Today's Hot Stories - March 20, 2014
10 Headlines for Today
(1) All accused in Mumbai's Shakti Mills gang rapes convicted, sentencing tomorrow
(2) Turmoil in BJP: Narendra Modi, Sushma Swaraj meet LK Advani
(3) 'Two objects possibly related to MH370 spotted'
(4) DGCA sees red at midair Holi dance by SpiceJet cabin crew
(5) Screwvala buys 43% in Food Chain Maroosh
(6) Toyota to pay $1.2bn to settle criminal probe
(7) World T20: Top sides take centre-stage
(8) Tennis: Flavia Pennetta wins Indian Wells title
(9) NBA: Knicks start new era with 7th straight win
(10) Eat oats for better heart health, and beyond
5 Stories for Today
(1) Petroleum Ministry seeks EC approval for new gas price regime
(2) Israel gears up for possible unilateral strike on Iran
(3) Sebi strips FTIL of ‘fit and proper’ tag
(4) Micromax, Karbonn, others are inching ahead of MNCs
(5) Rural spending in Narendra Modi's Gujarat above national average, but urban below
(1) Petroleum Ministry seeks EC approval for new gas price regime
The Petroleum and Natural Gas Ministry is awaiting a nod from the Election Commission to go ahead with notifying a new gas price regime that will almost double the cost of natural gas to $8 to 8.5 per mmBtu from the present $4.2 per mmBtu .
Petroleum Secretary Saurabh Chandra met Chief Election Commissioner V. S. Sampath last week and submitted the necessary documents on the issue. He also sought formal approval from the EC for hiking gas prices from April 1 The Cabinet had, last December, given its nod for shifting to the new gas pricing regime under the Rangarajan Committee formula . The new pricing formula would be applicable for a period of five years from April 1, 2014.
As there are hardly ten days left for the new price regime to be notified , Mr. Chandra made a presentation to Mr. Sampath to seek an early decision on the matter. The Election Commission had conveyed that it would study the proposal and then respond appropriately.
The new rates will change every quarter based on 12-month average of global rates and LNG import price with a lag of one quarter.
The price for April to June 2014 will be calculated based on the averages for the 12 months ended 31 December 2013 and it is expected that the rate in April will be around $8 per mBtu.
Source: The Hindu
(2) Israel gears up for possible unilateral strike on Iran
Israeli Prime Minister Benjamin Netanyahu and defence minister Moshe Ya'alon have ordered the military to continue preparations for a possible strike on Iran's nuclear facilities during 2014, a media report here said.
The Israel Defense Forces allocated up to NIS 12 billion ($3.5 billion), nearly a fifth of its budget this year, for preparations for a possible unilateral strike on Iran, approximately the same amount invested last year, reported Xinhua citing Israeli daily Ha'aretz Wednesday.
The figure was presented by top officers who briefed the joint committee in January and February on the military's plans, said the lawmakers who spoke to Ha'aretz requesting anonymity.
They said that some of their colleagues who were present at the meetings asked the officers whether it was justified to continue pouring billions into the preparations to strike Iran, citing the interim nuclear agreement inked between Tehran and the six powers last November, and the ongoing negotiations aimed at reaching a final accord.
The officers replied that the military had received a "clear directive" from the political echelon, meaning Netanyahu and Ya' alon, to continue training for a possible independent strike, the report said.
It was regardless of the diplomatic efforts to resolve the Iranian issue peacefully, it added.
The second round of nuclear talks was launched in Vienna Tuesday, with European Union foreign policy chief Catherine Ashton and Iran's Foreign Minister Mohammed Zarif in attendance.
The newspaper noted that both Netanyahu and Ya'alon have strongly indicated in recent months that Israel, which views a nuclear-armed Iran as an existential threat, has not abandoned the military option.
Source: The Economic Times
(3) Sebi strips FTIL of ‘fit and proper’ tag
Market regulator Sebi on Wednesday said that Jignesh Shah-promoted Financial Technologies (FTIL) was not a 'fit and proper' entity to hold stake in any stock exchange or a clearing corporation for a stock exchange. Sebi also directed FTIL to divest all its stakes in MCX Stock Exchange (MCX-SX), MCX-SX Clearing Corporation, Delhi Stock Exchange (DSE), Vadodara Stock Exchange (VSE) and National Stock Exchange (NSE) within the next three months.
The regulatory order came in relation to FTIL's role in the Rs 5,600-crore NSEL scam, which in turn had prompted the Forward Markets Commission (FMC), the regulator for the commodity derivatives market, declaring FTIL as not a 'fit and proper' entity to hold stakes in any commodity exchange.
The late evening order from Sebi said that FTIL was not a "'fit and proper person' to acquire or hold any equity share or any instrument that provides for entitlement for equity shares or rights over equity shares at any future date, in a recognized stock exchange or clearing corporation, either directly or indirectly." It also directed that FTIL and the related entities which hold equity shares or any instrument entitling voting rights in MCX-SX, MCX-SX CCL, DSE, VSE and NSE should cease to be entitled to such rights with immediate effect.
The 11-page order by Rajeev Kumar Agarwal, a whole-time Sebi member, said that it was primarily based on an FMC order of December 17 last year that said that FTIL was being declared not a 'fit and proper person' to hold shares in Multi Commodity Exchange "in public interest and in the interest of the commodities derivatives market".
The genesis of these regulatory orders date back to July 31 last when NSEL declared its inability to pay about Rs 5,600 crore to investors and a payment crisis ensued. Later several of the top NSEL officials were arrested by the investigative agencies. Shah and other current and former directors of the group were also questioned. Recently CBI also started a probe against two former top Sebi officials, C B Bhave and K M Abraham, and also Shah to look into how the group managed to get the regulatory nod to start a stock exchange. Last week, FTIL also sold its 100% holding in National Bulk Handling Corp (NBHC), its warehousing business, for about Rs 240 crore.
The Sebi order said that FTIL was issued a show-cause notice as to why it should not be declared 'fit and proper' entity. Subsequently, representatives of FTIL had presented their case to the regulator. One of the main points presented by FTIL to Sebi was that FMC did not 'direct' FTIL to divest its stake in MCX but merely 'advised' it to do so. However, Sebi found FTIL's was a fit case to declare it as an entity not 'fit and proper person' to hold any stake in any stock exchange or a clearing corporation.
Source: The Times of India
(4) Micromax, Karbonn, others are inching ahead of MNCs
The new kids on the block are giving the established biggies a run for their money. Homegrown mobile handset brands like Micromax, XOLO, Karbonn Mobiles and Lava are together selling as many phones in India as MNCs like Samsung, Nokia, Sony and LG.
In smartphones, till recently the preserve of multinationals, these brands now account for more than a third of the market. This is expected to touch 45-50% by next year.
Samsung, which did not respond to questions on the subject, remains the market leader in both the overall phone market as well as in smartphones but its dominance is being increasingly challenged by these newcomers.
Their success formula is simple: offer customers smart, top of the line features (matching those of top-end phones from MNCs) at affordable prices.
And they’re able to do this by developing software and features, based on the Android platform, in India and then outsourcing the manufacturing to Chinese assemblers. MNCs can’t match these prices as they have high overheads.
Manasi Yadav, senior market analyst at tech market tracker IDC said: “These brands (Micromax, Karbonn, Xolo, Lava) already have a combined market share of 30-40% and 50% is not far.”
“The real attraction from a customer’s standpoint lies in the handset, not in the service,” said Vishal Sehgal, co-founder and director, XOLO Mobile, adding: “The market leaders missed this point.”
Today, Micromax is the clear No. 2 in both the overall mobile phone market as well as in smartphones. It is now eyeing a global presence.
Lava International is focusing on the underserved rural market, taking Nokia head on, while XOLO is targeting the mid and high-end mobile handset market, competing with Samsung, LG and Nokia’s feature-rich phones.
Source: Hindustan Times
(5) Rural spending in Narendra Modi's Gujarat above national average, but urban below
The highest score for rural areas in India is from Kerala where monthly per capita consumer expenditure is almost a third more than the national average. The highest score for rural areas in India is from Kerala where monthly per capita consumer expenditure is almost a third more than the national average. Other than Gujarat, three states doing better than national average are Haryana, Punjab and Rajasthan.
In what is likely to provide fresh ammunition to the ongoing debate over models of development, Gujarat’s average rural spending is above the national average. But surprisingly, the state has a less-than-national-average score for its urban areas.
The highest score for rural areas in India is from Kerala where monthly per capita consumer expenditure is almost a third more than the national average. Haryana tops the league for urban average spend across the country.
In the latest ranking released by the National Sample Survey Organisation, nine out of India’s 17 large states do better than the national average for rural areas. Among the northern states, other than Gujarat, the three states doing better than the national average are Haryana, Punjab and Rajasthan. The 68th round survey on level and pattern of consumption expenditure was conducted between July 2011 and June 2012. The data is used by the government for targeting its various policies and constructing inflation indices as well as by companies to market their products based on the consumer preferences.
Expenditure survey
Among urban areas, Bihar shows the lowest monthly per capita consumption expenditure, while the dubious distinction for rural areas goes to Orissa. Two years back Bihar was the wooden spooner in both categories. Gujarat, with an average monthly per capita consumption expenditure of Rs 2,581 in urban areas, was below the national average of Rs 2,630. Monthly spending in urban Tamil Nadu (Rs 2,622) and Rajasthan (Rs 2,442), too, fell below the national average while urban MPCE in Bihar was the lowest at Rs 1,507. In Haryana, the average monthly per capita consumption expenditure was Rs 3,817, followed by Kerala with an average monthly spend of Rs 3,408.
“The median level of monthly per capita consumption expenditure was about Rs 1,200 in rural India and about Rs 2,020 in urban India,” said the NSS survey that covered 7,469 villages and 5,268 urban blocks across the country. Significantly, the report comes just before the General Elections when political parties have been touting achievements of states governed by them.
There has also been intense debate between economists over the optimum model of development that would lead to high growth. While Nobel Laureate Amartya Sen has pitched for high public spending akin to the Kerala government to spur growth, Columbia University professor Jagdish Bhagwati has backed the Gujarat model of development.
Economists, however, point out that the lower consumption expenditure is based on historical and cultural reasons. In Gujarat’s case, it could be because of high savings and investments rate. “The data has to be seen in context of the previous surveys,” said NR Bhanumurthy, economist at NIPFP. In the previous NSS survey in FY10, Kerala remained amongst top spending states with average urban monthly per capita expenditure of Rs.2,413 and rural spending of Rs 1,835; Gujarat’s urban spending at Rs.1,909 remained below national average.
Source: The Indian Express
Disclaimer: All news stories and content sourced from freely available material on the internet. All sources are acknowledged.
No comments:
Post a Comment