Latest news with #BASA
IOL News
3 days ago
- Business
- IOL News
Minimum Pricing on Alcohol: A risky shortcut South Africa can't afford
The proposed policy to introduce Minimum Unit Pricing (MUP) on alcohol - setting a legal floor price per unit of alcohol - is being presented as a solution. By Charlene Louw South Africa is facing a real challenge in addressing the consequences of harmful drinking. We see it in our hospitals, on our roads, and in our communities. It's a problem that demands decisive action - but not desperate shortcuts. The proposed policy to introduce Minimum Unit Pricing (MUP) on alcohol - setting a legal floor price per unit of alcohol - is being presented as a solution. On the surface, it sounds promising. Raise the price, and you'll reduce harmful consumption. But in practice, and especially in the South African context, the consequences are far more damaging than the theory suggests. As the Beer Association of South Africa (BASA), we support the intention to reduce alcohol-related harm. But we strongly caution against using MUP as a policy tool. Here's why. A policy that will hurt the poor Minimum pricing does not impact all consumers equally. It hits the lowest-income drinkers the hardest - not just the heaviest drinkers. Instead of reducing consumption, many will turn to unregulated, illegal alcohol, which is often cheaper and far more dangerous. We are not theorising - this is already happening across the country. Fuel for an already raging fire The illicit alcohol market in South Africa is already a multi-billion-rand industry, siphoning off government revenue, undermining law enforcement, and endangering public health. A poorly designed minimum pricing policy will act as fuel for this fire, pushing more consumers into the hands of criminal syndicates. The economic fallout The beer industry supports close to a quarter million jobs and contributes more than R96 billion to the national economy. The impact of MUP on small businesses, SMME brewers, and township retailers could be catastrophic. It risks formal sector shrinkage and will undermine job creation efforts in precisely the communities that need it most. What we should be doing instead We urge government to pivot to policies that work: Crack down on illegal alcohol production and sales Expand public awareness campaigns and responsible consumption messaging Invest in treatment and rehabilitation infrastructure Partner with the industry on education and community-based harm reduction programmes Let's not take shortcuts. Let's be smart, collaborative, and deeply intentional in how we build a healthier society - one where responsible enjoyment of beer coexists with a culture of safety and care.
Mint
01-08-2025
- Business
- Mint
What a drop! Indians shun Turkey in June
Indian tourists shunned Turkey in droves this June, the month following Operation Sindoor, during which the Indian Armed Forces carried out cross-border strikes in Pakistan, in response to the terrorist attack on civilians in Pahalgam in April, amid growing online campaigns to boycott Turkey over its support for Islamabad. The campaign urged Indians to boycott travelling to Turkey, with some online travel agencies (OTAs) halting bookings to the country and others issuing advisories against visiting. The last such social media-led boycott was against the Maldives, which proved highly effective – Indian travel to the island nation dropped significantly after the diplomatic row and has remained low since. In his speech in the Lok Sabha, the Prime Minister referred to three countries that did not support India during Operation Sindoor. While he did not name them, it is widely understood that the countries in question were China, Turkey, and Azerbaijan. According to data released by Turkey's Ministry of Culture and Tourism, 24,250 Indian tourists visited the country in June 2025, a 36 per cent drop compared to June 2024, when 38,307 Indians had travelled to Turkey. This decline has also impacted the cumulative figures for the first half of the year. Between January and June 2025, 1,39,215 Indians visited Turkey, compared to 1,64,373 during the same period in 2024, a year-on-year drop of 15 per cent. The decline began in May 2025, in the immediate aftermath of Operation Sindoor. That month, only 31,659 Indians visited Turkey, compared to 41,544 in May 2024, a 24 per cent drop. June figures dropped further below May's. In all of 2024, 3,30,985 Indians visited Turkey, a 20 per cent increase over 2023. Indians comprise a minuscule 0.6 per cent of total foreign arrivals in Turkey, a market largely driven by travellers from Europe and Russia. However, the Indian market has been steadily growing in recent years, with IndiGo playing a key role in that growth. For years, Turkish Airlines was the only carrier connecting the two countries, although several options existed via the Middle East. That changed in 2018–19 when IndiGo launched direct flights, which significantly boosted traffic between India and Turkey. Post-pandemic, IndiGo operated wide-body aircraft leased from Turkish Airlines, but it cannot extend the lease beyond 31 August. While no official reason has been given, the move appears to be linked to Turkey's vocal support for Pakistan during Operation Sindoor and its stance on Kashmir. Turkish Airlines has been keen to expand operations in India but has struggled due to the lack of progress on revising the Bilateral Air Services Agreement (BASA). Pertinently, ground handling agency Celebi has had its licence suspended overnight. The staff has been accommodated across other agencies without impacting operations at airports where it operates. Celebi India was majority owned by Celebi, a Turkish company. The declining traffic to Istanbul is likely a key reason why IndiGo may choose not to deploy its damp-leased aircraft from Norse Atlantic to the Turkish city. Instead, the airline is expected to prioritise its deployment on European routes, while continuing Istanbul operations using narrow-body aircraft with a technical stop. As IndiGo deleverages its dependence on Turkish Airlines, through partnerships with KLM, Air France, and Virgin Atlantic, it may reconsider its ties with the Turkish carrier altogether, especially if traffic continues to decline due to public sentiment. Both IndiGo and the Air India group currently have maintenance agreements with Turkish Technic, and aircraft are still sent to Turkey for servicing. As of now, the flight-tracking website Flightradar24 shows two Air India Boeing 777s and one IndiGo A321neo at Istanbul Atatürk Airport, which houses Turkish Technic's base. IndiGo has already announced a new agreement with Lufthansa Technik for redelivery checks, services that were previously handled by Turkish Technic. Meanwhile, Air India's CEO has indicated the airline is exploring alternative maintenance providers, although no formal announcements have been made yet.
The Hindu
22-07-2025
- Business
- The Hindu
Indian Chamber of Commerce and Industry, Coimbatore, to organise programmes on AI for businesses
With businesses increasingly turning to artificial intelligence (AI), the Indian Chamber of Commerce and Industry, Coimbatore, plans to organise awareness events and sessions on AI, especially for Micro, Small and Medium-scale Enterprises (MSMEs). The larger industries have consultants. The MSMEs need support to understand the applications of AI and how they can leverage it. The upcoming businesses in different verticals want the Chamber to have AI as one of its focus areas, said Rajesh B. Lund, president of the Chamber. At the annual general meeting of the Chamber held in Coimbatore on Monday, a set of resolutions urged the governments to strengthen broadband infrastructure in rural and remote areas, regulate AI for business security, explore the possibility of promoting AI research and commercialisation in Coimbatore, support self-regulatory initiatives for responsible Al before a legal framework is established, and extend financial support and incentivise AI research, development, and innovation, modelling these initiatives on successful practices from other States and countries. The Chamber has also sought immediate construction of an interim arrival terminal and a separate international enclosure. It was decided at the annual meeting to take up with the Central and State governments to take steps for widening of the existing runway and expand the Coimbatore International Airport, designate the airport as a hub and spoke airport, establish additional Customs counters, and expand the arrival and departure terminals and parking bays. The Coimbatore Airport should be listed as a point of call airport in the Bilateral Air Service Agreement (BASA) with ASEAN countries (Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, and Vietnam) to provide access for both international and Indian carriers. It should be reinstated as a point of call in the BASA with the UAE to facilitate direct flights and from Coimbatore and Dubai, the Chamber said. Mr. Lund was re-elected president of the Chamber for 2025-26.
Time of India
21-07-2025
- Business
- Time of India
Madurai airport runway expansion stuck; call to revive underpass plan
Madurai: The long-pending runway expansion at Madurai airport remains stalled, with land acquisition issues and challenges in diverting water bodies delaying the project. Trade bodies have urged the state and central governments to reconsider the scrapped proposal of constructing an underpass beneath the Madurai–Aruppukottai highway to facilitate the work. The project requires 615.92 acres, but 87 acres are yet to be acquired. Key hurdles include opposition from villagers in Chinna Udaippu over pending compensation cases in the high court, and the diversion of water bodies, including the Gundar Channel. Although the Tamil Nadu government assigned TIDCO to acquire and hand over the land to the Airports Authority of India (AAI) this year, progress has been slow. "We are awaiting land clearance and permission from Virudhunagar district, as some of the water bodies fall under its jurisdiction. We've also requested an additional 20 acres," said airport director Muthukumar. The Tamil Nadu Chamber of Commerce and Industry (TNCCI) has revived its demand for an underpass on NH 45B near the airport to avoid a 7-km diversion of the Madurai–Aruppukottai Road. TNCCI president N Jegatheesan said the underpass was announced in the Assembly in 2021 but dropped after Tamil Nadu Road Infrastructure Development Corporation (TNRIDC) allegedly inflated the estimate from ₹230 crore to ₹600 crore, citing financial viability. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like This Could Be the Best Time to Trade Gold in 5 Years IC Markets Learn More Undo A ₹200-crore alternative road plan also failed due to land acquisition issues. TNCCI has urged the Legislative Assembly's Assurances Committee, headed by MLA T Velmurugan, to push for reviving the underpass. "As our plea in the Madras high court was dismissed, we plan to appeal in the Supreme Court," Jegatheesan said. At the airport advisory committee meeting in Feb, MPs Su Venkatesan (Madurai) and Manickam Tagore (Virudhunagar) said the Madurai district administration had submitted a ₹90-crore proposal to the state government to divert the Gundar Channel — a major hurdle for the project — but approval is pending. A Virudhunagar district official said it had been decided to develop alternate land to relocate the water body. While the physical expansion remains stalled, stakeholders say enhancing air connectivity, particularly international services, is equally urgent. Mahendra Varman of Madurai Infrastructure said the airport should be brought under the ASEAN Bilateral Air Services Agreement (BASA) to attract foreign carriers. "Madurai isn't part of the ASEAN BASA while Trichy is, putting us at a disadvantage. Airlines from Singapore, Malaysia, and Indonesia prefer Trichy due to regulatory hurdles here," he said. The ASEAN BASA allows unrestricted seat capacity and frequency for airlines from seven Southeast Asian countries. "Even if ASEAN inclusion isn't immediate, the Centre must push for bilateral air agreements with countries like Singapore. Reports say India and Singapore may soon review their air services pact. This is a golden opportunity," Varman added. Despite repeated appeals, Madurai has not been designated as a point of call for Singapore-bound flights. "Before Covid-19, there were seven weekly flights from Madurai to Singapore. Now it's down to three, forcing passengers to fly via Trichy," Jegatheesan noted.
IOL News
07-07-2025
- Business
- IOL News
BASA and major banks appeal court ruling on loan agreements and debt review
The case was initiated by Chantelle Scott, a registered debt counsellor at SS Debt Counsellors, against BASA, the National Credit Regulator, the Debt Counsellors Association, Standard Bank, FirstRand Bank, Nedbank, Absa, and Capitec, as well as ministers of trade and justice. Image: IOL The Banking Association South Africa (BASA) and five major lending banks have filed an application to appeal a recent order by the North Gauteng High Court in Pretoria, in a legal battle that could redefine consumer credit relationships. The court's declaratory order, handed down by a full bench on 12 May, affirmed that an application for debt review, or a debt review order, does not remedy the default status of the original credit agreement under section 103(5) of the National Credit Act (NCA). This section is pivotal for consumers as it caps the total interest, fees, and charges accruing on a defaulted credit agreement, thereby safeguarding borrowers from potential exploitation by lending entities. This ruling positions the notion of 'default' as permanently tied to the original credit agreement, irrespective of whether the agreement is under debt review or has undergone restructuring. The case was initiated by Chantelle Scott, a registered debt counsellor at SS Debt Counsellors, against BASA, the National Credit Regulator, the Debt Counsellors Association, Standard Bank, FirstRand Bank, Nedbank, Absa, and Capitec, as well as ministers of trade and justice. Scott sought clarification on the term 'default', advocating that it inherently links to the original credit agreement's standing and is not negated by subsequent debt review actions. Scott also sought the order that an application for debt review and/or a debt review order did not purge and/or cure the 'default' of the original credit agreement, and that the amounts that accrue during the time that a consumer is in default under the credit agreement may not, in aggregate, exceed the unpaid balance of the principal debt under that credit agreement as at the time that the default occurs. The case dealt with the application of the so-called in duplum rule, designed to prevent lenders from accumulating excessive interests and charges beyond double the amount owed at the time of default—regulations that have seen varied interpretations since the NCA's introduction in 2007. The crux of the court's examination was the application of section 103(5) when an individual's responsibilities under the credit agreement undergo modifications via a debt rearrangement agreement or debt review order. Scott submitted that section 103(5) continues to apply for as long as the consumer is in default of the original credit agreement, whether or not the re-arranged credit agreement or re-arranged credit order was in effect. However, BASA contended that when an over-indebted consumer's payment obligations under a credit agreement have formally been rearranged by agreement or court order and the consumer is meeting his/her rearranged payment obligations, the consumer is not in default as contemplated in section 103(5). BASA unsuccessfully argued that a re-arrangement agreement or order purged the default under the existing credit agreement, with the effect that section 103(5) no longer applied. It also argued that any additional interest that was paid was the cost of enjoying the benefits of a longer period of time, allowing them to charge more interest and other charges. In its court papers for leave to appeal filed by its lawyers Cliffe Dekker Hoymeyr Inc on 30 May, BASA said the court misconstrued that default was required for debt review and did not consider the legal effect of a debt rearrangement credit agreement (RCA) and a debt rearrangement credit order (RCO). 'What the Court did not do is consider, and give effect to, the legal effect of the amendment of the credit agreement's repayment terms and the adjustment of the instalment amount and the repayment term as a result of the RCA or RCO,' BASA said. 'Once there is an amendment of the credit agreement effect must be given to that amendment and that effect is that the consumer is no longer in arrears because parties have prospectively amended the instalment amount and the repayment term to enable the repayment of the full outstanding balance under the credit agreement (including the arrear amounts) over an extended repayment term with reduced instalment amounts. If the consumer is no longer in arrears, he or she cannot at the same time remain in 'default'.' BASA also argues the court failed to correctly engage in the interpretive exercise of the debt review regime and that it mischaracterised the main issue. 'The judgment affects both consumers and credit providers in different ways throughout the country. Its implications reach far beyond the immediate interests of the parties. Importantly, it will negatively impact consumer's access to credit,' argues BASA in its papers. 'It has several unintended consequences as submitted by BASA in relation to the insensible and unbusinesslike results arising from the applicant's interpretation. Long-term repayment plans (e.g., 60 months or more) may no longer be viable. Credit providers may require that the debt re-arrangement agreement or order, by way of payment, purge the default under the credit agreement as soon as possible and not over an extended repayment term.' BUSINESS REPORT
