Top headlines: Govt to release GST dues, tea exports to fall, and more

Business Standard brings you top headlines of the day

Cash-starved and desperate, states borrow at steep rate in lockdown

The slowdown caused by the lockdown amid coronavirus pushed states to borrow cash at a steep price from the bond market. Domestic investors demanded states to shell out spreads of 140-200 basis points (bps) over the equivalent government securities and they had to agree. However, 19 states could only manage to raise 32,560 cr instead of their intended target of Rs 37,500 crore. Read More...

IT catches Covid-19 bug: Sector's outlook takes a hit on demand concerns

Top firms are under pressure due to weak demand caused by the coronavirus outbreak. The firms' margins are expected to take a hit despite sharp depreciation in rupee due to supply chain disruptionfrom US and Europe. Analysts, therefore are cautious and expect the sector to take a hit in FY21. Read More...

Insurers see rise in health claims; lockdown reduces motor segment demands

Non-life insurershave seen rise in health segment due to Covid-19 pandemic but have witnessed decline in motor insurance as less people are encouraged to take out their vehicles. Fewer claims are supposed to improve the insurers’ loss ratio in the motor segment, but the industry is divided on this. Read More...

25% retailers may be out of biz after lockdown if govt doesn't help: Study

The Retailers Association of India (RAI) based on estimates said that 25 per cent retailers may be out of their business post-lockdown if the government don't infuse capital in them to help with the slowdown. Retailers fear that after the lockdown is lifted, they have to get rid of at east 20-30% of their workforce to survive. Read More...

Govt set to release Rs 20,000 cr pending GST compensation to states soon

The finance ministry from the Consolidated Fund of India is set to release Rs 20,000 crore in pending goods and service tax (GST) compensation to states soon, Business Standard has learnt. However, the fund release will be a fraction of what states like Maharashtra and West Bengal are demanding. Read More...

Indian tea exports may decline by up to 8% over Covid-19 outbreak

The Tea Board has said that the sector may be staring at an export fall of 6-8% owing to loss of the first flush and the wipe-out of Darjeeling tea from the system. This could result in shortfall of 16-20 million kg (mkg) this year in export volumes. Moreover, if the production and quality in the second flush, beginning in May, is affected, the export shortfall may worsen. Read More...

Tata Trusts, private firm join hands to roll out coronavirus testing kits

Tata Trusts has partnered with a private firm to launch a coronavirus testing kit across cities named -  Truenat Beta CoV test. The Test can be done on the same day. Its battery-operated kits are the size of a telephone and can be taken out into the field to test as many as 15 individuals a day. They range between Rs 6.5 lakh and Rs 12 lakh, and have received both government and ICMR approval. Read More...

Manufacturers will struggle to get labour back after lockdown is lifted

The manufacturing industry will face tough times bringing back labourers after the lockdown unless there is assurance of advance payment and compensation, besides safety at the workplace. Migrant labourers left metro cities in huge numbers after PM Modi announced nationwide lockdown on March 24. According to an ancillary supplier to the auto industry, even if the situation normalises in the next two-three months, production will not be more than 30 per cent. Read More...

Covid-19: Centre working to provide insurance for truckers soon

The Centre is working on a insurance plan for the truckers to ensure their safety, which will be announced in a few days. The insurance package will be for 400,000 truckers who deliver essentials and will include accident and death cover, the Economic Times reported. 

Unemployment rate rises in urban India

Gig workers in urban areas, from restaurants, hotels and retail to automobiles, do not have a job and few contract workers who do have a job are set to lose theirs, reported the Livemint quoting data from Centre for Monitoring Indian Economy.