Romania – Factors to Watch on July 9

July 9 (Reuters) – Here are news stories, press reports and events to watch which may affect Romanian financial markets on Friday.

FLOODS

Kristalina Georgieva, E.U. Commissioner for International Cooperation, Humanitarian Aid and Crisis Response, is going to visit together with Prime Minister Emil Boc flooded areas from Galati county. She is also expected to meet other Romanian officials and hold statements at 1500 GMT.

ROMANIA REJECTS ALL DEBT BIDS, MKTS EYE INFLATION

Romania rejected all bids at a tender to sell 3-year treasury bonds on Thursday, signalling the finance ministry is still unwilling to sell debt at yields above 7 percent and may struggle to finance its budget deficit. [ID:nLDE6671AD]

FLOODS CUT 10 PCT OF ROMANIA WHEAT CROP TO 6 MLN T

Romania will likely reap a smaller than forecast wheat crop of around 6 million tonnes this year because of extensive floods which have sharply cut yields, the agriculture ministry told Reuters on Thursday. [ID:nLDE66719I]

ROMANIA INDUSTRIAL OUTPUT DOWN 0.3 PCT M/M IN MAY

Romania’s adjusted industrial output ROIP=ECI edged down 0.3 percent on the month in May and was up 4.1 percent year-on-year, data from the National Statistics Board showed on Thursday. [ID:nBCR000045]

* For an instant view of analysts on the data please see [ID:nLDE6670CU]

DACIA

Carmaker Dacia, controlled by France’s Renault (RENA.PA), sold 181,286 cars in the first half of the year and plans to produce 330,000 cars by the end of the year in the Mioveni factory.

Ziarul Financiar, Page 1

ECB CHIEF IN ROMANIA

ECB President Jean-Claude Trichet and other central bankers will be in Romania at the beginning of September for the 130 anniversary of Romania’s central bank, governor Mugur Isarescu said.

Ziarul Financiar, Page 3

FOREIGN INVESTMENTS

About 100 French companies plan to invest in the Romanian market in 2010, especially in the industry sector, said the trade counsellor of the French embassy in Bucharest.

Adevarul, Page 20

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Brazil lays down the law on coffee tastes, aromas

World top coffee producer Brazil is imposing legally binding standards on the quality of ground, roasted coffee sold in its shops in a bid to help encourage consumption.

Agriculture minister Wagner Rossi chose Monday, Brazil’s “National Coffee Day,” to sign a regulation which from Feb. 1, 2011, will do away with products that consistently score less than four out of 10 on a specified set of industry criteria.

“Now this is a regulation everyone has to meet … It will make Brazilian coffee better,” Rossi said after signing the law, which even apply to coffees that are imported, usually for the purpose of bringing a certain taste to a blend.

Laws prohibiting impurities in coffee above 1 percent already exist but the new rules add standards for criteria such as taste, aroma and acidity that can only be determined by the highly sensitive palettes of professional coffee tasters.

“What we hope … is that the better quality will increase consumption,” said Manoel Bertone, head of production at the agriculture ministry. Local coffee industry association ABIC, says studies show people are more likely to become coffee drinkers if they start out drinking better quality brews.

Teams of inspectors around the country will carry out spot checks on coffees taken from supermarket shelves, and roasters flouting the rules will be fined. Persistent offenders could be banned from selling their brand altogether.

Almost all of the coffee exported from Brazil is raw or “green” produce. Preferences for darker or lighter roasts differ around the world and roasters can do this fine-tuning

more accurately when closer to the end consumer or retailer.

But the government and Brazilian roasters want to ensure that, as living standards rise, the local population will not overlook home grown produce because of a perception that Brazil is better at producing quantity rather than quality.

“Those products of lower purity will have more difficulty competing,” Bertone said.

Asked whether relying on human taste buds could lead to bad coffees slipping through the net or good coffees being failed, ABIC executive director Nathan Herskowicz said tasting methods were thorough and virtually infallible.

“Sensorial evaluation is not subjective but objective because it is done by highly trained technicians. It is totally reliable,” he said.

Coffee quality is susceptible to alteration at any stage of its journey from the tree to the jar. It can be damaged by adverse weather during the beans’ development, and also

requires skilled processing after harvesting and when being roasted.

(Editing by Raymond Colitt and Lisa Shumaker)

July-August rains in India crucial for agriculture

New Delhi, June 26 (ANI): Union Agriculture Secretary T Nanda Kumar has said that rains in the months of July and August are very crucial in deciding India’s agricultural output for this year.

Briefing the media persons after meeting with Agriculture Secretaries of various states here on Thursday, Kumar said that an action plan has been charted out to tackle any odd situation.

“We need to watch the rainfall in July and August carefully and if it is distributed in time and space, well without too many dry spells in between, we will still be able to achieve the agriculture production we achieved last year,” he added.

The Agriculture Ministry has decided to issue advisories to farmers in the event of uneven rains. It was also decided that the Indian Council of Agriculture Research (ICAR) would set up a dedicated help line backed by technical manpower to address any issues on crop development in different scenario.

In the review meeting, Secretaries of Agriculture Department of various states such as Andhra Pradesh, Maharashtra, Karnataka, Tamil Nadu, Gujarat, Madhya Pradesh, Chattisgarh, Bihar and Uttar Pradesh participated.

These are the States where the peak sowing takes place in the last week of June and mid July.

The transplanting of rice in U.P., Bihar, Orissa, Chattisgarh, Andhra Pradesh continues till end of July The meeting was vital significance since the monsoon is expected to be below normal for the first time in four years which indeed has sounded like a blow to the overall slowing economy.

The Meteorological Department had mentioned that that rainfall received for the month of June has been 45 percent less than normal. (ANI)

Turkey says 11 die from alcohol poisoning

ISTANBUL, April 11 (Reuters) – Eleven people have died in Turkey in the last three weeks from poisoning caused by bootleg alcohol, the Agriculture Ministry said on Saturday.

Three German students holidaying in the southeastern Mediterranean resort of Kemer are among the dead, media reports said.

The ministry said in a statement that the 11 had died as a result of methyl alcohol poisoning and that it was stepping up inspections to prevent further cases.

It called on consumers to be careful when purchasing alcohol to make sure that it is genuine.

Among the dead were seven people who died in the northwestern province of Bursa. Most of the deaths were caused by fake raki, Turkey’s popular aniseed spirit. (Writing by Daren Butler)

Eleven dead in three weeks from bootleg spirits – Turkish ministry

Ankara – Eleven people have died in Turkey the last three weeks after drinking illegally-produced spirits, the Agriculture Ministry said Saturday. In a statement the ministry added that it was stepping up measures to stop bootleg spirits entering the market.

It said inspections had focused on the western province of Bursa, where most of the deaths had occurred and the Mediteraranean resort of Antalya, where three German youths recently died after drinking bootleg spirits.

The statement said inspections at hotels in Antalya this year had found 29 “non-standard” samples, including three that contained the deadly methanol that has been blamed for the 11 deaths. (dpa)

Russia creates retail giant with state banks-sources

MOSCOW, April 10 (Reuters) – A Russian national network of consumer cooperatives said on Friday it planned to merge its shops into a new giant company, and state-controlled banks will participate industry sources said.

The move comes at a time when many Russian retailers are struggling to survive in the economic downturn facing a decline in consumer spending and heavy debt repayments.

Analysts say the crisis provides a possibility for consolidation of the highly fragmented market, with the top 10 players controlling about 10 percent.

The 50,000-strong network, known as TsentroSoyuz, had turnover of 141 billion roubles (about $4.5 billion) last year lagging only market leaders X5 Retail Group (PJPq.L) and Magnit (MGNTq.L).

“Yes, a united retail network under the COOP brand will be created on the basis of TsentroSoyuz,” said Sergei Leonov, general director of the new company on Friday. He declined to provide details of the project.

Russian state banks including largest lender Sberbank (SBER03.MM) will set up an investment fund that will buy unspecified part of the new company, said a source in investment circles.

He said Sberbank could also bring in the new company assets it has grabbed from indebted chains, such as Krasnoyarsk-based retailer Alpi. Sberbank was not immediately available for comment.

A source with a Russian retailer said the idea was backed by Russia’s Agriculture Ministry. The new company will become the largest chain in terms of number of stores, taking the lead from Magnit which had about 2,600 stores at the end of 2008. (Editing by Jon Loades-Carter)