NCAER scales down GDP forecast to 6.1%
New Delhi: The National Council of Applied Economic Research (NCAER) has warned of economic slow down, coupled with poor investment climate in the country.

Macro Track, NCAER’s quarterly update says that GDP growth for the current fiscal is likely to be 6.1 per cent, down from the seven per cent expected earlier. It has also pointed out that higher import bill, largely due to the rise in international oil prices, would push the current account deficit to 1.4 per cent of GDP and also keep the rupee under pressure throughout the rest of this year. It has cautioned that inflation might be higher than expected at 7.1 per cent because of the hefty rise in oil prices.

The quarterly report has however said that silver lining was the high export growth that has helped pull up demand. The report noted that due to the slowdown in agriculture, growth of consumer durables, which have a significant rural demand component, have declined. The slowing down of industrial production despite high export growth points to the marked role that the domestic market continues to play in ensuring sustained industrial growth.
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Coal sector to have spot pricing
Calcutta: The government has decided to let coal companies introduce a spot pricing mechanism for selling coal. With this coal companies can now offer discounts or charge premium depending upon availability. Coal India and Singerani Coal Company, the two public sector companies which are allowed to sell in the open market are now set introduce a three-tier pricing strategy including a spot pricing mechanism.

The three-tier pricing mechanism will include pricing of coal based on listed price, bipartite agreement and spot prices. Under the spot price scheme, the coal companies can now offer coal to non-linked customers on an as-is-where-is basis. Discounts will be offered if coal stocks are on the rise.
The spot pricing mechanism will also follow the international spot market for coal and take into consideration increases or decreases in international prices which directly impact the landed price of imported coal.
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