Daily Excelsior...Business

Onion exports down by 14 pc in FY08...........

Tata takeover a turning point in car industry, say UK experts.........

Excelsior Correspondent

JAMMU, Apr 4: With lucrative offers and other schems, LG Electronics today organized a four day long exhibition cum sale of several home appliances under the banner, "LG’s Good Home Show" at Jhelum Resorts. The exhibition will come to a close on April 8.

According to the company, several new range of LG home appliances are the main pull for the buyers in the exhibition wherein the company has put on display most sophisticated products.

"With the hi-tech products, comes the facility to buy them on loan with zero percent finance scheme" said a prss release adding that to educate the customer about the nitty gritty of LG’s modern gadgets, the company has also been holding live demonstrations.

Meanwhile, an executive of the company, Rajinder Gupta said, "What is important for the us is the level of satisfaction which our customers share with us. After witnessing tremendous response from the customers at Ludhiana, Jalandhar and Chandigarh we are expecting the same response from the city of temples too."

Musical cassette of devotional songs released

Excelsior Correspondent

JAMMU, Apr 4: A VCD and Audio Cassette entitled " Mele Lag Gaye Mandiran Te", containing bhajans sung by Lucky Verma was released at a function organised by Nami Dogri Sanstha, at Press Club, here this evening.

While lyrics are by Tilak Raj Gupta, Surjit Sufi and Ramesh Kumar, the music has been composed by Sahil Jasotra. The cassette has eight bhajans. This presentation is by Kamal Sharma.

Sham Sunder Anand Lehar, renowned Urdu writer, advocate and patron of Nami Dogri Sanstha, presided over the function at which Dr Harish Kaila, president, Nami Dogri Sanstha was present.

Dr Rafiq Masoodi, Secretary, Academy of Art, Culture and Languages, who was the chief guest, released the cassette.

After the cassette release ceremony, Dr Masoodi appreciated the efforts of the artists in preparation of the VCD and Audio Casstte containing melodious devotional songs. He also had a word of praise for the Sanstha for propagation of art and culture.

Mr Lehar, in his speech, said that Lucky Verma and his team has displayed talent in this cassette and expressed the hope that it will gain popularity.

While Yash Pal Yash, general secretary, Nami Dogri Sanstha conducted the proceedings of the function, Sohail Kazmi, presented the vote of thanks.

Bonton launches eco-friendly cables

Excelsior Correspondent

JAMMU, Apr 4: Bonton Cables today launched India’s first ever eco-friendly cables in the city of temples, at a function held here today. CE of the company, AK Koul and president Associated Chamber of Traders Federation, Yash Pal Gupta were the main guests in the inaugural function.

Speaking on the occassion, GM Sales and Marketing, Bonton Cables, Sandeep Sharma said, "Bonton Cables has taken unilateral initiative to promote Restriction of Hazardous Substance(ROHS) products in India. We are committed to environment, health, and safety of our customers, employees and vendors, in compliance with the international norms."

Senior Manager Sales and Marketing, Amit Sharma said "We have been manufacturing specialized cables with properties likes weather, gas, oil and water resistance along with providing solution for distortion-free signalling, special bending radius and cables that perform at temperatures ranging from minus 50 degree celsius to 750 degree celsius."

"Ours is the only company in the country which has been awarded the prestigious ISO/TS:16949 certification by Underwriters Laboratories Limited" he avered.

Meanwhile the company appointed Mr Yuvraj Sharma of M/S Standard Electric Corporation- the premier distributor of electrical products, as its super-stockist in the city.

Moderate recovery in Instanex Skindia GDR Index

MUMBAI, Apr 4: The Instanex Skindia DR Index recovered moderately by 12.22 points or 0.46 per cent to 2,643.79 on April 3 from 2,631.57 previously.

The P/E Ratio also edged up to 22.19 from 22.07 Instanex Capital release said here today.

Following are the GDR and ADR rates for April 3 in US dollars with differences in percentage from the previous level given in brackets.

Dr Reddy'S (ADR) 15.31 (+1.80)

GAIL (GDR) 66.00 (+1.54)

Grasim Ind (GDR) 64.95 (-1.74)

ICICI Bank (ADR) 39.40 (-0.13)

Infosys Tech (ADR) 37.41 (+0.65)

ITC (GDR) 5.22 (-1.51)

L&T (GDR) 72.00 (-1.64)

Mahindra & Mah (GDR) 16.60 (UNCH)

Ranbaxy Labs (GDR) 11.20 (+1.82)

Reliance (GDR) 118.50 (+0.21)

Satyam Comp (ADR) 24.26 (+4.21)

SBI (GDR) 89.40 (-1.22)

Sterlite Ind (ADR) 18.43 (+1.71)

Tata Communi (ADR) 27.29 (+4.00)

Tata Motors (ADR) 16.14 (-0.62)

(PTI)

ACC production for Jan-March at 5.24 mn tonnes, up 7 pc

MUMBAI, Apr 4: Cement maker ACC today announced its production for the three month period ending March at 5.24 million tonnes, registering a growth of 6.5 per cent.

The production for the three months ended March 2007 was recorded at 4.92 million tonnes, the company said in a filing to the Bombay Stock Exchange.

The despatch figures for the three months ended March stood at 5.29 million tonnes against 4.94 million tonnes in the year-ago period.

The company announced a production of 1.89 million tonnes for March against 1.79 million tonnes for the corresponding period last year.

The despatch for March rose to 1.92 million tonnes from 1.83 million tonnes in the year-ago period.

(PTI)

Inflation leaps to 7 pc; food, vegetables become dearer

NEW DELHI, Apr 4: Inflation bolted to a 39-month high of 7 per cent as prices of vegetables, cereals and various manufactured goods continued to rise, with potential to lead toward a tight monetary policy and slow economic growth.

The annual rate of inflation, based on wholesale price index, rose by 0.32 per cent in the week ended March 22 from 6.68 per cent in the previous week.

Inflation, which was 6.54 per cent a year ago, last touched 7 per cent over three years ago (7.02 per cent for the week ended December 4, 2004).

High inflation could prompt RBI to take tight monetary measures, like raising short-term lending and borrowing rates and squeezing money supply in its annual credit policy scheduled to be announced on April 29.

Pointing out that global circumstances are fueling inflation, ICICI Bank managing director K V Kamath said, "I am sure policy makers both at the monetary level and in the ministry will work together to ease supply side constraints."

RBI might increase Cash Reserve Ratio (CRR), statutory deposits banks have to keep with the central bank, to absorb excess liquidity instead of raising interest rate, felt Crisil Principal Economist D K Joshi.

The Government has already moved into top gear in its fight against inflation and announced a host of fiscal measures like scrapping import duty on crude edible oils and banning export of non-basmati rice and pulses.

Earlier in the week, Minister of State for Finance P K Bansal said, "The government is conscious of it (inflation), the measures would be taken wherever the situation warrants."

Although the fiscal measures taken by the Government is not reflected in the week under review, Manila-based Asian Development Bank expects these measures to influence prices only by the month end.

While monetary policy takes time, fiscal measures would have rather quick impact in taming inflation, Joshi said adding, price pressure is likely to continue in the short term.

During the week, prices of fruits and vegetable went up by one per cent, gram went up by three per cent, masur by two per cent, while urad and moong, eggs, meat and fish got dearer by one per cent.

At the same time gingelly, rape and mustard seed were expensive by five per cent and linseed by three per cent.

However, condiments and spices declined by two per cent and fish-marine by four per cent.

The mineral category-index shot up by 38.2 per cent driven by 46 per cent rise in prices of iron ore.

Among Fuel, Power, Light and Lubricants category, prices of furnace oil increased by two per cent.

In the manufactured items category, sunflower oil shot up by nine per cent, vanaspati by four per cent while butter, mustard oil, sugar and groundnut oil became expensive by one per cent each.

Elsewhere, electrode prices jumped up by 14 per cent, steel ingots (plain carbon) by 57 per cent, forging by 22 per cent, cast iron casting by four per cent and zince by three per cent.

However, ghee, coconut oil mellowed down by one per cent each. At the same time, car chassis (assembled) were cheaper by one per cent while lead and zinc ingots were down by three per cent.

The inflation rate for the week ended January 26, has been revised to 4.78 per cent from provisional estimate of 4.11 per cent as the wholesale price index finally stood at 219 points compared to earlier estimate of 217.6. (PTI)

Will act against hoarders in war against prices: Nath

SINGAPORE, Apr 4: Commerce and Industry Minister Kamal Nath today said the Government would not hesitate to act against hoarders and profiteers, even as he admitted supply side management was a challenge to controlling prices of essential commodities.

"We will not hesitate to take the strictest measures, including using legal provisions against hoarding and profiteering whether in food, cement or steel," Nath, who is on a visit here, told reporters today.

On March 31, the Union Government asked states to initiate steps under provisions of the Essential Commodities Act to check against hoarding.

Nath, however, said that though there was the provision of 18G of the Industrial Act, "we don’t propose to use it." Section 18G empowers the Centre to control supply, distribution, price etc of certain articles.

He said the biggest task was to provide food to the poor. "Our biggest challenge with India is the supply side..."

The Government has been grappling with rising prices of food, metal and other manufactured items which have pushed up inflation to a 39-month high of 7 per cent.

The Cabinet Committee on Prices had decided to abolish import duty on crude edible oil, cut duty on refined oils and ban export of non-basmati rice to check prices. The Government also convinced steel makers to cut prices of key products.

Finance Secretary Subbarao had said that the Government is open to taking more steps to tame inflation to bring it within tolerable limit (below five per cent).

He also said global slowdown is expected to bring commodity prices down, as historically the US recession has led to fall in commodity rates.

Referring to the ban on rice exports, Nath said the cut had been calibrated by global prices of rice. "We have great supply side challenges in India, where we are moving from one meal a day to providing people two meals a day," he said.

Meanwhile, he said India has witnessed a record increase in exports, even though some sectors had gone down, "despite challenges in oil, appreciation of rupee, we have had good performance."

On the new foreign trade policy, to be announced on April 11, he said it would feature incentives for job generation.

The Minister said India was concerned about the ‘frenzy’ of the global slowdown and its possible impact on the economy.

"One is the numbers effect, one is the frenzy effect," Nath said, adding that India has to guard itself against the frenzy effect.

"India has a momentum of its own, it is not an externally driven economy. It has a diverse trade basket with no single dependency on one country or region," the Minister said adding that India had a very high percentage of Most Favoured Nation (MFN) trade.

The Commerce Minister said there were only minor issues with Indonesia before the Asean India FTA could be concluded.

Earlier, inaugurating the ‘Incredibleindia@60’ business conference, organised by the Confederation of Indian Industry and the Government of India, Nath said India had created more jobs in the US compared to the country creating jobs in India.

"China has its own genius, they excel in manufacturing. We have our own genius, we excel in areas that need technology," the Minister said.

In a lighter vein, he noted that, "the US used to talk to us about bank practices, now their best practices had led to sub prime," adding the frenzy of the slowdown was bound to affect the world economy. (PTI)

India to take measures against hoarders to curb prices

SINGAPORE, Apr 4: India today warned that it will not hesitate to take stern measures against hoarders and profiteers in view of the spiraling prices of essential commodities.

"We will not hesitate to take the strictest measures, including using legal provisions against hoarding and profiteering whether in food, cement or steel," Commerce Minister Kamal Nath said here today.

The Minister, who is here to attend the ‘IncredibleIndia@60’ event showcasing the growth of a resurgent India, told reporters that though there was the provision of 18G of the Industrial Act, "we don’t propose to use it."

Nath said the biggest task was to provide food to the poor. "Our biggest challenge with India is the supply side management especially in the Below Poverty Line."

Meanwhile, Nath said India has witnessed a record increase in exports, even though some sectors had gone down, "despite challenges in oil, appreciation of rupee, we have had good performance."

Speaking on the new foreign trade policy, to be announced on April 11, he said the new policy would feature incentives for employment generation.

The Minister said India was concerned about the ‘frenzy’ of the global slowdown and its possible impact on the economy.

"One is the numbers effect, one is the frenzy effect," Nath said, adding that India has to guard itself against the frenzy effect.

The Commerce Minister said there were only minor issues with Indonesia before the Asean India FTA could be concluded.

"China has its own genius, they excel in manufacturing. We have our own genius, we excel in areas that need technology," the Minister said.

Onion exports down by 14 pc in FY08

NEW DELHI, Apr 4: Country’s onion export has dipped by 14 per cent to nearly 10 lakh tons in 2007-08 fiscal, but in value terms the decline has been marginal.

The exports of onion, a politically sensitive commodity, stood at 9.96 lakh tons in 2007-08, compared to 11.61 lakh tons in the previous fiscal, according to data provided by National Horticultural Research and Development Foundation.

In value terms, however, exports have declined marginally to Rs 1,116 crore from Rs 1,135 crore in the review period.

Higher export price during the festival season last year coupled with congestion at ports have led to decline in exports, according to an official from NAFED.

Nafed, along with 12 other agencies regulates the onion exports and fixes the Minimum Export Price (MEP) every month.

The onion exports went down during festival season last year as the government had increased the minimum export price (MEP) substantially to discourage overseas sales. The average MEP went as high as 495 dollars per ton.

The Centre had also slowed down the process of issuing export permit and made license mandatory for undertaking exports. These measures were aimed at increasing the domestic availability of the edible bulb to check the rising price of the commodity, which went up as high as Rs 30 a kg in the retail market.

Meanwhile, the average MEP for April has been fixed at 180 dollars per tonne.

The MEP stands in the range of 165-390 dollars per ton for most of the destinations. However, for the gulf countries, the major importers, the MEP is 180-210 dollars per ton. The MEP for Bangladesh has been increased to 185 dollars per tonne for April from 160 dollars per tonne. (PTI)

Tata takeover a turning point in car industry, say UK experts

LONDON, Apr 4: Tata’s takeover of Jaguar and Land Rover will be a key turning point in the car industry’s history, automobile experts say.

Coventry-based Nick Seale of the Warwick Manufacturing Group believes that the takeover will also be of global and historic significance.

Seale said: "When the history of the motor industry is written, they will look back on this event as one of the key turning points.

"The Indian purchase of two of the strongest brands in the world car industry is really significant because the industry, 20 years from now will be very different, and if I was a betting man I will say India will be a major player."

He told the Coventry Evening Telegraph: "The US companies have been world leaders for 50 years now but they are experiencing difficulties. The Japanese have risen and out of the Japanese/US power struggle we’ve suddenly got the emerging world of India and China becoming a real force.

"An Indian company buying two of the world’s largest brands is really significant and it will be a turning point. Although there’s going to be no visible change in the short term, it’s a really significant move.

"I’ve been doing some work with a motorcycle company in India and India is absolutely fascinating from an industrialisation point of view. Indian companies are going to be increasingly powerful in the world."

According to Seale, Ford had "sold off a really good business", and added that it was not Tata’s style to come in heavy handed and make sweeping changes which is excellent.

Jaguar-Land Rover could also benefit from Tata’s business portfolio which is spread across an array of sectors from IT services to tea production and steel with more than 289,000 people in its workforce in 80 countries, Seale added.

"One of the strengths of Tata is they have such a broad industry portfolio which is protective in terms of world changes in industry. You are not tied in to the motor industry. It’s really an exciting time and is fascinating to see all these things going on. Tata are in it for a very long time," Seale said.

Seale’s optimism was echoed this week by Prime Minister Gordon Brown during his visit to Coventry.

Brown said: "The important thing is we continue to safeguard jobs in the future and what the Tata company has said is they will invest in Jaguar Land Rover and still maintain apprenticeships in the area and will invest in new technologies of the future.

"And so for the 16,000 people who depend on Jaguar Land Rover the future is, as Tata says, one we can safeguard by everybody working together to make this a great success." (PTI)