Commercial LPG Cylinder Prices Slashed By Rs 91.50 In Delhi

Petroleum and oil marketing companies reduced the price of Commercial LPG cylinders by Rs 91.50 per unit with immediate effect from Saturday.

A 19 kg of Commercial LPG cylinder will now cost Rs 2,028 in the national capital. However, no changes have been made in the prices of the domestic LPG cylinders.

The Petroleum and oil marketing companies had on March 1 this year hiked the prices of commercial LPG cylinders by Rs 350.50 per unit and domestic LPG cylinders by Rs 50 per unit.

Earlier, on January 1, commercial cylinder prices were increased by Rs 25 per unit.

The prices of the commercial cylinders were reduced the last time in September 1 last year by Rs 91.50.

On August 1, 2022, too, the prices of commercial LPG cylinders were reduced by Rs 36. Prior to that, on July 6, rates for the 19-kilogram commercial cylinder were cut by Rs 8.5 per unit.

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Coal India Surpasses Annual Output Target For First Time Since 2006

Coal India Ltd said today it had breached its annual production target of 700 million tonnes, the first time it had surpassed its goal since the fiscal year that ended in March 2006.

The world's largest coal mining company will likely end the fiscal year ending on Friday with an output of 703.4 million tonnes, it said, 13% higher than the 622.6 million tonnes it produced the previous fiscal year.

"The volume increase of a whopping 81 million tonnes in a single year, by fiscal year 2023 end, would be a historic high since the company's inception," the company said in a statement on Friday.

Coal India last achieved its annual production target in 2006, when it produced 343.4 million tonnes against a plan to produce 343 million tonnes.

The miner, which accounts for 80% of India's annual coal output, is targeting production of 780 million tonnes in the upcoming fiscal year, in a bid to fire its power utilities, which are expected to burn about 8% more coal in the year.

India's coal-fired power output has increased much faster than any other country in the Asia Pacific since Russia's invasion of Ukraine, underscoring the challenges the world's third-largest greenhouse gas emitter faces in weaning its economy off carbon.

The government has previously cited lower per capita emissions compared with richer nations and surging renewable energy output, when asked about rising coal use.

Coal accounts for nearly 75% of India's power generation and utilities account for more than 75% of its coal use. India is the world's second largest producer, consumer and importer of the fuel.

Coal India intends to ramp up production to 1 billion tonnes by March 2026 by increasing the capacity of its existing mines and opening new mines.

(Reporting by Sudarshan Varadhan; Editing by Robert Birsel)

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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In $2 Trillion Export Push, India Unveils Foreign Trade Policy 2023

The government today came out with Foreign Trade Policy (FTP) 2023 which seeks to boost the country's exports to $2 trillion by 2030 by shifting from incentives to remission and entitlement based regime.

Unlike the practice of announcing 5-year FTP, the latest policy has no end date and will be updated as and when needed, said Director General of Foreign Trade (DGFT) Santosh Sarangi while briefing media about FTP 2023.

Earlier, Commerce and Industry Minister Piyush Goyal unveiled FTP 2023 which will come into effect from April 1, 2023.

The DGFT also said India is likely to end this fiscal year with total exports of  $760-770 billion as against $676 billion in 2021-22.

The last five-year policy came into force on April 1, 2015. However, it was extended several times in the wake of coronavirus outbreak and subsequent disruptions in economic activities globally. The last extension was given in September 2022 till March 31, 2023.

The new FTP identifies four new Towns of Export Excellence (TEE) -- Faridabad, Moradabad, Mirzapur and Varanasi -- in addition to the already existing 39 TEEs.

The FTP benefits have been extended to e-commerce exports, which are estimated to grow to $200-300 billion by 2030.

The value limit for exports through courier service is being increased from Rs 5 lakh to Rs 10 lakh per consignment, he said.

The new FTP also seeks to make the Indian rupee a global currency and allow international trade settlement in the domestic currency.

The DGFT further said FTP 2023 is dynamic and responsive to the emerging trade scenario. He also said the department of commerce is being restructured to make it "future-ready".

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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In $2 Trillion Export Push, India Unveils Foreign Trade Policy 2023

The government today came out with Foreign Trade Policy (FTP) 2023 which seeks to boost the country's exports to $2 trillion by 2030 by shifting from incentives to remission and entitlement based regime.

Unlike the practice of announcing 5-year FTP, the latest policy has no end date and will be updated as and when needed, said Director General of Foreign Trade (DGFT) Santosh Sarangi while briefing media about FTP 2023.

Earlier, Commerce and Industry Minister Piyush Goyal unveiled FTP 2023 which will come into effect from April 1, 2023.

The DGFT also said India is likely to end this fiscal year with total exports of  $760-770 billion as against $676 billion in 2021-22.

The last five-year policy came into force on April 1, 2015. However, it was extended several times in the wake of coronavirus outbreak and subsequent disruptions in economic activities globally. The last extension was given in September 2022 till March 31, 2023.

The new FTP identifies four new Towns of Export Excellence (TEE) -- Faridabad, Moradabad, Mirzapur and Varanasi -- in addition to the already existing 39 TEEs.

The FTP benefits have been extended to e-commerce exports, which are estimated to grow to $200-300 billion by 2030.

The value limit for exports through courier service is being increased from Rs 5 lakh to Rs 10 lakh per consignment, he said.

The new FTP also seeks to make the Indian rupee a global currency and allow international trade settlement in the domestic currency.

The DGFT further said FTP 2023 is dynamic and responsive to the emerging trade scenario. He also said the department of commerce is being restructured to make it "future-ready".

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Rupee Trades 24 Paise Higher At 82.10 Against US Dollar

The rupee appreciated by 24 paise to 82.10 in early trade on Friday following foreign fund inflows and a fall in crude oil prices.

Gains in the local stock market and weakness in the US dollar in early Asian trade also boosted the rupee sentiment.

At the interbank foreign exchange market, the rupee opened higher at 82.12 and stayed in the green in early trade. It moved in a range of 82.16 to 82.10 in early deals.

The rupee had closed lower by 18 paise at 82.34 to a dollar on Wednesday. The forex market was closed on Thursday for Ram Navami.

FIIs have turned net buyers in Indian markets following the ebbing of the banking contagion fears. The fact that there have been no further bank failures or major stress in the system has boosted FII flows, V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services said.

The dollar index, which gauges the greenback's strength against a basket of six currencies, rebounded from early lows to trade 0.05 per cent higher at 102.20. It traded lower at 102.09 in early Asian trade.

Global oil benchmark Brent crude futures declined by 0.24 per cent to USD 79.08 per barrel.

On the domestic equity market front, the 30-share BSE Sensex spurted by 680.56 points or 1.17 per cent to 58,640.65 while the broader NSE Nifty advanced 191.75 points or 1.12 per cent to 17,272.45 points.

Foreign Institutional Investors (FIIs) turned net buyers in the capital market on Wednesday as they bought shares worth Rs 1,245.39 crore, as per exchange data.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Rupee Trades 24 Paise Higher At 82.10 Against US Dollar

The rupee appreciated by 24 paise to 82.10 in early trade on Friday following foreign fund inflows and a fall in crude oil prices.

Gains in the local stock market and weakness in the US dollar in early Asian trade also boosted the rupee sentiment.

At the interbank foreign exchange market, the rupee opened higher at 82.12 and stayed in the green in early trade. It moved in a range of 82.16 to 82.10 in early deals.

The rupee had closed lower by 18 paise at 82.34 to a dollar on Wednesday. The forex market was closed on Thursday for Ram Navami.

FIIs have turned net buyers in Indian markets following the ebbing of the banking contagion fears. The fact that there have been no further bank failures or major stress in the system has boosted FII flows, V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services said.

The dollar index, which gauges the greenback's strength against a basket of six currencies, rebounded from early lows to trade 0.05 per cent higher at 102.20. It traded lower at 102.09 in early Asian trade.

Global oil benchmark Brent crude futures declined by 0.24 per cent to USD 79.08 per barrel.

On the domestic equity market front, the 30-share BSE Sensex spurted by 680.56 points or 1.17 per cent to 58,640.65 while the broader NSE Nifty advanced 191.75 points or 1.12 per cent to 17,272.45 points.

Foreign Institutional Investors (FIIs) turned net buyers in the capital market on Wednesday as they bought shares worth Rs 1,245.39 crore, as per exchange data.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Basic Customs Duty On Drugs, Food For Treatment Of Rare Diseases Waived

The government has exempted basic customs duty on all drugs and food for special medical purposes imported for personal use for treatment of rare diseases.

The import duty waiver will come into effect from April 1.

Also, the government has exempted Pembrolizumab (Keytruda), used in treatment of various cancers, from basic customs duty.

Drugs/Medicines generally attract basic customs duty of 10 per cent, while some categories of life saving drugs/vaccines attract a concessional rate of 5 per cent or Nil.

"The Central Government has given full exemption from basic customs duty on all drugs and Food for Special Medical Purposes imported for personal use for treatment of all Rare Diseases listed under the National Policy for Rare Diseases 2021," a finance ministry statement said.

Food for Special Medical Purposes is a food formulation intended to provide nutritional support to persons who suffer from a specific disease, disorder or a medical condition, as a part of their dietary management.

Central Government has given full exemption from basic customs duty on all drugs and Food for Special Medical Purposes imported for personal use for treatment of all Rare Diseases listed under the National Policy for Rare Diseases 2021.

Press Release ? https://t.co/2aufdrhj3I pic.twitter.com/J0k0Nkipr9

— CBIC (@cbic_india) March 30, 2023

In order to avail this exemption, the individual importer has to produce a certificate from Central or State Director Health Services or District Medical Officer/Civil Surgeon of the district.

While exemptions have already been provided to specified drugs for treatment of Spinal Muscular Atrophy or Duchenne Muscular Dystrophy, the government has been receiving many representations seeking customs duty relief for drugs and medicines used in treatment of other rare diseases.

Drugs or Special Foods required for the treatment of these diseases are expensive and need to be imported.

The ministry said it is estimated that for a child weighing 10 kg, the annual cost of treatment for some rare diseases, may vary from Rs 10 lakh to more than Rs 1 crore per year with treatment being lifelong and drug dose and cost, increasing with age and weight.

"This exemption will result in substantial cost savings and provide much needed relief to the patients," the ministry said

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Basic Customs Duty On Drugs, Food For Treatment Of Rare Diseases Waived

The government has exempted basic customs duty on all drugs and food for special medical purposes imported for personal use for treatment of rare diseases.

The import duty waiver will come into effect from April 1.

Also, the government has exempted Pembrolizumab (Keytruda), used in treatment of various cancers, from basic customs duty.

Drugs/Medicines generally attract basic customs duty of 10 per cent, while some categories of life saving drugs/vaccines attract a concessional rate of 5 per cent or Nil.

"The Central Government has given full exemption from basic customs duty on all drugs and Food for Special Medical Purposes imported for personal use for treatment of all Rare Diseases listed under the National Policy for Rare Diseases 2021," a finance ministry statement said.

Food for Special Medical Purposes is a food formulation intended to provide nutritional support to persons who suffer from a specific disease, disorder or a medical condition, as a part of their dietary management.

Central Government has given full exemption from basic customs duty on all drugs and Food for Special Medical Purposes imported for personal use for treatment of all Rare Diseases listed under the National Policy for Rare Diseases 2021.

Press Release ? https://t.co/2aufdrhj3I pic.twitter.com/J0k0Nkipr9

— CBIC (@cbic_india) March 30, 2023

In order to avail this exemption, the individual importer has to produce a certificate from Central or State Director Health Services or District Medical Officer/Civil Surgeon of the district.

While exemptions have already been provided to specified drugs for treatment of Spinal Muscular Atrophy or Duchenne Muscular Dystrophy, the government has been receiving many representations seeking customs duty relief for drugs and medicines used in treatment of other rare diseases.

Drugs or Special Foods required for the treatment of these diseases are expensive and need to be imported.

The ministry said it is estimated that for a child weighing 10 kg, the annual cost of treatment for some rare diseases, may vary from Rs 10 lakh to more than Rs 1 crore per year with treatment being lifelong and drug dose and cost, increasing with age and weight.

"This exemption will result in substantial cost savings and provide much needed relief to the patients," the ministry said

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Alibaba Group To Consider Giving Up Control Over Business Units After IPOs

Alibaba Group said today it will look to monetise non-core assets and consider giving up control of some businesses, as the Chinese tech conglomerate reinvents itself after a regulatory crackdown that wiped 70% off its shares.

Group CEO Daniel Zhang said the company's breakup into separate businesses will allow its units to become more agile and eventually list on their own.

His comments come two days after Alibaba announced its largest restructuring in the company's history, which will see it change into a holding company structure with six business units, each with their own boards and CEOs.

"Alibaba will be more of the nature of an asset and capital operator than a business operator, in relation to the business group companies," Zhang told investors on a conference call on Thursday.

On the same call, Alibaba CFO Toby Xu said the group would "continue to evaluate the strategic importance of these companies" and "decide whether or not to continue to retain control".

Alibaba's indication that it could divest from assets and sell control of business units after they go public comes more than two years after Beijing launched a sweeping crackdown on its tech giants, targeting monopolistic practices, data security protection and other issues.

While the new business units will have their own CEOs and boards, Alibaba will retain seats on those boards in the short-term, Zhang added.

The group's Hong Kong-listed shares opened 2.7% higher after the investor call and were still up 2% as of 0147 GMT.

MATTER OF SURVIVAL

Alibaba began laying the groundwork for the restructuring a few years ago, Zhang told investors during a conference call.

As a result of the restructuring, each business unit can pursue independent fundraisings and IPOs when they're ready, Xu said, when asked about the timeline for the listings. The changes will come into effect immediately.

"We believe the market is the litmus test so each company can pursue financing and IPO as and when they are ready," said Xu.

Alibaba, however, will decide whether the group wants to keep strategic control of each unit after they go public, Xu said.

Meanwhile, the group is also planning to continue to monetise non-strategic assets in its portfolio to optimise its capital structure, said Xu.

Alibaba's major rival Tencent, has in the past year divested from a number of portfolio companies including selling a $3 billion stake in SEA, transferring $16.4 billion worth of JD.COM shares and $20 billion worth of Meituan shares to shareholders.

Alibaba's reorganisation will not change its share repurchase plan, Xu added on the call.

Qi Wang, CEO of China-focused asset manager MegaTrust Investment, said the sector's strategic move to reorganise was about survival.

"These internet firms are not going to just sit there and let regulation erode away their growth and profits," Wang said. "Companies including Tencent, Alibaba, JD, Didi and ByteDance have been making bottom-up changes to mitigate the regulatory risk, cost cutting (layoffs), improving operating efficiency, divesting non-core businesses."

Alibaba, once valued at more than $800 billion, has seen its market valuation decline to $260 billion since Beijing started a crackdown on its sprawling tech sector in late 2020.

Some analysts say Alibaba is currently undervalued as a standalone conglomerate and a breakup would allow investors to value each business division independently.

The restructuring could also better protect Alibaba shareholders from regulatory pressures, as penalties levied on one division in theory would not affect the operations of another.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Alibaba Group To Consider Giving Up Control Over Business Units After IPOs

Alibaba Group said today it will look to monetise non-core assets and consider giving up control of some businesses, as the Chinese tech conglomerate reinvents itself after a regulatory crackdown that wiped 70% off its shares.

Group CEO Daniel Zhang said the company's breakup into separate businesses will allow its units to become more agile and eventually list on their own.

His comments come two days after Alibaba announced its largest restructuring in the company's history, which will see it change into a holding company structure with six business units, each with their own boards and CEOs.

"Alibaba will be more of the nature of an asset and capital operator than a business operator, in relation to the business group companies," Zhang told investors on a conference call on Thursday.

On the same call, Alibaba CFO Toby Xu said the group would "continue to evaluate the strategic importance of these companies" and "decide whether or not to continue to retain control".

Alibaba's indication that it could divest from assets and sell control of business units after they go public comes more than two years after Beijing launched a sweeping crackdown on its tech giants, targeting monopolistic practices, data security protection and other issues.

While the new business units will have their own CEOs and boards, Alibaba will retain seats on those boards in the short-term, Zhang added.

The group's Hong Kong-listed shares opened 2.7% higher after the investor call and were still up 2% as of 0147 GMT.

MATTER OF SURVIVAL

Alibaba began laying the groundwork for the restructuring a few years ago, Zhang told investors during a conference call.

As a result of the restructuring, each business unit can pursue independent fundraisings and IPOs when they're ready, Xu said, when asked about the timeline for the listings. The changes will come into effect immediately.

"We believe the market is the litmus test so each company can pursue financing and IPO as and when they are ready," said Xu.

Alibaba, however, will decide whether the group wants to keep strategic control of each unit after they go public, Xu said.

Meanwhile, the group is also planning to continue to monetise non-strategic assets in its portfolio to optimise its capital structure, said Xu.

Alibaba's major rival Tencent, has in the past year divested from a number of portfolio companies including selling a $3 billion stake in SEA, transferring $16.4 billion worth of JD.COM shares and $20 billion worth of Meituan shares to shareholders.

Alibaba's reorganisation will not change its share repurchase plan, Xu added on the call.

Qi Wang, CEO of China-focused asset manager MegaTrust Investment, said the sector's strategic move to reorganise was about survival.

"These internet firms are not going to just sit there and let regulation erode away their growth and profits," Wang said. "Companies including Tencent, Alibaba, JD, Didi and ByteDance have been making bottom-up changes to mitigate the regulatory risk, cost cutting (layoffs), improving operating efficiency, divesting non-core businesses."

Alibaba, once valued at more than $800 billion, has seen its market valuation decline to $260 billion since Beijing started a crackdown on its sprawling tech sector in late 2020.

Some analysts say Alibaba is currently undervalued as a standalone conglomerate and a breakup would allow investors to value each business division independently.

The restructuring could also better protect Alibaba shareholders from regulatory pressures, as penalties levied on one division in theory would not affect the operations of another.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Stock Markets To Remain Close Today On Ram Navami

Stock markets BSE and NSE will remain close today on the account of Ram Navami. According to the Bombay Stock Exchange website, the equity segment, equity derivative segment, the SLB segment and the currency derivatives segment will remain shut today.

There will be no trading on Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) for the entire session today. The stock markets will reopen on Friday, March 31.

Trading in Commodity Derivatives Segment and Electronic Gold Receipts (EGR) Segment will also remain shut on Ram Navami only in the morning session. However, trading in these segments will be open from 5.00 pm for the evening session.

According to the list of trading holidays on BSE website, this is the second stock market holiday in the month of March 2023. Earlier, the stock market was closed on March 7, 2023 on the occasion of Holi.

In the month of April 2023, according to BSE website, the stock market will remain closed for three days. On April 4, the market will remain close for Mahavir Jayanti, on April 7 for Good Friday and on April 14, the trading will remain close on the account of Dr. Baba Saheb Ambedkar Jayanti.

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Stock Markets To Remain Close Today On Ram Navami

Stock markets BSE and NSE will remain close today on the account of Ram Navami. According to the Bombay Stock Exchange website, the equity segment, equity derivative segment, the SLB segment and the currency derivatives segment will remain shut today.

There will be no trading on Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) for the entire session today. The stock markets will reopen on Friday, March 31.

Trading in Commodity Derivatives Segment and Electronic Gold Receipts (EGR) Segment will also remain shut on Ram Navami only in the morning session. However, trading in these segments will be open from 5.00 pm for the evening session.

According to the list of trading holidays on BSE website, this is the second stock market holiday in the month of March 2023. Earlier, the stock market was closed on March 7, 2023 on the occasion of Holi.

In the month of April 2023, according to BSE website, the stock market will remain closed for three days. On April 4, the market will remain close for Mahavir Jayanti, on April 7 for Good Friday and on April 14, the trading will remain close on the account of Dr. Baba Saheb Ambedkar Jayanti.

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Nifty, Sensex Open Higher Ahead Of Monthly Derivatives Expiry

Shares opened higher today, aided by broad-based gains across sectors, while lingering concerns over the ongoing global banking crisis kept the mood cautious.

The Nifty 50 index was up 0.33% at 17,008.20 as of 9:42 a.m. IST. The S&P BSE Sensex rose 0.28% to 57,772.50.

Analysts expect high volatility in Wednesday's session ahead of the March derivatives series monthly expiry.

Twelve of the 13 major sectoral indexes advanced, with high weightage financials and information technology rising 0.4% each.

The broader Asian equity indexes rose, aided by Alibaba, which jumped 15% in Hong Kong on plans to split into six units and explore fundraisings or listings.

The Nifty 50 fell on Tuesday, as the sell-off in Adani group stocks soured the mood.

Two of the Adani group stocks in the Nifty 50, Adani Enterprises and Adani Ports, rose over 1.5% and were among the top gainers.

The group's stocks fell on Tuesday after a report said the conglomerate was seeking to renegotiate terms of outstanding loans worth $4 billion taken to buy ACC and Ambuja Cements. A group spokesperson termed the report "totally false and untrue."

Bajaj Auto jumped over 1% after global brokerage firm JP Morgan reiterated its "overweight" rating on the stock, citing favourable risk-reward and scope for re-rating in 2023.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Nifty, Sensex Open Higher Ahead Of Monthly Derivatives Expiry

Shares opened higher today, aided by broad-based gains across sectors, while lingering concerns over the ongoing global banking crisis kept the mood cautious.

The Nifty 50 index was up 0.33% at 17,008.20 as of 9:42 a.m. IST. The S&P BSE Sensex rose 0.28% to 57,772.50.

Analysts expect high volatility in Wednesday's session ahead of the March derivatives series monthly expiry.

Twelve of the 13 major sectoral indexes advanced, with high weightage financials and information technology rising 0.4% each.

The broader Asian equity indexes rose, aided by Alibaba, which jumped 15% in Hong Kong on plans to split into six units and explore fundraisings or listings.

The Nifty 50 fell on Tuesday, as the sell-off in Adani group stocks soured the mood.

Two of the Adani group stocks in the Nifty 50, Adani Enterprises and Adani Ports, rose over 1.5% and were among the top gainers.

The group's stocks fell on Tuesday after a report said the conglomerate was seeking to renegotiate terms of outstanding loans worth $4 billion taken to buy ACC and Ambuja Cements. A group spokesperson termed the report "totally false and untrue."

Bajaj Auto jumped over 1% after global brokerage firm JP Morgan reiterated its "overweight" rating on the stock, citing favourable risk-reward and scope for re-rating in 2023.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Meta 'Optimistic And Excited' About India: Sandhya Devanathan

Amid the grim global economic scenario, social media platform Facebook's parent firm Meta sees resilience in India although it will not be immune to international events and the company is optimistic about the prospects in the country, company country Head and Vice-President, Sandhya Devanathan said on Tuesday.

The company will continue to develop India specific products and innovations to tap the huge opportunity provided by digitisation here, she said while speaking at the Times Network India Digital Fest here.

"The news is grim, isn't it? Like anytime you see there's a bank failing, be it SVB or Credit Suisse, interest rates are rising that causes more turmoil in the market, capital markets (are) drying up, VC funding drying up... So, I think the macroeconomic situation suddenly certainly looks grim," she said.

She was responding to a query on the impact of global economic downturn and the drying up of funds and investments in the start-up ecosystem and the Indian tech sector.

"... and it would be a fallacy to think that India will be immune to everything that's happening globally," Devanathan added.

She further said, "but what I see is actually a tale of two cities. I see a story of resilience in India and I think that's powered by a bunch of things, economic resilience, the digital governance, which is enabling inclusion for millions of people and the very strong and robust startup ecosystem." Even as there are global headwinds, she said, "We remain very optimistic and excited about what's happening in India... we actually see the role that we can play during this period is really around upskilling and training and supporting more Indians to own livelihoods." When asked about Meta's plans for developing India specific products and innovations, citing the example of WhatsApp and JioMart tie-up that allows WhatsApp users to browse the JioMart catalog and shop, Devanathan said it was "definitely an India specific product and we remain invested and excited about the India opportunity".

The company connects 3.7 billion globally and "improving access to technology for everyone to our platforms" is something that "we hold dear to our heart", she added.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Meta 'Optimistic And Excited' About India: Sandhya Devanathan

Amid the grim global economic scenario, social media platform Facebook's parent firm Meta sees resilience in India although it will not be immune to international events and the company is optimistic about the prospects in the country, company country Head and Vice-President, Sandhya Devanathan said on Tuesday.

The company will continue to develop India specific products and innovations to tap the huge opportunity provided by digitisation here, she said while speaking at the Times Network India Digital Fest here.

"The news is grim, isn't it? Like anytime you see there's a bank failing, be it SVB or Credit Suisse, interest rates are rising that causes more turmoil in the market, capital markets (are) drying up, VC funding drying up... So, I think the macroeconomic situation suddenly certainly looks grim," she said.

She was responding to a query on the impact of global economic downturn and the drying up of funds and investments in the start-up ecosystem and the Indian tech sector.

"... and it would be a fallacy to think that India will be immune to everything that's happening globally," Devanathan added.

She further said, "but what I see is actually a tale of two cities. I see a story of resilience in India and I think that's powered by a bunch of things, economic resilience, the digital governance, which is enabling inclusion for millions of people and the very strong and robust startup ecosystem." Even as there are global headwinds, she said, "We remain very optimistic and excited about what's happening in India... we actually see the role that we can play during this period is really around upskilling and training and supporting more Indians to own livelihoods." When asked about Meta's plans for developing India specific products and innovations, citing the example of WhatsApp and JioMart tie-up that allows WhatsApp users to browse the JioMart catalog and shop, Devanathan said it was "definitely an India specific product and we remain invested and excited about the India opportunity".

The company connects 3.7 billion globally and "improving access to technology for everyone to our platforms" is something that "we hold dear to our heart", she added.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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As Long As India Does Not... : Food Corporation FCI Chief On Wheat Ban

The government on Tuesday said the export ban on wheat will continue as long as the country does not feel comfortable with the domestic supplies to meet the food security needs.

Addressing a press conference, state-owned Food Corporation of India (FCI) Chairman and Managing Director Ashok K Meena said wheat production has not been impacted due to unseasonal rains. Even after rains, the total wheat output will be at a record 112 million tonne this year.

He also mentioned that the government procurement of fresh wheat crop has kick-started, and about 10,727 tonne was purchased at minimum support price (MSP) in Madhya Pradesh on Monday.

India, the world's second-largest wheat producer, banned wheat exports in May 2022, with immediate effect as part of measures to control rising domestic prices.

"As far as the government is concerned for ensuring the food security of the common man, no export of wheat will be allowed. So, the export ban on wheat will continue as long as the country does not feel comfortable with supplies," Meena told reporters.

Estimated higher wheat production this year will ensure sufficient supplies for both government procurement and general consumption in the Indian market, he said.

The government has projected a record wheat production of 112.18 million tonne in the 2023-24 crop year (July-June), as per the second estimate of the agriculture ministry.

Meena said the agriculture ministry has estimated a record wheat output, taking into account weather fluctuations.

"Rains are a cause of concern as it affects the quality of the grain. The accompanying factor of rain is that the temperature comes down. Low temperature is good for wheat crops for full maturity. Therefore, the estimated quantity of wheat production is likely to be achieved," he said.

As a result, the government's wheat procurement target of 34.15 million tonne will also be achieved, he added.

Stating that the FCI has started the wheat procurement operation, Meena said about 10,727 tonne of wheat was procured in Madhya Pradesh on March 27.

"The first arrival has started in MP. About 10,727 tonne was procured, though there was huge arrival of 5.56 lakh tonne on Monday," he said.

Procurement on the same date in the year-ago period was nil. The arrivals were huge due to the harvesting of short-duration crops this year.

Procurement centres across the country will remain open. Procurement in Punjab and Haryana will begin from April 1 onwards.

FCI aims to procure 13.2 million tonne of wheat from Punjab, 7.5 million tonne from Haryana and 8 million tonne from Madhya Pradesh in the 2023-24 marketing year (April-March), he added.

Asked if quality norms will be relaxed for the rain-hit wheat crop, Meena said, "A team will be sent to assess the condition if required. We will take a call based on the report submitted by the team".

The government is confident that the estimated record production will be achieved and the target of procurement will be achieved this year, he asserted.

Sharing about the sale of wheat from the buffer stock under the open market sale scheme (OMSS) to check rising wheat and wheat flour prices, Meena said this has been stopped for now as the prices have stabilised.

The quantity of wheat sold in the market has led to (mandi) prices coming down from Rs 30 per kg in the last week of January to Rs 22-23 per kg now. The prices will further come down on improved supplies from the harvesting of new crops, he said.

About 33.78 lakh tonne of wheat was sold under the OMSS to bulk consumers like wheat flour millers at a discounted rate. About 10,000 tonne were sold to Tamil Nadu, while 60,000 tonne to cooperative Nafed, NCCF and Kendriya Bhandar.

Meena said 32.10 lakh tonne of wheat has already been lifted so far, the balance quantity will be lifted before this month-end.

On April 1, FCI godowns would have a wheat stock of 84 lakh tonne.

Last year, wheat procurement for the central pool declined to 187.92 lakh tonne from 433.44 lakh tonne in the 2021-22 marketing year due to a fall in production in view of heatwaves in some states.

FCI is the government's nodal agency that undertakes the procurement and distribution of food grains for the PDS and welfare schemes.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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As Long As India Does Not... : Food Corporation FCI Chief On Wheat Ban

The government on Tuesday said the export ban on wheat will continue as long as the country does not feel comfortable with the domestic supplies to meet the food security needs.

Addressing a press conference, state-owned Food Corporation of India (FCI) Chairman and Managing Director Ashok K Meena said wheat production has not been impacted due to unseasonal rains. Even after rains, the total wheat output will be at a record 112 million tonne this year.

He also mentioned that the government procurement of fresh wheat crop has kick-started, and about 10,727 tonne was purchased at minimum support price (MSP) in Madhya Pradesh on Monday.

India, the world's second-largest wheat producer, banned wheat exports in May 2022, with immediate effect as part of measures to control rising domestic prices.

"As far as the government is concerned for ensuring the food security of the common man, no export of wheat will be allowed. So, the export ban on wheat will continue as long as the country does not feel comfortable with supplies," Meena told reporters.

Estimated higher wheat production this year will ensure sufficient supplies for both government procurement and general consumption in the Indian market, he said.

The government has projected a record wheat production of 112.18 million tonne in the 2023-24 crop year (July-June), as per the second estimate of the agriculture ministry.

Meena said the agriculture ministry has estimated a record wheat output, taking into account weather fluctuations.

"Rains are a cause of concern as it affects the quality of the grain. The accompanying factor of rain is that the temperature comes down. Low temperature is good for wheat crops for full maturity. Therefore, the estimated quantity of wheat production is likely to be achieved," he said.

As a result, the government's wheat procurement target of 34.15 million tonne will also be achieved, he added.

Stating that the FCI has started the wheat procurement operation, Meena said about 10,727 tonne of wheat was procured in Madhya Pradesh on March 27.

"The first arrival has started in MP. About 10,727 tonne was procured, though there was huge arrival of 5.56 lakh tonne on Monday," he said.

Procurement on the same date in the year-ago period was nil. The arrivals were huge due to the harvesting of short-duration crops this year.

Procurement centres across the country will remain open. Procurement in Punjab and Haryana will begin from April 1 onwards.

FCI aims to procure 13.2 million tonne of wheat from Punjab, 7.5 million tonne from Haryana and 8 million tonne from Madhya Pradesh in the 2023-24 marketing year (April-March), he added.

Asked if quality norms will be relaxed for the rain-hit wheat crop, Meena said, "A team will be sent to assess the condition if required. We will take a call based on the report submitted by the team".

The government is confident that the estimated record production will be achieved and the target of procurement will be achieved this year, he asserted.

Sharing about the sale of wheat from the buffer stock under the open market sale scheme (OMSS) to check rising wheat and wheat flour prices, Meena said this has been stopped for now as the prices have stabilised.

The quantity of wheat sold in the market has led to (mandi) prices coming down from Rs 30 per kg in the last week of January to Rs 22-23 per kg now. The prices will further come down on improved supplies from the harvesting of new crops, he said.

About 33.78 lakh tonne of wheat was sold under the OMSS to bulk consumers like wheat flour millers at a discounted rate. About 10,000 tonne were sold to Tamil Nadu, while 60,000 tonne to cooperative Nafed, NCCF and Kendriya Bhandar.

Meena said 32.10 lakh tonne of wheat has already been lifted so far, the balance quantity will be lifted before this month-end.

On April 1, FCI godowns would have a wheat stock of 84 lakh tonne.

Last year, wheat procurement for the central pool declined to 187.92 lakh tonne from 433.44 lakh tonne in the 2021-22 marketing year due to a fall in production in view of heatwaves in some states.

FCI is the government's nodal agency that undertakes the procurement and distribution of food grains for the PDS and welfare schemes.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Provident Fund Body EPFO Fixes 8.15% Interest Rate For 2022-23: Report

Retirement fund body EPFO (Employees' Provident Fund Organisation) fixed 8.15 per cent  rate of interest on employees' provident fund (EPF) deposits for 2022-23 at its  meeting today.

In March 2022, EPFO had lowered the interest on EPF for 2021-22 to an over four-decade low of 8.1 per cent for its about five crore subscribers, from 8.5 per cent in 2020-21.

This was the lowest since 1977-78, when the EPF interest rate stood at 8 per cent.

"The Employees' Provident Fund Organisation's apex decision-making body Central Board of Trustees (CBT) has decided to provide 8.15 per cent rate of interest on EPF for 2022-23 at its meeting on Tuesday," a source said.

The 8.5 per cent interest rate on EPF deposits for 2020-21 was decided by CBT in March 2021.

After the CBT's decision, the interest rate on EPF deposits for 2022-23 will be sent to Ministry of Finance for concurrence.

After the government's ratification, the interest rate on EPF for 2022-23 will be credited into accounts of over five crore subscribers of EPFO.

EPFO provides the rate of interest only after it is ratified by the government through the finance ministry.

In March 2020, EPFO had lowered the interest rate on provident fund deposits to a seven-year low of 8.5 per cent for 2019-20, from 8.65 per cent provided for 2018-19.

EPFO had provided 8.65 per cent interest rate to its subscribers in 2016-17 and 8.55 per cent in 2017-18. The rate of interest was slightly higher at 8.8 per cent in 2015-16.

The retirement fund body had given 8.75 per cent rate of interest in 2013-14 as well as 2014-15, higher than 8.5 per cent for 2012-13.

The rate of interest was 8.25 per cent in 2011-12. 

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Provident Fund Body EPFO Fixes 8.15% Interest Rate For 2022-23: Report

Retirement fund body EPFO (Employees' Provident Fund Organisation) fixed 8.15 per cent  rate of interest on employees' provident fund (EPF) deposits for 2022-23 at its  meeting today.

In March 2022, EPFO had lowered the interest on EPF for 2021-22 to an over four-decade low of 8.1 per cent for its about five crore subscribers, from 8.5 per cent in 2020-21.

This was the lowest since 1977-78, when the EPF interest rate stood at 8 per cent.

"The Employees' Provident Fund Organisation's apex decision-making body Central Board of Trustees (CBT) has decided to provide 8.15 per cent rate of interest on EPF for 2022-23 at its meeting on Tuesday," a source said.

The 8.5 per cent interest rate on EPF deposits for 2020-21 was decided by CBT in March 2021.

After the CBT's decision, the interest rate on EPF deposits for 2022-23 will be sent to Ministry of Finance for concurrence.

After the government's ratification, the interest rate on EPF for 2022-23 will be credited into accounts of over five crore subscribers of EPFO.

EPFO provides the rate of interest only after it is ratified by the government through the finance ministry.

In March 2020, EPFO had lowered the interest rate on provident fund deposits to a seven-year low of 8.5 per cent for 2019-20, from 8.65 per cent provided for 2018-19.

EPFO had provided 8.65 per cent interest rate to its subscribers in 2016-17 and 8.55 per cent in 2017-18. The rate of interest was slightly higher at 8.8 per cent in 2015-16.

The retirement fund body had given 8.75 per cent rate of interest in 2013-14 as well as 2014-15, higher than 8.5 per cent for 2012-13.

The rate of interest was 8.25 per cent in 2011-12. 

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Nifty, Sensex Rise As Global Banking Fears Ease

Shares opened higher on Tuesday, tracking a rise in global equities on easing concerns over the banking system.

The Nifty 50 index was up 0.21% at 17,020.50 as of 9:39 a.m. IST. The S&P BSE Sensex rose 0.25% to 57,800.40. The broader Asian equity indexes also advanced.

Ten of the 13 major sectoral indexes advanced, with the heavyweight financials adding 0.3%.

Wall Street equities gained as sentiment improved after First Citizens BancShares agreed to take on deposits and loans from failed Silicon Valley Bank.

Banking concerns eased temporarily in Europe also with Deutsche Bank climbing over 6% following a sharp slide on Friday after its credit default swaps rose to their highest in over four years.

"The financial troubles in key U.S. and European banking entities could be waning after the recent troubles, which is providing some confidence to investors," Prashanth Tapse of Mehta Equities said, referring to the measures globally to address contagion in the sector. "The overall undertone still remains that of cautious to negative."

Among individuals stocks, shares of Paytm rose nearly 3% to a one-month high. The company's Paytm Wallet is now universally acceptable on all UPI QRs and online merchants.

PNC Infratech's shares advanced nearly 5% after it was declared lowest bidder for highway project worth 8.19 billion rupees.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Nifty, Sensex Rise As Global Banking Fears Ease

Shares opened higher on Tuesday, tracking a rise in global equities on easing concerns over the banking system.

The Nifty 50 index was up 0.21% at 17,020.50 as of 9:39 a.m. IST. The S&P BSE Sensex rose 0.25% to 57,800.40. The broader Asian equity indexes also advanced.

Ten of the 13 major sectoral indexes advanced, with the heavyweight financials adding 0.3%.

Wall Street equities gained as sentiment improved after First Citizens BancShares agreed to take on deposits and loans from failed Silicon Valley Bank.

Banking concerns eased temporarily in Europe also with Deutsche Bank climbing over 6% following a sharp slide on Friday after its credit default swaps rose to their highest in over four years.

"The financial troubles in key U.S. and European banking entities could be waning after the recent troubles, which is providing some confidence to investors," Prashanth Tapse of Mehta Equities said, referring to the measures globally to address contagion in the sector. "The overall undertone still remains that of cautious to negative."

Among individuals stocks, shares of Paytm rose nearly 3% to a one-month high. The company's Paytm Wallet is now universally acceptable on all UPI QRs and online merchants.

PNC Infratech's shares advanced nearly 5% after it was declared lowest bidder for highway project worth 8.19 billion rupees.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Nemish Shah Portfolio: Top 5 Stocks

The last two months have been topsy-turvy for Indian equity markets. The ongoing selloff has caused benchmark indices to lose more than 6%.

Investing and trading in such markets can be daunting task, as it calls for exploring market winning strategies to survive economic downturns.

Most retail investors lack this expertise. However, the widely held investment technique of coattail investing can help.

The concept of coattail investing is simple. Mimic the investment picks of financial gurus and hedge fund billionaires.

One such tracked billionaire in the Indian market is Nemish Shah, the man who took Infosys public.

Nemish Shah, the co-founder and director of Enam Holdings, is a value investor who likes to stay in the background.

Today with seven companies in his portfolio, his net worth is over Rs 21.4 billion (bn).

Let's take a look at the top 5 stocks in Nemish Shah's portfolio in value terms (not volume).

Please note the source of holdings listed below is from Ace Equity, and it may or may not be a complete list of holdings.

#1 Lakshmi Machine Works

The first stock on this list is Lakshmi Machine Works.

According to the shareholding pattern of Lakshmi Machine Works, Nemish Shah holds an 8.9% stake in the company or 0.9 million (m) shares as of December 2022.

Considering the company's current market price of Rs 10,250 as of 24 March 2023, Nemish Shah's total value in Lakshmi Machine Works comes to around Rs 10 bn.

He invested in Lakshmi Machine Works back in 2015. Here's how his holding in Lakshmi Machine Works has varied in recent years.

His bet on the company came when Lakshmi Machine Works launched the world's fastest comber LK69 to enhance productivity levels.

Since his bet in 2015, shares of the company have climbed from Rs 3,500 to Rs 10,500, registering a gain of 200%.

Lakshmi Machine Works Share Price Since Nemish Shah Acquired Stake

However, the ace investor has been constantly disinvesting his stake in the company in recent quarters. 

This reduction could be on the back of a substantial reduction in demand due to current economic conditions, high inflation, and poor customer sentiment in these markets.

For the December 2022 quarter, it reported a 33.9% YoY rise in revenue to Rs 12 bn. Its net profit for the quarter came in at Rs 895.2 m, up 75.5% from the December 2021 quarter.

This growth was mainly driven by falling input prices clubbed with higher rising demand in the international market.

For the upcoming quarters, it plans to launch two state-of-the-art machines, the latest winding machine and an Airjet spinning machine, to provide smart AI-enabled solution.

#2 Asahi India Glass

The second company on this list is Asahi India Glass.

According to the latest shareholding pattern of Asahi India Glass, Nemish Shah holds a 6% stake or 14 m shares of the total equity.

Considering the company's current market price of Rs 450 as of 24 March 2023, his total value in Asahi India Glass stands at Rs 6.7 bn.

Mr Shah first invested in the company in 2015. After holding shares till December 2018, his name was missing from the company's key shareholder list till the end of the September 2022 quarter, as his stake slipped below 1%.

Since his investment in the company in December 2015, shares of the company have rallied over 200%.

Asahi India Glass Share Price Since Nemish Shah Acquired Stake

  

Data Source: BSE

After reinvesting in September 2022, he has kept his stake in the company constant.

Going forward, the company is set to benefit from the boom in the solar glass sector due to an increasing focus on renewal sources of energy like solar.

Also, with the shift in trend, many commercial buildings, as well as residential apartments, are shifting to glass for better aesthetics, creating more demand for glass companies.

For the December 2022 quarter, Asahi India reported a 21% YoY rise in revenue at Rs 10 bn. Its net profit for the quarter came in at Rs 789 m, down 19% YoY, on account of lower realisations.

#3 Elgi Equipments

Third on the list is Elgi Equipments.

According to the December 2022 shareholding pattern of Elgi Equipments, Nemish Shah Agarwal holds a 1.69% stake in the company or 5.3 m shares.

Considering the company's current market price of Rs 370.8 as of 24 February 2023, Nemish Shah Agarwal's total value in Elgi Equipments is Rs 2.6 bn.

He initially added 5.3 m shares of the company to his portfolio in December 2015. Since then, his holding has remained constant.

After his investment in the company, shares have been on an uptrend, rallying over 550% on the back of financial growth.

Elgi Equipments Share Price Since Nemish Shah Acquired Stake

  

Data Source: BSE

The company is cautiously optimistic that it will achieve its goals for the financial year 2023 even if strong headwinds occur in the future.

It is also set to benefit from the government plans to incur a capital expenditure of Rs 7.5 (trillion) tn in the financial year 2023, which is 24% more than the previous fiscal year.

For the December 2022 quarter, Elgi Equipments reported a 17% YoY rise in revenue at Rs 7.7 bn. Its net profit for the quarter rose 62% YoY to Rs 746 m. This growth was due to higher realisation due to falling input costs.

#4 E.I.D Parry (India)

Fourth on the list is E.I.D Parry (India).

As of December 2022, the shareholding pattern of E.I.D Parry shows that Nemish Shah holds a 1.2% stake in the company or 2 m shares in total.

Considering its current market price of Rs 465.5 as of 24 March 2023, Nemish Shah's total value in E.I.D Parry is Rs 977 m.

Initially, Nemish Shah bought 2 m shares of E.I.D Parry in December 2015. Since then, his holding has remained constant.

After his investment in the company, shares have been on an uptrend due to a sharp spike in sugar prices.

E.I.D Parry India Share Price Since Nemish Shah Acquired Stake

  

Data Source: BSE

EID Parry (India) has always been at the forefront of innovation and sustainability. Upgrading manufacturing processes from time to time has helped the company improve its efficiency.

This resulted in higher revenue and profits. In the last five years, its revenue and net profit have grown at a CAGR of 8.9% and 24.9%, respectively.

Further, it has a noteworthy international presence and exports its products to over 40 countries.

For the December 2022 quarter, it reported a 51% YoY rise in revenue to Rs 99 bn. Its net profit for the quarter rose 11% YoY to Rs 49 bn. This growth was due to higher realizations.

EID Parry (India) has laid out a capex plan on expanding its distillery capacity through greenfield and brownfield projects.

The capex is partly funded through internal accruals and partly through debt. Given that the company is debt free, it has scope to increase its leverage.

It is also exploring opportunities to convert its sugar, distillery, and biopesticides by-products into value-added products suitable for poultry and animal husbandry companies.

#5 Bannari Amman Sugars

Last on the list is Bannari Amman Sugars.

As of December 2022, the shareholding pattern of Bannari Amman Sugars shows that Nemish Shah holds a 1.8% stake in the company or 0.3 m shares in total.

Considering the company's current market price of Rs 2,727.5 as of 24 March 2023, Nemish Shah's total value in Bannari Amman Sugars is Rs 883 m.

Since his initial investment in December 2015, his holding has remained constant.

Bannari Amman Sugars Share Price Since Nemish Shah Acquired Stake

  

Data Source: Ace equity

The sugar sector has been in a sweet spot for the last couple of months.

After the government established the Ethanol Blended Petrol (EBP) programme, the sugar industry became more valuable to investors.

Sugar exports are also on the rise, which has led to a sharp spike in sugar prices. But Indian sugar prices are yet to catch up with global rates.

Apart from this, rising consumption in the confectionery sector is estimated to grow at a CAGR of 6.4% by 2025, driving the sugar industry's development, as sugar makes up around 25% of the segment's raw materials.

For December 2022 quarter, Bannari Amman Sugars reported a 30% YoY rise in revenue to Rs 9.3 bn. Its net profit came in at Rs 408.5 m, up 39% YoY.

Going forward, the company plans to enhance its production capacity. The government has approved 243 projects, and banks have already sanctioned Rs 203.3 bn in loans, out of which Rs 110.9 bn has been disbursed.

Apart from the above five, Nemish Shah is in Zodiac Clothing Company and RANE Engine valve as of December 2022.

Recently we also wrote to you about Sumeet Nagar Portfolio: top 5 stocks and Saurabh Mukherjea Portfolio: Top 5 stocks.

Stay tuned to get more updates on investment gurus as we cover more such pieces in the coming weeks.

Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such.

This article is syndicated from Equitymaster.com

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Nemish Shah Portfolio: Top 5 Stocks

The last two months have been topsy-turvy for Indian equity markets. The ongoing selloff has caused benchmark indices to lose more than 6%.

Investing and trading in such markets can be daunting task, as it calls for exploring market winning strategies to survive economic downturns.

Most retail investors lack this expertise. However, the widely held investment technique of coattail investing can help.

The concept of coattail investing is simple. Mimic the investment picks of financial gurus and hedge fund billionaires.

One such tracked billionaire in the Indian market is Nemish Shah, the man who took Infosys public.

Nemish Shah, the co-founder and director of Enam Holdings, is a value investor who likes to stay in the background.

Today with seven companies in his portfolio, his net worth is over Rs 21.4 billion (bn).

Let's take a look at the top 5 stocks in Nemish Shah's portfolio in value terms (not volume).

Please note the source of holdings listed below is from Ace Equity, and it may or may not be a complete list of holdings.

#1 Lakshmi Machine Works

The first stock on this list is Lakshmi Machine Works.

According to the shareholding pattern of Lakshmi Machine Works, Nemish Shah holds an 8.9% stake in the company or 0.9 million (m) shares as of December 2022.

Considering the company's current market price of Rs 10,250 as of 24 March 2023, Nemish Shah's total value in Lakshmi Machine Works comes to around Rs 10 bn.

He invested in Lakshmi Machine Works back in 2015. Here's how his holding in Lakshmi Machine Works has varied in recent years.

His bet on the company came when Lakshmi Machine Works launched the world's fastest comber LK69 to enhance productivity levels.

Since his bet in 2015, shares of the company have climbed from Rs 3,500 to Rs 10,500, registering a gain of 200%.

Lakshmi Machine Works Share Price Since Nemish Shah Acquired Stake

However, the ace investor has been constantly disinvesting his stake in the company in recent quarters. 

This reduction could be on the back of a substantial reduction in demand due to current economic conditions, high inflation, and poor customer sentiment in these markets.

For the December 2022 quarter, it reported a 33.9% YoY rise in revenue to Rs 12 bn. Its net profit for the quarter came in at Rs 895.2 m, up 75.5% from the December 2021 quarter.

This growth was mainly driven by falling input prices clubbed with higher rising demand in the international market.

For the upcoming quarters, it plans to launch two state-of-the-art machines, the latest winding machine and an Airjet spinning machine, to provide smart AI-enabled solution.

#2 Asahi India Glass

The second company on this list is Asahi India Glass.

According to the latest shareholding pattern of Asahi India Glass, Nemish Shah holds a 6% stake or 14 m shares of the total equity.

Considering the company's current market price of Rs 450 as of 24 March 2023, his total value in Asahi India Glass stands at Rs 6.7 bn.

Mr Shah first invested in the company in 2015. After holding shares till December 2018, his name was missing from the company's key shareholder list till the end of the September 2022 quarter, as his stake slipped below 1%.

Since his investment in the company in December 2015, shares of the company have rallied over 200%.

Asahi India Glass Share Price Since Nemish Shah Acquired Stake

  

Data Source: BSE

After reinvesting in September 2022, he has kept his stake in the company constant.

Going forward, the company is set to benefit from the boom in the solar glass sector due to an increasing focus on renewal sources of energy like solar.

Also, with the shift in trend, many commercial buildings, as well as residential apartments, are shifting to glass for better aesthetics, creating more demand for glass companies.

For the December 2022 quarter, Asahi India reported a 21% YoY rise in revenue at Rs 10 bn. Its net profit for the quarter came in at Rs 789 m, down 19% YoY, on account of lower realisations.

#3 Elgi Equipments

Third on the list is Elgi Equipments.

According to the December 2022 shareholding pattern of Elgi Equipments, Nemish Shah Agarwal holds a 1.69% stake in the company or 5.3 m shares.

Considering the company's current market price of Rs 370.8 as of 24 February 2023, Nemish Shah Agarwal's total value in Elgi Equipments is Rs 2.6 bn.

He initially added 5.3 m shares of the company to his portfolio in December 2015. Since then, his holding has remained constant.

After his investment in the company, shares have been on an uptrend, rallying over 550% on the back of financial growth.

Elgi Equipments Share Price Since Nemish Shah Acquired Stake

  

Data Source: BSE

The company is cautiously optimistic that it will achieve its goals for the financial year 2023 even if strong headwinds occur in the future.

It is also set to benefit from the government plans to incur a capital expenditure of Rs 7.5 (trillion) tn in the financial year 2023, which is 24% more than the previous fiscal year.

For the December 2022 quarter, Elgi Equipments reported a 17% YoY rise in revenue at Rs 7.7 bn. Its net profit for the quarter rose 62% YoY to Rs 746 m. This growth was due to higher realisation due to falling input costs.

#4 E.I.D Parry (India)

Fourth on the list is E.I.D Parry (India).

As of December 2022, the shareholding pattern of E.I.D Parry shows that Nemish Shah holds a 1.2% stake in the company or 2 m shares in total.

Considering its current market price of Rs 465.5 as of 24 March 2023, Nemish Shah's total value in E.I.D Parry is Rs 977 m.

Initially, Nemish Shah bought 2 m shares of E.I.D Parry in December 2015. Since then, his holding has remained constant.

After his investment in the company, shares have been on an uptrend due to a sharp spike in sugar prices.

E.I.D Parry India Share Price Since Nemish Shah Acquired Stake

  

Data Source: BSE

EID Parry (India) has always been at the forefront of innovation and sustainability. Upgrading manufacturing processes from time to time has helped the company improve its efficiency.

This resulted in higher revenue and profits. In the last five years, its revenue and net profit have grown at a CAGR of 8.9% and 24.9%, respectively.

Further, it has a noteworthy international presence and exports its products to over 40 countries.

For the December 2022 quarter, it reported a 51% YoY rise in revenue to Rs 99 bn. Its net profit for the quarter rose 11% YoY to Rs 49 bn. This growth was due to higher realizations.

EID Parry (India) has laid out a capex plan on expanding its distillery capacity through greenfield and brownfield projects.

The capex is partly funded through internal accruals and partly through debt. Given that the company is debt free, it has scope to increase its leverage.

It is also exploring opportunities to convert its sugar, distillery, and biopesticides by-products into value-added products suitable for poultry and animal husbandry companies.

#5 Bannari Amman Sugars

Last on the list is Bannari Amman Sugars.

As of December 2022, the shareholding pattern of Bannari Amman Sugars shows that Nemish Shah holds a 1.8% stake in the company or 0.3 m shares in total.

Considering the company's current market price of Rs 2,727.5 as of 24 March 2023, Nemish Shah's total value in Bannari Amman Sugars is Rs 883 m.

Since his initial investment in December 2015, his holding has remained constant.

Bannari Amman Sugars Share Price Since Nemish Shah Acquired Stake

  

Data Source: Ace equity

The sugar sector has been in a sweet spot for the last couple of months.

After the government established the Ethanol Blended Petrol (EBP) programme, the sugar industry became more valuable to investors.

Sugar exports are also on the rise, which has led to a sharp spike in sugar prices. But Indian sugar prices are yet to catch up with global rates.

Apart from this, rising consumption in the confectionery sector is estimated to grow at a CAGR of 6.4% by 2025, driving the sugar industry's development, as sugar makes up around 25% of the segment's raw materials.

For December 2022 quarter, Bannari Amman Sugars reported a 30% YoY rise in revenue to Rs 9.3 bn. Its net profit came in at Rs 408.5 m, up 39% YoY.

Going forward, the company plans to enhance its production capacity. The government has approved 243 projects, and banks have already sanctioned Rs 203.3 bn in loans, out of which Rs 110.9 bn has been disbursed.

Apart from the above five, Nemish Shah is in Zodiac Clothing Company and RANE Engine valve as of December 2022.

Recently we also wrote to you about Sumeet Nagar Portfolio: top 5 stocks and Saurabh Mukherjea Portfolio: Top 5 stocks.

Stay tuned to get more updates on investment gurus as we cover more such pieces in the coming weeks.

Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such.

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OneWeb Can Match Mobile Service Rates Of West, Not India's: Sunil Mittal

Satellite communication service provider OneWeb is able to match mobile services rates of western countries but its prices can't be at par with the "extremely low" tariff in India, company's executive chairman Sunil Bharti Mittal said on Sunday.

Sharing details of OneWeb launch and services, Mr Mittal said that the services will be affordable and at par with that of mobile rates if a community of 30-40 homes in a village use it.

However, the services will cost more for individual use in India compared to existing mobile services plans.

"If you ask me, can the pricing of satellite communication be at par with mobile tariffs? Whatever is currently available in the Western world, it can be done today. What is available in India for 2 and 2.5 dollars a month? No, because that is a pricing which is extremely low," Mr Mitttal said.

Earlier in the day, OneWeb constellation took total count of its constellation to 618 satellites with the launch of 36 Low Earth Orbit (LEO) satellites by NewSpace India Limited (NSIL).

Indian Space Research Organization's Launch Vehicle Mark-3 (LVM3) placed 36 OneWeb satellites in a low earth orbit following a successful launch from the Satish Dhawan Space Centre at Sriharikota.

Talking about affordability, Mr Mittal said that some of the governments overseas have deployed universal services obligation fund to bring down the cost of satellite broadband services for their citizens.

He said that the launch will bring high-speed equivalent to 4G plus or 5G services for in-flight and maritime services.

"80 per cent of the bandwidth has already been contracted globally. We now have USD 800-900 million of contract across the globe now. Our pricing is very competitive in the satellite segment," Mr Mittal said.

He said that the company is operational now in most of countries in northern hemisphere and regretted exit of Russia from OneWeb business map.

"We had a big setback with Russia-Ukraine war. Six launches that were fully paid for were taken out. Not only OneWeb has been struggling to get money back, it lost 36 satellites," Mr Mittal said.

He said that India has emerged as one of the serious players in space industry.

"There are only very few options left. SpaceX is one of the companies but you know they're also our competitors. But I'm glad they stepped up to give us three rockets. But importantly, I think the prime minister of India recognised the moment and directed the entire space ecosystem in India to step up and give two rockets to OneWeb, that to my mind has been a game changer for us," Mr Mittal said.

He said that the launch marks a very important day for India where is to ISRO and NCIL have established themselves as a serious significant player in the commercial space launch industry in the world.

He said that each launch in India cost around Rs 500 crore.

While OneWeb has the permit for satellite services launch, it needs to wait till Spacecom Policy is in place and spectrum is allocated to the company for transmitting signals.

Mr Mittal said that the spectrum for satellites is a shared resource and globally it has been allocated without auction.

"I personally don't feel that India will go away from the global practices," Mr Mittal said.

He said that OneWeb has global capacity of 1.1 TBPS of which 11 GBPS is dedicated for India.

He said that OneWeb is in discussion with companies to manufacture user satellite terminals in India.

"India will become a destination to manufacture these terminals because Chinese terminals are unlikely to be manufactured in most part of the world," Mr Mittal said.

The Bharti group founder also said that he expects all permission required for services launch in India to be in place by July-August and the company will sell the service through partners instead of selling it directly.

"We will not be going to go to end customers. I am not going to fight with Airtel, Jio, Vodafone or globally any telecom operator. We are combining with them," Mr Mittal said.

He said that the company has had discussions with Indian armed forces, navy and everyone is waiting for the services.

"Airtel enterprise wing will be selling these services to enterprise customers. Our joint venture with Hughes will be primary source of sales into the rest of the market including government, defence," Mr Mittal said.

Indian Space Association Director General A K Bhatt said that the completion of last leg of the first-generation LEO constellation of 600 satellites by Bharti-backed OneWeb has set a significant benchmark for the entire Indian space industry in downstream application of satellite communication in India.

"This will surely aid in addressing the issue of low fixed broadband penetration and bridge the digital divide in the country's most remote areas. We are excited about the potential it holds and the positive impact it will have on our nation's aspirations for digital transformation," Mr Bhatt said.

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OneWeb Can Match Mobile Service Rates Of West, Not India's: Sunil Mittal

Satellite communication service provider OneWeb is able to match mobile services rates of western countries but its prices can't be at par with the "extremely low" tariff in India, company's executive chairman Sunil Bharti Mittal said on Sunday.

Sharing details of OneWeb launch and services, Mr Mittal said that the services will be affordable and at par with that of mobile rates if a community of 30-40 homes in a village use it.

However, the services will cost more for individual use in India compared to existing mobile services plans.

"If you ask me, can the pricing of satellite communication be at par with mobile tariffs? Whatever is currently available in the Western world, it can be done today. What is available in India for 2 and 2.5 dollars a month? No, because that is a pricing which is extremely low," Mr Mitttal said.

Earlier in the day, OneWeb constellation took total count of its constellation to 618 satellites with the launch of 36 Low Earth Orbit (LEO) satellites by NewSpace India Limited (NSIL).

Indian Space Research Organization's Launch Vehicle Mark-3 (LVM3) placed 36 OneWeb satellites in a low earth orbit following a successful launch from the Satish Dhawan Space Centre at Sriharikota.

Talking about affordability, Mr Mittal said that some of the governments overseas have deployed universal services obligation fund to bring down the cost of satellite broadband services for their citizens.

He said that the launch will bring high-speed equivalent to 4G plus or 5G services for in-flight and maritime services.

"80 per cent of the bandwidth has already been contracted globally. We now have USD 800-900 million of contract across the globe now. Our pricing is very competitive in the satellite segment," Mr Mittal said.

He said that the company is operational now in most of countries in northern hemisphere and regretted exit of Russia from OneWeb business map.

"We had a big setback with Russia-Ukraine war. Six launches that were fully paid for were taken out. Not only OneWeb has been struggling to get money back, it lost 36 satellites," Mr Mittal said.

He said that India has emerged as one of the serious players in space industry.

"There are only very few options left. SpaceX is one of the companies but you know they're also our competitors. But I'm glad they stepped up to give us three rockets. But importantly, I think the prime minister of India recognised the moment and directed the entire space ecosystem in India to step up and give two rockets to OneWeb, that to my mind has been a game changer for us," Mr Mittal said.

He said that the launch marks a very important day for India where is to ISRO and NCIL have established themselves as a serious significant player in the commercial space launch industry in the world.

He said that each launch in India cost around Rs 500 crore.

While OneWeb has the permit for satellite services launch, it needs to wait till Spacecom Policy is in place and spectrum is allocated to the company for transmitting signals.

Mr Mittal said that the spectrum for satellites is a shared resource and globally it has been allocated without auction.

"I personally don't feel that India will go away from the global practices," Mr Mittal said.

He said that OneWeb has global capacity of 1.1 TBPS of which 11 GBPS is dedicated for India.

He said that OneWeb is in discussion with companies to manufacture user satellite terminals in India.

"India will become a destination to manufacture these terminals because Chinese terminals are unlikely to be manufactured in most part of the world," Mr Mittal said.

The Bharti group founder also said that he expects all permission required for services launch in India to be in place by July-August and the company will sell the service through partners instead of selling it directly.

"We will not be going to go to end customers. I am not going to fight with Airtel, Jio, Vodafone or globally any telecom operator. We are combining with them," Mr Mittal said.

He said that the company has had discussions with Indian armed forces, navy and everyone is waiting for the services.

"Airtel enterprise wing will be selling these services to enterprise customers. Our joint venture with Hughes will be primary source of sales into the rest of the market including government, defence," Mr Mittal said.

Indian Space Association Director General A K Bhatt said that the completion of last leg of the first-generation LEO constellation of 600 satellites by Bharti-backed OneWeb has set a significant benchmark for the entire Indian space industry in downstream application of satellite communication in India.

"This will surely aid in addressing the issue of low fixed broadband penetration and bridge the digital divide in the country's most remote areas. We are excited about the potential it holds and the positive impact it will have on our nation's aspirations for digital transformation," Mr Bhatt said.

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Paytm Gets 15-Day Extension To Apply For Online Payment Aggregator Permit

Digital financial services firm One97 Communications, which operates the Paytm brand, has 15 days more to apply for the online payment aggregator licence for its subsidiary PPSL, a regulatory filing said on Sunday.

The Reserve Bank of India in November rejected its application for a payment aggregator (PA) licence for Paytm Payments Services Limited (PPSL) and asked to resubmit the application for the same within 120 days.

One97 Communications (OCL) in the regulatory filing said that it has received a letter from the RBI, which says PPSL can continue with the Online Payment Aggregation business, while it awaits approval from the central government for past investment from OCL into PPSL as per FDI Guidelines.

"As per RBI's letter, on receipt of approval from GoI, PPSL will have fifteen days to submit the application, seeking authorisation for PPSL to operate as an online PA," the filing said.

Paytm requires a permit to operate its payment gateway business through which it facilitates payments to various merchants.

The company said that during the pending process, PPSL can continue with its online payment aggregation business for existing partners without onboarding any new merchants.

"This continues to have no material impact on our business and revenues since the communication from RBI is applicable only to onboarding of new online merchants and we can continue to provide payment services to our existing online merchants," the filing said.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Paytm Gets 15-Day Extension To Apply For Online Payment Aggregator Permit

Digital financial services firm One97 Communications, which operates the Paytm brand, has 15 days more to apply for the online payment aggregator licence for its subsidiary PPSL, a regulatory filing said on Sunday.

The Reserve Bank of India in November rejected its application for a payment aggregator (PA) licence for Paytm Payments Services Limited (PPSL) and asked to resubmit the application for the same within 120 days.

One97 Communications (OCL) in the regulatory filing said that it has received a letter from the RBI, which says PPSL can continue with the Online Payment Aggregation business, while it awaits approval from the central government for past investment from OCL into PPSL as per FDI Guidelines.

"As per RBI's letter, on receipt of approval from GoI, PPSL will have fifteen days to submit the application, seeking authorisation for PPSL to operate as an online PA," the filing said.

Paytm requires a permit to operate its payment gateway business through which it facilitates payments to various merchants.

The company said that during the pending process, PPSL can continue with its online payment aggregation business for existing partners without onboarding any new merchants.

"This continues to have no material impact on our business and revenues since the communication from RBI is applicable only to onboarding of new online merchants and we can continue to provide payment services to our existing online merchants," the filing said.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Deutsche Bank Shares Plummet, Fueling Crisis Fears

Shares in Deutsche Bank fell heavily on Friday on the lender's surging cost of default cover, reigniting fears about a widening banking sector crisis.

Germany's biggest lender dropped more than 14 percent on the Frankfurt Stock Exchange in early trade, before clawing back ground to close 8.5 percent lower, at 8.54 euros.

The cost of insuring the bank's debt against a risk of defaulting -- so-called credit default swaps -- has surged as investors fret about the banking sector's health.

Long-troubled Deutsche Bank has become the focus of investor concerns after the collapse of three regional US lenders and the enforced takeover of Credit Suisse by rival UBS triggered market turmoil earlier this month.

Deutsche's cross-town rival Commerzbank also fared poorly, dropping 8.5 percent in early trade, before winning back ground to close 5.45 percent off at 8.88 euros.

The German banks led falls among lenders across Europe, with Societe Generale and BNP Paribas in Paris, and several banks in London among those tumbling.

German Chancellor Olaf Scholz however offered reassurances about Deutsche Bank, saying the lender had "modernised and organised the way it works. It's a very profitable bank. There is no reason to be concerned".

Speaking in Brussels after a summit of EU leaders, he also said the European banking system was "stable", with strict rules and regulations.

Deutsche Bank also said Friday it would redeem $1.5 billion in tier 2 bonds early -- such a move is normally aimed at boosting confidence in a bank, although its shares plunged regardless.

The bank was hit by a string of problems linked to its pre-2008 crisis attempts to compete with Wall Street investment banking giants.

But it launched a major restructuring, which involved thousands of job cuts and a greater focus on Europe, and has returned to financial health -- last year, it booked its highest annual profit since 2007.

Tumbling bank stocks dragged down markets across Europe Friday.

Contagion fears re-emerged after central banks pushed on with monetary tightening as they focused on fighting inflation -- even though the troubles in the banking sector have been linked to their rate hikes.

ough the troubles in the banking sector have been linked to their rate hikes.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Deutsche Bank Shares Plummet, Fueling Crisis Fears

Shares in Deutsche Bank fell heavily on Friday on the lender's surging cost of default cover, reigniting fears about a widening banking sector crisis.

Germany's biggest lender dropped more than 14 percent on the Frankfurt Stock Exchange in early trade, before clawing back ground to close 8.5 percent lower, at 8.54 euros.

The cost of insuring the bank's debt against a risk of defaulting -- so-called credit default swaps -- has surged as investors fret about the banking sector's health.

Long-troubled Deutsche Bank has become the focus of investor concerns after the collapse of three regional US lenders and the enforced takeover of Credit Suisse by rival UBS triggered market turmoil earlier this month.

Deutsche's cross-town rival Commerzbank also fared poorly, dropping 8.5 percent in early trade, before winning back ground to close 5.45 percent off at 8.88 euros.

The German banks led falls among lenders across Europe, with Societe Generale and BNP Paribas in Paris, and several banks in London among those tumbling.

German Chancellor Olaf Scholz however offered reassurances about Deutsche Bank, saying the lender had "modernised and organised the way it works. It's a very profitable bank. There is no reason to be concerned".

Speaking in Brussels after a summit of EU leaders, he also said the European banking system was "stable", with strict rules and regulations.

Deutsche Bank also said Friday it would redeem $1.5 billion in tier 2 bonds early -- such a move is normally aimed at boosting confidence in a bank, although its shares plunged regardless.

The bank was hit by a string of problems linked to its pre-2008 crisis attempts to compete with Wall Street investment banking giants.

But it launched a major restructuring, which involved thousands of job cuts and a greater focus on Europe, and has returned to financial health -- last year, it booked its highest annual profit since 2007.

Tumbling bank stocks dragged down markets across Europe Friday.

Contagion fears re-emerged after central banks pushed on with monetary tightening as they focused on fighting inflation -- even though the troubles in the banking sector have been linked to their rate hikes.

ough the troubles in the banking sector have been linked to their rate hikes.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Srikanth Venkatachari Becomes New CFO Of Reliance Industries

Reliance Industries Ltd has appointed Srikanth Venkatachari as chief financial officer effective June 1, according a late evening release by the company.

He takes over from Alok Agarwal, who has been CFO since 2005, and will now assume the role of senior advisor to Reliance Chairman Mukesh Ambani.

Mr Venkatachari is currently the joint CFO for the company.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Srikanth Venkatachari Becomes New CFO Of Reliance Industries

Reliance Industries Ltd has appointed Srikanth Venkatachari as chief financial officer effective June 1, according a late evening release by the company.

He takes over from Alok Agarwal, who has been CFO since 2005, and will now assume the role of senior advisor to Reliance Chairman Mukesh Ambani.

Mr Venkatachari is currently the joint CFO for the company.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

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Top Defence Stocks To Watch Out As India Approves Rs 70,500-Crore Order

Over the past one year or so, ever since Russia made its sinister intentions clear after invading Ukraine, the world has woken up to the possible threats of autocratic military powers.

The lesson that India learnt the hard way was it needed to be self-reliant in the defence sector. Ever since then, Indian defence stocks have been on a steady rise.

The rally in defence stocks is driven by a range of factors such as geopolitical tensions, increased defence spending, and the government's focus on self-reliance in defence production.

However, the recent decision by the Defence Acquisition Council (DAC) to accord Acceptance of Necessity to projects worth Rs 705 billion (bn) has given a fresh boost to the sector.

This decision paves the way for major military modernization projects. This move is expected to further fuel the growth of Indian defence stocks, making it an exciting theme for investors to track.

Let's take a look at the biggest defence manufacturing stocks which have already started to see an upmove.

#1 Hindustan Aeronautics (HAL)

Hindustan Aeronautics (HAL) has seen significant additions to its order book in the past couple of months.

In fact, the company has already ramped up its production facilities and set up manufacturing facilities at some divisions.

We've been writing to you about HAL since early days, when the defence production megatrend was just taking shape and the government's policies for indigenous defence procurement were being finalised.

Out of the total outlay of Rs 705 bn, the largest proposal approved was for 60 utility helicopters-marine being constructed by HAL, costing Rs 320 bn.

HAL capitalized on this euphoria and surged around 5% on the same day.

HAL: Nothing but Blue Skies Ahead

Prior to this order, the cabinet approved the acquisition of 70 HTT-40 basic trainer aircraft from HAL for Rs 68.3 bn.

On Wednesday, 22 March 2023, the centre notified that it is planning to sell up to 3.5% stake in the aerospace and defence company.

This is a big divestment move, as the sale would garner a sum of Rs 28.7 bn, based on a floor price of Rs 2,450 apiece. The floor price is at a discount to Wednesday's closing price of Rs 2,625.2.

The latest shareholding pattern of HAL shows that government holds 75.15% stake in the company. The offer for sale (OFS) is being undertaken for achieving the minimum public shareholding in accordance with the market regulator's rules.

HAL is currently leading some of the most strategic projects in the aerospace and defence sector in India. With an order book of Rs 1 lakh crore and with several other projects on the anvil, the company is expected to perform well in the medium term.

#2 Bharat Forge

The next big beneficiary is Bharat Forge.

The council gave a nod for the purchase of 307 advanced towed artillery gun system (ATAGS) worth Rs 85.3 bn. This will be the first order for the domestic 155mm/52 caliber ATAGS, whose production partners are Bharat Forge and Tata Advanced Systems.

Under the procurement program for advanced wheeled armoured vehicles, Bharat Forge is the only listed company, the other two being unlisted Tata Advanced Systems and Mahindra Defence Systems.

Over the years, Bharat Forge has managed to diversify its product profile and geographic presence.

The company was long preparing to become a major private sector arms and ammunition supplier, and already working on some artillery gun platforms.

Towards the end of 2022, the company informed that its subsidiary, Kalyani Strategic Systems, has won an export order worth US$155.5 million (around Rs 13 bn) for the export of artillery gun systems.

Bharat Forge will enjoy superior margins on this order as it doesn't need to invest a large sum. It already has a facility underway with an investment of Rs 400 million (m).

Withing just a couple of years, Bharat Forge is seeing significant additions to its order book from this segment and having a health execution rate.

Not just these big tanks but Bharat Forge is firing across all verticals, be it drones or electric vehicles (EVs).

In January 2023, Bharat Forge collaborated with a subsidiary of General Atomics to develop a manufacturing ecosystem for high-end drones.

On the EV front, the company has a product portfolio aligned to EVs with various products in the pipeline to be launched by 2025. These include hydrogen fuel cell-based powertrain solutions, advanced electric chassis, advanced e-Axle, and sodium ion battery.

No wonder the company's management has laid out strong guidance of 12-15% annual growth in revenue between FY22 and FY30.

Bharat Forge Share Price – 3 Year Performance

  

How defence stocks are performing

Here's a table showing the performance of defence stocks:

Performance of Defence Stocks

As you can see, even a languishing defence PSU like Bharat Dynamics has logged in massive gains in the past two years. Mr Market seems to have taken a liking towards defence sector stocks.

This is due to a combination of factors including:

Increase in Defence Budget: India has been increasing its defence budget in recent years, which has provided a boost to the defence sector. The government's focus on modernizing the armed forces has resulted in increased spending on defence equipment and technology, which has benefited the defence industry.

Make in India Initiative: Modi government's "Make in India" initiative has encouraged domestic manufacturing of defence equipment and technology. This has led to a rise in demand for Indian defence stocks, as investors see potential for growth in the sector.

Geopolitical Tensions: India is located in a region with significant geopolitical tensions, including with neighboring countries like Pakistan and China. This has led to an increased focus on defence preparedness, which has benefited the defence sector.

Export Potential: Indian defence companies are increasingly looking to export their products to other countries, which has opened up new markets for the sector.

  

The future of defence stocks

We are entering times where threat of wars is increasing with every passing year. This fear of future wars is creating a huge opportunity for investors.

Over the coming years and decades, we could see a massive rally in some defence stocks.

But as an investor, it is essential that you choose right company to bet your money on.

Our research says that this decade could witness increases in the defence spending like we have probably never seen before.

That's the reason why our Co-head of Research Tanushree Banerjee is calling this decade the golden decade of defence stocks in India.

And she strongly believes that a few defence stocks could embark on a potential massive rally over the coming years and decades…

Happy Investing!

Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such.

This article is syndicated from Equitymaster.com

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