October 7 Pages 27-44

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IndoAmerican News

Business IndoAmerican News

STOCKS • FINANCE • SOUTH ASIAN MARKETS • TECHNOLOGY

Honda Plans to Launch Diesel Cars in India

HSCI’s first state-of-the-art manufacturing unit was set up at Greater Noida, U.P in 1997. The green-field project is spread across 150 acres of land (over 6,00,000 sq. m.). The annual capacity of this facility is 100,000 units. The Honda Siel will bring out a 5 gear diesel car with 134 hp and will be a car to watch out as it can help boost sales

CHENNAI: Japanese auto major Honda plans to launch diesel cars in India because of increase in demand for such vehicles against the backdrop of high petrol prices, a top company official said on Monday. The company is engaged in developing diesel engines back in Japan, Honda Siel Cars India senior vice-president (Sales and Marketing), Jnaneswar Sen, said. “The Research and Development team in Japan is developing diesel engines. It is premature to say that the products will be rolled out on diesel (platform),” he told reporters here. Declining to reveal when diesel

variants would be rolled out in India, he said the proposed diesel engine was being developed for a specific market like India as most of the markets worldwide prefer petrol cars. On the “Brio” that was formally launched today, he said “Honda is targeting first time buyers and those who already own a Honda vehicle”. “So far we are present in top 20 per cent (of the market). Now (with launch of Brio) we are reaching out to many first time buyers. Besides, in our current range, we have excellent repurchase (among owners who already own

a Honda)”, he said. While the Brio costs Rs 3.95 lakh (ex-showroom) in Delhi where the VAT (Value Added Tax) is 12.5 per cent, it costs Rs 4.04 lakh (exshowroom) in Tamil Nadu where the VAT is 14.5 per cent, he said adding there was a price difference of around Rs 9,000. Brio is available in four variants. The entry level is priced at Rs 4.04 lakh (ex-showroom Chennai), while the top end model is Rs 5.20 lakh (ex-showroom Chennai). Besides Brio, Honda retails hatchback Jazz, premium sedan City, luxury sedan Civic and premium SUV CR-V in India.

Cairn India Strikes Natural Gas in Sri Lanka’s Offshore Mannar Basin

NEW DELHI (TOI): Cairn India has discovered natural gas reserves in the very first well it has drilled in the offshore Mannar Basin of Sri Lanka. Cairn had spud the well in early August and natural gas was struck last week, the company said. The Mannar basin in Sri Lanka is a frontier petroleum province that is yet to be explored. The Block, SL 2007-01-001, was awarded to Cairn in the 2008 Sri Lanka bid round. Cairn Lanka (Private) Limited is a wholly owned subsidiary of Cairn India and holds a 100 per cent participating interest in the Mannar block. Cairn Lanka acquired 1,750 square kilometres of 3D seismic data in the Mannar Basin of Sri Lanka between December, 2009, and January, 2010. Based on the 3D seismic interpretation, several prospects and leads have been identified. Cairn will drill a total of three wells in the block using drillship ‘Chikyu’. The drilling campaign will cost USD 110 million. It has been reported that measures have been taken to declare Mannar Basin, where it is said that explorations for oil have

commenced, a prohibited zone. The Director General of Merchant Shipping Shantha Weerakoon says steps have been taken to completely halt naval activities in the area and around it. He said authorities of the Ministry of Fisheries and Aquatic Resource Development too have been informed to halt any fishing activity in the area. 8 areas in Manna Basin had been identified as containing oil reserves and block No.2 has been handed over to Cairn Sri Lanka (Pvt) Ltd a subsidiary of Cairn India (Pvt. Ltd). The agreement was signed on 7th July, 2008 and the company agreed to drill 10 oil wells within three years. However, during the relevant

three years the company has not drilled a single oil well. Exactly three years after signing the agreement the President, in a cabinet paper, took steps to amend the agreement. With this amendment all taxes the company has to pay the government were annulled and Sri Lanka would get only 10% of the earnings from oil, which is the ‘royalty’ for exploration in Sri Lanka’s waters. Analysts ask whether this recourse could be called a resource that is profitable to the country when fishing is halted in the Mannar Sea which is considered a rich fishing ground. They point out that the Indian company, throughout the past three years, had done nothing regarding oil exploration and express their doubts whether the company would explore for oil this time as well.

Honda Siel cars India Factory (HSCI) in Uttar Pradesh

NRI Deposits in Indian Banks Grow by $1.2 Billion

M U M B A I ( TO I ) : Deposits of non-resident Indians with banks in India grew by $1.2 billion during April-June 2011 tenure, in comparison to the $1.1 billion rise in the corresponding period last year With the US markets giving lower deposit rates as compared to the interest rates offered by the Indian banks, the non-resident Indian community has reposed their faith in the Indian bansk. Apart from it, workers’ remittances were growing at a

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healthy rate at $6.784 billion in the reporting period, as against $6.414 billion in the corresponding quarter last year.


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