Agriculture
Walnut output may fall on lower yields
THE country's walnut production in 2001-02 is forecast to drop 10 per cent to 28,000 tonnes in-shell, from last year's record crop (31,000 tonnes) due to lower yields caused by early-season drought and the trees' alternating bearing pattern.

Central fund mooted for oilseeds development
The Union Government should set apart at least one-third of the revenue it is earning by way of import duty on edible oils for developing oilseeds in the country as edible oil shortage is cutting into precious foreign exchange reserves, Mr Sandeep Bajori a, President of the Solvent Extractors' Association of India (SEA), has said.

Wheat open sale prices unchanged for September
THERE is no change in the prices of wheat offloaded to roller flour mills from the Food Corporation of India's (FCI) stocks under its open market sale scheme (OMSS) during the month of September.

Drought hits cereals' sowing in Karnataka
THE drought situation in Karnataka has affected sowing and coverage of three crop categories -- foodgrains, pulses and oilseeds.

Basmati patents
This refers to `Basmati battle won, not lost' (Business Line August 22). It is an informative and well-analysed article on the Basmati issue. The article stands out as the only one that actually goes beyond simplistic `lost-the-case, exports-doomed' argu ment being bandied about, and sadly

Automobiles
Maruti to modernise plant with Rs 600-cr investment -- Money to flow into launch of Every too
THE country's largest car maker Maruti Udyog Ltd is planning to invest about Rs 600 crore on plant upgradation and on the launch of its Every car, according to company sources. A bulk of the investment in plant upgradation would go towards the phased rep lacement of a paint shop, the sources said.

Strike at Escorts Faridabad unit
LABOUR problems have once again started plaguing the Escorts group with about 800 workers of a tractor plant at Faridabad going on strike since Friday evening, company sources said today. The strike has hit production of the Escorts and Powertrac brand o f tractors, they said.

Banking and Finance
Police intensify search for Krushi officials
The Director-General of Police has announced that special police parties have intensified their efforts to nab the Chairman of Krushi Bank and its directors.

Panic withdrawals at AP co-op banks
THERE were unexpected panic withdrawals at most of the city-based urban co-operative banks (UCBs) on Monday wherein the withdrawals were said to crossed Rs 100 crore in a single day, thereby placing most of the UCBs in severe pressure.

IFCI clarifies
With reference to the news report titled ``IFCI broke collateral norms: RBI''(Business Line dated August 27), Mr P.V. Narasimham, Chairman & Managing Director, IFCI Ltd, clarifies that all the loans by the financial institution are collateralised, and th e Reserve Bank of India has been informed about this.

Move on banks
The recent review meetings conducted by the Union Finance Secretary, Mr Ajit Kumar, are a step in the right direction. However, the steps proposed to close down the loss-making branches of UCO Bank are questionable.

Cement
Bids for L&T cement business likely by Sept
LARSEN & Toubro Ltd (L&T) expects to get the financial bids for its cement business from interested parties before the end of next month.

Commodities
Goat, sheep hides up marginally
GOAT and sheep skin prices increased marginally in Karnataka and Andhra Pradesh raw centres last week. In the Periamet market in Chennai, some brisk movement was report in E.I. tanned goat skins and sheep nappa leather, besides buffalo calf and light T.C . at existing price levels. Demand for cow lining, softy upper and nubuck leather continued.

Consumer Electronics
All Videocon CTVs to have Net option
IN future, say a couple of years from now, all CTVs from Videocon will be Internet-enabled, says Mr Sunil Tandon, Head, Advertising and Brand Development, Videocon International Ltd.

Corporate
UT bid to recast debt
UT Ltd (formerly Usha Telehoist) has sought the help of financial institutions (FIs) to recast its debt structure. While ICICI has already agreed not to seek repayment till 2003, the company is in discussion with the Unit Trust of India (UTI) for a subst antial package.

Tolani Shipping makes offer for 31% Bulk Carriers stake
TOLANI Bulk Carriers Ltd (TBCL) may be headed for a delisting from the stock exchange.

Anjani Portland promoters to hike holding by conversion of debt
THE promoters of Anjani Portland Cement Ltd (APCL), belonging to Dr B.V. Raju family, who were the founder-promoters of the Raasi group, are planning to consolidate their equity holding in the company.

Merger of Godrej Foods unit -- Godrej Ind to seek shareholders' nod
GODREJ Industries Ltd (GIL) is holding an extraordinary general meeting on September 8 to seek its shareholders' approval for the merger of the manufacturing business of Godrej Foods Ltd (GFL) with itself.

Henkel Spic plans to diversify product range
HENKEL SPIC India Ltd, which established management control of the city-based Calcutta Chemical Co Ltd (Calchem) by acquiring equity shares from Shaw Wallace in January 1999, appears upbeat following improved performance. The company produces soaps, toot hpaste and cosmetics under the ``Margo and Neem'' brands.

`Modi Rubber board revamp not now'
A BOARD meeting of Modi Rubber Ltd (MRL) has been convened here on August 31 to discuss, among other issues, the steps that could be taken to turn around the company.

`Govt not keen on reviving sick units'
THE working committee of the Centre of Indian Trade Unions (CITU) has flayed the manner in which the issue of repealing the Sick Industrial Companies Act (SICA) is being handled by the Government.

Bata helm sees changes
BATA India Ltd has effected changes in the top management of the company. Mr Fernando Garcia of Bata Ltd, Toronto, has joined Bata India as Joint Managing Director from August 24. He is expected to look after the day-to-day operations of the company.

Cheers -- Drink 'em without a doubt!
CHEERS. There's good news. Finally there might be an end to your complaints to the local vendor regarding adulteration of India made foreign liquor (IMFL) brands when you buy small bottles of 375 ml or 180 ml.

Ashok Leyland Fin securitisation issue of Rs 63.35 cr
CITIBANK N.A. has structured and placed a securitised portfolio of receivables of Ashok Leyland Finance Ltd (ALFL), aggregating to an amount of Rs 63.35 crore, with various investors.

Cabinet nod to convert co-ops into cos
THE stage is set for co-operative giants such as the Gujarat Co-operative Milk Marketing Federation, builders of brand `Amul', to convert themselves into ``specially structured companies, based on mutual assistance.''

Economy
`Subsidies crowd out public investment in farm sector'
DRASTIC reduction in subsidies to boost public investment in agriculture, re-orientation of investment and research to non-cereals, review of laws of inhibiting private investment and raising of productivity are the key to boosting rural demand and attai ning an eight per cent rate of growth of GDP, according to Mr Suman Bery, Director General, National Council of Applied Economic Research (NCAER).

How `temporary' the slowdown, Mr Sinha?
AT LAST, the NDA Government has come to accept what has been obvious to everyone outside that all is not well with the economy. What should logically follow is an action plan, delayed for months, to restore a sense of confidence and signs of revival rath er than hugging the illusion that the monsoon would brighten agriculture, generating the rural demand for industrial goods in the second half of the year.

Cell on WTO database in Kerala mooted
THE Chairman of the special Commission set up by the Kerala Government for sourcing expert advice on matters relating to WTO, Dr M. S. Swaminathan, has suggested the setting up of a WTO Database Cell to offer `proactive advice' to farmers and growers on various aspects of a globalised trade regime.

Editorial
Save Basmati
IN THE DIN of the polemics over whether India actually succeeded in warding off threats to Basmati rice following the grant of patent to the Texas-based RiceTec Inc by the US Patent and Trademark Office (USPTO), there is danger that the larger cause of p rotecting the geographic appellation and equity associated with this patently South Asian grain may falter. Admittedly, the invention relates no more to ``Basmati rice and grains''. The re-examination certificate is for ``Rice lines Bas 867, RT 1117 and RT 1121'' which are specific ones evolved by the American company. To that limited extent, India's attempt to fight this palpable bio-piracy case has succeeded, as a result of which the patent-holder is prevented from hijacking the term Basmati to descri be his novel product. Some may call this a pyrrhic victory of limited import; there is some truth in this.

Fast track
Tata Engg rides on higher sales
THE markets have been fairly quiet for the past fortnight and the movement in certain stocks have been issue-specific rather than due to the emergence of any trend.

Financial Performance
P&G net up 10 pc; to pay Rs 40
PROCTOR & Gamble Hygiene and Health Care Ltd has announced a bumper dividend of Rs 40 per equity share for the financial year ended June 30, 2001.

Foreign Trade
India for review of Uruguay Round
INDIA will press for review and conclusion of Uruguay Round mandated agenda and oppose inclusion of new issues and overloading of WTO at the crucial 4th Ministerial Conference in November at Doha.

PETA's moves should be viewed under WTO: CLE
UPSET with the moves launched by the animal rights group PeTA, Indian leather exporters feel that the Government should consider the entire matter in the light of the WTO's stipulations.

Impact
ICICI Bank: Sluggish trends in store
THE ban on fresh purchases by foreign institutional investors (FIIs) in ICICI Bank stock may lead to continued weakness in the stock.

Tolani Bulk Carriers: A help line
THE proposed offer for Tolani Bulk Carriers may lead to some improvement in the valuation of the stock.

Hero Honda: No buyback please
THE Hero Honda stock, which has been on a rising trend in recent trading, may show signs of abating following indications that there are no buyback plans as of now.

Information Technology
IT outsourcing: Can India continue to lead?
THE good news is IT outsourcing is fast becoming an innovative business model, despite the severe slowdown in the US and the stiff resistance by the labour unions against this model. Global consultants predict that corporates will resort to outsourcing t o shore up shareholder's value.

Miscellaneous
Handy coir
Coconut may soon be ticking on your hand. This innovative watch encased in coconut shell, is on display at a exhibition, organised by the Coconut Development Board in Kochi on Monday.

Mutual Funds
UTI plans to offer income option schemes
THE UTI is re-modelling some of its schemes to devise a number of investor-friendly choices such as income options. An announcement to this effect is expected soon.

UTI mulling tech overhaul -- For an investor-friendly clime
UNIT Trust of India (UTI) is looking at an organisational recast, involving paring down inter-scheme transfers, segregation between fund management and back office functions and data mining. Of interest also is the working out of a holding company arrang ement, plans regarding which are being seriously considered.

US-64 repurchases at Rs 102 cr
US-64, the UTI's flagship scheme that will shift to NAV-based pricing latest by January 1, 2002, has seen repurchase requests for a little over 10 crore units from about 80,000 unit holders. The total consideration amounts to around Rs 102 crore.

Pharmaceuticals
US may emerge largest market for Ranbaxy: Brar
RANBAXY Laboratories Ltd believes the US will emerge as its largest market overtaking India either in 2002 or 2003, the CEO and Managing Director, Mr Davinder S. Brar, said here on Monday.

Plantations
`APMC cess' irks Karnataka cashew exporters
CASHEW exporters in coastal Karnataka are up in arms against the one per cent market cess that they allege is being demanded by the officials of the district Agricultural Produce Market Committees (APMCs) despite an exemption granted by the Karnataka Gov ernment.

Happy days are here again
The members of the Cardamom Processing and Marketing Co-operative Society are seen counting money outside the auction centre in Kumily, Kerala. Cardamom growers have reasons to smile as the prices of the commodity are ruling high between Rs 505 and Rs 80 0 a kg during the season when all other cash crops are faring badly.

Policy
Convergence Bill gets Cabinet nod -- `Super regulator' for ICE proposed
THE Government today approved the Communications Convergence Bill, 2001 which seeks to provide a combined regulatory structure for the information technology, telecom and broadcasting sectors.

Major Ports to be corporatised
THE Union Cabinet on Monday approved an amendment to the Major Port Trusts Act and Indian Ports Act to create an enabling provision for the corporatisation of major ports.

Mining meet reviewed areas for PSU exploitation
The Union Minister of Mines, Mr Sundar Lal Patwa, told the Shiv Sena member, Mr Subodh Mohite, that the Conference of State Ministers of Mining and Geology held on July 14, discussed the status of review of unexploited areas reserved for public sector ex ploitation.

Politics
Anti-corruption laws
THAT the Central Government is not inclined to initiate legislation on forfeiture of ill-gotten wealth by corrupt public servants gives the impression that parasites can continue to feed off the nation, no matter the assertion by the CVC, CAG and other s tatutory functionaries that a graft-ridden society cannot attract foreign investments.

Terrorism: Glossing over the real issues
``GANGSTERS, not freedom fighters'' was the excoriating title of the Sunday Telegraph report on the arrest, recently, of three suspected members of the Irish Republican Army (IRA) in Colombia. The paper's investigative team of reporters probed the decept ion of ``international drug dealers and gun-runners posturing as political guerillas''. Irish terrorism is a sore point with the British public and media, especially for those, like The Telegraph, which belong to the hard Right.

Opposition flays Govt's policies
THE US-64 fiasco once again cropped up in Lok Sabha, with allegations from Opposition parties on ``financial mismanagement'' by the Government.

Power
GVK firms up finances for Jegurupadu expansion
IN a significant development that will pave the way for expediting the first phase of the Jegurupadu Stage II expansion project of GVK Industries Ltd, the company has completed financial tie-up for Rs 760 crores which will be through 100 per cent debt.

IPPs fault TNEB for poor tariff
FACED with a tight financial position, the Tamil Nadu Electricity Board (TNEB) is paying the independent power producers a flat rate of Rs 2.25 per unit of power it buys from them rather than the actual tariff.

Karnataka HC sets aside GO on NPCL
THE Karnataka High court has set aside a State Government order denying approval to the power purchase agreement (PPA) of the 1015 MW Nagarjuna Power Corporation Ltd (NPCL).

Shipping
Rakesh Mohan heads panel on shipping tonnage tax
DR Rakesh Mohan, Advisor to the Finance Minister, will head a seven-member panel to look into the specifics of introducing a tonnage tax regime for the shipping industry.

Stocks
Lyons Range
THE Calcutta Stock Exchange on Monday saw the Bata scrip move up by 7.57 per cent to close at Rs 39.80. The other notable gainers were the counters of Rolta, Global Telesystems and Bombay Dyeing.

Infosys, Zee Tele steal the show
AN uptrend in the US market on Friday triggered a moderate rise in equities here on Monday. The BSE Sensex ended the day higher by 12.81 points at 3318.32 points.

SEBI chief for early warning system to detect crisis
THE Chairman of the Securities and Exchange Board of India (SEBI), Mr D.R. Mehta, today told the Joint Parliamentary Committee (JPC) probing the stock scam that there was need to put in place an `early warning system' to detect any impending crisis in th e stock markets.

Sugar
TN to settle sugar co-op dues -- One time payment of Rs 69.20-cr likely
THE Tamil Nadu Government has decided to pay Rs 69.20 crore dues owed by the co-operative and public sector sugar mills to the National Cooperative Development Corporation (NCDC) as a one-time settlement (OTS), according to the State Industries Minister, Mr R. Vaithialingam.

Need to push up raw sugar exports
WITH higher levels of sugar output in three successive sugar seasons from 1998-99 till 2000-01, which comes to an end by September, 2001, the stocks held by sugar factories in the country have been mounting. While the Government maintains that efforts ar e being made to bring down the stocks by way of higher releases in the open market and exports, the next sugar season beginning from October also promises to be yet another bumper one.

Taxation
Limited penalty waiver on transfer pricing
THE Finance Ministry has decided not to initiate penalty proceedings on assessees who fail to comply with the transfer pricing rules pertaining to documentation of international transactions entered between April 1, 2001 and August 1, 2001.

Tea
Rise in Kenyan tea crop boosts global output
THANKS to a significant rise in the Kenyan production, the global tea output in the first half of 2001 is as much as 44.2 million kg (mkg) more than last year.

Technical Analysis
Downtrend triggered
MONDAY'S trading witnessed equal participation from the bulls and bears. Bears were successful in initiating a fresh downtrend in the index. The intra-day movement in the index was around 14 points. The Nifty closed around Monday's last traded value. The market sentiment reading remains in favour of the bulls.

Technology
Bio-wealth protection: Genetic and legislative approaches
THE quest for knowledge combined with profit-making or business aptitude have made science and technology move in a different paths. Advancements in science and technology have accelerated so rapidly in life-sciences that it has necessitated protecting t he unauthorised use of innovations in processes and products. Along with the research for new technologies that benefit mankind, scientists have been forced to search for means to thwart bio-piracy.

Telecommunications
Bharti in $150 m pact with telecom equipment majors
IN what has been billed as the largest order of its kind to date by any player in the Indian telecom sector, Bharti Enterprises has finalised a $150 million agreement with three leading telecommunication equipment providers -- Ericsson, Siemens and Moto rola.

`BSNL has not refused interconnection' -- Seven crore phone lines by 2005: Paswan
THE Government said in the Lok Sabha on Monday that the Bharat Sanchar Nigam Ltd (BSNL) has not refused interconnection to private basic telecom service providers.

Textiles
`Include polyester under TUF scheme'
THE Government should include polyester under the recently created technology upgradation fund (TUF) for the textile industry, Mr O.P. Lohia, Managing Director, Indo Rama Synthetics (I) Ltd, has said.

Carpet expo next year
NEW DELHI: Carpet Expo India-2002 will be held from February 10 to 13 next year. The fair is being organised by the All-India Carpet Trade Fair Committee.

Level playing field sought for textile units
THE cotton yarn industry in the country is passing through one of the worst-ever crisis.

TUFS being fine-tuned to push upgradation
The Union Textile Ministry has undertaken the exercise of `fine-tuning' the operation of the textile technology upgradation fund scheme (TUFS) to impart the required momentum to the modernisation of the domestic textile sector, the Union Minister of Stat e for Textiles, Mr Dhananjaya Kumar, has said.

Water Management
Boosting watershed yields and conservation efforts
THE shortage of potable water in cities and water of acceptable purity for irrigation purposes is becoming a universal feature. Few nations can claim to be totally free of the problem. Even in the US, there are some states where this scourge of scarcity makes annual visitations in the summer.

Source:Business Line