World Brief

India’s Central Statistical Organization has put thecountry’s economic growth figure for FY 1999-2000 at 6.4 percent, an upward revision from an earlier forecast of 5.9 percent. This was made known through a government statement.

GDP in the year is estimated at IRs 11.51 trillion (US$ 264 billion) as opposed to IRs 11.45 trillion estimated earlier, thus showing a growth rate of 6.4 percent against an earlier calculated rate of 5.9 percent, the statement said.

ITI Ties Up With Ericson

Ericson of Sweden has signed an accord with India’s largest telecom equipment maker, ITI Ltd. to explore and pursue IT opportunities especially in the voice-over Internet protocol sector.

Jan Chappel, director of Ericson Communications Ltd, said that the Swedish company was looking for opportunities to sell its products in India and believed that the pact would help the state-owned ITI to expand its product portfolio. S.S. Motilal, chairman and director of ITI, said that Ericson would provide ITI engineers with training along with hardware and software support. He viewed that if sales volume went up in future, there was also a possibility of manufacturing some of the products in India.

ITI is learnt to have garnered IRs 20 billion (US$ 459 million) during the fiscal year that ended on March 36.

Infosy’s Profit Doubles

Indian software giant Infosys Technologies Ltd. an nounced that it more than doubled its first quarter net profit to IRs 1.3 billion (US$ 29 m) as compared to the same period last year.

The company’s revenue also went up in the same ratio to IRs 3.7 billion from IRs 1.8 billion during the first quarter in the previous year, according to a statement made by the company.

Wipro Ties Up With BSI

One of India’s leading IT companies, Wipro Ltd. has announced a tie-up with Bussan Systems Integration Co. (BSI) of Japan to develop mobile Internet software solutions.

According to a statement made by Wipro, an offshore development centre for BSI to work in the high technology telecom areas of Internet services and wireless application areas will be established with its base in the southern city of Hyderabad. In addition, BSI will market Wipro telecom solutions in Japan, the statement added.

Coke Enters North Korea

Coca-Cola has made entry into the Democratic People’s Republic of Korea (DPRK), following Washington’s partial lift of economic sanctions against the Asian country.

The Cokes, shipped from Dandong, China’s Liaoming Province, are the first batch of beverage bearing American brands to enter the DPRK through proper channels since lifting of the sanctions on June 19 this year.

The overall US-DPRK trade volume stands at a mere US$ 2.64 m for the first quarter of the year.

Mazda Cuts Dealerships

Mazda Motor Corp. plans to close up to 40 percent of its North American dealerships in three years as part of its restructuring process, reports the Nihon Keiza Shimbun.

The automaker, controlled by US giant Ford Motor Co. aims to reduce the number of sales dealership in North America from some 929 to about 550, the newspaper states.

Japan’s fifth largest automaker, Mazda lacks any overseas plants, and has a proportion of exports to sales of 44 percent.

Auto Giants Vie for Daewoo

Auto giant of USA Ford Moter Co. is reported to have submitted a solo bid for South Korea’s insolvent firm, Daewoo Motor Co. Other top bidders are learned to be German – US joint venture company DaimlerChrysler and South Korea’s leading automaker Hyundai, which announced a consortium bid for the ailing Daewoo. Another US giant, General Motors Corp. and Italy’s Fiat SpA are also said to have submitted a joint bid for owning and operating Daewoo Motor, its sister firm Ssngyone Motor and the majority of their international operations.

Under the Fiat and GM proposal, a statement said, GM would be the largest shareholder with Fiat to own up to 20 percent.

Meanwhile, DaimlerChrysler Chairman Juergen Schrempp said that his company’s strategic alliance with Hyundai was an ideal one for expanding the German-US company’s presence in the Asian market. Under the agreement, DaimlerChrysler will acquire a ten percent stake in Hyundai Motor for US$ 428 million. Japanese auto giant Mitsubishi, which holds 4.8 percent stake in Hyundai, also is learned to have welcomed the alliance.

Ford Motor also expressed confidence in its bid, claiming that it would be the best partner for Daewoo and the Korean automobile industry.

Business Age Reporters

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