Indian Economy - News & Discussion 27 May 2012

krishnan · Post by **krishnan** » 12 Jan 2013 16:11

would be hard with kovai, so much has to be done, even drainage system , it has open drainage system.

shyamd · Post by **shyamd** » 12 Jan 2013 16:14

Coimbatore has a long way to go still.

Coimbatore development projects only on paper

C P Sajit, TNN Jan 7, 2013, 02.22AM IST
Tags:

COIMBATORE: Driving through the small stretch between Athupalam Toll Plaza and Ukkadam Bus Stand continues to remain an ordeal for people entering the city from Palakkad and Pollachi. Vehicles move at a snail's pace on this route because of the toll gate and thriving illegal constructions opposite the Ukkadam lake bunds. Owners of buildings and shops in the area vehemently oppose expansion and thus the district administration evolved an alternative plan last year to build an over-bridge from Ukkadam junction to Athupalam junction to ease congestion. Residents who frequent this route were elated when the district collector announced the project last year but nothing has happened so far. The proposal gathers dust in government files while the congestion on the route continues to grow.

It is the same situation in the case of a flyover proposed in the busy Gandhipuram Junction. This project was also shelved due to opposition from local traders, who fear it would affect their commercial interests. As a result, Gandhipuram is now choking with vehicles while motorists taking deviations to Sathyamangalam, Mettupalayam and Salem are feeling the heat. Driving through 100-feet -road in Gandhipuram also remains troublesome because of the huge high tension electric towers in the middle of the road. A proposal to run the lines underground to ease traffic is caught in red tape. Other projects caught in red tape include the renovation of Selvapuram-Puttuveeki-Kovaipudur road to decongest Palakkad Highway.

Infrastructure development in Coimbatore continues to be stalled by red tap because of a variety of reasons. The insensitive political class and bureaucracy contribute to the delays. Although many development schemes were announced last year, not much has happened," said K Kathirmathiyon, secretary of Coimbatore Consumer Cause. The much hyped airport expansion has gone nowhere as there was no serious effort to acquire required land. Lapses in land acquisition are now delaying completion of the gauge conversion on the Coimbatore-Pollachi rail route, he added.

Promises of building multi-level parking facilities in the city remained on paper for the last seven years. The Western Bypass Road connecting Palakkad Road with Mettupalayam Road also remains only on paper. During the DMK regime, consultants were appointed for this project and a detailed project report was prepared and approved. But nothing happened after that. The new AIADMK Government chose to start the project from scratch.

Regular water supply still remains a distant dream. With the expansion of corporation limits, the new areas face severe water crisis and there are no plans on the cards to resolve the issue.

According to M Kandhaswami, former president of Coimbatore District Small Industries Association, it is a matter of concern that Coimbatore does not see the completion of several development projects. The power crisis further delays such projects, he said. He feels it is essential for the government to intervene to solve these issues.

M Krishnan, former president of Indian Chamber of Commerce and Industry, said that the new year should begin with positive work. If trade and industry has to flourish, the long pending demand for international airport should be addressed. The government should develop infrastructure in this region to attract investment and create job opportunities.

JE Menon · Post by **JE Menon** » 12 Jan 2013 18:11

Thanks a lot for that guys... Haven't been back home to India since 2008

Arjun · Post by **Arjun** » 12 Jan 2013 20:55

Manish Tiwari, comes up with a predictably slimy pull-down of the only economic event of the past 2 years to have promised any hope:

Vibrant Gujarat: Congress reminds corporate biggies of Nazi Germany

Vinaji, Any comments about this unadulterated moron from the Congress?

vera_k · Post by **vera_k** » 12 Jan 2013 21:54

Mass migration of people from northern states to the southern states due to higher fertility in the northern states was anticipated to cause a lot of strife. It bodes well that the migration is happening smoothly.

Theo_Fidel · Post by **Theo_Fidel** » 12 Jan 2013 23:19

vera_k wrote:Mass migration of people from northern states to the southern states due to higher fertility in the northern states was anticipated to cause a lot of strife. It bodes well that the migration is happening smoothly.

So far. The questions will come when these folks acquire voting rights and begin to demand things. That's when takleef typically begins. If the economy hits a bump is another natural conflict point. They are trying but Tamil appears to be a struggle for many of them to learn. I heard some of the most atrocious Tamil a couple of Idhisa types who had been in Chennai for 10+ years.

disha · Post by **disha** » 13 Jan 2013 06:07

Butter up!

Arjun · Post by **Arjun** » 13 Jan 2013 17:14

Kanchan Gupta reads the tea-leaves correctly: Vibrant Gujarat to Vibrant India

As for Sibal’s eloquent statement, it is amusing to note that it flies in the face of the claimed policy of the Government of which he is a Minister, a policy which he has defended from various public fora in the past while ridiculing justified and reasoned criticism. Warning against ‘foreigners’ who come to India to do business, Sibal said, “People from foreign countries came to India for business and then became rulers of the country. Today they are again coming to do business here and divide us. We must be careful of them.”

This is the same Minister who mocked at the Opposition’s concerns over foreign direct investment in multi-brand retail during the Winter Session of Parliament. He also happens to be a member of a party whose president came to India from foreign shores with no declared intention of participating in politics and has now become the de facto ruler of the country. Irony died a million deaths while Sibal spoke. And was resurrected to die once again: It is laughable that a senior Minister of a Government so concerned about India’s image abroad should have lampooned foreign investors as modern-day colonisers while a global investment conference, attended by potential big ticket foreign investors, is on in Gujarat. Are we then to presume Gujarat is not part of Sibal’s India? Or has the Congress done a somersault on foreign investment and forgotten to post a letter to Manmohan Singh?

And it’s not for nothing that investors are keen to get into Gujarat. This is the only State in the country where the Government has taken on the role of facilitator, creating opportunities by putting into place policies that are based on a single word ideology of governance: Development. The famed Gujarati spirit is no doubt a contributor. But every Gujarati, irrespective of political affiliation, would unhesitatingly acknowledge that Modi has provided the leadership to actualise their aspirations. Britain may have discovered that Gandhinagar and London are soul mates because of its large and politically influential Gujarati community, but Canada and Japan, this year’s country partners of Vibrant Gujarat, have no such compulsion. Pragmatists on Capitol Hill can only regret the foolhardiness of their administration.

A lot can be said about Gujarat that cannot be said about other States. Gujarat is way ahead in terms of growth, investment and infrastructure creation. With 12.5 per cent share of private investment, Gujarat is far ahead of Maharastra (8.9 per cent), a distant third. Modi has made a fetish of transparency and rectitude hence bribery is not the preferred way of doing business in this State. In an age when economic freedom matters most, Gujarat tops the list of States while Bihar hovers at the bottom. Like other Chief Ministers and our feckless Prime Minister he could have taken recourse to phoney rights, reforms and redistribution through handouts. Instead, he has chosen the hard way forward regardless of the potential political consequences, It doesn’t make him popular with the ‘Delhi Sultanate’ which is used to buying votes with other people’s money. But it has made him an immensely popular, in fact the most popular, leader among India’s young men and women. They see in him a future that has been denied to generations of Indians under Congress tutelage.

As a frequent visitor to Gujarat these past six months, I have often marvelled at this State’s rapid march to prosperity for all. That a lot can be achieved in India is palpable in many of the things that you see. And the Modi Hallmark is stamped on everything that you see and feel proud of – as an Indian, as a citizen who believes Government’s primary job is to govern with a firm and even hand. From the fabulous BRTS to the amazing Sabarmati Riverfront Project, from the factories that dot the landscape beyond cities to the harvest-rich fields, from the highways to the rural roads, from rurbanisation to urban renewal. Modi not only talks about reviving the manufacturing sector; he walks the talk. He not only believes in agricultural growth but has delivered an astounding surge in farm output. While India debates climate change and its cataclysmic impact, Modi has begun experimenting on renewable energy sources and conservation of resources, for instance, water. Instead of taking recourse to highfalutin bunkum on developing human resource, he has adopted policies that focus on skill enhancement. Innovation with innate faith in enterprise is what drives him and his Government.

Sadly, this remarkable story remains restricted to Gujarat, at least as of now. Hopefully we shall get to see a Vibrant India global investors conference being held in New Delhi.

gakakkad · Post by **gakakkad** » 13 Jan 2013 23:21

Presentations from Vibrant Gujarat..

This one deals with Manufacturing..

http://www.vibrantgujarat.com/images/pd ... rofile.pdf

urban development

http://www.vibrantgujarat.com/images/pd ... rofile.pdf

innovation & knowledge

http://www.vibrantgujarat.com/images/pd ... rofile.pdf

service

http://www.vibrantgujarat.com/images/pd ... rofile.pdf

and others

http://www.vibrantgujarat.com/focus-sectors-2013.htm

these represent Modi's vision for Gujarat...

Arjun · Post by **Arjun** » 14 Jan 2013 07:51

Some telling statistics on the importance attached by global attendees to the 'Vibrant Gujarat' summit:

1. Canada has never sent a 200-strong delegation for any international conference as they have for this one.

2. Global attendance was better than the pan-India national conferences hosted by FICCI, CII et al

3. Japan had a 100-person delegation led by the country's deputy-minister for external affairs

From here: Vibrant Gujarat 2013

sum · Post by **sum** » 14 Jan 2013 08:27

^^ No point sir.

They are all just doing what they did 70 years before when coddling Hitler and the 3rd reich. Didn't you know that the Nazis were similarly adored and so the Canadians and Japanese are proving they are fascist lovers?

RoyG · Post by **RoyG** » 14 Jan 2013 23:13

Congress and RBI trying to destroy our gold consumption which is protecting the wealth of our citizenry during declining economic growth and currency devaluation. What a pathetic state of affairs...

http://www.bbc.co.uk/news/business-21013189

Rishirishi · Post by **Rishirishi** » 15 Jan 2013 06:26

sum wrote:^^ No point sir.

They are all just doing what they did 70 years before when coddling Hitler and the 3rd reich. Didn't you know that the Nazis were similarly adored and so the Canadians and Japanese are proving they are fascist lovers?

If you know your history, you will quickly realize the difference between Hitler and Modi. Just look at the past 10 years.

sivab · Post by **sivab** » 15 Jan 2013 06:30

Rishirishi wrote:
sum wrote:^^ No point sir.

They are all just doing what they did 70 years before when coddling Hitler and the 3rd reich. Didn't you know that the Nazis were similarly adored and so the Canadians and Japanese are proving they are fascist lovers?
If you know your history, you will quickly realize the difference between Hitler and Modi. Just look at the past 10 years.

IED laid and stepped on ...

Arjun · Post by **Arjun** » 15 Jan 2013 16:27

X-posting from Narendra Modi thread...

Sushupti wrote:Hello 2013: blame Nehru dynasty for India’s growth collapse
Deepak Lal, James S Coleman Professor Emeritus, UCLA

http://blogs.ft.com/beyond-brics/2013/0 ... z2I0jSElk6

This is a fantastic article ! Hopefully represents the vanguard of a new generation of IQ-driven economists who can say it like it is and put Jurassic, brain-dead Dynasty apologists posing as economic "liberalizers" to sleep.

member_20036 · Post by **member_20036** » 15 Jan 2013 18:41

Mafia does a rope trick?

Has the December 31, 2012 raid on the premises of Tamil Nadu trader TM Ramalingam landed in cold storage following an ‘understanding’ between the Government and the alleged true owner of this mindboggling wealth of International Bills of Exchange worth $5 billion? Readers may recall that the small town agricultural commodities trader briefly grabbed the headlines for holding $5 billion worth international bills of exchange, before quietly fading away.

On January 10, 2013, a senior Income Tax Department official informed the media that the $5 billion worth international bills of exchange appeared to be bogus, and that this had been orally confirmed by the Barclays Bank which supposedly issued the instruments on February 25, 2011; these were due to mature in February 2015.

Ramalingam was to appear before the Income Tax Department on Friday, January 11, but the meeting was abruptly cancelled and no reasons given for the same.

The story of the jaw-dropping wealth of the Tirupur district trader has taken so many twists and turns in the recent fortnight that they raise legitimate doubts about the conduct of the case. Soon after the raid, it was said Ramalingam was a nondescript agricultural commodity trader with a modest annual income of just Rs 3 lakh per annum, which kept him out of the tax net. His office-cum-residence is an 86-cent plot on the Dharapuram-Palani road, of which 27 cents is rented to a petrol bunk. The combined income from trade and rentals is Rs 3 lakh.

He ostensibly came to the notice of tax authorities when he suddenly purchased a sports utility vehicle for Rs 17 lakh without a loan. It was further alleged that Ramalingam had submitted a proposal to the Centre for a petroleum product refinery worth thousands of crores of rupees at Thondi, Ramanathapuram district, for which he set up a company, Baranidhar Refinery Private Limited. Informed sources say the story of the refinery is a red herring.

During the raids, the authorities found US Treasury Bonds worth $5 billion (Rs 28,000 crore), which later changed to $5 billion worth International Bills of Exchange (five in number). Ramalingam claimed he purchased the bills with gold bonds from a person based in Brazil, and was raising funds for his petroleum refinery. Possessing such huge bills of exchange without disclosure to income tax authorities is illegal.

After initially asking the Reserve Bank of India and State Bank of India to investigate the bonds, it was announced on January 11 that the documents were being flown to the United States for physical verification. The cognoscenti sniggered it was the beginning of a cover-up.

Sure enough, barely 24 hours later – it takes a minimum 17 hours to fly to America, and the officials carrying the documents would first check into a hotel and recover from jetlag before arriving at the bank, which would take time to study the documents and give a written report about its findings – Ramalingam’s bills of exchange were pronounced a hoax! The Government now says it will investigate his frequent visits to Myanmar.

Informed sources say this development ties in with foreign media reports that Italy’s anti-mafia prosecutors seized $6 trillion worth of ‘fake’ US bonds in February 2012. The bonds were found hidden in makeshift compartments of three safety deposit boxes in Zurich; eight people were arrested in this connection. The financial fraud uncovered included two cheques issued through a bank in London for £205,000 ($325,000), not backed by available funds. The probe also yielded fake bonds for $2 billion in Rome. The individuals involved were planning to buy plutonium from Nigerian sources, according to phone conversations monitored by the police, a Bloomberg report said. All this suggests a massive international money-laundering scheme with as yet unknown objectives.

The raid at Ramalingam’s premises also yielded fixed deposits worth Rs 1.83 crore in the names of Ramalingam and his son with the State Bank of India and Karur Vysya Bank. An income tax official said Ramalingam had received Rs 2.5 crore from a Singapore company by promising it a loan from a financial institution. He used the funds to buy a new car, repair his house and deposited the balance.

The Ramalingam case seems destined to go the way of the investigations into Hasan Ali Khan, the Pune stud farm owner who shot to fame in 2007 with an account with UBS, Zurich, with $8 billion in deposits. The account has since reputedly been emptied; what else? Un-embarrassed, the Union Finance Ministry quietly informed Parliament’s Standing Committee on Finance last month that it was simply ‘not possible’ to recover tax arrears of about Rs 91,000 crore from Hasan Ali Khan.

Despite growing public pressure on the issue of corruption, the UPA Government continues to sit on a list of 26 people with accounts in a Liechtenstein bank, handed over by German authorities. The UPA stand is that the names cannot be revealed as they were received on condition of ‘confidentiality’. Experts estimate that around $500 billion of Indian money is stashed away in illegal havens abroad.

Nor is the unaccounted money circulating within the country less impressive. Prior to the Uttar Pradesh Assembly election in February-March 2012, income tax authorities raided Centrestage Mall, Sector 18, Noida, and reportedly seized Rs 100 crore from a basement vault allegedly belonging to liquor baron late Ponty Chadha (Gurdeep Singh Chadha). Five cash counting machines were also recovered with the cash. A major national daily put the recovery at over Rs 125 crore in cash, while a leading regional daily reported Rs 200 crore seized, plus an additional Rs 38 crore seized from his son-in-law. But two weeks later, the stash diminished to Rs 11 crore in cash, jewellery and fixed deposits! How can Rs 100 crore (if not more) become Rs 11 crore, when estimates of cash seized are made on the basis of volume of the bundles? A 90 per cent margin of error merits an explanation.

rgosain · Post by **rgosain** » 15 Jan 2013 20:08

More on Gujarat's economic progress.
http://swaminomics.org/?p=635

India today is witnessing an experiment between the discredited and unworkable ideology promoted by the likes of Jean Dereze (University of Essex!!??), and the long term and sustainable solutions in Gujarat which hopefully will be applied throughout India. It's no wonder development is considered a dirty word by Dreze.

vina · Post by **vina** » 16 Jan 2013 05:12

So far. The questions will come when these folks acquire voting rights and begin to demand things. That's when takleef typically begins. If the economy hits a bump is another natural conflict point.

Oh. By that time, there would have been a lot of inter marriages, a host of "Orissa/Bengali/Bihari Mappilais" in the labor class (as has already happened for the past 20 years in the chi-chi class) and life will go on.

They are trying but Tamil appears to be a struggle for many of them to learn. I heard some of the most atrocious Tamil a couple of Idhisa types who had been in Chennai for 10+ years.

I don't know, but the shopkeepers and the workmen from those places around where I live here speak flawless, near native Kannada. I bought a wardrobe for my daughter and the guys who came to assemble it spoke perfect Kannada with me (far better than mine) and it is only when I heard them speak on their cell phones I realized that they were from Bihar and I switched to Hindi (I am fluent in Hindi).

suryag · Post by **suryag** » 16 Jan 2013 11:26

Folks very dumb question is GDP growth always calculated on the basis of a particular year or on the basis of the previous year?

Aditya_V · Post by **Aditya_V** » 16 Jan 2013 11:33

rgosain wrote:More on Gujarat's economic progress.
http://swaminomics.org/?p=635

India today is witnessing an experiment between the discredited and unworkable ideology promoted by the likes of Jean Dereze (University of Essex!!??), and the long term and sustainable solutions in Gujarat which hopefully will be applied throughout India. It's no wonder development is considered a dirty word by Dreze.

Jean Dreze & co is a true patriot who has been very successful in doing his best in eliminate any competition to his native country.

the problem is with folks who thought these guys have any loyalty to a nation called India. he did his job well. People who elected his ilk knew what they were voting for and got what they stand for.

subhamoy.das · Post by **subhamoy.das** » 16 Jan 2013 11:47

http://economictimes.indiatimes.com/mar ... 043543.cms

16 Jan, 2013, 10.40AM IST, The writer has posted comments on this articleAgencies

Investors overweight on India but China poses near term risk: BofA-ML

member_23686 · Post by **member_23686** » 16 Jan 2013 17:44

suryag wrote:Folks very dumb question is GDP growth always calculated on the basis of a particular year or on the basis of the previous year?

yes
suppose your gdp for 2010 is Rs 100
" " " " 2011 is Rs 110
then growth rate is 10%

now to maintain a 10% growth rate in 2012 you need to add Rs 11 instead of 10 like you did in the previous year and so on

Vipul · Post by **Vipul** » 16 Jan 2013 21:44

Defence Budget may see 4-5% cut.

After monthly meetings and much haggling between the finance ministry and the three services, the defence Budget for 2013-14 is likely to see a four-five per cent cut, in the range of Rs 7,600-9,600 crore.The last of the meetings is slated for the end of this month.

Top defence sources said the defence forces had been asked to postpone the creation of the Strike Corps and payments for the French Rafale fighter to next year.

“We said we understand: these are hard times. We’re still better off than several other arms of the government. Ministries have been asked to cut back as much as 10 per cent,” said a senior army officer. He added the three services could not cut pay and allowances or salaries under the broad head of revenue expenditure. That left only capital and modernisation expenditure. New projects, he said, were being given a short shrift.

It was around this time a year ago that French aircraft manufacturers Dassault were awarded the contract to supply 126 medium multi-role combat aircraft to the Indian Air Force.

The Strike Corps for high altitude areas was to be raised over five years at a cost of Rs 60,000 crore. This has been scaled down to Rs 20,000 crore. There may be only a token allocation for this in the 2013-14 Budget, said the sources. (1962 Redux !!!!)

Budget 2012-13 raised the defence outlays to Rs 1,93,407 crore, growth of 17.6 per cent over the previous year’s outlay — one of the highest increases in recent years.However, utilisation of Budget outlay is an issue. Amit Cowshish of the Institute of Defence Studies and Analyses said: “According to the Controller General of Accounts, the total expenditure against the Budgetary allocation of Rs 1.93 lakh crore stood at 44 per cent at the end of October 2012. This respectable level has been achieved because of the revenue expenditure, which stood at 50 per cent, compensating for the slow progress of capital expenditure, which had reached only 35 per cent of the capital budget at the end of the second quarter of the year. (So if there is enough scope for Capital expenditure till March 2013, why has been allocation for creation of the Strike Corps and payments for the French Rafale fighter postponed to next year? The game plan is clear Congress leaders wants the Defence Minsitry to retun/surrender a large part of the allocated funds as "Untilized" so that it can be diverted to vote buying wasteful programs)

Suraj · Post by **Suraj** » 16 Jan 2013 22:40

suryag wrote:Folks very dumb question is GDP growth always calculated on the basis of a particular year or on the basis of the previous year?

GDP growth is reported on the basis of a fixed base year, over which economic composition and activity is extrapolated. We currently use 2004-05 as the base year, though some components of the calcuations use 1999-00 or 1993-94 as the base year.

Aditya_V · Post by **Aditya_V** » 17 Jan 2013 10:31

How schemes have been mismanaged.

UPA drive to undo loan sop loss

Something which everyone knew that it was an election funding scheme, paisa lo vote do

In fact, the audit of one lakh beneficiary accounts out of the 3.2 crore has shown that even some microfinance institutions gained, although the package was meant for individual farmers with holdings of less than two hectares.

The loan waiver and relief scheme was seen as one of the populist factors that helped the UPA return to power in 2009 with a robust mandate.

Prem Kumar · Post by **Prem Kumar** » 17 Jan 2013 10:36

An important milestone crossed in 2012: the size of our IT-BPO industry crossed the $100B mark!

Pretty stunning, considering the economic crisis worldwide and the size of this market was $150 Million in 1990. It now represents 7.5% of the GDP and 25% of the exports.

http://www.nasscom.org/indian-itbpo-industry

subhamoy.das · Post by **subhamoy.das** » 18 Jan 2013 12:04

Vipul wrote:[
The Strike Corps for high altitude areas was to be raised over five years at a cost of Rs 60,000 crore. This has been scaled down to Rs 20,000 crore. There may be only a token allocation for this in the 2013-14 Budget, said the sources. (1962 Redux !!!!)

Why blame the UPA? Blame Bharat for bringing this on to India. Now Bharat will have free cash, free energy and free meal but will have to pay with their lives as canon foders on the front like 62 as they will not have the equipment because their is no money left in the bank. I pray to God that India defeats Bharat in 2014 and the Bharat starts believing in doing hard working jobs and earning its living rather than living on doles.

subhamoy.das · Post by **subhamoy.das** » 18 Jan 2013 12:38

Prem Kumar wrote:An important milestone crossed in 2012: the size of our IT-BPO industry crossed the $100B mark!

Pretty stunning, considering the economic crisis worldwide and the size of this market was $150 Million in 1990. It now represents 7.5% of the GDP and 25% of the exports.

http://www.nasscom.org/indian-itbpo-industry

A shining example of service - innovation and knowledge based and pollution free - driven ecomomic growth. The target should be to move all the jobs which can be executed via a "remote computer" to India - from data entry to complex chip designs to remote robotic surgery and then who needs manufacturing ? I think we are marching in that direction based on our intrinsic values and the available service infrastructure that we have built up ( innovation driven minds, office spaces, networks, computers etc ) and that is why Omaba is a very worried person and trying his best to slow it down!

Aditya_V · Post by **Aditya_V** » 18 Jan 2013 15:28

Prem Kumar wrote:An important milestone crossed in 2012: the size of our IT-BPO industry crossed the $100B mark!

Pretty stunning, considering the economic crisis worldwide and the size of this market was $150 Million in 1990. It now represents 7.5% of the GDP and 25% of the exports.

http://www.nasscom.org/indian-itbpo-industry

2 sides to the coin, yes its stunning, but it also means our Manufacturing is way below potential. and unlike Manufacturing, in services you are totally customer dependant, so customer countries have a huge say in your domestic issues.

krishnan · Post by **krishnan** » 18 Jan 2013 15:36

Manufacturing is also customer dependent, you cant manufacture something for no-one, unless you have good internal local market for that product

Gus · Post by **Gus** » 18 Jan 2013 16:53

subhamoy.das wrote:then who needs manufacturing ?

That's a very silly thing to say (and that is very charitable).

There are thousands and thousands of people who need manufacturing jobs at many levels - temp labor, unskilled floor workers, skilled machinists and technicians, supervisors, white collar engineers, suit boot managers, marketing, HR, PR ..literally thousands and thousands of jobs - at the entire chain of procurement, processing and manufacturing, selling and servicing etc.

and you are saying who needs these jobs :facepalm

subhamoy.das · Post by **subhamoy.das** » 18 Jan 2013 19:09

Gus wrote:
subhamoy.das wrote:then who needs manufacturing ?
That's a very silly thing to say (and that is very charitable).

There are thousands and thousands of people who need manufacturing jobs at many levels - temp labor, unskilled floor workers, skilled machinists and technicians, supervisors, white collar engineers, suit boot managers, marketing, HR, PR ..literally thousands and thousands of jobs - at the entire chain of procurement, processing and manufacturing, selling and servicing etc.

and you are saying who needs these jobs :facepalm

I agree that I got carried away a bit here. Donot want to turn this into a service Vs manufacturing. Have posted enough details in PRC economy thread. What I meant here was that I want to see Indian GDP having a 70% service, 20% manufacturing and 10% agri composition. Service is the way to well paid jobs-for-all in a huge populous country like India. Manufacturing simply cannot generate so many jobs and weatlh - look at China. They have reached saturation in manufacturing, worlds top manufacturing country, yet per capital GDP is about 8000 ( PPP ).

All power to INDIA service industry - delivered from India!

Aditya_V · Post by **Aditya_V** » 18 Jan 2013 19:35

And USA, they still manufacture a lot.

I disagree, Manufacturing is the Key, a lot of services can be given to these manufacturing jobs, if we can do what GE, Seimens, Boeing, Locked Martin, GM,Ford, Intel, HP< toyato, Honda, Sony, Samsung, BMW, AUdi, Bosch and et all manufacture in the USA, Japan, Germany China then we will a developed country.

Also do not forget what revenue and clout USA gets from its Agriculture and Farm Businesses.

Agriculture and Manufacturing may not sound chi chi but are the backbone of any economy. From that comes knowledge. India is gifted with good agricultural land which is a basic human need, lets combine it with our Knowledge for Manufacturing after removing our bearacracy which destroys our manufacturing. we can then be a global leader.

Gus · Post by **Gus** » 18 Jan 2013 20:44

A large portion of our service economy hinges on exchange rate. Same with chinese mfg as well.

Our ideal should be a country like germany - an industrial and mfg powerhouse that can weather any economic fluctuation and has a service industry that can service itself capably.

What use is our service industry when vast majority of our own people are out of it. We cannot build a robust economy by servicing others.

We need to employ everybody locally with mfg jobs, raise income and education levels and have a service industry catering to them as well. Skipping thus and jumping to a service industry that caters primarily to select foreign countries is not a great strategy. Only a few benefit here - people like me.

Theo_Fidel · Post by **Theo_Fidel** » 19 Jan 2013 02:23

Can I put a plug in here for productivity. The average Indian is not focused on becoming more productive. Everyone wants the big fat pay check and are willing to work 16 hour days but ask them about productivity you get a blank. Forget Japan/Germany, even in the USA there is an obsession with being productive or you will lose your job. All these things, manufacturing, services, etc are only meaningful if they make people more productive. Produce more with less. It is this that produces wealth. Not 100,000 cloth cutting jobs in Tirupur or 100,000 shoe making jobs in Vellore.

prahaar · Post by **prahaar** » 19 Jan 2013 03:51

Theo_Fidel wrote:Can I put a plug in here for productivity. The average Indian is not focused on becoming more productive. Everyone wants the big fat pay check and are willing to work 16 hour days but ask them about productivity you get a blank. Forget Japan/Germany, even in the USA there is an obsession with being productive or you will lose your job. All these things, manufacturing, services, etc are only meaningful if they make people more productive. Produce more with less. It is this that produces wealth. Not 100,000 cloth cutting jobs in Tirupur or 100,000 shoe making jobs in Vellore.

Theoji, I do not know in which part of US you live/lived/visited. But this obsession about USA this/that Indians this/that is plain BS. Your posts are totally rational when it comes to many aspects but when talking about people/culture there is a huge amount of generalization (may be it is your style), but it comes across as a biased opinion.

I do not in any way feel offended if a negative aspect about Indians/India if it is based on verifiable information. Anecdotal evidences when talking about India is dangerous (and the same applies to US). You may be surprised to know about the variation in the attitude of people towards different things in small countries of less than 10 million and here you are generalizing about 1200+ million and 300+ million.

Theo_Fidel · Post by **Theo_Fidel** » 19 Jan 2013 05:32

And a good morning to you too prahar...

Yes I'm biased. I want India to be wealthy in my lifetime, if not USA wealthy, at least wealthy. In small town India all I see is somnolence and people poking around at their jobs if they do have one. I just had to deal with an electrician who showed up with a hammer and masonry chisel to punch 30+ holes through solid brick walls. It took him 3 days. A Rs1000 electric drill would have taken him 20 minutes and the job would have been done in 2-3 hours but he was the least bit interested. Hard worker, works 10 hour days, but in this case literally banging his head on the wall. And BTW at least here power supply was not much of a problem. There is a power cut from 6am to 9am and one more in the evening. How in heavens name are we going to get rich with this sort of approach.

Just my pet peeve right now....

Aditya_V · Post by **Aditya_V** » 19 Jan 2013 11:41

Theo- all my electricals , Plumbers in Chennai for last 5 years use Bosch power drills, to drill a hole in the wall for a nail, I borrow my neighbours power drill. Your guy must be an exception, everybody today is moving towards power drills.

member_20317 · Post by **member_20317** » 19 Jan 2013 13:02

Theo ji to do more justice to your anecdotal evidence which is, yes a pet peeve only.

You got to realise that a system based on preservation, repair, re-use, adjustments has a different volume and value add justification than a use and throw one.

disha · Post by **disha** » 19 Jan 2013 13:47

^^ Theo stop this rona-dhona and stereotyping all "average Indian" based on a singular solitary subjective experience.

Instead of coming here and doing rona-dhona with a tail between your legs, did you try to buy him a drill with masonry drill bits?