Hit by falling revenue, Twitter may collect subscription fees from premium users

Twitter is considering whether to build a premium version of its popular Tweetdeck interface aimed at professionals, the company said on Thursday, raising the possibility that it could collect subscription fees from some users for the first time.
Like most other social media companies, Twitter since its founding 11 years ago has focused on building a huge user base for a free service supported by advertising. Last month it reported it had 319 million users worldwide.






But unlike the much-larger Facebook Inc, Twitter has failed to attract enough in advertising revenue to turn a profit even as its popularity with US President Donald Trump and other celebrities makes the network a constant centre of attention.
Subscription fees could come from a version of Tweetdeck, an existing interface that helps users navigate Twitter.
Twitter is conducting a survey "to assess the interest in a new, more enhanced version of Tweetdeck," spokeswoman Brielle Villablanca said in a statement on Thursday.
She went on: "We regularly conduct user research to gather feedback about people's Twitter experience and to better inform our product investment decisions, and we're exploring several ways to make Tweetdeck even more valuable for professionals."
There was no indication that Twitter was considering charging fees from all its users.
Word of the survey had earlier leaked on Twitter, where a journalist affiliated with the New York Times posted screenshots of what a premium version of Tweetdeck could look like.
That version could include "more powerful tools to help marketers, journalists, professionals, and others in our community find out what is happening in the world quicker," according to one of the screenshots posted on the account @andrewtavani.
The experience could be ad-free, the description said.
Other social media firms, such as Microsoft Corp's LinkedIn unit, already have tiered memberships, with subscription versions that offer greater access and data.
In the fourth quarter of 2016, Twitter posted the slowest revenue growth since it went public four years earlier, and revenue from advertising fell year-over-year. The company also said that advertising revenue growth would continue to lag user growth during 2017.
Financial markets speculated about a sale of Twitter last year, but no concrete bids were forthcoming.

SAIL, BSNL, Air India worst performing PSUs in FY16: Survey

Coal India, ONGC and Indian Oil Corp emerged as star financial performers among India's central public sector enterprises in 2015-16, whereas SAIL, BSNL and Air India incurred most losses, a government survey has showed.
The Public Enterprises Survey, tracking the performance of CPSEs in 2015-16, revealed that the top three loss-making CPSEs -- SAIL, BSNL and Air India -- incurred a loss equal to 51.65 per cent of the total loss made by the top 10 loss-making CPSEs in 2015-16. SAIL entered the list of top 10 loss-making CPSEs, apart from ONGC Videsh, Rashtriya Ispat Nigam, PEC and BHEL.




Mangalore Refinery and Petrochemicals, STCL, Fertilizers and Chemicals (Travancore), Air India Engineering Services and Hindustan Fertilisers Corporation went to the profit zone in 2015-16.
The most profitable PSUs-Coal India, ONGC and IOC-contributed 17.82, 17.45 and 11.34 per cent, respectively, to the total profit earned by the top 10 profit-making CPSEs during the year, the survey tabled in Parliament revealed.
Hindustan Fertilizer Corporation and Mahanadi Coalfields entered the list of top 10 profit-making CPSEs, whereas NMDC and South Eastern Coalfields made their exit. The top 10 profit-making companies accounted for 63.46 per cent of the total profits made by all (165) CPSEs during the year. The top 10 loss-making companies claimed 79.81 per cent of the total losses made by all the 78 CPSEs during the year.

EU recommends suspension of over 300 generic drugs tested by Indian firm

Europe's medicines regulator has recommended the suspension of more than 300 generic drug approvals and drug applications due to "unreliable" tests conducted by Indian contract research firm Micro Therapeutic Research Labs.
The decision, announced by the European Medicines Agency (EMA) on its website, is the latest blow for India's drug-testing industry, which has run into a series of problems with international regulators in recent years.
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Nobody at the Chennai-based company was immediately available to comment.
The EMA said European officials had been investigating Micro Therapeutic's compliance with good clinical practice after Austrian and Dutch authorities raised concerns in February 2016.
"The inspections identified several concerns at the company's sites regarding misrepresentation of study data and deficiencies in documentation and data handling," the agency said.
However, there is no evidence of harm or lack of effectiveness of the medicines, which include generic versions of many common prescription pharmaceuticals, including blood pressure tablets and painkillers.
The EMA's recommendation on the suspension of the medicines tested by Micro Therapeutic will now be sent to the European Commission for a legally binding decision valid throughout the European Union.
Drug tests carried out at Indian contract research organisations (CROs) have been key in getting a huge array of generic medicines approved for sale around the world over many years.
In 2015, Europe banned around 700 medicines that had been approved based on clinical trial data provided by GVK Biosciences, then India's largest CRO. Other smaller Indian CROs have also been found to have fallen short of required standards.
In the wake of such trial data scandals, many large drugmakers have been shifting more critical trials back to the United States and Europe over the last three years, according to consultants and industry executives.

RK Damani-led D-Mart stocks register over 100% returns on listing day

New Delhi: Market investor RK Damani-led retail store chain Avenue Supermarts, commonly known as D-Mart, witnessed more than 100% return on its debut on the domestic bourses on Tuesday.
The scrip of the company opened at Rs 604.40 per share on the BSE -- more than 100% premium over its issue price of Rs 299 apiece.
It closed with gains of 6.01% at Rs 640.75 per share, which accounted for a gain of 114.30% from its issue price.
“D-MART witnessed blockbuster opening and continued to trade higher throughout the session. Against issue price of Rs 299, it opened at around Rs 600 and continued gain till intra-day high of Rs 648.90,” Dhruv Desai, director and chief operating officer of Tradebulls, told IANS.
“More than 100% return was seen in the stock. It sustained the gains till the end of the trading session.”
Jimeet Modi, chief executive of SAMCO Securities, said in a note: “This listing will certainly qualify as the biggest listing of recent times in subscription and listing gains terms.”
“We can make a conclusion after looking at the facts of this initial public offering (IPO) that broader trend of the market is very much intact and more northwards and investors are ready to pay premium for quality.”
On March 8, the IPO of the retail chain was oversubscribed by 104.59%.

Indian M&E industry to grow at 13.9% CAGR to reach Rs 2,419.4 billion by 2021: FICCI-KPMG report

Mumbai: The Indian Media and Entertainment (M&E) industry is projected to grow at a faster pace of 13.9% CAGR over the period 2016–21, with advertising revenue expected to increase at a CAGR of 15.3% according to the FICCI-KPMG Media and Entertainment industry report 2017.
The report was released by on the inaugural day of the three-day annual media conclave FICCI FRAMES.
According to the report, 2016 was a mixed bag for the M&E industry and while the digital ecosystem penetrated further into the citizens’ day-to-day lives and opened up new avenues of consumption and revenue, it was time for introspection for many parts of the industry.
For instance, television experienced slower growth due to a lacklustre year for subscription revenues, which have faced headwinds owing to continued challenges around digitisation and its intended benefits flowing through the value chain.
Print, meanwhile, continued to experience a slowdown in growth rates, as English language newspapers continued to be under pressure owing to rising users’ interest in digital content, while films had a disappointing year with a near flat performance.
Incidentally, led by digital, some of the traditionally smaller sub-segments of the industry registered impressive growth in 2016. Rising internet and broadband penetration, declining data charges, coupled with the proliferation of internet enabled mobile phones, led to data consumption levels increase manifold, driven by offers by the new entrant, Reliance Jio, which were quickly followed by major competitors Idea, Vodafone and Airtel. This phenomenon has led to a sustained advertiser interest in digital, resulting in a strong performance by the sub-segment in 2016. Digital has also positively impacted the relatively smaller sub-segments, such as gaming and music — which registered impressive growth too.
With OTT platforms continuing to see major traction, digital Video-on-Demand (VOD) and television could see harmonious co-existence for the near future, feeding off each other’s strengths, the report predicts.
Television sector
As per the report, Television is expected to grow at a CAGR of 14.7 per cent over the next five years as both advertisement and subscription revenues are projected to exhibit strong growth at 14.4 per cent and 14.8 per cent, respectively. The sector had witnessed slower growth in 2016 - at 8.5 per cent - primarily due to a lacklustre year for subscription revenues and a speed bump in advertisement revenue growth
The long-term forecast for the segment remains robust due to strong economic fundamentals and rising domestic consumption coupled with the delayed, but inevitable, completion of digitisation.
The rising share of FTA channels may, however, partially pull down the long-term subscription revenue forecasts, the report said.
Print media
Print is projected to continue its growth at 7.3 per cent, largely on the back of continued readership growth in vernacular markets and advertisers’ confidence in the medium, especially in the tier II and tier-III cities. However, rising digital content consumption is perceived to be a long-term risk to the industry.
Print revenue growth rates continued to register a slowdown, clocking a 7 per cent growth in 2016 as English language newspapers continued to be under pressure. Regional language newspapers though continued to show strong growth.
Films
While the film sector had a disappointing year with the growth down to a mere 3 per cent, the report said that this segment is expected to bounce back and is forecast to grow at a CAGR of 7.7 per cent, as the revenue streams broaden, driven by the growing depth of regional content, expansion in overseas markets and higher contribution of digital revenue streams.
However, slow growth in screen count, along with inconsistency in content quality would act as the primary limiting factors for the sector.
Digital advertising
Digital advertising is expected to grow at a CAGR of 31 per cent to reach Rs 294.5 billion by 2021, contributing 27.3 per cent to the total advertising revenues by that point.
As digital infrastructure continues to develop and data costs are driven down, digital consumption is likely to become more frequent and more mainstream. The resultant growth in investment by advertisers, supported by evolution of the audience measurement technology, is likely to drive growth over the next five years, predicts the report.
Animation & VFX
The animation and Visual Effects (VFX) industry showcased a growth of 16.4 per cent, largely led by a 31 per cent growth in VFX industry, which grew on the back of an increase in outsourcing work and the growing use of VFX in domestic film productions.
During 2016-21, the segment is expected to grow at a higher CAGR of 17.2 per cent, largely led by the continued growth in outsourced services and the swelling use of animation and VFX services in the domestic television and film space, respectively.
Out of Home
While the Out of Home (OOH) segment registered a slowdown in growth rate at 7 per cent – primarily due to the impact of demonetisation – long-term indicators remain positive.
As per the report, the OOH is projected to grow at a CAGR of 11.8 per cent primarily due to development of regional airports, privatisation of railway stations, growth in smart cities, setting up of business and industrial centres, and growing focus on digital OOH.
Radio
Radio is expected to grow the fastest amongst the traditional sectors at a CAGR of 16.1 per cent, with operationalisation of new stations in both existing and new cities, introduction of new genres and radio transitioning into a reach medium.
In 2016, Radio registered a 14.6 per cent growth led by volume enhancements in smaller cities, partial roll out of Batch 1 stations and a marginal increase in effective ad rates.

Development of New Airports

New Delhi: Government of India has granted "in principle" approval for setting up of the 18 Greenfield airports in the country. The list of these airport is as under: Mopa in Goa, Navi Mumbai, Shirdi and Sindhudurg in Maharashtra, Bijapur, Gulbarga, Hasan and Shimoga in Karnataka, Kannur in Kerala, Durgapur in West Bengal, Dabra in Madhya Pradesh, Pakyong in Sikkim, Karaikal in Puducherry, Kushinagar in Uttar Pradesh, Dholera in Gujarat and Dagadarthi Mendal, Nellore Dist., Bhogapuram in Vizianagaram District near Visakhapatnam and Oravakallu in Kurnool District, Andhra Pradesh. Government of India has granted "site clearance" approval for setting up of the 5 Greenfield airports in the country. The list of these airports is as under: Machiwara, Ludhiana Airport, Itanagar in Arunachal Pradesh, Jamshedpur in Jharkhand, Alwar in Rajasthan and Kothagudem in Telangana.
Mopa Airport in Goa, Navi Mumbai and Shirdi Airport in Maharashtra, Kannur Airport in Kerala, Kushinagar Airport in Uttar Pradesh, Dholera Airport in Gujarat, Bhogapuram Airport in Andhra Pradesh, Machiwara Airport in Ludhiana and Alwar Airport in Rajasthan are International Greenfield Airports.
As regards construction of new Greenfield airports, execution of project including finalization of project cost and financing arrangement is the sole responsibility of the respective airport promoters. However, as per the information provided by the respective airport developer, the total estimated cost for setting up of above mentioned 18 Greenfield Airports in the country comes out to Rs. 30,000 crore (approx.).
This information was given by Minister of State for Civil Aviation, Shri Jayant Sinha in a written reply in Rajya Sabha today.

India to become third-largest consumer economy by 2025: BCG

Mumbai: Even as the world economy struggles and many developed countries are trying to alter their consumption through austerity drive, India could end up as the third largest consumer economy by 2025 according to a report by the Boston Consulting Group (BCG).
Consumption in India is set to triple to $4 trillion by 2025 as rising affluence drives changes in consumer behaviors and spending patterns that have big implications for companies, the BCG report --Center for Customer Insight (CCI), The New Indian: The Many Facets of a Changing Consumer—said. “Nominal year-over-year expenditure growth of 12% is more than double the anticipated global rate of 5% and will make India the third-largest consumer market by 2025,” it added.
“India’s consumer market is poised for fundamental change,” said Nimisha Jain, a BCG partner and report coauthor. “As the consumer market continues to grow and evolve, companies will need to shed conventional wisdom, try multiple business models simultaneously, and be prepared for rapid change internally to adapt to changing consumer needs and behaviors.”
“A set of emerging social trends could reshape consumption patterns significantly,” said Abheek Singhi, a BCG senior partner and report coauthor. “These include more—and better educated—women taking their rightful place in society, greater pride in being Indian, and increasing time compression, each of which will drive exponential growth in various categories differently.”
According to the report in addition, the internet is an increasingly pervasive factor in India’s commerce, and its influence will only expand. Online spending is taking off: in the past three years, the number of online buyers has increased sevenfold to 80 million to 90 million. Digital’s influence on broader consumer spending is significant and growing rapidly. Digitally influenced spending is currently about $45 billion to $50 billion a year, and that figure is projected to increase more than tenfold to $500 billion to $550 billion—and to account for 30% to 35% of all retail sales—by 2025. As a result, omnichannel interaction is more and more important, but its significance varies by category. Consumers’ purchase pathways also are increasingly complicated.

1.17 lakh more affordable houses for urban poor sanctioned under PMAY(Urban)

Investment involved-Rs.5,773 cr; Central assistance approved-Rs.1,816 cr
Madhya Pradesh gets 27,475 houses; Bihar-25,221, Jharkhand-20,099, Odisha-2,115
Bhopal gets 4,154 houses, Gwalior-3,120, Purnea-3,378 and Ranchi-2,668
MP with over 2 lakh sanctioned houses closely behind Tamil Nadu in implementing housing mission
Total investment in affordable housing approved close to Rs.one lakh cr mark
New Delhi: Ministry of Housing and Urban Poverty Alleviation today approved construction of 1,17,814 affordable houses for the benefit of urban poor in six States at a total cost of Rs.5,773 cr for which central assistance of Rs.1,816 cr has been approved, under the Prime Minister’s Awas Yojana (Urban).
Noting that affordable housing under PMAY(Urban) is gaining momentum, Minister of HUPA Shri M.Venkaiah Naidu has asked the Ministry officials to ensure that construction of sanctioned is taken up and completed quickly by the concerned City and State Governments.
Madhya Pradesh has been sanctioned a total of 27,475 new houses for 43 cities and towns at a total cost of Rs.1,713 cr for which central assistance of Rs.412 cr has been approved. These include 20,971 houses under Beneficiary Led Construction (BLC) component of PMAY(Urban) and 6,504 houses under Affordable Housing in Partnership (AHP) component.
Under BLC, beneficiaries are assisted to build own houses on the land available with them or take up improvement works for increasing living space and other amenities. Under AHP, State Government provides the land to house urban poor. Under both these components, central assistance of Rs.1.50 lakh is provided for each beneficiary.
With today’s sanctions, Madhya Pradesh has so far been sanctioned 2,09,036 houses and is closely behind Tamil Nadu which is leading in implementation of PMAY(Urban) with the maximum of 2,27,700 houses sanctioned.
In Madhya Pradesh, Bhopal has been sanctioned 4,154 houses, Gwalior-3,120, Dhar-1,800, Khargone-2,012, Burhanpur-1,535, Gadarwara-1,366, Khandwa-1,162, Seoni-902, Dhanpuri-739, Balaghat-716, Biaora-693, Shahdora-691 and Dindori-685.
Bihar has been sanctioned 25,221 new houses for urban poor in 31 cities with a total investment of Rs.1,208 cr and with central assistance of Rs.378 cr under BLC component. With this, Bihar has so far been sanctioned a total of 88,254 affordable houses under PMAY(Urban).
Under today’s sanctions, Purnea has got 3,378 houses followed by Bihar Shariff-2,625, Kishanganj-2,490, Gaya-2,429, Madhubani-1,798, Sheohar-1,641, Jami-1,023, Benipur-1,016, Gogri Jamalpur-986, Raxaul-842 and warsaliganj-674.
Jharkhand has been sanctioned 20,099 new houses under Beneficiary Led Construction component of PMAY(Urban) in 36 cities with a total cost of Rs.728 cr and central assistance of Rs.306 cr. With this, total number of affordable houses sanctioned for the State under PMAY(Urban) has increased to 64,555 so far.
Ranchi has been sanctioned 2,668 houses followed by Deoghar-2,192, Dhanbad-1,905, Jhumi Taliaya-1,393, Lohardaga-1,099, Madhupur-1,292, Chas-1,249, Medininagar-867, Gumla-630 and Chaibasa-644.
Odisha has got 2,115 new houses sanctioned under BLC component of PMAY(Urban) for 8 cities with a total project cost of Rs.64.00 cr for which central assistance of Rs.32.00 cr has been approved. With this, total number of Affordable houses sanctioned for Odisha so far has increased to 48,845.
In today’s sanctions, Nabarangpur has got 230 houses followed by Purusottampur-226, karanjia-200, Ranpur-196, Chikite-180, Anandpur-152, Udala-150, Rambha-110 and Radhakol-107.
Karnataka has been sanctioned 31,424 houses and Kerala-11,480 houses for urban poor under PMAY (Urban).
With today’s approvals total number of houses being taken up for construction for the benefit of urban poor under PMAY(Urban) has gone up to 17,60,507 with total project cost of Rs.96,018 cr for which central assistance of Rs.27,714 cr has been approved.

Vodafone's India operations to merge with Idea Cellular in two years

Mumbai: Vodafone India will merge with Idea Cellular within two years, making the merged entity the largest telecom operator in India with 400 million customer base and 35 per cent market share. Vodafone will own 45.1 per cent of the merged entity after a consideration of US$ 592.15 million is paid in cash for transferring about 4.9 per cent to promoters of Idea or its affiliates. The companies expect cost and capex synergies to yield US$ 10 billion in present value terms post integration costs and payments towards spectrum.

Future Group to expand affordable fashion retail format

Kolkata: Future Group plans to open 80 new stores for its affordable fashion format FBB this fiscal to grow the store count which at present is 300, said group CEO Kishore Biyani.
Addressing a press conference here on Saturday, Biyani said the retailer plans to sell 23 crore units of garments by next year March and expects it to grow to 80 crore units by 2021. "Next fiscal, we are targeting Rs 10,000 crore sales from fashion and we expect much of it will be driven from Kolkata," he said.
Biyani said he expects prices at FBB will plunge by 3-5% every year as the retailer gains scale in operations and backend. He said around 40% of the group's revenue is driven by fashion.
Future Group launched its largest FBB store in Kolkata. The group is on an expansion spree in Kolkata and soon plans to set up a Central store over 1.5 lakh square feet in Rajarhat. Future Supply Chain Solutions has also just set up an integrated apparels and general merchandise distribution centre at Burdwan, near Kolkata. This will serve all the Big Bazaar and FBB stores located in West Bengal, Orissa, Bihar and North Eastern States. The facility is spread over 2.6 lakh square feet.
Biyani said the new distribution center at Burdwan will enable the group to reduce complexity, increase productivity and offer better services to customers in the Eastern region. "Our aim has always been to come up with better processes and technology that enables us to operate seamlessly," he said.

Number of e-filed Income Tax Returns in Financial Year 2016-17 (till 28.02.2017) was 4.21 Cr

Number of e-filed Income Tax Returns in Financial Year 2016-17 (till 28.02.2017) was 4.21 Cr: The total amount of refund issued in the current fiscal (including refund arising out of rectification, appeal effect etc.) is Rs. 1,48,459 crore (till 28.02.2017)
The number of e-filed Income Tax Returns in Financial Year 2016-17(till 28.02.2017) was 4.21 Cr. which represented an increase of twenty-one percent over the number filed during the corresponding period of last financial year.
The number of e-returns processed in Financial Year 2016-17 (till 28.02.2017) was 4.30 Cr.(this included the returns filed during Financial Year 2016-17 as well as backlog for earlier years).
The total amount of refund issued in the current fiscal (including refund arising out of rectification, appeal effect etc.) is Rs. 1,48,459 crore (till 28.02.2017).
The Government accords high priority to expeditious issue of refunds, particularly to small taxpayers. During Financial Year 2016-17, as on 10.02.2017, 98% of the refunds of less than Rs. 50,000/- have been issued and only 2% remain to be issued. Majority of these cases relate to recently filed tax returns or where the taxpayers’ response to the Department is awaited.
Further, to ensure expeditious disposal of backlog of refunds upto Rs. 5,000/- in non scrutiny cases pertaining to Assessment Year’s 2013-14, 2014-15 and 2015-16, instructions have been issued to field units to issue refunds in these cases without adjustment against the outstanding demand.
The law provides that income-tax returns are to be processed within a period of one year from the end of the financial year in which the return is made. Efforts have been made to shorten the timeframe over the years through greater thrust on automation, smoothening the process for e-filing, and proactive monitoring. During the current fiscal, 90% of the refunds have been issued within 60 days and 67% within 30 days of filing of return.
This was stated by Shri Santosh Kumar Gangwar, Minister of State in the Ministry of Finance in written reply to a question in Lok Sabha today.

Engg exports may touch US$ 60 billion on US demand

Chennai: Union Minister for commerce and industry Nirmala Sitharaman on Thursday said India's engineering exports are likely to reach $60+ billion in fiscal 2016-17, on the back of revival of demand in the USA and for select products like iron.
"Just between April-January, our engineering exports have touched $50.87 billion, exceeding the total shipments of $49 billion in 2015-16. Only for the month of January, we've seen aggregate exports of $5.29 billion; that's a 12% increase compared to the same period last year, said Sitharaman on the sidelines of the sixth edition of International Engineering Sourcing Show (IESS) held in Chennai on Thursday.
There was enormous potential for India and Russia to enhance bilateral trade, which is presently at $6.62 billion, said the Minister, adding that she's had fruitful discussions with Denis Manturov, minister of industry and trade of the Russian Federation for leading a 120 member delegation.
"We were particularly interested in the North South Transport Corridor (INSTC) as it will cut time and costs for transporting goods between both countries, said the Minister. The INSTC aims at increasing trade by creating a land, air and ship route between India, Russia, Iran, Europe and Central Asia — touching cities like Mumbai, Moscow, Tehran, Baku, Bandar Abbas, Astrakhan, Bandar Anzali, enroute.
The Minister said they were also looking at other measures, including the proposed FTA between India and the Eurasian Economic Union, which includes Russia. "We need to finale the revised version of the Bilateral Investment Treaty. We've invited my counterparts to be a partner country at the India International Jewellery Show 2017 this July in Mumbai and the Advantage Healthcare India this October," said the Minister.
The department of commerce is keenly supporting technology upgrades for engineering manufacturers for boosting exports in line with the objectives of EEPC. "We are looking at R&D Labs and identified industrial clusters, so that our products are world class," said the Minister.
The International Engineering Sourcing Show held in Chennai saw 400 exhibitors from India and abroad.

Maharashtra to grow at 9.4% in 2016-17: Economic Survey

Mumbai: Achhe din for the BJP-led government in Maharashtra are here. According to the Economic Survey for 2016-17 presented in the state legislature, the gross state domestic product (GSDP) for 2016-17 is expected to grow by 9.4 per cent compared to 8.5 per cent in 2015-16.
The surge in growth is largely due to a 12.5 per cent growth in agriculture, 10.2 per cent in electricity gas, water supply and other utility services and 10.8 per cent in services.
The state economy will grow faster than the Indian economy, which is expected to grow by 7.1 per cent in 2016-17.
State Finance Minister Sudhir Mungantiwar said he hoped Maharashtra would achieve double-digit growth in the coming years and it would continue to retain its pre-eminent position in the national economy due to skillful fusion of technology, social structure, infrastructure backed by natural and human resources along with an organised method of production.
However, the rise in debt stock continues to be a matter of concern as it is estimated to be Rs 3.56 lakh crore in 2016-17 against Rs 3.20 lakh crore a year earlier. This is 15.7 per cent of the GSDP, within the limit of 22.1 per cent laid down by the 14th Finance Commission. The state’s interest payments will be Rs 28,220 crore against Rs 26,217 crore.
The state government’s revenue expenditure, especially on wages, pension and interest, is estimated at Rs 91,924 crore in 2016-17 against Rs 90,092 crore a year earlier.
On the other hand, capital expenditure is set to grow by 17.1 per cent to Rs 46,309 crore against Rs 39,714 crore in 2015-16.
Notwithstanding the Centre’s decision to withdraw currency notes of Rs 500 and Rs 1,000 on November 8, revenue receipts during April-December 2016 increased by 11.4 per cent to Rs 1.40 lakh crore.
The per capita income has grown by 11.4 per cent to Rs 1,46,399 in 2015-16 against Rs 1,32,341 in 2014-15. Maharashtra is second only to Karnataka, whose per capita income stands at Rs 1,48,485.
The agriculture and allied sectors are expected to grow at 12.5 per cent in 2016-17 against a decline of 4.5 per cent in 2015-16. The growth in agriculture alone is estimated at 19.3 per cent against a decline of 10.3 per cent in the previous year.
During the kharif season of 2016-17 the area under cereals is expected to grow by three per cent, pulses by 28 per cent and oilseeds by six per cent while the area under sugarcane will fall by 36 per cent and cotton by 10 per cent. However, the production of cereals is likely to increase by 80 per cent, pulses by 187 per cent, oilseeds by 142 per cent and cotton by 83 per cent while the production of sugarcane will fall by 28 per cent.
The area under rabi crops will be five per cent less than the previous year. The area under cereals will decrease by 16 per cent and oilseeds by 24 per cent while the area under pulses will rise by 22 per cent.
Ironically, the Economic Survey is silent on farmer suicides, which are continuing unabated.
The Economic Survey has not provided the actual area irrigated in 2016-17 citing revision in the process of collection of data. Under the state’s flagship Jalyukta Shivar Abhiyan (Water Conservation Project), 4,374 of 6,202 villages have been made water neutral and 11,82,230 thousand cubic meters of water storage was created in 2015-16.
Industrial Investments
According to the Economic Survey, the state continues to be the favoured destination by attracting 19,437 industrial proposals worth Rs 11.37 lakh crore between August 1991 and November 2016. Of these, 8,664 projects (44.6 per cent ) with an investment of Rs 2.69 lakh crore have been commissioned while 2,107 projects worth Rs 87,701 crore are under execution. The state’s share in industrial proposals nationwide was 17.9 per cent and in investment 10 per cent.
The state has approved 488 mega projects with an investment of Rs 3.79 lakh crore till December 2016. During the Make In India week in February 2016, the state signed 3,018 MoUs with a proposed investment of Rs 8.04 lakh crore. However, the Economic Survey has not disclosed the present status of those MoUs.
Social Sector Status
According to the Maharashtra Human Development Report (MHDR) 2012, the Human Development Index (HDI) of the state is 0.752. Mumbai comprising Mumbai city and suburban districts taken together has the highest HDI of 0.841 whereas the tribal dominated Nandurbar in north Maharashtra has the lowest HDI of 0.604. The literacy rate is 82.3 per cent and the literacy rate for Scheduled Castes is 79.7 per cent and that for Scheduled Tribes 65.7 per cent. Mungantiwar said that the government proposes to increase the literacy rate especially of the 10th passed out in the coming years.

'Made in India' steel to get preference in infrastructure projects: Steel secretary Aruna Sharma

New Delhi: The Ministry of Steel is taking a three-pronged approach to support the domestic industry, which has faced low demand and the influx of cheap imports. It is also trying to lower input costs, steel secretary Aruna Sharma told ET in an interview. Efforts are under way to mandate the use of 'Made in India' steel in government tenders to boost consumption. Edited excerpts:
Indian steel companies have been affected by an influx of imports. Will the government continue to protect them?
We are not against imports but we have to protect Indian steel against dumping. We will also not take any measure that is not WTO-compliant. Since August 2016, anti-dumping measures have been initiated and now 124 items are covered under it.
What steps are being taken to lower input costs for steel companies?
We are trying to improve the logistics network for movement of both raw material and products. For instance, the cost of transporting fines is the same as finished products – Rs 400. One solution is transporting it through slurry pipelines. Now, the railways have agreed to give right of way along railway tracks. We have got a map from pellet makers as to where they want to tap the fines both on the east and west coasts. NMDC will construct the slurry pipelines, which will be underground. Transport costs will thus come down to Rs 50 per tonne. Railways are joining hands in this since it is part of their business and they will also provide protection.
What about key inputs like iron ore and coking coal?
We are discussing reclassification of iron ore, which is under freight class 165 and shifting it to 145, the same as coal or 145A, which attracts a lower rate. We have also urged for reduction of the 2.5% customs duty on coking coal. Also, the coal ministry will invest in washeries to reduce the ash content of local coking coal from 17-18% to an average of 13%. Consequently, imports will reduce by 30%... Also, the pricing mechanism of natural resources like iron ore/coal/gas is being looked into by the Niti Aayog. PSUs in these sectors should be profit-making, not profiteering.
Energy costs, especially power, remain a critical issue.
For this, the power ministry is considering whether a combined bunch of smaller user industries can be allowed to take up 26% stake in a power venture to get the tag of a captive user. Alternative energy sources like liquefied natural gas are also being explored. Duty on LNG was cut down by half in the budget to 2.5%. The petroleum ministry is working on long-term contracts to ensure assured supplies. Pellet makers have already assured us that if gas is available, their entire production can shift to gas, which is cleaner and greener.
The National Steel Policy 2017 is looking at 300 million tonnes of capacity by 2025, but consumption remains low. What steps are being taken to boost it?
Our consumption is 60 kg per capita, while China is at 489 kg per person and the global average is 208 kg. We have a long way to go and are taking serious steps towards it. We are in the final stages of amending the General Financial Rules (GFR), which decide all government tenders. We are bringing the concept of lifecycle cost in GFR. So, if the desired quality is available, ‘Made in India’ or locally produced steel will get preference for big-ticket infrastructure projects and for instance, bridges and drinking water projects, etc. Builders will be encouraged to use steel, which is earthquake resistant.
Will you coordinate your efforts with other ministries, too?
Yes. The commerce ministry is coming up with a generic policy on this. The steel ministry is also talking to other ministries, which are big spenders on infrastructure, about the advantages of steel usage. While cost-effectiveness will remain the key, the focus will be on lower lifecycle cost of steel while evaluating projects. It took seven years for our per capita steel use to cross from 50 to 60 kg. However, we want to go from 60 to 70 kg per person in three years. If domestic consumption goes up, then with lower input cost, protection against dumping and market enhancement, our steel industry should be fortified against global upheavals.