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| Services sector continues to put up impressive performance NEW DELHI, Oct 2: Services sector, which contributes close to half of india’s Gross Domestic Product (GDP), continued......more Encouraging
response NEW DELHI, Oct 2: Buoyed by encouraging response from its promotional schemes, Indian Airlines (IA) has launched......more US may
lift restrictions LONDON, Oct 2: The US may lift restrictions imposed on exports of high-technology items to India, External Affairs.....more Oman looks
up for SUR (OMAN), Oct 2: Oil and gas rich Oman has evinced interest in acquiring a stake in the Indian oil marketing majors —......more |
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ONGC pays 135 M to cairn for exploring two blocks NEW DELHI, Oct 2: Scottish explorer Cairn Energy has announced that signing a heads of agreement with Oil and Natural.....more India to
sign a major NEW DELHI, Oct 2: As part of its ‘look east’ policy, India will sign with the ten-member ASEAN a major ‘framework......more Gold
prices strengthens MUMBAI, Oct 2: Gold prices opened with a good note of bettering of Rs 10 each for 99.9 purity variety and 99.5 purity....more Services
sector continues NEW DELHI, Oct 2: Services sector, which contributes close to half of India’s Gross Domestic Product (GDP), continued on high growth trajectory in the first half of 2003-04 fuelled by cellular......more |
Services sector continues to put
up NEW DELHI, Oct 2: Services sector, which contributes close to half of india’s Gross Domestic Product (GDP), continued on high growth trajectory in the first half of 2003-04 fuelled by cellular phone industry, housing finance, software exports and project consultancy. A survey of eleven services industry sectors by CII-Ascon reveals five recorded excellent growth of more than 20 per cent, five recorded high growth of 10 per cent and above and only one had negative growth in H1 of 03-04. Sectors reporting excellent growth and high growth have gone up from three to five in the second quarter (July-September 2003), as compared to the corresponding quarter last year. Cellular services with a growth of 180 per cent, housing finance with a growth rate of 35 per cent, project consultancy with 43 per cent and software exports with a growth of 40 per cent are the ones which achieved excellent growth. The CII-Ascon survey reveals an increase in the housing finance sanctions of 35 per cent, as against 34 per cent during the same quarter last year. The growth is attributed to the result of Government’s commitment to create better housing facilities. With the incentives provided in the budget, the amount of housing finance would increase during the next six months, according to the survey. The survey also reveals that the present growth rate of the cellular services sector would continue over the next few months. The software industry also registered excellent growth with software - both domestic and exports - registering a growth of 20 and 40 respectively. It is distinctly higher than the corresponding quarter last year and the trend is expected to continue with its upward march. The CII-Ascon survey reveals that construction sector recorded a high growth rate of 14 per cent on production and an impressive 43 per cent growth on exports. Gradual improvement in infrastructure has gradually led to the sustained high growth of the construction sector. According to the survey, other sectors, which registered high growth, are air cargo transportation, which includes export cargo and import cargo and hotel and tourism. While air cargo transportation has recorded a growth of 13 per cent, export cargo and import cargo have recorded a growth of 14 per cent and 13 per cent, respectively. Hotels and tourism recorded a growth of 13 per cent. According to the survey, the sustained growth in the export and import cargo reflects India’s rising imports and exports. The tourism industry maintained a high growth with tourist arrivals increasing by 13 per cent. It will be pertinent to note that the tourist arrival was 12 per cent during the first quarter of this year. According to the survey, occupancy in hotels are expected to maintain the current growth trends. The leasing industry, however, again turned in a poor performance, registering a negative growth of 3 per cent. The main reason for the poor showing, according to the survey is RBI s restrictive policies, which curtails the growth of NBFCS drastically." According to the survey, there are some key issues, which need to be addressed in certain sectors for the industry to continue its impressive surge. The survey suggests improvement of cargo complexes to ensure smooth movement of cargo and single point Government tax for hotel industry. The survey also suggests service industry status for courier services and it related initiatives. (UNI) |
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Encouraging response to
IA’s promotional NEW DELHI, Oct 2: Buoyed by encouraging response from its promotional schemes, Indian Airlines (IA) has launched two new packages — smart voyager 12 and smart voyager 3. The first one is in association with Air India. A passenger taking 12 flights during October 1 and December 31 between the six metros — Delhi, Mumbai, Kolkata, Chennai, Hyderabad and Bangalore — will get one assured free return economy class ticket to the United States or to any other international destination. The second scheme is in colloboration with Air France. It entitles a passenger who undertakes a minimum of three domestic flights during the validity period for a lucky draw. The first prize comprises a holiday package to Paris for three nights and four days for two on Air France. There are 50 more prizes under the SU-3 package, each in the form of a free return economy class ticket on Indian Airlines International or domestic sector. "These schemes are designed to stimulate market and change brand loyalty from competitors," said ia’s General Manager for marketing division Manjira Khurana. She said the response to domestic airliner’s promotional schemes has been good despite the fact there has been no addition in seat capacity. An analysis of IA’s passenger traffic in calender 2003 on month-to-month basis shows there has been an upsurge in the year-on period, Ms Khurana said. This is despite unprecedented expansion in seat capacity and additional flights by its competitors Jet Airways and Air Sahara, she said. About three weeks ago, Air Sahara increased its seat capacity by 30 per cent by adding 24 new flights to its network. It now operates 103 flights daily, offering 11,292 seats to 20 destinations across the country. Ironically, she said, the overall market growth during this period has been miniscule. Ia operates 200 flights daily. Together with its subsidiary Alliance Air, Indian Airlines carries a total of over 7.5 million passengers annually. About a week ago, ia introduced new deals for travel to Malaysia, Kathmandu and Sharjah. These holiday packages involve air travel, hotel accommodation, surface transportations and sight-seeing. Known as flyaways, they offer a single window convenience to a passenger to shop for his travel, hotel stay, sight-seeing, food and local transportation requirements in one go. The packages also offer a wide range of hotels to suit the individual budgets. (UNI) |
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US may lift restrictions on Hi-tech exports to India: Sinha LONDON, Oct 2: The US may lift restrictions imposed on exports of high-technology items to India, External Affairs Minister Yashwant Sinha has indicated. "We have made considerable progress in talks with the US administration to lift restrictions on high-technology exports to India," the External Affairs Minister, who was returning from a trip to New York, told the `Financial Times’ in an interview published today. In spite of a warming of ties with the US over the last four years, India continues to resent strict US export controls on "dual use" technology to India - products that could be converted for military use. "`Dual use’ can get so ridiculous, meaning things such as nuts and bolts," Sinha said. "If these restrictions are maintained, it is preventing the US taking advantage of our high-technology market," he said. The restrictions have hindered the growth of India’s civilian nuclear and space programmes and its booming domestic information technology sector, the daily noted. India will sign an agreement next week with the 10-member association of South East Asian Nations (ASEAN) leading to the creation of a full free trade area within a decade, he said. The framework agreement had been negotiated over the past year, and would be signed next week at the ASEAN summit in Bali, Indonesia. India is also close to signing bilateral trade deals with both Singapore and Thailand, he said. "We are getting much more deeply engaged in South-East Asia. This will certainly boost our trade and economic relationship with the region," Sinha said. According to the report progress on negotiating the framework agreement with ASEAN has been unusually rapid by Indian standards, in a sign of the importance of the deal to both sides. India has watched with some misgivings neighbouring China’s dramatic trade growth with ASEAN over the past decade, the newspaper observed. Quoting Indian officials, the report said ASEAN also wants to counter-balance China’s growing economic dominance of the region by strengthening ties with a market the size of India. Indian exports to ASEAN were 4.8 billion dollars last year, just 8 per cent of its total exports. It could rise sharply, the report quoting officials said. Sinha said "if we have regional trading arrangements with ASEAN, they will become beneficiaries of lower tariffs with India." (PTI) |
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Oman looks up for investment in HPCL, BPCL if privatised SUR (OMAN), Oct 2: Oil and gas rich Oman has evinced interest in acquiring a stake in the Indian oil marketing majors — Bharat Petroleum Corportion Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) — consequent to their disinvestment. "We are keenly watching the developments regarding HPCL and BPCL and are interested in investing in both companies if they are privatised," Oman’s Commerce and Industry Minister Maqbool Ali Sultan told newspersons on the sidelines of the foundation laying ceremony of Indo-Oman fertilizer project here yesterday, the first mega joint venture between the two countries. However, the fate of both Indian public sector companies is likely to be decided at tomorrow’s meeting of the Cabinet Committee on Disinvestment (CCD). The Government, which was earlier determined to push through with disinvestment process, has lost much of steam following the Supreme Court verdict, suspending the privatisation programe of these public concerns, and now it (the Government) is considering legal options for going ahead with the proposed disinvestment. Oman’s interest in investing in the Indian hydrocarbon sector is manifested by the agreements to set up a 1-billion fertiliser project in Oman in collaboration with coopperative giants — IFFCO and Kribhco. Replying to a query of his country’s disengagement from the bina refinery project, the minister said, "Oman disengaged from the Bina refinery project as it was overdelayed, losing its commercial viability." "We never withdrew from the project but it was delayed because of some factors in India.....Our interest in this sector has not waned," he added. The Dhabol power company, currently facing uncertainity, had also signed an agreement to buy 1.6 million tonnes of lng every year from Oman. Ruling out the Indo-Oman gas pipeline project, conceived several years ago, the minister said the project cannot be revived now. Speaking at the ceremony, Indian Chemicals and Fertiliser Minister Sukhdev Singh Dhindsa also made an appeal to the Omani Government to come forward to invest in India, specially in the chemical and hydrocarbon sector for the mutual benefit of both the countries. "We have conducted studies of various projects in India and interested to invest in industrial, pharma and it projects there," the Omani minister said. But Oman is looking for safe and feasible investment as in the case of Indo-Oman fertilizer project, the entire produce of which would be purchased by india for 15 years at a pre-determined rate, enabling the plant to generate profit after six months of its commissioning in 2005 . Oman will supply 4 million standard cubic metre of gas to the project daily at almost one-fourth of the price prevalent in India that would enable the plant to cross break-even point virtually from the day one of its operation. Revealing their investment strategy, Oman’s Commerce and Industry Minister said his country wanted "to achieve economic diversification and minimising dependence on oil .. Our industrial strategy is based on the energy-intensive industrial projects that are capable of attaining high added value as a result of economic utilization of natural gas." Oman with a population of only 2.5 millions has abundant reserves of natural gas and oil and its half of the GDP comes from oil and gas. With major exports of oil and gas, it has surplus trade at 6 billion US dollars. Traditionally, Oman has been the major importer of Indian goods from machinery to coffee and rice with total trade hovering around 275 million dollars with Oman exports at mere 25 million dollars a year. But with some other countries, particularly China replacing Indian goods in Oman, the only option left for Indian companies is to form joint ventures with the Omanian couterparts, said Mr Talmiz Ahmed, Indian Ambassador in Oman. Major Omanian companies that formed joint venture with Indian companies include Hyderabad-based Shantha biotechniques, software company OCS international at Bangalore and furniture manufacturer Zubir group and Nisma Aircon International in Chennai. (UNI) |
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ONGC pays 135 M to cairn for exploring two blocks NEW DELHI, Oct 2: Scottish explorer Cairn Energy has announced that signing a heads of agreement with Oil and Natural Gas Corporation Limited (ONGC) for the farming-out of two assets to ONGC at a cash consideration of 135 million dollars, the farming-in of two exploration blocks from ONGC, and the formation of a strategic alliance for future opportunities. The proposed transaction with ONGC is subject to finalisation of mutually acceptable sale and purchase agreements between the parties and approval by the Government of India, the company has said. Cairn will farm out 90 per cent operated interest in the deepwater exploration block Kg-DWN-98/2 to ongc with an effective economic date of September 30, 2003. Cairn will retain operator ship of block Kg-DWN-98/2 until the closing date, following which ONGC will assume operator ship under the terms of transfer of operator ship agreements to be agreed between Cairn and ONGC, an announcement by the Cairn Energy said last night. Besides this, Cairn Energy will also farm out 15 per cent exploration interest in block CB/OS-2 in the western offshore and 10 per cent interest in the Lakshmi and Gauri development areas to ONGC with an effective economic date of 1 January 2003. The farm-in by Cairn from ONGC of a 30 per cent interest in each of blocks GV-ONN-97/1 onshore northern India and CB-ONN-2001/1 onshore Gujarat western India, with an effective economic date of 30 September 2003. Cairn will pay to ONGC a cash consideration equivalent to the economic monetary value of the blocks as assessed by ONGC at the time of bidding for the farm-in interests (evaluated by Cairn). ONGC will pay to Cairn a cash consideration of 135 million dollars for the farm-out interests. The cash consideration will be adjusted to reflect net working capital movements between the respective effective economic dates and the closing date and will provide Cairn with additional funds to progress projects in its core area of south Asia. Cairn and ONGC have also submitted joint bids for three blocks onshore Gujarat in the Nelp-IV licensing round. If successful, Cairn will retain 30 per cent interest in these blocks and ONGC will be the operator. Cairn retains its 50 per cent operated interest in exploration block Kg-OS/6 offshore eastern India and is currently planning to re-drill prospect six on that block. An active drilling campaign on block Kg-DWN 98/2 is also planned for 2004. Delighted with the new relationship with ONGC, Mr Bill Gammell, chief executive of Cairn said that the farm-out of discovered and producing interests is consistent with our strategy of both creating and realising value from exploration success. This transaction also significantly augments our onshore acreage position in India. "We are delighted to reinforce the equation with Cairn through a strategic alliance, to add value from opportunities in India and abroad. These transactions will synergise the competencies of ONGC and Cairn and enhance our cost efficiencies," Mr Subir Raha, chairman of ONGC said. Cairn currently holds a 100 per cent operated interest in block Kg-DWN-98/2, which was awarded pursuant to the first round in India s newexploration licensing policy. It is a deep-water block located in the Krishna-Godavari basin offshore eastern India in which water depths range from approximately 300 to 3,000 meters. Cairn signed a Production Sharing Contract (PSC) for the block in April 2000 following which it conducted an extensive exploration campaign resulting in several hydrocarbon discoveries during 2001. During 2002, Cairn completed a detailed subsurface technical review of the results of the exploration programme with a view to seeking a partner to optimise plans for future exploration, appraisal and development activity on the block. The value of this block is assessed at 61.4 million pound. Cairn signed a PSC for block CB/OS-2, which is located in the Gulf of Cambay offshore western India, in June 1998. Cairn currently holds a 75 per cent exploration interest in the block and is operator for the joint venture, which also includes Tata Petrodyne Ltd (15 per cent) and ONGC (10 per cent). ONGC has a right to increase its stake by 30 per cent in the event of a commercial discovery on the block and has exercised this right in respect of the Lakshmi and Gauri development areas. The current equity interests for these development areas are therefore Cairn 50 per cent, ONGC 40 per cent and Tata Petrodyne 10 per cent. The Lakshmi gas field commenced production in November 2002 and average production from the field during the first half of 2003 was 106 million standard cubic feet of gas per day. Development of the neighbouring satellite Gauri gas field is currently underway with production expected to commence in the first half of 2004. As on June 30, 2003, the carrying value of block CB/OS-2 on the Cairn balance sheet was 103.8 million pounds. Operating profits attributable to the asset during the first half of 2003 were 16.4 million pounds. Block CB-ONN-2001/1 occupies an area of 210 square kilometers in the heart of the productive Cambay onshore basin and was awarded to ONGC in the Nelp-III bid round. Cairn also bid for this block in Nelp-III. ONGC currently holds a 100 per cent operated interest in the block. Block GV-ONN-97/1 occupies an area of 36,750 square kilometres in the virtually unexplored Ganga basin adjacent to the Delhi. The block was awarded to ONGC in the Nelp-I bid round. ONGC currently holds a 70 per cent operated interest in the block and Indian oil Corporation holds a 30 per cent interest. (UNI) |
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India to sign a major framework agreement with ASEAN NEW DELHI, Oct 2: As part of its ‘look east’ policy, India will sign with the ten-member ASEAN a major ‘framework agreement’ as a precursor to a free trade arrangement during a regional summit to be attended by Prime Minister Atal Bihari Vajpayee in Bali in Indonesia next week. Vajpayee had suggested at the first India-ASEAN summit last year in Phnom Penh in Cambodia that New Delhi and the grouping should enter into a free trade agreement. "It is matter of great satisfaction to US that the framework agreement for this purpose has been finalised between India and ASEAN and will signed at the second India-ASEAN summit at Bali in a few days from now," External Affairs Minister Yashwant Sinha said earlier this week while addressing members of the harvard faculty in the US Sinha said "this major breakthrough should contribute significantly to an increasing integration of the India-ASEAN economic space over the coming years, including a free trade agreement". Vajpayee would also pay a bilateral visit to Thailand next week in the second leg of his two-nation tour and hold wide-ranging talks on terrorism and other key issues with the Thai leadership. The fight against terror is also expected to figure high on Vajpayee’s agenda during his meeting with ASEAN leaders in Bali. Indonesia is currently the chair of the grouping, which includes Brunei, Cambodia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam. Sinha said India is simultaneously negotiating a free trade agreement with Thailand and a comprehensive economic cooperation agreement with Singapore. "These, along with measures to improve physical connectivity and transportation links such as the India-Myanmar-Thailand trilateral highway and the Delhi-Hanoi railway line, as part of the Ganga-Mekong project, will improve India-ASEAN linkages even further," the minister said while speaking at harvard on the theme "resurgent India in Asia". "With ASEAN engaged in parallel negotiations on free trade arrangements with India, China, Japan and South Korea, we are now perhaps at the threshold of an Asian economic community," Sinha said. Observing that the first phase of India’s ‘Look east’ policy was ASEAN-centred and focussed primarily on trade and investment linkages, he said "the new phase of this policy is characterised by an expanded definition of ‘east’, extending from Australia to east Asia, with ASEAN as its core". The new phase also marks a shift from trade to wider economic and security issues, including joint efforts to protect the sea-lanes for ensuring energy supply line and coordinate counter-terrorism activities, Sinha said. (PTI) |
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Gold prices strengthens while silver dim MUMBAI, Oct 2: Gold prices opened with a good note of bettering of Rs 10 each for 99.9 purity variety and 99.5 purity standard mint while silver prices opened weaker at the local bullion market on subdued demand from industrial users and strong offering by stockists on the back of a bearish overseas advice, traders said. Following were the opening rates of gold and silver at the bullion market here today: silver (per Kg) .999 fineness grade : Rs 8345 (8,350), gold (per 10 Gm) 99.5 purity standard mint: Rs 5795 (5,785), gold (per 10 Gm) 99.9 purity variety : Rs 5,830 (5,820). (UNI) |
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Services sector continues to put
up NEW DELHI, Oct 2: Services sector, which contributes close to half of India’s Gross Domestic Product (GDP), continued on high growth trajectory in the first half of 2003-04 fuelled by cellular phone industry, housing finance, software exports and project consultancy. A survey of eleven services industry sectors by CII-Ascon reveals five recorded excellent growth of more than 20 per cent, five recorded high growth of 10 per cent and above and only one had negative growth in H1 of 03-04. Sectors reporting excellent growth and high growth have gone up from three to five in the second quarter (July-September 2003), as compared to the corresponding quarter last year. Cellular services with a growth of 180 per cent, housing finance with a growth rate of 35 per cent, project consultancy with 43 per cent and software exports with a growth of 40 per cent are the ones which achieved excellent growth. The CII-Ascon survey reveals an increase in the housing finance sanctions of 35 per cent, as against 34 per cent during the same quarter last year. The growth is attributed to the result of Government’s commitment to create better housing facilities. With the incentives provided in the budget, the amount of housing finance would increase during the next six months, according to the survey. The survey also reveals that the present growth rate of the cellular services sector would continue over the next few months. (UNI) |
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ADB and IFC to raise funds from Indian market soon MUMBAI, Oct 2: Marking a reverse trend in the history of listing, two multilateral development finance institutions namely Asian Development Bank (ADB) and International Finance Corporation (IFC) will be permitted to raise money from Indian security market, Securities and Exchange Board of India (SEBI) chairman G N Bajpai informed. "Reversing the trend of Indian companies going outside markets like New York stock exchange or other markets, SEBI is facilitating foreign companies to raise money from Indian market. Already,SEBI has given go ahead to ADB and IFC to raise money from our market", Mr Bajpai told UNI here. Mr Bajpai was speaking on the sidelines of the foundation stone laying ceremony of their head office building - SEBI Bhavan - at Bandra-Kurla complex here today. The foundation stone was laid by Union Finance Minister Jaswant Singh. Meanwhile, SEBI is planning a world class securities training institute partnered with prominent international training bodies, he said. However, he refused to divulge the details of international organisations involved with the securities training institute. "The securities training institute will be in place with in current fiscal. We had already talked with the international organisations regarding the training institute", Mr Bajpai told UNI. Mr Bajpai informed that SEBI is planning to create common data base by 1st December 2003. This will be in unique nature useful for intermediaries and investors, he added. He said that Central Listing Authority (CLA) will be in place in couple of months. The CLA was constituted on April 9, 2003. The authority comprises eminent persons and is headed by former Chief Justice of India, M N Venkatachaliah. This proposed head office - SEBI Bhavan - will be completed by 2005 January-February. (UNI) |
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Ahold makes 1.2 bln euro net loss in 2002 ZAANDAM, NETHERLAND, Oct 2: Embattled Dutch retailer ahold reported a 2002 net loss of 1.208 billion euros ( 1.41 billion) on Thursday due to special charges related to a profit-overstatement scandal at a US unit. Ahold, the world’s third-largest food retailer, said in a much-delayed statement that 2002 goodwill impairment charges under US Gaap accounting standards amounted to an unaudited 3.2 billion euros, of which 2.7 billion euros was a charge for the US foodservice unit. The owner of supermarket chains such as Albert Heijn in the Netherlands and stop shop in the United States presented the results to its key lending banks on Wednesday night after three postponements for detailed verification of all the paperwork. Ahold said 2002 operating profit before impairment charges, goodwill amortisation and one-off items was 2.145 billion euros. Net sales were 62.683 billion euros, allowing ahold to remain the world number three retailer, behind the US Wal-Mart stores INC and France’s carrefour. Ahold also said it revised its 2001 net profit to 750 million euros from 1.113 billion and the 2000 figure to 920 million euros from 1.116 billion euros. The company reiterated that ahold did not need to draw on the unsecured part of a 3.1 billion euro credit facility due to its current cash flow situation. In 2002 ahold had net cash from operating activities of 2.486 billion euros. There was no consensus analysts’ forecast for the 2002 figure because of big differences in estimates for write-downs and charges. (AGENCIES) |
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Aeon H1 net profit falls 6.6 pc on cool summer TOKYO, Oct 2: Aeon Co Ltd, Asia’s second-biggest retail group, posted a 6.6 percent fall in first-half net profit on Thursday due to tough price competition and a fall in demand due to Japan’s coolest summer in a decade. Aeon, second only to ITO-Yokado Co Ltd in Japan, made a group net profit of 18.42 billion yen ( 166.4 million) in the six months ended August 20 compared to 19.72 billion yen in the same period last year. The company had forecast an 18.5 billion yen profit for the first half, but the result came as little surprise as it had said it was likely to miss its group targets due to falling food prices and unseasonably cool weather. "Slumping sales of seasonal products due to the cool summer and intensified competition in the food sector led to a decline in profit," it said in a statement. Sales for the six months totalled 1.59 trillion yen, up 6.8 percent from the same period a year earlier. For the year to February 2004, Aeon lowered its group net profit forecast by nine percent to 47 billion yen although it stuck to its sales forecast of 3.3 trillion yen. Rival retailers including ITO-Yokado and Seiyu Ltd cut their earnings targets in August after cool and rainy weather in July and early August sapped demand for cold drinks, summer clothes and air conditioners. Aeon has cemented its place at the top of a list of competitors preparing to lock horns with Wal-Mart stores INC of the United States after the world’s largest retailer recently bought a controlling stake in Seiyu. Other top retailers including ito Yokado will report first-half earnings later in October. Ahead of the announcement, Aeon shares closed up 6.19 percent at 3,260 yen, compared with a 2.24 percent rise in the benchmark nikkei average. Aeon’s shares are up around 16 percent so far this calendar year, underperforming a roughly 21 percent rise by ITO Yokado and a 23 percent rise in the nikkei average. (AGENCIES) Dutch food group Numico pulls out of India AMSTERDAM, Oct 2: Dutch food group Numico said on Thursday it had agreed to sell its low-margin Indian activities as it strives to become a high-growth specialised nutrition company. Numico said it was selling Nutricia India to a consortium of four Indian companies led by Mirage Impex Pvt Ltd for an undisclosed sum. The deal is subject to approval by the Reserve Bank of India and expected to close in the fourth quarter. "Nutricia India Ltd is a low-margin start-up operation in dairy and baby food activities, comprising of a production facility in Etah, a head office in Bombay and several sales units in various regions in India," a Numico statement said. "This divestment is in line with Numico’s strategic objective to become a high-growth, high-margin specialised nutrition company," it added. Numico said Nutricia India made a loss before interest, tax and amortisation in the first half of 2003. Debt-burdened Numico, Europe’s largest maker of baby formula and a leader in clinical nutrition, is in the midst of a restructuring drive. (AGENCIES) |
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