LTTE creates another precedent

LTTE started the practice of suicide bombing, which was perfected by the jehadis and taken to its peak in the 9/11 bombings of the WTC. Yesterday LTTE has created another first, its apparently built its own light combat aircraft and bombed the military base of the lankan air force. There must be another Mr. A.Q. Khan and a rogue nation behind him operating the black market for combat aircrafts. LTTE claims its assembled the air craft on its own which seems a bit difficult to believe.

What has stunned many is that they attacked at night, exhibiting sophistication of hardware. In fact, the LTTE has its own air force now. They already have their own army, police force, postal system, bank etc. LTTE ought to be one of the most sophisticated and organized terrorist outfits in the world.

What a catch!

Ladies and Gentleman ... Dwayne Leverock, 130kgs, Police Officer, Member - Bermuda Cricket Team ...

Sensational !!

Something to cheer about WC 2007

Coverage in SET MAX

Few words about the coverage on SET Max. The team put up by Sony is just so ordinary and no match to ESPN STAR SPORTS. I at least tend to miss the likes of Harsha Bogle, Sunil Gavaskar, Ravi Shastri, Wasim Akram, Tony Greg. The new ones like LS, Ian Bishop and Ranjit Fernando of all are just ordinary and some times bad.

The in-studio coverage is also boring. They have an artificial backdrop and look holed up in a small corner. The in-studio guests too are of low quality ... Ayaz Menon and Dean Jones mostly.

The telecast is alright but you can easily see the emphasis on ads. Commentators are often cutoff while speaking and the visuals go into the ads ... takes me back to the DD days.

If ESPN STAR SPORTS had covered this event, it would have been a much better experience ... :(

What a sick world cup 2007

Cricket World Cup is like the Kumbh Mela in India, a festival celebrated with large gaps in between but nevertheless captures the imagination of the country. Special songs are written, special products are launched, contests all over and even maha yagnas are performed. Cricket is a religion in India and cricketers demi-gods.

However, this world cup is not going to be remembered for the good. India has had a bad outing and faces elimination after its loss at the hands of Sri Lanka and minnows Bangladesh. Bob Woolmer, legendary coach of Pakistan and ex coach of South Africa was murdered and has cast its shadow on the world cup. Former Irish Cricket Union president Robert Kerr died of a suspected heart attack a few days back, leading to the second fatality during the world cup. And of course Pakistan, a leading cricketing nation is out of the tournament too.

What will be interesting to watch is the fallout. People will raise questions which will be difficult to answer. One can expect a few resignations and of course a few sackings. Mr. Pawar, president of BCCI, is already asking the nation to look towards the 2011 world cup!

The biggest issue will be, is Rahul Dravid an able captain or should Mr. Back-in-form Ganguly be reinstated?

Nandigram

National media has covered the issue extremely well so there is no point in describing the atrocities committed there. The inside khabar is that around 100 people were killed and many more than the official 14 died. It is being said that the CPM cadres themselves were part of the police force and arbitrarily attacked villagers. This seems to be in line with the recent discovery of police helmets, weapons and ammunition from a CPM office. Till now, Buddhadeb Bhattachara was the best chief minister in India but now everyone wants to hang him.

Well that could be justified as he has acted on his own will and fantasies, ignoring his allies who are very pissed with him. But whats the alternative for the people of Bengal? Inside his party, there seem to be two figures who can don the mantle. One is the economist finance minister Mr. Asim Dasgupta but he seems to be too careful to take strong and bold decisions. He doesn't like controversy, is the typical Oxford-Cambridge kind of an intellectual who wants to quietly do his part of the job and go home. The other candidate is Mr. Subhas Chakroborty, who is the current Sports and Transport Minister of the state and an acolyte of Mr. Jyoti Basu. He is quite the opposite of Mr. Dasgupta. Mr. Chakroborty is a populist kind of a leader with a huge mass following, a communist. He is more likely to believe in taking popular decisions rather than sensible ones. Moreover, his image is now of an outlaw who openly critises the govt. on many issues. The politburo would never elevate him to the CMs post.

The biggest disappoint is Mamta Banerjee. She has failed to graduate from a grass roots leader to a mature politician. She is too emotional and dis-organized. Her political history would point out to that fact.

The best bet is if Trinamool Congress and the INC can join hands together in the state and fight elections. The best chief ministerial candidates would then be Mr. Priya Ranjan Das Munshi or Mr. Pranab Mukherjee of the congress. Both have the acumen, the suave and the mass following and both have the political experience to do something for the state. Mamta can then take the role now played by Sonia Gandhi at the state level.

The parties should unite now and strike while the iron is hot. A seasoned and well balanced chief minister can change the fortunes of this state.

India On Business Week Cover

You come across a magazine like Business Week with "INDIA" written somewhere on its cover page and you get excited about it. It must be another cover story talking about India's 8%+ growth rate and how it is becoming a global power. However, this article read more like the articles in the 90's, rightly bringing up the infrastructural bottlenecks that India is choking upon and how corruption and the politicains are chewing away many basis points of India GDP growth rate. After reading the article, you'll more in a pensive mode rather than a proud Indian. Here are a few highlights:

* With virtually no mass transit in Bangalore, Indian technology firm Infosys Technologies Ltd. spends $5 million a year on buses, minivans, and taxis to transport its 18,000 employees to and from Electronics City.

* Economic losses from congestion and poor roads alone are as high as $6 billion a year

* ... industry is hobbled by overcrowded highways where speeds average just 20 miles per hour

* In Pune, a city of 4.5 million, it's lights out every Thursday—forcing factories to maintain expensive backup generators. Government officials were shocked last year when Intel Corp. (INTC ) chose Vietnam over India as the site for a new chip assembly plant. Although Intel declined to comment, industry insiders say the reason was largely the lack of reliable power and water in India.

* 40% of farm produce is lost because it rots in the fields or spoils en route to consumers, which contributes to rising prices for staples such as lentils and onions.

* India today is about where China was a decade ago ... 25,000 miles of expressways that now crisscross the country (CHINA) and are as good as the best roads in the U.S. or Europe. India, by contrast, has just 3,700 miles of such highways.

* China's lead in infrastructure is likely to grow, too. Beijing plows about 9% of its GDP into public works, compared with New Delhi's 4%.

* ... country's public debt stands at 82% of GDP, the 11th-worst ranking in the world ...

* Nokia Corp. (NOK ) saw thousands of its cellular phones ruined last October when a shipment from its factory in Chennai was soaked by rain because there was no room to warehouse the crates of handsets at the local airport.

* Japan's Maruti Suzuki says trucking its cars 900 miles from its factory in Gurgaon to the port in Mumbai can take up to 10 days.

* It took five hours to drive the 50 miles from the airport to the site, and when they got there they found...nothing. "No roads, no power, no schools, no water, no hospitals, no housing," says Pratyush Kumar, president of GE Infrastructure in India.

* ... country with only 25,000 tourist-class hotel rooms compared with more than 140,000 in Las Vegas alone ...

* One reason little practical help makes it from the seats of power to India's impoverished villages is that so much money gets siphoned off along the way. With corrupt officials skimming at every step, many public works projects either go over budget or are never completed. "You figure that 25% of the cost goes to corruption"

Its Cement Now

The number of sectors now under direct intervention of the Govt. has just increased and included cement which is in a structural up-cycle phase. Direct intervention of the government is in Oil & Gas, Fertilizer, Sugar and now Cement. Of course it has other regulatory bodies like the TRAI which keep a watch on the Telecom sector.

All the measures are to pacify the inflation concerns which have moved beyond the RBI target rate of 4.5%-5.5%. Last inflation numbers are in the range of 6.5-7%. However, if you ask the lay man buying groceries, the number you would get is close to 25-30% on an average.

Government has taken many measures and all of them in quick succession. There is a lag effect from the time the measures are taken to the time it shows on the data. The effects are beginning to show. ICICI Bank has already indicated that credit rate has de-accelerated to 20% form the 30% plus levels. This could be indicative of slowing down of capex plans of the corporate India due to the high interest rate scenario.

The government is of course conscious of the impending UP Elections which is a barometer of political sentiment in the country .... its the Hindi Heartland. Moreover, the left parties which support the government are vary of inflation worries. Increasingly, Mrs. Sonia Gandhi has evoked more communists sentiments than capitalist ones.

The market sentiment is surely go damp. Investors are willing to deal with market risks but when political interventions comes in, theres no way you can model for it!

However, there are no dangers of recession although the growth rate is expected to come down to 7-7.5% levels. We will still remain one of the fastest growing economies of the world, apart from China.

Following is an interview on CNBC on the cement price control issue. Its one of the boldest interviews I have ever seen. Have a look.

Part I



Part 2