Ad Here  
February
March
April
May
June
July
 
 
Fortune 500 review Of course, Gujarat is vibrant Put expensive assets created to use... Wanted: a second airport for Chennai Poor quality of university VCs Limit foreign borrowings to hi-tech, export potential projects... Intellectual of rare qualities Shanti and Sadhana through Music to the lack of interest on the part of these to focus on original research. This despite the much lower costs of such research in India. The industry which thrived on the protection of a closed economy and the advantage of a vast domestic market, has failed to organise its evolution on healthy lines SoA @ 80 Preserving for the future Readers' Mail Multi-faceted Venkat Tatas moving out of urea production... More heat than light PPP mode for upgrading Corporation Hospitals Pharma – overdose of copying Contrarian cousins The nuclear option A more liberated TN… Godspeed, Chief Minister JJ Why land prices zoom in TN? The sea- saw battle continues... Naidu’s return augurs well for Seemandhra More tributes to GR Road development slows down Make standards certification mandatory... Don’t seem to feel the pulse… Online not in line with brick and mortar businesses... Should we change the official year? CRS, a jewel among managers, is no more. Kudos to NDTV... Tribute – Manikam Ramaswami Tax agriculture The few handicaps... Robber barons everywhere Kinetic Karnataka The star of Spencers is no more Welcome thrust on trade in Modi’s foreign visits... The Jan Dhan bonanza New IT products of Ramco in the pipeline… S Ramanathan – a versatile musician, musicologist When online building permits work…. More Shakti to resource mobilisation... Airlines in India: cost and space WTO Meet: resolved to meet again Naidu will soon build a new Hyderabad When Ratan Tata visited SRM Sri Lanka votes for change Parliament in paralysis... When small is no larger beautiful.. Permanent secretariat for TN GIM Eternal support for capitalisation of PS banks Delhi Chalo... Delhi returns to BJP London, London Narayan Modi storms Silicon Valley Auto components surge… PC’s preference for professionals Five star activism stalls development activity Sweet news for TN sugar mills Kulandai was a giant Insurance companies bleeding, yet no decision on increasing FDI limit! When the President was rendered homeless… Things happen by accident and not by design... Revving up the manufacturing sector Reliance’s TV – 18 ready to launch Tamil News Channel Funding the un-funded Varuna (rain) in 2015; Vaayu (air) in 2016. Chennai devastated When nations steal growth from one another… Russi Mody – a tribute Mu Sigma – is no more China invests in India Engineering seats go abegging L&T: focus on infrastructure and more infrastructure… A rich pool of talent not utilised…. Solar, solar everywhere … Modi and the lady L&T- the specialty of special purpose vehicles Discoms deserve better… A glass full of corruption A proud Madrasi A welcome initiative by the judiciary An enemy’s enemy is a friend Padma Bhushan for A Ramakrishna A think tank for Chennai ONGC at KG Basin Scientists urged to take up farmer-oriented research Welcome GST Return to king coal for urea... TIAM turns a full cycle Moily’s bold thrust Wise Presidents TN – agglomerate land holdings without alienating ownership Cutting the nose to spite the face Editor's Says The Ports’ Pasha expands into Tamil Nadu Another Indian music maestro at the UN Excel Generators provide the vital back-up Polls and promises Build close rapport with business leaders Secularism and anti-Hinduism Bihar – Nitish Kumar adopts the Lalu model An informal presentation - analytical, forward locking... Lalu’s envy, India’s pride TGS- The king storyteller The ‘Ayyo-yes’ is no more He continues the focus on social amelioration A C Muthiah – his munificent bequeaths to science Telangana in top gear… Where a state respects its litterateurs… Breaththrough in malaria control Medical costs hit the roof... A friendly business group CSR and CMI: promise of another Srinivasan Ramanujan... Maximising the micro pricing … For whom the bell tolls? Colour-Chem’s colourful KRVS More Shakthi to Das’ elbow Land reclamation from sea appears cheaper! Liberal imports idling indigenous capacities Delhi is distant… Plummeting profits of PSBs No engine for this car Tribute – UCAL Selvan… Valli, they are more marginalised When TN politicians can emulate Kerala's The brown list of Venkitaramanan Gas is the way forward Poor representation for Kerala and TN in Cabinet TN-leverage strength of BHEL, NLC... TN accounts for the largest recruits by the IT sector Align crops to agro climate endowments… TELANGANA at last…BUT Vibrant Gujarat Recognition to role of NBFCs.... Remembering Indira Sivasailam... Cement prices continue to rise… Demise of a media baron... Streamlining mandatory third party cover Alexa – Talking Wikipedia Music happens He saved millions from starvation... R Sridhar steps down as CEO of Shriram Capital Banning booze... Protest masters... Measuring roof tops in terms of KW/MW Waning interest in public discussions… Chennai and Kolkata miss opportunity to grow as Delhi and Mumbai This scant respect for Law Making ‘my Amaravati’... Where is Rajaji? Revive development banks... Sweeter prospects for sugar The power-full Hindujas Fortune for Indian Airlines Solar thermal shines… Focus on quality of power - its only around 170-180V Tribute Boy, can you beat these? …and of a popular trade leader EVM is tamper-proof The ‘Jayanthi Tax.’ A yen for wastage… Nuclear power at the nucleus Convulsions in The Hindu Quality silica from Neyveli F C Kohli - his concerns all embracing Tihar, Puzhal not different from Parappana Agrahara Tatas moving out of urea production... No Maha Koottani in TN... Computation of GDP – conundrums continue Cleaning Ganga – relocate tanneries and install electric crematoria Lesson from Chandrababu Naidu Strengthen the base... For whom the MIDS bell tolls? IPL type auction for VCs? Roaring Ro-Ro facility Increasing non co-operation of state leaders Noble nonagenarians... All eyes on Sankara Nethralaya Inflation: are we emulating Argentina and Brazil? Welcome changes that testify to Jayalalithaa’s return to health EEC at the National Media Centre Adapt Vajpayee dinner diplomacy The Gulf aviation boom Marketing expert Balagopal is no more The Swadeshi Trump The rise and rise of KCP The balancing act Mersal magnified How Air-India loses customs... Muffled voices for merit… The why of tax incentives Silver Years of Madras Musings Whistle-Stop Tour of Raghuram Rajan GM Technology at last! Shipping woes of Chennai companies Which side are you, Montek? IAS invades NDDB... Fall in crude prices help in oil sector reform Paytm karo... Welcome focus on core competence Shaming of Tamils by Tamil farmers at Delhi Adharma of opposition politics The rise and fall of Annamalai University Diamond jubilee of Egmore Samskrt School Odisha: spectacular win by Naveen Patnaik Building loyalty through the stomach Why this malaise in medical education? Shale gas and its shallow future Haul over the coal No mega rail project for Tamil Nadu Come elections, come advertisements... CIPET hqrs to stay at Guindy – for the present? Not just in-laws (and outlaws); they’ve renowned academics at the helm! IPL - no surprise this scam Like Hinduism: many paths to reach God... S V Raju – a ‘good’ true liberal Bihar elections - the Rajaji formula worked A Grand Finale for SN’s MS centenary at the US… Tribute – M V Murugappan Dr C Rangarajan returns to Chennai MHC should not return to its old indisciplined ways Towards speedy justice Delhi is distant Editor's Notes West Bengal: mindless malignancy Infrastructure funding – lessons learnt Gay abandon in pricing GNS - 100: our first subscriber An inexplicable neglect Fuel for thought There was flood of milk. Reason: no milk commissioner! Quality education through the PPP mode Air Asia India will set new benchmarks for budget travel Rs.1600 crore paper board plant of TNPL A professional at the helm of IRDA... Small units prefers to remain small... B H Kothari - a tribute CII projects higher growth… Rahman at CIC A Grand Finale for SN’s MS centenary at the US… Tough task taking states together
 
Tatas moving out of urea production...

Remember the massive restructuring done by Ratan Tata soon after he took charge in 1990s?  Making use of the opening up of the economy,  he focussed on brand consolidation and on a few key sectors and phased out other businesses. He inducted a younger team of professionals and set age limits for directors and also to expand investments overseas. The group recorded spectacular growth in the areas selected for focus like IT, steel and automobiles

Cyrus Mistry, who succeeded Ratan Tata three years ago, is attempting further consolidation. The group is expanding priority to civil aviation, defence production, and aeronautics. The losses incurred by Corus Steel consequent upon the meltdown of the global steel industry, has led to the bold decision to sell it off and concentrate on the domestic market.

In yet another major decision Tata Chemicals plans to vacate urea production. The company expanded into this field by setting up a large capacity ammonia-urea plant at Babrala in U.P based on gas conveyed through the HBJ pipeline.  TCL’s urea plant is among the most energy-efficient fertilizer plants with annual production of 12 lakh tonnes of urea. The operations have been quite profitable. Revenues during 2015-16 were at $ 350 million with after-tax profits of $ 35 million.

However, in line with the other urea plants, the Babrala unit has also been suffering from the humongous delays in the settlement of subsidies. The continuance of the control over urea prices has been a major irritant for the industry. Recently, Tata Chemicals decided to sell the urea plant to Yara International ASA of Norway for $ 400 million (around Rs 2670 crore).

I have had occasions to visit the Babrala plant a couple of times. I have been deeply impressed with the excellent extension work done by the company. The company has been extending a vast range of services through the Tata Kisan Sansar outlets making great use of technology, information, and management techniques. At Babrala, the company, along with TCS and Tata Telecom, set up a highly sophisticated centre to provide a broad range of information to farmers spread across several north Indian states. The TKS outlets in themselves provide a vast variety of services. The impact was indeed spectacular: I remember the ease with which the company assisted farmers to switch from traditional varieties of rice to basmati rice cultivation bringing about handsome increases in farm incomes.

However, the neglect of this vital fertilizer sector for long with an irrational subsidy system and delayed settlement of agreed subsidies in a regime that professes freedom from controls should have forced this decision on the Tatas.

For quite some time, Tatas are also appear to be concerned about the intense competition and constraints for growth impacting Tata Telecom. One may not be surprised if the group decides to vacate this space as well.

Tata Chemicals has retained the phosphoric fertilizer unit at Haldia. Rallis India Ltd, another Tata unit, may continue to focus on the agriculture sector.

www.mkoutletsonline.com

Author :
Reported On :
Sector :
Shoulder :
RELATED NEWS
ABOUT IE
IE, the business magazine from south was launched in 1968 and pioneered business journalism in south. Through the 45 years IE has been focusing on well-presented and well-researched articles. When giants in the industry stumbled to keep pace with the digital revolution, IE stayed affixed embracing technology.
Read more
 
PRIVACY POLICY
Economist Communications Ltd is committed to ensuring that your privacy is protected.
Read more
TERMS AND CONDITIONS
You agree that your use of this Website and the purchase of the magazine will be governed by these terms and conditions.
Read more
 
CONTACT US
S-15, Industrial Estate,
Guindy,
Chennai - 600 032.
PHONE: +91 44 22501236
EMAIL: indecom1968@gmail.com