India Inc applauds Rahul Gandhi's view on economic reform

Written by ENS Economic Bureau | New Delhi | Updated: Dec 23 2013, 14:10pm hrs
Industry chamber, the Confederation of Indian Industry (CII), has welcomed Rahul Gandhis views on the need to bring in economic reforms to boost the economy and create jobs in the country.

Referring to the speech delivered by Gandhi, the vice president of the Indian National Congress, at Ficcis 86th annual general meeting on Saturday, S Gopalakrishnan, president, CII said, ...his talk is comprehensive and touches real issues, which industry has been trying to grapple with in recent times.

In a press release issued today, CII says the reforms proposed by him in labour laws, access to power, access to land and natural resources will enable manufacturing sector to contribute 25 per cent of GDP generating 100 million new jobs in the next decade.

A competitive and vibrant manufacturing sector in India would ensure that episodic spikes on the current account front can be avoided, said the CII release.

The industry body has also requested state governments to also set up Project Monitoring Group for clearing projects at the state level, even while suggesting the Centre that the thresholds for such projects be brought down to Rs 500 crore.

Adi Godrej, former president, CII and chairman, Godrej Industries, said, The high stress on resolving regulation and administrative procedures in Mr Rahul Gandhis speech yesterday would greatly encourage investor sentiments and boost investments.

Venu Srinivasan, Sundaram-Clayton Ltd managing director, said it was for the first time that a political leader of Gandhis stature mentioned the need for a modern and flexible labour market of international standards.

Industry would welcome a dialogue on how to create fulfilling and rewarding jobs for our young people, as stated by Mr Gandhi, Srinivasan said.

Hero MotoCorp Joint MD Sunil Kant Munjal said industry would now look forward to quick actions from the government, taking a cue from Gandhis speech.

Rahul Gandhi has clearly identified the immediate problems regarding project delays and highlighted the issues that must be addressed, such as land acquisition, regulatory and administrative hurdles, and environmental clearances, Munjal added.