Aug 25, 2016 - GST Rate On Processed Foods Should Be Low: CII

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from TradeBriefs FMCG Daily Newsletter

Sree Vijaykumar

From the Editor's Desk
The US housing market, which in 2008 triggered what history will probably remember as "the great global recession" is still stuttering. According to data released Tuesday by the Commerce Department, new residential construction fell in July, down 0.1% from June, to a seasonally adjusted annual rate of 1,152,000. That's up from last year's level of 1,142,000 new homes, but the rate of growth has declined significantly since earlier this year. It's not exactly clear why the housing recovery seems to be stalling out. Demographic trends are in housing's favor, as the median American age is 26. Economists generally predict that as this cohort continues to age, they will seek single-family housing much like their parents did. But mortgage lenders continue to be wary of lending to all but the most creditworthy borrowers, as evidenced by the relatively high median credit score for newly issued mortgages. Furthermore, homebuilders have been focusing their efforts on the higher end of the market, in response to this tight credit and widening economic inequality that has left the middle class economically strapped. More here

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