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Orissa government rejects Billiton's SEZ alumina project proposal
Mumbai:
The Orissa government has rejected a proposal by Australian mining giant BHP Billiton to set up a 3-million tonne alumina refinery special economic zone (SEZ) in Gopalpur with an investment of $3.3 billion (Rs14,000 crore).

The government refused to accept the offer on the ground that the project did not have any proposal for an aluminium smelter.

The state government, which is insisting on value addition to at least 50 per cent of the alumina in the state as part of its mineral policy, has asked the company to submit a fresh proposal with facilities for production of aluminium.

BHP Billiton has sought bauxite mines with proven reserve of 300 million tonne and 5500 acre in Gopalpur for the project.

The company has proposed to establish only an alumina refinery which does not ensure full value addition to bauxite, said a senior official who attended the presentation session. He said maximum value addition would ensure more employment generation as well as extra revenue generation for the state.
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India's sugar exports expected to double to 3 million tonnes in 2008
Mumbai:
Indian exports of raw sugar is likely to more than double to over 3 million tonnes in 2007-08 against an estimated 1.5 million tones exported this year, Akhilesh Prasad Singh, minister of state for agriculture, consumer affairs and public distribution, told reporters at an industry conference.

India's exports of raw sugar so far in 2006-07 amounted to 1.1 million tonnes and were expected to reach 1.5 million tonnes for the year to September 30. "I think it will be much bigger (next year)," Singh said on the sidelines of the World Beet and Cane Growers Conference, adding that exports in 2007-08 could be 3 million tonnes or more.

India's sugar production in the year to September 30 would amount to at least 27 million tonnes, and probably more, while next year's production could be greater than 30 million tonnes, Singh said. Official figures were for production of 27 million tonnes this year but farmers' estimates were for more than this, he said.

With the annual consumption at 19-20 million tones, India was headed for a surplus of 8-9 million tonnes this year, Singh said. Singh acknowledged other sugar exporting countries were not pleased about the extent of Indian exports, but said there was no alternative given the surplus output.

He also told the conference that India, which so far produced only cane sugar, was experimenting with beet sugar. India was also developing ethanol production from sugar, possibly with some capacity to export, to take advantage of the growth in demand for environmentally friendly biofuels.

Recently, India sold 200,000 tonnes of raw sugar to Dubai while traders said it could have another one million tonnes to export. Singh's statement suggested sales have progressed since the Dubai sale, despite comments last month from the head of India's sugar export corporation ISEC that India would not sell at present low prices of less than 10 US cents a pound.

Industry sources have recently said India's production this year had already passed 28 million tonnes. India , the world's second-largest sugar producer after Brazil , churned out 19.3 million tonnes in the year to September 2006.

Sugar prices are already under pressure and India 's entry could badly affect the already low world prices. New York raw sugar futures for October are trading around 9.5 US cents a pound, having dived from 25-year peaks of over 19 US cents in 2006.
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Raja advises BSNL to drop 3G stipulation; DoT questions Motorola's disqualification
IT and Communications Minister A Raja today said he has advised state-run BSNL to drop the 3G component from its 45.5 million line GSM tender, citing the lack of a policy for implementing third generation network.

If BSNL were to take the minister's advice, the public sector company may have to reconsider disqualification of US equipment supplier Motorola and its Chinese partner ZTE from the tender - a quarter of which was for rolling out 3G lines.

He, however, said it was for BSNL's board to decide whether or not to go with the suggestion.

Telecom minister A Raja, who replaced Dayanidhi Maran, is said to have written to BSNL seeking the reasons for Motorola's disqualification. The US-based telecom equipment firm had also challenged its disqualification in the Delhi High Court, which it later withdrew.

The department of telecom is also believed to have questioned BSNL's decision to disqualify US telecom company Motorola from participating in the financial bid.

Sources said some of the private players in the telecom equipment industry including MNCs were in touch with the BSNL employees unions to ensure that orders were placed with the two successful bidders. BSNL employees union had given a call for a strike on 11 July to implement the tender, which has now been withdrawn.
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domain-B : Indian business : News Review : 9 July 2007 : general