DAILY SECTORS ALERT: 27.07.2012

[rupeedesk]

DAILY SECTORS ALERT: 27.07.2012

* AVIATION: To curb the rise in airfares, the government is planning a new regime under which carriers will have to share details of their fixed and variable costs.

* BANKING: The government could allow restructuring of short-term crop loans, particularly those taken by small and marginal farmers, and also extend their

interest subvention.

* CONGLOMERATE: Essar Group plans to sell up to 40% stake in its wholly-owned business process outsourcing arm Aegis. Uttar Pradesh government has decided to return the 12.20 bln-rupee bank guarantee paid by Reliance Group in 2006 for a special economic zone in Noida.

* ECONOMY: Arvind Mayaram appointed new economic affairs secretary. Prime Minister is likely to meet industry leaders next week to boost their sentiment on the economy.

* FARM: The country received 54.2 mm rainfall in the week ended Jul 25, 20% below the normal weighted average of 67.5 mm for the period.

* GOVERNANCE: An Empowered Group of Ministers will meet next week to assess the economic situation in view of the weak monsoon.

* OIL & GAS: Oil ministry has urged the finance ministry to accord infrastructure status to the energy exploration and production business. Government has proposed a royalty and production-linked payment model for auctioning shale gas acreage.

* PHARMACEUTICALS: National Pharmaceutical Pricing Authority has turned down drug companies' request to increase the price of insulin.

* PORTS: Jawaharlal Nehru Port Trust could invite fresh bids for its fourth container terminal facility, as a consortium led by Port of Singapore Authority and ABG INFRALOGISTICS failed to sign a deal for almost a year since the bids were opened.

* TELECOM: Commerce ministry wants mobile phone companies that have sovereign funds as investors and whose permits were quashed by the Supreme Court to be given the option of matching the auction price and obtaining new licenses. Central Bureau of Investigation could file a charge-sheet against former telecom minister Dayanidhi Maran and his brother Kalanithi Maran for allegedly receiving 5.5 bln rupees bribe for their role in the acquisition of Aircel by Malaysia 's Maxis.

By RUPEE DESK

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