27th aug-2nd sep

8/8/2019 27th Aug-2nd Sep

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COMPILED BY

Economic Indicators 1

Cover Story 2

Personalities of the Week 3

Business News 4

International News 8

Social & Political News 9

FMCG Sector in India 10

MAOISTS: THE WAR WITHIN

COVER STORY


2/11

2

TOP 10 HEADLINES OF THE WEEK

1. Indian economy clocks 8.8% growth in Q1.

2. DTC for gender equality.

3. SBI Chairman: I am the least-paid Fortune 500 CEO.

4. HUL execs make h istory in Uni lever geographies.

5. Dell Check-Mates HP .

6. Japan offers a plan to Kick-Start i ts Economy.

7. App for docs: iPhone to replace the stethoscope.8. Youngest Nation, oldest Cabinet.

9. Mumbai is the accident capital of India.

10. Gujarat tops job placement list

ECONOMIC I NDICATORS

Current Market Rates as on2nd Sep10

Values

Rupee / US Dollar 46.78Rupee / Euro 59.94Rupee / Pound 72.14

The origins of the Internet reach back to research in the

1960s, both commissioned by the United States governmen

to develop projects of its military agencies to build robust,

fault-tolerant, and distributed computer networks as well as

private research. As on June 2010, 28.7% of Earths

Population uses the services of Internet.

Source: www.internetworldstats.com

Statistics: Updated as on 30 th June10

The first hand held phone was demonstrated by Martin

Cooper of Motorola in 1973, using a handset weighing in at

two kilos. In the year 1990, 12.4 million people worldwide

had cellular subscriptions. By the end of 2009, only 20 years

later, the number of mobile cellular subscriptions worldwide

reached approximately 4.6 billion (67%), 370 times the 1990

number, penetrating the developing economies and reaching

the bottom of the economic pyramid.

Source: Telecom Regulators of respective Countries;

Wikipedia

Statistics: 2009-10

Current Market Rates as on2nd Sep10

Values

BSE SENSEX 18238.31NSE (NIFTY) 5486.15Gold (One Gram) in Rs. 1,874.87


3/11

3

COVER STORY: The Maoist (Naxal) problem: The w ar w ithin

Introduction: In 2006, Prime Minister Manmohan Singh referred to the Maoists as "the singlebiggest internal security challenge ever faced by our country." Intelligence reports say that theISI is using naxal network in Indi a for drug trafficking and pumping fake currency notes inIndian market. In return, Naxalites are getting the sophisticated weaponry and the process tomake and use spontaneous explosive devices.

Who are the Maoists? The Maoists, also sometimes called the Naxals, is a loose term used todefine groups waging a violent struggle on behalf of landless labourers and tribal people against

landlords and others. The Communist Party of India (Maoist) is a Maoist political party which aims to overthrow thegovernment of India.

How do they function?In their efforts to intimidate and consolidate control, the Naxalites tax local villagers, extort businesses, abduct andkill "class enemies" such as government officials and police officers, and prevent aid from getting through to peoplewho need it. To help fill their ranks, the Maoists force each family under their domain to supply one family memberand threaten those who resist with violence. Indian intelligence officials estimate that the rebel ranks in India numberbetween 10,000 and 20,000, with at least 50,000 active supporters.

Military tactics: Their strategy entails building up of bases in rural and remote areas and transforming them first intoguerrilla zones and then as "liberated zones", besides the area-wise seizure and encircling cities. The militaryhardware used by Maoists, as proved through a number of seizures; include RDX cable wires, gelatin sticks,detonators, country-made weapons, INSAS rifles, AK-47s, SLR and improvised explosive devices

Where do they operate? As of 2010, Naxalites were active across approximately 220 districts intwenty states of India accounting for about 40 percent of India's geographical area, They areespecially concentrated in an area known as the "Red Corridor . The districts that comprise the RedCorridor are among the poorest in the country.

Resources: The corridor has significant resources - in particular large unexploited mineral, forestryand potential hydroelectric generation capacity. Orissa for example"...has 60 percent of Indiasbauxite reserves, 25 percent of coal, 28 percent of iron ore, 92 percent of nickel and 28 percent of

manganese reserves..."

Who do the Maoists target? Ideologically, the Naxalites claim they are against India as she exists currently. Theybelieve that Indians are still to acquire freedom from hunger and deprivation and that the rich classes, landlordsindustrialists, traders, etc. control the means of production. Their final aim is the overthrow of the present system

hence the targeting of politicians, police officers and men, forest contractors, etc.

How are the Indian Government and other Maoist victims fighting back?When the Naxalite movement first started in the late sixties in West Bengal, it was the CPI-Mthat cracked down hardest on the Maoist rebels, with ample support from the Congress at theCentre. The CPI(Maoist) is regarded as a "left-wing extremist entity" and a terrorist outfit andseveral of their members had been arrested by the Indian Government under the defunctPrevention of Terrorist Activities Act (POTA).

Salwa Judum (meaning "Peace March" in Gondi language) is an anti-Naxalite movement in Chhattisgarh, Indiawhich started in 2005 as a people's resistance movement against the Naxalites. Initially an uprising of locaindigenous people in Chhattisgarh, the Salwa Judum movement later received bi-partisan support from both theopposition and ruling parties. A few years later the state government adopted the Salwa Judum movement in order torestore democratic rule to the regions where the Naxalites had established themselves by force.

Operation Green Hunt is the name used by the Indian media to describe the Government of India's ongoingparamilitary offensive against the Naxalite rebels. The operation began in November 2009 along five states in the"Red Corridor." As a response to the offensive, on April 6, 2010, Maoist rebels killed 75 policemen/CRPF men.

What Next?The criticism against the Maoists is that despite their ideology, they have over the yearsbecome just another terrorist outfit, and on the other hand the Government of Indias basicapproach in tackling the Maoist problem has been primarily militaristic whereas it could havebeen a right mix of legal, social, political and economic measures. Land reforms are veryimportant. They require dense road networks and the creation of a full range of governmenoffices and services in the affected areas. This will be the turning point.


4/11

4

PERSONALITIES OF THE WEEK

E. Sreedharan is an Indian technocrat, known for completing both the Konkan

Railway and Delhi Metro projects wi thin budget and ahead of schedule.

As an engineer, he joined the Indian Railways in 1954. In 1963 a huge tida

wave destroyed Pamban Bridge that connected Rameshwaram to mainland

Tamil Nadu. Though the Railways had set a target of six months for the

bridge to be repaired, E Sreedharan got it restored in 46 days.

In 1970 he was appointed as the deputy chief engineer and was put in charge

for implementation, planning and design of Calcutta metro, the first ever metro in India.

Sreedharan achieves timely completion of projects by dividing the project between sub-managers and

giving them each a deadline . He reviews daily progress reports and also meets with top staff and

consultants w eekly.

He was made the managing director of Delhi Metro. All the scheduled sections were completed by their target

date or before and within their respective budgets. Sreedharan was given the sobriquet ofMet ro Man by

the media.

He was awarded Padma Shri &Padma Vibhushan by the Government of India in 2001 and 2008 respectively

He is on the advisory board of Foundation for Restoration of National Values that strives to restore our time-

tested National and Cultural Values. The foundation aims to "bring in good values in all areas of national lifeto cleanse corruption in high places.

He once said in an interview to CNN IBN that almost all his take home salary of INR 30,000 goes to charity

and he lives on his pension.

Indra Nooyi is the Chairperson and Chief Executive Officer (CEO) of PepsiCo Inc.

MBA from IIM Calcutta, in the beginning of her career she worked with various

multinational companies like Johnson & Johnson , Boston Consulting Group and

then held strategy positions at Motorola and Asea Brown Boveri.

Nooyi joined PepsiCo in 1994 and has directed the company's global strategy for

more than a decade and led PepsiCo's restructuring and also took the lead in theacquisition ofTropicana in 1998 and merger with Quaker Oats Company, which also

brought Gatorade to PepsiCo.

Nooyis "performance with a purpose" philosophy includes fostering a culture where

employees feel valued -- looking for ways to advance minorities and women.

Under her leadership, PepsiCo also has become active in energy management, reducing its water usage and

creating biodegradable packaging. Nooyi said PepsiCo discovered creating an environmentally conscious

business has another added benefit retentions.

One can draw two conclusions from her success. First, one can be a working mother and climb the corporate

ladder while raising kids (Indra has two in their early/mid teens). Second, one can get ahead in the American

corporate environment without sacrificing ones culture.

Presently, there are only 10 Fortune 500 companies that are run by women, and Indra Nooyi is the 11th. She was

listed among Time's 100 Most Influential People in The World in 2007 & 2008 and Fortune has named Nooy

No. 1 on its annual ranking ofMost Pow erful Women in business from 2006-2009. In 2007, she was chosen

as a recipient of the Padma Bhushan award by the Government of India.

While CEO of PepsiCo in 2008, Nooyi earned a total compensation of $14,917,701.

Indra Nooyi serves as an Honorary Co-Chair for the World Justice Project. The World Justice Project works to

lead a global, multidisciplinary effort to strengthen the Rule of Law for the development of communities o

opportunity and equity.


5/11

5

BUSINESS NEWS OF THE WEEK

1. Indian economy clocks 8.8% growth in Q1 - Press Trust of India, 31 Aug

Indian economy grew by an impressive 8.8 per cent during the quarter ended June on theback of robust manufacturing growth.

Agriculture and allied activities grew by 2.8 per cent, higher than 1.9 per cent in the year-

ago period, but it is nowhere near the target of 4 per cent pegged by the government in

the medium term. Manufacturing expanded by strong 12.4 per cent in April-June, 2010

against a mere 3.8 per cent growth rate in the same period last year. Construction too grew by 7.5 per cent comparedto 4.6 per cent. The government expects economy to grow by 8.5 per cent this fiscal.

2. DTC for gender equal ity ET Aug 31

THE PROPOSED NEW DIRECT TAXES LAW will take away the special treatment that women have

so far enjoyed and force individuals to overhaul the way in which they plan their savings. Women

will be put on the same footing as men. Tax-free savings schemes will be fewer, with the

government knocking off many from the among the 16 odd available now. DTC has been cleverly

packaged. The total amount of tax deduction that will be available to individuals, including

interest on housing loans will be around 3 lakh, roughly the same as now.

The maximum a person can save on her tax burden is 24,000 and that too if she earns more than 8 lakh a year. The

door on the tax breaks front has been shut for the principal amount paid on home loans, bank deposits, equity linkedsavings schemes of mutual funds, national savings certificate, infra bonds and unit linked pension plans. The other big

blow is scrapping the incentives on leave travel allowance and home travel concession.

3. I am the leas t-paid Fortune 500 CEO- TOI Aug 28

The State Bank of India broke into the Fortune 500 club during Om Prakash Bhatts current

five-year tenure as chairman surely something to celebrate. It is countrys largest bank

with a deposit base of over Rs 8 lakh crore and a turnover of Rs 86,000 crore. He points out

that he is the lowest-paid CEO on the Fortune 500 list. (The SBI chairmans compensation in

the last financial year was Rs 27 lakh, while, on an average, a Fortune 500 CEO earns more

than $10 million or Rs 47 crore a year).

Bhatt continues: Last year, we opened 1,049 branches, a record for any bank anywhere inthe world. We opened 10,000 ATMs, another record Now you will hear that every bankwants to open 100 branches, 50 branches, 200 branches. But before that, nobody was opening many. So, in manyways, we have become the thought leader in the industry. Apart from transforming the largest bank in the country inless than five years, under him, SBI has won almost all the banking awards in India.

4. HUL execs make history in Unilever geographies-ET 30 Aug

Managers of Hindustan Unilever (HUL) are on the move, literally and figuratively (symbolically)Theres a spike in the number of HUL managers who have moved out of India to join its parentsoperations elsewhere: 40 in 2008, 140 in 2009 and 195 in 2010 (till April). Unilever is increasinglyseeking their experience of handling a diverse and complex market like India to crack other marketsand it is assigning them roles that are more important in its present scheme of things.Faced with stagnancy in the US and Western Europe, Unilever, the worlds third-largest food andconsumer-goods company, is looking at Asia, Africa, Central and Eastern Europe (AAC) as its prime

growth driver. In 2009, these markets accounted for 50% of Unilevers revenues of $39 billion.

5. DELL CHECKMATES HP - BS Sept 02

Dell has managed a coup by knocking off HP (Hewlett Packard) from the No. 1 position in theIndian personal computer market, after six years. In the second quarter (April-June) of calendaryear 2010, Dell grabbed a market share of 15.2 per cent, against HPs 14.3.

One of the biggest brand initiatives the company undertook was its national campaign Take YourOwn Path in October 2008. It was the first such campaign by Dell anywhere in the world. WhileDell seems to have made all the right moves, observers say HP has lost its personal computermarket leadership in India for two reasons: Dells focus on the retail and SME segments hasstarted paying off and its new distribution strategy is going through initial troubles.


6/11

6

6. JAPAN OFFERS A P LAN TO KICK-START ITS ECONOMY- 30 August

Prime Minister Naoto Kan proposed new stimulus steps, in a bid to kick-start its falteringeconomy and temper a punishingly strong yen, while the Bank of Japan, under pressure fromthe government, eased its already easy monetary policy.

The Bank of Japan announced Monday after an emergency meeting that it would expand thevolume of money available to banks under a special fixed rate to 30 trillion yen ($351 billion)

up from 20 trillion yen. It also introduced a six-month loan facility on top of a three-month programme already inplace, all steps aimed at raising the supply of loans to banks. The central banks board voted to leave its mainovernight target rate at 0.1 per cent. A global economic crisis led Japan to its worst recession in decades, and the

countrys recovery has looked increasingly shaky.

7. Nestl launches new campaign for Kit Kat; uses animation for the first time in

India- afaqs! Aug27

The campaign serves to take the brand's 'Have a break, have a Kit Kat' philosophy to the nextlevel; it urges busy youngsters to take a breather and notice the fun events in theirsurroundings. Nestl Kit Kat was launched in India in 1995 and was well received by consumersowing to both the 'finger format' of the chocolate as well as the way its advertising celebratedthe 'consumption ritual'.

Furthering its brand philosophy of taking a break from daily chores by consuming the product,Nestl's Kit Kat has launched a new ad campaign to extend the brand thought. The creative duties for the brand arewith JWT, Delhi.

8. Food inf lation eases marginally to 10.05%- ET 27AugFood inflation eased marginally for the second straight week as good rains boosted sowing okey crops, but the Reserve Bank of India is expected to maintain its hawkish stance on pricesThe food price index rose to an annual 10.05% in the week ended August 14 as against10.35% in the previous week. The fuel price index remained steady at 12.57%.

Most analysts expect food prices to moderate further after the good rains but inflation innonfood items still remain a matter of concern. With good monsoons the harvest is expectedto stabilise food prices, but price pressure would remain from the fuel side as diesel prices

could also get decontrolled, Madhumita Ghosh, head of research at Unicon investment solutions said.

9. State pins hopes on $90-bn corridor to prosperity- ET 27Aug

Maharastra has pinned high hopes on the $90-billion Delhi-Mumbai IndustrialCorridor, or DMIC. The 1,500-km route is expected to boost the states industrial

output by an additional Rs 20 lakh crore over the next 30 years, believes theMaharashtra Industrial Development Corporation, or MIDC. The corridor willconnect the Jawaharlal Nehru Port Trust, or JNPT, with New Delhi. The corridor,according to the plan, will divide the state into two economic influence zones theNashik-Sinnar-Igatpuri Investment Region (NSIIR) and one along the statescoastal belt. Along the route will be the Posco steel project at Vile Bhagad in theKonkan region. The South Korean major has begun construction of a distribution centre in the port area to handle alfinal products from its Vile Bhagad plant.

10. EEE to stay: No tax on w ithdrawal of savings-TOI Aug 27

The Direct Tax Bill may have been a bonanza for individual savers as proposed in the

revised Direct Tax Code (DTC) circulated in June 2010. However, the bill did not keep

the promise of lowering corporate tax to 25%, maintaining it at the current level of

30%. For individuals, the bill has proposed to continue with the exempt-exemptexempt (EEE) method of taxation on investments up to Rs 3 lakh in a fiscal year in

provident fund, pension fund and pure life insurance products. Under EEE, tax will not

be levied at all the three stages i.e. when investment is made, interest is earned and

when the money is withdrawn.

In the original DTC, the finance ministry had proposed to levy tax at the time of

withdrawal of savings, making it exempt-exempt-tax (EET). Since many protested against EET in the bill, the

government has proposed not to tax these investments even at the time of withdrawal.


7/11

7

11. AI to cut fares by 10% to grab market shar-ET 28Aug

Air India has decided to slash fares by around 10% in an attempt to shore up market share,raising the possibility of a full-blown price war in the debt laden domestic aviation industry. Thenational carrier will reduce fares by 3- 23% on 48 domestic routes effective from September 1.The cut in fares, the first since December 2008, will come in the backdrop of the carrierregistering a Rs 300-crore revenue increase from ticket sales during April-July over the year-agoperiod. The National Aviation Company of India (Nacil), the company that owns Air India, is the third-largest player inthe country with a 17.3% share of passenger traffic. Jet Airways, with a 26% share, is the leader in the domesticmarket, followed by Kingfisher with 20%. Other airlines criticised Air Indias move and said they will be forced tofollow suit and cut fares as well. According to an estimate, the airline industrys debt is around Rs 60,000 crore. As on

March 2010, Air India had around Rs 40,000-crore debt while Kingfisher had a debt of around Rs 6,000 crore. AiIndia is expected to post losses of Rs 5,400 crore for 2010.

12. New telcos may exit, set off consolidation-ET 30Aug

The telecom department (DoT) is examining proposals that would allow new mobile operators

who were given licences and airwaves under controversial circumstances two years ago, to sel

out or exit, paving the way for a possible consolidation (combination of business activities) in

the 14-player domestic telecom market. A senior DoT official said exit options were being

discussed after some new entrants approached the telecom department seeking a refund of

their 1,651-crore entry fee in return for them surrendering their licences and spectrum to the

government. Some players wanted to selectively surrender licences and spectrum in specific circles as they faced

several constraints, including funding, in launching mobile operations across all 22 geographies in the country.

13. You cant save tax on home loan principal-TOI Aug31.

The simplified Direct Tax Code (DTC) Bill introduced in Parliament on Monday, which

will become effective from April 1, 2012, holds a few surprises, including the withdrawal

of tax deduction on the principal component of housing loans. The bill, that will replace

the Income Tax Act 1961, seeks an increase in exemption threshold of individuals from

the current Rs 1.60 lakh to Rs 2 lakh and reduce corporate taxes to a flat 30%.

If you were depending on a housing loan to cover most of your deduction, the decision

to exclude the principal amount will bring it down substantially. you can avail deduction

of only the interest. There is no mention of LTA or LTC in the bill exemption list,

indicating that these sops have been dumped.

14. FMCG cos hire in small tow ns to fire up growth- ET 27 Aug

Small towns are emerging as the new big hiring zones, as consumer goods companiesdrive deep into the country. The triggers are a combination of a good monsoon thisyear, farm-loan waivers (surrender of a claim), higher disposable incomes in ruraIndia, media penetration, low-priced unit packs of 5 and 10 and governmentprogrammes like the Mahatma Gandhi National Rural Employment GuaranteeScheme.

Consumer goods giant Hindustan Unilever is hiring 25,000 shaktimaans, or sales andfield staff, to sell its products in nearly 1.5 lakh villages, tripling its rural coverage to15% in 2010, while Dabur India intends to hire 200 feet on street and indirect

employees through its stockists in villages and small towns. Marico has just finished hiring a support staff of 220 intowns like Kalod and Rangwasa in Madhya Pradesh.

15. Emvies 10: Mindshare is media agency of the year- ET 30Aug

Mindshare India bagged the media agency of the year at the Emvies 2010, Bombay Ad Club's annualawards for effectiveness in marketing. The awards had 397 entries this year, which were judged by 76

jury members. This year, a new category for the Best Media Innovation Digital was announced. Thesilver award, sponsored by Yahoo India, was given to Mindshare for their Idea Cellular campaign. Therewas no gold in this category. In a rare show, Mudra Max, for its campaign for the National Association forthe Blind, brought a visually-impaired woman on to the stage and she presented their case. Theircampaign May I Help You? received a standing ovation from an audience that moved to tears. Another case studypresented was Mindshares Fair and Lovely Choo Lo Aasmaan. A reality show on Doordarshan to make the small towngirl realise her dream, it was an appreciated effort. Both Mudra Max and Mindshare won the Peoples Choice award fothese campaigns. Mudra Max also won the Grand Emvie for the same campaign.


8/11

8

16. Textile exporters ride out of slowdown-ET 30 Aug

Textile exporters, who had been facing soft demand in key markets of the US and Europe asthe developed economies struggled to shrug off a severe economic downturn, are onceagain seeing order flow that could lead to a turnaround in fortunes.

The countrys top textile exporters including Gokaldas Exports, Alok Industries, Arvind Mills,Orient Craft and House of Pearls have seen 20% increase in exports orders in the first fivemonths of the current fiscal over the year ago period. As against this, April-August 2009 hadreported a 10% drop in orders over the corresponding period of the previous year. The

overseas buyers want to diversify their sourcing beyond China so they are turning to India,said Dilip Jiwrajka, MD, Alok Industries. The growth in demand has come on the back of

improving economic prospects in the US and Europe, besides the appreciation of Yuan that makes sourcing from Chinarelatively costlier compared with the past.

17. Brands rejig plan to tackle grey market- ET 31Aug

Nikon, Sony, LOreal, Microsoft, Tag Heuer...these are diverse brands united by one common

factor: their out-of-box approach in cracking the grey market challenge. From slashing prices

to offering value-added deals and discounts, electronics and FMCG companies are tweaking

(pulling) their business strategies to tackle the challenge that the grey market poses to their

existence. A study by global consultancy KPMG and India industry body FICCI point out that

parallel importers smuggle consumer goods from China, Japan, Singapore, Hong Kong and

Nepal, and sell them to select Indian stores who then refurbish the products with new

packaging. According to industry estimates, the worst affected segments are premium watches, gaming consoles anddigital camera. While the grey market for premium watches account for almost 50% of the total sales of Rs 1,000

crore, it constitutes 30% of the Rs 400-crore gaming console market. Of the Rs 2,000-crore digital camera market,

the grey component is around 25%. FMCG industry in India loses an estimated Rs 2,500 crore every year due to

counterfeit (imitation) and fake products.

18. With 75k cr stuck in disputes, tax dept clicks on e-solutions- ET 30 Aug

The income-tax department has proposed a national e-management system for quick disposal oftax disputes, with more than 75,000 crore, an amount close to a fifth of the governments annualdirect tax collections, locked in litigations. The new system will allow the tax department to makeoptimum use of its workforce, reduce painful wait for the disposal of tax appeals and free upresources quickly. The move is part of a series of steps planned by the government to make thetax system simpler.

19. Payout Times Here

A good increment and bonus are two things that always bring a smile to an employee. It is the

announcement of the arrival of happier times. A quick Sunday ET Manpower survey has

thrown up figures that do just that. A whopping (enormous) 80% of the companies that

responded said employees could expect a good increment this year, which will be in the range

of 7-15%. The second best word, bonus, too was up there with 56% of the companies saying

that they are planning to give out bonuses this year. Whats more encouraging is that the

bonuses could range anywhere between 10-27%. Another factor that indicates a turnaround in

the economy and in the confidence levels among employees is employee turnover. A whopping

84% companies said that employee turnover has increased in the last one year. Some companies have seen employee

turnover as high as 31%. To counter this attrition, 93% of the companies said they would be hiring more hands this

year. Companies said they will high in the range of 10-30% additional employees this year.

20. Cultivating a brand- Business Standard-Aug 30

Although Himalaya is positioned as a middle-of-the-road brand globally, market audireports place it among the top five brands by value in several crowded and competitivecategories, both in India and overseas. In face washes, for instance, Himalaya has anall-India market share of 17.8 per cent, behind Lever and L'Oreal at 19.3 per centeach, according to Nielsen's June audit report.

Overseas, in the United Arab Emirates, Nielsen's audit report shows that HimalayaFace Wash leads the category with a 20.8 per cent market share, ahead ofmultinationals Johnson & Johnson, Nivea and Olay.


9/11

9

INTERNATIONAL NEWS

21. App for docs: iPhone to replace the stethoscope TOI Aug31.

The iPhone could soon replace the doctors best friend, the stethoscope, thanks to a free application

created by a University College London researcher, Peter Bentley. He invented the iStethoscope

application which monitors heartbeat through sensors in the iPhone as just a bit of fun. More than 3

million doctors have downloaded the application which turns an Apple iPhone into a stethoscope.

Experts in the medical field have said the software is a major advance in medical technology which

has saved lives, enabled doctors in remote areas to access expertise.

In fact, in the future, it could be possible for people to conduct their own ultrasounds or monitor blood pressure

through smartphones, say the experts. More than 80% of doctors said they expected to own a smartphone by 2012.

22. Pak match-fixing stain spreads beyond Lords HT Aug30

The match fixing scandal that has rocked Pakistani and world cricket is spreading beyond theLords Test. A sting operation implicated Test skipper Salman Butt, pacers Mohammad Asif andMohammad Amir and wicket-keeper Kamran Akmal in a match fixing scam on Sunday. Policethough, have questioned all four players yet to decide whether to treat the men as witnesses orconspirators, they are likely to be re-interviewed.

Sources though indicated that any police case against players could hinge on whether the notes

that were found match the marked currency notes given as payment to Majeed by the tabloidNews of the World, which exposed the scandal on Sunday.

23. China imposes 5-year anti-subsidy duties on US chicken amid trade spats with Washington- Sept1,

2010

China has imposed anti-subsidy duties for five years on imports of U.S. chicken productsafter concluding producers received improper support, the Commerce Ministry saidWednesday amid a string of trade spats with Washington.

Importers must pay tariff rates ranging from 4 percent to 30.3 percent on U.S. broiler orchicken products, starting Aug. 30, the ministry announced. The ministry said producersbenefited from government subsidies that lowered feed prices and hurt Chinesecompetitors. The tariffs apply to chicken parts and whole birds but not to live chickens or cooked products such aschicken sausage. The trade disputes have proliferated as governments try to boost exports amid weak demand.

24. Norways Systor dials Indian cos for MNP biz-ET 30 Aug

Norways Systor Group, a leading provider of mobile number portability(convertibility) (MNP) solutions in Europe and Latin America, is poised to float a highprofile consortium (group) with Indian partners to enter the countrys MNP turf. It isin talks with a host of reputed systems integrators, including Tech Mahindra. Themuch-awaited number portability services will allow mobile users in India to switchoperators and at the same time retain their original cell numbers. Tech Mahindra has

recently sounded out DoT and Telecom Regulatory Authority of India (Trai) on its eagerness to enter the countrysemerging MNP space. Currently, the DoT has issued licences to two companies Syniverse Technologies India andMNP Interconnection Telecom Solutions for implementing number portability in India. MNP Interconnection is a74:26 JV between US based Telcordia and Deepak Talwar Consultants. DoT has split the country into two numberportability zones, with each zone comprising 11 circles. Based on the MNP tender norms unveiled in November 2008,each 11-circle MNP zone is to be serviced by a separate MNP solutions provider to pre-empt a monopoly situation.

25. Sony Ericsson sees big smartphone grow th in China- Reuters - Sep 1

Mobile phone maker Sony Ericsson said on Wednesday that it expects half of all mobilephones sold in China to be smartphones by 2015, as prices for handsets fall amid growingpopularity. Sony Ericsson, a joint venture between Sony Corp and Sweden's Ericsson, alsoaimed to become the biggest Android phone brand globally, Sony Ericsson President BertNordberg told reporters in Beijing, declining to give a timetable.

Sony Ericsson is the world's fifth-biggest handset maker, with an about 17 percent shareof the global market for smartphones. China is the world's largest mobile market, with roughly 800 millionsubscribers. The company recently introduced its first phone using TD-SCDMA, a homegrown Chinese technology usedin a 3G network operated by China Mobile Ltd, the world's biggest wireless carrier by users.


10/11

10

MISCELLENEOUS NEWS

26. Younges t nation, oldest cabinet- TOI Aug 28

India may have the youngest population among the worlds biggest countries, but it has the oldest

leader and oldest cabinet of ministers. At 78, Prime Minister Manmohan Singh is the oldest head of

government from among the 15 biggest economies of the world, which between themselves accoun

for over 70% of the worlds GDP and about 60% of its population.

In fact, Singh is only one of two heads of government over the age of 70 on the list, with ItalysSilvio Berlusconi (74) being the other. There are four in their 60s. The rest are either in their 50s or even their 40s

British Prime Minister David Cameron being the youngest at 43. To be fair to Singh, he is merely part of a larger trend

in India. Averaging 61.2 years, China is the only other country where the average age of the cabinet is above 60

years.

27. Mumbai is the accident capital of India TOI, 31st Aug10

The National Crime Record Bureaus 2008 report that says that Mumbai records as high as18.5% of total accidents in the country, while Kolkata records the lowest, 1.8%.Maharashtra records 17.2% accidents and occupies the ignominious (humiliating) numbertwo position in the national chart of tragedies. Surprisingly, Maharashtra is the only statewith reports of the pedestrian deaths (10,324). Over 3.42 lakh accidental deaths wererecorded across the country in 2008. In many cases it has been observed that flouting

traffic rules, use of mobile phone, not wearing helmet or seat belt while driving were the prime reasons for thedeaths.

In schools of Malaysia, Japan, and Singapore there is a syllabus on the traffic discipline. This has helped these

countries curb the road accident rate. Similar education should start in our country too, said a senior home

department official. A proposal to introduce similar traffic rule test for school kids and adding the grace marks to the

results has been submitted to the government, he added.

28. Gujarat tops job placement list- TOI, 29th Aug10

Gujarat has topped the list of 35 states and union territories in providing maximum

number of job placements through employment exchanges, accounting for 5.50 lakh of

the 8.30 lakh job offers facilitated by the government agency. None of the states were in

the striking distance. The second best, however, was Maharashtra followed by Tami

Nadu, Kerala, Uttar Pradesh.

29. SC to revisit own Bhopal verdict TOI, 1st Sep10

No court has ever entertained a plea for reconsideration or review of its judgment after a lapse of14 years. But the Supreme Court took the unprecedented decision and agreed to have a relook atits 1996 judgment, which had diluted criminal charges against the accused. The trial court on June7 had awarded the accused two years sentence for the worst-ever industrial disaster in 1984 thatkilled more than 10,000 people and maimed over one lakh. What followed was public outragecoupled with a shrill cry for justice from the victims.

If the CBIs plea is allowed by the SC, then there will be a fresh trial and if the prosecution succeeds in proving thecharge, then the trial court could award a sentence up to 10 years imprisonment. The petition needed to beentertained as it fell in therarest of rarecategory where the apex court could correct a judgment that resultedfrom mis-reading of solid evidence presented by CBI.

30. Free grain distribution to poor is an order: SC; TOI 1st Sep10

To protect grain from rotting, the government could consider giving foodgrain at highlysubsidised rates or free of cost to the poorest among the poor. Recalling the AgricultureMinister, Sharad Pawar had said it was impossible to implement the order and remarks oministry officials that the SCs suggestion was not part of the order, the Bench said, Theofficials will do well to check the order. It was very much part of it. The Bench said Procure asmuch as you can store properly without wasting it.

The Centre found itself again scurrying for cover over food for the poor with Supreme Court onTuesday expressing anguish at the governments casual attitude to reports of millions of tonnes of food rotting in theopen when the needy were bereft of two square meals a day.


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FMCG SECTOR IN INDIA

FMCG: Products which have a quick turnover, and relatively low cost are known asFast Moving Consumer Goods (FMCG). Examples of FMCG generally include toiletries,soap, cosmetics, tooth cleaning products, as well as other non-durables such asglassware, bulbs, batteries, paper products, and plastic goods.

Characteristics: FMCG sector has well-established distribution networks andintensely compete with the unorganized market. Key challenges for the sectorinclude complicated tax structure and GST implementation, fragmented and weakagricultural supply chain, and bureaucratic regulatory processes.

Market Size: The fourth largest sector in the Indian economy is all set to touch around Rs. 140000 crores by 2015(33.4B$) as anticipated by CRISIL. The FMCG market has been exhibiting more than 10 per cent growth since 2005and is expected to grow at a CAGR of 10-12 per cent over the next few years.

TOP 3 FMCG COMPANIES IN INDIA

A 100 year old Indian conglomerate employs over 26,000 people at morethan 60 locations across India. The non-cigarette FMCG portfolio, accountfor over 50 per cent of ITCs turnover. It has been a strategic decision togrow through FMCG where it has a strong presence in Food, Apparel,

Personal Care Products and Stationery. ITC's Agri-Business is India'ssecond largest exporter ofagricultural products. ITC is one of the India's biggestforeign exchange earners (US $ 2 billion in the last decade).

ITC is the only Indian FMCG Company that features on the Forbes Global 2000rankings for 2009 at position 987. ITC is the second in the world to win theprestigious Development Gateway Award. ITC e-Choupal won the Award for the importance of its contribution todevelopment priorities like poverty reduction, sustainability and transparency.

Hindustan Unilever Limited (HUL) isIndia's largest FMCG Company, touchingthe lives of 67% Indians with over 20distinct categories in Home & Personal Care

Products and Foods & Beverages. Thecompany has a distribution channel of 6.3

million outlets and owns 35 major Indian brands. Some ofits brands include Taj Mahal, Kissan, Knorr, RIN, Dove andLUX. HUL completed 75 years of existence in India in theyear 2008.

HUL's leadership-building potential was recognized when it was ranked 4th in the Hewitt Global Leadership Survey2007 with only GE, P&G and Nokia ranking ahead of HUL in the ability to produce leaders with such regularity.

Nestle India manufactures a variety of food products like Nescafe, Maggi, Kit Kat, Milkmaid, andNestea. The company has succeeded in meeting the expectations of the Indian government inbringing a marked change in the milk industry through its suggestion on latest dairy farming

techniques and upkeep of cows to improve the milk yield.

27th aug-2nd sep

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