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Future of GEEDA

December 13, 1969 of structural reforms, relief to the people and weakening of the social-economic base of Right reaction. The objective of this struggle as well as of efforts at unity would be to work towards a. Centre-Left coalition which is bath necessary and possible at the present phase of development of the Indian revolution.

Picture of Gloom

Picture of Gloom Nishtar THE stock market has staged a further retreat which takes it to a point almost half-way between its January low and June high. Political uncertain- lies and prospects of a drastic budget in February, if not earlier, have unnerved speculators and investors alike. Though selling has seldom been heavy, equity prices have moved down rather sharply as the market has been virtually bereft of fresh support, The corporate news was quite encouraging but higher dividends and bonus issue announcements brought little cheer to a market which now presents a picture of gloom. Nor could the market take any comfort from the statement by the Minister of State for Finance that Government did not intend to introduce an interim budget. Whoever takes such statements seriously?

Stock Market Sees Ghosts

November 29, 1969 can, and is allowed to, participate in the performance of this national task, it will do so to the full extent of its ability. No matter how irksome and frustrating the barriers and the delays, we shall, I am sure, one day play our full role in the economic development of India. The opportunities to conti nue to serve the country in an honest, socially conscious and efficient manner may be delayed, but cannot be forever denied.

Calm amidst Political Storm

Calm amidst Political Storm THE stock market has not allowed itself to be swept away by the political cyclone which has riven the ruling Congress Parliamentary Party in two with the pro-Syndicate MPs forming a separate bloc. If the market has managed to put up a steady front it is because owing to the continued ban on forward trading there are no bears to exploit the situation. Investors are not easily scared; they are a courageous tribe and they have good reason to be bold as they have reaped an unexpectedly rich harvest this year.

Wiser Counsel Prevails

November 8, 1969 very best -experts would be drawn from the entire country is almost axiomatic. The list of VIPs is, of course, drawn up by the high-ups in the ruling party, but extending courtesies to one's opponents is part of the spirit of the English game of cricket and also of all such politics which are like the English game of cricket. That EMS would have been a beneficiary of this courtesy is revealed by the fact that Indira Gandhi herself directed two of the top doctors of Delhi to fly to Trivandrum to attend upon him.

Sympathetic Hearing

Sympathetic Hearing Nishtar SPECULATION about the future of forward trading in shares persists. The meeting that the stock exchange chiefs had with the Prime Minister on October 21 did not yield any definite results. The delegation received 'sympathetic hearing', ie, elementary courtesy. This was the least it could have expected and this was about all that it got. The stock exchange chiefs were told that the proposals submitted by them in their joint memorandum on 'Resumption of Normal Market Dealings' were being looked into by the department concerned and that necessary steps would be taken on the completion of the examination. This can mean anything, or perhaps nothing at all.

What a Plunge

for which Premier Tyres has a "letter of intent'' to produce two million tyres and tubes per annum. Meanwhile, machinery has been imported for production of 40,000 scooter tyres/tubes a year and this will shortly go into production. During the year to March last, the company's plant could work for only 8 months because of labour trouble, Turnover declined by 10 per cent to Rs 9.07 crores, but gross profit slumped 19 per cent to Rs 79 lakhs. Net profit was Rs 57 lakhs (Rs 78 lakhs) but the equity dividend, stepped up 4 points to 10 per cent, was still covered over 3.5 times. The plant had to be shut for a month this year also, but production so far has been at a higher level compared to that in the same period last year. The raw material inventory is adequate and trading conditions are "reasonably good". This holds out promise of improved results for the current year.

Is Confidence Shaken

October 11, 1969 hierarchy. Sanskritisation is the means to that end. Previously this process did not produce quick results because the aspiring groups were small. They were unable to assert themselves. Under the present political set-up, however, social categories larger than the local caste group have assumed importance. Because of the involvement of these larger social categories, Sanskritisation is beginning to produce quick results. This is one of the reasons why, today, more and more castes are going in for Sanskritisation. In sum, both secularisation and Sanskritisation arc taking place simultaneously, with the secular element modifying the Sanskritic thus giving it a further lease of life and enabling it to spread ever so widely.

Plea for Forward Trading

Plea for Forward Trading Nishtar HOPES are running high that forward Hading in shares will be allowed to be resumed by Dassera which falls on October 20. These hopes are based on reports that the stock exchange delegation received a sympathlic hearing from the Finance Ministry officials when it visited New Delhi to submit the joint memorandum on resumption of normal market dealings. But is not 'sympathe- tic hearing1 something which one should normally expect of Government officials unless they are lacking in elementary courtesy? And had not the former Finance Minister Morarji Desai assured the stock exchange authorities that he would be willing to consider any concrete proposals for the resumption of trading on sound and healthy lines? This is precisely what the stock exchanges have done. Not that they share the official view that "steep rise" and "cornering" had generated "unhealthy trends" to warrant a total ban on forward trading. They maintain that suspension of forward trading had been notified under a misapprehension of facts and misunderstanding of the underlying issues involved Bui they had no go except to submit some concrete proposals which would meet offi- cial objections.

Marking Time

September 20, 1969 would appear to be one of the ways out. Once the problem is stated to them, consultants should be left alone to complete their assessments; they should furthermore be instructed to freely admit and note their shortcomings if they have affected the assessment. The consultant will thus be subjected to a self-assessment and will presumably take steps to correct his lacunae. It may happen, in very special cases, that there are only one or two really competent persons in a given technology, and they are themselves promoters. In such cases, too, a consulting firm which deals with a similar subject can make a better assessment than non-technical bank staff. In the process, the country benefits by getting a few more people acquainted with the new technology.

Pensive Mood

Nishtar THE stock market's temperature has come down quite a bit


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