Business News

Domestic markets opened on a flat note but soon bulls took over and brought some gains to start the week on a high. In today's trade, shares of Patanjali Foods, IOL Chemicals, Carysil, Tata Steel, Coal India among others will be in focus due to various news developments.Coal IndiaState-owned CIL's coal production rose 8% to 189.3 million tonnes (MT) in the first quarter of the ongoing financial year.Patanjali FoodsThe board of Patanjali Foods has approved the acquisition of the home and personal care (HPC) business from Patanjali Ayurved (PAL).Welspun Specialty SolutionsWelspun Specialty Solutions has received a contract worth Rs 117.17 crore for supply of seamless stainless steel boiler tubes.CarysilCarysil to raise funds through a qualified institutional placement which opened on July 1. The company has set a floor price at Rs 837.89 per share.Tata SteelTata Steel said its Bhubaneshwar Power stands dissolved without being wound up, effective July 1.IOL ChemicalsIOL Chemicals has received gets China’s drug regulatory authority NMPA approval for ‘Fenofibrate’, allowing the company to export it into China market.DCX SystemsDCX Systems received an order worth Rs 1,250 crore for electronic modules from L&T.

KOLKATA|NEW DELHI: Companies making smartphones, refrigerators, wearables and twowheelers said they are producing up to 20% more inventory than last year for the upcoming festive season. They expect a demand revival during the country’s largest consumption period on the back of a good monsoon and stable inflation.“There’s pent-up demand in rural India, which will be unleashed by the monsoon. People there have not bought much in the past five years, which is Covid onwards, while the premiumisation trend is continuing strong in urban India,” said Kamal Nandi, business head at Godrej Appliances.Most companies said they are going to run production at 100% from this month, with output having already begun for Onam in September. The industry expects festive sales this year will be the best since Covid, including at entry level, at least in electronics and two-wheelers. It also expects to match Diwali 2021 demand for smartphones, when lockdown-induced demand drove record sales. 111413304The Met Department has predicted an above-normal June-September monsoon. 111413308Monsoon MomentumThis has spurred expectations of a revival in farm output and rural incomes that will further boost overall growth. 111413311While two-wheeler manufacturers say the industry may be able to cross the FY19 record of 21 million units if festive demand turns out as anticipated, car sales growth has been muted since last quarter, on a high base. But momentum is expected to pick up during the festive season. The industry estimates production of cars, sedans and utility vehicles is likely to increase by up to 10% sequentially in the September quarter, from April-June. Electronic appliance manufacturers are already running plants at 100% capacity, with the industry expecting 14-18% year-on-year growth in volume this year.Four-Month BonanzaThe festive season begins with Onam and runs through Navratri until Diwali in October-November, accounting for 30-35% of annual sales for most categories. Sales have been muted for apparel, smartphones, televisions and cars in the last few quarters.