SECTORS ALERT – 18.06.2014
* AUTOMOBILES: Suzuki Motorcycle India has planned to spend around 7% of its
sales in advertisement campaigns in this financial year. General Motors recalled three
mln more cars for an ignition switch defect that affects power steering, power brakes and
air bags.
* AVIATION: Air India will lease space to restaurants and food joints at its noted
Nariman Point building. Spicejet, Indigo drop fares across all routes pan
India.International carriers are gearing to tap the potential of the Indian
market with new products, services and increase in number of seats.
Air India has been offering lowest prices on busy routes and is selling cheap tickets even
close to travel date. IndiGO, Jet Airways, SpiceJet and GoAir have asked aviation regulator to
deny an airline permit to Tata SIA Airlines, joint venture between Tata Sons
and Singapore Airlines. * BANKING: Deputy Governor R. Gandhi Tuesday said that effective regulation of non-banking finance companies is a big challenge for the RBI.
* BROADCAST: With the change in government at the Centre, direct-to-home
operators are hopeful of getting some respite from the multi-layer taxes they
have to pay.
* CAPITAL GOODS: The French government raised the stakes in the battle for
engineering group Alstom telling rival suitors General Electric and Siemens
to come up with better offers.
* COMMODITIES: The government has no plan as of now to put any curbs on
futures trade in essential commodities, a senior finance ministry official said.
* CORPORATES: The Ministry of Corporate Affairs today deferred the electronic
voting provision in the Companies Act 2013 until Dec 31.* DEFENCE: Industry body ASSOCHAM has urged the government to hike the foreign direct investment limit in the sector to 100% from the current 26%.
* ECONOMY: The government decided to ask states to crack down on hoarding and
delist fruits and vegetables from the Agriculture Produce Marketing Committee
as part of measures to curb price rise.
* ENERGY: India is working towards bringing in policies to attract foreign
investment in the oil and gas sector. Russia is likely to use India as the next stop for
expansion of its hydrocarbon market. BP will sign a deal worth around $20 bln to supply
liquified natural gas to China National Offshore Oil Corp.Power project developers say they will not be able to pitch for two proposed ultra mega power projects with a capacity of 4,000 MW each if their concerns are not resolved. The government is reworking the incentive regime governing hydrocarbon exploration.
* EXCHANGES: The BSE will change circuit filters of 12 stocks including Response
Informatics, Vivid Global Industries, and Indo Asia Finance, among others, from
Wednesday.
* INFRASTRUCTURE: The government plans to form a group of officials from the
ministries of urban development, rural development and water resources to focus on
cleansing the Yamuna river.
* RAILWAYS: Railway Minister D.V. Sadanand Gowda has sought higher budgetary
support from Finance Minister Arun Jaitley for 2014-15 (Apr-Mar). The railway minister
may announce his decision on fare hikes even before the Railway Budget but only after
discussions with Narendra Modi.
* REALTY: Global financial services firm Xander Group Inc is buying Infinity
Technology Park, a 780,000 square feet commercial space owned by Tata Realty
and Infrastructure in Mumbai suburbs for about 6.5 bln rupees.
* REGULATORY: Securities and Exchange Board of India notified revised norms for
public issuances of debt securities wherein the minimum subscription has been set at 75%
of the base issue size for non-banking finance companies and for non-NBFC issuers.
SEBI is planning to provide fresh avenues for start-ups and small and medium enterprises
to raise early-stage funding through internet based platforms. SEBI said investments by foreign portfolio investors in non-convertible shares or debentures will be included within the $51-bln limit meant for corporate debt.
* SPECIAL ECONOMIC ZONE: The finance ministry is likely to suggest curtailing
minimum alternate tax on SEZ developers to 7.5% from the current 18.5%.
* SUGAR: Banks have given over 40 bln rupees interest-free loans to sugar
mills out of total 66 bln rupees approved by the government to cash-strapped
farmers.
* TELECOM: The government has appointed former Chief Justice of India R.C.
Lahoti as arbitrator in the 200-bln rupee tax dispute case with UK telecom
major Vodafone.The government will invest 50 bln rupees to set up over 8,000 mobile
towers in the North East.The rollout of national number portability could be delayed further as
the department of telecommunications sought fresh examination of modalities
on the scheme from Telecom Regulatory Authority of India.
The government is working on crucial rules on spectrum sharing, trading
and allocation policy and also looking to speedily resolve outstanding tax
disputes with overseas firms such as Vodafone and Nokia.
Uninor upstaged its much larger rivals by adding 1.3 mln customers in
May.The telecom department has said the merger of Tamil Nadu and Chennai
service areas in 2005 was well thought out, rejecting the Comptroller and
Auditor General of India's claim that it was a hasty decision that cost the
exchequer 24 bln rupees.
* AUTOMOBILES: Suzuki Motorcycle India has planned to spend around 7% of its
sales in advertisement campaigns in this financial year. General Motors recalled three
mln more cars for an ignition switch defect that affects power steering, power brakes and
air bags.
* AVIATION: Air India will lease space to restaurants and food joints at its noted
Nariman Point building. Spicejet, Indigo drop fares across all routes pan
India.International carriers are gearing to tap the potential of the Indian
market with new products, services and increase in number of seats.
Air India has been offering lowest prices on busy routes and is selling cheap tickets even
close to travel date. IndiGO, Jet Airways, SpiceJet and GoAir have asked aviation regulator to
deny an airline permit to Tata SIA Airlines, joint venture between Tata Sons
and Singapore Airlines. * BANKING: Deputy Governor R. Gandhi Tuesday said that effective regulation of non-banking finance companies is a big challenge for the RBI.
* BROADCAST: With the change in government at the Centre, direct-to-home
operators are hopeful of getting some respite from the multi-layer taxes they
have to pay.
* CAPITAL GOODS: The French government raised the stakes in the battle for
engineering group Alstom telling rival suitors General Electric and Siemens
to come up with better offers.
* COMMODITIES: The government has no plan as of now to put any curbs on
futures trade in essential commodities, a senior finance ministry official said.
* CORPORATES: The Ministry of Corporate Affairs today deferred the electronic
voting provision in the Companies Act 2013 until Dec 31.* DEFENCE: Industry body ASSOCHAM has urged the government to hike the foreign direct investment limit in the sector to 100% from the current 26%.
* ECONOMY: The government decided to ask states to crack down on hoarding and
delist fruits and vegetables from the Agriculture Produce Marketing Committee
as part of measures to curb price rise.
* ENERGY: India is working towards bringing in policies to attract foreign
investment in the oil and gas sector. Russia is likely to use India as the next stop for
expansion of its hydrocarbon market. BP will sign a deal worth around $20 bln to supply
liquified natural gas to China National Offshore Oil Corp.Power project developers say they will not be able to pitch for two proposed ultra mega power projects with a capacity of 4,000 MW each if their concerns are not resolved. The government is reworking the incentive regime governing hydrocarbon exploration.
* EXCHANGES: The BSE will change circuit filters of 12 stocks including Response
Informatics, Vivid Global Industries, and Indo Asia Finance, among others, from
Wednesday.
* INFRASTRUCTURE: The government plans to form a group of officials from the
ministries of urban development, rural development and water resources to focus on
cleansing the Yamuna river.
* RAILWAYS: Railway Minister D.V. Sadanand Gowda has sought higher budgetary
support from Finance Minister Arun Jaitley for 2014-15 (Apr-Mar). The railway minister
may announce his decision on fare hikes even before the Railway Budget but only after
discussions with Narendra Modi.
* REALTY: Global financial services firm Xander Group Inc is buying Infinity
Technology Park, a 780,000 square feet commercial space owned by Tata Realty
and Infrastructure in Mumbai suburbs for about 6.5 bln rupees.
* REGULATORY: Securities and Exchange Board of India notified revised norms for
public issuances of debt securities wherein the minimum subscription has been set at 75%
of the base issue size for non-banking finance companies and for non-NBFC issuers.
SEBI is planning to provide fresh avenues for start-ups and small and medium enterprises
to raise early-stage funding through internet based platforms. SEBI said investments by foreign portfolio investors in non-convertible shares or debentures will be included within the $51-bln limit meant for corporate debt.
* SPECIAL ECONOMIC ZONE: The finance ministry is likely to suggest curtailing
minimum alternate tax on SEZ developers to 7.5% from the current 18.5%.
* SUGAR: Banks have given over 40 bln rupees interest-free loans to sugar
mills out of total 66 bln rupees approved by the government to cash-strapped
farmers.
* TELECOM: The government has appointed former Chief Justice of India R.C.
Lahoti as arbitrator in the 200-bln rupee tax dispute case with UK telecom
major Vodafone.The government will invest 50 bln rupees to set up over 8,000 mobile
towers in the North East.The rollout of national number portability could be delayed further as
the department of telecommunications sought fresh examination of modalities
on the scheme from Telecom Regulatory Authority of India.
The government is working on crucial rules on spectrum sharing, trading
and allocation policy and also looking to speedily resolve outstanding tax
disputes with overseas firms such as Vodafone and Nokia.
Uninor upstaged its much larger rivals by adding 1.3 mln customers in
May.The telecom department has said the merger of Tamil Nadu and Chennai
service areas in 2005 was well thought out, rejecting the Comptroller and
Auditor General of India's claim that it was a hasty decision that cost the
exchequer 24 bln rupees.
