India Roundup: Bomb threats, exports, defense, e-commerce expansion
Bomb threats
Over 50 Indian flights received hoax bomb threats on October 27, contributing to over 350 threats in the past two weeks, primarily communicated via social media. Airlines including Akasa Air, IndiGo, and Vistara were affected, prompting security inspections that cleared the aircraft for operation. In response, the Union Civil Aviation Minister announced plans to ban individuals issuing hoax threats from flying and implement stricter penalties. The IT Ministry has also directed social media platforms to swiftly remove false information and cooperate in identifying those behind the threats. The Hindustantimes reports that some individuals responsible have already been traced, though their details remain undisclosed.
E-commerce expansion
E-commerce firms like Flipkart and Amazon are increasingly focusing on expanding in Tier-II and Tier-III towns, driven by rising demand from these regions during India's festive season. Flipkart's 'The Big Billion Days' sale saw strong participation from thousands of smaller towns, with significant sales in categories like electronics, fashion, and home products. The company also launched 11 new fulfillment centres, creating over 100,000 local jobs, according to the Business Standard.
Drop in polyester staple fibre export
India has sought compensation from Turkiye following Ankara's extension of safeguard measures on polyester staple fibres, which has adversely affected Indian exports. During recent WTO consultations, India expressed concerns about the impact of these measures, seeking resolution or compensatory measures. India's exports of polyester staple fibres dropped to USD 22.18 million in 2023-24 from USD 23.55 million in the previous year, Business Standard reports. Additionally, India has been active in addressing trade issues, previously proposing retaliatory customs duties in response to safeguard measures from the EU and the UK on steel products. India's overall trade with Turkiye stands at USD 6.65 billion in exports and USD 3.78 billion in imports for 2023-24.
Launch of private military aircraft facility
India is set to launch its first private military aircraft manufacturing facility, a joint venture between Airbus SE and TATA Advanced Systems, in Gujarat on October 28. This initiative aims to boost local defense production and reduce dependence on foreign imports. Spanish Prime Minister Pedro Sanchez and Indian Prime Minister Narendra Modi will inaugurate the facility. The factory will produce C-295 transport aircraft, with the first delivery scheduled for 2026 and the remaining by August 2031, according to Livemint. This initiative follows a $2.6 billion contract for 56 aircraft, with 40 to be manufactured in India. The new C-295s will gradually replace older Avro cargo planes and Russian-made An-72s as part of India's efforts to enhance its military capabilities amidst delays in Russian weapon supplies due to the ongoing Ukraine conflict.
Defense export
India is exporting military equipment to over 100 countries, with the US, France, and Armenia as its top three defense export customers. The Defense Ministry is focusing on boosting exports and domestic production. Notable exports include aircraft parts to the US, electronics to France, and artillery systems to Armenia. Since 2014-15, the value of defense production has tripled, increasing from Rs 46,429 crores to Rs 1.27 lakh crores, with the private sector contributing 21%. Business Standard reports that major products include LCA Tejas fighter jets, warships, artillery systems, and missile systems.
