India, Saudi Arabia Agree to ‘Accelerate’ $50 Billion West Coast Refinery Project

During a discussion with Saudi Crown Prince Mohammed Bin Salman, Prime Minister Narendra Modi described Saudi Arabia as one of India’s most important strategic partners.

New Delhi: India and Saudi Arabia agreed to accelerate the joint project of the West Coast oil refinery, even as they also talked about strengthening security cooperation to combat terrorism during discussions between Prime Minister Narendra Modi and Saudi Crown Prince Mohammed Bin Salman Bin Abdulaziz Al-Saud on Monday, September 11.

The two leaders chaired the first meeting of the Strategic Partnership Council during the one-day state visit by the Saudi royal, who stayed on following the end of the G20 summit a day earlier.

At the start of the meeting, Modi described Saudi Arabia as one of India’s most important strategic partners. Last Saturday, India and Saudi Arabia were joined by the United States and the European Union in launching an ambitious plan for an economic corridor linking Indian ports through shipping and rail links to Europe via the Gulf region.

At a press briefing following the talks, MEA secretary (CPV) Ausaf Sayeed said leaders were looking forward to the early implementation of the West Coast refinery project for which funds worth $50 billion have been allotted.

“The two sides agreed to set up a joint task force to help in identifying and channelising the USD 100 billion investments which was promised by the Saudi side half of which was for the refinery,” he told reporters.

The joint statement issued after the talks said the “two sides agreed to develop joint projects to transform oil into petrochemicals in the two countries, and providing the necessary support, requirements and enablers to accelerate the project of West Coast Refinery”.

“The two sides agreed to explore investment opportunities in the field of fertilisers and intermediate, transformative and specialised petrochemicals in both countries,” it added.

In total, eight pacts were inked for cooperation in a range of areas including investment, digitisation, and saltwater desalinisation.

The Maharashtra-based West Coast refinery project, initially unveiled in 2015, is a joint project between ARAMCO, ADNOC, and Indian companies.

Both countries also agreed to establish a monitoring committee for tracking the progress of the refinery project, as per the senior Indian diplomat.

In the area of defence sector, India and Saudi Arabia “agreed on continuing to consider possibilities of joint development and production of defence equipment”.

It was also announced that they agreed on the “importance of cooperation to promote ways to ensure the security and safety of waterways and freedom of navigation in line with the United Nations Convention on the Law of the Sea (UNCLOS)”.

Similarly, the two countries underlined the need to strengthen security cooperation in combating terrorism and its financing. “Both sides emphasised that terrorism, in all its forms, remains one of the gravest threats to humanity. They agreed that there cannot be any justification for any act of terror for any reason whatsoever. They rejected any attempt to link terrorism to any particular race, religion or culture. Both sides called on all States to reject the use of terrorism against other countries, dismantle terrorism infrastructure where it exists and bring perpetrators of terrorism to justice swiftly,” said the joint statement.

The document also referred to the need to “prevent access to weapons including missiles and drones to commit terrorist acts against other countries”. Saudi Arabia has been targeted by frequent missile and drone attacks by Yemen’s Iran-backed Houthis after the Saudi-led military coalition intervened to remove the Yemeni government in 2015.

In his opening remarks, Saudi Crown Prince Mohammed recognised the substantial impact of the Indian community residing in Saudi Arabia, comprising 7% of the Saudi population. He reiterated that Saudi Arabia considers them an integral component of the nation. “We consider them to be a part of Saudi Arabia. We watch and take care of them like we take care of our own citizens.”

OIC’s Allegations of Harassment of Muslims in India ‘Regrettable’: Govt Sources Tell PTI

The sources told PTI that there have been deliberate attempts to damage India’s ties with the Arab countries.

New Delhi: The Organisation of Islamic Cooperation’s allegations of “Islamophobia” in India is regrettable and it should not try to “communalise” the global fight against the coronavirus pandemic, government sources said on Thursday

They said the OIC’s statement alleging harassment of Muslims in India is “factually inaccurate”.

The OIC should not try to communalise the global fight against coronavirus, they said.

The sources said there have been deliberate attempts to damage India’s ties with the Arab countries.

There has been a wave of angry reactions on Twitter by leading citizens from various Arab countries following allegations that Muslims are being blamed for spreading COVID-19 in several parts of India.

Why the Saudi Crown Prince’s Visit to India Was a Diplomatic Success

Narendra Modi’s West Asia policy remains the one area of achievement in an otherwise indifferent record of foreign policy.

For a moment leave, aside the immediate context that has overshadowed Crown Prince Mohammed bin Salman’s (MBS’s) visit to New Delhi – the Pulwama attack and its Pakistan connection. The visit has actually been very fruitful and is yet another indicator that Prime Minister Narendra Modi’s West Asia policy remains the one area of achievement in an otherwise indifferent record of foreign policy.

That said, it is important to acknowledge that Modi is building on the legacy of his predecessors – Atal Bihari Vajpayee and Manmohan Singh. Balancing relations with Saudi Arabia, Iran, Israel or Qatar is never easy, but New Delhi has managed to do it with considerable success. Instead of torpedoing legacy, as it did in its relationships with China, Pakistan, or for that matter Nepal, the Modi government has built on it.

In some ways this is brought out by the chief guests that India has had for the Republic Day. In 2003 it was President Mohammed Khatami of Iran, in 2006 it was King Abdullah bin Abdul Aziz al-Saud, and in 2017 it was Crown Prince Mohammed bin Zayed al Nahyan.

Also read: Mohammed bin Salman’s Foray Into the South Asian Quagmire

The reasons for this are not too far to seek. West Asia or the Middle East is the most important external region for India from the point of view of its security and its economy. It is the closest source of hydrocarbons for a country which needs to import them in considerable amounts. Sixty-three percent of India’s oil imports are from the region, but equally important is that some seven million Indian nationals work in the Saudi peninsula sending back remittances worth $40 billion to the country.

A history of building relations

The strategy of balancing relations in the region were evident in the Vajpayee period, and the UPA government continued the process. In a remarkable interview, one of the first by an Indian prime minister to a Saudi newspaper, Vajpayee described his policy in this way:

“In a country like India, there cannot be any radical shaping of policies in a short time. This is especially true about India’s foreign policy, which has, right from the time of our Independence in 1947, stood on the strong foundation of consensus and continuity.”

He referred to India’s establishment of formal relations with Israel in 1992 by Prime Minister Narasimha Rao, as well as his own government’s strong support for the “Palestinian struggle”. Then, as now, he referred to India’s quest for a Comprehensive Convention against International Terrorism (CCIT).

Also read: Why It Was Wrong to Expect the Saudi Prince to Take India’s Cue on Pakistan

Over the years, the relationship with the UAE has gathered strength. Modi has made two visits to the country in August 2015 and February 2018, while the Crown Prince of Abu Dhabi Mohammed bin Zayed al Nahyan (the de facto ruler of UAE) has visited India in February 2016 and as chief guest of the Republic Day in January 2017.

India’s ties with Israel have taken off in the tenure of the Modi government, but this is not an unusual development. If Modi was the first Indian prime minister to visit Israel, it was Vajpayee who invited the first Israeli prime miniser, Ariel Sharon, to visit India. Defence ties, too, go back to the Vajpayee years when India acquired Israeli UAVs, Barak SAMs and the Phalcon AWACS systems. What may have changed somewhat is the tenor of the relationship between the two hard-line rightwing leaders – Benjamin Netanyahu and Narendra Modi.

Yet, though Modi signalled proximity to Israel by refusing to combine a visit to Israel with one to Palestine, he did make an Indian prime minister’s first-ever visit to the West Bank next year and spoke of the Indian commitment to Palestinian interests. In December 2017, India was one of 128 countries who voted for a resolution calling on the US to withdraw its move to recognise Jerusalem as the capital of Israel.

Shortly after his Gulf tour that took him to Abu Dhabi, Dubai, Muscat and Ramallah, and the Israeli prime minister’s visit to New Delhi, Modi received President Hasan Rouhani of Iran in New Delhi in early 2018. Modi’s visit to Iran in 2016 had set the stage for the development of India-Iran ties when the two countries finally put up money to  build and operate Chah Bahar and committed itself to develop a rail link from there to Zahedan.

All this happened despite the well-known antipathy of US President Donald Trump to the Iran nuclear deal and the American decision to not just pull out of the deal, but impose stringent sanctions on Iran. India made it clear it would not stop importing oil from Iran, though several Indian companies began complying with US demands. Subsequently, in November 2018, the US gave India and six other countries a waiver to temporarily continue the purchase of Iranian oil.

Working towards a stable region

Energy and expatriate labour are the obvious leit motifs of Indian policy towards the region.

But both India and the Gulf states want to move beyond this. They are keen to diversify their economies, and they see the growing Indian economy as a good place to invest in. At the same time, Indian companies and professionals seek good prospects in the opportunities that are being opened up by GCC countries. Both MBS and the crown prince of Abu Dhabi see themselves as leaders who will herald a new era in their respective countries.

Modi’s visits have led to a flurry of investments in India. In 2018, the Abu Dhabi National Oil Company and the Saudi giant Aramco agreed to take a 50% stake in the $44 billion refinery that India was building in Ratnagiri district of Maharashtra. Both have also expressed an interest in investing in India’s natural gas sector as well as the second phase of the Indian strategic crude oil reserve.

Earlier, the Abu Dhabi Investment Authority put $1 billion into a special HDFC affordable housing scheme and $1 billion into the National Infrastructure Investment Fund. Now the Saudis have indicated that they will put money into the NIIF as well.

Also read: With Crown Prince’s Visits, Saudi Arabia’s Balancing Act in South Asia Continues

New Delhi cannot be oblivious to the task of the security of its oil sea lanes and its expatriate population in the region. Very obviously, stability is the most important goal of Indian policy in this volatile region.

Right now, that stability is being undermined by our good friend the United States which, in association with the Saudis, appears bent on bringing about a regime change in Iran. Moves in this direction could bring the already fragile peace in the region crashing down. No matter how you look at it, this will have consequences for India, none of them good.

Crunch time could come when the American waiver period expires in May 2019. American officials say there will be no extensions. As it gets squeezed, Iran could walk out of the nuclear agreement, triggering an American-Israeli response. India will be in the midst of general elections at the time and will find it hard to come up with an adequate policy response.

Manoj Joshi is Distinguished Fellow, Observer Research Foundation, New Delhi.

With Crown Prince’s Visits, Saudi Arabia’s Balancing Act in South Asia Continues

For the last 18 years, Saudi Arabia has insisted that its relations with India and Pakistan are not linked to each other. That trend has continued.

New Delhi: Saudi Crown Prince Mohammed Bin Salman’s visits to India and Pakistan in the immediate aftermath of a deadly suicide attack on Indian security personnel in Kashmir have been a test of Riyadh’s policy to keep its relations with the two neighbours in strictly separate silos.

With Salman’s statements in Pakistan getting wide coverage, the Saudi visitor’s comments on terrorism in the Indian capital were minutely parsed and scrutinised. His travel itinerary for Asia had been decided months ahead, but finally took place under the shadow of the car bomb attack on a Central Reserve Police Force convoy which left over 40 dead on February 14.

Talking about terror

During his Islamabad sojourn, the crown prince signed $20 billion worth of agreements with cash-starved Pakistan. More significantly, the joint statement released on Monday said that Saudi Arabia appreciated Pakistan’s fight against terrorism and included a line that the “politicisation” of UN listing should be avoided.

With India’s renewed pushing for designating Jaish-e-Mohammad chief Masood Azhar as a ‘global terrorist’ after the Pulwama attack, Salman’s statement was interpreted as a snub by several quarters. The opposition Congress party spokesperson took umbrage at the Indian prime minister’s decision to greet and hug the crown prince at the Delhi airport after his generous largesse to Pakistan.

On Wednesday afternoon, the crown prince declared that terrorism and extremism were “a common concern” for India and Saudi Arabia. Just before his short statement, he had led discussions with Prime Minister Narendra Modi and witnessed the signing of five agreements.

Standing next to Modi at a joint press appearance, the 33-year-old Saudi royal reiterated that “his country was ready to work in the intelligence and political arenas to coordinate our efforts”. He added that Saudi Arabia was ready to cooperate not just “with India, but also with our neighbours as well”.

Talks between the Indian and Saudi Arabian delegations. Credit: PIB

Modi was more expansive in his oral statement. Describing the Pulwama attack as a “brutal symbol” of the threat of terrorism, the Indian prime minister said that both countries “agree that there is a need to increase all possible pressure on countries supporting any type of terrorism”.

“Destroying the infrastructure of terrorism and ending its support – and punishing terrorists and their supporters – is very important,” he asserted, adding that Saudi Arabia and India have “similar views”.

The Saudi visitor didn’t refer to the terror attack in his oral remarks. The joint statement, however, noted that both leaders condemned the February 14 incident in the “strongest terms”.

Dialogue with Pakistan

There was no direct mention of Pakistan by either leader in their joint media appearance, but the joint statement cited Pakistan twice. First, the Saudi prince praised Modi for his “consistent efforts” to have friendly relations with Pakistan.

“In this context, both sides agreed on the need for creation of conditions necessary for resumption of the comprehensive dialogue between India and Pakistan,” added the bilateral document.

The last time that Pakistan was mentioned by name in an India-Saudi joint statement was 13 years ago. When King Abdullah was the chief guest at the 2006 Republic Day celebrations, the two sides “welcomed the ongoing dialogue between India and Pakistan and their continued efforts aimed at settling the outstanding issues between the two countries”.

Fast forward over a decade – and the context of Pakistan’s specific mention had changed dramatically.

Indian officials argued on Wednesday that the line for “creation of conditions” was advocating New Delhi’s position that action against terrorists was necessary to create “a conducive atmosphere” for dialogue.

Saudi Arabia’s joint statement with Pakistan also had a similar template on this subject, which indulged the host. It stated that the crown prince “praised” Pakistan Prime Minister Imran Khan’s efforts for dialogue with India and the Kartarpur corridor initiative, along with an assertion that “dialogue is the only way to ensure peace and stability in the region to resolve outstanding issues”.

The India-Saudi joint statement also implicitly referred to the one line in the Pakistan statement that had raised a lot of eyebrows.

The two sides noted the need for concerted action by the international community against terrorism, including through the early adoption of the UN Comprehensive Convention on International Terrorism, and underlined the importance of comprehensive sanctioning of terrorists and their organisations by the UN. (emphasis added)

The reference to “comprehensive sanctioning” was the implicit rebuttal in Delhi to the “politicisation of UN listing” in Islamabad.

In a press briefing, the Ministry of External Affair’s secretary (economic relations) refused to comment on Saudi Arabia’s announcement of $20 billion investment in Pakistan, stating that each bilateral relationship stood on its own.

He noted that the reference to “comprehensive sanctioning” was to address the anomaly of terror groups getting listed in UN sanctions regime, but not their members – and vice versa. Pakistan-based Jaish-e-Mohammed was listed with the UNSC 1267 sanctions committee in October 2001, but the group’s head, Masood Azhar, has still not been cleared by the panel due to a ‘technical hold’ by China.

When asked about the specific sentence in the Pakistan-Saudi statement, T.S. Tirumurti demurred, “If you are really looking at politicisation, you know who is politicising it”.

Pakistani Prime Minister Imran Khan (R) greets Saudi Arabia’s Crown Prince Mohammed bin Salman on his arrival at Pakistan Air Force (PAF) Nur Khan Base in Rawalpindi, Pakistan February 17, 2019. Credit: Press Information Department (PID)/Handout via Reuters

Saudi junior foreign minister Adel bin Ahmed Al-Jubeir insisted that the offending line had been misunderstood.

“I think people here assumed that the joint statement had to do with one particular individual (Azhar). It did not. The intention was that the process of designation is clear and not political,” he told PTI.

He asserted that any terrorist should be “designated”, but claimed that Saudi motivation was to ensure that countries “do not pit somebody who is a political opponent and put his name as a terrorist”.

In the aftermath of the Pulwama attack, top Indian diplomats held a series of briefings for ambassadors of foreign countries. Their line was that Pakistan should be censured more directly, with blacklisting at Financial Action Task Force and Masood Azhar’s UNSC listing.

According to Tirumurti, India underlined the “complicity” of Pakistan government in the Pulwama attack in the discussions with the Saudi side.

Also read | Pulwama Attack: How a Paris Blacklisting May Hurt Pakistan Economically

Al-Jubeir, who was demoted one rank to minister of state for foreign affairs in a reshuffle after controversy over killing of journalist Jamal Khashoggi, said that Riyadh did not want to see the current tensions escalate. “You have wise leadership in both the countries represented by respective prime ministers. I believe they will be able to find a way to de-escalate,” he stated.

However, he said that Saudi Arabia “will not involve ourselves into the tensions between India and Pakistan without being invited by both the countries”. Tirumurti also stated that Saudi Arabia had not offered to mediate between the South Asian rivals.

Eighteen years of de-hyphenation

Former Indian ambassador Zikrur Rahman, who had been posted both in Riyadh and Jeddah, said that the Saudis have given a clear signal that they did not want to link relations between India and Pakistan.

“They are saying that our relation with Pakistan is in our interest and it is not against India. Same the other way around. Saudis don’t want to get involved in between us,” Rahman told The Wire.

This separation in the relationship between the two South Asian countries, Rahman said, was demonstrated literally by the crown prince when he went back to Riyadh for a few hours before arriving in Delhi.

“This is the first time that you have seen that crown prince has not come directly. Intentionally, they have gone back to Saudi Arabia and less than 24 hours, he came flying to India. This is basically to say that our relations with Pakistan and India are different,” he said.

Similarly, former ambassador Talmiz Ahmad also said that it was unfortunate that the India media had framed the visit of the Saudi crown prince through the Pulwama incident, which had cast “a long and deep shadow”.

Ahmad, who had been posted twice as India’s envoy to the desert kingdom, noted that the Saudis had “de-hyphenated” relations between India and Pakistan for the last 18 years.

The kingdom had close political ties with Pakistan since independence, which were burnished by the cold war. With India, relations had revolved around trade, energy and the large Indian expatriate population.

A post-liberalisation India, which had become one of the highest guzzlers of fuel, became tempting enough for the Saudi royals to court in the initial years of the 21st century.

“When external affairs minister Jaswant Singh visited Saudi Arabia in January 2001, it marked the commencement of political relations between us,” he said.

Mohammed Bin Salman outside the Rashtrapati Bhavan in New Delhi. Credit: MEA

Ahmad recalled that Saudis established two important principles for the relationship during that visit. “They told us that that time we (Saudis) value relations with India on their own merit and these ties will not be influenced with ties with any other country. This was a very important clarification…till then Saudi Arabian policy used to be influenced by ties with Pakistan,” he said.

The former Indian Foreign Service officer noted the Saudi actions and statements was “reaffirming to us that there that there was no hyphenation”. “They de-hyphenated 18 years ago and that pattern has continued,” he added.

The second important step at the 2001 meeting was when the Saudi foreign minister read out a “substantive statement” on Kashmir that essentially stated that it was a bilateral dispute. “After the foreign minister finished reading it out, the external affairs minister said that he didn’t disagree with anything in that statement. This cleared the air immediately,” said Ahmad.

Incidentally, there had been some domestic criticism within Pakistan that the joint statement with Saudi Arabia did not mention Kashmir.

Here, Ahmad pointed out that joint statements are a product of quid pro quo negotiations and not “100% satisfactory to the host or the visitor”.

In the India-Saudi joint statement, Saudi officials had negotiated to include a sentence which “called upon all states to deny access to weapons including missiles and drones to commit terrorist acts against other countries”. India also had its way, with the joint statement calling on “all countries to renounce the use of terrorism as an instrument of state policy”.

While the Saudis had accepted Kashmir as a bilateral dispute in 2001, it took another seven years for the Gulf kingdom to have active counter-terrorism cooperation with India.

According to Ahmad, the 2008 Mumbai terror attack was the turning point for the Saudis. “The 26/11 attack made it very clear that that this was a jihadi attack. There was no connection with Kashmir and thirdly that it was sponsored by Pakistan. That is the context that they started to reach out to India for cooperation in counter-terrorism,” he said.

The cooperation in counter-terrorism has bene “very substantial”, with several terrorists also extradited to India over the years. “We have been able to interrogate even non-Indians in Saudi custody,” he said.

Also read | Jamal Khashoggi: What Is the Lesson to Be Drawn From the Saudi Past?

Ahmad asserted this was the reason that “we should not judge a relationship or even a visit on the basis of one episode”.

Wednesday’s joint statement announced two initiatives in counter-terrorism – comprehensive security dialogue between the national security advisors and a new working group.

The release of the joint statement was, in fact, delayed by a few hours.

Sources told The Wire that the text of the paragraphs on terrorism had been readied much before Wednesday evening. But the release of the public document had to wait till after the official banquet by the president in honour of the Saudi crown prince.

It is learnt that Prime Minister Narendra Modi wanted to make an announcement during the banquet about the release of Indian prisoners. According to official figures, there are 2,224 Indian prisoners in Saudi jails. The Saudi delegation took some time to confirm that they were ready to free 850 Indian prisoners.

The Saudis also apparently wanted at the last minute to include a breakup of the announcement of “$100 billion investment” in the joint statement. The document indicated that this figure included delayed $44 billion west coast refinery, $10 billion through Public Investment Fund and another $26 billion worth of opportunities “are being explored”.

PM Modi Meets Saudi Prince Salman on Sidelines of G20 Summit

“In recent years, the Kingdom of Saudi Arabia has been a valuable partner. The relationship has expanded beyond the Indian community to issues related to the economy, energy and security. All issues of bilateral and regional interest will be discussed,” PMO sources said.

New Delhi: Prime Minister Narendra Modi met with Saudi Arabia Crown Prince Mohammed bin Salman on the sidelines of the G20 summit in Buenos Aires on Thursday, November 29. They discussed ways to further boost economic, cultural and energy ties.

The two sides also held discussions on enhancing investment in technology, renewable energy and food security.

“Had a fruitful interaction with Crown Prince Mohammed bin Salman Al Saud. We discussed multiple aspects of India-Saudi Arabia relations and ways to further boost economic, cultural and energy ties,” the prime minister tweeted.

“Deepening strategic ties. PM @narendramodi met with Crown Prince of Saudi Arabia Mohammed bin Salman Al Saud on sidelines of #G20Argentina. Discussed enhancing Saudi investment in technology, infrastructure, petroleum, renewable energy, food security, fintech & defence sectors,” External Affairs Ministry spokesperson Raveesh Kumar tweeted.

“In recent years, the Kingdom of Saudi Arabia has been a valuable partner. The relationship has expanded beyond the Indian community to issues related to the economy, energy and security. All issues of bilateral and regional interest will be discussed,” PMO sources said.

Also Read: Does Narendra Modi’s Visit to Saudi Arabia Signal a Shift Away from Iran?

The prime minister also met UN Secretary-General Antonio Guterres. According to sources, the UN Secretary General has reached out to the PM for the second time in two months.

They said the meeting signifies the importance that both leaders attach to the issue of climate change. This outreach comes just a week before the COP24 meet in Katowice, Poland.

“It reflects the respect in which the prime minister and his initiatives are held globally to take the lead on issues of global importance,” the sources said.

On the sidelines of the two-day 13th G-20 summit, Modi, Trump and Japanese Premier Shinzo Abe will hold a trilateral meeting amidst China flexing its muscles in the strategic Indo-Pacific region.

The trilateral meeting, which would be an expansion of the meeting between Trump and Abe, is part of the series of discussions the US president will have on the sidelines of the G-20 summit on November 30 and December 1.

White House Press Secretary Sarah Sanders said on Thursday the trilateral meeting with Prime Minister Modi will be held towards the end of the Trump-Abe talks.

“Looking forward to a wide range of interactions at the G-20 Summit, aimed at furthering sustainable development,” Prime Minister Modi tweeted soon after he landed here.

Modi will also meet Chinese President Xi Jinping and German Chancellor Angela Merkel on the sidelines of the event, the Ministry of External Affairs had said on the eve of his departure.

He will be in Buenos Aires from November 29 to December 1.

The Life of Labour: Aadhaar Being Forced on Jharkhand Workers; Two Lakh Beedi Workers Lose Jobs

A round-up of news and issues from the world of work

A round-up of news and issues from the world of work

Beedis being rolled by workers. Credit: Plan International

Beedis being rolled by workers. Credit: Plan International

Jharkhand workers allege they aren’t given work under NREGA if they don’t have Aadhaar card

Jharkhand was the first state to experiment with linking payments for NREGA with Aadhaar, and the workers in the state say it has helped them greatly as they don’t have to walk to the bank anymore and also receive the correct amount owed to them. A 2015 Supreme Court ruling says that Aadhaar based payments would be voluntary, but activists have pointed out that it’s being imposed on the poor by the government in the state. “When we did not have an Aadhaar card, we never got work. When we used to go ask for work, we were never given any,” 35-year-old Shila Devi from Khunti told NDTV. The state government maintains that it hasn’t made Aadhaar mandatory for payment of wages but hopes more people would sign up for it.

Over two lakh beedi workers in Telangana lose jobs

Over two lakh beedi workers in Karimnagar district of Telangana have been rendered unemployed due to the closing down of units following protests against the health ministry’s directive to include 85% pictorial warning on beedi packets. The companies have expressed strong disagreement with the ministry’s decision saying the printing of enlarged pictorial warning would affect their business. “The beedi companies announced the closure of companies from April 1. Following closure of units, beedi workers particularly the womenfolk were left in the lurch without employment,” says a report in The Hindu.

Tirupur knitwear sector workers ink wage deal with owners

After three months of negotiations following the lapse of the previous wage agreement on January 30, eight trade unions and six prominent textile associations in Tirupur signed a new agreement on Tuesday which will be valid for the next four years. These are the highlights of the new agreement, as reported by The Financial Express and The Hindu:

  • Employees working under categories such as cutting, tailoring, ironing, packing, fabrication, checking, label putting, hand folding, damage spotting and fabrication will get a 33% hike in basic wages, spread over 4 years in the ratio of 18%, 5%, 5% and 5%, respectively.
  • Introduction of a group insurance scheme for workers and issuance of identity cards to all workers in Tirupur knitwear cluster.
  • Dearness allowance had been raised from Rs. 860 to Rs. 1,500 a month for Consumer Price Index (CPI) of 15,000 points. For every increase in the CPI points, 13 paise would be given.
  • Travel allowance had been increased to Rs. 20 a day from the earlier rate of Rs. 10.
  • Under the family benefit fund, an amount of Rs 17,000 will be given to the dependents of workers who die in harness.
  • For unmarried girls, when they reach the legal age, marriage allowances varying from a minimum of Rs 1,000 to Rs 3,000 will be provided based on their years of service.

 

Government to simplify labour inspection norms

The Minister for Labour and Employment Bandaru Dattatreya said on Tuesday that the Government was working on simplifying the labour inspection process and would come out with a unified portal for online registration of units and reporting of inspections. The ministry is also developing a single unified portal for online registration of units, reporting of inspections, submissions of annual returns and redressal of grievances, Dattatreya added.

The ministry is also developing a webinar centre “to increase reach to all stakeholders for imparting training and providing information pertaining to occupational safety and health, “a PTI report says.

India signs MoU with Saudi on labour cooperation

Among the five MoUs India recently signed with Saudi Arabia, one is on labour cooperation between the Ministry of Labour of Saudi Arabia and Indian Ministry of External Affairs for the recruitment of general category workers. According to a statement on Prime Miniser Modi’s official website, “[The two leaders] welcomed the signing of an agreement on labour cooperation for recruitment of General Category Workers. Both sides also welcomed the establishment of a Joint Working Group on Consular issues under the umbrella of the India-Saudi Arabia Joint Commission to discuss consular issues on a regular basis.”

The details of the MoU are yet to be released.

Do you know of any other development we should highlight in this column? Write to me at Akhil@cms.thewire.in