Weekly media update 20 08_2018

Weekly media update 20 08_2018

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  (This document comprisesnews clips from various media in which Balmer Lawrie is mentioned, news related to GOI and PSEs, and news from the verticals that we do business in. This will be uploaded on intranet and website every Monday.) India's GDP growth can leap to 8.5-9% if investment, exports pick up pace: Ind-Ra Indian economy needs to fire on all cylinders if it wants to achieve a decent GDP growth rate in coming years, a top India Ratings official said. “If India needs to achieve a growth rate of 8.5-9 per cent, then all the factors should grow simultaneously. Around 60 per cent of GDP comes from private final consumption expenditure,” said Sunil Kumar Sinha, Director (Public Finance) and Principal Economist, India Ratings. Personal consumption expenditure and government final consumption expenditure (GFCE), according to Sinha, are looking fine. For the growth engine to rev up, gross fixed capital formation or investment as well as exports need to pick up pace, he observed. GDP is a combination of private final consumption expenditure (PFCE), GFCE, gross fixed capital formation and net exports (exports- imports). The rating agency, however, has revised down its FY19 GDP growth to 7.2 per cent, from 7.4 per cent projected earlier. It cited a higher inflation estimate due to elevated crude prices and the government's decision to fix a higher MSP behind the downward revision. The Economic Times - 17.08.2018 https://economictimes.indiatimes.com/markets/s tocks/news/indias-gdp-growth-can-leap-to-8-5- 9-if-investment-exports-pick-up-pace-ind- ra/articleshow/65427333.cms Retail inflation hits 9-mth low of 4.17% in July India’s retail inflation fell to 4.17 percent in July, lowest in nine months, driven by cheaper food items, data released by the statistics office showed. Retail inflation, measured by Consumer Price Index (CPI) had hit a five- month high of 5 percent in June. It came in at 2.36 percent in July 2017. CPI is the main price gauge that the Reserve Bank of India (RBI) tracks. On August 1, RBI revised the inflation projection for the second half of 2018-19 to 4.8 percent from 4.7 percent earlier. For the first quarter of the next financial year, the apex bank projected the inflation at 5.0 percent. Among factors that influenced the projection was an increase in the minimum support price (MSP) of kharif crops of at least 150 percent, volatility in global financial markets and crude oil prices as well as a significant rise in core inflation, among others. Factoring in these inflation risks, the monetary policy committee raised the central bank's benchmark repo rate by 25 basis points to 6.5 percent in its third bi-monthly monetary policy in August, after hiking it by 25 basis points in June. Moneycontrol- 14.08.2018 https://www.moneycontrol.com/news/business /economy/retail-inflation-cools-to-4-17-in-july- vs-4-92-in-june-2837521.html Wholesale inflation cools in July on lower food prices India’s wholesale inflation eased in July following a steep decline in food inflation, in line with the trend seen in retail inflation. Inflation based on wholesale price index (WPI) moderated to 5.09% from a four-and-a-half-year high of 5.77% in June, data released by the commerce and industry ministry on Tuesday showed. Data released on Monday had showed that retail inflation declined to 4.17% in July from the five-month high of 4.92% in the previous month. “As expected, a favourable base effect for primary food items and minerals, dampened the WPI inflation to 5.1% in July 2018 from 5.8% in June, mirroring the extent of the correction displayed by the CPI (consumer price index) inflation print,” said Aditi Nayar, principal economist at ICRA. Inflation in food Exports Up 14.32%, imports record faster rise of 28.8% Exports grew at a robust rate in July, benefiting from a broad-based recovery in sectors led by petroleum, but imports rose at even faster rate because of costlier crude, driving trade deficit to over five-year high. Exports were up robust 14.32% in July to $25.77 billion while imports clocked $43.79 billion, an increase of 28.8%, leaving a trade deficit of $18.02 billion, data released by the commerce department showed. Trade deficit was $11.45 billion in July 2017 and $19.1 billion in May 2013. “Our exports continue to exhibit double-digit growth despite headwinds in global trade,” commerce and industry minister Suresh Prabhu said in a tweet. Twenty-one out of 30 sectors clocked positive growth in exports. The sharp rise in India’s WEEKLY MEDIA UPDATE Issue 359 20 August, 2018 Monday
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  articles fell to-2.16% in July from 1.8% in the month before while that for fuel and power price rose 18.1% from 16.18%. Food inflation fell because of 17% decline in wholesale prices of pulses in July from a year ago, 14% in vegetables and 8.8% in fruits. The Economic Times - 15.08.2018 https://epaper.timesgroup.com/Olive/ODN/TheEc onomicTimes/shared/ShowArticle.aspx?doc=ETK M%2F2018%2F08%2F15&entity=Ar01500&sk=9 C746D83&mode=text import bill in July is attributed to the $12.35 billion of oil imports, up 57.4%, followed by higher purchases of electronics and gold. Last month saw a 26.4% on-year rise in imports of electronics goods at $5.1 billion and 40.9% increase in gold consignments at $2.9 billion. The Economic Times - 15.08.2018 https://epaper.timesgroup.com/Olive/ODN/Th eEconomicTimes/shared/ShowArticle.aspx?doc =ETKM%2F2018%2F08%2F15&entity=Ar0151 1&sk=D88517FA&mode=text Trade gap widens The country's trade deficit has widened to a more than five-year high of $18.02 billion in July, driven largely by a surge in oil and gold imports. Though merchandise exports rose 14.32 per cent year on- year in July, the trade deficit widened as oil imports surged 57.41 per cent to $12.35 billion and gold imports spiked for the first time in seven months by 40 per cent to $2.96 billion. In June, the trade deficit stood at $16.6 billion. Exports rose to $25.77 billion in July compared with $22.54 billion in the year-ago month and imports were valued at $43.79 billion, a growth of 28.81 per cent over $33.99 billion in the year ago period, the commerce ministry said in a statement on Tuesday. "Rising trade deficit is primarily on account of higher crude import bill...This is adding pressure on the Indian rupee coupled with huge withdrawal by FIIs from the Indian debt & equity market," Fieo president G.K. Gupta said. "The rupee depreciation would definitely provide some edge to Indian exports though its impact will vary from sector to sector. The Telegraph - 15.08.2018 https://epaper.telegraphindia.com/textview_210 194_171033490_4_1_8_15-08-2018_71_1.html India's current account deficit to widen to 2.5% of GDP in FY19: Moody's, experts India's current account deficit (CAD) will widen to 2.5 per cent of the GDP in the current fiscal due to higher oil prices that has been accentuated by rupee depreciation, Moody's and other experts have said. Rupee last week dropped to a record low of 70.32 to a US dollar as political turmoil in Turkey and concerns about China's economic health continued to support safe-haven assets and weighed on emerging market currencies. Joy Rankothge, Vice President - Senior Analyst, Moody's Investors Service said while the weaker rupee will benefit exports at the margins, it is unlikely to reverse the trade deficit, which hit a five year high of USD 18.02 billion in July. "India's current account deficit is likely to widen to 2.5 per cent in FY 2018-19, up from 1.5 per cent in fiscal 2017 due to higher oil prices and strong non-oil import demand as domestic demand accelerates," he said. " The Economic Times - 20.08.2018 https://economictimes.indiatimes.com/news/e conomy/finance/indias-current-account-deficit- to-widen-to-2-5-of-gdp-in-fy19-moodys- experts/articleshow/65460602.cms Govt bets on power sector to meet divestment target With a strategic sale of public sector companies such as Air India (AI), Hindustan Copper and Mecon off the table until next summer’s general elections, the government is eyeing state-run players in the power sector to replicate the ONGC- HPCL model to buy out its stake and also contribute to the “disinvestment” kitty. While discussions have begun, the list of companies is yet to be finalised with Satluj Jal Vikas Nigam (SJVNL) seen as a possible candidate, a source told TOI. One option is to get NHPC to acquire the Centre’s 63.8% in SJVNL, a joint venture with the Himachal Pradesh government, an official said. But others reckon that it may not be the best choice as the NHPC management is seen to be laid Government eyes Rs 12,000 crore via share buyback in 6-8 PSUs The government is going full steam ahead on its fundraising plan. It's looking to raise Rs 10,000- 12,000 crore via share buybacks in six to eight PSUs in the ongoing financial year, sources told ET Now. IOC, NTPC, ONGC, Oil India will likely buy back some shares from the government. What's more, the government may mop up over Rs 10,000 crore through sale of stake in Coal India. The stake stale will probably be via block deals, sources said. The government has already kicked off roadshows this week for sale of minority stake in Coal India. It's in talks with pension funds and foreign investors to pick up stake in the coal mining major, the sources added. The government has set Rs 80,000 crore
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  back. Instead theyfind NTPC a better bet given that it has a team that is focused on hydel energy. At the same time, the Himachal Pradesh government’s shareholding does not make it an automatic choice for the sell-off experiment. The discussions come at a time when the government has garnered a little over Rs 9,000 crore of its disinvestment target of Rs 80,000 crore for the financial year and is hoping to replicate last years’ experience of mopping up a record Rs 1 lakh crore, which was aided by the Rs 37,000 crore that came from ONGC’s acquisition of the Centre’s majority stake in oil marketing firm Hindustan Petroleum (HPCL). The Times of India - 20.08.2018 https://epaper.timesgroup.com/Olive/ODN/Times OfIndia/shared/ShowArticle.aspx?doc=TOIKM%2 F2018%2F08%2F20&entity=Ar01315&sk=7AC80 574&mode=text as its divestment target for 2018-19. Meanwhile, the government is likely to put out second EoI (expression of interest) for Air India only after elections in the next financial year. The thinking, according to the sources, is political uncertainty because of the approaching elections dampened buyers' interest in the debt-ridden airline. An earlier report by ETNow suggested that the government was readying its divestment plan in September-March. It may offload 3 per cent stake in NTPC and 15 per cent in MMTC, ETNow had reported earlier. The Economic Times - 20.08.2018 https://energy.economictimes.indiatimes.com/ news/oil-and-gas/government-eyes-rs-12000- crore-via-share-buyback-in-6-8- psus/65470921 Oil import bill awaits crude shock The slump in the value of the rupee is expected to jack up the oil import bill by at least $26 billion in the cur-rent fiscal. Things could get worse if the US sanctions on Iran, which would come into effect from November, push up global crude prices. “At the beginning of the financial year, we estimated the crude oil import bill to be around $108 billion at an average crude oil price of $65 per barrel and exchange rate of Rs65 per dollar,” an oil minis try official said. But the exchange rate has been at an average of Rs 67.6till August 14. If the rupee is to stay around Rs 70 per dollar for the rest of the ongoing fiscal, the oil import bill will be $114 billion, he said. The finance ministry said if the rupee stays around cur-rent levels, the government would have to consider cutting taxes on petroleum products. Some bullish oil traders have estimated that crude prices could jump to $150 per barrel from around $75 per barrel now, while others have estimated that the shortfall in supplies because of Iran could be made up with increased output by Opec and non-Opec members. Some have estimated that the US sanctions could block more than 1million barrels a day of Iran 's2 .5-million-bar-rels-a-day of crude exports. The Telegraph - 17.08.2018 https://epaper.telegraphindia.com/textview_210 363_163111272_4_1_8_17-08-2018_71_1.html Slowdowns in China and India eat away at Asian crude oil demand Oil demand from Asia's biggest importers, China and India, is growing more slowly than expected, exposing weakness in two of the world's largest economies and eroding a key pillar of global petroleum prices amid trade tensions. The two countries buy a combined 12 percent of the world's oil, and their growth has helped drive the recovery in oil prices since 2016. Yet their shipped imports in July were about half a million barrels per day (bpd) below their January-June average of 12.4 million bpd, shipping data shows. That has dragged down demand growth in Asia, despite inflated purchases ahead of U.S. sanctions on Iran and increased imports from Japan and South Korea as they struggle with record-setting heat waves. Shipping data shows annualised growth in demand from Asia's five largest oil importers - China, India, Japan, South Korea and Taiwan - fell from more than 3.5 percent in 2016 to around 2 percent so far this year. "Everything is weakening, but from a pretty elevated level," said Jeff Brown, president of energy consultancy FGE. The Economic Times - 17.08.2018 https://energy.economictimes.indiatimes.com/ news/oil-and-gas/slowdowns-in-china-and- india-eat-away-at-asian-crude-oil- demand/65415428 Global crude oil prices dip on concerns of slowing economic growth Oil prices dipped on Monday as concerns over slowing economic growth weighed on markets. International Brent crude oil futures were at $71.78 per barrel at 0019 GMT, down 5 cents from India to benefit as Iran offers discount in oil prices Iran is selling oil and gas at a discount to Asian customers as it prepares for the return of US sanctions, state news agency IRNA reported on Tuesday. The "informed source" in Iran's oil
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  their last close.U.S. West Texas Intermediate (WTI) crude futures were down 4 cents, at $65.87 per barrel. "Disappointing industrial data out of China along with concerns over emerging market economies cantered on Turkey weighed on commodities," Edward Bell of Emirates NBD bank said in a note on Sunday. In the United States, U.S. energy companies last week kept the oil rig count unchanged at 869, according to Baker Hughes energy services firm on Friday. "The recent softening in benchmark prices should temper the pace of growth in U.S. exploration and production activity and lead to slower overall output growth," Bell said. Outside the United States, traders said U.S. sanctions against Iran could soon impact prices. The U.S. government has introduced financial sanctions against Iran which, from November, will also target the country's petroleum sector. The Economic Times - 20.08.2017 https://energy.economictimes.indiatimes.com/ne ws/oil-and-gas/global-crude-oil-prices-dip-on- concerns-of-slowing-economic-growth/65466944 ministry did not give details of the discount, but sought to downplay the move as common industry practice. "Discount is part of the nature of the global markets being offered by all oil exporters," the source told IRNA. Bloomberg reported on Friday that the state-run National Iranian Oil Company was reducing official prices for September sales to Asia to their lowest level in 14 years, compared with Saudi crude. The United States will seek to block Iran's international oil sales from November 5, when the second phase of sanctions are reimposed as part of Washington's withdrawal from the 2015 nuclear deal. Several key buyers, including China and India, who account for roughly half of Iran's sales, have said they are not willing to make significant cuts to their energy purchases from Iran. Daily Hunt - 15.08.2018 https://m.dailyhunt.in/news/india/english/mill ennium+post-epaper- millpost/iran+offers+oil+discounts+to+asia- newsid-94653814 Saudi Arabia pips Iraq as top crude oil supplier to India in July Saudi Arabia replaced Iraq as top oil supplier to India in July after a gap of more than a year, according to data from industry and shipping sources, as a higher intake of Iranian oil ahead of US sanctions altered trade routes. Many European refiners are winding down purchases of Iranian oil after the United States imposed sanctions on Tehran, leading to higher supplies to Asia, mainly India and China. The United States in May quit the 2015 nuclear deal and announced reimposition of sanctions on Tehran. While some sanctions were implemented from Aug. 6, those affecting Iran's petroleum sector will come into force from Nov. 4. Imports of Iranian oil by India, Tehran's top oil client after China, surged to a record 768,000 barrels per day (bpd) in July due to higher intake by state refiners, tanker arrival data showed. India's top refiner wants to continue buying Iranian oil as the OPEC member is offering discounts in freight and extended credit period, Sanjiv Singh, Chairman of Indian Oil Corp, said on Monday. The Economic Times - 17.08.2018 https://energy.economictimes.indiatimes.com/ne ws/oil-and-gas/saudi-arabia-pips-iraq-as-top- crude-oil-supplier-to-india-in-july/65409437 Iran says no OPEC member can take over its share of oil exports Iran told OPEC on Sunday no member country should be allowed to take over another member’s share of oil exports, expressing Tehran’s concern about Saudi Arabia’s offer to pump more oil in the face of U.S. sanctions on Iranian oil sales. In a meeting with OPEC Secretary-General Mohammad Barkindo, a senior Iranian diplomat urged him to keep the group out of politics. “No country is allowed to take over the share of other members for production and exports of oil under any circumstance, and the OPEC Ministerial Conference has not issued any licence for such actions,” Iran’s oil ministry news agency SHANA quoted Kazem Gharibabadi, the permanent envoy to Vienna-based international organizations, as saying. In May, U.S. President Donald Trump pulled out of an international nuclear deal with Iran and announced sanctions against the OPEC member. Washington is pushing allies to cut imports of Iranian oil to zero and will impose a new round of sanctions on Iranian oil sales in November. Reuters - 20.08.2018 https://www.reuters.com/article/us-iran-oil- opec/iran-says-no-opec-member-can-take- over-its-share-of-oil-exports-idUSKBN1L406G
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  India has 49%more than earlier estimated oil and gas reserves, says report India has 42 billion tonnes of oil equivalent (BTOE) reserves, according to a new assessment, done after 22 years. The Mumbai Offshore and Krishna- Godavari basins will continue to hold the key to the country’s energy future with the maximum reserves. The current estimate is 49 per cent higher than the last assessment, which projected, in 1996, around 28.09 BTOE in 15 sedimentary basins including onshore, shallow water and deep- water areas. The current report by the Directorate General of Hydrocarbons (DGH) is based on in- place resources, around 41.872 BTOE, in 26 sedimentary basins. Of this, around 29.296 billion tonnes are undiscovered hydrocarbons is 12.076 BTOE, the report said. "This is based on the conventional data from companies like oil and Natural Gas Corporation an Oil India Ltd. The government should also bring in an independent third party to have a detailed assessment on this because it may attract more foreign investors in future rounds of oil and gas bidding." said P Elango, chief executive officer, Hindustan Oil Exploration Company. Business Standard - 20.08.2018 https://www.business- standard.com/article/economy-policy/india-has- 49-more-than-earlier-estimated-oil-and-gas- reserves-says-report-118082000024_1.html Saudi Aramco, ADNOC can't export Ratnagiri refinery fuel without PSU's consent Saudi Aramco, the world's biggest oil company, and its partner Abu Dabhi National Oil Co (ADNOC) will have marketing rights for half of the fuel produced by the planned USD 44-billion refinery in Maharashtra but cannot export them without first offering to local companies. Aramco and ADNOC will together hold 50 per cent stake in the 60 million tonne per annum (MTPA) refinery and adjacent 18 MTPA petrochemical complex planned to be built at Ratnagiri district of Maharashtra by 2025. "Marketing rights will be in proportion to the shareholding in the refinery. So they (Saudi Aramco and ADNOC) will get marketing rights over 50 per cent of the produce," said Sanjiv Singh, Chairman of Indian Oil Corp (IOC), which is leading the domestic refiners in the project. The two firms can sell fuels like petrol and diesel in the domestic market. "They are free to market their share but they cannot export without first offering it to us," he said. This clause has been inserted to meet domestic demand first. The Economic Times - 15.08.2018 https://energy.economictimes.indiatimes.com/ news/oil-and-gas/saudi-aramco-adnoc-cant- export-ratnagiri-refinery-fuel-without-psus- consent/65414944 Vedanta to invest $2.3 billion in oil and gas in near term Vedanta Ltd has said it will be investing $2.3 billion towards capex on its oil and gas activities in the “near term” to increase the reserve base by around 375 million barrels. According to its latest annual report, Vedanta aims to increase production from the current 200,000 barrels per day to 300,000 bpd over the next few years. “In the near term, we are investing gross capex of $2.3 billion to increase our resource and reserve base by around 375 million barrels. Our rich project portfolio is comprised of enhanced oil recovery projects, tight oil and gas projects and exploration prospects. As well as boosting production, this investment will generate sustainable employment opportunities, directly and indirectly and bring cutting edge solutions to community needs,” Vedanta said. For FY19, Vedanta expects to achieve a significant growth in production with total volumes in the range of 220- 250 bpd through executing growth projects, with operating expenditure of sub-$7/boe (barrel of equivalent). Mint - 19.08.2018 India bans petcoke import for use as fuel India on Friday banned the import of petcoke for use as fuel, but said shipments for use as feedstock in some industries was allowed. Usage of petcoke, a dirtier alternative to coal, in the energy-hungry country has come under scrutiny due to rising pollution levels in major cities. "Import of Petcoke is allowed for only cement, lime kiln, calcium carbide and gasification industries, when used as the feedstock or in the manufacturing process on actual user condition," the directorate general of foreign trade said. As the world's largest consumer of petcoke, India imports over half its annual petcoke consumption of about 27 million tonnes, mainly from the United States. Local producers include Indian Oil Corp, Reliance Industries and Bharat Petroleum Corp. India is the world's biggest consumer of petroleum coke, which is a dark solid carbon material that emits 11 per cent more greenhouse gases than coal, according to the Carnegie-Tsinghua Center for Global Policy. The Economic Times - 18.08.2018
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  https://www.livemint.com/Companies/gNFEjzer3 VfKcafGZtmBTO/Vedanta-to-invest-23-billion-in- oil-and-gas-in-near-term.html https://energy.economictimes.indiatimes.com/ news/oil-and-gas/india-bans-petroleum-coke- import-for-use-as-fuel/65439431 Government won’t askONGC to share subsidy burden even if crude oil price crosses this mark The government has dropped a plan to ask ONGC to resume sharing its fuel subsidy burden if the Indian basket of crude breaches $70 a barrel. An imminent reintroduction of the practice that was discontinued in FY16 was threatening to hit the state-run hydrocarbon producer’s all-important capex plans, especially since its surplus cash had got depleted by Rs 12,000 crore due to its Rs 37,000 crore acquisition of Hindustan Petroleum Corporation (HPCL) last fiscal under a government directive. An ONGC official told FE, “We have stated our position (that ONGC is not in a position to share the subsidy burden) and the government has understood it.” The petroleum ministry had reportedly planned to reap a ‘windfall’ by telling ONGC and Oil India, another state-run firm, to pay a tax, probably in the form of a cess, that kicks in the moment oil prices cross $70. The Indian basket of crude oil averaged $73.47 per barrel in July 2018 and was at $69.79 per barrel on August 17, 2018. ONGC is also seeking a waiver from the twin obligations of buying back its own shares and issuing bonus shares in the current fiscal. The Financial Express - 18.08.2018 https://www.financialexpress.com/industry/cape x-plan-ongc-is-spared-new-impost/1284404/ Rupee jitters bring double whammy for steel sector The falling rupee will adversely impact the domestic steel sector as import of various raw materials will become expensive and the cost of servicing debt would also go up, government officials and experts said today. The rupee slumped 43 paise against the US dollar to trade at a life-time low of 70.32 on strong demand for the American currency. In general, a weaker rupee supports exports and at the same time protects the domestic industry, including steel, from imports as they become costlier, Joint Plant Committee (JPC) Chief Economist A S Firoz told PTI. He, however, warned that a weak rupee will adversely affect the Indian industry as it has to extensively depend on imported inputs such as coking coal, steel scrap etc. Besides, export volumes also cannot be pushed because of the robust domestic demand of steel, he said. India's total export of finished steel increased 16.7 per cent to 9.62 million tonne (MT) in 2017-18 as compared to export of 8.24 MT finished steel in 2016-17. Domestic steel demand grew at 8 per cent in the first quarter of 2018-19, according to JPC. The Economic Times - 17.08.2018 https://economictimes.indiatimes.com/industr y/indl-goods/svs/steel/rupee-jitters-bring- double-whammy-for-steel- sector/articleshow/65424618.cms Govt may fix landing, parking charges for aircraft at new airports The government proposes to fix landing and parking charges for aircraft at all upcoming airports and make revenue per departing passenger the bidding parameter for such projects. The objective is to reduce the cost of flying in India and eliminate regulatory uncertainty. The first airport in the country to be bid out on this model will be the one planned at Jewar near Noida. “Currently, the entire aeronautic charges are based on capital expenditure. In the years when capital expenditure is incurred, the per passenger charges shoot up to as much as Rs. 800 and once charges are recovered they can come down to Rs. 100,” aviation secretary RN Choubey said at a conference on Tuesday. “Instead of that, we are offering something like an equalised tariff and we are saying that it will be Rs. 400.” According to Choubey, passenger charges at the top five airports over the past eight years ranged between Indian aviation market posts highest growth in May in Asia Pacific region: ACI India led the Asia Pacific region in posting the highest growth in air passenger traffic in May at 13.3 per cent, said a global body representing airports worldwide. The growth in China in comparison stood at 8.3 per cent and South Korea at 8.1 per cent, said the Airports Council International in its latest study released this month. It said the impressive growth showed by the Asian giants has led a situation of "disparity" in the region if compared with passenger traffic growth of Japan and Australia. Japan, for example, posted a more subdued figure of 2.8 per cent and Australia at 2.3 per cent. "...the flourishing middle class in populous countries such as India and China have certainly helped to boost traffic especially in their respective domestic markets," the report said. The Asia-Pacific market as a whole posted a growth rate of 6.3 per cent, slightly
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  Rs. 410 andRs. 470. The average is Rs. 440, which has been brought down to Rs. 400, he said. Choubey said a similar policy is on the cards for brownfield airports. With a policy of pre- determining charges, the Airports Economic Regulatory Authority of India (AERA) will not decide the rates at new airports being bid out and it will become a regulator that will assess services at major airports. The Economic Times - 15.08.2018 https://epaper.timesgroup.com/Olive/ODN/TheEc onomicTimes/shared/ShowArticle.aspx?doc=ETK M%2F2018%2F08%2F15&entity=Ar01503&sk=8 55ECDF3&mode=text higher than Europe where the figure stood at 6.2 per cent. North America, on the other hand, saw the traffic grow by 5.6 per cent. The Economic Times - 20.08.2018 https://economictimes.indiatimes.com/industr y/transportation/airlines-/-aviation/indian- aviation-market-posts-highest-growth-in-may- in-asia-pacific-region- aci/articleshow/65459812.cms 50 yrs on, Haldia port eyes 60MT cargo traffic It all started on August 13, 1968, with the loading of about 6,500 tonne of motor spirit on the MT Ampuria by Indian Oil Corporation (IOC) at an oil jetty here in East Midnapore. Fifty years later, the Haldia Dock Complex (HDC) under Kolkata Port Trust (KoPT) is eyeing a figure of 43-45 million tonne for 2018-19. On Monday, while HDC celebrated 50 years of cargo handling at Haldia, KoPT chairman Vinit Kumar spoke on future plans to augment capacity and take cargo handling figures to nearly 60 million tonne (MT) in the next two-three years. “We had a study conducted and it shows that HDC’s capacity is 65 MT. The maximum utilisation level for a port is 80-85% and the maximum that we can handle under present circumstances is 55 MT. To augment capacity, we are going in for mechanisation of Berth 3 for Rs 311crore. The Times of India - 14.08.2018 https://epaper.timesgroup.com/Olive/ODN/Times OfIndia/shared/ShowArticle.aspx?doc=TOIKM%2 F2018%2F08%2F14&entity=Ar01814&sk=985DC C27&mode=text Allcargo Logistics Sets Sights on Controlling Stake in Gati... Allcargo Logistics is in initial round of talks to acquire a controlling stake in express logistics company Gati, two people close to the development told ET. “Talks have just started. Given Allcargo’s ambitions to expand in express logistics, Gati is just the right fit,” said one of the people cited above. He said talks of a valuation are yet to reach final stages. Executives at neither Allcargo nor Gati could be reached for an official comment. Gati’s promoter Mahendra Agarwal owned a 24% stake in the company as of June 30. While it isn’t clear how much of that would be diluted, the planned deal could give an exit to overseas corporate shareholders such as Goldman Sachs which owns about 7% in the company. Gati specialises in express logistics solutions, warehousing and e-fulfilment services, e- commerce logistics as well as cold chain logistics solutions. The Economic Times - 15.08.2018 https://epaper.timesgroup.com/Olive/ODN/Th eEconomicTimes/shared/ShowArticle.aspx?doc =ETKM%2F2018%2F08%2F15&entity=Ar0190 3&sk=8FA81A68&mode=text ... Moves to Use Its Idle Land Bank for Warehousing Plans Allcargo Logistics plans to build warehouses and sell or lease them out, as the company aims to monetise its dormant land bank and take advantage of increasing demand for bigger and more efficient logistics facilities in the country. The company is in talks with two global companies to sell up to 25% stake in this new venture, Allcargo Logistics and Industrial Park chairman Shashi Kiran Shetty told ET in an interview. The initial agreement will be signed within two months, he added. The company aims to invest Rs. 3,000 crore in the next 4-5 years to set up 15-million square feet of warehousing space. That will 44,000 crore freight corridor on east coast in the works The Indian Railways plans to invest 44,000 crore to build a 1,100-km greenfield freight corridor on the east coast connecting Kharagpur in West Bengal with Vijaywada in Andhra Pradesh. The corridor, which is expected to carry about 200 million tonnes of freight per annum, is likely to be announced in the budget proposal for 2019-20. “There is very heavy traffic on this route. The work on the proposal is currently going on,” said Anurag Sachan, MD at Dedicated Freight Corridor Corporation (DFCC). “We will be proposing funding from multilateral agencies along with some equity
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  include inland containerdepots and private freight terminals, apart from build-to-suit warehouses, customised to the needs of customers who buy or lease these facilities. “Our land bank is now assuming great strategic importance for our business, going forward, because one of the most important requirements from the industry is A- grade warehouses. Also, conducive factors are the rollout of the Goods and Services Tax (GST), the ecommerce growth, the consumption boom and the overall growth in the economy,” said Shetty. The Economic Times - 15.08.2018 https://epaper.timesgroup.com/Olive/ODN/TheEc onomicTimes/shared/ShowArticle.aspx?doc=ETK M%2F2018%2F08%2F15&entity=Ar01908&sk=0 797DA48&mode=text from Indian Railways for the project.” The corridor will connect mineral rich areas of the country to industries in the south. The construction work on the corridor will begin only after the DFCC delivers the 3,300-km long eastern and western freight corridors. The two corridors, being constructed to connect the mainland with the ports on the western and the eastern coasts of the country, are expected to be fully completed by 2020. The first phase of the two dedicated freight corridors project, India’s first mega railway project since Independence, being constructed at the cost of 81,000 crore, is likely to be completed by the year end. The Economic Times - 17.08.2018 https://economictimes.indiatimes.com/news/e conomy/infrastructure/44000-crore-freight- corridor-on-east-coast-in-the- works/articleshow/65431054.cms Logistics, warehousing leasing jumps 45% in H12018, touches 10 million sq. ft. across 7 cities The Goods and Services Tax (GST) is driving leasing activity across the country so much so that close to 10 million sq. ft. of logistics and warehousing space was leased across seven cities, up 45 percent in the first half (H1) of 2018 over the same period last year, says a CBRE South Asia report titled India Industrial and Logistics Market View, H1 2018. Leasing activity was primarily driven by consolidation and expansion initiatives of firms belonging to sectors such as e-commerce, third-party logistics (3PL), retail, and engineering and manufacturing, which together accounted for more than 75 percent of the leasing reported during the review period, it says. The overall demand for logistics and warehousing space was largely concentrated in Bengaluru (25 percent), Delhi-NCR (21 percent) and Mumbai (20 percent). Chennai and Hyderabad also reported sizeable transaction activity and accounted for about 12 percent and 10 percent of the demand, respectively. Smaller cities such as Kolkata, Ahmedabad, and Pune collectively held a 12 percent share, it says. Moneycontrol - 20.08.2018 https://www.moneycontrol.com/news/business/r eal-estate/logistics-and-warehousing-leasing- touches-nearly-10-million-sq-ft-across-seven- cities-2861571.html A K Singh takes charge as Director- Pipelines at Indian Oil Corporation Indian Oil Corporation (IOC), the country’s largest fuel retailer, today announced Akshay Kumar Singh has joined as Director-Pipelines at the company. A mechanical engineer with Masters’ degree in Turbo Machinery, Singh has been serving as Executive Director at natural gas utility GAIL (India) Ltd. In his new role, he will be in charge of IOC’s 13,400 kilometre network of crude oil, petroleum product and gas pipelines with a throughput capacity of 94.79 million tonnes per annum of oil and 9.5 million standard cubic metres per day of gas. Singh has around 32 years of experience in the petroleum and natural gas sector and has executed large and complex cross-country pipeline projects. “He has substantive experience in design engineering, planning, execution, operations & maintenance streams of the hydrocarbons sector,” IOC said in a statement. He joins IOC at a time the firm is implementing projects to increase the length of the pipeline network to 20,000 km and throughput capacity to 102 MTPA. The company operates City Gas Distribution networks offering Compressed Natural Gas for vehicles and Piped Natural Gas for households in 11 Geographical Areas through two joint ventures. The Economic Times - 14.08.2018 https://energy.economictimes.indiatimes.com/ news/oil-and-gas/a-k-singh-takes-charge-as- director-pipelines-at-indian-oil- corporation/65400438
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  CPCL elevates RSrikanthan as Director- Technical Indian Oil Group company Chennai Petroleum Corporation Ltd today said R Srikanthan has taken over as it’s Director-Technical with immediate effect. Prior to taking up the new role, he was serving the company as its Chief General Manager-Cauvery Basin Refinery, Chennai Petroleum Corporation said in a BSE filing. Srikanthan has over three decades of experience at CPCL in various areas including project development, operations, production planning, process engineering. The New Indian Express - 14.08.2018 http://www.newindianexpress.com/business/201 8/aug/13/cpcl-elevates-r-srikanthan-as-director- technical-1857292.html P K Singh takes over as PFC director (commercial) State-owned electricity sector lender Power Finance Corporation (PFC) today announced Praveen Kumar Singh has taken over the role of Director-Commercial at the company with effect from 10 August. Singh has been serving as Executive Director-Projects and has worked in multiple units of the Projects division of the firm for over 24 years. He has also worked for the country’s largest power equipment manufacturer Bharat Heavy Electricals Ltd (BHEL) and industry body Confederation of Indian Industries (CII) in the past. Singh holds a Bachelor in Technology degree in Electrical Engineering from IIT-BHU and Master in Technology Degree in Energy & Environment Management from IIT, Delhi. He has also completed a Global Energy MBA program from Bayer College of Business, University of Houston, USA. The Economic Times - 15.08.2018 https://energy.economictimes.indiatimes.com/ news/power/p-k-singh-appointed-as-director- commercial-at-power-finance- corporation/65397862