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new ministerial pack, 17 new faces on board, major portfolios reshuffled

Prime Minister Manmohan Singh sought to shake off the perception of an inert government with a major revamp of his council of ministers, inducting 17 new faces and elevating five to cabinet rank, in what is possibly the last rejig before the 2014 elections. The new portfolios were announced on October 28.

Congress general secretary Rahul Gandhi did not join the government - leaving the field open for him to play a larger role in the party.

Several key portfolios changed hands, some new faces were introduced, some elevated to cabinet rank and at least one old face - Shashi Tharoor - was back in an exercise that jettisoned tainted ministers like Subodh Kant Sahay and roped veterans like Ambika Soni and SM Krishna back into the party organisation to gear up for the 2014 electoral battle.

“It is a combination of youth and experience,” Manmohan Singh said after the ceremony at the Rashtrapati Bhavan where President Pranab Mukherjee administered the oath of office.

“The road ahead is full of challenges,” he said, expressing hope that this was the last such exercise before his UPA-II government heads for elections.

Of the seven new ministers sworn in with cabinet rank, two are debutants - former

Rajya Sabha deputy chairperson K Rahman Khan and Congress MP Chandresh Kumari Katoch. The other five - Ajay Maken, MM Pallam Raju, Dinsha Patel, Harish Rawat and Ashwini Kumar - have been elevated to cabinet rank.

Fifteen ministers of state were also sworn in.

In the reshuffle of berths, Salman Khurshid, who has been battling allegations of graft, got external affairs. His previous ministry, law, went to Ashwani Kumar. Khurshid had served as junior foreign minister under PV Narasimha Rao in the 1990s.

Pallam Raju was made human resource development (HRD) minister in place of Kapil Sibal, who was left only with communication and IT. Pallam Raju’s minister of state in HRD was Tharoor, who had to resign as minister of state for external affairs in 2010 over a controversy regarding his alleged conflict of interests in the affairs of the Kochi IPL cricket team.

The crucial railways ministry, which had long been with one-time ally Trinamool Congress, was given to PK Bansal.

M Veerappa Moily was given petroleum, while his previous responsibilities of corporate affairs and power were splitSachin Pilot was elevated as minister of state with independent charge of corporate affairs and Jyotiraditya Scindia got independent charge of power. These two ministers are known to be close to Rahul Gandhi.

Rawat was made water resources minister and Katoch union culture minister. Maken was elevated as housing and poverty alleviation minister and Dinsha Patel as mines minister.

S. Jaipal Reddy got science and technology and Kamal Nath got additional charge of parliamentary affairs besides urban development.

Amongst the ministers of state sworn in were Congress spokesperson Manish Tewari who got independent charge of information and broadcasting. Earlier with Soni, the ministry has been downgraded.

Telugu actor Chiranjeevi, whose PRP merged with the Congress, got independent charge of the tourism ministry. Tourism is one of the country’s major foreign exchange earners.

Special attention was paid to Andhra Pradesh, where YS Jaganmohan Reddy has been gaining in influence and where Telangana issue has split ranks. It got the maximum representation of six with five new faces and one elevated to the cabinet rank.

Besides Pallam Raju, there was Chiranjeevi, Kotla Jaya Surya Prakash Reddy, Sarve Satyanarayana, Porika Balram Naik and Killi Kruparani.

There were also three new faces from West Bengal - Adhir R. Chowdhury, Deepa Dasmunsi and A.H. Khan Chowdhury, all known to be fiercely opposed to state chief minister Mamata Banerjee, whose Trinamool

Congress broke ranks with the ruling coalition recently to bring about several ministerial vacancies.

Apex industry chamber CII welcomed the reshuffle and said: “India’s young demographics is starting to get reflected in the political leadership of the country, which is only natural.”

The opposition was not so impressed.

Describing the rejig as a “desperate move”, BJP spokesperson Nirmala Sitharaman said “no major decision was taken and no corrupt minister dropped”.

Activist-politician Arvind Kejriwal, who had earlier this month produced documents of alleged financial bungling by a trust run by Khurshid and his wife, was equally scathing. “Corrupt people are not just protected but also rewarded,” he tweeted.

The Samajwadi Party chief Mulayam Singh Yadav predicting an early Lok Sabha election. There was also intense speculation that S Jaipal Reddy had been eased out of the petroleum ministry due to corporate pressure. But the Congress veteran made it clear that Manmohan Singh had taken him into confidence before moving him to the science and technology ministry. “The prime minister took me into confidence about the change in my portfolio and that was enough for me,” he told the media. “I have never in my life haggled or bargained for portfolios.”

Amid mounting allegations of corruption and poor governance, the Congress is determined to put its house in order in the run up to the 2014 general election. The reshuffle is widely seen as a move in that direction.

As many as 16 of the newly appointed and elevated ministers joined work on October 29, despite it being a restricted holiday on account of Balmiki Jayanti.

The cabinet ministers who assumed charge included Railway Minister Pawan Kumar Bansal, Law and Justice Minister Ashwani Kumar, Petroleum and Natural Gas Minister M. Veerappa Moily, Minority Affairs Minister K. Rahman Khan and Parliamentary Affairs Minister Kamal Nath. Khurshid assumed office within hours of being sworn-in.

Among the ministers with independent charge, Manish Tewari took charge of information and broadcasting, KH Muniyappa got micro, medium and small enterprises and Bharatsinh Solanki got drinking water and sanitation.

The ministers of state were Kotla Jaya Surya Prakash Reddy and Adhir Ranjan Chowdhury (railways) Jitin Prasada (human resource development), K.C. Venugopal (civil aviation), Kruparani Killi (communications and IT) and Ranee Narah (tribal affairs).

The Congress has taken charge of the railway portfolio after a gap of 17 yearsminus the short spell when CP Joshi of the party held charge of the ministry after the Trinamool Congress quit the government.

Commenting on his new portfolio, new Petroleum Minister Moily said he would not keep things pending. “There is $50 billion worth of foreign investment waiting.”

Tewari said his job was not to regulate the media but to ensure a level playing field for everyone.

Scindia, a young MP from Madhya Pradesh termed power as an “extremely strategic and important” sector.

“It is a daunting challenge, and I look forward to the support and guidance of ministry officials and colleagues in other departments,” the young MP from Madhya Pradesh told reporters.

India’s central bank eases money supply to push growth

The Reserve Bank of India on Oct 30 cut a key policy rate by 25 basis points to release some Rs.175 billion into the system for commercial lending with the hope that it will keep inflation under check, while also pushing growth.

The cash reserve ratio, or the money against deposits which commercial banks have to retain in the form of liquid assets such as cash, has been cut to 4.25 percent from 4.5 percent.

These changes were effected during the second quarter review of the monetary policy for this fiscal conducted by RBI Governor D. Subbarao at the central bank’s headquarters at Mint Street in downtown Mumbai.

“The reduction in the cash reserve ration is intended to pre-empt a prospective tightening of liquidity conditions, thereby keeping liquidity comfortable to support growth,” Subbarao said, explaining the rationale of the policy action.

All the other policy rates and reserve ratios were kept unchanged.

Boeing’s Chinook set to win Indian heavy-lift chopper tender

US Boeing’s Chinook CH 47F helicopter is set to win the Indian Air Force’s helicopter tender, defeating the Russian Mi-26 in the open international tender by a decent margin.

The tender was opened recently in the presence of representatives of both the companies, and according to reliable sources, the quote by the US company was “surprisingly much lower” in both the initial and lifecycle costs.

Russia - and the erstwhile Soviet Unionhas been the biggest supplier of aircraft and defence equipment to India, but all these so far have been acquired on the basis of government-to-government agreements.

With the loss of the heavy-lift tender, Russia has lost both the competitive tenders in India in which it participated, the other being that of combat helicopters. In that, Russia withdrew its Mi-28, and Boeing’s Apache AH 64D won on both technical and financial merit. Earlier, the Russian Mig 35 lost against the French Rafale in the sixcorner combat jet competition on technical grounds for 126 combat jets for the IAF.

The IAF had issued tenders, officially called request for proposals (RfPs), after evaluating globally available machines for 22 combat and 15 heavy-lift helicopters.

The result for the combat helicopters was announced earlier, and for the heavy-lift, it should be officially announced within a few days. But the sources confirmed that the Chinook is L-1, or the lowest in acquisition and maintenance costs in the official jargon.

Notably, the IAF has been using the Mi-26 for a quarter century now, and there appeared to be a leaning towards this machine because of familiarity and the fact that it can carry more weight than the Chinook. But Russia does not make this helicopter any more, and even with refurbished machines perhaps, its projected costs are higher.

The Chinook is a much more versatile machine, and the only helicopter in the world that can also float on water for launching and recovering inflatable boats with commandoes. In terms of operational capability, while the Mi-26 can carry more weight, it is nowhere near the American machine.

In fact, in the Himalayan heights, the Mi-26 has sometimes had problems in taking off and small runways had to be built to give it some lift.

According to Lt.Gen. (retd.) B.S. Pawar, an expert on rotorcraft, the newer version of the Chinook, which India will get from the US, is a proven machine and perhaps the best in comparison to other helicopters. “It is versatile and has proved as a great workhorse both in Afghan and Iraq operations in heavy logistic roles.”

“Chinook will be useful not only in ferrying under-slung artillery guns and jeeps but also be useful for integrated day and night commando operations for which it is well-equipped,” Lt. Gen. Pawar observed.

Despite dip in turnout, Indian GP a smashing success

The Formula One Indian Grand Prix might have seen a steep fall in spectator turnout, but it had all the makings of a Bollywood masala flick, and that thrilled the 65,000 fans who did not mind commuting almost three to four hours to watch the show.

There was drama, high octane action, romance and plenty of star power.

The circuit might have been far from any inhabitable area, but the organisers did everything in their power to make it comfortable for the fans driving in.

Like last year there was a shuttle service which was provided from the car park to all ticket holders, making it a bit easier for them to reach the circuit.

Vodafone, who are one of the sponsors of the McLaren team, paid off the day’s toll tax so that the traffic could flow smoothly on the DND flyway.

A random survey showed that a lot of youngsters, who were there at the inaugural race last year, were there this time, too. At least five out of ten youngsters IANS talked to in the Main Grand Stand, said they were coming a second time for the race.

It was seven-time world champion Michael Schumacher’s last race in India and it had all the emotions packed in it. Alas, the great man failed to complete the race and there was no farewell befitting his stature.

Indian cricketer Harbhajan Singh came as a guest of the Ferrari team and was seen with Bollywood actor Geeta Basra, said to be his girlfriend.

Among others spotted were Bollywood actors Neha Dhupia, Gul Panag, Dino Morea, Sonali Bendre with her husband Goldie Behl, Mandira Bedi and Bengali actress Locket Chatterjee.

Olympians too turned out in numbers. Sushil Kumar (silver medallist in London), Vijay Kumar (silver medallist), Gagan Narang (bronze medallist), Deepika Kumari and Vijender Singh were all there. Narang also had the honour of waving the chequered flag with Hrithik Roshan excusing himself at the last moment.

F1 management and Jaypee Group, promoters of the Indian GP, remained unfazed about the 30,000-dip in the number of spectators for the second year of the race at the Buddh International Circuit (BIC) after a massive 95,000 packed the circuit for the inaugural race last year.

The BIC capacity stands at over a 100,000. A top Jaypee official told IANS that only 3,000 complimentary passes were distributed.

Those who came got to see history being written as Red Bull’s Sebastian Vettel recorded his fourth consecutive victory. The German driver, currently the championship leader, became the first person since the legendary Brazilian driver Ayrton Senna in 1989 to have led every lap for three races in a row.

It was Ferrari’s Fernando Alonso, however, who took the cake as the crowd favourite. During the drivers’ parade before the race, the crowds went bonkers to get a glimpse of the two-time former World Champion.

When the Spaniard, who started in third position, overtook Vettel’s teammate Mark Webber on the back straight for second place, the crowd went into a frenzy, clapping and cheering for him and waving the Ferrari flag.

Last year the Circuit courted controversy. This time around it was devoid of any such incidents and was managed very well. That sends out a clear message that the Indian GP is here to stay.

Has F1 helped Indian motor sports?

After two successful editions of the Indian Grand Prix, it is probably the best time to raise the question: Has the arrival of Formula One helped the country’s motor sports?

The glitz, glamour and the adrenaline rush associated with F1 has surely grabbed the attention of sports fans in this cricketcrazy nation. But has it done enough to produce another Narain Karthikeyan and improve the domestic circuit?

All that seems to be work in progress. Federation of Motorsports Clubs of India (FMSCI) president Vicky Chandhok told IANS that the race has been a boon for the country but he doesn’t see another Indian F1 driver on the grid anytime soon.

“Since the first race in 2011, we have seen a 30 percent growth in the number of events including all categories. So, that has been a big positive. But if you ask me about the next F1 driver from India, I don’t see that happening for the next eight years. How are you going to get the money to get there,” Chandhok told IANS.

A Formula One aspiring driver needs around $10 million to land himself a seat for a full season in small teams like HRT. Karthikeyan and Chandhok’s son Karun are the two Indians who have driven for F1 teams. But for them success was hard to come by.

Three-time F1 world champion Jackie Stewart, during the inaugural Indian GP, had stressed on the importance of good tracks in India.

But the growth in the domestic circuit has been sluggish.

Talks are on for hosting a round of the JK Tyre National Championship, premier domestic series, at the Buddh International Circuit (BIC). The championship so far has been confined to Chennai and Coimbatore, the two hubs of motorsports in the country. Karting, considered a breeding ground for a future Formula One car driver, takes place only in Hyderabad, Kolhapur and Coimbatore.

The scene is no better in biking as well. The machines used in the existing series also don’t give the budding talent a platform to get noticed, forcing them look towards Europe.

“Hosting a Formula One race can’t do much in improving the grassroots. F1 is only the cream at the top. You need to have enough race tracks especially in a big country like India. You got to give the youngsters a decent car to drive. Like the way you have in Europe.”

“You start with karting, compete in Formula Renault or F3 for a couple of seasons before thinking about F1,” Gary Anderson, former racing car designer and currently a F1 expert for BBC, told IANS.

From the drivers’ point of view, Karthikeyan says there is still a long way for Indian motor sports.

“Nothing happens overnight. It is good that F1 has come to India. It has helped in getting the corporate interest in the sport. But still the major chunk of the sponsors are still inclined towards cricket. I have been rather lucky to get TATA’s support. It would take another 5-8 years India before makes its presence felt on the world stage,” Karthikeyan had said ahead of the Indian Grand Prix.

Karthikeyan feels the only competitive Formula car series in the country is the MRF Formula 2000, which was run as a support race in the Indian Grand Prix.

It would be fair to say that getting a Formula One race has little to do with the progress of the sport in a region.

IANS

India is a country with many, many facets in which a single picture speaks in thousands of words. Enjoy these moments captured during the festival season as people celebrate their faith in a medley of colour, tradition and spirituality.