Kurlon-Du Pont JV jolted by market slide
Mumbai: The two-year old Kurlon-Du Pont joint venture in branded rubberised coir mattresses, has run into rough weather. Du Pont is reportedly considering buying out 50 per cent-stake held by Kurlon to float its own wholly owned subsidiary.

Kurlon has invested Rs 2 crore in the paid-up equity capital of the joint venture, with Du Pont investing another Rs 2 crore. Both the partners however, have the option to buy out each other’s stake in the venture at par, as per the JV agreement.

Kurlon has been facing intense competition from low-priced mattresses manufactured by regional players, resulting in the erosion of market share. Kurlon’s market share has come down from 60 per cent last year to 45 per cent this year. Kurlon's has a second joint venture with the US-based Sealy for manufacturing and marketing spring mattresses.
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Ford India parts with Vama Motors part ways
Mumbai: Vama Motors and Ford India have decided to end their partnership. Vama Motors was among the first 11 dealerships launched by past Ford Motor chairman Alex Trotman, when he visited India. A recently released advertisement in a leading daily, stated that Ford India and Vama Ford Motors have mutually agreed to discontinue all business relationships with effect from December 31, 2000.

Vama Ford and Ford India have said that the decision to end the relationship was based on mutual agreement. Currently Ford India has two dealerships in Mumbai - Shakti Ford and Wasan Ford - both in the suburbs of Mumbai. The company is now reportedly looking out for a third dealer in Mumbai. Ford India has targeted to have 60 dealers for this financial year and has already appointed 57 dealers around the country.
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Tata Tea exonerated from MRTP charges
New Delhi: The Kolkata-based Tata Tea has been exonerated by the Monopolies and Restrictive Trade Practices Commission (MRTPC) on charges of having allegedly deciding on the stocks required by its stockists and not allowing them to sell the product at lower prices.

A complaint was filed by the director general of investigation and registration alleging that Tata Tea was placing certain clauses in its agreements with its stockists not allowing them to sell goods at lower prices, than the printed one and deciding on the stocks bought by them. The complaint was filed against one of its Kurnool-based stockist, Shafi Traders. However, discharging the notice of enquiry, a two-member bench of the commission said that charges under MRTP Act have not been established against Tata Tea.

The bench said the condition in the agreement between Tata Tea and its dealer nowhere postulated a situation, which was restrictive in its nature. Regarding the price fixing charge, the bench said that the agreement had mentioned that the stockists were free to charge prices lower than maximum prices fixed for the products.
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STAR TV clears $500-m DTH project for India
Mumbai: Star TV is shortly applying to the Foreign Investment Promotion Board (FIPB) to obtain necessary clearances for bringing in foreign equity to launch its direct-to-home (DTH) project in India. The Hong Kong-based broadcasting network has decided to kick-start its DTH foray, agreeing to limit its stake to 20 per cent, as required by the policy framework announced by the government.

The Star TV board has reportedly sanctioned an initial investment of $300 million for the India project. Star TV, in its eagerness to get started in the DTH arena, has chosen to accept the government conditionality. Overseas broadcasters such as Star TV and Zee have been demanding that a minimum of 49 per cent overseas stake be allowed in DTH projects.
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