Success in my Habit
Friday, December 30, 2011
Thursday, December 29, 2011
Railways puts bullet train project on fast track
NEW DELHI: Railways' ambitious project of running bullet trains in six select corridors has been fast tracked as the state-run transporter is ready with the Cabinet note for setting up of a high speed rail authority.
Railways' top brass are also in intense negotiations with the visiting Japanese delegation, seeking their cooperation for introduction of a high speed train that can run at 300km per hour.
The authority will be empowered to decide on whether a particular corridor project will be implemented on PPP or non-PPP mode based on pre-feasibility study. Sources said that the authority will have the power to decide on ownership and management of each high-speed corridor. Besides, it will take a final call on project packaging, such as operator, fixed infrastructure and rolling stock.
Railways has selected six corridors for conducting feasibility study for running high speed trains. The transporter has completed the pre-feasibility study for the 650 km Pune-Mumbai-Ahmedabad high speed corridor. It has selected a Japanese consortium to explore the feasibility of running a bullet train on the proposed Hyderabad-Vijayawada-Chennai high speed corridor.
The consultants for the pre-feasibility study of Delhi-Agra-Lucknow-Varanasi-Patna and Howrah-Haldia corridors have been appointed and they are expected to submit reports soon, said an official.
Tenders for the study of Chennai-Bangalore-Coimbatore-Ernakulam-Thiruvananthapuram corridor are under finalization. The state governments are ready to meet 50% cost of the consultancy. While Japan has shown interest in India's high speed train, it is funding 80% of the cost of construction of the 1,499 km-long Western Dedicated Freight Corridor.
Railways believes that Japan, which runs the high speed train Shinkansen, can show India the way as both nations face a similar situation as far as population density and station-to-station distances are concerned.
It is being estimated that dedicated high speed corridor will cost about Rs 100 crore per km.
Railways' top brass are also in intense negotiations with the visiting Japanese delegation, seeking their cooperation for introduction of a high speed train that can run at 300km per hour.
The authority will be empowered to decide on whether a particular corridor project will be implemented on PPP or non-PPP mode based on pre-feasibility study. Sources said that the authority will have the power to decide on ownership and management of each high-speed corridor. Besides, it will take a final call on project packaging, such as operator, fixed infrastructure and rolling stock.
Railways has selected six corridors for conducting feasibility study for running high speed trains. The transporter has completed the pre-feasibility study for the 650 km Pune-Mumbai-Ahmedabad high speed corridor. It has selected a Japanese consortium to explore the feasibility of running a bullet train on the proposed Hyderabad-Vijayawada-Chennai high speed corridor.
The consultants for the pre-feasibility study of Delhi-Agra-Lucknow-Varanasi-Patna and Howrah-Haldia corridors have been appointed and they are expected to submit reports soon, said an official.
Tenders for the study of Chennai-Bangalore-Coimbatore-Ernakulam-Thiruvananthapuram corridor are under finalization. The state governments are ready to meet 50% cost of the consultancy. While Japan has shown interest in India's high speed train, it is funding 80% of the cost of construction of the 1,499 km-long Western Dedicated Freight Corridor.
Railways believes that Japan, which runs the high speed train Shinkansen, can show India the way as both nations face a similar situation as far as population density and station-to-station distances are concerned.
It is being estimated that dedicated high speed corridor will cost about Rs 100 crore per km.
Madras High Court issues notice to mobile companies on charging extra for SMS
MADURAI: The Madras High Court today issued notices to 10 mobile companies on a petition seeking to bar them from charging extra for SMSes during festivals and other important days.
The high court bench issued notices while admitting a petition by a lawyer, seeking a direction to the companies and the Telecom Regulatory Authority of India (TRAI) not to hike the tariff for this period.
Petitioner Arunachalam also sought an interim stay on undue and sudden hike on SMS charges during important festivals and special occasions like New year's eve on December 31 and January 1.
He contended that mobile companies offered attractive packages while enrolling customers, including 200 Free SMS for Rs one a day, 50 paise per SMS but later announce they would maintain special SMS tariffs on December 31.
This forces users to restrict SMS and curtail private space and free communication on important festival days. TRAI was also not taking steps to control it, he alleged.
Arunachalam said mobile operators, regardless of tariff plans would charge Rs 1.50 per SMS on Dec 31, "which is unfair." Last year SMS revenue of the companies was Rs 100 crore, he claimed.
The petitioner said users were being charged extra at a time when they want to use their mobiles the most, "fully violating natural justice and rights given in the Constitution."
Among important days on which extra tariff was collected was Pongal, Christmas, New year, Valentines day, Independence day and Diwali, he said.
The bench after hearing him, ordered notices to the TRAI chairperson and Zonal/Regional Managers of 10 companies-- Bharti Airtel ltd, Aircel Ltd, Vodafone, Reliance, Idea Cellular, Unitech, Tata Docomo, MTS mobile, BSNL mobile and Videocon and posted the case for further hearing on January 21 2012.
The high court bench issued notices while admitting a petition by a lawyer, seeking a direction to the companies and the Telecom Regulatory Authority of India (TRAI) not to hike the tariff for this period.
Petitioner Arunachalam also sought an interim stay on undue and sudden hike on SMS charges during important festivals and special occasions like New year's eve on December 31 and January 1.
He contended that mobile companies offered attractive packages while enrolling customers, including 200 Free SMS for Rs one a day, 50 paise per SMS but later announce they would maintain special SMS tariffs on December 31.
This forces users to restrict SMS and curtail private space and free communication on important festival days. TRAI was also not taking steps to control it, he alleged.
Arunachalam said mobile operators, regardless of tariff plans would charge Rs 1.50 per SMS on Dec 31, "which is unfair." Last year SMS revenue of the companies was Rs 100 crore, he claimed.
The petitioner said users were being charged extra at a time when they want to use their mobiles the most, "fully violating natural justice and rights given in the Constitution."
Among important days on which extra tariff was collected was Pongal, Christmas, New year, Valentines day, Independence day and Diwali, he said.
The bench after hearing him, ordered notices to the TRAI chairperson and Zonal/Regional Managers of 10 companies-- Bharti Airtel ltd, Aircel Ltd, Vodafone, Reliance, Idea Cellular, Unitech, Tata Docomo, MTS mobile, BSNL mobile and Videocon and posted the case for further hearing on January 21 2012.
Investment in telecom sector up by nearly Rs 50K cr in FY11
NEW DELHI: Despite several controversies like 2G spectrum scam, the telecom sector witnessed over 17 per cent increase in investment in 2010-11 over the previous financial year, says annual report of telecom regulator Trai.
The capital employed in the telecom sector increased to Rs 3,37,683 crore in 2010-11 from Rs 2,86,837 crore in 2009-10, according to Trai's annual report 2010-11.
The growth in subscriber base resulted in an increase in the gross revenue of telecom services as reported by the service providers for the year to Rs 1,71,719 crore during the year, a growth of 8.69 per cent from Rs 1,57,985 crore in the previous year.
Continuing its impressive growth in the subscriber base, the use base stood at 842.32 million, a 30.36 per cent growth from 621.28 million in the previous financial year.
The overall teledensity in the country registered an increase from 52.74 at the end of March 2010 to 70.89 at the end of March 2011.
The revenue contribution from the public sector telecom companies in 2010-11 was 20.37 per cent (previous year 24.82 per cent) and from private sector firms was 79.63 per cent (previous year 75.18 per cent).
However, capital employed of public sector companies decreased by 7.35 per cent in 2010-11.
The capital employed in the telecom sector increased to Rs 3,37,683 crore in 2010-11 from Rs 2,86,837 crore in 2009-10, according to Trai's annual report 2010-11.
The growth in subscriber base resulted in an increase in the gross revenue of telecom services as reported by the service providers for the year to Rs 1,71,719 crore during the year, a growth of 8.69 per cent from Rs 1,57,985 crore in the previous year.
Continuing its impressive growth in the subscriber base, the use base stood at 842.32 million, a 30.36 per cent growth from 621.28 million in the previous financial year.
The overall teledensity in the country registered an increase from 52.74 at the end of March 2010 to 70.89 at the end of March 2011.
The revenue contribution from the public sector telecom companies in 2010-11 was 20.37 per cent (previous year 24.82 per cent) and from private sector firms was 79.63 per cent (previous year 75.18 per cent).
However, capital employed of public sector companies decreased by 7.35 per cent in 2010-11.
'Kolaveri Di' makes inroads into Pakistan
ISLAMABAD: 'Kolaveri Di', the song that has made India sway to its tunes, is making splash in Pakistan as well where a TV channel has come out with its own adaptation - a political satire.
'Where is democracy, democracy, democracy ji' is how the 'slap song' begins.
The lyrics, like the original, are hilarious and take pot-shots at the government and the security establishment.
The Pakistani version that was uploaded on the Youtube on December 17 comes at a time when talks of confrontation between the government and the powerful security establishment are at a high.
The video features five middle-aged men who seem disgruntled with the system in Pakistan. It points fingers at corruption and political system.
In a very funny manner, the parody also shows how the governments are changed at the whims and fancy of certain people.
Some of the hilarious lyrics are, 'Your palace, Palace, light, light... My home black', 'Rise-u, rise-u... cheat-u cheat-u, 'empty jaib, missile come, life reverse gear'.
The 3:25 minute song that also talks about 'jungle law' ends by saying the adaptation is for "poor public".
'Where is democracy, democracy, democracy ji' is how the 'slap song' begins.
The lyrics, like the original, are hilarious and take pot-shots at the government and the security establishment.
The Pakistani version that was uploaded on the Youtube on December 17 comes at a time when talks of confrontation between the government and the powerful security establishment are at a high.
The video features five middle-aged men who seem disgruntled with the system in Pakistan. It points fingers at corruption and political system.
In a very funny manner, the parody also shows how the governments are changed at the whims and fancy of certain people.
Some of the hilarious lyrics are, 'Your palace, Palace, light, light... My home black', 'Rise-u, rise-u... cheat-u cheat-u, 'empty jaib, missile come, life reverse gear'.
The 3:25 minute song that also talks about 'jungle law' ends by saying the adaptation is for "poor public".
3 Idiots wins over Chinese, collects Rs 11 crore in two weeks
MUMBAI: The Chinese are madly falling in love with Funsuk Wangdu and Ranchodas Chanchwad, characters in Amir Khan-starrer 3 Idiots, which was released in 2009, and became an instant hit at home.
China opened its doors to the Raju Hirani film two weeks ago, and the Idiots have won over the Chinese as well, creating a record of sorts. In the two weeks since its release with 900 prints, the film has collected Rs 11 crore so far.
"Mainland China is the second biggest film market after the US, but is very tough to enter because only 20 foreign films (including Hollywood) can be screened in China in a year," said Sameer Rao, chief executive officer at Vidhu Vinod Chopra Productions who is elated at the response, and expects the film to have a long run at the box office in China, just like it did in Hong Kong. In Hong Kong, 3 Idiots was released in October, and is still running to packed houses, collecting close to 16 crore so far.
However, the success of Hirani's 3 Idiots may open the doors for other Bollywood films waiting to be released in China. "Films from various countries are given a chance to be released in China under the quota system. As 3 Idiots is doing very well, Indian films now have a better chance to be released in China. The local distributors too shall try hard as they have seen the response an Indian film can get," said Audrey Lee, owner of Chinese distribution firm Ekdo Films which has released 3 Idiots in some parts of China. The cost of dubbing and marketing in Mainland China has been borne by local distributors like Lee.
"The message in the film has been the 'pull' factor. Such a great response from a non-traditional territory like China is a welcome phenomenon for the Hindi film industry," said Anil Arjun, chief executive officer at Reliance MediaWorks, who has been closely involved with Reliance's overseas distribution.In the Chinese piracy market, the 3 Idiots, it is believed, had already become the highest selling Bollywood film, and estimates suggest over 1.3 lakh Chinese having watched a pirated copy of the film.
The only Bollywood film which got through the Great Wall before this and got a wide release was Karan Johar's My Name is Khan last year, which was distributed by Fox Star.
With the China release, 3 Idiots has become the highest grossing film in the overseas market with collections amounting to Rs 121 crore.
China opened its doors to the Raju Hirani film two weeks ago, and the Idiots have won over the Chinese as well, creating a record of sorts. In the two weeks since its release with 900 prints, the film has collected Rs 11 crore so far.
"Mainland China is the second biggest film market after the US, but is very tough to enter because only 20 foreign films (including Hollywood) can be screened in China in a year," said Sameer Rao, chief executive officer at Vidhu Vinod Chopra Productions who is elated at the response, and expects the film to have a long run at the box office in China, just like it did in Hong Kong. In Hong Kong, 3 Idiots was released in October, and is still running to packed houses, collecting close to 16 crore so far.
However, the success of Hirani's 3 Idiots may open the doors for other Bollywood films waiting to be released in China. "Films from various countries are given a chance to be released in China under the quota system. As 3 Idiots is doing very well, Indian films now have a better chance to be released in China. The local distributors too shall try hard as they have seen the response an Indian film can get," said Audrey Lee, owner of Chinese distribution firm Ekdo Films which has released 3 Idiots in some parts of China. The cost of dubbing and marketing in Mainland China has been borne by local distributors like Lee.
"The message in the film has been the 'pull' factor. Such a great response from a non-traditional territory like China is a welcome phenomenon for the Hindi film industry," said Anil Arjun, chief executive officer at Reliance MediaWorks, who has been closely involved with Reliance's overseas distribution.In the Chinese piracy market, the 3 Idiots, it is believed, had already become the highest selling Bollywood film, and estimates suggest over 1.3 lakh Chinese having watched a pirated copy of the film.
The only Bollywood film which got through the Great Wall before this and got a wide release was Karan Johar's My Name is Khan last year, which was distributed by Fox Star.
With the China release, 3 Idiots has become the highest grossing film in the overseas market with collections amounting to Rs 121 crore.
Educomp Solutions plans to add 40,000 classrooms under Smartclass program by March '12
NEW DELHI: Educomp Solutions Ltd launched an upgraded version of its technology product smartclass - smartclass Class Transformation System (CTS) in the Capital on Friday. The company plans add around 40,000 classrooms under smartclass by end of the current fiscal year.
Educomp will provide the new version to all the schools that use smartclass solutions free of cost. At present, over eight million students use the smartclass solution. On an average, the company earns about Rs 150 per student per month through smartclass.
The smartclass program enables teachers to explain various concepts to their students better, with the help of technology in the form of graphics and animation.
According to Educomp, the new version is enhanced with a range of ready-to-deploy resources, which not only includes animation and graphics, but also simulations, mind maps, worksheets, web links, diagram maker, graphic organisers and assessment tools. "These resources have been created for almost every chapter in very subject across every board in India," the company stated.
Shantanu Prakash, MD and CEO of Educomp Solutions said the company decided to launch an upgraded version as a few other players in the education segment had created similar products in the last couple of years. "The new program will create a new blue ocean for us," he added. The company earns about 67% of its revenues from the smartclass program.
Educomp will provide the new version to all the schools that use smartclass solutions free of cost. At present, over eight million students use the smartclass solution. On an average, the company earns about Rs 150 per student per month through smartclass.
The smartclass program enables teachers to explain various concepts to their students better, with the help of technology in the form of graphics and animation.
According to Educomp, the new version is enhanced with a range of ready-to-deploy resources, which not only includes animation and graphics, but also simulations, mind maps, worksheets, web links, diagram maker, graphic organisers and assessment tools. "These resources have been created for almost every chapter in very subject across every board in India," the company stated.
Shantanu Prakash, MD and CEO of Educomp Solutions said the company decided to launch an upgraded version as a few other players in the education segment had created similar products in the last couple of years. "The new program will create a new blue ocean for us," he added. The company earns about 67% of its revenues from the smartclass program.
Hits & Misses 2011: Best and worst ads of the year
Coming of age of small, stand-alone creative agencies was the highlight of 2011 for the advertisement industry, which did not have many superb works to show off. Bates Asia Regional Planning Director Dheeraj Sinha says that during the year more superior work happened outside the industry than within.
"There are learnings for the industry from how Anna Hazare and 'Kolaveri di' created such huge impact, backed by the power of social media," he says. But 2011 has been a good year for the smaller, nimbler and often braver agencies, while the big networks bled on talent and business.
"Independent agencies have come and made people take note of their work," says Publicis-Ambience National Creative Director Ashish Khazanchi. "They are no more out of league with the big brands and are increasingly being invited for the pitches by the big daddies of the business, both Indian and global."
Today, most independent agencies have a number of big accounts under their belt. Taproot has Pepsi, Airtel and Nirma; Creativeland Asia has Audi, Parle's Hippo and Godrej Hair care; Wieden+Kennedy has Indigo and Royal Enfield; Law & Kenneth has Hero Group and RPG Corp; Saints & Warriors has Fiat and SAB TV; Scarecrow has Essel Group and Viacom 18 Sonic; and, Happy Creative Services has Papa Johns Pizza. Clearly, these new kids are the right guys to choose the best campaigns of the year.
Santosh Padhi
CCO & Co-Founder, Taproot India
HITS:
VODAFONE Zoozoos, Agency: Ogilvy & Mather
CADBURY Shubh aarambh, Agency: Ogilvy & Mather
Although both these campaigns have been running for a while, there is still no fatigue in them. Zoozoos are just adorable. It's easy to be No.1, but very difficult to retain the position. Vodafone has managed to do that by keeping the campaigns simple yet enjoyable. Cadbury has kind of taken over the mithai category.
From 'Shubh Aarambh' to 'Kuch Meetha Ho Jaye', the brand has thought differently and marketed it equally well. The campaigns have connected well with consumers.
MISS: HERO MOTOCORP'S Hum mein hai Hero, Agency: Law & Kenneth
People remember this campaign because of the media that was invested in promoting it. The ad was visible everywhere. But was it creatively superior? I don't think so.
Manish Bhatt & Raghu Bhat
Founding Directors, Scarecrow Communications
HIT: CEAT BIKE TYRES Because the streets are filled with idiots, Agency: Meridian
We like campaigns that don't depend on great executions to see them through. The campaign is born out of a truthful observation of human behaviour. Most clients would have squirmed at the prospect of using a definitive word like 'idiots'. But the word is adequately abusive and perfectly captures the intensity of people's frustration.
MISS: JK SUPER CEMENT Vishwas hai, isme kuch khaas hai, Agency: NA
The biggest achievement of this ad is the fact that it ever got made. There is no relevance, no insight, no function and no emotional benefit. The use of Ursula Andress-inspired imagery of a bikini-clad woman, though well intended, ends up creating a feeling of lust rather than trust.
"There are learnings for the industry from how Anna Hazare and 'Kolaveri di' created such huge impact, backed by the power of social media," he says. But 2011 has been a good year for the smaller, nimbler and often braver agencies, while the big networks bled on talent and business.
"Independent agencies have come and made people take note of their work," says Publicis-Ambience National Creative Director Ashish Khazanchi. "They are no more out of league with the big brands and are increasingly being invited for the pitches by the big daddies of the business, both Indian and global."
Today, most independent agencies have a number of big accounts under their belt. Taproot has Pepsi, Airtel and Nirma; Creativeland Asia has Audi, Parle's Hippo and Godrej Hair care; Wieden+Kennedy has Indigo and Royal Enfield; Law & Kenneth has Hero Group and RPG Corp; Saints & Warriors has Fiat and SAB TV; Scarecrow has Essel Group and Viacom 18 Sonic; and, Happy Creative Services has Papa Johns Pizza. Clearly, these new kids are the right guys to choose the best campaigns of the year.
Santosh Padhi
CCO & Co-Founder, Taproot India
HITS:
VODAFONE Zoozoos, Agency: Ogilvy & Mather
CADBURY Shubh aarambh, Agency: Ogilvy & Mather
Although both these campaigns have been running for a while, there is still no fatigue in them. Zoozoos are just adorable. It's easy to be No.1, but very difficult to retain the position. Vodafone has managed to do that by keeping the campaigns simple yet enjoyable. Cadbury has kind of taken over the mithai category.
From 'Shubh Aarambh' to 'Kuch Meetha Ho Jaye', the brand has thought differently and marketed it equally well. The campaigns have connected well with consumers.
MISS: HERO MOTOCORP'S Hum mein hai Hero, Agency: Law & Kenneth
People remember this campaign because of the media that was invested in promoting it. The ad was visible everywhere. But was it creatively superior? I don't think so.
Manish Bhatt & Raghu Bhat
Founding Directors, Scarecrow Communications
HIT: CEAT BIKE TYRES Because the streets are filled with idiots, Agency: Meridian
We like campaigns that don't depend on great executions to see them through. The campaign is born out of a truthful observation of human behaviour. Most clients would have squirmed at the prospect of using a definitive word like 'idiots'. But the word is adequately abusive and perfectly captures the intensity of people's frustration.
MISS: JK SUPER CEMENT Vishwas hai, isme kuch khaas hai, Agency: NA
The biggest achievement of this ad is the fact that it ever got made. There is no relevance, no insight, no function and no emotional benefit. The use of Ursula Andress-inspired imagery of a bikini-clad woman, though well intended, ends up creating a feeling of lust rather than trust.
CavinKare hires two senior executives
MUMBAI: Chennai-based FMCG player CavinKare today appointed two senior executives to its core management team with Jatin Bhatt as marketing vice-president and Murali Santhanam as executive vice-president for HR.
These appointments have been made in alignment with the aggressive growth and expansion plans of the company, CavinKare said in a statement.
"With Santhanam and Bhatt on board, we have further strengthened our senior management team. While Santhanam brings over 20 years of HR and talent management experience with him, Bhatt comes with excellent track record in marketing," CavinKare Chairman and Managing Director CK Ranganathan said.
These appointments have been made in alignment with the aggressive growth and expansion plans of the company, CavinKare said in a statement.
"With Santhanam and Bhatt on board, we have further strengthened our senior management team. While Santhanam brings over 20 years of HR and talent management experience with him, Bhatt comes with excellent track record in marketing," CavinKare Chairman and Managing Director CK Ranganathan said.
Tamil Nadu to recruit 7,000 teachers for government schools
CHENNAI: With a view to ensure the 1:40 teacher-student ratio in government-run schools in the state, Tamil Nadu Chief Minister J Jayalalithaa today directed creating about 7,000 new additional teacher vacancies.
The Chief Minister has directed creating a total of 6,872 graduate teacher vacancies in the current academic year, which would result in the government incurring an expenditure of Rs 181.36 crore annually.
A state government release here said she had also directed creating 1,590 additional post graduate teaching vacancies to cater to the said student-teacher ratio in government-run higher secondary schools. The state exchequer will incur an additional sum of Rs 45.25 crore.
Further, the government also announced hiking the monthly wages of guest lecturers in Government Arts and Science Colleges to Rs 10,000 from Rs 6,000 per month.
The Chief Minister has directed creating a total of 6,872 graduate teacher vacancies in the current academic year, which would result in the government incurring an expenditure of Rs 181.36 crore annually.
A state government release here said she had also directed creating 1,590 additional post graduate teaching vacancies to cater to the said student-teacher ratio in government-run higher secondary schools. The state exchequer will incur an additional sum of Rs 45.25 crore.
Further, the government also announced hiking the monthly wages of guest lecturers in Government Arts and Science Colleges to Rs 10,000 from Rs 6,000 per month.
Hyderabad to get a booster dose of International hospitals
HYDERABAD: At least 12 new hospitals are set to spring up in the city's Shamshabad-Hi-Tec City stretch over the next few years. Apart from local names, the list also includes international brands that are driving into the city in large numbers hoping to cash in on not just the rising demand for specialised healthcare but also on Hyderabad's world-class airport that has positioned the city as a medical tourism destination .
Not surprising then, the vast tracts of open space surrounding the Shamshabad international airport are suddenly being considered by investors as the best bet for setting up multi-specialty hospitals.
So, if there is an international hospital (a GMR, Apollo Hospitals and Mayo Clinic joint venture) being built within the Health Port of the airport SEZ, not too far away in Nalagandla there is another medical institute, Citizens Hospital, which is on its way to completion. In fact, this 500-bed hospital, spread over an area of about 10 acres, is expected to become partially operational from June next year. "Besides local patients, this international-standard hospital will also be catering to the huge demand for such facility among overseas patients," said an official attached with the project pointing to the spurt in medical tourism in Hyderabad.
While there is, even now, a steady flow of tourists visiting the city for treatment, investors are trying hard to improve the foot-fall further, sources said. And, their primary marketing tool: The Shamshabad international airport.
Predictably, areas such as the Financial District or Gachibowli, both of which are within a 30 km radius of the airport, are also being eyed for this purpose. While there is already a facility, Continental Hospital, coming up in Gachibowli, sources indicate that at least two other international groups are in talks with local parties to pick up about two lakh square feet (sft) area in this belt. Though no confirmation has been received from the investors, sources say that the deals are in their final stage and are likely to be sealed soon.
"There is also a group of doctors from the US who are looking for land in the city to set up a centre and they are sure it has to be in the Shamshabad airport-Gachibowli stretch," said a real estate developer.
And what's adding to their advantage is the low realty rates prevailing in this area at present. If until two years ago, land in Shamshabad was available for nothing less than Rs 2-6 crore per acre, now it is priced at a more modest range varying between Rs 70 lakh and Rs 3 crore. Similarly Gachibowli too is 50% cheaper now with a one-acre plot available for Rs 4-10 crore. "All these factors put together are likely to see this part of town develop into a medical hub soon," an observer noted.
Not surprising then, the vast tracts of open space surrounding the Shamshabad international airport are suddenly being considered by investors as the best bet for setting up multi-specialty hospitals.
So, if there is an international hospital (a GMR, Apollo Hospitals and Mayo Clinic joint venture) being built within the Health Port of the airport SEZ, not too far away in Nalagandla there is another medical institute, Citizens Hospital, which is on its way to completion. In fact, this 500-bed hospital, spread over an area of about 10 acres, is expected to become partially operational from June next year. "Besides local patients, this international-standard hospital will also be catering to the huge demand for such facility among overseas patients," said an official attached with the project pointing to the spurt in medical tourism in Hyderabad.
While there is, even now, a steady flow of tourists visiting the city for treatment, investors are trying hard to improve the foot-fall further, sources said. And, their primary marketing tool: The Shamshabad international airport.
Predictably, areas such as the Financial District or Gachibowli, both of which are within a 30 km radius of the airport, are also being eyed for this purpose. While there is already a facility, Continental Hospital, coming up in Gachibowli, sources indicate that at least two other international groups are in talks with local parties to pick up about two lakh square feet (sft) area in this belt. Though no confirmation has been received from the investors, sources say that the deals are in their final stage and are likely to be sealed soon.
"There is also a group of doctors from the US who are looking for land in the city to set up a centre and they are sure it has to be in the Shamshabad airport-Gachibowli stretch," said a real estate developer.
And what's adding to their advantage is the low realty rates prevailing in this area at present. If until two years ago, land in Shamshabad was available for nothing less than Rs 2-6 crore per acre, now it is priced at a more modest range varying between Rs 70 lakh and Rs 3 crore. Similarly Gachibowli too is 50% cheaper now with a one-acre plot available for Rs 4-10 crore. "All these factors put together are likely to see this part of town develop into a medical hub soon," an observer noted.
Dr Reddy's launches pain treatment cream 'Supamove' in India
NEW DELHI: Dr Reddy's Laboratories today said it has launched 'Supamove' cream used for treating pain and inflammation in India.
The cream helps in reducing pain and inflammation in patients with joint pain, arthritis, bursitis, tendinitis and lower back pain, the company said.
"The product has been in-licensed from Cymbiotics Inc. USA and will be available in a 30 gm tube," it added.
The company has also launched another product, Venusia Soft lotion in 75 ml pack, used for providing relief from dry, itchy skin also in-licensed from Cymbiotics Inc.
"This will complete Dr Reddy's treatment basket in the emollient and protective space which already includes Venusia cream, Venusia lotion, Venusia max and Venusia bathing bar," Dr Reddy's said.
The company claimed that current market size of topical non-steroidal anti-inflammatory drugs (NSAID) segment is over Rs 352 crore and emollients and protectives market in India is currently valued at Rs 208 crore, it added.
The Hyderabad-based firm, which had revenues of USD 1.7 billion in FY 11 is present in three business segments- pharmaceutical services and active ingredients, global generics and proprietary products.
Shares of Dr Reddy's were today trading at Rs 1,573 in the after noon trade on BSE, up 0.45 per cent from its previous close.
The cream helps in reducing pain and inflammation in patients with joint pain, arthritis, bursitis, tendinitis and lower back pain, the company said.
"The product has been in-licensed from Cymbiotics Inc. USA and will be available in a 30 gm tube," it added.
The company has also launched another product, Venusia Soft lotion in 75 ml pack, used for providing relief from dry, itchy skin also in-licensed from Cymbiotics Inc.
"This will complete Dr Reddy's treatment basket in the emollient and protective space which already includes Venusia cream, Venusia lotion, Venusia max and Venusia bathing bar," Dr Reddy's said.
The company claimed that current market size of topical non-steroidal anti-inflammatory drugs (NSAID) segment is over Rs 352 crore and emollients and protectives market in India is currently valued at Rs 208 crore, it added.
The Hyderabad-based firm, which had revenues of USD 1.7 billion in FY 11 is present in three business segments- pharmaceutical services and active ingredients, global generics and proprietary products.
Shares of Dr Reddy's were today trading at Rs 1,573 in the after noon trade on BSE, up 0.45 per cent from its previous close.
RIL, Raytheon may form homeland security JV
NEW DELHI: Reliance Industries, India's most valued company, is in "advanced talks" with American defence giant Raytheon to create a joint venture that will pursue opportunities in homeland security in India and abroad.
"RIL and Raytheon are in talks (to set up a joint venture in homeland security business) that are in the late stage," said a person involved in the talks, asking not to be named.
A joint venture with Raytheon - maker of the famous Patriot missiles used in the first Iraq War and a strategic partner of the US government on key homeland security programmes - will give Reliance access to high-end security products and engineering solutions.
"This joint venture will give RIL the ability to innovate and develop key technologies for India," said a Delhi-based analyst who didn't wish to be identified because he is not authorised to speak to the media.
For Raytheon, which is present in the country through partnerships with several companies including the Tata Group, Larsen & Toubro and Bharat Electronics, the proposed venture will mean easier access to one of the fastest-growing markets for homeland security solutions.
The $8-billion Indian homeland security industry is expected to grow to $14 billion in the next three years and to $16 billion by 2016. Defence analysts say that such a joint venture could help end the so-called "India fatigue" that has set in among American companies after failing to make it to the shortlist of the country's biggest military contract, worth 42,000 crore, to acquire 126 medium multi-role combat aircraft for the Indian Air Force.
Responding to an email query from ET, a Raytheon spokesperson said, "We do not comment on rumour or speculation."
As of now, it has a joint venture with only one firm - France's Thales.
Reliance Industries' homeland security and aerospace division head Vivek Lall too did not respond to repeated e-mails about talks with Raytheon.
The Mukesh Ambani-owned company is also in talks with German firm Siemens AG to form a joint venture in homeland security, the person involved in the talks said. A few months ago, RIL had tied up with Siemens to jointly bid for security projects.
The two companies jointly bid for a 600-crore Mumbai CCTV project, which was conceived after the 26/11 attack and envisages setting up computerised video surveillance at 100 critical traffic junctions in the metropolis. The Maharashtra government has shortlisted the combine for the project.
Indian companies such as Tata Group, Larsen & Toubro and Mahindra Group have already tied up with foreign players in the homeland security space.
Mahindra Defence Systems has a joint-venture partnership with US-based Telephonics Corporation to make radars and surveillance and communication systems for the Indian military, while Tata Advanced Systems has a venture with Zurich-based AGT International to tap opportunities in the homeland security market. RIL set up its homeland security and aerospace division early this year after roping in Lall, 42, a former NASA scientist who steered Boeing's military and commercial division in India for years.
Lall worked with Raytheon in the 1990s and was part of the engineering team that developed its aircraft for the Joint Primary Aircraft Training System (JPATS), an ambitious aircraft procurement programme in the US in 1995.
Ever since the Indian Parliament was attacked in 2001, security experts have called for enlisting the private sector to step up security across the country, especially in cities.
Currently, one of the best "safe-city" communications systems in the country is in Parliament. Installed by Cassidian, the security division of the Netherlands-based EADS, the Tetra radio network doesn't get jammed even in disaster situations.
"RIL and Raytheon are in talks (to set up a joint venture in homeland security business) that are in the late stage," said a person involved in the talks, asking not to be named.
A joint venture with Raytheon - maker of the famous Patriot missiles used in the first Iraq War and a strategic partner of the US government on key homeland security programmes - will give Reliance access to high-end security products and engineering solutions.
"This joint venture will give RIL the ability to innovate and develop key technologies for India," said a Delhi-based analyst who didn't wish to be identified because he is not authorised to speak to the media.
For Raytheon, which is present in the country through partnerships with several companies including the Tata Group, Larsen & Toubro and Bharat Electronics, the proposed venture will mean easier access to one of the fastest-growing markets for homeland security solutions.
The $8-billion Indian homeland security industry is expected to grow to $14 billion in the next three years and to $16 billion by 2016. Defence analysts say that such a joint venture could help end the so-called "India fatigue" that has set in among American companies after failing to make it to the shortlist of the country's biggest military contract, worth 42,000 crore, to acquire 126 medium multi-role combat aircraft for the Indian Air Force.
Responding to an email query from ET, a Raytheon spokesperson said, "We do not comment on rumour or speculation."
As of now, it has a joint venture with only one firm - France's Thales.
Reliance Industries' homeland security and aerospace division head Vivek Lall too did not respond to repeated e-mails about talks with Raytheon.
The Mukesh Ambani-owned company is also in talks with German firm Siemens AG to form a joint venture in homeland security, the person involved in the talks said. A few months ago, RIL had tied up with Siemens to jointly bid for security projects.
The two companies jointly bid for a 600-crore Mumbai CCTV project, which was conceived after the 26/11 attack and envisages setting up computerised video surveillance at 100 critical traffic junctions in the metropolis. The Maharashtra government has shortlisted the combine for the project.
Indian companies such as Tata Group, Larsen & Toubro and Mahindra Group have already tied up with foreign players in the homeland security space.
Mahindra Defence Systems has a joint-venture partnership with US-based Telephonics Corporation to make radars and surveillance and communication systems for the Indian military, while Tata Advanced Systems has a venture with Zurich-based AGT International to tap opportunities in the homeland security market. RIL set up its homeland security and aerospace division early this year after roping in Lall, 42, a former NASA scientist who steered Boeing's military and commercial division in India for years.
Lall worked with Raytheon in the 1990s and was part of the engineering team that developed its aircraft for the Joint Primary Aircraft Training System (JPATS), an ambitious aircraft procurement programme in the US in 1995.
Ever since the Indian Parliament was attacked in 2001, security experts have called for enlisting the private sector to step up security across the country, especially in cities.
Currently, one of the best "safe-city" communications systems in the country is in Parliament. Installed by Cassidian, the security division of the Netherlands-based EADS, the Tetra radio network doesn't get jammed even in disaster situations.
Larsen and Toubro, Mitsubishi to sign technology pact for ship building
MUMBAI: Engineering and construction major Larsen and Toubro today said its shipbuilding arm, L&T Shipbuilding, will sign a licensing and technological collaboration agreement with Japan's Mitsubishi Heavy Industries (MHI).
The agreement with Mitsubishi will provide a broad range of technological support for the construction and design of commercial vessels by L&T Ship Building and training of its engineers, the Indian engineering major said in a statement.
It added that the training of engineers will include training in ship construction, quality control and overseas procurement of shipbuilding materials.
"Going forward, MHI and L&T Ship Building (LTSB) will market vessels built by LTSB under exclusive technical collaboration with MHI," the statement added.
The agreement will be valid initially for three years, with an option to extend it further.
The statement also said starting early 2012, L&T engineers will be trained at the MHI's Nagasaki Shipyard and Machinery Works and the Shimonoseki Shipyard and Machinery Works in Yamaguchi Prefecture.
The Japanese firm will also depute experts in design, ship construction and quality control from its shipyards to India to impart training.
Both the companies, who are partners since 2007 and have two joint ventures in power sector, will also look to capture the opportunities relating to shipyards in emerging economies, the statement said.
Shares of L&T today closed at Rs 1,028.80 apiece on the BSE, up 0.30 per cent.
The agreement with Mitsubishi will provide a broad range of technological support for the construction and design of commercial vessels by L&T Ship Building and training of its engineers, the Indian engineering major said in a statement.
It added that the training of engineers will include training in ship construction, quality control and overseas procurement of shipbuilding materials.
"Going forward, MHI and L&T Ship Building (LTSB) will market vessels built by LTSB under exclusive technical collaboration with MHI," the statement added.
The agreement will be valid initially for three years, with an option to extend it further.
The statement also said starting early 2012, L&T engineers will be trained at the MHI's Nagasaki Shipyard and Machinery Works and the Shimonoseki Shipyard and Machinery Works in Yamaguchi Prefecture.
The Japanese firm will also depute experts in design, ship construction and quality control from its shipyards to India to impart training.
Both the companies, who are partners since 2007 and have two joint ventures in power sector, will also look to capture the opportunities relating to shipyards in emerging economies, the statement said.
Shares of L&T today closed at Rs 1,028.80 apiece on the BSE, up 0.30 per cent.
ONGC to set up nuclear-plant, fertilizer unit, solar projects
AGARTALA: State-owned ONGC is to set up a slew of projects in the nuclear, fertiliser, solar, wind power and lighting sectors, a top company official said Thursday.
A gas-fired fertiliser plant would be set up in Tripura, the solar projects in Rajasthan and Gujarat and the wind power project in Rajasthan, while the sites for the nuclear plant and a light-emitting diode (LED) manufacturing unit have yet to be finalised, Oil and Natural Gas Corporation (ONGC) chairman-cum-managing director Sudhir Vasudeva told reporters here
"After completion of the necessary procedures, we would soon decide on setting up the nuclear power plant and LED lamp manufacturing unit," he added.
"The nuclear power plant would be set up at a mutually agreed location in collaboration with Nuclear Power Corp of India Ltd (NPCIL). Talks with the NPCIL are at the formal stage."
"ONGC will ask (government-owned) PDIL (Projects and Development India Limited) to conduct a feasibility study on setting up the fertilizer plant in Tripura and to prepare a detail project report (DPR)," Vasudeva said.
He said ONGC has internally assessed that the Rs 5,000 crore urea unit in Tripura can be found with the natural gas the company has abundantly found in the state.
Vasudeva, accompanied by top company officials, arrived here Wednesday to review the progress on setting up a 726 MW power plant, its first such in India.
The Rs.4,000 crore combined cycle plant is in the process of being commissioned at Palatana in southern Tripura, 60 km south of here.
The electricity crisis in northeastern India is expected to ease with the setting up of the plant, which is expected to start generating power by May 2012.
A gas-fired fertiliser plant would be set up in Tripura, the solar projects in Rajasthan and Gujarat and the wind power project in Rajasthan, while the sites for the nuclear plant and a light-emitting diode (LED) manufacturing unit have yet to be finalised, Oil and Natural Gas Corporation (ONGC) chairman-cum-managing director Sudhir Vasudeva told reporters here
"After completion of the necessary procedures, we would soon decide on setting up the nuclear power plant and LED lamp manufacturing unit," he added.
"The nuclear power plant would be set up at a mutually agreed location in collaboration with Nuclear Power Corp of India Ltd (NPCIL). Talks with the NPCIL are at the formal stage."
"ONGC will ask (government-owned) PDIL (Projects and Development India Limited) to conduct a feasibility study on setting up the fertilizer plant in Tripura and to prepare a detail project report (DPR)," Vasudeva said.
He said ONGC has internally assessed that the Rs 5,000 crore urea unit in Tripura can be found with the natural gas the company has abundantly found in the state.
Vasudeva, accompanied by top company officials, arrived here Wednesday to review the progress on setting up a 726 MW power plant, its first such in India.
The Rs.4,000 crore combined cycle plant is in the process of being commissioned at Palatana in southern Tripura, 60 km south of here.
The electricity crisis in northeastern India is expected to ease with the setting up of the plant, which is expected to start generating power by May 2012.
NTPC to invest Rs 18,346 crore in 2 projects
NEW DELHI: Country's top power producer NTPC Ltd will invest Rs 18,346 crore to develop two projects in Karnataka and Madhya Pradesh.
Company's board accorded investment approval to the projects totaling 2,900-mw electricity generation capacity, it said in a regulatory filing.
The proposal includes a new project of 2,400-mw capacity at Kudgi in Karnataka at an estimated cost of Rs 15,166 crore and a 500-mw expansion project at Vindhyachal, Madhya Pradesh at a cost of Rs 3,180 crore. NTPC, with a total generation capacity of 36,000-mw, already has 3,260-mw operational capacity at Vindhyachal.
Both projects are subject to environment clearance, the company said.
In a separate statement, NTPC said it entered into power supply commitment with Madhya Pradesh distribution utility for supply 50-mw from proposed solar plant at Rajgarh in the state. The project is expected to be commissioned by 2013.
Power from the Rajgarh solar project will be pooled with power from the company's coal based stations to lower costs, the company said.
Company's board accorded investment approval to the projects totaling 2,900-mw electricity generation capacity, it said in a regulatory filing.
The proposal includes a new project of 2,400-mw capacity at Kudgi in Karnataka at an estimated cost of Rs 15,166 crore and a 500-mw expansion project at Vindhyachal, Madhya Pradesh at a cost of Rs 3,180 crore. NTPC, with a total generation capacity of 36,000-mw, already has 3,260-mw operational capacity at Vindhyachal.
Both projects are subject to environment clearance, the company said.
In a separate statement, NTPC said it entered into power supply commitment with Madhya Pradesh distribution utility for supply 50-mw from proposed solar plant at Rajgarh in the state. The project is expected to be commissioned by 2013.
Power from the Rajgarh solar project will be pooled with power from the company's coal based stations to lower costs, the company said.
Pizza Hut launches new advertising-campaign to celebrate 15 years in India
Some interesting statistics to chew on - India is one of the fastest growing branded restaurants markets in the world, where the organised eating-out market is estimated at US $ 2 billion and growing at a CAGR of 25%.
In this space, Pizza Hut with its first-mover advantage is one of the largest casual dining chain brands spread across 130 plus outlets in 34 cities, which is projected to go up to 250 outlets by 2015. To celebrate the completion of its 15 years in India, the American restaurant chain is launching its new advertising-campaign.
The campaign has been conceptualised by JWT India and is a 2-film campaign to begin with, which would subsequently move to other mediums like digital, in-store as well.
Talking about the new campaign, Jaideep Mahajan, Vice President & Executive Creative Director JWT Delhi, "People who have been visiting the brand-outlets have also grown up over the ensuing 15 years, and this campaign traces their journey in a light-hearted and emotional manner. It reiterates how minor fights got resolved thanks to the irresistible taste of Pizza that they had/have here."
The execution of the films, he adds, is based on the premise of "My first pizza and the narration of the first pizza experience at the outlet and what got him there." The tonality and the mood of the communication have been kept very real right from the situations to the models used - for instance the parents in one of the TVCs played by the familiar Rajit Kapoor and Shernaz Patel or the boy-girl characters in the other TVC.
Elaborating on the 15 year long journey of the brand Sunay Bhasin, Marketing Head, Pizza Hut India says, "When we began our journey in India 15 years back, we were known for our Pizzas, garlic breads and masala lemonades. But the journey we embarked on to become an affordable casual dining restaurant, has driven us to diversify our offerings. Today on offer is a wide array of dishes to choose from, pastas, skewers, shakes, mojitos, salads, gelatos, cheesecakes, over and above pizzas that we known for."
The journey had started in 1996 when the brand had opened its first outlet in upmarket Bengaluru (then Bangalore). Though Bhasin is not ready to share specific details on what may be on offer in the coming year, he says, "As a brand, our aim is to strengthen our position in the affordable casual dining restaurant space."
In this space, Pizza Hut with its first-mover advantage is one of the largest casual dining chain brands spread across 130 plus outlets in 34 cities, which is projected to go up to 250 outlets by 2015. To celebrate the completion of its 15 years in India, the American restaurant chain is launching its new advertising-campaign.
The campaign has been conceptualised by JWT India and is a 2-film campaign to begin with, which would subsequently move to other mediums like digital, in-store as well.
Talking about the new campaign, Jaideep Mahajan, Vice President & Executive Creative Director JWT Delhi, "People who have been visiting the brand-outlets have also grown up over the ensuing 15 years, and this campaign traces their journey in a light-hearted and emotional manner. It reiterates how minor fights got resolved thanks to the irresistible taste of Pizza that they had/have here."
The execution of the films, he adds, is based on the premise of "My first pizza and the narration of the first pizza experience at the outlet and what got him there." The tonality and the mood of the communication have been kept very real right from the situations to the models used - for instance the parents in one of the TVCs played by the familiar Rajit Kapoor and Shernaz Patel or the boy-girl characters in the other TVC.
Elaborating on the 15 year long journey of the brand Sunay Bhasin, Marketing Head, Pizza Hut India says, "When we began our journey in India 15 years back, we were known for our Pizzas, garlic breads and masala lemonades. But the journey we embarked on to become an affordable casual dining restaurant, has driven us to diversify our offerings. Today on offer is a wide array of dishes to choose from, pastas, skewers, shakes, mojitos, salads, gelatos, cheesecakes, over and above pizzas that we known for."
The journey had started in 1996 when the brand had opened its first outlet in upmarket Bengaluru (then Bangalore). Though Bhasin is not ready to share specific details on what may be on offer in the coming year, he says, "As a brand, our aim is to strengthen our position in the affordable casual dining restaurant space."
Pizza Hut to open more stores that offer wine and beer
NEW DELHI: Encouraged by the popularity of its stores that serve not only pizzas but also wine and beer, restaurant chain Pizza Hut plans to open 25 more such joints across the country next year, a senior company official said.
"We are planning to open 25 stores in this particular format including in Mumbai. We have received tremendous response to this new format of our business," Sunay Bhasin, marketing head, Pizza Hut India, told media.
The company currently operates 10 such stores in Delhi, Bangalore, Agra and Puducherry.
"We have seen a growth of nearly 20-to-25 percent in this format. The expansion will also help us in diversifying our offering and adding a more value-added service," said Bhasin.
The company, which is celebrating 16 years of operation in India, also plans to take its casual dinning restaurant presence from 131 to 250 stores by 2015.
"Our plan is to have a presence of about 250 stores by 2015 from the current 131 stores that we have in 34 cities."
Bhasin added that the major thrust areas for expansion would be big cities with the standard franchise model.
About its menu offerings, the company said it would introduce 15 new pan pizzas which would incorporate Indian ingredients. The pizzas include sev puri, chettinadu paneer, chatpata veg masala, nimbu mirchi, and mushroom corn masala, among others.
All the pizzas would be priced from Rs.95 onwards at all Pizza Hut dine-ins.
"We are planning to open 25 stores in this particular format including in Mumbai. We have received tremendous response to this new format of our business," Sunay Bhasin, marketing head, Pizza Hut India, told media.
The company currently operates 10 such stores in Delhi, Bangalore, Agra and Puducherry.
"We have seen a growth of nearly 20-to-25 percent in this format. The expansion will also help us in diversifying our offering and adding a more value-added service," said Bhasin.
The company, which is celebrating 16 years of operation in India, also plans to take its casual dinning restaurant presence from 131 to 250 stores by 2015.
"Our plan is to have a presence of about 250 stores by 2015 from the current 131 stores that we have in 34 cities."
Bhasin added that the major thrust areas for expansion would be big cities with the standard franchise model.
About its menu offerings, the company said it would introduce 15 new pan pizzas which would incorporate Indian ingredients. The pizzas include sev puri, chettinadu paneer, chatpata veg masala, nimbu mirchi, and mushroom corn masala, among others.
All the pizzas would be priced from Rs.95 onwards at all Pizza Hut dine-ins.
India's broiler meat output up 10 pc: USDA report
NEW DELHI: Notwithstanding reports of four outbreaks of bird flu, India registered 10 per cent growth in boiler production this year to 2.9 million tonne, says a report.
The United States Department of Agriculture (USDA) has projected that the growth trend would continue in 2012, when production of broiler will reach 3.2 million tonne in India.
The consumption of poultry and egg will continue to grow as well and is expected to double by 2015, the report said.
Growth in broiler production was achieved despite reports of four incidents of outbreak of avian influenza, popularly known as bird flu in the Northeastern states, the report said.
Besides West Bengal, Assam and Tripura reported the flu this year. The government had notified the flu to the World Organisation for Animal Health (OIE), it said.
Poultry meat exports, however, did not see any change despite the growth in production as India consumes nearly all the poultry meat it produces.
The report estimates India's per capita consumption of poultry meat at around 3 kg per annum with chicken as the preferred non-vegetarian option.
India's per capita consumption of eggs is estimated at about 51 per annum.
The report identifies major drivers of consumption to an expanding middle class, increasing employment, rising incomes, new demand for ready-to-eat products and the growing presence of affordable quick-service restaurants.
Besides, there is a general preference for poultry meat over other options due to low prices as well as cultural and religious non-preference for pork and beef.
"While poultry and egg consumption are expected to grow in India, local dietary practices tend to prefer vegetarian protein sources even among non-vegetarian consumers. As a result it is unlikely that per capita consumption of meat and eggs will grow to levels seen in other countries," the USDA report said.
The United States Department of Agriculture (USDA) has projected that the growth trend would continue in 2012, when production of broiler will reach 3.2 million tonne in India.
The consumption of poultry and egg will continue to grow as well and is expected to double by 2015, the report said.
Growth in broiler production was achieved despite reports of four incidents of outbreak of avian influenza, popularly known as bird flu in the Northeastern states, the report said.
Besides West Bengal, Assam and Tripura reported the flu this year. The government had notified the flu to the World Organisation for Animal Health (OIE), it said.
Poultry meat exports, however, did not see any change despite the growth in production as India consumes nearly all the poultry meat it produces.
The report estimates India's per capita consumption of poultry meat at around 3 kg per annum with chicken as the preferred non-vegetarian option.
India's per capita consumption of eggs is estimated at about 51 per annum.
The report identifies major drivers of consumption to an expanding middle class, increasing employment, rising incomes, new demand for ready-to-eat products and the growing presence of affordable quick-service restaurants.
Besides, there is a general preference for poultry meat over other options due to low prices as well as cultural and religious non-preference for pork and beef.
"While poultry and egg consumption are expected to grow in India, local dietary practices tend to prefer vegetarian protein sources even among non-vegetarian consumers. As a result it is unlikely that per capita consumption of meat and eggs will grow to levels seen in other countries," the USDA report said.
Bengal entrepreneurs look at tea production as a source of income
The humble green leaf, the source of our daily morning cuppa, is changing the lives of many in towns of North Bengal. Forty-year old Dilip Das, for instance, a resident of Puratupara village of Jalpaiguri district of North Bengal, has shifted from his mud-thatched hut to a one-storied pucca house. A school dropout, Das had never dreamt of living in a pucca house even a few years ago till he took up tea production in his family-owned land sometime around 2008.
Today, he owns 8 acres of land and earns around Rs 35,000 per year from green leaf production. His two children go to school and he wants to give them good education. In Bahadurg ram village of Jalpaiguri, 42-year-old Ranjit Dutta, a primary school teacher at the local Jahuri school, has also taken up green leaf production as an "alternative source of income".
Dutta says that he is earning Rs 10,000 extra per month from it which is helping him repay the Rs 10 lakh housing loan he had taken last year. Das and Datta belong to the new breed of first-generation entrepreneurs in North Bengal who have taken up green leaf production to earn a living. There are 30,000 such small tea growers in that area whose total production is around 91 million kg, which is almost 32.5% of north Bengal's tea production of 280 million kg.
India's total tea production is 980 million kg. Interestingly, nearly 80% of these first-generation entrepreneurs have come from rural areas and 95% of them are Bengalis. "North Bengal University had carried out a survey of these growers and it was found that 95% of them have got basic education up to secondary level. Some are even graduates who have consciously entered into tea production to avoid unemployment. The age of these entrepreneurs ranges between 35 - 50 years," says Bijoy Gopal Chakroborty, president of Confederation of Indian Small Tea Growers Association (CISTA).
These growers are largely concentrated in north Dinajpur, Jalpaiguri, Coochbehar and at the foothills of Darjeeling. "In 2004, the total production of these tea growers was around 41 million kg which has now shot up to 91 million kg, and is going up every day as more and more people are joining the green leaf cultivation."
The reason for this sudden spurt in numbers is largely due to appreciation in tea prices year-on-year basis. Says Sarat Roy, a small tea grower in Coochbehar district: "We sell green leaves to bought-leaf factories which process and sell them to big companies. Sometimes, we sell them to big tea companies like Goodricke, Jay Shree Tea and others directly. Green leaf price, says an estimate, has appreciated by 10%-15% over the past four years."
Incidentally, bought-leaf factories are units that buy these leaves and convert them into the tea we drink. Generally, 6000 tea bushes can be planted in an acre of plot. These 6,000 bushes can produce 10,000 kg of green leaf. The cost of production varies between Rs 8.50-Rs 10.50 per kg. The producer gets Rs 13.50 per kg.
"So his net earning is Rs 3 per kg. The more he produces, the more is his return," says Mr Chakroborty. These growers are now forming self help groups and later co-operative societies to set up their own bought-leaf factories to ensure higher price for their produce.
Today, he owns 8 acres of land and earns around Rs 35,000 per year from green leaf production. His two children go to school and he wants to give them good education. In Bahadurg ram village of Jalpaiguri, 42-year-old Ranjit Dutta, a primary school teacher at the local Jahuri school, has also taken up green leaf production as an "alternative source of income".
Dutta says that he is earning Rs 10,000 extra per month from it which is helping him repay the Rs 10 lakh housing loan he had taken last year. Das and Datta belong to the new breed of first-generation entrepreneurs in North Bengal who have taken up green leaf production to earn a living. There are 30,000 such small tea growers in that area whose total production is around 91 million kg, which is almost 32.5% of north Bengal's tea production of 280 million kg.
India's total tea production is 980 million kg. Interestingly, nearly 80% of these first-generation entrepreneurs have come from rural areas and 95% of them are Bengalis. "North Bengal University had carried out a survey of these growers and it was found that 95% of them have got basic education up to secondary level. Some are even graduates who have consciously entered into tea production to avoid unemployment. The age of these entrepreneurs ranges between 35 - 50 years," says Bijoy Gopal Chakroborty, president of Confederation of Indian Small Tea Growers Association (CISTA).
These growers are largely concentrated in north Dinajpur, Jalpaiguri, Coochbehar and at the foothills of Darjeeling. "In 2004, the total production of these tea growers was around 41 million kg which has now shot up to 91 million kg, and is going up every day as more and more people are joining the green leaf cultivation."
The reason for this sudden spurt in numbers is largely due to appreciation in tea prices year-on-year basis. Says Sarat Roy, a small tea grower in Coochbehar district: "We sell green leaves to bought-leaf factories which process and sell them to big companies. Sometimes, we sell them to big tea companies like Goodricke, Jay Shree Tea and others directly. Green leaf price, says an estimate, has appreciated by 10%-15% over the past four years."
Incidentally, bought-leaf factories are units that buy these leaves and convert them into the tea we drink. Generally, 6000 tea bushes can be planted in an acre of plot. These 6,000 bushes can produce 10,000 kg of green leaf. The cost of production varies between Rs 8.50-Rs 10.50 per kg. The producer gets Rs 13.50 per kg.
"So his net earning is Rs 3 per kg. The more he produces, the more is his return," says Mr Chakroborty. These growers are now forming self help groups and later co-operative societies to set up their own bought-leaf factories to ensure higher price for their produce.
Smaller jewellers, excise dept fight over 'branded jewellery'
AHMEDABAD: Smaller jewellers and the excise department are at loggerheads over the interpretation of an announcement made in Budget 2011.
The unorganised sector commands 90% of the jewellery market in India. An excise duty of 1% was imposed on jewellery (of gold, silver, platinum, palladium, rhodium, iridium, osmium or ruthenium) manufactured or sold under a brand name during this year's budget.
Family jewellers and regional players say they don't fall into the category of branded players. With the Central Board of Excise and Customs sending notices to jewellers especially across Gujarat and Maharashtra, jewellers are looking at legal options. A Surat-based family jeweller who didn't want to named said, "It is a major concern... with notices being sent in the past few days. They have told us that if we put any mark or sell in a jewellery box or pouch or bag containing shop name, then they will consider it as branded."
Jewellers rued that this move was in stark contrast to an earlier move by government to ensure jewellers register their companies and make only hallmarked jewellery.
"The government tried to implement such a policy in 2005-06 but discontinued it, thereby promoting regional family jewellers. We intend to start an agitation, after taking a legal opinion," he said. An excise department official in Ahmedabad said, "the process of sending notification has begun and we are asking them details like how much branded jewellery are they selling and in which segment?"
Jewellers who are maintaining websites, giving regular advertisements, making stylised initial marks similar to the company logo on their jewellery are being sent the notices, he added. Ahmedabad-based Zaveri & Co jewellers director Zaveribhai Zaveri said jewellers were concerned.
"At this stage, we don't know if we have to pay the 1% excise duty as we are not branded jewellers but family jewellers. Incidences of family jewellers being asked to pay the excise duty have been reported in other states too," he said.
But Gem and Jewellery Export Promotion Council vice-chairman Sanjay Kothari said the issue had been discussed earlier with the authorities and it had been made clear that family jewellers were not part of the branded segment.
The unorganised sector commands 90% of the jewellery market in India. An excise duty of 1% was imposed on jewellery (of gold, silver, platinum, palladium, rhodium, iridium, osmium or ruthenium) manufactured or sold under a brand name during this year's budget.
Family jewellers and regional players say they don't fall into the category of branded players. With the Central Board of Excise and Customs sending notices to jewellers especially across Gujarat and Maharashtra, jewellers are looking at legal options. A Surat-based family jeweller who didn't want to named said, "It is a major concern... with notices being sent in the past few days. They have told us that if we put any mark or sell in a jewellery box or pouch or bag containing shop name, then they will consider it as branded."
Jewellers rued that this move was in stark contrast to an earlier move by government to ensure jewellers register their companies and make only hallmarked jewellery.
"The government tried to implement such a policy in 2005-06 but discontinued it, thereby promoting regional family jewellers. We intend to start an agitation, after taking a legal opinion," he said. An excise department official in Ahmedabad said, "the process of sending notification has begun and we are asking them details like how much branded jewellery are they selling and in which segment?"
Jewellers who are maintaining websites, giving regular advertisements, making stylised initial marks similar to the company logo on their jewellery are being sent the notices, he added. Ahmedabad-based Zaveri & Co jewellers director Zaveribhai Zaveri said jewellers were concerned.
"At this stage, we don't know if we have to pay the 1% excise duty as we are not branded jewellers but family jewellers. Incidences of family jewellers being asked to pay the excise duty have been reported in other states too," he said.
But Gem and Jewellery Export Promotion Council vice-chairman Sanjay Kothari said the issue had been discussed earlier with the authorities and it had been made clear that family jewellers were not part of the branded segment.
Blue Star wins Rs 84 cr order from Bangalore Metro
MUMBAI: Central air conditioning major Blue Star today said it has won orders worth Rs 84 crore from the Bangalore Metro for environmental control system and building management system for the seven underground stations.
This work for phase-I of the Bangalore Metro includes design, supply, installation, testing and commissioning of chillers, pumps, air handling units, fan coil units, cooling towers, ventilation fans, motor control centre panels and building management system along with the associated work of piping, ducting, grilles and insulation, amongst others, Blue Star said in a release issued here.
The Bangalore Metro Rail Corporation, a joint venture between Karnataka and the Centre, is a special purpose vehicle for implementation of Bangalore Metro.
This project, known as Namma Metro, will weave through the commercial and residential areas of the city. Phase-1 consists of double line electrified north-south and east-west corridors covering 42.30 km.
The east-west corridor will be 18.10 km long and the north-south corridor will be 24.20 km, with Majestic station being the interchange station for the two corridors. Out of the 42.30 km., 8.82 km will be underground and the rest will be elevated.
Blue Star's expertise and competence in project execution coupled with the execution of several projects for the Delhi Metro over the past several years helped the company win this order.
This work for phase-I of the Bangalore Metro includes design, supply, installation, testing and commissioning of chillers, pumps, air handling units, fan coil units, cooling towers, ventilation fans, motor control centre panels and building management system along with the associated work of piping, ducting, grilles and insulation, amongst others, Blue Star said in a release issued here.
The Bangalore Metro Rail Corporation, a joint venture between Karnataka and the Centre, is a special purpose vehicle for implementation of Bangalore Metro.
This project, known as Namma Metro, will weave through the commercial and residential areas of the city. Phase-1 consists of double line electrified north-south and east-west corridors covering 42.30 km.
The east-west corridor will be 18.10 km long and the north-south corridor will be 24.20 km, with Majestic station being the interchange station for the two corridors. Out of the 42.30 km., 8.82 km will be underground and the rest will be elevated.
Blue Star's expertise and competence in project execution coupled with the execution of several projects for the Delhi Metro over the past several years helped the company win this order.
Durables companies hit as A/C sales dip, input costs rise in 2011
NEW DELHI: While consumers enjoyed a pleasant summer in 2011, it was bad weather for the durables industry as a slump in air-conditioner sales compounded their woes in a year in which the sector had to struggle to cope with high input costs and a weakened rupee.
According to the Consumer Electronics and Appliances Manufacturers Association (CEAMA), the estimated Rs 35,000 crore Indian consumer durables market, which has giants like LG, Sony, Videocon, Samsung and Panasonic, did not grow as expected, with air-conditioners being the biggest spoilsport.
"There was minimum growth. We expected that the consumer durables market will grow at around 15 per cent this year, but it grew by only 8-9 per cent," CEAMA President and Videocon Director Anirudh Dhoot told PTI.
He said because of "high interest rates and trouble in the economy, consumer sentiments were down, though they picked up later, especially during the festive season".
Expressing similar sentiments, the President and CEO of Samsung India Electronics, Jung Soo Shin, said the year has been a challenging one because of the foreign exchange rate situation and high commodity prices, though the firm continued to bring in new and innovative products during the period.
"For the overall industry, it is little bit tough and challenging. The air-conditioner business was a quiet one because of the weather conditions, but home appliances and televisions have shown a good growth. There was a fast transition from CRTVs to flat panels," Shin said.
In terms of value, the air-conditioner segment is estimated to be worth around Rs 7,500 crore, accounting for about 21.4 per cent of the overall consumer durables business in India.
At present, the air-conditioner market is currently estimated to be around 3.4 million units in volume terms, while the television segment stands at 17.5 million units, of which LCDs contribute around 4.5 million units.
To offset high input costs and the depreciating rupee, leading companies -- including LG, Samsung and Videocon -- hiked prices by up to 6 per cent across their products range during the year. However, the firms said the hikes were not enough and they are looking at a further hike in the near future.
"Nobody expected that the US dollar will rise in such a way and it is one of the biggest factors in raising our cost," LG Electronics India Business Head (Home Appliances) Rajeev Jain had said.
Appreciation of the US dollar against the rupee has put an additional burden on the company, as 40 per cent of its home appliances are imported from different plants located in China, Korea and Thailand, he added.
According to the Consumer Electronics and Appliances Manufacturers Association (CEAMA), the estimated Rs 35,000 crore Indian consumer durables market, which has giants like LG, Sony, Videocon, Samsung and Panasonic, did not grow as expected, with air-conditioners being the biggest spoilsport.
"There was minimum growth. We expected that the consumer durables market will grow at around 15 per cent this year, but it grew by only 8-9 per cent," CEAMA President and Videocon Director Anirudh Dhoot told PTI.
He said because of "high interest rates and trouble in the economy, consumer sentiments were down, though they picked up later, especially during the festive season".
Expressing similar sentiments, the President and CEO of Samsung India Electronics, Jung Soo Shin, said the year has been a challenging one because of the foreign exchange rate situation and high commodity prices, though the firm continued to bring in new and innovative products during the period.
"For the overall industry, it is little bit tough and challenging. The air-conditioner business was a quiet one because of the weather conditions, but home appliances and televisions have shown a good growth. There was a fast transition from CRTVs to flat panels," Shin said.
In terms of value, the air-conditioner segment is estimated to be worth around Rs 7,500 crore, accounting for about 21.4 per cent of the overall consumer durables business in India.
At present, the air-conditioner market is currently estimated to be around 3.4 million units in volume terms, while the television segment stands at 17.5 million units, of which LCDs contribute around 4.5 million units.
To offset high input costs and the depreciating rupee, leading companies -- including LG, Samsung and Videocon -- hiked prices by up to 6 per cent across their products range during the year. However, the firms said the hikes were not enough and they are looking at a further hike in the near future.
"Nobody expected that the US dollar will rise in such a way and it is one of the biggest factors in raising our cost," LG Electronics India Business Head (Home Appliances) Rajeev Jain had said.
Appreciation of the US dollar against the rupee has put an additional burden on the company, as 40 per cent of its home appliances are imported from different plants located in China, Korea and Thailand, he added.
Oman Investment Fund seeks government nod for UCX stake buy
MUMBAI: Oman Investment Fund (OIF), the Sultanate of Oman's sovereign wealth fund, has filed a fresh application with the government to buy a stake in Universal Commodity Exchange (UCX), promoted by software solutions company, IT People, a person close to the development said.
"The fresh proposal made by Funderburk 2 Mauritius , an OIF arm, relates to UCX," said the person, who did not wish to be named A single foreign entity can invest up to 5% in a commex. Funderburk Mauritius 2's investment proposal was slated for discussion last Friday by Foreign Investment Promotion Board (FIPB), which approves foreign direct investments into the country. A senior government official said the FIPB's decision will be known soon.
An OIF official acquainted with the matter was on vacation while Ketan Sheth, promoter of UCX, said he did not wish to comment.
OIF was earlier in talks with NSE to pick up half of its 10% holding in agri bourse NCDEX but these remained inconclusive till September-end, the deadline for divesting its excess stake. A stock exchange can hold maximum 5% stake in a commex. Government norms allow up to 49% foreign investment -- 26% FDI and 23% FII --in commexes subject to a 5% cap per investor. Fidelity is one of the foreign stakeholders in MCX, while Goldman Sachs, InterContinental Exchange and Crisil, a part of Standard and Poor's, hold small stakes in NCDEX.
UCX promoters had an August deadline for tying up Rs 100-crore equity capital, a year after receiving the government's in-principle approval to start operations. They sought an extension for roping in government
"The fresh proposal made by Funderburk 2 Mauritius , an OIF arm, relates to UCX," said the person, who did not wish to be named A single foreign entity can invest up to 5% in a commex. Funderburk Mauritius 2's investment proposal was slated for discussion last Friday by Foreign Investment Promotion Board (FIPB), which approves foreign direct investments into the country. A senior government official said the FIPB's decision will be known soon.
An OIF official acquainted with the matter was on vacation while Ketan Sheth, promoter of UCX, said he did not wish to comment.
OIF was earlier in talks with NSE to pick up half of its 10% holding in agri bourse NCDEX but these remained inconclusive till September-end, the deadline for divesting its excess stake. A stock exchange can hold maximum 5% stake in a commex. Government norms allow up to 49% foreign investment -- 26% FDI and 23% FII --in commexes subject to a 5% cap per investor. Fidelity is one of the foreign stakeholders in MCX, while Goldman Sachs, InterContinental Exchange and Crisil, a part of Standard and Poor's, hold small stakes in NCDEX.
UCX promoters had an August deadline for tying up Rs 100-crore equity capital, a year after receiving the government's in-principle approval to start operations. They sought an extension for roping in government
CCI okays acquisition of Barclays' creditcard business by Standard Chartered Bank
NEW DELHI: The Competition Commission of India (CCI) has given approval to the proposed acquisition of credit card business of Barclays India by the Indian arm of Standard Chartered Bank.
"... the Commission is of the opinion that the proposed acquisition is not likely to have an appreciable adverse effect on competition in India. The Commission, therefore, hereby approves the proposed combination...," the CCI said in an order.
The CCI had on December 12 received a notice on the proposed acquisition.
The application stated that the credit card business proposed to be acquired by Standard Chartered Bank (SCB) India includes selected sale accounts, customer relationship, customer data and files and oustanding receivables of identified cardholders.
It was stated that SCB India is not acquiring any of the processes, infrastructure, assets or employees of Barclays India.
The notice also said that Barclays India will notify the concerned card customers about the transaction along with the offer of SCB India for re-carding and "those customers who convey their objection to receiving SCB India cards will not be issued credit cards by SCB India."
While SCB India is an arm of the UK-based Standard Chartered Plc, Barclays India is a branch of Barclays Bank Plc, also based in the UK.
The CCI considered the proposed acquisition at its meeting on December 28.
It noted that the credit card business in India is fragmented with presence of diverse players and the aggregate share of SCB India and Barclays India taken together is in single digit.
"Further, it is observed that SCB India and Barclays India have no arrangement among themselves in any activity, relating to the production, supply, distribution, storage, sale and service or trade in products or provision of service...
"Given the foregoing, the proposed combination is not likely to have an adverse effect on competition in India," it said in the order.
Barclays had put its India card unit for sale earlier this year as part of its business restructuring strategy.
"... the Commission is of the opinion that the proposed acquisition is not likely to have an appreciable adverse effect on competition in India. The Commission, therefore, hereby approves the proposed combination...," the CCI said in an order.
The CCI had on December 12 received a notice on the proposed acquisition.
The application stated that the credit card business proposed to be acquired by Standard Chartered Bank (SCB) India includes selected sale accounts, customer relationship, customer data and files and oustanding receivables of identified cardholders.
It was stated that SCB India is not acquiring any of the processes, infrastructure, assets or employees of Barclays India.
The notice also said that Barclays India will notify the concerned card customers about the transaction along with the offer of SCB India for re-carding and "those customers who convey their objection to receiving SCB India cards will not be issued credit cards by SCB India."
While SCB India is an arm of the UK-based Standard Chartered Plc, Barclays India is a branch of Barclays Bank Plc, also based in the UK.
The CCI considered the proposed acquisition at its meeting on December 28.
It noted that the credit card business in India is fragmented with presence of diverse players and the aggregate share of SCB India and Barclays India taken together is in single digit.
"Further, it is observed that SCB India and Barclays India have no arrangement among themselves in any activity, relating to the production, supply, distribution, storage, sale and service or trade in products or provision of service...
"Given the foregoing, the proposed combination is not likely to have an adverse effect on competition in India," it said in the order.
Barclays had put its India card unit for sale earlier this year as part of its business restructuring strategy.
IDBI Bank seeks capital support from government
MUMBAI: State-owned lender IDBI Bank today said the government is considering capital support to the bank to boost up its capital.
The Government of India is actively considering the bank's request for capital support and intends to infuse capitals funds in the bank by way of preferential allotment of equity, IDBI Bank informed the BSE.
Last year, the the government had agreed to infuse Rs 3,119.04 crore. Post-capital infusion, the stake of the central government increased to 65.15 per cent from 52.6 per cent.
The was capital infused through preferential allotment of shares to the Government of India.
The government has already made a provision to infuse Rs 6,000 crore in public sector banks in Budget of the current fiscal.
The Government of India is actively considering the bank's request for capital support and intends to infuse capitals funds in the bank by way of preferential allotment of equity, IDBI Bank informed the BSE.
Last year, the the government had agreed to infuse Rs 3,119.04 crore. Post-capital infusion, the stake of the central government increased to 65.15 per cent from 52.6 per cent.
The was capital infused through preferential allotment of shares to the Government of India.
The government has already made a provision to infuse Rs 6,000 crore in public sector banks in Budget of the current fiscal.
Metro develops tubeless tyres for motorcycles with Continental
CHANDIGARH: Metro Tyres today said it has designed and developed high-end tubeless tyres for motorcycles in technical collaboration with Continental AG of Germany.
"Being a preferred partner of Continental AG (Two wheeler tyres), we are already enjoying a niche brand equity in global markets and our entry in Tubeless Tyres will further strengthen our global positing," said Metro MD Rummy Chhabra in a statement.
Initially, Metro Tyres will manufacture tubeless tyres at its state-of-the-art plants in Ludhiana where it has invested Rs 30 Crore for up gradation and capacity expansion.
Besides, Metro has earmarked another Rs 50 Crore to be invested in Manesar(Gurgaon) to for tubeless tyres venture.
To begin with, Metro tyre is looking at OEMs and Export markets for their tubeless tyres.
"Low market penetration and increasing adoption of tubeless tyres in two wheelers are expected to dynamically expand the tubeless tyre market size in the country and will position India as one of the most attractive destinations for global players to source tyres" Chhabra said.
In the wake of growing Indian two-wheeler industries, especially high-end motorcycles, Metro Tyres is sensing a huge demand for tubeless motorcycle tyres.
"Motorcycles is still ruling the two wheel industry and the driving force behind tyres sales. The overall 10-12 per cent growth in motorcycle sales and over 29 per cent growth in exports sales are together paving way to create demand for tubeless tyres," he said.
Metro has already started supplying these tyres to Continental for the overseas market, while in the domestic market OEM development is already there for 250CC bikes.
The company has capacity to produce 2 lakh motorcycle and two-three wheeler tyres and tubes per month, which will be escalated to 5 lakhs tyres and tubes per month post Manesar expansion.
It is looking at a turnover of Rs 600 crore by 2012 and planning to be a 1,000 crore player in the next 4 years.
"Being a preferred partner of Continental AG (Two wheeler tyres), we are already enjoying a niche brand equity in global markets and our entry in Tubeless Tyres will further strengthen our global positing," said Metro MD Rummy Chhabra in a statement.
Initially, Metro Tyres will manufacture tubeless tyres at its state-of-the-art plants in Ludhiana where it has invested Rs 30 Crore for up gradation and capacity expansion.
Besides, Metro has earmarked another Rs 50 Crore to be invested in Manesar(Gurgaon) to for tubeless tyres venture.
To begin with, Metro tyre is looking at OEMs and Export markets for their tubeless tyres.
"Low market penetration and increasing adoption of tubeless tyres in two wheelers are expected to dynamically expand the tubeless tyre market size in the country and will position India as one of the most attractive destinations for global players to source tyres" Chhabra said.
In the wake of growing Indian two-wheeler industries, especially high-end motorcycles, Metro Tyres is sensing a huge demand for tubeless motorcycle tyres.
"Motorcycles is still ruling the two wheel industry and the driving force behind tyres sales. The overall 10-12 per cent growth in motorcycle sales and over 29 per cent growth in exports sales are together paving way to create demand for tubeless tyres," he said.
Metro has already started supplying these tyres to Continental for the overseas market, while in the domestic market OEM development is already there for 250CC bikes.
The company has capacity to produce 2 lakh motorcycle and two-three wheeler tyres and tubes per month, which will be escalated to 5 lakhs tyres and tubes per month post Manesar expansion.
It is looking at a turnover of Rs 600 crore by 2012 and planning to be a 1,000 crore player in the next 4 years.
Indian tyre industry facing threat from cheap Chinese imports
AGARTALA: The Chairman of Rubber Board, Sheila Thomas, said that India's rubber industry is facing a threat due to cheap import of products from China, adding that the country could easily overcome this problem since the quality of products manufactured in India are superior as compared to other countries.
She said this on the sidelines of a prize giving ceremony for rubber growers in Agartala.
"China is mostly cheaper goods, how they produce it we don't know, especially non-tyre, but tyre also. Tyre people are also facing threat from cheaper imports from China. But, then we can, through our competence and government has some measures to help them out, so I am sure they can. Quality-wise we are superior to everyone in the world I think, that's why all the tyre majors are coming to India now to put up their plants," said Thomas.
Thomas added that rubber has helped the farmers to get a steady income, and they are able to get good money for their produce almost throughout the year.
"Rubber has certainly helped in giving the people a sustainable income, the best part about rubber is that it can yield almost throughout the year, only except for a brief gap in summer and here in winter. So, that gives a steady income to the farmer and prices now are good. If the economic growth improves, then consumption of rubber will also go up," she added.
She predicted that in the near future Indian economy would emerge stronger as the demand for natural rubber is directly proportional to the GDP of a nation.
She said this on the sidelines of a prize giving ceremony for rubber growers in Agartala.
"China is mostly cheaper goods, how they produce it we don't know, especially non-tyre, but tyre also. Tyre people are also facing threat from cheaper imports from China. But, then we can, through our competence and government has some measures to help them out, so I am sure they can. Quality-wise we are superior to everyone in the world I think, that's why all the tyre majors are coming to India now to put up their plants," said Thomas.
Thomas added that rubber has helped the farmers to get a steady income, and they are able to get good money for their produce almost throughout the year.
"Rubber has certainly helped in giving the people a sustainable income, the best part about rubber is that it can yield almost throughout the year, only except for a brief gap in summer and here in winter. So, that gives a steady income to the farmer and prices now are good. If the economic growth improves, then consumption of rubber will also go up," she added.
She predicted that in the near future Indian economy would emerge stronger as the demand for natural rubber is directly proportional to the GDP of a nation.
Mahindra to launch Duro DZ scooter at Auto Expo
MUMBAI: Auto major Mahindra will launch its new Duro DZ scooter model and unveil its MGP30 racing motorcycle at the Delhi Auto Expo next month.
"The Mahindra Duro DZ is a tough and powerful scooter designed specifically for Indian road conditions. The Duro DZ is the result of our R&D team working closely with consumers and extensive testing," Mahindra 2 Wheelers president Anoop Mathur said in a statement Tuesday.
Ruzbeh Irani, executive vice president (Corporate Strategy and Chief Brand Officer), said Mahindra Racing will unveil its new Moto3 challenger, the MGP30 for the first time in India.
Mahindra was the first Indian company to enter the MotoGP motorcycle racing championship in 2011.
Overall, around 50 new two-wheelers, cars, buses and trucks would be launched at the Auto Expo 2012 beginning here Jan 5.
The 11th edition of the biennial exhibition is being jointly organised by Society of Indian Automobile Manufacturers (SIAM), the Confederation of Indian Industry (CII) and Automotive Component Manufacturers Association of India (ACMA).
Some 1,500 exhibitors from 24 countries would participate in the trade show.
"The Mahindra Duro DZ is a tough and powerful scooter designed specifically for Indian road conditions. The Duro DZ is the result of our R&D team working closely with consumers and extensive testing," Mahindra 2 Wheelers president Anoop Mathur said in a statement Tuesday.
Ruzbeh Irani, executive vice president (Corporate Strategy and Chief Brand Officer), said Mahindra Racing will unveil its new Moto3 challenger, the MGP30 for the first time in India.
Mahindra was the first Indian company to enter the MotoGP motorcycle racing championship in 2011.
Overall, around 50 new two-wheelers, cars, buses and trucks would be launched at the Auto Expo 2012 beginning here Jan 5.
The 11th edition of the biennial exhibition is being jointly organised by Society of Indian Automobile Manufacturers (SIAM), the Confederation of Indian Industry (CII) and Automotive Component Manufacturers Association of India (ACMA).
Some 1,500 exhibitors from 24 countries would participate in the trade show.
Government considering revival of sick PSU Scooters India
NEW DELHI: Unable to find a potential buyer for the sick PSU Scooters India Ltd (SIL), the Department of Heavy Industry has taken a U-turn on divesting stake in the company and now plans to seek PMO's approval to revive it.
"The department has decided to reverse the order to disinvest the government's stake in Scooters India, since there are not many buyers for it," an official source said.
The Department of Heavy Industry (DHI) will soon send a proposal to reverse the decision to the Prime Minister Office (PMO), the source added.
After getting clearance from the PMO, DHI will ask the Board for Reconstruction of Public Sector Enterprises (BRPSE) to work out a revival process, the source said.
"The department is looking at reviving the company through financial inclusion," the source said.
Recently, Minister of Heavy Industries and Public Enterprises Praful Patel had said: "We have taken the decision to put disinvestment of SIL on hold and will look at it holistically before we take a final decision".
In May this year, the Cabinet had approved selling of the government's entire 95.38 per cent stake in SIL to private players.
After reacting positively to the decision, private players such as Mahindra & Mahindra and Piaggio later pulled out from the race.
In the wake of the Uttar Pradesh elections in February, Congress leaders in the state were understood to have sought postponement of the SIL sale. The state Congress leaders do not want it to be an election issue.
The company - which has about 1,200 regular employees - has been incurring losses since 2002-03. In March 2009, the company was declared sick.
Incorporated in 1972, SIL initially manufactured scooters under the brand name Vijai Super for the domestic market and Lambretta for overseas markets.
Later, it ventured into the three-wheeler segment with the Vikram brand. In 1997, it stopped two-wheeler production and is now engaged in the manufacture and marketing of only three-wheelers.
SIL's net loss was Rs 18.4 crore during 2010-11. Shares of Scooters India were up 1.6 per cent, trading at Rs 31.5 a piece on the BSE in the late afternoon today.
"The department has decided to reverse the order to disinvest the government's stake in Scooters India, since there are not many buyers for it," an official source said.
The Department of Heavy Industry (DHI) will soon send a proposal to reverse the decision to the Prime Minister Office (PMO), the source added.
After getting clearance from the PMO, DHI will ask the Board for Reconstruction of Public Sector Enterprises (BRPSE) to work out a revival process, the source said.
"The department is looking at reviving the company through financial inclusion," the source said.
Recently, Minister of Heavy Industries and Public Enterprises Praful Patel had said: "We have taken the decision to put disinvestment of SIL on hold and will look at it holistically before we take a final decision".
In May this year, the Cabinet had approved selling of the government's entire 95.38 per cent stake in SIL to private players.
After reacting positively to the decision, private players such as Mahindra & Mahindra and Piaggio later pulled out from the race.
In the wake of the Uttar Pradesh elections in February, Congress leaders in the state were understood to have sought postponement of the SIL sale. The state Congress leaders do not want it to be an election issue.
The company - which has about 1,200 regular employees - has been incurring losses since 2002-03. In March 2009, the company was declared sick.
Incorporated in 1972, SIL initially manufactured scooters under the brand name Vijai Super for the domestic market and Lambretta for overseas markets.
Later, it ventured into the three-wheeler segment with the Vikram brand. In 1997, it stopped two-wheeler production and is now engaged in the manufacture and marketing of only three-wheelers.
SIL's net loss was Rs 18.4 crore during 2010-11. Shares of Scooters India were up 1.6 per cent, trading at Rs 31.5 a piece on the BSE in the late afternoon today.
Hero Eco acquires UK's electric 2-wheeler maker Ultra Motors
NEW DELHI: Vijay Munjal-led Hero Eco today said it has acquired UK-based Ultra Motors for an undisclosed amount, aiming to strengthen its presence globally in the electric vehicle segment.
Hero Eco, the newly formed umbrella entity by Vijay Munjal-led companies that include Hero Electric, Hero Exports, Hero Cycles, Mediva, Winn and Hero Ecotech, plans to invest Rs 450 crore in the next five years across businesses.
The company is also planning to set up an electric vehicle facility in North America within the next 18 months.
"Hero Eco has acquired Ultra Motors in UK. This will give us an exposure to all the markets where Ultra Motors were present and will strengthen Hero's brand globally," Hero Eco Managing Director Naveen Munjal told reporters here.
He, however, declined to share the value of this acquisition, citing confidentiality of agreement.
"Ultra Motors has 3 plants and is present in 6 countries with sales networks in 22 nations across the globe. This all will come under Hero Eco now," Munjal said.
Earlier, Hero Electric had a tie-up with Ultra Motors for Indian operations, but it fell apart later. The foreign firm had closed shop here about two years ago.
Ultra Motors currently has its main manufacturing plant in Taiwan and has two contract assembly plants in China.
"Eventually, the contract manufacturing activities of the two Chinese plants will shift to India. However, it will take at least 6-8 months to proceed in that direction," Hero Eco Chief Executive Officer Sohinder Gill said.
On the new group entity, Hero Eco Chairman Vijay Munjal said the new brand identity will integrate all its different verticals.
"With the new identity, we will be foraying into high-end bicycles in India under a new brand Winn. We will also expand our medical equipment business under Mediva brand in a big way," he added.
The Rs 450 crore Hero Eco is aiming for a group turnover of Rs 1,500 crore in the next five years, Naveen Munjal said.
"To expand our all businesses, we will be investing Rs 450 crore in the next five years. We will be setting up a new electric vehicle plant in North America in the next 18 months," he added.
Besides, the group will also set up a bicycle unit in India within next 18 months, he said.
Currently, Hero Eco has all its manufacturing facilities in Ludhiana. While it produces 65,000 units of electric 2-wheelers, 9 lakh bicycles are rolled out every year.
Hero Eco, the newly formed umbrella entity by Vijay Munjal-led companies that include Hero Electric, Hero Exports, Hero Cycles, Mediva, Winn and Hero Ecotech, plans to invest Rs 450 crore in the next five years across businesses.
The company is also planning to set up an electric vehicle facility in North America within the next 18 months.
"Hero Eco has acquired Ultra Motors in UK. This will give us an exposure to all the markets where Ultra Motors were present and will strengthen Hero's brand globally," Hero Eco Managing Director Naveen Munjal told reporters here.
He, however, declined to share the value of this acquisition, citing confidentiality of agreement.
"Ultra Motors has 3 plants and is present in 6 countries with sales networks in 22 nations across the globe. This all will come under Hero Eco now," Munjal said.
Earlier, Hero Electric had a tie-up with Ultra Motors for Indian operations, but it fell apart later. The foreign firm had closed shop here about two years ago.
Ultra Motors currently has its main manufacturing plant in Taiwan and has two contract assembly plants in China.
"Eventually, the contract manufacturing activities of the two Chinese plants will shift to India. However, it will take at least 6-8 months to proceed in that direction," Hero Eco Chief Executive Officer Sohinder Gill said.
On the new group entity, Hero Eco Chairman Vijay Munjal said the new brand identity will integrate all its different verticals.
"With the new identity, we will be foraying into high-end bicycles in India under a new brand Winn. We will also expand our medical equipment business under Mediva brand in a big way," he added.
The Rs 450 crore Hero Eco is aiming for a group turnover of Rs 1,500 crore in the next five years, Naveen Munjal said.
"To expand our all businesses, we will be investing Rs 450 crore in the next five years. We will be setting up a new electric vehicle plant in North America in the next 18 months," he added.
Besides, the group will also set up a bicycle unit in India within next 18 months, he said.
Currently, Hero Eco has all its manufacturing facilities in Ludhiana. While it produces 65,000 units of electric 2-wheelers, 9 lakh bicycles are rolled out every year.
TVS Motor to offer automatic transmission two wheelers from 2013
CHENNAI: Aiming to strengthen its foothold in the growing two-wheeler market,TVS Motor company today said it would introduce automatic tranmission scooters and motorcycles from 2013,with 20 per cent better fuel efficiency.
The Chennai-based auto major today showcased its latest automatic transmission engines for a 110cc scooter and a motorcyle, both likely to come out in the second half of 2013.
"We will introduce the scooter and motorcycle from the second half of 2013.Engine capacity will be from 110 cc.It has fully automatic gearshift and 20 per cent better fuel efficiency compared to conventional technology, with significant reduction in carbon emission", TVS Motor Company (New Product Development) President Vinay Harne told reporters
Declining to reveal the cost involved in developing the technology, he said TVS engineers had been working on developing the new platform for the last six to seven years.
Harne said TVS would also introduce these technologies on current models along with the new models from the second half of 2013.
He claimed acceleration and initial performance would improve with this technology and added that engine weight would come down by 15 per cent while for motorcycles it would be higher by five per cent.
Noting that the company has filed many patents in India and abroad over the last six years to develop this technology, Harne said the automatic transmission engines would offer the same convenience as in Continuously Variable Transmission technology vehicles.
He declined to reveal any figures when asked about the final on road price, saying it could be higher as the new engines provide higher efficiency and convenience.
Harne said TVS would offer variants in both manual and automatic transmission tecnologies in some existing models, allowing a customer to choose his own vehicle.
He said the technology would be offered from 110cc to 250cc. "Right now it is 110cc engine.. if you want to develop in a 250cc engine, it is possible", he said.
Harne said the company has also increased use of aluminium in engines as it would reduce overall weight.
The Chennai-based auto major today showcased its latest automatic transmission engines for a 110cc scooter and a motorcyle, both likely to come out in the second half of 2013.
"We will introduce the scooter and motorcycle from the second half of 2013.Engine capacity will be from 110 cc.It has fully automatic gearshift and 20 per cent better fuel efficiency compared to conventional technology, with significant reduction in carbon emission", TVS Motor Company (New Product Development) President Vinay Harne told reporters
Declining to reveal the cost involved in developing the technology, he said TVS engineers had been working on developing the new platform for the last six to seven years.
Harne said TVS would also introduce these technologies on current models along with the new models from the second half of 2013.
He claimed acceleration and initial performance would improve with this technology and added that engine weight would come down by 15 per cent while for motorcycles it would be higher by five per cent.
Noting that the company has filed many patents in India and abroad over the last six years to develop this technology, Harne said the automatic transmission engines would offer the same convenience as in Continuously Variable Transmission technology vehicles.
He declined to reveal any figures when asked about the final on road price, saying it could be higher as the new engines provide higher efficiency and convenience.
Harne said TVS would offer variants in both manual and automatic transmission tecnologies in some existing models, allowing a customer to choose his own vehicle.
He said the technology would be offered from 110cc to 250cc. "Right now it is 110cc engine.. if you want to develop in a 250cc engine, it is possible", he said.
Harne said the company has also increased use of aluminium in engines as it would reduce overall weight.
M&M hikes XUV500 prices by up to Rs 55,000 from January 1
MUMBAI: Following others, auto major Mahindra & Mahindra today said it will increase the prices of its recently launched international car XUV500 by at least Rs 30,000 from January 1 on the back of higher raw material costs and the rupee fall.
"The price rise has been necessitated as the launch price was an invitation price and there has also been a considerable impact of increase in raw material costs and the rupee depreciation with respect to the dollar and the euro," the company said in a statement here.
"However, as a special case, for all the current bookings, for which delivery has not been made and in spite of the terms of price applicable at the time of delivery, the increase would only be 50 percent of the actual price increase proposed, the company said.
While the base model will be dearer by Rs 30,000, the four-wheel drive variant will cost as much as Rs 50,000 more and the higher W8-AWD model will be dearer by Rs 55,000. All the prices are with reference to ex-showroom, Delhi.
Earlier, other auto majors like Toyota, Hyundai, Ford and GM had announced price hike of upto 3 per cent from the next month to offset the rise in input costs. Industry leader Maruti is yet to announce a price increase.
The SUV, priced Rs 10.8 to 11.95 lakh (ex-showroom, Delhi), was launched on September 29 and booking began on October 1. The demand has been so high that the company had to suspend booking till January from October 10. It has an order backlog of over 8,000 units.
This has forced the company to decide to double the output at its Chakan, Pune plant from next month, from the present 1800 units a month
"The price rise has been necessitated as the launch price was an invitation price and there has also been a considerable impact of increase in raw material costs and the rupee depreciation with respect to the dollar and the euro," the company said in a statement here.
"However, as a special case, for all the current bookings, for which delivery has not been made and in spite of the terms of price applicable at the time of delivery, the increase would only be 50 percent of the actual price increase proposed, the company said.
While the base model will be dearer by Rs 30,000, the four-wheel drive variant will cost as much as Rs 50,000 more and the higher W8-AWD model will be dearer by Rs 55,000. All the prices are with reference to ex-showroom, Delhi.
Earlier, other auto majors like Toyota, Hyundai, Ford and GM had announced price hike of upto 3 per cent from the next month to offset the rise in input costs. Industry leader Maruti is yet to announce a price increase.
The SUV, priced Rs 10.8 to 11.95 lakh (ex-showroom, Delhi), was launched on September 29 and booking began on October 1. The demand has been so high that the company had to suspend booking till January from October 10. It has an order backlog of over 8,000 units.
This has forced the company to decide to double the output at its Chakan, Pune plant from next month, from the present 1800 units a month
Volvo to invest Rs 400 crore, set up research centre
NEW DELHI: Swedish vehicle-maker Volvo will invest Rs.400 crore to set up a research and development (R&D) centre and expand capacity in India to earn $1 billion in revenue from its operations in the country by 2015.
"We are looking to sell 5,000 buses in India by 2015. For this there will be an investment of Rs.400 crore which will include a research centre and capacity expansion," Hakan Karlsson, president and chief executive, Volvo Bus Corporation, told reporters here Thursday.
Karlsson said the R&D centre and sourcing of parts locally would help in developing buses for India and for export purposes.
"A significant part of the Rs.400 crore investment would go into the R&D centre. This will help in developing buses for India and other markets."
Currently the company sells around a 1,000 buses in the country to the private sector, institutions and to city transport departments. India would be the second largest market for the company after China by 2015.
Karlsson added that in the coming year the company also planned to strengthen its service network in the country.
The company launched three new buses in different segments like city buses and coaches.
The company introduced the Asian bus range multi-axle coach 9400PX with a length at 14.5m making it the longest inter-city coach in India. The bus has a capacity to accommodate 105-to-110 passengers depending on the seating configuration.
The company also launched 7400XL another multi-axle bus with a steered axle and Volvo 9100 which was launched for the global market from India.
The company added that it will showcase the world's first commercially viable hybrid bus -- Volvo 7700 Hybrid at the Auto Expo here next month.
"We will be showcasing the 7700 Hybrid. But I cant say when will we launch it, as this will depend on the Indian market," said Karlsson.
With these launches, the company now offers 10 bus models in the country.
"We are looking to sell 5,000 buses in India by 2015. For this there will be an investment of Rs.400 crore which will include a research centre and capacity expansion," Hakan Karlsson, president and chief executive, Volvo Bus Corporation, told reporters here Thursday.
Karlsson said the R&D centre and sourcing of parts locally would help in developing buses for India and for export purposes.
"A significant part of the Rs.400 crore investment would go into the R&D centre. This will help in developing buses for India and other markets."
Currently the company sells around a 1,000 buses in the country to the private sector, institutions and to city transport departments. India would be the second largest market for the company after China by 2015.
Karlsson added that in the coming year the company also planned to strengthen its service network in the country.
The company launched three new buses in different segments like city buses and coaches.
The company introduced the Asian bus range multi-axle coach 9400PX with a length at 14.5m making it the longest inter-city coach in India. The bus has a capacity to accommodate 105-to-110 passengers depending on the seating configuration.
The company also launched 7400XL another multi-axle bus with a steered axle and Volvo 9100 which was launched for the global market from India.
The company added that it will showcase the world's first commercially viable hybrid bus -- Volvo 7700 Hybrid at the Auto Expo here next month.
"We will be showcasing the 7700 Hybrid. But I cant say when will we launch it, as this will depend on the Indian market," said Karlsson.
With these launches, the company now offers 10 bus models in the country.
Rane Group looking at diversifying into defence, aerospace
CHENNAI: Auto component manufacturer Rane Group today said it was looking at diversifying into defence and aerospace, considering the huge potential in the sector.
"There is a good opportunity because of private participation in defence and aerospace industry. We feel some synergy in this field," L Ganesh, chairman of Rane Group, which is celebrating the Platinum Jubilee, told reporters.
Noting that the Group has recently tied up with Bangalore based Sasmos for the purpose, he said: "We have just made an entry looking at the opportunities".
However, he said the main focus of the USD 500 million Group would be on the automotive sector, which grew at the rate of 10 to 12 per cent in the last decade.
"We should be able to grow faster. Several new products are under development", he said.
On the exports trend, Ganesh said the Group saw a 15 per cent growth last year and would like to achieve a growth of 20 to 25 per cent in the next three years.
Chairman of Rane Holdings Limited L Lakshman said the company hoped the industry would grow 15 per cent in the coming year looking at export avenues and accelerated growth.
He, however, admitted that spending on Research and Development was slow in the company and efforts were on increase it to 1.5 per cent to 2 per cent.
"There is a good opportunity because of private participation in defence and aerospace industry. We feel some synergy in this field," L Ganesh, chairman of Rane Group, which is celebrating the Platinum Jubilee, told reporters.
Noting that the Group has recently tied up with Bangalore based Sasmos for the purpose, he said: "We have just made an entry looking at the opportunities".
However, he said the main focus of the USD 500 million Group would be on the automotive sector, which grew at the rate of 10 to 12 per cent in the last decade.
"We should be able to grow faster. Several new products are under development", he said.
On the exports trend, Ganesh said the Group saw a 15 per cent growth last year and would like to achieve a growth of 20 to 25 per cent in the next three years.
Chairman of Rane Holdings Limited L Lakshman said the company hoped the industry would grow 15 per cent in the coming year looking at export avenues and accelerated growth.
He, however, admitted that spending on Research and Development was slow in the company and efforts were on increase it to 1.5 per cent to 2 per cent.
Briedgetsone opens concept store in Pune for tyre sales
Bridgestone, the world's leading tyre and rubber manufacturer, inaugurated its first Concept Store in Pune. The concept store aims to change the tyre buying experience while building a retail identity for the tyre maker.
The global player, which is in the process of setting up its second manufacturing plant near Pune, will add more concept stores across the country.
H. Mori, director sales and marketing, Bridgestone India Pvt. Ltd said, "The concept store is a unique retail concept which we are introducing as a part of our aggressive expansion strategy. This initiative will add a new dimension to the retailing of tyres in the region through our unique business model of environment friendly, safety and reliability norms that will be adhered to through our direct and indirect business operations. The concept store besides having our complete product range and services will offer a new experience in tyre buying for the customers."
The global player, which is in the process of setting up its second manufacturing plant near Pune, will add more concept stores across the country.
H. Mori, director sales and marketing, Bridgestone India Pvt. Ltd said, "The concept store is a unique retail concept which we are introducing as a part of our aggressive expansion strategy. This initiative will add a new dimension to the retailing of tyres in the region through our unique business model of environment friendly, safety and reliability norms that will be adhered to through our direct and indirect business operations. The concept store besides having our complete product range and services will offer a new experience in tyre buying for the customers."
Allow foreign helmets: Harley Davidson owners of Mumbai
MUMBAI: Harley Davidson owners have appealed to the Mumbai traffic police to recognize helmets with American Department of Transportation (DOT) and Australian certification logos.
Last month, Mumbai police commissioner Arup Patnaik had instructed the traffic department to fine all bikers wearing helmets without the ISI certification mark. Police booked hundreds, including owners of foreign bikes who wear helmets certified by Australian, Italian and American authorities. "The purpose of the police commissioner's directive was to send a strong message to those using cheap plastic helmets . But the cops carrying out the order have failed to understand that helmets certified by the DOT are among the safest in the world," said Debashish Ghosh, owner of a Harley Davidson bike.
Vijay Jain of Wheelieboy Adventure India Ltd said, "We appreciate the traffic department's initiative to make sure people use ISI-certified helmets, but we are looking for a slightly higher standard as our bikes are more powerful and expensive. Our helmets are more reliable and have undergone stringent tests."
Ever since the police began the drive, some bikers who use cheap helmets have managed to hoodwink them by painting or sticking ISI logos on their helmets. "Traffic constables are fining us for helmets with a DOT logo but they are unable to decipher forged ones," said Monit Pahwa. Another bike enthusiast, Freddy Pithavala, said, "I would rather pay a Rs 100 fine to a traffic cop than wear an ISI helmet and risk my life." The Harley Davidson Owners' Association members met the DCP (traffic) Brijesh Singh, said Ghosh. DCP Singh said, "We have received the application for recognizing those helmets. I have forwarded the same to the transport department, which is the competent authority to take an appropriate decision."
ISI-mark helmets: ISI-mark helmets adhere to the standards laid down by the Bureau of Indian Standards. According to these, the shell of the helmet is required to be of non-metallic material. The retention system material for the chin strap and headband has to be sweat-resistant, non-irritant and not cause skin disease. These helmets, conditioned by solvents, ultra-violet, heat and cold, are tested for impact absorption.
DOT rating: The American Department of Transportation (DOT) rating is based on dropping the helmets from a height of ten feet. A stimulated head is placed inside the helmet to measure the degree of impact. The head cannot receive more than 400 G-force units on impact.
Last month, Mumbai police commissioner Arup Patnaik had instructed the traffic department to fine all bikers wearing helmets without the ISI certification mark. Police booked hundreds, including owners of foreign bikes who wear helmets certified by Australian, Italian and American authorities. "The purpose of the police commissioner's directive was to send a strong message to those using cheap plastic helmets . But the cops carrying out the order have failed to understand that helmets certified by the DOT are among the safest in the world," said Debashish Ghosh, owner of a Harley Davidson bike.
Vijay Jain of Wheelieboy Adventure India Ltd said, "We appreciate the traffic department's initiative to make sure people use ISI-certified helmets, but we are looking for a slightly higher standard as our bikes are more powerful and expensive. Our helmets are more reliable and have undergone stringent tests."
Ever since the police began the drive, some bikers who use cheap helmets have managed to hoodwink them by painting or sticking ISI logos on their helmets. "Traffic constables are fining us for helmets with a DOT logo but they are unable to decipher forged ones," said Monit Pahwa. Another bike enthusiast, Freddy Pithavala, said, "I would rather pay a Rs 100 fine to a traffic cop than wear an ISI helmet and risk my life." The Harley Davidson Owners' Association members met the DCP (traffic) Brijesh Singh, said Ghosh. DCP Singh said, "We have received the application for recognizing those helmets. I have forwarded the same to the transport department, which is the competent authority to take an appropriate decision."
ISI-mark helmets: ISI-mark helmets adhere to the standards laid down by the Bureau of Indian Standards. According to these, the shell of the helmet is required to be of non-metallic material. The retention system material for the chin strap and headband has to be sweat-resistant, non-irritant and not cause skin disease. These helmets, conditioned by solvents, ultra-violet, heat and cold, are tested for impact absorption.
DOT rating: The American Department of Transportation (DOT) rating is based on dropping the helmets from a height of ten feet. A stimulated head is placed inside the helmet to measure the degree of impact. The head cannot receive more than 400 G-force units on impact.
Cosma Magna to set up Rs. 300 cr greenfield plant at Talegaon
The auto component manufacturer is part of the Canadian major Magna International and already has a presence in the Pune region, where some of its customers are located.
The greenfield facility will come up within a year, industry department officials confirmed to The ET. The 29 acre plot of land where this plant will come up has been sold to the Canadian company byZF Steering Gear India for Rs. 47 crore.
ZF Steering, a Rs. 298 crore joint venture with ZF Lensksysteme for the manufacture of mechanical and hydraulic powered steering gears for the automotive sector, had acquired the land in the Talegaon industrial area for its proposed expansion.
Dinesh Munot, chairman and managing director, ZF Steering, explained that the sale has been effected since these are uncertain times. ""We don't need to invest now in these times of uncertainty. Industry is going through a dull phase and future growth is uncertain,"" he said, explaining why they have sold off the land.
This plot would have housed expansion of the steering gear capacity for the JV which would have added to its existing plant at Vadu, about 25 kms from Pune on the road to Ahmednagar.
Talegaon and its neighbouring industrial areas of Pune, Chakan and Ranjangaon is auto-focused hub, home to domestic and international auto manufacturers and an auto component eco system. Among the companies in this region are Tata Motors, Bajaj Auto, Force Motors, Fiat, Volkswagen, General Motors and Foton along with off road equipment manufacturers JCB, John Deere, Hyundai and Sany. The two big Chinese OEMs are located here, namely Foton and Sany.
The greenfield facility will come up within a year, industry department officials confirmed to The ET. The 29 acre plot of land where this plant will come up has been sold to the Canadian company byZF Steering Gear India for Rs. 47 crore.
ZF Steering, a Rs. 298 crore joint venture with ZF Lensksysteme for the manufacture of mechanical and hydraulic powered steering gears for the automotive sector, had acquired the land in the Talegaon industrial area for its proposed expansion.
Dinesh Munot, chairman and managing director, ZF Steering, explained that the sale has been effected since these are uncertain times. ""We don't need to invest now in these times of uncertainty. Industry is going through a dull phase and future growth is uncertain,"" he said, explaining why they have sold off the land.
This plot would have housed expansion of the steering gear capacity for the JV which would have added to its existing plant at Vadu, about 25 kms from Pune on the road to Ahmednagar.
Talegaon and its neighbouring industrial areas of Pune, Chakan and Ranjangaon is auto-focused hub, home to domestic and international auto manufacturers and an auto component eco system. Among the companies in this region are Tata Motors, Bajaj Auto, Force Motors, Fiat, Volkswagen, General Motors and Foton along with off road equipment manufacturers JCB, John Deere, Hyundai and Sany. The two big Chinese OEMs are located here, namely Foton and Sany.
Google+ Users Estimated at 62 Million
An enthusiastic Paul Allen (not the Paul Allen of Microsoft fame, but founder of Ancestry.com) predicts continued adoption of Google+, the social network which launched earlier this year, saying that it is on track to reach 100 million users by the end of February 2012. Allen penned this forecast as part of a post on Google+, where he also released an independent estimate that the site now has 62 million users worldwide.
Allen, whose verified name on Google+ lists him as founder of Ancestry.com and "unofficial Google+ statistician," has reportedly been tracking the number of new users who sign up for Google+ and adjusting how he and his team count when Google releases official statements on the number of members. On October 1, Allen says his estimates pointed to about 38 million users; not two weeks later on October 13, Google pronounced the figure at more than 40 million.
Allen, whose verified name on Google+ lists him as founder of Ancestry.com and "unofficial Google+ statistician," has reportedly been tracking the number of new users who sign up for Google+ and adjusting how he and his team count when Google releases official statements on the number of members. On October 1, Allen says his estimates pointed to about 38 million users; not two weeks later on October 13, Google pronounced the figure at more than 40 million.
RIM offers over 50% discount on PlayBook tablets in India
Canadian BlackBerry maker Research in Motion ( RIM), battling tough competition from Apple's iPad, is offering over 50 percent discount on its PlayBook tablets under a limited festive season offer till Dec 31.
A company spokesperson Wednesday said the 16 GB model of the PlayBook can be bought for Rs 13,490 in the Indian market instead of its regular price of Rs 27,990.
While the 32 GB model is available for Rs 15,990, the 64 GB model is being offered for Rs 24,490 against their regular prices of Rs 32,990 and Rs 37,990 respectively.
The smartphone maker has been struggling to gain significant market share since April when it launched the tablets. It has been able to sell 800,000 units of the device globally in the first nine months of financial year 2011-12.
In comparison, Apple has sold over 11 million iPads globally during the quarter ended September.
A company spokesperson Wednesday said the 16 GB model of the PlayBook can be bought for Rs 13,490 in the Indian market instead of its regular price of Rs 27,990.
While the 32 GB model is available for Rs 15,990, the 64 GB model is being offered for Rs 24,490 against their regular prices of Rs 32,990 and Rs 37,990 respectively.
The smartphone maker has been struggling to gain significant market share since April when it launched the tablets. It has been able to sell 800,000 units of the device globally in the first nine months of financial year 2011-12.
In comparison, Apple has sold over 11 million iPads globally during the quarter ended September.
Wednesday, December 28, 2011
Tata Power to buy BP Alternative Energy Holdings' 51% stake in Tata BP Solar
Mumbai: Tata Power Company is in pact to buy BP Alternative Energy Holdings' 51% stake and preference shares in their joint venture Tata BP Solar India, the Tata group power utility informed bourses Tuesday.
Post acquisition, Tata Power would own 100% in the solar power company.
"Tata Power and BP have agreed that the company will continue to enjoy access to certain BP technology until 2013. The company and BP will enter into a technology agreement to give effect to this understanding," the company said in a statement to the bourses.
The stake sale is a part of BP's decision to exit solar business over the next few months because it has become unprofitable. Responding to media reports, Tata BP Solar's Chief Executive Officer K Subramanya had said earlier, "Tata BP Solar is not impacted by the decision of BP to gradually exit solar business and that it's business as usual."
An ET query to Tata Power on the deal size remained unanswered.
"To provide for a smooth transition in respect of branding and fulfillment of re-certification requirements for solar photovoltaic modules, Tata Power and BP have agreed or a transition period for product and non-product related re-branding and certification," the Tata Power statement said.
Post acquisition, Tata Power would own 100% in the solar power company.
"Tata Power and BP have agreed that the company will continue to enjoy access to certain BP technology until 2013. The company and BP will enter into a technology agreement to give effect to this understanding," the company said in a statement to the bourses.
The stake sale is a part of BP's decision to exit solar business over the next few months because it has become unprofitable. Responding to media reports, Tata BP Solar's Chief Executive Officer K Subramanya had said earlier, "Tata BP Solar is not impacted by the decision of BP to gradually exit solar business and that it's business as usual."
An ET query to Tata Power on the deal size remained unanswered.
"To provide for a smooth transition in respect of branding and fulfillment of re-certification requirements for solar photovoltaic modules, Tata Power and BP have agreed or a transition period for product and non-product related re-branding and certification," the Tata Power statement said.
Infosys BPO to expand in China
Bangalore: Infosys BPO, the business processing outsourcing arm of Infosys, the country’s second-largest exporter of information technology services, is setting up a new centre in Dalian, China, with a 500-person capacity, Swaminathan D, the managing director and CEO of Infosys BPO told Business Standard.
Infosys established its first BPO centre in China in 2006. Located in Hangzhou, it employs 1,000 people. “We plan to offer back office support from Dalian as an additional location in China. We believe it is easy to get enough talents in Dalian who are good at managing the Japanese and Korean processes, other than Chinese and English,” said Swaminathan.
He says a reason Infosys is seeing a lot more BPO opportunities in China is that a large number of global clients are having operations in the country. “Thus, we look at locations which provide strategic and competitive advantage to our clients as a part of our location strategy. Besides, it enables us to extend or expand our talent pool,” he added.
Infosys, the parent company, is already establishing its own campus in Shanghai, with a proposed investment of $125-150 million. Its first outside of India, the proposed centre is to be located at Zizhu Science and Technology Park and can accommodate about 8,000 employees. Infosys presently employs 3,300 people in China.
“China offers a compelling regional language advantage and cost arbitrage, and is thus best leveraged to serve the Asia region, which accounts for about 60 per cent of China’s global sourcing revenues,” said Amneet Singh, vice-president, global sourcing, Everest Group.
He said the lack of clear costs and English language skills translate to a limited competitive advantage over India and the Philippines for work exported to North America and Europe, but “these regions still account for about 40 per cent of China’s global sourcing exports”.
At least 15 delivery centres were established by IT and BPO companies across tier-I and tier-II cities in China during the past 12 months.
Other than China, Infosys BPO is looking at setting up a centre in Manila, Philippines. This is expected to add about 700 people to the 1,000 in China, said Swaminathan. The centre is expected to be operational towards February. The MD said the Philippines was predominantly focused on customer services (voice-based BPO) but was also slowly moving into high-value back office works in areas like finance and accounting (F&A).
“Today, for instance, F&A talents are available in India. But when I look for larger numbers, it becomes challenging. Now I am able to do that in Manila as well, as it has got over 100,000 certified accountants. I can hire them at will,” said Swaminathan.
Adding, however, that in terms of intensity of works and other quality parameters, the Philippines is still far away from India’s.
Infosys BPO employs about 20,600 people across 12 centres, including seven outside India. In the year ended March 31, 2011, it BPO closed with revenue of $427 million.
Infosys established its first BPO centre in China in 2006. Located in Hangzhou, it employs 1,000 people. “We plan to offer back office support from Dalian as an additional location in China. We believe it is easy to get enough talents in Dalian who are good at managing the Japanese and Korean processes, other than Chinese and English,” said Swaminathan.
He says a reason Infosys is seeing a lot more BPO opportunities in China is that a large number of global clients are having operations in the country. “Thus, we look at locations which provide strategic and competitive advantage to our clients as a part of our location strategy. Besides, it enables us to extend or expand our talent pool,” he added.
Infosys, the parent company, is already establishing its own campus in Shanghai, with a proposed investment of $125-150 million. Its first outside of India, the proposed centre is to be located at Zizhu Science and Technology Park and can accommodate about 8,000 employees. Infosys presently employs 3,300 people in China.
“China offers a compelling regional language advantage and cost arbitrage, and is thus best leveraged to serve the Asia region, which accounts for about 60 per cent of China’s global sourcing revenues,” said Amneet Singh, vice-president, global sourcing, Everest Group.
He said the lack of clear costs and English language skills translate to a limited competitive advantage over India and the Philippines for work exported to North America and Europe, but “these regions still account for about 40 per cent of China’s global sourcing exports”.
At least 15 delivery centres were established by IT and BPO companies across tier-I and tier-II cities in China during the past 12 months.
Other than China, Infosys BPO is looking at setting up a centre in Manila, Philippines. This is expected to add about 700 people to the 1,000 in China, said Swaminathan. The centre is expected to be operational towards February. The MD said the Philippines was predominantly focused on customer services (voice-based BPO) but was also slowly moving into high-value back office works in areas like finance and accounting (F&A).
“Today, for instance, F&A talents are available in India. But when I look for larger numbers, it becomes challenging. Now I am able to do that in Manila as well, as it has got over 100,000 certified accountants. I can hire them at will,” said Swaminathan.
Adding, however, that in terms of intensity of works and other quality parameters, the Philippines is still far away from India’s.
Infosys BPO employs about 20,600 people across 12 centres, including seven outside India. In the year ended March 31, 2011, it BPO closed with revenue of $427 million.
Google India unveils search format for ads
Bangalore: Google India on Tuesday unveiled a new format for media advertisements to target, pay for and experience video ads on its Web search engine.
“The new ads format is designed to ensure users find the information they are looking for and enable advertisers to reach potential customers with the right information,” Google India sales head, Mr Praveen Sharma, said in a statement here.
As a standalone format designed to put video ads front and centre, the search target is automated.
“The format is launched with Star TV campaign built around its new channel Life OK. The media and entertainment category search volumes have shown phenomenal growth. In the last two years, the query volumes have grown at 125 per cent year-on-year,” Mr Sharma said.
“Our research has shown that a substantial number of users are looking to watch the movie trailer or TV show clips on the search results page, which translates into a high response rate for this ad format,” Mr Sharma noted.
“The new ads format is designed to ensure users find the information they are looking for and enable advertisers to reach potential customers with the right information,” Google India sales head, Mr Praveen Sharma, said in a statement here.
As a standalone format designed to put video ads front and centre, the search target is automated.
“The format is launched with Star TV campaign built around its new channel Life OK. The media and entertainment category search volumes have shown phenomenal growth. In the last two years, the query volumes have grown at 125 per cent year-on-year,” Mr Sharma said.
“Our research has shown that a substantial number of users are looking to watch the movie trailer or TV show clips on the search results page, which translates into a high response rate for this ad format,” Mr Sharma noted.
Tuesday, December 27, 2011
Havells in $50-m lighting venture with Shanghai Yaming
New Delhi: Electrical equipment manufacturer Havells India has formed a 50:50 joint venture with China's Shanghai Yaming Lighting Company Ltd to set up a lighting products unit in China.
The venture, named Jiangsu Havells Sylvania Lighting Co, will invest $50 million and target annual revenue of $100 million in next three years, the company said on Monday.
Havells' Joint Managing Director, Mr Anil Gupta, said the plant is slated to begin production by April.
The venture will produce energy-efficient and green lighting products for the Chinese and international markets.
Havells, which gets half its revenue from Germany's SLI Sylvania (acquired in 2007), said in July that it was looking for a joint venture partner in China to boost sales and set up a manufacturing facility.
More viable
“Manufacturing in China is commercially more viable,” Mr Gupta said in explaining the reason for setting up the joint venture. Shanghai Yaming Lighting Co, a unit of Shanghai Feilo Acoustics, makes various types of lamps and lighting products in China, Japan, Belgium and the US.
The joint venture, Havells said in a statement, would facilitate constant innovation and quicker product releases in international markets, including a co-owned, reliable and stable supply source in China. Havells already exports products to China, generating $5-6 million of revenue a year.
The company has 12 plants in India and six overseas. The initial investment will be funded internally, although the joint venture may consider a debt issue in China later as it scales up production, Mr Gupta said.
The venture, named Jiangsu Havells Sylvania Lighting Co, will invest $50 million and target annual revenue of $100 million in next three years, the company said on Monday.
Havells' Joint Managing Director, Mr Anil Gupta, said the plant is slated to begin production by April.
The venture will produce energy-efficient and green lighting products for the Chinese and international markets.
Havells, which gets half its revenue from Germany's SLI Sylvania (acquired in 2007), said in July that it was looking for a joint venture partner in China to boost sales and set up a manufacturing facility.
More viable
“Manufacturing in China is commercially more viable,” Mr Gupta said in explaining the reason for setting up the joint venture. Shanghai Yaming Lighting Co, a unit of Shanghai Feilo Acoustics, makes various types of lamps and lighting products in China, Japan, Belgium and the US.
The joint venture, Havells said in a statement, would facilitate constant innovation and quicker product releases in international markets, including a co-owned, reliable and stable supply source in China. Havells already exports products to China, generating $5-6 million of revenue a year.
The company has 12 plants in India and six overseas. The initial investment will be funded internally, although the joint venture may consider a debt issue in China later as it scales up production, Mr Gupta said.
NTPC, Sipat, Unit 2
Hyderabad: NTPC Ltd has commissioned yet another Super Critical Unit 2 of 660 MW of NTPC-Sipat Super Thermal Power Project situated in Chhattisgarh, taking its total installed capacity to 36,014 MW.
With this, the total installed capacity of Sipat project has increased to 2,320 MW.
This is the second unit of NTPC as well as Sipat to be commissioned with super critical thermal power technology. Super critical power stations are eco-friendly, run on high efficiency and consume less coal compared to traditional coal-fired units.
The NTPC-Sipat project has two stages with ultimate installed capacity of 2980 MW. Stage -1 consists of three 660 MW super critical technology-based units and Stage- II consists of two 500 MW units based on traditional coal-fired technology.
Stage 2 (1,000 MW) is fully operational and first 660 MW super critical unit is on commercial operation from October 1, 2011. The beneficiary states of NTPC-Sipat are Chhattisgarh, Madhya Pradesh, Maharashtra, Gujarat, Goa, Daman & Diu and Dadra & Nagar Haveli.
According to a statement, NTPC currently has 15 coal-based, seven gas-based and six joint venture power stations and plans to be 1,28,000 MW power company by 2032.
With this, the total installed capacity of Sipat project has increased to 2,320 MW.
This is the second unit of NTPC as well as Sipat to be commissioned with super critical thermal power technology. Super critical power stations are eco-friendly, run on high efficiency and consume less coal compared to traditional coal-fired units.
The NTPC-Sipat project has two stages with ultimate installed capacity of 2980 MW. Stage -1 consists of three 660 MW super critical technology-based units and Stage- II consists of two 500 MW units based on traditional coal-fired technology.
Stage 2 (1,000 MW) is fully operational and first 660 MW super critical unit is on commercial operation from October 1, 2011. The beneficiary states of NTPC-Sipat are Chhattisgarh, Madhya Pradesh, Maharashtra, Gujarat, Goa, Daman & Diu and Dadra & Nagar Haveli.
According to a statement, NTPC currently has 15 coal-based, seven gas-based and six joint venture power stations and plans to be 1,28,000 MW power company by 2032.
Vedanta, Andhra co to source GMDC bauxite
Ahmedabad: Vedanta Resources and Vishakhapattanam-based AnRak Aluminium limited will source 3 lakh tonnes bauxite from Gujarat Mineral Development Corporation's Gadhshisha mines in Kutch district. Both these companies bid highest for GMDC's bauxite. GMDC, majorly owned by the Gujarat government had, earlier, supplied 5 lakh tonne of bauxite to Vedanta.
Vedanta is listed on London Stock Exchange (LSE), while GMDC is listed on Bombay Stock Exchange ( BSE). AnRak Aluminium limited is a joint venture between Andhra Pradesh-based Penna group of industries and Ras Al Khaimah Investment Authority.
GMDC invited a bid for six lakh tonnes this time and will deliver 3 lakh tonnes each to both the bidders. Both the companies have to lift this stocks by March 2012 as per the terms. The corporation will generate Rs 40-45 crore of revenue from this sale, said VS Gadhvi, MD of GMDC. Gujarat government announced its bauxite policy in September 2009.
Under the new policy directions, majority of the bauxite produced locally will be available to domestic users. The policy which favoured captive users has restricted exports. GMDC had already earned Rs 40 crore from the bauxite sale in the first round of bidding. Hence it will add Rs 85 crore of aggregate revenue in past one and half year. Vedanta who won earlier bid with a Rs 648 per tonne quote, bid Rs 685 this time. Anrak Aluminium also made the same price bid. GMDC owns 66 million tonne of bauxite reserves capable of supplying raw material to refineries for next 25 years said sources. Jamnagar, with reserves of 60 million tonnes, has the largest reserves of bauxite in Gujarat followed by Porbandar (20 million tonne), Amreli and Sabarkantha.
AnRak Aluminium Limited commenced as a joint venture between Penna group of industries and Ras Al Khaimah Investment Authority with 70: 30 ratio. The project is a result of a memorandum of understanding signed in February 2007 between the Department of Mines under the ministry of industries of the government of Andhra Pradesh and the government of Ras-al-Khaima. As a part of the project, a greenfield Aluminium plant in of 1.5 MTPA and an Aluminium smelter with 250,000 ton capacity per annum will be implemented in phases.
Recently, GMDC entered into a joint venture with Mumbai-based Alumina Refinery Limited for a Rs 30 crore project to manufacture speciality chemicals from bauxite in Kutch.
Vedanta is listed on London Stock Exchange (LSE), while GMDC is listed on Bombay Stock Exchange ( BSE). AnRak Aluminium limited is a joint venture between Andhra Pradesh-based Penna group of industries and Ras Al Khaimah Investment Authority.
GMDC invited a bid for six lakh tonnes this time and will deliver 3 lakh tonnes each to both the bidders. Both the companies have to lift this stocks by March 2012 as per the terms. The corporation will generate Rs 40-45 crore of revenue from this sale, said VS Gadhvi, MD of GMDC. Gujarat government announced its bauxite policy in September 2009.
Under the new policy directions, majority of the bauxite produced locally will be available to domestic users. The policy which favoured captive users has restricted exports. GMDC had already earned Rs 40 crore from the bauxite sale in the first round of bidding. Hence it will add Rs 85 crore of aggregate revenue in past one and half year. Vedanta who won earlier bid with a Rs 648 per tonne quote, bid Rs 685 this time. Anrak Aluminium also made the same price bid. GMDC owns 66 million tonne of bauxite reserves capable of supplying raw material to refineries for next 25 years said sources. Jamnagar, with reserves of 60 million tonnes, has the largest reserves of bauxite in Gujarat followed by Porbandar (20 million tonne), Amreli and Sabarkantha.
AnRak Aluminium Limited commenced as a joint venture between Penna group of industries and Ras Al Khaimah Investment Authority with 70: 30 ratio. The project is a result of a memorandum of understanding signed in February 2007 between the Department of Mines under the ministry of industries of the government of Andhra Pradesh and the government of Ras-al-Khaima. As a part of the project, a greenfield Aluminium plant in of 1.5 MTPA and an Aluminium smelter with 250,000 ton capacity per annum will be implemented in phases.
Recently, GMDC entered into a joint venture with Mumbai-based Alumina Refinery Limited for a Rs 30 crore project to manufacture speciality chemicals from bauxite in Kutch.
Food service retailer Billionsmiles Hospitality opening restaurants in fine dining & QSR format
New Delhi: In a move to change the perception of south Indian food being either 'tiffin' or Udupi, the Bangalore-based Billionsmiles Hospitality Pvt Ltd is rolling out two verticals, fine dining and quick service restaurants.
The fine dining vertical has two variants, a vegetarian and a non-vegetarian, with both serving wines and liquor, while the QSR outlets are taking on the might of multinational QSRs like MacDonalds will have three formats, Vijay Abhimanyu, managing director, Billionsmiles Hospitality, said. The three formats could be in food courts or stand alone restaurants either in malls or on the street.
"We will soon launch fusion cuisine in the quick service restaurants and offer home delivery in both verticals," Abhimanyu said.
The domestic organised food service retail segment is estimated to be worth US $ 20 billion and growing at 40-45% year on year.
The fine dining vertical has two variants, a vegetarian and a non-vegetarian, with both serving wines and liquor, while the QSR outlets are taking on the might of multinational QSRs like MacDonalds will have three formats, Vijay Abhimanyu, managing director, Billionsmiles Hospitality, said. The three formats could be in food courts or stand alone restaurants either in malls or on the street.
"We will soon launch fusion cuisine in the quick service restaurants and offer home delivery in both verticals," Abhimanyu said.
The domestic organised food service retail segment is estimated to be worth US $ 20 billion and growing at 40-45% year on year.
Zydus Cadila buys Biochem
Mumbai: Ahmedabad-based pharma major, Zydus Cadila, has acquired 100 per cent stake in Biochem, a Mumbai-based mid-sized drug company. Biochem has presence in therapeutic areas of antibiotics, cardiovascular, anti-diabetic and oncological segments. Financial details of the deal were not disclosed.
Biochem had reported sales of Rs 264.5 crore for 2010-2011.
Established in 1959, Biochem has strong presence in manufacturing and marketing of antibiotics. The top five brands of the company are Ampilox, Biotax, Monotax, Amicin and Zithrocin, which together contribute 40 per cent of the company’s sales. Three of Biochem’s brands fall in the top 300 pharma brands of India, stated a Cadila release.
India, as one of the fastest growing drug market, lures more local players to strengthen presence through domestic acquisitions.
According to a recent PricewaterhouseCooper report, Indian pharma industry is expected to touch $74 billion (Rs 3.7 lakh crore) sales by 2020 from $11 billion (Rs 55,000 crore) now.
"Aggregate disclosed value of merger & acquisitions (M&A) deals in the pharmaceuticals sector surged from a meagre $1.2 billion (Rs 6,000 crore) in FY10 to $4 billion (Rs 20,000 crore) in FY11, reflecting a jump of more than 230 per cent, says an E&Y report. M&A has emerged as one of the key strategies in the last two to three years to gain a foothold in emerging markets with several big ticket acquisitions, it added.
A few years earlier, Alembic had acquired Dabur's non-oncology business for $35 million (Rs 175 crore).
Zydus Cadila’s Chairman and Managing Director, Pankaj R Patel said, “The formulations business in India has always been the bulwark of our operations and we have looked at every strategic opportunity to grow and contribute to this market, either by way of novel initiatives, collaborations or acquisitions. Biochem represents the right fit as they have a significant presence in our core therapy areas and also add value to our product offerings in the key growth segments.”
On Wednesday, shares of Zydus Cadila went down by 0.98 per cent to close at Rs 701.05 on BSE.
In June, Zydus Pharmaceuticals USA Inc, the US-subsidiary of Zydus had acquired US-based pharmaceutical company Nesher Pharmaceuticals Inc for an undisclosed amount.
Biochem had reported sales of Rs 264.5 crore for 2010-2011.
Established in 1959, Biochem has strong presence in manufacturing and marketing of antibiotics. The top five brands of the company are Ampilox, Biotax, Monotax, Amicin and Zithrocin, which together contribute 40 per cent of the company’s sales. Three of Biochem’s brands fall in the top 300 pharma brands of India, stated a Cadila release.
India, as one of the fastest growing drug market, lures more local players to strengthen presence through domestic acquisitions.
According to a recent PricewaterhouseCooper report, Indian pharma industry is expected to touch $74 billion (Rs 3.7 lakh crore) sales by 2020 from $11 billion (Rs 55,000 crore) now.
"Aggregate disclosed value of merger & acquisitions (M&A) deals in the pharmaceuticals sector surged from a meagre $1.2 billion (Rs 6,000 crore) in FY10 to $4 billion (Rs 20,000 crore) in FY11, reflecting a jump of more than 230 per cent, says an E&Y report. M&A has emerged as one of the key strategies in the last two to three years to gain a foothold in emerging markets with several big ticket acquisitions, it added.
A few years earlier, Alembic had acquired Dabur's non-oncology business for $35 million (Rs 175 crore).
Zydus Cadila’s Chairman and Managing Director, Pankaj R Patel said, “The formulations business in India has always been the bulwark of our operations and we have looked at every strategic opportunity to grow and contribute to this market, either by way of novel initiatives, collaborations or acquisitions. Biochem represents the right fit as they have a significant presence in our core therapy areas and also add value to our product offerings in the key growth segments.”
On Wednesday, shares of Zydus Cadila went down by 0.98 per cent to close at Rs 701.05 on BSE.
In June, Zydus Pharmaceuticals USA Inc, the US-subsidiary of Zydus had acquired US-based pharmaceutical company Nesher Pharmaceuticals Inc for an undisclosed amount.
Online shopping a big draw in India
Mumbai: ComScore data says 60% of online users in India visited retail sites in November
2011 would probably go down as the year when online shopping came to life in India. Latest comScore data estimates that nearly 60 per cent of online users in India visited a retail site in November 2011. The number of online shoppers increasing 18 per cent in the past year.
comScore has released a report on visitation to the top retail and coupon sites in India based on data from its comScore Media Metrix service and reports that coupon (daily deal) sites are also a part of the e-commerce craze. An estimated 16.5 per cent of the Indian online population visited deal sites such as Snapdeal.com and Mydala.com last month.
“The online channel is playing an increasingly important role in connecting retailers with potential customers in India,” noted Kedar Gavane, comScore director for India.
“The rapid growth of online coupon sites suggests that consumers in India are looking for deals, highlighting the need for online retailers to adopt effective marketing and pricing strategies.”
India consumers continue to turn to the web to shop for and purchase items, and retailers continue to increase their online visibility through active marketing campaigns. Amazon sites led as the top retail destination in India reaching 6.8 million visitors, representing 14.7 per cent of the online population. comScore analysis of the largest retail sub-categories revealed that coupons (deals sites) were the largest with 7.6 million visitors with consumer electronics sites following with 7.1 million visitors.
2011 would probably go down as the year when online shopping came to life in India. Latest comScore data estimates that nearly 60 per cent of online users in India visited a retail site in November 2011. The number of online shoppers increasing 18 per cent in the past year.
comScore has released a report on visitation to the top retail and coupon sites in India based on data from its comScore Media Metrix service and reports that coupon (daily deal) sites are also a part of the e-commerce craze. An estimated 16.5 per cent of the Indian online population visited deal sites such as Snapdeal.com and Mydala.com last month.
“The online channel is playing an increasingly important role in connecting retailers with potential customers in India,” noted Kedar Gavane, comScore director for India.
“The rapid growth of online coupon sites suggests that consumers in India are looking for deals, highlighting the need for online retailers to adopt effective marketing and pricing strategies.”
India consumers continue to turn to the web to shop for and purchase items, and retailers continue to increase their online visibility through active marketing campaigns. Amazon sites led as the top retail destination in India reaching 6.8 million visitors, representing 14.7 per cent of the online population. comScore analysis of the largest retail sub-categories revealed that coupons (deals sites) were the largest with 7.6 million visitors with consumer electronics sites following with 7.1 million visitors.
India overtakes Brazil as sixth largest vehicle maker
New Delhi: With 7 million units, it is projected to overtake Japan, Germany and Korea by 2017; to beat initial estimate of becoming third-largest market globally by 2020.
India has overtaken Brazil as the world’s sixth largest automobile manufacturing country, going by data on the first six months this year, according to the international organisation of motor vehicle manufacturers.
The Organisation Internationale des Constructeurs d’Automobiles also reveals that India is steadily inching its way up on the global charts to make its mark as the third largest automobile market over the next five years, even as high interest rates and fuel prices have put a spanner on automobile sales in the domestic market. In 2009, India had raced past Spain in annual automobile production to become the seventh largest vehicle-manufacturing country in the world. India is now projected to overtake Japan, Germany and Korea to sell seven million units by 2017. This is way ahead of the initial estimate of becoming the third largest market globally by 2020.
As many as 2.04 million vehicles were produced in India till June this year, 20 per cent higher than the 1.71 million units rolled out in Brazil.
China continued to be the frontrunner with production of 9.16 million units till June, while India’s share in vehicle production, as compared to China, has improved sharply between January and June this year.
While last year, India produced a sixth of the number of vehicles rolled out in China, till June this year the country produced more than a fifth of the number of vehicles manufactured in east Asian nation. India’s market share in global vehicle production moved up marginally to five per cent from the earlier 4.5 per cent during this period.
PricewaterhouseCoopers says India is likely to produce seven million light vehicles of up to five tonnes by 2017. “Though vehicle sales have slowed down this year, the fundamentals remain strong,” notes Abdul Majeed, partner and head of automotive practice in the global professional services firm. “By 2017, India is likely to emerge as the third-largest market in the world after China and the US.”
What is boosting business confidence is that despite the economic uncertainties prevailing in global and domestic markets, India remained among the fastest-growing automobile markets in the world till October this year. While US topped the charts growing by 10.1 per cent to sell 10.54 million vehicles, Germany and India followed close behind growing by around eight per cent (to 2.93 mn units) and 7.8 per cent (to 2.73 mn units), respectively.
Society of Indian Automobile Manufacturers notes that the vehicle penetration in India is one of the lowest in the world — at 10 cars per 1000 people as against 565 cars and 453 cars per 1000 people in Germany and the US respectively. “So,” says Sugato Sen, senior director of the association “ the market will only grow over long term.”
Estimates available with market research firm J D Power show the automobile market in India is set to grow three-fold to sell over 11 million vehicles by 2020.
If we take a closer look at the sales data of the top six vehicle-manufacturing countries in the world currently, the domestic automobile market in India has already overgrown that of Korea at 2.73 million units. Till October, the Korean market had grown by 2.8 per cent to sell 1.23 million units. Vehicles sales in the country have fallen short of Germany (the fourth largest automobile market) by mere 200,000 units.
On the exports front, India stands at around a tenth of the 3.77 mn units exported by Germany till October this year. What is intriguing is that India is fast narrowing the gap with China. Till October this year China (which accounts for 24 per cent of global automobile production) exported only 703,341 units, while Indian exports grew by 17.45 per cent to 489,675 units.
Japan fared the worst in the current year hit by the earthquake and tsunami in March this year. While vehicle production dropped by a whopping 17 per cent to 6.71 million units due to insufficiency in supply of components, domestic sales declined by 20 per cent to 3.47 mn units between Jan and October this year.
India has overtaken Brazil as the world’s sixth largest automobile manufacturing country, going by data on the first six months this year, according to the international organisation of motor vehicle manufacturers.
The Organisation Internationale des Constructeurs d’Automobiles also reveals that India is steadily inching its way up on the global charts to make its mark as the third largest automobile market over the next five years, even as high interest rates and fuel prices have put a spanner on automobile sales in the domestic market. In 2009, India had raced past Spain in annual automobile production to become the seventh largest vehicle-manufacturing country in the world. India is now projected to overtake Japan, Germany and Korea to sell seven million units by 2017. This is way ahead of the initial estimate of becoming the third largest market globally by 2020.
As many as 2.04 million vehicles were produced in India till June this year, 20 per cent higher than the 1.71 million units rolled out in Brazil.
China continued to be the frontrunner with production of 9.16 million units till June, while India’s share in vehicle production, as compared to China, has improved sharply between January and June this year.
While last year, India produced a sixth of the number of vehicles rolled out in China, till June this year the country produced more than a fifth of the number of vehicles manufactured in east Asian nation. India’s market share in global vehicle production moved up marginally to five per cent from the earlier 4.5 per cent during this period.
PricewaterhouseCoopers says India is likely to produce seven million light vehicles of up to five tonnes by 2017. “Though vehicle sales have slowed down this year, the fundamentals remain strong,” notes Abdul Majeed, partner and head of automotive practice in the global professional services firm. “By 2017, India is likely to emerge as the third-largest market in the world after China and the US.”
What is boosting business confidence is that despite the economic uncertainties prevailing in global and domestic markets, India remained among the fastest-growing automobile markets in the world till October this year. While US topped the charts growing by 10.1 per cent to sell 10.54 million vehicles, Germany and India followed close behind growing by around eight per cent (to 2.93 mn units) and 7.8 per cent (to 2.73 mn units), respectively.
Society of Indian Automobile Manufacturers notes that the vehicle penetration in India is one of the lowest in the world — at 10 cars per 1000 people as against 565 cars and 453 cars per 1000 people in Germany and the US respectively. “So,” says Sugato Sen, senior director of the association “ the market will only grow over long term.”
Estimates available with market research firm J D Power show the automobile market in India is set to grow three-fold to sell over 11 million vehicles by 2020.
If we take a closer look at the sales data of the top six vehicle-manufacturing countries in the world currently, the domestic automobile market in India has already overgrown that of Korea at 2.73 million units. Till October, the Korean market had grown by 2.8 per cent to sell 1.23 million units. Vehicles sales in the country have fallen short of Germany (the fourth largest automobile market) by mere 200,000 units.
On the exports front, India stands at around a tenth of the 3.77 mn units exported by Germany till October this year. What is intriguing is that India is fast narrowing the gap with China. Till October this year China (which accounts for 24 per cent of global automobile production) exported only 703,341 units, while Indian exports grew by 17.45 per cent to 489,675 units.
Japan fared the worst in the current year hit by the earthquake and tsunami in March this year. While vehicle production dropped by a whopping 17 per cent to 6.71 million units due to insufficiency in supply of components, domestic sales declined by 20 per cent to 3.47 mn units between Jan and October this year.
India to emerge as third largest smart grid market
Hyderabad: The IEEE Standards Association (IEEE-SA), the standards development body of the Institute of Electrical and Electronics Engineers, predicts India would emerge as the world's third largest smart grid market after the United States and China.
“We are collaborating with technical experts in India to ensure that specific and unique inputs necessary for the Indian market are incorporated into smart grid standards. We look forward to collaborating with industry leaders, academia and other standards bodies to create more awareness about smart grid and the role of standards through events and workshops,” Ms Jennie Steinhagen, Global Strategy Manager of IEEE-SA, SIG, said.
The IEEE-SA set up a Standards Interest Group (SIG) recently to increase India's participation in the IEEE standards process in key areas such as smart grid.
“Without proper standards, the realization of smart grid would be difficult. IEEE-SA is investing in creating awareness and bringing multiple stakeholders together to transfer best practices and knowledge from Smart Grid markets and perspectives,” Mr Srikanth Chandrasekaran, Chairperson of IEEE-SA India SIG, said.
“IEEE-SA has taken a lead role in the identification and development of standards for the smart grid.”
The organisation had also been holding smart grid workshops. “We are also participating in large summits and events to increase awareness among key stakeholders and consumers,” Mr Chandrasekaran said.
“We are collaborating with technical experts in India to ensure that specific and unique inputs necessary for the Indian market are incorporated into smart grid standards. We look forward to collaborating with industry leaders, academia and other standards bodies to create more awareness about smart grid and the role of standards through events and workshops,” Ms Jennie Steinhagen, Global Strategy Manager of IEEE-SA, SIG, said.
The IEEE-SA set up a Standards Interest Group (SIG) recently to increase India's participation in the IEEE standards process in key areas such as smart grid.
“Without proper standards, the realization of smart grid would be difficult. IEEE-SA is investing in creating awareness and bringing multiple stakeholders together to transfer best practices and knowledge from Smart Grid markets and perspectives,” Mr Srikanth Chandrasekaran, Chairperson of IEEE-SA India SIG, said.
“IEEE-SA has taken a lead role in the identification and development of standards for the smart grid.”
The organisation had also been holding smart grid workshops. “We are also participating in large summits and events to increase awareness among key stakeholders and consumers,” Mr Chandrasekaran said.
TN plans to introduce new info-tech, IT-enabled service policy
Chennai: The Tamil Nadu Government proposes to bring out a new information technology and IT-enabled service policy that will engender many avant-garde features. This will catapult Tamil Nadu to the numero uno position, said the Chief Minister, Ms J. Jayalalithaa, without giving any time frame or details of the policy.
“My Government is committed to providing an investor-friendly industrial policy framework to provide a healthy and productive environment. I have a vision or a dream to make Tamil Nadu numero uno in terms of all-round development,” she said at Connect2011, which is the 11th edition of the annual conference to promote the State as a destination for information, communication and technology. Incidentally, in her earlier tenure as Chief Minister, Ms Jayalalithaa had inaugurated the first Connect event in 2001.
Sunshine sector
“We would like to be a State with the right attitude towards investors. Tamil Nadu is a State that delivers and we need partners who can see growth both in the old and the new economy and participate in the generation and creation of wealth,” she said.
The Indian IT sector continues to be one of the sunshine sectors of the Indian economy, showing rapid growth and promise. IT has powered the transformation of Tamil Nadu into a modern economy, clearly making it India's eastern gateway to the world, not just South Asia.
Tamil Nadu has emerged as a global leader in ITeS verticals such as banking, financial services and insurance, health systems management, computer-aided design and computer-aided engineering, she said.
In 2010-11, software exports from STPI units in Tamil Nadu touched Rs 42,100 crore, and if exports from the IT SEZ units are included, the total exports would be above Rs 50,000 crore, she said.
“Tamil Nadu and Chennai have become the destination of choice for IT investments. At present, Tamil Nadu has over 1,800 software and ITeS exporters, including over 210 foreign, wholly-owned subsidiaries and multinational companies in software development, she said.
Ms Jayalalithaa thanked Mr S. Ramadorai, Advisor to the Prime Minister on Skill Development, for his suggestions on improving the industrial climate in the State.
Opportunity to grow
In his keynote address, Mr Ramadorai, who is also Vice-Chairman of Tata Consultancy Services, said with the combination of talent, technology and incentivised policy, the State has all the ingredients to make the leap to becoming a global destination for products and services. Consequently, a city such as Chennai has the opportunity to grow into a global city.
Tamil Nadu has India's brightest minds, a large entrepreneurial force, a vibrant entertainment industry and thriving arts and cultural landscape. Its growth can be powered by sectors such as automotive, textile, manufacturing, biotech, health and pharma, energy, animation and visual effects and IT, in which it has already established leadership, he said.
“My Government is committed to providing an investor-friendly industrial policy framework to provide a healthy and productive environment. I have a vision or a dream to make Tamil Nadu numero uno in terms of all-round development,” she said at Connect2011, which is the 11th edition of the annual conference to promote the State as a destination for information, communication and technology. Incidentally, in her earlier tenure as Chief Minister, Ms Jayalalithaa had inaugurated the first Connect event in 2001.
Sunshine sector
“We would like to be a State with the right attitude towards investors. Tamil Nadu is a State that delivers and we need partners who can see growth both in the old and the new economy and participate in the generation and creation of wealth,” she said.
The Indian IT sector continues to be one of the sunshine sectors of the Indian economy, showing rapid growth and promise. IT has powered the transformation of Tamil Nadu into a modern economy, clearly making it India's eastern gateway to the world, not just South Asia.
Tamil Nadu has emerged as a global leader in ITeS verticals such as banking, financial services and insurance, health systems management, computer-aided design and computer-aided engineering, she said.
In 2010-11, software exports from STPI units in Tamil Nadu touched Rs 42,100 crore, and if exports from the IT SEZ units are included, the total exports would be above Rs 50,000 crore, she said.
“Tamil Nadu and Chennai have become the destination of choice for IT investments. At present, Tamil Nadu has over 1,800 software and ITeS exporters, including over 210 foreign, wholly-owned subsidiaries and multinational companies in software development, she said.
Ms Jayalalithaa thanked Mr S. Ramadorai, Advisor to the Prime Minister on Skill Development, for his suggestions on improving the industrial climate in the State.
Opportunity to grow
In his keynote address, Mr Ramadorai, who is also Vice-Chairman of Tata Consultancy Services, said with the combination of talent, technology and incentivised policy, the State has all the ingredients to make the leap to becoming a global destination for products and services. Consequently, a city such as Chennai has the opportunity to grow into a global city.
Tamil Nadu has India's brightest minds, a large entrepreneurial force, a vibrant entertainment industry and thriving arts and cultural landscape. Its growth can be powered by sectors such as automotive, textile, manufacturing, biotech, health and pharma, energy, animation and visual effects and IT, in which it has already established leadership, he said.
Rates on non-resident deposits freed
Mumbai: To improve inflow of foreign currency, the Reserve Bank of India (RBI) on Friday deregulated the interest rates that banks would pay on Non-Resident (External) Rupee (NRE) Deposits and Ordinary Non-Resident (NRO) accounts.
RBI said this would provide greater flexibility to banks in mobilising non-resident deposits in the prevailing market conditions. “Banks are free to determine their interest rates on both savings deposits and term deposits of a maturity of one year and above under NRE deposit accounts and savings deposits under NRO accounts with immediate effect,” it said.
The revised deposit rates will apply only to new deposits and on renewal of those that have matured. However, interest rates offered by banks on NRE and NRO deposits cannot be higher than rates offered on comparable domestic rupee deposits. Also, at any point of time, an individual bank should offer uniform rates at all its branches. Currently, banks offer 3.51 per cent on NRE deposits for two-three years and 3.64 per cent for deposits above three years.
RBI said banks may take prior approval of their respective boards or asset liability committees while fixing the interest rates on such deposits. Also, banks have been asked to closely monitor their external liability arising on account of such deregulation and ensure asset-liability compatibility from a systemic risk point of view.
This step comes three weeks after RBI had raised the cap on interest rates on NRE and Foreign Currency Non Residential Account (B) (FCNR-B) deposits by 100 basis points and 25 bps, respectively. “The deregulation provides a good opportunity for NRIs to get attractive rates. We will soon take a decision on revising the rates to tap this route,” said Alok Misra, chairman and managing director, Bank of India.
Indian banks have a network of branches abroad -- in West Asia, the Asia-Pacific, Britain and North America. RBI data shows the deposits in NRE accounts were $25 billion and in NRO accounts, $11 bn, at the end of October.
RBI said this would provide greater flexibility to banks in mobilising non-resident deposits in the prevailing market conditions. “Banks are free to determine their interest rates on both savings deposits and term deposits of a maturity of one year and above under NRE deposit accounts and savings deposits under NRO accounts with immediate effect,” it said.
The revised deposit rates will apply only to new deposits and on renewal of those that have matured. However, interest rates offered by banks on NRE and NRO deposits cannot be higher than rates offered on comparable domestic rupee deposits. Also, at any point of time, an individual bank should offer uniform rates at all its branches. Currently, banks offer 3.51 per cent on NRE deposits for two-three years and 3.64 per cent for deposits above three years.
RBI said banks may take prior approval of their respective boards or asset liability committees while fixing the interest rates on such deposits. Also, banks have been asked to closely monitor their external liability arising on account of such deregulation and ensure asset-liability compatibility from a systemic risk point of view.
This step comes three weeks after RBI had raised the cap on interest rates on NRE and Foreign Currency Non Residential Account (B) (FCNR-B) deposits by 100 basis points and 25 bps, respectively. “The deregulation provides a good opportunity for NRIs to get attractive rates. We will soon take a decision on revising the rates to tap this route,” said Alok Misra, chairman and managing director, Bank of India.
Indian banks have a network of branches abroad -- in West Asia, the Asia-Pacific, Britain and North America. RBI data shows the deposits in NRE accounts were $25 billion and in NRO accounts, $11 bn, at the end of October.
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