Huge tobacco use in India seen killing 1.5 million a year


 A camel herder smokes on while waiting for customers at Pushkar Fair in the desert Indian state of Rajasthan November 22, 2012. REUTERS/Danish Siddiqui/Files

Tobacco inflicts huge damage on the health of India's people and could be clocking up a death toll of 1.5 million a year by 2020 if more users are not persuaded to kick the habit, an international report said on Thursday.
Despite having signed up to a global treaty on tobacco control and having numerous anti-tobacco and smoke-free laws, India is failing to implement them effectively, leaving its people vulnerable to addiction and ill health, according to the report by the International Tobacco Control Project (ITCP).
"Compared with many countries around the world, India has been proactive in introducing tobacco control legislation since 2003," said Geoffrey Fong, a professor of psychology at Canada's University of Waterloo and a co-author of the report.
"However ... the legislation currently in place is not delivering the desired results - in terms of dissuading tobacco use and encouraging quitting."
As a result, India, with a population of 1.2 billion, currently has around 275 million tobacco users, the report said.
Harm from tobacco accounts for nearly half of all cancers among males and a quarter of all cancers among females there, as well as being a major cause of heart and lung diseases.
"The tobacco epidemic in India requires urgent attention," the report said, adding that by 2020, tobacco consumption will account for more than 1.5 million Indian deaths a year.
Worldwide, the number of deaths caused by tobacco is expected to rise from around 6 million a year now to more than 8 million by 2030, according to the World Health Organisation.
The ITCP India Survey conducted face to face interviews with 8,000 tobacco users and 2,400 non-users across four Indian states - Bihar, Madhya Pradesh, Maharashtra and West Bengal.
So-called smokeless tobacco - including chewing products such as gutkha, zarda, paan masal and khaini - is the most common form of tobacco use in India, with many poorer people and women preferring these over smoking cigarettes or bindis - small, cheap, locally-made cigarettes.
According to the Global Adult Tobacco Survey, 26 percent of adults in India consume smokeless tobacco - 33 percent of men and 18.4 percent of women. Smokeless tobacco can cause oral and other cancers, as well as other mouth diseases and heart disease.
Among several striking findings in the ITCP report was that, while many smokers and tobacco users said they knew of the health risks, only a small proportion said they would like to quit.
Up to 94 percent of smokers and up to the same proportion of smokeless users in the survey said they had no plans to give up.
Set against this, the report also found that up to 81 percent of smokers and up to 87 percent of smokeless tobacco users expressed regret for taking up the habit, and more than 90 percent of tobacco users and non-users in all four states had negative views on smoking and tobacco.
The report said that, while India has been a regional leader in enacting tobacco control legislation over the past 10 years, the laws are poorly enforced, regulations covering smoke-free zones are patchy, and tobacco remains relatively cheap.
Fong said the low percentage of people wanting to quit meant deaths from tobacco use were destined to stay high.
"If there is any single indicator of the urgent need for continued and strengthened efforts for strong, evidence-based tobacco control in India - this is it."

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 Mukesh Ambani, chairman of Reliance Industries, holds a jar containing the first crude oil produced from their company's KG-D6 block in India's east coast, at a news conference in Mumbai September 21, 2008. REUTERS/Punit Paranjpe/Files


The government may appoint an international expert to assess the reasons for the decline in gas output from Reliance Industries(RELI.NS)-operated D6 block in the east coast ahead of changes in gas pricing from April 1, Oil Secretary Vivek Rae said on Thursday.
Revision in gas pricing is expected to benefit Reliance, whose existing contracts for gas sales from D6 block in Krishna Godavari basin will expire on April 1, 2014.
Output from the block, which was expected to contribute up to a quarter of the gas supply in the country, has been falling since April 2010, cutting supply to power and other sectors.
While Reliance blames geological complexities for the decline, upstream regulator the Directorate General of Hydrocarbons believes production has fallen because the company failed to drill the promised number of wells.
"There is some technical dispute about the quantum of gas available in some discoveries in KG D6 block.. that matter needs to be resolved before we take a final decision on applicability of the new formula," Rae told reporters at an industry event.
The finance ministry and a parliamentary panel have urged the government to ensure Reliance delivers any shortfall of gas it owes to customers at the old prices of $4.2 per million British thermal units (mmBtu).
"That matter is under discussion and we will see how best to resolve it," Rae said, adding the committee overseeing operation of the block will decide on the reasons for decline in output.
"If necessary we will even get in international experts to give their independent opinion and once it is resolved then all roads will be cleared either way," he said.
Rae said his ministry had sought the opinion of the law ministry on levying additional penalties on Reliance for not producing the promised level of gas in 2012/13 financial year.
He said the government had already issued a notice to the company for a $1 billion penalty for the shortfall.
BP (BP.L) has a 30 percent stake in the block while Niko Resources owns a 10 percent share.

Govt eyes cotton duty, electronics in rupee fight


A worker fills a spanning machine with cotton at a cotton processing unit at Kadi town in Gujarat March 21, 2013. REUTERS/Amit Dave/Files

The government could impose a 10 percent duty on cotton exports as early as Thursday aiming to boost overseas sales of value-added textiles to take advantage of a weak rupee and reduce the current account deficit, government sources and industry officials said.
The measure is due to be considered at a cabinet meeting on Thursday, where ministers are also expected to discuss a long-delayed plan to build two semiconductor factories with government subsidies to attract some $4 billion in investment.
Both policies, and a proposal to raise India's World Bank borrowing limit by $4.3 billion, could help bring in foreign exchange as India struggles to narrow the world's third largest current account deficit.
India is the second-biggest cotton producer after China and any curb on cotton exports could boost flagging global prices.
The government is trying to reduce a current account deficit which hit a record 4.8 percent of gross domestic product in the year ended March 31.
It hopes to take advantage of what is otherwise a damaging 16 percent fall in the rupee against the dollar since June 1.
India earned about $8.94 billion from cotton exports in 2012/13, equivalent to some 2.92 percent of total goods exports.
The Cotton Association of India (CAI) on Thursday said production should be 37.5 million bales in the year from October 1. Domestic consumption is likely to be 27-28 million bales.
"Any kind of duty on cotton exports would hit overseas demand for Indian cotton and would reduce farmers' returns," said Arun Kumar Dalal, a trader from Ahmedabad, a cotton market in Gujarat.
Measures discussed on Thursday could also include other steps for increasing cotton availability for textiles mills, which have been complaining of higher prices, said government sources directly involved in decision making.
SEMICONDUCTORS
The cabinet will also consider proposals on semiconductor manufacturing, a government official with direct knowledge of the matter said. Another official said the cabinet may give "in-principle" approval to the proposals.
Media reports have named IBM (IBM.N) and STMicroelectronics (STM.PA) among potential investors, while the companies have not officially confirmed the reports.
Israeli chipmaker TowerJazz (TSEM.TA) has said it has submitted a bid with two partners to build a plant in India.
India's demand for electronics products is forecast to rise nearly 10 times during the current decade to reach $400 billion by 2020.
Policymakers have said the electronics import bill could surpass that of oil due to lack of major local manufacturing.
As sales of smartphones, computers, television sets surge, annual imports of semiconductors is expected to touch $50 billion by 2020 from $7 billion in 2010

Rupee ends at 63.5, snaps five days of gains


 Tourists walk past a currency exchange shop at a shopping arcade in New Delhi August 20, 2013. REUTERS/Anindito Mukherjee/Files

The rupee fell on Thursday, ending five days of gains, as state-run banks likely bought dollars to meet defence needs of the government and as investors booked profit in shares.
Dealers cited RBI intervention to support the rupee as it approached 64 to the dollar.
The rupee has been on a recovery trail helped by recent steps like the passage of the pension bill in parliament and the central bank providing a concessional swap facility to banks to attract overseas deposits from non-resident Indians, which by some estimates can net around $10 billion, helping ease some of the recent despondency about policy making in India.
Foreign buying in Indian equities has continued to remain strong, now adding up to nearly $900 million in five sessions, including provisional data for Wednesday.
Analysts, however, are cautious to already call a turn in fortunes for the rupee.
"We'd be hesitant to say that this denotes a serious sentiment shift for India, and more likely an opportunistic short-term dynamic reflecting buying at (short term) technically oversold levels in EM equities," said Sacha Tihanyi, senior currency strategist at Scotiabank.
The rupee ended at 63.50/51 to the dollar versus 63.38/39 last close. It rose to 62.92 in the session, its strongest level since August 19.
After favourable trade data, that showed the trade deficit narrowed most in five months, economists awaiting July factory and August retail inflation data later on Thursday to provide cues ahead of the central bank's policy meeting next week. Wholesale inflation data is due on Monday.
India's factory output likely shrank for the third straight month in July, while wholesale inflation likely edged up to a six-month high in August.
In the offshore non-deliverable forwards, the one-month contract was at 64.29 while the three-month was at 65.56.
In the currency futures market, the most-traded near-month dollar/rupee contracts on the National Stock Exchange, the MCX-SX and the United Stock Exchange all closed around 63.94 with a total traded volume of $3.4 billion.

CPI inflation 9.52 percent in August - govt


 A woman buys tomatoes at a wholesale vegetable market in Ahmedabad September 11, 2013. REUTERS/Amit Dave

The annual consumer price inflation eased marginally in August to 9.52 percent in line with expectations from 9.64 in July, government data showed on Thursday.
Food prices for consumers also eased to an annual 11.06 percent in August from 11.24 percent in July.
A Reuters poll published this week forecast that consumer inflation would ease marginally to 9.55 percent year-on-year in August.
Unlike most central banks, the Reserve Bank of India mainly uses the wholesale price index (WPI) for setting its monetary policy. August WPI data is due to be released on Monday.
(Reporting by Rajesh Kumar Singh; Writing By Sruthi Gottipati; editing by Malini Menon)