INDIA DAYBOOK: Borrowing Costs, Fighting Inflation, ABG Shipyard

The Indian government’s measures to control prices of food and fuel for the nation’s 1.2 billion people are widening losses for producers and driving up their borrowing costs.


     WHAT TO WATCH:
* Banks are reluctant to lend to sugar manufacturers in India,
the world’s second-largest maker of the sweetener, on concern
limits on local and overseas sales will affect revenues,
Narendra Murkumbi, president of the Indian Sugar Mills
Association, said. Indian Oil Corp., the nation’s biggest
refiner, said its debt is rising because it can’t pass on higher
crude costs.
* India faces pressure to step up its battle against price gains
even after the steepest interest-rate increases among Asia’s
major economies as oil prices rise and consumer demand
strengthens.
* More workers were drafted for the frontline of Japan’s biggest
nuclear disaster as radiation limits forced Tokyo Electric Power
Co. to replace members of its original team trying to avert a
nuclear meltdown.

     MARKETS:
* The Dow Jones Industrial Average rose 1.4 percent.
* Asian stocks fell, leading a regional benchmark index lower
for the third time this week, as workers were sent to connect
power to a crippled nuclear plant, which may allow them to
prevent a meltdown. The MSCI Asia Pacific Index fell 0.4
percent.
* India’s benchmark stock index fell 1.1 percent.

     EQUITY MOVERS:
* ABG Shipyard Ltd. (ABGS IN) capped foreign equity holding at
21.91 percent after India’s Foreign Investment Promotion Board
fixed the overseas investment limit in the company to approve
taking up defense contracts.
* National Aluminium Co. (NACL IN) paid 4.76 billion rupees as
advance tax for the year ending March 31, compared with 2.95
billion rupees a year earlier, according to an e-mailed
statement.
* Power Grid Corp. of India (PWGR IN) approved three investment
proposals valued at 43.5 billion rupees at a board meeting on
March 15, the company said in a statement to the Bombay Stock
Exchange.
* Reliance Industries Ltd. (RIL IN) and Gail India Ltd. (GAIL
IN) signed a gas agreement, S. Jaipal Reddy, India’s oil
minister, said in New Delhi, without immediately giving details.

     CONFERENCES:
* India Today Conclave 2011 in New Delhi.
* Launch of the book ‘Getting It Right - India’s Unfolding
Infrastructure Agenda’ written by Vinayak Chatterjee, chairman,
Feedback Ventures, in New Delhi.
* Union Minister of Communications and IT Kapil Sibal and
Sachin Pilot will attend the foundation stone laying ceremony of
the National Institute of Communication Finance.
* CII Green manufacturing Summit in New Delhi.
* The Telecom Regulatory Authority of India will host an open
house discussion on “Green Telecommunications.”
* IMC conference on renewable energy.
* The Indian Direct Selling Association will release a report on
the socio-economic impact of direct selling.
* Boston Consulting Group roundtable on financial inclusion.
* Hewlett-Packard session on labels and packaging.

    BLOOMBERG UTV INTERVIEWS:
* 9:30 a.m. M. Sivaraman, managing director, GIC Housing
Finance.
* 10:00 a.m. Prasun Gajri, chief investment officer, HDFC Life.
* 11:00 a.m. T.N. Thakur, chairman, PTC India.
* 12:15 p.m. Arvind Parakh, director, finance, Jindal Stainless.

    CRICKET WORLD CUP:
* 9:30 a.m. Ireland vs. Netherlands
* 2:30 p.m. Sri Lanka vs. New Zealand

To contact the reporters on this story: Malavika Sharma in New Delhi at msharma52@bloomberg.net;

Unni Krishnan in New Delhi at ukrishnan2@bloomberg.net

To contact the editor responsible for this story: Hari Govind at hgovind@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.