Karnataka seeks Rs 2,000 crore aid from Centre for flood victims
Bengaluru, Aug 25 : Karnataka on Friday sought Rs 2,000 crore interim relief from the central government for relief and rehabilitation of flood victims in the southern state's Kodagu district.
"I appeal to you to release an interim relief of Rs 2,000 crore to enable the state government rehabilitate Kodagu's flood-hit victims," said state Chief Minister H.D. Kumaraswamy in a letter to Prime Minister Narendra Modi on Thursday.
The Chief Minister's office released the letter to the media on Friday night.
As per initial estimates, the huge loss caused by heavy rains, floods and landslides to the infrastructure, public property and crops is feared to be Rs 3,000 crore.
The letter also highlighted the large-scale destruction the natural calamity caused to crops, coffee plantations, spices and arecanut (beetle nuts) across the hilly district, about 270 km southwest of Bengaluru.
Thanking Modi for enquiring about the situation in Kodagu on August 19 and providing help in the rescue operations through the Indian Army, Navy and air force, the chief minister said the landslides changed the geomorphology and river course in the region.
"As the arterial roads connecting Kodagu have been battered, relief operations and the movement of essentials like food, drinking water and medicines were hampered," recalled Kumaraswamy.
The torrential rains, landslips and floods during the southwest monsoon from August 14-22, claimed 17 lives and damaged over 2,200 houses.
"Undeterred by the devastation, the state machinery and the district administration rescued over 4,500 people and provided shelter to 7,500 people in 53 relief camps, served 50,000 food packets and supplied rice, oil, pulses, salt and sugar," added the letter.
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India proposes preferential trade agreement with Mexico to deal with high tariffs
New Delhi (PTI): India has proposed a preferential trade agreement (PTA) with Mexico to help domestic exporters deal with the steep tariffs announced by the South American country, a top government official said on Monday.
Mexico has decided to impose steep import tariffs - ranging from about 5 per cent to as high as 50 per cent on a wide range of goods (about 1,463 tariff lines) from countries that do not have free trade agreements with Mexico, including India, China, South Korea, Thailand and Indonesia.
Commerce Secretary Rajesh Agrawal said that India has engaged with the country on the issue.
"Technical level talks are on...The only fast way forward is to try to get a preferential trade agreement (PTA) because an FTA (free trade agreement) will take a lot of time. So we are trying to see what can be a good way forward," he told reporters here.
While in an FTA two trading partners either significantly reduce or eliminate import duties on maximum number of goods traded between them, in a PTA, duties are cut or removed on a limited number of products.
Trading partners of Mexico cannot file a compliant against the decision on imposing high tariffs as they are WTO (World Trade Organisation) compatible.
The duties are within their bound rates, he said, adding that their primary target was not India.
"We have proposed a PTA because its a WTO-compatible way forward... we can do a PTA and try to get concessions that are required for Indian supply chains and similarly offer them concessions where they have export interests in India," Agrawal said.
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Citing support for local production and correction of trade imbalances, Mexico has approved an increase in MFN (most favoured nation) import tariffs (5-50 per cent) with effect from January 1, 2026 on 1,455 tariff lines (or product categories) within the WTO framework, targeting non-FTA partners.
Preliminary estimates suggest that this affects India's around USD 2 billion exports to Mexico particularly -- automobile, two-wheelers, auto parts, textiles, iron and steel, plastics, leather and footwear.
The measure is also aimed at curbing Chinese imports.
India-Mexico merchandise trade totalled USD 8.74 billion in 2024, with exports USD 5.73 billion, imports USD 3.01 billion, and a trade surplus of USD 2.72 billion.
The government has been continuously and comprehensively assessing Mexico's tariff revisions since the issue emerged, engaging stakeholders, safeguarding the interests of Indian exporters, and pursuing constructive dialogue to ensure a stable trade environment benefiting businesses and consumers in both countries.
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Federation of Indian Export Organisations (FIEO) Director General Ajay Sahai has said that Mexico's decision is a matter of concern, particularly for sectors like automobiles and auto components, machinery, electrical and electronics, organic chemicals, pharmaceuticals, textiles, and plastics.
"Such steep duties will erode our competitiveness and risk, disrupting supply chains that have taken years to develop," Sahai said, adding that this development also underlines the little urgency for India and Mexico to fast-track a comprehensive trade agreement.
Domestic auto component manufacturers will face enhanced cost pressures with Mexico hiking duties on Indian imports, according to industry body ACMA.
