Davos: India PM Modi warns that globalization is ‘losing its luster’

Updated 23 January 2018
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Davos: India PM Modi warns that globalization is ‘losing its luster’

DAVOS: Globalization is “slowly losing its luster” in an age of protectionism, Indian Prime Minister Narendra Modi warned the World Economic Forum on Tuesday, as he made a rallying cry for free trade.
Modi said the recent wave of trade protectionism, in which governments raise barriers to free trade between nations, is “worrisome.”
“It feels like the opposite of globalization is happening,” he told the forum.
“Forces of protectionism are raising their heads against globalization ... The solution to this worrisome situation against globalization is not isolation.”
Modi did not single out Donald Trump's administration in his address, but his words can be seen as a counter to the “America First” stance of the US president.
The Indian PM delivered the speech on Tuesday just hours after the Trump government approved tariffs on imported solar-energy components and large washing machines in a bid to help US manufacturers.
Modi is leading a big government and business delegation to the summit in Davos, the first Indian prime minister do so in 21 years, aiming to showcase India as a fast-growing economic power and a potential driver of global growth.


Philippines set to import 1.2 million tons of rice as caps removed

Updated 25 min 40 sec ago
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Philippines set to import 1.2 million tons of rice as caps removed

  • President Rodrigo Duterte in October ordered the ‘unimpeded’ importation of rice after the country’s inflation shot u
  • Lawmakers have approved the bill removing the import cap on rice imports and replacing it with tariffs

MANILA: Rice traders in the Philippines are set to import about 1.2 million tons of the staple food, a state grains agency spokeswoman told Reuters on Tuesday, as the Southeast Asian country lifts a two-decade-old cap on purchases.
Bigger rice purchases by the Philippines, already one of the world’s top importers and consumers of the grain, could underpin export prices in Vietnam and Thailand, traditionally its key suppliers.
Prices in Vietnam fell last week ahead of the country’s largest harvest this month, while the Thai market is likely to see additional supply toward the end of January from the seasonal harvest.
President Rodrigo Duterte in October ordered the “unimpeded” importation of rice after the country’s inflation shot up to 6.7 percent in September and October, the highest in nearly a decade, partly due to food prices.
The National Food Authority (NFA) has approved initial applications from 180 rice traders for permits to import a total of 1.186 million tons of either 5-percent or 25-percent broken white, the NFA spokeswoman said.
“We have not set any deadline for accepting applications to import rice. There’s no more limit,” she said.
Importers are allowed to bring in rice from any country, but grains from Southeast Asian suppliers will be charged a tariff of 35 percent while those from elsewhere will face a 50-percent charge.
Lawmakers have approved the bill removing the import cap on rice imports and replacing it with tariffs. Duterte will “most likely” sign it into law “soon,” presidential spokesman Salvador Panelo said on Tuesday.
Philippine inflation eased in November and December, and the rice tariffication law could help curb it this year by as much as 0.7 percentage point, the central bank has said. Rice is the biggest food item in the country’s consumer price index.