Category Archives: Business & Economy

SKP Group Vizag ferroalloy unit to start production by month end

Business & Economy

Kolkata based ferroalloy manufacturer SKP Group plans to increase the share of exports through its new unit at Visakhapatnam in Andhra Pradesh, which is likely to be operational by June end.

The plant is being built at a cost of INR 153 crore. It will manufacture bulk ferroalloys such as ferromanganese, ferrochrome and ferrosilicon.

According to Mr Ankit Patni the group’s joint managing director, rupee devaluation has helped boost export values while volumes have remained subdued. Exports account for half of the group’s turnover, which stood at INR 4,000 crore in 2011-12.

Mr Patni told Business Line that “Impex Metal and Ferro Alloys Ltd, a group company primarily into trading of alloys, has set up two furnaces of 18 MVA each for manufacturing of ferroalloys at Visakhapatnam.”

Depending on the kind of ferroalloy to be produced, manufacturing capacities would vary between 30,000 and 80,000 tonnes of end product. He said that “Nearly 100% of the production at Visakhapatnam will be exported.”

The group has lined up investments worth INR 1,000 crore for expanding its manufacturing capacities over next two years.

Plans are afoot to set up ferroalloy plant for manganese in Raipur and a 1.8 million tonne pellet making plant at Orissa.

He added that “We will invest about INR 200 crore in putting up five 9 MVA ferroalloy plants in Raipur. We have already purchased the land, the financial closure will happen soon.”

For the pellet making plant, the process of land acquisition is likely to be complete by September. The company will pump in INR 1,000 crore over next three years for this plant.

Source – Hindu

source: http://www.steelguru.com / Monday, June 11th, 2012

A blessing in disguise for mango ryots

Business & Economy, Nature

GOOD YEAR: A tribal farmer, with his bumper crop, waiting for customers at a shandy near Araku Valley in Visakhapatnam district.   Photo: K.R. Deepak / The Hindu

Delayed monsoon gives them bumper harvest

Delayed monsoon served as a blessing in disguise for reaping a bumper mango harvest in north coastal Andhra districts, according to Horticulture Department officials and mango crop experts. Mango plantations are spread over roughly 1.50 lakh acres in Srikakulam, Vizianagaram and Visakhapatnam districts.

Due to the impact of climatic changes, rains were occurring more due to formation of cyclonic depression and also gale and heavy winds. These are adverse conditions for mango flowering and fruit leading to steep drop in yield. Gale and winds were experienced a couple of time during the mango flowering and fruiting stage, but were limited to a few pockets in the region while Agency area witnessed bumper harvest as rainfall was higher when compared to plain areas.

Among the several varieties of mango banginapalli, collector, suvarnareka, neelam, romania, rasalu, cheruku rasalu and palukalu are produced in north Andhra. The palukalu variety is harvested in March and April and is in much demand in Delhi and Bengal. Vizianagaram is the local market from where it is sent to other States.

The banginapalli, suvarnareka, rasalu, cherukurasam and peddarasam varieties are harvested in May. The collector variety is mostly used in pickles, fruit drinks and in processing industry and will hit the market in mid-June and July. A British collector introduced the Thotapur variety of mango to the local farmers in the State and ever since it became popularly known as ‘Collector Kaya’.

Assistant Director (horticulture) G. Prabhakar told The Hindu that the mango crop had been by and large intact as there were no adverse climatic conditions like heavy winds and cyclones and the delayed monsoon has actually protected the mango crop. “Besides, the natural ripening of mangoes has actually turned the mangoes sweet. Initially at the advent of mango season there were complaints of traders adopting artificial methods like using of calcium carbide for ripening but as the dry spell continued for some time most of the traders waited for natural ripening, which was why most of the recent mangoes were sweet and tasty”, he said.

On an average, the mango production per acre was 4-5 tonnes. A rough estimate puts the total mango production in 1.50 lakh acres in the three districts at 450,000 tonnes.

Mango cultivation in Visakhapatnam is 40,000 acres in plain areas and 10,954 acres in the Agency areas. A feasibility study had been made by the ITDA to expand the mango crop area by another 23,758 acres in the coming years.

In Srikakulam district mango cultivation is in 65,000 acres in the Palakonda, Rajam, Regidi Amudalavalasa and Santakaviti mandals. In Vizianagarm district the mango cultivation is spread in 25,000 acres.

To help the farmers in the event of adverse climatic conditions causing damage to the crop, the State Government has brought the mango crop under the crop insurance scheme. The insurance scheme covers damages to the crop caused by high temperatures, unseasonal rainfall, pests and diseases and cyclonic winds and natural calamities etc. Premium amount for a tree less than15 years old and more than 15 years is Rs.52 and Rs. 46 respectively, with the beneficiary farmer and the Government contributing equally.

Mango accounts for 40 percent of the fruit exports from the country and Uttar Pradesh and Andhra Pradesh have the largest mango cultivation areas followed by Bihar, Karnataka, Kerala and Tamil Nadu.

Mango is utilised in all stages of its development both in its immature and mature state. Raw fruits are used for making chutney, pickles and juices.

The ripe fruits besides being used for desert are also utilised for preparing several products like squashes, syrups, nectars, jams and jelly. The mango kernel also contains 8-10 percent good quality fat which can be used for soap and also as a substitute for cola in confectionery.

source: http://www.TheHindu.com / Home> News>  Cities> Visakhapatnam / by Ravi  P. Benjamin / June 11th, 2012

Prathista Industries, US varsity ink pact for tech transfer

Business & Economy, World Opinion
Hyderabad, JUNE 6:

The University of Tuskegee, Alabama, US and Prathista Industries have signed a memorandum of understanding (MoU) for transfer of technology in eco-friendly agri-based products.

A high-level scientific team from Tuskegee University, led by its President, Dr Gilbert L. Rochon, and Mr KVSS Sairam, CEO and President of the Hyderabad-based Prathista Industries signed the formal MoU here yesterday.

Prathista Industries has research facilities in Choutuppal on the outskirts of Hyderabad.

The company is into producing eco-friendly agri and veterinary products.

DISTINCTIVE STRENGTHS

Later, speaking at the meeting organised by the Federation of Andhra Pradesh Chambers of Commerce and Industry (FAPCCI), Dr Gilbert said that the university has distinctive strengths in the sciences, architecture, business, engineering and health.

He said agricultural industries account for more than $43 billion or about 22 per cent of the direct output of the Alabama economy.

Approximately 79 per cent of the US consumer food dollar goes to processing and marketing functions, with only 21 per cent going to farmers.

The team from Tuskegee University included Dr Gopal Reddy, Associate Dean for Research & Advanced Studies, Dr Shaik Jeelani, Vice-President for Research & Sponsored Programs. Dr Vijay Rangari, Associate Professor, Nanotechnology, presented various research activities at the university and possible areas of collaboration with Indian counterparts.

Mr Sairam of Prathista Industries, Mr Srinivas Ayyadevara, Vice-President, and Mr M.V. Rajeshwara Rao, Secretary General of FAPCCI also spoke.

soma@thehindu.co.in

source: http://www.TheHinduBusinessLine.com / Home> Companies / Hyderabad / June 06th, 2012

Michelin adds two more TyrePlus stores

Business & Economy
Mr. B. Kumar, Country Head-Distribution, Michelin India,
Hyderabad, JUNE 6:

Michelin Tyres on Wednesday announced the opening up of two TyrePlus concept stores in Hyderabad, thereby taking the number of stores up from 16 to 18 across the country.

Through these new touch points, Michelin Tyres, part of a global leading tyre manufacturing French major, Michelin seeks to offer new retail experience for the consumers. This is something which TyrePlus stores offer across the world, Mr. B. Kumar, Country Head-Distribution, Michelin India, said.

The company appointed MV Tyre World and Xenex as its franchisee partners in Hyderabad.

Mr. Kumar said, “In today’s busy world, where people have money but less time, such stores offer a hassle free ownership and service experience. In these TyrePlus stores, customers can buy Michelin tyres and tyres of other manufactures and also other car accessories.

They also get access to quality after sales service, which makes a difference.”

The company currently procures tyres from its global manufacturing bases and supplies them in the Indian market to the original equipment manufacturers like Honda, Mercedes and Volvo Trucks and in the replacement segment.

NEW PLANT

Michelin is in the process of setting up of a manufacturing base in Chennai, Tamil Nadu for truck tyres and expects to commission this during the year. Barely 17 per cent of truck tyre market is radial tyres. This offers immense scope for Michelin to tap into once the plant is ready, he said.

vrishi@thehindu.co.in

source: http://www.TheHinduBusinessLine.com / Industry & Economy> Marketing / Hyderabad, June 06th, 2012

Hyderabad jewellery fair from June 22

Arts, Culture & Entertainment, Business & Economy
Hyderabad, JUNE 6:

The fifth edition of Hyderabad Jewellery, Pearl and Gem Fair will be organised here during June 22-24, 2012.

“We are expecting significant business to transact in this business –to- business exhibition as south India in general and Andhra Pradesh is a big market for jewellery,’’ Ms Kranti Nagvekar, Group Director, UBM India, organiser of the event told newspersons here on Wednesday.

The four southern states account for 45 per cent about 900 tonnes of gold jewellery sale per annum in the country, she added.

The three-day event would feature over 125 exhibitors from India and abroad showcasing a range of products such as gems, studded jewellery, machinery and lab companies, pearls, diamond jewellery and traditional told jewellery.

About 4,000 visitors were expected to visit the fair which will be held at the HITEX exhibition centre at Madhapur here, Mr Nagvekar said.

source: http://www.ThHinduBusinessLine.com / Industry & Economy> Marketing / by The Hindu Bureau  / Hyderabad, June 06th, 2012

Dr. Reddy’s Laboratories Ltd. and Merck Serono Announce Collaboration to Develop and Commercialize Biosimilars

Business & Economy

HYDERABAD, India, Jun 06, 2012 (BUSINESS WIRE)

Combined expertise of Dr. Reddy’s and Merck Serono to deliver on promise of Biosimilars

Dr. Reddy’s Laboratories Ltd.  and Merck Serono, a division of Merck KGaA, Darmstadt, Germany, announced today a partnership to co-develop a portfolio of biosimilar compounds in oncology, primarily focused on monoclonal antibodies (MAbs). The partnership covers co-development, manufacturing and commercialization of the compounds around the globe, with some specific country exceptions.

Dr. Reddy’s has been a pioneer and leader in the biosimilars space through proven product development capabilities and the launch of four biosimilars molecules to date. The partnership with Merck Serono expands on Dr. Reddy’s presence in the biosimilar space in select emerging markets and enables participation globally.

G. V. Prasad, Vice-Chairman and CEO of Dr. Reddy’s Laboratories, said, “We strongly believe that biosimilars is an important area of future growth and these products give us the opportunity to provide affordable and innovative medicines to patients across the globe. With the recent EMA and FDA guidance on biosimilars, it is clear that any significant player in the field will need strong biologics development, manufacturing and commercialization capabilities. Merck Serono’s and Dr. Reddy’s joint expertise in these fields makes for a powerful global partnership.”

“Our expertise in developing, manufacturing, and commercializing biopharmaceuticals gives us a clear advantage in the biosimilars field, and the partnership with Dr. Reddy’s will bring their first-in-market experience in biosimilars, as well as their expertise in generics and Emerging Markets, to the table,” added Stefan Oschmann, Chief Executive Officer of Merck Serono. “Sharing know-how, risks and rewards is the right approach to enter the emergent biosimilars market and will be a win-win for both parties. It further strengthens Merck Serono’s promise to live science and transform lives, by increasing access to quality medicines for patients, physicians and payers.”

The deal structure calls for Merck Serono and Dr. Reddy’s to co-develop the molecules included in the agreement. Dr. Reddy’s will lead early product development and complete Phase I development. Upon completion of Phase I, Merck Serono will take over manufacturing of the compounds and will lead Phase III development. The agreement is based on full R&D cost sharing.

Merck Serono will undertake commercialization globally, outside the US and with the exception of select emerging markets which will be co-exclusive or where Dr. Reddy’s maintains exclusive rights. Dr. Reddy’s will receive royalty payments from Merck Serono upon commercialization. In the US, the parties will co-commercialize the products on a profit-sharing basis. Additional terms of the deal were not disclosed.

Disclaimer

This press release includes forward-looking statements, as defined in the U.S. Private Securities Litigation Reform Act of 1995. We have based these forward-looking statements on our current expectations and projections about future events. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially. Such factors include, but are not limited to, changes in local and global economic conditions, our ability to successfully implement our strategy, the market acceptance of and demand for our products, our growth and expansion, technological change and our exposure to market risks. By their nature, these expectations and projections are only estimates and could be materially different from actual results in the future.

source: http://www.marketwatch.com / press release, Business Wire / Hyderabad, June 06th, 2012

Karimnagar Dairy becomes Producers Company

Business & Economy, Nature, Science & Technology

Will benefit milk producers and increase milk production

The Karimnagar district mutually-aided cooperative milk producers union albeit Karimnagar Dairy, which had been making strides in launching a milk revolution and benefitting milk producers, have been converted into the Producers Company by acceding with the Companies Act 1956 to grow into a bigger and stronger organisation to benefit milk producers.

Disclosing this to newsmen here on Saturday, Karimnagar Dairy chairman Ch. Rajeshwara Rao said that the decision to convert Karimnagar Dairy into Producers Company was taken after discussions with the board of directors on September 16, 2011.

Later, the process was completed in spite of objections raised by Andhra Pradesh Dairy Development Cooperative Federation Limited. He added that the Registrar of Companies of Minister of Companies Affairs had allowed for Karimnagar Dairy to be made into Producers Company after being satisfied with the dairy’s performance and keeping in mind the welfare of farming community.

Stating that they were forced to go to Producers Company under the Companies Act as the State government was scuttling the Cooperative Milk Producers Union’s development, he said that the Visaka Dairy was the first cooperative dairy in the State to go for conversion into the Producers Company.

He said that after the conversion of the dairy into the Producers Company, the milk producers alone would be the share holders and the profits would be shared among the milk producers only.

The conversion had made the dairy an independent agency without political interference and would give more benefits to the farmers.

The Karimnagar Dairy was established in 1971 and was handed to the farmers in November 1, 1998 as cooperative dairy as part of the Cooperative Act 1964.

Since then, the dairy had made long strides in milk production and welfare of milk producers. The milk sales had crossed 1 lakh litres and procurement had also crossed one lakh litres per day.

On the other hand, the loss making unit was made into a most viable unit with profits. The Karimnagar Dairy turnover reached 130.92 crore as on March 31, 2012, the dairy chairman said.

Dairy managing director V. Hanumantha Reddy was present.

  • Dairy is now an independent agency without any political interference
  • Visaka Dairy was the first cooperative dairy in State to be converted into Producers Company
  • —————————————————————————————-
  • source: http://www.TheHindu.com / Home> National> Andhra Pradesh /  by Staff  Reporter / Karimnagar, June 03rd, 2012

    •  

    Royal Dutch Shell, RPower to set up LNG terminal in AP

    Business & Economy

    New Delhi:

    Royal Dutch Shell and Reliance Power Thursday announced plans to set up a floating liquefied natural gas (LNG) import terminal off the coast of Kakinada in Andhra Pradesh by 2014.

    The port announced by the two companies in separate but identical press statement is the same as the one for which state-owned gas utility GAIL India had roped in French utility GDF Suez and signed pact with Andhra Pradesh government for a 3.5 million tons floating LNG receipt facility.

    “After the success of Shell’s Hazira terminal in Gujarat, Shell is keen to set up an LNG receiving terminal in Andhra Pradesh,” Royal Dutch Shell’s Global Head of LNG De la Rey Venter said in the first official announcement of Reliance Power (RPL) and Shell joining hands for the floating terminal.

    “We are pleased to have reached an agreement with RPL and Kakinada Sea Ports Ltd (KSPL) to implement the LNG terminal in AP and look forward to successfully progressing this project with our partners,” he said.

    While Shell operates a 3.6 million tons a year capacity LNG terminal at Hazira in Gujarat, the project off the Andhra coast “is expected to start with a capacity of up to 5 million tons per annum and is designed for easy expandability to 10 million tons to meet the surging demand for gas in the region.”

    Shell and billionaire Anil Ambani-run RPL will hold the majority of the equity in the terminal company, the statements said but did not give details of the equity structure. Kakinada Seaports operates the Kakinada deepwater port.

    “This project uniquely benefits from Shell?s presence in several existing and planned LNG supply projects around the world which will help ensure diversity and security of supply,” it said.

    Kakinada is also the landfall point of billionaire Mukesh Ambani-led Reliance Industries’ flagging KG-D6 gas fields in the Bay of Bengal, and a near 1,400-km line carries the fuel from there carries the fuel to consumption centres in the west.

    The continuing fall in KG-D6 output has triggered a rush for setting up of LNG import facilities to meet the growing energy demands in the country.

    While GAIL is doing a detailed feasibility report for the floating import facility, Petronet LNG Ltd – the nation’s largest importer of gas in its liquid form (LNG) in ships, too is building a 5 million tons facility at Gangavaram in Andhra Pradesh by 2016.

    In intervening period to the construction of the Rs 4,000 crore Gangavaram terminal, Petronet plans to hire a floating LNG terminal to begin imports of fuel immediately.

    State refiner Indian Oil Corp (IOC) too is doing a front-end engineering and design (FEED) study for a terminal at Ennore in Tamil Nadu.

    source: http://www.zeenews.india.com / Home / PTI / Thursday, May 31st, 2012

    PTI

    Britain opens deputy High Commission office in Hyderabad

    Business & Economy

    Hyderabad, May 31 (PTI)

    Britain today opened its deputy High Commission office here. Simon Fraser, permanent under-secretary and head of the British Diplomatic Services while opening the office, said they are going to open another office in Chandigarh, bringing the total British Deputy High Commissions in India to seven. “British diplomacy is engaged in a significant shift towards the power of Asia, with India as a centerpiece.

    A new office in Hyderabad was top priority. Partnership with Andhra Pradesh offers immense opportunity to expand trade and investment between the UK and this important part of India,” Fraser told reporters here. James Bevan, British High Commissioner to India, said they are eyeing to double the bilateral trade which was pegged at USD 13 billion in 2010, by 2015 and cooperate in a host of other areas including research and innovation. Bevan said Britain is mulling open Deputy High Commissions in some other cities also and discussions with Indian Government are underway in this regard. Besides the British High Commission in New Delhi, there are UK missions in Mumbai, Kolkata, Chennai and Bangalore. It also has two trade offices in Pune and Ahmadabad. Besides Punjab and Haryana, the proposed Chandigarh office will also be responsible for Britain’s relationship with Himachal Pradesh, Uttrakhand and Rajasthan. Both the diplomats called on Andhra Pradesh Governor and Chief Minister. PTI GDK GK GK

    source: http://www.ibnlive.in.com / Wires> Latest News / PTI / May 31st, 2012

    Centre promoting pharma cluster in coastal AP

    Business & Economy, Science & Technology, Uncategorized
    Hyderabad, MAY 26:

    The Centre is promoting a pharma cluster with an investment of Rs 66.16 crore at the PCPIR in coastal Andhra Pradesh.

    The PCPIR (Petroleum, Chemicals, Petrochemical Investment Region) covers East Godavari and Visakhapatnam districts. Andhra Pradesh ranks first in the manufacture of bulk drugs and hence there is a need to push further, said Mr M. Gopinath, Regional Joint Director General of Foreign Trade.

    The state ranks third in formulations. It accounts for 40 per cent of the country’s total bulk drugs production and 50 per cent of the bulk drug exports, he said here at a business networking meet on `ChemTech World Expo 2013’.

    Pharma sector sales

    The country’s pharmaceutical sector is gaining a global position. The domestic pharma sector sales is expected to touch $74 billion by 2020 from the current $11 billion, according to research reports.

    Drugs and pharmaceuticals sector attracted foreign direct investments (FDI) worth $9,173.50 million between April 2000 to February 2012.

    The meet was organised by Jessubhai Media in association with the Federation of Andhra Pradesh Chambers of Commerce and Industry (FAPCCI).

    Mr Devendra Surana of FAPCCI said Andhra Pradesh is a hub for pharma and biotech companies because of a large number of research institutes. It has managed to draw several international and domestic companies to set up their base.

    source: http://www.thehindubusinessline.com / Home> Industry & Economy> Government & Policy / by M. Somasekhar / Hyderabad, May 26th, 2012