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FSSAI Instructs Companies to Discontinue A1 and A2 Claims on Dairy Products

The Food Safety and Standards Authority of India (FSSAI) has directed companies to cease using labels such as A1 and A2 on dairy products like milk, ghee, butter, and curd, prompting small and emerging food businesses, as well as GCMMF, to alter their milk portfolios.

As several companies, including privately owned dairy farms, have increasingly marketed milk and its products as A2, claiming it to be a healthier option and charging a premium, the FSSAI, under the Union Ministry of Health and Family Welfare, has ordered all food businesses to remove such claims from their products.

The directive, issued on August 21, notes that some businesses are selling and marketing dairy products under the A1 and A2 labels with an FSSAI license number. ‘The distinction between A1 and A2 milk is based solely on the structure of a protein called beta-casein, which can confuse consumers,’ the advisory explains.

FSSAI has provided companies with a six-month grace period to deplete their current stock with A1 and A2 labels. After this period, these claims must be removed.

Amul, which has traditionally referred to A2 milk as a ‘marketing gimmick,’ has nonetheless introduced milk variants such as Deshi A2 cow milk, A2 buffalo milk, and A2 Gir cow milk (in pet bottles) without charging a premium, unlike private competitors. In 2016, Banas Dairy, a member union of the Gujarat Co-operative Milk Marketing Federation (GCMMF), launched ‘Amul Deshi’ A2 cow milk from the Kankrej cow breed.

‘We fully comply with the FSSAI directive. The mention of A2 on ghee products is misleading as ghee does not contain any protein, whether A1 or A2,’ said GCMMF’s Managing Director Jayen Mehta. He added that Amul would also remove the A2 labels from its pouches, packets, and bottles of cow and buffalo milk.

A Rajkot-based private firm that sells Gir cow milk has also decided to stop using the A2 label. ‘The National Dairy Development Board (NDDB) stated that all indigenous cow breeds produce A2 milk. We used to label our milk as A2 to differentiate it from Jersey cow milk. Now, we will only label it as Gir cow milk,’ said Ajay Patel, a partner in the firm, which sells 1,000 liters of milk daily in Rajkot and Ahmedabad from a gaushala in Rajkot’s Kankot area, home to around 3,500 cows.

He noted that the FSSAI order would not affect their sales. ‘It will protect customers from being misled by those not selling pure milk from indigenous cows,’ he said. Vakilsearch is committed to assisting businesses in adapting to regulatory changes seamlessly. For expert legal support and advice on compliance, labeling, and marketing strategies, contact Vakilsearch’s team of specialists dedicated to safeguarding your business interests.

JMI Professor Awarded a Patent for Revolutionary Device Ensuring Material Purity

Professor Khan, from the Department of Electrical Engineering, JMI, and his dedicated team have received this prestigious patent from the Government of India for their groundbreaking invention. This device, which can analyse materials in solid, fluid, and powder forms, promises to be a transformative tool in the healthcare industry.

This patent marks Professor Khan’s sixth in healthcare innovation, further establishing his reputation as a leading figure in the field. The newly patented device uses advanced acoustic resonance technology to identify and characterise materials. It works by inducing vibrations in the material using a V-shaped solid quartz strip with piezoelectric transducers, capturing the acoustic signals generated, and analyzing them through a machine-learning model. This approach provides a simpler, more cost-effective, and safer alternative to traditional methods like chromatography and laser emission, which often involve complex equipment and the risk of harmful radiation exposure.

JMI’s Officiating Vice Chancellor, Professor Mohammad Shakeel, congratulated Professor Khan and his team, expressing pride in their achievement and wishing them continued success. The team behind this breakthrough includes Dr. Kashif I. K. Sherwani, Dr. Md Qaiser Reza, Dr. Shaila P. S. M. A. Sirdeshmukh, and Dr. Ashok Kumar Salhan from the Department of Electrical Engineering, JMI. Dr. Salhan has also served as Scientist G at the Defence Institute of Physiology and Sciences (DIPAS), DRDO.

This patent is not only a significant academic accomplishment but also a major step forward for the healthcare industry, which increasingly relies on innovations like Professor Khan’s to drive personalized medical solutions. The device’s ability to analyse materials without requiring sample preparation or exposure to harmful radiation makes it especially valuable in clinical settings where precision and safety are critical.

Professor Khan’s previous patents highlight his significant contributions to healthcare technology, including innovations in wound healing, therapeutic devices for posture and balance, force measurement systems for masticatory muscles, and a portable cotton ball plucking device. Each invention has played a crucial role in advancing medical technology with potential for widespread application and commercialisation.

This latest patent strengthens JMI’s intellectual property portfolio and positions the university at the forefront of healthcare innovation. The institution looks forward to collaborating with industries to bring these technologies to market, ensuring that Professor Khan’s inventions contribute to improved healthcare outcomes on a global scale.

Vakilsearch is dedicated to supporting inventors and innovators by offering expert legal services that facilitate the protection and commercialisation of cutting-edge technologies. For any inquiries or assistance with intellectual property matters, please contact our team of specialists who are ready to help you navigate the complexities of patent law and safeguard your innovations.

GST Council Meeting: TMC’s O’Brien Calls on Sitharaman to Revoke 18% GST on Insurance Premiums

TMC leader Derek O’Brien has called on Finance Minister Nirmala Sitharaman to urgently review and eliminate the 18% GST on health and life insurance premiums at the upcoming GST Council meeting. 

In a letter dated August 24, O’Brien requested the withdrawal of this GST at the 54th GST Council meeting, arguing that the 18% tax is a heavy burden on 45 crore middle-class Indians. He emphasised that health and life insurance schemes offer essential financial protection during crises like illness, accidents, or untimely deaths, and stressed the importance of making these safety nets affordable for all sections of society.

O’Brien expressed concern that the high GST rate might discourage many citizens from purchasing insurance or renewing existing policies, particularly impacting the middle class. He noted that TMC and several other opposition parties had already raised this issue in Parliament. Additionally, West Bengal Chief Minister Mamata Banerjee had previously written to the Finance Minister, urging the rollback of the GST on insurance premiums.

O’Brien also referenced a letter from Union Road Transport and Highways Minister Nitin Gadkari, who raised concerns on behalf of the Nagpur Division Life Insurance Corporation Employees’ Union. O’Brien mentioned that 350 MPs from 20 political parties protested this issue in Parliament on 6 August , and highlighted that the Standing Committee on Finance recommended reducing GST rates on health insurance products, especially for senior citizens and microinsurance policies, in its 66th report to Parliament in February 2024.

O’Brien urged the Union government to consider these recommendations, pointing out that the Insurance Regulatory and Development Authority of India aims for ‘Insurance for All’ by 2047, a goal that could only be achieved by eliminating the 18% GST rate on health and life insurance.

He also noted that the Union government holds one-third of the votes in the GST Council, and with the NDA in power in 22 states, any proposal the Union rejects is effectively dead. O’Brien questioned what was preventing the ruling party from implementing this change and called for an urgent review of the matter at the 54th GST Council meeting on  9 September 2024, based on media reports.

The demand for removing GST on health and life insurance premiums has been raised by several opposition parties in the Lok Sabha. RSP MP NK Premachandran even proposed an amendment to eliminate the 18% GST on medical and life insurance premiums during the passage of the Finance Bill, but the amendment was not considered, leading to a walkout by several opposition parties. Sitharaman had responded that any changes to GST must be approved by the GST Council.

Vakilsearch experts emphasise the critical role that tax policy plays in shaping the accessibility and affordability of essential services like health and life insurance. The ongoing debate over the 18% GST on insurance premiums highlights the need for balanced taxation that supports public welfare while ensuring revenue generation. Vakilsearch offers expert legal services to help clients navigate these complex regulatory landscapes. Our team of seasoned legal professionals is adept at providing comprehensive advice on tax matters, assisting with compliance issues, and advocating for favorable policy changes. 

Global Youth Unemployment Hits 15-Year Low, But Challenges Remain: UN Report

Global youth unemployment has reached its lowest point in 15 years, according to a new report from the International Labour Organisation (ILO). Despite recent progress, the situation for young people remains uneven, with significant challenges ahead, especially in Asia.

The ILO’s ‘Global Employment Trends for Youth 2024’ report reveals that 64.9 million young people aged 15 to 24 were unemployed last year, marking a 13% unemployment rate. Notably, in regions like the Arab States, East Asia, South-East Asia, and the Pacific, youth unemployment rates in 2023 exceeded those in 2019.

The report highlights a positive trend where young men have seen a greater recovery in the job market compared to young women. In 2023, youth unemployment rates were nearly identical for both genders—12.9% for young women and 13% for young men—whereas, prior to the pandemic, young men faced higher rates. However, the global rate of young women not in education, employment, or training (NEET) was double that of young men, at 28.1% versus 13.1%.

Gilbert F. Houngbo, ILO Director-General, emphasised the need for equal opportunities: ‘The report reminds us that opportunities for young people are highly unequal. Many young women and those from minority backgrounds still face significant barriers. Without equal access to education and decent jobs, millions are missing out on a better future.’

The ILO urges collective action to address young people’s work-related anxieties and to foster hope for a brighter future. The report encourages young people to advocate for change: ‘You have the power to influence policy and advocate for decent work. Know your rights and invest in your skills. Be part of the change needed for a socially just and inclusive world.’

The report also flags concerning trends: In 2023, one in five young people globally were NEET, with two-thirds of this group being female. Furthermore, opportunities for decent jobs remain scarce, particularly in emerging and developing economies. Over half of young workers in these regions are employed informally, with many facing insecure and temporary job conditions.

Houngbo stressed the importance of stable employment: ‘None of us can look forward to a stable future when millions of young people lack decent work and face insecurity. Peaceful societies depend on stability, inclusion, and social justice—all of which are underpinned by decent work for youth.’

As the most educated youth cohort ever faces these challenges, the global community must intensify efforts to provide meaningful employment and ensure a secure future for the next generation.

Google Launches Made-in-India Pixel 8 Ahead of Pixel 9 Series Debut

Google has officially rolled out its first batch of Pixel 8 smartphones made in India, just hours before unveiling its new Pixel 9 series. This move marks a significant step in Google’s strategy to enhance its presence in the Indian market.

The locally produced Pixel 8 models are now ready, following nearly 10 months of planning for Indian manufacturing. Notably, this rollout is limited to the Pixel 8, with no immediate plans to produce other models like the Pixel 8a locally, according to TechCrunch.

On Monday, Google India announced via X (formerly Twitter) that the Made-in-India Pixel 8 has begun rolling off production lines. While the local manufacturing partners have yet to be officially named, reports suggest that Compal, Google’s global manufacturing partner, has teamed up with India’s Dixon Technologies for local assembly.

Google’s goal is to ship over 10 million Pixel phones globally this year, matching the volume from 2023. The move to manufacture Pixel 8 devices in India aligns with Google’s efforts to streamline operations, reduce costs, and offer competitive pricing in the burgeoning Indian smartphone market. This initiative comes as Apple aggressively scales up its local production of iPhones through Foxconn and Tata Electronics, with about $14 billion worth of iPhones made in India by the end of FY24.

In terms of pricing, Google’s Pixel 8 may follow a similar trajectory to Apple’s iPhone models, which took time to stabilise and reduce prices after local manufacturing began. Consumers might see more affordable Pixel 8 models in the Indian market in the future.

Looking ahead, Google is set to make a splash with its upcoming ‘Made by Google’ event. Scheduled to showcase the new Pixel 9 series, the event is expected to introduce four new devices: Pixel 9, Pixel 9 Pro, Pixel 9 Pro XL, and Pixel 9 Pro Fold. Additionally, Google is anticipated to unveil the Pixel Watch 3 and Pixel Buds Pro 2.

This year’s Google event precedes Apple’s usual fall launch, as Google aims to stay ahead with advancements in AI and other innovations. The event is scheduled for 10:30 PM IST and will be livestreamed on Google’s official channel.

India’s CPI Inflation Falls to Five-Year Low, but Challenges Loom Ahead: SBI Report

India’s Consumer Price Index (CPI) inflation dropped to 3.54% in July 2024, its lowest level in nearly five years. This decline was primarily driven by a significant fall in vegetable prices. Despite this positive shift, the State Bank of India (SBI) warns that the road ahead could be challenging.

The sharp drop in vegetable inflation—from 29.3% in June to just 6.8% in July—was key to the CPI’s decline. Vegetables’ contribution to the overall CPI also decreased markedly, from 1.77% in June to 0.55% in July.

The prices of fruits and fuel also moderated, easing inflationary pressures further. However, this relief was partially offset by a slight increase in core CPI inflation, which excludes food and fuel costs.

SBI’s report notes a shift in global monetary policy dynamics, with central banks increasingly focusing on domestic economic conditions rather than aligning with U.S. rate decisions. This marks a departure from the previous trend of closely following U.S. Federal Reserve policies.

For the first time in five years, CPI inflation has dipped below the Reserve Bank of India’s (RBI) 4% target, largely due to the steep decline in vegetable prices. Core CPI rose from 3.12% in June to 3.30% in July, influenced by higher mobile tariffs. The transport and communication segment saw a significant rise in inflation from 0.97% to 2.48% in the same period, highlighting sector-specific pressures.

Food inflation, which stood at 5.06% year-on-year in July, was impacted by a higher base effect. Concerns persist over uneven monsoon rainfall, especially in major food grain-producing states, which could threaten food price stability.

The strengthening La Niña conditions suggest the possibility of excessive rainfall in August and September, raising concerns about potential crop damage and a resurgence in food price inflation.

Looking forward, inflationary pressures might persist and could exceed the RBI’s forecast of 4.5% for FY25. Despite robust domestic growth, with GDP expected to exceed 7% in Q1 FY25, geopolitical uncertainties and global monetary policy shifts pose risks.

The RBI is expected to delay potential rate cuts until December 2024 or February 2025, as it maintains a tight liquidity stance to manage inflation.

State-wise, most states reported CPI inflation rates below the national average, although rural areas generally experienced higher inflation compared to urban regions. Only a few states saw higher inflation in urban areas.

Historically, global capital flows have been influenced by U.S. Federal Reserve rate changes, but the current rate-cutting phase is less synchronised globally. Countries like China, Chile, Brazil, Mexico, the UK, Canada, and the European Central Bank have already started reducing rates, while the Fed is anticipated to follow suit in September 2024.

India’s Index of Industrial Production (IIP) grew by 4.2% in June 2024, down from 6.2% in May. The mining sector led growth with a 10.3% increase, followed by electricity at 8.6% and manufacturing at 2.6%. For April-June 2024, industrial growth was 5.2%, up from 4.7% in the same period last year.

As India navigates the balance between growth and inflation, the coming months will be crucial for shaping the country’s economic trajectory amidst global monetary shifts and evolving weather patterns.

2024 Royal Enfield Classic 350 Unveiled: Fresh Colors and Enhanced Features

The 2024 Royal Enfield Classic 350 has been revealed, retaining its beloved design while introducing new features and color options. The updated model now boasts an all-LED headlamp and seven new paint schemes.

The Classic 350, a staple in Royal Enfield’s lineup, remains a top seller in its segment. Despite its long history, the motorcycle continues to evolve. The 2024 model maintains its classic design but upgrades to an all-LED headlamp as standard. It offers seven new color choices across five variants: Heritage, Heritage Premium, Signals, Dark, and Emerald.

Color Options

  • Heritage Series: Madras Red and Jodhpur Blue.
  • Signals Series: Commando Sand.
  • Heritage Premium: Medallion Bronze.
  • Dark Series: Gun Grey and Stealth Black, both featuring a Tripper navigation pod, adjustable levers, and LED trafficators.
  • Emerald: A regal green with copper pinstripes, reminiscent of the 1950s.

New Features

The 2024 Classic 350 upgrades include type-C charging ports, LED headlamps, LED pilot lamps, a Tripper navigation pod, a gear-position indicator, and adjustable levers.

Specifications

Mechanically, the Classic 350 remains unchanged from its previous J-platform update. It continues to run on a 350cc single-cylinder engine delivering 20.21 horsepower and 27 Nm of torque, with a claimed mileage of 41.55 kmpl.

The 2024 Royal Enfield Classic 350 will be officially launched on September 1, with pricing and booking details to be announced.

Ola Electric Mobility Shares Surge 18% Following Upper Circuit Hits

Ola Electric Mobility’s stock continues its impressive ascent, soaring 18% to Rs. 129.40 on August 13. This surge follows two consecutive days of hitting the 20% upper circuit limit.

Since its debut at the issue price of Rs. 76, Ola’s shares have skyrocketed by 58% in just three days. Trading volumes have also surged, with 15 crore shares changing hands this morning, up from 8 crore shares the previous day.

The stock’s rise comes ahead of Ola Electric Mobility’s Q1 earnings announcement on August 14. Led by Bhavish Aggarwal, the company will hold its first board meeting post-listing to review and approve its unaudited standalone and consolidated results for the quarter ending June 30, 2024.

In addition to the financial news, Ola Electric is set to unveil its first electric motorcycle on Independence Day. While details are still under wraps, the company had previously showcased concept models including the Diamondhead, Adventure, Roadster, and Cruiser.

In the anchor book allocation, 40% was reserved for domestic mutual funds, with the remaining 54% allocated to global investment firms. Notable domestic investors such as SBI MF, HDFC MF, and Nippon India MF received higher allotments compared to others.

As of 9:42 am, Ola Electric shares were trading at Rs. 114, reflecting a 5% increase from the previous close on the NSE.

HDFC Bank Set to Attract $1.8 Billion in Inflows as MSCI Adjusts Global Index Weight

In a major boost for HDFC Bank, MSCI has announced a significant increase in the bank’s weight within its Global Standard index, set to draw $1.8 billion in inflows. This move, detailed in MSCI’s August index review, will be executed in two phases.

Effective September 2, MSCI will raise HDFC Bank’s Foreign Inclusion Factor (FIF) from 0.37 to 0.56, a change that will result in inflows equivalent to 93 million shares. Nuvama highlights that this adjustment will have a market impact of about 4.5 days. The remaining adjustment will be applied during the November index review, provided that foreign room remains at a minimum of 20%.

Nuvama commented on the development, stating, ‘MSCI has made an exception by raising with a lower adjustment factor. The inflow of $1.8 billion, or 93 million shares, is expected to impact the market for about 4.5 days. The final adjustment will be communicated officially in November 2024, assuming the foreign room criteria are met, which we anticipate should not be an issue.’

MSCI’s decision is underscored by the bank’s current Foreign Ownership Limit (FOL) of 74% and an adjustment factor of 0.5. According to MSCI, the foreign room is presently above 25%, aligning with the criteria for maintenance in the MSCI Global Investable Market Indexes (GIMI) with an adjustment factor of 1. However, given HDFC Bank’s significant weight in the MSCI India Index, MSCI will apply a factor of 0.75 initially, with a potential increase to 1 in November if foreign room conditions remain favorable.

MSCI will continue to monitor the foreign room of HDFC Bank and provide updates if there are significant changes.

WFI President Sanjay Singh Claims Olympic Disqualification Not Vinesh Phogat’s Fault

In the lead-up to the Paris Olympics 2024, a significant controversy has emerged surrounding Vinesh Phogat, a prominent Indian wrestler. Sanjay Singh, the president of the Wrestling Federation of India (WFI), recently addressed the issue in an interview with India Today, where he expressed serious concerns about the circumstances leading to Phogat’s disqualification. The incident in question occurred when Phogat was found to be 150 grams overweight during the weigh-in process for her Gold medal match in the women’s 50kg category.

Singh pointed a critical finger at Phogat’s support staff, suggesting that their mishandling or lack of proper preparation might have contributed to this unfortunate situation. He emphasised that the responsibility for such errors often falls on the support team, which plays a crucial role in ensuring that athletes meet all competition requirements, including weight limits. The disqualification not only impacted Phogat’s chance at a gold medal but also sparked a broader debate about the effectiveness and reliability of support staff in high-stakes international competitions.

The controversy has drawn significant attention from both sports analysts and the public, as it raises questions about the preparation and oversight processes within the Indian wrestling community. As the Olympics approach, there will likely be increased scrutiny on how such issues are managed and how similar situations can be prevented in the future.