search the site
 daily menu » rate the banner | guess the city | one on oneforums map | privacy policy | DMCA | news magazine | posting guidelines

Go Back   SkyscraperCity > Asian Forums > India > South > South India Projects > Kerala



Global Announcement

As a general reminder, please respect others and respect copyrights. Go here to familiarize yourself with our posting policy.


Reply

 
Thread Tools
Old April 29th, 2012, 02:56 PM   #21
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

Farm products: Government keen on value addition
http://ibnlive.in.com/news/farm-prod...78-60-116.html
Quote:
THIRUVANANTHAPURAM: Even when there is notable growth in health,tourism,education and IT sectors, it is painful that the state is being pulled back in core areas of agriculture and industries with an alarming negative growth, observed Chief Minister Oommen Chandy. He also said that it’s high time the trend was reversed and the government was keen to go in for value addition of agricultural products and innovative hi-tech farming.
Inaugurating the lecture series on ‘The State of the Economy’, organised by the State Planning Board here on Friday, Chandy said that India was facing problems on growth rate and any new approach to ensure better results should be welcomed.
In Kerala, agriculture and industries are facing a deep crisis. Except in the case of rubber, wherein the state can boast of achieving exceptionally high productivity and growth, paddy and coconut, which are identified as the state’s own products, are suffering,” he said. “The state budget is focussed on revamping the agriculture sector and the outlay for� promotion of hi-tech farming is aimed at this. The Cabinet had held discussions with the chairman of the Coconut Development Board twice, with the objective to ensure value addition of coconut products.
“Kerala’s share in the market at present is very negligible. The state is also going to� concentrate on organic farming,” he said.� “We have to become target-oriented.The scenario of depending on neighbouring states for day-to-day needs of the state has to be changed,” he asserted. Presiding over the session, Planning Board vice -chairman K M Chandrasekhar said that the state has to think in both the global and national context while charting its course on the development front.
“It is a highly integrated global economy today.Kerala has to open up to the winds of� change blowing across the world,” he said and observed that economy is a dicey subject since what is said today could become wrong tomorrow.
Delivering the first lecture afterwards, Planning Commission member Soumitra Chaudhari said that the underlying growth impetus in the Indian economy was strong. However, if investment and supply levels do not pick up,excess demand conditions may persist which would continue to fuel inflationary pressures. Several states with lower incomes had shown a pick up in growth over the past decade leading to a convergence but there was more diversification in the higher income groups. Planning Board member-secretary Subrata Biswas, Planning Board former vice chairman V Ramachandran,CDS director Dr Pulapra Balakrishnan and economists Dr B A Prakash and Dr Mary George took part in the panel discussion
chekuthan no está en línea   Reply With Quote

Sponsored Links
Old April 30th, 2012, 08:39 AM   #22
maheshponneth
Registered User
 
maheshponneth's Avatar
 
Join Date: Nov 2010
Location: Thrissur
Posts: 10,115
Likes (Received): 3422

IMHO, the agriculture should be considered as an industry and it also should be part of urbanization. The government should provide the aid to farmers and should truly to minimize the non-deserving profit to the inter mediators. Here that is happening. So what happens, the farmer does not get his deserved profit and the consumers should have to pay the maximum price.
__________________
From the land of Vadakkunnathan

Never argue with stupid people, they will drag us down to their level and then beat us with experience:
Mark Twain



Visit
Thrissur4u

TRPA
waterways in Thrissur
http://riceboat.in
coconut island
kayyaloram.com
maheshponneth no está en línea   Reply With Quote
Old April 30th, 2012, 03:41 PM   #23
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

Due to high population density, most of the agricultural lands used for agri products like paddy, coconut etc are used for building houses and for other construction, as these agricultural land is in plains. IMO that is also one of the crucial thing which affect agriculture in the state.
chekuthan no está en línea   Reply With Quote
Old April 30th, 2012, 03:44 PM   #24
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

State moots tourism development board
Quote:
THIRUVANANTHAPURAM: The state government is planning to establish a tourism development board that will take up measures to improve basic amenities at select tourism destinations and also undertake marketing campaigns to lure tourists from across the world.

In the last two years, Kerala has done exceedingly well in attracting more number of tourists, while there has been a corresponding decline in the arrival of tourists in popular coastal destinations like Goa due to mining issues.

There was a 33% increase in tourism revenue in the last two years, generating Rs 17,348 crore to the state exchequer in last year alone.


Planning board officials said that the state has but fallen short in providing basis amenities like sanitation and transport facilities. "We have great beaches in both south and north Kerala. But the tourists, after taking a long swim are unable to even find a toilet facility near the beaches. Even simple amenities such as a sun shade are not provided on the beach fronts," an official points out.

The proposed tourism board will exclusively look into means to improve basic amenities in backwater and hill destinations across the state. "The annual plan outlay for state tourism this year is Rs 170.91 crore, an increase of 11% in the last two years," a planning board official said.

The arrival of number of domestic tourists outnumberd foreign tourists last year, but interestingly there was a percentage wise increase in foreign tourists in the last two years.

Around 86 lakh domestic tourists arrived in Kerala, an increase of 8.61% in the last two years. In comparison, around 6.59 lakh foreign tourists arrived last year, an increase of 18.31% in the last two years.


Tourism officials estimate that this sector will grow by 8% annually, but admit that the state is hardly in a position to cater this huge influx. "We need to urgently upgrade the basic infrastructure and clean up polluted water bodies so that the tourists would love to come back again," the official said.

The tourism contribution to the state's GDP was around 9%. "On an average, a foreign tourist spends Rs 3,600 per day, while the domestic tourist spends Rs 1,800. A foreign tourist stays for around 16 days, while a domestic tourist stays for around 6 days in the state,'' a senior official said.

"Both domestic and foreign tourists prefer to visit heritage, cultural and religious institutions in the state before seeing nature. The backwater, beach and hill destinations always come as second and third priorities. Kerala is unique in a way that we have a plural tradition and heritage and this needs to be highlighted," the official said.
chekuthan no está en línea   Reply With Quote
Old May 1st, 2012, 09:30 AM   #25
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

Source : Kerala Economic Review 2011

link

Last edited by chekuthan; May 1st, 2012 at 04:07 PM.
chekuthan no está en línea   Reply With Quote
Old May 1st, 2012, 04:14 PM   #26
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

Kerala promises single window clearance to lure investors

Quote:
Kerala promises single window clearance to lure investors
Delhi,Business/Economy, Sat, 21 Apr 2012IANS

New Delhi, April 21 (IANS) To bag big ticket investments to propel its economy, the government of Kerala has promised single-window clearance, lucrative returns and durable partnerships to Indian industries and global corporations.

Announcing this at a meeting with captains of industry Friday evening, Chief Minister Oommen Chandy said: "There are opportunities galore for investors from all parts of the world to invest in Kerala and ensure its sustainable economic growth."


Earlier in the day, Chandy met top diplomats, heads of multilateral agencies and chiefs of trade missions and told them that Kerala is ready for investment. "We want to send out a message to the world that investment is welcome."

The chief minister said his government had listed 12 priority areas for investment. These include IT and IT enabled services, tourism, healthcare, trade and retailing, logistics, food and agro-processing, gems and jewellery, ports and ship building.

The Kerala government will host a conclave, Emerging Kerala Global Connect, in Kochi from Sep 12-14.

Kerala Industries and IT Minister P.K. Kunhalikutty said that public private partnership would be the mode for all mega projects proposed in the state.

"The state has already demonstrated its strength in areas like tourism, healthcare, IT and ITES, logistics, food and agro-processing and gem and jewellery. We have now decided to promote the manufacturing and service sectors in an eco-friendly manner," he said.

The meeting organised by Confederation of Indian Industry (CII) was attended by representatives of a number of top-notch companies from both the public and private sectors, including SAIL, DRDO, Petronet, Jubilant Energy, Medicity and Fortis.

Some small and medium enterprises which attended the meeting showed keen interest in setting up their ventures in areas like renewable energy.

Kerala plans to develop the country's first high-speed rail corridor. Almost $20 billion investment will be required for the proposed corridor that will run from Thiruvananthapuram to Mangalore.

The state, which has a 600 km-long coast line, is developing an international container trans-shipment terminal at Kochi. It is also developing natural gas pipeline infrastructure and airports in several cities.
chekuthan no está en línea   Reply With Quote
Old May 2nd, 2012, 06:29 PM   #27
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

from India SSC thread
Quote:
Originally Posted by murlee View Post
chekuthan no está en línea   Reply With Quote
Old May 2nd, 2012, 06:37 PM   #28
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

Posted from India economy thread.

The remittances flow from UAE and Saudi to India (which is Kerala's life line for economic growth) is among the top 10 remittance corridors

Quote:
Originally Posted by murlee View Post
chekuthan no está en línea   Reply With Quote
Old May 4th, 2012, 05:58 PM   #29
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

Quote:
THIRUVANANTHAPURAM, MAY 4:
The Confederation of Indian Industry (CII) wants Kerala to lay out a strategy for growth ‘by playing to its known strengths’.

It need not necessarily take a leaf from the books of peers, said Mr V.K. Mathews, CII-Kerala, and Executive Chairman, IBS Software Services.

CONTINUED STRESS

Briefing newspersons on second State council meeting of the CII, he said this meant continued stress on services sector, including IT, tourism and hospitality.

The state council also sought to set great store on the retail, non-banking financial companies, health and education as future ‘verticals’ for driving growth.

Non-polluting manufacturing and value-added organic farming are two other new areas of enterprise that the State council is looking to grow.

The CII strategy for growth is driven by a ‘powerful vision’ that leverages these strengths of the State, Mr Mathews said.

The core themes are a green, clean and safe industry that promotes an inclusive, empowered and egalitarian growth.

It should be law-abiding and legitimate on the one hand, and educated and global in outlook with a stress on quality, productivity and efficiency.

‘MEANINGFUL HAPPINESS’

The vision is to make the state the finest place to live and work. ‘Meaningful happiness’ is the ultimate objective.

The moot issue is implementing the strategy through perception management and promotion of target sectors as stated above.

This would have a bearing on what Mr Mathews described as ‘identified horizontals’ for growth across the spectrum.

These are infrastructure, skill development, entrepreneurship and innovation, and reforms and governance.

"Our motto is less government and more governance,” Mr Mathews said, which is true of the nature of CII’s national level engagement.

According to Mr C.J. George, Vice-Chairman, CII-Kerala, a centre of excellence would be set up for the micro, small and medium sector in the state.

CENTRE OF EXCELLENCE

This would be a national-level centre for MSMEs, in line with CII initiatives for other sectors of the economy in other states.

CII-Kerala also proposed to bring out a book on entrepreneurs in the State featuring mostly members of the first-generation, Mr George said.

The book is expected to be brought in time with the ‘Emerging Kerala’ investment initiative to be held in September in Kochi.

A jury headed by Mr K. M. Chandrasekhar, Vice-Chairman, Kerala Planning Board, would select the names of entrepreneurs to be featured in the book.

According to Mr George, who is also Managing Director of Geojit BNP Paribas, restive labour is no longer an issue with Kerala.

This perception about the State has to change, he said, because scale, structure and governance issues pertaining to enterprise have disconnected with the past.

“This reality is not yet reflected in the perception about industrial relations in the state,” he added.

This is sought to be addressed through the new book on entrepreneurship which would showcase successful cases of clean, green and sustaining ventures locally.

Also present on the occasion were Mr P. Ganesh, past chairman, CII-Kerala; and Mr C. Padmakumar, Chairman, CII-Thiruvananthapuram zone.
http://www.thehindubusinessline.com/...cle3383897.ece
Quote:
CII Kerala to Play Proactive Role in State's Growth

Thiruvananthapuram, May 4 (IANS): The Kerala chapter of industry body Confederation of Indian Industry CII) Friday said it would play a more proactive role in grooming the state into an investment destination of choice.

V.K. Mathews, chairman of CII Kerala and executive chairman of IBS Software, told reporters that the industry body would work towards engaging the investors and the government in shaping the business environment of the state.

Mathews said the state government was open to suggestions and ideas from the industry body and CII Kerala would make the best use of this opportunity.

"India is in the midst of unprecedented economic challenges and it is against this background that new teams in CII assume charge at the national, regional and state levels. This makes the role of the teams more demanding," said Mathews.

According to Mathews, the Kerala unit of CII has already charted out a plan to promote business and create an ecosystem for industrial growth in the state.

The priorities include creation of a centre of excellence for entrepreneurship and innovation for micro, small and medium enterprises; managing solid waste in the state; and building a high speed rail corridor to connect the northern tip of the state to the state capital, he said.

The industry body will also organise a three-day business conclave in the commercial hub of Kochi in September to bring together investors and policy makers on one platform. The event will be inaugurated by Prime Minister Manmohan Singh, the industry body said.

"'Emerging Kerala' will be the anchor event for promoting the state to the outside world. In fact, the theme for CII Kerala for 2012 is 'Reviving Economic Growth Through Emerging Kerala'," Mathews said.
http://www.daijiworld.com/news/news_...sp?n_id=136993
chekuthan no está en línea   Reply With Quote
Old May 5th, 2012, 03:13 PM   #30
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

2 decades of liberalisation has helped state

Quote:

Two decades after liberalisation, a much-detested word across the state, there are reasons sufficient enough for the state to cheer.

A study by leading economist K.K. George, who is also the chairman of the Kochi-based Centre for Socio-economic and Environmental Studies, points to a better growth rate compared to the national average.

A higher per capita income, poverty alleviation and other social measures can help improve the state’s finances.

The study titled Trends in Kerala State Finances - 1991-92 to 2012-13: A Study in the Backdrop of Economic Reforms in India, says the state may not be affected by the deceleration of the economy to the same extent as the national economy.

There are indications that factors like depreciation of the rupee may help the state to attract large funds from non-resident Keralites and from its exports.

Even during the recession in 2008-09 and 2009-10, the state economy continued to grow with the rate as second highest after Goa.

If the current economic growth trends persist, it can lead to higher revenue from the state’s own taxes, he says.

The worst period appeared after the second half of the 90s and the state’s total outstanding liabilities in relation to the gross state domestic product was coming down, implying that the state’s capacity to service its debt was steadily increasing.

There is a need for further expanding the fiscal space of the state government though the scope is getting increasingly limited.

The option for containing deficits by increasing the tax rates and widening the tax base is also getting limited as in the globalised era, governments want to fall in line with the rates of other competing countries.

The state can strengthen its tax administration, mobilise non-tax revenue and attract larger transfers from the centre.
chekuthan no está en línea   Reply With Quote
Old May 5th, 2012, 03:38 PM   #31
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

Rural development: Bigger private role for village projects now

Quote:
NEW DELHI: With over 800 million people, 600,000 villages and an economy of $500 billion plus, India's countryside carries a lot of politico-economic heft. Yet life there is difficult. Almost 50% villages don't have all-weather roads, 82% rural households don't have access to drinking water, 45% do not have electricity, 70% are without toilets and 62% still use firewood for cooking.

This isn't due to paucity of funds. The government has been spending lot of money, particularly in the recent past, on rural development programs. Under two mega banners, Bharat Nirman and MNREGA, it spends over Rs 100,000 crore every financial year. Ministry of rural development (MoRD) has an annual budget of Rs 80,000 crore.

Nor is there lack of intent. In 2003, the then-president APJ Abdul Kalam talked about PURA, or provision of urban amenities, like roads, education, communication network, etc in rural India. Between 2004-05 and 2006-07, in fact, the government spent Rs 300 crore on seven PURA pilots, but the results were not encouraging.

The biggest problem rural schemes face is that they are run by different government bodies in silos and there is no integrated approach to improving life in village. Also, while the government spends money on building new infrastructure, maintenance falls through the cracks as opex is typically met by the state budgets, says Prasanna Srinivasan, an independent PPP expert, who has worked closely with the government and ADB on PURA.

PURA 2, thrashed out after lot of deliberations between the government, ADB and experts, was finally given the nod last year and is being rolled in nine villages in seven states.

PURA 2.0

"For the first time, village and its needs is the focus, not the individual departments or their schemes. This means a more comprehensive and holistic approach to developing a village," says T Balakrishnan, MD, Inkel. Inkel is the private sector company that has landed the two pilots being run in Kerala.

Under PURA 2, projects are being clubbed to be given out to a private player on a PPP basis for execution and maintenance for 10 years. The capex will mostly come from the existing central government schemes. With a pre-determined service delivery standard, the private partner will get a service fee to build and maintain the assets. The urban amenities that would be covered include water supply, drainage, solid waste management, electricity distribution, telecom services and street lighting. Each pilot will also include a skill development project and a job-generating economic activity (for example, fishing in coastal Kerala) as part of the bouquet. "This will help slow the pace of rural-to-urban migration," says Arvind Mayaram, special secretary, MoRD.

Depending on the results, the government wants to scale it up to 100 projects with an investment of about Rs 30,000 crore in the next five years.




The Kerala example:

In Kerala, Inkel (Infrastructure Kerala Limited) has been set up as a PPP with the Kerala government holding 26% stake and private investors 74% to execute the projects under PURA 2.



Inkel work covers water and sewerage construction, maintenance of village streets and drains, solid waste management, skill development and development of economic activities under the MoRD. Amenities that it will provide under non-MoRD are village street lighting, telecom, electricity. It will also undertake add-on projects like village-linked tourism, building integrated rural hub rural markets, agri warehousing, etc.

"We are free to add new viable projects by bringing in our own money," says Balakrishnan.

The funding will come from MoRD schemes, non-MoRD schemes, private financing and capital grant under PURA. Inkel will lean heavily on outside experts and partners to execute the project while having around eight people on its rolls in one village to oversee the execution. A set of independent engineers will audit the execution of PURA project and failure to deliver service will be penalised. "We expect big corporate houses to consider this as part of their CSR activity," says Srinivasan.

Tackling the odds:

Getting viable and sustainable returns is the biggest concern. While the private sector firm is allowed to quote the price factoring in his profit, there are challenges. For example in Inkel's case, thanks to inflation and time lag, rates it quoted two years back is no longer viable. "We are looking at it as CSR. Just that we should not be losing money," says Balakrishnan. Indexing the project cost to the inflation, especially when the delay is not because of the PPP partner, is something that might help.

The good thing about PURA 2.0 is that it brings together various rural schemes from different ministries under one umbrella for execution. But that is also its biggest challenge - because navigating through different ministries and departments can at times be nightmarish. The government is thrashing out a better mechanism to coordinate and iron out the glitches at the pilot stage.

"What is remarkable is that they are willing to listen, improve and address our concerns. We will see substantial improvement as things progress," says Balakrishnan.
chekuthan no está en línea   Reply With Quote
Old May 6th, 2012, 03:30 PM   #32
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

Muthoot George, second Malayalee after Chris Gopalakrishnan to enter Forbes 100 Richest Indians list

Also an article about the gold loan industry (with Muthoot as background)... This industry is Kerala's contribution to India

M.G. George Muthoot

Quote:


Net Worth $1.1 billion
Age 62
Marital Status Married, 2 children
Chairs Muthoot Finance Group, which he owns with 3 brothers, specializing in lending against gold, claiming to dispense loans in 5 minutes. It has 25 million customers in 23 Indian states.
Indian Billionaire George Muthoot's Pot of Gold

Quote:
India's 100 Richest
Indian Billionaire George Muthoot's Pot of Gold


Pravish Kuttickat, 35, is a seasoned borrower in his hometown of Cochin in Kerala, a palm frond of a state trimmed by the Arabian Sea. The hotel manager has taken loans for a car, a family holiday in Malaysia and even for buying his wife an expensive anniversary gift. Kuttickat, who earns $2,000 a month, was able to borrow up to $3,000 at a time by pledging family jewelry, including his own gold chain adorned with a King George V pendant, with Muthoot Finance, India's leading provider of "gold loans."



Kuttickat knows full well that the interest rates of 12% to 25% that Muthoot charges are more than at any bank but asks, "Why go through the circus at a bank when you can get a loan here in the shortest time in a pleasant, humane way?"

It is midmorning and half a dozen customers are lined up behind Kuttickat at Muthoot Finance's gold loan counters in downtown Cochin. They need funds for a variety of reasons: college admission fees, a medical emergency, a family wedding. As the day advances, the rush of customers—they include housewives, traders, farmers—accelerates. Roughly $2 million in household ornaments reposes at this particular branch.

Indians continue to be the world's biggest buyers and hoarders of gold, both as jewelry and as investment. They constitute 32% of demand and 18,000 tons of supply. After dipping in 2009, purchase volumes shot up last year and were increasing nearly 10% in the first half of this year, says the World Gold Council. Rural villagers and middle-class Indians tend to invest a chunk of their savings in the yellow metal and love to flaunt their jewels during festivals and weddings. In times of need gold is a liquid asset that can be quickly sold or pledged, transformed into a virtual insurance policy in a country that lacks social welfare.

Lending against that vast reserve of household gold has become a lucrative business niche. Leading that pack is Muthoot Finance, flagship of the Muthoot Group. With $475 million in revenues, Muthoot Finance has dispensed 25 million gold loans so far and holds 120 tons of gold jewelry. Its 3,210 branches, a bigger network than ICICI Bank, India's largest private sector lender, complete 70,000 loans daily. Muthoot's rates are still a cheaper option than the traditional village money lender, who can ask a usurious 40%.

"Gold-pawning may be a hoary trade, but we take the credit for making it an organized business and giving it respectability," says M.G. George Muthoot, 62, the bespectacled chairman. At the company's modest headquarters in Cochin, he sits at a desk with photos of his forefathers in the background. The third generation of the Muthoot business clan, he's found his own pot of gold in this business. The May listing of Muthoot Finance, in which he holds 80% along with three brothers, earned him a spot for the first time on the FORBES ASIA rich list. As the eldest and group head, he's ranked at No. 50 with a fortune of $1.1 billion.

"We made the gold loan process transparent; we built customer-friendly branches so people feel they are walking into a bank rather than a shady pawnbroker," says the mechanical engineer, who normally oversees Muthoot's strategy and expansion from New Delhi, 1,300 miles away, while his three siblings man the southern post.

The business is a happy intermingling of India's confined credit markets, its citizens' craze for gold and the recently rocketing prices of the metal.

Investors panned for shares of Muthoot Finance, which were 24 times oversubscribed. Nine months earlier private equity firms, led by Barings PE Partners India and Matrix India Partners, grabbed 6%. "Muthoot Finance provides quick credit to an underserved market through a unique and cheap distribution model," says Munish Dayal, partner at Barings India. "It's a high-growth market with huge potential."

Muthoot's billboards brag that you can come in with gold jewelry and walk out with cash in five minutes. The com-pany trains every employee to appraise jewelry, a multistep process that involves chemical and sound tests, and examination under a magnifying glass. Up to 70% of the gold's value by weight can be borrowed. There are no charges for appraisal or for safe custody of the gold.

Despite checks and audits, Muthoot faces challenges like stolen or spurious gold, staff fraud and burglary. "If this business was as easy as it sounds, all my branch managers would be setting up their own gold loan companies," says M.G. George. No bank could easily get up to speed. Nevertheless, competition is heating up. Listed Manappuram Finance, with roots in Kerala and Muthoot's closest rival, promises to dispense gold loans in three minutes.

While soaring gold prices have only boosted Muthoot's collateral, the company is covered for a 40% fall in prices with its 70% loan-to-value limit, plus it excludes the worth of any gems as an additional hedge.

While gold loans are generally offered for a year, 40% of Muthoot's customers return within four months to reclaim their pledged jewelry, says George Alexander Muthoot, the company's managing director and the youngest of the third-generation Muthoots in business. Nearly all borrowers repay within the year, while the remaining get a further six months before the jewelry is treated as a nonperforming asset and auctioned. Only 1% of the jewelry goes under the gavel. "We don't need any recovery agents. Our managers sit in their chairs and conduct business; we call them chairmen," jokes M.G. George.

From its gold-lending base, Muthoot has expanded into other financial segments from money transfers and foreign exchange to shares and commodity trading. In keeping with the odd mix that characterizes so many Indian groups, the family owns 1,500 acres of rubber and cardamom plantations, operates houseboat resorts, sells insurance, dabbles in travel services, real estate and vehicle leasing, and runs a chain of medical diagnostic centers, nursing schools and even a radio station.

The Muthoots are one of the wealthiest business clans in Kerala, a communist-ruled state not known for being business-friendly. The group was founded by Muthoot Ninan Mathai, M.G. George's grandfather, in 1887. Ninan Mathai traded in timber and food grains, supplying rations to large British-run plantations. The company derives its logo, two elephants standing trunk-to-trunk, from the herd that the family used to own to log timber.

The business passed to the son, M. George Muthoot, who in 1939 diversified into financial services, starting as a chit fund, a homegrown savings scheme.

In 1971 the firm was renamed Muthoot Bankers to reflect its expansion into lending by using gold jewelry as security. In Muthoot's favor, gold loans were a segment that India's state-owned banks shied away from as there was considerable risk of nakli (fake) gold. Muthoot's new business also coincided with the Persian Gulf boom when Keralites joined the exodus from India. The loans proved a boon to the embarking lower middle class, as banks did not fund their visa and ticket expenses.

"It was a timely, useful business," recalls George Alexander, 56, a chartered accountant by training. By the mid-1990s the firm had grown to 150 branches. In 2001, when India brought in new regulation that stipulated that only a public limited company could call itself a bank, the company changed its name to Muthoot Finance.

Current Chairman M.G. George entered the family trade during his off-school hours at age 7. Before long he was counting cash. In his 20s he moved to New Delhi on his own, ultimately setting up a paper mill before returning to the family fold in 1979.

The brothers agree that they've had to change with the times. "Who would have thought we would give out shares of the company to outsiders or take loans to do business?" asks George Alexander. To tap a younger segment of customers the company will offer loans against gold ETFs. Says the chairman: "We want to grow to $20 billion in revenues. We have a long way to go."

A Business of Georges and "Sirs"

The Muthoots belong to Kerala's land-owning Syrian Christian community, who believe they are direct descendants of St. Thomas, one of the apostles of Christ. M.G. George Muthoot is trustee of the Malankara Orthodox Church, an influential position in the community. The company's branches countrywide start work each morning with a prayer. Its headquarters is unremarkable, adorned with plastic plants and framed prints. Among the few luxuries is the chairman's Mercedes-Benz, and a low-end model at that.

The brothers and their sons, all except for one, have George in their name. The clan meets every month for a daylong "family council" to discuss business in great detail. (All of them are referred to by their employees as "sir," including the youngest. In turn, the Muthoots address their staff the same way.) Per tradition, the girls are married young and get no share.

Grief visited the family when Paul Muthoot, the second of the chairman's three sons, was murdered on a remote highway late at night in August 2009. He was an executive director and headed the group's hospitality ventures. The initial police report termed "road rage" as the cause of death. But the family suspected foul play and called for an inquiry by the Central Bureau of Investigation. Nothing new has emerged since. –S.R.
chekuthan no está en línea   Reply With Quote
Old May 7th, 2012, 03:36 PM   #33
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

Approach to enterprises needs change: Kerala Chief Secy

Quote:
Government rules and procedures may not always be conducive to entrepreneurship, and are in need of fundamental changes.

This is how the Chief Secretary, Mr K. Jayakumar, sought to put it across to a session on ‘Reviving the economic growth of Kerala.'

The interactive session was organised here by the State council of the Confederation of Indian Industry (CII).

INTERFACE POINTS

Entrepreneurs should not feel that they have been tricked into a situation, he said. There is a need to reduce the number of points of interface between the government and aspiring entrepreneurs.

Merely adding more ‘windows' to the system in the name of simplifying procedures doesn't help either.

The Chief Secretary underlined the need to bridge the perception gap between the government and potential investors on venturing into new areas of enterprise.

“The government and industry should act in tandem to position the State as a serious investment destination”.

ENVIRONMENTAL ISSUES

Mr Jayakumar said that the industry should be sensitive to the environmental concerns of the state while asking for land. Economic growth could not be allowed to materialise at the expense of the environment.

Kerala is an environmentally sensitive state and there is no trade-off between industrial growth and environmental conservation. “Please do not embark on actions that make decision-making a vulnerable process for bureaucrats,” he requested the gathering.

INDUSTRIAL OUTREACH

The Vice-Chairman of the State Planning Board, Mr K.M. Chandrasekhar, stressed the need for industrial outreach to utilise technology developed within the country.

The strong rural economy in India signalled opportunities for industry, he said. Taxation reforms and easier borrowing terms would facilitate the growth of the private sector.

Mr Chandrasekhar identified infrastructure, power, agriculture and manufacturing as priority sectors for India in the years ahead.
chekuthan no está en línea   Reply With Quote
Old May 8th, 2012, 06:42 AM   #34
vinodtnt
Trivandrum Lobby
 
vinodtnt's Avatar
 
Join Date: Feb 2007
Location: Trivandrum™
Posts: 2,115
Likes (Received): 470

Major factor supports our economy

[IMG]http://i48.************/2w2ofia.png[/IMG]

Now we have enough reasons to 'glorify' our booze culture.
vinodtnt no está en línea   Reply With Quote
Old May 9th, 2012, 01:24 AM   #35
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

Debt noose tightens as state keeps borrowing


Quote:
The FRBM stipulates 3.5% of the state's GDP as the outer limit to determine its credit worthiness. Bengal, Kerala and Punjab have all breached this rule and have thus been designated as debt-stressed.
chekuthan no está en línea   Reply With Quote
Old May 14th, 2012, 06:53 AM   #36
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

Japan looks at food processing, logistics for investing in Kerala
Quote:
Japanese investors are looking at the food processing, services and logistics sectors for committing funds in Kerala.

Mr Shinya Fuji, Director-General, Jetro (Japan External Trade Organisation), and Mr Masanori Nakano, Consul-General in Chennai, conveyed this to newspersons here.

Automotive components and supply chain management are two other major sectors which are of interest, Mr Nakano said.

EXPORT BASE

India is already a major export base for Japanese manufacturers. This status is sought to be further consolidated, going forward.

In this connection, Kerala proposes to pitch its position as a prospective investment base for specified Japanese investments.

Mr T. Balakrishnan, Managing Director, Inkel Ltd, a government arm for channelising private capital into infrastructure, disclosed this to newspersons.

Mr Balakrishnan is also Chairman and Managing Director of Kerala High Speed Rail Corporation, which is setting up the country’s first high speed rail corridor.

This gigantic project has already seen some Japanese connection with the Japan International Cooperation Agency (Jica) being the main lender.

“Expected to cost Rs 1.5-lakh crore, this is a very large project by any standard, be at the state or central level,” Mr Balakrishnan said.

LENDING AGENCY

“In fact, we are now of the view if we would need to engage more than one lender or it would need to be a combination of tappable sources of funds,” he added.

“Jica, the state and central governments, external commercial borrowings, subordinated debt, suppliers/manufacturers’ credit…all these options are being explored.”

The project has perforce to go several stages for final clearance. Giving an update, he said the request to Jica has to go from Department of Economic Affairs, New Delhi.

“A detailed project report is ready, and we have formed a special purpose vehicle for the project,” he added.

Interestingly, this also throws up the possibility of involving some Japanese investments in advance components required for the high-speed trains.

BULLET TRAINS

The Japanese are past masters in this area of business, with a successful shinkansen (bullet train) network under operation.

According to Mr Fuji and Mr Nakano, India serves as a prospective base and export hub to manufacture some of the components.

Mr Balakrishnan said Kerala could try to set up some facility to manufacture some advanced components, if not the shinkasens themselves.

The state proposes to take this up during the Emerging Kerala investment summit, where Japanese would be represented in large numbers.
chekuthan no está en línea   Reply With Quote
Old May 16th, 2012, 04:13 AM   #37
DileepKS
Armchair Activist
 
DileepKS's Avatar
 
Join Date: Feb 2007
Location: The Original Capital of Kerala
Posts: 5,301
Likes (Received): 4155

ടൂറിസ്റ്റുകളുടെ വരവ് ഒരു കോടി കവിഞ്ഞു; വരുമാനം 19037 കോടി

Quote:
തിരുവനന്തപുരം: യു.ഡി.എഫ്. സർക്കാരിന്റെ ഒരുവർഷകാലത്ത് ടൂറിസം മേഖലയിൽ നിന്നുള്ള വരുമാനം 19037 കോടിയായി ഉയരുകയും ടൂറിസ്റ്റുകളുടെ വരവ് ഒരു കോടി കവിയുകയും ചെയ്തതായി മന്ത്രി എ.പി. അനിൽകുമാർ.

കഴിഞ്ഞവർഷം 732985 വിദേശ ടൂറിസ്റ്റുകളും 9381455 ആഭ്യന്തര ടൂറിസ്റ്റുകളും കേരളം സന്ദർശിച്ചു. മുൻവർഷത്തെ അപേക്ഷിച്ച് വൻവർധനയാണ് ഈ രംഗത്ത് ഉണ്ടായത്. വിദേശനാണ്യ വരുമാനം 3797.37 കോടി രൂപയിൽ നിന്ന് 4221.99 കോടി രൂപയായി ഉയർന്നുവെന്നും യു.ഡി.എഫ്. സർക്കാരിന്റെ ഒന്നാംവർഷത്തെ നേട്ടങ്ങൾ വിശദീകരിക്കാൻ വിളിച്ചുചേർത്ത പത്രസമ്മേളനത്തിൽ മന്ത്രി അനിൽകുമാർ അറിയിച്ചു.

സംസ്ഥാനത്തെ ടൂറിസം വികസനം ലക്ഷ്യമാക്കി സമഗ്രമായ ഒരു ടൂറിസം നയത്തിന് രൂപം നൽകാൻ യു.ഡി.എഫ്. സർക്കാരിന് കഴിഞ്ഞിട്ടുണ്ട്. വാർഷിക പദ്ധതിവിഹിതം 94.5 ശതമാനം ചെലവഴിച്ച് കഴിഞ്ഞ 20 വർഷത്തിനുള്ളിൽ ഏറ്റവും മികച്ച പ്രകടനം കാഴ്ചവെയ്ക്കാനായി. ടൂറിസം മേഖലയിൽ സന്തുലിത വികസനം ലക്ഷ്യമാക്കി മലബാർ മേഖലയെ കൂട്ടിയിണക്കി 'ഈസ്റ്റേണ്* ടൂറിസം കോറിഡോർ' പദ്ധതിക്ക് രൂപം നൽകി-മന്ത്രി അനിൽകുമാർ അറിയിച്ചു.
And netizens are always going gaga about the growth in ITVty alone, as if that is the backbone of the economy of the state!!
DileepKS no está en línea   Reply With Quote
Old May 16th, 2012, 04:42 AM   #38
psanthosh
Registered User
 
Join Date: Jul 2010
Posts: 1,901
Likes (Received): 304

Quote:
Originally Posted by DileepKS View Post
ടൂറിസ്റ്റുകളുടെ വരവ് ഒരു കോടി കവിഞ്ഞു; വരുമാനം 19037 കോടി



And netizens are always going gaga about the growth in ITVty alone, as if that is the backbone of the economy of the state!!

Here the links for the above news

http://news.keralakaumudi.com/news.p...52cd3a2090fb20

http://www.mathrubhumi.com/business/...ry-272333.html
psanthosh no está en línea   Reply With Quote
Old May 17th, 2012, 10:53 AM   #39
chekuthan
che-kut-han
 
chekuthan's Avatar
 
Join Date: Jun 2011
Posts: 1,624
Likes (Received): 1976

Kerala's Ayurveda industry in jeopardy
Quote:
New Delhi: The Rs 600 crore Ayurveda industry in Kerala is facing its biggest challenge. The state government is clamping down on what it considers dubious claims by three companies that promise magical remedies. Products worth almost Rs 2 crore have been seized and the three major companies may lose their licences.
The Drugs Controller of Kerala is set to cancel the licenses of the Ayurvedic giants for violating provisions of the Drugs and Cosmetics Act & Magic Remedies Act.
The manufacturing companies found to be violating the provisions are - Dhathri Ayurveda Pvt Ltd and Sreedhareeyam Ayurvedic Medicines Pvt Ltd.
Show cause notices have been issued against them for false or misleading claims under section 33 E of the Drugs and Cosmetics act & section 4 of the Drugs and Magic Remedies Act, 1954 for objectionable ads. This can result in the maximum punishment of 3 years with fine.
Drugs Controller official CS Satheesh Kumar says, "These companies are putting many claims on the labels to attract consumers. For example, when the oil is only to treat skin diseases, they claim it is for whitening and stretch mark removal. It's misleading. So under D&C Act we can proceed against them and cancel the licences of the products.”
The department also warns celebrities not to endorse such products. There would be legal provisions to prosecute them as well. But the companies in the dock deny any wrong doing, defending their ads.
The Kerala Drugs Control Department has decided to act tough after receiving complaints including from committees of the state assembly. The department found the companies did not submit any documented evidence to prove their claims. Prosecuting them could be a crucial step in regulating the manufacture and sale of Ayurvedic products.
chekuthan no está en línea   Reply With Quote
Old May 17th, 2012, 11:07 AM   #40
DileepKS
Armchair Activist
 
DileepKS's Avatar
 
Join Date: Feb 2007
Location: The Original Capital of Kerala
Posts: 5,301
Likes (Received): 4155

It's about time!!

These quacks bastardizing ayurveda must be stopped. If someone is introducing a new formulation, there must be proper evaluation and verification for the claims. Specifically, "it is told in astangahridaya" is not a valid supporting evidence.
DileepKS no está en línea   Reply With Quote


Reply

Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Related topics on SkyscraperCity


All times are GMT +2. The time now is 04:48 AM.


Powered by vBulletin® Version 3.8.11 Beta 4
Copyright ©2000 - 2017, vBulletin Solutions Inc.
Feedback Buttons provided by Advanced Post Thanks / Like (Pro) - vBulletin Mods & Addons Copyright © 2017 DragonByte Technologies Ltd.

vBulletin Optimisation provided by vB Optimise (Pro) - vBulletin Mods & Addons Copyright © 2017 DragonByte Technologies Ltd.

SkyscraperCity ☆ In Urbanity We trust ☆ about us | privacy policy | DMCA policy

Hosted by Blacksun, dedicated to this site too!
Forum server management by DaiTengu