Toyota Kirloskar, India Yamaha Motor sales up in October

CHENNAI: Japanese car maker Toyota Kirloskar Motor and two-wheeler maker India Yamaha Motor closed October with increased sales compared to the corresponding period 2010. Driven by its new models Etios and Etios Liva, sales of Toyota Kirloskar grew by 63 percent last month, selling 10,762 units - up from 6,602 units sold in October 2010. The model-wise sales were: Etios 3,405, Etios Liva 2,454, Innova 3,411, Corolla Altis 700 and Fortuner 763. "The production in October has been low due to the festive holidays. However, we have registered a growth in sale last month. The Etios continues to drive the sales growth," said Sandeep Singh, deputy managing director, marketing, at Toyota Kirloskar. From January-October 2011, the company sold 106,246 units - up from 63,158 units sold during the previous year's corresponding period. Japanese two-wheeler maker India Yamaha Motor closed last month with a sales growth of around 27 percent over the October 2010 sales. Last month, the company sold 47,240 units (domestic 38,229 units and exports 9,011 units) up from 37,251 units (domestic 31,791 units and exports 5,460 units) sold in October 2010. "We have established a firm foothold within the 150 cc segment in the Indian market. The festive season has also played a vital role in catapulting sales for Yamaha this month," said Jun Nakata, director, sales and marketing, India Yamaha Motor.

Honda Siel Cars sales jump 5% in October

NEW DELHI: Car maker Honda Siel Cars India today reported 4.76 per cent jump in its sales for October at 5,526 units. The company had sold 5,275 units in the corresponding month last year, Honda Siel Cars India (HSCI) said in a statement. The October sales comprised 1,220 units of its new compact car Brio, 463 units of hatchback Jazz, 3,376 units of its flagship sedan City, 281 units of premium sedan Civic, 172 units of luxury sedan Accord and 14 units of its sports utility vehicle CR-V.

Finance ministry sets new performance benchmarks for government banks

New Delhi: The finance ministry has told state-run banks to achieve new benchmarks that measure financial and functional efficiency to qualify for more cash injection in the coming years. State-run banks will have to improve three key measures of performance: savings and current deposit ratio, employee-branch ratio and profit per employee, said a finance ministry official. These new targets are over and above the annual statement of intent the government signs with banks. "We want them to prepare for the future as more private players will join the fray," the official said referring to the draft guidelines for new bank licences put out by the Reserve Bank. The North Block has plans to infuse 3 lakh crore to 5 lakh crore in some 21 state-run banks over the next decade. Under the ministry guidelines, current and saving account, or CASA, deposits, which yield low-cost funds, should form 45% of the total bank deposits. The CASA deposit ratio stood at 41% for private banks in 2010-11 while it was 33% for public sector banks, according to a report by rating agency ICRA. Banks with a high CASA ratio would be able to keep their cost of funds under control even in a scenario of rising interest rates, the report said. But bankers say it is not that easy. Higher volumes of CASA deposits can only happen when there is a marginal difference between the fixed deposit rates and saving rates, said a senior official at a state-run bank, requesting anonymity. "In the present situation that seems unlikely," he said. Larger PSBs such as Punjab National Bank and Bank of Baroda have been asked to maintain a CASA ratio of 45%. At the end of June, BoB had a CASA ratio of 33.9% and PNB 38.1%. Smaller banks have to achieve 40% CASA in three to four years. With RBI freeing up savings bank rate now, state run banks will be able to raise rates to attract more of these cheaper funds.

Govt clears manufacturing policy

New Delhi: The much-awaited National Manufacturing Policy was approved on Tuesday by the Union Cabinet. It comes at a time when the country is facing a slowdown in manufacturing and industrial growth. The policy aims to create 100 million jobs within a decade and increase the share of manufacturing in the country's GDP to 25 per cent by 2022 from the current 15-16 per cent (a level that has been stagnant since 1980). Among the key instruments for realising these goals is the setting up of National Investment and Manufacturing Zones (NIMZ). The minimum land area of each NIMZ – or greenfield integrated industrial townships with the modern infrastructure – is to be 5,000 hectares. Announcing the policy, the Commerce, Industry and Textiles Minister, Mr Anand Sharma, told reporters that, “No cultivable, agricultural and forest land will be allowed to be acquired for NIMZs.” The first phase of the NIMZ will be established along the Delhi Mumbai Industrial Corridor which will see early results in the next few years, he added. The policy also has a host of fiscal incentives mainly for the micro, small and medium enterprises. In this regard, an official statement said, “Individuals will be eligible for relief on long-term capital gains tax if the sale proceeds of a residential property are reinvested in equity of a new start-up company,” adding that tax pass through status for venture capital fund will be available if they focus on manufacturing. The other significant features are the single window clearance mechanism to cut red-tape and the high-priority for skill development. “Private sector will be given standard deduction of 150 per cent of expenditure for skill development institutes,” the statement said. The policy was finalised after over 20 months of intense stakeholder consultations. These discussions had seen difference of opinion, notably from the Ministries of Environment and Labour. Green focus With a view to protect the interests of labour in cases of closure of units, the policy has a mechanism of fund to insure the workers against such loss. The policy also features third party inspections in addition to inspections by Government agencies for compliance of both environment and labour norms. The focus will also be on ‘green manufacturing'. In this regard, a Technology Acquisition Fund will be set up to acquire global technologies and build a patent pool especially for equipment manufacturing that seeks to reduce energy consumption. SMEs will be given access to this patent pool up to a maximum of Rs 20 lakhs for acquiring patented technologies, the statement said. The policy statement says that support will be given to employment-intensive industries to ensure job creation, adding that, “Special attention will be given to textiles and garments; leather and footwear; gems and jewellery; and food processing industries.”

Renault enters premium small car segment with Pulse

Greater Noida: French car maker Renault used the platform provided by the first Indian Grand Prix, here at the Buddh International Circuit, to launch its third passenger car for the Indian market. The new Renault Pulse will mark the company's entry into the premium small car segment and is expected to quickly widen its portfolio and draw in more buyers. The new Pulse has been built on the same V-platform that the Nissan Micra, the small car from Renault alliance's partner, was also based on. The Pulse has a redesigned front, but bears a striking resemblance to the Micra in every other department, including the interior trim. Commercial launch The Pulse will be commercially launched in January at the 2012 Auto Expo in New Delhi. Bookings will open after the price announcement in January. The car will be launched with petrol and diesel engine options. But the current announcement from Renault only talks about the K9K diesel engine being available with the Pulse. This 1.5-litre diesel engine is said to be very popular worldwide and is expected to be very efficient in the Pulse, being capable of offering up to 23 kmpl of mileage. The car will be manufactured in the Renault-Nissan alliance plant in Chennai. The plant has also commenced localised production of the engine. It is said to only be the third plant worldwide to manufacture this engine for Renault. Initial engine production capacity will be 1.5 lakh units and this is expected to be ramped up to 3 lakh units. The engine has been available in the Indian market for the past four years in the Renault Logan. Target segment The Pulse will be positioned at the top end of the B segment and will be pitched at value conscious premium hatch buyers, according to Mr Marc Nassif, Managing Director, Renault India. The new hatch has been developed entirely in India by Renault's in-house design centre in Mumbai. Renault expects to launch two more cars in 2012, including the Duster, an affordable SUV, and possibly another small car. The company is also targeting to increase the number of its dealerships from about 40 this year to about 100 by end 2012. At the Grand Prix here, Renault Sport F1's RS27 engine powers three teams' cars.

Formula 1 India: Sebastian Vettel wins inaugural Indian Grand Prix

New Delhi: Spectacular motor racing action thrilled a sell-out crowd of 95,000 people at Greater Noida's Buddh International Circuit on Sunday as Germany's Sebastian Vettel remained unbeatable in his Red Bull for the 11th time this season. McLaren's Jenson Button and Ferrari's Fernando Alonso followed him to the finish line, where Sachin Tendulkar waved the chequered flag. Huge cheers rose from the stands after the national anthem-the first big international sporting event after the Commonwealth Games fiasco had somewhat salvaged the country's reputation as an executer of big events. "This is a big day for India," Tendulkar told ET as he came out of the pit lane after the chequered flag along with wife Anjali and his children. "It's just wonderful, wonderful, to be here. It was a great race and I thoroughly enjoyed watching it," he said. Tendulkar was seen in the morning chatting with Michael Schumacher. F1 Grand Prix: India's date with Hotwheels Force India's Adrian Sutil finished ninth and Hispania Racing's Narain Karthikeyan finished 17th, as a huge gathering of celebrities from films, cricket, and business, watched with awe. The organisers came in for praise all around as fans enjoyed a smoothly organized event put together with little state interference or support. Speaking at the post-race press conference, Jenson Button paid effusive complements to the circuit. "I think we need to say a big congratulations to the Indian people for their efforts in building this circuit. It is a very special circuit and I really, really enjoyed driving around here," the former world champion said. The paddock club and the grandstands were swarming with celebrities on Sunday. British comedian Rowan 'Mr Bean' Atkinson was at his entertaining best when his comic, Mr Bean-esque reaction to Lewis Hamilton's crash with Felipe Massa was shown on television. He was here this weekend as a guest of Team McLaren and within minutes of the footage being shown, Atkinson and the Hamilton-Massa crash became global trending topics on Twitter. Virgin Group boss Richard Branson was seen in the paddock pep-talking the Virgin team. Indian cricketers Virender Sehwag, Yuvraj Singh, Harbhajan Singh and Suresh Raina were present, while from Bollywood, Shah Rukh Khan, Deepika Padukone, Gulshan Grover and Ritesh Deshmukh among others, watched. "Very excited. Everything is really amazing here. We are all rooting for Force India," Shah Rukh Khan told ET, as he made his way to the Force India lounge to watch the race along with Tendulkar, Vijay Mallya and others. For fans, there was much racing action in the offing. Ferrari's Massa and Mclaren's Hamilton crashed yet again, for the seventh time this season, for which the Brazilian received a drive-through penalty from the race stewards. "Felipe just turned in on me, he didn't give me any space," Hamilton shouted over the team radio. "It's the umpteenth time that Hamilton runs into me this year and it seems it's some sort of fatal attraction," Massa said, adding that he disagreed with the stewards' decision to penalize him. Narain Karthikeyan said it was a very satisfying race for him. "It was very special to drive my first grand prix in front of the home crowd and I managed better-than-expected results. It was satisfying to beat my teammate and a Lotus," the HRT racer, who finished 17th, said. On Sunday morning, the highways from Delhi to the race track were clogged as tens of thousands of fans set out to get their first real taste of Formula One racing. Some spent as much as four hours on the roads, while those who started earlier in the day had a smoother time negotiating traffic. But in the end, as they watched a terrific race and a victory lap by Vettel who waved at everyone from his car, only the good memories remained. Prakash Jagannathan, a 32-year-old finance professional with Credit Suisse in Pune, who has watched grand prix at Sepang and Silverstone, said he found the experience to be better than the Malaysian and British circuits. "Absolute kudos to the organizers. It's much better than Sepang and Silverstone. We should all be proud. Some people call it an elitist sport. But it's not. All the people in the stands were ordinary people who wanted to enjoy the race and feel proud about this happening in our country. The race was very good, the tarmac was good. I had a fantastic time as a racing fan. The stands were jam packed," he said. Jaiprakash Gaur, the 84-year-old chairman of Jaypee Group, seemed overwhelmed as he came out after the chequered flag with Tendulkar. "Bahut badhiya, bahut badhiya," he repeated, when asked if he thought everything went well. If the reactions of fans and the visiting racing teams are anything to go by, Gaur has delivered on his promise. Dust was the only major complaint through the racing weekend, and everyone from the Formula One Management and the teams pointed out that for the first year of the track, the organizers had achieved a great level of finish to the infrastructure. The two tragic deaths in motorsports this weekend cast a pall of gloom over the event. The stadium observed a minute of silence ahead of the race and several drivers spoke about the unfortunate events. That and the while Indian experience turned Vettel quite philosophical during his postrace interview. Talking about the first race in India and his experience of the people here, the young champion said: "They enjoy life and in the end that is what it is all about. If your life comes to an end, it is more the thoughts, the emotions, the friends, the friendships you take with you rather than whatever you have in your bank account. Even the people have so little here I think in a way they are much richer than a lot of people back in Europe so there is a lot we can learn and it is a great race, great event." In less than an hour after the race was over, the teams had started packing from the paddock. By evening, the pit garages that were the centre of action over the race weekend, had almost fully been packed and loaded. In under two weeks, they will be reassembled at the San Marina circuit in Abu Dhabi, when the champions of speed will once again match skills for the penultimate race of a season dominated by the Red Bulls. If Vettel wins both the remaining races, he will match Michael Schumacher's 2004 record of 13 grand prix wins in a season.

Forex reserves up $858 m to $318.35 b

Mumbai: India's foreign exchange reserves rose by $858 million to $318.358 billion in the week ended October 21, according to Reserve Bank of India's ‘Weekly Statistical Supplement'. In the previous week ended October 14, India's foreign exchange reserves rose by $5.269 billion to $317.50 billion The reserves increased on account of a $861 million rise in the foreign currency assets, taking it to $282.514 billion. Foreign currency assets expressed in US dollar terms include the effect of appreciation or depreciation of non-US currencies such as the euro, sterling and yen held in reserves. In the week under consideration, the euro strengthened against the dollar from $1.3737 on Monday to $1.3896 on Friday. India's reserve position at the International Monetary Fund in the week under review declined by $1 million to $2.635 billion. SDRs also declined by $2 million to $4.542 billion, while gold reserves remain unchanged at $28.667 billion. Rupee may strengthen The rupee is expected to strengthen further if euro continues to remain firm against the dollar. There could also be dollar selling in anticipation of inflows from foreign funds, due to a likely rise in local share market, said dealers. However, dollar demand from importers at higher levels may limit a sharp rise in the rupee around 48.45-48.50 per dollar.

Google paid $151m for Zagat

Google Inc paid $151 million in cash to acquire popular restaurant review guide Zagat in September, the Internet company said in a regulatory filing. The acquisition, which added a valuable brand to Google's content offerings and bolstered its push into the local commerce market, was one of 57 deals completed by the Web search company in the first nine months of 2011. Google, the world's No.1 Internet search engine, has been acquiring companies at a rapid clip, as it moves to expand into new markets and adapt its product to a world in which consumers increasingly rely on mobile devices and social networking services to access the Internet. Google also acquired Daily Deals, a privately held, German online coupon company, for $114 million in cash in September, Google said in the filing with the US Securities and Exchange Commission. And it completed the acquisition of ITA Software for $676 million in cash in April. Google said it completed 54 other acquisitions and purchases of intangible assets during the first nine months of 2011 for roughly $502 million. During that same period in 2010, Google completed 37 deals for $626 million, excluding the acquisitions of Slide, AdMob and On2 Technologies, for which Google paid a combined $983 million. Google announced its acquisition of Zagat Survey, which polls consumers and compiles reviews about restaurants, hotels and other businesses around the world, in September, but did not disclose a price at the time. Google's largest deal to date, the planned $12.5 billion acquisition of mobile phone maker Motorola Mobility Holdings Inc is pending regulatory approval.

Nokia CEO Sees 'Broader Opportunity' with Windows 8, Hints at Tablets

In a brief interview with This Is My Next, Nokia CEO (and mole for Microsoft, clearly) Stephen Elop hinted strongly at the potential for a Nokia-built Windows 8 tablet. While his statement was, strictly speaking, more of a dodge, it’s clear that this is something they’re at least thinking about. When asked about its role as a consumer electronics brand, Elop explained: The user experience of Windows 8 is essentially a supercharged version of the Nokia Lumia experience that you saw on stage today. And you see the parallels and opportunity for commonality from a user perspective. You say wow, this is more than just smartphones, there’s a broader opportunity here. And clearly we see that broader opportunity as well, without specifically commenting on what that may mean in the future.

eBay census: Delhi is No.1 e-commerce hub

Kozhikode: Kerala has been placed at the 12 {+t} {+h} place in e-commerce transactions by eBay India annual census conducted among the 28 States in the country. The census covered the key trends in online buying, selling, importing and exporting, spread across top 20 e-commerce hubs and seven union territories, apart from the transactions at the State level. The top five States are Maharashtra, Delhi, Tamil Nadu, Karnataka and Andhra Pradesh. Among the 20 largest e-commerce hubs, Delhi has topped the list, closely followed by Mumbai, Bangalore, Jaipur and Chennai, while Kochi and Thriuvananthapuram in Kerala are at 19th and 20th spots, respectively. The census has found that the metros contributed 51 per cent of all e-commerce transactions and the tier II and III cities 40 per cent. The rural India accounted for the balance nine per cent. It has also emerged that Sony is the most sought after brand, followed by Nokia, Samsung, Apple and Reebok. Among the items purchased online, electronic gadgets have recorded a share of around 50 per cent. Another finding is that women are increasingly getting addicted to online shopping and are buying cosmetics, jewellery, watches and fashion and fitness equipment. Over 45 per cent of all purchases by women are in the lifestyle category. In Kochi, the top five items bought are memory card readers, console games, peelers and slicers, sunglasses and woman's perfumes. And the top five items sold are gold plated necklaces, fairness creams, artificial flowers, mangalsutra and desktop PCs. Besides, the top five brands are Nokia, Apple, Canon, Nikon and Reebok. In Thiruvananthapuram, The top five items on the purchase list are tool kits, men's wallets, 1GB RAM, dumbbells and helmets, while Web hosting services, flight games, West Asian coins, ice-cream machines and insect repellers figured at the top of the list of items sold online. The top five brands are Nokia, BlackBerry, HP and Canon, according to the census.