Tuesday, March 19, 2024

Manhattan, half of Bandra.

"Land is getting hard to find in a sprawling industrial park in southern India where workers are scrambling to build modern new warehouses and factories for companies betting on the country's economic boom or diversifying their supply chains beyond China." "Businesses in India have traditionally relied on dingy, stuffy low-rise sheds known as godowns for their storage needs, but these are unsuited to the needs of foreign industrial giants," "So developers such as Greenbase are scouting for land nationwide, as they grapple with thorny acquisition issues." Reuters. Land is the biggest problem. Recently , "an office tower in New York's upmarket Manhattan was sold at a 70% discount." The tower sold for $500 million in 2014, but for only $150 million this time. Banker Uday Kotak said that "at Rs 16,000 per sq ft, the price of the said New York property is less than half the rate at Mumbai's upmarket Bandra Kurla." NDTV. India has a population of 1.438 billion people and it is growing. worldometer. Crammed in about 1.27 million sq miles. wikipedia. The US has a population of about 341 million people (worldometer), less than one-fourth the population of India, in 3.53 million sq miles (wikipedia), nearly 3 times the size of India. More factories and warehouses mean less land for growing food. In January 2024, "Union Minister Piyush Goyal...said there is no proposal before the government as of now to lift export curbs on wheat, rice and sugar." ET. This is to increase domestic supplies and thus suppress prices, but is grossly unfair as it transfers farmers' profits to consumers. "A population of over a billion people, a young demographic keen on spending, and recent optimism have all fostered the belief that India is on the cusp of a consumer boom." "By 2030, India will have an estimated 227 millennials (those born during 1981-1996) and 374 million Gen Z (born 1997-2010) persons." "The next major trend - when it occurs - will be towards products that offer convenience, sustainability, value-for-money; with AI-driven features and app-based options to customize the experience," wrote Deepa Vasudevan. But will every Indian join in the consumer boom? "India's top 1% owned more than 40.5% of its total wealth in 2021," while the bottom 50% owned only 3%. BBC. "Researchers in India and the UK who used Poshan data from September 2023 have noted" "that 39% of around 83 million children in the anganwadi centers in September 2023 had experienced stunting." "18% were underweight and 6% experienced wasting." Telegraph. With limited land and a growing population it may come to a choice between factories and warehouses, not to forget new homes for living in, on the one hand and agriculture on the other. A choice between consumption of luxuries or a consumption of food. Like now. Perhaps worse.      

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