hi srikrishnan,

since your asking several questions, may i ask you to join the scribus 
mailing list? it's not easy for us to answer to the mail you send 
through the contact form.

http://lists.scribus.info/mailman/listinfo/scribus


> 1. Now the option is only for Displays we need to extend it for Inline  
> equations (that should be moved along with text when alignment changes).
>   

you can copy paste the render frame into a text frame: it will then be 
inline (works at least with 1.3.6+)

> 2. Now the Equations are rasterized with Scribus pages, instead of that if it 
>  
> is vectorized (eps, svg), it would be more helpful
>   

in 1.3.6+ if you choose the experimental pdf embedding while exporting 
to pdf, the equation won't be rasterized.


hth
a.l.e


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