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| Anil Ambani unaware of his status in IPCL NEW DELHI, Apr 25: In a new twist to the ongoing controversy over his status on the board of Reliance group Petro....more Sensex up
31 pts as MUMBAI, Apr 25: The Bombay Stock Exchange (BSE) sensex rose further by 31.28 points (0.49 per cent) at 6,377.85....more Standing
Committee NEW DELHI, Apr 25: The Standing Committee on Finance has criticised the Government for short provisioning of the......more Noida to
be developed NOIDA, Apr 26: The Greater Noida Industrial Development Authority (GNIDA) is planning to give a big push to the....more |
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Will Indo-Pak thaw melt into a tourism bonanza? NEW DELHI, Apr 25: The recent thaw in ties between India and Pakistan has raised hopes of the tourism and hospitality.......more Increased
real estate NEW DELHI, Apr 25: Increased real estate rentals and cost of production are leading fashion designers to pass on the......more Reddy
meets PC NEW DELHI, Apr 25: Ahead of the slack season credit policy, Reserve Bank Governor Y V Reddy today met Finance.......more Govt to
strengthen NEW DELHI Apr 25: The Government today said several ambitious steps were being initiated for the re-strengthening of.........more |
Anil Ambani unaware of his status in IPCL NEW DELHI, Apr 25: In a new twist to the ongoing controversy over his status on the board of Reliance group Petrochemical Company IPCL, Anil Ambani today said he was unaware of any step taken by the company. Speaking through his spokesperson, Anil, engaged in a battle over ownership of the Reliance empire, said he was "unaware of any step taken by IPCL board concerning his status as vice-chairman and Director of the company". The spokesperson for Anil, vice-chairman and managing director of the Reliance group, did not take any question on what might have happened at the IPCL board following his resignation letter of January three. Anil’s statement, clearly demonstrating that he was not informed of any decision taken by the board of IPCL headed by Mukesh, comes a day before the board meeting of the company to be held in Mumbai. The now 11-member IPCL board, among other things, will consider the financial results for the year 2004-05. IPCL, in a statement to the bse on Saturday, informed that Anil ceases to be a member of its board following his resignation as vice-chairman and director. Reliance industries spokesperson had told PTI last Saturday that "the letter of resignation tendered by Anil Ambani was considered at the board meeting on January 20, 2005. The resignation having been received by the board took effect and he ceased to be a director on the board. "However, the board unanimously decided to request him to reconsider his decision. The same was informed to the stock exchanges on January 20, 2005," the spokesperson had said in a written response. The Bombay Stock Exchange also does not appear to be satisfied with the communications of IPCL over Anil’s resignation from the company’s board, with a senior official of the exchange saying the matter would be pursued "appropriately". "On the face of it there appears to be a dichotomy in what was conveyed on January 20 and the communication of April 23," the official had said. IPCL, headed by Mukesh Ambani, had communicated to the exchange on January 20 that the Board of Directors at their meeting on that day had considered Anil’s resignation as vice-chairman and director and unanimously requested him to reconsider the same. In his January 3 letter, Anil had accused a co-director Anand Jain of conspiring to divide the family and said it was below his dignity to serve on the same board as Jain. However, the company communicated to the exchange on April 23 by way of a clarification of January 20 letter that "Anil ceases to be a director". The communication was sent to the exchange a day after the company said in a press statement that Anil’s subsequent communication of January 27, where the younger sibling had asked his brother to choose between Jain and him, was "noted" by the company’s board on March 30. (PTI) |
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Sensex up 31 pts as blue chips
extend MUMBAI, Apr 25: The Bombay Stock Exchange (BSE) sensex rose further by 31.28 points (0.49 per cent) at 6,377.85 points today, as blue chips maintained their upbeat trend for the fourth straight session after bouncing back from early lows on fresh buying amid optimism of better corporate results. Market which opened on a bearish note, taking a beating from the weekend fall in US markets and profit booking, rebounded later with banking, software and consumer durables leading the rally on renewed buying, brokers said. The 30-stock sensex which opened eight points lower at 6,338.67 and further slipped to a low of 6,308.48 points, later spurted 83 points to hit a high of 6,391.73. The BSE-barometer closed at 6,377.85 points, up 31.28 points or 0.49 per cent from its weekend close of 6,346.57 points. The CNX nifty of the National Stock Exchange (NSE) also moved up by 3.6 points (0.18 per cent) to end at 1,970.95 points, after recovering from a low of 1,952.40. The sentiment remained bullish amid optimism of corporate results after Wipro announced strong net profit and liberal bonus last week, brokers said. Banking stocks were in the limelight and posted hefty gains on hopes of strong earnings after international rating agency moody s comment last last week that the stable to positive rating outlook for India’s rated banks reflects an improving operating environment, together with an increasing growth in credit demand. The BSE-bankex surged 49.99 pointx (1.31 per cent) to 3791.40 points. Software stocks, riding on the surprise bonus announcements by Wipro and impressive results from satyam in the previous week, also continued to attract buying support and extended their weekend gains. However, select auto, power and oil refineries lost ground on selling pressure amid concerns of rising crude oil prices which moved closer to usd 56 level. Pharma and metal stocks also reeled under selling pressure and ended in red. Apart from the cheerful corporate results and bonus bonanza, short covering ahead of the expiry of April series of future contract on Thursday, also helped the market continue its rally, brokers said. With today’s gains, the sensex has recovered by 242.99 points (3.96 per cent) in the last four sessions after it had lost 333.06 points (5.15 per cent) in the preceding three sessions to hit a 3-month low of 6134.86 points on last Tuesday. Among the top gainers, Satyam surged 4.49 per cent to Rs 423.20, ICICI bank 3.03 per cent up at Rs 407.75, Tata motors 1.76 per cent up at Rs 444.60, HLL 1.10 per cent up at Rs 133.65, Grasim 1.03 per cent up at Rs 1211.20, Wipro 0.95 per cent up at Rs 650.60, ONGC 0.91 per cent up at Rs 862.20 and SBI 0.60 per cent up at Rs 624.35. The major losers included Dr Reddy which fell 3.21 per cent to Rs 660.10, Tata Power 1.44 per cent down at Rs 357.15, Ranbaxy 0.96 per cent down at Rs 916.35, Infosys 0.50 per cent down at Rs 1988.10, ITC 0.50 per cent down at Rs 1386.50 and Bajaj Auto 0.43 per cent down at Rs 1075.40. Market breadth remained strong with gainers outnumbering losers at 1,345 shares (55.69 per cent) to 1,013 shares (41.95 per cent). (UNI) |
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Standing
Committee criticises faltering NEW DELHI, Apr 25: The Standing Committee on Finance has criticised the Government for short provisioning of the targeted plan expenditure during the tenth plan, which has led to shortfall in meeting the eight per cent growth target and in bringing down poverty levels. The committee noted that except for the first year of the tenth plan, the plan estimates had not been fully provided for. The committee felt that short provisioning of the targeted plan expenditure in successive years had been one of the contributory factors for not being able to achieve the targeted growth of 8 per cent, the Standing Committee says in its 18th report. The report pertains to the demands for grants (2005-06) for the Ministry of Planning. While about Rs 1,13,500 crore was provided for as stipulated in the first year of the tenth plan, the provisioning for the second year of the plan was Rs 1,20,974 crore as against the estimate of Rs 1,34,064 crore. It was Rs 1,47,000 crore in the third year as compared to the target of Rs 1,59,201 crore. For the current year, 2005-06, as against the estimated amount of Rs 1,91,041 crore, an amount of Rs 1,72,500 crore plus an additional amount of Rs 10,000 crore by way of SPV has been provided for. While the growth rate achieved during the first year of the tenth plan was 4.1 per cent, it was 8.6 per cent in the second year and is expected to be about 6.9 to seven per cent in the third year of the plan period. The committee, therefore, strongly emphasizes on the need for ensuring that the targeted plan estimates are fully provided for and corrective measures, as needed, taken, to ensure the targeted growth rate of eight per cent per annum is achieved and maintained, the report submitted recently to Lok Sabha secretariat says. It says the growth and poverty reduction approach for the tenth plan centres on agricultural development. It emphasises on quality and the pattern of growth, strengthening specific programmes aimed at special target groups and building safety nets and reducing inter-regional disparities through greater focus on growth in backward states and regions. Enhancement of human well-being in terms of socio-economic indicators was Central to the objective of the tenth plan and the fulfillment of this objective was dependent on achieving the mandated target growth of eight per cent on an average per annum. The committee regretted they were not furnished with concrete information or data on the ground level achievements in regard to enhancement of human well being in terms of socio-economic indicators, which was Central to the objectives of the tenth plan. It noted there had been a decline in the budgetary allocation for the Sampoorna Gramin Rojgar Yojna during the current year, due to re-location of the amount earmarked for the benefit of 150 backward districts to the national food for work programme. The committee recommended a better allocations for these programmes, which had been conceived for the betterment of the poor of the country. The committee was also disturbed to note that the existing system of estimating the population of people living Below the Poverty Line (BPL) was mired with inconsistencies and problems. It, therefore, desired the expert committee which was proposed to be set-up in July should also go in depth with regard to this aspect, and ways and means for making an objective and realistic estimation of BPL households should be evolved, through standardisation of criteria. (UNI) |
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Noida to be developed as food processing hub NOIDA, Apr 26: The Greater Noida Industrial Development Authority (GNIDA) is planning to give a big push to the development of the township into a food processing hub. According to GNIDA officials, around ten proposals for the setting up of a frozen food complex are presently under consideration and a decision is likely soon on the issue. "A frozen food complex would act as a major incentive to the setting up of food processing units in the area. We plan to develop greater noida into a big food processing centre over a period of time," an official said. According to the officials, a number of private sector players have evinced interest in setting up the complex, including some vertically integrated firms that have a presence in the food processing business. Once the cold storage facilities are in place, a number of parallel industries are expected to come up in the area, resulting in increased employment generation and improved development of the Greater Noida area, an official said. (UNI) |
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Will Indo-Pak thaw melt into a tourism bonanza? NEW DELHI, Apr 25: The recent thaw in ties between India and Pakistan has raised hopes of the tourism and hospitality sector which sees the road to the neighbouring country as a passage of opportunities not to be lost sight of. Tourism experts say a liberalised visa regime and further opening of the road, rail and air links could give a shot in the arm to tourism industries in both countries. Several Pakistanis, they say are desirous of visiting India to meet their families, others wish to visit religious destinations such as Ajmer Sharif, Nankana Sahib and the Golden Temple. Madras and Bangalore are major centres of medical tourism. The day is not far when one can think of going to have lunch in Lahore on a Sunday afternoon or a young man bikes it down to the city. Once such a thing happens it would not be difficult to increase the present Pakistan arrivals which are roughly 45,000 to become 4,50,000. The opportunities that will follow the softening of borders are simply mind-boggling. The Indian hospitality industry is already looking at Pakistan as a potential investment destination. A 80-member delegation, including representatives of the Taj group of Hotels, Thomas Cook and managing director and chairman of Bharat Hotels Lalit Suri, will be visiting Karachi, Islamabad and Lahore from May 23-28 for a business interaction with the Pakistani side, FICCI sources say. Several Pakistani hoteliers were also in India recently to look at opportunities with the Indian hospitality business. "There is lot of interest from the other side of the border. Several international hotel companies, especially those which have their regional headquarters in India, have approached us for valuation and research purposes," says Manav Thadani of HVS international. "They have all evinced interest in increasing their presence in Pakistan as there is an urgent need for rooms there," he says adding "in the last one year 30-40 per cent of their business has come from Pakistan." Reports in the Pakistani media say multinational investors plan to build two luxury hotels in Lahore city to double the top-of-the-line accommodation in two years and one of them, a four-star hotel will be built very close to the Indo-Pak border at Jallo theme park. The same report in the ‘daily times’ quoted Pakistan Punjab Tourism Minister Aslam Iqbal as saying that "there is already an estimated increase of 25 per cent in tourist inflow from India and other countries and the figure is expected to double this year. "We are aware of the fact that Lahore has very limited accommodation and it needs to increase very soon keeping in view the developments between India and Pakistan," he was quoted as saying. There have been reports that in anticipation of the tourism, real estate prices have shot up in and around the Wagah border. Many travel agents have also set up offices on each side of the border to facilitate travel. As borders become soft, trade with Pakistan, which is almost non-existent at present, has to take place. Trade is almost invariably followed by tourism. It could see more and more businessmen travelling across the border. The first business trip can eventually be followed by a trip with the family, say experts. The trend will lead to travel moving to central Asia. The potential of tourism in this region is also immense, so much so that we may not have to worry about the Europeans and the Americans, says travel writer Rabindra Seth. He points out that if one considers America’s 60-70 per cent tourist movement, it is either to Canada and Latin America. It is the same with the European continent wherein there is movement within to france, italy or spain. This, sen says, is not happening in our area but once borders are soft and visas are given on arrival, the movement towards central asia-afghanistan, iran and other parts will become easy. Experts, however, caution that everything cannot happen overnight. It is a very slow process. Other things can eventually follow suit such as low cost airlines spreading their wings. Besides Indian Airlines one can also look at Air Deccan and other low cost airlines providing cheaper rates to Pakistani cities. Medical tourism potential too is immense. Also, with India willing to offer seats to Pakistani students in institutions of higher learning such as the iits and management institutes, scope for student travel may increase. According to Gulam Naqshband, chairman Emiritus, le passage to India, there is tremendous potential in tourism sector as the younger generation is very keen to go back to their ancestral homes. Pakistanis want to come and visit historical sites and the upmarket clients want to come here for shopping. There is also a huge demand for visits to Bollywood, many wanting to visit Mumbai. This can happen only when the visa regime is liberalised. "Easing out the visa regulations for people of both countries with no city specific, no police reporting, multiple entry, long-term visas both for the common man and businessmen would certainly give a fillip to tourism between the two countries," he adds. (PTI) |
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Increased real estate rental forces designers to hike prices NEW DELHI, Apr 25: Increased real estate rentals and cost of production are leading fashion designers to pass on the burden of increased prices to their customers, while some have "managed" to hold on to last year’s price points. "There has been an increase in the rentals of stores at prime locations by about 15-30 per cent and we have no choice but to share the cost with customers," designer Raghavendra Rathore told PTI on the sidelines of Lakme India Fashion Week, 2005. "This year my collection is priced between Rs 3000 and Rs 15,000 compared to Rs 3000 and Rs 7000 last year," he said. While increased cost of production is also a factor, the main reason for the price hike is the rise in real estate rentals, he added. Citing the same reasons, designer Meera of the Meera and Muzafar Ali designer duo said the increased cost of production and the rentals of stores have affected the pricing of their collection. "It is a challenge for us to keep it affordable," she said. At this year’s LIFW, their collection has been priced between Rs 2000 and Rs 20,000. Designer Malini Ramani also agreed that the increased cost of producion is making it difficult to hold on to the old price range. "Yet, I have managed to keep the price range for this year’s collection the same as last year by keeping the range wider," she said. Ramani’s collection showcased at this year’s LIFW is priced between Rs 3000 and Rs 20,000. "By keeping the price range wider, one has the option to manouevre and keep the cost of production and the ultimate pricing of clothes in check," she said. (PTI) |
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Reddy meets PC ahead of credit policy NEW DELHI, Apr 25: Ahead of the slack season credit policy, Reserve Bank Governor Y V Reddy today met Finance Minister P Chidambaram amidst expectation of monetary measures to contain prices and keep interest rates stable to sustain high economic growth. Reddy, who had a detailed meeting with Chidambaram, was tight-lipped over the outcome but indications are that some fine-tuning of credit policy to be unveiled on April 28 figured prominently. Although bankers favour easing of statutory liquidity ratio and cash reserve ratio, RBI is unlikely to revise them before the amendments in Banking Regulation Act and RBI Act. There is also an expectation of revision in bank rate but bankers said there is ample liquidity to the tune of Rs 30,000 crore in the banking system which may prompt RBI to keep rates stable in the short term. India Inc also wants RBI to ensure a stable interest rates regime, steps to check rupee appreciation and growth oriented credit policy on April 28. Going by Finance Minister P Chidambaram’s ambitious target to increase farm credit to Rs 1,40,000 crore in 2005-06, the Central Bank may announce steps to ease the flow of credit to the needy sector. Analysts expect RBI to lower inflation forecast for this fiscal as India has been able to absorb the initial oil price shocks and kept prices of fuel stable in the domestic market although global crude prices was hovering over 50 dollar a barrel in the last few months. Bankers also expect RBI to come up with a roadmap for bank mergers and the steps for proper implemenation of the Basel II norms. (PTI) |
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Govt to strengthen steel sector NEW DELHI Apr 25: The Government today said several ambitious steps were being initiated for the re-strengthening of the steel sector and assured all possible assistance to the private players who intend to invest in steel production. Replying to a starred question in the Lok Sabha today, Steel Minister Ram Vilas Paswan said his ministry had fixed a target of 110 million steel production by 2020. He said of the present production of 38 million tonnes, sixty eight percent came from the private sector. He said in the past three years, the steel sector had shown an uprward trend in terms of profitability. Several steps have been taken to improve the profitability of the Steel Authority of India (SAIL) the minister said. He said a restriction on fresh investment proposals had been brought in besides steps for intensive cost control and financial and business restructuring of the SAIL. (UNI) |
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Hindalco completes copper smelter expansion NEW DELHI, Apr 25: India’s largest aluminium and copper producer Hindalco Industries Ltd today said it had doubled its copper smelter capacity to 5,00,000 tonnes a year. The company has started production trials at the Dahej Smelter, Hindalco said, without giving further details. Hindalco produced 1,97,977 tonnes of copper in the 11 months though February, up from 169,280 tonnes in the corresponding period a year earlier. (UNI) |
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VAT panel chairman hopeful of
agreement NEW DELHI, Apr 25: The chairman of the empowered committee on VAT, Asim Dasgupta, today expressed optimism that an agreement will be reached on uniform vat rates in all the states at tomorrow’s meeting of State Finance Ministers. "I am optimistic," he said in response to a query whether some kind of a breakthrough will be achieved at tomorrow’s meeting regarding consensus on uniform VAT rates. Dasgupta, who today chaired the meeting of State Sales Tax Commissioners and other officials, said variations in VAT rates were not very significant but the issue was prime on the agenda of the empowered committee meeting. "We are collecting information from all 20 states (that have implemented VAT so far) and tomorrow, we will discuss it," the West Bengal Finance Minister said. Today’s meeting with State Government officials was only a stock taking meeting, he added. Tomorrow’s meeting assumes importance as states had failed to arrive at an agreement on uniform VAT rates at the last meeting on April 15-16. Besides taking a firm decision on VAT rates, the meeting of State Finance Ministers is also expected to discuss other issues like tax treatment of petroleum products. After the two-day meeting, the empowered committee is also likely to prepare a schedule for visiting states that have not implemented VAT, for persuading them to switch over to the new system. (PTI) |
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Dr Reddy’s in pact to sell generics in Canada NEW DELHI, Apr 25: Pharma major Dr Reddy’s Laboratories Ltd has signed an agreement with pharmascience group to develop and sell 11 generic products in Canada. The two companies will share the costs and benefits from the alliance, the Hyderabad-based drugmaker said, without giving details. Indian drug makers are targeting large markets such as the United States for generic products, which they sell at a fraction of the cost of patented ones. (UNI) JK paper to invest Rs 235 cr for expansion NEW DELHI, Apr 25: JK Paper Ltd today said it will invest Rs 235 crore for expansion of its business. The Board of Directors, at a meeting held on April 23, have approved an investment of Rs 235 crore for expansion of the Paper & Board Business, the company informed the Bombay Stock Exchange. The board has also approved issue of preference shares of nominal value upto Rs 1 crore to financial institutions or banks subject to terms & conditions, as may be mutually agreed between the company and FIS or bank, it added. (PTI) |
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