Adani-Run Mumbai Airport Defers Terminal Overhaul Fight To Summer After Airline Pushback

By Zinal Dedhia

Mumbai International Airport Ltd (MIAL) said it won’t disturb slots for airlines this winter, a concession that follows mounting opposition from carriers to its plan to redevelop Terminal 1 and move some international flights to a new airport nearby.

The operator, run by Adani Airport Holdings Ltd (AAHL), will honour historical slot allocations through the winter schedule, it said in a statement after a meeting with the Airline Operators’ Committee on Tuesday.

Jeet Adani, director, and Arun Bansal, CEO of AAHL, met the airlines amid mounting opposition from airlines to MIAL’s redevelopment plans and its proposal to shift a portion of international operations to the upcoming Navi Mumbai International Airport (NMIA).

The International Air Transport Association (IATA) objected to the relocation in a September 9 letter to India’s civil aviation ministry, arguing that any shift should be voluntary, commercially viable and operationally feasible.

The airline lobby also called for consultation with carriers and for Navi Mumbai International Airport to be fully ready before traffic is moved.

Airlines have raised concerns about operational viability, a lack of consultation and disruption to established schedules. Some aviation experts have questioned the timing of the project, saying it could have waited until the new airport was prepared to handle international operations. Mumbai airport had previously indicated that demolition of T1B would begin Jan. 15, 2027.

What Now?

A joint working group of airport and airline representatives will spend the next two weeks drafting an implementation plan for the redevelopment, the operator said. It said carriers committed to backing the project and the rebalancing of traffic between the two airports from the summer schedule.

Mumbai airport pledged full support to any airline that opts to move to Navi Mumbai. The two sides will meet again on October 28 and, in the interim, will work through operational details with individual airlines’ network and slot teams.

Both parties reaffirmed their commitment to developing Mumbai’s airport infrastructure, the operator said.

Why The Redevelopment Is Contentious

The assurances come against the backdrop of a dispute over how Mumbai’s airport capacity should be managed while T1 is redeveloped.

MIAL had proposed shifting roughly a third of international passenger and cargo operations from Chhatrapati Shivaji Maharaj International Airport (CSMIA) to NMIA, prompting concerns among airlines over operational viability, consultation and the potential disruption to established schedules.

Aviation experts have also questioned the timing of the redevelopment, suggesting that it could have waited until NMIA was fully prepared to handle international operations.
Speaking to The Core, former Airports Authority of India official Vijai Agrawal acknowledged that T1’s infrastructure was outdated but argued that the redevelopment needed to be timed appropriately.

“The building part is outdated, I do agree. There is no issue,” Agrawal told The Core. “But this is to be timed.”

In a September 9 letter, IATA had objected to the proposed relocation, arguing that any transfer should be voluntary, commercially viable and operationally feasible. It also called for consultation with airlines and adequate operational readiness at NMIA before traffic is shifted.

MIAL’s redevelopment plans have also raised questions about the timing of the transition, with the airport operator previously indicating that demolition of T1B would begin on January 15, 2027.

Tuesday’s meeting offers some clarity on the immediate timeline, with MIAL committing not to disturb winter schedule slots and discussions on traffic balancing set to continue.

However, the joint working group’s recommendations and the October 28 meeting will be key to determining how the redevelopment and transition between the two airports will be implemented.

India’s Food Brands Face A Labelling Crisis That Hits Small Firms Harder

By Pritha Pahari

What?

“In food businesses, you cannot change a label the day a notification comes in,” said Ashwin Bhadri, founder and CEO of Equinox Labs, an FSSAI-approved, NABL-accredited food, water and air testing and auditing laboratory.

That is the challenge facing India’s packaged-food industry as the government considers mandatory front-of-pack warning labels for products high in sugar, salt and saturated fat. While the proposed red warnings could change how consumers assess everyday foods, the transition could impose significant costs on manufacturers, particularly smaller businesses with limited resources.

The Food Safety and Standards Authority of India (FSSAI) has sought around four months to finalise the rules, including a 60-day public consultation, followed by a final notification. It has also proposed giving companies a year for voluntary compliance.

The Supreme Court, however, questioned the regulator’s timeline on September 28, leaving companies uncertain about how quickly they may have to adapt.

 Why?

The push for clearer food labels comes amid concerns about rising diabetes, obesity and heart disease, and whether consumers receive enough information to make informed choices.

The regulatory process has been prolonged. The issue returned to the spotlight this year after the Supreme Court questioned whether the regulator was yielding to industry pressure. FSSAI subsequently proposed red warning labels.

A Reuters report in August said the government had dropped a stricter proposal following lobbying by Coca-Cola and industry bodies representing Nestlé and PepsiCo.

The latest judicial intervention has left companies preparing for a regulatory change without certainty over its final requirements or timeline.

Why It Matters?

The immediate challenge is packaging. Manufacturers will need to redesign labels, secure internal approvals, coordinate with printers and manage packaging already produced under existing rules.

A shorter transition period could leave businesses with unusable inventory and additional costs.

Bhadri said the 10-day period should be understood as time for the government to establish a clear implementation roadmap, rather than a compliance deadline for companies.

He added that the real pressure would emerge once the final thresholds, label format and compliance dates are notified.

The burden could extend beyond packaging. Companies seeking to bring products below warning thresholds may need to reformulate recipes, test alternative ingredients and ensure changes do not affect taste, texture or shelf life.

Smaller manufacturers are particularly vulnerable. Unlike large FMCG companies with dedicated regulatory teams and the financial resources to absorb packaging write-offs, founder-led businesses often have limited capacity to manage sudden changes.

Printed packaging could become stranded inventory, while contract manufacturers may not be able to accommodate urgent production changes.

The implications could extend to marketing, too. For smaller businesses, the difference between a manageable transition and an expensive disruption could depend on the implementation timeline ultimately settled by the regulator and the Supreme Court.

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$32.73 billion

That’s how much foreign investors have pulled out of Indian equities in the first nine months of 2026, nearly double the $17.6 billion withdrawn in the full calendar year 2025. In 2024, they were net buyers, investing $45 million.

How We Got Here: The record sell-off comes amid rising US bond yields, elevated crude oil prices and a global rush towards artificial intelligence stocks.

As The Core’s Govindraj Ethiraj argued in The Take last week, India’s strong economic growth and stable fundamentals are no longer enough to attract foreign capital. High valuations, a weaker rupee and more attractive investment opportunities overseas are adding to the pressure.

Flashpoint: Domestic institutional investors (DIIs) have helped cushion the impact by buying Indian equities even as foreign investors sell. They have invested a net Rs 6.83 trillion, or approximately US$72.6 billion, in equities so far this year.

Setup: Foreign selling has not dampened domestic demand for equity mutual funds. Investors poured Rs 38,307 crore (US$4.1 billion) into equity schemes in September, a five-month high, according to the Association of Mutual Funds in India (AMFI). Inflows rose 31% from August, showing that domestic investors continue to invest even as foreign capital exits.

Detained Once Again

Delhi Police detained CJP leaders Saurav Das, Ashutosh Ranka and Ajinkya Shinde after they entered Jantar Mantar carrying the national flag and demanding Chief Election Commissioner Gyanesh Kumar’s resignation over alleged irregularities in the Special Intensive Revision of electoral rolls, Reuters reported. 

The action came a day after authorities removed Jantar Mantar from the list of designated protest sites and named Ramlila Ground, Burari Ground and CBD Ground as alternatives.

Pivot: Opposition parties under the INDIA bloc continued to back the agitation. 

Congress and other parties organised marches and raised the issue in the streets and courts, with police registering multiple FIRs over an opposition march towards the Supreme Court. Student groups and other organisations also held demonstrations calling for the release of detained activists and the restoration of Jantar Mantar as a protest venue.

Catch Up Quick: The developments follow a major crackdown on 10th October, when police detained thousands and picked up CJP leaders at the airport, and their release the next day on bonds to maintain peace. The youth-led CJP and opposition parties say they will keep pressing for Kumar’s resignation and greater transparency in the electoral process.

UPI MDR Charge Deferred

India's NPCI has deferred the proposed merchant discount rate (MDR) on eligible UPI transactions until after Diwali, following opposition from trader associations.

The rollout, originally scheduled for October 15, 2026, will take place on a date to be announced separately.

Fast Facts: Under the proposed framework, an MDR of 0.40% applies to eligible person-to-merchant (P2M) UPI transactions above Rs 2,000, capped at Rs 300 per transaction for payments of Rs 75,000 and above.

Specified sectors, including railways, telecom, insurance, fuel and agricultural inputs, attract a flat MDR of Rs 5 on eligible transactions. Capital-market transactions involving mutual funds and securities attract an MDR of 0.02%, capped at Rs 300. Person-to-person transactions remain free, alongside eligible transactions below Rs 2,000 and qualifying small-merchant payments.

Context: Launched in 2016, UPI has become central to India's digital payments ecosystem, with over 55 crore users reported by June 2026.

Trader associations fear MDR charges could squeeze already-thin retail margins, particularly during the festive and wedding season.

PhonePe and Google Pay together accounted for around 80% of UPI transaction value in August 2026.

Big Cars, Bigger Loans

The average passenger vehicle loan in India has gone up 49% since 2019 and now stands at Rs 8.2 lakh, according to TransUnion CIBIL. More people are choosing SUVs and cars with extra features, which cost more.

Overview: Non-banking financial companies give the most car loans, with a 37% share, followed by private banks at 26%. About 2.5 crore people now have an active car loan, 1.7 times the number in 2019.

The Lead: The trend is not limited to big cities. In H1 2026, 51% of people taking another higher-value car loan lived in semi-urban and rural areas. Rural buyers moving from a two-wheeler to a car have grown by 15% a year since 2019.

The Shift: Two-wheeler loans are changing too. They used to be the first step into credit, but only 39% of borrowers are now taking their first-ever loan, down 19 percentage points from 2019. “Two-wheelers are closely linked with how young India studies, works and earns,” said Bhavesh Jain, MD and CEO of TransUnion CIBIL.

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Why IT Stocks Are Bouncing Back

On Episode 1004 of The Core Report, financial journalist Govindraj Ethiraj talks to Madan Sabnavis, Chief Economist at Bank of Baroda Research, as well as Amir Durrani, President Global Application, Business Process Services and Data practice at NTT DATA Inc.

• Why IT Stocks Are Bouncing Back

• Talk Of A Revisit Of Capital Gains Tax Rates On Investors Boosts Markets Again

• What Could The Future Indian IT Services Companies Look Like?

• What The Nobel Prize For Economics For This Year Recognises And What Does It Mean From An India Lens

• Anthropic Says AI Is Months Away From Replicating Across Home Devices