INDIA, AHA!
Article Abstract:
The National Council of Applied Economic Research has released its India Market Demographics Report 1998, which provides information for the period 1985-86 - 1995-96. As per the report, the highest income group has grown steadily by 10-17 percent year on year but the group itself accounts for only 3.5 percent of the population. It consists of around 1.2 million households, spending Rs6,000 crore on 22 commonly used fast moving consumer goods. The expenditure of the lower and lower middle income group on consumer goods is around 7 times that of the rich. While the rich have benefited the most from liberalisation, the middle classes just got by while the low income group was hit the most. Among the States, the income distribution is more equitable in the urban west while the rural south has the widest disparity with the biggest income changes happening there. The study reveals that over 60 percent of the value of the Indian market lies with the lower and lower middle income group, while less than 10 percent lies with the upper income group. In urban India, around 50 percent of the value of the market lies in the lower and lower middle income groups. In rural India, 75 percent of the market lies with these groups. In all, around 60 percent of the value of the market lies in rural India while 40 percent of the market lies in urban India. The rural lower income group is the single largest market in terms of value, accounting for 25 percent of the total market. The rural lower middle income holds 18 percent of the total market value followed by equal urban lower middle and urban middle class markets. During the Nineties, the highest rate of growth was in the high income households. While the growth of the farm component of GDP was sluggish in the Nineties, the growth of industry and the services was good. (tsm) (kvr)
Publication Name: BusinessWorld
Subject: Business, international
ISSN:
Year: 1999
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GETTING WIRED, THE WARANA WAY
Article Abstract:
Warana Nagar, comprising 70 villages in rural Maharashtra, boasts of 10 servers, two very small aperture terminals (V-Sats), 165 personal computers and an Internet Kiosks in every village. Warana is the first rural networking project in India benefiting 4 lakh people. Each of the 70 Internet Kiosk provides villagers with information about weather, crop prices, harvesting schedules and veterinary advice in Marathi, the local language. Sugar and milk are the mainstays of the local economy. Thus the sugar factories, the diary and the local retail stores are all linked by intranet application. Farmers can keep tabs on movement of milk and sugar prices. The local hospital, dairy, pulp factory and others are expected to go online in 2000. Individual shops keep track of sales and inventory through computers. The Internet also provides downloadable application forms for ration cards, birth certificates etc. Warana Nagar will soon get six Information Technology (IT) centres, which will help students from class four to 12 to use computers and their applications through CD-ROMs. The individual computers are not networked. (uh)(psr)
Comment:
Warana Nagar, comprising 70 villages in rural Maharashtra, boasts of 10 servers, two very small aperture terminals (V-Sats), 165 personal computers and an Internet Kiosks in every village.
Publication Name: BusinessWorld
Subject: Business, international
ISSN:
Year: 1999
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IT'S JUST GAS, BUT VERY EXPENSIVE
Article Abstract:
The liquefied petroleum gas (LPG) distributed by private sector gas companies in India has proved to be too expensive for the average Indian. LPG from public sector oil companies cost Rs152 for a 14.2 kg cylinder in Delhi, while a 12 kg cylinder from a private company costs Rs210. Private sector companies distributing LPG have to contend with the subsidies given by the Government to public sector companies, which is about Rs64 per cylinder. They are also forced to pay 23 percent import duty. Of the 35 private players, who ventured into LPG distribution, 15 smaller players have already quit. The other 20 companies with a collective investment of Rs1,000 crore are incurring loss of about Rs50 crore. Because of the difference in price, private players have attracted only over a million customers in six years. During the same time public sector companies have managed to enroll 14 million new customers. (uh)(psr)
Comment:
The liquefied petroleum gas (LPG) distributed by private sector gas companies in India has proved to be too expensive for the average Indian.
Publication Name: BusinessWorld
Subject: Business, international
ISSN:
Year: 1999
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