Daily Excelsior...Business

Railways’ plan to rope in private firms hit roadblock

UTV pictures has 12 movies in pipeline for next year

ICICI bank likely to invest heavily on tech and staff

SAIL to borrow Rs 20k cr for expansion; ECB issue on cards

Select base metal eases on global trend

NEW DELHI, Oct 25: Select base metals softened in the wholesale non-ferrous metal market today on stockists selling largley on weak trend at London Metal Exchange and closed in negative zone.

Traders said reports of overnight weakness in select base metals at London Metal Exchange (LME) and sluggish demand from consuming industries dampened the trading sentiments.

Tin ingot quoted lower at Rs 535 instead of Rs 537 a kilo due to reduced offtake.

Nickel plate 4x4, 9x9 and 4x24 also turned weak and lost Rs 5 each at Rs 1930-2030, Rs 1935 and Rs 1935-1955 per kilo respectively.

Following were today's quotations per kilo:

Tin ingot 535, solder (40 per cent) 157, Nickle plate (4x4) 1930-2030, Nickel (9x9) 1935 Nickel (4x24) 1935-1955, zinc slab 205.00, dross 125, cadmium plate 176, Rod 153-156, antimony (china) 260, gun metal scrap 155, Bell metal scrap 150, copper wire scrap 350, copper super d rod 383, copper wire bar 382, copper mixed scrap 333, C.C rod 373, Utensil scrap 95, Mixed scrap 325, Chadripital 145, brass sheet cutting 105.50, bullet scrap 97, bharat scrap 208, accessories scrap 209, brass boring 77-78, brass radiator scrap 82 and huny scrap 97.50.

Lead ingot deshi soft 56, hard 61.00, Lead imported 65-75, ingot 105, Aluminium rod 140, sheet cutting 125, aluminium wire scrap 127 and Aluminium utensils scrap 118. (PTI)

Millgate remains weak on increased selling

NEW DELHI, Oct 25: Millgate sugar prices drifted on the wholesale sugar market today on millers selling and closed with moderate losses.

Marketmen said increased selling against adequate stocks mainly pulled down millgate prices.

In the millgate section, Baghpat, Daurala and Mawana remained down at Rs 1705, Rs 1805 and Rs 1815 per quintal respectively on millers selling.

Bijnor and Amroha followed suit and traded weak at Rs 1705 and Rs 1745 per quintal respectively.

Following were today's quotations in rupees per quintal.

Sugar ready M-30 1860-2010 and S-30 1850-2000.

Mill delivery M-30 1685-1865 and S-30 1675-1855.

Sugar mill gate prices (excluded duty): Modi Nagar 1805, Bagpat 1705, Daurala 1805, Chandpur 1675, Titabi 1830, Mawana 1815, Simbhawali 1800, Khatauli 1800, Badaiu 1670, Sattha 1680, Ruderavilash 1690, Bijnor 1685 and Amroha 1690 and samali Rs 1790. (PTI)

Jeera weakens on fresh arrival

NEW DELHI, Oct 25: In thin trading, prices of Watermelon kernel dropped on the wholesale kirana market today due to mounting inventories coupled with negligible demand from local parties.

Elsewhere, other commodities continued to be traded in a limited range on some deals.

The volume of business was restricted.

Traders said increased arrivals from producing centres, mainly led to a fall in Jeera prices.

Jeera common and dollar quoted lower at 8,500-8,700 and Rs 8,600-8,700 against previous level of Rs 8,600-8,900 and Rs 8,700-8,800 per quintal.

Following were today's quotations (in quintal):

Ajwain 4,000-6,200 Black pepper common 12,100-12,200 Betelnut (kg) 95-110, cardamom brown (Jhundiwali) 12,500-13,000 and cardamom brown (Kanchicut) 15,000-17,000.

Cardamom small (kg): Chitridar 170-280, cardamom (colour robin) 285-295, cardamom bold 305-315, cardamom extra (bold) 400-425 and cloves (kg) 280-320.

Dry mango 2,600-8,500

Dhania 3,500-6,000

Dry ginger 8,000-10,000

Kalaunji 8,500-10,000

Mace-Red (kg) 495-500

Mace-Yellow (kg) 500-505

Methi seed 2,500-4,000

Makhana (per kg) 115-150

Netmeg 240-250

Poppyseed (KG Turkey) 145

Poppyseed (KG MP-RAJ) 170-200

Poppyseed (KG U.P.) 130-140

Red chillies 3,500-8,500

Soya bari pariwar (20 kg) 350-400

Saffron (kg) Irani 29,000-30,000

Saffron (kg) Kashmiri 37,000-43,000

Soanf 8,000-11,000

Turmeric 2,800-4,300

Tamarind 1,400-1,750

Tamarind without seed 3,200-4,500

Tea (kg) 70-120

Watermelon kernel 5,300-5,500

Jeera common 8500-8,700

Jeera dollar 8,600-8,700 (PTI)

Almond prices down on sluggish demand

NEW DELHI, Oct 25: After remaining closed yesterday, the wholesale dry fruits market depicted a steady trend today in the absence of any worthwhile buying or selling by stockists, and closed on a flat note.

However, almond was down for want of support.

Marketmen said fall in demand amid sufficient stocks position pulled down almond prices.

Almond california eased by Rs 200 at Rs 10,300 per 40 kg.

Its kernel also slipped to Rs 385-387 against previous close of Rs 400-402 per kilo.

Following were today's quotations per 40 kgs bag: Almond (California)new 10,400, Almond (gurbandi) 6,000 Almond (girdhi) 3700, Almond kernel (california) 398-400, Almond kernel (gurbandi) (kg) 400-430 and Abjosh Afghani 6,000-12,000.

chilgoza raw (1 kg) 350

chilgoza (roasted) (1 kg) 1180-1250

cashew kernel 1 kg (no 180) 485-525

cashew kernel (no 210) 395-425

cashew kernel (no 240) 315-350

cashew kernel (no 320) 260-275

cashew kernel broken 2 pieces 170-210

cashew kernel broken 4 pieces 165-200

cashew kernel broken 8 pieces 165-205

copra (qtl) 5,900-6,100

coconut powder (25 kg) 8,50-1,650

dry dates red (qtl) 2,300-4,800

fig 6,000-11,000

kishmish kandhari local 4,800-5,000

kishmish kandhari special 10,000-12,000 kishmish indian yellow 2,000-3,500

kishmish indian green 3,200-6,000

kishmish sundekhani new 10,000-12,000

pistachio Irani 480-510

pistachio Hairati 480-535

pistachio Peshwari 510-560

pistachio dodi (roasted) 435

walnut new 100-150

walnut kernel new (1kg) 265-350 (PTI)

Association to improve trade through Nath La corridor

GANGTOK, Oct 25: With an eye towards the next trading season at Nathula corridor, the local traders involved in the border trade has formed an organisation to address their concerns.

In a recently concluded meeting, the Sikkimese traders, involved in the Nathula trade, decided to float a new association called ‘Indo-China Traders Association of Sikkim’ or ICTAS.

The Association would improve and manage the trading activities through this trade route, ICTAS president Chimmey Rinzing Bhutia said.

All the traders, who have been trading through this new trade route, were present in the meeting.

During the meeting, the trading activities of the first year was reviewed and the members decided to solve some of the difficulties and inconveniences experienced by them to facilitate smooth trade next year, Mr Bhutia said.

Nathula border trade was closed on September 28 this year after its historic reopening on July 6, 2006. According to the agreements between the two countries, the border trade would be allowed from June to September in the initial phase. Nathula border trade would resume on June next year.

In the three months of the first year, the trade has been lukewarm. Raw wool from TAR were imported in significant volumes during the last stage of the trade while food grains, vegetables and oil received favourable response from the Chinese traders. (UNI)

Railways’ plan to rope in private firms hit roadblock

NEW DELHI, Oct 25: Railway Ministry’s plans for greater private participation has hit a major roadblock, with the Industry Ministry questioning the move to award licences to private companies for container services without amending a law that mandates only PSUs to run these operations.

According to the Industries (Development And Regulation) Act, 1951 and the Industrial Policy, only public sector can run railway transport services, whether passenger or freight.

In fact, as per the industrial Policy statement of 1991, railway transport was in the list of eight sectors, which also included atomic energy, defence and minerals, reserved for public sector firms.

"Giving licenses to private players, whether domestic or foreign, require an amendment to the Act and the policy. This has not been done so far," a senior official in the Department of Industrial Policy and Promotion, told PTI.

Further, though FDI policy may not explicitly bar foreign investment in railways but since it is reserved for public sector no overseas investment can flow in, the official said.

Railway Ministry had sought comments from the DIPP early this year on allowing private container operators. The official said the DIPP would send its reply shortly.

The Industry Ministry’s objections could further delay the launch of container services by private companies, which were initially expected to start by March this year but was put off to August and subsequently to September.

So far, Railway Ministry has given licences to 14 companies including Mukesh Ambani’s Reliance Infrastructure Leasing and Rajeev Chandrasekhar-led Indian Infrastructure and Leasing. The ministry had raised Rs 540 crore in February as licence fees.

Other companies that have been allowed in the freight movement business include Adani Logistics, P&O Ports, Gateway District Park Ltd and Pipavav Rail Corporation Ltd.

The private operators would run container trains in competition with state-owned Container Corporation of India (CONCOR), till now the sole operator of rail container traffic in the country.

South Korean steel giant Posco, along with some other private firms, had also signed an agreement early this month with state-run Rail Vikas Nigam Ltd for building a railway line in Orissa.

Railway Minister Lalu Prasad had earlier said with the liberalisation of container policy, private players were expected to invest about Rs 2,000 crore in manufacture of wagons and terminals.

The Railway Ministry had early this month also set up a high-level panel to chalk out the modalities for effective implementation of Public-Private Partnership in specific and identified areas. (PTI)

UTV pictures has 12 movies in pipeline for next year

MUMBAI, Oct 25: UTV motion pictures, which had gone in for a spate of tie-ups and co-productions with Walt Disney and other hollywood studios this year, today announced that it have 12 movie projects in the pipeline for next year.

UTV started the year on a winning horse like _Rang De Basanti_-India_s official entry for Oscars 2007, which will race in nine categories and is posted for a release in the US this December. This was followed by a rib tickling comedy Chup Ke Chup Ke directed by Priyadarshan in June starring Kareena Kapoor and Shahid Kapur.

Even the Nana Patkar and John Abraham slick-flick Taxi No 9211 was distributed worldwide by UTV, CEO Ronnie Screwvala said while talking to reporters here.

Continuing the trend further, Khosla Ka Ghosla had an impressive impact. In fact it became so popular, that producers down south want to re-make a version of it in South-Indian language. Not to forget the record breaking 345 prints of DON in the overseas market in 28 countries, 5 languages with a 1.75 million dollars marketing spend, he added.

Mr Screwvala said strategic tie-ups have been a key to success by which UTV Motion Pictures has gone a step further and announced an unprecedented spate of co-productions with leading hollywood studios. These include FOX Searchlight for the movie I think I love my wife, starring Chris Rock, with Actor/producer Will Smith and his production company Overbrook Entertainment and Sony Pictures Entertainment.

UTV now has 12 projects that are in various stages of production. Starting the year would be Anurag Basu_s ‘Metro’ starring Shilpa Shetty, Konkana Sen Sharma, Kay Kay Menon along with the romantic pair of Shiney Ahuja and Kangana. Followed by director Milan Luthria_s ‘Hat-trick’ starring a galaxy of stars like Naseerudin Shah, Nana Patekar, Paresh Rawal along with Rimi Sen and Kunal Kapoor, the CEO disclosed.

Interestingly, film-buff will also get to witness Mira Nair’s masterpiece Namesake an adaptation of Jhumpa Lahiri’s novel of the same name. The film has been screened at the Toronto, London and Rome Film Fest in October. Later in the year they would see Ashutosh Gowariker’s Jodha- Akbar starring Hrithik Roshan and Aishwarya Rai and will and the year with Vivek Agnohotri film Goal starring John Abraham. Besides this UTV is working with Rakesyh Mehra, Vishal Bhardwaj and Madhur Bhandkar’s Fashion.

UTV Motion Pictures is now all set to emerge as a leading media brand across the globe and open many opportunities for the Indian Media Industry, Mr Screwvala added. (UNI)

ICICI bank likely to invest heavily on tech and staff

NEW DELHI, Oct 25: India’s second largest lender ICICI bank is poised to make significant investments on technology and manpower in the next five years to serve four major booming businesses — corporate, SMEs, Wealth Management and Rural and Agriculture.

"We are of the view that there is immense opportunity in the four sectors, which are opening up," an ICICI bank official told PTI, but declined to specify the quantum of investments.

Priority wise, corporate sector is at the top, followed by retail, international business and rural and agri business.

"Huge investment is required by way of capital, technology and manpower in the next five years," the official said.

ICICI bank has low-cost cutting-edge technology and will continue to make fresh investments on technology to further reduce operating cost.

The staff hirings will be mostly at the top-end to serve the boom in the banking services, he said.

Corporate banking is growing at a faster rate and needs revitalisation.

India Inc has enormous faith on ICICI bank as it has provided corporate banking and international banking services wherever they have gone in the world.

"We have been funding many companies since 1960s, 70s and 80s, and some of them have now become Indian multinationals," the official said.

Some of the companies financed by ICICI bank are pharma majors Ranbaxy and Dr Reddy’s, besides Sterlite and Infosys.

ICICI bank, which has presence in 14 countries, is on a global expansion mode. This is a major area of investment, besides credit cards and auto finance businesses, the official said.

Under rural and agriculture business, ICICI bank is financing farmers, equipments, non-agri trade and rural housing, besides providing wealth management services to rural rich and finance through micro financial organisations.

Rural is the fourth horizon of growth after corporate, retail and international business. There will be significant investment both on technology and employees.

With number of rich people growing by leaps and bounds due to migration of income and economic boom, there has been a steady increase in wealth management business.

"The number of rich will continue to grow fast and we have positioned ourselves nicely by investing in this field," he said.

The high GDP growth has propelled the small and medium enterprises, who contribute significantly to exports and have spread operations in many countries.

ICICI bank has been successful in providing services to SMES in and out of the country, and will continue to develop new products and services for them.

It is estimated that ICICI bank group may hire 25,000 people a year for the next three to five years to serve the booming banking, insurance and securities businesses.

Another 15,000 is likely to get indirect employment every year for the next five years to provide back office services to the group. (PTI)

SAIL to borrow Rs 20k cr for expansion; ECB issue on cards

NEW DELHI, Oct 25: Steel Authority of India Limited (SAIL) is all set to tap overseas market through external commercial borrowing to raise funds to part finance its massive Rs 37,000 crore expansion plan. "We shall be borrowing about Rs 20,000 crore, which also includes ECB. The remaining shall be funded from internal accruals," SAIL chairman S K Roongta told PTI. Asked about timing and quantum for ECB issue, Roongta said, "the entire investment will be spread over 4-5 years. As and when we require funds we shall approach the market." Although SAIL is debt-free corporation but still there are some debts in the books of SAIL, he said adding the company would maintain a debt-equity ratio of 1:1 post modernisation phase. "We have to start putting financing plan in place by the end of this year particularly the debt portion," Roongta said adding, the modernisation plan may see expansion in the existing facilities as well as setting up new plants. Roongta also said equation of cost has undergone a sea change as raw material prices have gone through the roof and this may escalate the total planned investment. Terming the current phase of expansion as challenging, SAIL chairman said all the five integrated steel plants for the first time would undergo modernisation both in terms of size and scope simultaneously. SAIL would become 22 million tonne steel produce post expansion plan in 2010 and the company does not foresee 40 million tonne steel producing capacity as a distant dream. Asked whether SAIL was fearing a situation of glut in the steel market in the coming years in view of large capacities having been announced, Roongta said, "there was an over capacity in the global steel market. However, a new capacity is emerging and the country will generate enough demand in the near future. "The modernisation of SAIL should take care of futuristic requirement. We are not worried about over capacity as there is likely to be enough market," he said and pointed out that the benefits of quality upgradation should come through and the choice was to ensure the right technology in place. SAIL has a strong client base in the domestic market and there is lot of potential to grow in the years to come. (PTI)