New Delhi, September 3
The rate of inflation breached the 8 per cent mark — the first time in four years — and reached a level of 8.17 per cent for the week ended August 21 even as the government refused to comment on the issue.

Significantly, economists have expressed concerns about a further rise in the inflation rate, at least in the coming week, as the latest figure is arrived at before factoring the impact of the truckers’ strike in the last week of August.

At the same time, the impact of the government’s decision to execute duty cuts in petroleum products may act as a neutraliser and could rein in the rising price line to some extent.

During the week under review (ending August 21), the prices of all major commodity groups, including food articles, fuels and manufactured products, registered an increase in prices.

The point-to-point wholesale price index (WPI) inflation rose by 0.23 per cent from 7.94 per cent in the previous week primarily due to costlier vegetables, diesel and manufactured items.

The WPI increased by 0.2 per cent to reach a level of 188 points with a rise in all major indices in each of the categories, including primary articles, fuels and manufactured items.

Food Articles’ group index increased by 0.2 per cent to 189 points due to higher prices of coffee (6 per cent), vegetables (4 per cent), maize and eggs (3 per cent each), fruits (2 per cent) and wheat, masur and arhar (1 per cent each).

Fuel, Power, Light and Lubricants’ group index increased by 0.3 per cent to 279.2 points due to one per cent hike in the price of diesel.

The index of heavy-weighted Manufactured Products’ group rose by 0.2 per cent to 166 points owing to costlier food products, tobacco, textiles and machinery. The index was 155.5 points in the previous year.

New Delhi, September 3
Industry chamber Ficci has urged the government to provide incentives and tax exemptions to private companies for employing disadvantaged groups, instead of forcing the corporate sector to compulsorily reserve jobs for the targeted groups.

Talking to reporters here today, the President of the Federation of Indian Chambers of Commerce and Industry (Ficci), said, “It should be left to the companies to voluntarily decide if employing the designated percentage of SCs/STs is worth the incentives or not.”

On August 30, the government had constituted a Group of Ministers (GoM) to examine initiating affirmative action in the private sector for Dalits and tribesmen. This follows the UPA government’s Common Minimum Programme (CMP), which provides for reservation for the SC/ST and backward classes in the private sector.

Mr Modi said from the efficiency point of view, incentives were a better option than a quota or a reservation system. They would not only be instrumental in achieving the socio-economic targets, but also leave the industry with enough room for flexibility and autonomy of business operations, he added.

Mr Modi said the government and the private sector together needed to draw a definite plan on human capital upgradation for SCs and STs.

According to a study by Ficci, 67.44 per cent of the SC/ST students drop out from schools in the country every year. The level of SC/ST participation rate in various streams of vocational training is also dismal.

“There is a need to have a well-defined policy to develop entrepreneurship skills among the vulnerable class of society,” said Ficci Secretary-General Amit Mitra.

Mr Modi said the industry was willing to partner with the government in providing primary education to the disadvantaged class.

The long-term priority should be to raise the educational levels -- both at school and university levels through effective vocational trainings among the disadvantaged class, he said.

New Delhi, September 3
ONGC Videsh Ltd (OVL), the overseas arm of state-run Oil and Natural Gas Corporation (ONGC), has acquired 30 per cent stake in an exploratory oil block off Ivory Coast from US-based Vanco Energy Company.

The acquisition would become final after the approval by the Ivory Coast government, OVL said in a statement here. OVL had negotiated acquisition of 40 per cent stake but offered 10 per cent participating interest to Oil India Ltd (OIL).

OVL would bear 39 per cent of the cost incurred during the exploratory phase - comprising geological and geophysical work done in the past, drilling of one exploratory well and one appraisal well - against its participating interest, while OIL would bear 13 per cent.

Both OVL and OIL would have recovery rights if they hit oil during the exploration.

The hydrocarbon resource potential in the block, spread over an area of 4,156 sq km in San Pedro Basin, is estimated at more than one billion barrels.

OVL Chairman Subir Raha said the block had good potential and was especially significant as it marked the company's entry in the west African hydrocarbon sector.

Last week, the company acquired a majority stake in an exploratory block in Australia. Now it has presence in ten countries, including Myanmar, Vietnam, Iran, Iraq, Syria, Libya, Sudan and Angola. — UN

New Delhi, September 3
The government has decided to strengthen the infrastructure by putting in place clear policy perspectives and guidelines to attract foreign and domestic investors, said Planning Commission Deputy Chairman Montek Singh Ahluwalia here today.

“The government will clear the cowbebs in policy in the next three to four years,” Dr Ahluwalia, who is also Co-Chairman of the Indo-US Economic Dialogue told a meeting organised by the Federation of Indian Chambers of Commerce and Industry (FICCI).

Dr Ahluwalia said a key constraint in the way of accelerating industrial growth and making India a manufacturing hub was the gap in the development of infrastructure. This was the most oft repeated complaint of the foreign investors.

“My years in Washington and my interaction with the US Administration and American industry have brought home the fact that the major constraint in foreign companies investing in India is the poor state of the infrastructure sector,” Dr Ahluwalia said.

He said in the high level dialogue between the two countries, the USA will put on table the concerns of the American industry.

He said he would like to do the same for the Indian industry and asked for suggestions of the business community in this regard.

Referring to the fall in Indian exports to the USA, Dr Ahluwalia regretted that the private sector had not made full use of the liberalised polices to become globally competitive.

Dr Ahluwalia said India’s image in the West has undergone a sea change, thanks to its growing prosperity and the contribution of software and BPO professionals.

He said the Indo-US economic dialogue would enable intervention at the highest level to eliminate thorny issues in the relations between the two countries.

Darlaghat, September 3
Gujarat Ambuja Cements Limited (GACL), a Rs 3,000-crore giant, plans to commission a full-fledged cement plant at Dadri, UP, next year. “The clinker will be acquired from Rajasthan and fly ash from the National Thermal Power Corporation plant for use there,” Mr Suresh Neotia, Chairman, GACL, said here today.

Addressing mediapersons before the inauguration of an additional unit for enhancing the output capacity of the GACL’s Darlaghat plant, he said the necessary formalities were being done to get the Dadri unit commissioned.

Himachal Pradesh Chief Minister Virbhadra Singh inaugurated the new unit of the plant, which incidentally is the highest altitude cement plant in Asia, today. With this, GACL’s capacity to produce cement would increase to 15.5 million tonnes, an increment of 1.6 million tonnes.

Giving details about the Darlaghat plant, he said 550 acres was acquired for limestone mining when the plant was commissioned in 1995. The plant is connected to limestone quarries, situated in the nearby Kaslog village, through a Rs 25-crore 3-km long conveyor belt. “The village is 18 km by road, otherwise,” he stated.

“We have a social responsibility as a good corporate citizen,” he said. “So we gave Rs 2 crore to the state Forest Department for compensatory afforestation of 700 acres of the area. Further, Rs 40 crore royalty is given to the state every year to excavate 3.5 million tonnes of limestone,” he added.

Delving into the eco-friendliness of the plant, he said in the unit most of the effluents are recycled or taken care of through sewage treatment plant.

He said the cement industry was growing at nearly 5 per cent per year. “We envisage a growth in consumption in HP because of various hydel and industrial projects that have been given the nod in the state,” he says.

Mr Virbhadra Singh congratulated the company for enhancing industrial development in the state.

Chandigarh, September 3
Hitachi unveiled its window airconditioner, Quadricool, here, today. Combining style with the latest twin turbo technology, the new machine is targeted at the premium domestic market.

With customers opting for sleek and elegant products that are as per their upmarket lifestyle and at the same time economical, Quadricool offers some advantages towards this end. It has low pull down time, reduced noise level of 48 decibel and a high energy efficiency ratio of 11 that promises to save on power bills.

Pointing out its features, Mr Rakesh Khanna, Senior Vice-President ( Sales and Marketing), told TNS that this AC is equipped with the auto climate technology. Based on the weather conditions and time of the day, its intelligent environment control panel can be programmed for 125 cities across India. It is designed to perform at as high a temperature as 52°C.

What about the heating required in winters? “We are already making machines with the reverse cycle for export to Dubai,” informs Mr Khanna. India will have to wait as Hitachi is still working on the parameters suited to our environment, he says, adding that it will be launched at the appropriate time.

New Delhi, September 3
Prime Minister Manmohan Singh has reconstituted his Council on Trade and Commerce, comprising leading industrialists Ratan Tata, Kumarmangalam Birla, Mukesh Ambani, Rahul Bajaj, R.P. Goenka and Keshub Mahindra.

The other members of the council are Mr V. Krishnamurty, Mr Azim Premji, Mr N.R. Narayanamurthy, Mr Mukesh Ambani, Mr Jamshed Godrej, Mr Sunil Bharti Mittal, Mr Ashok Ganguly, Mr Deepak Parekh, Mr M.S. Banga, Ms Kiran Mazumdar Shaw, Dr K. Anji Reddy, Mr Venu Srinivasan, Mr Sunil Kant Munjal.

The Principal Secretary to the PM will be the Member-Secretary of the council.