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VARGHESE PAUL Kochi

JINESH M.D.

From the Editor

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Credibility sustained, though at stake C

ountry’s inflation rate poses as a peak in front of the Union finance minister and the banking regulator (RBI) as a challenge through years. When the inflation rate stood at high pitch in view of lacklustre industrial production, high food inflation, low GDP growth, the only solace was the agricultural production at a marginal growth. However, the consumers anticipated RBI measures of revising up the repo and reverse repo rate on 25 basis points at its 13th sitting since March 2010. But lucky or unlucky, the RBI has declared a pause for a further rate hike as it expected a decline in the inflation rate with a normal monsoon this year. However, further growth is now expected to remain below trend. Even if the current rates of inflation persist till November, the likelihood of further rate hike this year is relatively low. Unlike 2010, growth is no longer strong. Indeed the growth is to slip to 7% in the last two quarters of FY 12, triggering a reversal in interest rates in Q2 of 2012. If this slowdown in growth is coupled with upside surprises in inflation, the conduct of monetary policy could become challenging for the RBI. The central bank has scaled down its FY12 GDP growth projection to 7.6% from 8% previously. Though policy analysis at the government level has to be finally resolved to kick start the investment cycle in full swing, an indication of a pause in interest rates by the RBI is expected to go a long way in boosting business confidence, at least in the near term. The key issue is whether the indication of a pause is just a breather or if we will see a repeat of 2010 or early 2011. However, the focus now seems to be shifting towards supporting and eventually stimulating growth, from clamping elevated inflationary pressures in the economy. Unlikely the previous phases, upward revisions in headline inflation and the pace of increase in core inflation have moderated recently. Though we forecast inflation to come down to a level of the RBI’s comfort zone by March 2012, risks from unfavourable commodity price movements, exchange rate depreciation and the incomplete pass through of inflationary pressures cannot be ruled out. In fact, RBI’s explicit measures on inflation could once again provide a dose of its ability to react quickly to a sudden deviation from its base line view and prove its credibility in fighting inflation.

Varghese Paul

PASSLINE October 31 - November 30, 2011

Readers' views

Pro-poor, eco-friendly ‘Think differently, act differently’ is a common dictum which we usually come across in advertisements. There are among us a few who do so. That may be the reason why some unique and utility institutions and establishments come up in certain villages in Kerala. The Resource Centre for Natural Fibres, located in the hamlet of Poyya in Thrissur district, is a brilliant example. In Kerala, we have very few centres like it, giving training and employment to the poorer sections of society and helping them earn their livelihood directly as well as helping protect the environment indirectly. Kudos to Fr Johnson Panketh, Director of KIDS, for his vision in making and marketing such eco-friendly products and also to PASSLINE (August-September 30, 2011) for having brought to light such lesser-known places as well as the craft to make products that can be used in place of plastic. May Fr Johnson’s dream of a deemed university come true! -N A Antony, Nayankara, Irinjalakuda, Thrissur district

Trailblazer Your column ‘CEO Trail’ (Aug-Sept 30) is a trailblazer as it candidly projects the modus operandi of CEOs through their profiles like those of UAE Exchange Country HeadIndia V George Antony. It may be their humble beginning and simple nature that make them capable of managing an organization and a team.

M G George Muthoot making Kerala rich M

r M G George, Chairman, Muthoot Group, has been listed among rich persons from India published by world famous magazine Forbes in its latest issue. Mr. George, a wellknown business man with a string of networks across the country, has been listed as the 50th Indian business man and also the ‘Asian Forbes’ has published his photograph along with the cover story. The magazine describes Mr George in its cover story as ‘M G George Muthoot is a billionaire by lending against the yellow metal to Indians. The ‘Forbes’ magazine says Mr George, a third generation representative of Muthoot Group started in the year 1887 shares total asset of 1.1 billion dollar with his three brothers. “ Muthoot Finance has dispersed 2.5 crore gold loans so far and holds 120 tonnes of gold jewelry. Its 3,210 branches, a bigger network than ICICI Bank, India’s largest private sector lender, gives 70,000 gold loans daily. Muthoot’s rates are still a cheaper option than the traditional village money lender.'' Magazine says in its cover story.

This column is worth reading and may help people imbibe the spirit of leadership from their exemplary lives. -Dileep Jose, Chantily, Virginia, US

Education as passion While going through the feature on De Paul International Residential School (DPIRS), I felt that we must ‘first light ourselves to enlighten others.’ Fr Dr Jos Aikkara’s academic profile is very impressive. For those who study in the institution run by him, education is bound to become not only a passion but also intoxication, so to speak. I noticed PASSLINE (August-September 30, 2011) at a friend’s house at Oakfield, in London, with its elegant cover (featuring Chief Minister Oommen Chandy and team). As for my ward, that issue of the magazine turned out to be an addendum to learn more about some of the best educational institutions. I wish to be a regular reader of the magazine and hope that it will continue to enlighten readers, including aspiring students, on some of the best educational institutions and business houses in our country. -Binny Chiyarath, Birmingham, UK.

Of business heroes While reading the interview with V C Praveen of the Gokulam Group (August-September 30, 2011), I felt that the awards for business leaders in Kerala are a right step with the right perspective, similar to the awards being given to the ‘reel’ heroes. However, the difference is that the ‘reel’ heroes become eligible for the awards after many makeups and mop-ups, but the business leaders achieve their goal by their sheer sweat and toil, without light or camera to boost their image. Hence the need to give awards to business heroes. -K K Sreenivasan, Sion, Mumbai.

PASSLINE October 31 - November 30, 2011

INFRASTRUCTURE

Why not a

Metro Waterway for Kochi? By Jinesh M D

elentless increases in the number of vehicles over the past few years and narrow and potholed roads conceived and built decades ago have slowed down the pace of development and growth of the boom town. Crumbling infrastructure, coupled with lack of discipline among road-users, has worsened the situation. Amid this chaos, piles of transport improvement reports are gathering dust. This is the situation Kochi, Kerala’s commercial capital, finds itself in. Today, over a million vehicles jostle for space on the dilapidated, narrow and precarious roads of the city. The number may double in another decade.

This is happening in the midst of the infrastructure remaining almost the same with hardly any improvement in sight.

So it is not just for today that we have to plan; it’s time for us to plan for the future also. Certainly our town planners in the past did not visualize how the city would grow, one reason for the chaos we witness on our roads. Vehicles crawl at speeds of 10 km-15 km an hour in the central business district. The situation may be slightly better in other areas, but chaos will soon reign even there unless drastic measures are taken. So what is the solution to the problems of traffic and congestion on

PASSLINE October 31 - November 30, 2011

Kochi’s roads? One solution that was suggested a few years ago was the Elevated Light Kochi Metro Rail project. After being in limbo for some time the project is reported to have received the go-ahead from the Centre. Though many people, several of them experts, say the Metro will not be economically viable for want of adequate riders and is not going to be affordable to most people, it certainly will help ease congestion on Kochi’s roads. It can be fast, can carry thousands of commuters, is comfortable and safe. Another advantage is that it will reduce accident rates, high energy consumption, fuel wastage and will have no air and sound pollution.

7 Agreed. But will it be the single best project for the city? Many beg to differ. Why not think of an additional, if not alternative, mode of transport? Experts feel that Kochiites’ commuting can change with the introduction of an attractive voyage. Boats can carry people across the city instead of crowded buses, they say. It is a possible supplementary travel option if the authorities concerned open their eyes. A voyage through canals and backwaters every day watching nature’s beauty spots will be an exhilarating experience. Besides being non-polluting, such commuting will be pleasantly smooth. All it requires is the development of the waterways in and around the city. A feasible alternative transport system for Kochi to reduce traffic congestion has been a decades-long demand

The advantages of a Metro Waterway include potentiality, low cost, eco-friendliness, practically no land acquisition and consequently no rehabilitation problems and tourism attraction. Since no government has so far bothered to look into the feasibility of an inland water transport system even for a city like Kochi surrounded by water on three sides, experts exude confidence that the city can benefit from this venture. of the people of the city. The city buses and autorickshaws having monopolized the city’s road transport system, Kochi badly needs alternative traffic options to decongest roads to become commuter-friendly. As a city expecting tremendous growth in the wake of new projects such as Vallarpadam Container Terminal and Smart City coming up, Kochi needs feasible and rapid transport systems at the earliest. Meanwhile initial work on the muchhyped Metro project has started despite a series of obstacles like problems of land acquisition, rehabilitation of displaced men and demolition of major buildings. Of course a large number of people are sceptical about the future of the project considering the prevailing vagueness contributed by its constraints. Metro rail projects (underground) have been massive successes

in metropolitan cities like Delhi and Kolkata. Kochi is a small city with narrow roads and traditional buildings. Indeed a Metro Rail project may help to reduce the plight of the commuters if it is completed in stipulated time by overcoming all kinds of hindrances. According to many, an alternative transport mode through water is the most feasible for Kochi as the city is blessed with a network of canals, backwaters and rivers in and around it, they point out. This will decongest the roads and provide an environmental-friendly voyage. It is in this context that even though the city is all set to

welcome the Metro Rail, a Metro Waterway has also come up as a topic of discussion. The advantages of a Metro Waterway include potentiality, low cost, ecofriendliness, practically no land acquisition and consequently no rehabilitation problems and tourism attraction. Since no government has so far bothered to look into the feasibility of an inland water transport system even for a city like Kochi surrounded by water on three sides, experts exude confidence that the city can benefit from this venture. Rear Admiral B R Menon, former

Chairman, Kerala Shipping and Inland Navigation Corporation (KSINC), former Chairman, Goa Shipyard and CMD, Telk Angamaly who is a pioneer in the sector constantly making efforts to convince the authorities concerned of the feasibility of a water transport system, had initiated many steps to open waterways throughout the state while he was in charge of the corporation. NATPAC had made a comprehensive study of the feasibility of emerging waterways in the entire state with the assistance of Rear Adm Menon. The study clearly shows that the state To page 9

Rail and Waterway A comparative study ‘Water

Metro’ is a term endorsed by Water Resources Minister P J J0oseph. Mr Tome Jose, Chairman of KSINC, who is also the Chairman of the proposed Metro Rail project, says Mr Joseph has Tome Jose asked for the feasibility of the Water Metro with great interest. While Metro Rail is expected to be completed by the end of 2015 (by the official calculation), completion of Metro Waterway is possible within one or two years at a much lower investment. Moreover, Metro Rail is likely to face obstacles in the form of electricity shortage. As a state where power shortage is acute, a massive protest from the public may occur in this regard if an alternative energy sector is not established. “An electric train will run between Aluva and Petta (the two destinations) with three bogies at the initial stage which can be increased up to six. Every bogie will have a capacity of 200 commuters,” says Mr Tome Jose. He adds that the project will not be carried out on PPP mode. The Metro Rail project was delayed in the early stage because of the Central Government raising serious doubts about its viability. The approval came only recently with an agreement that the Centre and the state will share the cost equally. Considering the state’s financial situation and the earlier governments’ negative approach to development, some people think that the 50% share may be difficult to be raised. Moreover, there is a possibility that the estimated cost may shoot up. Mr Tome Jose also acknowledges that the Waterway can be implemented throughout the city without much difficulty. “Though waterways are unable to

meet the demands of commuters fully, this system will obviously help cargo movement to a large extent. Besides, waterways can be developed in a short span of time,” he says. There are also doubts about the affordability of fares for Metro trains. As the very project is going to be highly costly, it is naturally difficult to benefit the common people. But in a water-based transport system, operating costs and environmental pollution are lower. Moreover, unlike other modes, the main infrastructure (the waterway) is naturally available, which only needs to be developed and maintained. Land acquisition and rehabilitation processes may be the most vexing constraints in the Metro Rail project. Leading textile shops and jewelleries which stand on the proposed route of the project face the challenge of demolition and even the North overbridge should be reconstructed. Protests by merchants and

the public have already started in this regard. This will probably pose problems for the smooth execution of the project in the stipulated time. Kochi is an important tourist destination in the state with its ancient monuments in Fort Kochi and Mattanchery and water-related tourism spots attracting large numbers of visitors. Though a few passenger boats under KSINC operate its service to various islands, there is an increasing demand for more boats from the increasing number of tourists and passengers. Waterways can to a great extent meet this demand.

PASSLINE October 31 - November 30, 2011

ISSUES

Gujarat lobbying strangles Tuskers to premature death? K

ochi Tuskers Kerala, the dream exclusive IPL team for Kerala, breathed its last recently after the Board of Cricket Control for India (BCCI) terminated it for breaching the agreement with it. The BCCI decision has caused protests from frustrated cricket lovers and development enthusiasts all over the state.

problems such as ownership, home ground, title of the team and spat with Kochi Corporation. As major stakeholders belonged to Gujarat, efforts were made to settle Ahmedabad as the home ground for the team. IPL founder Lalit Modi and former Union Minister Sasi Tharoor had come face to face on the issue which eventually led to the removal of both of them from their posts. Lack of spectators and the team management’s confrontation with the civic body were the other reasons for the tragedy.

What happened to our IPL team and what led to its premature expiry are the questions fans, cricket followers and the common people are asking. Does the one-season-long IPL team deserve an end like this? A cold war between the KCA and Can we dismiss a possible conthe Tuskers franchisee was perhaps the spiracy to quash an emerging Keralareason for the failure of the last IPL seabased team considering the Gujaratson in Kochi. The two agencies had then Dr Ajith Kumar. based lobbying before the formation Former Secretary,KCA blamed each other for all ills like lack of Kochi Tuskers? As the major of spectators and financial problems stakeholders belong to Gujarat, strong specu- that occurred during the season. “The failure of lation is rife about a possible plot having been IPL matches in Kochi was the result of lack of hatched between the team management and the cooperation between the franchisee and KCA, Gujarat lobby. which also led to the recent disastrous terminaCricket experts do not rule out such a possibility. Besides, they say a re-formation of Tuskers in a new name and new address in Gujarat points to the possibility of powerful lobbying and nepotism behind the ‘death’. “We can’t blame the BCCI for its decision to scrap Tuskers as it had already been given several chances to pay the bank guarantee. Nothing other than an indifferent attitude by the franchisee led to this disastrous end,” says Dr N Ajith Kumar, former Secretary, Kerala Cricket Association (KCA). Before the auction for new IPL teams, a Gujarat-based lobby had allegedly tried to hinder the formation of Kochi Tuskers. Kochi Tuskers, since its inception, had faced a series of

tion of Tuskers” says Dr Ajith Kumar. Moreover, the indifferent attitude of KCA and the franchisee had been widely criticized since

the starting of matches in Kerala. “The franchisee’s and KCA’s unprofessional members’ lack of experience in successfully conducting an event resulted in the season ending in heavy loss. Had the franchisee used an event management firm, it would have been a success.” Says Dr Ajith Kumar. It is clear that either the franchisee or KCA didn’t make any effort to pay the bank guarantee for the next season as they had no interest in the team. That the owners of the team failed to get a verdict in favour of their claim clearly shows that their claim was irrational. Under the terms of the agreement, the franchisee has to submit a bank guarantee every year that covers the fee payable to the BCCI. The 2010-founded team was bought for Rs 1,550 crore and the consortium has to pay a bank guarantee of Rs 156 crore every year till 2020. The consortium that owns Kochi is reported to have defaulted on an annual payment of Rs 156 crore as the bank guarantee. In April 2010, the BCCI’s working committee had rejected demands from Kochi and Pune Warriors for a reduction in their franchisee fee.

What led to the team’s removal from the IPL? Was the franchisee alone responsible? Unprofessional and indifferent attitude by

Tuskers needs to pay the amount in time. Likewise, the franchisee deserves the amount it has claimed as central revenue.

the franchisee was the main reason for the termination. The BCCI decision came only after the franchisee failed to pay the bank guarantee in time. Unlike some other teams, the franchisee comprises many individuals from different areas. This caused lack of coordination and professionalism.

The BCCI says the franchisee failed to pay the bank guarantee, while the team owners say they have to get Rs 14 crore from the BCCI. What is the truth?

Is there any possibility of a new team coming from the new franchisee based in any other state?

T C Mathew (Secretary, Kerala Cricket Association)

As bank guarantee, every team has to pay Rs 153 crore every year. So the franchisee of Kochi

Considering the failure in payment by the same franchisee, the BCCI may probably reject any such bid.

Will a new team come instead of Kochi Tuskers or will matches with the current nine teams be conducted?

A decision in this regard will be taken only at the meeting of the BCCI.

PASSLINE October 31 - November 30, 2011

9 The two new franchisees, which made their debut in 2011, had sought a 25% waiver on the grounds that the BCCI had stated in the bidding document that each team would play 18 league matches in a season. The schedule was later reduced to 14 matches per team. Dr Ajith Kumar says the Kochi team was given a discount

of Rs 38 crore last year by the BCCI after the team’s official request. The Chairman of Kochi, Mukesh Patel, however, denied that the franchisee owed the board any money. The franchisee’s dispute centers on the BCCI’s decision to reduce the number of IPL games from 94 to 74. Soon after the termination of the contract, the owners of KTK threatened legal action against the BCCI. Mukesh Patel claimed that Kochi Tuskers had never defaulted payments and that the BCCI would be paying them Rs 12-Rs 15 crore in October 2011 as part of their central revenue. Earlier Rajasthan Royals and Punjab Kings

From page 7

can develop this alternative traffic system at a comparatively low cost. “There are five canals in and around Kochi and a Metro Waterway can be built by developing each,” says Rear Adm Menon about the feasibility of the system. Edappally Canal (14.45 km),

Eleven, IPL teams, were terminated from the mega event but were reinstated after they paid money in the prescribed time. However, it is learnt that the Kerala team had been given an ultimatum about the payment date which was eventually ignored by the team management. The franchise was bought by a consortium, comprising s o m e Gujarat-based businessmen, last year for a whopping Rs 1,550 crore. According to rules, franchisees have to pay the amount in 10 equal instalments.

Who suffered the loss? W i t h the termination of Kochi Tuskers Kerala, the state has lost its chance to grow in many development sectors especially in the tourism sector. The state also lost the opportunity for a possible branding

Thevara-Perandoor Canal (9.8 km), Chilavannor Thodu (11.23 km), Thevara Canal (1.41 km) and Market Canal (0.66 km) are the five canals identified for development for water transport in the city alone. If Kochi Metro Rail project needs Rs 4,500 crore for its completion, the NATPAC report reveals

of its culture and heritage. Besides, Kerala’s emerging cricket players have received a terrible setback as they lost their entry through the IPL. Rify Vincent Gomez and Prashanth Parameswaran had been given chances in the matches last year and they had proved their talent. Though the BCCI promises that the players Kochi Tuskers will be auctioned in the coming bid, local players from the state won’t probably have this privilege. “The BCCI assurance will certainly help major players like Mahela Jayawardana, Muthaya Muraleedaran and S Sreesanth, but many Kerala players like Sreekumaran Nair, Abhishek Hegwi and Sony Chruvathoor have lost a possible debut to the international cricket through IPL,” says Dr Ajith Kumar.

"Kochi won’t have any trouble in its overall development" K L Mohanavarma (Writer and former Veekshanam daily, Kochi)

Editor,

Kerala players were noted for their performance in the last season, they will get berths in other teams. It is also likely that one or two teams may come to Kerala in the coming season. For the state, especially Kochi, the loss will be compensated in the very near future.

"Scrapping is disappointing, but I’am optimistic." Vinu Mohan (Actor) As a cricket fan and a Malayalee, I feel the termination of Kochi Tuskers is disappointing. The team came into existence to fulfil the dreams of cricket fans in the state. The team had performed exceptionally well in the last IPL in spite of lack of many international players. As the major stakeholders belong to other states, the team management might not have taken interest to retain Kochi Tuskers Kerala for the coming season.

The termination of Kochi Tuskers won’t be the end of cricket in Kerala. As a fast-growing city, Kochi won’t have any trouble in its overall development even if IPL doesn’t exist here. As

However, I am optimistic that a new team for Kerala may come up for the very next season if some eminent men like director Priyadarshan and actor Mohanlal take the initiative.

that the waterway project will need a mere Rs 160 crore. “Edappally Canal is considered to be the major canal among the five because it is more accessible, can be developed in the first phase through the public-private participation (PPP) mode and it is financially viable,” Rear Adm Menon says.

This project’s estimated cost is Rs 4,018.64 lakh and its construction can be completed in one year.

Why waterway projects are delayed Waterway projects have always been ignored ment of highways, no group has yet come to put pressure for developing waterways. by the authorities for various reasons. While bureaucracy is the main culprit, intervention by the KSINC, a Government agency, has been explorroad mafia is also a factor behind the sector reing various means for developing waterways since maining undeveloped. Some critics say cargo move1975. Except tourism-related boat services and Nament through waterways will adversely affect the tional Waterway 3 (NW3) between Kollam and purity of water because of possible Kottappuram, the corporation has not achieved leakages. Rear Admiral B R Menon, anything. Bureaucracy has always ignored the however, says that most of the counmode. tries use waterways to move cargo NW3, though the one and only navigable from one place to another considerwaterway in the state, has also been suffering ing feasibility as well as safety. He from apathy for a couple of years. The dredging suggests special routes for carrying of this canal has been finished. According to hazardous materials for cargo vessels B R Menon the final report, NW 3 is likely to be commisthrough water. “Carrying hazardous sioned by June 2012. liquids or other materials through road, rail or air is Rear Adm Menon points to the possibility of more more risky than through waterways. That’s why the navigable waterways throughout the state. The developed countries use waterways as the feasible length of waterways in Kerala is believed to be 600 route to carry those materials,” he says. The indifkm between Thiruvananthapuram and Kasargod. The ferent attitude by the agencies concerned has been whole state can be connected through waterways a reason for the sector lagging behind other modes if the authorities are ready to explore the possibiliof transportation. No strong demand has been raised ties fully in a time-bound manner with determinaby any group for the setting up of waterways extion. Large-scale encroachment by people living cept by some eminent people. While there is strong near the canals or backwaters should be stopped. support from bus and lorry owners for the developPASSLINE October 31 - November 30, 2011

According to Rear Adm Menon, the waterway projects on the five canals in the city can become an alternative transport mode both for passengers and cargo shifting. He says that Edappally, Thevara-Perandoor and Chilavannor canals are the three major canals in Kochi city aligned in the north-south direction, cutting across the heart of the city. Edappally Canal provides an easy link between the two industrial hubs of Kochi— Udyogamandal and Ambalamugal. Improving this canal will facilitate economizing the transportation cost of cargo movement between these two hubs. The development of Thevara Canal will reduce the navigable distance between Kundannur and Venduruthy backwaters. The Market Canal is passing through Broadway and Market Road, the commercial hub of the city. If developed, the canal will prove a good alternative for diversion of goods, thereby decongesting the main roads leading to the market area. Marine Drive at the starting point of the canal is one of the main tourist destinations. Thus, the development of all these canals will accelerate the development of the city by giving an option to passengers and cargo movement through waterways in addition to the augmentation of the tourism potential of the city.

ISSUES

Poverty line

Reality or myth? By Dr N Ajith Kumar

The Government has to accept this fact and redraw all its exaggerated figures and start believing that India belongs not only to the elite few but also to the majority of the underprivileged. Only then will all these achievements that have been acquired in the economic field bear fruit.

Ever since the Planning Commission gave a submission in the Supreme Court about the country’s ‘poverty line’, a very hot debate has emanated all over the country related to its pros and cons. The commission’s submission was that any person earning less than Rs 26 a day in the rural areas and Rs 32 in the urban areas alone could be considered to be below the poverty line. This virtually opened a Pandora’s box and the very credibility of one of the leading economists of India, Dr M S Ahluwalia, the Deputy Chairman of the Planning Commission, was questioned. Politicians in the opposition parties screamed for his blood and even Congress ministers expressed their displeasure though not in such strong terms. A national debate ensued and the commission beat a hasty retreat soon by stating that it had depended exclusively on the ‘provisional’ reports of the National Sample Survey Organization and they were subject to correction and change. Despite the hullabaloo, this seems a very good issue to be discussed in the present context. Poverty is social phenomenon where a section of the population is unable to have sufficient money to fulfil the necessities of life. The concept of ‘poverty line’ has always been looked upon as a good means to measure the extent of poverty in a country. It was the first President of the World Bank, Sir Boyd Orr, who

coined this term. He used two measures to determine poverty—daily income of an individual and the calories consumed per day. The interesting fact is the latter measure which saw the light of day in 1993 in India and serves as the criterion even now. The expert group of the Planning Commission in its report submitted in July 1993 recommended that any person who consumed less than 2,400 calories in his daily intake of food in the rural areas and 2,100 calories in the urban areas is deemed to be below the poverty line. The Planning Commission accepted this criterion and according to its recommendations this calorie consumption pattern was extended to all the states of India. October 16 is celebrated all over the globe as ‘World Food Day’. Figures released about India are quite flattering. It is estimated that by 2015 only 5.3 crore people in India will be there who will have a daily income of less than $1.25, the figure given by the United Nations Development Programme (UNDP) as the income indicating poverty line worldwide. At the rate at which India is developing, by 2020 there will only be 2.6 crore who can be put in the category of below the poverty line. Another paradoxical statistic which is being projected by several economists justifying the decision of the Planning Commission runs along the following lines: Rs 32 per person in the urban areas means that for a family of 5 it is Rs 160 per day per household. The corresponding sum in the rural areas is Rs 130 per day per household. On a monthly basis it is Rs 4,800 for an urban household and Rs 3,900 for the rural areas. But a glaring omission in this calculation is that it is solely dependent on consumption expenditure and does not include provision for education and health facilities. Worldwide poverty line calculation is based on the summation of food, education and health. Small wonder the US poverty line is estimated at $130 per day and the US has reported that 4.68 crore are below it.

PASSLINE October 31 - November 30, 2011

There is another side to this very amusing picture. The UNDP has reported that the per capita income of India for 2010-11 is Rs 55,462. Goa, Delhi and Haryana have reported a per capita income exceeding Rs 1 lakh. Kerala is one of the nine states with a per capita income exceeding the national average at Rs 59,000. In terms of GDP India has the fourth largest GDP at $1.01 trillion. All over the world India is being looked upon as a vibrant nation. A reference was made in the recent G-20 summit relating to the role of India, Brazil and China in helping the world economy to grow. The huge consumer base of India cannot just be ignored and it is the poor who are willing to spend more than the rich. It is also reported that there Dr M S Ahluwalia are at least 40 crore Indians who are well off and when the population of the third most populated country in the world, the US, is only 30 crore, India’s potential to become a world leader is imminent. It is in this context that reformers feel that the prestige of the nation will be at stake if there is too much discussion related to poverty in India. Small wonder they are trying to underplay the poverty issue and project the fact that the number of poor is much fewer than what is projected from certain corners. So do we conclude that the poverty line is a myth? Certainly not. At the current inflation rate of 9.72% (September 2011 figures) the purchasing power of money is on the decrease. In the name of food security rice and other essentials are being supplied at highly subsidized rates. But poverty levels have by no means diminished. The Government concedes that nearly 36 crore people are dependent on the public distribution system. If the figures given by state governments are any indication this figure goes above the 40-crore mark. At least 30 crore are outside the purview of the market and this makes it a total of 70 crore. The Government has to accept this fact and redraw all its exaggerated figures and start believing that India belongs not only to the elite few but also to the majority of the underprivileged. Only then will all these achievements that have been acquired in the economic field bear fruit.

ISSUES

Tenancy Act By Bobby John Pulickaparambil

Bid to balance conflicting interests I

t is widely agreed that the rent control or tenancy laws in India are tilted in favour of the tenants. The lawmakers of those old statutes in their wisdom felt the need for giving protection to the tenants even at the expense of sacrificing the valuable rights of the building owners who often invested their money, time and energy for constructing the buildings. The existence of a controlled economy and socialist ide-

The rental units owned by the Central or state governments, local authorities, public sector undertakings, religious and charitable institutions specified by the state government, Wakfs registered under the Wakf Act and Public Trusts registered under the Public Trust Act are exempted from the purview of the proposed Model Tenancy Act for obvious reasons. Likewise, the rental units owned by a company, university or organization and given on rent to its employees as part of service contracts are also exempted.

ology which prevailed at that time might have influenced the wise men to think so. However, the inadequacies in the legislation caused serious repercussions in the field. The people tend to resort to extra-legal remedies in the absence of an efficacious and speedy remedial mechanism in the statute. The building owners on their part tried to counter the imbalance of the legislation by collecting hefty amounts as security deposit. This led to a situation that the needy found it difficult to get a building on lease without spending a huge amount as security deposit. Later, the courts appreciating the ground reality, strived to mitigate the imbalance in the rent control/tenancy legislation by judicial pronouncements, which granted considerable relief to the building owner. According to a recent study, the estimated shortage of houses in India is 2530 million. This wide gulf between the demand and supply of housing will have a negative impact on the economic growth of the country. Availability of sufficient rental space is essential to smooth economic growth. Therefore, public policy demands a change in law to encourage the creation of more housing facilites. Rent control is a state subject under the Constitution and, hence, it is for the state legislatures to pass appropriate changes in the existing laws. Yet, the Union Hous-

ing Ministry prepared a Model Residential Tenancy Act. It is expected that the state governments will pass appropriate legislation in their states in tune with this model Act. The rental units owned by the Central or State governments, local authorities, public sector undertakings, religious and charitable institutions specified by the state government, Wakfs registered under the Wakf Act and Public Trusts registered under the Public Trust Act are exempted from the purview of the proposed bill for obvious reasons. Likewise, the rental units owned by a company, university or organization and given on rent to its employees as part of service contracts are exempted from the Act. A rental unit is defined in the Act as a unit in a building or part of a building including land appurtenant thereto, rented or available for rent for residential use and occupancy together with all housing services connected with the use and occupancy of such unit but does not include hotel, hostel, a boarding house, tourist homes or guest houses. The Act stipulates that every tenancy agreement shall be in writing and in the prescribed format. It should be either registered or notarized within three months. The Act says two copies of the tenancy agreement should be made in original, one each for the landlord and the tenant. In case of any changes in the terms of the tenancy agreement, they will be incorporated in a new agreement, which shall be registered or notarized as prescribed within 30 days of the changes having occurred. In case of joint tenants, the tenancy agreement may be entered into with all the tenants jointly or with each tenant separately. In case of joint tenancy agreement all tenants will sign it and receive a copy of it. In case of unregistered existing tenancies, the landlord and the tenant shall record terms of tenancy as subsisting on the date of commencement of this Act and get it registered or notarized within six months from the commencement of the Act.

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The proposed bill says once the Act comes into force, all tenancy agreements shall be for a period as agreed between the landlord and the tenant and as noted in the agreement. The tenant may approach the landlord for renewal or extension of the tenancy not less than two months prior to the end of the tenancy period and if agreeable to the landlord, may enter into a new tenancy agreement with the landlord. If tenancy for a fixed term ends and has not been renewed or the premises have not been vacated by the tenant at the end of such tenancy, the tenancy shall be deemed to be renewed on a month-to-month basis on the same terms and conditions as were in the expired agreement subject to any changes that may be made in the rent charged. Every tenant shall pay rent and other charges within the stipulated period as in the agreement or in the absence of such stipulation by the tenth day of next month, failing which he will be liable for interest also. In the event of non-acceptance of rent and other charges by any mode of payment by the landlord, the tenant may deposit rent and other charges with the Rent Tribunal. The Act deals with the question of inheritability of tenancies. In case of existing tenancy, in the event of death of the tenant, the right of tenancy shall devolve to his successors in the following order: spouse– children–parents–daughter-law being the widow of predeceased son. The Act contemplates that a landlord can terminate tenancy by giving a three months’ notice if the landlord bona fide requires the building for residential occupation by him, spouse, child or parent. Likewise, the landlord can exercise this power if he requires the rental unit for repair, renovation, conversion or demolition. Further, the landlord can terminate tenancy by giving 15 days’ notice if the tenant: a) has not paid rent for two months consecutively; b) has sublet the premises without per mission of the landlord; c) caused substantial damage to the rental units; d) caused nuisance or annoyance to the neighbours; e) used the premises for illegal or im moral purposes; f) violated any condition set in the ten ancy agreement. A landlord is entitled to get a compensation of double the monthly To page 13

ISSUES

Waste management: By K Vijayachandran

Unless an apex organization with minimal expertise is created, at the state level, for providing professional support to the local bodies in the disposal of municipal wastes, it will be impossible to manage the problem. Such an organization has to help the corporations and municipalities to build up their own public engineering departments, to be directly in charge of waste handling in their respective territories, as in the good old days.

aste and waste management have turned out to be a serious problem for Kerala. There is waste everywhere: we produce much more than what we are equipped to handle and dispose of. The basic reason for the mismatch is the rapid increase in private consumption on the one hand and the deterioration of infrastructure on the other due to the planned withdrawal of the public sector. Programmes for developing infrastructure through public private participation (PPP) and foreign investments have failed and the people are paying a heavy price for this misadventure. Chief Minister Oommen Chandy recently held a high-level meeting on the problem of municipal wastes as part of his governmentâ&#x20AC;&#x2122;s 100-day programme. We have been hearing, all these years, about the high-tech waste disposal programmes implemented by the four corporations and numerous other municipalities. But the reports on the review meeting by the Chief Minister indicate that the bureaucrats and the usual peddlers of technology cheated the people. There were all sorts of promises in the past for making the wastes disappear leading to generation of power and lighting up streetlights, plastic recycling and resurfacing of roads and supply of organic manure and fertilizers to the farming communities etc. But nothing much has really happened and large sums were wasted or swindled through the PPP route, and even the best among the auditing teams of the Local Fund Audit or C&AG are not in a position to fix the responsibility for failures on anybody. The only grace point is that the land procured for these scandalous projects has greatly appreciated in value over the years, and they will be registering big cash gains on liquidation. Technology talk is a very common technique for fooling the gullible and swindling of public money. Handling and disposing of municipal wastes does

not call for any high technologies. In the good old days even septic tank technology was not available for processing and disposing of human excreta. Municipalities used to have public health engineering departments responsible for the collection and disposal of wastes. Scavengers and sweepers used to work under the supervisors and engineers of this department, and public health engineering is an honourable profession in developed countries even today. True, public health engineering departments, in those countries, use more machines than men and have taken to better technologies. However, public health engineering departments have mostly disappeared from our municipalities along with the scavenging

and sweeping communities. The question how and who will keep the towns clean remains mostly unanswered. In the good old days, this was the primary responsibility of civic bodies and local governments. Media discourses and public debates on technological choices have helped them to evade these fundamental civic responsibilities. The review meeting by the Chief Minister has only reinforced this trend. There are three basic approaches to disposing of municipal wastes, and these are well known. The first is to bury them deep, the second to simply burn it off and the third to segregate it into compostable and noncompostable components and then treat the two parts separately for making organic manure or for burning and

PASSLINE October 31 - November 30, 2011

recycling. The third route was the favourite choice with most municipalities and corporations. The local government institutions hardly had any expertise for evaluating the process technologies offered by outside consulting firms and contractors. Neither had the technical departments of the state government, like the PWD, Health Department etc, any expertise. Decisions, in this regard, were taken by bureaucrats and politicians without any techno-economic evaluations of the proposals presented by the external agencies. There was little clarity on the scope of deliverables, performance specifications, time schedules, guarantees, warranties etc and most parts of the contracts were not even legally enforce-

integrated approach needed Now the focus is on using the waste heat for generating electric power, which may turn out to be costly and need to be supported by public policy. It has to be accepted that electricity from wastes cannot compete with electricity from conventional sources and need to be subsidized. able. Most of the plants did not work and many have to be demolished and machinery scrapped. There were enormous delays in project implementation, and political leaderships at different levels have changed in the meanwhile. Many places have reported accidents and explosions due to unsafe design and operation, leading to even loss of lives from criminal negligence. The bureaucrat-politician nexus, which is fairly widespread in Kerala, could easily contain such mishaps. However, problems have now worsened and there was a massive waste of public funds (of much lower scale than the Spectrum scams) that need to be accounted for. The Chief Minister has taken his review meeting when the overall situation has turned desperate because of prolonged heavy rain all over Kerala. However, even at this moment of crisis, right lessons were not being learned. According to news reports, the focus of consensus at the CM’s meeting was on the choice of technology. It is now unanimously decided that hereafter municipal wastes will be burned and no efforts made for recycling of materi-

als or making of organic manure, as in the past. The old plants and machinery will be mostly scrapped. Now the focus is on using the waste heat for generating electric power, which may turn out to be costly and need to be supported by public policy. It has to be accepted that electricity from wastes cannot compete with electricity from conventional sources and need to be subsidized. In fact, it was the refusal to subsidize the waste disposal programme as a matter of

public policy that had led to the breakdown and scrapping of the current projects. Cost of collection, handling, transportation, segregation and processing of waste were quite high compared to the income generated from waste products, and subsidies were inevitable to sustain the operations. Even in the burning-off route, most items of costs will remain unchanged, mainly the cost of collection, transport, handling and segregation, unless these operations are extensively mechanized. This part of the job was left to the illpaid informal-sector labour, including the Kudumbasree for some time, and they were not pro-

vided with proper tools and safety gadgets needed for performing a quality job. They were the weakest link in the system and the real cause for its inevitable breakdown. The experts’ team that met under the CM’s initiative has, it appears, failed to take a wholesome integrated approach to the problem of urban wastes. And, unless an apex organization with minimal expertise is created, at the state level, for providing professional support to the local bodies in the disposal of municipal wastes, it will be impossible to manage the problem.

Such an organization has to help the corporations and municipalities to build up their own public engineering departments, to be directly in charge of waste handling in their respective territories, as in the good old days. That sort of extensive programme for capacity building is the need of the hour. All talk about solving the problems through the PPP route is mere humbug, if we judge it based on the experience of other countries, developed as well as developing.

New Act evokes mixed responses From page 11

rent for the use and occupation of a rental unit by a tenant who does not vacate the unit after his tenancy has been terminated by order, notice or agreement. If the landlord intends to sell the rental unit, he shall give the tenant notice of 14 days before the rental unit is to be made available for inspection of proposed buyers. The proposed Act contemplates Rent Tribunals and Appellate Rent Tribunal at appropriate places. Both the Rent Tribunal and Appellate Rent Tribunal shall consist of one person each. The state government in consultation with the High Court shall appoint the presiding officers of the Rent Tribunals as well as Appellate Rent Tribunal. No person shall be eligible to be appointed

as Presiding Officer of the Rent Tribunal unless he has at least 10 years’ practice as an advocate. No person shall be eligible to be appointed as Presiding Officer of the Appellate Rent Tribunal unless he is a member of the state’s higher judicial service having not less than 15 years’ experience as such. The landlord or tenant may file petitions before the Rent Tribunal. The Rent Tribunal on application by the landlord or tenant will fix or revise rent and other charges payable by the tenant. The Rent Tribunal and Appellate Rent Tribunals are not bound to follow strict rules of procedure as laid down in the Civil Procedure Code, but shall be guided by principles of natural justice. From every final order of the Rent Tribunal an appeal shall lie to the Ap-

pellate Rent Tribunal within 30 days from the date of order. Such appeal shall be disposed of within 120 days from the date of service of notice of appeal on the respondent. The Appellate Rent Tribunal may confirm, vary, set aside or modify the order of the Rent Tribunal .It can also remand the case for fresh disposal. The Act says no civil court shall entertain any suit or proceeding on any matter over which the rent tribunal has jurisdiction. Thus, the draft bill, once implemented, will reduce the workload of the ordinary civil court at one hand and at the same time expedite the disposal of rent related disputes by constituting special tribunals for that purpose. The new Act evoked mixed responses. The provision for exempting

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religious and charitable institutions, public trusts etc invited criticism from different corners for lack of clarity. It is pointed out that such ambiguous provisions may cause misuse of the exemption clause and result in unending legal battles. Similarly the provisions granting vast powers to the landlord for exercising the option of termination of tenancy raised many eyebrows. The provision for termination of tenancy for causing nuisance or annoyance to the neighbours is prone to misuse by the greedy landlord. It is pointed out that the Act in this aspect is tilted highly in favour of the landlord. Anyhow, it appears that the proposed bill is an attempt to balance the interest of building owners and potential tenants and also to modernize our Rent Control Laws. Thus far, it is a welcome initiative.

PROJECTS

By G Rama Mohanan Nair

CAFE transport solutions for Kochi An excellent project in cold storage? It was in February 2010 that Cities Development Initiatives for Asia (CDIA) had sent a team of its consultants, headed by Mr Peter Turner, to find viable solutions to the transport and allied challenges Kochi faces. CAFE means Clean, Affordable, Fast and Efficient. The details of their cooperation were: Pre-feasibility study (PFS) in urban transport Assistance for tie-ups with potential financiers and

If the Government is serious about implementing any schemes for upgrading the transport system in the city in tune with the gigantic developments in the pipeline, it has to go ahead with this project wholeheartedly. There is no need to waste time and money in any more studies and reports.

Assistance to the City Corporation to plan any institutional strengthening related to project programming and implementation. There was promise of $3,87,000 (Rs 1.93 crore) for meeting preliminary expenses. Kochi and Rajkot were the only cities selected from India. There has never been a dearth of similar studies here. Previous ones made by NATPAK, RITES etc have been lying in the shelves of Greater Cochin Development Authority (GCDA) and the Cochin Corporation. District Collector Beena, Mayor Mercy Williams and Nodal Officer T K Jose expressed satisfaction over the way the pre-feasibility study of the team progressed fast at that time. Its methodology in formulating consensus by active interactions with all stakeholders concerned was also highly appreciated. CDIA is a regional initiative established in 2007 by the Asian Development Bank (ADB) and the Government of Germany, with additional core funding support of the Governments of Sweden, Austria and Spain and the Shanghai Municipal Government. It provides assistance to mediumsized Asian cities to bridge the gap between their development plans and the implementation of their infrastructure investments. CDIA uses a demand-driven approach to support the identification and development of urban investment projects in the framework of existing city development plans that emphasize environmental sustainability, pro-poor development, good governance and climate change. The team organized two workshops, which were attended by 51 community leaders from the Government and the

private sector. Government agencies included the Cochin Corporation, the Department of Local Self-Government (Collectorate), the Roads and Bridges Corporation, the Department of Transport, GCDA, the Pollution Control Board, RDI, Gosree Islands Development Authority, Kerala Sustainable Urban Development Project (KSUDP), corporation councillors, police officers, consultants, architects, business leaders, chambers of commerce and many nongovernmental organizationsâ&#x20AC;&#x2122; representatives. The workshop sought advice on identifying and prioritizing key urban transport projects in various locations of the city to achieve the vision for CAFĂ&#x2030; Transport. The projects proposed and the priorities are: intermodal interchanges, pedestrian overbridges, pedestrian precincts, road and rail overbridges, ferries, buses, traffic engineering, bus priority,

park and pay stations, roads, city bus stop upgrades and traffic management. There was consensus on creating an integrated transport system connecting water, road and rail transport. (With a single ticket one can travel by ferry, road and rail). Detailed proposals were there for creating park-and-pay stations, from where people can take public transport suiting different pockets, safe pedestrian pathways, exclusive tracks for cyclists (pollution-free healthy transport system), correcting all the gutters and draining all water into wide canals from where waste water can be pumped into the sea. Kochi has got a natural network of canals conducive to an efficient and cost-effective water transport system. The canals have to be cleaned and

PASSLINE October 31 - November 30, 2011

broadened wherever necessary. Existing ferries have to be expanded and modernized to take care of larger traffic. Construction of toilets of global standards also found a place in the PFS. Regarding project management and implementation, it was decided to establish an autonomous body on the model of the Cochin International Airport Authority Limited (CIAL). The consultants submitted their report in May 2010. Then there was the election and a new Corporation Council took charge. The report went underground. During the ward committee meetings this author had brought it to the attention of the councillors in writing that such an excellent report so painstakingly prepared should not meet with the same fate as the previous reports of RITES, NATPAK. KITCO and others. A recent media report revealed that the PFS has come to light and that with some modifications the corporation is trying to implement the project. The present Chairman of the Standing Council for Development of the corporation, Mr K J Sohan (former Mayor) was an active participant in the deliberations on the study report. When contacted, he said that the corporation is trying to get Government sanction for formation of a Special Purpose Vehicle (SPV) on the model of CIAL. But he is personally not in favour of the Metro Rail project. Let us hope that it is not going to affect the rail project as the Government is already committed to it and much headway has already been made. If the Government is serious about implementing any schemes for upgrading the transport system in the city in tune with the gigantic developments in the pipeline, it has to go ahead with this project wholeheartedly. There is no need to waste time and money in any more studies and reports. Letâ&#x20AC;&#x2122;s hope that the present Government and the Corporation Council will rise up to the realities and without mixing party politics at least in this project cooperate to see that our city remains a livable one. (The author is a former General Manager, Kerala SIDCO, and the Chief Consultant, Industrial Consultancy Services, Kochi)

HUMAN RESOURCE

The burgeoning crisis in By Sundaresh G

“Water, water everywhere, nor any drop to drink” adopted from, Rime of the Ancient Mariner by the poet Samuel Taylor Coleridge talks about the experiences of a mariner who returned from a long sea voyage. The ship accidently reaches Antarctica where they were trapped with no water but plenty of it in a different form, Ice! The second largest country in the world with a population of 120 crore is going through a similar state on the employment situation. Let us look at some real-life situations. I have been trying to get a carpenter to fix a door at my home for about two months without success. At the same time some of our clients in the high technology industry grumble as they are not getting good R & D resource in design and engineering. The list can be gruellingly long. With such a huge population why is it that we are not able to get people to work? Are we experiencing ‘the paradox of plenty’? There seems to be more buyers for few supplies. The carpenter’s is not a sophisticated job unlike the R & D resource, but we end up with similar concern. The carpenter belongs to the bottom level blue-collar workforce; let us call it the bottom of the pyramid resource. On the other hand R & D resource belongs to the top portion of the pyramid of the total workforce pyramid. The resource availability at the bottom of the pyramid should be more, especially in a country like India even with current effective literacy at 74.04% up by 9.2% from last census. The irony of it is that if Ram can write his three-letter name, he is considered to be effectively literate. Literacy is not a guarantee for employment; it merely pushes him up the value chain. If Ram applies for even a carpenter’s job, the chances are that he won’t get it,

because he does not have the knowledge and employable skills for a carpenter. This ‘education-knowledge-skill’ mismatch with jobs is one of the primary reasons for perceived shortage of employees in India.

When the job seekers at the bottom block match the bottom of the employers’ block, it is the perfect start, but practically it is not quite so. They mismatch, and diverge to form irrationally moving patterns. When we experience these kinds of patterns, there could be crunches in each segment. But since the world is moving very fast this kind of behaviour is normal. In fact it is not this pattern which is

manufacturing hub; and then an education policy (or the lack of it!) to create more technically (un)qualified manpower for it! Let us do a bit more thinking on those lines, if they knew that the world would open up for global trade, and cheap manufacturing will become easy for them with very large population, and also knew how to create a better image for a blue-collar worker (so that people work with pride), put a

Sixty years ago we needed engineers as we just started building our infrastructure, factories etc. A decade later the need started for finance and commerce professionals to build banks and financial institutions. Once we I have been trying to get a carpenter to fix a door at my opened up our economy the global opportunities home for about two months without success. At the same and demand for new busitime some of our clients in the high technology industry nesses made way for a host of new educational grumble as they are not getting good R & D resource in fields like computer scidesign and engineering. The list can be gruellingly long. ence, biotechnology and MBA. However, this also With such a huge population why is it that we are not able resulted in a majority of to get people to work? Are we experiencing ‘the paradox students migrating to these high-demand areas, of plenty’? ignoring the market demand for other jobs. Most the problem, it is the incapability of policy framework to promote techof the students ended up in these building the necessary skills and nical education and in the end beeducational courses even without know-how to justify it. This is very come the world’s largest manufacany basic interest in or passion for similar to Ram getting the job of a turer! Now it looks simple. them. Unlike in the developed coun- carpenter without receiving critical We in India still have a problem: tries we depended more on the per- skills for the job. Temporarily em- there is no change in mindset, of centages of our students’ scores in ployed, with consequences of no both job seekers and employers to their studies than in the development output and hence back to the job correct the situation. The solution of high qualities of application and market! It is also analogous when is not to create artificial inflation of innovation. All this gravitated to- Ram tries to apply for any job which the job-worthy population by means wards ‘quickfix’ courses selling on is not equal to his job worthiness. of effective literacy. It is by calibratThe solution hence should be people ing both sections of job seekers and immediate jobs. For easy understanding of the trying to apply for jobs in which they employers towards a more benefisituation let us create two indepen- are qualified to perform and employ- cial situation so that both of them dent blocks, one for job seekers and ers only hiring the job matching job win. We have to start thinking now the other for the employers. In the seekers. The real solution should as to what to do towards creating a job seekers’ block you start with the come as future-covered education balance between demand and the policies, creating future markets for supply, which indeed should start bottom consisting of manpower with such education and skills as we can from grassroots levels, but for imbasic education or no education or learn from the Chinese experience. mediate correction we should start skills, say the factory workers. The In the The Chinese situation, making Ram learn, educate and ‘middle portion’ consists of semiskilled, educated manpower. The most of the population belong to acquire skills and also to carry a ‘top’ consists of people with supe- manufacturing. First they realized positive attitude towards work, with rior education, skills and experi- where they want to be by end of the equal respect for any job. Let Ram century, say, to become the world’s win, because if he wins India wins. ence. PASSLINE October 31 - November 30, 2011

INSURANCE

Health insurance portability A changing phase By A Special Correspondent

After mediclaim portability become a reality, the Insurance Regulatory and Development Authority (IRDA) is now prepared to introduce nofrills policies in health insurance. According to IRDA, no-frills products will help in delivering affordable healthcare to a wider set of population and change the whole scenario of the sector. Earlier, the Finance Ministry had asked state-run general insurance companies to launch no-frills policies products targeting Indiaâ&#x20AC;&#x2122;s poor â&#x20AC;&#x201C;

Clarity is needed on whether the new insurer will allow the bonus sum insured, without extra premium. Not addressing this issue will ensure that the new insurer will charge premium on the bonus sum insured as well. Consequently, the policyholder will lose the real benefit of no-claim bonus. a part of its agenda of taking financial inclusion to the masses. A no-frills product will be available at a lower premium as it will exclude low-probability diseases. It will also impose restrictions on reimbursements to ensure that hospitals do not overcharge patients under the scheme. The premium is expected to be 15%-20 % lower that similar other policies. Even though no-frills products are more beneficial to costumers, they also will open a vast market to insurance companies. According to some estimates, there are between 60 crore and 70 crore people in India who do not have any medical cover. Insurance companies have realised the business potential in this segment â&#x20AC;&#x201C; Rs 70,000 crore by way of premium.

To tap this new potential, at least two insurers are in various stages of launching a basic policy to cover this group. And, more companies are planning to come up with such products. At the same time, in order to limit underwriting losses in the health sector, companies are taking some strong steps. General Insurance Council (GIC) has put a cap on brokerage fee paid to brokers on group health insurance policies. Brokerage fee on group policies has been capped at 5 % from the prevailing 15%-20% a annually of the premium. After the cap, the brokerage commission has fallen by 10%-15%. New brokerage rates came into effect on October 1, 2011. At present, cap on brokerage is limited to group policies, but GIC is likely to extend it to individual or retail policies shortly. Losses in the group health insurance policies have been going up steadily. Group health insurance has been a bleeding portfolio for general insurance companies as the claim ratio has been as high as 150%. Insurance companies have been taking steps to reduce losses by increasing the premium under group plan, but the losses continued to remain high. In the last few years, in order to increase growth, companies have been offering huge discounts on group policies. But, now, most insurers have become very cautious about this portfolio as the losses are high. A circular issued by General Insurance Council to all general insurance companies says that intermediary cost should not exceed 5% in group medical business and 10% in all other lines of business such as fire and engineering insurance. The Council has arbitrarily reduced brokerage. Now, the average brokerage is 17.5%-20%. This is a significant fall.

Portability needs more clarification Even though portability became a reality on October 1, 2011, confusions remain. This is because the guidelines issued by IRDA are not clear on several conditions, especially those related to no-claimPASSLINE October 31 - November 30, 2011

bonus and pre-existing diseases. No-claim-bonus allows a policyholder to get an increased sum insured, usually 5% for a claims-free year without paying additional premium. Clarity is needed on whether the new insurer will allow the bonus sum insured, without extra premium. Not addressing this issue will ensure that the new insurer will charge premium on the bonus sum insured as well. Consequently, the policyholder will lose the real benefit of noclaim bonus. IRDA has failed to address another major issue: the medical conditions developed by the policyholder during the period he was with the previous insurer. The net effect is that the policyholder may end up with a lot of pain and only some gain. Companies have not been able to evolve a standard product. There are variations in the policies across insurers, and porting to a new policy means accepting everything it had to offer.

he World Malayalee Council (WMC) Swiss Province is an organization of Indians from Kerala (Malayalees) living in Switzerland. It was inaugurated on July 3, 1995 at the first-ever World Convention of Non- resident Malayalees. Its main objective is to provide a non-political forum to bring together the widely scattered community of people of Malayalees/people of Kerala origin and strengthen their common bonds of culture, tradition and way of life. The charter of the organization recognizes the revolutionary transformation taking place at global levels as a result of quantum leaps in technology. WMC works towards an international brotherhood of Malayalees/ people of Kerala origin to bolster their cultural, artistic and social uniqueness and give resilience and understanding towards other cultures with which they have to co-exist and interact. WMC has made the promotion of young talent in its Europe Region as one of the key areas of activity. The council believes that the future rests

with the youth. In order to support the youth in their quest for excellence and identity, the province is in the planning stages of its annual signature programme,‘Youth Festival and Keralappiravi Celebrations’, on November 5, 2011 at Zurich/ Switzerland, that will bring together the youth of Germany, Austria, the UK, Hungary, Italy, Holland, Ireland and Switzer- George Nambuseril Chairman land. During the event 10 reputed business houses and imminent businessmen who did Kerala proud through their entrepreneurial spirit, performance, strategic direction, Jobinson Kottathil Gen. Secretary innovation and personal integrity over 25 years will be honoured. Kerala Finance Minister K M Mani will be present at the ceremony. Actor Suresh Gopi is also to be present. Many prominent person-

alities from the fields of culture, arts and politics will also be there. Every year the money thus raised has been used for charity purposes, especially for education of needy students in Kerala. The WMC was formed in April 1995 to network Malayalees around the world and was inaugurated on July 3, 1995 at the firstJoshy Pannarakunnel ever World ConvenPresident tion of Non-resident Malayalees in New Jersy. WMC also has international forums. The Youth Joseph Parukanil and Women's FoTreasurer rums have been formed in all provinces, which have three-tier structures. WMC has formed a chamber of commerce and has registered it with the Government of India as Indian

PASSLINE October 31 - November 30, 2011

Worldwide Chamber of Commerce. WMC also has initiated several employment projects to empower women. Women’s Forum: The Women’s Forum in Switzerland has been constituted with a Provincial Committee. Considering the scattered Malayalee community in various regions of Switzerland, it has been decided to have divisions in Basel, Zurich and Tessin. Youth Forum: The Youth Forum in Switzerland has been constituted with a Provincial Committee and is functionally divided into three geographical divisions—Basel Division, Zurich Division and Tessin Division. WMC Swiss Province has delegated a parental committee to guide the Youth Forum. Engineering and Technology Forum: The World Malayalee Engineering & Technology Forum is an independent member organization of WMC. Membership is open to Malayalees living in Switzerland and working in the fields of engineering, science and technology.

person who is always obsessed with the purity of white and seeks transparency and trust in business as well as in personal relations, Mr K V Zakir Hussain, the Chairman and Managing Director of Mermer Italia, will impress you when you first meet him. Zakir’s debut into business starts with the inheritance of Swadeshi Granite Pvt Ltd from his father Avarankutty Haji who founded the first full-fledged tile unit in Malabar, the Swadeshi Group of Companies. Retaining the legacy of his family, he has elevated the company into an international brand. Now Mermer has factories in Thalavadi and Hosur in Tamil Nadu , Banglore and Jaloor in Rajasthan apart from Feroke in Kozhikode. Mermer Italia is the only company in Kerala which imports marble directly from countries like Italy, Greece, Turkey and Spain. It also provides its customers with the facility of getting imported marble from anywhere in the world according to their choices,” says Zakir. But the industry faces challenges too, says Zakir. “Availability of genuine Italian marble importers is a big problem. Now the bulk of the marble and granite requirements by Kerala come from other states of the country, only a small portion being imported from other countries. Some people directly import them. There are certain regulations governing imports like a special import licence. The tax is also huge,” points out Zakir. “There is also a tendency among some people to bring low-quality products and sell them. But Swadeshi is

Mermer Italia for genuine imported marble particular about quality since we import the item directly. First-quality stones are thick and are known for their durability, though the price is high. A lot of people get cheated when they buy marble and granite, not knowing whether the items come from within the country or are imported. Consumers are unable to differentiate between good and bad. In many cases they are induced to buy products of low quality at low prices.”

ished and must have a thickness of 20mm. Genuine Italian marble can be joined with ease if it cracks. But, unfortunately, most vendors make available only second-quality products with a thickness of 14mm.” A frequent traveller, Zakir has visited many countries, mainly to gain international know-how. His energetic nature and his tremendous effort has brought many laurels to himself and Swadeshi, like the Krishna Menon Smaraka Award for best management expert and What is shocking, the Nehru Peace Founsays Zakir, is that agents dation Award for outfrom Kerala are playing K V Zakir Hussain standing contributions in the role of mediators in the field of industry and deceiving customers in big markets like Bangalore. The Government also en- commerce. The Rotary Club has courages illegal activities through its honoured him with the Outstanding new tax norms. As a result, merchants President Award and the Indian Junior bring marble and granite from different states in the guise of consumers in order to evade taxes. Since its launching, Mermer has ensured that it sells only the best-quality marble. “We are committed to increasing the awareness of people about the quality of imported marble,” says Zakir. “According to international criteria, quality marble has to be pol-

Supra reigns over power spectrum S

upra Group, pioneer in the power tions 23 years ago by using the higher technology, has been a brand name demand and lack of competitors. The since its inception in the year 1988 group has gained considerable experiunder the exuberant leadership of the ence and deep insights in to power Managing Director, Mr T J Subhash. control technology and has emerged It has carved a niche for itself in the as one of the largest and most innovafield of power in a short span with its tive designers and manufactures of quality products. Power power control products in India. control equipment, includBesides being headquartered in ing Uninterruptible Power Kochi, Supra Group has a string Systems (UPS), Inverters, of independent offices and faciliServo Stabilizers, Constant ties throughout India. The motto Voltage Transformers and of the company has always been Electronic Stabilizers are the highest level of customer satproduced under the celisfaction through quality and reliebrated banner of Supra. T J Subhash ability of its products as well as Supra still stands as the the service provided to its cuslone brand in the market among its tomers. Now the group is enriched with competitors by supplying its products million strong customers includes both of quality and durability. The solar public and private sectors. Supra Group range of products from LineOn includes consists of six companies including Solar Panels, UPS, Inverters, Lighting three manufacturing units--Supra Hi Systems, DC Power Supply, DC-DC Tech Electro Equipments (P) Ltd, Converters, Battery Chargers, SMPS Powerlink Technologies (P) Ltd,Supra and Energy Saving Systems. Electronics, LineOn Power TechnoloSupra Group had dominated the gies (P) Ltd, Supra Power Research spectrum quickly after it began opera- Centre and Supratronics(P) Ltd. PASSLINE October 31 - November 30, 2011

Chamber with the Kamal Patra Award. Zakir’s wife Niza, who is the daughter of Eastern Group Chairman (Late) M E Meeran, is a master’s degree holder with ranking from Mahatma Gandhi University. She has always been a source of inspiration and strength to her husband. Apart from being his life partner she is a Director of Mermer Italia Building Products and Swadeshi Imports and Exports. She is also a Director of the Eastern Group of Companies, Adimaly. “I got my initial training at home. It is my endeavour to keep my legacy and traditions alive, and one way of doing that is to teach our children about them,” he says. He continues his journey to expand the boundaries of success. The Zakir-Niza couple have three children—Aarzoo, Aamiya and Aman. They reside at Swadeshi Bungalow, Feroke.

Dileep Jose

Passline News Service

nna Properties, the realty wing of the famed Anna construction group, is building a high-profile superluxury villas complex near Lakeshore Hospital at Panangad, near Kochi. The Rs 22crore project named Eden Garden provides Western-style posh-villa living, each villa costing Rs 60 lakh to Rs 1.8 crore. The realty sector too had a harrowing time when the economy of the country was going through a difficult pace following the recession. Unable to cope with the situation, some left the scene in search of greener pastures. Some others quit the field in the name of diversification and a few existing ones put a break to their projects and are left in the lurch. Taking the recession time as a challenge Anna Properties ventured into the field announcing a novel method of changing the lifestyle of Malayalis. Many were sceptical about the sector achieving any growth. But this did not deter Mr Dileep Jose, Chief Executive Officer (CEO) of the firm, from going ahead with his project. Customers warmly welcomed the ‘limited-edition’ project with most of the 28 villas in it having already been booked. By yearend the villas will be handed over. The energetic and enthusiastic entrepreneur Dileep Jose, whose guts and grit enabled him to climb the steps of success, entered the real estate sector by a strange quirk of fate. Initially it was property development that he focused on. Then he moved into construction. Till now four projects, all budget ones, have been completed. It was the desire to do something different that made him think of building high-end villas. After months of planning he prepared the blueprint of Eden Garden, which is spread on a 2.5-acre site. The

project, one would agree, is a world of wonders, a dream world. It offers those who wish to enjoy every minute of their life everything—yes, almost: indoor swimming pool, clubhouse, gymnasium, playgrounds for children and adults, shuttle court, video game room, CCTV camera, high-end video system room, door camera, intercom… For those who crave Western-style living, Eden Garden is the place. There are strict security and vigilance measures adopted here. “We are selecting a negative-model marketing system for the project. It is its drawbacks that are projected to customers first. Initially customers may be reluctant. Later, thinking of the proud status of living in such villas, they will become eager to own one. This has been the experience we have had”, says Jose. As the residents of the villas are people who follow the same living styles and status, the company is able to fulfil the main purpose of the project. For five years, occupants are not allowed to undertake any repair work or alterations either inside the villas or on the frontage. Landscaping is fully done by the company. No fresh plants and also pets will be allowed in. There is a special area meant for clotheslines. To those clients who complain

Dileep Jose Yogyaveedu with wife Suja Dileep, daughter Christeena Dileep and son Emmanuel Dileep.

that if there is no freedom to plant even a hibiscus on their own yards after spending crores of rupees what freedom they enjoy, the CEO has a clear answer: “If one plants a jasmine on one’s yard the neighbour may plant a jackfruit sapling on his/hers. Later when the branches of these trees stretch out to or fall on other dwellings, altercations may arise, leading to the project losing its charm. But alterations can be effected if the residents’ association comes to a consensus.” The villas are so designed as to suit the tastes of kids, the youth and the aged. From the entrance the conveniences offered are strikingly different from those available in other such projects. Either side of the 300-foot road is lined with majestic paving tiles. And Cuban palms are used as ornamental trees. The 28foot-high Royal and

PASSLINE October 31 - November 30, 2011

Cuban farms are imported. Sitting inside, inmates can watch each movement outside the villas through special cameras. It is possible to watch the outside activities of children and their talks with people through these cameras. From the main entrance, everything is under the control of the camera. There is provision for seeing guests from inside the house and giving the necessary instructions to let them in. If guests are not to be invited inside, arrangements can be made to have talks with them in the lounges. There are also strict arrangements for preventing strangers from getting inside the complex. Eden Garden will be active till late at night. Kids and the aged can assemble, talk or play during the time. As the electric lights are arranged in such a way as to flash the beam to the floors there is no disturbance caused to those in other villas during parties etc. The swimming pool is built in such a way as the whole family can use it conveniently. There are separate timings for men and women and shallow spaces for children. It will be underground cabling for electrical work. Facilities like 24-hour security, guest car parking, utility bill payment, driver’s rest room, caretaker, LPG supply through pipes, power transformer, solar water heater etc will be available in the villas. There won’t be walls around and gates for villas. Instead, it will be dwarf iron fencing that will decide the boundaries. In cases where occupants go abroad after buying their villas, a special team of workers will be deployed to maintain them and nurse the gardens. “Another project of Anna Properties is Queenslands, coming up near Amrita Hospital at Edappally. As a builder my aspiration is to build a few quality housing projects, projects with a rural touch and background having pocket roads, ponds, wells etc’’, reveals Jose. -Response Feature

World-class swimming pools make waves in Kerala D

esjoyaux Pools, the French multinational company headquartered in France, is spearheading a revolution Kerala vis-à-vis branded world-class swimming pools. Desjoyaux Pools has an enviable track record of having built over 2,00,000 swimming pools worldwide since 1966. With 650 branches in 80 countries, this French global giant has the biggest swimming pool factory in the world – spread across 40,000 square metres. The world’s leading manufacturer of high-end, customised swimming pools has been certified by Bureau Veritas, which is considered as the ultimate global quality certification. Desjoyaux pools are built to last, and carry a guaranteed performance for 10 years. Desjoyaux Pools has the widest sales and service network throughout the world. It is manned by the company-trained professionals with years of experience in setting up pools, incorporating the most advanced technological know-how, which has helped reduce the time span for the pool construction to 10 days. Each component used in the construction of Desjoyaux swimming pools conforms to impeccable international quality standards, thereby ensuring hassle- free performance. Desjoyaux swimming pools have unique features such as silent and lower power consumption pumps that save on electricity and are high on performance. The sophisticated concrete casing technology makes possible an advanced structure. Desjoyaux claims one of the most advanced filtration unit that is environment-friendly as well as the most sophisticated and economical system that leaves you with a filtration of 6-15 microns. It is superior, active and its permanent casing, along with the most advanced liner, gives you trouble-free pool performance. Desjoyaux pools do not require a separate pump room. Less piping requirements, along with eco-friendly and compact filtration techniques, give you the purest water in your swimming pool, lending credence to this global brand’s quality assurance. Desjoyaux Pools operations (marketing and service) in Kerala is headed by Regional Manager Jafar Ali, a thorough professional, who had an earlier stint with the global giant’s corporate office in France and was at the helm of affairs of the Desjoyaux operations in Phukhet (Thailand), before moving back to Goa (India) and thereafter assuming his present assignment in Kochi (Kerala). He was able to establish the Desjoyaux Pools brand in Kerala in a

leading position as a brand to reckon with within a short time span of six months. At present, Desjoyaux has sales and marketing centres in Thrissur, Malappuram, Kozhikode, Kochi, Kottayam, and it is in the process of opening centres in Ramanathapuram and Coimbatore in Tamil Nadu. This unexpected success in sales has been contributed by the Keralites’ changing

lifestyles of the large number of NRI Malayalees who aspire for high living standards. Jafar Ali candidly says: "Requirement for Desjoyaux Pools comes from far-flung places in Malappuram, Kozhikode, Jafar Ali Thrissur and Kottayam. This, in fact, was beyond our expectations." Desjoyaux has built swimming pools for leading clients like Hi-LITE Builders, National Builders, BCG, and

Taj Group of Hotels. A world-class branded Desjoyaux swimming pool can be installed at a location of your choice at a modest price range starting from Rs 5 lakh (depending on pool size). It also carries the best-in-class after-sales service, fully conforming to its global standards. For query or estimate preparation for a Desjoyaux swimming pool, contact Jafar Ali, Regional Manager, Desjoyaux Pools, Kochi, Kerala.

-Response Feature

PASSLINE October 31 - November 30, 2011

Infopark intends to ‘sell’ Kerala as an IT brand Passline News Service

own campus in the second phase.

T he Kochi-based Infopark, which has contributed in a big way towards state-of-the-art infrastructure development for IT and ITES companies in Kerala, will continue to do so, in fact in a bigger way. ‘Athulya’, the last complex in the first phase of the development, has been completed, and the ovalshaped building has already been rented out for occupation. The second phase is planned on 160 acres of land and Gigo Joseph expected to create 80,000 jobs in eight years. The work, started according to the cannon designer’s master plan, includes buildings of 80 lakh sq ft. The first building of 4 lakh sq ft is expected to be completed by December 2012. Infopark is looking for co-developers and IT companies to develop their

The companies giants like TCS, Wipro, Ernst & Young, ACS and Cognizant show how well the brand Infopark Kochi has positioned itself on the global IT map. The Central budget of 2011-12 has anticipated GDP growth of over 9%, considering the pace of growth in the sectors like service, manufacturing and agriculture. Infrastructure development has been given a lot of fillip in the budget with an allocation of Rs 2,14,000 crore for development and promotion, and Rs 30,000 crore as tax-free infrastructural bonds. The budget has also raised the limit of foreign institutional investment (FII) in the real estate sector to $25 billion from $5 billion. These measures will step up the private participation in the real estate sector to contribute to the proposed growth to $1 trillion during the Twelfth Five-Year Plan. The spurt in the demand for space was witnessed in 2010, too,

despite a slowdown in the economy. The supply of the space in the first quarter of 2011 was 7.07 million sq ft, out of which 6 million sq ft was absorbed. Bangalore, the hub of the country’s IT activity, led transactions by absorbing 36% of the supply, followed by Pune, Noida, New Delhi, Mumbai, Hyderabad and Chennai. The scenario is not different at Infopark Kochi. The demand for builtup space is increasing. Infopark is not in a position to cater to the builtup space needs according to the demand. As a part of the ‘hub and spoke’ model, Infopark is also expanding its operations to Koratty and Cherthala. In Koratty 50,000 sq ft has been developed so far foreseeing a special economic zone (SEZ). Cherthala will be an ideal destination for BPO companies because of low cost of operation. There are 15 colleges and 10 schools in and around Cherthala. Hence, the availability of human resource will not be a problem for BPO

KSFE poised to become global brand of Keralites Passline News Service

erala State Financial Enterprises (KSFE) has an enviable position among the public sector companies in the state. Unlike other public sector companies, it has been making profit right from its inception and it enjoys the privilege of having supported the state’s successive governments by meeting their financial needs from time to time for developmental activities. The nonbanking finance company (NBFC) also extends its services to the general public including financially weaker sections of society with a number of financial products apart from chitties, which is its core area of operation. Setting up standard methods for the chitty business in the state, it has entered the field of gold loans, housing finance, personal and vehicle loans, car loans, trade loans and bridge funds –popularly known as chitty loans with a reasonable and affordable interest rate. Mr P Rajendran, the new Managing Director of KSFE, is a person

with a lot of innovative ideas and plans to take the organization to new heights and make it a global brand among non-resident Keralites (NRKs) for safe investment. The well-experienced Mr Rajendran is a total professional who joined KSFE as a Senior Manager and was heading its Northern Region with 40 branches. He exP panded the branch network to 60 within a short period. His administrative acumen and thorough knowledge of branch-related affairs saw him shifted to the Head Office in 1995, and he was promoted as General Manager Business. About his priorities and plans, Mr Rajendran tells PASSLINE: “When I assumed charge as GM Business the total business was Rs 700 crore and now it is Rs 12,500 crore. According to our Vision-2015, a road map for 2015, we anticipate further growth in the business to the tune of Rs 24,000 crore.” KSFE, he says, was established with certain objectives, the most important being to provide a reliable and

alternative platform for the common investor community of the state with accessibility to funds at reasonable interest for their financial needs. During the budget session, Finance Minister K M Mani announced up to Rs 1 lakh as education loan for the weaker sections of society at 12%, out of which 4% would be subsidized by the Government, the net rate beRajendran ing 8%. KSFE, says Mr Rajendran, is in the forefront in different areas. “Figures alone will reveal the facts. As an organization and a PSU it is number one in the state. We made the chitty business a decent and transparent one inducting professionalism into it. As a PSU, KSFE is the only state organization providing Rs 1,500 crore to the exchequer, which is being used for developmental activities. We also paid Rs 230 crore as income tax last fiscal,” Besides the core business, KSFE has its footprints in all the areas of financial activity. The Suvarana Varsha Chitties launched

PASSLINE October 31 - November 30, 2011

companies. According to NASSCOM, the IT and ITES sectors are poised to grow at the rate of 16% to 18% in 2012. In 2010, Kerala’s export earnings in IT amounted to Rs 3,500 crore, out of which Rs 850 crore was Infopark’s contribution. This means that Infopark has to add more space to cope with the demand. Athulya was fully taken up even before its completion. A lot of enquiries from the SME and MSME sectors are in the way for built-up space. The second phase is expected to address the huge demand. Mr Gigo Joseph, CEO of Infopark, makes it clear that as a part of the future plans for the IT sector in Kerala in general and Infopark in particular, he “intends to promote a council to ‘sell’ the state as a brand to destinations such as Australia, the United Kingdom and the United States.” Trade shows and road shows have been planned in these countries to promote Kerala.

on the first day of the Malayalam month of Chingam has received tremendous response. There are a lot of additional prizes announced with this chitty. For the well-being of Malayalees abroad KSFE has planned many products including chitties for construction of houses, educational purposes, marriages etc. Pravasi Bandhu Chitty is the most prominent among them. The kith and kin of NRI Malayalees in large numbers are investing in this chitty. Mr Rajendran says 25% of the total clients of KSFE are NRIs. Vision-2015 envisages unprecedented growth for KSFE in all areas. The number of branches is expected to increase to 560 from the present 400 by 2015 with employee strength of 5,000. The number of accounts is expected to grow from 21,35,000 to 25,00,000. Advances and deposits are likely to go up to Rs 4,300 crore and Rs 5,300 crore, respectively, by 2015. Mr Rajendran thinks that applying for a banking licence now is not feasible. “We will keep our identity as one of the best NBFCs in the country for the time being and we will strive hard to make KSFE a more visible brand among Malayalees all over the world,” he says.

eldom has a builder carved a niche for itself in the building industry within 48 months of inception. Seldom has a builder been loved by its customers for the projects delivered. Seldom has a builder been looked up to for the high standards it has set in construction and service. If there’s one builder that has done all these and more it is Asset Homes. Asset Homes owes its birth, growth and success to three gentlemen. K A Mohammed Saleem, the founding visionary of Asset Homes, and his partners Sunil Kumar and Anil Varma. Today Asset Homes is one of the most trusted builders in Kerala and also the most awarded. It has won several awards and accolades since its inception in 2006. To a name a few, it has been honoured with the real estate industry’s most prestigious award - International Property Awards in association with Bloomberg TV and Google 2011. Asset Homes is also the recipient of the coveted CNBC Awaaz Crisil Credai Award in 2010, for India’s most innovative project.

dustry and the awards gathered, what has made Asset Homes a success story is its humane touch. As a responsible corporate citizen, Asset Homes has always given due importance to the community and environment. Another factor that contributed to the success of Asset Homes is the segmentation of the products delivered. Asset Homes has developed different products to cater to customers from different market segments. In fact Asset Homes has been able to accomplish many projects, simultaneously, in different locations across Kerala and perhaps it’s the only builder that has completed 24 projects in a record time of just 48 months since its inception. Providing value added service to customers is another key feature of Asset Homes. Thereby it has diversified its brand with Asset Care for value added customer care, Zing for lifestyle interiors & Summit Suites business hotel. Asset Care takes care of any need in interior designing, property management, rental services and maintenance. Zing offers a wide range of exclusive lifestyle interior furnishings and decorative. These value added services are offered from the time the customer gets in

touch with Asset Homes to the time the customer owns an Asset home and settles down. If Asset Homes has grown to be a trustworthy and respected brand today, it’s because of the four pillars associated with it — Good Location, Quality Construction, Quality Service and On-time delivery. And along with this unprecedented growth, the brand positioning too has moved from ‘Celebrating Relationships’ to ‘The Responsible Builder’ for a simple but solid reason- because the ultimate customer delight can be provided only by a responsible builder. And the responsibility is not just confined to the customer but also to the environment, the society and the employees.

Apart from the new standards set in the in-

Asset Homes devotes a considerable amount of its resources to community development. Saleem is an active Rotarian, one of the key initiators for the Cooperative Hospital, Kakkanad, the Founder Member of the Pain and Palliative Clinic, Kodungallur, and the Director of Organic Kerala. These roles have given him an opportunity to fulfill his social responsibilities and contribute towards empowering the society. “The company has formed a charitable trust to support education, health and environment. These activities help us achieve excellence, while contributing to the environment we live in,” says Director Sunil Kumar.

Sunil Kumar Anil Varma

PASSLINE

October 31 - November 30, 2011

K A Mohammed Saleem

Through quality construction, innovative design, on-time delivery and environment friendly initiatives, Asset Homes has built a solid reputation and aims to be a benchmark in the industry. The group’s dream is to spread its wings to more towns in Kerala. And it will soon be venturing into automated construction with adherence to government policies, adds another Director Anil Varma.

Advantage Kochi Why will Kochi remain buoyant? Mohamed Saleem says: “The level of house purchase in Kochi will remain healthy for two main reasons: One, Kochi is a growing city. Its growth can’t be stopped. Therefore, the demand for homes will persist. There is no proof of the land and flat prices falling. Two, there is very little land remaining vacant or available for construction in Kochi. As land prices increase, so will apartment prices. Hence, many feel

that there is no point in putting off buying a flat.” Another key factor that boosts the real estate market is the growth in job and income. Tourism and IT especially are stimulating the growth of Kochi. Smart City is expected to create 45,000 jobs. The expansion of Infopark will also create more jobs. The International Container

Transshipment Terminal (ICTT) at Vallarpadom also is contributing to the demand for more houses. Yet another deciding factor in housing is the non-resident Indians (NRIs). Not only non- resident Keralites (NRKs) but also NRIs belonging to other states are either buying land or flats like never before. NRIs from other states are finding the real estate

sector in Kochi a good sector to invest in. Kochi has advantage over cities such as Bengaluru and Hyderabad as Bengaluru and Hyderabad have almost reached, or are reaching, saturation point in building activity. Kochi being a rather late entrant, can expect to be buoyant for another 2-3 decades. Demography also adds pressure to housing in Kochi. With about 30% of the city’s population being below 15 years old, there will be thousands of young people reaching their marriageable age and wanting their own homes, for many years to come.

The Realty Plus Excellence Awards 2011 Asset Homes bagged the Realty Plus Excellence Awards 2011, presented by Realty Plus, the widely circulated national magazine on real estate. This award is given to the region’s top property-market players for their outstanding contribution to the industry. The Realty Plus Excellence Awards 2011 was handed over by R Ashok, Minister for Transport and Home, Government of Karnataka, at a function held in Bengaluru. The awardees were chosen after a rigorous selection of developers from the entire Southern India region. Managing Director K A Mohamed Saleem And Directors Sunil Kumar and K Anil Varma with Minister Kamal Nath.

Awards, honours and recognitions CNBC Awaaz-CRISIL Award: Asset Homes bagged the CNBC AwaazCRISIL Award, which is for the most innovative project. Asset Silicon and Cyber Heights, at Kakkanad, were identified for the prestigious award. Asset Homes is India’s first builder to be honoured with this award, which is one of the six major national awards of CRISIL-CREDAI for excellent performers in the building sector. The award was handed over by Urban Development Minister Kamal Nath to Asset Homes Managing Director K A Mohamed Saleem And Directors Sunil Kumar and K Anil Varma at the CREDAI NATCON 2011, the National Convention of Confederation of Real Estate Developers Associations of India, held in Singapore.

SevenStar rating Asset Homes was honoured with Seven-Star rating by the prestigious rating agency CRISIL in 2010 for its project Asset Signature, the digital homes project in Thiruvananthapuram. The company was chosen for the award after considering its excellence in parameters such as Developer Quality, Construction Quality, Legal Documentation, Financial Planning, and Innovation. This is Kerala’s first and only completed CRISIL Seven-Star-rated project.

Asset Silicon and Cyber Heights were selected for the award considering the innovative use of digital technology, construction technology and funding mechanisms. The property is also Kerala’s first digital home that combines the most innovative and contemporary trends in digital technology and architectural design to provide a new perspective to living.

Vocational Excellence Award 2009-2010 Asset Homes Private Limited was selected by Rotary International District 3201 for the Vocational Excellence Award 2009- 2010 in recognition of excellence shown by the company in its chosen field. Asset Homes was acknowledged as a renowned builder that has achieved excellence in sales, after-sales service and on-time project completion.

Directors of Asset Homes receiving the award from Stuart Shield, Chairman, International Property Awards in Shangai, for the highly commended architecture of Casa Grande. -Response Feature

PASSLINE October 31 - November 30, 2011

NeST Infratech

Pioneering the concept of integrated townships

NeST Infratech is the realty and infrastructure division of the multinational, billion-dollar NeST group conglomerate, headquartered in Chantilly, Virginia, the United States. It has offices in locations across Europe, Japan, India, the Middle East and Australia.

ness applications, insurance, GIS and call centres. The group has forayed into non-technology businesses like food processing, mineral water and distribution.

and style ‘The World.’ These worldclass integrated townships comprise villas and apartments starting from Rs 10 lakh onwards. A unique feature is the international model of inclusive development with Mediterranean, English style, contemporary and traditional Kerala style Nalukettu villas.

Every division of the group has a success story to tell. The group has its own Founded in 1991 by brothDr Javad Hassan engineering college, school The Contemporary style ers Dr Javad K Hassan and and a finishing villas at ‘The N Jehangir, the NeST Group has helped school for fresh engineers and World’ cater to a new and companies across various industries MCAs. fashionable trend in living leverage technology to implement soIt was after setting benchand offer privacy, space and lutions that dramatically increase emmarks in other segments that comfort and the security of ployee productivity, reduce cost of opNeST entered the realty seca gated community living. erations and ensure the highest level tor with the launch of NeST of security for their business data. ToA villa was originally an Infratech, which offers excluday, it brings the same dedication in ancient Roman upper-class sive living options at planned Althaf Jehangir countryhouse. Since its oriexcellence and innovation in creating locations across India. It is the finest homes across India. gin in the Roman villa, the idea and powered by the dynamic character and functions of a villa have evolved conNeST has been able to gain a firm vision of its directors Dr Javad Hassan, siderably. foothold in the IT sector, which, in turn, Chairman, Jehangir, Managhas spurred it to diversify into other Mediterranean villas are ing Director, F M Shamier feasible sectors. The group today is a Marickar (Director and CEO, characterised by their palawell-diversified global company having NeST Infratech), and Althaf tial interiors and imposing established businesses in manufacturJehangir (Executive Director, facades. They do not have ing various verticals like electronics, RF NeST Group). open terraces but have roofand wireless, cable and wire harness, ing. NeST Infratech is piofibre optics, sheet metal, plastics, box English villas were based build, IT and ITES, expertise in engineering the concept of inteShamier Marickar on the Roman villas of earlier neering software applications, busi- grated townships in the name PASSLINE October 31 - November 30, 2011

times, and gradually they also evolved from their earlier vast sprawling areas to suburban bungalows. The conventional Kerala Nalukettu villas have always figured in the dreams of Keralite home-seekers, more so if they are non-resident, since they are often nostalgic about the bygone days. Nalukettu villas, meticulous Jehangir in their details, are NeST’s glowing tribute to Kerala’s rich architectural tradition. It is hoped that this project will herald a revolution of sorts by making housing affordable to all. These townships will have all modern world-class facilities, including superior landscaping by international architects, large open spaces for recreation, tennis, badminton and squash courts, swimming pool, and jogging tracks. ‘The World’ concept is being launched in Aluva and Thalassery and shall soon be replicated in all major cities across Kerala.

JKH Signature NeST JKH Signature is an ultraluxury waterfront apartment project on the banks of the Periyar that is claimed

to be unparalleled in the finishes and amenities offered. It is a dream project of NeST Chairman Dr Javad K Hassan and will have 2 penthouses and 46 residential apartments. It is packaged with gold-class amenities like centralised air-conditioning, personalised lift, video door-phones, private landscaped gardens, infinity pool with waterfall, sky squash, tennis/badminton courts, private boat jetty, and home automation systems.

Orchid Park NeST Infratech is also building Orchid Park, a 2BHK and 3BHK super-luxury apartment project, situated at Kalathippady, in the heart of Kottayam town. Located in the land of letters, latex and lagoons, Kottayam is a vantage point to places of relevance and reverence, be it educational institutions, religious shrines, conveyance or convenience stores.

Electroville The first special economic zone in the private sector in Kerala, the Rs 2,500-crore, state-of-the-art project is coming up in 30 acres of land at Kinfra Park at Kalamassery, Kochi. It will comprise 2 million sq ft of notified Special Economic Zone space for electronics hardware manufacturing, software and information technology-enabled services and 1.5 million sq ft of world-class shopping mall space with multiplex, an international exhibition and convention centre, 5-star hotel apartments, commercial office spaces and residential condominiums of which Electroville is one. Once com-

pleted, it will be among the most-sought-after centres of activity to dot the Kochi skyline.

NeST property management services NeSTâ&#x20AC;&#x2122;s Project and Asset Management Agency offers a complete range of services, namely, handling township management, including housekeeping, security, mechanical and electrical services, environmental health and safety management, horticulture, club management, mall management, pest control services, landscaping services, and waste management. The primary objective of the services will be to reduce operating costs, enhance property values and

PASSLINE October 31 - November 30, 2011

simultaneously maintain a superior living environment for the residents. The home care division will take care of any problems that may be faced by property owners and will offer solutions like remittance of statutory payments to local bodies, taxes, telephone/electricity/water bills, rental division/assess rental value/advertise/ show property to potential tenants/draw up rental or lease agreement/follow-up, collect security deposit, monthly rental payments and account the same. In the rare likelihood of necessity of sale of a property/ advertisement/show around property to prospective buyers, the home care division will provide complete end-to-end solutions. -Response Feature

K Paul Thomas

Passline News Service

r K Paul Thomas, Managing Director of ESAF Microfinance, had thought the people of Kerala are self-sufficient and capable of eking a living without anyone’s help. ‘‘But I found to my surprise that out of 4.50 lakh of our clients, 3 lakh were from Kerala”, he says. That was in the initial period after the launching of ESAF. Today, however, Mr Paul Thomas and his team can proudly feel that their initiative has changed the fate of their clients and helped them stand on their own feet. Established in 1992 as a response to the social and economic needs of the people. ESAF, a charitable society born out of the deep conviction of its founders that one’s deeds should match one’s words, stands for sustainable holistic transformation of the priority sector for a just and fair society. ESAF has been registered under the Travancore Cochin Literal and Scientific Charitable Societies Act of 1955 and the Foreign Contribution Regulation Act, 1976. ESAF Microfinance and Investments Private Limited, whose main promoter is the ESAF Self Help Group in which Mr Paul Thomas is the major stakeholder. It has a network of 150 branches spread across 35 districts in Kerala, Tamil Nadu, Maharashtra, Chhattisgarh, Madhya Pradesh, New Delhi and Haryana. The number of its clients as on March 31, 2011, stood at 4.50 lakh and that of borrowers at 3.22 lakh, with a loan portfolio of Rs 2,095 million. Mr Paul Thomas, who has 15 years’ experience in social work and in running NGOs, tells PASSLINE that most of its clients are poor and marginalized with hardly any access to formal banking facilities. “Our operations are aimed at providing them with credit, supplemented by non-financial support for holistic development, thereby minimizing exploitation by moneylenders. We are associated with 4.50 lakh families and we render service to them. By 2015 the number will

be 1 million families. Most of the poor and downtrodden people in villages do not even know about the schemes and facilities provided by the Government and other agencies from time to time for their welfare. We are working as an agent for them and help them familiarize themselves with those schemes.”, Mr Paul Thomas says. Beginning with a single product the organization has now rolled out multiple products to cater to the diversified demands of its clients. It also extends small loans to entrepreneurs who are too poor to qualify for traditional bank loans. The major credit products it offers are Income Generation Loan (IGL), General Loan (GL), Nirmal Loan (NL)-Sanitation Loan, Jeeva Dhara Loan (JDL)-Water Loan, Vyapar Vikas Yogna (VVY-trade loan), House Construction Loan (HCL) and House Repair Loan (HRL). ESAF Healthcare seeks to build an equitable and healthy society by making world-class healthcare services available,

generation activities. Community ownership is the major characteristic of this business model, as all the producermembers are given a chance to invest in the company. ESPCL markets the products made by the members through ‘Prerana Lifestyle’, the retail outlet for marketing handicraft items. “ESAF always strives to develop innovative designs in handicrafts using bamboo, screw pine and natural fibres. The organization has about 250 full-time artisans at 12 work centres, and more than 1,000 families benefit from this initiative. International Labour Organisation (ILO), as part its international project— microfinance for decent working environment, recognised ESAF as one of the two microfinance companies in India. ESAF regularly updates the skills of artisans through training-cum-entrepreneurship development programmes. There are three designers who come out with new trendsetting designs”, remarks Mr Sony

Most of ESAF’s clients are poor and marginalized with hardly any access to formal banking facilities. Its operations are aimed at providing them with credit, supplemented by non-financial support for holistic development, thereby minimizing exploitation by moneylenders. accessible and affordable to the rural and semi-urban poor. It delivers excellent healthcare services to the poor through health education, counselling, health insurance and a chain of hospitals, clinics, pharmacies, diagnostic labs, ayurvedic treatment and training centres in locations with least healthcare facilities. “As a committed social entrepreneur the organisation is running two hospitals and a nursing school. The nursing school will be upgraded to a nursing college in the current academic year. We are admitting the children of our members’ families. The organization is also running three state-of-the-art clinics with outpatient wings, pharmacies and diagnostic centres, having a total turnover of Rs 10 crore,” says Mr Paul Thomas. ESAF launched Swasraya Producer Company Ltd (ESPCL) during 2005-06 to encourage the entrepreneurial skills of rural women. In no time the new enterprise proved to be a success as its business development services played a major part in linking the primary producers with the market, assuring the quality of the products. It also helped the selfhelp group (SHG) members in sharpening their skills through training and using other back-end support for income

V Mathew, Head Corporate Communications of ESAF. ESAF Swasraya Bazaar (ESAF Retail (P) Ltd) has branches at Thrissur, Mannuthy, Pattikkad, Wadakkanchery, Nellangara and Villagannur having six stores and one warehouse at Pattikkad, Thrissur. “The establishment aims at promoting locally produced food and articles by members by linking them to markets through the supermarkets and other retailers. The company ensures that all the products are sourced from primary producers avoiding intermediaries and pass on the price benefit and value to the consumers. ESAF plans to open more supermarkets soon by raising equity and with support from like-minded institutions and social investors,” avers Mr Paul Thomas. The group has a team that inspects the quality of the sourced products and also provides training wherever necessary in packing, branding, grading, cleaning etc, thus ensuring locally sourced products are made available to be sold in mainstream retail supermarkets. ESAF Retail provides employment to the local community through its supermarkets and warehouse where the Sangam members are offered employment on contract basis for cleaning and packing the products that are sourced locally.

The Sangam members, when linked to mainstream retail supermarkets, get an opportunity to increase the production capacity resulting in increased business volumes. Since the volume of production is comparatively high, they can keep the cost of production minimal (law of large numbers) which results in higher profit margins for them. The retail division of the organization had a turnover of Rs 250 crore last year. It aims to increase it to Rs 350 crore this fiscal. The SHG Federation of ESAF is a network of several SHGs and a structure evolved by SHG members consisting of representatives from different geographical settings with a motive of supporting members to attain the goals of economic and social empowerment of women members and their capacity building. The vision of SHG Federation is to build self-help communities of love, concern and solidarity among the poor women irrespective of caste, creed or colour and to empower themselves economically and socially whereby they can live with dignity. The Natural Resource Management (NRM) division of ESAF aims at making the natural resources accessible to everyone. ESAF has constructed biogas plants of varying capacities for Southern Naval Command, Kerala Hotel and Restaurant Association (KHRA), hospitals, educational institutions etc, keeping the premises clean through controlling unwanted growth of weeds, maintaining natural flow of drainage and safe disposal of garbage generated from the compounds. It also helps promotion of vermi compost, the easiest way of degrading biomass and ensuring the availability of organic manure; rural water supply and sanitation projects for Kerala Government undertakings and World Bank-aided projects such as Jalanidhi and Jeevadhara for ensuring the availability of drinking water and various livelihood means to rural people. Planning and consultancy services for launching new buildings, designing and undertaking interior works and assisting tsunami relief works by constructing low-budget houses, utilization of solar energy as an alternative energy source for humans and promotion of smokeless ovens for marginalized communities are other works undertaken. At present ESAF ‘Kids for Kids’ operates 9 childcare centres and looks after 482 children, provides food, uniforms, books, 6-month medical check-up, child development programmes etc. Anyone can be a part of this project by contributing monthly/yearly support for a kid or a Child Care Centre (CCC) in Jharkhand.

-Response Feature PASSLINE October 31 - November 30, 2011

Intersight—for enriching your travel experience

Abraham George no novice at business

Passline News Service

KTDC Best Seller Award for five consecutive years.

ndia is a land of enchanting beauty, offering myriad attractions for an enthusiastic traveller. Intersight Tours & Travels (P) Ltd keeps its efforts ongoing in improving your travel experience. Intersight maintains liaison with some of the best airlines and hotel chains across India, thus guaranteeing you a memorable and hassle-free vacation! Driven by the mission to provide comprehensive holiday experiences, Intersight promises quality service at the best rates.

Air India, Indian Airlines and Indigo are its tour handling partners. Intersight is also operating from Manchester in the UK. Its registered office is at Vyttila, Kochi, and it has branch offices in Mumbai, Delhi, Chennai, Bangalore, Kolkata and Kovalam. Intersight Holidays (P) Ltd, Intersight Hospitality, Intersight Foundation and Intersight Vacations are the other names affiliated to Intersight Tours and Travels Pvt. Ltd.

M r Abraham George (Johny), Chairman and Managing Director of Intersight Tours and Travels, is no novice at business. After passing out from Pala St Thomas College in 1974 Johny joined with the business doyen, Abraham George Manarcad Pappan. His association with Pappan lasted for about 20 years during which period he had overseen the corporate affairs of the business. The experience and trust he gained during the period of his service with Pappan gave him the knowledge and confidence to start his own venture, Intersight Tours & Travels Pvt. Ltd, in 1995.

Intetsight employs about 500 people directly and indirectly. “It is the loyalty and unity of my employees that has helped the company to achieve great goals,” says Mr Abraham George, Chairman and Managing Director.

Besides the stewardship of Intersight, Abraham George is the President of ADTOI (Association of Domestic Tour Operators of India), President of CATO and Vice-President of KTM.

The tour operator has the credit of introducing the concept of inbound tourism and operation by chartering trains for the first time in India. Intersight has bagged the

Technopark will achieve projected growth: CEO able to utilize the situation? The dollar depreciation will favour Indian IT companies uniformly and echnopark, the country’s first Technopark IT companies are not an IT park, is on the growth path despite exception to this. economic slowdowns in the US and Indian IT companies are facEurope. In an email interview with ing tough competition in the inPASSLINE, Mr Mervin Alexander, its ternational market from other CEO, talks about Technopark’s perAsian countries. Don’t you think formance this fiscal and its future that it is high time our IT plans. The following is the text of the companies tapped domestic opinterview: How is Technopark faring portunities by introducing more during this fiscal? Will it achieve solutions to exploit the untapped its targets despite the US and Eu- areas in the country? While the domestic marropean slowdown? ket is important and is bound The performance of to grow, the international Technopark in the curmarket is a bigger pie which rent fiscal continues to will offer greater opportunity be good. We had in the to Indian IT companies. current fiscal Oracle, Therefore we have to innothe third largest IT vate continuously on the company in the world, competitive cost range to restarting its operations main a major player. in Technopark. TCS What are the important too is starting the conMervin Alexander development plans of struction of its develTechnopark during this fiscal? Is opment centre on the 26 acres of land there a plan for developing new in the SEZ allotted to it. IT firms like campuses in other places? CapGemini India and ITC Infotech are This fiscal, operationalizing also likely to start their operations Phase III campus of Technopark and soon. TechnoparkKollam are the imporThe projected growth will be tant development plans. Apart from achieved in spite of the slowdowns this, Technocity will be put on track in the US and Europe as experiences for getting the infrastructure develand history have shown that growth oped on the Fast Track basis. in the IT sector is by and large not Do you think that the change affected by economic slowdowns. of guard in the state will accelerMajor Indian IT companies ate growth? performed well during the last The new Government is perceived quarter by taking advantage of as more industry-friendly and accelthe dollar appreciation. How far erated growth is expected. have companies in the park been Passline News Service

PASSLINE October 31 - November 30, 2011

eera Homes, which started functioning two decades ago in Goa with diverse business activities like property development, hotel operations, civil contracting, education and tourism-related projects, has since extended its wings to Kerala and other states too. Abundant experience in the real estate sector has helped Heera to formulate and comprehend the concept of a home. It thinks that a home is not just a place, but an expression of one’s individuality. It has a soul, a character and a personality all of its own. So Heera gives utmost importance to implementing this concept, focusing meticulously on every detail and the client’s needs. Quality, economy and comfort are the factors that Heera relies on to achieve the needs of its clients. The success it has achieved is evident from the fact that it has completed more than 30 lakh sq ft of floor area in 1,700 happy homes in a short

Heera’s homes for quality, economy and comfort at affordable prices. Both the apartThe Heera Home Care Division is a ments are located near hospitals, eduspecial wing of the firm’s services that cational institutions, banks, restaurants and shopping malls. Fatakes care of maintenance, cilities like well-equipped fitemergency repairs, bill/tax ness centre, children’s play payments etc. The 24-hour area, reticulated gas connecdivision for the Residents’ Astion, air-conditioned lobby, sociation also provides other proximity censor entry card, services like customizing swimming pool, jogging track apartments according to the etc make these projects difowner’s requirements and Dr A R Babu ferent and add value for renting them out in their abmoney. sence. span of time.

Heera apartments are made to satisfy varying customer requirements. Projects like Heera 4 Pillars at Killippalam and Heera Dreams at Sreekariyam in Thiruvananthapuram are focused on clients who seek luxury

Another aspect that sets Heera apart is the selection of location. Heera Crescent at YMR Junction, Nanthancode, Heera Golden Hills at Nanthancode near Kanakakkunnu Palace, Heera Highlife at Devaswom

Board Junction and Heera Blue Bells at Vellayambalam, all in Thiruvananthapuram, are marvellous examples of peaceful city life. They are right in the heart of the city but least 0affected by its hustle and bustle. Projects like Heera Lake Front and Heera Towers are for those who seek a peaceful environment. Facing the Akkulam Lake, one of the tourist attractions of Thiruvananthapuram, Heera Towers is a unique combination of natural beauty and luxurious lifestyle. Heera Info City is another hitech project, which is located near Technopark, one of the largest technology hubs in the country. Dr A R Babu is the Managing Director of the Heera Group.

HiLITE Mall to be launch pad for foreign brands in Kerala K

erala is witnessing unprecedented growth in the retail industry with the mall culture catching up fast. Kozhikode had emerged as the leader when HiLITE Builders launched Focus Mall, the first of its kind in the state. To cater to the evergrowing demand for world-class living experience, HiLITE, the lifestyle trendsetter, is gearing up with its latest project HiLITE City with HiLITE Mall as its centre of attraction awaiting completion in 2013.

Being a seasoned player in the industry, HiLITE Builders had opened doors to various brands to Kerala through Focus Mall in 2007. HiLITE Mall will be the first to introduce some of the premium lifestyle brands like Lifestyle, Spar, Cinepolis and Amoeba in Kerala. Lifestyle: A youthful, stylish brand spread across 15 countries and part

est independent retail chain. It offers world-class shopping experience with value for money. Shoppers have the option to choose from a wide variety of quality products in every category. Spar has a record of one crore customer visits per day worldwide. Cinépolis: A Mexican brand, it is one of the biggest multiplex chains in the world. The brand is foraying into

Strategically located at the NH Thondayad bypass, Kozhikode, HiLITE Mall is sure to attract huge footfalls. On completion in 2013, it will be the best lifestyle destination in Kerala. HiLITE Builders Private Limited has been developing property since 2003 with its headquarters in Kozhikode and over a short span of eight years has matured enough to become one of the most trusted builders in the region. From towering up of some of Kerala’s finest residential apartments to giving life to world-class shopping malls, HiLITE Builders has come a long way up in the Kerala real estate scenario.

HiLITE City is being designed as the first-of-its-kind integrated township in the state spread over 15.6 acres of land. The project comprises residential (400 luxury apartments), commercial (1 million sq ft) and retail spaces (1 million sq ft). On completion, HiLITE Mall will be the best mall in Kerala with the right blend of retail and entertainment spaces that include a 60,000sq ft hypermarket, 50,000-sq ft department store, 35,000-sq.ft gaming zone and indoor fun area. The mall will have a total built-up area of one million square feet with 200+ branded retail outlets, three star business hotels, eight-screen multiplexes, food courts, a convention/ expo hall and more.

Mall will have a Bowling Alley and gaming zone. The people behind Amoeba have over 20 years of experience in the leisure industry.

of Landmark Group, Lifestyle has a loyal customer following ever since it set shop in India in 1999. Mr Micky Jagtiani heads the retail giant which has its headquarters in Dubai. The store provides apparel, footwear, children’s wear and toys, furniture, furnishings and personal grooming products under a single roof. Spar: A global brand with presence in 34 countries, Spar is the world’s larg-

the Indian market providing superior ambience backed by over four decades of cinema experience. The eightscreen multiplex at HiLITE Mall will offer a never-before experience to Kerala’s moviegoer. Amoeba Leisure Zone: India’s largest importer and distributor of amusement machines, H.M Group’s Amoeba Leisure Zone brings forth a new age in leisure and entertainment. HiLITE

PASSLINE October 31 - November 30, 2011

The builder has by now completed many landmark projects like HiLITE Metromax, the first CRISILrated project in north Kerala, and The Focus Mall, Kerala’s first shopping mall, which brought about nothing short of a revolution in the shopping landscape of the state. The ongoing and upcoming project line is even more breathtaking with some of the finest plans the state has ever seen.

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Trinity for gracious living T

C J Mathew Chairman

rinity Builders and Developers, a unit of Trinity Arcade Pvt Ltd, offers a comprehensive portfolio of villas and apartments in Kochi’s finest locations. Known for its speedy quality construction, Trinity homes are fast altering the cityscape. The company has nine projects at various stages of completion in three of Kochi’s prime locations, including two in Kakkanad, to cater to a large chunk of the IT and IT investment crowd. Aluva, one of the fastest-developing localities around the city, is the other location with Trinity having a waterfront apartment project as well as a superluxury villa project.

Roy Joseph Managing Director

Its project at Edappally is at one of the most vantage points of Kochi.

All Trinity projects incorporate facilities like fully vitrified flooring, clubhouse, health club, swimming pool, indoor games, party area, business centre, guest room, intercom, driver’s room, centralized gas supply, home theatre, Internet broadband connectivity and sovereign quality. The reputation and credibility of the company’s promoters have assured buyers that Trinity’s projects are first-rate investments as well as gracious lifestyle statements. Drawn primarily from real estate and construction, Trinity’s mentors are well respected in their own fields. C J Mathew is the Chairman. Roy Joseph is the Managing Director and M J Luiz the Director. They have united with a vision to bring quality housing to Kochi. Made up of a team of individuals, passionate about making excellence in the housing scenario, Trinity is the vision of its able directors, well respected in their own fields.

WANTED

Trinity has grown steadily since its inception. The company’s intention is to have sustained and managed growth by maintaining a low debt-to-equity ratio. The company’s success lies in its ability to attract and retain experienced personnel with its good HR policies. It is also exM J Luiz Director tremely price-competitive and highly quality-conscious, executing only premium projects packed with modern living amenities and providing world-class sales and after-sales environment to all, small or large. Green Springs at Kanjiramattam, Mercury premium apartments at Kakkanad, Trinity World Jupiter at Kakkanad, The Garden, Aluva, Trinity Periyar Sands, Aluva, and Trinity High Grove, Kakkanad, are the ongoing projects.

'Noel homes for a greener life' Noel Greenature is the pioneer in green building in Kerala which provides ecofriendly projects conforming to the ‘green’ concepts that are rapidly catching on in the building industry. With two decades of experience, Noel is today being acknowledged as one of the most credible builders in Kochi. Noel Serenia is the perfect setting for a greener life. During the course of a busy life there are moments where everything seems to be just as it should be. The sun shines. The air hums. You treasure these moments because they are rare. Now they can be yours always and easily. And you are calmed by the harmony of urban refinement and suburban style. As part of Noel’s vision to create the way of quality life, Noel Serenia, premium apartments, promises to be a green community designed for contemporary living in a natural setting—a modern lifestyle in a haven of peace and tranquillity. John Thomas The design approach is to unify a contemporary architecture with green features and all matching amenities. A neighbourhood that will be defined by wonderful greenery, wide open space, and an uplifting sense of safety, security and community. With an uncompromising passion for quality, Noel re-scripted the dynamics of the builder-customer relationship by making the aspiring buyer an active participant in the art of house-making. Unrelenting commitment to providing immaculate designs and unique projects took Noel a notch higher. Noel attributes its success to the rightful mix of integrity, reliability and technological brilliance. “Noel initiated the green living concept for the first time ever in Kerala by introducing Greenature Villa apartments. This green initiative from Noel is aimed at fulfilling its social and corporate responsibility in a meticulous manner,’’ says Mr John Thomas, Managing Partner, and Ms Geetha John, Executive Partner, Noel Villas and Apartments.

PASSLINE, Kerala’s only business magazine in English, with a 17-year track record, needs professionals for the following posts:

Reporters Assistant Advertisement Managers (Thiruvananthapuram, Kochi, Kozhikode)

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Keethara Publications Pvt Ltd 38/125 Ist Floor, Narakathara Road, Kochi-35. Ph: 0484 4027002 Email: passline.com@gmail.com;

PASSLINE October 31 - November 30, 2011

mail@passlinebusinessmagazine.in

31 31

Indexpo to unveil state’s industrial achievements Indexpo Kerala 2011, a mega-industrial exhibition to be held from November 24 to 27, at the Municipal Stadium premises, Palakkad, focuses on unveiling the developmental initiatives of the state to the rest of the world. Jointly organized by the Palghat Management Association (PMA) and the Kanjikode Industries Forum (KIF), the expo is supported by the Ministry of Industries, Kerala State Industrial Development Corporation, NSIC and other Government and non-government organizations. While Federal Bank, the MPS Group, Ogun Steels and Paragon Steels are the key sponsors, KSIDC, Kinfra, Malabar Cements, SBI and the Ministry of Commerce and Industry also sponsor the event. “It gives a good platform for purchase managers, procurement agencies, consultants, industrialists, dealers and distributors besides key Government officials and engineering and management students to experience the latest developments in the industrial sector with focus on further growth”. Mr K S Mani, Chairman of the event, says. “ It will be a window on B2B and B2C activity for industrial exhibitors and industrial visitors to Palakkad and other districts of Kerala and other states and will also help Palakkad to achieve overall economic development through rapid and eco-friendly industrialization,’ says Mr K Pankajakshan, General Convener of the event. The exhibits will include machine tools and accessories, hydraulics and pneumatics, material handling equipment and machinery, foundry equipment, pumps and fittings, precision tools, cutting tools, dies and moulds, instrumentation and automation, industrial com-

ponents and consumables and industrial electrical items and electronics. “ Indexpo Kerala 2011 is all set to make a new benchmark for the exhibitions in Kerala focusing, for the first time, exclusively on the industrial activity of Kerala and the rest of India,” Mr. K S Mani says. ‘This exhibition is to put back the intelligent Kerala into the array of the industrial states of India and announce the arrival of the resurging industrial Kerala to the rest of the world assuring them that we have much beyond tourism.” Says Mr. K Pankajakshan. “A Window for B2B (Business to Business) activity for industrial exhibitors and industrial visitors in Palakkad and other districts of Kerala and also other States. An excellent window for industrial fraternity to establish vendor relationships in a wide range of domains.” says Mr Mani. It will enable the general public to see ûnished goods/materials, technology and services. It also aims to drive home the message ‘Destination Palakkad’ by creating awareness of strategic beneûts of Palakkad as an investment destination. The exhibition aims to help Palakkad make overall economic development through rapid and eco-friendly industrialization and generate a renewed industrial spirit to scale up industries’ effort to upgrade existing manufacturing capacity and technology. It will also try to get the approval of the Government for the district to be declared the Industrial Capital of Kerala, to obtain land for constructing a permanent Convention/Exhibition Centre in Palakkad and to motivate the state Government to utilize tourism to promote industries in the state.

Exhibitions and Events China International Food Exhibition (CIF) 2011 Dates: November 14-16, 2011.

Venue: Beijing China

Malayasia International Branding Showcase (IBS 2011) in conjuction with 8th Malayasia China Import & Export Commodities Exhibition Dates: December 8-11, 2011. Venue: Kuala Lumpur, Malaysia

Jaffna International Trade Fair (JITF) Date: January 20-22, 2012. Venue: Jaffna, Sri Lanka

MAFPEX 2012, Kenya Dates: February 9-11, 2012. Venue: KICC, Nairobi, Kenya

interfood, St Peterburg 16th International Specialised Exhibition of Food Products, Drinks & Ingredients 16th International Specialised Exhibition of Equipment, Technologies & Packaging for Food Industry Dates: 24 – 26 April 2012. Venue: Lenexpo Fairgrounds, St. Petersburg, Russia

Indomax 2012 (Indonesia International Machinery Exhibition) Dates: May 31-June 3, 2012 . Venue: Kemayoran, Indonesia

23rd Malaysia Food Processing & Packaging Exhibition (M’SIA-PACK) 2012 Date : 21-24 July 2012. Venue: Putra World Trade Centre (PWTC), Kuala Lumpur

Hotel Show 2012 Dates: 13th–15thJuly 2012. Venue: SBMEC, Colombo, Sri Lanka

Pro food pack 2012 Venue: SBMEC, Colombo, Sri Lanka. Dates: July 6-8, 2012

‘AC is no longer a luxury but a necessity!’ P hilip

Thomas owns the country’s leading exclusive singlebranded Voltas air-conditioners outlet Multi Sales at Valanjamblam in Kochi. His earlier stint with a leading MNC, as regional service head, had enriched him with enough valuable experience and skills that had helped him to notch up an impressive turnover of Rs 10 crore in a reasonably short span of time. He had been catapulted to the position of the best-selling dealer of the Volta’s segment with an impressive business track record over the past 10 years. The preva-

lence and spread of high humidity in resistible option. the state, even during the rainy seaVoltas, the country’s oldest and son, coupled with the seasonal va- leading brand, had garnered an imgaries, had made purchasing an air- pressive 30% market share of the conditioner no longer a luxury but an country’s air-conditioner sales, as indispensible necessity for a com- judged from the past five months’ tofortable living. tal national sales of airThe recent introduction of conditioners. The prompt the Voltas series of energyafter-sales service netefficient and certified air-conwork that had been ditioners, coupled with everspanned throughout the attractive finance schemes country and state viable for large and small manned by companyPhilip Thomas firms as well as households, trained experienced serhas made the prospect of vice personnel, had gone purchasing an air-conditioner an ir- a long way in ensuring customer PASSLINE October 31 - November 30, 2011

satisfaction and thereby repeat sales. This excellent after-sales service is the reason for the brand’s increasing demand by leading MNCs, public sector undertakings, banks, business establishments and households alike. Citing a recent study report Thomas remarked that even now an AC had only reached a penetration level of just 3%-4% of India’s total households which light up the huge untapped potential still existing in Kerala, and a major reason for more and more global brands to make a foray into this state.

for manpower solutions

TRINGZ is a manpower compliance. consultancy firm that operates in Occasional recruitment support, end- to-end manpower solutions to for example temporary, contingency meet the clients’ need throughout. and executive search services is The firm based in Kochi more analogous to out-taskhas significant operations ing, co-sourcing or just with customers across difsourcing. ferent sectors and indusThrough the STAFFING tries profile. With assorted OUTSOURCING Stringz service in Manpower creates a pool of employees Search, Temporary Stafffor organizations who are ing, Staffing Solutions, Nimesh Paul strategically hired and manStatutory Compliance and aged by it to increase the other value-added services the oforganisational effectiveness. fering covers a complete range and Through the STATUTORY COMassists customers to raise the productivity through improved strat- PLIANCE OUTSOURCING Stringz egy, quality, efficiency and cost re- offers knowledge and insights that are imperative to manage employduction. ees statutorily and legally compliant. The recruitment process Through its PAYROLL outsourcing implicates the entire management of recruiting/hiring OUTSOURCING, it does the routine process from job profiling through work of managing salary, its calcuthe onboarding of the new hire, in- lation and payment, along with any cluding staff, technology, method other related functions. and reporting. It thus improves a company’s time to hire, increase the quality of the candidate pool, provide verifiable metrics, reduce cost and improve governmental

Stringz thus aims to improvise the productivity of the organizations, through quality services which frees the company from non-income generating tasks.

Kerala Finance Minister K M Mani Inaugurating KSFE's Swarna Varsha 2011 chitties in Thiruvananthapuram. Kerala Minister for Transport V S Sivakumar and Vattiyoorkkavu MLA K Muraleedharan are also seen.

Clean India Yathra T

he World Malayalee Council (WMC) and Youth India, Green Kerala Foundation and Labour India Public School had undertaken a ‘Clean India Yathra’ from Kashmir to Kanyakumari from the Gandhi Jayanti month of October, concluding in November. Political and social leaders, activists, students and youths took part in it. The aim of the Yathra with the message ‘Clean India…Green India’ was to convey to the public, youth and students the idea and necessity of scientifically recycling waste materials. Plastic bottles co0llected from houses by students in each state were gathered by the Yathra team at public functions,

dumped in lorries and taken to recycling factories. The Yathra which commenced from Delhi traversed through Srinagar, Jammu, Amritsar, Chandigarh, Haryana, Jaipur, Agra, Ahmedabad, Porbandar, Pune, Mumbai, Goa, Hyderabad, Bangalore and Chennai via Kanyakumari ended in Thiruvananthapuram. Dignitaries from different walks of life in Kerala including WMC office-holders Soman Baby, Bahrain; V C Praveen, Chennai; and George Kakkanadan, Huston; MPs Jose K Mani and Anto Antony, MLAs Monce Joseph, Roshy Augustine, Hibi Eden and Vishnunath led the Yathra.

For your eyes only! O

ur culture and attitude take us to the brink of not only hardcore evidence, but also effective deterrisk and danger at every moment. Our security and rence against committing crimes. No wonder that longevity is always at stake. So closed-circuit sur- digital surveillance has become an indispensable opveillance has become an inevitable need of human tion even for places of worship, with the requirements living. Apart from frontiers, airports, public/private in- of keeping their treasure vaults intact, which require dustrial establishments, gold, textile showrooms, 24-hour effective surveillance, highlighting the inbanks, financial firms, hospitals, educational insti- creasing demand for these digital surveillance mechatutions, residences, vehicles, individuals, and even nism for establishments and households alike. places of worship at any place or any time are all CCTV Technologies Pvt Ltd provides digital survulnerable to burglary, robbery, theft, veillance cameras to various ATMs of SBT, snatching and molestation. Developed IOB and to Manappuram, Bheema countries have adopted this device of surJewellery, KTDC etc. Ranjith A K, headveillance even earlier. We are yet to get ing the Kerala operations of CCTV Techmore accustomed to this system. Rannologies from its Kochi office, points out dom offices, shops, business houses and an ever-increasing demand for such latresidences use the system of surveillance. est digital surveillance systems suitable Ranjith A K But we are yet to be more familiar with for household flats, individual houses, inthese gadgets. The updated mode of surveillance dustrial establishments, places of worship and by digital technology provides fast and perfect re- places of strategic importance. Recently growing results for its end-users. CCTV is a prominent one in ports of nabbing of criminals from ATMs and industhis category. trial establishments, along with evidence, underline CCTV Technologies Pvt Ltd provides not only sur- the effectiveness of this technology. Recently introveillance, but also hardcore Evidence. With its head- duced ‘plug n’ play’ IP camera is the latest soughtquarters in Bangalore, CCTV Technologies Pvt Ltd after item in the market, says Ranjith. has introduced various state-of-the-art, digital secuCCTV Technologies provides various pieces of rity surveillance gadgets, which have provided imsurveillance equipment like Dome Cameras, IR mense relief to various big and amall establishments Dome Cameras, IR Bullet Cameras, Glass Mount and households alike because of the rising robberies, thefts, molestations, embezzlements, looting, Box Cameras, IP Camera, DVRs 4,8,16 chnls, DVR industrial pilferages etc, which have increased in the Cards, Speed Dome Cameras (PTZ), Access Readers (PTZ), Power Supplies, Spy Cameras, Button recent times. These latest digital surveillance gadgets provide Camera, Sunglass Camera, Fujinon Lens, PTZ KeyPASSLINE October 31 - November 30, 2011

board, Pan/Tilt Head, Brackets, Enclosures, Video Server, Amplifier, Video Balun, Audio Transmission Equipment etc.

Domestic tourism may save the sector Passline News Service

he tourism sector in the state is second to none in contributing to the global branding of Kerala as ‘God’s Own Country’ both by enabling it to earn global attention and by generating foreign and domestic funds. Its fascinating natural beauty spots, ancient monuments and enthralling backwaters and canals have been attracting tourists from all over. Besides the health and education sectors, tourism has been a major identity of the state. Compared to other states in the country, Kerala has tourist destinations in all parts of the state. Being the tourist hub of South India, the state is eager to welcome the tourism season. But it is apprehensive about a possible fall in inbound tourism in the aftermath of the economic slowdown in many foreign countries. What however gives it hope is the possibility of domestic tourism compensating for the expected fall of inbound tourism considering the increased paying capacity of Indians. Another hopeful sign is that India has not yet come under the shadow of recession yet. Experts in the tourism sector point out that the possible fall in inbound tourism has happened in the wake of the recent depression in European countries, West Asia and the US which has forced foreigners to cut off leisure trips. According to a recent survey, Kerala tourism will witness a 25% fall in foreign tourist arrivals in the coming season. They add that there may not be a reduction in the total number of tourists considering the likely growth in the number of domestic tourists. In other words, domestic tourists will compensate for the shortage of inbound tourists. Surveys also reveal that 90% of Kerala’s tourists are domestic. “The growth of domestic tourism shows the finan-

cial stability of the people in the country and it will help to bring more tourists to Kerala,” says Mr Johny Abraham George, Chairman and Managing Director, Inter Sight Travel Agency. The tourism sector has been contributing considerable revenue to the state government from both foreign and domestic tourists. The backbone of Kerala tourism is foreign tourists in spite of the fact that the number of domestic visitors is growing. It is estimated that the total number of visitors to Kerala last year was six lakh against 5.5 million all over the country. Tourism experts say the fall in the number of tourists from abroad will adversely affect the branding of Kerala tourism. Although Kerala has high tourism potential, the sector has not been benefiting enough from the agencies concerned.

“Damaged and waterlogged roads, frequent hartals and lack of hygiene are the enemies of our tourism sector. No government has taken enough initiatives to develop the tourism sector in the state,” says Mr Johny Abraham. Experts say the backwardness of Kerala tourism is the result of lack of proper management by the authorities concerned. Inbound tourism

is to a large extent restricted to New Delhi or Mumbai because of the ignorance of tourists from abroad. “Most foreign tourists are unaware of the southernmost state in the country. Only awareness and knowledge about Kerala will bring more visitors to the state,” Mr Johny Abraham says. There is also the heavy airfare to Kerala that prevents tourists from skipping the state. Most companies offering air transportation impose costly packages during the season only eyeing profits. It is learnt that on average Rs 50,000 was the airfare between Delhi and Kochi last year, which might have reduced the number of both foreign and domestic tourists to the state. Development of tourism is also connected with the travel habit of the people. A recent study says only 1% of the total population in the coun-

try makes regular leisure trips. Kerala’s tourism sector has hardly undergone any development, except that the state government has published some advertisements. A package of ayurveda and tourism is a long-heard demand from the sector. Leading hotels in the hospitality sector are all set to open their branches in Kochi. Some 3,500 rooms are expected to be added

PASSLINE October 31 - November 30, 2011

soon. Only growing demands from tourists will help to sustain these hotels and avoid unhealthy competition among players. Even though the tourism scenario shows growth every year as a result of increase in the number of domestic tourists, the sector badly needs thorough development. Experts say connectivity and infrastructure are the main factors that help to accelerate the flow of tourists. A combined effort by the government and society is needed to change the bad image of the state in the development field. Hartals are the most vexing problem being faced by tourists. Experts suggest a colour code for people connected with tourism to avoid problems during days of hartals. Recent trends show that tourists from China and Australia have begun travelling to India widely, a good omen for the country’s tourism sector. However certain initiatives by the state government have created some enthusiasm for the overall development of Kerala tourism. The Government has announced Rs 35 crore for the development of backwaters in the state. Along with those initiatives, the muchhyped monsoon tourism and responsible tourism minimize the negative economic, environmental and social impacts, generate greater economic benefits for local people and enhance the well-being of host communities, improve working conditions and access to the industry, involve local people in decisions that affect their lives and life chances, make positive contributions to the conservation of natural and cultural heritage embracing diversity, provide more enjoyable experiences for tourists through more meaningful connections with local people and a greater understanding of local cultural, social and environmental issues, provide access for physically challenged people and those who are culturally sensitive, encourage respect between tourists and hosts, and build local pride and confidence.

“Estimates show that 70% of global growth over the next few years will come from emerging markets with China and India accounting for 40%. India has a very strong domestic market and Indian companies are doing well. So no recession will have a serious impact on our advertising industry,”

Ad agencies keep recession away ''E

stimates show that 70% of global growth over the next few years will come from emerging markets with China and India accounting for 40%. India has a very strong domestic market and Indian companies are doing well. So no recession will have a serious impact on our advertising industry.” You may be amazed by the stunning caption or the novel idea used for pushing the sale of a product. A beautiful advertisement may cause you to choose a product from a heap of its alternatives. Advertising has been playing a vital role in the marketing of a product or a company since globalization. It has a big role in forming the mindset of the consumer. Unlike in the past when companies were sceptical about the role of advertising in selling, today they spend huge amounts on it to attract consumers. And advertising agencies are there to serve their clients with vivid and novel ideas. Being a consumer state, Kerala has always been a big market for almost all products. This has led to a large number of advertising agencies setting up shop here. Recent years have witnessed a boom in advertising with the rapid growth of television channels and new advertising methods. As a result people have begun to discuss the role of advertising and started watching attractive captions with great interest. Besides, many firms employ models, in most cases film actors and cricket players, in advertisements, which prods people to choose a product. With the number of clients growing tremendously, the advertising field is also looking up. Growth in the last couple of years has particularly been significant. But along with the mushrooming of agencies and their clients a possible economic slowdown has cast its shadow on the ad industry. It is estimated that 400 agencies are working in Kochi alone, but very few of them accredited and having the INS certificate. Each of the rest is functioning with a small number of clients. The indiscriminate growth of agencies results in unhealthy competition and raises the question of market potential. “The

principal problem facing the advertising indusBut any economic slowdown is always a try is the disorganized way the agencies are threat to advertising agencies as happened in functioning and the unfair competition among 2008. The only consolation, according to exthem,” says Mr R Ravindranath, Principal Con- perts, is that recession is not something to be sultant, R K Swamy BBDO, Kochi. “Unhealthy afraid of as the domestic market in the councompetition will obviously reduce the quality try is getting stronger. “Estimates show that of advertisements,” Mr Sreenath, CEO, Ham- 70% of global growth over the next few years mer Advertising Agency, acknowledges. Ex- will come from emerging markets with China perts in the field warn of the unhealthy compe- and India accounting for 40%. India has a very tition and the resultant quality of products. The strong domestic market and Indian companies notion that designing a print ad is adverting are doing well. So no recession will have a and anyone who has designing skills can set serious impact on our advertising industry,” up an agency has also resulted in the enor- says Mr Ravindranath. “Of course the 2008 remous increase in the number of small agen- cession hit the industry hard and many comcies in the country. There is neither a regula- panies were forced to reduce costs to survive. tory body to scrutinize the entry of ill-equipped However, now we are looking forward to a betagencies nor any Government control over their ter future and the industry does not face any mushrooming. Compromising on cost to fetch recession threat with the domestic market new clients is another threat. Clients opt for poised for growth,” says Mr Sreenath. “An adlow-cost products or services to vertising agency with most of its clisave money. Experts also say ents being foreign companies may that even major clients are face problems because of a recestempted to change their agency sion, but one dealing with domestic for ‘better offers’. “Unhealthy clients will have a smooth run,” says competition neither helps the Mr Ravindranath. advertising industry nor the cliThe advertising industry has unents. The ad agency is the cusRavindranath Sreenath dergone many revolutionary changes todian of the brand and hence the agency is equally responsible for its suc- in recent years as it has been using social networks and other groups for its selling campaigns. cess.” Mr Ravindranath says. What the client and the ad agency need is Experts say companies are shifting from tradito maintain quality and service. Experts say tional media and giving more attention to events, there are some clients who do not acknowl- public relations campaigns, online media, beedge the power of good advertising, and are low-the-line activities and customer relationship more focused on the cost, fuelling competition management for brand building. and compromising on quality. They warn that this tendency will create trouble in the sector in the long run. Another question is the market potential. Does the large number of players create enough demand from clients? Many in the field are doubtful. Mr Ravindranath, however, thinks otherwise. “The increasing number of ad agencies clearly shows there is huge potential for growth in the industry”, he says. Mr Sreenath also agrees, saying, “As more and more companies that are coming up are ready to spend a part of their turnover on advertising, there is demand and hence the industry will remain stable.” PASSLINE October 31 - November 30, 2011

Various research findings show that what consumers trust is no longer ‘well-known’ and ‘established’ brands but qualities such as ‘reliable’ ‘open’ and ‘honest’. This has significant implications for marketers as brand communications will now have to focus more on integrity and transparency and less on heritage. With professionalism growing in the advertising sector, the future holds opportunities for professional people and agencies because the big challenge ahead is to explore new media. Agencies which have the ability to explore innovative business ideas for their clients are certain to survive.

By Srinivas. G., PhD

Srinivas Gopala is a Research Scientist at Sree Chitra Tirunal Institute for Medical Sciences and Technology (SCTIMST), Thiruvananthapuram. He graduated from Jawaharlal Institute for Post Graduate Medical Education and Research (JIPMER, Pondicherry) and obtained PhD in Biochemistry from Regional Cancer Centre. He started his career as a Lecturer in NSS College and later on joined as a Scientist at Rajiv Gandhi Centre for Biotechnology. He obtained IndoUS fellowship to undergo advanced training and research in Mayo Clinic, Rochester MN, USA. He mentors students for pursuing research leading to PhD in pathobiology of non communicable diseases.

The Jobs That Steve Left to Us F

or the enlightened few who come into this world, the number of years they spent in this world does not seem to matter. They appear quietly and start functioning and create wonders (they do it for themselves and yet most of us think they had done it for others!) and then, one day, disappear. The birth and beginnings of Steve Jobs had not been in the limelight, unlike his work and, now, death! “The loss of such a man is mourned by all, for it is not in the power of nature to create another”, laments the world. Steve Jobs was indeed a visionary with no bounds. I think the essence of his genius was his power of imagination and the continuous quest for inventing himself, his ability to learn from life and his willingness to challenge fundamental assumptions and preconceptions. In the history of mankind every century witnesses a couple of them, and in this century Steve Jobs was surely one. His capacity to mix art and technology to create beautiful technology is something we will miss for some time. But I am sure some prodigy will rise soon creating beautiful orange, ..... In a book called Think Like Da Vinci the author summarizes the seven Da Vincian principles that made the greatest genius of all time, Leonardo da Vinci. An analysis of the facts reveals that Steve Jobs had, most, if not, the entire recipe for becoming enlisted in the ‘Book of Genius’. For the sake of the readers, I would describe them in short. (i)

A childlike curiosity that helped him to learn even on his death bed

(ii) Testing knowledge through experience, perse verance (iii) Being able to see things both at macro and micro levels

(iv) A willingness to embrace the ambiguity and uncertainty of life (v)

The delicate balance between art, logic and technology with the help of a bounty of imagi nation

(vi) The cultivation of grace, poised approach towards life (vii) And finally, the most important, systems think ing, or otherwise called whole brain thinking. In other words he was a possessee with the utmost clarity of thought about most, if not, everything he wanted to do. He had successfully imagined, imbibed, ingenious technology and interfaced it with art and successfully impressed the people; and yet he did not fail to improvise the gadgets with infinite possibilities and became epitome of how a man with passion can influence and inspire the world. He ensured that the common man will idolize his inventions, for which, he gave them exceptional things that they could not dream off. He never asked us what we wanted, and yet we adored whatever he offered! He never gave us multitude of options thus relieving us from the choice paradox. He was the person with most confusion endurance, an apparent mark of most creative people. We know now that he admired Thomas Alva Edison, the reason I believe probably is that, Edison changed the way how common man benefit from technological advancements. While Edison made the first record of sound on a drum, Steve Jobs brought it near the ear drum! Both of them were constantly inventing, initially out of curiosity, later for specific purposes and eventually for the entire mankind. Both of them worked themselves in laboratories, both of them had initial failures and later PASSLINE October 31 - November 30, 2011

successes in life. Both of them believed that it is great to have ideas, but it is incredible to have it transformed into products. It is very important to know to do things yourselves, so that you don’t want someone else’s help when you brew it. The greatest advantage being, no one will know about your failures, except when you decide to tell the world about it. At that time it will no longer be failures, but rich experiences that shaped the genius. About the apple with a bite; an apple is something you start your learning with, whether you are in Europe, US, India, Africa or in Siberia. So the logo suggests that it is just the starting point. You can only experience the taste of it once you take a bite of it, and implies the good feeling … Steve had absolute belief in himself. He adopted good things from everywhere, adopted Buddhism as his way of life, but did not become a monk. Wandered and explored India, but did not comeback afterwards, not him, nor his company. He got ousted from the company he co-founded! Yet he did not hate it. But when an opportunity came he enthusiastically took up task of rebuilding it. He did not stop for a moment. He was in constant motion, without emotion. Like a child collecting pebbles and shells from the sea shores, he picked up the good things from wherever he could find them. He changed the speed with which ‘changes’ happen. This accelerated change helped us to feel a never before seen burgeoning of individual happiness and comfort; societal connectivity and awakening; global awareness on renaissance of technology. While he was alive he did the thinking, and made us use his products! And in his death, we still use his gadgets, but are making us to think. May be this is what he wanted us to do… we have to think like Steve.

Nagarjuna: Kerala’s first corporate ayurvedic firm T

he first corporate house in Kerala’s ayurvedic sector, the Nagarjuna Ayurvedic Group is one of the best solution providers in healthcare through the ancient system of medicine and treatment. In its search for excellence, Nagarjuna has brought together the ‘Ashta Vaidya’ and the ‘Arya Vaidya’ schools of thoughts of Kerala’s rich ayurvedic tradition. It has also successfully integrated ayurveda’s traditional values with the modern ethos and contemporary technology. The Nagarjuna Group is involved in popularizing authentic ayurveda, conducting product and clinical research, manufacturing and marketing ayurvedic products, providing holistic ayurvedic treatment services, assisting in setting up ayurvedic treatment centres, propagating medicinal plant cultivation, promoting ayurvedic studies, imparting training in treatments and therapies

and publishing scientific journals and books on ayurveda. For achieving these goals, the group presently has six entities: Nagarjuna

about 600 products, marketing them in 18 States and exporting them to 20 countries, thus becoming the second largest product manufacturer among the 2,000-plus ayurvedic product manufacturers in Kerala.

Herbal Concentrates Ltd (NHCL), the flagship company running an ISOand GMP-certified manuThe products manufacturing facility; factured are traditional Nagarjuna Ayurvedic Cenayurvedic medicines, protre Ltd (NACL), providing prietary branded authentic ayurvedic treathealthcare and curative ments and allied serproducts, FMCG/OTC vices; Nagarjuna ayurvedic herbal prodAyurvedic Treatment Seructs, export portfolio of vices (NATS); Nagarjuna speciality healthcare Research Foundation products including dietary Dr Devadas Nambuthiripad (NRF); Nagarjuna Social supplements, single Managing Director Service Society (NSSS) herbs, herbal teas, masand Nagarjuna Ayurvedic Institute sage oils, personal care products, (NAI). herbal cosmetic products and herbal The main manufacturing unit of toilet soaps. NHCL is situated at Thodupuzha in central Kerala, which manufactures

NHCL’s R & D has been recognized by the Central Department of Scien-

tific and Industrial Research, the first and only R & D certified ISO in Kerala. Its animal testing laboratory has been approved by the Central Government’s Committee for the Purpose of Control and Supervision of Experiments on Animals (CPCSEA). Nagarjuna is the only ayurvedic company in Kerala with such a facility. The group’s ‘Green Leaf’-certified Nagarjuna Ayurvedic Centre, the awardwinning ayurvedic hospital at Kalady in central Kerala, imparts authentic ayurvedic treatments. Nagarjuna Ayurvedic Institute is the education and training wing of the group, which undertakes ayurveda nursing as well as therapist training programmes along with orientation programmes on the Kerala ayurvedic system and specialities for ayurvedic doctors from outside Kerala as well as for international students.

The magazine that purveys ideas. Ideas to help you better manage your business. Ideas to understand the vast changes reconstituting the economies—of both Kerala and the country. Ideas to entertain you—and to prod you to see things in different ways. Some of these ideas, we believe, come out of how people and companies are pushing themselves to become more competitive or turning themselves around.

PASSLINE

Read them all and advertise in . The magazine that helps you keep pace—with events and happenings.

PASSLINE—your path to business and the business path to success.

Keethara Publications Pvt Ltd 38/125 1st Floor, Narakathara Road, Kochi-682 035, Kerala, India. Ph : +91 484 4027002, Marketing : +91 484 3043325, Editorial : +91 484 3043572 e-mail : passline.com@gmail.com

www.passlinebusinessmagazine.com PASSLINE October 31 - November 30, 2011

Federal Bank posts 36.16% more net profit Aluva-based Federal Bank has posted a net profit with an increase of 36.16% at Rs 191.16 crore. ln the corresponding period of previous fiscal it was Rs 140.40 crore. Total income of the bank stood at Rs 1484.79 crore with a hike of 32.29% from Rs 1122.38 crore in the same period last year. In the second quarter of this fiscal the income on interest is Rs 1367.83 crore as against Rs 978.34 crore in the same period previous fiscal. Net interest income increased by 8.22% from Rs 438.37 crore to Rs 474.41 crore.

Kerala Minister for Tourism A P Anilkumar, inaugurating GKSF online Diwali video greetings launched by South Indian Bank at a function held in Thiruvananthapuram.

SIB sends GKSF online Diwali video greetings Online Diwali video greetings through internet, sponsored by South Indian Bank(SIB), was inaugurated by Mr A P Anilkumar, Minister for Tourism, at a function held in Thiruvananthapuram. Tourism Secretary T K Manoj Kumar, Tourism Director Rani George, GKSF Director Rathan Gelkar, SIB Assistant General Manager G Nandakumar were present on the occasion. This facility is expected to give the opportunity for the public for sending video Diwali celebration visuals and messages of the sender to his kith and kin.SIB sends the greetings to 3 lakh persons as a part of a campaign for Grand Kerala Shopping Festival(GKSF). This facility will be available at the official website of GKSF www.shoppingfestival.in and the official website of Kerala tourism www.keralatourism.org.

Total business pegged at Rs 80,870.15 crore up by 26.85%. Total deposit stood at Rs 47,263.46 crore with an increase of 30.87%. Total advances stood at Rs 33,606.69 crore with a hike of 21.61%. Retail loans are 27.92% of total loans. Priority sector loan amounted to Rs 12,342.97 crore. Agriculture loans mounted to 4368.58 crore with a hike of 28.18%. NPA stood at 0.58 %. It was 0.68% in the corresponding period last fiscal. Capital adequacy ratio is 15.05% as against the stipulation of RBI at 9%. Earnings per share(EPS) is Rs 44.70. Book value of share is Rs 318.39. In 2010 September it was Rs 32.83 and Rs 290.16 respectively. In the second quarter Federal Bank has superseded other public sector and private sector banks in Kerala. Fereral Bank hopes to achieve the front row position in the Indian banking sector. Bank has 757 branches and 832 ATMs(Sept 30,2011). In view of the 66th Founderâ&#x20AC;&#x2122;s Day of the bank on October 18 the bank has opened 66 branches and 34 ATMs all over India.

Corporation Bank cuts interest rate on loans As all banks banking upon an interest rate hike in all loan segments Corporation Bank has put the mode of operandi in a reverse gear. As a result the interest rates on all loans has come down virtually. This comes as a grand festival offer from the bank from October 1 to December 31, 2011. The interest rate reduction is applicable to Home Loans, Vehicle Loans and Personal Loans for a period of 3 months. The special offer is available to its clients . Housing Loans have reduction in interest rate between 0.35% to 1.00% p. a. in different tenors under floating and fixed rate options, 50% waiver of processing charges on all housing loans, 60% waiver of processing charges under Ghar Shobha Scheme (finance for repairs/renovation/extension/ improvement/ furnishing of house/flat). Vehicle loans have reduction in interest rate by 0.25% on all loans with tenor upto 3 years i.e. from 12.25% to 12% p.a. Personal Loans bring reduction of interest by 1.75% i.e. from 14.75% to 13% p.a. (where the salary is routed through the bank). The bank expects to mobilise approximately new business of Rs 1,500 crore due to this initiative in the next 3 months under the Retail Loan segment. PASSLINE October 31 - November 30, 2011

Tomyas award for Akkitham and artist Namboodiri P oet laureate Akkitham Achuthan Namboodiri and the renowned painter and artist Namboodiri(Karuvatt Vasudevan Namboodiri) have been selected for the 14th V A Kesavan Nair Memorial Award for 2010. The award was instituted by the Thrissur-based Tomyas Advertising Agency in honour of noted freedom fighter, journalist and author V A Kesavan Nair for his rich contributions towards India’s freedom struggle, journalism and literature. Both the award winners are Akkitham Achuthan aged 86. Namboodiri

The award consisting of Rs 50, 000 each and statuette would be presented by eminent litterateur M T Vasudevan Nair to the duo at a Kesavan Nair commemorative function at Kerala Sahitya Academy Karuvatt Vasudevan Hall in December first Namboodiri week, Award Committee Chairman Thomas Pavaratty said. Mr Kesavan Nair, who was editor of ‘Swatantrabharatham’ (Free India), a clandestine publication at the time of Quit India movement for promoting India’s independence campaign. A post- graduate in Economics, Nair had a stint with ‘Bombay Chronicle’ and then was the first Bombay-Madras reporter of Matrubhumi daily. Kesavan Nair and Prof M P Sankunny Nair have jointly translated Nobel prize winner Pearl S Buck’s novel ‘The Good Earth’. Among the earlier recipients of the award were prominent personalities like Swamy Ranganathananda, O V Vijayan, Bishop Poulose Mar Poulose, Prof G Kumara Pilla, Swamy Moodananda, MRB, K P Narayana Pisharody, Kunhunny Master, C S Gangadharan, Jos Alukkas, Kovilan and wellknown institutions like ‘Mathrubhumi’ and SOS Children’s Village, Mr Pavaratty added.

KTM Society office-bearers The 11th annual general meeting of the Kerala Travel Mart Society (KTMS) recently re-elected Mr Riaz Ahmed as President. The other office-bearers Riaz Ahmed are Vice-President Abraham George, Secretary Sajeev Kurup V, Joint Secretary Anish Kumar P K and Treasurer Jose Mathew. The members elected are Mr E M Najeeb, Mr Baby Mathew, Mr Dilip Pottamkulam and Mr George Dominic.

Kerala Finance Minister K M Mani unveiling Vision-2015 document of KSFE. KSFE Chairman V P Joy, IAS and MD in-charge P Rajendran are also seen.

New style of film exhibition, new style of viewing Film viewing is going to be a new experience for theatre-goers as Prasad Group has ventured into a new style of exhibition with Panavision Film 3D/E-Cinema 3 D-polarized. Prasad Group is a pioneer in the field of digital post-production, having introduced most of the digital post-services in India. Prasad Group’s services cater to every area involved in film and video post-production, equipment rentals, DVD authoring, Blu-Ray compression and authoring, digital cinema, digital film restoration and stereoscopic conversion. The group has major production facilities and offices in India (Chennai, Mumbai, Hyderabad, Bangalore, Thiruvananthapuram, Bhubaneswar, New Delhi, Kolkata), Singapore and Hollywood. Prasad operates one of India’s multiplexes in Hyderabad, which includes an IMAX theatre, 5 screens with digital projection, shopping mall, food court, restaurants and entertainment zones. Now Prasad Group has introduced Prasad Xtreme Digital cinema network (PXD) 3D . PXD digital prints are made at Prasad Film Laboratories (PFL), the most trusted name in the Indian post- production industry for over three decades.

PXD benefits all. It is cost-saving with the facility for wide release and curbs piracy. For producers and distributors it is a nominal one-time investment for digital prints. It is easy to be extended to further screens without time delay. Timely release in all centres is possible. And it protects films from piracy and adverse publicity. Digital encoding and encryption restricts piracy. For the exhibitor there is no investment except a minimum amount for the white screen, if desired. They can enjoy increased box office potential. More audiences visit theatres to view films. More shows in multiplexes from single digital prints, hence more savings. For audiences no increase in ticket cost, better quality and clarity of content. Enhanced movie experience in theatre. The audience views the cinema by means of 3D goggles which will be distributed at the time of entrance to the cinema hall. After the movie the spectacles will be recovered from the spectators. The glasses are costly. The distributor rents the spectacles to the theatres at half the cost which are to be arranged by the exhibitors.

KSFDC office-bearers Film producer Sabu Cherian is the Chairman and film artiste Edavela Babu the ViceChairman of the Kerala State Film Development Corporation (KSFDC). Sabu Cherian is the producer of films like Chandamama, 4 the People, By the People, Thriller and Dreams and also the President of the Film Producers Association. Edavela Babu is also the Secretary of AMMA (Association of Malayalam Movie Makers Association).

Sabu Cherian

PASSLINE October 31 - November 30, 2011

Cinema artistes Dileep, Salim Kumar, Maniyanpilla Raju, Siddhique, Captain Raju, Ibrahim Kutty, Kalady Omana and Seema G Nair, directors Shaji Kailas, K Madhu and Suresh Unnithan are the board members. Cinematographer S Kumar, editor Baiju Devaraj, producers K S Balagopal and Kalyanaraman are also members.

Edavela Babu

The office-bearers include persons from both the cinema and serial fields.

Jaguar showroom in Kochi Leading luxury car manufacturer Jaguar Land Rover has launched its first showroom in Kerala at Muthoot Motors near the Gold Souk on NH Bypass near Vyttila in Kochi. Mr R Ramakrishnan, Vice-President, Passenger Car Business Unit, Tata Motors, inaugurated the showroom the other day. Petrol and diesel variants of Jaguars with XJ Jaguar, XF, XFR and XKR Coupe models and Land Free Lander 2 from Rover and Discovery 4 and Range Rover will be made available through the showroom, according to reports. Mr Rohit Sury, Head of Premier Car Division, Jaguar Land Rover India, and Mr Thomas Muthoot, Executive Director, Muthoot Pappachan Group, were present on the occasion.

All Tata mobile services under DoCoMo brand To make its products and services available through a single, strong network, Tata Teleservice has migrated all its Tata Indicom customers under the banner of Tata DoCoMo. Announcing this, Mr Vinod Goyal, Chief Operating Officer, Kerala Circle, Tata Service Ltd. Told reporters in Kochi recently that CDMA, GSM, 3G and Photon platforms would also be available under the new unified brand. The company unveiled cutting-edge CDMA handsets, smart phones and various Deepavali offers at the function. Officials said the company had consolidated all organizational assets—Spectrum, retail touch points, digital footprints and consumer franchises across technology platforms under the single brand of Tata DoCoMo. The company was also planning significant investments to upgrade its CDMA network to deepen and widen the existing footprints.

Sakthi Paper expansion nearing completion The Rs 20-crore expansion of Sree Sakthi Paper Mills Limited is expected to be completed by December this year, according to Vice-Chairman and Managing Director S Rajkumar. The company is already gaining from the expansion project. Mr Rajkumar told the company’s 20th annual general meeting (AGM) in Kochi recently that the modernization has not only improved productivity but also enhanced the quality of the products. It has resulted in higher realization, significantly boosting profitability. Besides modernization, the company’s investment in green technology is likely to generate a steady income stream from Carbon Credits in the coming years, Mr Rajkumar said. The company achieved 29% growth in turnover at Rs 147.53 crore to reach Rs 190.82 crore, and capacity utilization improved from 85% to 91% (71,926 MT to 77,385 MT). Net profit went up by 51% (Rs 4.64 crore to Rs 7.01 crore) in 2010-11. Return on net worth increased from 12.7% to 17.7%, and the earnings per share (EPS) rose by 51% to Rs 4.27 from Rs 2.83 in 2009-10. Buoyed by the robust financial performance in fiscal 2011, the board recommended a dividend of 21% (including 8% interim), as against 18% in the previous year, to its equity shareholders whose names appeared on the register of members of the company as on September 2, 2011. The company’s dividend yielded a post-tax return of 7.5% on the current market price of about Rs 28, which, incidentally, is the highest yield in the entire paper manufacturing industry. The AGM generated a lot of interest among the company’s shareholders, with a record number of about 1,000 shareholders attending it.

V- Guard: total sales up in second quarter V -Guard Industries has announced its unaudited financial results for the second quarter ended September 30, 2011. The company has registered a total sale of Rs 219.02 crore in the period with 38 per cent increase from Rs 158 crore last quarter. The net profit of the company is Rs 6.84 against Rs 8.78 crore in the same period of the previous year. Total sale for the second quarter ended September 30, 2011, was 459.09 against 326.95 for the quarter ended September 30, 2010 with an increase of 40 per cent. Mr Mithun Chittilappilly, Executive Director, said that electric water heater, cable, stabilizer, pumps were reported increase in sales and the company would abide by its capex plans to complete various projects in time.

Capexil Award for Nitta Gelatin Nitta Gelatin India Ltd (NGIL), a KSIDC joint venture, has bagged the Capexil Award for Best Exporter. The award is in recognition of NGIL’s export achievement in respect of ossein and gelatine panel. NGIL Managing Director G Susleean received the award from Union Minister of State for Commerce and Industry Jyotiraditya M Scindia in New Delhi recently.

‘V Guard Big Idea Business Plan’ contest prizes distributed Kochi: Prizes for the winners of ‘V Guard Big Idea Business Plan’ contest for MBA-B Tech students, organised by V Guard Industries were given away by Mr V A Joseph, CEO and Managing Director, South Indian Bank, at a function held in Kochi. Mr Kochouseph Chittilappilly, Managing Director, V Guard Industries, presided over the function.

Vagamon). More than100 entries received from various business and technical schools including IIM and IIT. The winners were selected from 20 entries shortlisted. The V Guard ‘Big Idea Business Plan’ contest was organised to promote the spirit of entrepreneurship and innovation among students of the country.

Krishna Kishore and team (I IM, Indore) has bagged the first prize worth Rs 1,00,000 while Sivaharsh S and team (IIM, Kozhikode) and Heyrab S and team won the second (Rs 50,000) and the third prize(Rs 25,000) respectively. Special jury prize was given to Juby Varghese and team (Saint Gits Institute of Management, Changanassery) and Faiq and team (DCSMAT,

The five- member jury under the chairmanship of Mr Shivaram S( Director, Deloit, Chennai), Mr Mithun Chittilappilly(Executive Director, V Guard), Mr George Sleeba ( Joint Managing Director, V Guard), Mr Nandagopal Nair ( Head, Corporate, Communications, V Guard) and Mr Satyanarayan K (Partner, Varma and Varma) selected the winners after judging the overall performance.

PASSLINE October 31 - November 30, 2011

Forex Card from Dhanlaxmi Bank D hanlaxmi Bank has launched Dhanlaxmi Bank Forex Card, a foreign currency-denominated, reloadable prepaid card. International travellers can now load the card in US dollars, Great Britain pounds (GBP) and euro in India and use it to make purchases at more than 27 million VISAenabled point-of-sale terminals or withdraw cash at any of the 10,00,000 VISA ATMs worldwide. With the Forex Card, overseas travellers have a secure, hassle-free and cost-effective option vis-à-vis travellers’ cheques, international debit and credit cards and physical currency notes. The card available over branch counters allows customers the flexibility to conduct transactions at merchant establishments or ATMs without any additional foreign conversion charges. Customers can change the ATM pin, block or unblock the card or request a replacement of lost or stolen card. Apart from viewing online balance availability and transaction history, customers can also use the 24/7 call centre facility. Mr D A Dhananjaya, Head, Foreign Exchange, says: “With the launch of the

Forex Card, Dhanlaxmi Bank will offer international travellers not only a seamless payment experience but will also provide them with a complete array of foreign exchange-related products and services.” Dhanlaxmi Bank offers customers a bouquet of foreign exchange services like foreign currency cash services, foreign currency cheque deposits, foreign currency demand drafts and remittances. Total business Rs 23,000 crore: During the last three years, the bank’s total deposits increased from Rs 3,829 crore as on June 30, 2008 to Rs 12,904 crore as on June 30, 2011, advances rose from Rs 2,207 crore as on June 30, 2008 to Rs 9,675 crore as on June 30, 2011. The bank had a total business of Rs 22,579 crore as on June 30, 2011 with a total asset base at Rs 15,036 crore. The shares of the bank are listed on the Bombay Stock Exchange Limited, the National Stock Exchange of India Limited and the Cochin Stock Exchange. The bank has 275 branches and 460 ATMs covering 160 centres across 14 states with a customer base of 1.6 million.

Federal Bank’s new initiative on CSR Federal Bank has always been in the forefront in setting new examples of corporate social responsibility (CSR). Besides giving scholarships by the Fed Bank Hormis Memorial Foundation to students of professional courses, the bank has fared well in this category by collaborating with different agencies. Renovation of Ernakulam General Hospital, new building complex for Aluva Taluk Hospital, rehabilitation centre for AIDS victims at Muthalamada and Swanthanam project for the protection of orphaned children at Kalamassery are only a few instances among them. Since its inception with the opening of a branch at Aluva in 1945 Federal Bank has completed 66 meaningful years. To cherish the memories of the 66 years the bank’s retired and service personnel planted 66 saplings at the birthplace of the founder of the bank, K P Hormis, at Mookkannur on October 18. In protecting the environment this may be the first step initiated by a corporate establishment. The bank’s MD and CEO, Mr Shyam Srinivasan, inaugurated the programme. This October 18 was the 95th birthday of K P Hormis. To focus more on matters of social responsibility the bank has formed a corporate social responsibility wing headed by Mr Raju Hormis. With this, the bank plans to engage itself in more corporate social activities in the future.

SIB posts Rs 95 crore net in Q2 Muthoot Fincorp opens 5 branches in Jaipur Muthoot Fincorp has made its entry into Rajasthan by setting up five branches in Jaipur. With this, the Muthoot Pappachen Group will have 2,000 branches across the country by March 2012, according to Mr Thomas John Muthoot, the gruup’s CMD.

ICCI, Cochin office- bearers Mr P L Prakash James of P L Lawrence & Co, Cochin, and Mr NIshesh Shah of Universal Oleoresins, Cochin, have been unanimously elected president and vice-president respectively of the Indian Chamber of Commerce and Industry, (ICCI) Cochin, for the year 2011-12. The following have been elected to fill up the vacancies in the 18-member managing committee: Mr R Radhakrishna Kamath, Mr Raj Kumar Gupta, Mr Rajesh Asher, Mr Rajesh Agarwal and Mr A A Abdul Azeez.

South Indian Bank(SIB) posted the highest net profit of Rs 94.95 crore for the second quarter ended September 30,2011. The total business of the bank has increased by Rs 13,297 crore from Rs 43,089 crore to Rs 56,386 crore on year-to-year basis registering a growth of 30.86 pre cent. The deposits have gone up by Rs 7,978 crore from Rs 25,060 crore to Rs 33,038 crore registering a growth of 31.84 per cent. The advances have increased by Rs 5,319 crore from Rs 18,029 crore to Rs23,348 crore registering a growth of 29.51 per cent. CASA of the bank has increased by Rs 1,059 crore from Rs 5,979 crore to Rs 7,078 crore showing a growth of 17.72 per cent. Bank’s MD and CEO V A Joseph said that the bank could achieve the better result because of the better return on NPAs. The bank has earned a total income of Rs 1,751 crore during the half year as against Rs 1206 crore in the previous half registering a growth of 45.14 per cent. Earnings per share increased to Rs 3.13(30.9.11) from Rs 2.39(30.9.10).The Capital Adequacy Ratio (CRAR) of the bank, computed as per Basel-2 guidelines, stands at a very comfortable level of 13.48 %. The bank plans to increase the number of branches to 700 and ATMs to 600 this fiscal. South Indian Bank has been chosen as the title sponsor of the Grand Shopping Festival-2011 organising under the aegis of the Kerala Government.

Geojit Q2 net down Geojit BNP Paribas Financial Services has registered a lower net profit of Rs 6.05 crore for the quarter ending September 30, 2011. The consolidated net profit declined by 22% to Rs 10.3 crore from Rs 13.3 crore and the consolidated income by 8% to Rs 125.38 crore from Rs 135.84 crore. The consolidated revenues fell by 11% to Rs 63.57 crore from Rs 71.38 crore for the corresponding quarter of the previous fiscal. PASSLINE October 31 - November 30, 2011

Sudhir Vasudeva ONGC chief Mr Sudhir Vasudeva has been appointed Chairman and Managing Director of State-owned Oil and Natural Gas Corporation (ONGC). Vasudeva, 57, is currently Director (Offshore) in ONGC. Mr Vasudeva will head the nation’s highest profit-making firm till his retirement on January 31, 2014. This follows Prime Minister Manmohan Singh’s clean chit approving the appointment after the Central Vigilance Commission (CVC) finally cleared all complaints received against Vasudeva.

N R Subramaniam TCCL chief Mr N R Subramaniam has taken charge as the Chairman and Managing Director of Travancore-Cochin Chemicals Limited, Udyogamandal. He was the Managing Director of Kerala Minerals and Metals Limited, Chavara, Kollam.

Antony Jobson FBOA President Mr Antony Jobson has been elected President of the Federal Bank Officers’ Association (FBOA). He hails from Melatoor.

Garden City College

A home for knowledge E

ducation primarily moulds human character, leading to quantum changes in a human being’s quality of thinking. This changed entity is better placed to successfully relate to cohabitants of the medium that he is a part of. Thus, education is a task that needs to be handled with care, as it is a process that defines an entire gamut of generations to come and is a herald to the ‘not so distant future’.

Epitome of success A few years ago, a well-educated, highly determined and self-motivated individual gave serious thought to this task and decided to put his thoughts into action. That was the beginning of Garden City College. Dr Joseph V G, Chairman, Garden City Group of Institutions, insisted on

A permanently affiliated institution of Bangalore University, approved by AICTE-New Delhi, Government of India, re-accredited by NAAC with 'A' Grade and an ISO 9001:2008 - certified institution shaping GCC into an institution that instils in every young mind, who has spent a few years at GCC, all ingredients that make him/her a success in every facet of life. The institution has, in the past decade, brought about innovations that strengthen and build an ambience for learning. GCC has always striven to stand apart, and be counted among the trend-setters in the field of education in the country. At GCC, no stone is left unturned in ensuring that quality education is imparted with passion. As the young ones take their stride along this journey of life, we can only hold their hands and be a facilitator in their journey to success. As they march along the present, we apprise them of the possibilities that the future holds. We inspire them to aim higher and

imbibe in them the skill to capture their dreams. About Chairman: Dr Joseph V G is the Founder of Garden City Group of Institutions, which has carved a niche for itself by providing quality education in India. Today students from 70 countries and from all the States and Union Territories of India have made Garden City College their home for knowledge. The reason is that this visionary genius implemented highly efficient academic practices at a very young age.

The library, a modern state-of-theart building on campus, comprises collections in all subjects. There are large collections of print and electronic reference material. The library aims at tailoring services to the needs of the users. The library is open late into the day to enable students to have access whenever they require.

The principles of Garden City College laid down by him, with The 'Emphasis On Life', have made it one of the most-sought-after institutions for higher learning. In the last two and a half decades Dr Joseph V G has crossed several milestones in the arena of education and Dr Joseph V G has stood witness to the Chairman, Garden City Group of Institutions immense growth of GarHostel: A home away from home, den City Group of Institutions, becomthat’s the GCC hostel for students who ing its major inspiration. have come from across India and even A thought to establish an institufrom around the world. GCC’s basket tion that would serve mankind for hunof nine hostels addresses the insecudreds of years crossed his mind durrity by completely understanding the ing 1985 which sowed the seed for the fears of the students and parents. GCC beginning of Garden City Education has taken sincere efforts to bring the Trust. The Trust was established in best of facilities to their hostellers with 1992 with the intention of establishing the provision for storing valuables in institutions of global standards. their individual lockers. Besides, there Garden City College was the first is medical help and counsellors on call, institution that had shaped up from his saloons, internet stations, convenience vision to serve the needy with quality stores, pharmacy kiosks, multi-activeducation. His intention was to elimi- ity playing grounds and a fleet of buses nate unemployment to the maximum connecting the city. Security on the extent and thus introduce job-oriented hostel campus is tight. courses. His emphasis was always on ATMs are present for quick access quality education and hence in to cash. The hostels here cater to the 1995, Garden City College witnessed needs of stuthe introduction of highly acclaimed dents, both in courses in Science and Management terms of Studies with new combinations that are apt for the industry and a new syllabus has seen light after a long gap.

Facilities @ GCC: GCC Library: The library at GCC offers you access to printed items across all subjects and several periodicals, an extensive and rapidly expanding collection of electronic resources including thousands of electronic journals and materials in audiovisual formats. PASSLINE October 31 - November 30, 2011

board and lodging. Laundry facilities are available. Hot showers are a given, with Bangalore having cool temperatures for the greater part of the year. GCC Hospital: The GCC Hospital, a unit of Garden City College of Physiotherapy, has been functioning for a decade. The hospital not only caters to the 4,500 students of GCC Group of Institutions but also serves the socioeconomically weaker sections of people hailing from an area of 5-km radius around the institution. The hospital is not confined to local services alone, it has also extended services and help to people affected by natural calamities such as the tsunami in Tamil Nadu and Kerala, rain-flooded areas in villages of Tamil Nadu and earthquakeaffected populations in Kashmir. Transportation: A fleet of well-kept buses ply to and fro to the campus and to all GCC hostels from different parts of Bangalore. These buses are also available for all academic-related work. Placement Cell: At the end of the day, what counts is the student’s potential to be placed in the finest organizations as a first step towards a longer career development. The placement cell conducts support programmes that enhance their chances for a smooth transition from a Student to an Executive. The Placement Cell holds workshops for the final-year students to zero in on their skills and aptitudes, strengths and weaknesses, fine-tune presentation techniques and network with the GCC alumni and the leaders in industry to provide them with the opportunity to find a suitable placement. The Placement Cell has been successful in bringing the best of organizations to the campus head hunting and is a matter of pride that GCC alumni can be found working for the best corporates in the country and outside.

The Gardenia Fest Talent in full bloom The annual fest of Garden City College, Gardenia, always lives up to its promise as the biggest fest on the college calendar of Bangalore. Being a nationwide buzz, colleges across India take part in the events with students coming from far-flung places like Delhi, Mumbai, Chennai and Coimbatore giving the fest a national outlook. -Response Feature

MCo Infrastructure Developers Pvt Ltd has made the concept of community living possible in its ideal projects with its 23 years of immaculate experience in the real estate sector of Thrissur. RMCo has reached great heights under the stewardship of Managing Director Satheesh Pottekkat who has been working in the real estate field for years. He has so far delivered 4,000 house plots to property seekers, enabling them to live in a conglomeration as a community. It is the mode of 200-300 families living in harmony. It is for the first time that Thrissur, emerging as an important city, is experiencing community living, a system highly acclaimed in developed countries, because of the farsightedness of Satheesh. RMCo housing colonies have all facilities for community living, like swimming pool, health club, boundary compound wall, 24hour security and generator backup. RMCo provides housing plots at a price affordable to the average income group: each plot costs Rs 5 lakh, where the dwellers can experience amenities worth Rs 2.5 crore usually available in a resort. Global standards, quality and trust are the hallmarks of RMCo. A highly qualified engineering team, experienced professionals and an expert mar-

keting wing are also RMCo’s specialities. Moreover, timely execution and authentic planning are its notable features. The housing plots are located in prime areas close to educational institutions, hospitals and traffic spots. Moreover, an RMCo project is also an investment because the plots are situated in and around the city where land value is going up day by day. A five-cent villa plot viable for all the city amenities is now available for Rs 3.5 lakh.

the staff that have helped the company to reach the forefront of property development. "The new policy of the ISO 9001-2008-certified company is to make Rs 6-lakh houses a reality’’, reveals the Managing Director. Contact: Ist Floor, Presidency Shopping Complex, Parayil Lane, Poothol Road, Thrissur, Kerala, India 680004. Ph: 04873256723, 0487-2385479. Email: Info@rmcodevelopers.com. www.rmcoproperties.com

Poomala Resort, Chuvanna Mannu Evershine City, Akkikkavu Evershine City, Rose Garden, Ramavarmapuram, Royal Square, Tirur, Pearl Park, Karayamparambu, and Green Country, Koratty, are the places where RMCo has projects. Besides, housing plots are available in Kochi and Palakkad in prime locations. With the idea of providing plots for common people, RMCo has plans to launch projects in all districts of the state and also in major cities of the country. It is timely delivery, quality, the friendly attitude of Satheesh and the involvement of

Aiming at retail & SME sector B

ank of Baroda (BoB) will open that Rs 1,605 crore are advances and more branches and ATMs in Kerala by Rs 2,750 crore deposits. We also anticithe end of this financial year to expand its pate a total growth of 30% in this finanbusiness in the state. Now it has cial year. This year we had a 68 branches and 29 ATMs and tremendous growth in our gold the plan is to add 15 more loan portfolio. Gold loans branches and 10 ATMs. The BoB linked with agricultural purpose consists of 49 regional offices inare in priority sector with subsicluding Kerala as a region havdized interest rate of 4%. In the ing a pan- India presence. Kerala retail sector our total business region has 12th position among by September was Rs 800 J Ganesh Kumar regions considering the growth crore and out of this 50% was in different areas, said Mr J Ganesh housing loans, Mr Kumar added. The Kumar, Assistant General Manager. Baroda Paramarsh , an innovative cen“We are in fairly good position in tre by the bank working in Vadakkanchery business with a total turnover of Rs in Palakkad district provides advisory 4,400 crore for Kerala region only. Out of services to the small traders and agriculturists regarding the market conditions and available financial options for them from the bank time to time. BoB is also having two centers named Retail loan factory and SME loan factory for speedy scrutiny and disbursal of loans for retail and SME sector. Bank of Baroda is known as India’s International bank with 86 branches spreading 26 countries including places like Uganda and Kenya. The bank has a slew of products and services fine-tuned exclusively for NRIs. A service called RLFCD is one among them. As per this mode the account holder can convert the proceeds into Indian rupees as well as any foreign currencies of any denomination. BoB is also providing loans to their account holders abroad based on their collaterals in India. PASSLINE October 31 - November 30, 2011

-Response Feature

SATHEESH POTTEKKAT Managing Director

Special invitees will honour the occasion

K C Venugopal

A P Anil Kumar

The Swiss-Province of the World Malayalee Council (WMC) was started in 1995. WMC has made the promotion of young talent in the Europe Region as one of the key areas of activity.

The Council believes that the future rests with the youth. In order to support the youth in their quest for excellence and in their search for identity, WMC is in the planning stages of the annual signature youth program “Youth Festival and Keralapiravi Celebrations” on the 5th November 2011 at Zurich/Switzerland, that will bring together the youth of Germany, Austria, the United Kingdom, Hungry, Italy, Holland, Ireland and Switzerland. The honourable Union Minister of State for Power, Mr K C Venugopal, and the Minister for Tourism and Welfare of Scheduled Castes and Backward Classes, Kerala, Mr A P Anil Kumar, will attend the celebrations.

Suresh Gopi

Remya Nambisan

Super star Bharath Suresh Gopi of Malayalam filmdom will be the chief celebrity and silver screen’s favourite Remya Nambisan will add glitz and glamour to the event by their august presence.

Santy Mathew

Santy Mathew with wife Lovely in front of St Peter's Basilica, Rome

Organizing an event or a programme may be a hectic task for many. However, a few people are endowed with such professionalism and apt talent to conduct such events. Mr Santy Mathew, a resident of Thodupuzha, is one among the latter category with his exceptional talent and craftsmanship as a good organiser. He has closely been associated with many agencies working in social as well as economic spectrum in society. Besides holding a number of prestigious positions, he has also received a number of awards and accolades for outstanding performance in business sector. He has proved his mettle in various sectors including business, charity, social activity and education. Mr Santy is the Founder- Director of Global Indian School; President, Global Malayalee Council and Vice-president, Energy Conservation Society (NGO). He is also a state council member of Residents Associations of Kerala, the apex body of residents’ association. Mr Santy has visited many foreign countries and actively involved in conducting number of events. He has been associating with World Malayalee Council celebrations for the last

Coordinatorphilanthropist couple of years and also got opportunity to visit Australian Parliament. He had the chance to meet Pope Benedict 16th. He is now the Indian coordinator of the Youth Festival and Keralapiravi Celebrations, organized by Swiss Province of World Malayalee Council at Zurich in Switzerland on November 5, 2011. After his schooling at IMHS, Kaloor, Thodupuzha, Mr Santy was actively involved in many social and general issues at his college where he was also the union chairman. Entrepreneurship in him came to the fore during his college days as he recognised his acumen both as a businessman and a social activist. Because, after education Santy started his first business venture— an aluminum fabrication unit at his home town as small scale industry which helped more than 60 people to get jobs which eventually led him to open two showrooms for twowheelers of reputed brands at Muvattupuzha and Thodupuzha. He bagged a series of awards for entrepreneurship in business including ‘Outstanding dealer award 2002’, and ‘Best businessman award 2004’. The self-made entrepreneur has other area of interest which led him to spread the message of environmental protection and pollution-free state under the banner of Energy conservation society since his entry into the distinguished agency. He had served as the PRO before he was elected its vice president.

Santy and wife with V D Satheesan MLA, Thomas Chazhikadan Ex MLA, and Playback singer Remi Tomy.

Although he was eco-friendly he has a soft corner towards the poor

PASSLINE October 31 - November 30, 2011

and marginalised to actively associate with many charitable organisations and charitable activities. He was an active member of ‘Divyarakhshalayam’, a charitable organisation running at Thodupuzha for

Santy addressing the audience at WMC Meet in Switzerland

many years. Rehabilitation of AIDS victims, awareness drive against pollution are the areas which he actively associated with. The entrepreneur cannot be counted among the normal commuters who usually turn a blind eye towards accidents frequently occurs on roads. At those critical moments he turns a philanthropist of the helpless victims to rehab them without being a mere onlooker to such pathetic sight. His humane attitude has helped many victims to get a second lease of life after facing such fatal moments. The dictum that behind the success of a man there is a woman. That woman is wife Lovely backed by their 3 children Linta Mariya (Engineering student), Minta Rose (Seventh Standard) and Emmanuel Mathew (First Standard).

44 PASSLINE

October 31 - November 30, 2011

RN 65561/94 Reg. No. KL/EKM/116/2009-2011

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