Letters to the Editor

Business Today readers give their feedback on magazine coverage for November 9 issue, which featured the 2014 edition for BT500 Most Valuable Indian Companies.

Companies with Higher Valuations

Your special issue on BT500 companies (November 9) is excellent. The features covering the industry titans, such as TCS, ONGC, Reliance Industries, Adani Group, have minutely analysed the facts and financials. The story on manufacturing sector in your cover package (A Formidable Task) is quite interesting. It has nicely elaborated how this sector's share in India's GDP has been falling gradually, and the marketing campaign is just not the only way to make the nation a manufacturing hub. Lastly, it is interesting to note that most of the companies had higher valuations than last year.
Abhinav P, New Delhi

A Major Problem for Account Holders

This refers to a story on corporate finance in BT500 package (Turning Tide). It is a major problem for the bank account holders, as many nationalised banks have stopped printing full details of ECS entries. Normally, the company dividends are always directly credited to shareholders' bank accounts. And it is very difficult, also time consuming, to get details of such ECS entries unless one has first hand information of such receipts. So, the Reserve Bank of India must take some major steps for smooth functioning of the ECS system.
Mahesh Kapasi, New Delhi

Gold Is Not Losing Its Glitter

This refers to a story on gold trade (Losing Its Glitter, October 26). Definitely, gold is not losing its glitter. The fall in price and demand for gold is only a temporary phase. India continues to be the largest importer of gold. Apart from Indians' traditional craze for gold, people use it as an investment option. Golds biggest rival in India is bank deposit. If bank deposit interest rate is low, people invest in gold and when deposit interest rate is high, they keep their savings as bank deposits. But no investment other than gold can beat inflation. To control gold prices, the government should increase deposit rates and put a cap on gold imports which will stabilise the falling rupee value. If India imposes a ban on gold imports, world gold prices will crash. But some political and economic will is required to achieve this.
S Raghunatha Prabhu, Alappuzha