🪷 Costly Indian exports

Good morning. It’s already mid-week! It’s a great day, get this bread 💪 

- Ruchirr Sharma & Shatakshi Sharmaa  

TABLE OF CONTENTS

• 🪷 Costly Indian exports

• 🇶🇦 Qatar pledges $10B to India

• 🗞️ Bite-sized summaries

  • 🔌 Tesla in India

  • 🏫 Bengal School Job case

• 🧑‍🍳 What else is cookin’?

• 🍿 Entertainment, Entertainment, Entertainment

MARKETS

🇮🇳 India

• Stock market declined. Auto sector fell the most, down 0.61%, while Energy showed strength, rising 0.36%. FMCG experienced a downturn, falling 0.88%. Cautious trading prevailed due to economic data, global cues, and sector-specific news, with Tech and Energy showing relative resilience.

🌍️ International

• The S&P 500 closed at a record high of 6,129.58, up 0.24%. Intel stock surged on potential deal reports, while Super Micro Computer rose 16%. The market showed resilience despite fluctuations, with investors awaiting the Fed's meeting minutes and earnings reports from major companies like Walmart.

TRADE

🪷 Costly Indian exports

India’s export sector is facing uncertainty as U.S. President Donald Trump threatened to impose reciprocal tariffs starting in April.

Analysts estimate these tariffs could lead to annual losses of $7 billion, particularly affecting chemicals, metal products, jewellery, automobiles, pharmaceuticals, and food exports.

With India’s 2024 exports to the U.S. valued at $74 billion, including $8.5 billion in gems and jewellery and $8 billion in pharmaceuticals, the potential tariff hike raises concerns for major industries. The agriculture sector is particularly vulnerable, as tariff differentials between India and the U.S. are already significant.

The Indian government is preparing countermeasures while working on a trade proposal with the U.S. to mitigate the impact. Meanwhile, India has already cut tariffs on high-end motorcycles and bourbon whiskey and is exploring additional trade adjustments to ease tensions.

Looking ahead: If the U.S. enforces a uniform 10% tariff hike, India’s economy could take a 50 to 60 basis point hit, with an 11% to 12% drop in exports, according to Standard Chartered.

As negotiations continue, businesses in India are bracing for potential disruptions in U.S. trade relations, while policymakers seek ways to safeguard economic growth.

Read more: Economic Times

FOREIGN DIRECT INVESTMENT

🇶🇦 Qatar pledges $10B to India

In a major economic boost, Qatar has committed to investing $10 billion in India, reinforcing strong bilateral ties. The announcement followed high-level discussions between Prime Minister Narendra Modi and Qatar’s Emir, Sheikh Tamim bin Hamad Al Thani, during the Emir’s visit to New Delhi.

The investment aims to enhance key sectors such as infrastructure, technology, manufacturing, food security, logistics, and hospitality. Qatar praised India’s efforts in fostering a business-friendly environment, highlighting its initiatives to attract Foreign Direct Investment (FDI).

Beyond investments, both nations agreed to double bilateral trade to $28 billion within five years and are exploring a potential Free Trade Agreement (FTA). Qatar is already a key economic partner, with annual trade currently at $14 billion.

The visit also included discussions with External Affairs Minister S. Jaishankar and President Droupadi Murmu, solidifying diplomatic and economic cooperation. As India continues to position itself as a global investment hub, this commitment from Qatar marks a significant milestone in Indo-Qatar relations.

Read more: Economic Times

GENERAL OVERVIEW

🗞️ Bite-sized summaries

🔌 Tesla in India - Tesla has finalized locations for showrooms in New Delhi and Mumbai, signalling its entry into the Indian market. The outlets, each around 5,000 square feet, will be near major airports and showcase imported electric vehicles. This move follows Tesla CEO Elon Musk’s discussions with Indian Prime Minister Narendra Modi. The company is also hiring for mid-level roles in India. While Tesla has long pushed for lower import tariffs, local automakers oppose it, fearing competition. U.S. President Donald Trump has also raised concerns over India’s high tariffs, but talks are ongoing to resolve trade issues and facilitate Tesla’s market entry.

🏫 Bengal School Job case - The Calcutta High Court granted interim bail to Sujay Krishna Bhadra, a key accused in Bengal’s cash-for-school jobs scam, citing medical reasons. The bail, valid until March-end, includes restrictions such as surveillance. Bhadra, known for his political connections, was arrested by the ED and CBI and remained in custody despite earlier bail in an ED-registered case. His trial under the Prevention of Money Laundering Act has begun. The authorities recently obtained his voice samples after multiple failed attempts. The next court hearing is scheduled for March 20, and he remains under investigation.

HEADLINES

🧑‍🍳 What else is cookin’?

What’s happening in India (and around the world 🌍️)

• Israel withdraws from all but 5 points in south Lebanon.

• India formulating strategies to protect exporters' interests.

• Indian luxury car industry is like a startup which is growing slowly: Audi India head Balbir Dhillon.

• What is Grok 3? Elon Musk's xAI unveils 'scary smart' AI chatbot to challenge OpenAI, DeepSeek.

• Costa Rica to receive illegal Indians from United States.

CULTURE

🍿 Entertainment, Entertainment, Entertainment

• Singer Anuv Jain marries longtime girlfriend Hridi Narang 💕 

• Rajkummar Rao and Wamiqa Gabbi’s Bhool Chuk Maaf teaser is out now.