
Turmeric ryots in Duggirala to get fire relief by June-end
GUNTUR: The State government will ensure compensation is disbursed to turmeric farmers affected by the Shubham Maheshwari Cold Storage fire in Duggirala by the end of June, said Minister for Agriculture K Atchannaidu and Union Minister Pemmasani Chandrasekhar.
During a review at the Agriculture Commissioner's Office in Guntur district on Thursday, the ministers met officials, insurance representatives, and cold storage management. Guntur District Collector S Nagalakshmi and Agriculture Commissioner (in-charge) Suresh Kumar were also present.
Minister Atchannaidu said New India Assurance had prioritised claims and all required documents were submitted. He assured that compensation approval is expected within a week.
The cold storage management has been directed to arrange Rs 7,000 per quintal for the 294 affected farmers, as agreed on July 10, 2024.
Marketing officials were told to prepare compensation slips, with disbursal to begin once insurance funds are credited to the HDFC-linked account.
Pemmasani Chandrasekhar said the government submitted 46 documents and held 200 meetings with the insurer to ensure justice.

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


Time of India
38 minutes ago
- Time of India
Viability in Doubt as Govt Weighs Relief
The government, which is working on a relief package for Vodafone Idea ( Vi ), is confronted with concerns about the telecom operator 's financial viability in the absence of a waiver of its arrears on spectrum usage charges. The government has said it has no plan to convert more arrears into equity that would increase its stake in the company beyond the existing 49%. Other options being considered, such as allowing Vi to pay the adjusted gross revenue-based arrears over 20 years, instead of the current six, may still not provide enough cash flows for sustaining company operations beyond 2028-29, said government officials. They added that various options were being explored. These include 'extending the tenure of AGR payments from the scheduled six annual instalments of Rs 18,064 crore to over 20. But despite that, the long-term sustainability of the company remains in doubt,' one official said on condition of anonymity. The Department of Telecommunications, based on the current and potential future financial situation of Vi, believes that if the company is required to pay the full Rs 18,064 crore instalment due by end-FY26, it would not have funds to meet the liability in FY27. Even if annual instalments are reduced to Rs 6,000-8,500 crore each by extending the payment period, it still would not bring any tangible benefits. In fact, given the telco's cash flows, it may not meet the liabilities beyond 2028-29. In a worst case scenario, the payment tenure could be as long as 50-100 years, said a second official. At the end of March, the carrier's cash and bank balance totalled Rs 9,930 crore. Following a request from Vi, the government converted Rs 36,950 crore of spectrum arrears into equity in March, becoming the largest shareholder, with a 48.99% stake. These arrears were related to pre-2021 spectrum auctions. Prior to the equity conversion, Vi shared its projections till 2030-31, which is the deadline mandated by the Supreme Court to pay the AGR dues . Since the government had given a four-year moratorium on payment of AGR and spectrum dues from FY22, Vi now needs to clear the entire arrears in six instalments, starting with the current fiscal year. Every year, the instalment has to be made by March 31. 'The company had shown its inability to meet the post-moratorium payment schedule of spectrum and AGR payments during various meetings with DoT,' said a third official. Vi's projected payment for FY26 was more than Rs 30,500 crore before the government converted part of the dues into equity. 'While the company can meet the liabilities in the current fiscal year, it won't be possible starting FY27 unless it manages over Rs 25,000 crore loans from banks and financial institutions,' said an analyst tracking the telecom sector. Brokerage firm Motilal Oswal has cautioned that absence of a relief on the AGR dues and absence of a breakthrough on the company's efforts to raise funds through debt, could result in Vi facing an estimated annual cash shortfall of Rs 20,000 crore. In Vi's January-March earnings report, auditor SR Batliboi & Associates cautioned that the operator's financial performance was hurt by its inability to generate cash flows that it needed to settle/refinance its liabilities as they fall due. Vi reported a net loss of Rs 7,166 crore in January-March, wider than Rs 6,609 crore in October-December 2024. Its board has approved raising a further Rs 20,000 crore through equity or debt, for which the telco is in discussions with lenders. The Rs 72,300-crore market cap company has seen its share price slide from nearly Rs 10 apiece in January to Rs 6.7 as of Friday. 'The group's ability to continue as a going concern is dependent on support from the DoT on the AGR matter, successfully arranging funding and generation of cash flow from its operations that it needs to settle its liabilities as they fall due,' the auditor said.


Time of India
38 minutes ago
- Time of India
Qcomm Fires up Discounts with Rivals Getting Quicker
The rapid expansion of online retailers Amazon and Flipkart in the crowded quick commerce sector is pushing discounting across platforms to record highs in an industry battling accelerating losses. As price becomes the primary differentiator for these apps with near similar user experience, intense discounting and attendant cash burn are likely to intensify further, according to multiple people in the know . This month, average discounts across categories rose to 20-25% on maximum retail price compared to below 10% two years ago across various quick commerce platforms, including for segments like dairy and groceries, the sources said. 'Rising competition is the reason for increasing discounts within quick commerce,' said Karan Taurani, executive vice president at Elara Capital. 'Today there are eight players, unless we see a convergence towards four-five players, this kind of discounting will persist. We had only 3-4 players earlier but now we are seeing the entry of more players including Flipkart and Amazon…I think discounting will persist for some time until the competitive intensity cools off,' Taurani added. In addition to market leaders Blinkit, Zepto and Swiggy's Instamart, others such as Reliance Retail's JioMart, Flipkart Minutes and Amazon Now have also started building a presence in this space. Analysts are of the view that discounts are the highest in the personal care category rising to around 35% discounts on maximum retail price. Other products such as packaged foods, basic staples, home care, beverages also are discounted heavily. 'Dairy has the lowest discount (5%), understandable given it is a low-margin category and hence, there is limited headroom. Prices vary significantly across players in fresh fruits & vegetables too, albeit we do not include it in our basket due to potential variations in product quality,' said a note by Jefferies. Industry executives point out that with all competing firms being well-capitalised they are not focusing on profitability in the short term. ET had reported in February that the monthly burn for the quick commerce sector across companies had increased to ₹1,300-1,500 crore – more than doubling in a few months. Burn refers to the rate at which a company spends cash. For the quarter ended March 31, Blinkit parent Eternal saw its net profit plummeting to Rs 39 crore from Rs 175 crore in the year ago period. Its Bengaluru-based rival Swiggy's net loss for the quarter nearly doubled to Rs 1,081 crore. Both the companies increased spending on expanding their quick commerce businesses. 'There is a massive headroom for growth in quick commerce…and the overall market is expanding as well. The attempt right now is to build a sticky customer base. A lot of effort is also going into building for tier-II and tier-III cities, where platforms are trying to get consumers to try quick commerce for the first time,' a senior quick commerce executive said. Brokerage firm Morgan Stanley estimates the size of India's quick commerce sector at $8 billion in 2024, estimating it to expand to $28 billion by 2026 and $57 billion by 2030. Walmart-owned Flipkart's Minutes, which currently has around 400 dark stores aims to expand its network to 800 micro warehouses for 10-minute deliveries by the end of this year. ET reported on June 13 that Amazon Now has gone live in select pincodes in Bengaluru with 10-15 dark stores on its network, and aims to expand to other cities such as Mumbai and Delhi-NCR as well. Early movers Blinkit, Zepto and Instamart are also expanding their footprint. Notably, during the company's quarterly earnings call in May, Akshant Goyal, CFO of Blinkit's parent Eternal, said the quick commerce platform will prioritise market share gain even at the cost of short-term profitability. As per the Jefferies report, average discounts were also higher on bulk-buy offerings from companies like Zepto and Instamart, which operate the Super Saver and Maxxsaver programmes, respectively. Under these offerings, platforms offer greater discounts to users with larger basket sizes – typically over ₹1,000. For the 10-minute delivery platforms, this results in cost savings in terms of fewer trips and reduced packaging expenses, while also increasing competitiveness with value retailers such as Dmart. ETtech

Mint
an hour ago
- Mint
Indian RE developers explore invoking force majeure on rare earth supply issues
New Delhi: Indian green energy developers and manufacturers are exploring invoking force majeure on meeting project completion deadlines because of rare earth and rare earth magnet supply disruptions from China, said three people in the know of the developments. The supply crunch is also likely to increase solar and wind tariffs on power from upcoming renewable projects in the country, they said. A force majeure clause in contracts allows parties to be excused from contractual obligations in case of an extraordinary situation that makes it impossible or impractical to fulfil the commitment as per the contract. Given that India's renewable energy contracts ensure stiff penalties for delays, the invocation of a force majeure clause will protect developers and suppliers from the risk of penalties, including fines and encashment of bank guarantees. The development assumes significance given that it will impact India's ambitious green energy trajectory and cripple the manufacturing ecosystem for renewable energy equipment required for solar modules, wind turbines and batteries. Also read: China's rare earth crackdown: Time to rethink these EV stock holdings? 'As supply chain issues continue, developers are scouting for options, including enforcing force majeure provisions in order to avoid penalties," said one of the three people mentioned above. The Union government has allowed force majeure in certain instances and extended the timeline of renewable energy projects, such as in 2020, due to the covid pandemic. Simarpreet Singh, executive director and chief executive officer (CEO), Hartek Group, which is involved in solar EPC, said, 'The tightening supply of rare earth metals (REMs) from China has significant implications for local manufacturing of solar cells, modules, and related products. Although REMs constitute a small fraction of solar components, they are vital in enhancing overall efficiency." Vital role Rare earth elements play a key role in increasing the efficiency of solar modules. As of March 2025, India had a domestic solar module manufacturing capacity of 74 gigawatt (GW) and 18 GW of wind turbine capacity. A government official said that the Union ministry of new and renewable energy (MNRE) is monitoring the situation closely and has also discussed it with stakeholders. 'The ministry is in favour of industry delegations reaching out to the Chinese suppliers to resolve the immediate supply issue," the official said. Queries sent to the ministry of new and renewable energy, Adani Green Energy, Suzlon, and Reliance Industries remained unanswered until press time. Indian renewable energy developers are also expecting an increase in prices of rare earth elements and an eventual increase in power tariffs. Currently, solar power tariffs average around ₹2.60 per unit. For wind power projects, tariffs average around ₹3 and for round-the-clock (RTC) and firm and dispatchable renewable energy (FDRE) projects, which include battery storage capacity, tariffs are in the range of ₹3-4 per unit. Also read: Supply uncertainty of rare earth magnets from China could weigh auto industry: ICRA While rare earth elements such as dysprosium and cerium enhance solar modules' efficiency, they are also critical raw materials for battery storage systems and key for manufacturing wind turbines. A government official said the new and renewable energy ministry is monitoring the situation. This follows the Indian automobile industry facing the vexed issue of China disrupting the supply of rare earth magnets. Starting 4 April, China banned the export of rare earth magnets across the world amid the tariff war with the US. Experts suggest this is more of a bargaining tactic, and going ahead, the situation should ease, given the trade talks between China and the US are successful. Double trouble 'We have multiple aspects to the rare earth issue," said Sambitosh Mohapatra, leader, Climate and Energy, PwC India. Significant issues remain around the supply chain given its dependence on China and its usage in battery systems. It is influenced by trade and tariffs negotiations, and it should smooth out as trade negotiations conclude. The second issue can be around the real cost impact around components imported for solar module manufacturing. It has an impact on renewable power developers, he said, adding that decisions around force majeure enforcement would largely depend on a case-by-case basis and the provisions in respective contracts. An executive with a power company said, 'The concerns have increased in the past couple of weeks, with the impact first felt in the automotive industry. Now, the renewable players are also concerned and have been in touch with the ministry (new and renewable energy ministry) on the issue." Another official said that although tendering agencies like the Solar Energy Corp. of India (Seci) extend timelines for projects on a case-by-case basis, the Union government would look at the requirement for a blanket extension for all impacted projects. The official added that the situation has worsened as both solar equipment and battery manufacturing spaces are reeling under the pressure of a lack of Chinese technicians. While China has not allowed technology transfer, the Indian government has not allowed Chinese technicians. 'Previously, extensions have been given by the ministry. If required and the situation becomes more concerning, such relaxations can be considered," the official said. Currently, India has an installed solar energy capacity of 110.83 GW, and the wind power generation capacity is 51.29 GW. Rohit Laumas, advisor for mining and supply chain at India Energy Storage Alliance (IESA) noted that enabling imports is the only short term and efforts are underway to ease imports. Also read: China's rare earth export curbs are India's wake-up call 'Along with concentrated supplies and high demand, geopolitics and weaponization of trade have also been impacting the supplies (of critical minerals and rare earths). China has from time to time resorted to export bans on minerals and processing technologies. The current supply gap will have to be filled by imports only and there have been considerable efforts to make up for the supply gap. Both the government and industry players have been making efforts in this direction," said Laumas. Price hit Narayan Kumar, CEO of Kshema Power & Infrastructure Co. Pvt. Ltd, said, 'A likely impact of this situation would be an increase in prices both for rare earth and magnets, leading to eventual costs for developers and an increase in tariffs. In the case of solar, the tariffs may rise by 5-8 paise. It may also happen that developers avoid participating in bids in the short term till the supply chain is not eased." He further said that the current supply situation may delay India's annual renewable capacity addition target. 'The situation would require one or two quarters to ease," Kumar said. India has set a target of tendering and completing 50 GW of renewable energy projects in a bid to achieve the 500 GW non-fossil capacity by 2030, out of which over 450 GW would be renewable capacity. India's current renewable energy capacity is 223.62 GW. Rare earth elements (REEs) are a set of 17 metallic elements divided into two broad groups—light and heavy REEs. All modern technological innovations, such as AI, GenAI, robotics, space exploration, clean energy technology and defence, require rare earth elements. India imports most of its rare earth requirements. In FY24, it imported 2,270 tonnes, 16.7% higher than in FY23. Supply assurance Prashant Mathur, CEO of Saatvik Green Energy, a solar module manufacturer, said that materials like lithium, graphite, and rare earth elements are central to the technologies driving India's energy transition, from solar modules to battery storage. Recent geopolitical developments have made it clear that access can no longer be taken for granted. India is also looking at becoming a battery manufacturing hub and, in the past few years, has developed production-linked incentive schemes and viability gap funding to support local manufacturing. This sector, which has already been reeling for over a year due to a lack of equipment, supplies and technicians from China, is also facing a massive rare earth shortage. 'China controls over 90% of the rare earth supply chain and processing industry," said Nitin Gupta, CEO and co-founder Attero Recycling, a battery and e-waste recycling company. China's recent ban on rare earth magnet exports is a black swan moment and a similar move for rare earth minerals, then solar, and more importantly, battery manufacturing in the country, which is still in the nascent stage, would come to a halt. He added that in the near term, the government could hold talks with China and ensure that supplies remain uninterrupted. Further, incentives for critical mineral and rare earth recycling, magnet production, and local value addition would help in the long run to reduce dependency on China. "Rare earth recycling can help us meet 75% of the local demand," he said. The government is already developing an incentive scheme to support rare earth processing in the country under the National Critical Mineral Mission. The supply crunch has been felt globally. Both the US and the European Union are in talks with China for rare earth and rare earth magnets supplies. While the US is already engaged with trade talks with China, EU has also raised concerns over supply crunch of rare earths. According to reports, Maros Sefcovic, the European Union's trade commissioner, said the issue was a 'priority" in his meeting on 3 June with Chinese commerce minister Wang Wentao on the sidelines of the Organization for Economic Cooperation and Development conference in Paris. The situation in both the US and the EU is likely to somewhat ease in the near term as China has reportedly allowed export licenses aimed at these regions. On 11 June, Reuters reported that Chinese exporter JL MAG Rare-Earth has been granted licenses for Europe and Southeast Asia, and that it would export magnetic materials, components and motor rotors.