India has come out as Britain's third biggest job maker by investing in 122 projects. The USA remains the largest source of inward investment, with a total of 564 projects in 2014, followed by France (124 projects) and India (122 projects).Investment from India increased by 65 per cent in FDI which helped in create 9,000 new and safeguarded jobs in 2014. There was also evidence of a strengthening relationship with China, with 99 projects in 2014 resulting in more than 3,000 new jobs.The UKTI inward investment report also showed FDI went towards a wide range of sectors and industries, with many containing a research and development element. It highlights the UK’s leading position as a centre for research, innovation and technology.Advanced manufacturing – which includes automotive, aerospace and advanced engineering sectors – recorded the highest number of FDI projects and jobs.A report revealed to mark the UK’s National Day at the World Expo in Milan by UK Trade and Industry (UKTI) highlights how India’s investment in the UK forms part of a record £1 trillion of foreign direct investment (FDI) in the UK in 2014, making it the top FDI destination in Europe.British Commissioner to India, Sir James Bevan KCMG said: “India and the UK share a long-standing, highly collaborative relationship, fuelling the prosperity of both countries and we greatly value our association with India. The fact that in 2014-15 Indians were the third largest job creators in the UK is a tremendous testimony to the strength of our ties, while the UK is also the largest G20 investor in India, proving the two-way relationship. As Prime Minister Modi said, when the UK and India work together, we are ‘an unbeatable combination’.At a time when global FDI flows have fallen, investors from India understand that the UK is welcoming, diverse and open for business.”The annual investment figures from UKTI for the 2014/15 financial year show the UK has attracted 12 per cent more FDI projects compared to the previous year.
Read More
Taiwan's Quanta Computer, the world's top contract PC manufacturer which makes laptops and assembles watches for Apple Inc, said on Thursday (18 June) it is considering establishing a manufacturing base in India. "We're gathering materials for evaluation. We're looking into it," Quanta vice-chairman C C Leung told reporters, after the company's annual investor conference. Quanta's move comes after rival Hon Hai Precision Industry Co Ltd, better known as Foxconn, announced that it will likely plow billions of dollars into establishing 10 to 12 facilities in India by 2020. Indian government officials have said Foxconn is in talks with main client Apple on the potential investments. Under Prime Minister Narendra Modi, India has sought to reboot manufacturing to boost growth and employment but it is yet to rival China, particularly in technology where most factories will likely be assembly units at first. Quanta's manufacturing facilities are all currently in China. Leung said the company has no specific investment plans at present. He said that there are a number of considerations that must be taken into account when evaluating India's suitability for manufacturing. "Can you get convenient transportation and access to ports? Can you get the whole tech supply chain together?" he said. Quanta also manufactures laptops for Hewlett-Packard Co and is the main assembler for the recently-released Apple Watch. The company said that its PC shipment volume and revenue contribution from PCs should remain about the same this year as last year, despite a 6.2 per cent drop in shipments industry-wide predicted by market watchers International Data Corp. (Reuters)
Read More
With the latest scheme, the budget carrier is eyeing to rule the aviation sector, writes Arshad Khan When Maran brothers transferred majority stake of the ailing SpiceJet to one of its original promoter Ajay Singh, it was on a verge of collapse. Within months, Singh reshuffled the management, expanded the fleet and attracted passengers with a slew of offers. The budget carrier has put up 50,000 tickets on sale for four days to popular international destinations such as Colombo, Bangkok and Dubai.Fares range from Rs 3099-Rs 5599 on routes such as Madurai-Colombo, Delhi-Kathmandu, Kolkata-Bangkok, Mumbai-Dubai and Ahmedabad-Muscat. The decision may prove to be a master-stroke as the prices of jet fuels (ATF) as low as 11 per cent compared to the previous year.Strategically, the airline chose destinations which are geographically much closer than two extreme Indian destinations. The airline can charge higher amount to passenger who missed to cash in on the offer. The competition in the segment is more heated than before as new players such as AirAsia and Vistara are offering string of discounts to increase their passenger base. Indigo has already offered international services at a lower price to tap passengers. SpiceJet's offer may be a move to counter Indigo's supremacy in this segment. The step may be termed as one of the many moves by SpiceJet to emerge as the leader in the competitive sector which is currently ruled by Indigo. The airline has increased its fleet, destinations and load factor. The recent April data shows that SpiceJet has improved its load factor, clocking 88.7 per cent, ahead of rival Indigo's 85.7 per cent. SpiceJet has posted a net profit of Rs 22.51 crore in the January-March period of 2014-15 from a net loss of Rs 321.5 crore for the corresponding period in the previous year. Singh in an interview had said, "deviation from the low cost flight model lead the airline to nearly a bankrupt situation when it was under Maran's control. My job will to be stick to the basics of aviation industry and fly high." As of now, when things are flying in Singh's favour, he should not offer anything to counter competitor airlines. As Singh had said, "no one wanted another Kingfisher."The outcome of the recent offer, however, will be only known when the airline would post its first quarter results for the current fiscal.
Read More
F-Secure joined hand with Tonino Lamborghini to protect people using the luxury brand’s line of mobile phones. Users of high-end luxury electronics are potential targets for increasingly sophisticated attacks, and need the high-quality protection offered by F-Secure’s software to keep their personal data safe and secure.The deal will give Tonino Lamborghini customers a variety of tools they can use to prevent becoming victims of these attacks. The products being offered to Tonino Lamborghini customers include F-Secure SAFE, F-Secure Booster, F-Secure Key, and F-Secure Freedome. Offering these services to people buying Tonino Lamborghini mobile devices will make it easy for them to stay protected in a threat landscape that’s becoming increasingly efficient at collecting and using personal data in various cybercrimes. “Personal data has become a key resource for attackers, and people really need to re-examine the assumptions they have about their security and privacy,” said Samu Konttinen, F-Secure Executive Vice President, Consumer Security. “Attackers can buy personal data stolen by other hackers and combine that with details they learn about people from social media. This allows attackers to target potential victims with a degree of sophistication most people aren’t expecting, and the end result is an attack by con artists disguised as a fairly detailed personal or business correspondence.” F-Secure’s products will be made available to Tonino Lamborghini phone owners after 17 June. Subscription codes will initially be distributed through purchase points or email (for both PC and Android versions of the software), but eventually the two companies plan to pre-install the products on all Tonino Lamborghini mobile phones.
Read More
Eicher Polaris, a 50:50 joint venture between Eicher Motors and Polaris Industries, announced the launch of Multix – India’s First Personal Utility Vehicle on Thursday, thereby creating a new category in the automotive segment. Multix is specially designed for Independent Businessmen, having an estimated population of 5.8 crores in India. Purpose-built, specially designed and powered by a reliable diesel engine, Multix will be available in two variants and four colors, starting at a price of Rs 232,850 (ex-showroom Jaipur).Multix offers the unique power of extreme adaptability to the consumer. Multix has a generous cabin space that can comfortably seat a family of five along with luggage, Multix can be adapted to create large storage space of 1918 liters. Multix is equipped with X-PORT - a unique power-take-off point, which can generate power of up to 3 KW that can be used for lighting homes and powering professional equipment such as drilling machines, DJ systems, water pumps and more.Siddhartha Lal, Managing Director & CEO, Eicher Motors, said, “We have identified a large untapped segment in Independent Businessmen with an estimated population of 5.8 crore in India, and are committed to create a new and strongly differentiated automotive solution for them through Multix."Our aim is to equip the consumers with the Multix ecosystem and enable them to unlock their potential by accessing a world of new opportunities. We have made an investment of Rs 350 cr till date.” he added. Eicher Polaris has made an investment of Rs 350 crore towards product development and setting up a world-class manufacturing facility with state-of-the-art technology at Jaipur, Rajasthan. The plant has an annual capacity of 60,000 units which can be scaled up to 1,20,000 units. The facility is also equipped with robotic weld lines and in-house paint system.Multix is a differentiated vehicle, built ground-up through extensive consumer study. It is equipped with first-of-its-kind Pro Ride – Independent suspension system, which coupled with its best in class ground clearance of 225mm, delivers unmatched riding experience on all kinds of roads and giving a mileage of 28.45 kmpl. Multix has a unique tubular frame structure and Roll-Over Protection System (ROPS) that provides structural stability and reinforced safety. The vehicle delivers superior energy efficiency & durability through its Flexituff body.
Read More
Audi, the German luxury car manufacturer, on Thursday (18 June) introduced its incredibly popular Audi Q3 in a brand new avatar. Since its market launch in 2012, the Audi Q3 has been the most successful model in its segment and the new Audi Q3 ups the appeal with a refreshed design and technical innovations. Priced at Rs 28,99,000 onwards (ex-showroom New Delhi and Mumbai), the new Audi Q3 is available at all Audi dealerships across India. “It’s no secret that the Audi Q3 is one of the most popular models in our product portfolio. The car has been a winner ever since its launch and still excites the young achievers. However, Audi believes in constant innovation and improvements and we are happy to bring the new Audi Q3 to our Audi enthusiasts. We are confident that the new Audi Q3 will bring in many new members to the Audi family much like it did since its launch and will further strengthen our dominance in the compact luxury segment in the land of quattro - India,” said Mr. Joe King, Head, Audi India. “The new Audi Q3 is our fifth launch for this year, after the Audi R8 LMX, the new Audi TT Coupé, the new Audi RS 7 Sportback and the Audi RS 6 Avant. We plan to launch ten new cars this year, which will include at least one new car in each segment of our comprehensive product portfolio. We have some more surprises in store and are gearing up to launch some exciting new models, “added King. The new Audi Q3 now comes with the MMI® Navigation System and Parking System Plus with Rear View Camera. The new Audi Q3 is also equipped with the Audi Sound System. The infotainment system includes Audi Music Interface, a 20 GB Jukebox, two SDHC slots, Bluetooth Connectivity and Streaming.Audi Q3 Photo Gallery
Read More
Analysts believe that the Maggi brand will emerge stronger in a matter of just 3 to 6 months before the issue finally gets settled citing that the bigger concern for the brand would be revive its volume growthAs the future looks uncertain for Nestle India’s Maggi noodle brand with the company withdrawing 400 million packets from the market and destroying it, following an order from the Food Safety and Standards Authority of India (FSSAI) over quality issues, analysts in the Consumer and FMCG space believe that the much maligned brand will revive sooner than anticipated. “We are confident the Maggi brand will emerge stronger, but it might take 3-6 months before the issue is finally resolved,” says Nitin Mathur, research analyst, Emerging Markets, Consumer, at French financial services firm Societe Generale. Mathur said adding that the bigger concern for Nestle would be to revive the volume growth. “Nestle’s strategy of focusing excessively on gross margins proved to be short-sighted as volumes have remained elusive for the past three years,” points Mathur. Maggi noodles contributes two thirds of sales in prepared dishes and cooking aids, which was the only category to demonstrate positive volume growth in CY14.. The estimated sales value of Maggi noodles in the market is Rs 200 crore while related materials in the factories and distribution centres have an estimated value of Rs 1.10 crore, according to a recent filing with the exchange. Having been in India for over 100 years, Nestle India is present in 26 per cent the total packaged foods industry. Companies in the oligopoly market structure must focus on volumes and constantly expand their distribution network to maintain high barriers to entry, unlike companies enjoying a monopoly (ITC in tobacco). “Competition is heating up, even in categories where Nestle India has historically enjoyed a monopoly. From Mondelez in Chocolates, ITC in Noodles, Amul in Dairy, and more recently to Danone and Abbott in baby foods – everyone is now keen to have a share of the lucrative Indian market,” says Nitin.
Read More
For those following the Ambani saga, the anniversary of the Mukesh-Anil split reminds us of a lot of things about allegations of crony capitalism in the country, says Sutanu GuruTen years ago on this day, almost everyone who was someone in India Inc, a large number of politicians and lobbyists and virtually all business journalists, were waiting with bated breath. Some because their futures with linked with what was unfolding; most out of curiosity and even sophisticated voyeurism. Perhaps only five people were privy to the nitty gritty of the unfolding drama: then chairman of ICICI Bank K. V Kamath, then chairman of J. M Financial Nimesh Kampani, Kokilaben Ambani and her two warring sons Mukesh and Anil. Finally, after weeks and months of recriminations and behind the scene negotiations, the two brothers Mukesh and Anil agreed to carve out the corporate empire carved out by their late father Dhirubhai Ambani and go their separate ways. Business families and corporate empires had split before June 18, 2005. For instance the Birlas, Singhanias, Goenkas, Podars, Jindals and many more. But no split had attracted the kind of attention that this one did. And not just because the Ambanis have always been both larger than life and controversial, but also because the decisions taken by the estranged brothers had repercussions on important verticals and industries like Oil & Gas, petrochemicals, infrastructure, power, telecom and financial services. The fact is: even after they split, the repercussions have been felt for a long, long time. On the face of it, the split was clear cut. The elder brother Mukesh retained control of the core business of oil, gas, petroleum and petrochemicals built by Dhirubhai Ambani while the younger brother Anil got hold of the relatively new companies that were involved in telecom, power and financial services. The two brothers also signed a non compete agreement of five years. They even agreed to split the services of their legendary or notorious lobbyists. Most of the older guns of Reliance Industries Ltd who had worked with Dhirubhai stuck on with Mukesh. Some opted for a new world of corporate adventurism and expansion that Anil promised. Both started the race to build bigger and better empires than the one their father had created. So one day of the week, elder brother Mukesh would fly in a private jet to Delhi to meet the movers and shakers in Delhi's power corridors while the younger brother Anil would repeat the exercise another day of the week. But the it really wasn't a case of all is well and they lived happily and separately thereafter. The bickering continued. One classic example that had repercussions for India as a whole had to do with gas. During the split, the brothers had agreed that Mukesh would supply from the KG basin fields that he controlled to the power projects being planned by Anil at a moderate price of $ 2.12 per mbtu. This was crucial for Anil generating huge profits from his proposed power plants. But that never happened and the brothers fought a pitched battle in courts. The matter reached the Supreme Court and its verdict has actually bad news for both the brothers. Anil never got cheap gas and Mukesh has faced a barrage of continuous allegations about gold plating and demanding unreasonably high prices from gas customers. The controversies around the KG basin gas have never died down and have definitely affected the image of Mukesh Ambani. If Mukesh faced heat over gas, younger brother Anil seemed to get mired in the 2 G scam that rocked the nation during the second term of the UPA regime. There were serious charges of wrong doing and the sensational disclosure of the so called Radia tapes seemed to suggest that even Mukesh Ambani was nurturing long term telecom ambitions. With Mukesh announcing the launch of 4 G telecom services through his company Reliance Jio, the wheels seemed to ha e turned full circle. In any case, analysts following the careers of the two brothers suggest that the two have actually buried the hatchet after 2011 to protect their own interests. Ten years after they split amidst controversy and rancor, the rapprochement is perhaps more low key and subtle. But for those following the Ambani saga, this unusual anniversary reminds us of a lot of things about allegations of crony capitalism in the country. The statistically minded will churn out lots of numbers to indicate how the two brothers dominate corporate India. After all, with personal net worth estimates of $30 billion and $10 billion respectively, Mukesh and Anil are still some of the richest people in the world. But those prone to gossip will continue to wonder about the nexus between industrialists, politicians and bureaucrats.
Read More
