Hyundai domestic sales down 5.5 pc in Feb

SpiceJet eyeing cargo biz, readying own infrastructure

GoAir inks travel insurance deal with Tata-AIG

Two-wheeler makers demand further cut in excise duty

Thymol eases on reduced offtake

NEW DELHI, Mar 3: Thymol prices fell by Rs 10 a kg on the wholesale chemical market today due to reduced industrial offtake.

Traders said adequate stocks position against reduced industrial offtake brought down thymol prices.

Thymol closed at Rs 395 a kg.

However, prices of other chemicals ruled steady on scattered deals.

Following are today's quotations:

Ammonia bicarb (25 kg) 345 Ammonium chloride (50 kg) 1,800, acetic acid (1 kg) 42, boric acid technical (50 kg) 4,100-4,600, borex granular (50 kg) 2100.

Caustic soda flake (50 kg) 1160 citric acid (50 kg) (China) 2,650-2,800, citric acid deshi (50 kg) 2,600-2800, camphor slab (1 kg) 170-175, camphor powder (1 kg) 150, glycerine (1 kg) 78-80, hexamine (1 kg) 82, hydrogen peroxide (1 kg) 31-32, mercury (34.5 kg) 28,600, menthol bold crystal (per kg) 610 menthol flake (1 kg) 595 and Mentha oil (1 kg) 510.

Paraffin wax (50 kg)Iran 2,900-3,000

paraffin wax (50 kg)China 3,600

paraffin wax (50 kg) Indian 3,250

residue wax (p tonne) 30,000

soda ash (50 kg) (Tata) 880

soda ash (50 kg) (Gujarat) 870

soda ash (50 kg) (Dcw) 870

soda ash (50 kg) (Birla) 870

Sodium Nitrite (50 kg) 1400-1550

Sodium silicate (Qtl) 950-1100

stable bleaching powder (shriram) (25 kg) 310 stable bleaching powder (chambal) 340

stable bleaching powder (modi) 310

tartaric acid france (1 kg) 421

thymol (1 kg) 395

titanium dioxide (ttk) (1 kg) 100

titanium dioxide (k-brand) (1 kg) 90

titanium dioxide (china) (1 kg) 90

titanium dioxide (TR-92) 108

titanium dioxide (rc-822) (1 kg) 108

oxalic acid (pcpl-red) 50 kg 2500

oxalic acid (pcpl-blue)50 kg 2500

Zinc oxide (kg) 122-135. (PTI)

Prices end flat in market

NEW DELHI, Mar 3: Both high and low density polymer prices closed with a flat note on the wholesale plastic market here today due to little buying interest.

Marketmen said, as compared to the demand, sufficient availability of ready stocks mainly kept the prices steady.

They said little buying interest mainly kept the prices around last levels.

Following were today's quotations in Rs per kg:

LD No 40 - 91.00, LD No 400 - 90.00 LLDP blowing 84.00, colour 74.00 HD Blowing 82.00, HD moulding (deshi) 80.00, HD moulding (colour) 83.00, PP No 100 80.00, PP Colour 104, ABS (Indian) 97, acrylic 130-140, colour 139-144, crystal (Indian) 80, colour 90, poly carbonate 180-190, Nylon No-6 160, Nylon No 66 -181-191, PVC resin deshi 56.00, PVC pest grade 85. (PTI)

Hyundai domestic sales down 5.5 pc in Feb

NEW DELHI, Mar 3: Car maker Hyundai Motor India (HMIL) today reported a 5.56 per cent decline in domestic passenger car sales during February at 14,600 units, against 15,459 units in the corresponding month of 2007.

The company’s cumulative sales (including exports) during February were up 15.88 per cent at 29,001 units, compared to 25,026 units in the same month a year ago, Hyundai Motor India said in a statement.

Its exports for the month accounted for 14,401 units compared to 9,567 units during the same month previous year.

HMIL sold 24,563 units in the A1 segment comprising hatchbacks Santro, Getz and newly launched i10, 4,402 units in A2 segment comprising sedans like Verna and Accent, 27 units in the A4 segment (Sonata) and 9 units of its SUV.

"Hyundai Motor has been able to register steady growth at a time when the industry seems to be slowing down," HMIL Senior Vice-President Arvind Saxena said.

He said the recently announced excise duty cut in the budget is expected to provide impetus for small car segment’s growth.

"We have already passed on the benefit of the excise duty cut to customers on three models - Santro, i10 and Getz and we expects sales to grow across these segments in the coming months," he added. (PTI)

NEW DELHI, Mar 3: As part of its diversification plans, low-cost airline SpiceJet is aggressively looking at cargo business and has already started putting in place the necessary infrastructure.

"We are aggressively going behind cargo business. For that

we are developing our own infrastructure at various ports, our own x-ray machines and other set up," SpiceJet Executive Chairman Siddhanta Sharma said.

He said SpiceJet has already won the bid for India Post courier contracts along with Jet Airways. The airline has been carrying courier for some time and now wants to augment its revenue from the cargo segment.

"Our aircraft can carry about two tonnes of cargo and we are operating about 120 flights per day, which means we can carry 240 tonnes every day. We are doing 60-70 tonne of courier every day, so we can carry about 180 tonnes more," Sharma said.

For the next fiscal itself, the airline has set a target of three per cent of the total revenues to come from cargo business. However, Sharma ruled out having dedicated cargo planes at the moment.

The airline is also looking at setting up hanger facility for its own use with an investment of about Rs 15 crore. It is hopeful of getting land on lease for the purpose in Delhi to start with.

It has a fleet of 18 aircraft with an average age of about 1.5 years.

Even as the airline plans diversification, it is looking to earn full-year profits from the coming fiscal. It made profits in two of the last three quarters.

Spicejet is also looking to fly abroad in the next three years with possible flights to China, Gulf and SAARC countries.

"If the Government relaxes the present rules, then we would fly even earlier. Otherwise, we plan to fly overseas by the middle of 2010," Sharma said.

As per the existing rules, a start-up airline has to complete five years of domestic operations to be eligible to fly abroad.

The airline is primarily looking to fly to those destinations that attract a lot of migrant population from India, such as the Middle East and the SAARC countries besides China, he added.

SpiceJet plans to put in place a fleet of 10 aircraft for global flights initially.

"We will initially deploy 10 aircraft that will take care of our operations till 2013. Expansions would happen later depending on the projections we make," he said. It has already placed orders for the 10 airplanes.

It can be up to 50 per cent cheaper to fly to a foreign destination with a low-cost airline, Sharma said.

Before flying abroad, SpiceJet plans to be a 30-aircraft domestic airline, expanding its existing fleet of 18 aircraft at the rate of four airplanes per year. (PTI)

GoAir inks travel insurance deal with Tata-AIG

NEW DELHI, Mar 3: Wadias-promoted budget carrier GoAir today said it has signed a deal with Tata-AIG General Insurance, under which airline would provide travel insurance to its passengers booking their tickets online.

The insurance cover, available on bookings made online from GoAir’s website, would give the domestic passengers an option of buying the cover for his travel at a premium of Rs 129, the airline said in a statement.

The deal is part of GoAir’s efforts to enhance its sales volumes through online booking, analysts said. The online bookings currently contribute about 45 per cent of GoAir’s overall sales volume and the airline has been seeking to make its distribution channels more attractive, they added.

Commenting on the deal, GoAir Managing Director Jeh Wadia said: "Our unique partnership with Tata AIG General Insurance is part of a strategy to provide value to our passengers. Tata AIG General Insurance will offer their travel insurance product under the GoSurpises portfolio."

Under the plan, a passenger would be financially compensated up to Rs 10,500 by TATA-AIG in case of a flight delay beyond a specified duration. Besides the passenger will also be entitled to benefits such as baggage loss reimbursement (up to Rs 7,500) if baggage is lost in custody of GoAir on the flight for which cover has been purchased.

The Trip Cancellation & Trip Interruption Benefit will reimburse the original cost of the GoAir ticket if the passenger buying the insurance cover needs to cancel or shorten his trip due to sickness, injury or loss of an immediate family member.

The Emergency Accidental Medical Benefit will reimburse medical bills (up to Rs 1,00,000) if the passenger is involved in an accident during a trip and needs medical attention. (PTI)

Two-wheeler makers demand further cut in excise duty

NEW DELHI, Mar 3: The Nano effect was too apparent to ignore at Finance Minister P Chidambaram’s post-Budget conference today with two-wheeler manufacturers, including Bajaj Auto and Hero Honda, demanding a further cut in excise duty for a level-playing field with small car makers.

The duty for two-wheelers and small cars has been brought down to 12 per cent in the Budget proposals, a move, two- wheeler manufacturers feel, would lead to unfair competition.

"Two-wheelers are used by real aam admai (common man)," Hero Honda Managing Director Pawan Munjal said at the conference while making a case for lower excise duty on two-wheelers.

"The excise duty on two-wheelers and three-wheelers should be brought down to 8 per cent," Chairman of Bajaj Auto Rahul Bajaj said.

Chidambaram in his Budget has proposed to reduce the excise duty on small cars and two-wheelers from 16 per cent to 12 per cent.

Assuring the industry that he would keep a close watch on developments in the auto sector, Chidambaram said he had kept the duties at the same level for auto and small cars "as they enjoyed the same duty in the last two-three years."

Fearing competition from Tata Motor’s Rs one-lakh car Nano, which was unveiled at Auto Show in January in New Delhi, two-wheeler makers want that excise duty on motorcyles and scooters should be lower than the levy on small cars.

Tata Motors is planning to launch its Rs one-lakh car in September, which will now attract excise duty of 12 per cent the same as for two-wheelers and three-wheelers.

Responding to the demand of the industry that encouragement should be given for exports of two-wheelers, Chidambaram said the Government refunds excise duty on exports and added efforts could be made to expedite the process of reimbursements.

On the apprehensions that the proposal to narrow down the definition of charitable trusts would bring industry chambers under the tax net, the Finance Minister said tax exemptions were given to promotion of charitable activities in the field of education, health and feeding the poor.

Under the new proposals, he said all the commercial activities carried out by the charitable institutions and services provided by them in relation to trade and commerce will be taxed.

When pointedly asked whether the industry chambers would have to pay taxes, he evaded a direct reply and said in lighter vein, "I thought FICCI, CII and Assocham were loss-making organisations."

He explained that the intention of Parliament was to provide tax exemptions to charitable institutions and not to entities carrying out commercial activities like Guarjat Maritime Board or port trusts as has been held by some courts.

The Minister also asked the industry chambers to adopt ITIs as per the scheme unveiled by the Government earlier and pursue the objective of enhancing skills.

Stating that so far MoUs have been signed for only 244 ITIs, he asked the industry to complete the process of initiating upgradation of all ITIs by the end of 2008-09.

Chidambaram said the proposed Skill Development Mission will be developed outside the Government under the public- private partnership mode and would be headed by a corporate leader. (PTI)