. |
. |
Cogentrix will not NEW DELHI, Dec 21: Power Minister R Kumaramangalam today said the Government will go ahead in providing counter-guarantee on the lines of those provided to other fast track projects in the country.....more India’s jute production is CALCUTTA, Dec 21: India’s jute production during 1999-2000 is estimated...more SBI awarded NEW DELHI, Dec 21: State Bank of India has been awarded Asiamoney’s ‘Best Bank....more Tabacco industry NEW DELHI, Dec 21: Faced with dwindling cigarette sales, the tobacco industry.....more |
 |
Ruthless competition NEW DELHI, Dec 21: Ruthless competition has become...more Govt will release NEW DELHI, Dec 21: The Union Government will release.....more Hansa to get certification BANGALORE, Dec 21: India’s first all-composite aircraft......more
Bio-diversity NEW DELHI, Dec 21: Union Chemicals and Fertilizers Minister .....more |
|
Cogentrix will not be shown any exception: Minister NEW DELHI, Dec 21: Power Minister R Kumaramangalam today said the Government will go ahead in providing counter-guarantee on the lines of those provided to other fast track projects in the country. Cogentrix will not be shown any exception, the Power Minister said on the sidelines of the roundtable on privatisation of distribution organised by the Independent Power Producers Association of India (IPPAI). However, the Mangalore Power Company which was set up by Cogentrix and China light and power to implement the 1.3 billion dollar project, does not want to renegotiate the Power Purchase Agreement (PPA) with the Karnataka Power Transmission Corporation since the current pact does not incorporate an escrow cover and certain new technical parameters set by the Centre. Counter-guarantees were given to fast track projects of Hindujas, Stcms and Bhadravati. Member of Parliament at the ongoing session recently had expressed their concern that withholding of the counter-guarantee had sent wrong signals to foreign investors keen on doing business in India, while pointing out that the promoter had announced their withdrawal. On December 9, Cogentrix energy Inc and China light and power international had announced their withdrawal from the 1.3 billion power project citing delays in obtaining Government approval and resolving public interest litigations. The next day the Supreme Court cleared the companies of all kickbacks. (UNI) |
 |
India’s jute production is estimated to fall by 11.77 p CALCUTTA, Dec 21: India’s jute production during 1999-2000 is estimated to be lower by 11.77 per cent to 90 lakh bales from about 102 lakh bales last year. Director of Jute Directorate under Union Ministry of Agriculture Dr S K Biswas told UNI that the crop is estimated to be lower this year due to adverse weather during the sowing period. Sowing was severely hampered due to unprecedented draught situation in jute growing areas of West Bengal, Bihar and Assam, but had improved later following sufficient rains from middle of April. Trade and industry, which was earlier programming their schedules on the basis of consensus estimates of jute advisory board, jute balers association and other jute related bodies, which had predicted 80 lakh bales crop for this year, were now gradually realising that jute directorate estimates were more accurate. Indian Jute Mills Association Chairman Sanjay Kajaria said Jute Directorate estimates appears to be more realistic considering the prevailing easier prices of raw jute. Had the output been in the region of 80 lakh bales, the prices of raw jute by this time would have increased significantly by this time, Mr Kajaria said. Initial predictions had claimed that the crop this year would be lower by 15 to 20 per cent which had kept the alarm bell ringing among the industry and trade. Prices of raw jute generally tends to be dearer in November and December, but this year’s prices are more or less similar to that of last year, he said. TD5 grades are being sold in the market in the range of Rs 1000 and Rs 1100 per quintal which is higher by only Rs 50 per quintal from last years prices during this period. Dr Biswas said. Mr Kajaria commented, with last year’s carry over stock of 24 lakh bales and import of 5 lakh bales this year, industry is comfortably placed with the production of anywhere in the region of 85 lakh bales as consumption by mills in India in an year is only in the region of 85 lakh bales with another seven lakh bales being used in the rural areas. Dr Biswas said of the total production this year, West Bengal’s share is likely to be around 62 lakh bales, down 12 lakh bales from last year’s 74 lakh bales and added that total crop in Bihar and Assam too is likely to be lower by two lakh bales each to ten lakh and seven lakh bales respectively. (UNI) |
|
SBI awarded Asiamoney’s Best Bank NEW DELHI, Dec 21: State Bank of India has been awarded Asiamoney’s ‘Best Bank’ in India, while Hang Seng Bank has topped Asiamoney’s ranking of 88 of the region’s leading banks, designed to determine the best banking partners for corporations in Asia. The ranking, which employs quantitative data supplied by the world’s largest specialist bank rating agency, Thomson Financial Bankwatch, is carried in full in Asiamoney’s December/January issue. The ranking was calculated on the basis of total assets, profitability, liquidity, leverage, NPLs and NPL coverage. Other banking sectors that performed well include those in Taiwan, Hong Kong and the Philippines. The ranking is based on year-end 1998 data. (UNI) |
|
Tabacco industry for retention of existing duty rates NEW DELHI, Dec 21: Faced with dwindling cigarette sales, the tobacco industry has called for retention of existing duty rates, specific duty structure and restoration of single point taxation. The Government also should take urgent measures to curb the sale of contraband cigarettes, estimated to be growing at 20 per cent per annum. In a pre-budget presentation to the Finance Ministry, the Tobacco Institute of India (TII) emphasised the need to reverse negative trends in revenue collections and optimise growth from the tobacco sector. It can be done by facilitating a gradual increase in the cigarettes share of tobacco consumption. During April-November 1999 fiscal, cigarette sales declined 5.5 per cent as compared to the corresponding period of the previous financial year. As against 61,568 million cigarette sticks sold by ITC, Godfrey Phillips India (GPI) and VSR in the April-November 1998, sales have fallen to 58,176 million sticks in April-November 1999. These three companies account for 95 per cent of total domestic sales. Industry sources attribute this declining trend to a continuous increase in excise duties over the last few budgets which has resulted in an increase in cigarette prices. The collapse of mini cigarette segment is attributed to the union budget 1999-2000 where there was a steep increase in excise duty. The TII presentation highlighted that the increase in tax during 1995-97 was reasonable and benefited growth in both revenue collections and cigarette volumes. However, tax increases in 1997-98 and 1998-99 led to diminishing returns and resulted in negative growth. The representation emphasised that notification No 32/99 dated July 8, 1999 - central excise, approving a 100 per cent refund of central excise duty paid on cigarettes manufactured at specified locations in the states of Assam and Tripura for a period of ten years, would result in a total collapse in tobacco revenue. It will entice new manufacturers and force existing manufacturers to apply. A complete shift from existing locations is a high probability because the applications made are for quantities which far exceed domestic demand. This will also give rise to clandestine activities and cause enormous social and industrial unrest in locations where such manufacture currently exists, the TII cautioned. TII added that the exchequer will be deprived of annual revenue of Rs 6000 crore, depleting State Government resources by Rs 4500 crore which devolves to them. The states of Assam and Tripura themselves would stand to loose Rs 200 crore. They would also not gain the intended benefit of industrialisation because they offer no advantages in the form of raw materials, related infrastructure and skills. Cigarette manufacturers would go back to their normal locations once the excise offer ceases. TII has therefore suggested the deletion of cigarettes from the notification. (UNI) |
|
Ruthless competition becomes new
NEW DELHI, Dec 21: Ruthless competition has become the new mantra in the automotive sector in India today with the market leader Maruti given a run for its money by the Korean Hyundai and Daewoo and the American giants General Motors and Ford thereby heralding a new car age in 1999. Significant sales of Hyundai’s Santro and Daewoo’s Matiz as well as TELCO’s self-proclaimed India car Indica in the premium small car segment in the current fiscal gave a rude jolt to Maruti. Maruti, whose market share declined to an all time low of about 66 per cent in the passenger car market from a high of 84 per cent a year ago, was forced to bring in an advanced mid-size model, Baleno, to bring back the losing consumer preference for its Esteem model and also draw on the launching line two new models in the near future. Initial hiccups of the passenger car industry due to the Supreme Court’s ruling on tighter emission norms disappeared fast as the sector responded immediately and geared itself to meet the future challenges which was evident from the unprecedented sales during the latter half of 1999. Gloomy picture of the car industry, gripped by the slowdown in the last couple of years, was repainted with the launch of several new car models, providing various options and in turn making the customer feel like a king of the fast growing and highly competitive Indian passenger car market. The year also witnessed impressive sales growth registered by the premium small car segment with cars like Hyundai Santro, Maruti Zen, TATA Indica, Daewoo Matiz and Fiat Uno surpassing, for the first time, sales of Maruti 800, the cheapest, most popular and entry level car for the Indian buyers. The year has seen the passenger car sales figure touching a milestone by crossing the five million mark for the calendar year 1999 for the first time. The inclusion of Multi-Utility Vehicles (MUV) which has crossed 1.2 lakh sales figure so far this year would result in total car sales crossing the six-lakh mark. Enthused by growing sales and in the anticipation that the trend would continue, auto manufacturers are planning to welcome the new millennium with sharp price hike of small cars to accommodate higher production cost emanating from Euro-II emission norms compliance and costlier inputs. Despite a poor performance by the mid-sized car segment during the year, several players entered the market with new models and aggressive pricing. Doubts were raised whether the segment would be able to absorb so many products, but the answer would come only in future. Success of Santro in India gave confidence to Hyundai to launch a mid-sized car accent with the base model price of Rs 5.35 lakh, but Ford India surprised every one by announcing the Rs 4.99 lakh price tag for its India-specific car ikon. With such attractive prices, General Motors is finding it difficult to position its second offering ‘Corsa’, to be formally launched at the auto expo in January. (PTI) |
|
Govt will release 2nd instalment
for NEW DELHI, Dec 21: The Union Government will release the second instalment of Rs 9.25 crore for completion of the Khuga Dam project in Manipur, Water Resources Minister C P Thakur informed the Rajya Sabha today. Replying supplementaries during question hour, Dr Thakur said the project was scheduled to be completed by the year 2002. The original cost of the project was estimated at Rs 50 crore in 1980 which had now gone up to Rs 160 crore. A total of Rs 106.65 crore had been spent on it till March 1999. Mr Singh said the Centre had so far provided central loan assistance under the accelerated irrigation benefits programme to the tune of Rs 24.05 crore. He said there were many reasons for the delay in completion of the project. The project was being monitored by the Central Water Commission. Monitoring team visits the project on regular intervals. The Water Resources Minister also informed that the Government was in correspondence with nepal regarding flooding of certain areas of North Bihar and Uttar Pradesh due to excess release of water by Nepal. He said he would soon convene a meeting of MPs of Uttar Pradesh and Bihar to discuss the problem. But without the cooperation of Nepal it was difficult to find a permanent solution for this menace, Mr Singh added. (UNI) |
|
Hansa to get certification for flying by end of Dec BANGALORE, Dec 21: India’s first all-composite aircraft "Hansa", designed and built by the city-based National Aerospace Laboratories (NAL), will be awarded with full certification for flying by the Director General of Civil Aviation (DGCA) by the end of this month. All the work is over. Final discussions (with DGCA) will be held shortly. We will get certification this month, NAL Director T S Prahlad told PTI here. According to NAL, the twin-seater aircraft will provide a viable, technologically-advanced and cost-effective trainer aircraft for pilots. It is also ideal for those interested in flying as a hobby, surveillance, aerial photography and environmental monitoring. Prahlad hinted at the possibility of NAL entering into an understanding with a foreign partner for marketing and co-production of Hansa abroad. We have received enquiries from the United States, Canada and Australia. We have to finalise the terms and conditions, he said. The first pre-production of Hansa-3 will be delivered this month to Madras Flying Club, one of the active and oldest flying clubs in the country, he said. Five more "Hansa" aircraft are under different stages of production by NAL, along with Taneja Aerospace and Aviation Limited (TAAL), which is the country’s only private sector aircraft manufacturing company, Prahlad said. These five aircraft would be procured and positioned by DGCA in different flying clubs in the country, NAL officials said. Meanwhile, the first flight of "Saras", a twin turboprop multi-role 14-seater Light Transport Aircraft (LTA) with air taxi and commuter services as its primary roles, would be delayed and would not take off in May next year as planned, Prahlad said. "Fabrication (of Saras) is going on. All the systems have been ordered. We will get a clear picture and definite schedule by March", he added. NAL officials said the Saras project had been progressing at a slow pace for the past several years due to funding difficulties. The Government had, however, in August approved its funding to the tune of Rs 131.38 crore by various agencies, the officials added. (PTI) |
|
Bio-diversity Bill is ready: Prabhu NEW DELHI, Dec 21: Union Chemicals and Fertilizers Minister Suresh Prabhu today said the Bio-Diversity Bill is ready and would be introduced in Parliament in the near future. Addressing a conference, organised by the Confederation of Indian Industry here, Mr Prabhu said the Bill will address the issues relating to R and D in the field of bio-diversity and views of Non-Governmental Organisations have been taken into consideration while drafting the Bill. The Bill would protect the interests of domestic industry and spur R and D activities, he said. He urged the industry to identify modalities for setting up a fund for modernisation of units in the chemicals and petrochemicals sector. The ministry is considering setting up of three or four port-based chemical estates, with facilities for captive power generation and disposal of hazardous wastes, he said. The minister would invite domestic and foreign investors for the purpose. A separate status could be worked out to ensure "no local interference", Mr Prabhu said. (UNI) |
|
|
