VAT: Traders on three day countrywide strike
New Delhi: Markets across the country will remain shut today with traders striking work in protest against the Value Added tax (VAT) regime. The VAT regime will come into effect in 21 states from the April 1.

The trading community, which has for the past several months protested against the implementation of VAT, has now decided to take to the streets for the next 72 hours. Traders are also protesting against the 15 per cent service tax that has been implemented on them. This they say should be applicable only on service providers and not on them.

Traders will also be joined by petrol pump owners, who will join the strike for a day.
Back to News Review index page  

CCS announces defence upgrade programme
New Delhi: The cabinet committee on security (CCS) has given the green signal to the defence ministry to acquire eleven Dornier aircraft from Germany for Rs726 crore and hold price negotiations for the purchase of twelve French-made Mirage 2000-5 fighters from Qatar.

The CCS, chaired by Prime Minister Manmohan Singh, also cleared the induction of nine offshore patrol vessels for the Navy, the purchase of one C-303 submarine-fired torpedo decoy system (cost Rs355 crore) from Italy and the upgradation of fourteen aircraft carrier-based British Sea Harriers planes (Rs476 crore).

The upgradation would involve the replacement of radars, acquiring latest air-to-air missiles, combat manoeuvring flight recorder and digital cockpit voice recorder. The cost and time revision of the intermediate jet trainers by HAL would include acquisition of new Al-51 engines from Russia, the defence minister said, adding the exercise would be completed in about nine years against nearly eight years planned earlier. He also said that the CCS has authorised the defence ministry to carry out price negotiations for twelve used Mirage 2000-5 warplanes from Qatar, which would have 80 to 85 per cent of their operational life still intact.

Apart from this, a sum of Rs1,084 crore has been sanctioned to construct at least nine off shore petrol vessels (OPVs) for the navy.
Back to News Review index page  

UPA moves on labour reforms
New Delhi: Labour reforms are in focus with the Cabinet deciding to amend the Factories Act of 1948, allowing women to work between 7 pm and 6 am.

While the industry has welcomed the move, it feels that more needs to be done in this direction, by way of security and transportation considerations.

The government is also looking at a number of proposals, and will review the 57-year-old industrial disputes act, which stops companies with more than a 100 employees from sacking anyone. The industry's demand of allowing contract labour, so that workers don't need to be made permanent after eleven months on contract, is also being looked into.

Another key suggestion is extending the number of hours one can work in a week from its current 48.
Back to News Review index page  

Cabinet decides to extend VAT to UTs
New Delhi: The Cabinet has decided to extend VAT in the union territories of Daman & Diu, Dadra and Nagar Haveli through an ordinance.

"Government has agreed to promulgate ordinances to extend implementation of VAT to the Union Territories," Information and Broadcasting Minister Jaipal Reddy told reporters after the Cabinet meeting.

For union territories, the promulgation of ordinances has to be done by the Centre and therefore, the Cabinet decision, he said.
Back to News Review index page  

Aiyer: India looking at long term oil contracts with Saudis
Dubai: The Minister of Petroleum and Natural Gas Mani Shankar Aiyar has said that India is seeking long-term oil deals with Saudi Arabia with assured delivery every year. "The total of India's oil imports from Saudi Arabia will double soon," said Aiyar.

India already imports about 24 million tons of crude from Saudi Arabia every year, which is 26 per cent of India's total crude imports. Aiyar is in Riyadh along with a high-level delegation comprising heads of oil companies, IOC, ONGC and GAIL. During his stay, Aiyer is set to meet Saudi Oil Minister Ali al Ibrahim as well as other senior ministers. He is also scheduled to visit the Shoiba oilfields of Saudi Aramco.

He said India is pursuing acquisition of equity in oil and gas abroad, besides exploration acreages and producing properties.
Back to News Review index page