The Ericsson AB, the world's largest maker of mobile-phone networks, has emerged as the lowest bidder in the mega tender for 45.5 million GSM lines floated by Bharat Sanchar Nigam Limited (BSNL), India’s largest and 100% government owned telecom company. The Swedish telecom has reportedly quoted $107 a line. Finland’s Nokia Oyj, the world’s largest mobile phone maker was the second lowest bidder at $177 a line. The terms of the tender suggest that the lowest bidder will get 60% of the order, while the second lowest bidder will get the remaining 40% order provided it agrees to supply at the lowest bid price only. With $107 dollar a line pricing, the total value of 45.5 million lines tender comes to $4.87 billion (Rs. 22,000 crore). Out of the five telecom equipment manufacturers who had submitted their bids, Ericsson, Motorola, Nokia, Siemens and ZTE - BSNL had earlier disqualified Motorola and ZTE on technical grounds. The final award might take place in November this year, according to media reports. The final decision, however, might get delayed as Motorola has already moved to courts challenging the BSNL decision to disqualify it.

The central government has cleared 34 new proposals for setting up special economic zones (SEZs), taking the total number of SEZ proposals cleared at 364. Out of these 364 proposals cleared, 212 proposals have obtained formal approval, while the remaining 152 proposals have received in-principle approvals. In August 2006, the Indian government had lifted the cap on the number of SEZs to be established in the country, which was earlier fixed at 150. SEZs are special regions designated for economic development oriented toward inward foreign direct investment (FDI) and exports, and are deemed to be foreign territory for the purposes of trade operations, duties and tariffs, offering fiscal incentives and simpler customs, banking and other procedures. The Board of Approvals (BoA) in the Ministry of Commerce considers the new proposals for setting up SEZs.

Prime Minister Dr. Manmohan Singh has set the target of 10% growth rate in the final years of the 11th five-year plan for 2007-2012. The average growth rate for the five-year period has been aimed at 9%. Dr. Singh set the targets in a meeting of the full Planning Commission on October 18, which discussed the approach to the 11th Plan. The approach to the 11th Plan has certain monitorable targets such as doubling farm growth to about 4% from the current level of less than 2% per annum, creating 70 million jobs, reducing educated unemployment to below 35% and raising real wage rate of unskilled workers by 20%. The Planning Commission, which is chaired by the Prime Minister himself, is responsible for preparing the draft of the five-year plan—a blueprint of the developmental activities supported by the center and the state governments and the fiscal management of the government. After the approval by the Planning Commission, the National Development Council (NDC) will consider the draft for final approval in December 2006.

The Indian drug-makers, traditionally having their strength in the generic drug space, are now emerging in the area of research and development also. Mumbai-based drug-maker Glenmark Pharmaceuticals Limited has marked a milestone by licensing its diabetes drug GRC 8200 to Germany's Merck KgaA, the oldest pharmaceutical and chemical company. The drug is currently in Phase-II, or mid-stage trials. Glenmark, the mid-size Indian pharmaceutical company with market capitalisation of about $1 billion, is expected to earn up to $238 million (Rs. 1075 crore), including an upfront payment of $31.4 million (about Rs. 140 crore) as well as various milestone payments. Once the drug is commercially introduced in the market, Glenmark would supply the active ingredient to Merck and would receive royalties on the net sales of the drug.