Thursday, May 26, 2011

After petrol; prices of diesel, kerosene, LPG could go up!Reliance Industries to be free to price gas for non-core users!No Resistance. No LEFT Intitive in mobilising the suffering masses against Corporate Imperilaism. Civil Society and NGOs have Hij

After petrol; prices of diesel, kerosene, LPG could go up!Reliance Industries to be free to price gas for non-core users!No Resistance. No LEFT Intitive in mobilising the suffering masses against Corporate Imperilaism. Civil Society and NGOs have Hijacked Mass Movement. Medha Patekar is on Hunger Strike in Mumbai while BABA Ramdev is all set to CLIMEX his SWABHIMAN HNIDUTVA YATRA with Hunger Strike on Jantar Mantar New Delhi. He is pleading for SPRITUAL Rule! Anna Hazzare is trying to KILL Corruption with India Incs and MNCs, LPG Mafia support. No One opposes Corpoarte Imperialism. Demise of Communism in India has also killed Workers` and Peasnts` Movement. Ambedkarites Fail to Understand Ambedkarite ECONOMICS! Where is the ESCAPE route for the EXCLUDED Communities from Continued Holocaust? Meanwhile, Bharat Mukti Moracha has declared to organise Massive Rallies in every State capital in its Mumbai Rally on 22nd May for the LIBERATION of the MULNIVASI Bahujan Aborigin Indigenous Masses!But without addressing the Economic Issues, how the Social Mobilisation, the Mobilisation of Productive Forces is Possible! Without Trade Union Movement in the ORGANISED Sector, NO Mass Movement which is SUBJECT to DIVERSION as well as REPRESSION may open the Avenue of Resistance!


Indian Holocaust My Father`s Life and Time - SIX HUNDRED FORTY SEVEN

Palash Biswas

http://indianholocaustmyfatherslifeandtime.blogspot.com/

http://basantipurtimes.blogspot.com/


After petrol; prices of diesel, kerosene, LPG could go up!

Reliance Industries to be free to price gas for non-core users!

No Resistance. No LEFT Intitive in mobilising the suffering masses against Corporate Imperilaism. Civil Society and NGOs have Hijacked Mass Movement. Medha Patekar is on Hunger Strike in Mumbai while BABA Ramdev is all set to CLIMEX his SWABHIMAN HNIDUTVA YATRA with Hunger Strike on Jantar Mantar New Delhi. He is pleading for SPRITUAL Rule! Anna Hazzare is trying to KILL Corruption with India Incs and MNCs, LPG Mafia support. No One opposes Corpoarte Imperialism. Demise of Communism in India has also killed Workers` and Peasnts` Movement. Ambedkarites Fail to Understand Ambedkarite ECONOMICS! Where is the ESCAPE route for the EXCLUDED Communities from Continued Holocaust? Meanwhile, Bharat Mukti Moracha has declared to organise Massive Rallies in every State capital in its Mumbai Rally on 22nd May for the LIBERATION of the MULNIVASI Bahujan Aborigin Indigenous Masses!But without addressing the Economic Issues, how the Social Mobilisation, the Mobilisation of Productive Forces is Possible! Without Trade Union Movement in the ORGANISED Sector, NO Mass Movement which is SUBJECT to DIVERSION as well as REPRESSION may open the Avenue of Resistance!

Mind you, Anna Hazaare Did PRAISE Narendra Modi during his Jantar Mantar Revolution but now Veteran social activist Anna Hazare, who had once praised Gujarat chief minister Narendra Modi, slammed the level of corruption in the state and said his next venture would be against forceful land acquisition, starting from Gujarat.On the other hand, KNOWLDGE ECONOMY Master Planner, Union Human Resource and Development (HRD) Minister Kapil Sibal disagreeing with his ministerial colleague Jairam Ramesh's remarks on IITs and IIMs, on Thursday said the faculties of these institutions are 'world class'. While, Agriculture Minister Sharad Pawar meanwhile asked corporates to tap the vast opportunities available in the agriculture sector, especially in research.




Microsoft CEO Steven A. Ballmer made a passionate presentation, introducing India to the Microsoft Cloud concept in front of a huge gathering in New Delhi on Thursday. Software giant Microsoft said it is looking at working with Finnish mobile phone manufacturer Nokia to develop "next-generation" mobile devices.In the 13 countries that the survey covered, the Internet contributed an average 3.4 per cent to the GDP, more than agriculture, energy and other better established industries. Just corelate. In India, it is hyped that Internet contributes FIVE percent to Inida`s GDP grpwth!

The Internet, which has transformed the way we live, work, shop, socialise and now, is also emerging as a powerful catalyst for job creation, says a survey by global management consultancy McKinsey.

Yoga guru Baba Ramdevhas said that Prime Minister Manmohan Singh and Finance Minister Pranab Mukherjee have assured him that they are serious about bringing back the black money stashed away in foreign bank accounts.

Nothing impossible for India, says Pranab

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Nothing seems impossible for India to achieve despite several challenges facing the country, said Finance Minister Pranab Mukherjee on Thursday after receiving honorary doctorate from Britain's University of Wolverhampton.
"Today India is as a stage where nothing seems impossible to do or achieve", he said, while pointing out that the biggest challenge before the political leadership is to meet the aspirations of the younger generation.
"The biggest challenge is the challenge of rising expectations of a young India and equipping this India with skills to live a productive life," he said. Mukherjee said the younger generation is restless and wants to move fast in life.
Besides this, he said, "There are several challenges that confront us (India), and need to be addressed, if we were to sustain our progress in the coming decades."
Leader of the Opposition in the Rajya Sabha Arun Jaitley has also been conferred honorary doctorate by the university. Jaitley has been conferred the doctorate for contribution to politics and service to the people of India.
Mukherjee was selected for outstanding service to Indian society and contribution to international affairs. He described the award of the honorary degree as the rare distinction. "I am honoured to the Board of Governors and the Academic Board of the University of Wolverhampton who have conferred upon me the Honorary Degree of Doctor of Letters of the University in recognition of my service to public like and international affairs," Mukherjee said.
The function was addressed by Wolverhampton University Chancellor Lord Swaraj Paul.
- With PTI inputs
http://indiatoday.intoday.in/site/story/nothing-impossible-for-india-says-pranab/1/139435.html
  1. Swami Ramdev - Wikipedia, the free encyclopedia

  2. Baba Ramdev was born in the house of an ordinary family of Gulab Devi and Ram Nivas Yadav, in the Ali Saiyad Pur village of Mahendragarh district in Haryana ...

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  28. Baba Ramdev not as credible as Hazare: Digvijay - Rediff.com News

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    But Ramdev said in the interview to India TodayEditorial Director M. J. Akbar for Aaj Tak's Seedhi Baat programme that he would still launch hissatyagraha against corruption in June as scheduled.
    "The PM responded to my letter saying the government is fully committed to eradicate the menace of black money and corruption," the yoga guru said.
    Asked if he was satisfied with the government's response to his three-point communication to the PM, Ramdev said: "The finance minister had a discussion with me within a week. He expressed the government's agreement with our intent to bring back black money." The self-styled anti-corruption crusader said Mukherjee had told him the government wanted to take action in a phased and time-bound manner. "He also indicated the Lokpal Bill would be made effective to deal with such issues. I was not hopeful of hearing anything before June 5 when we start our satyagraha ," he added.
    Ramdev believes his dialogue with the government would lead to "some useful output for the country". He also hoped the government would consider his demand for death penalty for those indulging in corruption. "The government may also consider life imprisonment for such persons," he added.
    1. Ramdev VS Anna Hazare - Unmatched questions

    2. Times of Assam - 9 hours ago

    3. The conclusion even before we start is straight and simple; – Kisan Baburao Hazare AKA Anna Hazare has replaced Baba Ramdev's epic struggle against...

    4. : Dial S for salvation- Financial Express

    5. all 44 news articles » हिंदी में

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    10. PTI | May 23, 2011, 01.57pm IST CHHINDWARA (MP): Expressing his support to the proposed 'satyagraha' of yoga guru Baba Ramdev, Union urban development ...

    11. PM serious about recovering black money shashed abroad: Baba Ramdev-India Today

    12. Nath springs Ramdev surprise- Calcutta Telegraph

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    20. Place: New Delhi | Agency: PTI Yoga guru Baba Ramdev will sit on an indefinite hunger strike in the capital from June four demanding a strong Lokpal Bill ...

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    28. 1.5 lakh people to join Baba Ramdev

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    30. Yoga guru Baba Ramdev's fight against corruption and black money is steadfastly gathering momentum with around 1.5 lakh people promising to join the ...

    31. Ramdev says he would never float a political party- Indian Express

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    39. A 39-year-old Bhayandar resident, who consumed ayurvedic powder to prevent loss of hair promoted by and sold at Baba Ramdev's yoga institute had to undergo ...

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    44. And, now, yoga guru Ramdev's announcement of a fast unto death against corruption from June 4 is the latest entry in the growing list of celebrity fasting...

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    54. NEW DELHI: Keen not to leave itself open to an Anna Hazare-type ambush, the government has proactively approached yoga guru Baba Ramdev to explain that it ...

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    56. IBNLive.com - 14 May 2011

    57. PTI | 09:05 PM,May 14,2011 Panaji, May 14 (PTI) Around 1000 followers of Yoga Guru Baba Ramdev from Goa will join him at the Ramleela ground in New Delhi on ...

    58. I aim to establish truth in corridors of power: Ramdev

    59. Times of India - 19 May 2011

    60. Baba Ramdev's Bharat Swabhiman Yatra was in Chandrapur on Wednesday and he addressed a mega yoga camp was organized at Ranger's College ground during early ...

    61. VHP welcomes Ramdev's proposed satyagraha

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    63. SILCHAR: The Vishwa Hindu Parishad (VHP) believes that yoga guru Baba Ramdev'sproposed satyagraha against corruption will help cleanse the entire system in ...

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    Showing results for Ramdev Baba.Search instead for the original terms: Ramdeb Baba
    1. No breakthrough in talks between govt and Medha Patkar

    2. Hindustan Times - 18 minutes ago

    3. PTI There was no break-through in the negotiations between the state government and social activist Medha Patkar, who has been on a hunger strike since May ...

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    13. By DNA Correspondent | Place: Mumbai | Agency: DNA Social activist Medha Patkar, who is on an indefinite hunger strike against the alleged irregularities in...

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    52. Medha courts encroachment FIR

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    54. RANCHI: Social activist Medha Patkar has invited an FIR against herself for inciting people to reconstruct on land freed in the ongoing anti-encroachment ...

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    56. The Hindu - Gargi Parsai - 12 May 2011

    57. Even as Narmada Bachao Andolan leader Medha Patkar on Thursday demanded repeal of the Land Acquisition Act, 1984, the All-India Kisan Sabha urged Prime ...


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    According to a report by McKinsey Global Institute, the Net has a sweeping impact on growth, prosperity and has "created 2.4 jobs for every job that it has destroyed"McKinsey further noted that notwithstanding the fact that some jobs have been destroyed by the emergence of the Internet, a detailed analysis of the French economy showed that while the Internet has destroyed 500,000 jobs over the past 15 years, it has created 1.2 million other jobs.

    After petrol, price of diesel, LPG and kerosene are likely to be hiked next month when a ministerial panel headed by Finance Minister Pranab Mukherjee meets to decide on passing rise in crude rates to consumers.

    "The Empowered Group of Ministers (EGoM) has been scheduled to meet on June 9," a top oil ministry official said here today.

    "Price of diesel, LPG and kerosene will have to go up (to cover for rise in input crude oil cost). What EGoM has to decide is by how much," the official said.

    State-owned oil firms had earlier this month hiked petrol price by a steep Rs 5 per litre and oil ministry may push for a Rs 4 per litre increase in diesel and at least Rs 20-25 per 14.2-kg cylinder hike in domestic cooking gas (LPG) rates.

    Kerosene price hike too is on the cards. "There is no escaping this time... nothing can be treated as sacred," the official said stressing that rates of all three commodities will be hiked.

    EGoM was originally scheduled to meet on May 11, a day after polling in West Bengal ended but the panel meeting was postponed and has now been scheduled for June 9.

    "Public sector oil companies are losing close to Rs 500 crore per day on selling diesel, domestic LPG and kerosene at government controlled rates. We cannot continue with this for long," the official said.

    Oil companies are losing Rs 16.49 on sale of every litre of diesel at current price of Rs 37.75 per litre in Delhi.

    Besides, state oil firms lose Rs 29.69 a litre on kerosene and Rs 329.73 per 14.2-kg domestic LPG cylinder.

    The government had in June last year freed petrol prices and had announced its intention to do the same for diesel pricing in due course of time. Though IOC, BPCL and HPCL had been given the freedom to decide on the retail selling price of petrol, they informally consulted the Oil Ministry on every revision.

    The Rs 5 per litre hike in petrol price earlier this month was the steepest hike ever, but was short of the Rs 10.5 per litre desired increase in rates to make the retail fuel price at par with the imported cost.

    The Prime Minister's Economic Advisory Council (PMEAC) has pitched for an early decision on freeing of diesel prices, saying that oil companies are incurring huge losses on account of difference between domestic and international prices.

    Economic Times Reports:

    26 MAY, 2011, 09.51AM IST, RAJEEV JAYASWAL,ET BUREAU
    Reliance Industries to be free to price gas for non-core users

    NEW DELHI: The government has decided to supply gas at regulated rates only to a few top-priority consumers - a move that will grant Reliance Industries substantial pricing freedom and boost the government's share of revenue from the KG-D6 field when output rises.

    At 9:50 am, shares of Reliance Industries were trading 1.38 per cent up at Rs 919.35 on the Bombay Stock Exchange. It touched a high of Rs 922 and a low of Rs 911.80 in trade so far.

    The new system is being worked out by the government in response to the steep fall in output from Reliance Industries KG-D6 gas field. The shortfall has prompted the oil ministry to order Reliance to cut supplies to "non-core" sectors such as steel to help power and fertiliser plants get normal supply.

    Steel companies have already challenged the order in court, but the proposed new pricing policy will make sure that such customers pay market rates for gas when it is available. Reliance Industries wants to monitor data from the D-6 reservoir for a few quarters before it takes steps to ramp up production to normal.

    In the new pricing regime, gas at the regulated price of $4.2 per unit would be supplied only for use in making fertilisers, subsidised cooking gas, city gas networks and power stations that do not indulge in lucrative open-market sale, two government officials said requesting anonymity. Natural gas is a scarce commodity in India, and the only quick alternative to Reliance's gas is liquefied natural gas (LNG) which has been imported at over $12 per unit in the spot market in recent weeks.

    If Reliance is able to ramp up output to normal, at least half of its identified customers would be denied cheap gas on the grounds that the government's pricing policy should not boost corporate profits without any gains for the public.

    The officials said that a steep decline in RIL's KG-D6 gas output had forced the government to restrict its supply to priority sectors and had also raised the question as to why cheap gas should be given to companies for maximising profits. The RIL-operated block's current output is about 48-49 million standard cubic meters per day (mmscmd) which is well short of 69.8 mmscmd as per the government approved plan.

    The oil ministry has the authority to restrict gas supply to non-core industries immediately but the issue of gas prices can be taken up only by the empowered group of ministers (EGoM), officials said. The EGoM, which is the final word on gas pricing and its utilisation, had chalked out priority consumers for RIL's KG gas and had fixed its price at $4.2 per unit for five years that would expire in 2014.

    Oil ministry officials confirmed the developments.

    Market-oriented solutions needed

    "The matter is being examined by various arms of the government including the finance ministry and the Planning Commission. Meanwhile, we are identifying sectors where lower price of gas is a pass through and its benefits are passed on to the public," a ministry official, who did not wish to be named, said.

    http://economictimes.indiatimes.com/news/news-by-industry/energy/oil-gas/reliance-industries-to-be-free-to-price-gas-for-non-core-users/articleshow/8575801.cms
    No consensus on FDI in defence production proposal
    A year after the Industry Ministry put out a discussion paper on increasing foreign direct investment in defence production to 74 per cent,it has not been able make a concrete proposal for the Cabinet.

    "Defence is a strategic subject. There have been brainstorming sessions. There has been no formal proposal which has been moved," Commerce and Industry Minister Anand Sharma told PTI.

    At present, foreign direct investment (FDI) upto 26 per cent is allowed in defence production.

    Senior Ministers including Finance Minister Pranab Mukherjee , Home Minister P Chidambaram, Defence Minister A K Antony and Sharma have been meeting over the issue, but no consensus seems to have emerged on increasing the FDI ceiling in the sensitive sector, sources said.

    They said the Defence Ministry has reservations on hiking the overseas investment in the sector, whereas according to the Industry Ministry's argument, the government would have a stricter control over the production of arms and ammunition if they are manufactured in the country by foreign vendors.

    Government being the main buyer of the Defence equipment resorts to large-scale imports from manufacturers in different parts of the world and it has little or no access to the technology or production facilities.

    It was in this context that the Department of Industrial Policy and Promotion (DIPP) had gone to the extent of suggesting 100 per cent FDI in the sector.

    According to the discussion paper, defence equipment in the country is of old vintage and needs replacement. Only 15 per cent of the equipment can be described as state-of-the-art and nearly 50 per cent faces obsolescence.

    The capital expenditure for the Defence has been pegged at Rs 69,198 crore of which a large part is spent on imported equipment and arms.
    Savings Centre: Provident Fund
    PF accounts can soon be accessed online
    This will put pressure on erring employers to make regular payments and nudge regional EPFOs to update accounts regularly.
    Defence: Inducting Stealth Frigates
    India to boost 'blue-water' warfare punch with 2 new stealth frigates
    Chief Admiral Verma has stressed 'maintenance of war-fighting abilities' is top priority despite the large peacetime commitments.
    IIT Results: The Youngest Topper
    The toppers, why and how they cracked IIT JEE
    16-year old Prudhvitej Immadi is the youngest topper in the history of the IITs. His family has a small jewellery shop in small town Tirumala.
    India vs China: Supremacy Tussle
    China pushes India to the brink on Myanmar project
    The project is sure to go a Chinese firm if India opts out; it's the best way to cut India's losses. Net result is that India's image has suffered.
    http://economictimes.indiatimes.com/news/economy/finance/no-consensus-on-fdi-in-defence-production-proposal/articleshow/8586764.cms

    In his talk at the inaugural session of 'Cloud Summit: Enabling Inclusive Innovation,' an event jointly organized by CII and Microsoft, Steve, as he is popularly known, also announced the launch of the Office 365 Cloud service in June and underlined the key importance of the Indian market to Microsoft.

    Explaining the vision behind Microsoft developing the Cloud Computing technology, Steve said, "It starts from a fundamental understanding that technology needs to get simpler and more human over the next four to five years. The first element is developing natural human interfaces which recognize basic human characteristics like voice and touch. The evolution of technology is such that it should be working the way people work."

    He elaborated, "Touch technology has not replaced keyboards but it has undoubtedly added a new dimension to computing. Cloud Computing represents that technology which understands you, your intent and takes action accordingly."

    "The second element is that differences in languages and interpretation need to be bridged to make computing and therefore conduct business easier. When one searches for some information on a search engine, more than 50 per cent of times you get links that are not relevant. More often than not, you press the back button. Cloud Computing can help you get the information you are looking for in an organized manner. Natural user interface and natural language will shape the products we continue to develop and Cloud Computing will facilitate this transformation," he added.

    "I see a future with more and more miniature devices, mobile phones are good examples, which become more powerful and more capable," Steve said.

    "We are looking at Cloud to use the Internet as a programming interface. Generation 1 of the Internet saw people putting up content on the Internet. Generation two has seen the element of interactivity added to it. Now, the third generation will see use of the Internet as a programming interface," said the Microsoft CEO.

    "Cloud will automate and operate applications quickly so that people can learn and consume information in a interesting manner. It will analyze and take action. In this field, Cloud will enable simulation of the physical world in its virtual format. The possibilities of such applications are endless for fields such as biotechnology, medicine, geophysics, chemistry, etc. Cloud will help create, collaborate and share the fruits of such analysis and tests. It will help people in enjoying real-time interactive games and socialize between themselves," he said.

    Saying the Office 365 Cloud Service which will include Lync would help employers, employees, trading partners and consumers to understand each other better, Steve said it would make business seamless and easy.

    Steve highlighted the importance of the Indian market and said, "Our partnership with Nokia about the Windows Phone in India show we are serious about India. We want to focus on touch-optimized devices."

    He also spoke of the Microsoft Mindz product which is a high-scale, high-storage application being used by leading Indian businesses like Wipro, Infosys, Adhunik Group, KPIT Cummins, Godrej Industries , HCL etc.

    In conclusion, Steve said: "The key to life in tems of technol;ogy is to look forward , before anybody else beats you to it. You have to think what is better, what you want, what your employees want. Cloud Computing will enable the use of IT more productively and it is imperative that India which is a major developer of computer programmes makes use of this technology."

    Earlier in his opening remarks, Vinayak Chatterjee, Chairman, CII National Task Force on Regulatory Framework in Infrastructure , said, "CII has been deeply engaged with various stakeholders and the government to ensure that India and Indian industry makes the most of the opportunities that cloud computing has to off er and CII is in the process of finalizing its report on Cloud Computing which would be released soon and would be presented to the Government and relevant regulators for their perusal."

    Govt can put preconditions on Cairn-Vedanta deal, reaffirms SGI

    In a setback to the Cairn-Vedanta deal , Solicitor General Gopal Subramanium has reaffairmed that the government can impose preconditions like equitable sharing of royalty in the all-important Rajasthan block for clearing Vedanta Resources' takeover of Cairn India.

    Contrary to media reports, the nation's second highest law officer has reiterated his earlier opinion that Cairn or its successor should share cess and royalty with state-owned Oil and Natural Gas Corp (ONGC) in the Rajasthan block.

    In his second opinion, which was sought by Finance Minister and head of a ministerial panel vetting the USD 9.6 billion deal Pranab Mukherjee , the SGI said, "The government is not bound to grant consent ipso facto or mechanically."

    The precondition that Cairn/Vedanta agree to cost-recovery of Rs 18,000 crore in royalty that ONGC has to pay on the Rajasthan block would be "defensible on parameters of public and national interest," the SGI said in the second opinion.

    In his first opinion on March 24, the SGI had categorically stated that transfer of Cairn India shares to Vedanta should be allowed only if the latter agrees to treating royalty paid by ONGC as cost-recoverable from its revenues.

    ONGC owns a 30 per cent stake in Cairn India's mainstay Rajasthan block, but is liable to pay royalty on the entire output from the field. Cairn is also contesting its liability to pay a Rs 2,500 per tonne cess on its 70 per cent share.

    But unlike royalty, it is treating cess as a cost-recoverable item. All cost-recoverable items like capital and operating expenditure are first deducted from revenues earned from the sale of oil before profits are shared between stakeholders, including the government.

    Cairn Energy, which is selling a 40 per cent stake in its Indian unit to Vedanta, and the London-listed mining group are opposed to making royalty cost-recoverable as it will lower the profitability of Cairn India.

    "The purpose of consent is the provision of a power to regulate the performance of obligations which arise under a contract and not to defy them. Hence, a consent can be conditional," the SGI said in the second opinion on April 6.

    The government "cannot deny consent except on logical grounds. Such conditions as preserve many different components of public interest can be validly imposed. The conditions must be borne out of fairness, vigilance and public interest," he said.

    The Group of Ministers headed by Mukherjee is slated to meet on May 27 to discuss imposing preconditions on approving the deal. The GoM recommendation will go to the Cabinet Committee on Economic Affairs (CCEA), which had on April 6 asked the ministerial panel to vet the deal.

    Oil and stockmarkets likely to delink this year
    LONDON: Oil and equities have been in lock-step for much of the last two years but this is likely to break down in 2011, as high fuel costs dent demand and chip away at confidence in global economic growth.

    The ending of the second round of quantitative easing (QE2), that has pumped $600 billion in financial markets since last year, will exacerbate the break, fund managers and analysts say, and could mean the asset classes start to move inversely.

    "Once QE2 is out of the way, the wave of money that has flowed into commodities will recede and the high correlations between commodities and other asset groups will diminish," said Nicholas Denbow , fund manager at VOC Capital Management .

    Share moves have tended to track the sharp swings in oil prices since the last global financial crisis, which saw assets perceived as risky first of all dive, and then recover sharply.

    In the five years running up to the crisis, oil and stock markets regularly moved inversely as higher oil prices were generally seen as damaging the prospects of companies that would face higher costs.

    But government attempts to avoid a long and deep recession -- a massive injection of cash into the economy and easy monetary policy -- have encouraged investors to treat commodities such as oil as just another asset class.

    This saw investors pile in to crude when the economic outlook looked brighter and flee when data looked bad or geopolitical or corporate news flow knocked sentiment.

    But as QE2 ends, the close relationships it fostered are likely to break down.

    OIL SQUEEZE

    Oil prices have now got so high that they are forcing consumers to rethink their use of fuel and eating into profits, a move that analysts expect to impact equities valuations.

    "There's a thought from equity investors that's consistently bubbling up that oil is moving to levels that will hurt growth," John Haynes , head of research at Rensburg Sheppards .

    Research by Empirical Research Partners shows that if U.S. consumers' outlay on energy rises much beyond 6 percent, it starts to impact their general level of spending, and that level has now been breached.

    "(High) oil ... has a negative impact on other bits of the economy, so the correlation could turn around, so when oil prices go up, equity prices go down," Haynes said.

    There are already signs oil prices -- about 40 percent above their levels at the same time last year -- are sapping demand.

    "When we look at the latest data from the U.S. department of energy , U.S. oil demand is down 1.1 million barrels per day," said Olivier Jakob, head of energy consultants Petromatrix.

    "It has fallen back to the levels of 2009 at the same time of the year. We've lost in the United States as much oil demand as the supply we have lost from Libya."

    The impact will feed through this year. "I think for the United States we will have 1 percent slower GDP growth than we would have had if oil had stayed at $80 per barrel for 2011, and that is also bearish news for equities," James D. Hamilton, professor of economics at University of California in San Diego.

    Oil, gas and other energy companies make up a high proportion of the leading stock market indexes, representing 11 percent of the MSCI All Country World Index and 19 percent of the FTSE 100, and this, paradoxically, is also likely to put pressure on the oil-equities correlation.

    "Given that the financial sector is so weak you have to have the other sectors compensate for it to be able to reach those peaks. If you look at the target to reach 1,450 on the S&P you need oil to go to $140 per barrel," Jakob said.

    "You're putting the real economy at risk (if you) achieve those levels on the S&P while the financial sector is so weak."

    The impact on the real economy from high oil prices will soon start to show, and stocks, which often act as a leading indicator, will be vulnerable to oil price strength.

    "Rising commodity prices equals inflation, which becomes wage inflation, which dents corporate profit margins, which sends the stock market down," said Charles Morris, manager of the $2.5 billion HSBC Wealth Opportunities fund.

    25 MAY, 2011, 09.51AM IST,REUTERS
    Diesel demand may surge as subsidies prompt switch
    NEW DELHI: Diesel demand will surge this summer as subsidies make it cheaper than fuel oil for burning in power plants and factories, potentially tightening distillate supplies in Asia if Government does not act soon to raise local tariffs.

    Government caps prices of diesel, the most common fuel for transport and its large farm sector, to protect the poor and control inflation. Fuel oil is sold at international rates, which are close to their highest since 2008.

    The distortion in the relationship between fuel oil and diesel may result in the nation's diesel imports rising by as much as 30 per cent on the year, traders and analysts said, at a time when supplies in Asia are expected to be thin as China clamps down on exports to meet a surge in summer demand.

    "In some states a litre of fuel oil is costlier than diesel. Industrial users have already started switching to diesel, which is cheaper and cleaner," said R K Singh, chairman of Bharat Petroleum Corp , the nation's third-biggest refiner.

    The Paris-based International Energy Agency sees country's diesel demand rising 6.3 per cent this year to 1.3 million barrels per day (bpd), while fuel oil demand is seen falling 5.4 per cent to 368,000 bpd. But with fuel oil prices rising above diesel, those trends could be exacerbated.

    Fuel substitution has already propelled a sharp acceleration in diesel demand growth in May to around 15-18 per cent from a year earlier, Singh and other industry sources estimated. That was up from growth in diesel sales of just 1.7 per cent in April.

    To meet the switch, imports would need to rise despite the startup of two new refineries -- the 120,000 bpd Bina refinery in central India and 180,000 bpd Bathinda plant in the north -- this fiscal year.

    "The way demand is going up diesel imports could bounce back to the 2.5 to 2.6 million tonnes... from about 2 million tonnes in 2010/11," an Asian oil trader said.

    That would equate to imports of around 53,000 bpd this year, up from around 41,000 bpd. The difference would be about 12,000 bpd over the year. The rise would be concentrated in summer, so the difference would be much higher during those months.

    The retail price of diesel translates to $84 a barrel in Singapore markets, where benchmark 0.25 per cent diesel now costs about $125 a barrel and 180 centistoke fuel oil is about $98 a barrel.

    Government has put off a decision to raise diesel and cooking fuel prices, a political hot potato as it juggles double-digit inflation, a soaring deficit and a voter base which has already voiced outrage over gasoline price increases.

    It wants to save on subsidy payments and boost revenues at state-run oil companies, despite the impact on already high inflation, which the central bank has failed to cool with nine rate rises since March 2010.

    "Diesel is a versatile fuel. It is like a 'go to' fuel for power, small industries and automotive sectors," said Praveen Kumar, senior consultant at FACTS Global Energy in Singapore.

    24 MAY, 2011, 03.13AM IST, DEBJOY SENGUPTA,ET BUREAU
    Coal India unions threaten strike, seek higher pay

    KOLKATA: Coal India unions have threatened a three-day strike if the company does not raise salaries next month.

    The company employs some 3.7 lakh workers whose wages account for 45% of its expenditure. A day's inactivity causes an output loss of at least 1.2 million tonnes, which is equivalent to a full year's production from a mid-sized mine. The company's price per tonne of coal ranges from 700 for inferior grades to around 3000-4000 per tonne of premium grades.

    A new wage agreement should be worked out before the existing deal lapses on June 30, failing which the unions will call strike. "By now only the composition of the joint committee for wage negotiations has been declared but no committee has been constituted. Coal minister's declaration that wage settlement will be finalised before June 30 remains on paper," joint secretary, All India Coal Workers Federation, Jibon Roy told ET.

    Usually, wage increases are in the range of 20-22%.

    The major unions of CIL include Indian National Mine Workers Federation (INTUC), Indian Mine Workers federation (AITUC), Akhil Bharatiya Khadan Mazdoor Sangh (BMS), Hind Khadan Mazdur Federation (HMS) and All India Coal Workers Federation (CITU).

    "We have four major demands, one being the salary hike. We have also demanded for parity in provident fund (PF) interest rates for coal workers and the general PF rate, increased compensation as well as jobs for land losers and against appointing contractors in mines. If the CIL management fails to solve these issues within June we will for a two-three day strike. The date, however, is yet to be decided," Roy said.

    "The rate of interest for coal workers provident fund is still 8.5% while it is 9.5% for other employees. We want a 1% hike to match the general provident fund rates," Roy said.

    The major coal unions had gone different ways on the issue of CIL's IPO. During the IPO last year when the coal ministry assured concessions to the unions, all except CITU had decided to withdraw the strike. Later BMS and HMS also gave a call on another day on similar demands. This time all of them have decided to unite on the issue of wage hike and PF interest rate hike.
    http://economictimes.indiatimes.com/news/news-by-industry/energy/oil-gas/coal-india-unions-threaten-strike-seek-higher-pay/articleshow/8544043.cms


    26 MAY, 2011, 08.55PM IST,REUTERS
    Wall Street falls on signs of economic slowdown
    NEW YORK: US stocks fell on Thursday following a rise in weekly jobless claims that added to concerns about an impending economic slowdown, while Goldman Sachs lowered its forecast for the S&P 500 index.

    Initial jobless claims unexpectedly rose in the latest week and remained at elevated levels. Gross domestic product rose at an annual rate of 1.8 percent in the first quarter, unchanged from the previous estimate and down from analysts' expectations for more robust growth.

    In a sign of rising concern about the economic outlook, Goldman Sachs cut its year-end target for the S&P 500 index to 1,450 from 1,500, citing margin concerns. The lower target represents upside of almost 10 percent from current levels.

    "We have seen a string of weak economic reports," said Scott Marseilles , chief technical market strategist at Wells Fargo Advisors in St. Louis. "You have got that with the renewed concerns about Greece."

    Unsettling markets further, the International Monetary Fund cannot continue to lend to Greece until it has financing assurances from EU partner countries for the bailout program, an IMF spokeswoman said.

    The Dow Jones industrial average dropped 70.39 points, or 0.57 percent, to 12,324.27. The Standard & Poor's 500 Index dropped 5.52 points, or 0.42 percent, to 1,314.95. The Nasdaq Composite Index dropped 1.65 points, or 0.06 percent, to 2,759.73.

    Hedge fund manager David Einhorn called for Steve Ballmer , the chief executive of Microsoft Corp, to step down. Shares of the Dow component rose 2 percent to $24.68.

    Tiffany & Co shares rose 8.9 percent to $76.24 after the luxury retailer reported its first-quarter results and raised its outlook.
26/05/2011

"Rana wanted top Pak military honours for 26/11 attackers"

Chicago: Apparently gloating over the mayhem Pakistani attackers were creating in Mumbai, Tahawwur Rana, a co-accused had proposed that nine of the ten LeT militants who carried out the carnage should be decorated with Pakistan's highest military award, Nishan-e-Haider.

"Rana wanted top Pak military honours for 26-11 attackers"

This was stated by David Coleman Headley, another prime accused in the Mumbai case in his testimony before the Chicago district court on the third day of the trial of his childhood friend, Rana, a Pakistani Canadian.

Headley said Rana had told him nine of the ten Mumbai attackers who died should be given Nishan-e-Haider.

The sole exception being Ajmal Kasab, who had been captured by Indian security forces.

Rana, Headley said, had also praised Sajid Mir, his Lashkar-e-Taiba (LeT) handler for the attack on the Chhahbad House calling him Khalid bin Walid, one of the greatest Generals in Islamic history.

Nishan-e-Haider is Pakistan's highest military decoration given to personnel, regardless of rank, for extraordinary bravery in combat.

Source: PTI

"Rana wanted top Pak military honours for 26-11 attackers"

'Pak's Frankenstein monster has come back to haunt it'

The recent terror attacks in Pakistan have made it clear that the country is "facing a Frankenstein's monster that has come back to haunt it", an editorial in a Pakistani newspaper has said.

"Revisiting the Pakistan Navy Station (PNS) Mehran attack is inescapable even after the passing of four days... From various news reports, it appears that the terrorists were much better organised and informed than the tally of the military and civilian leadership who are dishing out conflicting claims, the Daily Times editorial said.

It noted that the problem lies with the paradigm espoused by Pakistan's security establishment that looks on India as an arch enemy and Afghanistan as its backyard.

"In pursuit of a flawed security policy premised on this paradigm, the security establishment has put its entire stakes in the 'strategic assets', i.e. religious extremist militants, purposely created to fight as proxies in India and Afghanistan," it said.

The editorial stated that the proliferation of jihadis and their activities on Pakistani soil has obliterated the difference between the 'good Taliban' and 'bad Taliban'.

"Rana wanted top Pak military honours for 26-11 attackers"

"Arguably, there are jihadi elements or sympathisers within the armed forces, who believe in the overthrowing of the state for the establishment of an 'Islamic' caliphate in Pakistan and elsewhere," it observed.

"After a series of recent incidents, no one should doubt that we are facing a Frankenstein's monster that has come back to haunt us. We must brace to deal with this monster and, in addition to carrying out internal purges amongst the security forces, dismantle the jihadi networks and block their sources of funding," said the editorial.

It opined that Pakistan should focus on developing friendly relationships based on mutual respect with all its neighbours, including Afghanistan, and added: "No one has been able to control the Afghans, nor should Pakistan harbour this dream at the expense of its own security and survival."

The editorial also stressed that the Defence Committee of the Cabinet (DCC) should take into account the overall security policy, not just its political aspects.

"In addition to evolving a plan to safeguard our military bases and strategic assets, the government and the military must redouble their efforts to get to the bottom of the jihadi nexus and smash it," it added.

Source: PTI

Related
Headley was 'very pleased' by Mumbai attacks
ISI's Major Iqbal trained me in espionage, says Headley
'Mumbai attackers left clues despite fool-proof plan'

26/05/2011

Diesel, LPG price hike likely in June

After petrol, price of diesel, LPG and kerosene are likely to be hiked next month when a ministerial panel headed by Finance Minister Pranab Mukherjee meets to decide on passing rise in crude rates to consumers.

Diesel, LPG price hike likely in June

"The Empowered Group of Ministers (EGoM) has been scheduled to meet on June 9," a top oil ministry official said here today.

"Price of diesel, LPG and kerosene will have to go up (to cover for rise in input crude oil cost). What EGoM has to decide is by how much," the official said.

State-owned oil firms had earlier this month hiked petrol price by a steep Rs 5 per litre and oil ministry may push for a Rs 4 per litre increase in diesel and at least Rs 20-25 per 14.2-kg cylinder hike in domestic cooking gas (LPG) rates.

Kerosene price hike too is on the cards.

"There is no escaping this time... nothing can be treated as sacred," the official said stressing that rates of all three commodities will be hiked.

Diesel, LPG price hike likely in June

EGoM was originally scheduled to meet on May 11, a day after polling in West Bengal ended but the panel meeting was postponed and has now been scheduled for June 9.

"Public sector oil companies are losing close to Rs 500 crore per day on selling diesel, domestic LPG and kerosene at government controlled rates. We cannot continue with this for long," the official said.

Oil companies are losing Rs 16.49 on sale of every litre of diesel at current price of Rs 37.75 per litre in Delhi.

Besides, state oil firms lose Rs 29.69 a litre on kerosene and Rs 329.73 per 14.2-kg domestic LPG cylinder.

Source: PTI 

AP
THE LEFT
What's Left To Be Said?
A few things. For a balance in polity, a source of necessary dissent, they matter.

Progressive Report

  • Governance Common Minimum Programme in UPA-I acts as safety valve against runaway neo-liberal policies and corruption that have dogged UPA-II
  • Foreign Policy Opposition to civilian nuclear bill results in a more balanced legislation; stalls nation's sellout in name of Free Trade Agreements (FTAs)
  • Liberalisation Vociferous opposition to opening up the banking and insurance sectors helps shield India from the global downturn of 2008-09
  • Price Rise In demanding that checking food and fuel inflation should have priority over growth, Left bats for the poor and marginalised
  • Food Insists that State not sacrifice the poor in reforming public distribution system; shadow of Left pressure over food security moves in UPA-II
  • Privatisation Left interventions slow the pace of privatisation of health and education sectors, which is getting beyond the reach of the common man
  • Environment In opposing untested GM food crops and seeking ban on life-threatening pesticides, Left takes up cudgels for small farmers/consumers
  • Education Left concerns about entry of foreign universities aid social equity via affordable education and reservations; right to education is Left legacy
  • Employment Left's key push for the national rural employment guarantee scheme in UPA-I results in the ground-breaking NREGA legislation
  • Small Business Millions of small-store owners retain their source of livelihood thanks to Left's questioning of foreign direct investment (FDI) in retail
  • Workers' Rights Public sector workers owe their jobs to Left's insistence during UPA-I that it immediately reverse NDA's relentless privatisation drive
  • Tribal Rights Enactment of forest rights bill gives traditional communities who have lived on forest land for centuries right to their land
  • Parliament Reservation of 33% seats for women becomes a common ideal thanks to Left insistence; raises level of parliamentary discourse on vital issues

***

They may have been trapped in their own jargon, blinded by their own many little tyrannies. But the Left in India represents an idea that was always bigger than its electoral strength. In a country where there is mass poverty and deprivation, a Left voice has been the sound of our social conscience. And no matter how uneven its ability to impact policy has been in recent years, the Communist parties did at least articulate a point of view that highlighted, and sometimes halted, the risks in rushing to transform into a market economy. The question now is: do we celebrate the "demise" of the Left as the mainstream media appears to be doing or do we stop and reflect on what it means for the ideas that created India? Moreover, is the Left indeed in danger of imminent expiry or has it already been reborn away from the turgid Communist party structure, perhaps to reside somewhere else?

 
 
"If concern for poor defines Left, then Deendayal Upadhyaya and Indira Gandhi were Leftists too."M.M. Joshi, BJP Leader
 
 
On the national stage, particularly in Parliament, the traditional Left has always had greater influence than its actual numbers. Its MPs, now just 24 in the Lok Sabha, have been forceful in taking stands on issues that do matter. They advocate a greater role for the state and regulation for market forces. Since no other national or regional political party in India has a consistent stand on such issues, the reduced clout of the Left is worrying. Besides, as Sitaram Yechury of the the CPI(M) says, "the Left has shaped a consciousness that cannot be measured in electoral terms...we have always defended the secular democratic republic even when parties like the Congress have faltered."

In terms of policies, it has been the Left MPs' strong critique of disinvestment, opposition to the overall 'America tilt' in policy (as seen in the Indo-US nuclear deal) and the opening up of more and more sectors to the market that has been significant in recent decades. As their parliamentary numbers have reduced, they may have failed to stem the rush to the market in the era of Prime Minister Manmohan Singh and Planning Commission chairman Montek Singh Ahluwalia, but they have at least made a huge public racket and gone down fighting on critical policy issues. Political scientist Zoya Hassan says: "The Left matters because it can visualise going beyond the current obsession with nine per cent economic growth. We need the Left critique to take forward the democratic struggles against structural inequalities."


United Stand The Left initiative on 33% reservation for women saw women of all ideological hues make common cause

 
 
"If so little is left of the Left, it's due to their own sins of omission and commission. Congress ideas are its own."Jayanthi Natarajan, Cong Spokesperson
 
 
But did they really matter anymore? And did the organised Communist parties not lose the plot years ago as far as people's struggle was concerned? Historian and author Dilip Simeon says leftism can be seen both as a political/doctrinal phenomenon as well as a social one. "I have often told my friends that working class movements precede their ideological interpretation of them!" In other words, he argues that outside the party structure, there are several resistance movements against SEZs and land acquisition (such as the ones in Nandigram and Singur), campaigns for RTI and employment, movements against dams and mines that can all be seen as "left". The problem, he says, with both the organised Communist parties and guerrilla groups is that "they believe in the notion of an absolute truth and think it is both desirable and can be achieved". In effect, then, they talk to each other in lots of ideological jargon and lose any connect with real issues or ability to really change anything.

The other problem for the Left is that as far as the spirit of the welfare state and development indices go, they have performed poorly in their own domains. And ironically, it is the forces of the right which are seen as the better performers today on the sadak-bijli-paani front in certain BJP-ruled states. That is why the BJP's Murli Manohar Joshi asks: "How do you define the Left? If it is based on concern for the poor, then Deendayal Upadhyaya and Indira Gandhi were also great leftists. There is a radical left among Christian priests and Islamists and our philosophers and saints can be called leftist by your definition. But if you define the Left in terms of policies, then no political party today really speaks for the poor. The Congress makes a charade of it while market forces dominate." But Joshi agrees that the MPs of the Left are "well prepared" because they have a system of discussing policy issues as the old Jan Sangh or early BJP once did.

 
 
"The Left's loss is a victory for those who want to put everything on the market, and that's a huge tragedy."Saibal Gupta, Economist
 
 
Besides, if the Left is to be defined as a state of mind, then aren't Sonia Gandhi and Rahul trying their best to attain it? Rahul, in particular, has been labouring rather hard in the May sun on the issue of land acquisition by the Mayawati government in Uttar Pradesh. Obviously, he would be hoping that the Greater Noida land issue can be a Nandigram-type disaster for Mayawati, but the realities of Bengal and the Hindi heartland are vastly different. Patna-based economist Saibal Gupta, for instance, argues that one of the great setbacks for the Left in Bengal was the fact that they never incorporated the backwards in the power structure. "The upper-caste bhadralok dominated the political structure, and the entire social justice movement bypassed the state. In states like Andhra Pradesh, agricultural growth led to the creation of a first generation of top-class industrialists. This could not happen in Bengal because of the social nature of the regime." Indeed, one little-known nugget that is revealing about the Left is that West Bengal is the only state where the percentage of upper-caste mlas actually increased between 1972 and 1996 from 38 to 50 per cent. The Left Front began its reign in 1977. The intermediary castes were never accommodated. In 2001, the percentage of upper-caste mlas fell to 38 per cent but upper-caste ministers remained at 51 per cent.


People's Party A Left rally to protest anti-farmer, anti-worker policies of the government in Delhi

Yet, for all his critique of the Left and strong support to the welfare policies pursued by the Nitish Kumar government in Bihar, Saibal Gupta also laments the current state of the Communists. "The Left has been one of the anchors for the argument that the state plays an important role, and outlay for state must increase," he says. "Their loss is a victory for those who want to put everything on the market, and that is a great tragedy for a country like India."

Of course, the Congress argues that they are the keepers of the flame of concern for the aam aadmi. Spokesperson Jayanthi Natarajan says, "Please ask why so little is left of the Left. It is due to their own sins of omission and commission. Why ask us if we are trying to be left-wing? The Congress represents its own ideas that come from the concern for the poorest citizen in a democracy."

 
 
"We've always defended the secular democratic republic even when parties like Congress have faltered."Sitaram Yechury, CPI(M) Leader
 
 
It is also touted that the "spirit of the left" now resides in structures like the NAC set up by Sonia Gandhi. With the exception of a couple of members, however, most appointees have no experience of people's movements. They are appointees of the regime, and with notable exceptions, the majority would never critique it. Indeed, if the Congress is to be seen as the preserve of some residual leftism, then it is at best the model of a benevolent welfare state with a very simple ideology of worshipping members of one family and occasionally promoting egalitarian policies.

The decline of the Left is not something that happened on May 13 when the results of the assembly elections in West Bengal and Kerala came in. They ran out of governance ideas in their own states years ago, their student movements and trade unions have been in decline for years, and nothing new or creative has been thrown up for decades. States like Tamil Nadu and some run by the BJP manage welfare schemes much better than the comrades.

But the Left remained good at hectoring on certain crucial issues. And every now and then it forcefully made a point about "selling off the nation". On the national platform, in an age of great corruption and moral decay, that certainly is a point worth making.

PRINT COMMENTS
THE LEFT
Done in by their own hubris, Left intellectuals never learned to accept criticism
OUTLOOK
LEFT & REFORMS
Will the Left's losses lead to a surge in the economic reforms agenda? Not so fast.
PRAGYA SINGH
FOREIGN POLICY
How actionable is the Left's instinctive anti-Americanism now?
PRANAY SHARMA
THE LEFT
It would be best for CPI and CPI(M) to unite. Just a thought.
SUGATA SRINIVASARAJU
OPINION
It had been 'Ek dhakka aur do' time ever since 2009 Lok Sabha election —the power punch was delivered last week
CHANDAN MITRA

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