The Tribune, Chandigarh, India

	No reciprocity by rich nations in WTO: India Davos, January 28 A day before the informal meeting here of the WTO, India, China and South Africa today said the developing countries are being asked to further open their markets without any reciprocity from the rich nations, as per the draft proposals for a multilateral agreement. Ministers in-charge of trade from India, China and South Africa met on the sidelines of the annual World Economic Forum (WEF) meeting. India’s Commerce and Industry Minister Anand Sharma said that he and his counterparts from China and South Africa noted that under the draft proposals, the developing nations would be required to offer unprecedented level of contributions. "Such contributions are not being reciprocated by developed countries, some of whom still seek further exceptions and flexibilities to continue with their existing trade barriers and trade distorting policies, adversely affecting the developing countries’ interests," said a communique issued after today’s meeting. They said any effort to finalise the Doha Round cannot ignore the past trade-offs, nor require new disproportionate and unilateral concession from the developing countries. "The ministers cautioned against demands that clearly change the nature and scope of negotiations, jeopardising the present efforts to conclude the Doha Development Round," the communique said. Key trade ministers, including from India, China, South Africa, US and European Union will hold an informal meeting tomorrow, being hosted by Switzerland. WTO Director General Pascal Lamy will also be present. The ministers would discuss the progress of the stalled talks. In November, G-20 leaders pressed on concluding the world trade talks this year. Doha round of talks under the aegis of the World Trade Organisation (WTO) started in the Qatari capital in 2001 for achieving a global trade deal, but a breakthrough has not been reached upon yet. Differences between rich and developing nations have been a stumbling block. India and other developing nations have been defending their agricultural market to protect millions of subsistence farmers from easy imports that may result from the multilateral agreement. The US and the other developed countries, however, seek more market access in developing nations, including India. As per the WTO estimate, successful conclusion of Doha talks could boost the global trade by up to $ 200 billion within a year. — PTI
	World Bank to help Punjab build road network Tribune News service Chandigarh, January 28 The responsibility of contractors building roads in Punjab, in the future, will not end with just the construction work. They will have to maintain the quality for 10 years. This is one of the new conditions for the Punjab State Road Sector Project (PSRSP), a project which will be assisted by the World Bank . To be completed at a cost of Rs 1,500 crore, the PSRSP is the largest road sector project under taken in the state in which 900 km of roads shall be improved in a phased manner. During the first phase about 150 km of upgradation, 200 km of rehabilitation and 350 km of periodic maintenance at a cost of Rs 700 crore has been completed, according to Punjab Public Works (PWD) Minister Parminder Singh Dhindsa. Dhindsa added that the World Bank was assisting Punjab in improving Kharar-Banur-Tepla and Ludhiana-Malerkotla-Sangrur road, which would be completed by April this year. The Minister was presiding over a two day International Conference on Output and Performance based on Road Contracts (OPRC) here today. A World Bank delegation comprising of Ben L.J. Eijbergen, Country Sector Coordinator Infrastructure (World Bank) for India, Dr. Yitzhak Kamhi, Senior Advisor / Consultant World Bank, Tony Porter and Rowan Kyle both consultants are on a visit to Punjab to monitor the performance of the ongoing World Bank project. The Phase 2 of the project in Punjab was envisaged to take a road network on OPRC for 10 years. The first such contract of 200KM road amounting to cost of 700 crore is being procured for which the bid documents have already been submitted to the World Bank for the approval. The work on this project is likely to start by August 2011, Dhindsa said. Dhindsa said that OPRC is relatively a new concept designed to increase the efficiency and effectiveness of the road operations in the state. He said that in OPRC the contractor is paid for the outputs of works carried out to pre-defined standards and his performance to ensure certain quality level on the road network for certain duration of time. Eijbergen said that the World Bank has $5 billion commitment in India.
	No waiver on loan shortfall for priority sector lending: RBI Mumbai, January 28 The Reserve Bank of India today said that in order to prevent misuse of loans under priority sector lending, banks would henceforth not be given concession in case of shortfall of capital under the heading in such cases. The central bank said the decision has been taken, as many such instances of misclassification of loans under priority sector has come to its notice. “It has been decided that henceforth, the amount of loans wrongly classified under priority sector, and identified and reported by Principal Inspecting Officers during Annual Financial Inspection of banks, will be taken into account for arriving at the shortfall under priority sector lending targets,” the RBI said. Such mis-classifications reported during a fiscal year will be added to the shortfall reported by banks as on the last reporting Friday of following year for allocation to various funds. When banks buy loans from intermediaries like mutual funds of non-banking financial companies, they take into account the current value. — PTI
	NABARD releases credit estimates for Punjab, Haryana Tribune News Service Chandigarh, January 28 The National Bank for Agriculture and Rural Development (NABARD) today projected the credit estimate for Haryana at Rs 47,224 crore for 2011-12. Of the total priority sector credit projections, Rs 23,622 crore has been reserved for crop loan, followed by agricultural and allied sector term loan (land development, irrigation, animal husbandry, fisheries) at Rs 8,654 crore, non-farm sector at Rs 7,097crore and other priority sector at Rs 7,851 crore. Giving this information, NABARD, CGM, HK Talreja said that in its endeavour to support efforts for holistic development of rural areas, NABARD provided financial assistance of Rs 3,338 crore for agriculture and rural development in Haryana, during 2009-10. Of the total support, Rs 754 crore was provided towards investment credit as refinance for capital formation covering farm and non farm sector activities to commercial banks, regional rural banks and cooperative banks. Around Rs 2,314 crore which constitutes 69 per cent of total support was extended to cooperative banks and RRBs to meet short term credit needs of farmers for carrying out crop production. During the state credit seminar on Punjab, delegates said that the state will have to go in for crop diversification in earnest, if the state wanted to prevent further degradation of its soil fertility and stem the fall in its underground water table. This, along with the diversification in animal husbandary, poultry and emu farming, was discussed by participants during the state credit seminar wherein NABARD projected a credit plan of Rs 68,176.22 crore, under priority sector lending in Punjab for 2011- 12. Of the total credit plan, the share of the crop loan is 53 per cent (Rs 36,160.02 crore), followed by agricultural and allied sector term loan at 13 per cent (Rs 8,787.67 crore, non-farm sector ( Rs 9,323.92 crore) and other priority sector at (Rs 13,904.61 crore). Issues of rural indebtedness, participatory irrigation management, land development, farm mechanisation, plantation and horticulture, creation of additional storage capacity, agro processing were also discussed.
	CII welcomes US move to free cos from sanctions Tribune News Service New Delhi, January 28 The Confederation of Indian Industry (CII) has welcomed the decision of the US government to remove Indian space and defence -related companies from its export-control list. These state-owned entities were added to the list following the 1998 Pokhran Nuclear tests. Kiran Pasricha, Deputy Director General, CII, said “CII welcomes the effort of the US administration in removing Indian organizations from the entities list, including ISRO and DRDO. These steps will go a long way in strengthening our strategic partnership, fostering heightened trust and boosting high tech trade.” The resulting increase in US exports to India will also help in President Obama’s agenda of job growth, Pasricha added. US President Barack Obama, on a visit to India in November, had promised India Inc during his address in Mumbai that he would fundamentally reform the US export regime to allow greater cooperation with India in a range of high-tech sectors. Besides the removal of the 9 companies from the export-control list, the removal of Export Administration Regulations (EAR) eliminates export licence requirements.
	Corporate Results ONGC net up two-fold on higher fuel price New Delhi, January 28 State-owned Oil and Natural Gas Corp (ONGC) today reported an over two-fold jump in its net profit at Rs 7,083 crore for the quarter ended December 31, on the back of higher crude oil and natural gas prices and a one-time receipt of past dues. Net profit in October-December climbed 132 per cent from Rs 3,054 crore in the same period a year ago, ONGC Chairman and Managing Director R S Sharma told reporters here. "The rise in profit was despite higher subsidy payout (Rs 4,222 crore as opposed to Rs 3,497 crore in Q3 of last fiscal)," he said. "ONGC has much more value to be unlocked." Upstream firms like ONGC make up for one-third of the revenues state retailers lose on selling diesel, domestic LPG and kerosene. "We have been able to consistently show very good financial results," he said, adding that higher profits were also due to increase in crude oil production. ONGC Director (Finance) D K Sarraf said the company got Rs 1,987 crore towards past dues on gas sales in the quarter and in subsidies on sale of fuel to the Northeast. The company sold 7.11 million tonnes of crude oil in October-December at an average price of USD 89.13 per barrel as compared to $76.66 a barrel realised on sale of 6.6 million tonnes of crude oil in the same period a year ago. After giving discounts to state retailers to make up for losses on auto and cooking fuel, ONGC's net realisation was $64.79 per barrel as compared to $57.69 a barrel in the Q3 of 2009-10. Besides, the company got more than double the price of gas at$4.2 per million British thermal unit, he said adding that higher crude oil and gas prices gave Rs 2,803 crore additional revenues. Also, in Q3 this fiscal the company did not have Rs 460 crore negative income in interest on loans given to its subsidiary ONGC Videsh Ltd, he said. The provision for dry well came down to Rs 1,361 crore from Rs 2,480 crore a year ago, Sarraf said. Sharma said though the company's earnings in US dollars had gone up by 11.8 per cent, the net revenues in rupee were much lower at Rs 2,960 per barrel in October-December this fiscal as opposed to Rs 2,690 crore in the year ago period. This was because of rising rupee value against the US dollar. — PTI
	Allahabad Bank net profit up 20.39% Kolkata, January 28 Allahabad Bank's net profit surged by 20.39 per cent to Rs 415.80 crore for the quarter ended December 2010, as against Rs 345.37 crore in the corresponding last year. Briefing on the bank's 21.27 per cent growth in Q3 operating profit, Allahabad Bank Chairman and Managing Director J P Dua told reporters here today that it (operating profit) mounted to Rs 788.43 crore as at December-end, as against Rs 650.13 crore last year. Dua touched upon the consistent growth the bank had made in Q3 FY11, and said that net interest income stood at Rs 1,051.63 crore as against Rs 675.57 crore last year, registering growth of 55.67 per cent during the period. "The net interest margin (NIM) surges to 3.44 per cent at the end of December 2010 quarter as against 2.97 per cent last year," he added. Dua said the bank has planned to achieve Rs 2.20 lakh crore in total business and to increase the number of branches to 2,425 within March 31, 2011. — PTI
	Syndicate Bank to open 143 branches Ruchika M. Khanna Tribune News Service Chandigarh, January 27 Syndicate Bank is on an expansion spree. The bank, which is mainly concentrated in South India, is now all set to open branches in all districts across the country. The bank is looking at an overseas expansion also and plans to open branches in the Gulf region and Africa. Though as of now, the bank’s main focus is on the financial inclusion programme, wherein they have been asked to provide banking facilities to 1,493 villages, having a population of over 2,000, the bank is now looking at having a branch in all districts across all states. Talking to The Tribune here today, Ravi Chatterjee, executive director, Syndicate Bank, said as part of their financial inclusion programme, they have fixed a target of providing banking facilities to 750 unbanked villages. “We will be opening 143 new branches and service the rest of 607 villages through business correspondents. We are not just providing banking facilities in these villages, but are also providing kisan credit cards, general credit cards and micro insurance policy to the people in these unbanked villages,” he said. He added: “As against a total business of Rs 2.08 lakh crore in 2009-10, we have already crossed this mark in December 2010. We have set a target of 18 per cent growth in credit this year and we will meet this target”. “Though the growth in advances is a little over 16 per cent, we hope to achieve a target of 18 per cent in advances by the end of this fiscal,” he added.
	Farmers hold back cotton anticipating price rise Chander Parkash Tribune News Service Abohar/Fazilka, January 28 As raw cotton prices touch another record high of Rs 5,750 per quintal, producers have stated holding back produce to increase profits. Traders, ginning and pressing mill owners and brokers have started approaching producers directly to buy their ‘white gold’ to collect enough stocks to meet business liabilities. “The arrival of raw cotton has come down to 17,000 bales daily from 23,000 bales, which have been arriving in different markets of Punjab, Haryana and Sriganganagar circles of Rajasthan. Producers are holding back stock,” pointed out Kapilash Chand, a leading broker in the region. A cross-section of traders said that prices were going up due to fact that raw cotton, being produced in northern region, was in demand in domestic as well as international market. They added that rising prices of raw cotton would further make suppliers and brokers back out from the advance contracts made by them with national and international businessmen and companies. The relations among a section of traders, brokers, ginning and pressing mill owners and suppliers had already gone sour due to non-honouring of contracts made by them with each other. Ashok Kapur, former president, Northern India Cotton association, when contacted, said prices of raw cotton were being dictated by international scene. The demand of cotton was not getting stabilised at international level and prices were going up.
	Suzlon in $1.28 bn deal with Caparo New Delhi, January 28 Pune-based wind power turbine maker Suzlon Energy today announced a deal worth $1.28 billion with Caparo Energy for developing 1,000 MW wind power projects in India. The project's first 500 MW will be completed by March 2012 and another 500 MW by March 2013, Suzlon Energy Ltd said in a statement here. It further said that the projects will utilise various Suzlon turbine models, including the S88 and the new S9X series 2.1 MW turbines, with the doubly-fed induction generator technology. “This has been a strong year for wind (power) in the Indian power market. Building on strong, transparent policy frameworks we now have a mature, attractive market,” Suzlon Group Chairman Tulsi R Tanti said in a statement. "With large players like Caparo entering the market, we are also seeing large wind independent power producers in India becoming a major force," he added. "With Suzlon, we believe we have the best life-cycle value contribution, allowing us to rapidly build up bankable, profitable wind power projects," Ravi Kailas, Chief Executive Officer of Hyderabad-based Caparo Energy, said.
	Samsung bets big on smart phones Girja Shankar Kaura/TNS New Delhi, January 27 Samsung India is betting big on the smart phone segment in a bid to grab a greater market share. Samsung is looking to grab a 40 per cent market share in the smart phone segment and launched a variety of smart phones last year. “Key drivers for would be the smart phones for the Samsung growth this year,” said Ruchika Batra, GM, Corporate Communications, Samsung South-West Asia. Batra explained that the company has a 36 per cent market share in the touch-screen segment, which contributes to about 20 per cent of the sales volumes along with the smart phones. Initially it came out with the Android-powered Galaxy S, in the later part of the year it launched the more affordable ‘Wave’ series of handsets.