Emerging Markets Daily - June 7
Southern India More Resilient to Covid, Amazon Launches Car Rental in UAE, Thai Oil Giant Invests in Plant Protein, China EV Maker Rising on Cult Status, Mexico Elections
The Top 5 Emerging Markets Stories from Global Media - June 7
India’s Southern States Show Resilience Amid Covid Catastrophe
Financial Times
“…But when India’s catastrophic second wave struck Tamil Nadu and other southern states, places such as Vellore were able to withstand the worst of its fury.”
“That they did so was due in large part to a legacy of investment in primary and public healthcare in the southern states, among India’s most affluent and developed. In many other parts of India, experts said, the chronic neglect of healthcare had been brutally exposed by the crisis…”
“Before the second wave hit the south, it overwhelmed healthcare systems in many other parts of the country, including the capital New Delhi and Uttar Pradesh, India’s most populous state. Patients died because of lack of oxygen and crematoriums were so overwhelmed that bodies were dumped in rivers.”
“Southern states have experienced their share of tragedy, but experts said they had proved more resilient. ‘Because you have a pretty well-developed healthcare infrastructure, the horror stories were not as shocking as they were in other states,’ said Ratan Jalan, founder of Medium Healthcare Consulting and a former healthcare executive…India’s southern states account for about 250m of the country’s almost 1.4bn population.”
“Kerala and Tamil Nadu, in particular, are outliers in healthcare, leading on metrics such as infant mortality. Along with Karnataka, they also boast more hospital beds and medical colleges. India’s southern states dominated the top of the ranking of states by sustainable development released by the UN and a government think-tank last week.” Benjamin Parkin reports
Amazon Launches Car Rentals in the UAE
The National
“Amazon is now offering online car rental services in the UAE under its home services umbrella.”
“…Amazon offers about 95 on-demand professional services in the UAE.”
“The online retailer allows customers to make beauty appointments, book handymen and schedule TV installation and other assembly jobs through its home services function.”
“The retailer is tapping into a growing demand for on-demand maintenance, cleaning and home salon services, which have boomed during the Covid-19 pandemic.”
“Amazon competes with local companies in meeting demand for various convenience and lifestyle services.” Jennifer Gnana reports
Thai Oil Giant Invests in Plant Protein to Power New Growth
Bloomberg
“Thailand’s state-controlled PTT Pcl, the country’s largest company by market value, has invested in a venture to make plant-based protein, including so-called faux meat, as part of its objective to become less dependent on fossil-fuel businesses.”
“The oil-and-gas giant formed a 300 million baht ($9.6 million) partnership with NR Instant Produce Pcl, which specializes in making protein from jackfruit, with commercial operations scheduled to start by the end of 2022.”
“Although the project involves a small investment for a company with a market capitalization of $38 billion, it reflects the fact that ‘non-traditional’ products are gradually becoming part of the norm, according to Senior Executive Vice President Buranin Rattanasombat. PTT, which currently gets more than 95% of its revenue from energy refining, processing, trading and retailing, has also made recent investments in electric-vehicle and life-science businesses.” Randy Thanthong-Knight reports
China Electric Vehicle Maker Betting on Cult Status to Sell a Million Cars
The Straits Times
“Since last July, a little-known automaker in China's south-west has dominated the world's largest electric car market, outselling bigger players and even Tesla almost every month with a tiny, bare-bones EV that starts at just US$4,500 (S$5,958).”
“The Hongguang Mini is the brainchild of SAIC-GM-Wuling Automobile, a joint venture between SAIC Motor and Guangxi Automobile Group, two state-backed automakers, and US giant General Motors.'“
“Based in the city of Liuzhou, known for its limestone mountains and river-snail soup, the company - which has sold some 270,000 of the cars within nine months, making it the best-selling EV in China - has even bigger ambitions for the future.” The Straits Times reports
Geopolitics: Mexican Rulers' Lower House Majority to Shrink, Results Show
Reuters
“Mexicans pared back President Andres Manuel Lopez Obrador's power in elections on Sunday, an official projection based on early results showed, delivering his MORENA party and allies a reduced majority that will make sweeping change more difficult.”
“The National Electoral Institute (INE) saw the ruling coalition winning between 265 and 292 of the 500 seats in the lower house, short of the two thirds majority needed to push through amendments to the constitution.”
“The mid-term election was seen as a referendum on the president's policies and his shake-up of Mexico's institutions.”
“The result, if confirmed, suggests voters want Lopez Obrador to tone down his plans to transform Mexico with an overhaul of politics and the economy. He has also toyed with constitutional changes to protect state energy companies.” Dave Graham and Lizbeth Diaz report
ICYMI…Over the weekend, we published our first round-up of opinion/comment pieces - Emerging World Tribune. They included sharp analysis on China-Africa ties, Latin America and Globalization, the Iran elections, and Lebanon’s historic economic decline from Hannah Ryder, Gyude Moore, Gabriel Zinny, Bobby Ghosh, and the National Editorial Board. You can see it here.
Have a great week ahead!
