Government Plans to Address Edible Oil Price Surge Ahead of Festive Season
The Indian government plans consultations with various ministries and industry stakeholders to address rising edible oil prices, especially during the festive season. Following increased import duties on edible oils, the government aims to support domestic oilseed farmers while reducing reliance on imports, as India imports 58% of its edible oil.
Different ministries in India are expected to hold consultations soon on ways to provide relief to consumers as the Centre is “concerned with rising edible oil prices during the festive season,” according to government sources.
An inter-ministerial consultation is expected soon, involving the Ministry of Agriculture and Farmers’ Welfare and the Ministry of Consumer Affairs, Food and Public Distribution, to examine the effects of last month’s import duties on edible oil.
The government is also planning to consult with industry stakeholders to explore ways to control edible oil prices.
On 14th September, India raised import duties on edible oils to support domestic oilseed farmers, increasing crude palm, soybean, and sunflower oil duties from 5.5% to 27.5% and refined oil duties from 13.7% to 35.7%.
Despite an expected increase in domestic soybean and groundnut supplies by October 2024, edible oil retail prices have risen sharply, showing double-digit growth over the past month.
India meets 58% of its edible oil demand through imports. To reduce reliance on imports and protect against global price fluctuations, the government aims to boost local production as part of a medium to long-term strategy.
The cabinet has given approval for a Rs 1,000 crore venture capital (VC) fund to blooster growth of space startups by providing crucial early-stage funding.
In its statement, the government said, “The deployment period of the proposed Rs 1,000 crore VC fund is planned to be up to five years from the actual date of start of the fund operations.”
The Indian National Space Promotion and Authorisation Centre (IN-SPACe) is set to roll out a venture capital fund with an annual investment target between Rs 150-250 crore. This fund aims to support early-stage space startups with a focus on innovative proof-of-concept developments and commercialisation-ready technologies. Investments will typically range from Rs 10-60 crore, tailored to the growth stage of each company.
Information and Broadcasting Minister Ashwini Vaishnaw highlighted the fund’s role in fostering advancements across satellite technology, launch vehicles, and space-based applications, stating, “The VC fund is expected to drive innovation in satellite technology, launch vehicles, and space applications.”
This strategic initiative is anticipated to invigorate India’s private space sector and catalyse cutting-edge developments that could position India as a major player in the global space industry.
The newly proposed venture capital fund from the Indian National Space Promotion and Authorisation Centre (IN-SPACe) is set to accelerate growth in India’s space sector. Private investors may have the opportunity to co-invest, generating a multiplier effect to further boost resources. With an overarching goal of supporting around 40 startups, this initiative will inject capital to retain talent, grow the space economy, and fast-track technological advancements in the field, all while contributing to the Atmanirbhar Bharat mission.
“The proposed fund will position India as one of the leading space economies,” noted the statement, underscoring the ambition behind this initiative.
The professionally managed fund is expected to stimulate employment throughout the space supply chain, from upstream research and engineering to downstream applications like software development, data analysis, and manufacturing. This effort could create hundreds of direct jobs and thousands of indirect roles in sectors such as logistics and professional services.
Aiming to expand the national space economy from $8.4 billion to $44 billion by 2033, the fund is designed to mitigate brain drain and empower early-stage space ventures, positioning India as a frontrunner in the global space technology landscape.
Source Link : https://www.equitypandit.com/cabinet-approved-venture-capital-fund-of-rs-1000-crore-for-space-startups/
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