Local opportunities for youth key to check India's brain drain

D Tirupathi Raju, Chairman, Confederation of Indian Industry (CII)- Andhra Pradesh chapter, feels that India becoming a $5 trillion economy by 2025 is quite possible despite the fallout of Covid-19 pandemic. He says that what is required is a strong political commitment. Raju, who is the Executive Chairman of Vijaynagar Biotech Pvt Ltd and a successful entrepreneur in an exclusive interview to Bizz Buzz opined that there is no dearth of talent in India. He suggests improvement of the ecosystem and introduction of a well-spelt out land allotment policy will bring several investors, foreseeing a bright future agri products, food processing industries and release of subsidies as promised.

Visakhapatnam-Chennai Industrial Corridor should be taken up on a fast-track basis. It should be completed on time. There is also a need to spell out land allotment policy so that it will attract multinationals and others to invest in new opportunities

The pandemic has caused fear and restlessness in the industry, specifically while opening up the economy after the first wave. The impact of the second wave was severe but the business has continued. The Atmaram Nirbhaya Bharat scheme and Covid loans under credit guaranteed by the government had helped industry to bounce back at the earliest. The pandemic has not made much impact on the economy of the States. Businesses worst hit were hospitality, education and tourism. Similarly sectorial gains in healthcare, food processing and distribution compensated the economy.

What's the progress in creating entrepreneurship?

Entrepreneurship is lacking in India. We need to create and generate entrepreneurs from the institution. At present, our system is still following the British generated systems, which only generate job-seekers and not job creators. Indian youth's inbuilt talent is proved all over the world by taking leads in business. Brain drain should be stopped and opportunities should be generated. Governments should look at the growth of the country's economy and not focus on the vote bank politics. Sustainability and the happiness index of the society should be emphasized through health and education provision to each and every citizen. Talents should be given opportunity on priority by special funding.

Being a domain expert in the food processing industry, how do you see its future?

In food processing there are enormous opportunities. Indian traditional food is highly nutritious and seasonal. Indian food is accepted all over the world by virtue of spread-age of Indian communities around the world. Small and mini food industries should be encouraged and entrepreneurs should be trained in consistency, quality and supply if the chain is lacking.

The government should shoulder, promote and expose the products world-wide to create huge demand. District-wise clusters should be formed and international business opportunities should be explored to boost the entrepreneurs and also generate foreign currency.

What's your view on Visakhapatnam-Chennai Industrial Corridor?

Visakhapatnam-Chennai Industrial Corridor should be taken up on a fast-track basis. It should be completed on time. There is also a need to spell out land allotment policy so that it will attract multinationals and others to invest in new opportunities.

What about the expressway being taken up between Vizianagaram and Raipur?

The project will give a fillip to mineral-based investments, mining and agri exports from AP. The entire project is aimed at reducing time of travel and logistics cost and making faster evacuation of cargo to various destinations.

What do you think is required to improve ease of doing business further?

Government policy should be firm and quick in implementation and create confidence and inculcate business enthusiasm among the entrepreneurs and investors. Ease of compliances and release of subsidies should be made available as promised. Any violation or exploitation should be punished and expelled from business for life. Systems should generate tech and skill workers and ease of compliances.

Is it possible to achieve a $5 trillion economy as planned?

Business should not be linked with political interest. Business will make the economy strong. Both business and agri reforms will make India a $5-trillion economy soon.

What is the mission of Confederation of Indian Industry (CII)?

CII mission is a national body formed to strengthen the ecosystem and deeply involved in policy advocacy formulation and close work with the government. CII with nine Centers of Excellency (CoE) established with an objective to meet a huge unmet need of industry and society and also to improve capacity and capability, skill and to establish the ecosystem for the growth of industries and the economy.

What do you think is required to achieve this?

A strong investment ecosystem which needs four strong pillars. Confidence to investors: The first objective of the investor is safety of his investment and the earliest return on investment. As the business keeps growing, the investors invest and expand business and will create an economy, generate number of jobs and make a vision- a cycle of the economy to rotate fast to increase government revenue. This will give a boost and scope for entrepreneurship development. Investors look for irrevocable policy, strong government and ease of compliance.

The second pillar is the technical manpower. Without manpower it's not possible to usher in an industrial revolution. Basic education and knowledge linkages with industriel institutions should work and generate quality engineers required by the local industries. Policy should be made to improve skilled and qualified local manpower.

The third pillar is cost of business. The country has an abundant natural source of raw materials and an extremely good ecosystem of multiple cropping systems in the country. Hence, we need to improve R&D and develop technologies in value in addition to a business policy by the government to meet the expenditure allowed for investments under special category investments for low cost infrastructure and utilities should be provided to reduce the cost of businesses. Land and construction costs are very high in the State is also a drawback for investors. A policy of lease-cum-sale agreement policy linked with an investment plan will make business easier and attractive. Logistic availability is another important pillar. Infrastructure facilities play a very critical role in economic development and cost of business. The logistics and compliances cost should be very nominal and the production cost to be reduced by subsidizing for exports during stress conditions to meet international competition.

What do you suggest to improve the linkages?

We have been talking about inland waterways but no productive developments have happened yet the growth should be spread equally from north to south and east to west. This infrastructure will reduce the cost of the business. Good linkage of ports and National Highways (NH) are required. Implementing compliances on NH to speed up the traffic will also reduce the cost. The 30 percent of newly built NH are used for truck parking and service roads are used for business and parking. These are activities reducing the speed of reach to the destinations. Investor will only flow and invest if the firm objectives and business policies are made strong and firm.

How has the pandemic impacted the industries?

The pandemic has caused fear and restlessness in the industry, specifically while opening up the economy after the first wave. The impact of the second wave was severe but the business has continued. The government has encouraged vaccination and extended the facilities of vaccination to employees on a priority. The Atmaram Nirbhaya Bharat scheme and Covid loans under credit guaranteed by the government had helped industry to bounce back at the earliest. The pandemic has not made much impact on the economy of the States. Businesses worst hit were hospitality, education and tourism. Similarly sectorial gains in healthcare, food processing and distribution compensated the economy.