Police begin enquiry into mid-air scuffle, AI sets up panel - Press Trust of India


AFP
Police begin enquiry into mid-air scuffle, AI sets up panel
Press Trust of India
New Delhi, Oct 4 (PTI) Delhi Police has initiated an enquiry into the incident of a mid-air scuffle allegedly between pilots and some crew members of an Air India flight after registering a case on a complaint by an air hostess. ...
Airhostess alleges pilots attacked her inside cockpitHindustan Times
Air India pilots endanger lives of passengersTopNews
I didn't hit the pilot, it's a lie'Times Now.tv
Times of India -Economic Times -AFP
all 71 news articles »

Source: Business - Google News | 4 Oct 2009 | 3:06 am

Happy days are back for India's realty industry

India's realty industry is all set to be lit up this Diwali. The pointers: At least 12 public offerings, a slew of new projects and the return of private equity funds that had turned away proposals due to the global slowdown last year.
Source: IndiaeNews.com: Business News | 4 Oct 2009 | 3:01 am

Repco cooperative wants to become a commercial bank

City-based Repco Bank, a cooperative society floated 40 years ago to assist repatriates from Sri Lanka and Myanmar, is now looking at transforming itself into a commercial bank to tap the benefits of the sector, its officials say.
Source: IndiaeNews.com: Business News | 4 Oct 2009 | 3:00 am

Motorola to launch 7 new phones in next 3 months

New Delhi: In a bid to garner a bigger pie in the world’s fastest growing cellular telephony market, US-based handset maker Motorola on Sunday said it will launch seven new handsets in the next three months in India.
The new phones are in the low-end to mid segment in the price range of sub Rs3,500 and Rs8,000. Six of these are in Motorola’s Yuva series, considered as entry level phones.
“The ZN 300 and the MotoYuva WX generation were created in response to the need to stay connected and the variety of ways in which we do it today. The result is seven handsets with a range of features that provide an option affordable to everyone,” Motorola India Country head (Mobile Devices) Faisal Siddiqui said in a statement.
The launch of new phones has been timed in tandem with the festival season ahead.
Motorola has also introduced video editing features on the ZN 300 for the first time. Equipped with a 3.1 megapixel (MP) camera and LED flash, it enables the user to edit videos, add customisable or preloaded transitions and sound effects over the handset.
India is witnessing the highest addition of new mobile subscribers month after month and this provides a lot of room to handset makers to innovate and come out with new handsets.
Most of these phones have expandable memory of up to 2GB. Motorola is one of the country’s largest handset makers with a manufacturing facility in Sriperumbudur in Tamil Nadu.

Source: LatestNews-Home - Livemint.com | 4 Oct 2009 | 2:54 am

Motorola to launch 7 new phones in next 3 months

New Delhi: In a bid to garner a bigger pie in the world’s fastest growing cellular telephony market, US-based handset maker Motorola on Sunday said it will launch seven new handsets in the next three months in India.
The new phones are in the low-end to mid segment in the price range of sub Rs3,500 and Rs8,000. Six of these are in Motorola’s Yuva series, considered as entry level phones.
“The ZN 300 and the MotoYuva WX generation were created in response to the need to stay connected and the variety of ways in which we do it today. The result is seven handsets with a range of features that provide an option affordable to everyone,” Motorola India Country head (Mobile Devices) Faisal Siddiqui said in a statement.
The launch of new phones has been timed in tandem with the festival season ahead.
Motorola has also introduced video editing features on the ZN 300 for the first time. Equipped with a 3.1 megapixel (MP) camera and LED flash, it enables the user to edit videos, add customisable or preloaded transitions and sound effects over the handset.
India is witnessing the highest addition of new mobile subscribers month after month and this provides a lot of room to handset makers to innovate and come out with new handsets.
Most of these phones have expandable memory of up to 2GB. Motorola is one of the country’s largest handset makers with a manufacturing facility in Sriperumbudur in Tamil Nadu.

Source: Tech News - Livemint.com | 4 Oct 2009 | 2:54 am

Pantaloon acquires 22 million sqft retail space, to spend more on fashion

Pantaloon Retail India (PRIL) operates over 260 retail outlets and malls spread over 13-million sqft across India. The Future Group firm will also increase spending on its fashion and lifestyle ventures.
Source: Daily News & Analysis: Money News | 4 Oct 2009 | 2:49 am

Jet Airways negotiating lease of two planes

Mumbai: Jet Airways is in talks with a couple of Middle Eastern carriers to lease out two of its wide-bodied aircraft.
“We are in discussions with Oman Air and Etihad for leasing out two of our Boeing 777 aircraft,” airline sources said.
The negotiations are at an advanced stage and a decision is likely to be taken very soon, the sources said, adding that Jet Airways was looking for wet leasing of the planes for at least six months.
When contacted, a Jet Airways spokesperson confirmed that the airline was in talks with some overseas air carriers to lease out the two aircraft but declined to divulge details.
“We are exploring all options but have not yet taken a final decision,” the spokesperson said.
Wet lease is an arrangement in which an airline or a lessor company provides aircraft along with its complete crew, maintenance and insurance to another of its counterpart, which pays for the number of hours the plane is operated.
The fuel, airport fees, other duties and taxes are provided for by the lessee.
Oman Air is already operating two of Jet Airways’ A-330-200 aircraft since May this year under a wet lease agreement for six months.
The premier Indian private carrier earns around $2.2 million a month by leasing out a Boeing aircraft and $2 million from its Airbus plane.
In February, Gulf Air had signed an agreement with Jet Airways to lease out four aircraft on a wet-lease basis for six-months with an option for a three-year dry lease.
However, later citing “market and other business conditions”, Gulf Air dropped its plans to convert wet lease into dry lease.

Source: LatestNews-Home - Livemint.com | 4 Oct 2009 | 2:36 am

Forbes Marshall targets 15 per cent business growth in FY10

The company has 12 business divisions and manufactures products that cover the entire spectrum of energy generation, energy efficiency, control and instrumentation for the process and power industry.
Source: Daily News & Analysis: Money News | 4 Oct 2009 | 2:33 am

Cyber crime generates more money than drug trafficking

With more and more people going online and social networking becoming pervasive, cyber crime now generates more money than drug trafficking, says global cyber security solutions provider Symantec.
Source: IndiaeNews.com: Business News | 4 Oct 2009 | 2:30 am

Indian firms rank high on employee satisfaction: study

New Delhi: Indian companies rank top among global peers in employee satisfaction, reflecting their successful business practices, says a study.
The findings are part of a report, ‘Driving Success Through Performance Excellence and Employee Engagement,´ by research arm of leading global HR solutions provider Kenexa.
The report is based on two employee-based indicators of business success, which can be used to measure and monitor a firm’s state -the Performance Excellence Index (PEI) and the Employee Engagement Index (EEI).
“The higher the scores on these two indices, the better positioned employees are to deliver the organisation’s value proposition. By improving their scores on these indices, organisations can improve their business results,” Kenexa Research Institute executive director Jack Wiley said.
India ranks highest with 76% on country-level PEI index of 14 countries. The index tracks employees’ views of product and service quality and the firm’s focus on customer service, quality, training and employee involvement.
Other than India, Russia also ranks high at 67%, while Japan has reported the lowest score at 45%.
Besides, the EEI index measures an employee’s pride in his/her firm, willingness to advocate the employer, whether they intend to stay and their overall satisfaction.
India ranks the highest in the country-level EEI index as well, with a percentage of 73% and is followed by Brazil (65%). While Japan has the lowest score in this index at 36 per cent, the report revealed.
Kenexa Research Institute has introduced organisational model for high performance and employee engagement and includes practical insights that would have a positive impact on individual and organisational productivity, customer satisfaction and bottom-line financial results.
“Having a high performing organisation and an engaged workforce are complementary goals but they involve different leadership practices. Managers should pursue both goals in tandem as this has positive, synergistic effect,” Wiley said.
“Leaders are expected to meet increasing productivity demands, yet with lower costs and fewer resources. That means employees need to be motivated and fully engaged in their work in order to support organisational objectives,” he added.
The report also provided an analysis of the financial impact that performance excellence and employee engagement can have on an organisation.
It shows that performance excellence and employee engagement are major contributors to an organisation’s ‘total shareholder return´.
“Given the recent economic conditions, many organisations and employees are feeling particularly battered. The analysis tells us where employees are reporting strengths for improving performance, enabling leaders to modify their practices and improve their systems,” Wiley said.

Source: World Business - Livemint.com | 4 Oct 2009 | 2:22 am

Indian firms rank high on employee satisfaction: study

New Delhi: Indian companies rank top among global peers in employee satisfaction, reflecting their successful business practices, says a study.
The findings are part of a report, ‘Driving Success Through Performance Excellence and Employee Engagement,´ by research arm of leading global HR solutions provider Kenexa.
The report is based on two employee-based indicators of business success, which can be used to measure and monitor a firm’s state -the Performance Excellence Index (PEI) and the Employee Engagement Index (EEI).
“The higher the scores on these two indices, the better positioned employees are to deliver the organisation’s value proposition. By improving their scores on these indices, organisations can improve their business results,” Kenexa Research Institute executive director Jack Wiley said.
India ranks highest with 76% on country-level PEI index of 14 countries. The index tracks employees’ views of product and service quality and the firm’s focus on customer service, quality, training and employee involvement.
Other than India, Russia also ranks high at 67%, while Japan has reported the lowest score at 45%.
Besides, the EEI index measures an employee’s pride in his/her firm, willingness to advocate the employer, whether they intend to stay and their overall satisfaction.
India ranks the highest in the country-level EEI index as well, with a percentage of 73% and is followed by Brazil (65%). While Japan has the lowest score in this index at 36 per cent, the report revealed.
Kenexa Research Institute has introduced organisational model for high performance and employee engagement and includes practical insights that would have a positive impact on individual and organisational productivity, customer satisfaction and bottom-line financial results.
“Having a high performing organisation and an engaged workforce are complementary goals but they involve different leadership practices. Managers should pursue both goals in tandem as this has positive, synergistic effect,” Wiley said.
“Leaders are expected to meet increasing productivity demands, yet with lower costs and fewer resources. That means employees need to be motivated and fully engaged in their work in order to support organisational objectives,” he added.
The report also provided an analysis of the financial impact that performance excellence and employee engagement can have on an organisation.
It shows that performance excellence and employee engagement are major contributors to an organisation’s ‘total shareholder return´.
“Given the recent economic conditions, many organisations and employees are feeling particularly battered. The analysis tells us where employees are reporting strengths for improving performance, enabling leaders to modify their practices and improve their systems,” Wiley said.

Source: Home - Livemint.com | 4 Oct 2009 | 2:22 am

US cos begin to restore pays and re-hire former workers

New York: As the economy shows signs of recovery, American companies are switching their focus from cost curtailment exercise to restoring pay levels and re-hiring laid off workers, says a latest survey.
According to a report by the US job portal CareerBuilder and USA Today, about 27% of the employers reported that over the last year, they have laid off workers in one area, but hired in another.
With the economy showing signs of stabilisation and employers see potential improvement in their business prospects, they are reversing strategies taken to manage through tough economic situations.
The report noted that one in four employer is planning to bring back some employees they let go earlier in the year. Of those rehiring laid off workers, 23% have already started extending job offers to former employees in the third quarter, while 19% would begin to do so in the fourth quarter.
About 21 per cent would start bringing back laid off employees in the first quarter of 2010, while 15 per cent are waiting until the second quarter of 2010. Others are holding off until the latter half of 2010 and beyond.
The report which surveyed more than 2,900 hiring managers and human resource professionals revealed that about 18 per cent employers who have implemented pay cuts in the last 12 months, 5% of them restored pay to previous levels in the third quarter.
While, 12 per cent of the employers plan to do so in the fourth quarter. About 17% expect pay to return to normal in the first quarter of 2010, 7% expect it would be the second quarter, while another 7% are predicting the latter half of 2010.
The report further found that one in ten employers stated their organisations don’t plan to restore pay to previous levels until 2011 or 2012, while 41% are not sure.
“Companies are switching their focus from cost containment to growth. Employers who have instituted pay cuts or layoffs in the last year are reporting that they have begun to restore compensation levels and rehire employees.”
“While these are positive indicators, pace of hiring will remain restrained. It will take time to rebuild confidence needed in the nation’s economy to trigger more robust recruitment programs,” CareerBuilder CEO Matt Ferguson said.
The companies have primarily hired workers in technology, sales, customer service and research and development sectors.
At the same time the survey also pointed that 17% firms expect to add employees in the fourth quarter, while 10 per cent anticipate a decrease in head count and 68 per cent expect no change while rest are undecided.
Meanwhile, most of the employers anticipate no change in salaries for employees in the next three months. About 40% expect to raise salaries between 1 to 11% or more. While, only 6% plans to decrease compensation and 4% reported their company is undecided.

Source: World Business - Livemint.com | 4 Oct 2009 | 2:20 am

US cos begin to restore pays and re-hire former workers

New York: As the economy shows signs of recovery, American companies are switching their focus from cost curtailment exercise to restoring pay levels and re-hiring laid off workers, says a latest survey.
According to a report by the US job portal CareerBuilder and USA Today, about 27% of the employers reported that over the last year, they have laid off workers in one area, but hired in another.
With the economy showing signs of stabilisation and employers see potential improvement in their business prospects, they are reversing strategies taken to manage through tough economic situations.
The report noted that one in four employer is planning to bring back some employees they let go earlier in the year. Of those rehiring laid off workers, 23% have already started extending job offers to former employees in the third quarter, while 19% would begin to do so in the fourth quarter.
About 21 per cent would start bringing back laid off employees in the first quarter of 2010, while 15 per cent are waiting until the second quarter of 2010. Others are holding off until the latter half of 2010 and beyond.
The report which surveyed more than 2,900 hiring managers and human resource professionals revealed that about 18 per cent employers who have implemented pay cuts in the last 12 months, 5% of them restored pay to previous levels in the third quarter.
While, 12 per cent of the employers plan to do so in the fourth quarter. About 17% expect pay to return to normal in the first quarter of 2010, 7% expect it would be the second quarter, while another 7% are predicting the latter half of 2010.
The report further found that one in ten employers stated their organisations don’t plan to restore pay to previous levels until 2011 or 2012, while 41% are not sure.
“Companies are switching their focus from cost containment to growth. Employers who have instituted pay cuts or layoffs in the last year are reporting that they have begun to restore compensation levels and rehire employees.”
“While these are positive indicators, pace of hiring will remain restrained. It will take time to rebuild confidence needed in the nation’s economy to trigger more robust recruitment programs,” CareerBuilder CEO Matt Ferguson said.
The companies have primarily hired workers in technology, sales, customer service and research and development sectors.
At the same time the survey also pointed that 17% firms expect to add employees in the fourth quarter, while 10 per cent anticipate a decrease in head count and 68 per cent expect no change while rest are undecided.
Meanwhile, most of the employers anticipate no change in salaries for employees in the next three months. About 40% expect to raise salaries between 1 to 11% or more. While, only 6% plans to decrease compensation and 4% reported their company is undecided.

Source: LatestNews-Home - Livemint.com | 4 Oct 2009 | 2:20 am

China recognises need to raise private demand - IMF

ISTANBUL (Reuters) - China recognises the need to increase private consumption and demand, and should be given time to implement those changes, the head of the International Monetary Fund's Asia Department Anoop Singh said on Sunday.

Source: Reuters: Money News | 4 Oct 2009 | 2:05 am

Cotton export may rebound to 14 LT - Economic Times


Myiris.com
Cotton export may rebound to 14 LT
Economic Times
4 Oct 2009, 1223 hrs IST, PTI NEW DELHI: Cotton exports may rebound to 14 lakh tonnes in the 2009-10 season as a recovery in the global market is expected to boost demand for the fibre, the International Cotton Advisory Committee (ICAC) has said. ...
Cotton exports may rise to 1.4 MT, says global bodyBusiness Standard
India, Pakistan sow seeds of cooperationHindustan Times
Govt's subsidy burden to rise on cotton MSP hikePress Trust of India
The Hindu -Bloomberg -Fibre2fashion.com
all 22 news articles »

Source: Business - Google News | 4 Oct 2009 | 1:34 am

Invest 5 percent of provident fund in equities: Assocham

The Associated Chambers of Commerce and Industry (Assocham) has urged the central government to allow the Employees Provident Fund Organisation (EPFO) to invest at least 5 percent of its funds in equities.
Source: IndiaeNews.com: Business News | 4 Oct 2009 | 1:31 am

Orissa private bus operators to go on strike Sunday - Hindustan Times


KalingaTimes
Orissa private bus operators to go on strike Sunday
Hindustan Times
The private bus owners in Orissa have decided to go ahead with a statewide strike Sunday after marathon talks with the government failed to resolve their toll fee issue. The bus owners' association has been demanding the government to roll back the ...
Naveen calls meet on bus strikeTimes of India
Statewide bus strike begins in OdishaKalingaTimes
Orissa Govt- Private bus owners talk failed, buses go off from Todayodishatoday.com
Orissadiary.com -Calcutta Telegraph -Press Trust of India
all 39 news articles »

Source: Business - Google News | 4 Oct 2009 | 1:30 am

BSNL, MTNL interested in Zain deal - Kuwait's Kharafi

KUWAIT (Reuters) - India's Bharat Sanchar Nigam and Mahanagar Telephone Nigam are interested in joining a consortium to buy up to 46 percent of telecoms group Zain, Kuwaiti conglomerate Kharafi Group said.

Source: Reuters: Money News | 4 Oct 2009 | 1:15 am

Bharti Axa plans expansion, eyes 5% market share in 3 years

Bharti Axa Life Insurance is targeting a 5% market share by end-2012 and has charted out an aggressive roadmap for expansion. Presently, the company has 1% market share.
Source: Daily News & Analysis: Money News | 4 Oct 2009 | 1:01 am

Improve farm techniques to ensure food security: FICCI

The Federation of Indian Chambers of Commerce and Industry (FICCI) has urged the government to bring more areas under irrigation and improve farm techniques to ensure food security.
Source: IndiaeNews.com: Business News | 4 Oct 2009 | 1:00 am

Sahara Prime City to use Rs2,860 cr from IPO for 3 yrs

New Delhi: Sahara Group’s realty firm Sahara Prime City, which aims to raise Rs3,450 crore from an initial public offer, will utilise Rs2,668 crore in the next three years to part-fund development of about 19,000 housing units across the country.
The company, which filed the Draft Red Herring Prospectus (DRHP) with the market regulator SEBI last week, would invest Rs1,240.87 crore raised from the IPO to complete 10 existing projects, comprising 12.02 million sq ft of saleable area.
At present, Sahara Prime City is developing nine integrated townships and one residential complex in cities such as Lucknow, Indore, Nagpur, Ahmedabad, Jaipur, Solapur and Cochin. The group’s ambitious Ambey Valley project is not a part of Sahara Prime City.
Besides the existing projects, Sahara Prime City plans to develop 16 more integrated townships and would pump in another Rs1,426.83 crore from the proceeds of the IPO.
The DRHP said it would develop 13.41 million sq ft of residential space in the upcoming projects across the country, including Bangalore, Chandigarh, Jabalpur, Jodhpur, Porbandar, Haridwar and Pune.
The company, which has a land bank of over 8,000 acres with saleable area of 419 million sq ft, plans to develop 88 integrated townships under ‘Sahara City Homes´ brand and 15 housing projects under ‘Sahara Brace´ brand across 99 cities.
Sahara Prime City would be the third Sahara group entity to enter the capital market after Sahara Housingfina Corp Ltd and Sahara One Media & Entertainment.

Source: LatestNews-Home - Livemint.com | 4 Oct 2009 | 12:51 am

Indian ADRs gains $3.56 in week ended 2 Oct

New York: Indian stocks trading on American bourses gained nearly $4 billion last week, with IT major Wipro and private sector lender ICICI Bank pocketing most of the gains.
For the week ended 2 October, Indian entities listed on the New York Stock Exchange and Nasdaq added $3.56 billion to their market-cap, with Wipro and ICICI Bank together contributing $3.15 billion.
The valuation of Wipro grew by $1.66 billion, while that of ICICI Bank rose by $1.49 billion.
However, total gain was offset by loss of handful of companies including auto maker Tata Motors and pharma major Dr Reddy’s Laboratories.
Among the 16 companies trading as American Depository Receipts (ADRs), another major gainers was IT bellwether Infosys Technologies whose market capitalisation jumped by $692 million.
During the week, Tata Motors was the biggest loser. The company witnessed a value erosion of $583 million.
ADRs are bought and sold on American bourses just like stocks and are issued by banks or brokerage firms.
Meanwhile, copper producer Sterlite Industries saw an increase of $397 million in its market capitalisation.
On the other hand, Dr Reddy’s Laboratories saw its market capitalisation decline by $270 million.
Apart from Wipro and ICICI Bank, Infosys and Sterlite Industries, private sector lender HDFC Bank too witnessed a significant increase to its valuation. The lender’s market cap climbed by $128 million.
Among other ADR gainers - IT major Patni Computer Systems, BPO companies - WNS Holdings and EXLService Holdings, telecom majors - Mahanagar Telephone Nigam and Tata Communications market capitalisation increased in the range of $10 million to $35 million.
The market capitalisation of outsourcing company Genpact fell by $50 million, IT firm Mahindra Satyam ascended ($13 million), internet firms--Reddif.com ($9 million) and Sify Technologies ($4 million).
The unemployment rate in the US soared to a 26-year high of 9.8% in September as jobs continued to evaporate even as the recession-hit economy is slowly showing signs of stabilisation.
On Friday the US markets ended in the red, with Dow Jones Industrial Average settling down by 21.61 points at 9,487.67 and S&P 500 fell by 4.64 points to 1,025.21. Besides, tech heavy Nasdaq was down 9.37 points at 2,048.11.

Source: LatestNews-Home - Livemint.com | 4 Oct 2009 | 12:39 am

Delicious Kinnaur apples dominate markets despite low yield

The world famous Delicious apples from Himachal Pradesh's Kinnaur district have recaptured the Indian markets this year despite low production and the farmers are getting record prices due to increased demand, an official said Sunday.
Source: IndiaeNews.com: Business News | 4 Oct 2009 | 12:30 am

India crosses FDI milestone of $100 bn

New Delhi: India has crossed the $100 billion milestone in foreign direct investment through equity since 2000 up to July this year testifying the country’s increasing profile as a safe and sound investment destination in the midst of the global financial crisis.
As much as 44% of the money came through the Mauritius route, apparently because the investors wanted to take advantage of India’s double taxation avoidance treaty with the island nation.
The cumulative FDI inflows since 2000 and up to July 2009 amounted to $100.33 billion. The inflows in the first four months of the current financial year was $10.49 billion, according to data compiled by the Department of Industrial Policy and Promotion.
The other big investors included Singapore, the US, UK and the Netherlands.
Commenting on the $100 billion milestone, economists said India is being perceived as a safe and dynamic destination for global investors.
“This is a reflection that India is being taken as a safe and dynamic destination for investment as the economy is growing at 6 per cent. The investors also want to diversify their portfolio from China by investing here,” Rajiv Kumar, CEO and director of economic think-tank ICRIER said.
The FDI would further improve if the economic recovery continues.
“We did not receive much FDI initially...since 2008 we have started receiving good numbers...there are signs of economic recovery in a few countries and I think inflows will improve with the economic recovery,“ CRISIL principal economist D.K. Joshi said.
Ficci secretary general Amit Mitra said FDI not only brings money but also new technology and managerial capabilities.
“FDI’s main impact comes from new technology, new managerial capabilities, new benchmarks in corporate functioning,” Mitra said.
India reached the $100 billion mark at a time when the global financial crisis has had a dampening impact on FDI flows which are expected to fall this year.
According to the World Investment Report, 2009, of the UN body UNCTAD, global FDI flows will shrink by 30% in 2009 and recover only marginally during the next year.
The report found the pattern of FDI flows had been varied. The inflows of developed countries plunged in 2008 by 29%, in contrast the developing and transition economies saw inflows rise of 37% in 2008.
“Although declining (as compared to previous years) FDI flows to developing countries have proved to be more resilient than other capital flows such as portfolio investment and bank lending. The main reasons for this is that FDI is more of a long term nature than capital flows,” the report said.
India’s services sector topped the table, receiving 23% of the cumulative equity FDI inflows followed by computer software, hardware, telecommunication and real estate.

Source: Home - Livemint.com | 4 Oct 2009 | 12:26 am

No data on services sector delay GST implementation work

New Delhi: Non-availability of data on the services sector is posing a stumbling block in finalising the Goods and Services Tax which the Centre is keen to introduce from 1 April, 2010.
“States do not have any data on services sector or experience with the levy. So that is one issue which has to be considered while finalising the GST structure,” said a senior finance ministry official.
The empowered group of state finance ministers will meet finance minister Pranab Mukherjee on 8 October this month, to discuss the new indirect tax regime, which would do away with most of the indirect taxes and local levies.
The states have so far in their discussions not mentioned anything about the services sector as to how the services would be taxed said the official adding “they do not remember there is anything like services sector.”
Earlier, when states were not agreeing to cut tax on inter-state movement of goods, called Centre Sales Tax, they were offered 44 services, mostly local to tax. But they did not avail the offer, as most services like those provided by barbars were local in nature and others like education could have sparked public wrath.
As such, states do not have any experience in taxing services and any data in this regard.
Only six months are left for the slated introduction of GST from 1 April, 2010.
But with GST, they would be required to tax not only goods, but also services.
The GST is expected to subsume most of the taxes levied by the Centre like central excise and service tax, and those charged by the states such as VAT, purchase tax, octroi and others.
The service tax kitty has been growing quite well. Part of this amount is devolved to states.
At a time when other indirect tax components declined severely, service tax fell only by 1.3% in August.
The Central Board of Excise and Customs chairman recently also said that among the three indirect tax components, services has grown the most in August.
Meanwhile, another stumbling block for the proposed GST from 1 April next year, would be some states not wanting to do away with local levies like purchase tax and octroi.
Purchase tax is levied by some states on agricutural produce when purchased from the state and taken to some other state, while octroi is levied on various articles brought into a district for consumption.
Moreover, states are worried about their fiscal autonomy as some of them are apprehensive that GST would take away their rights to tinker with the rates.

Source: Home - Livemint.com | 4 Oct 2009 | 12:15 am

Inflation likely to cross 7% by March-end: experts

New Delhi: Pushed by higher food prices, wholesale price inflation is rising at a faster pace than expected and could be more than 7% by the end of current fiscal, say experts.
If that happens, inflation would be much more than 5% as projected by the Reserve Bank, which is facing the tough task of tackling inflationary pressures and promoting growth. The central bank’s monetary policy review is slated for 27 October.
Yes Bank chief economist Shubhada Rao said: “it (inflation) is moving at faster pace than anticipated. At this rate, there is a likelihood that it may rise above 7% by March 2010.”
Continuing its upward trend, wholesale price inflation inched closer to the 1% mark at 0.83% for the week ended 19 September mainly due to increase in food prices.
In the wholesale market, the annual rise in potato price was about by 81.18%, while sugar jumped 44.47%, according to government data.
Similarly, vegetables rates soared by 49.44% and pulses by 20.05% in the review period.
Rating agency Crisil’s Principal Economist D K Joshi said inflation is moving upwards at a quicker rate and is likely to touch 7% mark by the end of current fiscal.
However, Joshi said, RBI is likely to maintain a neutral stance in the 27 October policy as growth is a primary concern.
RBI governor D Subbarao has said the central bank would strive to promote growth and control inflation in the monetary policy.
“We will take into account a complete picture of the macro-economic situation to decide the monetary policy in order to support the economic recovery and the issue of controlling inflation,” Subbarao had said after the RBI’s board meeting.
Also, the government’s commitment for not withdrawing stimulus packages “prematurely” will not allow the RBI to reverse its policy stance and signal a hike in interest rates to tame inflation.
Commenting on the price rise, finance minister Pranab Mukherjee has said rising inflation is a matter of concern.
“I have told earlier also that there is an inflationary potentiality and inflation may go up. Naturally, whenever it goes up, it’s a matter of concern but at the same time the type of situation which developed cannot continue,” he said.
Chief economic advisor Arvind Virmani expects inflation to be higher than RBI’s current projection and pegged it at around 6% by March-end.
“Point-to-point WPI is expected to be around 6 per cent by March-end...certainly the fact that inflation is relatively high in Consumer Price Index-Industrial Workers is a matter of concern. There is no doubt about it.”
Consumer price index (industrial workers) inflation stood at 11.72% in August.

Source: Home - Livemint.com | 4 Oct 2009 | 12:04 am

Grasim spins off cement business to subsidiary

Mumbai, Oct. 3 Grasim Industries, the flagship of Aditya Birla Group, has decided to spin off its cement business into a separate entity and merge the same with its wholly owned subsidiary Samruddhi Cement. The group also plans to eventally merge
Source: Business Line - Home Page | 4 Oct 2009 | 12:00 am

News Round Up

The Union Cabinet on Thursday announced amendments to the Mega Power Policy, which include scrapping the condition that required a mega power project to sell electricity to more than one State.
Source: Business Line - Home Page | 4 Oct 2009 | 12:00 am

Directors’ report must disclose more to shareholders

New Delhi, Oct. 3 Shareholders, especially in closely held companies, have some good news coming their way.
Source: Business Line - Home Page | 4 Oct 2009 | 12:00 am

Rains drown farmers’ hopes in AP, Karnataka

Hyderabad/Bangalore, Oct. 3 Heavy rains that claimed over 240 lives in Andhra Pradesh and Karnataka this week have badly hurt the prospects of kharif
Source: Business Line - Home Page | 4 Oct 2009 | 12:00 am

India Inc turns wary of overseas buys in 2009

Once bitten, twice shy. Indian companies appear to be treading cautiously on overseas buys this year, though India-centric deals are showing a revival.
Source: Business Line - Home Page | 4 Oct 2009 | 12:00 am

Cement demerger: Not much to lose for Grasim investors

The Grasim Industries stock has declined by about 5 per cent over the past week on investor fears that its lucrative cement business, accounting for close to 70 per cent of its revenues and profits, would be hived off to UltraTech Cement.
Source: Business Line - Home Page | 4 Oct 2009 | 12:00 am

NSE to waive charges on trades from rural locations

New Delhi, Oct. 3 The National Stock Exchange (NSE) is looking to further spread its reach across semi-urban and rural markets. This will also help it counter the impending competition from a new entrant whose application is likely to get
Source: Business Line - Home Page | 4 Oct 2009 | 12:00 am

DIARY-G7, IMF and World Bank meetings in Istanbul - Reuters


Telegraph.co.uk
DIARY-G7, IMF and World Bank meetings in Istanbul
Reuters
Finance ministers and central bankers from around the globe are in Istanbul for the semiannual meetings of the International Monetary Fund and World Bank, which run from Oct. 4-7. Finance officials from the Group of Seven met on Saturday, Oct. 3. ...
World Bank welcomes new economic order from the ashes of crisisguardian.co.uk
World coming back on its feet, says IMFEconomic Times
Developing Nations Back Call for IMF to Pool Currency ReservesBloomberg
Business Standard -Wall Street Journal -Korea Times
all 2,620 news articles »

Source: Business - Google News | 3 Oct 2009 | 11:06 pm

State Bank of India to raise $1bn through bond issue in October

The bond issue will target investors including banks, insurance companies, hedge funds and private equities in the global market.
Source: Daily News & Analysis: Money News | 3 Oct 2009 | 11:03 pm

G7 presses for stronger yuan, breaks no new ground

ISTANBUL (Reuters) - The Group of Seven rich nations urged China on Saturday to strengthen the yuan, but gave no sign of how it might overcome Chinese resistance to that suggestion or resolve other tensions over global currency rates.

Source: Reuters: Money News | 3 Oct 2009 | 9:37 pm

'Textile business needs management fibre, not just technology'

Ahmedabad textile industry's fixation with technology at the cost of managerial capabilities has frayed the city's reputation as the Manchester of the East.
Source: Daily News & Analysis: Money News | 3 Oct 2009 | 8:57 pm

Forward Bloc-run board in agri retail JV with pvt partner - Times of India


Forward Bloc-run board in agri retail JV with pvt partner
Times of India
KOLKATA: Forward Bloc, once a crusader against the entry of private retail players to the agri-marketing space, has finally woken up to reality. The Bloc-controlled West Bengal Agriculture Marketing Board (WBAMB) will enter into a joint venture with MK ...
Bengal may allow contract farmingBusiness Standard
Leeway hope for food mallsCalcutta Telegraph
Keventer unveils integrated cold chain facilityThe Hindu
Indopia -Thaindian.com
all 10 news articles »

Source: Business - Google News | 3 Oct 2009 | 7:35 pm

FTA with EU to open new avenues for Indian textile industry!

The proposed Free Trade Agreement (FTA) likely to come up with the European Union, shall open new trade avenues for the estimated 49 billion USD Indian Apparel and Textile Industry in years to come, an industry expert said.
Source: Zee News : Business | 3 Oct 2009 | 6:05 pm

Venezuela buys ConocoPhillips` gas project stake!

Venezuela`s state oil company has purchased ConocoPhillips` 40 percent stake in a joint natural gas venture with Chevron Corp.
Source: Zee News : Business | 3 Oct 2009 | 6:05 pm

Parsvnath Developers raises Rs 168 cr via QIP!

Realty major Parsvnath Developers on Saturday said it has raised Rs 168 crore by issuing shares to qualified institutional buyers.
Source: Zee News : Business | 3 Oct 2009 | 6:05 pm

Ashok Leyland sales down 11.86 pc in September!

Hinduja Group`s flagship company Ashok Leyland on Saturday reported 11.86 percent decline in its total commercial vehicles (CV) sales in September at 5,452 units against 6,186 units in the same months last year.
Source: Zee News : Business | 3 Oct 2009 | 6:05 pm

VW seeks to cut ties with Magna: Report!

German car maker Volkswagen is seeking to end or sharply reduce its ties with car parts maker Magna after the Canadian group`s takeover of VW rival Opel, according to a report to be published Monday.
Source: Zee News : Business | 3 Oct 2009 | 6:05 pm

Comcast, GE value NBCU deal at $30 bn: Source!

General Electric Co and Comcast Corp, working on a deal to spin off GE`s NBC Universal, have valued it at USD 30 billion, including USD 9 billion of debt, a source close to the talks told an agency on Friday.
Source: Zee News : Business | 3 Oct 2009 | 6:05 pm

Unique feat for Pranab: to hold twice Chair at G-24!

Finance Minister Pranab Mukherjee will be the first person to hold twice the Chair at G-24 nations, an inter-governmental group on international monetary affairs and development.
Source: Zee News : Business | 3 Oct 2009 | 6:05 pm

Cash-strapped Air India floats EoI to lease seven planes!

Cash-strapped Air India, which is seeking a bailout package from the government, has decided to lease out seven of its aircraft to raise additional funds, airline sources said on Saturday.
Source: Zee News : Business | 3 Oct 2009 | 6:05 pm

Madoff trustee sues Madoff family for almost $200 mn!

Bernard Madoff`s brother, sons and a niece used the family finance business like a "piggy bank," a court-appointed trustee says.
Source: Zee News : Business | 3 Oct 2009 | 6:05 pm

Give more voice to developing nations in IMF, WB: BRIC!

India and its three BRIC partners Brazil, Russia and China have agreed to push for a seven percent shift in quota share for emerging economies in the IMF and another six percent in the World Bank for developing countries.
Source: Zee News : Business | 3 Oct 2009 | 6:05 pm

Orissa private bus operators to go on strike Sunday

The private bus owners in Orissa have decided to go ahead with a statewide strike Sunday after marathon talks with the government failed to resolve their toll fee issue.
Source: IndiaeNews.com: Business News | 3 Oct 2009 | 4:30 pm

BJP national executive to be held on Oct 28-29 - Times of India


Indian Express
BJP national executive to be held on Oct 28-29
Times of India
NEW DELHI: Price rise and issues related to China and Pakistan are likely to be discussed at the BJP national executive which will meet here on October 28 and 29. The meeting will be held under the chairmanship of BJP president Rajnath Singh, ...
BJP blames Cong for failure to curb incursionsExpress Buzz
Rajnath wants 2nd innings, tries to please selectorsEconomic Times
Rajnath blames Centre for 'weak-kneed' policy on ChinaPress Trust of India
Chandigarh Tribune -Indian Express -Indopia
all 22 news articles »

Source: Business - Google News | 3 Oct 2009 | 4:08 pm

IIT professors make case for more flexibility - Times of India


World News
IIT professors make case for more flexibility
Times of India
NEW DELHI: The IIT faculty on Saturday managed to convince the directors and Prime Minister's principal secretary TKA Nair that without flexibility the IIT system will lose its novelty. While the directors agreed to set up two committees to look into ...
IIT faculty puts stir on holdBusiness Standard
2 panels to study IIT faculty's greivances over pay structureEconomic Times
IIT standoff ends after Sibal's assuranceHindu
Press Trust of India -TopNews -Chandigarh Tribune
all 141 news articles »

Source: Business - Google News | 3 Oct 2009 | 3:50 pm

Airtel's revenues, profitability can come under pressure - Economic Times


MediaMughals
Airtel's revenues, profitability can come under pressure
Economic Times
NEW DELHI: Indian telecom czar Sunil Mittal's dreams of forging a transnational alliance with Africa's largest telco MTN have been shattered for the second time in less than two years, but analysts and market watchers view this only as a temporary ...
Economy Week OutTimes of India
What Sunil Mittal told colleagues after the MTN deal endedMoneycontrol.com
MTN ties up with IMImobileBusiness Standard
domain-B -Express Buzz -The Times
all 68 news articles »

Source: Business - Google News | 3 Oct 2009 | 3:00 pm

Orissa private bus operators to go on strike Friday

The private bus owners in Orissa have decided to go ahead with their statewide strike Friday after marathon talks with the government failed to resolve the toll fee issue.
Source: IndiaeNews.com: Business News | 3 Oct 2009 | 3:00 pm

Excess baggage

Airline will now have to suffer the pain of major restructuring in order to survive.
Source: Daily News & Analysis: Money News | 3 Oct 2009 | 2:56 pm

Cement demerger: Not much to lose for Grasim investors - Hindu Business Line


The Hindu
Cement demerger: Not much to lose for Grasim investors
Hindu Business Line
The Grasim Industries stock has declined by about 5 per cent over the past week on investor fears that its lucrative cement business, accounting for close to 70 per cent of its revenues and profits, would be hived off to UltraTech Cement. ...
UltraTech plans public offer to fund expansionBusiness Standard
Grasim to consolidate cement bizThe Statesman
Grasim to demerge its cement businessNDTV.com
Economic Times -Bloomberg -Hindu Business Line
all 59 news articles »

Source: Business - Google News | 3 Oct 2009 | 1:30 pm

Paramount in talks to buy GoAir: Report

GoAir has 5.7 per cent market share, Paramount 2 per cent.
Source: Business Standard | Front Page Headlines | 3 Oct 2009 | 1:25 pm

One tag for all toll plazas

Very soon, you will be able to drive past toll plazas all over the country with just one tag affixed on your vehicle with an embedded chip. This will be a huge service to transporters as well as travellers. With the condition of highways improving, more and more people have begun to travel by road.
Source: Business Standard | Front Page Headlines | 3 Oct 2009 | 1:23 pm

Rs 100-cr betting over Maharashtra polls

If elections are round the corner, betting can surely not be far behind in the countrys commercial capital.
Source: Business Standard | Front Page Headlines | 3 Oct 2009 | 1:23 pm

Grasim to shift cement assets to subsidiary

Grasim Industries of the Aditya Birla Group will merge its cement businesses with its subsidiary, UltraTech, to create the countrys largest standalone cement company. As a first step, Grasim today said that it will demerge its cement business and transfer it to a new subsidiary called Samruddhi Cement. In the next stage, Samruddhi will be merged with UltraTech.
Source: Business Standard | Front Page Headlines | 3 Oct 2009 | 1:21 pm

UltraTech plans public offer to fund expansion

UltraTech is planning a follow-on public offer to fund the expansion of its cement business. The fund-raising exercise is likely once the restructuring of the business, announced today, is over.
Source: Business Standard | Front Page Headlines | 3 Oct 2009 | 1:21 pm

IIT faculty puts stir on hold

After almost two months of heartburn, including a day-long fast on September 24, over the perceived unfairness of the ministry of human resource development over their pay structure and autonomy, the All India IIT Faculty Federation (AIIITFF) today decided to put on hold any further agitation.
Source: Business Standard | Front Page Headlines | 3 Oct 2009 | 1:20 pm

No guarantee of Deutsche deal with ABN - source

ISTANBUL/AMSTERDAM, Oct 3 (Reuters) - Deutsche Bank remains willing to buy some ABN AMRO assets from the Dutch government, a person familiar with the German bank's thinking said on Saturday, though doubts remain a deal can actually be done.

Source: Reuters: Money News | 3 Oct 2009 | 11:54 am

Uttar Pradesh tax official faces corruption charge

The Uttar Pradesh vigilance department Saturday evening raided a joint trade tax commissioner's home in Ghaziabad and found assets beyond his income, an official statement said.
Source: IndiaeNews.com: Business News | 3 Oct 2009 | 10:30 am

Paramount denies reports of GoAir takeover move

Chennai-based business-class airline Paramount Airways Saturday denied reports that it was in talks with GoAir for a takeover.
Source: IndiaeNews.com: Business News | 3 Oct 2009 | 10:30 am

HIGHLIGHTS - Comments from officials at G7, IMF meetings

ISTANBUL (Reuters) - The following are comments from finance officials in Istanbul for the Group of Seven, IMF and World Bank meetings.

Source: Reuters: Money News | 3 Oct 2009 | 10:01 am

Grasim board approves cement biz demerger into Samruddhi

The Grasim board that met today, has decided to demerge its cement business into its arm Samruddhi. Grasim’s shareholders would get one share of Samrudhhi for every one held.
Source: Moneycontrol Top Headlines | 3 Oct 2009 | 9:16 am

Grasim to demerge cement biz into Samruddhi

Mumbai: As a part of restructuring its business, Aditya Birla group company, Grasim, on Saturday said that it was demerging its cement business into its wholly-owned subsidiary Samruddhi.
Samruddhi would be later merged with UltraTech Cement, another group company into cement manufacturing.
“In a proposed restructuring, we (Grasim Cement) would like to demerge our cement business into Samruddhi Cement, a 100% subsidiary of Grasim,” Grasim’s whole-time director and chief financial officer, Adesh Gupta, told reporters here.
On completion of the demerger, Grasim would hold 65% in Samruddhi while Grasim shareholders would hold the balance 35%.
Grasim Cement’s grey cement and RMC businesses would be transferred to Samruddhi post-demerger, he said.
The demerger of Grasim Cement is likely to be completed in the last quarter of this fiscal, he said.
“We expect the demerger to be completed by the fourth quarter of this financial year,” Gupta said.
The company would list Samurddhi and the process would take another six months from now, he said.
Samurddhi would then be merged with Grasim Cement’s subsidiary, UltraTech Cement.
“The next natural and desired step after demerger will be the consolidation of Samruddhi and UltraTech, subject to the deliberation of the respective boards,” Gupta said.
The Aditya Birla group had bought over L&T Cement, belonging to construction major, L&T, and then rebranded it as UltraTech.
Grasim has a majority stake of 55% in UltraTech Cement.
“Post consolidation of Samruddhi and UltraTech, a cement company with a capacity of 49 million tonnes will be created,” Gupta said.
Presently, the capacity of Grasim is 26 million tonnes while UltraTech has a capacity of 23 million tonnes.
“The entire consolidation would be over in the next 8-10 months,” Gupta said.
The Aditya Birla Group chairman, KumarMangalam Birla, in a statement said, “The restructuring move is designed to ensure Grasim’s majority stake in, and continued support to, the rapidly-growing cement business, while simultaneously providing Grasim shareholders direct participation in the pure-play cement company.”
Presently, Grasim Cement has a market share of 19% and post-merger the consolidated company would enjoy the same share, Gupta said.
Post-merger (Samruddhi and UltraTech), Grasim’s holding in the consolidated entity would be somewhere between 55-65%, Gupta said.
“Our holding in the merged entity will be between 55-65% as we hold 55% in UltraTech Cement while post-demerger our holding in Samruddhi will be 65,” he said.
As a part of the restructuring exercise, Samruddhi would issue one equity share of Rs5 each to Grasim shareholders for every share they hold in Grasim.
The advisors to Grasim’s restructuring process are DSP Merrill Lynch, Enam Securities, Amarchand and Mangaldas, Suresh A Shroff and Company and Ernst and Young.
On fund-raising plans, Gupta said “If the need arises we can go to market.”
Grasim Industries on Saturday also said that it will invest Rs1,000 crore to set up a greenfield plant to produce viscose staple fibre (VSF) at Vilayat in Gujarat.
The capacity of this plant would be 80,000 tonnes of VSF.
The facility is expected to start commercial production by March 2013, and would increase Grasim’s total capacity by about 25%.

Source: LatestNews-Home - Livemint.com | 3 Oct 2009 | 8:54 am

G24 nations urge significant IMF vote shift

ISTANBUL (Reuters) - The Group of 24 (G24) nations on Saturday called for a significant shift in IMF voting power to developing nations and a doubling of members' quotas to raise more resources for the global financial institution.

Source: Reuters: Money News | 3 Oct 2009 | 8:38 am

Ashok Leyland to up CV prices by 11.5%

Ashok Leyland is looking at increasing prices of commercial vehicles by about 1.5% due to pressure from rising input costs, reports CNBCTV18.
Source: Moneycontrol Top Headlines | 3 Oct 2009 | 8:31 am

Air India floats EoI to lease seven planes

Cash-strapped Air India has decided to lease out seven of its aircraft to raise additional funds, airline sources said today.
Source: Daily News & Analysis: Money News | 3 Oct 2009 | 8:20 am

G7 grapples with exchange rates, own future

ISTANBUL (Reuters) - Financial officials of the Group of Seven rich nations, which dominated global policymaking for decades, were set on Saturday to discuss a diminished future for their group as it grappled with tensions over currency rates.

Source: Reuters: Money News | 3 Oct 2009 | 7:24 am

Grasim to hive off cement business

MUMBAI (Reuters) - Aditya Birla group will hive off the cement business of Grasim Industries into unit Samruddhi Cement in a cashless transaction and later merge it with group firm Ultratech Cement, it said Saturday.

Source: Reuters: Money News | 3 Oct 2009 | 6:46 am

BRICs stand by demand for bigger share of IMF votes

ISTANBUL (Reuters) - The leading emerging BRIC nations maintain their demand for a 7 percent shift in voting power to developing countries at the International Monetary Fund, Brazil's Finance Minister Guido Mantega said on Saturday.

Source: Reuters: Money News | 3 Oct 2009 | 6:33 am

GrasimUltraTech to meet today to discuss recast offer

There is a major restructuring on the cards at the AV Birla group. Reports suggest that the group is looking at recasting its cement businessa move that could involve merging its entire cement business into UltraTech.
Source: Moneycontrol Top Headlines | 3 Oct 2009 | 6:22 am

Comcast, GE value NBCU deal at $30 bln - source

NEW YORK (Reuters) - General Electric Co and Comcast Corp, working on a deal to spin off GE's NBC Universal, have valued it at $30 billion, including $9 billion of debt, a source close to the talks told Reuters on Friday.

Source: Reuters: Money News | 3 Oct 2009 | 6:12 am

Forbes India: How Shahnaz Husain made beauty her business

Shahnaz Husain has singlehandedly built a business empire selling Ayurveda products. Here, she speaks with Forbes India about her journey so far and succession plan.
Source: Moneycontrol Top Headlines | 3 Oct 2009 | 5:45 am

Gold recovers on higher global cues, silver declines further

Gold prices recovered on the bullion market here today on fresh buying by stockists, while silver prices declined due to sustained selling by stockists.
Source: Daily News & Analysis: Money News | 3 Oct 2009 | 4:41 am

RBI may hike key rates early next fiscal

The central bank may unwind its accommodative monetary policy by hiking key rates in the first quarter of FY2011, say bankers and economists.
Source: Moneycontrol Top Headlines | 3 Oct 2009 | 2:59 am

The timeless appeal of a real hero

Google has used a sketch of Mohandas Karamchand Gandhi on its homepage in most countries. Billboards have sprung up in Mumbai showing Gandhiji in his traditional dhoti above the image of a Mont Blanc pen.
Source: Moneycontrol Top Headlines | 3 Oct 2009 | 2:53 am