TRAI has notified a charge of five paisa on promotional SMSes, which the originating access provider may collect from the registered telemarketer. The directive would make it mandatory for all operators to charge the termination levy for commercial SMSes
New Delhi: In a bid to further clamp down pesky SMSes, the Telecom Regulatory Authority of India (TRAI) will impose a termination charge of 5 paise per SMS on operators from whose networks commercial messages originate, reports PTI.
Termination charges are paid by an operator from whose network calls or SMS originate to the one on whose network these communications end. These charges impact tariffs.
“The promotional SMS charge shall be Re 0.05 (five paisa only). The originating access provider may collect the promotional SMS charge from the registered telemarketer,” TRAI said in a notification.
After much delay, TRAI in September this year came out with recommendations to stop pesky calls and text messages, directing that no operators will permit the transmission of more than 100 SMSes per day per SIM.
The limit is, however, not applicable on ‘blackout days’ (festive occasions) and a customer is free to send as many messages he desires.
Subscribers also have the option of choosing to be under the ‘Fully Blocked’ category, similar to the “Do Not Call Registry’ to not receive any promotional SMS or call.
In case a user opts for ‘Partially Blocked’ category, he or she will receive SMS in only select categories.
At present, some operators charge a termination fee of up to 15 paise per SMS. The current directive would make it mandatory for all operators to charge the termination levy for commercial SMSes.
CDMA telecom operators have opposed the imposition of a termination charge on SMS, saying the move is anti-consumer, anti-competitive and not based on a scientific technical study.
“Some of the incumbent GSM operators always propagate high termination charges for calls as well as on SMS, as it works in their favour. Imposition of any termination charge on SMS will be anti-competitive, anti-consumer and not based on costs,” Auspi general secretary SC Khanna had said in a letter to the TRAI chairman.
He added that prices of bulk SMSes are currently 1.5 to 2 paise and if it shoots up to 7 paise per SMS, this important marketing avenue will be eliminated.
“It would result in thousands losing their jobs as a result of this change in regulation, which will add to the plight of lower sections of society,” Mr Khanna said.
TRAI has exempted select service providers—primarily the dealers of telecom operators, DTH operators, e-ticketing agencies and social networking sites—from the limit of 100 SMSes per day per SIM.
It also includes transactional SMSes from e-commerce agencies, companies registered with SEBI, IRDA, Association of Mutual Funds in India (AMFI), NCDEX, and MCX; and goods delivery confirmation messages.
Nifty may hit 5,320 in the short-term
Factoring in the 25 basis point rate hike by the Reserve Bank of India (RBI), the market, which witnessed a sharp fall following the announcement, gathered momentum and closed sharply higher. Yesterday we had mentioned that the Nifty would move in the range of 4,990 and 5,160. Today the index opened higher and closed well above the resistance—at 5,192. This is the highest close since 5th August. From here we may see the Nifty reach the level of 5,220 and then to 5,320.
The market opened higher but cautiousness prevailed ahead of the RBI quarterly monetary policy review, where it was widely perceived that the central bank would hike interest rates by 25 basis points. The Nifty began the day at 5,138; 40 points higher than its previous close, and the Sensex gained 74 points to open trade at 17,013. Banking, IT, metals and realty stocks supported early gains.
The indices continued their upward journey till the mid-morning session. But the RBI’s policy announcement pulled the market into the negative with consumer durables, banking and realty sectors witnessing selling pressure. The steep fall led the market to its intraday low. At the low, the Nifty touched 5,086 and the Sensex fell below the 17,000 mark to 16,900.
The indices hovered on both sides of the neutral line for more than an hour, after which buying activity resumed once again, giving the market a much-needed push. Auto, IT, oil & gas and technology sectors helped the market hit the day’s high. At the intraday high, the Nifty rose to 5,211 and the Sensex reclaimed the 17,000 level to settle at 17,322. The market extended its gains for the second day in a row with the Nifty adding 93 points at 5,192 and the Sensex closing at 17,255, up 316 points. The National Stock Exchange (NSE) saw a volume of 66.49 crore shares. Volumes were higher because today was the expiry date for October derivatives.
The advance-decline ratio on the NSE was 750:893.
In the broader market space, the BSE Mid-cap index gained 0.40% while the BSE Small-cap index shed 0.07%.
BSE Auto (up 2.95%), BSE IT (up 2.66%), BSE Oil & Gas (up 2.22%), BSE TECk (up 2.19%) and BSE Metal (up 1.93%) were the top sectoral gainers while BSE Consumer Durables (down 2.94%), BSE Bankex (down 1.20%) and BSE PSU (down 0.05%) were the losers.
The top performers on the Sensex were Mahindra & Mahindra (up 5.49%), Wipro (up 4.29%), HDFC, Sterlite Industries (up 4.23% each) and Sun Pharma (up 3.80%). SBI (down 3.52%), HDFC Bank (down 3.17%) and BHEL (down 1.07%) made up the losers’ list.
Kotak Bank (up 6.18%), M&M (up 5.08%), Sterlite Ind (up 5.05%), ACC (up 4.99%) and Grasim Industries (up 4.96%) were the top five Nifty gainers. Punjab National Bank (down 4.66%), Axis Bank (down 4.33%), SBI (down 3.48%), HDFC Bank (down 2.59%) and BHEL (down 0.82%) ended at the bottom of the index.
Markets in Asia settled mostly higher as investors awaited the outcome of a key European summit tomorrow where policymakers are expected to chalk out the expansion of the bailout fund.
The Shanghai Composite surged 1.66%; the Hang Seng climbed 1.05%; the Jakarta Composite added 0.10%; the KLSE gained 0.54%; the Straits Times rose 0.33% and the Taiwan Weighted advanced 0.28%. On the other hand, the Nikkei 225 declined 0.92% and the Seoul Composite lost 0.51%.
Back home, foreign institutional investors were net buyers of stocks worth Rs101.10 crore on Monday. On the other hand, domestic institutional investors were net sellers of equities worth Rs158.84 crore.
IT consulting and software services provider, Sonata Software, has established a dedicated centre of excellence (COE) for mobility, with a dual focus on supporting independent software vendors (ISVs) and enterprises. The new COE will develop new frameworks and solutions accelerators to enable faster mobile application development across platforms such as android, windows, mobile, blackberry, IOS, J2ME and MEAP (such as Sybase unwired platform). The stock lost 0.90% to close at Rs27.60 on the NSE.
State-owned GAIL India plans to source a shipload of liquefied natural gas (LNG) to commission the long-delayed LNG import facility adjacent to the beleaguered Dabhol power plant. The company stated that dredging of the navigation channel is in full swing and it plans to commission the terminal in the last quarter of the current fiscal. The stock shed 0.16% to close trade at Rs425 on the NSE.
Sezal Glass, leading player in the architectural glass business, has said it would invest about Rs500 crore to expand its value-added glass business with manufacturing set ups across India. The stock surged 11.36% to settle at Rs2.45 on the NSE.
The major objectives of the NMP are to increase the sectoral share of manufacturing in GDP to at least 25%, create 100 million jobs by 2022 and enhance global competitiveness of the sector
New Delhi: The government today cleared the long-awaited National Manufacturing Policy (NMP) which seeks to set up mega industrial zones and create 100 million jobs by 2022, reports PTI.
“The NMP seeks to enhance the share of manufacturing in the gross domestic product (GDP) to 25% within a decade and create 100 million jobs in manufacturing as part of the inclusive growth agenda of the UPA,” commerce and industry minister Anand Sharma said after the Cabinet approved the policy.
To encourage the manufacturing sector, the government will provide fiscal incentives to the industry, particularly to the small and medium enterprises (SMEs).
The Cabinet had earlier taken up the NMP in its meeting on 15th September. The matter was, however, deferred following differences between ministries over the labour and environment issues.
It was later referred a Group of Ministers (GoM) headed by agriculture minister Sharad Pawar.
The NMP, Mr Sharma said, “will ensure compliance of labour and environmental laws while introducing procedural simplifications and rationalisation so that the regulatory burden on the industry is reduced.”
He said the interventions proposed are generally sector neutral, location neutral and technology neutral, except the attempt to incentivise green technology for sustainable development.
“No subsidy is proposed for individual units or areas. The basic thrust is to provide an enabling environment for tapping the potential of the private sector and the entrepreneurial skills of the younger population,” Mr Sharma said.
The major objectives of the NMP are to increase the sectoral share of manufacturing in GDP to at least 25%, create 100 million jobs by 2022 and enhance global competitiveness of the sector.
Besides, it focuses on domestic value addition, technological depth and environmental sustainability of growth.
The policy envisages specific interventions broadly in the areas of industrial infrastructure development and improvement of the business environment through rationalisation and simplification of business regulations.
Besides, development of appropriate technologies, especially green technologies for sustainable development, and skill development of the younger population are envisaged, Mr Sharma said.
The NMP aims at creating large integrated industrial townships—National Investment and Manufacturing Zones (NIMZs).
“The land for these zones will preferably be waste infertile land which is not suitable for cultivation; not in the vicinity of any ecologically fragile area and with reasonable access to basic resources,” Mr Sharma said.
The contribution of the manufacturing sector is just over 16% of India’s GDP, currently.
With a view to accelerating the growth of the manufacturing sector, Mr Sharma said that the manufacturing policy proposes to create an enabling environment suitable for the sector to flourish in India.