Promoting India Latin America Collaboration

Chile Uses Solar Energy to Power Agricultural Irrigation Systems

EcoWorldly

An area in northern Chile has created a novel solution to their agricultural irrigation needs. Why not power water pumps with natural sunlight?

Four new solar powered irrigation systems were developed by a team consisting of Chile’s National Energy Commission along with Chile’s Agriculture Ministry and a regional government. Each system has a generator that can produce up to 500 Watts of energy. When there is not a need for irrigation, the energy produced by the solar power systems goes back into the general electricity grid.

The Chilean government plans to continue providing assistance with solar panels and alternative energy in this region of the country, as well as other areas. A company named Endesa Chile is also planning to build the country’s first solar plant in the northern deserts, where sunshine is abundant.

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Suzlon arm to spend $5 bn on green energy

Business Standard

Suzlon Energy Chairman and Managing Director Tulsi Tanti announced the company’s plan at the 2008 Clinton Global Initiative (CGI) of former US President Bill Clinton in New York, said a press statement issued by Suzlon.

Of the total project value of $5-billion, Suzlon Green Power will provide approximately $1.5 billion in equity. Suzlon Green Power will acquire existing green power assets and greenfield power projects.

“Suzlon Green Power’s business model will offer us an asset-based, long-term annuity income while mitigating the twin challenges of global warming and climate change. It also adds greater vertical integration to our holdings, building the value of our businesses in the long term,” said Tulsi Tanti.

The company estimates that its projects will create 1,000 jobs directly and many times more indirectly and will reduce 7 million tonnes of carbon dioxide emission each year.

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Anil Ambani promoted ADAG Group slots USD $13.3 billion for green energy

Business Standard

Anil Dhirubhai Ambani Group (ADAG)-promoted Reliance Power (R-Power) is planning to invest over Rs 60,000 crore (USD $13.3 billion at 1USD ~45INR) in renewable and alternative energy resources such as hydroelectric, wind, solar and fuel cell-based power.

R-Power Chairman Anil Ambani said the company was planning to generate about 5,000 MW from hydroelectric energy and that most of the projects for the same would come up in water-abundant northeastern states. He was addressing the company’s 14th annual general meeting (AGM) in Mumbai.

Ambani said R-Power had engaged international companies such as Halcrow of the UK, SNC Lavlin of Canada and SMEC of Australia to assist in various aspects of their hydro projects.

The global financial crisis, the official said, would not affect the company’s fund-raising plans as its balance sheet was well capitalised through money raised from its recent initial public offer (IPO). The company had mobilised around Rs 11,500 crore through the IPO.

Commenting on the wind energy sector, Ambani said ADAG was currently setting up facilities for 150 MW wind power in Maharashtra and had plans to add 500 MW over the next three years at suitable locations.

A source said R-Power has placed equipment orders for 150 MW with wind energy major Suzlon. New wind power installations would come up in Maharashtra, Karnataka and Gujarat before December 2009.

Recent initiatives announced by the Government of India for Grid Interactive Multi-Megawatt Solar Thermal Power had given a boost to the solar power market in the country, he said, adding that R-Power was considering the possibility of setting up a one-of-its-kind, 100 MW grid interactive concentrating solar power (CSP) plant through an exclusive alliance with a technology provider.

R-Power was also evaluating the techno-commercial feasibility of commercially producing reformer-based cells and hydrogen technology in India. The company was in an advanced stage of discussion with a global firm on the design, development and manufacture of the same, he said.

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Building fashion empires of their own


International Herald Tribune

Some insiders believe that Indian brands, which already have a majority share of the country’s luxury market at their fingertips, are more attractive to investors than local designers in other emerging economies.

“Why smaller versions of the European conglomerates?,” asks Akshaya Chauhan, a director of the Fashion Design Council of India, who believes that nascent Indian conglomerates have every reason to dream big and try to match the scale of LVMH one day.

Unlike in Russia, China or Brazil, fashion consumers in India continue to favor traditional or fusion dress over imports. That gives Indian brands an edge over international luxury brands, Chauhan said, adding, “The average discerning consumer will take time before graduating to wear all-Western clothes.”

Anil Chopra, vice president for Lakme, the beauty company that sponsors Lakme Fashion Week, has seen more deep pockets sitting in the front rows of Mumbai’s fashion shows than ever before.

“Over the last two to three years, there has been a high degree of interest from potential investors in the Indian fashion business,” Chopra said. “Some are purely private equity funds, while others have been more strategic in nature, who will bring in expertise in the processes, contacts and so on.”

Mass- and mid-market Indian apparel retailers, like the Pantaloons chain and Reliance Industries, have recently spun off companies dedicated to acquiring new fashion brands. Their respective subsidiaries, Future Brands and Reliance Retail, are reportedly looking for local brands to develop.

Meanwhile, designer brands on the catwalks of New Delhi and Mumbai have already caught the eye of Sanjay Kapoor, managing director of the holding company Genesis Colors. This summer, Genesis was injected with an investment of 1.1 billion rupees , or $24 million, from a private equity consortium led by the U.S. firm Sequoia Capital Fund.

“Mr. Kapoor has invested in local brands, like Satya Paul and home-grown designer Deepika Gehani, with the goal of turning small-scale family businesses into commercial enterprises,” said Bandana Tewari, fashion features editor at Vogue India.

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South American Leaders Hail Closer Ties

efluxmedia

South American leaders gathering at the United Nations this week have been touting their own new political union, which was hailed as a coming of age for the continent.

The regional leaders gathered for a closed-door meeting Wednesday of the Union of South American Nations, a collection of 12 countries.

Chilean President Michelle Bachelet, who hosted the body’s first emergency meeting last week, hailed the union as a signal that South America could finally manage its own problems.

Last week’s Santiago summit, which dealt with a political crisis in Bolivia, “tells us that the values of democracy, dialogue, human rights and peace are becoming stronger than ever in Latin America,” Bachelet said.

“It tells us that the region wants to leave behind the dark moments of its history,” she said in a speech before the UN General Assembly.

South American leaders offered strong backing to embattled Bolivian President Evo Morales at the Santiago meeting, warning the country’s opposition to refrain from staging a coup and splitting the country. The unrest in resource-rich eastern Bolivia has centred on the region’s demands for greater income from natural gas deposits and provincial autonomy.

Morales welcomed the support in his own speech before the assembly Tuesday and launched into a tirade against the United States, whom he accused of fomenting the unrest in Bolivia that has left at least 25 people dead. Bolivia earlier this month expelled the US ambassador from La Paz.

Brazilian President Luiz Inacio Lula da Silva echoed Bachelet’s remarks in his own address Tuesday. He noted that while advanced economies were battling a financial crisis, developing countries in the Southern Hemisphere were gaining strength and political power.

The South American union gave the region a capacity to find solutions to its own problems without looking to the continent’s northern neighbour, Lula said.

The bloc, launched in May, consists of Argentina,
Bolivia, Brazil, Chile, Colombia, Ecuador, Guyana, Paraguay, Peru,
Suriname, Uruguay and Venezuela.

Yet the region is still pushing trade ties with the world’s
largest economy. US President George W Bush on Wednesday met with 11
Latin American leaders at the Council of Americas in New York,
launching a new forum to boost trade between the two continents.

Popularity: 3% [?]

FDI in Latin America, Caribbean hits record 126.3 billion dollars for 2007

Earth Times Finance General

Foreign direct investment (FDI) in Latin America and the Caribbean reached a record 126.3 billion US dollars in 2007, the United Nations Conference on Trade and Development (UNCTAD) said Wednesday in the Chilean capital Santiago. UNCTAD expected the figure to continue to rise in 2008.

Brazil, Mexico, Chile and Argentina
received a combined 67 per cent of the inflow, with Brazil alone claiming three out of every 10 dollars that arrived in the region.

In total, South America obtained 72 billion dollars in FDI in 2007 – a figure that is larger than the combined gross domestic products of Bolivia, Ecuador and Uruguay.

Central America and the Caribbean, aside from tax havens, saw an increase in FDI received to 34 billion dollars, but the UNCTAD report warned that this might be at risk in the face of the ongoing credit crisis in the United States.

Brazil alone received 28 per cent of FDI in the region, followed by Mexico at 21 per cent, Chile at 11 per cent, the Cayman Islands at 9 per cent, Colombia at 7 per cent and Argentina at 4 per cent.

UNCTAD said that the rise in investment was tied to the high prices of commodities.

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Uruguay Grants Land for ZAP Electric Vehicle Assembly Facility

MarketWatch

The government of Uruguay, in a move to expand investment in new industries and technologies, has set aside land for an electric vehicle assembly plant expected to begin construction next month by US electric car pioneer ZAP.

The State of Montevideo has granted an acre of land to ZAP within an industrial and technology park established for projects of national interest through CAPIT (Comision Administradora del Parque Industrial y Tecnologico del Cerro). According to Fernando Cancela, ZAP’s Director of International Affairs, ZAP plans to break ground by next month on a comprehensive facility for the assembly of light electric vehicles, including the Xebra brand, three-wheeled electric sedans and trucks, the ZAPPY3 scooter, and ZAP electric bicycles for distribution throughout South America.

MERCOSUR is a trade agreement established in South America to promote free trade and fluid movement of goods, people and currency. The region represents a population of over 250 million in Argentina, Brazil, Paraguay, Uruguay, Bolivia, Chile, Colombia, Ecuador and Peru. MERCOSUR-certified products exported within the region enjoy little or no taxes.

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Industry experts say mining’s future shines

Peru, Chile and Brazil are in the sweet spot.
San Jose Mercury News

Every segment of the mining industry and the companies that support it continue to enjoy great success with no end in sight despite trouble on Wall Street, industry leaders said Monday at a national conference and trade show.

Much of the optimism can be attributed to the unprecedented demand from China and India, said Harold Quinn, president and CEO of the National Mining Association.

“The boom in worldwide mining activity and the equipment to bring those products to market has arguably been the biggest economic success story of the year,” he said at MINExpo International 2008, which opened Monday in Las Vegas. He expects the gathering to be the largest ever with more than 35,000 attendees—twice as many as the last such expo in 2004.

Timothy W. Sullivan, president and CEO of equipment manufacturer Bucyrus International Inc. and chairman of MINExpo 2008, said the record size of this year’s exhibition is an indication of the strong market conditions for mining and mining equipment.

“We’ve had an unprecedented run over the last few years, thanks largely to the developing world’s powerful and sustained demand for copper, gold, iron ore, coal and other products of mining,” he said. “We see nothing near term to dampen the bullish outlook.”
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Colombia, Peru presidents urge quick EU trade deals

News | Africa – Reuters.com

Peru and Colombia, frustrated by slow region-to-region free trade talks between the EU and South America’s four Andean countries, have formally asked Brussels to pursue swifter bilateral negotiations with them.

The free-market presidents of Peru and Colombia made the proposal this month, trade officials told Reuters, underscoring their split with Bolivia and Ecuador, whose leftist leaders are more wary of liberalising trade with Europe.

The EU has long favoured negotiating free trade deals on a region-to-region basis as it tries to replicate its multilateral model around the world and to foster bigger, regional markets that are more attractive to its exporters.

But time is running short as the term of the European Commission, the EU’s executive, is due to end in November 2009.

The United States has already negotiated a trade deal with Colombia but it has been blocked by opposition in Congress. A U.S.-Peru trade deal is due to come into force in January.

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World food balance unclear for next decade-France

Forbes.com

World farming will face uncertainty for at least 10 years over how far supply and demand can be balanced, implying little short-term relief from price volatility, the EU’s leading agricultural producer France says.

In a working paper authored by France and being discussed by EU agriculture ministers at an informal meeting until Sept. 23, Paris says uncertainty about how much food to produce to meet demand will be the main issue to shape farm policy.

“An increase in agricultural productivity, in conjunction with the emergence of second-generation biofuels which compete less with food production, should reduce the tension on certain commodities markets,” the paper says.

“However, at least for the next decade, agriculture will probably have to face uncertainty about the final balance between supply and demand,” it says.

Farming experts say recent price rises in key food commodities such as cereals, rice, livestock and dairy products can be attributed to a global range of diverse factors, both temporary and structural.

They include unpredictable weather in key producer countries, structural changes in demand, high oil prices, development of biofuels and changes in consumer eating habits in countries like China, Brazil and India.

A broad consensus had emerged that there would be greater price instability due to wider opening of markets, more public health crises and climate change, which would increase the scale and frequency of unforeseen natural events, the paper said.

Agricultural policy strategies in major producer countries like Brazil and the United States would be key for price development, as would those in major consuming areas like China and India in terms of how demand might develop, it said.

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