Airlines
`Ban' on IA fleet acquisition to go
THE Indian Airlines' (IA) fleet acquisition plan is to take off in the next few weeks with the ``ban'' on acquisition of aircraft likely to be lifted shortly.

Aquaculture
Shrimp market turns active
SHRIMP prices and the activity in the market appear to have picked up after an extended period of dullness. Black tiger prices rule around $9.70-9.90 per kg 16/20 counts, and is likely to cross $10 in a day or two, according to market sources.

Automobiles
GM sales skid in October
GENERAL Motors India Ltd's (GM) car sales slid sharply in October to 600 units against sale of 800 cars in September, a company spokesman said on Thursday.

Honda Siel: Sharp fall in October sales
Honda Siel Cars India Ltd has sold 740 cars in October, sharply down from 1,149 cars sold in September. The company had sold 621 cars in October 2000, according to a company statement.

Hero Honda sales zoom
Continuing to ride the boom in the motorcycle market, Hero Honda Motors Ltd sold 132,516 motorcycles in October, which is 43.87 per cent higher than the 92,109 units sold in the same month the previous year.

Ford's Mondeo makes its debut
FORD India Ltd (FIL) formally unveiled its new sedan for the domestic market, the Mondeo, here today.

Kinetic Engg working on cheaper mobike, step-thru
KINETIC Engineering Ltd proposes to produce an `economy motorcycle', which could be priced at around Rs 35,000, the company's Joint Managing Director, Ms Sulajja Motwani, told Business Line today.

Lancer luxury edition to hit the road soon
HINDUSTAN Motors is to shortly launch a luxury edition of the Mitsubishi Lancer.

Maruti stops production for 3 days
DIFFICULT market conditions has forced Maruti Udyog Ltd to undertake a production halt for three days starting today, company officials said.

Banking and Finance
An unkind cut for RBI
LAST week the Reserve Bank of India snipped the Bank Rate by half a percentage point, and pared the cash reserve ratio to let banks have another Rs 8,000 crore to lend. Even if it did not specifically say so, the RBI dropped enough hints that it wants ba nks to lower their lending rates and nudge the sluggish economy forward. In response, this week some banks have announced a cut in their deposit rates; even if one senses a reluctance among bankers to drop lending rates, they may eventually persuade them selves to do the RBI's bidding.

Universal banking
Universal banking helps financial institutions cover up loan and investment losses, and not tackle the real problems.

Recognise banking talents
(Business Line, October 30) is welcome and proposes a right method to recognise the latent talents in banks.

Breweries
Seagram's TN hopes scuttled
THE Tamil Nadu Government has stopped Seagram Manufacturing Ltd's proposed foray into the State liquor market through a bottling arrangement with Mohan Breweries & Distilleries Ltd (MBDL).

Commodities
Textile Ministry favours Bt cotton
THE Textile Ministry favours acceleration of commercial production of bacillus thuringiensis (Bt) cotton in the country in order to help the mills get the required variety and reduce imports.

55 per cent local content in Nepalese vanaspati sought
THE Indian Vanaspati Producers Association (IVPA) has called for inserting a clause in the Indo-Nepal Trade Treaty, which would require goods manufactured in Nepal (and imported duty-free into India) to contain not less than 55 per cent of Nepalese raw m aterials or Nepalese and Indian material.

Corporate
Cochin Malabar auditors question rubber sale price
AUDITORS of the Kochi-based Cochin Malabar Estates & Industries Ltd have severely qualified the accounts of the company for the financial year ended March 31, 2001.

BEML dividend
NEW DELHI: Bharat Earth Movers Ltd (BEML), a public sector undertaking under the Ministry of Defence, has paid a dividend of Rs 2.25 crore to the Government.

Decks cleared for VRS disbursement at Binny
THE Board of Industrial and Financial Reconstruction (BIFR) has cleared the draft rehabilitation scheme for Binny Ltd paving the way for the workers to be paid their dues under the voluntary retirement scheme, according to Mr R. Kuchelan, President, Wor king People's Trade Union Council (WPC).

Exide to buy back 10 pc shares
BATTERY major Exide Industries Ltd on Thursday announced a 10 per cent buyback of shares through the open market route after its board meeting.

Saint Gobain unit to take over CUMI plant
SEPR Refractories India Pvt Ltd, a part of the Saint Gobain group, is set to take over the electrocast refractories unit of Carborundum Universal Ltd (CUMI). The agreement for the sale is likely to be signed in November, according to a press release from the company.

Reliance Ind: A sign of times
RELIANCE Industries' results for the second quarter of the current fiscal are a clear pointer to the difficult times that the company and the petrochemical industry are passing through. Beginning with the last quarter of 2000-01, for the third quarter in succession, Reliance has returned a performance that is not in keeping with its reputation of posting consistently strong net earnings growth in operations.

Eveready launches alkaline batteries
EVEREADY Industries India Ltd today launched its range of alkaline batteries. The batteries, Eveready Alkaline Max Batteries, are available in AA and AAA sizes.

Asian Paints buys powder coatings unit
ASIAN Paints Ltd (APL) has acquired the powder coatings business of the Mumbai-based Hawcoplast Chemicals Ltd for a consideration of Rs 16 crore.

Revenue Dept to study impact of buybacks
THE Revenue Department is set to examine the long-term revenue implications of share buyback by companies and its impact on the transparency of accounting transactions.

Philips buys 77 pc in CG Glass
ROYAL Philips Electronics N.V (Philips) has acquired a 77 per cent stake in CG Glass through an open offer made a few months ago.

Av+Ulco sets up plant in Pondy
AV+ULCO Healthcare Pvt Ltd, a joint venture company started with equity participation from Ulco Medical of Australia and Avarsala Group of Bangalore, has commissioned a plant to manufacture anaesthesia machines and ventilators in Pondicherry. Speaking to newspersons, Mr John Uhlir, Chairman of Av+Ulco Healthcare, said that the joint venture company would manufacture anaesthesia machines and ventilators (for operation theatres and portable model for ambulances) with technology developed and fine-tuned by the Australian company.

Ear to the ground
UTI/BAT behind ITC rally?
The talk of UTI selling its stake in ITC to BAT was back in the market. But this time, the rumours seem to have picked up momentum. On back of the expectation that UTI will sell its stake to the British multinational, the ITC scrip shot up 6.65 per cent on the BSE to end at Rs 737.70. Similarly, on the NSE, the scrip ended at Rs 732, up 6.70 per cent.

Economy
Improve demand
The article, `Prodding people to improve productivity' (Business Line, October 31) assumes financial restructuring can mitigate business risks. Most companies in India are suffering because of lack of demand for its products. To assume that debt can solv e the problems of demand is incorrect.

Editorial
The UTI makeover
THE BROAD THRUST of the Malegam Committee recommendations on the corporate repositioning of the UTI appears to be on desirable lines. At the core is a severance of the link between the UTI and the government. This is to free the institution from governme nt interference and also remove misconceptions about UTI's operations being underwritten by the government. The government's position has been that it would not repeal the UTI Act to allow for its eventual privatisation. But it would do well to remember that the alternative is periodic bailouts of UTI's assured returns scheme that the government can ill afford. Of course, snapping the link with government is only a part of the solution. What the UTI needs is transparent, quality fund management free fro m any extraneous pressures.

Financial Performance
SAIL Q2 loss at Rs 329 cr
STEEL Authority of India Ltd (SAIL) has posted a loss of Rs 329 crore for the quarter ended September 2001 (a loss of Rs 376 crore in the previous quarter).

BPCL Q2 net slumps 49 pc to Rs 181.9 cr
MUMBAI: Bharat Petroleum Corporation Ltd has reported a net profit of Rs 181.9 crore, during the second quarter ended September 30, 2001, 49 per cent lower than Rs 358.9 crore in the same period the previous year.

Punjab Tractors Q2 net marginally up at Rs 31 cr
NEW DELHI: Cost-cut measures have helped Punjab Tractors Ltd (PTL) to marginally better its net profit for the first half of the current financial year at Rs 56.40 crore, a company statement said on Thursday.

Bannari Amman Sugars PBT at Rs 7.72 crore
COIMBATORE: Bannari Amman Sugars Ltd (BASL) has doubled its net sales in the second quarter of current fiscal compared to the corresponding period in the previous year.

HPCL Q2 net down 37 pc
MUMBAI: Hindustan Petroleum Corporation Ltd has reported a 36.9 per cent fall in net profit to Rs 140.30 crore in the second quarter ended September 30, 2001, from Rs 222.54 crore in the same period the previous year.

GE Shipping net rises to Rs 44.30 cr
Great Eastern Shipping Company Ltd has reported a 35 per cent rise in net profit at Rs 44.30 crore (Rs 32.75 crore) during the July-September 2001 quarter.

NOCIL posts loss in Q2
MUMBAI: National Organic Chemical Industries Ltd (Nocil) has reported a net loss of Rs 5.50 crore for the quarter ended September 30, 2001 against a net profit of Rs 2.33 crore for the same period last year.

GNFC net at Rs 47.22 crore
Gujarat Narmada Valley Fertilizers Company Ltd (GNFC) has ended the first-half of the fiscal with a net profit of Rs 47.22 crore against Rs 46.27 crore in the year-ago period.

Essar Oil posts lower Q2 net profit
MUMBAI: Essar Oil Ltd has posted a net profit of Rs 3.02 crore for the second quarter ended September 30, 2001, compared to Rs 3.25 crore reported in the same period the previous year. The company achieved the net sales on an income of Rs 43.73 crore (Rs 39.98 crore). Total expenditure was Rs 32.78 crore (Rs 30.25 crore), while interest payments and depreciation stood at Rs 2.84 crore (Rs 2.68 crore) and Rs 5.76 crore (Rs 5.27 crore) respectively.

Padmalaya Telefilms net down at Rs 3.14 crore
HYDERABAD: Padmalaya Telefilms Ltd (PTL) has registered a growth in sales turnover and a marginal fall in net profit for the second quarter of the current fiscal ended September 30, 2001.

Cadbury India net up Rs 18.25 crore
MUMBAI: Cadbury India Ltd has posted a net profit of Rs 18.25 crore for the third quarter ended October 7, 2001 compared to Rs 17.79 crore during the corresponding period last year.

Deepak Nitrite net rises to Rs 1.72 crore
NEW DELHI: Deepak Nitrite Ltd has reported a net profit of Rs 1.72 crore for the quarter ended September 30, 2001 as against a net profit of Rs 0.66 crore recorded in the same period during the previous year.

Indo Matsushita net profit at Rs 1.62 crore
Indo Matsushita Carbon Company Ltd (IMCC) has reported a net profit of Rs 1.62 crore on a sales of Rs 11.51 crore for the three months ended September 30, 2001, according to the company.

Saregama bounces back after poor Q1
KOLKATA: Saregama India Ltd (SIL), earlier called Gramophone Company of India Ltd, has turned in improved results in the second quarter of 2001-02, reporting a net profit of Rs 34 lakh against Rs 65 lakh net loss in the first quarter.

Bombay Dyeing Q2 loss at Rs 4.88 cr
MUMBAI: Bombay Dyeing and Manufacturing Ltd has reported a net loss of Rs 4.88 crore for the quarter ended September 30, 2001. The company had posted a net profit of Rs 8.49 crore for the same period last year.

Carborundum Universal posts Rs 11.68-cr H1 net
CHENNAI: Carborundum Universal Ltd (CUMI) has reported a net profit of Rs 11.68 crore for the first-half of the current year, as against Rs 11.87 crore in the same period the previous year.

Gangotri Textiles Q2 net dips
COIMBATORE: Gangotri Textiles Ltd (GTL) has seen a sharp erosion in net profit for the second quarter ended September 30, 2001, though its net sales witnessed only a marginal decline.

Indo National net at Rs 5.30 crore
CHENNAI: Indo National Ltd, the manufacturers of Nippo brand dry cell batteries, has reported a net profit of Rs 5.30 crore on a net sales of Rs 71.11 crore during the quarter ended September 30, 2001, according to the company.

Orchid Chemicals Q2 net dips 40 pc
CHENNAI: Orchid Chemicals & Pharmaceuticals Ltd registered a net profit of Rs 2.65 crore during second quarter of this year. This is a drop of 39.90 per cent from the net profit of Rs 4.41 crore registered during the corresponding period of the previous year.

Havell's India net profit at Rs 3.83 crore
NEW DELHI: Havell's India Ltd has posted a net profit of Rs 3.83 crore in the first half of the current financial year, up 19.46 per cent from Rs 29.6 crore achieved in the same period of last year.

Foreign Trade
No change in stand on WTO: Maran
INDIA maintained that there was no change in its stated position of the need for the World Trade Organisation (WTO) to address the implementation concerns of the developing countries upfront before embarking on a negotiating mode on various new issues.

Canada hopes to double trade
THE Indo-Canadian trade has witnessed a quantum jump registering over 50 per cent growth in the first half this fiscal and this is expected to double by the year 2003, according to a senior Canadian High Commission trade representative.

World Bank report sympathetic to third world concerns
EVEN as the World Bank along with its sister organisation, the IMF, have been criticised for pushing through the ``Washington Consensus'' on borrowing countries with a set of conditionalities to mend their economies to make them market-savvy, the World B ank, for once, sings different song. This is in tune with the concerns widely voiced by NGOs and the developing countries on the perils of indiscriminate globalisation and trade liberalisation.

India unhappy with pre-Doha declaration
WITH almost a week left for the fourth ministerial conference of the WTO in Doha, India voiced serious reservations in the revised pre-Doha Ministerial declaration of October 27, 2000, stating that ``by opting for a text which does not bring out the diff erences in crucial areas, especially in respect of new issues... many of us are forced to put the entire text in square brackets''.

Reforming tariff quota system
DURING the Uruguay Round of Multilateral Trade Negotiations, member-countries agreed to a tariff rate quota system as the most appropriate method to ensure market access during the transition from an agricultural trading system of complex tariff and non- tariff barriers to a tariff-only regime. Of late, the system has come under considerable criticism and, in fact, its continuation is also questioned. It may be inappropriate to discontinue the system at this juncture.

H1 export figures reveal disappointing trend
DESPITE the Commerce Ministry's unbounded optimism in not revising the export target of 12 per cent in the wake of gloomy global trade scenario, the performance of the export sector continues to remain dismal with the first half of export growth register ing a negative 1.95 per cent at $20,967.81 million as compared to $23,385.65 million in the corresponding months of 2000.

Health
Apollo Hospitals keen on overseas contracts -- To focus on West Asia, East Africa
THE Apollo group of Hospitals is planning to get into the overseas hospital management business in a big way with the focus on countries in West Asia and East Africa.

Horticulture
Campaign on fungal attacks in banana
THE outbreak of leaf diseases in banana after a wet spell is not uncommon. Though the monsoon is considered good for the crop, the scientific community conducts awareness campaign to educate the farmers to tide over any eventuality at the end of the seas on.

Impact
Exide Ind: Lukewarm response
THE proposal of Exide Industries to buy back up to 10 per cent of its equity at a price of Rs 70 per share is not likely to sustain trading interest for two reasons.

Information Technology
`IT opens up business opportunities with Germany'
BANGALORE'S IT sector has opened new business and collaboration opportunities for Germany, the visiting German Chancellor, Mr Gerhard Schroeder, said on Tuesday.

Insurance
Public offering on insurance venture not now: Rahul Bajaj
EARLY this week, Bajaj Auto Ltd (BAL) and Allianz of Germany formally kicked off their joint ventures in general and life insurance. Following the 74:26 equity sharing formula required by law, BAL's investment in the two companies amounts to Rs 190 crore . A chunk of it was met through premium payment from Allianz towards using the `Bajaj' brand, a move that also helped enhance BAL's bottomline in the first two quarters of 2001-2002.

Insurance Bill for intermediaries soon: Sinha
THE Finance Minister, Mr Yashwant Sinha, has prescribed a broad course of action for future insurance reforms including the need to strengthen the supervision and regulation in the sector and better market participation in decision-making by promoting se lf-regulatory organisations.

IRDA seeks to be pension regulator
THE Insurance Regulatory and Development Authority (IRDA) in its report on pension reforms has said that there would be no need for setting up a separate regulatory authority for the sector and that the insurance regulator possessed the necessary wherewi thal to perform the task.

Miscellaneous
Social code
A TIME there was, until some thirty years ago, particularly in an honour-conscious and value-based state such as Tamil Nadu, when people felt themselves bound by a strict social code. They shunned anyone who was involved in a case civil or criminal even if the offence was a minor one of an undischarged debt, a land dispute or an assault. And if it was an accusation of commission or abetment of theft, misappropriation, embezzlement or murder, the whole village or community in effect stopped having any de alings or social intercourse with him, including marriage alliances. Certainly, he was not invited for any function or meeting.

Dumping ground
THERE was an interesting report on television that flashed by my eyes the other day. I didn't notice it any newspaper, so I guess it must have been important. I didn't catch the name of the organisation but it 'd checked all the makes of cars in India fo r pollution and environment friendliness.

Off the ticker
Fresh life for some stocks
CERTAIN stocks move along with the market. Such stocks are back in action once again, thanks to the current rally, which has uncorked a fresh lease of life for them. Here are few stocks that peaked during the 1999-2000 rally and touched their nadir in th e slump of 2000-2001; but they have shown signs of revival in recent times.

On the hedge
Good demand for November calls
THURSDAY'S trading in the derivatives segment continued to reflect a bearish outlook on the market. The following are some of the pointers from the day's trading:

PSU
Essar protests easing of IBP bidding norms
THE Essar group has protested to the Ministry of Petroleum and Natural Gas against the relaxation in the bidding norms for the public sector petro-marketing company, IBP Ltd.

Essar Oil to hive off three divisions
ESSAR Oil Ltd has decided to hive off its drilling, production and exploration divisions into two wholly owned subsidiaries. The company's board meeting on Wednesday approved the proposal, a company official said on Thursday.

Petroleum
Rift over APM dismantling procedure
THE Finance Ministry and the Petroleum Ministry remain divided on the nature of dismantling of the Administered Pricing Mechanism (APM) in the petroleum sector in April, 2002, according to officials.

Naphtha, furnace oil prices cut
PUBLIC sector oil companies slashed the prices of naphtha, furnace oil and low sulphur heavy stock for fertilizer units, with effect from mid-night November 1, 2001.

Pharmaceuticals
Dr Reddy gets USFDA nod for Ibuprofen
HYDERABAD: Dr Reddy's Laboratories Ltd announced here on Thursday that it had obtained the final approval from the US Food and Drug Administration (USFDA) for the company's abbreviated new drug application (ANDA) for Ibuprofen tablets of 400mg, 600mg and 800mg.

Plantations
Kerala pares purchase tax on rubber, coffee
THE Kerala Government has announced that purchase tax on coffee and arecanut will be halved from four per cent to two per cent, while in the case of rubber, the reduction in tax from 11 per cent to six per cent would remain in force for a period of two m onths starting November 1.

Global pepper prices may fall further
IF the downward trend in the world pepper futures is any indication, the prices of the black gold are likely to fall in the coming months in the international market.

Policy
Rakesh Mohan remains Sinha's aide
IN a major volte-face, the Government decided to retain Dr Rakesh Mohan as Economic Advisor to the Finance Minister, Mr Yashwant Sinha, just a few hours after an office order was circulated in the Finance Ministry accepting Dr Mohan's resignation with ef fect from October 31.

Politics
`Don't think Kashmir has only political problems'
PROBLEMS ofmilitancy and violence aside, Kashmiris are facing many day-to-day problems such as shortage or rice and power, says the CPI-(M) MLA, Mr M. Y. Tarigami. Looking at the sufferings of the Kashmiri people "how can I not sound defeatist?'', he ask s in an interview to Business Line.

Power
TotalfinaElf shelves LNG unit plan
TOTALFINAELF is putting on hold its plan to set up a three million tonne per annum LNG regassification unit in the country, according to company officials.

Rubber
Rubber: Tax cut no panacea, says CRMA
THE Cochin Rubber Merchants Association (CRMA) has said the decision of the Kerala Government to reduce the purchase tax on rubber from 11 per cent to 6 per cent will not bring any succour to the growers.

Rubber market firms up
THE rubber market has firmed up further following the consensus reached at the meeting between Mr L.P. Saptharishi, Additional Secretary, Ministry of Commerce, and the representatives of tyre manufacturers and the Rubber Board. It was agreed to purchase rubber above the MSP and to provide for the handling charge in addition to price during the meeting.

States
Karnataka studies prospects of having SEZ in Mangalore
THE Karnataka Government is working on the possibility of having a special economic zone in Mangalore in addition to the one in Hassan, according to the State Minister for Ports and Fisheries, Mr B. Ramanatha Rai, who also happens to be the Minister in c harge of the Dakshina Kannada district.

Stocks
SEBI may probe L&T share price movement
THE Securities & Exchange Board of India (SEBI) is likely to investigate the share price movement of Larsen & Toubro Ltd (L&T).

Pharma scrips in limelight
THE 30-share Bombay Stock Exchange sensitive index (Sensex) staged a recovery from Monday's depressing start to the week. The Sensex closed up 2.02 per cent or 60.45 points to end Thursday's trading session at 3,049 points from the previous close of 2,98 9.35 points .

Risk containment measures approved -- SEBI puts 31 scrips on futures trading
THE Securities and Exchange Board of India board on Thursday approved the scheme and risk containment measures for individual stock future contracts in 31 scrips on which options trading is currently permitted.

Meet on capital market reforms
THE Bombay Stock Exchange (BSE) and the Confederation of Indian Industry (CII) have joined hands to organise a national convention on capital markets reforms.

Rathi appears before SEBI
THE Securities and Exchange Board of India (SEBI) board on Thursday heard the former President of the BSE, Mr Anand Rathi, on his alleged involvement in seeking information from the exchange's surveillance department.

Taxation
Gross tax mop-up top Rs 1,04,000 cr
THE Centre's gross tax collections topped Rs 1,04,000 crore till October 30 as compared to Rs 1,03,000 crore up to October 30 last year, registering a modest one per cent growth.

Tea
Tea Board team touring N. India
A 22-member Tea Board study team, led by Mr Vikram Kapur, the Chief Regional Executive (CRE), is now on a tour in North India.

Technical Analysis
Nifty turns bullish
RIGHT from the initial hours of Thursday's trading, the bulls were in total control of the market. This led to the initiation of a fresh uptrend in the index. The bulls capitalised the day's entire move. It closed with a gain of 19 points with respect to previous close. The market sentiment reading changed in favour of the bulls.

Technology
ICICI leases modular lab
THE Indian Institute of Chemical Technology (IICT) has taken on lease one of the 10 modular laboratories at the ICICI Knowledge Park on the outskirts of the city.

Terrorism
FATF plan to combat terrorist financing
THE Financial Action Task Force (FATF) at an extraordinary plenary in the aftermath of the September 11 terrorist attack in the United States has agreed to a set of special recommendations on terrorist-financing.

US' Afghan ops: A critical analysis
THE US air strikes on Afghanistan, with low-flying C-130 aircraft and helicopters being increasingly used, indicates that, at least till now, the US has had total control of the skies and that likely threats from the Taliban's Stinger missiles had been o ver-stated.

Textiles
Small spinners go on strike
TEXTILE mills coming under the small-scale sector in Tamil Nadu went on a `stop production' agitation today to draw the attention of the Central and State Governments to the textile industry crisis.

Cotton price crash hits southern textile mills
to be the bane of the southern textile industry, whose operative efficiency lies buried under the weight of falling cotton prices and the unsold stock of cotton yarn held by spinners.

Transport
New GM for SE Rly
KOLKATA: Mr N. Krithivasan has taken over as General Manager of South Eastern Railway (SER), in addition to his present assignment as GM of South Central Railway. Prior to this, he was GM of Southern Railway from August 1997 to September 2000.

Rly Board Member Staff
NEW DELHI: Mr M.C. Srivastava on Wednesday assumed charge as the new Member Staff in the Railway Board. He took over from Mr K. Balakesari, who superannuated on Wednesday, an official statement issued by the Railway Ministry said.

Travel & Places
Tourism meet fails to enthuse industry
WAS the conference of Chief Ministers and State Tourism Ministers, inaugurated by the Prime Minister, much ado, or much talk about nothing?

Source:Business Line