WION's Business Desk brings you this daily round up of global stories from the world of business and economy.&nbsp;

Italy grapples with billions in losses from severe flooding and extreme weather&nbsp;

This year's extreme weather events have devastated Italy, killing crops in certain regions and seriously damaging urban areas. The government is counting the hefty cost of these catastrophes. The top insurance firms are already dealing with claims over €3 billion ($3.2 billion) from floods and hurricanes that affected Emilia Romagna and Veneto earlier this year. &nbsp;

<a href="https://www.wionews.com/business-economy/italy-grapples-with-billions-in-losses-from-severe-flooding-and-extreme-weather-655567">Read more here.</a>

Saudi Arabia’s non-oil business activity surges to four-month high on new orders&nbsp;

According to a recent poll, the non-oil business sector in Saudi Arabia has experienced a strong development trend. The survey also revealed that the Kingdom's economy has been growing for the second consecutive month in October. Seasonally adjusted, the Riyad Bank Saudi Arabia Purchasing Managers' Index increased to 58.4 last month from 57.2 in September, according to Reuters.&nbsp;

<a href="https://www.wionews.com/business-economy/saudi-arabias-non-oil-business-activity-surges-to-four-month-high-on-new-orders-655586">Read more here.</a>

Saudi Arabia and Russia hold steady on oil production cuts amid West Asia tensions&nbsp;

Even as geopolitical concerns in West Asia continue to upset global oil markets, Saudi Arabia and Russia have reaffirmed their agreement towards maintaining reductions in oil output of more than one million barrels per day until the end of the year.

<a href="https://www.wionews.com/business-economy/saudi-arabia-and-russia-hold-steady-on-oil-production-cuts-amid-west-asia-tensions-655597">Read more here. &nbsp;</a>

China faces persistent deflation challenges as economic fragility persists&nbsp;

As 2023 draws to a close, China's ongoing battle against deflationary pressures raises concerns about the stability of its economic recovery. According to a Bloomberg survey of economists, the data, which is expected on Thursday, could indicate that consumer prices in China experienced deflation again in October.&nbsp;

<a href="https://www.wionews.com/business-economy/china-faces-persistent-deflation-challenges-as-economic-fragility-persists-655617">Read more here.</a>

Foxconn sees decline in sales amid Chinese investigation: Report&nbsp;

The largest iPhone assembler in the world, Hon Hai Precision Industry Co. (also known as Foxconn), had a 4.6 per cent drop in revenue in October, which has investors worried about the company's survival in the midst of a Chinese probe.

<a href="https://www.wionews.com/business-economy/foxconn-sees-decline-in-sales-amid-chinese-investigation-report-655627">Read more here.</a>

India extends free food grains program to tackle rising cereal prices: Report&nbsp;

Prime Minister Narendra Modi disclosed on Saturday that India has announced a five-year extension of its free food grains programme in an effort to protect people from the skyrocketing prices of cereals and in anticipation of the forthcoming general election early next year. &nbsp;

<a href="https://www.wionews.com/business-economy/india-extends-free-food-grains-program-to-tackle-rising-cereal-prices-report-655659">Read more here.</a>

China to boost imports and market access despite criticism at Trade Expo&nbsp;

Reaffirming its commitment to opening up its economy, China's Premier, Li Qiang, declared on Sunday at the annual China International Import Expo in Shanghai that the nation will increase imports and further extend market access. Li told Reuters that China hopes to import $17 trillion worth of goods and services over the course of the next five years.&nbsp;

<a href="https://www.wionews.com/business-economy/china-to-boost-imports-and-market-access-despite-criticism-at-trade-expo-655683">Read more here.</a>

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WION's Business Desk brings you this daily round up of global stories from the world of business and economy. Italy grapples with billions in losses from severe flooding and extreme weather This year's extreme weather events have devastated Italy, killing crops in certain regions and seriously damaging urban areas.

WION's Business Desk brings you this daily round up of global stories from the world of business and economy. Italy grapples with billions in losses from severe flooding and extreme weather This year's extreme weather events have devastated Italy, killing crops in certain regions and seriously damaging urban areas. The government is counting the hefty cost of these catastrophes. The top insurance firms are already dealing with claims over €3 billion ($3.2 billion) from floods and hurricanes that affected Emilia Romagna and Veneto earlier this year. Read more here. Saudi Arabia’s non-oil business activity surges to four-month high on new orders According to a recent poll, the non-oil business sector in Saudi Arabia has experienced a strong development trend. The survey also revealed that the Kingdom's economy has been growing for the second consecutive month in October. Seasonally adjusted, the Riyad Bank Saudi Arabia Purchasing Managers' Index increased to 58.4 last month from 57.2 in September, according to Reuters. Read more here. Saudi Arabia and Russia hold steady on oil production cuts amid West Asia tensions Even as geopolitical concerns in West Asia continue to upset global oil markets, Saudi Arabia and Russia have reaffirmed their agreement towards maintaining reductions in oil output of more than one million barrels per day until the end of the year. Read more here. China faces persistent deflation challenges as economic fragility persists As 2023 draws to a close, China's ongoing battle against deflationary pressures raises concerns about the stability of its economic recovery. According to a Bloomberg survey of economists, the data, which is expected on Thursday, could indicate that consumer prices in China experienced deflation again in October. Read more here. Foxconn sees decline in sales amid Chinese investigation: Report The largest iPhone assembler in the world, Hon Hai Precision Industry Co. (also known as Foxconn), had a 4.6 per cent drop in revenue in October, which has investors worried about the company's survival in the midst of a Chinese probe. Read more here. India extends free food grains program to tackle rising cereal prices: Report Prime Minister Narendra Modi disclosed on Saturday that India has announced a five-year extension of its free food grains programme in an effort to protect people from the skyrocketing prices of cereals and in anticipation of the forthcoming general election early next year. Read more here. China to boost imports and market access despite criticism at Trade Expo Reaffirming its commitment to opening up its economy, China's Premier, Li Qiang, declared on Sunday at the annual China International Import Expo in Shanghai that the nation will increase imports and further extend market access. Li told Reuters that China hopes to import $17 trillion worth of goods and services over the course of the next five years. Read more here. WATCH WION LIVE HERE

WION Business Wrap | Italy’s losses from extreme weather, Foxconn’s sales decline & more 

China's struggle against deflationary pressures continues, casting a shadow on the stability of its economic recovery as 2023 approaches its end.

Economists surveyed by Bloomberg anticipate that the data to be released on Thursday will likely reveal a return to deflation in China's consumer prices for the month of October. Furthermore, it is expected that producer prices will have declined for the 13th consecutive month, reinforcing the presence of deflationary forces in the economy.

Consumer costs have remained stubbornly weak throughout the year, with the consumer price index having dipped into deflation in July and fluctuated on the edge of negative year-on-year growth since then. Despite the People's Bank of China's August statement predicting a rebound in prices after a rough patch in the summer, the current data suggests that the outlook might have been overly optimistic.

Morgan Stanley has expressed concerns that China may be facing an ongoing battle against falling prices in the coming years. According to the institution, Beijing is still in the "initial stage of the deflation battle" as it endeavours to transition away from an "overextended, credit-fuelled growth model."

The presence of weak inflation figures could add further uncertainty to China's economic growth prospects, particularly following an unexpected contraction in factory activity and slowing growth in the services sector observed in October. According to Larry Hu, Head of China Economics at Macquarie Group Ltd., the broadest gauge of pricing, the GDP deflator, is expected to turn negative in the last three months of the year due to the country's continued weak consumption demand. Bloomberg estimates, based on official data, show that this indicator has already declined for two consecutive quarters, marking the first time since 2015.

Additional reports scheduled for the coming days may provide further insights into the trajectory of China's economic recovery. On Tuesday, export figures are anticipated to show a narrowing drop in October, mainly due to a lower base for comparison with the same month in 2022 when China was contending with pandemic-related lockdowns. 

Furthermore, credit data for the previous month is expected to indicate an increase in overall financing compared to the same period in the previous year, as a substantial number of government bonds enter the market.

There is a growing expectation for the central bank to introduce further liquidity support by reducing the reserve requirement ratio, which determines the amount of cash that banks must keep in reserve. Some analysts even suggest that the central bank may take this step ahead of its monthly policy loan operations in mid-November, responding to the pressure created by the surge in government bond issuance on interbank liquidity.

(With inputs from Bloomberg)

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China's struggle against deflationary pressures continues, casting a shadow on the stability of its economic recovery as 2023 approaches its end. Economists surveyed by Bloomberg anticipate that the data to be released on Thursday will likely reveal a return to deflation in China's consumer prices for the month of October.

China's struggle against deflationary pressures continues, casting a shadow on the stability of its economic recovery as 2023 approaches its end. Economists surveyed by Bloomberg anticipate that the data to be released on Thursday will likely reveal a return to deflation in China's consumer prices for the month of October. Furthermore, it is expected that producer prices will have declined for the 13th consecutive month, reinforcing the presence of deflationary forces in the economy. Consumer costs have remained stubbornly weak throughout the year, with the consumer price index having dipped into deflation in July and fluctuated on the edge of negative year-on-year growth since then. Despite the People's Bank of China's August statement predicting a rebound in prices after a rough patch in the summer, the current data suggests that the outlook might have been overly optimistic. Morgan Stanley has expressed concerns that China may be facing an ongoing battle against falling prices in the coming years. According to the institution, Beijing is still in the "initial stage of the deflation battle" as it endeavours to transition away from an "overextended, credit-fuelled growth model." The presence of weak inflation figures could add further uncertainty to China's economic growth prospects, particularly following an unexpected contraction in factory activity and slowing growth in the services sector observed in October. According to Larry Hu, Head of China Economics at Macquarie Group Ltd., the broadest gauge of pricing, the GDP deflator, is expected to turn negative in the last three months of the year due to the country's continued weak consumption demand. Bloomberg estimates, based on official data, show that this indicator has already declined for two consecutive quarters, marking the first time since 2015. Additional reports scheduled for the coming days may provide further insights into the trajectory of China's economic recovery. On Tuesday, export figures are anticipated to show a narrowing drop in October, mainly due to a lower base for comparison with the same month in 2022 when China was contending with pandemic-related lockdowns. Furthermore, credit data for the previous month is expected to indicate an increase in overall financing compared to the same period in the previous year, as a substantial number of government bonds enter the market. There is a growing expectation for the central bank to introduce further liquidity support by reducing the reserve requirement ratio, which determines the amount of cash that banks must keep in reserve. Some analysts even suggest that the central bank may take this step ahead of its monthly policy loan operations in mid-November, responding to the pressure created by the surge in government bond issuance on interbank liquidity. (With inputs from Bloomberg) WATCH WION LIVE HERE

China faces persistent deflation challenges as economic fragility persists

Saudi Arabia's non-oil business sector has seen a strong growth trend, as indicated by a recent survey, revealing that the Kingdom's economy has been on an upward trajectory for a second consecutive month in October.

According to Reuters, the Riyad Bank Saudi Arabia Purchasing Managers' Index, which is seasonally adjusted, surged to 58.4 last month, up from September's 57.2. This marks an upturn and stands well above the 50-point threshold, signifying growth. Notably, this figure represents the highest reading since June.

One of the driving factors behind this performance has been the surge in new orders, which has played a pivotal role in sustaining the growth momentum. The new orders sub-index rose to 66.1 in October, marking a four-month high and showcasing a significant improvement from the previous month's 64.2.

The positive impact of this surge in new business has been witnessed across various sectors, including manufacturing and construction. Although the growth in output remained strong, the sub-index eased slightly to 60.1, which is&nbsp;slightly below the long-term trend.

Reuters quoted Naif Al-Ghaith, the chief economist at Riyad Bank, as saying, "The surge in new orders signifies an expanding market and suggests that the non-oil sector is experiencing sustained growth and demand for its products."

This is a promising sign for the Saudi economy, indicating a growing demand for labour and potential improvements in the job market, as reflected by the rise in the employment subindex.

In October, the employment subindex reached a nine-year high of 54.5, up from 52.0 in September.

This surge in employment is in line with the government's plan towards creating more job opportunities for its citizens, a key element of Vision 2030, an ambitious economic diversification plan spearheaded by Crown Prince Mohammed bin Salman.

The plan aims to reduce the nation's dependence on oil and create a more diverse and sustainable economy.

(With inputs from Reuters)

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Saudi Arabia's non-oil business sector has seen a strong growth trend, as indicated by a recent survey, revealing that the Kingdom's economy has been on an upward trajectory for a second consecutive month in October.

Saudi Arabia's non-oil business sector has seen a strong growth trend, as indicated by a recent survey, revealing that the Kingdom's economy has been on an upward trajectory for a second consecutive month in October. According to Reuters, the Riyad Bank Saudi Arabia Purchasing Managers' Index, which is seasonally adjusted, surged to 58.4 last month, up from September's 57.2. This marks an upturn and stands well above the 50-point threshold, signifying growth. Notably, this figure represents the highest reading since June. One of the driving factors behind this performance has been the surge in new orders, which has played a pivotal role in sustaining the growth momentum. The new orders sub-index rose to 66.1 in October, marking a four-month high and showcasing a significant improvement from the previous month's 64.2. The positive impact of this surge in new business has been witnessed across various sectors, including manufacturing and construction. Although the growth in output remained strong, the sub-index eased slightly to 60.1, which is slightly below the long-term trend. Reuters quoted Naif Al-Ghaith, the chief economist at Riyad Bank, as saying, "The surge in new orders signifies an expanding market and suggests that the non-oil sector is experiencing sustained growth and demand for its products." This is a promising sign for the Saudi economy, indicating a growing demand for labour and potential improvements in the job market, as reflected by the rise in the employment subindex. In October, the employment subindex reached a nine-year high of 54.5, up from 52.0 in September. This surge in employment is in line with the government's plan towards creating more job opportunities for its citizens, a key element of Vision 2030, an ambitious economic diversification plan spearheaded by Crown Prince Mohammed bin Salman. The plan aims to reduce the nation's dependence on oil and create a more diverse and sustainable economy. (With inputs from Reuters) WATCH WION LIVE HERE

Saudi Arabia’s non-oil business activity surges to four-month high on new orders

Italy is counting the high cost of extreme weather events that have ravaged the country this year, causing significant damage to urban areas and destroying crops in various regions. The effects of these natural disasters are set to run into billions of euros, with the largest insurance companies already facing claims exceeding €3 billion ($3.2 billion) due to floods and hurricanes that struck Veneto and Emilia Romagna earlier this year, Bloomberg cited a report by Sole 24 Ore.

The recent onslaught of severe weather, including deadly rains in Tuscany and northern regions, has further escalated the financial toll. These rains claimed the lives of seven people and have resulted in damages that have already been estimated at over €300 million, according to the Civil Protection Agency. In response, the Italian government has allocated approximately €5 million in aid with a promise of more to support those affected.

According to Bloomberg, Italian authorities have connected the Tuscany weather event to a worrying trend known as "tropicalisation." These storms came on the heels of Italy experiencing its hottest October on record, according to the agriculture association Coldiretti, which estimates that the cost to Italy's agricultural sector from flooding exceeds €6 billion for the year.

The repercussions of this devastation extend beyond just the impact on crops and harvests; they also affect stocks stored in warehouses that have been inundated, as highlighted by Coldiretti.

As the weather alerts remain active in Tuscany and central Italy, the final financial toll of these disasters is yet to be determined. It will become clearer in the coming days. Nevertheless, the impact on major insurance companies has already been felt through their earnings and forecasts.

In particular, shares of Assicurazioni Generali, one of Italy's largest insurers, took a hit at the end of October as they recorded losses of about €840 million from natural catastrophes, surpassing the annual budget.

(With inputs from Bloomberg)

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Italy is counting the high cost of extreme weather events that have ravaged the country this year, causing significant damage to urban areas and destroying crops in various regions.

Italy is counting the high cost of extreme weather events that have ravaged the country this year, causing significant damage to urban areas and destroying crops in various regions. The effects of these natural disasters are set to run into billions of euros, with the largest insurance companies already facing claims exceeding €3 billion ($3.2 billion) due to floods and hurricanes that struck Veneto and Emilia Romagna earlier this year, Bloomberg cited a report by Sole 24 Ore. The recent onslaught of severe weather, including deadly rains in Tuscany and northern regions, has further escalated the financial toll. These rains claimed the lives of seven people and have resulted in damages that have already been estimated at over €300 million, according to the Civil Protection Agency. In response, the Italian government has allocated approximately €5 million in aid with a promise of more to support those affected. According to Bloomberg, Italian authorities have connected the Tuscany weather event to a worrying trend known as "tropicalisation." These storms came on the heels of Italy experiencing its hottest October on record, according to the agriculture association Coldiretti, which estimates that the cost to Italy's agricultural sector from flooding exceeds €6 billion for the year. The repercussions of this devastation extend beyond just the impact on crops and harvests; they also affect stocks stored in warehouses that have been inundated, as highlighted by Coldiretti. As the weather alerts remain active in Tuscany and central Italy, the final financial toll of these disasters is yet to be determined. It will become clearer in the coming days. Nevertheless, the impact on major insurance companies has already been felt through their earnings and forecasts. In particular, shares of Assicurazioni Generali, one of Italy's largest insurers, took a hit at the end of October as they recorded losses of about €840 million from natural catastrophes, surpassing the annual budget. (With inputs from Bloomberg) WATCH WION LIVE HERE

Italy grapples with billions in losses from severe flooding and extreme weather

Foxconn, the world's largest iPhone assembler,&nbsp;has experienced a 4.6 per cent decline in its October sales, raising concerns about the company's future amidst a Chinese investigation.

The investigation initiated by Beijing has cast uncertainty over Foxconn's business, causing ripples in the tech industry, Bloomberg reported.

Foxconn reported a decline in revenue for October, with sales amounting to NT$741.2 billion ($23 billion). Despite this setback, the company has maintained a "significant growth outlook" for the December quarter, which is traditionally its busiest period due to the year-end iPhone shipments. Notably, Apple released its latest iPhone 15 in September.

In a brief statement, Foxconn mentioned that "operations will ramp up sequentially", without providing further details. The ongoing investigation by Chinese authorities has added complexity to Apple's position in its largest international market and primary production base. Regulators in China are currently conducting tax audits and reviewing land use by Foxconn, as reported by state media on October 22.

The report by Bloomberg said that investor concerns have escalated regarding the prospects of Apple's iPhone sales in China, a market that constitutes approximately one-fifth of the tech giant's total sales.

The Chinese consumer economy is grappling with challenges, while U.S. businesses continue to face a hostile environment due to ongoing technology conflicts between the U.S. and China. Additionally, the surprise introduction of a smartphone by Huawei Technologies Co. featuring an advanced made-in-China 5G processor has stirred nationalist sentiment and encroached on iPhone sales.

Hon Hai, the public arm of Foxconn Technology Group, has expressed its intention to cooperate with the Chinese authorities in their investigation. However, the news of the probe has taken a toll on the company and its mainland-listed unit, Foxconn Industrial Internet Co. At one point, the combined market value of these entities plummeted by approximately $9 billion.

Separately, Taiwan has also initiated an investigation into suspected bribes associated with Foxconn founder Terry Gou's presidential campaign. This development comes as the billionaire submits signatures to run in next year's presidential election.

(With inputs from Bloomberg)

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Foxconn, the world's largest iPhone assembler, has experienced a 4.6 per cent decline in its October sales, raising concerns about the company's future amidst a Chinese investigation.

Foxconn, the world's largest iPhone assembler, has experienced a 4.6 per cent decline in its October sales, raising concerns about the company's future amidst a Chinese investigation. The investigation initiated by Beijing has cast uncertainty over Foxconn's business, causing ripples in the tech industry, Bloomberg reported. Foxconn reported a decline in revenue for October, with sales amounting to NT$741.2 billion ($23 billion). Despite this setback, the company has maintained a "significant growth outlook" for the December quarter, which is traditionally its busiest period due to the year-end iPhone shipments. Notably, Apple released its latest iPhone 15 in September. In a brief statement, Foxconn mentioned that "operations will ramp up sequentially", without providing further details. The ongoing investigation by Chinese authorities has added complexity to Apple's position in its largest international market and primary production base. Regulators in China are currently conducting tax audits and reviewing land use by Foxconn, as reported by state media on October 22. The report by Bloomberg said that investor concerns have escalated regarding the prospects of Apple's iPhone sales in China, a market that constitutes approximately one-fifth of the tech giant's total sales. The Chinese consumer economy is grappling with challenges, while U.S. businesses continue to face a hostile environment due to ongoing technology conflicts between the U.S. and China. Additionally, the surprise introduction of a smartphone by Huawei Technologies Co. featuring an advanced made-in-China 5G processor has stirred nationalist sentiment and encroached on iPhone sales. Hon Hai, the public arm of Foxconn Technology Group, has expressed its intention to cooperate with the Chinese authorities in their investigation. However, the news of the probe has taken a toll on the company and its mainland-listed unit, Foxconn Industrial Internet Co. At one point, the combined market value of these entities plummeted by approximately $9 billion. Separately, Taiwan has also initiated an investigation into suspected bribes associated with Foxconn founder Terry Gou's presidential campaign. This development comes as the billionaire submits signatures to run in next year's presidential election. (With inputs from Bloomberg) WATCH WION LIVE HERE

Foxconn sees decline in sales amid Chinese investigation: Report

Chinese&nbsp;Premier Li Qiang&nbsp;on Sunday said that the country would further expand market access and increase imports, reiterating its commitment to opening up its economy.

According to Reuters, Li stated that China aims to reach cumulative imports of goods and services worth $17 trillion within the next five years.

"No matter how the world changes, China's pace of opening up will never stall, and its determination to share development opportunities with the world will never change," Reuter quoted Li as saying during the opening ceremony of the&nbsp;China International Import Expo in Shanghai.&nbsp;

Li emphasised that China is set to promote the coordinated development of trade in both goods and services, safeguard an international business environment, and ease market access, including lifting restrictions on foreign investment in manufacturing.

The China International Import Expo began in 2018 as a means to promote China's credentials in free trade and address concerns about its trade surplus with multiple countries. However, participation in the expo over the past three years was limited due to the COVID-19 pandemic.

Despite the intentions of the event, it has drawn criticism from the European Chamber of Commerce in China, which labelled it a "political showcase" and called for more concrete actions to restore confidence among European businesses operating in the country.

This year's expo, running from November 5th to 10th, has seen the presence of large delegations from countries like Australia and the United States, along with the participation of renowned companies such as Micron Technology, Nestle, Burberry, and L'Oreal, as reported by state media.

During the opening ceremony, Australian Prime Minister Anthony Albanese, on the first visit to China by an Australian leader in seven years, underscored the importance of dialogue and cooperation, stating that it is in the interest of all parties.

In his speech, Li Qiang also mentioned China's intention to "actively promote" its application to join the Comprehensive Progressive Trans-Pacific Partnership (CPTPP). Several other countries, including Taiwan, Ukraine, Costa Rica, Uruguay, and Ecuador, have also applied for membership.

The CPTPP, a significant trade pact agreed upon in 2018 among 11 countries, aims to reduce trade barriers. Britain became the 12th member earlier this year. China's application is next in line to be considered by the 12 members, in the order of their submission.

(With inputs from Reuters)

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Chinese Premier Li Qiang on Sunday said that the country would further expand market access and increase imports, reiterating its commitment to opening up its economy.

Chinese Premier Li Qiang on Sunday said that the country would further expand market access and increase imports, reiterating its commitment to opening up its economy. According to Reuters, Li stated that China aims to reach cumulative imports of goods and services worth $17 trillion within the next five years. "No matter how the world changes, China's pace of opening up will never stall, and its determination to share development opportunities with the world will never change," Reuter quoted Li as saying during the opening ceremony of the China International Import Expo in Shanghai. Li emphasised that China is set to promote the coordinated development of trade in both goods and services, safeguard an international business environment, and ease market access, including lifting restrictions on foreign investment in manufacturing. The China International Import Expo began in 2018 as a means to promote China's credentials in free trade and address concerns about its trade surplus with multiple countries. However, participation in the expo over the past three years was limited due to the COVID-19 pandemic. Despite the intentions of the event, it has drawn criticism from the European Chamber of Commerce in China, which labelled it a "political showcase" and called for more concrete actions to restore confidence among European businesses operating in the country. This year's expo, running from November 5th to 10th, has seen the presence of large delegations from countries like Australia and the United States, along with the participation of renowned companies such as Micron Technology, Nestle, Burberry, and L'Oreal, as reported by state media. During the opening ceremony, Australian Prime Minister Anthony Albanese, on the first visit to China by an Australian leader in seven years, underscored the importance of dialogue and cooperation, stating that it is in the interest of all parties. In his speech, Li Qiang also mentioned China's intention to "actively promote" its application to join the Comprehensive Progressive Trans-Pacific Partnership (CPTPP). Several other countries, including Taiwan, Ukraine, Costa Rica, Uruguay, and Ecuador, have also applied for membership. The CPTPP, a significant trade pact agreed upon in 2018 among 11 countries, aims to reduce trade barriers. Britain became the 12th member earlier this year. China's application is next in line to be considered by the 12 members, in the order of their submission. (With inputs from Reuters) WATCH WION LIVE HERE

China to boost imports and market access despite criticism at Trade Expo

In a bid to shield consumers from the surging prices of cereals and in preparation for the upcoming general election early next year, India on Saturday announced a five-year extension of its free food grains program.&nbsp;

The extension is expected to provide relief to consumers but will also lead to increased government spending and the necessity for New Delhi to procure larger quantities of wheat and rice from farmers to sustain the welfare program, which currently offers free grains to over 800 million people.

Prime Minister Narendra Modi confirmed this decision during an election rally in Durg, a city located in the central state of Chhattisgarh, where state elections are scheduled for this month. The grains program, estimated to cost the government approximately 2 trillion rupees ($24.06 billion) this year, was initially set to expire at the end of the year.

As the world's second-largest producer of wheat and rice, India has taken steps to restrict the exports of these cereals in order to curb rising prices domestically. This move has been necessitated by the government's need to purchase from farmers to ensure the smooth operation of the welfare program.

Reuters cited a dealer based in Mumbai and affiliated with a global trade house, who highlighted the implications of these export restrictions, stating that without them, local prices would surpass the government-set floor prices, hindering the government's ability to procure an adequate quantity of grains.

For the first time in eight years, India is expecting a drop in its rice output this year, which has raised concerns that New Delhi may extend restrictions on rice exports to maintain control over food prices in the lead-up to the elections.

Global rice prices have surged to a 15-year high following India's decision to limit exports of non-basmati rice varieties in July. India, as the world's largest rice exporter, is responsible for over 40 per cent of global rice exports.

(With inputs from Reuters)

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In a bid to shield consumers from the surging prices of cereals and in preparation for the upcoming general election early next year, India on Saturday announced a five-year extension of its free food grains program.

In a bid to shield consumers from the surging prices of cereals and in preparation for the upcoming general election early next year, India on Saturday announced a five-year extension of its free food grains program. The extension is expected to provide relief to consumers but will also lead to increased government spending and the necessity for New Delhi to procure larger quantities of wheat and rice from farmers to sustain the welfare program, which currently offers free grains to over 800 million people. Prime Minister Narendra Modi confirmed this decision during an election rally in Durg, a city located in the central state of Chhattisgarh, where state elections are scheduled for this month. The grains program, estimated to cost the government approximately 2 trillion rupees ($24.06 billion) this year, was initially set to expire at the end of the year. As the world's second-largest producer of wheat and rice, India has taken steps to restrict the exports of these cereals in order to curb rising prices domestically. This move has been necessitated by the government's need to purchase from farmers to ensure the smooth operation of the welfare program. Reuters cited a dealer based in Mumbai and affiliated with a global trade house, who highlighted the implications of these export restrictions, stating that without them, local prices would surpass the government-set floor prices, hindering the government's ability to procure an adequate quantity of grains. For the first time in eight years, India is expecting a drop in its rice output this year, which has raised concerns that New Delhi may extend restrictions on rice exports to maintain control over food prices in the lead-up to the elections. Global rice prices have surged to a 15-year high following India's decision to limit exports of non-basmati rice varieties in July. India, as the world's largest rice exporter, is responsible for over 40 per cent of global rice exports. (With inputs from Reuters) WATCH WION LIVE HERE

India extends free food grain programme to tackle rising cereal prices: Report

WeWork, the office-sharing start-up backed by SoftBank Group, which once held the title of the most valuable U.S. start-up, filed for&nbsp;bankruptcy protection, a Reuters report said on Monday.&nbsp;The company's rise and fall has had&nbsp;a profound impact on the global office sector, as it grappled with mounting challenges, including the impact of remote work on its business.&nbsp;

The decision to seek bankruptcy protection is yet another&nbsp;acknowledgment by SoftBank, the Japanese technology conglomerate that owns approximately 60 per cent of WeWork, that the company's survival depends on renegotiating its costly leases.

WeWork has struggled to achieve profitability, primarily due to its expensive leases and the shift in corporate clients' preferences towards remote work. &nbsp;

According to financial data from the second quarter of 2023, 74 per cent of WeWork's revenue was being consumed by lease payments. &nbsp;

In its bankruptcy filing, WeWork reported estimated assets and liabilities ranging from $10 billion to $50 billion. The company is now looking to leverage U.S. bankruptcy code provisions to free itself from heavy leases, as suggested by law firm Cadwalader, Wickersham &amp; Taft LLP in an August note to landlords. However, this move has left many landlords anticipating a significant impact on their rental income.&nbsp;

According to Reuters, founder Adam Neumann had led WeWork to an unprecedented valuation of $47 billion, attracting investments from esteemed institutions such as SoftBank, Benchmark, and Wall Street giants like JPMorgan Chase. &nbsp;

Neumann's emphasis on rapid expansion at the cost of profitability, coupled with revelations about his eccentric behaviour, ultimately led to his removal and the derailment of an initial public offering in 2019. This compelled SoftBank to double down on its investment and appoint real estate expert Sandeep Mathrani as CEO. In 2021, SoftBank attempted to take WeWork public via a merger with a blank-check acquisition company, valuing the firm at $8 billion.&nbsp;

Despite managing to amend 590 leases and save approximately $12.7 billion in fixed lease payments, WeWork could not overcome the challenges posed by the COVID-19 pandemic. Office workers continued to work from home, severely affecting WeWork's business model. With little incentive from struggling landlords to ease lease terms, WeWork found itself in an increasingly untenable situation.&nbsp;

Furthermore, WeWork's clientele, consisting of&nbsp;both large corporations and smaller businesses, reduced their spending amid soaring inflation and economic uncertainty. To compound its problems, WeWork faced stiff competition from its own landlords, as commercial property companies began offering shorter and more flexible leases to adapt to the evolving office sector.&nbsp;

Earlier this year, David Tolley, a former investment banker and private equity executive, succeeded Sandeep Mathrani as WeWork's CEO. Tolley, who had previously helped the debt-ridden satellite communications provider Intelsat emerge from bankruptcy, took the helm in an attempt to steer WeWork towards stability.

Despite engaging in debt restructurings and securing a seven-day extension on an interest payment from creditors just last week, WeWork found itself unable to avert the impending bankruptcy.&nbsp;

(With inputs from Reuters)&nbsp;

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WeWork, the office-sharing start-up backed by SoftBank Group, which once held the title of the most valuable U.S. start-up, filed for bankruptcy protection, a Reuters report said on Monday.

WeWork, the office-sharing start-up backed by SoftBank Group, which once held the title of the most valuable U.S. start-up, filed for bankruptcy protection, a Reuters report said on Monday. The company's rise and fall has had a profound impact on the global office sector, as it grappled with mounting challenges, including the impact of remote work on its business. The decision to seek bankruptcy protection is yet another acknowledgment by SoftBank, the Japanese technology conglomerate that owns approximately 60 per cent of WeWork, that the company's survival depends on renegotiating its costly leases. WeWork has struggled to achieve profitability, primarily due to its expensive leases and the shift in corporate clients' preferences towards remote work. According to financial data from the second quarter of 2023, 74 per cent of WeWork's revenue was being consumed by lease payments. In its bankruptcy filing, WeWork reported estimated assets and liabilities ranging from $10 billion to $50 billion. The company is now looking to leverage U.S. bankruptcy code provisions to free itself from heavy leases, as suggested by law firm Cadwalader, Wickersham & Taft LLP in an August note to landlords. However, this move has left many landlords anticipating a significant impact on their rental income. According to Reuters, founder Adam Neumann had led WeWork to an unprecedented valuation of $47 billion, attracting investments from esteemed institutions such as SoftBank, Benchmark, and Wall Street giants like JPMorgan Chase. Neumann's emphasis on rapid expansion at the cost of profitability, coupled with revelations about his eccentric behaviour, ultimately led to his removal and the derailment of an initial public offering in 2019. This compelled SoftBank to double down on its investment and appoint real estate expert Sandeep Mathrani as CEO. In 2021, SoftBank attempted to take WeWork public via a merger with a blank-check acquisition company, valuing the firm at $8 billion. Despite managing to amend 590 leases and save approximately $12.7 billion in fixed lease payments, WeWork could not overcome the challenges posed by the COVID-19 pandemic. Office workers continued to work from home, severely affecting WeWork's business model. With little incentive from struggling landlords to ease lease terms, WeWork found itself in an increasingly untenable situation. Furthermore, WeWork's clientele, consisting of both large corporations and smaller businesses, reduced their spending amid soaring inflation and economic uncertainty. To compound its problems, WeWork faced stiff competition from its own landlords, as commercial property companies began offering shorter and more flexible leases to adapt to the evolving office sector. Earlier this year, David Tolley, a former investment banker and private equity executive, succeeded Sandeep Mathrani as WeWork's CEO. Tolley, who had previously helped the debt-ridden satellite communications provider Intelsat emerge from bankruptcy, took the helm in an attempt to steer WeWork towards stability. Despite engaging in debt restructurings and securing a seven-day extension on an interest payment from creditors just last week, WeWork found itself unable to avert the impending bankruptcy. (With inputs from Reuters) WATCH WION LIVE HERE

WeWork, once a pinnacle of tech innovation, files for bankruptcy as challenges mount 

Citigroup is reportedly contemplating substantial job reductions of at least 10 per cent in several of its major business segments as part of a comprehensive reorganisation effort led by CEO Jane Fraser, a CNBC report said citing sources. &nbsp;

Citigroup had previously signalled the possibility of job cuts as it unveiled its sweeping overhaul plan in September. However, the scale of these layoffs and cost savings will be evaluated in the current quarter.&nbsp;

The internal initiative, known as "Project Bora Bora", is aimed at providing CEO Jane Fraser with more direct control as she endeavours to simplify Citigroup and enhance its stock performance. These discussions are still in the early stages, and the exact number of job cuts may fluctuate as the planning progresses. Citigroup has enlisted the services of Boston Consulting Group to facilitate this strategic transformation.&nbsp;

The restructuring plan, driven by Fraser's objective to eliminate regional managers, co-heads, and individuals with overlapping roles, is expected to result in job reductions extending beyond the initial 10 per cent in the executive ranks. In the previous month, Citigroup announced plans to reduce its management layers from 13 to eight, which involved a 15 per cent reduction in functional roles within the top two leadership layers and the elimination of 60 committees.&nbsp;

According to Reuters, the bank has maintained a global headcount of 240,000 throughout this year, as disclosed in its most recent quarterly supplement.&nbsp;

A Citibank spokesperson acknowledged the challenging and consequential decisions associated with the ongoing reorganisation but stressed that they are necessary steps to align the bank's structure with its strategic objectives, as outlined during the 2022 Investor Day.&nbsp;

Since assuming the leadership of Citigroup in 2021, CEO Jane Fraser has been working to enhance profitability, streamline the bank's operations, and address regulatory issues. Despite these efforts, Citigroup's stock performance has lagged behind its peers.&nbsp;

(With inputs from Reuters)&nbsp;

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Citigroup is reportedly contemplating substantial job reductions of at least 10 per cent in several of its major business segments as part of a comprehensive reorganisation effort led by CEO Jane Fraser, a CNBC report said citing sources.

Citigroup is reportedly contemplating substantial job reductions of at least 10 per cent in several of its major business segments as part of a comprehensive reorganisation effort led by CEO Jane Fraser, a CNBC report said citing sources. Citigroup had previously signalled the possibility of job cuts as it unveiled its sweeping overhaul plan in September. However, the scale of these layoffs and cost savings will be evaluated in the current quarter. The internal initiative, known as "Project Bora Bora", is aimed at providing CEO Jane Fraser with more direct control as she endeavours to simplify Citigroup and enhance its stock performance. These discussions are still in the early stages, and the exact number of job cuts may fluctuate as the planning progresses. Citigroup has enlisted the services of Boston Consulting Group to facilitate this strategic transformation. The restructuring plan, driven by Fraser's objective to eliminate regional managers, co-heads, and individuals with overlapping roles, is expected to result in job reductions extending beyond the initial 10 per cent in the executive ranks. In the previous month, Citigroup announced plans to reduce its management layers from 13 to eight, which involved a 15 per cent reduction in functional roles within the top two leadership layers and the elimination of 60 committees. According to Reuters, the bank has maintained a global headcount of 240,000 throughout this year, as disclosed in its most recent quarterly supplement. A Citibank spokesperson acknowledged the challenging and consequential decisions associated with the ongoing reorganisation but stressed that they are necessary steps to align the bank's structure with its strategic objectives, as outlined during the 2022 Investor Day. Since assuming the leadership of Citigroup in 2021, CEO Jane Fraser has been working to enhance profitability, streamline the bank's operations, and address regulatory issues. Despite these efforts, Citigroup's stock performance has lagged behind its peers. (With inputs from Reuters) WATCH WION LIVE HERE

Citigroup considers significant job cuts in major restructuring: Report 

Tesla, the electric vehicle pioneer, is reportedly gearing up to produce a more affordable electric car with a price tag of 25,000 euros (approximately $26,838) at its factory located near Berlin, a Reuters report said, citing an anonymous source familiar with the matter. The development signals a significant move for Tesla as it aims to promote wider adoption of its electric vehicles.&nbsp;

The source, who opted to remain unnamed, did not specify when production of the affordable model would commence. Tesla declined to provide official comments on the matter. In response to this news, Tesla's shares experienced a 3 per cent increase in pre-market trading in the United States at 0910 GMT. &nbsp;

The relatively high cost is impeding the widespread adoption of electric cars&nbsp;in Europe and the United States.&nbsp;Moreover, the cost of electric cars have been compounded by elevated interest rates. In the first half of 2023, the average retail price of an electric vehicle in Europe exceeded 65,000 euros ($69,000), as reported by automotive research firm JATO Dynamics. In contrast, the average price of an electric car in China was just over 31,000 euros ($33,000).&nbsp;

Tesla's CEO Elon Musk has been&nbsp;expressing his desire&nbsp;to develop a more affordable electric car. In September, insider sources revealed that Tesla has made significant progress in the development of an innovation that would enable the casting of nearly the entire underbody of electric vehicles in one piece. This advancement would lead to increased production efficiency and reduced costs.&nbsp;

Tesla's strategy to expand into the mass market is crucial in achieving its goal of delivering 20 million vehicles by 2030, setting it apart from competitors like Volkswagen, a company which has&nbsp;focused on preserving profit margins during the electric vehicle transition without setting specific delivery targets.&nbsp;

CEO Elon Musk recently visited the Tesla plant in Gruenheide, Germany, where he revealed plans to produce the 25,000-euro vehicle at the German plant, marking a significant development in the company's strategy. The Gruenheide plant currently manufactures the Model Y, which is the best-selling electric vehicle in Europe.&nbsp;

Tesla has intentions to double the manufacturing capacity of its German plant, with the goal of producing up to 1 million vehicles annually. The company has not released updated production figures since March when it announced the production of 5,000 vehicles per week, equivalent to approximately 250,000 vehicles annually.&nbsp;

Local authorities in Germany have requested additional information from Tesla regarding how their expansion plans align with conservation laws. A decision on whether to approve the expansion is pending, with no specific timeframe provided.&nbsp;

Furthermore, Tesla announced a four&nbsp;per cent wage increase for all employees, effective from November onwards. Production workers will also receive an additional 2,500 euros ($2,600) per year starting from February 2024, representing an 18 per cent pay increase over a one-to-one-and-a-half-year period. German union IG Metall had previously noted that Tesla's wages were approximately 20 per cent lower than those offered under collective bargaining agreements at other car manufacturers.&nbsp;

(With inputs from Reuters)&nbsp;

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Tesla, the electric vehicle pioneer, is reportedly gearing up to produce a more affordable electric car with a price tag of 25,000 euros (approximately $26,838) at its factory located near Berlin, a Reuters report said, citing an anonymous source familiar with the matter.

Tesla, the electric vehicle pioneer, is reportedly gearing up to produce a more affordable electric car with a price tag of 25,000 euros (approximately $26,838) at its factory located near Berlin, a Reuters report said, citing an anonymous source familiar with the matter. The development signals a significant move for Tesla as it aims to promote wider adoption of its electric vehicles. The source, who opted to remain unnamed, did not specify when production of the affordable model would commence. Tesla declined to provide official comments on the matter. In response to this news, Tesla's shares experienced a 3 per cent increase in pre-market trading in the United States at 0910 GMT. The relatively high cost is impeding the widespread adoption of electric cars in Europe and the United States. Moreover, the cost of electric cars have been compounded by elevated interest rates. In the first half of 2023, the average retail price of an electric vehicle in Europe exceeded 65,000 euros ($69,000), as reported by automotive research firm JATO Dynamics. In contrast, the average price of an electric car in China was just over 31,000 euros ($33,000). Tesla's CEO Elon Musk has been expressing his desire to develop a more affordable electric car. In September, insider sources revealed that Tesla has made significant progress in the development of an innovation that would enable the casting of nearly the entire underbody of electric vehicles in one piece. This advancement would lead to increased production efficiency and reduced costs. Tesla's strategy to expand into the mass market is crucial in achieving its goal of delivering 20 million vehicles by 2030, setting it apart from competitors like Volkswagen, a company which has focused on preserving profit margins during the electric vehicle transition without setting specific delivery targets. CEO Elon Musk recently visited the Tesla plant in Gruenheide, Germany, where he revealed plans to produce the 25,000-euro vehicle at the German plant, marking a significant development in the company's strategy. The Gruenheide plant currently manufactures the Model Y, which is the best-selling electric vehicle in Europe. Tesla has intentions to double the manufacturing capacity of its German plant, with the goal of producing up to 1 million vehicles annually. The company has not released updated production figures since March when it announced the production of 5,000 vehicles per week, equivalent to approximately 250,000 vehicles annually. Local authorities in Germany have requested additional information from Tesla regarding how their expansion plans align with conservation laws. A decision on whether to approve the expansion is pending, with no specific timeframe provided. Furthermore, Tesla announced a four per cent wage increase for all employees, effective from November onwards. Production workers will also receive an additional 2,500 euros ($2,600) per year starting from February 2024, representing an 18 per cent pay increase over a one-to-one-and-a-half-year period. German union IG Metall had previously noted that Tesla's wages were approximately 20 per cent lower than those offered under collective bargaining agreements at other car manufacturers. (With inputs from Reuters) WATCH WION LIVE HERE

Tesla plans to launch affordable 25,000-euro car in Germany: Media reports

In Mexico, businesses, especially those in the real estate and construction sectors, are embracing the concept of "nearshoring" to drive profits and stimulate economic growth, primarily in industrial zones near the U.S. border.&nbsp;

According to Reuters, the Mexican government anticipates that nearshoring, characterised by moving manufacturing capacity closer to the U.S. market instead of Asia, could contribute up to 1.2 percentage points to the nation's economic growth, which is projected to reach 3.5 per cent this year.&nbsp;

Amid concerns about potential challenges like gang violence and supply chain disruptions, the allure of nearshoring has captivated both local and foreign businesses, many of which are keen to capitalise on evolving production trends.&nbsp;

&nbsp;"Many companies are already talking about this - about nearshoring and the economic benefits," Reuters quoted Gerardo Copca, an analyst at consultancy MetAnalisis, as saying, emphasising the growing buzz around the concept. However, he cautioned that while it holds potential, the transition will take time.&nbsp;

In the first half of 2023, Mexico attracted around $29 billion in foreign direct investment, representing a 5.6 per cent increase from 2022, with over half of this investment being directed into the industrial sector.&nbsp;

One notable example: the reported $5 billion investment by electric vehicle manufacturer Tesla in a new factory in northern Mexico. This initiative has attracted $1 billion in Chinese investments to neighbouring industries. Mexican gross fixed investment has surged, marking the most substantial annual growth since 1997, with a year-on-year increase of 31.5 per cent in seasonally adjusted terms recorded in August, as per the latest data.&nbsp;

Real estate investment trust Fibra Uno in Mexico is planning to launch a trust that enables investors to benefit from the anticipated growth in industrial assets. CEO Andre El-Mann of Fibra Uno envisions the momentum of Mexico's nearshoring to continue for the next 15 years.&nbsp;

Rising demand and opportunities in the industrial sector&nbsp;

The expected demand for manufacturing properties in 2023-24 is estimated at 2.5 million square meters, marking an 80 per cent increase from the previous year, according to the industrial parks association AMPIP. This heightened demand is particularly pronounced in the automotive, electronics, and machinery sectors.&nbsp;

Reuters quoted&nbsp;Lorenzo Berho, the head of construction firm Vesta, as saying that&nbsp;the potential benefits not only for northern Mexico but also for the central car making region known as El Bajio, which is deemed an attractive location for multinationals. This region, encompassing states like Queretaro, Guanajuato, and Jalisco, has a strong labour force and robust logistics infrastructure.&nbsp;

Enrique Navarro, the CFO at Banco Regional told Reuters that he foresees substantial growth in northern, western, and central Mexico driven by the relocation of manufacturing capacities from Asia. Mexico's strategic location adjacent to the United States, the world's largest economy, and its participation in various trade agreements, including USMCA (United States-Mexico-Canada Agreement), are significant advantages.&nbsp;

Additionally, Mexico's lower labour costs and the escalating economic tensions between the U.S. and China are attractive factors for businesses seeking to reshore their operations. However, some challenges persist, such as President Andres Manuel Lopez Obrador's efforts to tighten state control over the energy sector, raising concerns about the adequacy of infrastructure investment. Swiss bank UBS warned about bottlenecks caused by electricity instability, water scarcity, and limited industrial space.&nbsp;

Nonetheless, the impact of nearshoring is becoming tangible in the real economy. GCC, a cement company, reported that between July and September, the increased demand for cement stemmed from the construction of industrial projects in Chihuahua state, bordering Texas. Total Mexican construction output exhibited growth of nearly 46 per cent in August year-on-year, with northern states showing increased performance.&nbsp;

(With inputs from Reuters)&nbsp;

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In Mexico, businesses, especially those in the real estate and construction sectors, are embracing the concept of "nearshoring" to drive profits and stimulate economic growth, primarily in industrial zones near the U.

In Mexico, businesses, especially those in the real estate and construction sectors, are embracing the concept of "nearshoring" to drive profits and stimulate economic growth, primarily in industrial zones near the U.S. border. According to Reuters, the Mexican government anticipates that nearshoring, characterised by moving manufacturing capacity closer to the U.S. market instead of Asia, could contribute up to 1.2 percentage points to the nation's economic growth, which is projected to reach 3.5 per cent this year. Amid concerns about potential challenges like gang violence and supply chain disruptions, the allure of nearshoring has captivated both local and foreign businesses, many of which are keen to capitalise on evolving production trends. "Many companies are already talking about this - about nearshoring and the economic benefits," Reuters quoted Gerardo Copca, an analyst at consultancy MetAnalisis, as saying, emphasising the growing buzz around the concept. However, he cautioned that while it holds potential, the transition will take time. In the first half of 2023, Mexico attracted around $29 billion in foreign direct investment, representing a 5.6 per cent increase from 2022, with over half of this investment being directed into the industrial sector. One notable example: the reported $5 billion investment by electric vehicle manufacturer Tesla in a new factory in northern Mexico. This initiative has attracted $1 billion in Chinese investments to neighbouring industries. Mexican gross fixed investment has surged, marking the most substantial annual growth since 1997, with a year-on-year increase of 31.5 per cent in seasonally adjusted terms recorded in August, as per the latest data. Real estate investment trust Fibra Uno in Mexico is planning to launch a trust that enables investors to benefit from the anticipated growth in industrial assets. CEO Andre El-Mann of Fibra Uno envisions the momentum of Mexico's nearshoring to continue for the next 15 years. Rising demand and opportunities in the industrial sector The expected demand for manufacturing properties in 2023-24 is estimated at 2.5 million square meters, marking an 80 per cent increase from the previous year, according to the industrial parks association AMPIP. This heightened demand is particularly pronounced in the automotive, electronics, and machinery sectors. Reuters quoted Lorenzo Berho, the head of construction firm Vesta, as saying that the potential benefits not only for northern Mexico but also for the central car making region known as El Bajio, which is deemed an attractive location for multinationals. This region, encompassing states like Queretaro, Guanajuato, and Jalisco, has a strong labour force and robust logistics infrastructure. Enrique Navarro, the CFO at Banco Regional told Reuters that he foresees substantial growth in northern, western, and central Mexico driven by the relocation of manufacturing capacities from Asia. Mexico's strategic location adjacent to the United States, the world's largest economy, and its participation in various trade agreements, including USMCA (United States-Mexico-Canada Agreement), are significant advantages. Additionally, Mexico's lower labour costs and the escalating economic tensions between the U.S. and China are attractive factors for businesses seeking to reshore their operations. However, some challenges persist, such as President Andres Manuel Lopez Obrador's efforts to tighten state control over the energy sector, raising concerns about the adequacy of infrastructure investment. Swiss bank UBS warned about bottlenecks caused by electricity instability, water scarcity, and limited industrial space. Nonetheless, the impact of nearshoring is becoming tangible in the real economy. GCC, a cement company, reported that between July and September, the increased demand for cement stemmed from the construction of industrial projects in Chihuahua state, bordering Texas. Total Mexican construction output exhibited growth of nearly 46 per cent in August year-on-year, with northern states showing increased performance. (With inputs from Reuters) WATCH WION LIVE HERE

Mexican 'nearshoring' fosters optimism in business landscape 

As the festive season rolls on with Diwali around the corner, the diamond business in India is witnessing a major trend. While the traditional diamond polishing business in Surat is suffering amid the current geopolitical landscape and the Russia-Ukraine war, lab-grown diamonds (LGDs) are emerging as popular alternatives to natural diamonds. &nbsp;

The situation in Surat &nbsp;

As per media reports, the diamond business in Surat is seeing a notable decline, as the Ukraine War has disrupted the supply of rough diamonds. &nbsp;

An ANI report quoted Dinesh Navadia, the Regional Chairman of the Gems and Jewellery Export Promotion Council, as saying that prior to the war in Ukraine, approximately 1.75 lakh carats of raw materials used to enter Surat from Russia.&nbsp;

The current situation has, however, resulted in a scarcity of essential raw materials. &nbsp;

Navadia pointed out that a substantial portion, ranging from 30 to 35 per cent of rough diamonds imported from Russia' Alrosa, typically find their way to the Indian market for cutting and polishing, with Surat and Mumbai being key centres for these activities. &nbsp;

Diamond businesses in Surat have still not recovered, threatening the livelihoods of local artisans.&nbsp;

Trade associations such as the Gems and Jewellery Export Promotion Council (GJEPC) are still working to open up new markets in West Asia and the Far East. &nbsp;

Despite receiving interest from potential buyers in Hong Kong and Dubai, the demand for Indian products remained low due to the geopolitical situation.&nbsp;

With the initial scarcity of raw materials and the present slump in demand for natural diamonds, LGDs have begun to thrive in the Indian market. &nbsp;

The LGD landscape &nbsp;&nbsp;

According to an Economic Times report, industry experts anticipate that LGDs would sell more during this festive season, driven by increasing consumer acceptance. Manufacturers have introduced buyback programs, and the retail network is expanding, which is likely to lead to a significant year-on-year growth of up to 60 per cent during this period. &nbsp;

Notably, lab-grown diamonds are no longer limited to the 18-35 age groups, as even high-net-worth individuals (HNIs) have developed an interest in them. Previously, lab-grown diamonds were primarily favoured by the younger demographic, who found them more affordable than natural diamonds. &nbsp;

According to Lisa Mukhedkar, the founder and CEO of Aukera, LGDs have emerged as “the choice” for their cut, colour, clarity, and carat weight. They have also become a sustainable option for environmentally conscious consumers, she said.&nbsp;

On a similar note, Abheek Mehta, the Co-founder of Amal Jewels, mentioned that lab-grown diamonds are identical in terms of their physical and chemical properties, including their designs. He also noted that the primary distinction lies in the pricing, with the price difference increasing as the size of the diamond becomes larger. According to him, lab-grown diamonds are typically 50-60 per cent more affordable.&nbsp;

The current trend &nbsp;

“The demand for natural diamonds is slowing down since lab grown diamonds are a cheaper substitute with the exact same qualities," Mehta said.

“Natural diamonds are not doing well even in international markets like the US and China,” he noted.&nbsp;

Commenting on the differences in price, Lisa Mukhedkar said, “Smaller stones come at 60 to 70 per cent of the cost of their mined counterparts, and for larger carats and fancy shapes, the savings can be as high as 80 per cent. This makes it a sound investment choice.”&nbsp;

Mehta said the one-carat LGD rings are being sold for about 50-60 thousand rupees, while natural diamonds would cost about 6-7 lakh rupees.

Previous reports suggest that the market for LGDs is thriving due to the current geopolitical situation and the limited supply of diamonds from Russia. However, Mukhedkar also attributed the LGDs’ increasing popularity to the expansion of the “solitaire market”, notably in the USA, which in turn has sparked a similar trend in India. &nbsp;

During the ongoing festive season, Mehta is optimistic about the sales for LGDs. “Considering that we’ve seen a lot of enquiries and sales during the festive season, we expect strong sales during this period until Diwali,” he said. &nbsp;

Mukhedkar said that the festive season is likely to witness increased sales of LGDs as they provide better value to customers. “Furthermore, customer awareness about the advantages of grown diamonds is leading to increased demand,” she added. &nbsp;

Speaking of the anticipated trends in the diamond market, Mehta of Amal Jewels&nbsp;said, “There may be a few rare natural diamonds that are bigger in size which will be priced appropriately to their value. However, LGDs are set to replace diamond jewellery that is worn on a daily basis.”&nbsp;

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As the festive season rolls on with Diwali around the corner, the diamond business in India is witnessing a major trend. While the traditional diamond polishing business in Surat is suffering amid the current geopolitical landscape and the Russia-Ukraine war, lab-grown diamonds (LGDs) are emerging as popular alternatives to natural diamonds.

As the festive season rolls on with Diwali around the corner, the diamond business in India is witnessing a major trend. While the traditional diamond polishing business in Surat is suffering amid the current geopolitical landscape and the Russia-Ukraine war, lab-grown diamonds (LGDs) are emerging as popular alternatives to natural diamonds. The situation in Surat As per media reports, the diamond business in Surat is seeing a notable decline, as the Ukraine War has disrupted the supply of rough diamonds. An ANI report quoted Dinesh Navadia, the Regional Chairman of the Gems and Jewellery Export Promotion Council, as saying that prior to the war in Ukraine, approximately 1.75 lakh carats of raw materials used to enter Surat from Russia. The current situation has, however, resulted in a scarcity of essential raw materials. Navadia pointed out that a substantial portion, ranging from 30 to 35 per cent of rough diamonds imported from Russia' Alrosa, typically find their way to the Indian market for cutting and polishing, with Surat and Mumbai being key centres for these activities. Diamond businesses in Surat have still not recovered, threatening the livelihoods of local artisans. Trade associations such as the Gems and Jewellery Export Promotion Council (GJEPC) are still working to open up new markets in West Asia and the Far East. Despite receiving interest from potential buyers in Hong Kong and Dubai, the demand for Indian products remained low due to the geopolitical situation. With the initial scarcity of raw materials and the present slump in demand for natural diamonds, LGDs have begun to thrive in the Indian market. The LGD landscape According to an Economic Times report, industry experts anticipate that LGDs would sell more during this festive season, driven by increasing consumer acceptance. Manufacturers have introduced buyback programs, and the retail network is expanding, which is likely to lead to a significant year-on-year growth of up to 60 per cent during this period. Notably, lab-grown diamonds are no longer limited to the 18-35 age groups, as even high-net-worth individuals (HNIs) have developed an interest in them. Previously, lab-grown diamonds were primarily favoured by the younger demographic, who found them more affordable than natural diamonds. According to Lisa Mukhedkar, the founder and CEO of Aukera, LGDs have emerged as “the choice” for their cut, colour, clarity, and carat weight. They have also become a sustainable option for environmentally conscious consumers, she said. On a similar note, Abheek Mehta, the Co-founder of Amal Jewels, mentioned that lab-grown diamonds are identical in terms of their physical and chemical properties, including their designs. He also noted that the primary distinction lies in the pricing, with the price difference increasing as the size of the diamond becomes larger. According to him, lab-grown diamonds are typically 50-60 per cent more affordable. The current trend “The demand for natural diamonds is slowing down since lab grown diamonds are a cheaper substitute with the exact same qualities," Mehta said. “Natural diamonds are not doing well even in international markets like the US and China,” he noted. Commenting on the differences in price, Lisa Mukhedkar said, “Smaller stones come at 60 to 70 per cent of the cost of their mined counterparts, and for larger carats and fancy shapes, the savings can be as high as 80 per cent. This makes it a sound investment choice.” Mehta said the one-carat LGD rings are being sold for about 50-60 thousand rupees, while natural diamonds would cost about 6-7 lakh rupees. Previous reports suggest that the market for LGDs is thriving due to the current geopolitical situation and the limited supply of diamonds from Russia. However, Mukhedkar also attributed the LGDs’ increasing popularity to the expansion of the “solitaire market”, notably in the USA, which in turn has sparked a similar trend in India. During the ongoing festive season, Mehta is optimistic about the sales for LGDs. “Considering that we’ve seen a lot of enquiries and sales during the festive season, we expect strong sales during this period until Diwali,” he said. Mukhedkar said that the festive season is likely to witness increased sales of LGDs as they provide better value to customers. “Furthermore, customer awareness about the advantages of grown diamonds is leading to increased demand,” she added. Speaking of the anticipated trends in the diamond market, Mehta of Amal Jewels said, “There may be a few rare natural diamonds that are bigger in size which will be priced appropriately to their value. However, LGDs are set to replace diamond jewellery that is worn on a daily basis.” WATCH WION LIVE HERE

Decoded: Will lab-grown diamonds get lucky this festive season?

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Zee News Rajasthan

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Shashwat Sankranti

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