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USA-China Trade War can become Crisis for the World

US China trade war
Image Courtesy : AFP

The trade war between the US and China is not going to end in the near future. On May 10, 2019, the US increased the fee on Chinese products of $200 billion from 10 per cent to 25 per cent. Apart from this, the US can impose a 25 per cent fee on the $300 billion import of Chinese products, which are currently free of charge. In response to this, China will impose a fee on the $60 billion worth of imported products from the United States from June 1, 2019. China had imposed a fee on the $110 billion on US products last year. Since coming to power, the US president, Donald Trump, has been consistently aggressive on the trade front. Donald Trump had come up with the US Business Policy agenda in 2017, under which efforts are being made to promote American sovereignty, implement US business laws, expand exports of goods and services, keep American intellectual property Right intact, etc.

America’s trade deficit has increased in the year 2018. Import is more than Export in America. However, a strong economy and strong dollar support import. Yet, American President Donald Trump has consistently adopted an aggressive approach by making trade deficits an issue. However, in the year 2018, Chinese Yuan dropped by about 5 per cent, while the dollar index had increased from 92.24 to 96.17. Not only this, in the first quarter of the fiscal year 2019, the trade deficit decreased by $ 7 billion compared to the same period of last year.

On an annual basis, the import of commodities used in the year 2017 has increased in the year 2018. The slowest growth has been seen in the export of food and beverages. More than 800 American food and agricultural products have been charged as retaliation by China, European Union, Turkey, Canada, and Mexico. Because of this, the export growth rate of agricultural products is slow. Approximately 20 per cent of agricultural income is earned from exports. Therefore, the American farmer’s income has affected adversely due to the ongoing trade war. There is a huge difference between the official trade figures released by the US and China. Figures from the Chinese General Administration of Customs show that Chinese exports in the US stood at $36.1 billion in 2018, which has come down to $31.4 billion in the fiscal year 2019. Similarly, Chinese imports from the US were $13.9 billion in April 2018, which decreased to $10.3 billion in April, 2019.

Monthly growth of imports has shown a decline in comparison to exports. This trade war can have a more adverse effect on China because the base of US exports is larger than the basis of imports. By the way, America will not be unaffected by this trade war. If the trade war will last long, the export of American products may also be affected. This trade war may also affect the financial market, as China can reduce its presence in the US Treasury market. According to the Treasury and Securities Industry and Financial Markets Association figures, holdings of $1.13 trillion in China’s Treasury.

By charging 25 per cent of fee on the $250 billion of Chinese products, the US is earning $62.5 billion of revenue per year, but the question arises here is whether this amount is enough to compensate the loss to America because Political relations between these two countries are also becoming bitter. A recent survey of the Pew Research Center has found that the American public is more positive in terms of free trade agreements than trade war which is going on.

It is also believed that the trade war between America and China can affect the global economy and the market of other countries because it can take a year or so to normalise. Due to the low FDI inflow, India has not been affected by this war yet, but cannot say that our country will not be affected by this war in the coming months.

India is one of the fastest emerging markets in the world. It is also a leading country in terms of consumption and investment. For the last 15 years, India has been a significant contributor to the global economy, but the Indian market is facing many uncertainties, including the income growth of companies, lack of cash, global trade issues and slow pace of the global economy. The crisis of IL & FS and credit markets has had adverse effects on the economy.

However, there is rapid growth in consumption in India. Due to the debt crisis, there is stagnation, but the situation will improve if there is an improvement. All the macro figures, including inflation, fiscal deficit, are looking good. With the weakening of the global growth rate, there is no scope for the price of crude oil to rise very fast. Interest rates in India are high. To increase the demand, the government has to reduce the interest rates to increase the cash flow in the financial system.

It can be said that there is an atmosphere of sluggishness in India right now. If the appropriate policies are made then there can be positive changes in the situation, as the current investment flow is low due to higher credit interest rates. In fact, there is a need to cut policy rates by more than 0.25 per cent in the upcoming monetary review. However, even with a large reduction, the situation will not improve completely. For this, the Reserve Bank will also have to take some other measures.

Here, some countries of the world are still influenced by the ongoing trade war between America and China. However, this trade war has not had a negative impact on India, but if this war lasts for a long time, its adverse effects may also be on India. So, the new government will have to take decision cautiously.

By Satish Singh


(Disclaimer: The opinions expressed within this article are the personal opinions of the author. The facts and opinions appearing in the article do not reflect the views of AFTERNOON VOICE and AFTERNOON VOICE does not assume any responsibility or liability for the same.)

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Maharashtra’s EWS students will not get 10% quota in PG medical courses

Supreme Court
File Photo

The Supreme Court on Thursday said that 10 per cent EWS quota cannot be applied to PG medical courses in Maharashtra for the academic year 2019-20 as admission process started long before the provision came into force.

It is notable that a student Rajat Rajendra Agrawal had challenged two circulars of the Maharashtra government by which ten per cent EWS quota was enforced in PG medical courses of the state.

A vacation bench of Chief Justice Ranjan Gogoi and Justice Aniruddha Bose said that 10 per cent EWS quota cannot be granted at the cost of others unless additional seats are created by the Medical Council of India.

The bench said that admission process for PG medical courses started in November 2018 while the 103 Constitutional amendment granting 10 per cent EWS quota was passed in January this year.

The bench said that the Maharashtra government enforced the 10 EWS quota for PG medical courses in March. “Ten per cent EWS quota cannot be granted to the ongoing admission process. You cannot change the rules of game when the game is on,” the bench said.

The court’s order came on a plea filed by a student from General Category saying that unless additional seats are created, the ten per cent EWS quota will eat into their share of seats.

Congress spokespersons to stay away from TV debates

Congress To Stay Away From DebatesAmid political uncertainty within the party following the severe drubbing it received in the Lok Sabha elections, Congress on Thursday barred its spokespersons from representing the party on news channel debates for a month.

The party’s communication in-charge Randeep Singh Surjewala urged media channels and editors to not place Congress representatives on their shows.

“The Congress has decided to not send spokespersons on television debates for a month. All media channels/editors are requested to not place Congress representatives on their shows,” he said in a tweet.

This came after Rahul Gandhi, who became the Congress president in 2017, offered to step down from his post at the Congress Working Committee (CWC) meeting on May 25, taking moral responsibility for the party’s dismal performance in the recently concluded 17th general elections.

However, his resignation offer was unanimously rejected by the CWC.

So far, several top leaders have met Gandhi and urged him to continue to lead the party.

Sources said that despite senior members making serious attempts to convince the 48-year-old party chief to rethink his decision, he remains unfazed.

These leaders, sources said, maintained that Congress cannot afford to have someone new at the helm for rebuilding the organisation at this juncture and that the responsibility for the defeat is collective and not individual.

Earlier the Samajwadi Party (SP) had also sacked its panel of leaders who appeared on TV channels.

Samajwadi Party President Akhilesh Yadav had said that no channel should invite any of its leaders for debates.

Priyanka drops her husband Robert Vadra for interrogation by ED

Robert vadra
Image Courtesy: DD News

Robert Vadra, the brother-in-law of Congress President Rahul Gandhi, Thursday appeared before the Enforcement Directorate in connection with a money laundering case linked to purchase of alleged illegal assets in London. The team of ED interrogated him. He has appeared before the agency multiple times in the past in this case.

According to reports, his wife and Congress General Secretary Priyanka Gandhi dropped him outside the ED’s office near India Gate at about 10:30 AM. He was summoned to depose before the investigating officer of the case where his statement was recorded under the Prevention of Money Laundering Act (PMLA).

It is remarkable that the ED has recently sought cancellation of the anticipatory bail given to Vadra and has also opposed his foreign travel. On Wednesday, a local court reserved its order for June 3 to allow Vadra to travel abroad for the medical treatment. The current case against Vadra relates to allegations of money laundering in the purchase of a London-based property located at 12, Bryanston Square worth 1.9 million GBP (British pounds). It is alleged that this property is owned by him.

After spending Rs 6000 cr, Ganga water unfit for direct drinking and bathing

Ganga riverPrime Minister Narendra Modi gave top priority to cleaning the Ganga. In 2015, he launched “Namami Gange”, the Rs 20,000 crore flagship programme for this. The Modi government has spent around Rs 6000 crore for cleaning the river so far. But the Central Pollution Control Board (CPCB) has said that the Ganga water is absolutely unfit for “direct drinking and bathing.” Even Sangam in Prayagraj is not fit for bathing. Most of the polluted and unfit Ganga water has been found with high faecal coliform bacteria at 50,000 and above levels.

Thus, the Ganga has not become any cleaner under the Modi government. An RTI has revealed that contamination levels of the river have increased at many places, even though Rs 5,523 crore was released for cleaning the Ganga between 2014 and June 2018.

According to the latest data with the CPCB, most of the Ganga water in the Uttar Pradesh-West Bengal stretch is unfit for drinking and bathing. Out of 86 live monitoring stations installed in as many locations, only seven areas have been found to be fit for drinking after disinfection process while 78 have been found unfit.

It is worth mentioning that scores of people flock to take a dip in the holy river. The Ganga is considered as the lifeline of India. It meanders 2,510 km from the Himalayas across the great northern plains and empties into the Bay of Bengal. The Ganga is one of the world’s most polluted and populous river basin. It is inhabited by around 50 crore people.

According to the latest data, only 18 spots have been found to be fit for bathing while 62 areas from where it flows have been found unfit. Some stretches in Uttarakhand and two spots in West Bengal are marked in green indicating water can be consumed after disinfection while the rest of the river water is unfit for drinking or bathing the whole way till it drains into the Bay of Bengal. The 78 monitoring stations where the river water was found unfit for drinking and bathing include Gomati river in Bhusaula-Bihar, Kanpur, Gola Ghat in Varanasi, Dalmau in Raebareli, Sangam in Allahabad, Ghazipur, Buxar, Patna, Bhagalpur, Howrah-Shivpur in West Bengal and others.

The six spots which were found fit for consumption under class A- fit for drinking after disinfection- are Bhagirathi at Gangotri, Rudraprayag, Devprayag, Raiwala- Uttarakhand, Rishikesh, Bijnor and Diamond Harbour in West Bengal.

The areas found fit for bathing under class B in river Ganga include – Bhagirathi at Gangotri, Rudraprayag, Devprayag, Raiwala- Uttarakhand, Gharmukhteshwar, Rishikesh, Bijnor, Aligarh and others, including four spots in West Bengal.

Justin Timberlake was the first choice to star in ‘Rocketman’

Rocketman
Image courtesy: economictimes.indiatimes.com

Long before Taron Eagerton was finalised to play Elton John in his biopic “Rocketman”, the music icon considered Justin Timberlake for the role originally.

John and producer husband David Furnish had the former ‘Nsync band member in mind after he featured in the 2001 music video “This Train Don’t Stop There Anymore” as the man of the moment.

“But we never formerly approached Justin because we weren’t ever at a stage where it was the right time to approach him. But he did an amazing job in the video. He put on a prosthetic nose, and it turned out to have been some really interesting acting work as well,” Furnish told The Hollywood Reporter.

The film, directed by Dexter Fletcher and produced by Furnish, received favourable reviews at its world premiere at the recently concluded Cannes Film Festival.

Tom Hardy too almost starred in “Rocketman” but John appeared to throw a shade at the “Venom” star.

“Taron Egerton came onboard this film because somebody else dropped out,” he told the crowd at the film’s Cannes afterparty, adding that Eagerton’s “performance in this film is scary brilliant… When I watch the movie, I don’t see an actor, I see myself.

 

 

Newspaper vendors demand housing schemes

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The state government might have housing schemes for the journalists but no such schemes are available for the newspaper vendors. While the work of journalists is lauded by society, at the same time nobody talks about the welfare of newspaper vendors. These vendors work hard day in and day out by standing in the scorching sun heat to sell newspapers to the readers. During monsoon season, they have to face severe difficulties while selling newspapers. They have to ensure that newspapers remain covered by polythene sheets so that it doesn’t get wet due to rains.Many times newspapers don’t reach the paper stalls due to heavy rainfall which directly affects the livelihood of the vendors. Sometimes they are also harassed by the administration as they compare them with hawkers and ask them to remove newspapers from the stand. In order to protect themselves, the newspaper vendors had urged the state government to safeguard their right to sell newspaper near railway stations, bus stands. Political parties too had taken an initiative to appeal to the government to not harass newspaper vendors while carrying out their duties.

Thane District Newspaper Vendor Union President Kailash Mahapadi has urged the government to provide housing schemes to the newspaper vendors on the occasion of the 20th-anniversary celebration of Newspaper Vendor Association. Dangat Newspaper distribution group chief Bajirao Dangat, Thane Vaibhav Editor Milind Ballal, team secretary Ajit Patil and other office bearers were present on the occasion.

Vivek Singh, a newspaper vendor from Andheri said, “Many of us hail from poor family background and we are dependent on the newspaper vending business to earn our livelihood. The government must take initiative to provide affordable housing schemes for us.”

Many journalists have benefitted from the government housing scheme. Thousands of reporters have been given affordable homes in Thane. Kailash Mahapadi said, “Everyone should come together for demanding to the house for poor newspaper vendors who are deprived of homes. By delivering the newspapers to readers early in the morning, they do justice to the hard work done by the journalists. Every year, we come together to raise our demand for housing needs. The newspaper vendors association has been working hard for the welfare of newspaper vendors.”

Thane Mayor Meenakshi Shinde and senior sales officer Jagtap inaugurated the anniversary celebration of Newspaper Vendor Association. The officials of several newspaper organisations were present on this occasion.

 When Afternoon Voice spoke to Meenakshi Shinde, she said, “I had attended the function pertaining to the 20th-anniversary celebration of Newspaper Vendor Association. According to me, journalists are getting affordable home under a government housing scheme. Likewise, newspaper vendors should also become eligible for homes under the government housing scheme.”

The newspaper vendors, who work very hard to ensure that newspapers reach the readers, form a group of unorganised workers living below the poverty line. The advent of new media has also affected the livelihood of these vendors as now people prefer to read the news on computers and mobile phones thereby affecting the sale of newspapers. Gone are the days when people used to wait for daily newspapers to know about the latest updates. Many newspaper vendors live in small-sized housing units and they have to work hard to earn their livelihood. Time has come to recognise their contribution and hard work towards the society.

Liberty of Indian Media at risk

On one hand, the journalists are facing increasing violence, no job guarantee, lobbyism, political patronage, internal issues, and on the other hand, many unions, clubs, and associations are mushrooming with the claim to protect the rights of journalists. Many journalists were victims of violence. In fact, India ranks ninth in a list of the twenty deadliest countries for journalists. Nine journalists have died in the last four years and many face death threats on a regular basis. Political correspondents exposing corruption pay the highest price. These days even the job of a journalist is decided by political groups, no one is independent in his/her expression. A country where journalist needs basic dignity, there having so many unions are of no use. If you look at the data, these unions just protested or mourned for the journalist who landed in casualty but they could hardly create any pressure on the government or safeguard the scribe. Media is the fourth pillar of democracy and it cannot be trodden. There was a campaign on social media called #journalismwithoutfear, they asked the media people to share their story of courage and how they kept going in the face of fear. Their aim was to make India a better and safer place for journalists. What happened after that campaign?? Some noise for some time, and now everyone has almost forgotten about it. More disturbingly, India features in the list of 13 high-impunity countries where a tremendously large proportion of such murders have remained unsolved, according to a 2016 CPJ report. Most journalists who have been murdered for their work covered politics and corruption. Another community, which has been targeted, is that of Right to Information (RTI) activists. Death is the ultimate price journalists, writers, and whistleblowers pay for challenging powerful vested interests or for expressing dissent. And while such murders represent the most extreme form of attack on journalists and writers, less extreme forms of attacks such as death threats and abuses are common. The advent of social media has only worsened the problem, with women journalists facing the brunt of the attacks on social media. When journalists raise such issues, they are often told that the rise in such abuses or attacks at least partly reflects the declining credibility of the Indian media.

However, the rising reach of Indian media over the past few decades has been accompanied by greater trust in it, data from successive rounds of the World Values Survey show. It is nobody’s case that Indian journalists are infallible, but the long-term trends suggest that their credibility has been rising over time.

As the charts illustrate, trust in the Indian media has risen sharply since the mid-1990s, when state monopoly over the broadcast news medium was broken. Confidence in the press was higher in India than in several other countries surveyed, the data show, as we reached to 2019, media completely lost its credibility and it remained a political mouthpiece. India has hardly been a harbour for journalists.

From the past five years, reporters and editors have faced harassment, pressure, and threats from vested interests in the government as well as private ones. A number of them have even been killed for performing their duty or voicing an opinion. No wonder India is the third-most dangerous place to be a journalist, behind war-torn Iraq and Syria. Women journalists become ‘soft targets’ while exposing the intolerance of others’ views. The freedom of expression by the Press needed legal protection in the current climate of intimidation of presspersons. The media must be the watchdog, the mediator between the leaders and the public. The mainstream media’s independence currently being questioned, and see how ultra-nationalism has dominated the political narrative, refusing to accept dissent. In recent years the media has also lowered the quality of India’s public dissertation. Media expansion has led to a shrinking of the public sphere, resulting in the spread of elitist and socially conservative values.

The media is divided in religion, caste and creed, some publication house and media channels go random against minorities, and some claim to be leftists and attack Hindu upper class in this era of journalism. Dalit magazines turn the spotlight on India’s low-caste plight. The readers too are divided into these lines. Apart from these divisions, some media houses got mortgaged to powers. The true test of a vigorous democracy is the independence of its media. Over the past few years, our media has become the mouthpiece of the party in power. Coupled with the fact the corporate owners of media houses share close links with the government, the Indian media have tragically lost its voice.

Serious issues like the beef ban, the crisis in Kashmir, dissent in universities and even the unrest in societies where Dalits – the lowest level of India’s caste system – have been discriminated or killed, have received scant mention in media coverage. Still, there hasn’t been a bigger debate about why the media has failed to effectively perform the critical tasks it’s supposed to do in a representative democracy. In such situations, what can be the role played by the unions and associations? India has over 400 news channels in various languages and another 150 channels are awaiting clearance. The South Asian country also has tens of thousands of newspapers and magazines. But the quality of Indian journalism is poor, as evidenced by the fact India ranks 136 among 180 countries in the index compiled by Reporters Without Borders, an NGO.

When it comes to press freedom, India fares worse than even countries like Afghanistan and the United Arab Emirates. Over the last few years, especially after Prime Minister Narendra Modi won the general election of 2014, the Indian mainstream media has allowed itself to be undermined by the unmatched political power that he represents. In fact, given the current state of how the mainstream media works it will be difficult to expose tweaked data and opacity in government functioning. A new note of muscular nationalism has crept into media discourse. Also, prominent are the curbing of dissent and the rise of the surveillance state – developments that bode ill for the independence of the Indian media. If you notice, why we don’t see much criticism in the media is that the government, in the person of the Prime Minister, has the ability to completely dominate the media’s agenda, by saturating the public and media sphere with the message, image, and his voice. Therefore, the media is bound to only react to the news agenda offered by the government, rather than investigate its activities independently. Read any big newspaper there are hardly any bylines, some newspapers have dropped writing editorials, some newspapers randomly publish news provided by DGIPR or Press Trust of India, they do not get in investigative stories. What more do you expect when the media industry is dominated by such big players of the corporate industry and political parties? Some prominent Indian media are now the B team of the Bharatiya Janata Party and the Modi government. The increasing liberty of the ‘Hindutva brigade’ as he termed it, of attacking those that did not conform to its ideology of hate and intolerance and targeting of minority communities. Sections of the media help in spreading the mindset. When media is in mafia hands be it political or corporal, how can these mushrooming unions change the plight of the fraternity?


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Per day 400 flights affected; Air India facing loss of Rs 5-7 crore

air india
Image Courtesy: cnbctv18.com (File Pic)

After Balakot airstrikes on February 26, Pakistan banned its airspace for all Indian flights. Pakistan on Wednesday extended this ban from May 30 to June 15. Around 400 flights per day are affected due to the closure of Pakistani airspace. Several Central Asian airlines providing connectivity to Europe and the United States from Southeast Asia were forced to cancel their flights due to the ban. On account of this Air India is facing a daily loss of Rs 5-7 crore as its flights towards Europe and the US are forced to take a longer route. Moreover, these flights make a stop en route for refuelling. The longer routes required to avoid flying over Pakistan are compelling airlines to burn more fuel and money. In the meantime, fuel for international flights became 2.5% more expensive.

IndiGO launched its longest route Delhi-Istanbul on March 20. But instead of being a direct flight as planned, the closure of Pakistan airspace has forced it to operate with a fuelling stop, which forces IndiGo to burn an extra 2,500-3,000 kg of fuel each way.

SpiceJet’s flights between Delhi and the Gulf have been affected. Its Delhi-Kabul flight has been cancelled since the closure of the airspace.

These flights can no longer operate non-stop and have had to stop at either Sharjah or Vienna to refuel. Each refuelling halt, mandatory on both the outbound and return legs, costs the airline Rs. 50 lakh on an average. With the airline having to position crew and engineers in Vienna, Air India has lost approximately Rs. 60 crore till March 16.

The government-owned Airports Authority of India (AAI) operates 126 airports and civil enclaves out of a total of 449 airports and airstrips located throughout India. 100 airports/aerodromes receive regular commercial flights. The cities of Bengaluru, Delhi, Hyderabad, Kochi and Mumbai are served by privately (or joint-venture) operated airports. Airports in India handled over 341 million passengers in 2018. India is the third largest domestic civil aviation market in the world behind the US and China.

Bitterness between Mamata-Modi continues; Didi not to attend swearing-in ceremony

Mamata 1533058265
File Photo

The Lok Sabha elections are over but the bitterness between the chief minister of West Bengal Mamata Banerjee and the prime minister of India Narendra Modi still goes on. When PM Modi sent the invitation to Mamata Banerjee for his swearing-in ceremony and she accepted that, it seemed the democracy of India became stronger. But suddenly the mood of Mamata alias Didi changed and she decided not to attend the swearing-in ceremony of PM Modi.

Mamata Banerjee tweeted that the allegation of the BJP is untrue that 54 BJP workers were murdered in political violence in Bengal. Mamata Banerjee had on Tuesday confirmed her presence at the ceremony to be held on May 30.

She also accused the ruling party at the centre of trying to humiliate other political party and take political mileage through such ceremony. She wrote on Twitter, “So I am sorry, Narendra Modi ji, this has compelled me not to attend the ceremony. The ceremony is an august occasion to celebrate democracy, not one that should be devalued by any political party which uses it as an opportunity to score political points. Please excuse me.”

Mamata banerjee cancels swearing ceremony
Image Courtesy: Twitter

It is remarkable that the just concluded Lok Sabha polls witnessed a heated verbal duel between PM Modi and Mamata Banerjee who spearheaded the campaigns of their parties in West Bengal. The BJP made deep inroad in the bastion of Mamata Banerjee. The party won 18 seats of the state’s 42 seats which is just four less than the total seats bagged by TMC. Yesterday, three TMC MLAs and over 50 councillors joined the BJP. It was a big jolt to Mamata Banerjee.