CHENNAI TUESDAY JUNE 02, 2020 `7.00 PAGES 16 LATE CITY EDITION NOW, DGCA ASKS AIRLINES TO KEEP MIDDLE SEATS VACANT The Directorate General of Civil Aviation on Monday asked airlines to keep middle seats empty to the extent possible IF SEAT OCCUPIED, PROTECTIVE GEAR MUST If a flyer has been allotted the middle seat due to high passenger load, then “additional protective equipment like wrap-around gown of the Ministry of Textile approved standards” must be provided in addition to a three-layered face mask and face shield, the DGCA said. “However, members of the same family may be allowed to sit together,” it added ■ 50% ACTION FOLLOWS SUPREME COURT NUDGE ■ The aviation regulator’s action follows a nudge from the SC While hearing a petition on whether to keep middle seats in flights vacant or not, the Supreme Court had on May 25 said the DGCA can alter the norms in the interest of public health and safety of passengers “rather than of commercial considerations” AVERAGE PASSENGER LOAD SINCE DOMESTIC FLIGHTS RESUMED ON MAY 25 CHENNAI ■ MADURAI ■ VIJAYAWADA ■ BENGALURU ■ KOCHI ■ HYDERABAD ■ VISAKHAPATNAM ■ COIMBATORE ■ KOZHIKODE ■ THIRUVANANTHAPURAM ■ BELAGAVI ■ BHUBANESWAR ■ SHIVAMOGGA ■ MANGALURU ■ TIRUPATI ■ TIRUCHY ■ TIRUNELVELI ■ SAMBALPUR ■ HUBBALLI ■ DHARMAPURI ■ KOTTAYAM ■ KANNUR ■ VILLUPURAM ■ KOLLAM ■ WARANGAL ■ TADEPALLIGUDEM ■ NAGAPATTINAM ■ THRISSUR ■ KALABURAGI SCOPE AND SWEEP OF MSMEs JUST GOT BIGGER `50,000 crore equity infusion for small businesses; stressed companies to get `20,000 crore support for unsecured loans; definition of micro, small and medium enterprises expanded to increase its ambit; export revenue to be excluded while calculating the turnover The policy change was already announced by Finance EXTENDING a lifeline to In- Minister Nirmala Sitharaman dia’s struggling micro, small last month as part of Aatmand medium enterprises (MS- nirbhar Bharat package. While MEs), which are badly hit by the FM had proposed definition the nationwide lockdown due for medium enterprises as to the Covid-19 pandemic, the companies with investment up Union Cabinet on Monday ap- to `20 crore and turnover of proved tweaking the definition `100 crore, companies requestof MSMEs in such a way that ed her to enhance it further, more companies can claim the which has now been accepted. benefits available for small “This will help in attracting businesses. investments and creating more The Cabinet Committee on jobs in the MSME sector,” an Economic Affairs official statement said. (CCEA), chaired by Nitin Gadkari, UnPrime Minister Narenion minister for MSdra Modi, also apMEs, said the sector is proved provisioning of very critical for the `20,000 crore as suboreconomy and 60 mildinated debt (unselion MSMEs contribcured loan) to provide ute as much as 29% to Loans for equity suppor t to India’s GDP, 48% of vendors stressed MSMEs. total exports, and genIn other decisions, The Cabinet also erate 110 million jobs. t h e C a b i n e t a l s o cleared Pradhan Exporters welcomed Mantri Street cleared equity infuthe move saying the Vendor’s sion of `50,000 crore change in definition AtmaNirbhar for small scale units will not only help in Nidhi, under through a Fund of ease of doing busiwhich street Funds, which will help ness, but also attract MSMEs to be listed vendors can avail more investment. and be able to raise working capital “Excluding exports f u n d s f r o m t h e loan of `10,000 turnover from total each, repayable turnover will help in market. over one year According to the internationalisation new definitions, MSof MSME and will MEs with an investment of `1 bring their focus on exports. crore and turnover of `5 crore This will also benefit a lot of will be classified as micro- gems and jewellery companies, units, units with an investment which would have breached the of `10 crore and turnover of MSME criteria due to the sheer `50 crore as small units and cost of their inputs,” said those with investment of `50 Sharad Kumar Saraf, presicrore and turnover of up to dent, Federation of Indian Ex`250 crore as medium units. port Organisations. EXPRESS NEWS SERVICE RBI leash & inadequate recap stymie govt banks A N U R A D H A S H U K L A @ New Delhi @ New Delhi Bank. While LIC took over IDBI Bank, UBI is being BANK credit to MSMEs may merged with Punjab National take a turn for the worse with Bank. The other three will refive banks remaining under main independent banks. RBI’s Prompt Corrective AcFive banks that exited PCA tion (PCA), which prohibits last year are Bank of India, lenders from doing regular Bank of Maharashtra (both banking business inwill remain independcluding lending and deent), Oriental Bank of posit mobilisation. Commerce, Allahabad Out of the 11 banks Bank and Corporation placed under PCA, five Bank, which are underexited the restrictive going the merger proframework last year cess with other statebut lending may still be run lenders. Market subdued as three of Dena Bank ceased to share those banks are underexist as an individual going the merger pro- PSBs’ market entity following its cess, which could slow share in MSME merger with Bank of lending stood Baroda last April. down credit offtake. at 49.8% in That banks under Analysts say banks PCA saw a drastic re- the December need urgent recapitaliquarter duction in business last sation to exit PCA and year was evident from get back to lending. their credit flows. For instance, Karthik Srinivasan of Icra IDBI Bank, which continues to Ratings notes IOB needs addibe under PCA, saw its net ad- tional capital of `1,200-1,300 vances plunge to `1.46 lakh crore to exit PCA. crore in FY19 from `1.71 lakh Similarly Abhijit Urankar of , crore in FY18. Similarly, Cen- Care Ratings observes while tral Bank of India’s lending fell IDBI received `9,300 crore in from `1.56 lakh crore in FY18 to the September quarter last fis`1.46 lakh crore, while UCO cal (`4,743 crore from LIC and Bank’s eroded from `1.07 lakh `4,557 crore from the governcrore to `99,314 crore. ment via recap bonds), which The five banks under PCA bumped up its overall capital are Indian Overseas Bank, Cen- ratios to 11.97%, the bank still tral Bank of India, UCO Bank, needs capital support to mainUnited Bank of India and IDBI tain adequate capitalisation. S U N I T H A N AT T I @ Hyderabad `250-crore firms now MSMEs Earlier, MSMEs were defined on the basis of investments put in by the company Now, turnover will also be considered (Export revenue will be excluded from total turnover) MICRO SMALL MEDIUM A business will now be classified as a ‘micro’ unit if it has investments up to `1 crore and turnover of less than Investment limit raised from `5 crore to `10 crore with turnover not exceeding Investment limit raised from `20 crore proposed in the Atmanirbhar package to `50 crore and turnover from `100 crore to `5 crore Earlier, manufacturing units with investment below `25 lakh and services firms with investment under `10 lakh were considered micro units `50 crore `250 crore SERVICES SECTOR Earlier, the investment limit for services businesses was less than that of manufacturing firms. Now both manufacturing and services will be treated equally Moody’s downgrades India rating Factory output falls in May Moody’s on Monday downgraded India’s sovereign rating to ‘Baa3’ from ‘Baa2’. “While today’s action is taken in the context of the coronavirus pandemic, it was not driven by the impact of the pandemic... (it) amplifies vulnerabilities in India’s credit profile that were present and building prior to the shock,” it said | P10 Despite staggered easing of lockdown curbs, India’s manufacturing activity continued to contract in May, a monthly survey showed. The manufacturing Purchasing Manager’s Index, released by IHS Markit, stood at 30.8 in May, slightly better than the record contraction recorded in April at 27.4 | P10 ` BIGGEST COAST-TO-COAST U.S. PROTESTS IN 5 DECADES In what is being described as the most widespread racial turbulence in the US since the assassination of Martin Luther King in 1968, many cities witnessed protests over the death of African-American George Floyd in police custody. A look MSP Increase* Hike** Paddy Jowar Bajra Ragi Maize Arhar dal Moong Urad Groundnut `1,868 `2,620 `2,150 `3,295 `1,850 `6,000 `7,196 `6,000 `5,275 Ranipet 5 Vellore 3 Chennai 964 Kancheepuram 9 Chengalpattu 48 Villupuram 8 Cuddalore 1 Perambalur 1 Nilgiris 1 Thanjavur 4 Pudukkottai 1 Tenkasi 2 Thoothukudi 1 Tirunelveli 1 1,162 Kanniyakumari 2 Ramanathapuram 2 @ Chennai 4,400 Protestors arrested so far, charged with a range of offences, including looting, blocking motorways and breaking curfew LOOTING REPORTED IN SEVERAL CITIES, INCLUDING PHILADELPHIA, SANTA MONICA AND CALIFORNIA. IN NEW YORK, THIEVES RAIDED LUXURY STORES LIKE CHANEL, ROLEX AND PRADA BOUTIQUES In Atlanta, Georgia, two police officers sacked for using excessive force on two young college students TRUMP BUNKERED Over 1,000 protestors clashed with police at a park next to White House. The crowd later piled up road signs and plastic barriers and lit them. A building in the park burnt down US President Donald Trump was rushed to a White House bunker on Friday night as hundreds gathered outside in protest. The President spent nearly an hour in the bunker that is meant for emergencies like terrorist attacks 23,495 10,138 11 413 STATEWIDE TALLY ACTIVE CASES DEATHS DISCHARGED fresh cases in Tamil Nadu EXPRESS NEWS SERVICE Police use tear gas to clear protesters blocking the Interstate 35 near the Austin Police Department headquarters on Sunday in Austin, Texas, during demonstrations over the death of George Floyd, who was pinned at the neck by a Minneapolis police officer on May 25 | AP | P9 50% 50% 83% 50% 53% 58% 50% 64% 50% ** Return over the projected cost of production Tiruvallur 33 Thirupattur 1 53 70 150 145 90 200 146 300 185 * Increase in MSP per quintal COVID-19 BATTLE Dindigul 5 Police clash with protesters in Philadelphia, Los Angeles, New York & Chicago, firing tear gas and pepper bullets National Guard personnel deployed in 15 states and Washington DC to control violence, 2,000 more placed on standby Crop Salem 10 Witness protests in six days; curfew imposed in about 40 of them 5,000 ON a day the Cabinet Committee on Economic Affairs approved raising the Minimum Support Price for kharif crops by at least 50%, Union minister for agriculture Narendra Singh Tomar on Monday said a new legislation will be introduced to give full freedom to farmers to sell their produce. Expected to dismantle the existing Agriculture Produce Marketing Act Committee (APMC), the new law is intended to replicate e-NAM. Though agriculture is a state subject, buying and selling of agricultural produce is a matter of trade, so producers should have the freedom to sell to whoever offers maximum price, Tomar said. The NITI Aayog’s model APMC (Amend) Act in 2015 to states to reform mandi system had failed to make headway . With no clarity on Parliament session, the government could take the Ordinance route for the agri marketing reform. Tiruvannamalai 10 75 CITIES Despite attempts to repulse them with tear gas and flash grenades, protesters vandalised police vehicles at many places and set them afire. Seven injured Boston police officers hospitalised MSP up, new law to replace mandi system EVEN as the number of new cases in Tamil Nadu remained high with 1,162 cases and 11 deaths reported on Monday, the government announced increasing the number of beds at hospitals across the State. The fresh cases and deaths have taken the Statewide tally to 23,495 and the toll to 184. As many as 413 were discharged on Monday taking the number of cured patients to 13,170, which is higher than the 10,138 active cases. Addressing reporters at Stanley Hospital, Health Minister C Vijayabhaskar said that apart from major hospitals, number of beds are being scaled up in second and third tier hospitals like Urban Primary Health Centres. “On Monday, 400 beds with individual partition and oxygen supply were added to the old block of Stanley Hospital. This is in addition to the existing 500. We are also increasing man power and have encouraged retired officials to participate in treating patients,’’ he said. Screening people coming into the State remains a challenge. “We have increased testing booths at government hospitals to avoid overcrowding,’’ Vijayabhaskar said. UNLOCK 1.0 | P2 LANGUAGE BARRIER Trudging desperately through strange land to go back home RANJITHA GUNASEKARAN @ Chennai IT is close to 3 am on Sunday, and an exhausted cop is trying to direct a group of 41 men away from Central station. “Turn right at the signal and go to the police station,” he shouts in broken Hindi. The group, equally exhausted, inches ahead but not too far. They don’t trust him and they don’t want to lose sight of the gateway through which they hope to finally get home. They have been shuttling back and forth from Nehru stadium on the adjacent Sydenhams road and the entrance to the railway station from 6 pm, stymied by a language barrier. Among the group are four who walked here from Thandalam and want to go to Odisha. The others have staked the last of their money on a bus from Puducherry after waiting for two months without pay at their workplaces. They have no resources but for their mobile, some food and water. Sudha Ramamoorthy, a disability rights activist, accompanying this reporter speaks Hindi. This alone is enough to earn some trust. “We have been walking up and down this road for hours. They keep telling us to leave but we don’t know where we are supposed to go,” says one of them. They have gathered around Sudha as she explains what the officer is unable to: go to the station, they will take down your details and shift you to a shelter. You will P4 be put on the next train. BOLSTERING IT SECTOR Chief Minister Edappadi K Palaniswami laying the foundation stone for the Tidel Park in Pattabiram, through video conference on Monday. The park, coming up on 10 acres, is expected to generate 25,000 jobs | P3
Express Network Private Limited publishes thirty three E-paper editions of The New Indian Express newspaper , thirty two E-paper editions of Dinamani, one E-paper edition of The Morning Standard, one E-paper edition of Malayalam Vaarika magazine and one E-paper edition of the Indulge - The Morning Standard, Kolkatta.