The New Nation - Internet Edition

Sudden price fall of raw materials puts steel re-rolling mills in trouble

UNB, Dhaka

Against the backdrop of a sharp fall in the prices of raw materials, the country's MS rod manufacturers are now apprehending dumping of the product from a neighbouring country.

After the sudden rise in prices of raw materials and finished products, according to industry insiders, neighbouring India imposed a ban on its export of MS rod while Bangladesh relaxed the import of MS rod through withdrawing value added tax (VAT).

But within two months, the prices witnessed a sharp fall on the international market.

Facing this new situation, the Indian policymakers are now contemplating to withdraw the ban on export of MS rod, said an owner of a re-rolling mill who used to import raw materials from India.

If India withdraws ban on export, the Indian manufacturers will try to export their goods and dump those in Bangladesh, he said adding, if that happens, the local manufacturers will have to shut down the industries.

To save the local manufacturers, he said, the government should restrict the import of MS rod.

In last two months, the prices of raw materials of steel and re-rolling products, particularly the prices of melting and re-rolable scraps, have come down to below US$ 450 from US$ 640 per ton on the international market.

As a result, the millers who imported their raw materials two months back have to incur a loss of about US$ 200 per ton, sources said.

According to sources, 40-grade MS rod is selling at between Tk 48,000-50,000 per ton. Two months back, the price was Tk 70,000-plus.

The 60-grade MS rod was selling at a rate of Tk 70,000 per ton, but its price came down to below Tk 62,000.

Owners of steel and re-rolling mills recently informed the FBCCI president about their problems and requested him to pursue the government to save their business.

General secretary of Bangladesh Re-rolling Mills Association Sheikh Masudul Alam Masud apprehended that some millers might have to shut down their mills being unable to absorb the shock of the price fluctuation.

He suggested that the government should first re-impose VAT on the import of MS rod. This VAT was withdrawn as a measure to stabilise the local market when prices went up unusually.

DSE gains on profit expectation after 2-day losses

UNB, Dhaka

Dhaka Stock Exchange (DSE) bounced back on Tuesday following two days of sharp fall amid investors bid to take position on a falling market on profit expectation.

During the day's trading, the DSE General Index (DGEN), the benchmark index, rose 36 points or 1.30 percent to close at 2,769 points from 2,733 points on Monday.

The DGEN got a sharp upward trend in the morning session rising to the day's peak nearly at 2,800 points at 11:15 am.

The All Shares Price Index (DSI) increased 28 points or 1.24 percent to close at 2,294 points while DSE-20 index for selective shares rose 25 points or 1.09 percent to close at 2,341 points.

Of the total 231 issues traded on the day, only 142 registered gains while 80 incurred losses and nine remained unchanged.

The day's total turnover declined to Tk 2.26 billion from Tk 2.81 billion on Monday while market capitalisation increased marginally to Tk 981 billion from Tk 972 billion on Monday.

Beximco Pharma, Titas Gas, BEXIMCO, Lankabangla Finance, ACI, GRAMEENS2, Square Pharma, Quasem Dry Cell, DESCO and ICB 2nd NRB were the day's turnover leaders in terms of value.

The day's volume leaders were AIMS 1st Mutual Fund, Beximco Pharma, Quasem Dry Cell, GRAMEENS2, Fu Wang Foods, Miracle Industries, Golden Son, Beximco Textiles, BEXIMCO and In Tech Online.

Kay and Que, Imam Button, United Insurance, Shyampur Sugar, Anwar Galvanizing, Islamic Finance, 8th ICB, Apex Footwear, Ibne Sina and Pragati Life Insurance were the top gainers of the day.

Top losers were Miracle Industries, Libra Infusion, Ranga Food, Chittagong Vegetables, Safko Spinning, Gachihata, BD Autocars, Tallu Spinning, Lexco and Quasem Dry Cell.

Meanwhile, Aziz Pipes and Hakkani Pulp and Paper informed the DSE on Tuesday that they have no undisclosed price sensitive information that caused recent "unusual" price hike of the shares.

Standard Ceramics recommended cash dividend at 5 per cent for the year 2007-08 while Ashraf Textiles and Modern Cement did not recommend any dividend as the companies apprised the DSE on Tuesday.

GP, Katalyst sign agreement

BUSINESS REPORT

Grameenphone Ltd signed an agreement with Katalyst, a multidonor funded project based in Bangladesh, on October 22 to collaborate with GP Community Information Centres (CICs) in the development of a unique business model to serve the broader rural community.

Grameenphone has established more than 500 Community information Centres across the country. GPCICs contribute significantly towards the generation of employment by providing access to information for the rural people, in the areas of Agriculture, Health and Education, and producing businesses through self-sustained economic activities.

Katalyst facilitates support and contributes in three major areas content development, capacity-building of centre operators, and awareness building of local communities.

Metro Spinning Ltd declares dividend

BUSINESS REPORT

The 47th Meeting of the Board of Directors of Metro Spinning Limited was held on October 27 at its head office.

The meeting was chaired by its Chairman Al-Haj Abdul Ali, also attended by its Managing Director Mohammad Ali Khokon and other Directors of the board. The board expressed their satisfaction on the performance of the company and unanimously recommended Bonus Shares 15 per cent (i.e. 75 shares for every 500 shares) as dividend for the financial year 2007-2008 to the shareholders of the company. The meeting also decided to hold 13th Annual General Meeting of the company on December 27, 2008 at Spectra Convention Centre, Gulshan -1, Dhaka. The record date will be November 27. The Audited Accounts for the financial year 2007-2008 also approved in the same meeting. Despite continuing adverse circumstance prevailed in the textile sector, the company had achieved a total turnover of Tk. 68.26 crore during the financial year 2007-2008, Company's Net Profit before tax is Tk. 1.82 crore and EPS is Tk. 3.05. Total fixed asset of the company at the end of the year stands at Tk 45.22 Crore.

Citibank wins Best Internet Banking Award

BUSINESS REPORT

Citibank, N.A. yesterday celebrated winning the Best Corporate/ Institutional Internet Bank Award in Bangladesh for 2008 by Global Finance. The bank helped to launch the Internet Banking revolution in the country. The programme was attended by the major clients of the bank who use the bank's award winning Internet Banking platform, 'CitiDirect Online Banking' for availing the bank's services. Professor Jamilur Reza Chowdhury, Vice Chancellor, BRAC University and Former Adviser to the Caretaker Government attended the programme as the Chief Guest. The programme was also attended by senior Bangladesh Bank officials.

Speaking at the occasion, Professor Jamilur Reza Chowdhury said, "The government is trying to promote usage of ICT. People will be able to avail benefits of mobile commerce as this is readily available than computers. He hoped that all banks will come forward to popularize internet banking in Bangladesh."

Citibank was selected as the Best Internet Bank in Bangladesh based on its strength of strategy for attracting and servicing online customers, success in getting clients to use web offerings, growth of online customers, breadth of product offerings, evidence of tangible benefits gained from Internet initiatives and website design and functionality.

100 people win Nokia 'Share Your Story' competition award

BUSINESS REPORT

Nokia yesterday awarded 100 winners of the "Share your story" competition which was announced in August this year.

The competition invited Nokia users to capture their favourite moments using their Nokia devices and share it through MMS or e-mail with two celebrity judges, Joya Ahsan and Apurbo. Out of thousands of submissions, the six top winners had an opportunity to win a Nokia device as well as an exclusive dinner invitation with renowned actress Joya and shopping invitation with celebrity model, actor Apurbo.

The top 100 winning entries were also selected and awarded a Nokia device at today's programme. "A picture is worth a thousand words. When we capture a beautiful moment, it can be worth much more. Taking a look at the image gives us the same feeling of joy and happiness that the person was experiencing at that precise moment. An image is an experience, a different way of telling a story." commented Prem Chand, Managing Director of Nokia Emerging Asia.

"We are delighted that our consumers responded so positively to the Share your Story competition and have shared thousands of stories with us captured through their Nokia devices. Although we are awarding only 100 consumers today, each of the submission was special and I would like to thank everyone for their participation." he added.

Buyer wins motorcycle in Singer Plus campaign

BUSINESS REPORT

Ms. Liza of East Shewrapara won a motorcycle in a Singer Plus campaign titled "Panchti TV Protidin Sathe Gari Jite Nin." She bought an air conditioner from Shewrapara Singer Plus Shop.

Winner Ms. Liza received a Singer 110cc motorcycle at a function held on October 26, 2008 at Singer Plus Shop at Shewrapara in Dhaka. Area Manager of Singer Bangladesh Limited A.F.M. Zahid, District Manager A.F.M. Habibul Imam and Shop Manager A.K.M. Fazlul Hoque were present.

Apart from 30 grand prizes including a brand new KIA Picanto car, the customers won five Color Televisions everyday during the month-long campaign.

Krishi Bank holds quarterly review meeting

BUSINESS REPORT

Khondkar Ibrahim Khaled chairman of the board of directors of Bangladesh Krishi Bank was speaking as the chief guest at the First Quarterly Review Meeting of the fiscal year 2008-2009 of the bank's Dhaka division held at its Training Institute Auditorium in the city on 25 October. Md. Mulder Hussain, Managing Director of the Bank was the special guest on the occasion chaired by the Chief Regional Manager of Dhaka Region Md. Zobair Monjur.

Deputy Managing Director Md. Joynal Abedin, General Manager (Operation) Masud Ahmed Khan, General Manager (Recovery) Md. Liaquat Ali Khan, General Manager of Dhaka Division Md. Siddiqur Rahman and all Regional Managers, branch Managers and field officers of Dhaka Region also attended the meeting.

The meeting reviewed the performance of bank branches of Dhaka Division during the first quarter of the fiscal year 2008-09 and emphasized on achieving all the business targets within the remaining period of the current financial year.

Agora 7th anniversary: Mega shopping offered prizes distributed

BUSINESS REPORT

Agora, the country's largest chain supermarket run by Rahimafrooz Superstores Ltd distributed prizes among the raffle draw winners of the mega-shopping offer arranged on the occasion of its seventh founding anniversary.

Rahimafrooz Superstores general manager Kishwar Imdad handed over the prizes to 25 lucky winners under eight categories at a magnificent function at Mirpur Agora on Saturday. Agora head of marketing MAH Ruhel Abedin, Mirpur Agora store manager Faizul Haq Ronnie and other high officials of Agora and large number customers were present at the ceremony. To celebrate the founding anniversary, Agora arranged the one-month mega-shopping offer from August 24, in which customers were given a raffle coupon for every taka 700 purchase at any of the four Agora outlets -- Rifles Square-Dhanmondi, Gulshan Avenue, Moghbazar and Mirpur (Zoo Road). The raffle draw of the coupons was held recently through which the 25 lucky customers were selected.

In the draw, M Shahzad Nafees won the first prize (a laptop), Amina Khatun and A Rahman Dhali the second prize (a refrigerator each), Saki the third one (colour TV), and Dr Shahed and Syeda Yasmin the fourth one (an air ticket each). Mr Bazlu won the fifth prize (blender) while another 18 won other attractive prizes.