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Tamil Nadu CM opposes disinvestment in NLC
Chennai: Tamil Nadu chief minister M Karunanidhi has opposede the Centre's decision to disinvest in the public sector Neyveli Lignite Corporation, and has demanded that the decision be reconsidered.

In a fax to prime minister Manmohan Singh and finance minister P Chidambaram Karunanidhi said if the Centre was unable to reconsider its decision to divest 10 per cent of its equity in NLC, the shares proposed to be disinvested could be sold to the employees.
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Railways to launch major facelift programme
New Delhi: The Indian Railway has embarked on a major facelift initiative under public-private partnership and is also seriously considering a proposal to deploy special security forces in running trains to provide upgraded security to passengers, said Railway Board chairman J P Batra.

However a Constitutional amendment was needed to deploy such forces in running trains he said. According to him the Railways was introducing a "Pilot Project" on cleanliness taking forward Railway Minister Lalu Prasad's budget announcement to celebrate 2006 as a "customer year with smile" and bids are going to be floated soon for this. "The successful bidder would upgrade Delux Toilets at A-1, A and B category railway stations under Public-Private- Partnership", Batra said. He said normal "pay and use" toilets are also to be built/or renovated on PPP model by private parties at A,B,C,D and E" category stations.

The charges would be Rs two for use of toilet and Rs five for bathing and toilet, while urinals are to be provided free, he said.

Besides renovated toilets, a successful bidder, Batra said would also provide value added services like selling newspapers and Magazines at printed rates, taxi-booking, Telephone, provision of Cloak room, automatic vending machines and medical facilities.

Batra said the financial allotment in Plan head Passenger Amenities has been increased from Rs273 crore in 2005-06 to Rs353 crore in 2006-07 as the top priorities of Railways in the budget 2006-07 would be to improve its image among the passengers in "touch and feel" areas-- safety and security, punctuality of trains and cleanliness inside and outside trains and stations.

He said a separate tender has also been invited for improving services on trains and the successful bidder would be entrusted with the supply of linen, newspaers, books and will have to ensure cleanliness in trains. Three trains with pantry cars and three without would be taken for the pilot project, he said adding that for trains without Pantry Cars, catering would also be the responsibility of the bidder.
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India turning into net food importer: UNDP
New Delhi: After many years of being a food exporter, the Asia-Pacific region, particularly India is turning out to be a net importer of food under the free trade regime, according to UNDP's Asia-Pacific Human Development Report 2006.

Richer farmers and agribusinesses are moving out of food production towards the cultivation of more profitable commercial crops, which has profound implications for more than half of the billion people living in the region with a majority in India who are food insecure. India in the last decade has largely neglected the agriculture sector as a serious decline in investment began in 1980s falling by 29 per cent uptil 1990 adversely affecting the farm growth. If India wants broad-based and equitable development, it will have to invest more in agriculture-- particularly for capital formation-- while providing price support, affordable loans, assistance with irrigation and marketing and help with storage, processing and distribution facilities, said the report released last week.

Despite impressive overall economic growth and improving levels of poverty, in South Asia including India, public expenditures on agriculture have fallen sharply to as low as 1.9 per cent in 1990. By 2001, such expenditures reached barely to 1.2 per cent and the farm sector continued to support the vast majority of sub-region's poor. The report said the Asian Governments including India need to make serious efforts at land reforms for effecting agriculture development.

In India, 71 per cent of rural households are classified as land-poor, while Bangladesh accounts for 78 per cent and Sri Lanka, Indonesia and Philippines at more than one-third of the farm population. India, like other Asian nations, is on the verge of facing net food deficit in the near future from food surplus till recently. Among Asian countries, China had a surplus till 2003 and the Philippines upto 1994. However, in Indonesia, Malaysia and Thailand, the surpluses have gone.
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India to add 100,000 MW of N-energy: Planning Commission
New Delhi: The Planning Commission has accepted recommendations to raise the nuclear energy capacity from 3,000 MWs to 100,000 MWs in 25 years amid expectations of the US Congress would endorse the Indo-US nuke deal by the end of this month.

A recent conclave on India's energy security aimed to address the need for an integrated approach to energy security in the backdrop of the Draft Report of the Expert Committee of the Planning Commssion on Integrated Energy Policy led by Dr Kirit Parikh. The Government may also retain regulatory and safety controls with the Atomic Energy Commssion consistent with accepted international norms. Dr Parikh said energy security discussions so far are mainly concerned about the availability of oil and gas and is much larger and wider so that it should really include not only energy security of the country as a whole but the energy security of the individuals also.

He said India is importing 70 per cent of its oil needs, while oil and gas constitute 45 per cent of total energy consumption in the country. That level shall continue for another 20 to 25 years if the country is to have a 8 per cent plus growth rate. The Indo-US nuke deal will enable New Delhi to access technology and fissile material from the elite nuclear suppliers group to augment electricity generation to meet the rising demand through environment friendly means.
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Draft policy to bring down drug prices
New Delhi: The draft National Pharmaceutical Policy announced by the government aims to bring down the prices of medicines by including 354 specified drugs in addition to the already existing 74 drugs under the list of essential medicines.

The Union Minister for Chemicals and Fertilisers, Ram Vilas Paswan, said, "The Government will make drugs available to the poor, especially BPL (below poverty line) families." According to the proposed policy, the 354 drugs, which have also been included in addition to the 74 drugs and their formulations, have specified strengths as mentioned in the National List of Essential Medicines.

Paswan said it had been proposed to increase the maximum allowable post-manufacturing expense (MAPE), from the current 100 per cent to 150 per cent. In a bid to give incentive to R&D in the pharmaceutical sector, the policy also proposed giving an additional 50 per cent MAPE for R&D-intensive companies.

The Minister, however, said that for the existing 74 drugs, whose prices were under control, MAPE would continue to remain at 100 per cent for another year in order to avoid sudden increase in prices. The MAPE would be increased thereafter. He also said the trade margins on generic drugs would be fixed at 15 per cent for wholesalers and 35 per cent for retailers.
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domain-B : Indian business : News Review : 03 July 2006 : general