BQuick On April 15: Top 10 Stories In Under 10 Minutes

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This is a roundup of the day’s top stories in brief.

1. ‘Near-Normal’ Monsoon

India is likely to receive ‘near-normal’ monsoon this year, the Meteorological Department said today.

• The weather forecaster said that while El Nino conditions do persist as of now, they are likely to weaken as the rainy season progresses into July and August.
• “Generally, El Nino is associated with below-normal rainfall but there's no one-to-one association between El Nino and monsoon rainfall,” the department added.
• It expects monsoon to be 96 percent of long-period average, with model error of +/- 5 percent. Indian monsoon long-period average is 89 centimetres.

The monsoon is expected to be well distributed.

2. Will Retail Food Prices Rise?

Wholesale inflation in India rose for a second consecutive month led by a continued sharp rise in food inflation, showed data released by the government on Monday.

• Inflation as measured by the Wholesale Price Index rose to 3.18 percent in March with prices of vegetables, pulses and cereals rising.
• This pushed WPI food inflation to 5.68 percent in March from -3.24 percent just a few months ago in November.
• While retail food prices have also started to rise, the pace of increase has been more muted.
• CPI food inflation has moved from -1.69 percent in November to 0.66 percent in March.

Typically, higher wholesale prices feed into retail prices but the correlation has weakened in the last two years, shows BloombergQuint’s analysis.

3. Trade Deficit Widens In March

India’s trade deficit widened in March from a month ago, as a rebound in oil prices raised the cost of imports in the world’s fastest-growing economy.

• The gap between exports and imports was $10.9 billion last month, compared with $9.6 billion in February and $13.5 billion a year ago, data released by the commerce ministry showed on Monday.
• The deficit is wider than the $9.7 billion median estimate in a Bloomberg survey of 24 economists.
• Exports rose 11 percent from a year ago to $29.3 billion, compared with a 2.4 percent gain in February and 0.66 percent drop in March last year.
• Imports rose 1.4 percent to $43.4 billion, against a 5.4 percent decline in February and 7.2 percent rise in the year-ago month.

4. Sachet/Small Packs Revolution 2.0

The nation’s largest consumer goods makers are not just selling shampoos and biscuits in smaller, affordable packs but also branded dairy products, cosmetics, beverages and more. Users in smaller cities and rural areas, they said, are willing to switch to premium brands.

• “We find a tremendous increase in demand for small Rs 5 to Rs 20 packs. People are buying or consuming less of bigger packs and more of smaller ones,” said RS Sodhi, managing director at Gujarat Co-Operative Milk Marketing Federation Ltd., the maker of Amul branded milk to ice-cream.
• Sodhi attributed it to a shift from unbranded to branded products in price-sensitive markets.
• Companies are making premium products more accessible at lower price points and there is a higher movement in the breakfast and energy bars categories, according to Dhananjay Sengupta, chief executive officer-small format at Future Group.

Find out how consumer companies are using the decades-old strategy to win over buyers.

5. Is Bajaj Auto’s Strategy Sustainable?

Bajaj Auto Ltd. gained market share at the expense of other two-wheeler makers in the year ended March 2019 as it focused on entry-level cheaper bikes.

• The market share of the Pune-based company rose over 200 basis points to 12.3 percent, according to Maybank Kim Eng Securities, citing Society of Indian Automobile Manufacturers data.
• That came despite a slowdown in sales since the festive season last year. Share of market leader Hero MotoCorp Ltd. and second-placed Honda Motorcycles and Scooters India Ltd. declined during the period.
• Bajaj Auto, once India’s largest two-wheeler maker, may take heart from the data as it got relegated to a distant third spot last year, with competitors upstaging it in the entry-level, executive and premium motorcycle segments.
• That forced the automaker, that prized margins over market share, to reduce prices of entry-level bikes, the biggest contributor to its sales volumes.

Is Bajaj’s new strategy sustainable?

7. Jet Airways Employees Grapple With Uncertainty

Jet Airways (India) Ltd. is in zombie land. Once India's largest airline, it’s currently flying 6-7 planes, hasn't paid salaries since January and its pilots are threatening not to fly. With planes repossessed by lessors, and no money for fuel and to pay salaries, buyers face the same uncertainty as employees.

• One pilot, employed at Jet for 19 years, said that "things are getting worse" because she has to pay monthly installments for her home and vehicles.
• She considered switching jobs but other airlines are offering a lower salary, which isn't feasible for her.
• Another flight analyst said he would consider switching sectors completely because "the situation in aviation has turned worse."

BloombergQuint spoke to several Jet Airways employees about what’s going on. Here are their stories.

8. Supreme Court Weighs In On Modi Biopic, Rahul Gandhi’s Remark

The Supreme Court on Monday, directed the screening of the biopic of Prime Minister Narendra Modi for the Election Commission. The court asked the poll panel to give its view on whether to release the movie or not in a sealed cover by April 19.

• The court had on April 12 agreed to hear the matter, after the producers submitted the plea raising issues related to fundamental rights of freedom of speech and expression.
• The next hearing on the matter will be on April 22.
• The Supreme Court also issued a notice to Congress President Rahul Gandhi in connection with a contempt petition filed against him.
• The court has sought an explanation from Gandhi over his "chor" remark to be provided on or before April 22.
• The next hearing will be on April 23.

9. Cash, Booze, Gold Seizures Surge

India’s enforcement agencies have so far seized cash, liquor, drugs, gold and other contraband worth Rs 2,500 crore ($361 million) as the country’s polling gets underway, already double the value of goods seized in the entire 2014 elections.

• They’re confiscating as much as Rs 100 crore in cash and goods each day, as offenders use ambulances and other vehicles fitted with flashing lights to carry cash and give handouts in lunch boxes to lure voters.
• The Election Commission’s observers, surveillance teams and enforcement agencies are raiding airports, highways, railway stations, hotels and farm houses if there’s a suspicion of illegal money.
• They keep watch on financial brokers, cash couriers and pawn brokers engaged in the movement of cash, check vehicles crossing state borders and open bags on buses to search for bribes in order to ensure a fair vote.

Here’s why the cat-and-mouse game between officials and offenders continues.

10. India’s World Cup Squad

Dinesh Karthik has beaten Rishabh Pant in the race to become the second wicket-keeper in the Indian team for the upcoming World Cup in England and Wales.

• Five Indian cricket selectors, led by M.S.K. Prasad, met in Mumbai on Monday and picked the 15-member squad.
• Vijay Shankar goes to the showpiece event as the number four batsman and Ravindra Jadeja has been picked as the third spinner ahead of a fourth pacer.
• KL Rahul joins in as the back-up opener.

Here is India’s full squad for the ICC World Cup.