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| Civil aviation ministry evolving policy for pvivate airlines NEW DELHI, Dec 28: Having allowed private domestic carriers to operate to six SAARC countries, Civil Aviation.....more Electronic
component NEW DELHI, Dec 28: The export of electronic components from India grew by 25.57 per cent annually between 1997-98.....more Fertiliser:
Monsoons NEW DELHI, Dec 28: It has been a year of stagnation for the Rs 26,000 crore fertiliser industry, which is now banking on......more Forex
reserves jump MUMBAI, Dec 27: The foreign exchange reserves of the country crossed the psychological....more |
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2003: Indian Pharma Cos emerged favourites in global markets NEW DELHI, Dec 28: If Indian IT companies rewrote the rules of the game worldwide, the domestic drugmakers ruled on....more 2003:
Sensex outperforms MUMBAI, Dec 28: When year 2003 started, not even the most astute analyst would have predicted the kind of ‘dream run’.....more JN port
workers MUMBAI, Dec 28: The workers union - Nhava Sheva Bandar Kamgar Sanghatana (Antargat) - at Jawaharlal Nehru Port......more Call rate
seen easy G-secs MUMBAI, Dec 28: Government bond prices are likely to stay in a narrow range, amid dull trades with players waiting for.....more |
Civil aviation ministry evolving policy for pvivate airlines NEW DELHI, Dec 28: Having allowed private domestic carriers to operate to six SAARC countries, Civil Aviation Ministry would "shortly" come out with a comprehensive policy framework for sharing of unused bilateral air traffic rights between the Indian public sector and private carriers to operate to these international destinations. Highly-placed sources in the ministry said the "comprehensive guidelines" would go into how much of these rights are to be shared by the private carriers, to what extent and the duration for which these airlines have been operating in the country. "We cannot allow a new airline to emerge tomorrow and ask for rights to fly abroad, or saying we have 100 planes and we will deploy 99 for international operations and one for domestic," the sources said. They said the ministry was formulating a comprehensive framework and "a decision is expected shortly", but added that the policy framework "may have to be vetted by the Union Cabinet" as other ministries like external affairs would also have their say in the process. Government has already forwarded the decision of the Union Cabinet, to allow domestic private carriers to fly abroad, to the SAARC nations for their response and final clearance to enable Indian Private Airlines to start operations there. Civil Aviation Minister Rajiv Pratap Rudy had recently said a mechanism would be evolved for permitting the use of unused bilaterals by Indian Airlines and the private carriers. Indian airlines currently operates 30 flights a week to SAARC destinations whereas the total number of bilateral rights stands at 88. The policy being evolved would guide as to how the existing 58 unused bilateral rights could be shared between IA and the private carriers, the sources said. IA would lose an estimated Rs 14 crore on account of these unused bilateral rights going to private carriers. While the ia earns Rs 30 crore a year on account of these bilaterals, Air India gets Rs 309 crore for this. Rudy had then said "if we start using all bilaterals, there is a potential to earn a total of Rs 2,000 crore, apart from the increased tourism and employment opportunities it would create." (PTI) |
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Electronic component exports grew 25.75 pc in 1997-2003 NEW DELHI, Dec 28: The export of electronic components from India grew by 25.57 per cent annually between 1997-98 and 2002-03. In 2002-03, electronics exports touched Rs 2400 crore mainly because of increased outsourcing from India by multinational companies, according to electronics and computer software Export Promotion Council (ESC). ESC said European union countries took 42 per cent of total exports in 02-03 followed by Singapore, Hong Kong and neighbouring countries at 23 per cent. Exports of electronic components to EU countries were up 48 per cent year-on-year in 02-03 and touched Rs 1002 crore while for Singapore, Hong Kong and neighbouring countries exports went up by 21 per cent to Rs 562 crore. The exports of components to US and Canada in 02-03, however, were down 32 per cent as compared to 01-02 to Rs 405 crore. US and Canada are now the third largest destination for Indian electronic components. They occupied second position in 01-02. Middle east countries took Rs 181 crore worth of electronic components from India and accounted for 7.5 per cent of total electronic component exports. Japan, Korea and the countries of the region accounted for five per cent of electronics exports from India at Rs 112 crore. (UNI) |
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| Fertiliser: Monsoons to the
rescue of the parched industry NEW DELHI, Dec 28: It has been a year of stagnation for the Rs 26,000 crore fertiliser industry, which is now banking on good monsoon to boost sales even as the Government has swung into action to bail out the depressed industry through various strategies. Declaring it as a year on of fertilisers, the Fertiliser Association of India said the consumption of all nutrients declined from 17.36 Million Tonne Equivalent (MTE) during 2001-02 to 16.09 MTE during 2002-03, ie a decline of 7.3 per cent. The situation has been exacerbated by the inadequate availability of phosphatic fertiliser in states like Uttar Pradesh, Madhya Pradesh and Punjab. Fertilisers Minister Sukhdev Singh Dhindsa has said that the Government is formulating a new fertilisers policy to ensure self-sufficiency though the country will have to depend on imports to meet its requirement of potash. The downcast fertiliser industry could find some succour due to the good monsoon and the likely increase in fertiliser offtake. A review of the fertiliser and agricultural situation shows that consumption of fertiliser has witnessed a kind of stagnation in the last few years. This perhaps could be attributed to high levels of foodgrain production in the recent years, dulling farmers into a sense of complacency to avoid additional expenditure through use of nutrients. The Government on its part has been sounding alarm bells on the fertiliser subsidy expenditure front much to the chagrin of the industry. The year 2003 was pre-occupied by discussions to convert the non-gas based urea units to gas-based ones to increase their feasibility as also cut down subsidies. According to Government officials, the primary goal of the New Pricing Scheme (NPS) for urea units, made effective from April, 2003, is to encourage efficiency parameters of international standards based on the usage of the most efficient feedstock. Since natural gas and LNG bring a clean and cost effective source of energy, the Government is considering the switchover to gas-based urea units. Welcoming the move, the FAI representatives felt it could be a major step to make the units viable. The Government at its various interactions during the year was also found concerned over the burgeoning fertiliser subsidy bill. (PTI) |
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| Forex reserves jump above USd 100
billion: at record high MUMBAI, Dec 27: The foreign exchange reserves of the country crossed the psychological barrier of US dollar (USd) 100-billion mark and stood at a record high of USd 100.049 billion during the week ended December 19, gaining by a whopping USd 1.09 billion from USd 98.959 billion a week ago. The Reserve Bank of India (RBI)’s weekly statistics report showed that the foreign currency assets which rose by USd 1.09 billion to USd 96.008 billion, contributed the entire growth in the total forex reserve, while the gold reserves and Special Drawing Rights (SDRs) remained unchanged at USd 4.038 million and USd three million. India’s Reserve Tranche Position (RTP) with the International Monetary Fund (IMF) rose by USd 8 million to USd 1.241 billion during the week. The RTP which could change from time to time due to India’s transactions under the financial transaction plan with the IMF, however, are not included in the foreign reserves. Foreign currency assets, expressed in USd terms include the effect of appreciation/deprecation of non-US currencies like euro, yen and pound sterling, held in the reserve. Dealers said that the appreciation of the non-US currencies like the euro, pound sterling and yen, held in the forex reserve and the aggressive intervention by the RBI in the forex market to check the rupee’s appreciation, were the main factors that driving the forex reserves up. Forex reserve has surged up by USd 24.621 billion in the current financial year, while it surged up by USd 29.604 billion since January one this year. The loans and advances of the Central Government remained nil during the week ended December 12, while that of the State Governments rose by Rs 1,870 crore to Rs 8,262 crore. The aggregate deposits of the scheduled commercial banks rose by Rs 6,623 crore to Rs 14,09,945 crore during the fortnight ended December 12, while the total bank credit moved up by Rs 3,731 crore to Rs 7,70,368 crore from the previous fortnight. (UNI) |
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2003: Indian Pharma Cos emerged
favourites NEW DELHI, Dec 28: If Indian IT companies rewrote the rules of the game worldwide, the domestic drugmakers ruled on the global pharmaceutical map in 2003 as their low-cost medicines made HIV/AIDS treatment accessible to a million poor in sub-Saharan Africa and Asia and helped India emerge as ‘favourites’ in the global markets. While MNCS talked about ways to reduce the cost of HIV/AIDS treatment, the Indian pharma firms, leagues ahead of multinational competition, walked the talk. As a result, the cost of treatment crashed from 15,000 dollars per year to 140 dollars per year, thanks to their consistent efforts to push prices down further. The domestic majors — Cipla, Ranbaxy and Matrix — stole the show as they inked an agreement with the Clinton foundation HIV/AIDS initiative for supplying anti-retrovirals at one-third to half their current price. Besides, the wto drug deal allowing supply of life saving drugs to poorer countries was also a beneficial development for Indian pharma companies, which make cheaper generic versions of patented drugs. Going global gained increasing acceptance among pharma firms in the country. Ranbaxy has successfully transformed itself into a global outfit with about one-third of its sales coming from exports. Apart from managing the regulatory environment abroad smartly, ranbaxy’s product portfolio, too, paid huge dividends. Leading the charge in the United States has been cefuroxime anxetil, an antibiotic, earlier patented by glaxo-smithkline as ceftin. Set to cross the global sales target of one billion dollars in the next three-four months, Ranbaxy bought out RPG aventis AG in France for 70 million euros — the third biggest purchase of corporate India ever. At the fag end of the year, the city-based drugmaker faced charges of price fixing of amoxicillin, one of Britain’s most common drugs, when London-based public-funded national health service decided to sue its wholly-owned subsidiary in UK among seven major pharma firms for 30 million pounds. Denying the allegations, Ranbaxy intended to defend legal proceedings vigorously. Unlike Ranbaxy, another domestic giant Dr Reddy’s Labs (DRL) had a tough tough time in the US market as its biggest product fluoxetine (anti-depressant) faced intense competition. However, valuation of the Hyderabad-based company appreciated, thanks to the launch expectation of hypertensive drug amlodipine maleate, equivalent to Pfizer’s 3.6-billion dollar brand norvasc. DRL — which inked a pact with eastern Europe’s largest drugmaker Pliva for the development and marketing of 11 oncology products —became the first Indian pharma firm to receive the US food and drug administration approval for a new drug application and is set to unveil the drug in the US and equip itself for a Europe launch upon expiration in the supplementary protection certificate in March next. And the country cheered on Dr Reddy’s when it flashed the news of reaching the market with its own molecule within this decade. With their generic foray into regulated markets, the domestic pharma firms, seemingly, adopted the maxim ‘make hay while the Sun Shines’. Barring the high-margin US markets, Europe, which has a low generic penetration, became an attractive destination for them. In the acquisition spree of pharma majors, Zydus Cadila found its way into the European generic market by acquiring the formulation business of Alpharma france — the French affiliate of one of the world’s largest generic drugmakers — for a consideration of 5.5-million euros. With it, Cadila got access to UK, Germany and the Netherlands markets. Mumbai-based Wockhardt introduced India’s first recombinant human insulin, making it the first Asian country to develop, manufacture and market it. Wockhardt which has been granted the exclusive marketing rights for its topical anti-bacterial drug nadoxin by Indian Controller General of Patents and Trademark, acquired CP pharmaceuticals of the UK for Rs 85 crore to become the largest Indian pharma company in Britain. Back home, they faced some hiccups. But all is well that ends well. That has been the maxim for the Indian pharma industry in 2003, which grew mainly on exports, paved the way further to conquer international markets and hedged against the impending product patent regime by increasingly looking at alternate revenue sources like ‘contract manufacturing’ and ‘marketing licensed products’. After beginning the year on a dismal note, the domestic pharma sector recorded a 9.1 per cent growth in November, the highest-ever in the past 16 months, with drugmaker majors riding on their global exploits and a healthy run in the stock markets. After a lull in March ‘03 quarter, fortunes reversed with most of the companies recording high growth in the following quarters and increasing the R and D spending in view of the new marketing scenario post-2005. The notable exception was morepen. Once touted as pharma giant in the making, Morepen faced its biggest crisis ever. After failing to tap the loratadine market, it amassed debts of Rs 600 crore. Amid more pain than glory, the Rs 500-crore firm needs a miracle to save itself. Again over ‘data exclusivity’, multinational drugmakers, reaping rich harvest in India, and their coounterparts were at Loggerheads. MNC pharma firms say wto guarantee data exclusivity, but the domestic companies do not agree. While domestic formulations constituting 60 per cent of the sector sales had a modest growth, bulk drug outsourcing emerged as a big revenue generating opportunity. Nicholas Piramal, announced its plans to commence clinical trials of semi-synthetic anti-cancer drug called NP102, entered into an outsourcing deal to sell eyecare products to US-based advanced medical optics. The Ranbaxy-Glaxo R and D tie-up, Orchid’s Cyclosporin supply agreement with US-based Apotex, Roche scientific’s marketing pact with the city-based Taksal pharma and Lupin promoters’ dilution of stake in the company were the other major corporate developments of the year. And the Rs 25,000-crore pharma sector received a shot in the arm when the Government decided to provide death penalty for those involved in manufacturing, selling and dealing with fake drugs. The move signified economic impact too, as the industry loses about Rs 3,000-4,000 crore every year because of spurios drugs. The benevolent price control regime promised in the 2002 drug policy remained subjudice in the Supreme Court on a special leave petition filed by the Union Government challenging an earlier Karnataka High Court order quashing the policy. The national pharmaceutical pricing authority directed many pharma companies, including Ranbaxy and Cipla, to pay half the amounts they allegedly overcharged on seven controversial bulk drugs. The industry, eagerly awaiting the outcome of the new drug policy, hoped it in the place by February next. (UNI) |
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2003: Sensex outperforms almost
all global MUMBAI, Dec 28: When year 2003 started, not even the most astute analyst would have predicted the kind of ‘dream run’ which the capital market was poised to see in the coming 365 days. Coming after the heart breaking performance of the past two years, investors had hoped that this would be the turn-around year, that things would finally look up. But at the end, 2003 turned out to be more that just a good year. As it progressed, the premier indices just grew from strength to strength, mowing down one psychological barrier after another, like a scythe through a ripe field. No mistaking that year 2003 will go down in the history of the Indian stock markets as a red-letter year. Strong economic fundamentals and ‘feel good’ factor stoked the fires at the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE), especially between April and December. By the end of the year, the premier 30-stock BSE sensex, fatter by 2,322 points, had outperformed almost all the global stock barometers. Backed by fundamentals like a good monsoon, low inflation rate, good corporate results almost throughout the year, an appreciating rupee, foreign exchange reserves touching the 100 billion dollars mark, good rate of growth of the GDP and the Indo-Pak peace initiatives, Foreign Institutional Investors (FIIs) went into a buying frenzy in the Indian equities and debt market. The benchmark BSE sensex blasted past the 5,000 mark after a 45-month gap on November 3 and crossed yet another psychological mark of 5,700 points to a high of 5,705 points on December 26. Not to be left behind, the NSE CNX Nifty did its own jig and set its own records, crossing the 1,800-mark and hit an all-time high of 1,840 the same day. In year 2003, the 30-stock sensex became bloated by about 96 per cent from its low of 2,904.44 points on April 28 to 5,700 points on December 26 and registered an overall gain of of 69 per cent since January 1, its highest-ever in a single year. The CNX Nifty of the National Stock Exchange (NSE) also jumped by 99.67 per cent from its April low of 920 points and 68 per cent from previous year-end close of 1,093.50 points. Both the sensex and Nifty’s performance were higher than major global indices including the US Nasdaq which rose by 44 per cent, Japanese Nikkie (18.5 per cent), Hong Kong’s hang Seng (35.1 per cent), US Dow Jones (20.4 per cent) and UK’s Ftse (10.9 per cent). Such was the bullishness of the FIIs on the Indian markets this year, that by December-end, they had poured in funds in the equity and debts market to the tune of about Rs 34,729 crore (about US 7.5 billion) (as on Dec 28), the highest in the decade since the market was opened up to foreign funds, and nine times higher than net investment of Rs 3,677 crore (USd 763.5 million) in the entire 2002. For the first quarter of the year, the premier indices hovered in the 3000 belt. Opening on a cautious note, in the first four months, they took a beating from the bearish global markets on persistent fear of a war in the middle east and a surge in oil prices. April saw the sensex going even below the psychological barrier of 3000 points. The general budget with its thrust on infrastructural development, tax reform, as well as the and other capital market friendly measures like replasing the dividend tax for equity holders by distribution tax, improvement in export and industrial production, provided some economic stimulus for the capital market. April-end saw the Iraq war coming to a close followed by the SARS epidemic in the fast eastern nations affecting trade and investments, though India remained largely immune to it. April’s fall was mainly due to the devaluation of the technology stocks which began on April 10, the day it Bellwether infosys announced its results. A mere 1.05 per cent rise in its net profit for the quarter sent the sensex crashing by about 106 points on that day. The sensex dipped by 472.84 points or 14 per cent to the year’s low of 2904.44 on April 28, while the Nifty shed 173.50 points or 15.86 per cent from the year end 2002. However, markets overcome the early blushes and bounced back with vehemence in May. From thereon, there was no turning back for the premier indices. The sharp rise and the BSE sensex piercing the 3,600 mark (May-July) prompted the Finance Ministry to check whether the rise was in keeping with the economic fundamentals. Market confidence was further boosted by two other events in the year—the Reserve Bank of India (RBI) slashed interest rates to a 33-year low of 6.00 per cent in the first half credit and monetary policy on April 29 which enabaled corportes to reduce their interest burden and improve profitability, and a higher GDP projection of 6.5-7.0 per cent from 6 per cent earlier by the central bank in the second half monetary policy on November 3. A whopping foreign fund inflows at Rs 34,729 crore during the year, nearly nine times higher than Rs 3,677.7 crore of the previous year and the highest in any single year since local markets were opened to foreign portfolio investments a decade ago, was the main froces that driven the markets up and boosted the general sentiment. July saw corporates announcing that their earnings had picked up in the quarter gone by. Infosys was back with some good news when it announced a 28.25 per cent rise in net profit to Rs 2.78 billion. While in August, the sensex gained by another 429 points, in the next month, it vaulted by 128 points. September also saw an overall rally in the market as the sensex neared the psychological 4500-mark, closing the month just below, at 4453 points. The upgrade on the outlook of India’s long-term foreign currency rating by standard poor’s to stable from negative that reflected the nation’s improving external finances also contributed its share to the ever-rising markets. In the PSU sector, shares riding on hopes of early disinvestments, got a brief setback after Supreme Court, on September 24, slammed the brakes on divestment of the oil PSUs sale without explicit Parliament approval. However, PSU shares recovered shortly after the Apex Court agreed to consider its early verdict. Huge dividend payouts by ONGC, HPCL and others also helped public sector stocks to SAIL along with the overall markets. The securitisation act and financial restructuring boosted the banking stocks as banks bettered their earnings results during the year. The in-principal approval to increase the FDI limit in private banks also cheered the banking counters. Shares of software, cement, steel, autos, textiles, and almost all sectors also witnessed sharp upswings during the year on increased sales report and rural demand as well as price hike, on the back of the monsoon-fed rural economic growth. While hotel shares surged in the second half on improved occupancy rate and profitability, shipping shares became sexy on increasing freight rates. The festive season of October saw yet another crop of bountiful corporate results adding to the market cheer. The sensex was up by 451 points but much to the disappointment of investors, the month closed a tad bit below the magical 5000-mark at 4906 points on October 31. In November, after a long period of positiveness, the FIIs turned net sellers. Net FII investment declined to Rs 31.95 billion in November from Rs 68.63 billion in the previous month. The derivatives segment, too, saw a 16 per cent decline in turnover to Rs 1921 billion (November 2003) from Rs 2301 billion (October 2003). But, much to the consternation of traditional stock market pundits, the markets did not peter off in December but only went on to hit some high notes. Historically, it is seen that FIIs inflows go down in the last month but this December was a different story. In the first fortnight of the month itself, FIIs pumped in US 585.8 million dollars in comparison to US 88.3million in December 2002 and US 52.1milllion the year before that. What also helped towards the end of the year to prop up the markets were the peace-initiative by the arch rivals India and Pakistan, by announcing a cease-fire from November 25 midnight. The victory of the BJP-led ruling alliance in the assembly elections held in early December which ensured the political stability and ongoing economic reforms, also lifted market sentiments to some extent. Among the sectoral indices, the BSE-PSU jumped by a whopping 134 per cent to 3,692 from 1,578, the Bankex 102 per cent to 2,714 (1,343), the BSE-100 gained 79 per cent to 2,980 (1,664) and the Bsetech rose 40 per cent to 1,275 (912). If analysts have to be believed, the outlook on the short-term continues to be bullish with the Q-3 results which would start trickling in from early January, most of which are expected to be reflect the impact of a good monsoon and higher foreign portfilio allocation in the new year on the back of strong economic fundamentals. (UNI) |
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JN port workers resist foreign bidders for third terminal MUMBAI, Dec 28: The workers union - Nhava Sheva Bandar Kamgar Sanghatana (Antargat) - at Jawaharlal Nehru Port Trust (JNPT) has requested the Shipping Ministry to take a consensus decision and reconsider the re-development of bulk terminal into container terminal due to national security reasons. The workers union also requested to work out a plan to convert this under-utilized bulk terminal into container terminal through internal resources of JN port. According to Nhava Sheva Bandar Kamgar Sanghatana (Antargat) general secretary and JNPT labour trustee Bhushan Patil, allowing a foreign-based authority - who are keeping all their information highly confidential - to operate from JNPT is a very dangerous and highly risky thing. "We are in favour of the conversion of bulk terminal into container terminal, but it should be done by JNPT itself through its internal resources. As there is guaranteed business and guaranteed profit, it will be economically beneficial to JN port as well as the country", Mr Patil said. Recently in oil industry the divestment process has been deferred on the ground of strategic industry. In fact, the port industry is more sensitive than oil industry, because it is second line of defence after Indian Navy, pointed out Mr Patil. "Keeping in view the national security angle, the vital installations such as air force based at Sheva itself, Naval armament depot at Uran Karanja (INS Tunir), ONGC, Uran (Bokadvira) power plant, barc which are in the close vicinity of JN port, allowing a foreign-based authority to operate from JNPT is a very dangerous and highly risky thing", Mr Patil said. Meanwhile, the bidding process of the conversion project is in full swing and the JNPT board is nearing to announce the winner of the project by next month. . Amidst protests raised by Western India Shippers Association (WISA), Bombay Chamber of Commerce and Industry (BCC I), Mumbai and Nhava Sheva Ship Agents’ Association (MANSA), All India Port Dock Workers Federation on the bidding process of conversion of bulk terminal into container terminal, JNPT board is all set to go ahead without any change of mind. Currently, there are five bidders in the fray bidding for the new and third container terminal at the port. Mr Patil also requested the Government to take immediate steps to augment the equipment at the port. Mr Patil said, "the equipment of JN port were purchased in the year 1989. Though some action for augmentation of equipment is in process, concrete action plan for replacement of all these equipment shall be made and followed strictly so that the port can perform better and compete with any other international port". Referring to the issue of disbursement of 12.5 per cent land to Project Affected Person (PAP), Mr Patil said that the issue is pending since long time and the same is required to be sorted out at the earliest. "The reserved land should be disbursed to the project affected persons at the earliest", he said. Regarding the augmentation of equipment, JNPT chairman Ravi B Buddhiraja said that the port has already placed orders for 12 new RTGCS (rubber tyred gantry tyres) and first four RTGCS will be reaching by May 2004. Meanwhile, Nhava Sheva Bandar Kamgar Sanghatana (Antargat) president Ganesh Gharat said that the JNPT board has formulated a scheme for welfare of employees and their dependents on 10th anniversary of Jawaharlal Nehru port. In this scheme Rs 50-lakh are deposited and small schemes are framed. These schemes are still pending with ministry for approval since last one and half year, Mr Gharat said. He also mentioned that the PLR (Productivity Linked Reward) for the year 2002-2003 is still not paid to the workers and he sought an early settlement of the same. "The family members of about 14 employees who died while in service with JNPT are still waiting for their rehabilitation", he noted. (UNI) |
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Call rate seen easy G-secs to stay range-bound MUMBAI, Dec 28: Government bond prices are likely to stay in a narrow range, amid dull trades with players waiting for fresh triggers, money market dealers said. The rising inflation and lack of any trading incentives, would keep large players on sidelines, though thin buying could push up select bonds, especially in long maturity. The interbank call rate is expected to stay easy at sub-repo level during the week on comfortable liquidity, supported by strong forex route inflows following the central bank’s intervention in the foreign exchange markets to cap the rupee’s appreciation, they added. During the previous week, call rate ruled in an easy range of 4.25-4.40 per cent on subdued demand for funds on the second week of the reporting fortnight. Call rate closed at 4.25-4.50 per cent. Reflecting the ample liquidity, the Reserve Bank of India (RBI) received huge subscriptions to the repo auction (about a daily average of Rs 27,000-crore) during the week. Government bond prices which stayed range-bound initially during the week staged a smart rally on friday on fresh buying support despite the rising inflation. Dealers said although inflation rose to 5.57 per cent from 5.38 per cent, it was lower than market expectation and cash-flooded banks and mutual funds bought bonds, especially long-term. The ten-year yield finished at 5.11 per cent, four basis points lower than its previous week’s close of 5.15 per cent. (UNI) |
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India, Lanka to be linked by
direct landline, RAMESWARAM, Dec 28: India and Sri Lanka will come a step closer with the launch of direct landline and mobile phone facilities between the two neighbours via Rameswaram-Talaimannar, tomorrow. A Memorandum of Understanding in this regard had been signed between the Bharat Sanchar Nigam Limited and the island nation’s SLT. Two 80m-high microwave towers, which had been installed at Rameswaram and Talaimannar for the purpose, were on trial run. Sri Lankan Telecommunication Department Chief Administrative Officer Sukel Anen, who was here to oversee preparatory works for the launch, told reporters here yesterday that the video conferencing facility between Colombo and New Delhi would also be launched tomorrow. (UNI) |
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Electronic component exports grew 25.75 pc in 1997-2003 NEW DELHI, Dec 28: The export of electronic components from India grew by 25.57 per cent annually between 1997-98 and 2002-03. In 2002-03, electronics exports touched Rs 2400 crore mainly because of increased outsourcing from India by multinational companies, according to electronics and computer software Export Promotion Council (ESC). ESC said European union countries took 42 per cent of total exports in 02-03 followed by Singapore, Hong Kong and neighbouring countries at 23 per cent. Exports of electronic components to EU countries were up 48 per cent year-on-year in 02-03 and touched Rs 1002 crore while for Singapore, Hong Kong and neighbouring countries exports went up by 21 per cent to Rs 562 crore. The exports of components to US and Canada in 02-03, however, were down 32 per cent as compared to 01-02 to Rs 405 crore. US and Canada are now the third largest destination for Indian electronic components. They occupied second position in 01-02. Middle east countries took Rs 181 crore worth of electronic components from India and accounted for 7.5 per cent of total electronic component exports. Japan, Korea and the countries of the region accounted for five per cent of electronics exports from India at Rs 112 crore. (UNI) |
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S’pore PM pins retirement timing to economy:Report SINGAPORE, Dec 28: Singapore Prime Minister Goh Chok Tong said he would be comfortable about stepping down in favour of chosen successor Lee Hsien Loong if the economy grew three to four percent, the Sunday times newspaper reported. Goh, who has been Prime Minister since 1990, chose Deputy Prime Minister Lee in August to succeed him, saying the transition could occur before the next general election due in 2007 and possibly even in 2004 if the economy recovered. The newspaper quoted Goh as telling reporters on Saturday he would decide after the first quarter of 2004. "Political transition is on track. At the moment, I am open. I do not have any date in mind," Goh said. The Government’s official forecast is for gross domestic product growth of 0.5 to 1.0 percent in 2003, rising to between three and five percent next year. (AGENCIES) Kohima airport plans hit roadblock after feasibility report KOHIMA, Dec 28: The much-hyped airport project at Kohima received a big jolt when the committee entrusted with feasibility report preparation maintained that the project was not financially viable. The proposed Kohima airport’s feasibility report was submitted to Civil Aviation Ministry recently, according to official sources here. The adverse report has thrown into cold-water the efforts to come up with an air linkage to Kohima, which is one of the few state capitals in the northeastern region that do not have air links with the rest of the country. Disappointed by the adverse report, Nagaland Chief Minister Neiphiu Rio said, "if we look at it from this point of view, than any airport in the north-east is not financially viable because of the region’s rugged terrain. But we have to come up with it." The Chief Minister early this week went to New Delhi and met Civil Aviation Minister Rajiv Pratap Rudy and had discussion with him on the issue. Mr Rudy is expected to visit Kohima next month, sources informed and added that Defence Minister George Fernandes is also likely to make a trip in January to lay the foundation of the first-ever sainik school in the state. The airport project at Kohima was a part of the Nagaland People’s Front (NPF)-led Democratic Alliance of Nagaland coalition’s common minimum programme, mooted out before the February 26 assembly polls in the state this year. Earlier, Nagaland had a helicopter service, but that too was suspended following a crash. (UNI) |
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