal mining, a huge volume of mine water gets collected in mine sumps and subsequently pumped out to the surface. By application of appropriate treatment methods, Coal PSUs are utilizing mine water for community use for drinking/irrigation purposes. During FY 2021-22, Coal PSUs have supplied 3703 LKL (Lakh Kilo Litre) mine water for community use of which 2712 LKL mine water was supplied for irrigation purposes and 991 LKL mine water for domestic purposes benefitting 16.18 lakh people in a total of 871 Villages in coal bearing States.
4. Gainful Utilization of Overburden (OB): Even as the mandate is to produce and despatch coal to its consumers, Coal PSUs have taken an out of box initiative to produce sand from overburden at a much cheaper price and usages of processed OB for stowing purposes in underground mines. In this effort, Coal PSUs have commissioned 4 OB processing plants and 3 OB to sand plants.
5. Promoting Renewables: In order to minimize the carbon footprints of mining and to progress towards the goal of net zero carbon emission, Coal PSUs have installed renewables capacity of about 1649 MW (Solar – 1598 MW and Wind Mills – 51 MW) as of 31.03.2022.
6. Energy Efficient Measures: Coal PSUs have adopted various energy conservation & efficiency measures such as the use of LED lights, energy efficient ACs, E-vehicles, Super Fans, Efficient Water Heaters, Auto timers in street lights, and capacitor banks.

Land reclamation is a continuous process in coal mining. The reclamation activities after the extraction of coal are carried out as per the approved Mine Closure Plan (MCP) / Environmental Clearance conditions which contains detailed provisions with regard to Progressive as well as Final Mine Closure activities. In the course of mining operations, mines carry out the Progressive Mine Closure activities concurrently as per the progressive MCP to mitigate the adverse impacts of mining at the earliest possible time. The final mine closure activities such as reclamation are executed as per the approved Final MCP after the cessation of mining activities in the mine.

atellite Surveillance Study undertaken by Coal India Limited in 2021-22 shows that out of the total excavated area of 76 Open Cast Projects, which are producing more than 5 Million m3 (OB+Coal) annually, 45.01 % area is under back filling, 17.52 % is biologically reclaimed area and 37.47 % area is under active mining.

This information was given by Union Minister of Coal, Mines and Parliamentary Affairs Shri Pralhad Joshi in a written reply in Rajya Sabha today.

Ministry of Commerce & Industry

Centre spearheads several initiatives under Ease of Doing Business and Reducing Compliance Burden aimed at creating a conducive business environment

Posted On: 10 FEB 2023 6:10PM by PIB Delhi

The Government is spearheading the initiatives under Ease of Doing Business and Reducing Compliance Burden which are aimed at creating a conducive business environment, the Minister of State for Commerce and Industry, Shri Som Parkash said in reply to a parliamentary question today.

These initiatives aim to extend benefit to all entities/sectors/industries of the economy, including startups.

The key focus areas of the initiatives are:

1. Simplification of procedures related to applications, renewals, inspections, filing records, etc.,
2. Rationalization by repealing, amending or subsuming redundant laws,
3. Digitization by creating online interfaces eliminating manual forms and records, and
4. Decriminalization of minor technical or procedural defaults.

  Specifically for startup ecosystem, the Government has taken various measures to enhance ease of doing business, raising capital and reducing compliance burden. In this regard, as on 31st December 2022, a list of the 53 key regulatory reforms undertaken for startup ecosystem is placed at Annexure-I.

In addition to ongoing schemes of various Departments and Ministries, Government  has taken various steps to boost domestic and foreign investments in India. These include the introduction of Goods and Services Tax, reduction in corporate taxes, financial market reforms, consolidation of public sector banks, enactment of four labour codes, Foreign Direct Investment (FDI) policy reforms, reduction in compliance burden, policy measures to boost domestic manufacturing through public procurement orders, Phased Manufacturing Programme, to name a few. To promote FDI in the country, the Government has put in place an investor-friendly policy, wherein most sectors except certain strategically important sectors are open for 100% FDI under the automatic route. Further, the policy on FDI is reviewed on an ongoing basis, to ensure that India remains attractive and investor friendly destination. Changes are made in the policy after having consultations with stakeholders including apex industry chambers, associations, representatives of industries/groups and other organizations.

Furthermore, the Government has unveiled National Single Window System (NSWS) to provide a single platform to enable the identification and obtaining of approvals and clearances needed by investors, entrepreneurs, and businesses in India. NSWS is providing a single interface to apply for all Government to Business (G2B) clearances from various Ministries/Departments as well as eliminating duplication of work by auto-populating form fields across different approvals based on single investor profile.

Annexure-I

53 key regulatory reforms undertaken for startup ecosystem are as under:

Reserve Bank of India

1. Startup enterprises permitted to access loans under External Commercial Borrowing Framework up to USD 3 million.(Oct, 2016)
2. A Securities and Exchange Board of India (SEBI) registered Foreign Venture Capital Investor (FVCI) may contribute up to 100%of the capital of an Indian company engaged in any activity mentioned in Schedule 6 of Notification No. FEMA 20/2000, including startups irrespective of the sector in which it is engaged, under the automatic route. (Aug, 2017)
3. An Indian startup having an overseas subsidiary, may open a foreign currency account with a bank outside India for the purpose of crediting to it foreign exchange earnings out of exports/ sales made by the said entity and/ or the receivables, arising out of exports/ sales, of its overseas subsidiary. (June, 2016)
4. SOFTEX form filed by software exporters moved online. (Feb, 2019)
5. Under FDI Policy, tenure of Startup has been aligned with DPIIT Notification dated 19th February,2019 for the purpose of definition of convertible notes. (March 2022)

Securities and Exchange Board of India (SEBI)

1. Lock in period for investments made by an Angel Fund reduced to 1 year from 3 years as amended by the SEBI (Alternative Investment Funds) (Amendment) Regulations,2016, w.e.f. 04-01-2017.
2. Angel Funds are allowed to invest in overseas venture capital undertakings upto 25% of their investible corpus in line with other AIFs as provided by the SEBI (Alternative Investment Funds) (Amendment) Regulations, 2016, w.e.f. 04-01-2017.
3. The upper limit for number of angel investors in a scheme is increased from forty nine to two hundred as amended by SEBI (Alternative Investment Funds) (Amendment) Regulations, 2016,w.e.f. 04-01-2017
4. The requirements of minimum investment amount by an Angel Fund in any venture capital undertaking is reduced from fifty lakhs to twenty five lakhs as amended by SEBI (Alternative Investment Funds) (Amendment) Regulations, 2016,w.e.f. 04-01-2017
5. “Operating Guidelines for Alternative Investment Funds in International Financial Services Centres” issued by SEBI. (Nov, 2018)
6. Under AIF Regulations, definition of Startup has been aligned with DPIIT Notification dated 19th February,2019 for the purpose of investment by Angel Funds in Startups (5th May,2021)
7. The SEBI (Alternative Investment Fund) (Second Amendment) Regulations 2021 removes the list of restricted activities or sectors from the definition of Venture Capital Undertaking i.e. Category 1 AIFs can now invest in NBFCs.  (5th May 2021)

Ministry of Corporate Affairs

1. The financial statement, with respect to private company (if such private company is a start-up) may not include the cash flow statement. (June, 2017)
2. A private company, which is considered as a start-up for a period of five years from the date of its incorporation, is also allowed to accept deposits from members without any restriction on the amount. (Sep, 2017)
3. Startup defined for the purpose of Companies Act, 2013: As per the definition, a start-up company means a private company incorporated under the Companies Act, 2013 and recognised as a “start-up” in accordance with the notification issued by the Department for Promotion of Industry and Internal Trade. (June, 2017)
4. Exemption from procedural compliance (e.g. such as issue of an offer circular or creation of a deposit repayment reserve) for raising deposits from shareholders. (June, 2017)
5. In relation to a private company (if such private company is a startup), the annual return shall be signed by the Company Secretary, or where there is no Company Secretary, by the Director of the company. (June, 2017)
6. A private company (if such private company is a startup) is required to conduct at least one meeting of the Board of Directors  in each half of a calendar year and the gap between the two meetings is not less than ninety days. (June, 2017)
7. Name Reservation for Company incorporation: Rule 8, Companies (Incorporation) Rules, 2014 substituted with Companies (Incorporation) 5th Amendment Rules, 2019,which provides for new regulations on resemblance with an existing company name, new categories of undesirable names of a company and list of words which can be used only after obtaining approval. (May, 2019)
8. Amendment in Companies (Share Capital and Debentures) Rules, 2014: The Ministry of Corporate Affairs issued a notification on 16th August, 2019 increasing the period in which ESOPs could be granted to promoters and directors (holding more than 10% equity) of Startups, from 5 years to 10 years from the date of incorporation and thereby aligned the provisions of the Companies (Share Capital and Debentures) Rules with the provisions referred to in the DPIIT notification dated 19th Feb, 2019.

The notification also enhanced the limit on shares with Differential Voting Rights in the Company from 26% of the total post-issue paid up equity capital of the Company to 74% of the total voting power. Further, the condition for the company to have consistent track record of distributable profits for the last three years for issue of DVR shares has been removed. (August 2019)

1. Corporate Social Responsibility Funds: In reference to section 135 of the Companies Act 2013, Schedule VII has been amended to include  Contribution to incubators funded by Central Government or State Government or any agency or Public Sector Undertaking of Central Government or State Government, and contributions to public funded Universities, Indian Institute of Technology (IITs), National Laboratories and Autonomous Bodies (established under the auspices of Indian Council of Agricultural Research (ICAR), Indian Council of Medical Research (ICMR), Council of Scientific and Industrial Research (CSIR), Department of Atomic Energy (DAE), Defence Research and Development Organisation (DRDO), Department of Science and Technology (DST), Ministry of Electronics and Information Technology) engaged in conducting research in science, technology, engineering and medicine aimed at promoting Sustainable Development Goals (SDGs). (October 2019).
2. As part of Government of India’s Ease of Doing Business (EODB) initiatives, the Ministry of Corporate Affairs has launched a new integrated Web Form christened ‘SPICe+’ replacing the existing SPICe form. SPICe+ would offer 10 services by 3 Central Govt Ministries & Departments (Ministry of Corporate Affairs, Ministry of Labour & Department of Revenue in the Ministry of Finance) and One State Government(Maharashtra), thereby saving as many procedures, time and cost for Starting a Business in India and would be applicable for all new company incorporations w.e.f.23rd February 2020. SPICe+ has two parts: Part A-for Name reservation for new companies and Part B offering a bouquet of services viz. (i) Incorporation (ii) DIN allotment (iii) Mandatory issue of PAN (iv) Mandatory issue of TAN (v) Mandatory issue of EPFO registration (vi) Mandatory issue of ESIC registration (vii) Mandatory issue of Profession Tax registration(Maharashtra) (viii) Mandatory Opening of Bank Account for the Company and (ix) Allotment of GSTIN (if so applied for) (February 2020)
3. Amendment in Companies (Share Capital and Debentures) Rules, 2014: The Ministry of Corporate Affairs issued a notification on 05th June, 2020 increasing the period in which Sweat Equity shares, from 5 years to 10 years from the date of incorporation and thereby aligned the provisions of the Companies (Share Capital and Debentures) Rules with the provisions referred to in the DPIIT notification dated 19th Feb, 2019. (June 2020)
4. Amendment in Companies (Acceptance of Deposits) Rules, 2014: The Ministry of Corporate Affairs issued a notification on 07th September, 2020 increasing the period of issuance of convertible note, from 5 years to 10 years from the date of issue and thereby aligned the provisions of the Companies (Acceptance of Deposits) Rules, 2014 with the provisions referred to in the DPIIT notification dated 19th Feb, 2019. (September 2020)
5. Amendment in Companies (Acceptance of Deposits) Rules, 2014: The Ministry of Corporate Affairs issued a notification on 07th September, 2020 whereby the maximum limit in respect of deposits to be accepted from members by a private company shall not apply to a start-up company for 10 years from the date of its incorporation, instead of 5 years. (September 2020)
6. Incorporation of One Person Companies (OPCs) by allowing OPCs to grow without any restrictions on paid up capital and turnover, allowing their conversion into any other type of company at any time, reducing the residency limit for an Indian citizen to set up an OPC from 182 days to 120 days and also allow Non-Resident Indians (NRIs) to incorporate OPCs in India. (February 2021)
7. Amendment in Insolvency and Bankruptcy Code, 2016: The Ministry of Corporate Affairs issued a notification on 30th August, 2022 harmonizing the definition of startup with the DPIIT notification dated 19th February 2019. (August 2022)

Ministry of Finance

Department of Revenue      

1. In the case of a domestic company, where its total turnover or the gross receipt in the previous year does not exceed two hundred and fifty crore rupees, income tax shall be charged at the rate of 25 percent of the total income. (Feb, 2018)
2. Definition of eligible business as stated in Section 80-IAC aligned with Startups definition. (April, 2018)
3. Introduction of Section 54EE in the Income Tax Act, 1961: Exemption from tax on long-term capital gain if such long-term capital gain is invested in a fund notified by Central Government. The maximum amount that can be invested is Rs 50 lakh. (May, 2016)
4. Amendment in Section 54GB of Income Tax Act: Exemption from tax on capital gains arising out of sale of residential house or a residential plot of land if the amount of net consideration is invested in prescribed stake of equity shares of eligible Startup for utilizing the same for purchase of specified asset. (Feb, 2016)
5. Minimum Alternate Tax credit allowed to be carried forward up to fifteenth assessment years instead of ten assessment years. (2017)
6. Exemption under section 80-IAC of Income Tax Act: Exemption to eligible Startup for any 3 consecutive assessment years out of 7 years (earlier 5 years) beginning from the year in which such eligible Startup is incorporated.(April, 2018)
7. Exemption from tax under the provisions of section 56(2)(viib) to Startups for issue of shares above fair market value on the basis of a self-declaration to the Central Board of Direct Taxes. The aggregate amount of paid up share capital and share premium of the startup after issue or proposed issue should not exceed Rs. 25 Crore (Feb, 2019)
8. Taxation of convertible notes – Period for which a bond, debenture, debenture-stock or deposit certificate was held prior to conversion shall be considered for determining the period of holding of such shares or debentures acquired upon conversion. (March, 2016)
9. Amendment in Section 54GB of Income Tax Act w.e.f 1st April 2020: (August 2019)
   1. The condition of minimum holding of 50% of share capital or voting rights in the start-up relaxed to 25%
   2. Extension of period under which benefit under section 54GB from for sale of residential property can be availed up to 31st March, 2021
   3. Condition restricting transfer of new asset being computer or computer software is to relaxed from 5 years to 3 years w.e.f. 1-4-2020

1. Amendment in Section 79 of Income Tax Act (August 2019): Eligible Startups to carry forward their losses on satisfaction of any one of the two conditions:
   1. 1. Continuity of 51% shareholding/voting power or
      2. Continuity of 100% of original shareholders carrying voting power
2. Pass through of losses allowed to Investment Funds i.e. Category I and II AIF similar to pass through of income. These amendments will take effect from the 1st April, 2020 and will, accordingly, apply in relation to the assessment year 2020-21 and subsequent assessment years (August 2019)
3. The investment made by Venture Capital Fund of Category-I AIF in a startup was exempted from the applicability of the provisions of section 56(2)(viib) of the IT Act. This exemption has been extended to all sub-categories of Category-I AIF and Category-II AIF via introduction of “specified funds” in the said section (August 2019)
4. The Finance Act 2020 provides for amendment in section 80-IAC of the Income-tax Act relating to special provision in respect of specified business. The provisions of section 80-IAC, inter alia, provide for a deduction of an amount equal to hundred per cent. of the profits and gains derived from an eligible business by an eligible start-up for three consecutive assessment years out of ten years vis-à-vis the earlier norm of seven years at the option of the assessee and the total turnover of its business does not exceed hundred crore rupees in the previous year relevant to the assessment year for which deduction under this section is claimed. This amendment will take effect from 1st April, 2021 and will, accordingly, apply in relation to the assessment year 2021-2022 and subsequent assessment years. (Feb 2020).
5. The Finance Act 2020 provides for amendment in section 80-IAC of the Income-tax Act relating to special provision in respect of specified business. The provisions of section 80-IAC, inter alia, provide for a deduction of an amount equal to hundred per cent. of the profits and gains derived from an eligible business by an eligible start-up for three consecutive assessment years out of ten years at the option of the assessee and the total turnover of its business does not exceed hundred crore rupees vis-à-vis the earlier norm of twenty-five crore rupees in the previous year relevant to the assessment year for which deduction under this section is claimed. This amendment will take effect from 1st April, 2021 and will, accordingly, apply in relation to the assessment year 2021-2022 and subsequent assessment years. (Feb 2020)
6. The Finance Act 2020 provides for amendment in sections 156, 191 and 192 of the Income Tax Act laying to enable employees receiving specified security or sweat equity share as perquisite under section 17(2)(vi) of an eligible startup referred to in section 80-IAC, to deduct or pay, as the case may be, tax on such income within fourteen days after the expiry of forty-eight months from the end of the relevant assessment year; or from the date of the sale of such specified security or sweat equity share by the assessee; or from the date of the assessee ceasing to be the employee of the person, whichever is earlier, on the basis of rates in force of the financial year in which the said specified security or sweat equity share is allotted or transferred. This amendment will take effect from 1st April, 2020. As per the earlier norms, the said perquisite including ESOPs were taxed in the hands of the employee at the time of exercise of the option. (Feb 2020)
7. The Finance Bill 2021 provides for extension of the eligibility period to claim tax holiday for the startups by one more year. (Feb 2021)
8. The Finance Bill 2021 provides for extension of claiming Capital gains exemption for investment in startups by one year i.e. till 31 March, 2022. (Feb 2021)
9. The Finance Bill 2022 provides for extension of the eligibility period to claim tax holiday for the startups by one more year. (Feb 2022)
10. The Finance Bill 2022 capped the surcharge on the long term capital gain at 15% for unlisted companies from existing 37%. The effective rate of tax has been reduced from 28.5% to 23.9%. (Feb 2022)

Department of Economics Affairs

1. The Ministry of Finance now allows non-government provident funds, superannuation, and gratuity funds to invest up to 5 percent of their investible surplus in Category I and II Alternate Investment Funds (AIFs) registered with SEBI. (March 2021).

Insurance Regulatory and Development Authority

1. The Insurance Regulatory and Development Authority of India (IRDAI) has allowed insurance companies to invest in Fund-of-Funds (FoF) that invest within the country subject to certain conditions. (April 2021).

Department of Expenditure

1. Harmonization of Startup Definition under the Manual for Procurement of Consultancy and other Services with the DPIIT notification dated 19th February 2019.

Ministry of Labour and Employment

1. The Ministry of Labour and Employment now allows EPFO to invest up to 5 percent of their investible surplus in Category I and II Alternate Investment Funds (AIFs) registered with SEBI. (April 2021)

Ministry of Electronics and Information Technology

1. Removal of clause from Electronic Development Fund (EDF) operating guidelines stating that if a fund draws from Fund of Funds for Startups, then they cannot draw from EDF and vice versa. (Nov, 2018)

Ministry of Commerce and Industry, Department for Promotion of Industry and Internal Trade

1. Amendment in the definition of a Startup: An entity shall be considered as a Startup upto a period of ten years from the date of incorporation/ registration and turnover of the entity for any of the financial years since incorporation/ registration has not exceeded one hundred crore rupees. (Feb, 2019)

53.Ministry of Commerce and Industry, Department for Promotion of Industry and Internal Trade vide Gazette Notification No. G.S.R. 646(E). dated 21st September 2021 amended the Patent Rules. The Patent Rules have now extended the benefits related to 80% reduced fee for patent filing & prosecution to Educational institutions as well. (Sept 2021).

Government allows sale of excess tobacco produced by registered growers and unauthorized tobacco produced by unregistered growers without any penalty,on auction platforms in karnataka for the crop season 2022-23

Posted On: 18 FEB 2023 1:33PM by PIB Delhi

Union Minister of Commerce and Industry Shri Piyush Goyal has considered to allow the sale of the excess flue cured Virginia tobacco produced by registered growers and unauthorized flue cured Virginia tobacco produced by unregistered growers without any penalty considering the low production during the 2022-2023 Karnataka Crop season.

In Karnataka, during this crop season, 40,207 farmers cultivated FCV tobacco in an area of 60,782 hectares.  The total production of FCV tobacco in Karnataka remained  at 59.78 million kgs  against the crop size of 100.00 million kgs fixed by Tobacco Board , due to continuous rains during months of June and July 2022.  

The decision of imposing no penalty  on the sale of excess FCV tobacco will greatly benefit the farmers of Karnataka to recover the loss due to less production during this crop season. This consideration will hand hold the FCV tobacco farmers to overcome their financial plight inflicted due to low production  and low earning and would greatly help the growers to continue their livelihood.

Ministry of Consumer Affairs, Food & Public Distribution

Centre lowers Wheat Reserve Price thereby, reducing price of Att

Rate of wheat reduced to Rs. 21.50/Kg for sale to NCCF/NAFED/ Kendriya Bhandar/State Govt. Cooperatives/ Federations

Concessional rate for NCCF/NAFED/ Kendriya Bhandar/State Govt. Cooperatives/ Federations etc. applicable only if they convert wheat to atta and sell to public at an MRP not exceeding ₹ 27.50/Kg

Reserve price for sale of wheat under OMSS will be Rs 2350/Qtl (Pan India) for FAQ and Rs. 2300/Qtl (Pan India) for URS wheat without any transportation cost component

Posted On: 10 FEB 2023 7:48PM by PIB Delhi

In order to reduce the price of wheat and atta, the Department of Food & PD, in consultation with Ministry of Finance, has decided that the reserve price for sale of wheat under OMSS will be Rs 2350/Qtl (Pan India) for FAQ and Rs. 2300/Qtl (Pan India) for URS wheat of all crops including RMS 2023-24 without adding any transportation cost component. This will help supply of wheat to general public in different part of the country at a reasonable price.

In addition, the States may be allowed to purchase wheat from FCI for their own scheme at above reserve prices without participating in e-auction.

Further, the rate of wheat has been reduced to Rs. 21.50/Kg for sale to NCCF/NAFED/ Kendriya Bhandar/State Govt. Cooperatives/ Federations etc. as well as community kitchen /charitable/NGO etc engaged in relief operations/ running relief camps for migrant labourers/vulnerable groups.

This concessional rate for NCCF/NAFED/ Kendriya Bhandar/State Govt. Cooperatives/ Federations etc. will be applicable with the stipulation that they will convert wheat to atta and offer it to public at an MRP not exceeding ₹ 27.50/Kg.

The meeting of Committee of Minister under chairmanship of Hon’ble Home Minister, Shri Amit Shah, was held on 25.01.2023 to review the prices of essential commodities. Committee decided to release 30 LMT wheat from FCI stock through Open Market Sale Scheme (OMSS) as follows:

1. 25 LMT be offered through the e-auction route to traders, flour mills, etc as per the usual process followed by FCI. Bidders can participate in e-auction for a maximum quantity of 3000 MT per region per auction.
2. 2 LMT be offered to State Governments for their schemes @10,000 MT/State without e-auction.
3. 3 LMT be offered to Govt PSUs/cooperatives/Federations such as Kendriya Bhandar/NCCF/NAFED etc without e-auction. This will be subject to the stipulation that they convert wheat to atta and offer it to public at an MRP not exceeding Rs 29.50/kg.

Subsequently, this Department made allocation of 3 LMT of wheat to Kendriya Bhandar/ NAFED /NCCF as per their requisitions. Kendriya Bhandar, NAFED and NCCF were allocated 1.32 LMT, 1 LMT and 0.68 LMT respectively.

FCI has sold 9.26 LMT of wheat out of 25 LMT to traders, flour mills, etc in course of the first e-auction held on 1st and 2nd February, 2023

After announcement of OMSS Policy, GoI has observed that the market prices of wheat are still very high. It has also been observed that due to inclusion of freight charges in base prices for auction under OMSS, the auction rates in States, which are away from Punjab, Haryana and Madhya Pradesh, are very high especially in North-East region, Eastern Region and Southern region.

Centre further reduces the reserve price of wheat upto 31st March, 2023 to check inflation

Reduction in reserve price to help in reducing market price of Wheat and wheat products

Posted On: 17 FEB 2023 4:59PM by PIB Delhi

 To check inflationary trend in food economy, the  Department of Food and Public Distribution (DFPD) has decided to further reduce reserve price upto 31st March, 2023 as under:

1. The reserve price under Open Market Sale Scheme (Domestic) {OMSS (D)} has been fixed at Rs 2150/Qtl (Pan India) for wheat (FAQ) and Rs. 2125 Qtl (Pan India) for wheat (URS) of all crops including RMS 2023-24 for sale of wheat to private parties.
2. States may be allowed to purchase wheat from FCI for their own scheme at above proposed reserve prices without participating in e-auction. 

Reduction in reserve price will help in reducing market price of wheat and wheat products for consumers.

FCI will float 3rd e-auction for sale of wheat at these revised reserve prices on 17.02.2023 which will be opened on 22.02.2023.

The Committee of Ministers decided to release 30 LMT wheat from FCI stock through Open Market Sale Scheme (OMSS) as follows:

1. 25 LMT be offered through the e-auction route to traders, flour mills, etc as per the usual process followed by FCI. Bidders can participate in e-auction for a maximum quantity of 3000 MT per region per auction.
2. 2 LMT be offered to State Governments for their schemes @10,000 MT/State without e-auction.
3. 3 LMT be offered to Govt PSUs/cooperatives/Federations such as Kendriya Bhandar /NCCF/NAFED etc without e-auction.

Subsequently, the Department made allocation of 3 LMT of wheat to Kendriya Bhandar/ NAFED /NCCF as per their requisitions. Kendriya Bhandar, NAFED and NCCF were allocated 1.32 LMT, 1 LMT and 0.68 LMT respectively.

Further, the rate of wheat on 10.02.2023 has been reduced to Rs. 21.50/Kg for sale to NCCF/NAFED/ Kendriya Bhandar/State Govt. Cooperatives/ Federations etc as well as community kitchen /charitable/NGO etc subject to stipulation that they will convert wheat to atta and sell it to consumers at MRP Rs. 27.50/Kg.  

Government has created the new Ministry of Cooperation to provide a separate administrative, legal and policy framework for strengthening the cooperative movement in country

Posted On: 08 FEB 2023 5:35PM by PIB Delhi

The Country has a rich cooperative heritage and a robust cooperative sector. However, to give new dimensions and to further promote the cooperative sector in the country through policy and other interventions, Government has created the new Ministry of Cooperation to provide a separate administrative, legal and policy framework for strengthening the cooperative movement in country.

The Cooperative Societies with objects confined to one State are governed under the respective State Cooperative Societies Act, whereas the Cooperative Societies with objects not confined to one State are administered under the provisions of Multi-State Cooperative Societies Act (MSCS), 2002 and rules made there under. In order to strengthen & facilitate ease of doing business for cooperatives in various sectors and deepening its reach to the grassroots across the country, the Ministry of Cooperation since its formation in July, 2021 has taken various initiatives such as:

1. Computerization of PACS: Process to onboard 63,000 functional PACS on an ERP based common national software with an outlay of ₹2,516 Crore started.
2. Model byelaws for PACS: Model byelaws prepared and circulated for their adoption as per the respective State Cooperatives Act to enable PACS to undertake more than 25 business activities like dairy, fishery, setting up of godowns, LPG/ Petrol/ Green energy distribution agency, banking correspondents, CSC, etc.
3. PACS as Common Service Centres (CSC): MoU signed between Ministry of Cooperation, Ministry of Electronics and Information Technology, NABARD and CSC -SPV to facilitate functioning of PACS as CSCs to improve their viability, provide e-services at village level and generate employment.
4. National Cooperative Database: Preparation of an authentic and updated data repository of cooperatives in the country started to facilitate stakeholders in policy making and implementation.
5. National Cooperative Policy: A National level committee comprising of experts and stakeholders drawn from all over the Country constituted to formulate the New Cooperation Policy to create an enabling ecosystem to realize the vision of ‘Sahakar-se-Samriddhi’.
6. Amendment of MSCS Act, 2002: Bill introduced in the Parliament to amend the centrally administered MSCS Act, 2002 to incorporate provisions of 97th Constitutional Amendment, strengthen governance, enhance transparency, increase accountability and reform electoral process in the Multi State Cooperative Societies.
7. National Cooperative Development Corporation: New schemes for cooperatives launched by NCDC in various sectors such as ‘Swayamshakti Sahkar’ for SHG; ‘Deerghavadhi Krishak Sahkar’ for long term agricultural credit; ‘Dairy Sahkar’ for dairy and ‘Neel Sahkar’ for fisheries. Total financial assistance of Rs. 34,221 Crores disbursed in FY 2021-22.
8. Member Lending Institutions in Credit Guarantee Fund Trust: Non-scheduled UCBs, StCBs and DCCBs notified as MLIs in CGTMSE Scheme to increase share of cooperatives in lending.
9. Cooperatives as ‘buyers’ on GeM portal: Cooperatives permitted to register as ‘buyer’ on GeM, enabling them to procure goods and services from nearly 40 lakh vendors to facilitate economical purchases and greater transparency.
10. Reduction in surcharge on cooperative societies: Surcharge reduced from 12 % to 7% for cooperative societies having income between Rs. 1 to 10 Cr.
11. Reduction in Minimum Alternate Tax: MAT reduced for cooperatives from 18.5% to 15%. 12. Relief under Section 269ST of IT Act: A clarification has been issued to remove difficulties in cash transaction by cooperatives under Section 269ST of IT Act.
12. Lowering tax rate for new cooperatives: Announcement made in the Union Budget 2023-24 to charge flat lower tax rate of 15%, compared with current rate of upto 30% plus surcharge, for new cooperatives commencing manufacturing activities till March 31, 2024.
13. Increase in limit of deposits and loans in cash by PACS and PCARDBs: Announcement made in the Union Budget 2023-24 to increase limit from Rs. 20,000 to Rs. 2 lakh per member for deposits and loans in cash by PACS and PCARDBs.
14. Increase in limit for TDS: Announcement made in the Union Budget 2023-24 to increase cash withdrawal limit for cooperatives from Rs. 1 Crore to Rs. 3 Crore, per annum, without being subjected to TDS.
15. Relief to Sugar Cooperative Mills: Sugar cooperative mills not to be subjected to additional income tax for paying higher sugarcane prices to farmers upto Fair and Remunerative or State Advised Price.
16. Resolution of chronic pending issues of Sugar Cooperative Mills: Announcement made in the Union Budget 2023-24 to allow sugar cooperatives to claim as expenditure their payments to sugarcane farmers for the period prior to assessment year 2016–17, giving a relief of nearly Rs. 10,000 crores.
17. New National Multi-State Cooperative Seed Society: New apex national multi-state cooperative seed society being established under the MSCS Act, 2002 as umbrella organization for quality seed cultivation, production and distribution under a single brand.
18. New National Multi-State Cooperative Organic Society: New apex national multi-state cooperative organic society being established under the MSCS Act, 2002 as umbrella organization to produce, distribute and market certified and authentic organic products.
19. New National Multi-State Cooperative Export Society: New apex national multi-state cooperative export society being established under the MSCS Act, 2002 as umbrella organization to give thrust to exports from cooperative sector.

            This was stated by the Minister of Cooperation, Shri Amit Shah in a written reply to a question in the Rajya Sabha today.

Number of steps have been taken by the Government, after the formation of the Ministry of Cooperation, to strengthen India’s cooperative architecture syncing it with country’s economic and social needs

Posted On: 07 FEB 2023 1:52PM by PIB Delhi

Giving a reply to a Written Question on ‘National Policy on Cooperation’ in the Lok Sabha today, the Minister of Cooperation, Shri Amit Shah said, a National level committee has been constituted on 2nd September 2022 under the chairmanship of Shri Suresh Prabhakar Prabhu, consisting of experts of the cooperative sector, representatives from National/ State/ District/ Primary level cooperative societies, Secretaries (Cooperation) and RCSs from States/UTs, officers from Central Ministries/ Departments to formulate the New National Cooperation Policy. The formulation of New National Cooperation Policy will help in realising the vision of ‘Sahakar se Samriddhi’, promoting the cooperative based economic development model, strengthening the cooperative movement in the country and deepening its reach up to the grassroots. In this regard, consultations were earlier held with stakeholders and suggestions for formulating the new Policy were invited from the Central Ministries/ Departments, States/UTs, National Cooperative Federations, Institutions and also from the general public. The National level committee will analyse the collated feedback, policy suggestions & recommendations to formulate the draft of the new Policy.

Number of steps have been taken by the Government, after the formation of the Ministry of Cooperation, to strengthen India’s cooperative architecture syncing it with country’s economic and social needs, inter-alia, including the following:

1. Computerization of PACS: Process to onboard 63,000 functional PACS on an ERP based common national software with an outlay of ₹2,516 Crore started.
2. Model byelaws for PACS: Model byelaws prepared and circulated for their adoption as per the respective State Cooperatives Act to enable PACS to undertake more than 25 business activities like dairy, fishery, setting up of godowns, LPG/ Petrol/ Green energy distribution agency, banking correspondents, CSC, etc.
3. PACS as Common Service Centres (CSC): MoU signed between Ministry of Cooperation, Ministry of Electronics and Information Technology, NABARD and CSC -SPV to facilitate functioning of PACS as CSCs to improve their viability, provide e-services at village level and generate employment.
4. National Cooperative Database: Preparation of an authentic and updated data repository of cooperatives in the country started to facilitate stakeholders in policy making and implementation.
5. National Cooperative Policy: A National level committee comprising of experts and stakeholders drawn from all over the Country constituted to formulate the New Cooperation Policy to create an enabling ecosystem to realize the vision of ‘Sahakar-se-Samriddhi’.
6. Amendment of MSCS Act, 2002: Bill introduced in the Parliament to amend the centrally administered MSCS Act, 2002 to incorporate provisions of 97th Constitutional Amendment, strengthen governance, enhance transparency, increase accountability and reform electoral process in the Multi State Cooperative Societies.
7. National Cooperative Development Corporation: New schemes for cooperatives launched by NCDC in various sectors such as ‘Swayamshakti Sahkar’ for SHG; ‘Deerghavadhi Krishak Sahkar’ for long term agricultural credit; ‘Dairy Sahkar’ for dairy and ‘Neel Sahkar’ for fisheries. Total financial assistance of Rs. 34,221 Crores disbursed in FY 2021-22.
8. Member Lending Institutions in Credit Guarantee Fund Trust: Non-scheduled UCBs, StCBs and DCCBs notified as MLIs in CGTMSE Scheme to increase share of cooperatives in lending.
9. Cooperatives as ‘buyers’ on GeM portal: Cooperatives permitted to register as ‘buyer’ on GeM, enabling them to procure goods and services from nearly 40 lakh vendors to facilitate economical purchases and greater transparency.
10. Reduction in surcharge on cooperative societies: Surcharge reduced from 12 % to 7% for cooperative societies having income between Rs. 1 to 10 Cr.
11. Reduction in Minimum Alternate Tax: MAT reduced for Co-operatives from 18.5% to 15%.
12. Relief under Section 269ST of IT Act: A clarification has been issued to remove difficulties in each transaction by cooperatives under Section 269ST of IT Act.
13. Lowering tax rate for new cooperatives: Announcement made in the Union Budget 2023-24 to charge flat lower tax rate of 15%, compared with current rate of upto 30% plus surcharge, for new cooperatives commencing manufacturing activities till March 31, 2024.
14. Increase in limit of deposits and loans in cash by PACS and PCARDBs: Announcement made in the Union Budget 2023-24 to increase limit from Rs. 20,000 to Rs. 2 lakh per member for deposits and loans in cash by PACS and PCARDBs.
15. Increase in limit for TDS: Announcement made in the Union Budget 2023-24 to increase cash withdrawal limit for cooperatives from Rs. 1 Crore to Rs. 3 Crore, per annum, without being subjected to TDS.
16. Relief to Sugar Cooperative Mills: Sugar co-operative mills not to be subjected to additional income tax for paying higher sugarcane prices to farmers upto Fair and Remunerative or State Advised Price.
17. Resolution of chronic pending issues of Sugar Cooperative Mills: Announcement made in the Union Budget 2023-24 to allow sugar cooperatives to claim as expenditure their payments to sugarcane farmers for the period prior to assessment year 2016–17, giving a relief of nearly Rs. 10,000 crores.
18. New National Multi-State Cooperative Seed Society: New apex national multi-state cooperative seed society being established under the MSCS Act, 2002 as umbrella organization for quality seed cultivation, production and distribution under a single brand.
19. New National Multi-State Cooperative Organic Society: New apex national multi-state cooperative organic society being established under the MSCS Act, 2002 as umbrella organization to produce, distribute and market certified and authentic organic products.
20. New National Multi-State Cooperative Export Society: New apex national multi-state cooperative export society being established under the MSCS Act, 2002 as umbrella organization to give thrust to exports from cooperative sector, the Cooperation Minister said.

Ministry of Finance

Recommendations of 49th GST Council Meeting

Government of India to clear entire pending balance GST compensation of Rs. 16,982 crore for June’2022

GST Council adopts report of Group of Ministers (GoM) on GST Appellate Tribunal with certain modifications

GoM report on Capacity Based Taxation and Special Composition Scheme in certain Sectors on GST approved

Changes in GST rates of “Rab” and Pencil Sharpner

Posted On: 18 FEB 2023 6:25PM by PIB Delhi

The 49th GST Council met under the Chairpersonship of Union Minister for Finance & Corporate Affairs Smt. Nirmala Sitharaman in New Delhi today. The meeting was also attended by Union Minister of State for Finance Shri Pankaj Chaudhary besides Finance Ministers of States & UTs (with legislature) and senior officers of the Ministry of Finance & States/ UTs.

The GST Council has, inter-alia, made the following recommendations relating to GST compensation, GST Appellate Tribunal, approval of the Report of Group of Ministers (GoM) on Capacity Based Taxation and Special Composition Scheme in certain Sectors on GST, recommendations relating to GST rates on Goods and Services and other measures for facilitation of trade:

GST Compensation

1. Government of India has decided to clear the entire pending balance GST compensation of Rs. 16,982 crore for June’2022 as shown in the table below. Since, there is no amount in the GST compensation Fund, Centre decided to release this amount from its own resources and the same will be recouped from the future compensation cess collection. With this release, Centre would clear the entire provisionally admissible compensation due for five years as envisaged in the GST (Compensation to States) Act’2017. In addition, Centre would also clear the admissible final GST compensation to those States who has provided the revenue figures as certified by the Accountant General of the States amounting to Rs. 16,524 crore.

• 1. GST Appellate Tribunal

The Council adopted the report of Group of Ministers with certain modifications. The final draft amendments to the GST laws shall be circulated to Members for their comments. The Chairperson has been authorised to finalise the same.

• 1. Approval of the Report of GoM on Capacity Based Taxation and Special Composition Scheme in certain Sectors on GST:

With a view to plug the leakages and improve the revenue collection from the commodities like pan masala, gutkha, chewing tobacco, the Council approved the recommendations of the GoM including, inter alia, that

• • the capacity based levy not to be prescribed;
  • compliance and tracking measures to be taken to plug leakages/evasions;
  • exports of such commodities to be allowed only against LUT with consequential refund of accumulated ITC;
  • compensation cess levied on such commodities to be changed from ad valorem to specific tax based levy to boost the first stage collection of the revenue

• 1. Recommendations relating to GST rates on Goods and Services

1. Changes in GST rates of Goods and Services

Other changes relating to Goods and Services

1. It has been decided to regularize payment of GST on ‘rab’ during the past period on “as is basis” on account of genuine doubts over its classification and applicable GST rate.
2. It was decided to suitably amend notification No. 104/94-Customs dated 16.03.1994 so that if a device like tag- tracking device or data logger is already affixed on a container, no separate IGST shall be levied on such affixed device and the ‘nil’ IGST treatment available for the containers under notification No. 104/94-Customs shall also be available to the such affixed device subject to the existing conditions.
3. It has been decided to amend entry at Sl. No. 41A of notification No. 1/2017-Compensation Cess (Rate) so that exemption benefit covers both coal rejects supplied to and by a coal washery, arising out of coal on which compensation cess has been paid and no input tax credit thereof has been availed by any person.
4. It has been decided to extend the exemption available to educational institutions and Central and State educational boards for conduct of entrance examination to any authority, board or a body set up by the Central Government or State Government including National Testing Agency for conduct of entrance examination for admission to educational institutions.
5. It has been decided to extend the dispensation available to Central Government, State Governments, Parliament and State Legislatures with regard to payment of GST under reverse charge mechanism (RCM) to the Courts and Tribunals also in respect of taxable services supplied by them such as renting of premises to telecommunication companies for installation of towers, renting of chamber to lawyers etc.

• 1. Measures for facilitation of trade:

1. Extension of time limit for application for revocation of cancellation of registration and one time amnesty for past cases: The Council has recommended amendment in section 30 of CGST Act, 2017 and rule 23 of CGST Rules, 2017 so as to provide that –

• • the time limit for making an application for revocation of cancellation of registration be increased from 30 days to 90 days;
  • where the registered person fails to apply for such revocation within 90 days, the said time period may be extended by the Commissioner or an officer authorised by him in this behalf for a further period not exceeding 180 days.

The Council has also recommended that an amnesty may be provided in the past cases, where registration has been cancelled on account of non-filing of the returns, but application for revocation of cancellation of registration could not be filed within the time specified in section 30 of CGST Act, by allowing such persons to file such application for revocation by a specified date, subject to certain conditions.

1. Amendment to Section 62 of CGST Act, 2017 to extend timelines under sub-section (2) thereof and one time amnesty for past cases: As per sub-section (2) of section 62 of CGST Act, 2017, the best judgment assessment order issued under sub-section (1) of the said section is deemed to be withdrawn if the relevant return is filed within 30 days of service of the said assessment order. The Council recommended to amend section 62 so as to increase the time period for filing of return for enabling deemed withdrawal of such best judgment assessment order, from the present 30 days to 60 days, extendable by another 60 days, subject to certain conditions.

The Council has also recommended to provide an amnesty scheme for conditional deemed withdrawal of assessment orders in past cases where the concerned return could not be filed within 30 days of the assessment order but has been filed along with due interest and late fee upto a specified date, irrespective of whether appeal has been filed or not against the assessment order, or whether the said appeal has been decided or not.

1. Rationalisation of Late fee for Annual Return: Presently, late fee of Rs 200 per day (Rs 100 CGST + Rs 100 SGST), subject to a maximum of 0.5% of the turnover in the State or UT (0.25% CGST + 0.25% SGST), is payable in case of delayed filing of annual return in FORM GSTR-9. The Council recommended to rationalise this late fee for delayed filing of annual return in FORM GSTR-9 for FY 2022-23 onwards, for registered persons having aggregate turnover in a financial year upto Rs 20 crore, as below:

• • Registered persons having an aggregate turnover of up to Rs. 5 crores in the said financial year: Rs 50 per day (Rs 25 CGST + Rs 25 SGST), subject to a maximum of an amount calculated at 0.04 per cent. of his turnover in the State or Union territory (0.02% CGST + 0.02% SGST).
  • Registered persons having an aggregate turnover of more than Rs. 5 crores and up to Rs. 20 crores in the said financial year: Rs 100 per day (Rs 50 CGST + Rs 50 SGST), subject to a maximum of an amount calculated at 0.04 per cent. of his turnover in the State or Union territory (0.02% CGST + 0.02% SGST).

1. Amnesty in respect of pending returns in FORM GSTR-4, FORM GSTR-9 and FORM GSTR-10: To provide relief to a large number of taxpayers, the Council recommended amnesty schemes in respect of pending returns in FORM GSTR-4, FORM GSTR-9 and FORM GSTR-10 by way of conditional waiver/ reduction of late fee.

1. Rationalization of provision of place of supply of services of transportation of goods: Council recommended to rationalize the provision of place of supply for services of transportation of goods by deletion of section 13(9) of IGST Act, 2017 so as to provide that the place of supply of services of transportation of goods, in cases where location of supplier of services or location of recipient of services is outside India, shall be the location of the recipient of services.

Note: The recommendations of the GST Council have been presented in this release containing major item of decisions in simple language for information of the stakeholders. The same would be given effect through the relevant circulars/ notifications/ law amendments which alone shall have the force of law.

Seizure of black money

Posted On: 13 FEB 2023 6:27PM by PIB Delhi

The word ‘black money’ is not defined under the Income Tax Act, 1961, Customs Act, 1962, CGST Act, 2017, Central Excise Act, 1944 and erstwhile Chapter V of Finance Act, 2017 (related to Service Tax). This was stated by Union Minister of State for Finance Shri Pankaj Chaudhary in a written reply to a question in Lok Sabha today.

As far as Income Tax Department (ITD) is concerned, the Minister stated, whenever any credible information of ‘direct-tax’ evasion comes to its notice, it takes suitable action(s), including the search & seizure operations, to bring to tax, undisclosed income. The details of assets seized during the search & seizure operations is provided in the ANNEXURE.

Further, the details of cash seizures made by the field formations of Central Board of Indirect Taxes & Customs (CBIC), including Directorate of Revenue Intelligence (DRI), are provided in the ANNEXURE.

The details of actions taken by ED are included in ANNEXURE.

Giving out more information, the Minister stated that the Government enacted a comprehensive and a stringent new law, namely, the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 (BMA, 2015) that has come into force w.e.f. 01.07.2015. The offence of willful attempt to evade tax, etc. in relation to undisclosed foreign income/assets is a Scheduled Offence under the Prevention of Money Laundering Act, 2002 (PMLA), regarding which suitable action is taken by Directorate of Enforcement (ED) for identification of proceeds of crime generated, provisional attachments and filing of prosecution complaints in suitable cases.

The details of actions taken by ITD under BMA, 2015 are as under:

• 648 disclosures involving undisclosed foreign assets worth Rs. 4,164 crore were made in the one-time three months compliance window, under BMA, 2015, which closed on 30th September 2015. The amount collected by way of tax and penalty in such cases was about Rs. 2,476 crore.
• As on 30.11.2022, assessments under BMA, 2015 have been completed in 394 cases, raising tax demand of over Rs. 15,570 crore. Further, 125 prosecution complaints have been filed under the provisions of BMA, 2015. The State/UT-Wise details are not maintained separately.

The details of actions taken by ED in relation to cases involving violations related to BMA, 2015 are as under:

• During investigation in 13 PMLA cases in relation to predicate offences involving violations related to BMA, 2015, proceeds of crime amounting to Rs. 42.57 crore has been attached/seized and 03 Prosecution complaints have been filed.
• Further, assets amounting to Rs. 93.07 crore has been seized under section 37A of FEMA in 05 cases.

The Minister stated that the Government of India has entered into Double Taxation Avoidance Agreements /Tax Information Exchange Agreements /Multilateral Convention on Mutual Administrative Assistance in Tax Matters/SAARC Multilateral Agreement (“tax treaties”) with other countries which provide for exchange of information, which is foreseeably relevant for administration and enforcement of domestic laws concerning taxes. India has been proactively engaging with foreign governments, for exchange of information under these tax treaties.

The Minister further stated that FIU-India is a member of the Egmont Group, an international organisation for exchange of information and Co-operation amongst Financial Intelligence Units (FIUs). The group comprises 167 members as on date. As members to the Egmont Group, FIUs can exchange freely information on real time basis through a highly secured network – Egmont Secured Web (ESW) – on various matters as per their roles and functions. FIU-India has also entered into Memoranda of understanding (MoUs) with 48 countries to strengthen bilateral relationships with its foreign counterparts since 2008 upto 2022 for exchange of intelligence.

Giving more information, the Minister stated that there is no official estimation or methodology to define/measure the amount of black money in the country. However, the Government had commissioned a study, inter alia, on estimation of unaccounted income and wealth inside and outside the country, through National Institute of Public Finance and Policy (NIPFP), National Council of Applied Economic Research (NCAER) and National Institute of Financial Management (NIFM). The reports and a detailed Government’s response on them were forwarded to the Lok Sabha Secretariat for placing them before the Standing Committee on Finance. The Standing Committee on Finance, after due deliberations and taking necessary oral evidences, presented a preliminary report on the matter (i.e. 73rd Report of Standing Committee on Finance) to Speaker of Lok Sabha on 28.03.2019 and this report has observed that “the unaccounted income and wealth inside and outside the country do not appear amenable to credible estimation in the context of India.”

Government proposes quick settlement of contractual disputes to promote ease of doing business as announced in Union Budget 2023-24

Circulates scheme for graded settlement terms for stakeholder consultation

Posted On: 08 FEB 2023 5:20PM by PIB Delhi

The Ministry of Finance today circulated a draft scheme for consultation with stakeholders.  The scheme is aimed at bringing quick finality to certain contractual disputes in which Government of India or its agencies is a litigant. The draft scheme is available on the website of the Department of Expenditure (https://static.pib.gov.in/WriteReadData/specificdocs/documents/2023/feb/doc202328158601.pdf) as well as on the MyGov.in Portal.

The draft scheme has been framed in accordance with the announcement made by the Union Finance Minister in the Union Budget 2023-24.  In Para 67 of the Union Budget Speech, Smt. Nirmala Sitharaman had announced that:

To settle contractual disputes of government and government undertakings, wherein arbitral award is under challenge in a court, a voluntary settlement scheme with standardized terms will be introduced. This will be done by offering graded settlement terms depending on pendency level of the dispute.

The Government has appreciated that special efforts are required to clear the backlog of old disputes and litigation. Such cases are not only holding back fresh investment but are also reducing the ease of doing business with the Government. Therefore, after due study of the past cases, the government intends to bring one time settlement scheme called “Vivad se Vishwas II (Contractual Disputes)” to effectively settle pending disputes.

The salient features of the proposed scheme are as under:

1. 1. 1. The scheme will apply to disputes where one of the parties is either the Government of India or its following bodies:
2. All Autonomous Bodies of the Government of India;
3. Public sector banks and public sector financial institutions;
4. All Central Public Sector Enterprises;
5. Union Territories, National Capital Territory of Delhi and all agencies/ undertakings thereof; and
6. All organisations, where Central Government like Metro Corporations, where Government of India has shareholding of 50%; however, these bodies can opt out of the scheme at their discretion, with approval of the Board of Directors.

1. Only disputes involving above entities where the claim for proceedings (either to Court or for Arbitration or Conciliation) were submitted by the contractor on or before 30.09.2022 and Arbitral Tribunal/ Committee for Conciliation etc. for the specific case has been already notified by the procuring entity shall be eligible for settlement through this scheme.
2. Disputes, where claims are raised against procuring entities as above along with some other party (State Government or private party), shall not be eligible under the scheme.
3. Disputes having only financial claims against the procuring entities will be settled through this scheme.
4. The Scheme will be applicable to all contractors/ suppliers who wish to participate. In case Central Public Sector Enterprises (CPSEs) etc. are the contractors/ suppliers in a particular contract, they are also eligible to submit their claims under the scheme.
5. The Scheme proposes a graded settlement terms depending on pendency level of the dispute.
6. It is proposed to cover only for cases involving domestic arbitration and cases under international arbitration are not eligible to be settled under this scheme.

The scheme will be implemented through Government e-Marketplace (GeM), which shall provide an online functionality for the same. The draft scheme document also provides a broad functionality that the GeM portal shall provide to implement the scheme.

The draft scheme also contains a draft settlement agreement between the litigating parties to bring finality to the contractual dispute settlement. 

सरकार ने कोविड-19 अवधि के लिए एमएसएमई को बड़ी राहत दी; केंद्रीय बजट 2023-24 में घोषित वादे को पूरा किया  

अनुबंध पूरा करना में विफल रहने के कारण जब्त की गई बोली प्रतिभूति या कार्य निष्‍पादन प्रतिभूति का 95% रिफंड कर दिया जाएगा, इस तरह से रिफंड की गई राशि पर कोई ब्याज नहीं दिया जाएगा  

मंत्रालय/विभाग/सीपीएसई, इत्‍यादि द्वारा वस्तुओं और सेवाओं की खरीद के लिए एमएसएमई के साथ किए गए सभी अनुबंधों में राहत प्रदान की गई  

Posted On: 06 FEB 2023 4:18PM by PIB Delhi

वित्त मंत्रालय ने आज सूक्ष्म, लघु और मध्यम उद्यमों (एमएसएमई) को कोविड-19 अवधि के लिए बड़ी राहत प्रदान की। व्यय विभाग द्वारा जारी एक आदेश  (https://doe.gov.in/sites/default/files/Vivad%20Se%20Vishwas%20I%20-%20Relief%20for%20MSMEs.pdf) में मंत्रालयों से कोविड-19 महामारी के दौरान ज़ब्त/कटौती की गई कार्य निष्‍पादन प्रतिभूति/बोली प्रतिभूति और परिसमापन हर्जाना को रिफंड करने को कहा गया है। यह आदेश केंद्रीय वित्त मंत्री द्वारा बजट भाषण 2023-24 में घोषित ‘विवाद से विश्वास-I’ योजना से जुड़े अगले कदम के रूप में जारी किया गया है। बजट भाषण के पैरा 66 में उन्होंने घोषणा की थी कि  

‘एमएसएमई द्वारा कोविड अवधि के दौरान अनुबंधों को पूरा करने में विफल रहने के मामलों में बोली प्रतिभूति या कार्य निष्‍पादन प्रतिभूति से संबंधित जब्त की गई राशि का 95 प्रतिशत सरकार और सरकारी उपक्रमों द्वारा उन्हें रिफंड कर दिया जाएगा। इससे एमएसएमई को राहत मिलेगी।’ 

कोविड–19 महामारी  से संबंधित संकट मानव इतिहास के सबसे बड़े संकटों में से एक था जिस का अर्थव्यवस्था पर विनाशकारी प्रभाव पड़ा था। इसका एमएसएमई पर भी भारी प्रतिकूल प्रभाव पड़ा था। अनगिनत एमएसएमई ने कोविड-19 महामारी के कारण पिछले दो वर्षों में अपने सामने आई व्‍यापक कठिनाइयों के बारे में बताया था। एमएसएमई को राहत देने के लिए सरकार ने पिछले दो वर्षों में उनके लिए कई तरह के फायदों की घोषणा की है। पहले घोषित किए गए राहत उपायों से जुड़े अगले कदम के रूप में वित्त मंत्रालय ने एमएसएमई को निम्नलिखित अतिरिक्त लाभ देने का निर्णय लिया:

1. इन फर्मों से जब्त की गई कार्य निष्पादन प्रतिभूति का 95% रिफंड कर दिया जाएगा।
2. 19.02.2020 और 31.03.2022 के बीच खोली गई निविदाओं के तहत एमएसएमई फर्मों से जब्त बोली प्रतिभूति (बयाना जमा), यदि कोई हो, का 95% रिफंड कर दिया जाएगा।
3. इन फर्मों से काटे गए परिसमापन हर्जाने (एलडी) का 95% भी रिफंड कर दिया  जाएगा। इस तरह से रिफंड किया गया परिसमापन हर्जाना संबंधित अनुबंध में निर्धारित कार्य निष्पादन प्रतिभूति के 95% से अधिक नहीं होगा।  .
4. यदि किसी फर्म को महज इस तरह के अनुबंधों को पूरा करने में चूक के कारण प्रतिबंधित किया गया है, तो खरीद इकाई द्वारा एक उचित आदेश जारी करके इस तरह की रोक को भी रद्द कर दिया जाएगा।

हालांकि, यदि किसी फर्म को अंतरिम अवधि (यानी प्रतिबंधित करने की तारीख और इस आदेश के तहत इसे निरस्त करने की तारीख) में इस प्रतिबंध के कारण किसी अनुबंध को देने में नजरअंदाज कर दिया गया है, तो इससे संबंधित किसी भी दावे पर विचार नहीं किया जाएगा।

1. इस तरह से रिफंड की गई राशि पर कोई ब्याज नहीं दिया जाएगा।

भारत सरकार के सभी मंत्रालयों/विभागों के सचिवों और सभी राज्यों के मुख्य सचिवों और केंद्र शासित प्रदेशों के प्रशासकों को व्यय विभाग द्वारा जारी कार्यालय ज्ञापन के अनुसार, उन एमएसएमई के साथ किसी मंत्रालय/विभाग/संबद्ध या अधीनस्थ कार्यालय/स्वायत्त निकाय/केंद्रीय सार्वजनिक क्षेत्र उद्यम (सीपीएसई)/सार्वजनिक क्षेत्र के वित्तीय संस्थान, इत्‍यादि द्वारा वस्‍तुओं और सेवाओं की खरीद के लिए किए गए सभी अनुबंधों में राहत प्रदान की जाएगी, जो निम्नलिखित मानदंडों को पूरा करते हैं:

1. ठेकेदार/आपूर्तिकर्ता को 31.03.2022 तक एमएसएमई मंत्रालय में एक मध्यम, लघु या सूक्ष्म उद्यम के रूप में पंजीकृत होना चाहिए।  
2. मूल डिलीवरी या सुपुर्दगी अवधि/पूर्णता अवधि 19.02.2020 और 31.03.2022 के बीच थी।

इस राहत की निगरानी सरकारी ई-मार्केटप्लेस (जेम) के माध्यम से की जाएगी।  एमएसएमई वेंडर या विक्रेता जेम पोर्टल पर अपना पंजीकरण करा सकेंगे और लागू अनुबंधों का विवरण दर्ज कर सकेंगे। खरीदारी करने वाले संस्थानों की सूची भी इस पोर्टल पर उपलब्ध रहेगी। यह पोर्टल एमएसएमई विक्रेता के दावे को सत्यापित करने के लिए प्रत्येक खरीद इकाई के नोडल अधिकारियों को इस बारे में सूचना देगा। सभी बारीकियों पर गौर करने के बाद नोडल अधिकारी देय राशि को वापस कर देगा और भुगतान की राशि, तिथि और लेन-देन का विवरण देते हुए पोर्टल को अपडेट करेगा। यह पोर्टल प्रत्येक खरीद इकाई के लंबित मामलों की निगरानी करने के लिए रिपोर्ट भी प्रदान करेगा।

‘जेम’ के माध्यम से राहत के लिए आवेदनों की प्रक्रिया प्रारंभ करने की तिथि अलग से अधिसूचित की जाएगी।

Ministry of Heavy Industries

Ministry of Heavy Industries launched PLI Schemes for Automobile and Auto Component Industry and National Programme on Advanced Chemistry Cell (ACC) Battery Storage with a vision to make India self-reliant

Posted On: 10 FEB 2023 3:27PM by PIB Delhi

The Union Minister of State for Heavy Industries, Shri Krishan Pal Gurjar in a written reply to a question in Rajya Sabha today informed that this Ministry has launched two (02) Production Linked Incentive (PLI) Schemes, namely PLI Scheme for Automile and Auto Component Industry, and PLI Scheme for National Programme on Advanced Chemistry Cell (ACC) Battery Storage.

(i) PLI Scheme for Auto mobile and Auto Component Industry:-With the aim to boost India’s manufacturing capabilities in the automobile and the auto components sector, government approved a PLI Scheme namely ‘PLI Scheme for Automobile and Auto Component Industry’ for this sector with a total budgetary outlay of Rs.25,938 crores over a period of 5years (FY2022-23toFY2026-27). Total expected employment generation and total expected cumulative increase in eligible sales are 1.45Lakh (Direct employment) and ₹2,31,500 Crore, respectively over a period of 5 years. The details of this scheme may be seen at https://heavyindustries.gov.in/UserView/index?mid=2482

(ii) PLI Scheme for National Programme on Advanced Chemistry Cell (ACC) Battery Storage:-To enhance India’s manufacturing capabilities for manufacture of Advance Chemistry Cell(ACC) in  India, government approved a PLI Scheme for setting up manufacturing facilities for Advance Chemistry Cell (ACC), Battery Storage in India, with an outlay of Rs.18,100 crores for 7 years  (including two years of gestation period). Total estimated investment to be made by the beneficiary firm sis to the tune of Rs.27,000 crore. The scheme will generate employment of 2.7lakhs. The details of this scheme may be seen at  https://heavyindustries.gov.in/UserView/index?mid=2487

With the vision of Aatma Nirbhar Bharat and to make India as a self-reliantnation, MHI has launched PLI Scheme for Automobile and Auto Component Industry, and PLI Scheme for National Programme on Advanced Chemistry Cell (ACC) Battery Storage with the objective of Domestic Value Addition (DVA) in the products manufactured in India. In PLI Auto, minimum 50% DVA will be required to get the incentive. In PLI ACC scheme, the beneficiary firms are required to achieve a minimum of 25% DVA by end of 2nd Year and 60% by the end of 5th Year of the scheme.

Ministry of Labour & Employment

Maternity Benefit (Amendment) Act, 2017, which provides for paid maternity leave to women workers and crèche facility by establishments being implemented

Code on Occupational Safety, Health & Working Conditions (OSH), 2020 has special provision relating to employment of women

Posted On: 13 FEB 2023 6:25PM by PIB Delhi

The Minister of State for Labour and Employment, Shri Rameswar Teli in a written reply to a question in Lok Sabha today informed that the Ministry of Labour and Employment is implementing the Maternity Benefit Act, 1961, as amended vide the Maternity Benefit (Amendment) Act, 2017, which, inter-alia, provides for paid maternity leave to women workers and crèche facility by establishments. Vide Section 5 of the Maternity Benefit Act, 1961, as amended in 2017, the Government has increased paid maternity leave from 12 weeks to 26 weeks of which not more than eight weeks shall precede the date of expected delivery. Depending upon the nature of work assigned to a woman, the Section 5(5) of the Act provides for work from home for such period and on such conditions as the employer and the woman may mutually agree.

Shri Teli said that the Government has taken various steps to improve women’s participation in the labour force and quality of their employment. The Code on Social Security, 2020 has the provisions for enhancement of paid maternity leave from 12 weeks to 26 weeks, provision for mandatory crèche facility in the establishments having 50 or more employees, permitting women workers in the night shifts with adequate safety measures, etc.

In the written reply it was stated that the Code on Occupational Safety, Health & Working Conditions (OSH), 2020 has special provision relating to employment of women. As per this, women shall be entitled to be employed in all establishments for all types of work, with their consent, before 6 a.m. and beyond 7 p.m. subject to conditions relating to safety, holidays and working hours or any other conditions to be observed by the employer as may be prescribed by the appropriate Government.

Further, to enhance the employability of female workers, the Government is providing training to them through a network of Women Industrial Training institutes, National Vocational Training Institutes and Regional Vocational Training Institutes.

Ministry of Micro,Small & Medium Enterprises

Schemes and programmes implemented for investment and adoption of latest technologies in MSME sector; scheme for capacity building of first time exporters launched in June, 2022

Posted On: 13 FEB 2023 2:44PM by PIB Delhi

The Ministry of Micro, Small and Medium Enterprises (MSME) has established Technology Centres (TCs) which provide technological support to industries through design & manufacture of tools, precision components, moulds, dies, Jigs etc. in sectors such as general engineering, forging & foundry, electronic system design and manufacturing, electrical, fragrance & flavour, glass, footwear and sports goods. The Ministry also implements various schemes and programmes aimed at providing investment for adoption of latest technologies in MSME sector. These schemes / programmes, inter alia, include financial support, under schemes such as MSME Champions Scheme, Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE), Prime Minister’s Employment Generation Programme (PMEGP) and Micro and Small Enterprises – Cluster Development Programme (MSE-CDP).

As per the information received from Directorate General of Commercial Intelligence & Statistics, the share of export of specified MSME related products in all India exports during 2021-22 is as follows:

To increase the contribution of MSMEs in Indian exports and enhance their competitiveness, the Ministry of MSME is implementing the International Cooperation (IC) Scheme under which financial assistance is provided on reimbursement basis to the eligible Central/State Government organizations and Industry Associations to facilitate visit/participation of MSMEs in the international exhibitions/fairs/buyer-seller meets held abroad and for organizing international conference/seminar/workshops in India with the aim of technology upgradation, modernization, joint venture etc. Further, under the new component of IC Scheme namely Capacity Building of First Time Exporters (CBFTE) launched in June 2022, reimbursement is provided to new Micro & Small Enterprises (MSE) exporters for costs incurred on Registration-cum-Membership Certification (RCMC) with EPCs, Export Insurance Premium and Testing & Quality Certification for exports. These interventions under IC Scheme assist the exporters in MSME sector to increase their access in international markets.

Ministry of MSME has established 52 Export Facilitation Centers (EFCs) across the country with an aim to provide requisite mentoring and handholding support to Micro and Small Enterprises (MSEs).

This information was given by the Minister of State for Micro Small and Medium Enterprises, Shri Bhanu Pratap Singh Verma in a written reply to the Rajya Sabha.

Interest-Free Credit Support to Micro-Units

Posted On: 06 FEB 2023 6:29PM by PIB Delhi

As informed by Department of Financial Services (DFS), Indian Banks’ Association (IBA) has been advised to devise a credit card, in consultation with Reserve Bank of India and other stakeholders, similar to Kisan Credit Card (KCC) that provides a card to operate the Cash Credit limit sanctioned to MSMEs for their working capital requirement. As per forty-sixth report of Parliamentary Standing Committee on Finance, SIDBI in association with Government of India is developing a Vyaapar Credit Card (VCC) aimed at providing access to formal bank credit for MSMEs. As reported by DFS, all credit decisions, including interest, are taken by banks in terms of their Board approved policies and as per extant guidelines/regulations of RBI.

This information was given by the Minister of State for Micro Small and Medium Enterprises, Shri Bhanu Pratap Singh Verma in a written reply to the Rajya Sabha.

Promotion of Toy Industry

Posted On: 06 FEB 2023 6:28PM by PIB Delhi

Government of India has taken several steps to promote and develop indigenous toy industry.  To cater to the design and innovation related needs of MSMEs including toy sector, the Ministry through its network of MSME Technology Centres works for design and development of tools, moulds, dies, jigs, fixtures,   prototypes etc.  Besides, Ministry of MSME is conducting various skilled development programmes for aspiring and existing entrepreneurs in accordance with the demands of industry to fill the gap of skilled workforce in the MSME sector including Toy Industry.  

Further, a comprehensive National Action Plan for Toys has been formulated by the Government to promote designing of toys based on Indian values, culture and history, using toys as a learning resource, organizing hackathons, and grand challenges for toys designing and manufacturing, monitoring quality of toys, restricting imports of sub-standard and unsafe toys, promoting indigenous toy cluster, boost local manufacturing and incentivize toy manufacturers, etc.

To promote MSME sector including toy industry, the Ministry of MSME is implementing various schemes for providing credit support for new enterprise creation, technology upgradation, skill development and infrastructure development. Under Prime Minister’s Employment Generation (PMEGP), margin money assistance upto 35% of the project cost is being provided for setting up of a unit costing upto Rs. 50 lakh for manufacturing sector and Rs. 20 lakh in the  service sector.  Under the Scheme of Funds for   Regeneration of Traditional Industries (SFURTI), assistance is provided for creation of Common Facility Centres with latest machines, design centres, skill development, etc.  A total of 19 Toy Clusters have been approved under the scheme benefitting 11749 artisans with an outlay of Rs. 55.65 crore.

This information was given by the Minister of State for Micro Small and Medium Enterprises, Shri Bhanu Pratap Singh Verma in a written reply to the Rajya Sabha.

Steel Minister emphasises the importance of adopting new and innovative technologies as well as increased teamwork in order to accelerate the steel sector.

The Ministry of Steel organises Chintan Shivir on raw material issues and contribution in the circular economy.

Posted On: 17 FEB 2023 6:54PM by PIB Delhi

The Union Minister of Steel and Civil Aviation, Shri Jyotiraditya Scindia, urged the stakeholders in the steel sector to adapt new ideas, innovations, and new technologies to fast track the steel sector. Addressing the Chintan Shivir organised by the Ministry of Steel here today, the Minister stressed the importance of team spirit, motivation, consistency, and constant learning to enhance the capacity and capability to improve the quality of output. “Leadership is all about compassion, empathy, love, and a caring attitude that helps the institution to achieve its goals. The soft skills aspect plays a key role in the success of a person or institution,” Shri Scindia added.

Shri Scindia lauded experts’ perspectives on raw material issues of steel industry as well as the Industry’s contribution to the circular economy. He stressed the need for Reverse logistics in steel sector. There was a need to identify pathways of generation and recovery of scrap, both in the organised and unorganised sectors and formulate policies and structures to enhance the intensity of circularity in the country, said the Minister.

He stated “We are also ready to meet the challenges of fulfilling the increasing demand for steel products and increasing the production of steel for the development of the nation”.

Shri N.N. Sinha, Secretary, Ministry of Steel, senior officers, executives from steel CPSEs and other stakeholders from the steel sector participated in the Chintan Shivir.

India Focussing on 300 Million Ton Annual Steel Production by 2030 – Minister Jyotiraditya Scindia Indian Railways and SAIL Working together on Corrosion free steel Production

Posted On: 16 FEB 2023 6:46PM by PIB Delhi

Union Minister of Steel and Civil Aviation Shri Jyotiraditya Scindia said that at present India is the fourth largest producer of Zinc in the world and 80% of Zinc produced in India is consumed domestically. Addressing the fourth Global Zinc Summit -2023 here today, Shri Scindia stated that Indian Railways and Steel Authority of India Limited (SAIL) are working together to produce corrosion free steel. With anti-corrosion features and quality to prevent oxidation in steel products, zinc has tremendous marketing potential for sectors like renewable energy, rural electrification, galvanizing the structure in smart cities etc. Galvanized steel will give long life to infrastructure made in our long coastal line, the Minister added.

Touching upon the crucial strides made by India’s steel sector, Minister Shri Scindia stated that large scale augmentation will be done to double production from present capacity of 150 million tonnes per annum to 300 million tonnes per annum by 2030. India has already emerged as the second largest steel producer in the world and our per capita steel consumption has gone up from 57kg to 78kg during the last nine years, Shri Scindia said.

The Minister said that we have awarded 54 applications submitted from close to 26 companies under the Production Linked incentive (PLI) for specialty steel. The Union Cabinet in July 2021 approved a Rs 6,322-crore PLI scheme to boost the production of speciality steel in India. The PLI will help to extent production capacity of 26 Million Ton per annum and investment of Rs 30,000 crore with the employment generation for 55,000 people. The Minister added that government has announced a huge capex of Rs 10 lakh crore for infrastructure development which has opened tremendous investment opportunities across the sectors.

Highlighting the Prime Minister’s commitment to net zero carbon emission by 2030, the Steel Minister said, “we have to learn to coexist with the environment, we have to learn to respect the environment, there can no longer be a linear model of take, make and dispose. Recycling has to become a part of our existence”.

Member of Parliament Shri Raju Bista, Shri Arun Misra CEO, HZL, Dr. Andrew Green, ED, IZA and Delegates from Europe, America and Asia were present in the program.

Trading in Cotton Futures Contract starts in collaboration of Centre, MCX, trade & industry

Posted On: 13 FEB 2023 7:04PM by PIB Delhi

Trading in newly launched, more representative Cotton Futures Contract has commenced from 13.02.2023 with the collaborative approach of Government of India, MCX, trade & industry.

In order to make the futures prices more representative and not speculative, contract specification and quality standards has been modified and new cotton future contract has been launched at MCX on 31st January 2023.

It will help in real price discovery and also will provide a platform for the industry to hedge their risk from future adverse price volatility. Further, farmers would also be benefitted and will have reference price while taking a decision to sell their produce in the market.

During Cotton Season 2021-22, Indian cotton prices reached to its peak level of more than Rs. 100,000 per candy in the month of May 2022 following unseasonal rain, speculative trading and a global cotton shortage. Industry were raising the concern of lesser open interest and speculation through trading of cotton future contract on the multi- commodity exchange (MCX) and thereby distortion in domestic cotton prices.

The matter was raised during the 2nd interactive meeting of Textile Advisory Group (TAG) held on 14th July 2022 as a result of which, Product Advisory Committee of MCX was re-constituted and enlarged with representation of Textile Value Chain from farmer to end users (i.e. spinning mills) to make the system more structured as per domestic market to curb the speculative trading and volatility in cotton prices. Now, Indian cotton prices are competitive and in line with global prices.