India's business executives regret further hardening of cost pressure, impacting profit

Costs per unit compare with this time last year: % responses

By A Representative
The Indian Institute of Management-Ahmedabad’s (IIM-A's) latest Business Inflation Expectations Survey (BIES) report, which seeks to provide ways to examine the amount of slack in the economy by polling business leaders from around 1,100 companies, has said that there was “further hardening of cost pressures”, with over 40% of the firms in December 2020 perceiving “significant (over 6%) cost increase – up from 30% reported in November 2020.”
Stating that about 18% of the firms perceive that costs have increased very significantly (over 10%), the report says, “Over 63% of the firms find that the current cost increase is ‘3.1% and above’ as compared to the same time last year – further up from 58% reported in November 2020.”
The report says, “Expectations on sales have remained unchanged – reflecting stable demand conditions. Over 37% of the firms in December 2020 report that sales are ‘much less than normal’. "Normal" means as compared to the average level obtained in the preceding three years. However, “for the first time in the year 2020, over 35% of the firms report that sales are normal or above normal”, the report adds.

Profit margins: % response

Pointing out that, overall, the profit margin has remained unchanged due to increased cost concerns, the report says, “Over 41% of firms in the sample in December 2020 report ‘much less than normal’ profit – down from 47% reported in November 2020.”. It adds, “Firms’ expectations of ‘about normal’ or greater profit margin have remained unchanged.”

Comments

Advocacy group decries 'hyper-centralization' as States’ share of health funds plummets

By A Representative In a major pre-budget mobilization, the Jan Swasthya Abhiyan (JSA), India’s leading public health advocacy network, has issued a sharp critique of the Union government’s health spending and demanded a doubling of the health budget for the upcoming 2026-27 fiscal year.

Delhi Jal Board under fire as CAG finds 55% groundwater unfit for consumption

By A Representative A Comptroller and Auditor General (CAG) of India audit report tabled in the Delhi Legislative Assembly on 7 January 2026 has revealed alarming lapses in the quality and safety of drinking water supplied by the Delhi Jal Board (DJB), raising serious public health concerns for residents of the capital.

Zhou Enlai: The enigmatic premier who stabilized chaos—at what cost?

By Harsh Thakor* Zhou Enlai (1898–1976) served as the first Premier of the People's Republic of China (PRC) from 1949 until his death and as Foreign Minister from 1949 to 1958. He played a central role in the Chinese Communist Party (CCP) for over five decades, contributing to its organization, military efforts, diplomacy, and governance. His tenure spanned key events including the Long March, World War II alliances, the founding of the PRC, the Korean War, and the Cultural Revolution.

Stands 'exposed': Cavalier attitude towards rushed construction of Char Dham project

By Bharat Dogra* The nation heaved a big sigh of relief when the 41 workers trapped in the under-construction Silkyara-Barkot tunnel (Uttarkashi district of Uttarakhand) were finally rescued on November 28 after a 17-day rescue effort. All those involved in the rescue effort deserve a big thanks of the entire country. The government deserves appreciation for providing all-round support.

Pairing not with law but with perpetrators: Pavlovian response to lynchings in India

By Vikash Narain Rai* Lynch-law owes its name to James Lynch, the legendary Warden of Galway, Ireland, who tried, condemned and executed his own son in 1493 for defrauding and killing strangers. But, today, what kind of a person will justify the lynching for any reason whatsoever? Will perhaps resemble the proverbial ‘wrong man to meet at wrong road at night!’

Iswar Chandra Vidyasagar’s views on religion as Tagore’s saw them

By Harasankar Adhikari Religion has become a visible subject in India’s public discourse, particularly where it intersects with political debate. Recent events, including a mass Gita chanting programme in Kolkata and other incidents involving public expressions of faith, have drawn attention to how religion features in everyday life. These developments have raised questions about the relationship between modern technological progress and traditional religious practice.

Jayanthi Natarajan "never stood by tribals' rights" in MNC Vedanta's move to mine Niyamigiri Hills in Odisha

By A Representative The Odisha Chapter of the Campaign for Survival and Dignity (CSD), which played a vital role in the struggle for the enactment of historic Forest Rights Act, 2006 has blamed former Union environment minister Jaynaynthi Natarjan for failing to play any vital role to defend the tribals' rights in the forest areas during her tenure under the former UPA government. Countering her recent statement that she rejected environmental clearance to Vendanta, the top UK-based NMC, despite tremendous pressure from her colleagues in Cabinet and huge criticism from industry, and the claim that her decision was “upheld by the Supreme Court”, the CSD said this is simply not true, and actually she "disrespected" FRA.

'Threat to farmers’ rights': New seeds Bill sparks fears of rising corporate control

By Bharat Dogra As debate intensifies over a new seeds bill, groups working on farmers’ seed rights, seed sovereignty and rural self-reliance have raised serious concerns about the proposed legislation. To understand these anxieties, it is important to recognise a global trend: growing control of the seed sector by a handful of multinational companies. This trend risks extending corporate dominance across food and farming systems, jeopardising the livelihoods and rights of small farmers and raising serious ecological and health concerns. The pending bill must be assessed within this broader context.

Climate advocates face scrutiny as India expands coal dependence

By A Representative The National Alliance for Climate and Environmental Justice (NACEJ) has strongly criticized what it described as coercive actions against climate activists Harjeet Singh and Sanjay Vashisht, following enforcement raids reportedly carried out on the basis of alleged violations of foreign exchange regulations and intelligence inputs.

Search This Blog