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As Trump’s Tariffs Take Effect, How India Has Toughened Up To Tackle The Challenge

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As Trump’s Tariffs Take Effect, How India Has Toughened Up To Tackle The Challenge


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PM Modi has already outlined a new strategy to stand up to the US, vowing no compromise on protecting India’s agro- and labour-intensive sectors in any new trade agreements

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India is resilient and prepared to confront challenges in the face of the massive tariffs imposed by President Donald Trump, sources said. File image/PTI

India is resilient and prepared to confront challenges in the face of the massive tariffs imposed by President Donald Trump, sources said. File image/PTI

The message from the Narendra Modi government to the world, and particularly to Indian citizens and the United States, is clear: India is resilient and prepared to confront challenges in the face of the massive tariffs imposed by President Donald Trump. Citing its history of emerging stronger from crises like post-nuclear sanctions and the recent Covid-19 pandemic, the government asserts that India’s economic fundamentals remain robust, making it one of the world’s fastest-growing major economies.

This confidence is reflected in the positive assessments from global rating agencies. S&P Global recently upgraded India’s sovereign rating, while Fitch Ratings has affirmed a stable outlook. Both agencies have projected a strong growth trajectory for India, with Fitch forecasting a 6.5% rise in the country’s GDP for the fiscal year ending March 2026.

Despite this reassuring outlook, the government is not complacent, sources said. Recognising the concerns of exporters, particularly small-scale industries involved in sectors like jewellery and textiles, the Reserve Bank of India (RBI) is closely monitoring the situation. RBI governor Sanjay Malhotra has made it clear that the central bank will not be a passive spectator if the high tariffs begin to have a substantial impact on the economy. To mitigate the effects, the RBI could potentially slash the repo rate and expedite the implementation of BASEL 3 norms, which would facilitate credit and improve ratings for exporters and other stakeholders.

In addition to monetary policy, sources said the government is also planning a reworked export package that could offer new incentives, credit lines, and protection for the export sector.

Meanwhile, India is actively diversifying its trade portfolio to counter potential market losses in the US. A significant milestone has been the signing of the India-EFTA (European Free Trade Association) agreement, which includes Norway, Iceland, and Switzerland. This agreement is set to come into effect within a month. Furthermore, negotiations with the European Union (EU) are now at an advanced stage. The government views these agreements as major opportunities, especially given that the combined trade in goods of the UK, EFTA, and EU was approximately $16 trillion in 2024, nearly one-third of the total global trade.

Several concerns have been raised by textile industries that are worried about their future. This is where a new plan is being chalked out. Sources say the government could launch an outreach programme in key textile markets to counter the impact of the 50 per cent tariffs and increase its share of exports in the global market in the coming months, with a focus on Japan, the EU, the UK, and other EFTA countries.

Prime Minister Narendra Modi has already outlined a new strategy to stand up to the US, vowing no compromise on protecting India’s agro– and labour-intensive sectors in any new trade agreements. The government’s two-pronged approach focuses on “Atmanirbharta” (self-reliance) to reduce imports and “Swadeshi” (domestic products) to create a strong market for indigenous manufacturers. The government remains confident that through these measures, India will stand strong and navigate any global economic headwinds successfully.

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Pallavi Ghosh

Pallavi Ghosh has covered politics and Parliament for 15 years, and has reported extensively on Congress, UPA-I and UPA-II, and has now included the Finance Ministry and Niti Aayog in her reportage. She has als…Read More

Pallavi Ghosh has covered politics and Parliament for 15 years, and has reported extensively on Congress, UPA-I and UPA-II, and has now included the Finance Ministry and Niti Aayog in her reportage. She has als… Read More

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Women in banking: SBI aims for 30% female workforce by 2030; steps up inclusion and health initiatives – The Times of India

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Women in banking: SBI aims for 30% female workforce by 2030; steps up inclusion and health initiatives – The Times of India


The State Bank of India (SBI) has set a target to raise the share of women in its workforce to 30 per cent by 2030 as part of a broader push to strengthen gender diversity and inclusivity across all levels of the organisation.SBI Deputy Managing Director (HR) and Chief Development Officer (CDO) Kishore Kumar Poludasu told PTI that women currently account for about 27 per cent of the bank’s total workforce, though the figure rises to nearly 33 per cent among frontline staff.“We will be working towards improving this percentage so that diversity gets further strengthened,” Poludasu said, adding that the bank is taking targeted measures to bridge the gap and meet its medium-term diversity goal.With a staff strength of over 2.4 lakh — among the highest for any organisation in the country — SBI has rolled out several initiatives aimed at creating a workplace where women can thrive professionally while maintaining work-life balance.Among the women-centric measures, the bank offers creche allowances for working mothers, a family connect programme, and dedicated training sessions to help women re-enter the workforce after maternity, sabbatical, or extended sick leave.Poludasu said SBI’s flagship initiative, Empower Her, is designed to identify, mentor, and groom women employees for leadership roles through structured leadership labs and coaching sessions. The programme aims to strengthen the pipeline of women leaders across the organisation.The bank has also introduced wellness initiatives tailored to women’s health needs, including breast and cervical cancer screenings, nutritional allowances for pregnant employees, and a cervical cancer vaccination drive.“These programmes are designed keeping in mind the women and girls who are employed in the bank,” Poludasu said, adding that SBI remains committed to fostering an inclusive, secure, and empowering workplace.Currently, the lender operates over 340 all-women branches across India, and the number is expected to increase in the coming years.SBI, one of the world’s top 50 banks by asset size, has also been recognised among India’s best employers by multiple organisations. Poludasu said the bank continues to drive innovation across processes, technology, and customer experience while ensuring that diversity and inclusion remain central to its transformation journey.





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Trade talks: India, EU wrap up 14th round of FTA negotiations; push on to seal deal by December – The Times of India

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Trade talks: India, EU wrap up 14th round of FTA negotiations; push on to seal deal by December – The Times of India


India and the 27-nation European Union (EU) have concluded the 14th round of negotiations for a proposed free trade agreement (FTA) in Brussels, as both sides look to resolve outstanding issues and move closer to signing the deal by the end of the year, PTI reported citing an official.The five-day round, which began on October 6, focused on narrowing gaps across key areas of trade in goods and services. Indian negotiators were later joined by Commerce Secretary Rajesh Agrawal in the final days to provide additional momentum to the talks.During his visit, Agrawal held discussions with Sabine Weyand, Director General for Trade at the European Commission, as both sides worked to accelerate progress on the long-pending trade pact.Commerce and Industry Minister Piyush Goyal recently said he was hopeful that the two sides would be able to sign the agreement soon. Goyal is also expected to travel to Brussels to meet his EU counterpart Maros Sefcovic for a high-level review of the progress made so far.Both India and the EU have set an ambitious target to conclude the negotiations by December, officials familiar with the matter said, PTI reported.Negotiations for a comprehensive trade pact between India and the EU were relaunched in June 2022 after a hiatus of more than eight years. The process had been suspended in 2013 due to significant differences over market access and tariff liberalisation.The EU has sought deeper tariff cuts in sectors such as automobiles and medical devices, alongside reductions in duties on products including wine, spirits, meat, and poultry. It has also pressed for a stronger intellectual property framework as part of the agreement.For India, the proposed pact holds potential to make key export categories such as ready-made garments, pharmaceuticals, steel, petroleum products, and electrical machinery more competitive in the European market.The India-EU trade pact talks span 23 policy chapters covering areas such as trade in goods and services, investment protection, sanitary and phytosanitary standards, technical barriers to trade, rules of origin, customs procedures, competition, trade defence, government procurement, dispute resolution, geographical indications, and sustainable development.India’s bilateral trade in goods with the EU stood at $136.53 billion in 2024–25, comprising exports worth $75.85 billion and imports valued at $60.68 billion — making the bloc India’s largest trading partner for goods.The EU accounts for nearly 17 per cent of India’s total exports, while India represents around 9 per cent of the bloc’s overall exports to global markets. Bilateral trade in services between the two partners was estimated at $51.45 billion in 2023.





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Telcos network costs rise: Gap between expenditure and revenue exceeds Rs 10,000 crore; COAI flags rising network investment burden – The Times of India

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Telcos network costs rise: Gap between expenditure and revenue exceeds Rs 10,000 crore; COAI flags rising network investment burden – The Times of India


The gap between telecom operators’ network expenditure and revenue continues to widen, prompting industry body COAI to defend calls for higher mobile tariffs, citing the increasing financial burden of network deployment on service providers.Speaking at the India Mobile Congress, Cellular Operators Association of India (COAI) Director General, SP Kochhar, told PTI that while the government has provided significant support to telecom operators through policies such as the right of way (RoW), several authorities continue to levy exorbitant charges for laying network elements.“Earlier, the gap until 2024 for infrastructure development and revenue received from tariffs was around Rs 10,000 crore. Now it has started increasing even further. Our cost of rolling out networks should be reduced by a reduction in the price of spectrum, levies etc. The Centre has come out with a very good ROW policy. It is a different matter that many people have not yet fallen in line and are still charging extremely high,” Kochhar said.He also defended the recent cut in data packs for entry-level tariff plans by select operators, stressing that the move was necessary given competitive pressures.Kochhar pointed out that competition among the four telecom operators remains intense, and there has been no significant trend suggesting that consumers are shifting towards low-cost data options.“There is a need to find ways to make high network users pay more for the data. Seventy per cent of the traffic which flows on our networks is by 4 to 5 LTGs (large traffic generators like YouTube, Netflix, Facebook etc). They pay zero. Nobody will blame OTT but they will blame the network. Our demand to the government is that they [LTGs] should contribute to the development of networks,” Kochhar said.He added that the investments made by Indian telecom operators are intended for the benefit of domestic consumers and are not meant to serve as a medium for profit for international players who do not bear any cost.





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