Indian Economic Movements :: Essays Papers

Indian Economic MovementsNet losses at Tata Engineering Co (Telco) rose to Rs 60.36 crore, notwithstanding as it struggled to absorb the full commissioning costs of its Rs 1,700 crore passenger motorcar project. Turnover during the quarter was much encouraging, jumping 52 per penny to Rs 2,390 crore on the back of strong book growth in the medium & heavy commercial vehicles segment and high passenger car sales. Telco said it expected to break even towards the end of the year. Analysts said the Pune-based auto majors margins came under military press pursuit lower, less-than-anticipated, profitability in the ambitious Indica project, Telcos tell to the assault of global car generaters in the domestic market. Margins, they said, will confront under pressure thanks to the competition in the commercial vehicles and car businesses. The relatively-insulated commercial vehicles segment, for instance, will see Swedish truck major Volvo vent into expansion mode and Eicher (a newco mer in this segment) will launch its HCV erstwhile(prenominal) this year. PRODUCTION of petroleum products has fallen by almost 30 per cent in the last four months following a severe disregard in refinery margins. Indian Oil Corporation, Reliance Petroleum, Bharat Petroleum and Hindustan Petroleum argon amongst the leading refinery companies who are likely to take a hit following the sharp increase in international crude prices which surrender been emerging at a faster pace than the product prices. Standalone refineries like the Mangalore refinery have cut production by almost one-third. Crude throughput, (processing crude in the refineries) has fallen significantly forcing the government to increase product imports. But theres a risk of getting exposed to a more volatile product market and going in for short term deals which may not always be on the best rates. Sources claimed that they have been fortunate in being able to procure the products at reasonable rates. However, this is not a favourable situation, and should be avoided, industry experts said. Sources argued that the benefits of attaining self sufficiency in down capacity are not being reaped as the domestic refineries cannot use of goods and services at optimum margin levels under the given duty structure. Had the duties on crude been lower, refineries would be encouraged to import and produce. Buying crude at $24 a barrel may still allow you to make your margins, but when you pay an additional $3 just as duties, change products become unviable. In an update on an