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Business and
Economy |
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A Confederation of Indian Industry
(CII) has recommended that southern
states implement the Agriculture
Produce Market Committee (APMC) Act
to free the farmer from state
controls on movement, storage, and
marketing of agricultural
commodities. They also encouraged
that the states establish a
commodity exchange to facilitate
futures trading of agricultural
produce. The five southern states
have been reducing their investments
in agriculture as a percentage of
their total budget: Andhra Pradesh
4.6%, Karnataka 4.8%, Kerala 5.1%,
Tamil Nadu 7.5%, and Pondicherry
10.2%. The CII also recommended that
the states invite private sector to
own and operate wholesale
distribution centers and encouraged
changes to town planning laws to
allow a more modern distribution
network, The APMC allows farmers to
sell their produce contractually to
corporations and also do not have to
go through convoluted processes to
sell their goods. They also asked
for simplification of taxes such as
the creation of a common value-added
tax structure on a uniform and
rationalized minimum pricing and the
abolition of a "mandi" tax (market
tax) that diminishes competitive
advantage. The CII believes that
these simple changes will increase
the state GDPs substantially.
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The China National Salt Industry
Corporation says that it plans to
increase the domestic production of
salt by 6 million metric tons (mmt)
in 2006. This should seriously
affect Indian salt exports to China
which is at 2mmt in 2005. After
India, China is the second largest
producer of salt in the world at
56mmt.
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The Center for Trade Union has
called for trade unions in the
Information Technology industry.
This call comes at a time when
communism is dead world over except
in South America and backward states
in India. West Bengal and Kerala,
where communist parties have ruled
uninterrupted for decades, are on
the verge of bankruptcy with
crumbling infrastructure and no new
industrial investments. WB reformist
Chief Minister Buddhadev
Bhattacharjee, often at odds with
national leaders representing his
party in New Delhi, has been wooing
growth industries like IT and
Bio-Tech. He even apologized for a
strike last year that was criticized
by almost every influential group in
the nation and promised never to
allow one in WB. The Indian Chamber
of Commerce, pointing out the
differences between IT and
manufacturing, cautioned against
irrational steps that will stop the
growth of that industry in WB.
Visiting former Singapore Prime
Minister Goh Chok Tong asked
Bhattacharjee to change the mindset
and attitude of his party men if he
wants to succeed in getting Foreign
Direct Investment (FDI) to WB. "
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A Royal Dutch Shell report said that
though India and China will emerge
as economic powers in 2 decades, it
will be India that will emerge as
the "beacon of light for the
developing world." It observed that
though China started its reform
process 10 years ahead of India and
invested twice as much, it has
achieved only achieve average growth
of 50% over India's. Terming Indian
use of capital more "efficient than
China," the report says that India's
young population, vibrant
entrepreneurial spirit, and strong
institutions will propel the country
to a 7% GDP growth till 2025.
However, it also called for economic
reforms, infrastructural investment,
and structural shift from
agriculture to higher value items,
growth of manufacturing, and
leadership in IT services as
pre-requisites to sustain the
growth. It said that "certain
Western and Southern states with
better geographical location and
social harmony" is enabling the
country to catch up with China,
which is ahead of India by about 10
years. The report India to address
regional, ethnic, and social
inequities so millions may rise out
of poverty under democracy and
pluralism.
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The Czech Republic Prime Minister
Jiri Paroubek said that Indo-Czech
trade is set to double to about a
USD 1 billion in 2006. Czech
Republic is interested to sell India
electrical equipment and power
station management devices and
services. Other areas of trade are
tourism, hospitals, leather goods,
tropical fruits, and flowers.
Meanwhile, the Andhra Pradesh
Government announced a Memorandum of
Association with Czech major Skoda
Export for the development of a USD
2.2 billion port6 complex at
Nizamapatnam in Guntur district. The
medium-sized port is intended to
handle coal, granite, cement, and
fertilizer cargo in addition to
terminals to hold Liquefied Natural
Gas (LNG). The Czech Government will
also invest USD 1 billion in that
state's hospitals, infrastructure,
agro-products, and fertilizer
sectors.
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Democracy,
Politics, and Judiciary
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Hot Topics |
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Clemenceau & the Environment |
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Economic growth in India |
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Parliament-Supreme Court
Disagreement |
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Indo-US nuclear talks |
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IISc Terrorist Attack |
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Terrorism in J&K |
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Iran nuclear issue
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UNSC Expansion Plan |
Featured
Analyses |
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The Saga of the Jemaah Islamiah |
Indonesia has continuously been
embarrassed by the terror acts of a
handful of terrorists from the
Jemaah Islamiah (JI), a group with
definite Indonesian origins and made
up mostly by members of Indonesian
nationality. |
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Will Kashmir go the way of Aceh? |
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A Cry for Help |
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Watch the Dragon |
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Cage This "Tiger" |
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Dalits in India |
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Was Jinnah a Secularist? |
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Burying the Howitzer? |
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Smoking Out Smoking |
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The French Non |
Featured Edits |
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India and talks on the nuclear
issue |
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Fast breeding
reactionaries |
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Speaker has no other choice |
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Greater sensitivity needed at WTO |
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Terror and talks |
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Bofors ghost
returns |
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The great demat rush: Truth or
dare? |
Inscription |
South Indian Inscriptions
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Ancient Indian
dynasties documented their
administration, significant
developments, grants, and milestones
as inscriptions in temples. The
Archaeological Survey of India (ASI)
has documented these inscriptions
from 1886.
These pages
contain inscriptions from Pallava,
Chola, Pandya, Western Chalukya,
Eastern Chalukya, Rashtrakuta,
Hoyasala, Vijayanagara, Vishnukundin,
Kakatiya, Reddi, Vaidumba, Chinda,
Eastern Ganga, Gajapathi, Kalchurya,
Qutb-Shahi of Golkonda, and Moghul,
dynasties. |
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Environment , Health, and Education
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The Supreme Court Monitoring Committee is
reported to have said that the French
Government's inventory report on condemned
aircraft carrier Clemenceau is "inadequate."
An Oct 2003 SC order had said that any
ship-breaking request must be submitted
along with a detailed inventory and the SCMC
said that it has not received answers to all
its questions. French NGOs and media have
been extremely critical of the French
Government's handling and preparation.
Unnamed French officials also privately
admit that they under-estimated the hurdles
and negative opinion from India. The SC will
deliver its verdict on Feb 13, 2006 a week
before the French President is to visit
India.
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Terrorism, Defense, and Security
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People's Democratic Party President Mehbooba
Mufti has firmly rejected media reports that
say she provided shelter to a
Lashkar-e-Toiba operative. Jammu & Kashmir
(J&K) Councilor Abdul Waheed Dar and three
others have been arrested by the police for
terrorist links and activity and have since
"confessed" to their crimes. Before the
arrest, Dar had visited Mufti at her
residence in New Delhi. Though she said that
he was handed over immediately to the
police, unnamed police officials were quoted
as saying that Dar made calls from her house
to Srinagar for 3 day. Hence, there was
speculation on her statements and also
whether she had perjured herself and
committed a crime for providing "shelter" to
a criminal. Sub-Superintendent of Police (SSP)
Munir Khan confirmed her story and said that
Dar returned to Srinagar the same day.
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The J&K terrorist group Hizb-ul-Mujahideen
(Hizb) has threatened Kashmiri youth about
joining the Indian security forces. They
said the houses of those who joined the
Indian Army, Central Reserve Police Force (CRPF),
Border Security Force (BSF), the
Indo-Tibetan Border Police (ITBP), and the
India Reserve Police (IRP) "will be locked
and asked to leave the Valley." Last year,
the CRPF recruited a record 3,700 youth and
the BSF a 100. In a recent drive 1,000 youth
were appointed by the IRP.
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Investigators in Karnataka said that one of
the two suspected terrorists arrested may
have been party of a 2003 theatre blast in
Bangladesh. The police arrested Afsar and
Irfan Pasha last week and seized large
quantities of bombs, detonators, gel sticks,
and iron pellets from his house. They also
found a lot of jihadi literature. In
constant touch with Saudi Abdul Rehman, also
under arrest, they had conspired to attack
economical and soft targets in the state and
elsewhere in India. Their involvement in the
Dec 2005 Indian Institute of Science (IISc)
shooting is still under investigation.
Police said the terrorists coming from
poorest districts in the state like Kolar,
often travel to Bangladesh for training and
then go to Pakistan's Baloachistan province
for more intense training before they are
send back to India to recruit, train, plan,
and carry out attacks.
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Neighbors |
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The Russian Atomic Agency chief Sergei
Kiriyenko has said that Iran is ready to
jointly enrich uranium with Russia. The
joint venture proposal is supported by both
the United States and the European Union.
Per this proposal, Russian will help Iran
enrich uranium at low levels for generation
of energy. Recently, inviting international
opposition, Iran broke United Nations seals
at its Nantz facility fro "research"
purposes. The West believes that Iran is
keen on developing a nuclear bomb; a charge
that Tehran consistently denies. However,
the Iranian hard-line President's calls for
the destruction of Israel, comments against
the Jewish people, and also its clandestine
purchase of nuclear weapons technology from
disgraced Pakistani scientist A.Q. Khan has
deepened suspicion on Iran's intentions.
Iran even tried to argue a case for itself
by comparing itself to India and the finding
inconsistency in Western proliferation
policies with the Indo-US nuclear deal.
India has firmly rejected this case saying
that India is not a signatory to the Nuclear
Non-Proliferation Treaty and never agreed to
stop nuclear research as Iran did. India
further says that its nuclear proliferation
record is impeccable; something that the
Iranians cannot refute. Russia and China
pushed back Western moves to take Iran to
the United Nations Security Council for
punitive economic sanctions. This prospect
looked imminent with Iran escalating
tensions with the West through threats of
stopping UN inspections altogether,
t6erminating talks with the EU-3 (Britain,
France, and Germany), and rejecting the
Russian joint venture proposals. However,
this turn around may actually let the steam
off a move to take Iran to the UNSC during a
special meeting called by the International
Atomic Energy Agency (IAEA) this week.
Meanwhile, reports suggest that fearing an
economic squeeze, Iran moved a lot of its
assets out of the European Union to South
East Asia.
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India has asked Pakistan to sign a Mutual
Legal Assistance Treaty (MLAT) which will
extradite criminal elements finding
sanctuary in Pakistan. However, Pakistan has
not responded positively to the call saying
that it does not shelter these elements and
will co-operate with India. India accuses
Pakistan of materially supporting, training,
and funding terrorism in India, a charge
that Pakistan vehemently denies. Pakistan
has started accusing India of supporting a
popular uprising in Baloachistan, a charge
that both India and Baloach rubbish. Baloach
rebels have accused Pakistan President
Pervez Musharraf of lying and human rights
groups have increasingly criticized the use
of excessive force by Pakistan in that
province. Although Pakistan says that only
the constabulary is used in the near-civil
war situation, media reports have pointed to
the use of combat aircraft, helicopter gun
ships, and artillery shelling of civilian
positions. Baloachistan is rich is natural
gas and tribes there say that Pakistan is
insensitive to their needs and threaten
their existence. They point out to a dam
that will cut off the only major river into
Baloachistan from Pakistan. Pakistan says
that the tribes are selfish and
short-sighted.
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Thousands of demonstrators defied
prohibitory orders by King Gnanendra in
Nepal and clashed with the security forces
in capital Katmandu. Security forces fired
several rounds of tear gas shells and
charged with batons to disperse the crowd
even as they arrested leaders of a 7-party
alliance protesting district level elections
next month. India, the United States, the
European Union, Japan, United Nations, and
human rights organizations have condemned
these moves. The king, under intense
domestic and international criticism, is
seen as stiffing a nascent but ineffective
democracy. Last year, the King assumed
extra-constitutional powers after dismissing
an elected Parliament who said was
ineffective against the Maoist terrorists
who were destroying law and order and the
economy of the impoverished nation. He
claims to have suppressed the terrorists,
but may terrorist incidents challenge that
claim.
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World |
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The Indo-US nuclear deal hit a major hurdle
with the US refusing to accept the existence
of India's fast-breeder program as research
and development civilian facilities. India
has so far refused to place its fast breeder
reactors under the supervision and
inspection regime of the International
Atomic Energy Agency (IAEA). The US has
argued that it did not understand India's
reluctance since Japan can place the Joyo
experimental breeder reactor and Monju
prototype reactor, which are similar
technologies, under IAEA. The US also states
that if India refuses to place its fast
breeder program under IAEA, there would be
impossible to get support from the Nuclear
Suppliers Group (NSG) for a rule change that
will allow nuclear trade with India. The US
opposition to its Fast Breeder Test Reactor
(FBTR) at Kalpakkam surprised India because
this issue was never raised in any meetings
even as late as December 2005. Further, the
July 2005 Indo-US deal explicitly granted
India the same status as nuclear weapons
states (NWS) -- US, Russian, Britain,
France, and China. India maintained that
comparing to Japan did not make sense since
Japan is not a NWS and is also a signatory
of the Nuclear Non-Proliferation Treaty
(NPT) and has to therefore abide by those
agreements. India also maintained that
unlike Japan which has unfettered access to
technology and components from world powers,
India has to rely on its own resources
for uninterrupted technology and component
availability. Therefore, India said it needs
the FBTR more than Japan. The two countries
were working to ensure that deal was
concluded when US President George Bush
comes to India in March-- this prospect
looks very bleak. Fast breeder reactors can
be used to recycle reactor-grade plutonium
Pu-240 to weapons grade Pu-239 and IAEA
supervision can prevent this recycling. On
the brighter side, the US is willing to
allow the Canadian nuclear program CIRUS to
proceed forward even though that facility
had been used heavily for India's nuclear
weapons program. However, this may require
the construction of a new 40Megawatt
facility.
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