 |
Saturday,
June 28, 2003, Chandigarh, India  
|
India Inc. set to do business
‘PFC not following RBI guidelines’
Bank deposits go up in Punjab: Kohli
Indian Bank plans IPO
HPCL profit grows 95 pc
IA to set up arm for airport handling
EPFO asks IFCI to pay 10 pc interest |
|
|||||||||||||||||||||||||||||
Shareholders force poll at Bata meeting
|
|
India Inc. set to do business with China New Delhi, June 27 Experts say ground realities from China now point to a greater willingness on the part of the Indian industry to look more positively at the world’s most populous nation than they have ever done in the past. As Indian Prime Minister Atal Bihari Vajpayee wrapped up his landmark six-day visit to China on Friday, the Indian industry is fast shedding its China-phobia and hoping to emerge as its partner. “There is a big change in the attitude of the Indian industry towards China. We are beginning to see a new phase in business ties between India and China,” said Anjan Roy of the Federation of Indian Chambers of Commerce and Industry. “Hopefully, the trade ties between the two countries will improve rapidly now as Indian companies now have greater understanding of the Chinese market and business process,” Roy told IANS. Experts say bilateral trade between India and China has the potential to reach $10 billion within three years, up from $5 billion now. Roy said Vajpayee’s trip to China, the first by an Indian prime minister since 1993, has achieved significant results in improving economic relations. Vajpayee was accompanied by a high-level business delegation representing a wide spectrum of Indian industry, including IT, pharmaceuticals, automobile, and engineering goods companies. “You cannot be a businessman and ignore the Chinese market that is growing at 50 per cent per annum,” says Anand Mahindra, President of the CII, the country’s premier business lobby group. “My advice to my company when I go back will be ‘Forget other markets for the time being, go for China’,” says MD Mahindra and Mahindra. (MGM) MGM is reportedly planning to assemble and sell its sport utility vehicles in China. If the plan goes through, it would be the first foray of an Indian automobile company into the Chinese market. Industry observers say the technology sector in both the countries would receive a major boost as the two Asian giants recognise the scope of exploiting each other’s strengths. It wasn’t long ago when the Indian IT industry’s fear of China emerging as a potential competitor in the technology space bordered on full-blown paranoia. “Most of these industry level visits to some other country tends to be an expression of interest,” said Sameer Kochchar, CEO of New Delhi-based IT industry research firm Skoch Consultancy. “But this time we are set to see something concrete coming out from this exercise so far the technology sector is concerned. The visit goes much beyond a fee-good factor initiative. “The prime minister’s proposal of an alliance between Indian and Chinese IT companies for Olympic 2008 contracts is clearly an indication that companies in both countries are keen to identify areas of engagement,” he added. Emphasising on the importance of cooperation between IT industries in India and China, Vajpayee yesterday called upon technology firms to join hands to provide state-of-the-art solutions for the Olympics due in Beijing in 2008. “The Olympic Games could provide a good opportunity for Indian and Chinese IT firms to work together,” he said. “Our experience has shown that in mega events like these, a substantial proportion of the contracts awarded in the IT sector are actually sub-contracted to Indian firms by contractors from the developed countries.” Kochchar said the Indian industry would focus on leveraging the complementarities between the two countries. “It is a fact that China is a manufacturing powerhouse, while India is a knowledge-driven power in which services accounts for half its economy. China is far head of India in hardware sector while India has competitive edge in software. “The focus would now be on leveraging the strengths of each other and gain market share in other countries. So, both the countries would be rival in some sector and collaborator in others.” —
IANS New Delhi, June 27 The two countries were opposed to negotiations on trade and investment on WTO as so far it has not been made clear what constituted the parameters without which no negotiations could take place. The Indian and Chinese sides also discussed the issue of textiles, especially the scenario after the phase-out of quota regime by 2004, even though the two countries are major competititors in the sector. On trade and investment which constitute one of the four Singapore issues, Jaitley said India and China have identical views. A high powered trade delegation from China is expected to visit India in November. Jaitley, who had a detailed discussion with his Chinese counterpart Lu Fuyuan during the Prime Minister’s five-day visit said the two countries have also decided to double bilateral trade to $ 10 billion by 2008. |
|
‘PFC not following RBI guidelines’ Chandigarh, June 27 Addressing a press conference, association President K. S. Saini said the PFC had not even honoured the notification of the Punjab Industrial Policy, 2003, favouring a one-time settlement. He said the Badal Government had also announced a package but to no avail. Mr Saini, with General Secretary B. S. Ahluwalia and Chairman Som Chand Kataria, alleged that the PFC was charging interest ranging between 20 per cent and 26 per cent. He said Section 29 of the State Finance Corporation Act allowing financial institutions to take over assets in case of failure to repay the debt was used as a rule than exception against the spirit of the act. Mr Saini alleged despite repeated meetings with government functionaries and assurances, the PFC had not followed the RBI guidelines despite claiming to implement it. Mr Saini said the PFC was demanding the minimum principal amount from the defaulters despite they having made double or three-times more payment than the principal. The alleged mismanagement and the fleecing attitude of the PFC had led to it having 72 per cent of non-performing assets. He said the RBI had set up a committee on the condition of the industries of border districts which had also recommended a liberal attitude towards the industries. Mr Saini said the report submitted by the RBI committee had castigated the PFC accusing it of causing the closure of a large number of industries.
|
|
Bank deposits go up in Punjab: Kohli Chandigarh, June 27 The gross credit in the state expanded by Rs 3,070 crore, from Rs 21,309 crore as in March 2002, to Rs 24,379 crore as in March 2003. He was speaking at the state-level Bankers Committee meeting held here today to review the performance of banks in Punjab. He said, the priority sector advances during this period in Punjab grew by Rs 2,589 crore, from Rs 10,641 crore as in March 2002, to Rs 13,230 crore as in March, 2003, thus showing a record growth of 24.3 per cent against an increase of Rs 1,099 crore or 11.5 per cent during the corresponding period last year. Mr U.S. Bhargava, General Manager, PNB and Convener, SLBC (Pb), apprised that implementation of government sponsored programmes in Punjab is on top priority of all banks and they are determined to achieve the targets. He assured the state government that the banks would like to identify themselves with the grossroot economic and social activities of the state. Mr Rajan Kashyap, Chief Secretary, Punjab, appreciated the role of banks in the growth of the economy. He observed that performance of the banks under the agriculture sector appeared less because other sectors have grown more. He emphasised the need for modernisation of the agriculture sector so that it may get the status of the industry. He assured the government’s support in creating the requisite infrastructure and requested the banks to come forward for necessary investment. He also informed that the state would provide all the help needed for recovery of the banks’ dues. Mr Jasbir Singh Bir, Director, IF&B
(Punjab), Mr Rudal Ram, General Manager, RBI also attended the meeting.
|
|
Indian Bank plans IPO
New Delhi, June 27 “We are expecting to go public next year since the bank has to make (net) profit for three consecutive years,” Indian Bank Chairman Ranjana Kumar told PTI here. As per SEBI, an entity can go for an IPO only it posts net profits for three consecutive years. Asked what would be the size of the public offer and to what extent the government equity would come down, she said it would be discussed in the Board. After the successful IPO of car major Maruti, Punjab and Sind Bank had also announced its plans on IPO. In the recent times, Punjab National Bank, Canara Bank and Allahabad Bank had come out with IPOs. — PTI State Bank of Indore pays 50 pc
State Bank of Indore has announced 50 per cent dividend to its share-holders for the 2002-03. Showing an impressive performance during the year 2002-2003, the net profit of the bank increased by 60 per cent from Rs 125 crore last year to Rs 200 crore, Chairman of the Bank, A.K. Purwar said addressing the 42nd annual general meeting of the shareholders here yesterday. The book value per share of Rs 100 has improved from Rs 2,358 to Rs 3,335 and the earning per share has gone up from Rs 715 to Rs 1145. The board of directors have increased the rate of dividend payment from 40 per cent to 50 per cent for the year ended March 31, he said. —
PTI
|
|
HPCL profit grows 95 pc Chandigarh, June 27 The company’s turnover also crossed the Rs. 50,000 crore milestone for the first time, with the topline also growing by 16 per cent. Sales, thus, increased from Rs. 45,310 crore to Rs. 52,605 crore for the year ended March, 2003. The Board of Directors recommended the highest-ever dividend payout at 180 per cent (Rs 18 per share). This is in addition to the interim dividend of Rs 2 per share paid in February, 2003, thereby taking the total dividend for the year to 200 per cent.
EIH net down
New Delhi: SARS and Indo-Pak tensions on the border have had a major effect on the hotel and tourism industry in India and it has been visible in the annual results announced by EIH Limited, a member of The Oberoi group. In the financial results for 2002-2003 announced by the company yesterday although there was an increase in the revenue for the year but it was just about a marginal Rs 8 crore rupees. As a result the operating profit had come down from Rs 96.24 crore in the previous year to Rs 81.32 crore this year. Similarly, the net profit of the company had also come down from Rs 35.56 crore in the previous year to 15.47 crore this year. However, EIH Limited had proposed to pay a 30 per cent dividend to shareholders. Chairman of the
company P.R.S. Oberoi, while announcing the results, said the business during the year had not been satisfactory due to several events.
|
|
IA to set up arm for airport handling New Delhi, June 27 The proposal was cleared at the meeting of the Indian Airlines Board where it was also decided that the steps in this direction be taken at the earliest. Sources in the Civil Aviation Ministry said that the decision to set up this wholly owned subsidiary was taken to apparently seek a way out of the earlier decision of the Union Cabinet to ban all private ground handling agencies at the airports in the country. The decision to ban all private ground handling agencies at the airports was taken with a view of increased threat perception specially after the December 13 attack on Parliament. The Union Cabinet had taken the decision on the recommendations of the Cabinet Committee on Security (CCS). The proposal to this effect had been moved initially by the Home Ministry, which had objections keeping in mind the increased threat perception and accordingly had also written to the Civil Aviation Ministry. The ban was to come into effect from April last but was put off for six months keeping in mind the protests by the private airlines and also the future of the large number of employees of the ground handling agencies. The ban would have come as a hard blow to not only the private airlines but also to the employees who would be rendered jobless as a result. Sources said that the wholly owned subsidiary of the Indian Airlines for the airport handling and allied services would provide services not only to the state-owned domestic airlines but also the private airlines. The board also decided to extend by two months the VRS of IA after its present expiry date of July 17. The board was also apprised of re-appointment of New India Assurance Limited to manage its ensuing aircraft insurance renewals. This decision has been taken in view of the delay in Indian Airlines purchasing new aircrafts. A decision is pending on the purchase of 43 aircrafts by the airline and the proposal to this regard was recently got the clearance of the pre-Public Investment Board.
|
|
EPFO asks IFCI to pay 10 pc interest
New Delhi, June 27 “IFCI will have to pay at 10 per cent for the next 10 years till 2013. Upto March this year, IFCI will have to pay the agreed coupon rate ranging from 12 to 14 per cent,” Labour Minister Sahib Singh Verma told reporters here after the 162nd meeting of the EPFO board. Having paid at 9 per cent to EPFO for the last two years, the institution would have to pay up another Rs 30 crore if it has to clear its arrears till March, 2003, Verma said, adding it was the precondition for rollover. From 2003-04 onwards, IFCI had offered 9 per cent to which EPFO responded that IFCI would have to pay at 10 per cent. Asked whether there was any help from Finance Ministry, Verma said both labour and finance ministries had put pressure on IFCI, which owed around Rs 1,000 crore to EPFO alone. Brushing aside reports that Labour Ministry had asked the Finance Ministry for a Letter of Comfort to stand guarantee, Singh said it was not possible since the finance ministry could not issue that. —
PTI
|
bb
Jay Shree Tea Pidilite awarded XPS Cargo Sugar export XLRI Centurion Bank Fitch Ratings Tata Infotech |
 |
| Punjab | Haryana | Jammu & Kashmir | Himachal Pradesh | Regional Briefs | Nation | Editorial | | Business | Sport | World | Mailbag | Chandigarh Tribune | Ludhiana Tribune 50 years of Independence | Tercentenary Celebrations | | 123 Years of Trust | Calendar | Weather | Archive | Subscribe | Suggestion | E-mail | |
