Innholdsfortegnelse for 12-Jan-20 i Business Today

Ranchi-headquartered ‘Baba Rice’ is a household name in the eastern part of India. Even though it’s not a premium Basmati brand, an average consumer in Jharkhand or adjoining Odisha would prefer it to national brands such as Daawat or India Gate as is evident from the 70 per cent marketshare Baba Rice enjoys in the region. Yet, parent Baba Agro Foods recently rolled out the same rice under another brand ‘Ranchi Gold’. Intriguingly, while Baba Rice is priced at ₹2,640 per quintal, Ranchi Gold is just under, at ₹2,610. Why? Baba Agro Foods Chairman Yogesh Kumar Sahu says the marketshare of Baba Rice has eroded 10 per cent since the arrival of GST in July 2017. Ranchi Gold was his desperate defence mechanism. ‘Baby Doll’, ‘Babuji’, ‘Apple’ and even ‘Kakaji’…

"I believe it is now time that all of us work together for sustainable growth and development of the Tata Group…"– Cyrus Mistry The National Company Law Appellate Tribunal (NCLAT) delivered a body blow to the 150-year-old, $110-billion, salt-to-software Tata group when it reinstated former chairman Cyrus Mistry, who was unceremoniously removed in October 2016. It also asked current Tata Sons chairman N. Chandrasekaran to resign. That’s not all. The appellate tribunal, whose decision can be appealed only in the Supreme Court, has ordered reversal of the Tata group’s decision to convert holding company Tata Sons into a private limited firm from a public entity. None of these were anticipated. The NCLAT has, in fact, reversed the 2018 order of the National Company Law Tribunal (NCLT), which had dismissed Mistry’s…

WHAT HAPPENED IN 2019 BSE Sensex returns 14.96% Nifty 50 returns 12.48% MF returns (Valueresearchonline.com): Large-cap Funds 10.54%, Mid-cap Funds 1.20%, Small-cap Funds -3.90%, Multi-cap Funds 9.21% ELSS Funds 7.64% As on December 20, 2019 WHAT TO EXPECT IN 2020 Accelerated growth of online platforms for investing in direct mutual fund schemes Stocks in banking, insurance and AMCs expected to perform well IT sector is expected to remain steady and provide investment opportunities Reach of direct mutual funds to increase, giving rise to competition among mutual fund distribution platforms Good monsoon and harvest can revive rural demand, which will benefit FMCG stocks…

Anyone who has followed tennis star Sania Mirza’s game is unlikely to have missed the power unleashed by her forehand or the letters emblazoned on her sweatshirt - GVK. G.V. Krishna Reddy, 82, the founder of the eponymous group, spotted the talent in Mirza when she was just nine years old. He then also opted to sponsor her. That was 24 years ago. Since then, he has backed many promising players and sponsored several tennis tournaments. Around the time he first met Mirza, he was embarking on yet another journey – to sponsor an annual tennis tournament for the elderly, called the GVK-AISTA Senior Nationals Tennis Tournament. Since then, it has been held each year for age groups of 45, 55, 65 and over 75. From this year, players from…

Known for his uncanny lifestyle, futuristic businesses, and the habit of staying in the news, Virgin Group Founder Richard Branson seems to have a strong liking for all things that fly. Take, for instance, his fondness for kitesurfing, an aquatic sport that requires riding on a surfboard while holding on to a large power kite that can be manoeuvred by the rider. Branson, the man behind Virgin Atlantic and Virgin Galactic, was in Mumbai this year to start a new flight to London. During his visit, Branson said that he is fond of kitesurfing and loves new challenges. Around two years ago, Branson offered to teach kitesurfing to former US President Barack Obama who was vacationing with wife Michelle Obama at the British Virgin Islands. Obama not only learnt the…

LOW VOLTAGE Electricity consumption fell 13.2 per cent in October from a year ago, posting the steepest decline in over 12 years. Power demand in the two most industrial states also fell – 22.4 per cent in Maharashtra and 18.8 per cent in Gujarat Source: Central Electricity Authority; Petroleum Planning & Analysis Cell; CMIE; Reserve Bank of India; Ministry of Statistics and Programme Implementation THERMAL COOLS… Thermal meets most of India’s power needs. So, a fall implies demand deceleration. Generation dropped 2 per cent in April-October this year, the first ever fall in a decade …DIESEL SLIDES… Diesel accounts for 40 per cent of India’s oil requirements. But demand fell for three consecutive months (August to October). The -7.36 per cent slide is the steepest in three years …AND ATF…

December 20, 2016 On October 24, 2016, Cyrus Mistry ousted. Rata Tata named interim chairman. Two Mistry family firms move NCLT Mumbai; allege oppression of minority shareholders February 6, 2017 Cyrus Mistry removed as director on board of Tata Sons April 27, 2017 Investment firms move Appellate Tribunal, NCLAT, challenging NCLT order which rejected their petitions January 12, 2017 N. Chandrasekaran named Chairman of Tata Sons March 6, 2017 NCLT sets aside plea over maintainability, citing 10% ownership criteria to file case of minority shareholders is not met. Mistry family holds less than 3% in Tata Sons, excluding preferential shares October 6, 2017 Principal bench of NCLT dismisses pleas December 18, 2019 NCLAT restores Mistry as executive chairman of Tata Sons; gives Tatas four weeks to appeal August 29, 2019…

If there’s one class of investors that has been buying into the India growth story despite gloom on all major economic parameters, it is Foreign Portfolio Investors (FPIs). They have pumped in over ₹92,477 crore, on a net basis, in Indian equities since January this year. The flows have especially picked up in the last couple of months, which is driving the current rally in Sensex, which breached the 41,000-mark on November 28. FPIs have always been extremely calculated in their India stance. The timing of their entry and exit reflects both political and economic environment. Just ahead of the general elections this year, they were net buyers to the tune of ₹33,116 crore in equities in March 2019. In April and May, their net investments in equities were ₹20,281…

Athmika was born with a rare condition. She did not have a sternum (breast bone), which protects the heart, major blood vessels and lungs. She had to be operated upon but it was not an easy surgery. The team of doctors at Amrita Institute of Medical Sciences, Kochi, took a 3D CT scan and developed a simulated 3D model of her chest wall to practise the procedure several times before fixing a 3D-printed titanium implant in her chest. Welcome to the brave new world of additive manufacturing, popularly known as 3D printing – the making of three-dimensional objects from a digital file. The process involves building an object by laying down successive layers of raw material. Each layer can be seen as a thinly sliced horizontal cross-section of the eventual…

AUTO LOAN Raghav Joshi I live in Delhi. Last month, the final EMI of my five-year-old auto loan was deducted from my account. It has been more than 30 days but I have not received my NOC from the bank. Should I wait or approach the lender? What is the process of getting the hypothecation removed from the RC? Naveen Kukreja - CEO& Co-founder, Paisabazaar.com Car loan lenders usually issue No-Objection Certificate (NOC) or No Dues Certificate (NDC) stating the loan closure within two to three weeks of the payment of the last EMI. As it has already been more than 30 days in your case, I will suggest that you approach your lender for an update. Once you receive the NOC from the lender, submit it to the RTO (Regional…

From realistic and edgy digital shows to melodramatic soap operas on television and hit films such as Dream Girl, Nachiket Pantvaidya, Group COO, Balaji Telefilms and CEO, ALTBalaji, is in the business of entertaining Indian masses across multiple platforms. While the company he steers is all about mass entertainment, Pantvaidya keeps himself energised through niche Indian classical music. Trained in tabla from the age of nine, his day seldom begins without an hour-long session of tabla every morning. He also plays the harmonium occasionally. “My tabla time is my ‘me-time’. I fiddle around with it and create new notes. Even there, I have good days and bad days when my notes go horribly wrong, but I look forward to that experience every morning,” he says. Pantvaidya’s favourite raga is Khem-Kalyan.…

BANKS REDUCE BAD LOANS ↘ Gross non-performing assets (NPAs) of banks fell from ₹10.18 lakh crore in March 2018 to ₹8.94 lakh crore in March 2019 ↘ This is mostly due to lesser incremental slippages in bank credit, recoveries in some large NPAs and also some write-offs ↘ At the end of H1FY20, overall gross NPAs stood marginally higher at ₹9.18 lakh crore, on a sequential basis ↘ Public sector banks account for a lion’s share of gross NPAs – 80 per cent ↘ But they have reduced bad loans substantially, for example, from ₹8.08 lakh crore in the September quarter of 2018 to ₹7.27 lakh crore in the same quarter this year. ↘ Private sector banks’ NPAs have stayed within ₹2 lakh crore since September 2017 KNOCKING ON OMBUDSMAN’S…

Even as the country was glued to protests against the Citizen Amendment Act, state representatives had gathered in the national capital on a wintery December evening to discuss something as mundane as improving collections from Goods and Services Tax (GST). But the 38th GST Council meeting, a stone’s throw from New Delhi’s protest site, Jantar Mantar, on December 18 also saw its share of protests, arguments and drama. Amid the gloom and doom in the economy that has resulted a big shortfall in GST collections, which has, in turn, led it to a delay in central government payments to states — the meeting, as was expected, turned out to be stormy, with state finance ministers up in arms against the Centre. The reasons were simple. A number of states are…

At PeopleStrong’s office in Gurgaon, at 11 am sharp, lights are dimmed and, for ten minutes, the speakers play music that can calm nerves. People stop working, focus on their thoughts, and are expected to just be with themselves. The aim is to help them incorporate mindfulness in their everyday routine so that they live better lives and, more importantly, are more productive at work. Mindfulness became popular in corporate circles in 2007 when Google developed a course, ‘Search Inside Yourself’, for its employees. Soon, from a way to relieve stress, it became a productivity tool and is now part of employee engagement programmes at several companies, says mindfulness coach Sapan Shrimal, also a co-founder of HR services platform Strat-Board. Bill Ford, Executive Chairman of Ford Motor Company, LinkedIn CEO…

The year 2019 saw high volatility in stock markets but also the formation of a stable government. Towards the end of the year, the Sensex crossed the key level of 41,000, even though India registered its lowest quarterly growth in GDP in six years in the second quarter. As we end the year with bad news on the economic front, experts say things may become better in 2020. According to a Goldman Sachs report, Global Economic Analyst, the annual average global growth is likely to improve from 3.1 per cent in 2019 to 3.4 per cent in 2020. US GDP is predicted to repeat the performance of 2019 and grow 2.3 per cent. China may face a marginal decline from 6.1 per cent in 2019 to 5.8 per cent. However,…

WHAT HAPPENED IN 2019 Rules for pension products, traditional plans and unit-linked insurance plans were changed to ease the surrender and annuity process Curb on mis-selling of travel insurance policies as default option by online travel portals Insurance regulator mandated companies to include many excluded illnesses in health insurance policies Byte size policies were introduced for small insurable needs for short periods WHAT TO EXPECT IN 2020 Simpler motor insurance policies and convenient claim processes The standard health insurance plan proposed by Irdai expected to go live Use of artificial intelligence, analytics will significantly improve customer experience Use of IoT devices to price products. For example, smaller premium for people…

We live in disruptive times. As technology is changing the way most businesses function, they have to deal with blistering change. This year’s theme of the seventh edition of the annual conclave, Business Today MindRush, ‘Disrupt or Die’, was apt for such times. India’s leading businessmen graced the event at the Taj Lands End Hotel in Mumbai on December 13 where 15 captains of industry were felicitated with Best CEO Awards for excellence in their fields. Dharmendra Pradhan, Union Minister for Petroleum and Natural Gas and Steel, delivered the keynote address and handed over India’s Best CEO awards to the winners. “Indian industry is going through disruptions, but that does not mean that you will die if you don’t disrupt,” he said, adding that data is the new oil and…