Muthoot Group opens
branch at Shastri Nagar

Excelsior Correspondent

JAMMU, Nov 17: As a part of its expansion programme, Muthoot Finance Group opened its new branch at Shastri ...more

Rayat Bahra Group starts
management courses at
Bari Brahmana campus

Excelsior Correspondent

JAMMU, Nov 17: The Rayat Bahra Group has started management courses at its campus in Bari Brahmana from today. Announcing this at a press conference here......more

India emerges largest
contributor for jewellery
demand in Q3:WGC

BANGALORE, Nov 17: The lure of the yellow metal continues to haunt Indians as the country emerged the largest contributor ....more

Commexes turnover
up over 54 pc at
Rs 9.89 lk cr in Oct

NEW DELHI, Nov 17: The turnover of the 23 commodity exchanges in the country rose by 54.31 ....more

Customs duty of
Rs 175.69 cr collected
in Indore in current FY

INDORE, Nov 17: Customs duty collections in the Indore range aggregated to Rs 175.69 crore in the first seven months of the current financial year, compared to Rs 82.98 crore in the previous financial year......more

Honda Motorcycle to
invest Rs 1,000 cr for
new facility in AP

HYDERABAD, Nov 17: Honda Motorcycle and Scooter India (HMSI), a subsidiary of Honda Motor Company, .......more

Asian equity mkts
to represent half the
world’s market-cap

NEW DELHI, Nov 17: Asian equity markets are likely to scale astounding heights and will represent almost half of the world market capitalisation within 20 years, driven by significant growth in the financial....more

RBI forecasters survey:
Growth pegged at
8.5 pc in FY’11

MUMBAI, Nov 17: Professional forecasters have revised their projections for GDP growth in the current fiscal to 8.5 per cent from the earlier estimate of 8.4 per cent, according to an RBI survey.....more

Maharashtra, NCR account for over 50 pc FDI during Apr-Aug

RJ Corp eyes PepsiCo’s Bhutan bottling ops for expansion

Law Ministry backs Oil Ministry view on Cairn-Vedanta deal

NSEL launches e-copper for retail investors

 

Muthoot Group opens branch at Shastri Nagar

Excelsior Correspondent

JAMMU, Nov 17: As a part of its expansion programme, Muthoot Finance Group opened its new branch at Shastri Nagar here today. The branch was jointly inaugurated by former Corporators, Suresh Jamwal and Tilak Raj Gupta, in presence of Regional Manager of the Group C S Kang, in a function organized here this afternoon. Besides state head of the Group, S S Andotra, branch managers B S Sambyal and S S Wazir were also present besides staff and prominent persons of the area.

This is the sixth branch of the Muthoot Finance Company in the winter capital city here. Both the Ex-Corporators congratulated the Company staff for adding yet another branch and going for expansion of business. They hoped that group would grow in other districts as well.

Mr Kang welcoming the guests highlighted some achievements of the Company. He disclosed that Muthoot Finance is the leading private financial organization in the country having over 1300 braches. Over 25 crore customers across the country have availed loan/ services from the Group so far and they all were satisfied. He said that anybody can get the loan facility within five minutes and for this reason this group has unique quality of rendering prompt services to the customers. The people can get hassle-free loan against the gold ornaments as well from Rs 1500 to Rs 1 crore. There is no processing or hidden charges on the loan amount provided by the company. Anybody can contact the Loan Manager or branch head for loan or any other relevant information from 9.30 am to 6 pm from Monday to Saturday, Mr Kang maintained.

Rayat Bahra Group starts management
courses at Bari Brahmana campus

Excelsior Correspondent

JAMMU, Nov 17: The Rayat Bahra Group has started management courses at its campus in Bari Brahmana from today. Announcing this at a press conference here this afternoon, the Group Campus Director, Dr S K Bansal said J&K has always been the strength of the Rayat Bansal Group and it has contributed a lot in its decade old journey in the field of professional and technical education.

He said the chairman of the Group, S. Gurvinder Singh Bahra on the insistence of Academicians, intellectuals and civil society of Jammu had announced on October 16 this year about the decision of the Group to open campus in J&K for the benefit of the students of the state.

Bansal informed that the Group which started its operations in 2001has shown a verticle growth and from one engineering college in Roopnagar (Ropar) in 2001, it has spread its operations in Mohali, Hosphiapur, Himachal Pradesh and now Jammu and Kashmir. The group has entered J&K by joining hands with Shivalik Educational Trust started managing and administering the SET Business School. The group which already has 35 colleges including engineering, Dental sciences, nursing, pharmacy, Management sciences, BCA and law is also providing quality education at Masters level in engineering and pharmacy.

Dr Bansal further informed that the group has started management courses including MBA and BBA at SET campus in J&K and would be shortly introducing many job oriented courses in its campus.

Others present in the press conference included Col (retd) Ashok Rana, G M, RBGI, Santosh Kumar and Ajjat Jamwal, coordinator Marketing and Admissions.

India emerges largest contributor for
jewellery demand in Q3:WGC

BANGALORE, Nov 17: The lure of the yellow metal continues to haunt Indians as the country emerged the largest contributor to the growth of jewellery demand in the third quarter of calender 2010 with a 36 per cent jumpt at 185.5 tonnes as against 135.2 tonnes during the corresponding period last year.

In ruppe value terms, the demand reached Rs 338 billion, 67 per cent higher than the same period in 2009, according to statistics released by the World Gold Council (WGC).

India’s Q3 net retail investment was up to 45.1 tonnes, an increase of one per cent from Q3 2009. The demand reached Rs 80.23 billion, an increase of 30 per cent higher than the same period of 2009.

WGC said the increase had reflected the growing expectation amongst retail investors of still higher prices to come. Existing investors generally tended to hold on to their holdings in anticipation of greater long-term returns.

The total gold demand in Q3 2010 was 229.6 tonnes and Rs 418.23 billion.

During the first nine months, the total gold jewellery demand in India remained robust with the volume increasing by 73 per cent to 513.5 tonnes as compared to 297.2 tonnes in the corresponding period of 2009. In value terms, demand increased to Rs 89,453 crore, an increase of 105 per cent.

The volume of gold in investments was very strong and grew by 108 per cent to 136.9 tonnes in the first nine months of 2010 as compared to 65.8 tonnes in the corresponding period of 2009. Investments in the above mentioned period of 2010 accounted for Rs 23,848 crore in comparison to Rs 9,642 crore in 2009, an increase of 147 per cent.

Total demand for gold in India rose by 79 per cent to 650.4 tonnes in the period January to September 2010 as compared to 363 tonnes in the corresponding period in 2009, clearly indicating that there has been a robust demand.

(UNI)

Commexes turnover up over 54 pc at Rs 9.89 lk cr in Oct

NEW DELHI, Nov 17: The turnover of the 23 commodity exchanges in the country rose by 54.31 per cent to Rs 9.89 lakh crore in October, buoyed by a surge in bullion trade, according to the Forward Markets Commission (FMC).

The turnover of the commexes stood at Rs 6.40 lakh crore in the same period last year, data collated by the commodity markets regulator showed.

Among the four national bourses, the MCX’s turnover rose sharply by 57.46 per cent to Rs 8.47 lakh crore in October, which was almost 80 per cent of the combined turnover of all 23 bourses. In October, 2009, MCX did business worth Rs 5.38 lakh crore.

The turnover of the NCDEX, which mainly offers futures trading in agri-commodities, grew by 25 per cent to Rs 95,344 crore from Rs 76,274 crore in the corresponding period last year.

But the turnover of the NMCE, the country’s third largest national commodity bourse, fell by more than 50 per cent to Rs 8,757 crore last month from Rs 19,635 crore in October, 2009.

New entrant ICEX did business worth Rs 30,700 crore last month.

The FMC said gold and silver trading volumes were significant last month and as a result, turnover from bullion trade jumped by 93 per cent to Rs 4.73 lakh crore in October from Rs 2.45 lakh crore in the year-ago period.

Similarly, business from energy trade rose by 28 per cent to Rs 1.87 lakh crore in October, 2010, from Rs 1.46 lakh crore in October, 2009, while the turnover from trading of metals like copper rose marginally by 5.34 per cent to Rs 2.21 lakh crore in the review period.

The turnover from agri-futures was Rs 1,06,149 crore in October, 2010, as against Rs 1,04,008 crore in the corresponding period last year, the FMC data showed. (PTI)

Customs duty of Rs 175.69 cr collected in
Indore in current FY

INDORE, Nov 17: Customs duty collections in the Indore range aggregated to Rs 175.69 crore in the first seven months of the current financial year, compared to Rs 82.98 crore in the previous financial year.

During the same period, excise duty totalling Rs 506.20 crore was levied, translating into an 51.37 per cent increase in revenue to the exchequer vis-a-vis the corresponding period last fiscal, Central Board of Excise and Customs Commissioner V K Verma said in a statement.

He said collections from service tax stood at Rs 174.28 crore during the period, translating into a marginal increase of 5 per cent year-on-year.

Collections in the Indore range were low, as many companies working here are registered elsewhere, he said, adding that the merger of State Bank of Indore with State Bank of India has also affected collections. (PTI)

Honda Motorcycle to invest Rs 1,000 cr for
new facility in AP

HYDERABAD, Nov 17: Honda Motorcycle and Scooter India (HMSI), a subsidiary of Honda Motor Company, will soon set up its third two-wheeler manufacturing facility near here with an investment of Rs 1,000 crore, a government official said today.

He also said that two more global companies—Italian industrial manufacturing firm Camozzi and Korean power equipment major Hyosung Corporation—are planning to invest Rs 300 crore and Rs 450 crore, respectively in Andra Pradesh.

"Honda wanted 100 acres of land for setting up the facility and we have shown them available land in Medak and Nalgonda districts close to Hyderabad," Andhra Pradesh Industrial Infrastructure Corporation Managing Director B R Meena said here today.

"Honda officials said they would invest Rs 1,000 crore on the production facility in a phased manner of which Rs 500 crore will come in the first phase," he added.

HMSI currently has a two-wheeler manufacturing plant at Manesar in Haryana with an annual production capacity of 1.55 million units per annum while the second plant, with a production capacity of 6 lakh units, is coming up at Tapukara in Rajasthan.

The proposed manufacturing facility in Andhra Pradesh will be HMSI’s first in South India.

Meena said Honda officials have submitted their proposal for setting up the two-wheeler manufacturing facility two days ago. Initially, the unit would manufacture 2,000 two-wheelers per month and gradually increase the capacity.

"They are yet to submit a detailed project report to us," he added.

Meanwhile, the Camozzi Group has also come forward to set up its textile and other industrial equipment manufacturing units near Hyderabad.

"Camozzi has plans to invest Rs 300 crore on the facility and wants 20 acres of land," Meena said.

Besides, he said, power and industrial systems major Hyosung Corporation is also headed for AP to set up a Rs 450 crore high-voltage transformers manufacturing plant.

The company sought allocation of 25 acres of land at Mannavaram near Tirupati where the NTPC-BHEL joint venture power plant equipment manufacturing facility is coming up.

"We had preliminary discussions with representatives of these major companies and are awaiting submission of detailed project reports. The proposals are under active consideration of the government," Meena said. (PTI)

Asian equity mkts to represent half the world’s market-cap

NEW DELHI, Nov 17: Asian equity markets are likely to scale astounding heights and will represent almost half of the world market capitalisation within 20 years, driven by significant growth in the financial markets of India and China, a study says.

"By 2030, we expect Asian equity markets to represent almost 50 per cent of world market capitalisation and Asian domestic bond markets to be bigger than the US bond markets," according to the ‘Super-Cycle Report’ by British banking major Standard Chartered.

The equity-market capitalisation for Asia, ex-Japan, is expected to rise from USD 7.4 trillion currently to around USD 151 trillion by 2030, half of which could be attributable to China, expected to have a market capitalisation of around USD 79 trillion.

Equity markets of India, South Africa, Indonesia, China and Brazil are projected to expand at a compound annual growth rate (CAGR) of around 15 per cent over the next two decades.

With the Asian financial markets – in particular those of China and India – growing substantially, centres such as Hong Kong and Singapore to emerge as even bigger hubs for regional and global products.

"Other locations, such as Shanghai, Mumbai and Dubai, to become bigger financial centres for regional products," the report added.

With Asian financial centres becoming more important, Asian debt and foreign exchange markets are also set to grow strongly.

In the next two decades, China, Brazil and India are all set to become the three major players in the forex market, besides top 10 economies. China is expected to have a daily turnover of USD 6.2 trillion, Brazil (USD 2.5 trillion) and India (USD 1.9 trillion) in 2030, the report said.

The study said that the higher a country’s per-capita income, the more sophisticated and developed its financial markets are likely to be. Besides, economic reform, privatisation and financial innovation would contribute to the growth of equity markets in Asia, it added.

It also said that increasing capital requirements and a structural shift to savings would drive growth in emerging market equity markets. (PTI)

RBI forecasters survey: Growth pegged at 8.5 pc in FY’11

MUMBAI, Nov 17: Professional forecasters have revised their projections for GDP growth in the current fiscal to 8.5 per cent from the earlier estimate of 8.4 per cent, according to an RBI survey.

"Forecasters have revised their real GDP growth rate forecasts marginally upwards to 8.5 per cent in 2010-11 from 8.4 per cent in the last survey, driven mainly by increased agricultural growth and increased growth in services in the subsequent quarters," according to the Reserve Bank’s 13th Round of Professional Forecasters report.

Clarifying that the survey does not represent the views of the RBI, the central bank said the forecasters have also pegged inflation at 6-6.9 per cent by the end of this fiscal, as against the central bank’s own projection of 5.5 per cent.

The forecasters also expect economic growth to be 8.5 per cent next fiscal, lower than the government’s 9 per cent estimate.

However, the 30 forecasters surveyed by the RBI did not all subscribe to the 8.5 per cent growth projection, which was derived on the basis of their individual growth forecasts.

The forecasters assigned the highest probability to 8.5-8.9 per cent growth this fiscal and 8-8.5 per cent expansion next fiscal, but the maximum number pegged economic growth at 9.2 per cent this fiscal and 9 per cent in 2011-12.

The forecast for agriculture growth this fiscal has been revised upwards to 4.9 per cent from 4.1 per cent in the RBI’s last survey of professional forecasters.

For industry, the growth forecast has been maintained at 9 per cent, while for services, it has been revised from 9.1 per cent to 9.2 per cent for 2010-11.

Forecasters in the RBI survey pegged inflation in the range of 6 per cent to 6.9 per cent by the end of this fiscal, as against the central bank’s projection of 5.5 per cent.

"Forecasters have assigned the highest 34.3 per cent chance that it (inflation) will fall in 6-6.9 per cent in end March of 2010-11," the survey said.

Inflation fell to a nine-month of low 8.58 per cent in October from 8.62 per cent in September.

Economic growth slowed down to 6.7 per cent during 2008-09 after the Indian economy came under the impact of the global financial crisis, which knocked the country off the 8.7 per cent growth trajectory achieved in the previous five years.

After the government provided a stimulus, economic growth improved to 7.4 per cent in 2009-10.

In the first quarter of this fiscal, the Indian economy expanded by 8.8 per cent. The government has predicted that the economy will grow by 8.5 per cent this fiscal and retained the target, despite industrial growth slowing down for the second consecutive month to a 16-month low of 4.4 per cent in September. (PTI)

RJ Corp eyes PepsiCo’s Bhutan bottling ops for expansion

NEW DELHI, Nov 17: Delhi-based RJ Corp, PepsiCo’s leading bottler in India, today said it will acquire the global beverage major’s bottling operations in Bhutan as a part of its USD 100-million (around Rs 450-crore) expansion plan.

"We are looking to acquire (Pepsico’s) bottling operations in Bhutan by next year. The company would need USD 100 million investment to fund acquisitions and expansion in India and overseas," R J Corp Chairman Ravi Jaipuria said.

The company is currently holding talks with several private equity (PE) investors to fund the plan. "In a couple of months, the name of the PE investor will be finalised," he added.

Blackstone is one of the PE firms which is understood to be investing in the company. However, Jaipuria, declined to comment on the same.

Earlier this year, RJ Corp had bought franchisee bottling rights of PepsiCo from Ole Springs Bottlers in Sri Lanka.

It is the cola maker’s top franchisee bottler in India and also owns the franchisee rights in Nepal and Africa.

"We are expanding in Africa and setting up greenfield bottling plants in Mozambique this year, followed by Zimbabwe next year," Jaipuria said.

RJ Corp already has dairy businesses in Uganda and Kenya for products such as milk, yogurt, cheese and butter.

The past 2-3 years have seen a host of Indian consumer products companies, such as Dabur, Marico and Godrej Consumer Products and Wipro making a beeline for Africa.

RJ Corp’s group company Devyani International also holds franchisee rights for KFC and Pizza Hut and Costa Coffee restaurants in India. (PTI)

Maharashtra, NCR account for over 50 pc
FDI during Apr-Aug

NEW DELHI, Nov 17: Maharashtra and the National Capital Region (NCR) accounted for over half the foreign direct investment inflows into the country during April-August this fiscal, according to industry ministry’s latest data.

Maharashtra attracted the highest FDI at USD 2.43 billion (Rs 11,154 crore), accounting for 35 per cent of the inflow in the country, during the first 5 months of the current fiscal.

NCR, including parts of Uttar Pradesh and Haryana, received USD 1.85 billion (Rs 8,476 crore) in FDI during the period. The region accounted for 20 per cent of the total FDI.

During April-August 2010-11, India received USD 8.88 billion in FDI, the data said.

According to an expert, the main reasons for the maximum inflows in Maharashtra and NCR are substantial improvements in infrastructure and pro-active approach of the governments.

"Infrastructure in these areas has improved considerably and that is making them attractive destination for FDI in India," said Rakesh Joshi, an international trade expert at Indian Institute of Foreign Trade.

Karnataka attracted the third highest FDI inflows worth USD 936 million during the period, followed by Andhra Pradesh (USD 451 million), Tamil Nadu (USD 316 million), Goa (USD 291 million) and Gujarat (USD 230 million).

Sectors that attracted high levels of FDI include services, telecom, metallurgical industries, power, computer hardware and software, and construction activities.

The highest FDI of USD 2.92 came from Mauritius, followed by Singapore (USD 1.08 billion), USA (USD 636 million), Japan (USD 515 million) and the Netherlands (USD 481 million) in April-August 2010-11.

The government is making sustained efforts to make the FDI policy regime more attractive and investor friendly. It is considering to liberalise FDI in multi-brand retail and the defence sector.

FDI inflow during 2009-10 was USD 25.88 billion, 5 per cent lower than USD 27.33 billion in the previous fiscal. (PTI)

Law Ministry backs Oil Ministry view on Cairn-Vedanta deal

NEW DELHI, Nov 17: In a significant development, the Law Ministry has opined that UK’s Cairn Energy cannot sell stake in its Indian unit to Vedanta Resources without government nod for transfer of control in all its properties including the giant Rajasthan oilfields.

"We had been criticised for being overzealous and so we took the opinion of the Law Ministry which has unequivocally stated that Cairn Energy must apply and seek government approval in all of its assets in India," an oil ministry official said here.

The Edinburgh-based firm, in its August 16 announcement for sale of its 40 to 51 per cent stake in Cairn India to London-listed Vedanta Resources for as much as USD 8.48 billion, did not say the deal was conditional on government approvals.

On being shown the relevant provisions of the contracts for exploration it has with the government, Cairn Energy about a month later made an application for permission that left out all of its three producing properties including its mainstay 6.5 billion barrels Rajasthan block.

"The Law Ministry in an opinion sent late last month has clearly held that the share sale is nothing but transfer of control (in all of the 10 properties of Cairn India) and so government nod is required in all of them," the official said.

Previously, the Solicitor General of India, the nation’s second highest law officer, had held the same view on being asked for advice by Oil and Natural Gas Corp (ONGC).

"Cairn India is primarily an aggregation of interests that it holds directly or indirectly through its subsidiaries in 11 blocks (in India and Sri Lanka). A transfer of controlling stake in Cairn India amounts to a transfer of the respective participating interests, therefore necessitating government approval," the official said.

And transfer/sale/assignment of interest to third party will trigger pre-emption rights of state-owned ONGC, which partners Cairn India in most of its properties.

The official said Cairn was awarded exploration blocks on the basis of the group’s financial strength, technical capabilities and past experience in the area of exploration and

production of oil and natural gas worldwide including operatorship experience.

Vedanta on the other hand would not have won a single block on its own due to lack of experience in oil and gas sphere. But by acquiring Cairn India, it is "circumventing the technical expertise criteria required for bids and assignment (in oil and gas properties)," he said.

The new owner of Cairn India will have to meet the technical expertise criteria set for operations of complex oil and gas fields.

Cairn says the Vedanta deal is only a corporate transaction involving share transfer which does not trigger issues like examination of new owners’ technical capability and ONGC’s pre-emption rights. (PTI)

NSEL launches e-copper for retail investors

MUMBAI, Nov 17: After e-Gold and e-Silver, the National Spot Exchange (NSEL) has launched e-Copper in its portfolio of e-Series products and plans to have 20 e-Series products by end-2011.

E-Series products provide an opportunity for small investors to invest in physical commodities in smaller denominations in demat form.

This segment is similar in functionality to the cash segment in equities. The Exchange plans to have 20 e-Series products by the end of 2011 to promote savings and investment in commodities, a press release issued here stated.

On the first day of its launch, e-Copper opened at Rs 466.70 per kg. It hit an intra-day high of Rs 466.90 and eventually closed at Rs 452.10.

E-Copper recorded a total traded volume of 15,30,012 kg valued at Rs 70.40-crore.

Investors can trade and invest in one trading unit of e-Copper and multiples thereof. One unit of e-Copper is equivalent to one kg of copper. The clearing and settlement pay-in and pay-out are based on T+2 settlement cycles. Physical delivery of copper is possible in the form of Grade 1 Copper Cathode, the release said.

E-Series products are backed by physical delivery and are stored in the Exchange’s secured warehouses/vaults while trading takes place in demat form. An investor can trade in these investment products after opening a demat account with any of NSEL’s empanelled DPs. (PTI)