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Dialysis Firm Nephroplus Gets 8,50
Crore From Quadria
New Delhi: Singapore-based healthcare-focused PE firm Quadria
Capital has announced an investment of $102 million (Rs 850 crore) in NephroPlus,
Asia's largest dialysis network. Quadria will acquire a significant minority
stake through a combination of a primary investment and purchase of ₹ shares
from existing shareholders, a company statement said.
The transaction will support NephroPlus in serving growing
demand for high quality, affordable dialysis services across India and other
markets in Asia.
Founded in 2010, NephroPlus operates in sizeable, high-growth
markets across Asia, with dominant leadership in India and a fastgrowing
footprint in the Philippines and other Asian countries. Demand for dialysis
services in the company's target markets is expected to grow at a rate of over
11% annually over next five years.
Vikram Vuppala, founder and CEO of NephroPlus, said: "Our
business has evolved tremendously over the past few years and today we are proud
to be one of the fastest growing and most trusted providers of high-quality
dialysis to around 30,000 patients. We look forward to expanding in India, our
core market, while exploring further opportunities to bring our expertise and
clinical excellence to more patients in other global markets".
https://timesofindia.indiatimes.com/business/indiabusiness/dialysis-firm-nephroplus-gets-850-crore-fromquadria/articleshow/109897530.cms
May 7, 2024
India Poised To Benefit From US Tariff
Hikes
Biden plan to levy high tariffs on a host of Chinese
products, including electric vehicles (Evs), batteries, and medical supplies.
US President Joe Biden's plan to levy high tariffs on a host
of Chinese products, including electric vehicles (EVs), batteries, and medical
supplies, will likely benefit Indian exporters, government officials and trade
experts believe.
Higher duties on Chinese face masks, syringes, needles,
medical gloves and natural graphite could aid Indian exports of these products.
By scaling up production and exports of these sough-after products, India stands
to boost its presence in the US market, they said.
The White House on Tuesday hiked tariffs on Chinese EVs from
25% to 100%, the doubled levies on solar cells from 25% to 50%, and tripled the
duty on certain steel and aluminium products from 7.5% or less to 25%.
Tariffs on non-lithium-ion battery parts shipped from China
to the US will also increase from 7.5% to 25%. Previously untaxed Chinese items
such as face masks, critical minerals, and ship-toshore cranes will now be
subject to a 25% tariff.
Washington has reportedly said that these tariffs will hit an
estimated $18 billion worth of imports from China.
“It will certainly open gates for Indian products in the
markets of developed economies," said a senior government official, who wished
not to be named.
“The US is one of the major export markets for most Indian
goods, such as diamonds, medical appliances and accessories, agricultural
products, refined petroleum, rice, textiles, and apparel, among others."
That said, experts also cautioned about the possible dumping
of Chinese goods in India. With the US and EU facing reduced imports of Chinese
EVs due to tariff hikes, Beijing might divert these products to other markets,
including India.
Opportunities for India
"Certain medical products, including PPE kits, syringes,
gloves, and others, will enter the US market. India's position as the
second-largest producer of PPE kits, masks, face masks, syringes, needles, and
medical gloves will give us a significant advantage, allowing us to benefit from
this opportunity," said Ajay Sahai, director general of the Federation of Indian
Export Organizations (FIEO).
To be sure, India is not a leading manufacturer of every
Chinese item now facing a tariff hike – China, for instance, is the world's
largest manufacturer of EVs, whereas Indian EV production is negligible.
However, the story may be slightly different for some other
items.
In March 2024, exports of medical plastics, including
syringes, catheters, cannulae, and spectacle lenses, surged by 10.4%, reaching
$48.7 million from $44.1 million in March 2023.
India has the potential to ramp up its manufacturing
capacities in certain segments to tap into opportunities resulting from the high
tariffs imposed by the US on Chinese products, making them less
competitive, Sahai said.
He also added there were potential export opportunities in
aluminium and steel.
In FY24, Indian exports to the US saw a marginal decrease of
1.32%, totalling $77.5 billion compared to $78.54 billion in 2022- 23.
Simultaneously, imports from the US declined approximately 20%, amounting to
$40.8 billion, according to data from the commerce ministry.
Implications of US-China trade tensions
“These proposed increases are a part of the US's broader
strategy under Section 301 of the Trade Act of 1974, aimed at combating what it
deems as unfair trade practices by China," said Ajay Srivastava, the founder of
Global Trade Research Initiative (GTRI).
Katherine Tai, the US Trade Representative, emphasized that
these measures are necessary to counter the flooding of global markets with
low-cost Chinese products. In 2023, the US imported goods worth $427 billion
from China and exported $148 billion, highlighting a significant trade
imbalance.
In 2023, the US imported goods worth $427 billion from China
and exported $148 billion, highlighting a significant trade imbalance.
However, the GTRI said the proposed tariff increases exceed
the US's bound duty commitments at the World Trade Organization, potentially
violating WTO provisions. “The US has increasingly justified these increases
under the rarely used National Security clause."
“Developed countries, including the US and EU, are
increasingly embracing protectionist measures through routine tariff increases
that exceed their WTO commitments and substantial subsidy programs aimed at
boosting local production. This shift signals a prioritization of industrial
policy over trade policy, reflecting a broader trend towards economic
self-reliance," GTRI's Srivastava said.
“The new tariffs are another hit to supply chains as they try
to manage ongoing risks and build resiliency. Whenever tariffs are increased,
regardless of the rationale for doing so, the impact goes beyond cost increases
to companies and consumers," said John Donigian, senior director of supply chain
strategy at Moody’s.
Queries emailed to the commerce ministry remained unanswered
till press time.
https://www.livemint.com/economy/competition-commission-ofindia-to-soon-bring-new-set-of-merger-regulations-11716215222979.html
16 May 2024
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