The Hindu Business Line : Weekly News Round up

The Railway Minister Ms Mamata Banerjee, presented the Railway Budget on Friday. There is increase in passenger fares or freight tariff. She announced 12 non-stop point-to-point long-distance trains and air-conditioned double-decker coaches for inter-city travel.

She has proposed monthly season ticket of Rs 25 for people with monthly income of up to Rs 1,500 for travel up to 100 km.

Her proposals included introduction of 57 new train services, extension of 27 new trains and increase in frequency of 13 trains and making 'Tatkal' scheme more user-friendly by reducing the advance booking period from five days to two days and minimum charge from Rs 150 to Rs 100.

Reliance Natural Resources Ltd of the Anil Ambani group has filed a Special Leave Petition in the Supreme Court. It has sought the court's direction to Reliance Industries Ltd to execute a bankable agreement in line with the Bombay High Court judgment in the Krishna-Godavari basin gas sharing case. Meanwhile, RIL also filed a caveat in the Supreme Court on Friday to ensure that it is given a chance to explain itself in the case. On June 15, the Bombay High Court asked Reliance Industries to supply 28 million standard cubic metres a day of gas from the Krishna-Godavari basin to RNRL for $2.34 million British thermal unit.

The annual Wholesale Price Index-based inflation stayed in the negative territory for the third week in a row, falling 1.3 per cent for the week ended June 20 after tumbling 1.14 per cent the previous week. The dip in the year-on-year inflation rate was recorded even as prices of food items such as fruits and vegetables rose compared with the same period last year.

The Government on Wednesday hiked the retail price of petrol by Rs 4 a litre and diesel by Rs 2 a litre. The Government, however, left the prices of cooking fuels - PDS kerosene and liquefied petroleum gas - untouched. The last hike was in June 2008, when the petrol price was raised by Rs 5 a litre and diesel by Rs 3 a litre.

Exports in May continued the declining trend and plummeted 29.2 per cent compared with May 2008. Provisional figures for May put exports at $11 billion, down by 29 per cent from $15.5 billion in the same month of 2008. For the first two months of the current fiscal they were down 31.2 per cent at $21.7 billion compared with $31.6 billion in the corresponding previous period. Imports in May at $16.2 billion were down 39 per cent from $26.7 billion in May 2008. While for April-May they were down 38 per cent, at $31.9 billion over the 2008 period.

The Government is proposing to increase foreign direct investment in Direct-to-Home to 74 per cent, and up to 24 per cent in FM Radio. A draft note has been circulated for consideration of the Cabinet Committee on Economic Affairs. Foreign investment limits currently are 20 per cent in FM radio and 49 per cent in DTH, with the FDI component being limited to 20 per cent.

S. Kumars Nationwide, along with its operating partner Emerisque, UK, has acquired Chicago-headquartered Hartmarx Corporation for $119 million i.e., around Rs 571 crore. S. Kumars Nationwide will route its investment of Rs 168 crore through its wholly-owned subsidiary SKNL North America BV. The 120-year-old maker of Hickey Freeman and Hart Schaffner Marx brands has made several suits for the US President, Mr Barack Obama, including the one he wore at his inauguration.

Compiled by M J Madhavan
Podcast by A Srirengarajan
S Vasudevan