Consumer price index remains constant for February '05
New Delhi: The consumer price index for February 2005 has remained constant at the preceding month levels of 440, though prices of fuel and light have gone up and those of food, beverages and tobacco have witnessed a downward trend in February compared to January.

According to the all-India index for urban non-manual employees (UNME) data, the February figure has gone up by 3.8 per cent over a year, with the corresponding index in January 2004 being at 424.

The index of food, beverages and tobacco fell by 0.24 per cent in February this year, while that of fuel and light rose by 0.38 per cent compared to the levels in January 2005, said an official release. As for the four metros, the index for Kolkata in February 2005 (at 400 points) showed a 2.56 per cent increase over February 2004, while Chennai saw a rise of 4.34 per cent on an annual basis with the February 2005 figure at 528.

The Delhi index has gone up by 6.99 per cent over 429 points recorded in February 2004, while Mumbai witnessed a 4.28 per cent increase on an annual basis, with 438 points in February 2005. "Variation in index for various centres ranges from -1.8 to 9.4 per cent; with the largest being the case of Asansol and the least in case of Imphal," said the release.

Out of the 59 selected urban centres, 36 centres have lower annual percentage increase compared to the all-India figure of 3.8 per cent.

Two centres have recorded equal percentage increase, while 21 have recorded higher percentage increase compared to the all-India average.
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Aiyar heads for Riyadh in search of deals
New Delhi: Petroleum Minister Mani Shankar Aiyar has left for Riyadh to work out a variety of oil sector agreements with Saudi Arabia, which has one-fourth of the world's proven oil reserves. "Saudis realise the importance of Indian market. Saudi Arabia wants to take its relationships with India further," said Aiyar.

India already imports about 23 million tonnes of crude from Saudi Arabia every year, which comprises 26 per cent of the country's total crude imports, and now wishe to secure long-term contracts with an assured minimum delivery every year. Indian companies, like OVL, are also keen to get contracts to operate Saudi gas blocks.

While companies like HPCL are looking at partnering Saudi Aramco for refineries in both Saudi Arabia and India, the two companies are also exploring joint marketing activities in India. Saudi Arabia may also be roped in to maintain strategic oil reserves in India.
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Kamal Nath: Foreign Trade Policy by April 10
New Delhi: The Commerce Minister Kamal Nath, has said that the Foreign Trade Policy policy would be announced before April 10, and has ruled out any differences with the Finance Ministry on certain provisions of the Foreign Trade Policy.

Reports about differences with the Finance ministry have emerged with the Commerce ministry wanting to provide sops to the exporting community in the form of tax exemptions in order to achieve the target of $150 billion exports by 2008-09. The Finance Ministry is said to have expressed concerns over the fiscal implications of these tax sops.

Kamal Nath stressed that the policy had not been delayed and would incorporate the final trade figures for 2004-05, which would be available after March 31. Regarding the much-awaited special economic zone (SEZ) Bill, he said the Ministry was grappling with some issues that would be resolved shortly. The Bill would be introduced in Parliament in the current session when it meets after the recess, he said.
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India asks EU to address non-tariff barriers
New Delhi: India has told Luxembourg, which holds the Presidency of the European Union, to address the `serious barriers' of mounting stringency and non-harmonisation of standards, cumbersome and complex rules and frequent use of trade defence instruments that are making EU markets difficult to penetrate.

The Minister of State for Commerce and Industry, E.V.K.S. Elangovan, told the visiting EU Minister for Economy and Foreign Trade of Luxembourg, Jeannot Krecke, that India seeks the initiative and cooperation of Luxembourg in settling the issues of various non-tariff barriers on supposed ground of health and SPS standards that Indian exporters have been facing in the EU.

Elangovan said India was among the world's largest producers and providers of quality services, especially in the software sector. The EU, particularly, Luxembourg with a large aging population, would increasingly need the services of professionals in the fields of health, IT and engineering.

Jeannot Krecke listed several areas where Indian and Luxembourg companies could cooperate. These include: iron and steel sector, financial sector and software applications.
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