Industrial growth rate falls to 3.5 per cent
NEW DELHI, March 23 — Industrial production growth rate has declined to 3.5 per cent during first nine months of the current fiscal as against 6.7 per cent recorded in the corresponding period last year.

Shahnaz Herbal sealed NOIDA, March 23 —Shahnaz Herbal Company in Noida’s phase-II has been sealed, for defaulting on payment of trade tax arrears, running into crores.

Pension for disabled children
CHANDIGARH, March 23 — A totally disabled child of a deceased will now be entitled to monthly pension irrespective of the age and number of children in the family, in addition to the regular pension.

Alstom, ABB to merge units
PARIS, March 23 — Engineering giants Alstom and Asea Brown Boveri today said they would merge their energy operations to form one of world’s biggest power and generator producers.

Bausch & Lomb India launches ‘suntamers’
CHANDIGARH, March 23 — Bausch & Lomb India, which has global sales of over $2.5 billion, is expected to post better results during the current financial year.

Bank of Punjab to open 3 branches
CHANDIGARH, March 23 — Bank of Punjab is opening three branches in Goraya, Nehru Place, Delhi and Sand Hurst Bridge, Chowpatty, Mumbai. The bank will have 50 banking offices operational before March 31.

• Colgate

No move to cut farm subsidies under WTO

NEW DELHI, March 23 (PTI) — The government has no proposal to reduce subsidies to farmers during a review of the World Trade Organisation (WTO) agreement on agriculture as India’s price support to growers is less than the norms set in the pact.

“There is no proposal to cut incentives for farmers in view of the review of the WTO agreement on agriculture,” Commerce Secretary P P Prabhu said during an interaction at the National Conference on Agriculture for Kharif Campaign 1999.

This was mainly in view of Indian aggregate measurement support (AMS) of prices, derived by deducting domestic prices of commodities from global prices, was less than AMS elsewhere in the world, Mr K. M. Chandrasekhar, Joint Secretary in the Commerce Ministry, said.

“Our aim in 1986-87 (the base year commodities prices under agriculture agreement) was minus Rs 90,000 crore and in 1995-96 it was minus Rs 28,000 crore. Therefore, there is no need to scale down our subsidies,” he said.

“Our only effective commitment is to maintain ceiling bindings (on tariffs). In fact, our actual duty is much less,” he said.

Prabhu said India would insist on the European Union (EU), Japan and the USA cutting subsidies in agriculture export.

“EU is subsidising agriculture to the tune of $ 100 million. Japan and the USA also maintain a high level of subsidy for agriculture,” he said.

Allaying fears of India coming under pressure to reduce its tariff from levels currently committed (bound rates) in the agreement, he said India had committed to bind its tariff rates up to 100 per cent for primary commodities, 150 per cent for processed food and 300 per cent for oilseeds.

“In some cases, we are well protected,” he said, adding India would either seek unlimited market access or sharp reduction in tariff rates in case of pressure to reduce the bound rates.

Chandrasekhar said India would not have to make any commitment on cutting export subsidies since it did not extend any such incentive for shipments from the country.

Referring to India’s strategy for the review negotiations, he said India would highlight at the WTO food security as an area of concern.

Specific proposals were yet to be made at the informal discussions which have begun at WTO and special and differential treatment should continue for developing nations.

Trade barriers imposed by other countries would figure in the negotiations, and canalised imports would also be discussed.

Foodgrain production — is it up or down?

NEW DELHI, March 23 (PTI) — The Finance Ministry’s estimates have put foodgrain production in the current fiscal 1998-99 at 195 million tonnes, five million tonnes lower than the estimates of the Agriculture Ministry.

While the Finance Ministry in its annual report has said the foodgrains production during the current fiscal will be 195 million tonnes, Agriculture Minister Sompal has put the foodgrain output at over 200 million tonnes.

The rabi production will be a record one this time, the minister has said. Agriculture ministry’s claim is based on the increased area under cultivation during the rabi crop, favourable weather conditions and no report of pest and disease attacks.

According to the Agriculture Ministry’s projection, India will achieve record production in foodgrain, oilseeds, onions and potatoes this year against a shortfall last year leading to sharp spurt in prices of essential items.

Rice, wheat, pulses and oilseed production is likely to be 82.2 mt, 72 mt, 15.5 mt and 24 mt, respectively, this year as against 82.3 mt, 66 mt, 13 mt and 22 mt recorded in last year, the Ministry estimates.

The Finance Ministry, however, projects that rice, wheat and pulses output will be 82.2 mt, 69.1 mt and 14.8 mt, respectively, during the current fiscal.

The Finance Ministry estimates that cotton production during the current year will be about 29 lakh bales more than 1997-98 production level.

However, jute and mesta production will be 18 lakh bales lower than last year’s production.

Agriculture Ministry officials say that more area under crop cultivation will increase foodgrains production by about 3.5 to 4 million tonnes as compared to last years production level.

Fertiliser output falls

NEW DELHI, March 23 (PTI) — Fertiliser production at 124.15 lakh tonnes during April-February 1998-99 is slightly lower than the target of 125.19 lakh tonnes set for the current fiscal. The country produced 96.41 lakh tonnes of nitrogenous fertilisers and 27.74 lakh tonnes of phosphatic fertilisers during 11 months of 1998-99 as compared to the target of 95.78 lakh tonnes and 27.74 lakh tonnes.

The cumulative production in the corresponding period last year was, however, 91.48 lakh tonnes of nitrogen and 27.11 lakh tonnes of phosphate, an official estimate says. The fertiliser production was affected due to maintenance shutdown taken by the Oil and Natural Gas Corporation (ONGC) which supplies feedstock to several fertiliser units along HBJ pipeline.

MD, Director refused bail
Tribune News Service

CHANDIGARH, March 23 — The Punjab and Haryana High Court today declined to grant anticipatory bail to Ranjit Verma and Baldev Verma, Managing Director and Director of the Grow Green Forest India Ltd, respectively.

Mr Justice R.L. Anand, before whom their application for anticipatory bail came up for hearing, held: “The petitioners had not deposited the amount of Rs 10 lakh. One more opportunity is prayed for which is declined. There are serious allegations against the petitioners that they had cheated innocent persons.

Their custodial interrogation is necessary in public interest.” The petitioners were apprehending their arrest in connection with an F.I.R. lodged by Mr Rakesh Marwaha and certain other persons at Manimajra police station. They had alleged that the Vermas had collected a huge amount from a large number of investors and their maturity dates had already lapsed. Now they had closed their different branches and duped the investors.

Industrial growth rate falls to 3.5 per cent

NEW DELHI, March 23 (PTI) — Industrial production growth rate has declined to 3.5 per cent during first nine months of the current fiscal as against 6.7 per cent recorded in the corresponding period last year.

The latest annual report of the Finance Ministry released here today also projected foodgrain production at 195 million tonnes in 1998-99, higher by 2.6 million tonnes registered last year.

While the growth of manufacturing sector during nine month period of 1998-99 was recorded at 3.7 per cent the electricity sector posted a 6.6 per cent growth.

It said, annual rate of inflation based on the whole sale price index (WPI) rose gradually from 5.3 per cent in the first week of the current fiscal to the peak level of 8.84 per cent in September.

“The inflationary pressure observed during the current year was particularly due to the sharp rise in the price of primary products especially vegetables, fruits, oilseeds and pulses,” the report said.

In terms of use based classification, the performance of capital goods sector during April-December 1998-99 experienced highest growth of 9.8 per cent. However, basic goods intermediate goods and consumer goods grew at lower rates of 1.4 per cent, 4.7 per cent and 2.8 per cent respectively, it said.

Several infrastructure and core industries, namely electricity generation coal, steel, crude oil, refinery output, cement and fertiliser recorded a growth rate of 2 per cent during April-December 1998-99 as against 5 per cent in April-November 1997-98.

Growth of sectors such as ports, railways and telecommunications which do not appear in the IIP showed divergent trends.

Shahnaz Herbal sealed
From Our Correspondent

NOIDA, March 23 —Shahnaz Herbal Company in Noida’s phase-II has been sealed, for defaulting on payment of trade tax arrears, running into crores.

Reportedly trade taxes of Rs 14.28 lakh for 1993-94 and Rs 99 lakh for 1998-99 were due on the company which has several units across the country.

A special joint team consisting of officials of the district administration and the trade tax department raided and sealed the company.

Pak rejects India’s rates on power

PAKISTAN has given up the plan to sell electricity to India because of the difference in prices quoted, it is learnt.

However, Deputy Minister for Water and Power Haleem Siddiqi claims Pakistan is willing to continue talks on the project, “But we cannot supply electricity on rates offered by the Indians.” Pakistan has offered to sell power to India at Rs 7.2 per kilo watt hour (KWH) whereas India had offered to purchase power at Rs 2.2 per KWH only. “If we have to sell electric power to India at such a low rate, why should we not supply it to our own people on reduced rates?” he asked.

Besides, India wants Pakistan to build a grid station in the border area to ensure fluctuation-free power supply. A grid station will cost $ 15 to 20 million, which is a big amount. — IANS

Power row

A Pakistani court has allowed the British-run-Hub Power Company (Hubco) to seek international arbitration in its bitter tariff dispute with the State-owned water and power development authority.

Judge Shaiq Usmani said the existing power purchase agreement bound both parties to resolve the dispute through international arbitration.

He said: “Any award” given by the international tribunal in London would be accepted in Pakistan as “enforceable” under the country’s law.

In its petition, Hubco had accused the authority of violating power purchase accord by paying Rs 700 million ($15.22 million) instead of Rs 845 million ($18.40 million a month for the purchase of electricity — AFP.

Privatisation

The Karachi Electric Supply Corporation is likely to get a Rs 12 billion loan from the Asian Development Bank for restructuring before its privatisation by September this year.

A senior official of the Pakistan Privatisation Commission says that with the help of ADB’s technical and financial assistance, he expects the KES’s operational efficiency to improve, particularly in the area of recovery of transmission losses.

To another question he said the privatisation of Pakistan Telecommunication Company Limited will be the most lucrative transaction undertaken by the commission. PTCL’s financial adviser, Goldman Sachs, has worked hard to make the proposed privatisation deal a very profitable one.

Habib Bank is another transaction which will be completed between June-September this year. Asked about the privatisation of the Water and Power Development Authority, the official said that it would be done only after the army moved out of the organisation. — ANI.

Pension for disabled children
Tribune News Service

CHANDIGARH, March 23 — A totally disabled child of a deceased will now be entitled to monthly pension irrespective of the age and number of children in the family, in addition to the regular pension.

Secondly, if a member expires leaving behind no spouse and/or an eligible child without any nomination, the dependant father or mother will be entitled to widow pension. In case of death of the father pensioner, the pension will be extended to the surviving mother.

Mr M.L. Meena, Regional Provident Fund Commissioner, said here today that the provisions of the Employees’ Pension Scheme, 1995, will help a family when its bread-earner expires.

Punjab National Bank and SBI will disburse pension under the Employees’ Pension Scheme, 1995, through all their branches in Punjab and Chandigarh.

Colgate
Tribune News Service

NEW DELHI, March 23 — Colgate-Palmolive (India) Ltd. has launched “Colgate Sensation Whitening”. which removes stains from teeth enamel. In an a statement here today the company said till now the widely accepted solutions for whitening teeth had been expensive cosmetic dentistry methods like bleaching, capping or other tooth whitening systems. The new toothpaste offers a simpler and more affordable alternative to consumers.

Alstom, ABB to merge units

PARIS, March 23 (AFP) — Engineering giants Alstom and Asea Brown Boveri (ABB) today said they would merge their energy operations to form one of world’s biggest power and generator producers.

The two firms will each hold a 50 per cent stake in the new unit which will be called ABB Alstom Power, Alstom, a Franco British subsidiary of France’s Alcatel, said in a statement.

Alstom will hand ABB, a Swiss Swedish group, a $ 1.5 billion cash payment (1.4 billion Euros) to compensate for the different sizes of the two companies.

Energy production activities at ABB represent a turnover of 7.2 billion Euros, compared to 2.7 billion Euros at Alstom.

ABB Alstom Power’s turnover, on the basis of 1998 figures would be 9.9 billion Euros ($ 10.89 billion), it said.

Bausch & Lomb India launches ‘suntamers’
Tribune News Service

CHANDIGARH, March 23 — Bausch & Lomb India, which has global sales of over $2.5 billion, is expected to post better results during the current financial year.

For the first half of 1998-99, the company declared a net profit of Rs 74.4 million, a growth of 112 per cent over the corresponding quarter of last year. The sales also grew to Rs 465.6 million as against Rs 331 million in the same quarter last year.

Announcing the launch of the “Ray-Ban Suntamers” collection here today, Mr Abhijit Sanyal, company Vice-President, said India is the biggest and fastest growing market in the world The new ranges is priced between Rs 990-1990.

Bausch & Lomb has set up a manufacturing facility at Bhiwadi in Rajasthan at a cost of Rs 35 crore to cater to the SAARC market as also for exports to Europe.

Bank of Punjab to open 3 branches
Tribune News Service

CHANDIGARH, March 23 — Bank of Punjab is opening three branches in Goraya, Nehru Place, Delhi and Sand Hurst Bridge, Chowpatty, Mumbai. The bank will have 50 banking offices operational before March 31.

Bank of Punjab started operations in 1995, now has a deposit base of over Rs 1,600 crore and 47 banking offices spread across 24 cities and seven states.

The bank has launched cash management services under which credit is provided within five days of lodging of outstation instruments to all customers.

The bank finances cars being manufactured in the country and is also in process of launching home loans very shortly.

The RBI reference rates was Rs 42.39

‘Best AGM’
LUDHIANA, March 23 (TNS) — The best Assistant General Manager (region) 1996-97 award was given (posthumously) to the late Mr D.K. Malik, Assistant General Manager, SBI, Shimla. The award was received by his wife Veena Malik at a special function held in the office of the Deputy General Manager, SBI here.

Gold improves
NEW DELHI, March 23 (PTI) — The bullion market showed a sign of recovery today when both the precious metals, silver and gold, recovered on local buying to close higher. The quotations: Silver .999 (ready) 7670, delivery 7680, coins buyer 10,400 and seller 10,500. Standard gold 4350, ornaments 4200 and sovereign 3750.