EQUITY IS VOTING MACHINE IN SHORT TERM, BUT A WEIGHING MACHINE ON LONG TERM
Perhaps no other number draws so much attention in middle and upper class India as the number on the Sensex. It just takes 1,000 points here and there for people to change their opinion about the equity markets. Like, when the Sensex declined to the 8,000 levels at the start of this year, everything about the stockmarkets looked uncomfortable and many believed that prices were headed even lower.
And now, when the Sensex is nearing the 16,000 level, the enthusiasm is back and experts are promoting stockmarkets as the place to be in.
See for instance the changing mood of one learned gentleman from a leading global investment house, with the change in Sensex since September last year. And there are many such experts appearing on business channel everyday trying to attract attention using their 'Sensex forecasting' skills, without any repentance for their past forecasting blunders!
For you, the investor, while it is human to go with the tide, some rules of investing don't change simply because the mood in the environment has undergone a change. For instance, equity will always be an asset which provides opportunity for earning but can never give you the comfort of safety. It holds well whether the Sensex is at 8,000 or at 16,000.
You need to ingrain in your mind what the legendary investment guru, Benjamin Graham once said, "In the short term, the market is a 'voting' machine whereon countless individuals register choices that are product partly of reason and partly of emotion. However, in the long-term, the market is a 'weighing' machine on which the value of each issue is recorded by an exact and impersonal mechanism."
So, stop chasing the Sensex. Live sensibly, and invest sensibly.
Saturday, September 5, 2009
GI registration & direct marketing suggested for Temi Tea by EXIM Bank
GANGTOK, September 2: The EXIM Bank has suggested that the Sikkim Government should work towards obtaining the Geographical Indication (GI) for Temi Tea as in the case of Darjeeling Tea.
In its study report ‘Sikkim: Export Potential and Prospects’, the Bank has recommended that the processing machinery at Temi Tea Estate should be upgraded and a conveyor belt system be introduced to increase efficiency. It also advised the State Government to get Temi Tea Fairtrade certified to facilitate its popularity internationally and help it get a premium price in the international market.
The Bank also suggested that the medicinal properties of Temi tea should be investigated.
“Sikkim has distinct advantage in tea production”, the study says informing that tea grown in Sikkim is famous by its brand name Temi Tea and is exclusively grown at the Temi Tea Estate in Temi region of South Sikkim.
The Tea Estate spreads over an area of 435 acres under plantation and produces 100 tones of tea per year. Out of the entire production, only 25 percent is sold in the local market at prices marginally higher than cost while the remaining 75 percent is sold through the auctions in Kolkata. The study points out that the entire production of Temi Tea has been certificate organic since June 2008 by Institute of Marketcology.
Till 2002, Temi Tea was sold under the Darjeeling category after which Darjeeling tea approached Tea Board to acquire a separate logo (certified trademark).
“Temi Tea is very rich in flavour, has medicinal properties, fetches one of the highest prices at Kolkata Tea auction and has high export potential”, says the study report.
Exported indirectly through the auctions conducted in Kolkata, the premium quality Temi Tea fetches about Rs. 2000 per kg on an average at these auctions, although there are times when auction rates touch even Rs. 3000 per kg, the study states.
The major export markets are Germany, USA, France, Canada and Japan.
The Bank suggested that if the Temi Tea is exported directly, it will fetch an even higher price, estimated at nearly double of what is getting now through auctions, particularly considering that in mature Western markets, there is an increasing demand for organic tea.
“However, direct exports entail undertaking strategic marketing, which cannot be executed by Temi Tea Estate on its own and needs external expertise”, said the Bank suggesting that focused workshops on export procedures and documentation as also export marketing and packaging would enable facilitation of Temi Tea exports from Sikkim.
Such workshops could be organized by local trade chamber in association with Tea Board, Director General of Foreign Trade or EXIM Bank, the study says.
GANGTOK, September 2: The EXIM Bank has suggested that the Sikkim Government should work towards obtaining the Geographical Indication (GI) for Temi Tea as in the case of Darjeeling Tea.
In its study report ‘Sikkim: Export Potential and Prospects’, the Bank has recommended that the processing machinery at Temi Tea Estate should be upgraded and a conveyor belt system be introduced to increase efficiency. It also advised the State Government to get Temi Tea Fairtrade certified to facilitate its popularity internationally and help it get a premium price in the international market.
The Bank also suggested that the medicinal properties of Temi tea should be investigated.
“Sikkim has distinct advantage in tea production”, the study says informing that tea grown in Sikkim is famous by its brand name Temi Tea and is exclusively grown at the Temi Tea Estate in Temi region of South Sikkim.
The Tea Estate spreads over an area of 435 acres under plantation and produces 100 tones of tea per year. Out of the entire production, only 25 percent is sold in the local market at prices marginally higher than cost while the remaining 75 percent is sold through the auctions in Kolkata. The study points out that the entire production of Temi Tea has been certificate organic since June 2008 by Institute of Marketcology.
Till 2002, Temi Tea was sold under the Darjeeling category after which Darjeeling tea approached Tea Board to acquire a separate logo (certified trademark).
“Temi Tea is very rich in flavour, has medicinal properties, fetches one of the highest prices at Kolkata Tea auction and has high export potential”, says the study report.
Exported indirectly through the auctions conducted in Kolkata, the premium quality Temi Tea fetches about Rs. 2000 per kg on an average at these auctions, although there are times when auction rates touch even Rs. 3000 per kg, the study states.
The major export markets are Germany, USA, France, Canada and Japan.
The Bank suggested that if the Temi Tea is exported directly, it will fetch an even higher price, estimated at nearly double of what is getting now through auctions, particularly considering that in mature Western markets, there is an increasing demand for organic tea.
“However, direct exports entail undertaking strategic marketing, which cannot be executed by Temi Tea Estate on its own and needs external expertise”, said the Bank suggesting that focused workshops on export procedures and documentation as also export marketing and packaging would enable facilitation of Temi Tea exports from Sikkim.
Such workshops could be organized by local trade chamber in association with Tea Board, Director General of Foreign Trade or EXIM Bank, the study says.
Sikkim’s antique Generator and Turbine needs a place in history
An old Turbine and generator is kept in the Diesel Power House in Gangtok under the energy and Power Department. The Turbine in question pertains to the old Power House at Ranikhola which was build in the year 1932. This was considered the first and one of the oldest Power Houses under the state power Department during those days when Sikkim PWD and power department were considered as one Department.
This Generator’s capacity was 50 KW, manufactured by English Motor Electric Co England. It may be mentioned here that the power generated from this Power House use to be transmitted by the ways of 3.3kv line to serve the entire town as well the Royal Palace.
The old Darjeeling toy train of narrow gauge has been given due recognition from UNCESO as a world heritage site. Similarly, if the State Government, especially the Power Department, is interested, it can also provide a befitting resting place for the old generator and showcase it as a part of Sikkim’s developmental history. What is needed here is a sort of museum/exhibition stall to keep this piece of history. It would be a great tourist attraction as well as research material for students.
Rakesh Verma [ASSISTANT ENGINEER( MECH )
Energy and Power Department
Government Of Sikkim.
An old Turbine and generator is kept in the Diesel Power House in Gangtok under the energy and Power Department. The Turbine in question pertains to the old Power House at Ranikhola which was build in the year 1932. This was considered the first and one of the oldest Power Houses under the state power Department during those days when Sikkim PWD and power department were considered as one Department.
This Generator’s capacity was 50 KW, manufactured by English Motor Electric Co England. It may be mentioned here that the power generated from this Power House use to be transmitted by the ways of 3.3kv line to serve the entire town as well the Royal Palace.
The old Darjeeling toy train of narrow gauge has been given due recognition from UNCESO as a world heritage site. Similarly, if the State Government, especially the Power Department, is interested, it can also provide a befitting resting place for the old generator and showcase it as a part of Sikkim’s developmental history. What is needed here is a sort of museum/exhibition stall to keep this piece of history. It would be a great tourist attraction as well as research material for students.
Rakesh Verma [ASSISTANT ENGINEER( MECH )
Energy and Power Department
Government Of Sikkim.
A Ginger Oleoresin plant in Sikkim is commercially viable: EXIM Bank
GANGTOK, September 3: The EXIM Bank has listed lack of local availability of packaging material of international standard and lack of refer facility with direct transportation to Kolkata port as major problems that have inhibited exports of fresh ginger of Sikkim.
This is despite the fact that Sikkim among the major producers of ginger, contributing to about 5 percent of the country’s production.
The other problems hindering the export potential of Sikkim are lack of refer facility with direct transportation to Kolkata port, no pre cooling plant and integrated packing houses, manual cleaning process and dearth of warehousing facilities for keeping produce immediately after harvesting, said the Bank.
All these shortfalls need to be suitably addressed, said the EXIM Bank in its study report ‘Sikkim-Export Potential and Prospects’.
“Ginger is largely grown in Sikkim for exports as green ginger. Even though improved varieties with less fibre are available to the grower, they continue to rely on the local fibrous Bhaisey (large rhizome) and Majhauley (mid-size rhizome)”, the report states.
It is mentioned that the quantum of ginger going out of the State is estimated at roughly 25,000 tons and about 30 percent of produce is retained as seed.
The major markets of Sikkim ginger are Delhi, Punjab, Uttar Pradesh and West Bengal while most of the exports of Sikkim ginger that currently occur are indirectly through the Delhi market.
“Chinese ginger has been ruling the international markets for a long time. However, there have been cases of residual heavy metals being traced even in organic exports from China. This has opened up a window of opportunity for exports of organic ginger and needs to be cashed in”, said the Bank.
At the same time, the report points out that there is no formal value addition to the ginger produce of Sikkim. The State government has recently sanctioned a ginger processing unit with a capacity to process 7.5 MT/day and would be leased to private players for usage.
The processed products would include waxed ginger, ginger paste and oil and will help in better price realization and increased shelf life of the product, the report says adding such process will also encourage undertaking direct exports from Sikkim to international markets. The report mentions that ginger oil produced from fresh ginger in Sikkim has a high market value due to presence of various aroma chemicals.
The Bank also said a project to set up a ginger oleoresin plant in Sikkim is commercial viable to export ginger oil and oleoresins to Eastern countries like Japan, South Korea and Australia. It added that the project cost is estimated at Rs. 4.5 crore (excluding land cost) with the entire capital investment (excluding margin for working capital) being paid back within 5 years and 2 months of operation.
GANGTOK, September 3: The EXIM Bank has listed lack of local availability of packaging material of international standard and lack of refer facility with direct transportation to Kolkata port as major problems that have inhibited exports of fresh ginger of Sikkim.
This is despite the fact that Sikkim among the major producers of ginger, contributing to about 5 percent of the country’s production.
The other problems hindering the export potential of Sikkim are lack of refer facility with direct transportation to Kolkata port, no pre cooling plant and integrated packing houses, manual cleaning process and dearth of warehousing facilities for keeping produce immediately after harvesting, said the Bank.
All these shortfalls need to be suitably addressed, said the EXIM Bank in its study report ‘Sikkim-Export Potential and Prospects’.
“Ginger is largely grown in Sikkim for exports as green ginger. Even though improved varieties with less fibre are available to the grower, they continue to rely on the local fibrous Bhaisey (large rhizome) and Majhauley (mid-size rhizome)”, the report states.
It is mentioned that the quantum of ginger going out of the State is estimated at roughly 25,000 tons and about 30 percent of produce is retained as seed.
The major markets of Sikkim ginger are Delhi, Punjab, Uttar Pradesh and West Bengal while most of the exports of Sikkim ginger that currently occur are indirectly through the Delhi market.
“Chinese ginger has been ruling the international markets for a long time. However, there have been cases of residual heavy metals being traced even in organic exports from China. This has opened up a window of opportunity for exports of organic ginger and needs to be cashed in”, said the Bank.
At the same time, the report points out that there is no formal value addition to the ginger produce of Sikkim. The State government has recently sanctioned a ginger processing unit with a capacity to process 7.5 MT/day and would be leased to private players for usage.
The processed products would include waxed ginger, ginger paste and oil and will help in better price realization and increased shelf life of the product, the report says adding such process will also encourage undertaking direct exports from Sikkim to international markets. The report mentions that ginger oil produced from fresh ginger in Sikkim has a high market value due to presence of various aroma chemicals.
The Bank also said a project to set up a ginger oleoresin plant in Sikkim is commercial viable to export ginger oil and oleoresins to Eastern countries like Japan, South Korea and Australia. It added that the project cost is estimated at Rs. 4.5 crore (excluding land cost) with the entire capital investment (excluding margin for working capital) being paid back within 5 years and 2 months of operation.
Popular sculpting statue in Sikkim
Sikkim, Sep 3 (ANI): An art school is preserving the oldest form of traditional and religious art of statue making, influenced by Buddhist teaching in Sikkim.The Traditional Arts School for Thangka Painting at 5th mile, a half an hour drive from state capital Gangtok, is under the supervision of Ecclesiastical Affairs Department, Government of Sikkim. The school is exclusively for the monks (boys).
Monks from different monasteries located throughout the state come to the institute and learn the art free of cost.
The school was started as a separate branch of Enchey School, which was a monk school then in 1909 for teaching the art of statue making to monks at the time of Chogyal (King).
However during 1950s, the school came under the Ecclesiastic Affairs Department.
Ndar Lama, an instructor at the Vocational Arts School, Gangtok, revealed that the art of making the statues came from Bhutan.
However, to popularise the art among local monks, the state government felt the need to set up one institute in Sikkim, Lama said.
“The art of making this mud statue came from Bhutan. Earlier, Chogyal (King) used to call the instructors from Bhutan and they used to make the statues. In fact, most of the statue in big monasteries here was made by the Bhutanese. Even I learnt the art from one Bhutanese person. But now the government of Sikkim felt the need to open one such vocational training institute even in Sikkim,” Lama added.
Students at the school said that they hope to teach the art to the future generation so as to keep the Buddhist culture alive.
“After learning the art of statue making, I will go to the monastery and teach the art to our future generation so as to keep our Buddhist culture and art of statue making alive,” said Dawa, a student.
Besides teaching the art, the school also helps the monks in becoming self-reliant.
Sikkim, Sep 3 (ANI): An art school is preserving the oldest form of traditional and religious art of statue making, influenced by Buddhist teaching in Sikkim.The Traditional Arts School for Thangka Painting at 5th mile, a half an hour drive from state capital Gangtok, is under the supervision of Ecclesiastical Affairs Department, Government of Sikkim. The school is exclusively for the monks (boys).
Monks from different monasteries located throughout the state come to the institute and learn the art free of cost.
The school was started as a separate branch of Enchey School, which was a monk school then in 1909 for teaching the art of statue making to monks at the time of Chogyal (King).
However during 1950s, the school came under the Ecclesiastic Affairs Department.
Ndar Lama, an instructor at the Vocational Arts School, Gangtok, revealed that the art of making the statues came from Bhutan.
However, to popularise the art among local monks, the state government felt the need to set up one institute in Sikkim, Lama said.
“The art of making this mud statue came from Bhutan. Earlier, Chogyal (King) used to call the instructors from Bhutan and they used to make the statues. In fact, most of the statue in big monasteries here was made by the Bhutanese. Even I learnt the art from one Bhutanese person. But now the government of Sikkim felt the need to open one such vocational training institute even in Sikkim,” Lama added.
Students at the school said that they hope to teach the art to the future generation so as to keep the Buddhist culture alive.
“After learning the art of statue making, I will go to the monastery and teach the art to our future generation so as to keep our Buddhist culture and art of statue making alive,” said Dawa, a student.
Besides teaching the art, the school also helps the monks in becoming self-reliant.
Friday, September 4, 2009
19 new species of flora and fauna found in Sikkim
Gangtok, Sept 3 (PTI) Sikkim continued to maintain its pole position as the country's richest state in terms of bio-diversity with 19 new species of flora and fauna being found in the state in last 10 years, World Wildlife Foundation (WWF) said in a report.
Of the 353 species of flora and fauna discovered in the eastern Himalayan range between 1998 and 2008, Sikkim has generated 19 species comprising plants and fish, the WWF said in its report.
The WWF surveyors also discovered 21 new species of orchids in the range of which five have been found in Sikkim, the report said.
The new variety orchid - coelogune pantlingii (pure white) - has been found in several parts of Sikkim, it said adding of 14 fish varieties found Sikkim has contributed three varieties - Pseudopoda abnormis, Pseudopoda hingstoni and Pseudopoda minor.
Gangtok, Sept 3 (PTI) Sikkim continued to maintain its pole position as the country's richest state in terms of bio-diversity with 19 new species of flora and fauna being found in the state in last 10 years, World Wildlife Foundation (WWF) said in a report.
Of the 353 species of flora and fauna discovered in the eastern Himalayan range between 1998 and 2008, Sikkim has generated 19 species comprising plants and fish, the WWF said in its report.
The WWF surveyors also discovered 21 new species of orchids in the range of which five have been found in Sikkim, the report said.
The new variety orchid - coelogune pantlingii (pure white) - has been found in several parts of Sikkim, it said adding of 14 fish varieties found Sikkim has contributed three varieties - Pseudopoda abnormis, Pseudopoda hingstoni and Pseudopoda minor.
Thursday, September 3, 2009
'Direct Tax Code' seeks to completely overhaul and simplify the existing tax proposals, not only for individual tax payers, but also corporate houses and foreign residents.
Assuming the draft is implemented in the current form, there would be a drastic reduction in the amount of taxes each individual or business pays. The intent is, however, not merely to reduce the tax burden on tax payers. The Finance Minister also seeks to cut various exemptions and concessions. A wider tax base, higher tax compliance and economic growth should ensure that the effective direct tax revenue goes up. An efficient, uncomplicated, and equitable taxation regime is the cornerstone for good governance, and the stock markets usually view lower and stable tax rates positively.
While the code does away with several exemptions, the revision of tax slabs for individual tax payers and reduction in corporate tax rate would help both individuals and businesses to save significant amounts in tax. The resultant increase in disposable incomes would boost consumption, savings and investments, thereby aiding economic growth. The proposed trebling of the ceiling for savings/investments qualifying for tax deductions would also help lower the tax burden and encourage economically productive investments. Change in the tax treatment of such investments from the current EEE (exempt, exempt, exempt) method to EET (exempt, exempt, taxed) could be unpopular but is a step in the right direction, in my view.
On the flip-side, taxing long-term capital gains, which currently do not attract any income tax, and short-term capital gains, which currently attract 15% income tax, at the marginal tax rate would result in an increase in the tax outgo on capital gains. To avoid taxes on long-term capital gains, we could see a large number of investors booking profits on their stocks just before the new tax code is implemented in April 2011.
Taking a long-term view, however, treating capital gains no different from normal income would help to simplify taxation. Besides, the securities transaction tax (STT) would be withdrawn and the code proposes indexation benefits for investment assets held for one year or more.
As far as Corporate India is concerned, most companies would be favourably impacted by the reduction in tax rate and withdrawal of surcharge and cess. For MAT-paying companies, the shift from 17% of book profits to 2% (0.5% for banks) of gross asset value would result in varied impact. MAT-paying FMCG companies would benefit, as they enjoy high profit margins and high asset turnover. Asset-owning infrastructure companies, on the other hand, would have to pay MAT even in the initial years, when reported profits may not be meaningful. MAT-paying pharma companies may also witness increased tax outgo.
Over the next 6-7 years, India is on its way to the 'Next Trillion Dollar GDP'. What we created as a economy in the last 50 years will be recreated Motilal Oswal
in the next few years. This will provide significant nonlinear growth opportunities across sectors. The new direct tax code would further facilitate an increase in per capita GDP and provide a boost to multiple consumption themes-financial services, wireless telecom, cars, homes, branded jewellery, consumer electronics, processed foods, personal care products, to name a few. The penetration of a host of discretionary consumption goods is abysmally low as compared to the developed and other developing nations. Higher disposable incomes would help increase the penetration of such goods.
Large financial conglomerates are likely to be the biggest beneficiaries of the proposed increase in tax exemption savings limit from Rs 100,000 to Rs 300,000 per year. Among financial intermediaries, brokerages are likely to benefit the most due to: (1) abolition of STT, (2) likely increase in trading volumes immediately before the implementation of the tax code to avoid tax on capital gains, and (3) expected increase in flow of funds for domestic financial intermediaries like insurers and mutual funds. Withdrawal of tax benefits on housing loan interest could be moderately negative for banks and housing finance companies. However, higher disposable incomes and the resultant increase in demand for homes would be positive for these as well as real estate companies.
Assuming the draft is implemented in the current form, there would be a drastic reduction in the amount of taxes each individual or business pays. The intent is, however, not merely to reduce the tax burden on tax payers. The Finance Minister also seeks to cut various exemptions and concessions. A wider tax base, higher tax compliance and economic growth should ensure that the effective direct tax revenue goes up. An efficient, uncomplicated, and equitable taxation regime is the cornerstone for good governance, and the stock markets usually view lower and stable tax rates positively.
While the code does away with several exemptions, the revision of tax slabs for individual tax payers and reduction in corporate tax rate would help both individuals and businesses to save significant amounts in tax. The resultant increase in disposable incomes would boost consumption, savings and investments, thereby aiding economic growth. The proposed trebling of the ceiling for savings/investments qualifying for tax deductions would also help lower the tax burden and encourage economically productive investments. Change in the tax treatment of such investments from the current EEE (exempt, exempt, exempt) method to EET (exempt, exempt, taxed) could be unpopular but is a step in the right direction, in my view.
On the flip-side, taxing long-term capital gains, which currently do not attract any income tax, and short-term capital gains, which currently attract 15% income tax, at the marginal tax rate would result in an increase in the tax outgo on capital gains. To avoid taxes on long-term capital gains, we could see a large number of investors booking profits on their stocks just before the new tax code is implemented in April 2011.
Taking a long-term view, however, treating capital gains no different from normal income would help to simplify taxation. Besides, the securities transaction tax (STT) would be withdrawn and the code proposes indexation benefits for investment assets held for one year or more.
As far as Corporate India is concerned, most companies would be favourably impacted by the reduction in tax rate and withdrawal of surcharge and cess. For MAT-paying companies, the shift from 17% of book profits to 2% (0.5% for banks) of gross asset value would result in varied impact. MAT-paying FMCG companies would benefit, as they enjoy high profit margins and high asset turnover. Asset-owning infrastructure companies, on the other hand, would have to pay MAT even in the initial years, when reported profits may not be meaningful. MAT-paying pharma companies may also witness increased tax outgo.
Over the next 6-7 years, India is on its way to the 'Next Trillion Dollar GDP'. What we created as a economy in the last 50 years will be recreated Motilal Oswal
in the next few years. This will provide significant nonlinear growth opportunities across sectors. The new direct tax code would further facilitate an increase in per capita GDP and provide a boost to multiple consumption themes-financial services, wireless telecom, cars, homes, branded jewellery, consumer electronics, processed foods, personal care products, to name a few. The penetration of a host of discretionary consumption goods is abysmally low as compared to the developed and other developing nations. Higher disposable incomes would help increase the penetration of such goods.
Large financial conglomerates are likely to be the biggest beneficiaries of the proposed increase in tax exemption savings limit from Rs 100,000 to Rs 300,000 per year. Among financial intermediaries, brokerages are likely to benefit the most due to: (1) abolition of STT, (2) likely increase in trading volumes immediately before the implementation of the tax code to avoid tax on capital gains, and (3) expected increase in flow of funds for domestic financial intermediaries like insurers and mutual funds. Withdrawal of tax benefits on housing loan interest could be moderately negative for banks and housing finance companies. However, higher disposable incomes and the resultant increase in demand for homes would be positive for these as well as real estate companies.
CII Welcomes the New Direct Tax Code
[New Delhi, 12 August,2009] In a statement issued here today, CII has said that the Government needs to be complimented for the endeavour to simplify the law relating to levy of tax on Income and Wealth. The Direct tax Code Bill and the Discussion paper released today is well within the deadline promised by the Finance Minister in his Budget speech on 6th July, 2009. The CII statement said that a glance across the Bill clearly indicates that an attempt has been made to make tax law simpler, stable, robust and also streamline the various provisions in such a manner that there is less scope for litigation and easy compliance.
CII has observed that many of the tax deductions have been done away with. Charitable institutions shall be taxed on the surplus at 15%; Capital gains computation shall be without distinction between short term and long term but in accordance with a defined formula; many businesses have been brought under presumptive tax net; Wealth tax shall be at 0.25% on the Net Wealth at the end of each financial year in excess of Rs.50 crores in the case of Individuals and HUF are all indicative of the unique approach the Bill has followed to simplify the computation and moderate the tax structure. However, there are deeming provisions even in this Bill and CII would need to carefully evaluate the implications thereof, the statement said. For instance, if Rent from House property is less than 6% of the cost of construction of the House property, then the amount so calculated at 6% shall be deemed to be the property income.
The CII statement said that on the whole the language seems to be quite simple and there are not many provisos or explanations that would normally complicate the understanding of the law. Taxpayers can certainly find more reasons than one to welcome this Bill.
[New Delhi, 12 August,2009] In a statement issued here today, CII has said that the Government needs to be complimented for the endeavour to simplify the law relating to levy of tax on Income and Wealth. The Direct tax Code Bill and the Discussion paper released today is well within the deadline promised by the Finance Minister in his Budget speech on 6th July, 2009. The CII statement said that a glance across the Bill clearly indicates that an attempt has been made to make tax law simpler, stable, robust and also streamline the various provisions in such a manner that there is less scope for litigation and easy compliance.
CII has observed that many of the tax deductions have been done away with. Charitable institutions shall be taxed on the surplus at 15%; Capital gains computation shall be without distinction between short term and long term but in accordance with a defined formula; many businesses have been brought under presumptive tax net; Wealth tax shall be at 0.25% on the Net Wealth at the end of each financial year in excess of Rs.50 crores in the case of Individuals and HUF are all indicative of the unique approach the Bill has followed to simplify the computation and moderate the tax structure. However, there are deeming provisions even in this Bill and CII would need to carefully evaluate the implications thereof, the statement said. For instance, if Rent from House property is less than 6% of the cost of construction of the House property, then the amount so calculated at 6% shall be deemed to be the property income.
The CII statement said that on the whole the language seems to be quite simple and there are not many provisos or explanations that would normally complicate the understanding of the law. Taxpayers can certainly find more reasons than one to welcome this Bill.
New direct Tax code to simplify procedure and foster compliance
[chennai, 26 August,2009]
Confederation of Indian Industry (CII) in partnership with Ernst & Young organised an "Interactive Session on the New Direct Tax Code" at Chennai today.
The objective of the Session was to create awareness on the various aspects of the new Code, its implications on the economy, Industry and individual and get experts� opinion on issues affecting the corporate sector.
Emphasizing on the importance of the new direct tax code in his keynote address, Mr. V Ranganathan, Tax Partner, Ernst & Young, India said, "The underlying philosophy of the new direct tax code (DTC) recognises the complexity of language and interpretation that has crept into the present direct tax laws over the last nearly 50 years through, innumerable amendments and piecemeal introduction of new provisions. The DTC aims to simplify the language, remove uncertainty in interpretation and mitigate undue litigation. Whilst, most of the provisions in the DTC measure up to these objectives there are some provisions like levy of Minimum Alternate Tax, increase in capital gain tax rates, General Anti-Avoidance Rules, residency of a company and so on, which could have unfavourable impact over businesses and tax cash flow generation. CII along with EY as knowledge partners are organising these seminars across the country to discuss such significant provisions with eminent experts and as an outcome of these deliberations provide concrete and constructive suggestions to the Government."
He further added, "We believe this is the opportune time for India Inc to understand the implications of the DTC and act with alacrity to constructively engage with the Government before some of the ideas translate into law."
Mr. R Anand, Tax Partner; Mr. N Madhan, Tax Partner; Mr. AJ Majumdar, Advisor - Tax Policy Advisory Group; and Ms. Vidya Nagarajan, Associate Director - Tax from Ernst & Young spoke about various clauses of the new Direct Tax Code.
The three technical sessions on Business and Corporate Taxation, Withholding Tax and Non-Resident Taxation, Financial Services and Personal Tax highlighted the implications of taxes such as Gross Asset Tax (GAT), General Anti-Avoidance Rule (GAAR), business transition provisions, salary taxation, taxation on charitable organizations, tax exemption on mutual funds and venture capital funds in addition to others.
Earlier in his opening remarks, Mr S Chandramohan, Co-Chairman, Policy Sub-Committee, CII Southern Region said that the new Direct Tax Code would make the tax law simpler, stable and robust, with elimination of distortion, reducing scope for litigation and fostering voluntary compliance. The new code is expected to come into effect from 1 April 2011 and would replace the existing law relating to Income Tax, Dividend Distribution Tax and Wealth Tax, said Mr Chandramohan.
[chennai, 26 August,2009]
Confederation of Indian Industry (CII) in partnership with Ernst & Young organised an "Interactive Session on the New Direct Tax Code" at Chennai today.
The objective of the Session was to create awareness on the various aspects of the new Code, its implications on the economy, Industry and individual and get experts� opinion on issues affecting the corporate sector.
Emphasizing on the importance of the new direct tax code in his keynote address, Mr. V Ranganathan, Tax Partner, Ernst & Young, India said, "The underlying philosophy of the new direct tax code (DTC) recognises the complexity of language and interpretation that has crept into the present direct tax laws over the last nearly 50 years through, innumerable amendments and piecemeal introduction of new provisions. The DTC aims to simplify the language, remove uncertainty in interpretation and mitigate undue litigation. Whilst, most of the provisions in the DTC measure up to these objectives there are some provisions like levy of Minimum Alternate Tax, increase in capital gain tax rates, General Anti-Avoidance Rules, residency of a company and so on, which could have unfavourable impact over businesses and tax cash flow generation. CII along with EY as knowledge partners are organising these seminars across the country to discuss such significant provisions with eminent experts and as an outcome of these deliberations provide concrete and constructive suggestions to the Government."
He further added, "We believe this is the opportune time for India Inc to understand the implications of the DTC and act with alacrity to constructively engage with the Government before some of the ideas translate into law."
Mr. R Anand, Tax Partner; Mr. N Madhan, Tax Partner; Mr. AJ Majumdar, Advisor - Tax Policy Advisory Group; and Ms. Vidya Nagarajan, Associate Director - Tax from Ernst & Young spoke about various clauses of the new Direct Tax Code.
The three technical sessions on Business and Corporate Taxation, Withholding Tax and Non-Resident Taxation, Financial Services and Personal Tax highlighted the implications of taxes such as Gross Asset Tax (GAT), General Anti-Avoidance Rule (GAAR), business transition provisions, salary taxation, taxation on charitable organizations, tax exemption on mutual funds and venture capital funds in addition to others.
Earlier in his opening remarks, Mr S Chandramohan, Co-Chairman, Policy Sub-Committee, CII Southern Region said that the new Direct Tax Code would make the tax law simpler, stable and robust, with elimination of distortion, reducing scope for litigation and fostering voluntary compliance. The new code is expected to come into effect from 1 April 2011 and would replace the existing law relating to Income Tax, Dividend Distribution Tax and Wealth Tax, said Mr Chandramohan.
Wednesday, September 2, 2009
Tiny but Beautiful, North East India can pull economy in Tourism
This region is moving into the national spotlight, with some states performing better than the national average both in terms of economic growth as well as socio-economic progress
States in the North-East (Assam, Arunachal Pradesh, Meghalaya, Mizoram, Manipur, Nagaland and Tripura, and we also include Sikkim) have not been typically at the top of the mind of marketing professionals. But this is about to change. The region has been grappling with problems of geography and ethnicity for many years, but with liberalization and technology, high economic growth has been unleashed in the region as well. Steadily, this region is moving into the national spotlight, with some states performing better than the national average both in terms of economic growth as well as socio-economic progress.
While markets in the North-East are much smaller than other regions in India, this region has been attracting interest recently as communication and transportation links improve. Its economic structure is also changing. The region has traditionally been more primary sector dependent than the rest of the country—but this will change rapidly in the coming years. The Union government has been trying to build a stronger manufacturing base in the area, but its distance from demand centres in the rest of country and the lack of close access to a port have been impediments.
Investment has been coming in on various fronts in recent years. Nagaland is all set to have the North-East’s first special economic zone (though it is unlikely to be a major success), an agro-processing complex that will build on the state’s remarkable agricultural and horticultural achievements in recent years. Last April, the biggest steel plant in the North-East started operations in Tripura, while JSW Steel Ltd is expanding retail outlets all over the region as well. Meanwhile, Meghalaya has become a cement production hub as its limestone deposits have attracted cement manufacturers, thanks to the latest boom in construction. The Asian Development Bank (ADB) recently put up a $200 million (Rs978 crore) loan for improving basic infrastructure in the capitals of these states—the first time that ADB has shown interest in this region.
The North-East is a large region, but constitutes a small share of total consumption expenditure. Its largest and most important cities tend to be capitals that have been built and sustained through government expenditure, much of it flowing from the Centre. Given the low population density and topography, consumer markets are scattered and small in size. Only two cities make it to India’s top cities in market size—Guwahati at rank 53 and Agartala at rank 97.
Of the other major cities, Shillong and Imphal have expenditures of less than Rs2,000 crore, and Aizawl, Itanagar, Kohima and Gangtok all have market size of less than Rs1,000 crore. These are not large markets yet, but they will grow steadily. There are many reasons for that. First, the region’s strategic location makes it imperative for the Indian government to develop it as a major hub. It is at the centre of a triangle formed by large markets in the rest of India, southern China and South-East Asia. It is only a matter of time before Bangladesh and Myanmar will allow transportation networks to West Bengal, South-East Asia and the Bay of Bengal.
Moreover, the aspirations of the youth in the region, like in the rest of the country, are oriented towards joining the international mainstream. Already, the region’s educational attainments surpass those of many economically advanced states of India. Many more higher education and professional institutions are being set up, and quality centres of higher learning are now not just limited to Shillong
This region is moving into the national spotlight, with some states performing better than the national average both in terms of economic growth as well as socio-economic progress
States in the North-East (Assam, Arunachal Pradesh, Meghalaya, Mizoram, Manipur, Nagaland and Tripura, and we also include Sikkim) have not been typically at the top of the mind of marketing professionals. But this is about to change. The region has been grappling with problems of geography and ethnicity for many years, but with liberalization and technology, high economic growth has been unleashed in the region as well. Steadily, this region is moving into the national spotlight, with some states performing better than the national average both in terms of economic growth as well as socio-economic progress.
While markets in the North-East are much smaller than other regions in India, this region has been attracting interest recently as communication and transportation links improve. Its economic structure is also changing. The region has traditionally been more primary sector dependent than the rest of the country—but this will change rapidly in the coming years. The Union government has been trying to build a stronger manufacturing base in the area, but its distance from demand centres in the rest of country and the lack of close access to a port have been impediments.
Investment has been coming in on various fronts in recent years. Nagaland is all set to have the North-East’s first special economic zone (though it is unlikely to be a major success), an agro-processing complex that will build on the state’s remarkable agricultural and horticultural achievements in recent years. Last April, the biggest steel plant in the North-East started operations in Tripura, while JSW Steel Ltd is expanding retail outlets all over the region as well. Meanwhile, Meghalaya has become a cement production hub as its limestone deposits have attracted cement manufacturers, thanks to the latest boom in construction. The Asian Development Bank (ADB) recently put up a $200 million (Rs978 crore) loan for improving basic infrastructure in the capitals of these states—the first time that ADB has shown interest in this region.
The North-East is a large region, but constitutes a small share of total consumption expenditure. Its largest and most important cities tend to be capitals that have been built and sustained through government expenditure, much of it flowing from the Centre. Given the low population density and topography, consumer markets are scattered and small in size. Only two cities make it to India’s top cities in market size—Guwahati at rank 53 and Agartala at rank 97.
Of the other major cities, Shillong and Imphal have expenditures of less than Rs2,000 crore, and Aizawl, Itanagar, Kohima and Gangtok all have market size of less than Rs1,000 crore. These are not large markets yet, but they will grow steadily. There are many reasons for that. First, the region’s strategic location makes it imperative for the Indian government to develop it as a major hub. It is at the centre of a triangle formed by large markets in the rest of India, southern China and South-East Asia. It is only a matter of time before Bangladesh and Myanmar will allow transportation networks to West Bengal, South-East Asia and the Bay of Bengal.
Moreover, the aspirations of the youth in the region, like in the rest of the country, are oriented towards joining the international mainstream. Already, the region’s educational attainments surpass those of many economically advanced states of India. Many more higher education and professional institutions are being set up, and quality centres of higher learning are now not just limited to Shillong
Jhankri waterfalls- A New Tourist Destination
The most visited tourist destinations in the recent past were Tsomo or Tchangu lake, Nathula, Yumthang in the North District whileKhechupalry lake, Pemayanchi monastery attracted the tourists in the West District. Now, Namchi and Ravangla in the South Sikkim and Daramdin, Sarvadharma Mandir are the most visited places and the centers of attraction. There is a 135 tall statue of Guru Padmasambhava, the religious guru who preached Buddhism in Tibet from India via Sikkim at Samdrupse, Namchi and the Government is developing the new holy place called Chardham at Solokphu, near Namchi by installing the large statue of Lord shiva. Equally interesting place is being developed at Ravangla where the tallest statue of Lord Buddha is being installed.
While all these developmental works in the field of tourism are being carried out by the State Government in full swing, the new tourist spots too are being inaugurated on the other hand. On January 5, 2008, a new tourist spot was inaugurated by Chief Minister Pawan Chamling at Lower Sichey, 4 kilo meters away from Gangtok. The name of new tourist spot is Jhankri water falls Enegy Park which is spread over an area of 2 acres. The park is designed, constructed and maintained by the Rural Management and Development Department, Government of Sikkim and it was completed at an estimated cost of Rs 2.8 crores
The most visited tourist destinations in the recent past were Tsomo or Tchangu lake, Nathula, Yumthang in the North District whileKhechupalry lake, Pemayanchi monastery attracted the tourists in the West District. Now, Namchi and Ravangla in the South Sikkim and Daramdin, Sarvadharma Mandir are the most visited places and the centers of attraction. There is a 135 tall statue of Guru Padmasambhava, the religious guru who preached Buddhism in Tibet from India via Sikkim at Samdrupse, Namchi and the Government is developing the new holy place called Chardham at Solokphu, near Namchi by installing the large statue of Lord shiva. Equally interesting place is being developed at Ravangla where the tallest statue of Lord Buddha is being installed.
While all these developmental works in the field of tourism are being carried out by the State Government in full swing, the new tourist spots too are being inaugurated on the other hand. On January 5, 2008, a new tourist spot was inaugurated by Chief Minister Pawan Chamling at Lower Sichey, 4 kilo meters away from Gangtok. The name of new tourist spot is Jhankri water falls Enegy Park which is spread over an area of 2 acres. The park is designed, constructed and maintained by the Rural Management and Development Department, Government of Sikkim and it was completed at an estimated cost of Rs 2.8 crores
58 AWARDS AND CITATIONS TO DR CHAMLING
Over 58 awards, citations to Chamling in past two decades,1987 to 2009 – a journey from Chintan to Leadership award
From Sikkim Express
GANGTOK, August 31: From his first award for poetry to most recent award for leadership, Chief Minister Pawan Chamling has been bestowed with over 58 awards, honours and citations for his personal and government’s achievements since 1987 till 2007 in a political career spanning around three decades.
These include Bharat Siromani, ‘Greenest Chief Minister’ and a slew of national tourism awards.
The first recorded award to the Chief Minister was for his literary exploits when Sikkim Sahitya Parishad presented ‘Chintan Purashkar’ in 1987 to Pawan Chamling ‘Kiran’ for his poem ‘Maile Samjeka Samjhana Kati Kati Chan’.
A compendium of honours, awards and prizes conferred on the Chief Minister prepared by his Press Advisor and former MP Bhim Dahal records that Mr. Chamling had been presented with Rs. 1001 along with the ‘Chintan Purashkar’ by Sikkim Sahitya Parishad.
One year after forming the government, the Chief Minister was conferred with Balraj Sahani National Award by Shimla based All India Artistes Association in 1995. A UNI copy released that time states that ‘the award was being given to Chamling, who is also a dramatist, poet, actor and singer, for his distinctive contribution to the cause of weak to strengthen the moral fabric of society’.
In 1996, the Chief Minister was bestowed with Bharat Shiromani award which was presented by the then vice president of India, KR Narayanan at New Delhi. The same year, New Delhi based United Children’s Movement conferred the Secular India Harmony Award to the Chief Minister.
Three years later, Mr. Chamling was adjudged the ‘Greenest Chief Minister of India’ by reputed environment specific Down to Earth magazine in 1999. He had been voted above all heads of other States to the pole position for his commitment to environment and sustainable development.
New environment challenges have come up but the ‘Greenest’ cover has now spread oversees with California Governor Arnold Schwarzenegger inviting Mr. Chamling for Global Summit on Climate Change at Los Angeles. For the record, this is for the second straight time that the Chief Minister is being invited to the international meet.
In between, the Chief Minister became ‘Dr. Pawan Chamling’ following the conferring of Doctor of Philosophy (honoris causa) by Sikkim Manipal University in 2003. The doctorate was conferred by the university in recognition of ‘his vision, leadership and contribution in the field of social upliftment of weaker sections, backward classes and all round development of Sikkim’.
National organizations like Poets Foundation, Friendship Forum of India and Institute of Economic Studies and Committee for National Integration along with international organizations like Global Economic Council, American Biographical Institute, International Melody Foundation and International Biographical Centre have also honoured Mr. Chamling over the years with various awards and citations.
The Chief Minister had been conferred with ‘Leadership and Good Governance’ award by Universal Peace Federation on July 6 this year
From Sikkim Express
GANGTOK, August 31: From his first award for poetry to most recent award for leadership, Chief Minister Pawan Chamling has been bestowed with over 58 awards, honours and citations for his personal and government’s achievements since 1987 till 2007 in a political career spanning around three decades.
These include Bharat Siromani, ‘Greenest Chief Minister’ and a slew of national tourism awards.
The first recorded award to the Chief Minister was for his literary exploits when Sikkim Sahitya Parishad presented ‘Chintan Purashkar’ in 1987 to Pawan Chamling ‘Kiran’ for his poem ‘Maile Samjeka Samjhana Kati Kati Chan’.
A compendium of honours, awards and prizes conferred on the Chief Minister prepared by his Press Advisor and former MP Bhim Dahal records that Mr. Chamling had been presented with Rs. 1001 along with the ‘Chintan Purashkar’ by Sikkim Sahitya Parishad.
One year after forming the government, the Chief Minister was conferred with Balraj Sahani National Award by Shimla based All India Artistes Association in 1995. A UNI copy released that time states that ‘the award was being given to Chamling, who is also a dramatist, poet, actor and singer, for his distinctive contribution to the cause of weak to strengthen the moral fabric of society’.
In 1996, the Chief Minister was bestowed with Bharat Shiromani award which was presented by the then vice president of India, KR Narayanan at New Delhi. The same year, New Delhi based United Children’s Movement conferred the Secular India Harmony Award to the Chief Minister.
Three years later, Mr. Chamling was adjudged the ‘Greenest Chief Minister of India’ by reputed environment specific Down to Earth magazine in 1999. He had been voted above all heads of other States to the pole position for his commitment to environment and sustainable development.
New environment challenges have come up but the ‘Greenest’ cover has now spread oversees with California Governor Arnold Schwarzenegger inviting Mr. Chamling for Global Summit on Climate Change at Los Angeles. For the record, this is for the second straight time that the Chief Minister is being invited to the international meet.
In between, the Chief Minister became ‘Dr. Pawan Chamling’ following the conferring of Doctor of Philosophy (honoris causa) by Sikkim Manipal University in 2003. The doctorate was conferred by the university in recognition of ‘his vision, leadership and contribution in the field of social upliftment of weaker sections, backward classes and all round development of Sikkim’.
National organizations like Poets Foundation, Friendship Forum of India and Institute of Economic Studies and Committee for National Integration along with international organizations like Global Economic Council, American Biographical Institute, International Melody Foundation and International Biographical Centre have also honoured Mr. Chamling over the years with various awards and citations.
The Chief Minister had been conferred with ‘Leadership and Good Governance’ award by Universal Peace Federation on July 6 this year
Tuesday, September 1, 2009
MELTING HIMALAYAS- DROUGHT FORCAST FOR INDIA
NEPAL: Melting Himalayas concern for millions
BY PINAKI ROY FROM KATHMANDU, NEPAL
The glaciers of the Himalayas are melting faster than anywhere else changing its ecosystem and causing grave concerns for the region, said the speakers at the South Asian Climate Change Conference in Kathmandu, Nepal.
The Himalayas, widely known as the water tower of the world, is the sweet water source of nine major rivers in the region, including the Ganges, Indus, Yellow, Brahmaputra and Mekong. These rivers might die in a few decades as the glaciers are melting fast, said the experts at the conference.
They also said the increasing temperature in the Himalayas is projected to play havoc with agricultural sector in the region and frequent catastrophes like surges, floods and droughts might occur.
The experts urged the governments of all the nations to work together to battle the impacts of the climate change.
Prime Minister of Nepal Madhav Kumar inaugurated the two-day conference,which began yesterday at a hotel in Kathmandu. The conference symbolises a common understanding of the magnitude of risks triggered by climate change.
“The Himalayan glaciers are retreating faster than any other glaciers in the world as the temperature is increasing,” Madhav said, adding that the glacier-melt in the Himalayas is creating lakes, which are projected to cause great disasters and increase of flood and rock avalanches.
Nepal itself, Madhav continued, has over 3,250 glaciers that created hundreds of lakes covering a total area of 5,310 square kilometres. He also mentioned that since 1964, there had been 13 cases of Glacier Lake.
During his presentation, Andreas Schild, director general of International Centre for Integrated Mountain Development (ICIMOD), Nepal said, “We have to have trans-boundary cooperation to tackle the problem. If we do not know how the climate change is having its impact beyond the edge, it might cause additional concerns in maintaining the ecosystem.”
Delegations from Bangladesh, India, Sri Lanka, Afghanistan, and the Maldives and also experts from Kyrgyzstan and Venezuela are attending the conference.
Apart from some government selected and independent experts from Bangladesh, an all-party parliamentary group led by lawmaker Saber Hossain Chowdhury is attending the conference.
Saber Hossain will chair a session today on ‘Climate Change Impacts on the Himalayas’.
During the conference, Purushottom Mhegheri, joint secretary of the Ministry of Environment, Nepal and chief of the climate change cell, said they are trying to make a united voice of South Asian countries for tabling at the international negotiations.
China had been invited in the conference as an observer but they did not participate while Bhutan did not send any delegations in the conference, he said
BY PINAKI ROY FROM KATHMANDU, NEPAL
The glaciers of the Himalayas are melting faster than anywhere else changing its ecosystem and causing grave concerns for the region, said the speakers at the South Asian Climate Change Conference in Kathmandu, Nepal.
The Himalayas, widely known as the water tower of the world, is the sweet water source of nine major rivers in the region, including the Ganges, Indus, Yellow, Brahmaputra and Mekong. These rivers might die in a few decades as the glaciers are melting fast, said the experts at the conference.
They also said the increasing temperature in the Himalayas is projected to play havoc with agricultural sector in the region and frequent catastrophes like surges, floods and droughts might occur.
The experts urged the governments of all the nations to work together to battle the impacts of the climate change.
Prime Minister of Nepal Madhav Kumar inaugurated the two-day conference,which began yesterday at a hotel in Kathmandu. The conference symbolises a common understanding of the magnitude of risks triggered by climate change.
“The Himalayan glaciers are retreating faster than any other glaciers in the world as the temperature is increasing,” Madhav said, adding that the glacier-melt in the Himalayas is creating lakes, which are projected to cause great disasters and increase of flood and rock avalanches.
Nepal itself, Madhav continued, has over 3,250 glaciers that created hundreds of lakes covering a total area of 5,310 square kilometres. He also mentioned that since 1964, there had been 13 cases of Glacier Lake.
During his presentation, Andreas Schild, director general of International Centre for Integrated Mountain Development (ICIMOD), Nepal said, “We have to have trans-boundary cooperation to tackle the problem. If we do not know how the climate change is having its impact beyond the edge, it might cause additional concerns in maintaining the ecosystem.”
Delegations from Bangladesh, India, Sri Lanka, Afghanistan, and the Maldives and also experts from Kyrgyzstan and Venezuela are attending the conference.
Apart from some government selected and independent experts from Bangladesh, an all-party parliamentary group led by lawmaker Saber Hossain Chowdhury is attending the conference.
Saber Hossain will chair a session today on ‘Climate Change Impacts on the Himalayas’.
During the conference, Purushottom Mhegheri, joint secretary of the Ministry of Environment, Nepal and chief of the climate change cell, said they are trying to make a united voice of South Asian countries for tabling at the international negotiations.
China had been invited in the conference as an observer but they did not participate while Bhutan did not send any delegations in the conference, he said
DIAL CHINA VIA NATHU-LA
Dial China via Nathu-la
OUR CORRESPONDENT-Telegraph
Gangtok, Aug. 31: Reliance Communications and China Telecom have established the first direct terrestrial telecommunication link between Chinese and domestic markets through Nathu-la in Sikkim.
The link was provided on Friday when the two telecom companies completed the laying of over 200km-long cable that passes through the inhospitable terrain of the 14,200ft high mountain pass. Bilateral trade between India and China is conducted through Nathu-la.
The cable, linking Yadong in China with Siliguri in India, will provide direct connectivity between all major Indian and Chinese locations as well as expanding high-bandwidth coverage to more rural and urban areas in both the countries, sources in Reliance Communications said.
Prior to this link, the only connectivity option between the two countries was undersea cable routes through Hong Kong or Singapore. However, the undersea networks were vulnerable to disruption from typhoons and earthquakes, the sources said.
Both international traders and consumers in the region will benefit from the link, which is expected to improve Internet connectivity and voice clarity.
Punit Garg, the president of Reliance Communications, said: “India and China represent the largest growing economies in the world and the current global economic environment requires ever increasing high-bandwidth, converged applications to be run between two domestic markets.”
Describing the cable link as a “landmark”, Han YiHu, the managing director of China Telecom, said: “This represents many years of planning and hard work. We are very pleased with the increased dedicated bandwidth availability, connection speed and security this cable will provide to Chinese based enterprises and consumers.”
Countries like Nepal, Bhutan, Sri Lanka and even Pakistan and Bangladesh will also benefit in the long term.
The Sikkim Chamber of Commerce has congratulated the telecom companies for the feat. “This is another milestone in improving the relationship between the two Asian giants,” said S.K. Sarda, its president.
OUR CORRESPONDENT-Telegraph
Gangtok, Aug. 31: Reliance Communications and China Telecom have established the first direct terrestrial telecommunication link between Chinese and domestic markets through Nathu-la in Sikkim.
The link was provided on Friday when the two telecom companies completed the laying of over 200km-long cable that passes through the inhospitable terrain of the 14,200ft high mountain pass. Bilateral trade between India and China is conducted through Nathu-la.
The cable, linking Yadong in China with Siliguri in India, will provide direct connectivity between all major Indian and Chinese locations as well as expanding high-bandwidth coverage to more rural and urban areas in both the countries, sources in Reliance Communications said.
Prior to this link, the only connectivity option between the two countries was undersea cable routes through Hong Kong or Singapore. However, the undersea networks were vulnerable to disruption from typhoons and earthquakes, the sources said.
Both international traders and consumers in the region will benefit from the link, which is expected to improve Internet connectivity and voice clarity.
Punit Garg, the president of Reliance Communications, said: “India and China represent the largest growing economies in the world and the current global economic environment requires ever increasing high-bandwidth, converged applications to be run between two domestic markets.”
Describing the cable link as a “landmark”, Han YiHu, the managing director of China Telecom, said: “This represents many years of planning and hard work. We are very pleased with the increased dedicated bandwidth availability, connection speed and security this cable will provide to Chinese based enterprises and consumers.”
Countries like Nepal, Bhutan, Sri Lanka and even Pakistan and Bangladesh will also benefit in the long term.
The Sikkim Chamber of Commerce has congratulated the telecom companies for the feat. “This is another milestone in improving the relationship between the two Asian giants,” said S.K. Sarda, its president.
OVERLAND CABLE LINK THRU NATHU LA ESTABLISHED
First overland cable link ushers new era for India and China telecom
by Ek Heng, Asia-Pacific Correspondent
Mon. August 31, 2009
The first terrestrial high-bandwidth link commissioned between India and China marks a high point for two of the world’s largest telecom markets. India’s Reliance Communications collaborated with China Telecom for this overland 300 km cross-border cable link with a design capacity of 4.8 Tbit/s.
The China-India Cable System passes through the north eastern India city of Siliguri and Yadong in Tibet using the Nathula pass. It complements the submarine connections between two fastest growing economies and offers alternative cable route in the event of disruptions to the existing subsea network grid that are susceptible to natural disasters.
by Ek Heng, Asia-Pacific Correspondent
Mon. August 31, 2009
The first terrestrial high-bandwidth link commissioned between India and China marks a high point for two of the world’s largest telecom markets. India’s Reliance Communications collaborated with China Telecom for this overland 300 km cross-border cable link with a design capacity of 4.8 Tbit/s.
The China-India Cable System passes through the north eastern India city of Siliguri and Yadong in Tibet using the Nathula pass. It complements the submarine connections between two fastest growing economies and offers alternative cable route in the event of disruptions to the existing subsea network grid that are susceptible to natural disasters.
Monday, August 31, 2009
LARGE CARDAMOM- POTENTIAL AND PROSPECTS
Processing units for large cardamom can facilitate quantum jump in exports: EXIM Bank
GANGTOK, August 30: The Export-Import (EXIM) Bank in its study on export potential and prospects has identified large cardamom, orchids (cymbidium variety), Temi tea, ginger, mandarin, medicinal plants, honey and handicrafts as products of Sikkim having good potential for exports.
The agro-climatic diversity enables Sikkim to produce a variety of horticulture and floriculture products for which Sikkim has a comparative advantage, from an export perspective, the EXIM bank said in its study released by Chief Minister Pawan Chamling “Sikkim is by far the largest producer of large cardamoms, not just in India but globally. The State produced 3883 metric tonnes of large cardamom, of the overall Indian production of 4303 metric tones in 2006-07, thereby accounting for 89.1 percent of the country’s production”, says the study.
The study pointed out that supply chain of large cardamom in Sikkim in quite fragmented and reaches the retail level only after passing through a number of middlemen. Most of the farmers in Sikkim still use the traditional curing system for drying large cardamom.
The EXIM Bank has recommended that State Government that new plantations should replace the older ones as most cardamom plantations in Sikkim are at least three decades old resulting in declining species.
“The decline in yield has been further accentuated by disease and pest infection, mainly two viral diseases, Chirkey and Foorkey. Management of these pests and diseases is of upmost importance to increase productivity”.
The study also highlighted the need to move up the value chain through a two step process for drying and extraction of essential oils and oleoresins while a processing cum extraction plant for the purpose of deriving such products from large cardamom could greatly enhance the value of exports.
“There appears to be a very good international market for large cardamom oleoresins, which calls for setting up a processing unit in Sikkim-hitherto absent”, said the EXIM Bank pointing out that exports of cardamom oleoresins from India more than trebled during the period 2005 to 2008 – from US$ 17 mn to US$ 54 mn. The major markets for cardamom oleoresins are Russia, Denmark, Germany, France and Egypt.
“An additional benefit of large cardamom oleoresin production is that after removal of oleoresins from the dry cardamom spices, the residue can be used as an ingredient for animal feed. Thus, moving up the value chain through setting up the processing units for extraction of oil and oleoresins would facilitate quantum jump in the value of exports from Sikkim”, concluded the EXIM Bank in its executive summary on export potential of large cardamom.
GANGTOK, August 30: The Export-Import (EXIM) Bank in its study on export potential and prospects has identified large cardamom, orchids (cymbidium variety), Temi tea, ginger, mandarin, medicinal plants, honey and handicrafts as products of Sikkim having good potential for exports.
The agro-climatic diversity enables Sikkim to produce a variety of horticulture and floriculture products for which Sikkim has a comparative advantage, from an export perspective, the EXIM bank said in its study released by Chief Minister Pawan Chamling “Sikkim is by far the largest producer of large cardamoms, not just in India but globally. The State produced 3883 metric tonnes of large cardamom, of the overall Indian production of 4303 metric tones in 2006-07, thereby accounting for 89.1 percent of the country’s production”, says the study.
The study pointed out that supply chain of large cardamom in Sikkim in quite fragmented and reaches the retail level only after passing through a number of middlemen. Most of the farmers in Sikkim still use the traditional curing system for drying large cardamom.
The EXIM Bank has recommended that State Government that new plantations should replace the older ones as most cardamom plantations in Sikkim are at least three decades old resulting in declining species.
“The decline in yield has been further accentuated by disease and pest infection, mainly two viral diseases, Chirkey and Foorkey. Management of these pests and diseases is of upmost importance to increase productivity”.
The study also highlighted the need to move up the value chain through a two step process for drying and extraction of essential oils and oleoresins while a processing cum extraction plant for the purpose of deriving such products from large cardamom could greatly enhance the value of exports.
“There appears to be a very good international market for large cardamom oleoresins, which calls for setting up a processing unit in Sikkim-hitherto absent”, said the EXIM Bank pointing out that exports of cardamom oleoresins from India more than trebled during the period 2005 to 2008 – from US$ 17 mn to US$ 54 mn. The major markets for cardamom oleoresins are Russia, Denmark, Germany, France and Egypt.
“An additional benefit of large cardamom oleoresin production is that after removal of oleoresins from the dry cardamom spices, the residue can be used as an ingredient for animal feed. Thus, moving up the value chain through setting up the processing units for extraction of oil and oleoresins would facilitate quantum jump in the value of exports from Sikkim”, concluded the EXIM Bank in its executive summary on export potential of large cardamom.
TOURISTS PRICE FOR NATHULA NOTIFIED
Four revised slabs notified for Tsomgo-Nathu La packages
GANGTOK, August 30: In a bid to protect tourists from being fleeced by ‘jholey’ tour operators and streamline tourism traffic, the State Tourism department has notified the revised rates of package tours along the lucrative Nathu La-Tsomgo Lake-Baba Mandir circuit.
The revised rate of package tours to Tsomgo, Baba Mandir and Nathu La will stand enforced from Tuesday, September 1 as the tourism season for Sikkim approaches.
Most importantly, the revised rates of transportation and other expenses are chargeable by registered travel agents who are registered with the Tourism department which effectively delivers a KO to seasonal tour operators and taxi drivers fishing for tourists for the Nathu La-Tsomgo Lake-Baba Mandir circuit.
The total rate for a package tour to the above three destinations from Gangtok in a Mahindra Max or Sumo is Rs. 5,795 with provisions for 15 percent service charge for the concerned travel agent who has arranged the tour. These include environmental cess of Rs. 2000, transport fees of Rs. 2500 and remaining amount for contingencies.
Traveling in luxury vehicles of SK06 series, an extra Rs. 800 will be charged.
For tourists wishing to go only Kyangsola/Tsomgo Lake in Mahindra Max or Sumo, the travel agent can charge Rs. 2,300 as taxi fares and other expenses including 15 percent service charge on transport cost. For luxury vehicles, an extra Rs. 800 will be charged.
The rate for Baba Mandir tour has been revised to Rs. 2,737 in Mahindra Max with an additional Rs. 800 to be paid in case of luxury vehicles. For vans or cars, the total cost has been revised to Rs. 2117.
“This package rate should be followed strictly”, warns the Tourism department.
At the same time, it may be added here that the above rates are only for registered travel agents, the rates to above destinations for drivers is as per the Motor Vehicle department rates.
Expectedly, the new revised rates have greeted with kushi by local tour operators registered with the Tourism department as they are now entitled to service charges with respect. The rates will also bring discipline and streamline tourism sector, it is said.
Despite much talk about decongesting tourism traffic from Gangtok, the triumvirate of Nathu La-Tsomgo Lake-Baba Mandir still remains the ‘lifeline’ of Sikkim Tourism. Thousands of domestic tourists swarm to these tourism hotspots during peak season like salmons returning back to breed.
And the existence of grizzly bears feeding on the harvest is known when tourists complain of being fleeced or charged exorbitant rates which usually find much space in local media. Introspection of such cons reveals that the tourists had been taken for a ride by opportunistic drivers or fly by night tour operators.
Tourists used to be charged as much as Rs. 8000 for a ride to Tsomgo earlier. Even the collection by Pokheri Sangrakshan Samiti was felt as a burden for the overcharge tourists and it is not seen for what purpose the fees are being collected, it is claimed.
Now, with the much needed official rates for registered tour operators, such undesired incidents may come to a halt. The rates are expected to be displayed prominently in tourism office, tourist information centres and websites for the knowledge of tourists.
The registered tour operators and travel agents are also protected by the new rates from being dragged into unnecessary distractions, it was pointed out.
GANGTOK, August 30: In a bid to protect tourists from being fleeced by ‘jholey’ tour operators and streamline tourism traffic, the State Tourism department has notified the revised rates of package tours along the lucrative Nathu La-Tsomgo Lake-Baba Mandir circuit.
The revised rate of package tours to Tsomgo, Baba Mandir and Nathu La will stand enforced from Tuesday, September 1 as the tourism season for Sikkim approaches.
Most importantly, the revised rates of transportation and other expenses are chargeable by registered travel agents who are registered with the Tourism department which effectively delivers a KO to seasonal tour operators and taxi drivers fishing for tourists for the Nathu La-Tsomgo Lake-Baba Mandir circuit.
The total rate for a package tour to the above three destinations from Gangtok in a Mahindra Max or Sumo is Rs. 5,795 with provisions for 15 percent service charge for the concerned travel agent who has arranged the tour. These include environmental cess of Rs. 2000, transport fees of Rs. 2500 and remaining amount for contingencies.
Traveling in luxury vehicles of SK06 series, an extra Rs. 800 will be charged.
For tourists wishing to go only Kyangsola/Tsomgo Lake in Mahindra Max or Sumo, the travel agent can charge Rs. 2,300 as taxi fares and other expenses including 15 percent service charge on transport cost. For luxury vehicles, an extra Rs. 800 will be charged.
The rate for Baba Mandir tour has been revised to Rs. 2,737 in Mahindra Max with an additional Rs. 800 to be paid in case of luxury vehicles. For vans or cars, the total cost has been revised to Rs. 2117.
“This package rate should be followed strictly”, warns the Tourism department.
At the same time, it may be added here that the above rates are only for registered travel agents, the rates to above destinations for drivers is as per the Motor Vehicle department rates.
Expectedly, the new revised rates have greeted with kushi by local tour operators registered with the Tourism department as they are now entitled to service charges with respect. The rates will also bring discipline and streamline tourism sector, it is said.
Despite much talk about decongesting tourism traffic from Gangtok, the triumvirate of Nathu La-Tsomgo Lake-Baba Mandir still remains the ‘lifeline’ of Sikkim Tourism. Thousands of domestic tourists swarm to these tourism hotspots during peak season like salmons returning back to breed.
And the existence of grizzly bears feeding on the harvest is known when tourists complain of being fleeced or charged exorbitant rates which usually find much space in local media. Introspection of such cons reveals that the tourists had been taken for a ride by opportunistic drivers or fly by night tour operators.
Tourists used to be charged as much as Rs. 8000 for a ride to Tsomgo earlier. Even the collection by Pokheri Sangrakshan Samiti was felt as a burden for the overcharge tourists and it is not seen for what purpose the fees are being collected, it is claimed.
Now, with the much needed official rates for registered tour operators, such undesired incidents may come to a halt. The rates are expected to be displayed prominently in tourism office, tourist information centres and websites for the knowledge of tourists.
The registered tour operators and travel agents are also protected by the new rates from being dragged into unnecessary distractions, it was pointed out.
NATURE WATCH
NATURE WATCH:
THE Red Panda or Ailurus fulgens is a slightly large domestic cat-like animal, some 40-60 cm long, with an additional 46-centimetre bushy tail and it weighs weigh between three and six kilograms. The state animal of Sikkim, it is also the mascot of the International Tea Festival in Darjeeling. Its skin is used to make hats and the tail is used to make a duster. Furthermore, the skin of the Red Panda may still be worn by a bridegroom in a local Chinese wedding.
There is no sexual dimorphism in colour or size between males and females but it remains among the most beautiful animals around. The lustrous coat is a rich reddish brown on the back and black on the lower parts and legs. The coat provides effective camouflage amongst the trees where the branches are often swathed in reddish-brown moss. The face is rounded and predominantly white, with reddish-brown “tear marks” running from the corner of each eye to the mouth, similar to that of a raccoon, but each individual has distinctive markings. Its roundish head has medium-sized upright ears, a black nose, and very dark eyes. The long bushy tail is marked with 12 alternating red and buff rings that provide balance and excellent camouflage against a habitat of moss and lichen-covered trees. The soles of the feet are covered with thick white fur that provides warmth, serving as thermal insulation on snow-covered or icy surfaces. Red Pandas possess strong, curved and sharp semi-retractile claws for grasping narrow tree branches, leaves and fruit, much like the Giant Pandas with which they share their names.
Much like the Giant Panda, their habitat consists of rainy, high-altitude forest but with a wider range. They are found in a temperate climate, under thick bamboo cover at an elevation of 2,200-4,800 feet above sea level, with an optimal “wellbeing” temperature between 17°-25° Celsius and an average rainfall of 350 cm, hence endemic to the Himalayas in Bhutan, central China, India, Laos, Nepal and northern Myanmar.
According to Sunita Pradhan of the zoology department, Darjeeling Government College, in India the Red Panda is found in the eastern Himalayas that includes Darjeeling, Sikkim and Arunachal Pradesh. Currently, two extant subspecies of the Red Panda exist — the smaller Western Red Panda (Ailurus fulgens fulgens) that lives in Nepal, north-eastern India (Bengal, Sikkim, Arunachal Pradesh), Bhutan and part of China; and the somewhat larger Styan’s Red Panda (Ailurus fulgens styani) that is found only in China (in the Hengduan mountains in Sichuan and the east Nujiang river of Yunnan Province) and northern Myanmar. The Western Red Panda has lighter pelage, especially on the face, while the Styan’s Red Panda has more dramatic facial markings. They are arboreal, very skillful and acrobatic animals and are crepuscular (most active at dawn and dusk), so they sleep during the hot noontime in the shady crowns of treetops, increase their activity only in the late afternoon and/or early evening hours. They use their raccoon-like ringed tails as wraparound blankets in the chilly mountain heights.
Red Pandas are generally solitary, but there are a couple of exceptions to the rule. First, the young grow relatively slowly, so they develop an extended associations with their mothers that last for over a year. Second, Red Pandas have short relationships during the annual breeding season. In terms of their ranging patterns, they behave much like larger carnivores, tending to have overlapping home ranges in which individuals rarely interact with each other. This may seem odd, since Red Pandas mostly eat bamboo. The home ranges of the females often measure about one square mile, while the males can live in areas twice that size. Male home ranges frequently overlap with at least one female home range and sometimes expand during the breeding season.
Because Red Pandas constantly need to conserve energy, they only cover 650 to 1,000 feet of their home ranges per day and about 25 per cent of their home ranges per month. They mark their territories and ranges in several ways. These include urine, secretions from the anal glands and scents from glands on the pads of their feet. Red Pandas often communicate using body language such as head-bobbing and tail-arching and a variety of noises such as a threatening “huff-quack” and a warning whistle.
They are mostly herbivorous mammals, specialised as bamboo-feeders; they cannot digest cellulose as their guts are not specialised to handle plant matter like that of cows, horses and other herbivorous mammals. They normally have very strong teeth and extra fermentation chambers in their guts, so they consume fresh leaves and fresh shoots that are easily digestible and pass through their digestive tract quite quickly. They eat berries, fruit, mushrooms, roots, acorns, lichen, grass and are known to supplement their with the occasional young birds, fish, eggs, small rodents and insects when the weather is warm enough. In captivity they will readily eat meat.
The Red Panda’s dietary specialisation has a profound impact on the animal’s daily life. To cope with the lack of food during the winter months, they have evolved several ways of meeting energy demands. For instance, they can spend as much as 13 hours a day looking for and eating bamboo. They also have a very low metabolic rate (almost as low as the sloth) and can slow their metabolism even further in colder temperatures. Finally, their thick fur covers the entire body, allowing them to conserve body heat. The Red Panda’s preference for bamboo is apparently an ancient adaptation, as indicated by fossils of similar animals that have been found in Eastern Europe and North America. These specimens date back to the Miocene (25 to five million years ago) and Pliocene (five to two million years ago) periods, leading scientists to believe that bamboo and Red Panda-like animals have historically been found in many areas of the planet. It is likely that the range of the bamboo has increased and decreased with changes in global temperature and moisture, and fortunately for the Red Panda, bamboo still thrives in many parts of southern Asia.
Females give birth only once in a year, in the spring and summer, to one to four young. Several days before parturition, the female begins to carry nest materials (sticks, grass, leaves) to a suitable site. In the wild, a nest may be a hollow tree or a rock crevice. In captivity, a box, hollow logs, or other artificial dens can serve as a nest. The young remain in their nests for about 90 days, during which time their mothers care for them. Males take little or no interest in their offspring.
According to Dr Miles Roberts, Red Pandas have a long gestation period (approximately 135 days) for an animal that weighs only 11 pounds at maturity. Despite the amount of food they eat, they grow quite slowly, reaching adult size after 12 months. The young become sexually mature at 18 months. Their average lifespan is eight to 10 years but can reach a maximum of 15 years. As a result of these characteristics, Red Pandas have a slow rate of reproduction and a great deal of difficulty recovering from population declines.
Red Pandas have been pivotal in research on the taxonomy of the families Ursidae and Procyonidae with which they share many characters. There is an estimated population of fewer than 2,500 mature individuals. Red Pandas are declining over much of their range is due to habitat loss and fragmentation. Forests are being cleared for timber extraction, agricultural development and livestock grazing even within national parks and wildlife reserves. This results in the loss of nesting trees and the bamboo on which the species feeds. In the wild, Snow Leopards are the main natural predator of adult Red Pandaa. This animal is classified as Endangered (EN C2a) on the IUCN Red List 2004. In China, the species is thought to have undergone a decline of around 40 per cent over the last 50 years as they are hunted for their pelts which is used to make traditional hats and clothing. In Yunnan Province, a fur hat complete with the Panda’s long, luxurious tail is still desired by newlyweds, as it traditionally symbolises a happy marriage.
According to an article published in the journal Biological Conservation, ML Hunter and PB Yonzon documented that the species was equally threatened in Nepal. The 660-square mile Langtang National Park is believed to be Nepal’s largest bastion for Red Pandas, but 30,000 people live nearby and depend on its resources as they lack viable economic alternatives. These people strip and cut trees for building materials, forage for livestock, and fuel for cooking, tourism, and cheese production. Not only do these activities eliminate food, shelter and nesting for Red Pandas and other wildlife, but hunting and the depredations of feral dogs also take a considerable toll on the population.
Conservation is very important because it is the only species of its kind in the world and also, according to conservation biologists, Red Pandas are an indicator of the overall health of their home in the Eastern Himalayan Broadleaf Forest, which is the central link in the Himalayan Hotspot. Through public awareness, we can enable protection of the Red Panda and create an empowering future for one of the most important regions of our planet, South Asia. The species is fully protected and is listed on Appendix I of Cites. More than 80 zoological gardens currently have Red Pandas and almost all of them participate in a management programme to ensure the survival of a viable zoo population.
In North America, the Red Panda Species Survival Programme provides guidance on research strategies and long-term management of the species in captivity. Other management programmes have been created in Japan, Europe, Australia and China. In China, it occurs in many reserves established to protect the Giant Panda and in several protected areas in Nepal and India. It is not known to occur in any protected areas in Bhutan or Myanmar. In India, in due course of time, the Padmaja Naidu Himalayan Zoological Park, Darjeeling, a world renowned breeding centre for both Red Pandas and Snow Leopards which also specialises in animals that are native to the Himalayas, has, under project Red Panda launched in 1986, successfully carried out an ex-situ conservation programme by breeding this species in captivity and releasing them in the wild. Interestingly, one of the two individuals that were radio-collared and released in the Singhalila National Park, has mated in the wild and given birth.
According to the WWF website, Sikkim is also likely to hold about 20 per cent of the potential Red Panda habitat in India. The entire landscape, including the Khangchendzonga Biosphere Reserve, is facing various threats, but there is no scientifically documented information that actually identifies the threats as well as shows levels of damage each one of these is causing or the potential of the damage that is waiting to happen. In Sikkim, the animal is reported to be found in six protected areas but its status in the wild is thought to be steadily declining. A 1,000-fold increase in tourists between 1980 and 1995 and their subsequent requirement for firewood have accelerated this habitat loss. In addition to this, construction of roads, over-grazing, etc, have also had their toll on Sikkim’s Red Panda habitats. Therefore, conservation needs for this species must be determined and addressed.
The writer is a post-graduate student of Zoology in North Bengal University.
THE Red Panda or Ailurus fulgens is a slightly large domestic cat-like animal, some 40-60 cm long, with an additional 46-centimetre bushy tail and it weighs weigh between three and six kilograms. The state animal of Sikkim, it is also the mascot of the International Tea Festival in Darjeeling. Its skin is used to make hats and the tail is used to make a duster. Furthermore, the skin of the Red Panda may still be worn by a bridegroom in a local Chinese wedding.
There is no sexual dimorphism in colour or size between males and females but it remains among the most beautiful animals around. The lustrous coat is a rich reddish brown on the back and black on the lower parts and legs. The coat provides effective camouflage amongst the trees where the branches are often swathed in reddish-brown moss. The face is rounded and predominantly white, with reddish-brown “tear marks” running from the corner of each eye to the mouth, similar to that of a raccoon, but each individual has distinctive markings. Its roundish head has medium-sized upright ears, a black nose, and very dark eyes. The long bushy tail is marked with 12 alternating red and buff rings that provide balance and excellent camouflage against a habitat of moss and lichen-covered trees. The soles of the feet are covered with thick white fur that provides warmth, serving as thermal insulation on snow-covered or icy surfaces. Red Pandas possess strong, curved and sharp semi-retractile claws for grasping narrow tree branches, leaves and fruit, much like the Giant Pandas with which they share their names.
Much like the Giant Panda, their habitat consists of rainy, high-altitude forest but with a wider range. They are found in a temperate climate, under thick bamboo cover at an elevation of 2,200-4,800 feet above sea level, with an optimal “wellbeing” temperature between 17°-25° Celsius and an average rainfall of 350 cm, hence endemic to the Himalayas in Bhutan, central China, India, Laos, Nepal and northern Myanmar.
According to Sunita Pradhan of the zoology department, Darjeeling Government College, in India the Red Panda is found in the eastern Himalayas that includes Darjeeling, Sikkim and Arunachal Pradesh. Currently, two extant subspecies of the Red Panda exist — the smaller Western Red Panda (Ailurus fulgens fulgens) that lives in Nepal, north-eastern India (Bengal, Sikkim, Arunachal Pradesh), Bhutan and part of China; and the somewhat larger Styan’s Red Panda (Ailurus fulgens styani) that is found only in China (in the Hengduan mountains in Sichuan and the east Nujiang river of Yunnan Province) and northern Myanmar. The Western Red Panda has lighter pelage, especially on the face, while the Styan’s Red Panda has more dramatic facial markings. They are arboreal, very skillful and acrobatic animals and are crepuscular (most active at dawn and dusk), so they sleep during the hot noontime in the shady crowns of treetops, increase their activity only in the late afternoon and/or early evening hours. They use their raccoon-like ringed tails as wraparound blankets in the chilly mountain heights.
Red Pandas are generally solitary, but there are a couple of exceptions to the rule. First, the young grow relatively slowly, so they develop an extended associations with their mothers that last for over a year. Second, Red Pandas have short relationships during the annual breeding season. In terms of their ranging patterns, they behave much like larger carnivores, tending to have overlapping home ranges in which individuals rarely interact with each other. This may seem odd, since Red Pandas mostly eat bamboo. The home ranges of the females often measure about one square mile, while the males can live in areas twice that size. Male home ranges frequently overlap with at least one female home range and sometimes expand during the breeding season.
Because Red Pandas constantly need to conserve energy, they only cover 650 to 1,000 feet of their home ranges per day and about 25 per cent of their home ranges per month. They mark their territories and ranges in several ways. These include urine, secretions from the anal glands and scents from glands on the pads of their feet. Red Pandas often communicate using body language such as head-bobbing and tail-arching and a variety of noises such as a threatening “huff-quack” and a warning whistle.
They are mostly herbivorous mammals, specialised as bamboo-feeders; they cannot digest cellulose as their guts are not specialised to handle plant matter like that of cows, horses and other herbivorous mammals. They normally have very strong teeth and extra fermentation chambers in their guts, so they consume fresh leaves and fresh shoots that are easily digestible and pass through their digestive tract quite quickly. They eat berries, fruit, mushrooms, roots, acorns, lichen, grass and are known to supplement their with the occasional young birds, fish, eggs, small rodents and insects when the weather is warm enough. In captivity they will readily eat meat.
The Red Panda’s dietary specialisation has a profound impact on the animal’s daily life. To cope with the lack of food during the winter months, they have evolved several ways of meeting energy demands. For instance, they can spend as much as 13 hours a day looking for and eating bamboo. They also have a very low metabolic rate (almost as low as the sloth) and can slow their metabolism even further in colder temperatures. Finally, their thick fur covers the entire body, allowing them to conserve body heat. The Red Panda’s preference for bamboo is apparently an ancient adaptation, as indicated by fossils of similar animals that have been found in Eastern Europe and North America. These specimens date back to the Miocene (25 to five million years ago) and Pliocene (five to two million years ago) periods, leading scientists to believe that bamboo and Red Panda-like animals have historically been found in many areas of the planet. It is likely that the range of the bamboo has increased and decreased with changes in global temperature and moisture, and fortunately for the Red Panda, bamboo still thrives in many parts of southern Asia.
Females give birth only once in a year, in the spring and summer, to one to four young. Several days before parturition, the female begins to carry nest materials (sticks, grass, leaves) to a suitable site. In the wild, a nest may be a hollow tree or a rock crevice. In captivity, a box, hollow logs, or other artificial dens can serve as a nest. The young remain in their nests for about 90 days, during which time their mothers care for them. Males take little or no interest in their offspring.
According to Dr Miles Roberts, Red Pandas have a long gestation period (approximately 135 days) for an animal that weighs only 11 pounds at maturity. Despite the amount of food they eat, they grow quite slowly, reaching adult size after 12 months. The young become sexually mature at 18 months. Their average lifespan is eight to 10 years but can reach a maximum of 15 years. As a result of these characteristics, Red Pandas have a slow rate of reproduction and a great deal of difficulty recovering from population declines.
Red Pandas have been pivotal in research on the taxonomy of the families Ursidae and Procyonidae with which they share many characters. There is an estimated population of fewer than 2,500 mature individuals. Red Pandas are declining over much of their range is due to habitat loss and fragmentation. Forests are being cleared for timber extraction, agricultural development and livestock grazing even within national parks and wildlife reserves. This results in the loss of nesting trees and the bamboo on which the species feeds. In the wild, Snow Leopards are the main natural predator of adult Red Pandaa. This animal is classified as Endangered (EN C2a) on the IUCN Red List 2004. In China, the species is thought to have undergone a decline of around 40 per cent over the last 50 years as they are hunted for their pelts which is used to make traditional hats and clothing. In Yunnan Province, a fur hat complete with the Panda’s long, luxurious tail is still desired by newlyweds, as it traditionally symbolises a happy marriage.
According to an article published in the journal Biological Conservation, ML Hunter and PB Yonzon documented that the species was equally threatened in Nepal. The 660-square mile Langtang National Park is believed to be Nepal’s largest bastion for Red Pandas, but 30,000 people live nearby and depend on its resources as they lack viable economic alternatives. These people strip and cut trees for building materials, forage for livestock, and fuel for cooking, tourism, and cheese production. Not only do these activities eliminate food, shelter and nesting for Red Pandas and other wildlife, but hunting and the depredations of feral dogs also take a considerable toll on the population.
Conservation is very important because it is the only species of its kind in the world and also, according to conservation biologists, Red Pandas are an indicator of the overall health of their home in the Eastern Himalayan Broadleaf Forest, which is the central link in the Himalayan Hotspot. Through public awareness, we can enable protection of the Red Panda and create an empowering future for one of the most important regions of our planet, South Asia. The species is fully protected and is listed on Appendix I of Cites. More than 80 zoological gardens currently have Red Pandas and almost all of them participate in a management programme to ensure the survival of a viable zoo population.
In North America, the Red Panda Species Survival Programme provides guidance on research strategies and long-term management of the species in captivity. Other management programmes have been created in Japan, Europe, Australia and China. In China, it occurs in many reserves established to protect the Giant Panda and in several protected areas in Nepal and India. It is not known to occur in any protected areas in Bhutan or Myanmar. In India, in due course of time, the Padmaja Naidu Himalayan Zoological Park, Darjeeling, a world renowned breeding centre for both Red Pandas and Snow Leopards which also specialises in animals that are native to the Himalayas, has, under project Red Panda launched in 1986, successfully carried out an ex-situ conservation programme by breeding this species in captivity and releasing them in the wild. Interestingly, one of the two individuals that were radio-collared and released in the Singhalila National Park, has mated in the wild and given birth.
According to the WWF website, Sikkim is also likely to hold about 20 per cent of the potential Red Panda habitat in India. The entire landscape, including the Khangchendzonga Biosphere Reserve, is facing various threats, but there is no scientifically documented information that actually identifies the threats as well as shows levels of damage each one of these is causing or the potential of the damage that is waiting to happen. In Sikkim, the animal is reported to be found in six protected areas but its status in the wild is thought to be steadily declining. A 1,000-fold increase in tourists between 1980 and 1995 and their subsequent requirement for firewood have accelerated this habitat loss. In addition to this, construction of roads, over-grazing, etc, have also had their toll on Sikkim’s Red Panda habitats. Therefore, conservation needs for this species must be determined and addressed.
The writer is a post-graduate student of Zoology in North Bengal University.
TEA TALK
TEA TALK: Govt to map unorganized tea sector in Assam
GUWAHATI: With the unorganized sector in Assam accounting for almost 29 per cent of the total tea production in Assam and almost 14 per cent of the
total tea production of the country, Assam government decided to do the mapping of the tea produced in the unorganized sector in Assam.
To kick start the mapping process, the state government has initiated baseline survey of the small tea growers in the state through the general manager, District Industries and Commerce Centre of Industries and commerce department besides the district administration.
The state government is looking to adopt the Kenyan practice where small tea growers and bought leaf factories (BLF) are organized. Assam industry minister Pradyut Bordoloi told ET, “At present, the state government does not have adequate data about the unorganized sector which comprises small tea growers. The base line survey will document the landholding by small tea growers and the amount of green leaf produced by growers. With complete data in hand, we will come up with policy and regulatory framework, wherever necessary.”
The survey is slated to be competed in another three months time. A senior official in the directorate of tea, government of Assam said, “With documents ready, we will check the quality of Assam tea. If we have mapping done, we can check right from green leaf to the made tea. Necessary policy and guidelines can be issued. The state government has decided to start quality certification of tea manufactured by BLF from reputed certifying agencies.”
Sources added that the state government will also come up with a financial assistance scheme for the unorganized sector as soon as the survey is completed. Even big gardens are at times dependent on small tea growers for getting green leaf. This sector is emerging in a big way. According to an estimate, there are over 60,000small tea growers in the state.
The government has decided to give permanent land possession certificates to small tea growers who have plantations in government land and are not encroaching forest land area. Assam produces 480 to 490 million kg of tea, which is 51 percent of the all-India production.
Sources added that the state government has also levied a cess at the rate of 20 paise per kg of green leaf purchased by the BLF. The government proposes to spend a portion of this fund on development of small and marginal tea growers. Once the survey is completed, the fund can be spent.
GUWAHATI: With the unorganized sector in Assam accounting for almost 29 per cent of the total tea production in Assam and almost 14 per cent of the
total tea production of the country, Assam government decided to do the mapping of the tea produced in the unorganized sector in Assam.
To kick start the mapping process, the state government has initiated baseline survey of the small tea growers in the state through the general manager, District Industries and Commerce Centre of Industries and commerce department besides the district administration.
The state government is looking to adopt the Kenyan practice where small tea growers and bought leaf factories (BLF) are organized. Assam industry minister Pradyut Bordoloi told ET, “At present, the state government does not have adequate data about the unorganized sector which comprises small tea growers. The base line survey will document the landholding by small tea growers and the amount of green leaf produced by growers. With complete data in hand, we will come up with policy and regulatory framework, wherever necessary.”
The survey is slated to be competed in another three months time. A senior official in the directorate of tea, government of Assam said, “With documents ready, we will check the quality of Assam tea. If we have mapping done, we can check right from green leaf to the made tea. Necessary policy and guidelines can be issued. The state government has decided to start quality certification of tea manufactured by BLF from reputed certifying agencies.”
Sources added that the state government will also come up with a financial assistance scheme for the unorganized sector as soon as the survey is completed. Even big gardens are at times dependent on small tea growers for getting green leaf. This sector is emerging in a big way. According to an estimate, there are over 60,000small tea growers in the state.
The government has decided to give permanent land possession certificates to small tea growers who have plantations in government land and are not encroaching forest land area. Assam produces 480 to 490 million kg of tea, which is 51 percent of the all-India production.
Sources added that the state government has also levied a cess at the rate of 20 paise per kg of green leaf purchased by the BLF. The government proposes to spend a portion of this fund on development of small and marginal tea growers. Once the survey is completed, the fund can be spent.
Sunday, August 30, 2009
National award to Sikkim entrepreneur
Gangtok,August28: Mrs. Sonam Lhamu of Sikkim has been given a national award by Prime Minister Dr. Manmohan Singh for her “outstanding performance in entrepreneurship”. This award of the Ministry of Micro, Small & Medium Enterprise was given by PM on 28 August at a function in New Delhi.
The award comprises Rs.i lakh cash, memento, certificates and a trophy. Mrs. Lhamu prociently runs STP Pharmaceuticals at Sangkhola, East
Sikkim Chamber of Commerce congratulates STP Pharma for this prestigious award.
Gangtok,August28: Mrs. Sonam Lhamu of Sikkim has been given a national award by Prime Minister Dr. Manmohan Singh for her “outstanding performance in entrepreneurship”. This award of the Ministry of Micro, Small & Medium Enterprise was given by PM on 28 August at a function in New Delhi.
The award comprises Rs.i lakh cash, memento, certificates and a trophy. Mrs. Lhamu prociently runs STP Pharmaceuticals at Sangkhola, East
Sikkim Chamber of Commerce congratulates STP Pharma for this prestigious award.
CABLE LINK THRU NATHU LA BETWEEN INDIA AND CHINA LAUNCHED
SIKKIM: Direct terrestrial cable link through Nathu-La announced, Chamber of Commerce terms it landmark success
GANGTOK, August 28: Terming it a landmark success, the Sikkim Chamber of Commerce has congratulated Reliance Communications and China Telecom for having announced the opening of the first direct terrestrial cable link between the Chinese and Indian domestic markets through Nathu-La.
The cable passes through the inhospitable terrain of the Nathu-La Pass, linking Yadong in China to Siliguri in India. The cable will provide direct, enterprise class connectivity between all major Indian and Chinese locations as well as expanding high-bandwidth coverage to more rural regions and cities in both countries.
A press release issued by SK Sarda, president, Sikkim Chamber of Commerce adds that Reliance Globalcom, the global arm of Reliance Communications can now offer the additional protection of two separate cable routes between India and China with considerable less risk from natural disasters.
“Both international businesses and consumers in the region will benefit from improved internet connectivity, lower latency and improved voice clarity calls.”
Mr. Sarda said in the release adding “India and China represent the largest growing economies in the world, and the current global economic environment requires dedicated and weather proof high-bandwidth between the markets of the two countries.”
He further said that the initiative was another milestone in improving the relationship between the two Asian Giants.
GANGTOK, August 28: Terming it a landmark success, the Sikkim Chamber of Commerce has congratulated Reliance Communications and China Telecom for having announced the opening of the first direct terrestrial cable link between the Chinese and Indian domestic markets through Nathu-La.
The cable passes through the inhospitable terrain of the Nathu-La Pass, linking Yadong in China to Siliguri in India. The cable will provide direct, enterprise class connectivity between all major Indian and Chinese locations as well as expanding high-bandwidth coverage to more rural regions and cities in both countries.
A press release issued by SK Sarda, president, Sikkim Chamber of Commerce adds that Reliance Globalcom, the global arm of Reliance Communications can now offer the additional protection of two separate cable routes between India and China with considerable less risk from natural disasters.
“Both international businesses and consumers in the region will benefit from improved internet connectivity, lower latency and improved voice clarity calls.”
Mr. Sarda said in the release adding “India and China represent the largest growing economies in the world, and the current global economic environment requires dedicated and weather proof high-bandwidth between the markets of the two countries.”
He further said that the initiative was another milestone in improving the relationship between the two Asian Giants.
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