The Choose France Summit strengthens economic ties between India and France through significant investment commitments by Indian companies, highlighting their growing partnership.

Indian companies made significant commitments at the Choose France Summit held in Paris this week, signaling a deepening of economic ties between the two nations. Motherson, a prominent player in manufacturing, announced its investment to acquire a French company, positioning France as the central hub for its global aerospace strategy. Additionally, IT services giant TCS pledged to establish a Global Artificial Intelligence Centre in Paris.

The French Embassy in India shared these developments on its social media platform, highlighting the importance of these investments. Overall, about Rs 1.35 lakh crore of new investments were announced at this year’s summit, with the Indian projects contributing substantially to this figure.

President Emmanuel Macron met with Indian CEOs during a special session dedicated to India, underscoring the growing partnership between the two countries. He welcomed the increasing Indian investments in France and emphasized the potential for further collaboration.

The Choose France Summit, an annual flagship business event hosted by President Macron, aims to promote France’s economic attractiveness and encourage international investment. This year, India was honored as the first-ever country of focus, with a dedicated roundtable and participation from leading Indian CEOs.

Among the Indian business leaders present at the summit were Sunil Bharti Mittal, Chairman of Bharti Enterprises, N Chandrasekaran, Chairman of Tata Sons, and Pankaj Munjal, Chairman and MD of Hero Cycles, among others. Their presence underscored India’s keen interest in expanding its footprint in France.

France has positioned itself as the most attractive European economy for foreign investments, with favorable economic conditions such as lower inflation, ongoing reforms, and reduced tax rates. This has made the country an appealing destination for foreign investors, including Indian companies like L&T Technology, TCS, and Tata Tech, which have already established a presence in France.

Since its inception in 2018, the Choose France Summit has played a pivotal role in promoting France’s economic attractiveness on the global stage. Convened by the President and members of the Government, the summit brings together leaders from multinational corporations to explore investment opportunities across France.

Last year’s summit witnessed substantial investment commitments totaling over 13 billion Euros for 28 projects, highlighting the event’s effectiveness in attracting international capital. With the continued success of the Choose France Summit and the deepening economic partnership between India and France, both countries stand to benefit from enhanced collaboration and investment opportunities in the years to come.

The Choose France Summit serves as a platform for fostering dialogue and cooperation between France and its international partners. With India being honored as the country of focus this year, the summit has further solidified the bilateral ties between the two nations. The presence of prominent Indian CEOs underscores the mutual interest in exploring opportunities for investment and collaboration. As France continues to enhance its economic attractiveness through reforms and favorable policies, Indian companies are increasingly looking to leverage these opportunities for growth and expansion in the European market.

The Choose France Summit plays a crucial role in facilitating this exchange and driving economic cooperation.

India Infrastructure Finance Company Limited (IIFCL) has announced its all-time high performance for the fourth year in a row, recording the highest ever annual sanctions and disbursements of Rs 42,309 crore and Rs 22,356 crore respectively during the financial year (FY) 2023-24. This performance surpassed the previous years’ figures of Rs 29,171 crore and Rs 13,826 crore respectively, a year-on-year growth of 45 per cent and 62 per cent respectively.

The government-owned financial institution caters to the long-term financing needs of India’s infrastructure sector and is amongst the most diversified public sector infrastructure lenders in terms of eligible infrastructure sub-sectors and product offerings.

The cumulative sanctions and disbursements stood at Rs 2,55,687 crore and Rs 1,28,004 crore as of 31 March 2024, of which 46 per cent of the cumulative sanctions and 44 per cent of the cumulative disbursements were achieved in the last four years. The consolidated sanctions and disbursements of IIFCL stood at Rs 2.97 lakh crore and Rs 1.48 lakh crore as of 31 March 2024.

The infrastructure major also posted the highest ever profitability numbers. The company registered its highest ever profit before tax (PBT) of Rs 2,029 crore, recording a growth of 59 per cent over the previous year’s PBT of Rs 1,277 crore. Profit after tax (PAT) grew by 44 per cent over the previous year to Rs 1,552 crore in FY 2023-24, up from Rs 1,076 crore in FY 2022-23, representing a 30x increase over PAT of FY 2019-2020. The company’s net worth grew 11 per cent to Rs 14,266 crore in FY 2023-24 (up from Rs 12,878 crore in FY 2022-23 and 38 per cent over Rs 10,306 crore of FY 2019-20), thereby opening an additional window of opportunity for IIFCL to lend more to infrastructure projects by enhancing exposure limits.

The results displayed growth with quality. As of 31 March 2024, IIFCL has been able to improve its asset quality with a significant decline in gross NPA ratio to 1.61 per cent (down from 4.76 per cent in the previous year and 19.70 per cent as on March 2020) and net NPA ratio to 0.46 per cent (down from 1.41 per cent in the previous year, which stood at 9.75 per cent as on March 2020).

The company recorded year-on-year growth of 21 per cent in its standalone portfolio to Rs 51,017 crore in FY 2023-24 from Rs 42,271 crore in FY 2022-23. In order to boost the availability of longer-tenor debt finance for infrastructure projects, IIFCL ventured into investment in Infrastructure bonds and InvITs in FY 2021-22. Since then, the company has recorded a substantial increase in the investments made in Bonds and InvITs with Rs 8,467 crore and Rs 11,600 crore respectively, as of 31 March 2024.

India’s inflation based on the wholesale price index (WPI) in April increased at a positive rate of 1.26 per cent year on year, when it was 0.8% in April 2023, driven by fuel and power, WPI-food (primary food + manufactured food) and core-WPI (manufactured non-food products) groups, rising to a 13-month high, pushed by an increase in prices of food articles, electricity, crude petroleum and natural gas, manufacture of food products, and other manufacturing, among other factors.

The April WPI rose from 0.5 per cent in March 2024. The month-over-month change in WPI index for the month of April 2024 stood at 0.79 per cent as compared to March 2024, provisional data released by the Commerce Ministry showed on Tuesday. The WPI inflation eased marginally to 0.2 per cent in February 2024 from 0.3 per cent in January 2024, partly led by the decline in the inflation for minerals as well as the wider YoY deflation in core-WPI and fuel and power in February 2024 vs. January 2024.

Rating agency ICRA had forecast that WPI inflation would rise in March 2024, crossing the 1.0 per cent mark after a gap of 11 months, amid the ongoing uptick in international prices of crude oil and other commodities, as well as an unfavorable base (+1.4 per cent in March 2023. The food Index consisting of ‘food articles’ from primary articles group and ‘food product’ from manufactured products group have increased from 180.1 in March 2024 to 183.6 in April 2024. The rate of inflation based on WPI food index increased from 4.65 per cent in March 2024 to 5.52 per cent in April 2024.

The index for primary articles, a major group, increased by 1.97 per cent to 186.7 in April 2024 from 183.1 for the month of March 2024. Prices of crude petroleum and natural gas increased 3.56 per cent and that of food articles increased 2.67 per cent as compared to March 2024. Prices of non-food articles fell 1.19 per cent and minerals fell by 1.55 per cent in April 2024 as compared to March 2024. The index for fuel and power declined by 0.26 per cent to 154.8 in April 2024 from 155.2 in March 2024. Prices of mineral oils rose 0.06 per cent in April 2024 as compared to March 2024. Prices of electricity decreased 1.20 per cent in April 2024 as compared to March 2024.

The index for another major group, manufactured products increased by 0.50 per cent to 140.8 in April 2024 from 140.1 for the month of March 2024. Some of the important groups that showed month-over-month increase in prices are basic metals, other manufacturing, textiles, food products, chemical and chemical products, etc. Some of the groups that witnessed a decrease in prices are other non-metallic mineral products, paper and paper products, motor vehicles, trailers and semi-trailers, furniture and leather and related products in April 2024 as compared to March 2024.

India’s wholesales of passenger cars in April registered a marginal growth of 1.3 per cent with 3.36 lakh units, as compared to April 2023 and yet continuing the highest ever monthly sales trend driven by positive consumer sentiments and festivities in this month. Sales of PVs were 3,31 lakh units in the corresponding month last year, the Society of Indian Automobile Manufacturers (SIAM) reported on Tuesday.

The total sales of all categories put together was approximately 25 per cent to 21,36,157 units during the month as compared with 17,12,812 units in April 2023, the SIAM monthly report showed. Vinod Aggarwal, President, SIAM feels 2024-25 has started on a reasonably good note for the auto industry, as all the segments have posted growth in April 2024. “Above normal monsoon rainfall, policy continuity post-elections and Government’s push on manufacturing and infrastructure would propel the overall economic growth which would help in continuing the auto sector’s growth trajectory,” said Aggarwal.

Continuing with the trends of Q4 of 2023-24, two-wheelers reported significant yoy growth of 30.8 per cent in April 2024, compared to April 2023, posting sales of about 17.51 lakh units. Two-wheeler sales in April 2023 were 13,38,588 units. The SIAM data shows motorcycle sales grew by 34.4 per cent y-o-y to 11,28,192 units as compared with 8,39,274 units in April 2023. Similarly, scooter sales grew by 25.2 per cent y-o-y to 5,81,277 units as against 4,64,389 units in the same month last year.

The three-wheeler segment also reported sales of about 0.49 lakh units, with a growth of 14.5 per cent in April 2024, compared to April 2023. Three-wheeler sales in the domestic market were 49,116 units in April 2024. The total production of passenger vehicles, three-wheelers, two-wheelers and quadricycle in April 2024 was 23,58,041 units.

Heinemann will run duty-free stores at Noida International Airport, while BWC Forwarders will manage domestic retail and international duty-paid retail.

Noida International Airport (NIA) has granted the concession for retail and duty-free operations to a consortium led by Heinemann Asia Pacific and BWC Forwarders Private Limited. Heinemann will oversee duty-free stores, while BWC Forwarders will handle domestic retail and international duty-paid retail operations. Passengers at NIA will have access to Heinemann-branded stores throughout the airport. The domestic retail area will showcase a wide array of top international brands and well-known Indian labels.

The retail outlets at NIA will also showcase elements of local culture and heritage, highlighting the artisanal traditions of Uttar Pradesh. A curated collection of elegant regional artifacts, textiles, woodwork, jewelry, and metalwork sourced locally will provide passengers with a glimpse into the rich cultural tapestry of the region.

Meanwhile, the international duty-free outlet at NIA will offer a wide array of premium brands across categories such as liquors, tobacco, confectionery, perfumes, cosmetics, fragrances, and chocolates. Additionally, passengers can explore fashion accessories, regional handicrafts, souvenirs, ayurvedic products, packaged food, teas, coffees, and spices, ensuring a delightful shopping experience amidst their travels.

Speaking on the development, Christoph Schnellmann, chief executive officer of NIA, said, “As we continue to develop Noida International Airport into a world-class facility, this partnership will provide a seamless blend of duty-free and retail shopping, catering to the diverse needs of our travelers. This will enable access to an array of premium and experiential options that will ensure our passengers’ time at the airport is both enjoyable and memorable. We believe this collaboration will set a new standard for airport retail, creating an unparalleled shopping experience for travelers at Noida International Airport.”

“The Indian growth story, particularly when it comes to travel and aviation, is an extremely exciting onwards and upwards journey to be a part of. We deeply thank the NIA team for their trust in appointing us as their very first retail partners. Together with BWC, we look forward to crafting an exceptional retail environment at Noida, and to continuously grow our shared business in India for the long term,” Marvin von Plato, chief executive officer of Heinemann Asia Pacific, added.

Noida International Airport’s first phase is anticipated to handle a capacity of 12 million passengers annually. NIA’s future development phases will enable it to cater to up to 70 million passengers per year.

Amazon.com Inc. merchants are facing significant economic pressure. Earlier this year, the e-commerce giant implemented fee changes, effectively transferring more operating costs onto the small businesses that constitute the majority of its product sellers. Additionally, merchants are grappling with a trend of consumers opting for cheaper products across various categories in the first four months of the year, as reported by Adobe Inc. This shift towards lower-priced items makes it challenging for merchants to increase prices and maintain profitability online.

Duncan Freer, who sells weighted blankets and sleep masks on Amazon, expects his profit margin to slide to 8% from 20% as a result of the new fees. One, imposed in March, charges a levy on shipments sent to the company’s fulfillment centers. That will drive the cost of shipping two pallets of Freer’s products to Amazon to more than $800, up four-fold from what it cost him in October, he said. Amazon reduced the cost of fulfilling each customer order, but Freer said it only partially offsets the new fees.

“Amazon just keeps grabbing more and more,” said the Chicago businessman, whose sales on the marketplace amount to about $500,000 a year. “It’s like a kick in the gut.”

Amazon said the new fees are intended to reflect its own cost of distributing inventory around the US so more items can be delivered in just one day, which helps boost overall sales for online merchants. Some fees actually went down. In January, Amazon cut commissions for sellers of low-cost apparel, a move interpreted by merchants as an effort to blunt competition from Chinese fast-fashion startup Shein.

“When we announced these new fee changes in December, we estimated that sellers will on average see an increase of $0.15 per unit sold, which is significantly less than the average fee increases announced by other fulfillment service providers,” company spokeswoman Mira Dix said in an emailed statement. “As sellers are adapting to these changes we have seen that the actual impact is even lower, and many more sellers are seeing a decrease in the average fees that they are paying to Amazon.”

Still, many merchants say Amazon is mostly benefiting from the higher fees, an assertion reflected in the company’s earnings. Revenue from seller services, which includes the popular Fulfillment by Amazon logistics operation, increased at a faster rate than fulfillment expenses in each of the past seven quarters. Amazon’s seller services revenue of $34.6 billion for the period ended March 30 was up 36.5% from two years earlier, more than triple the pace of growth of its fulfillment costs, which were $22.3 billion in the period.

In last month’s earnings report, the cloud computing division’s strong performance overshadowed the growing tension between Amazon and its sellers. Amazon Web Services in the first quarter contributed more than 60% of the company’s operating income even though it accounts for less than 20% of revenue. But sales in the core e-commerce business grew at a slower pace than the number of units sold, another indication that consumers are watching their budgets.

Amazon’s marketplace model helps the company keep growing through a slowdown by charging fees for advertising and logistics. Antonio Bindi, a Brazilian businessman who has sold home storage and kitchen products on Amazon for five years, said the fee structure is getting increasingly complex. Of particular concern: a levy introduced in April charged when sellers’ inventory runs low. That’s on top of previous storage fees that increase when slow-selling inventory lingers in Amazon warehouses. It’s too much for his 20-person team to manage, so he’s whittling his catalog of 500 products down to 400 to simplify the operation. Five years ago, he said, “Amazon was a platform that would facilitate your business operations and let you focus on what you’re good at, like creating great products. You could just send your products to Amazon, and they’d take care of everything. Now you need an entire department to deal with the complexity. The costs are prohibitive.”

San Francisco seller Neil Ayton sells golf yardage books, yoga gear, and pickleball equipment. One of his most popular products is a yoga stick practitioners use to stretch. It was 59 inches, the longest it could be to avoid higher fee tier. Earlier this year, he noticed Amazon cut the size limit, and suddenly his yoga sticks were one inch too long. Shipping costs for each product jumped from $10 to $26, and Ayton began losing $3 per sale.