Founder's day

September 28th of every year used to be a date which I remember from 2003 for an additional reason - that it was the birthday of my CMD, BGR.

This year we observed it as the first Founder's day. 

In my wildest of my imagination I could have never thought of participating in one such function. Nevertheless there I was dressed up in simple office attire to participate and drove to the unit, where it all started for BGR in 1985.

The persons on the dais, his wife, children and the fortunate few of my colleagues who had spent more years with him than me, spoke along with a person from the worker group. They shared many tidbits and reminiscences, nostalgic memories. His daughter spoke of the personal side and shared some insight with those gathered.

The function set me off on to my thoughts to write my own tribute to BGR, whom I joined in Sept 2003.

It was a very simple decision for me to join BGR group, then GEA Energy.  The organisation, which I had worked in from 1981 till 2003 had made great strides, building up significant new capabilities and notched up achievements of national importance over the years. In 2003 it was taken over by a promoter group who had different plans. In the brief period that I operated under the promoter group, I learnt what is non professionalism. I also learnt how individual creativity can be effectively killed.

So it was refreshing to see BGR who as the CMD of a company though of much smaller size, speak out what I would later realise as the 'Management Thoughts' which I was missing and wanted at the workplace where I would serve. Added to that there was no locational change and the decision was simple. Encash the service record built painstakingly for over 22 years and move to other pastures. 

I am glad that I took that decision.

Having joined the company, it was clear from the initial days, that there were many people in the organisation, who are dreamers starting with BGR. (Many still continue) We were all employees of a small organisation, but with big thoughts and we always aimed at achieving some thing huge. 

Over time we proved that we can deliver on what we set out to achieve as a sequel to our dreams under the leadership of BGR.

Echoing the thoughts of the speakers at Founders day ceremonies, I believe BGR gave us that freedom, which has helped him shape the organisation he wanted it to be. He has taken it to the heights which we all of us are proud of today. 

Some of the dos and don'ts which reflect the qualities of a great corporate leader which I experienced first hand in the interactions with BGR and the policies he pursued are worth sharing: 

In the 10 years, I have worked with him, he has never ever overruled my decision on recruitment or procurement. If he doesn't agree he will share his views and make me change my recommendation or concur with mine. Never have I been handed down a decision. His resolve to honour commitments especially to the financial institutions is exemplary. He respected his executives, and was willing to reward performance.

Even when I did something which was to his total dislike, he felt it necessary to seek why I did it before reprimanding the action. Even though it was only once, he didn't mention it again. He was though highly opinionated and some of us knew to live with it. This aspect of his tended to favour a few and work to some other's disadvantage; but then it had its virtues as well.

He would expect his executives are respected by every one. Any one who is discourteous to his executive, will be treated as having been discourteous to him as well.

There were many dreams, which he had for the company through the division, which I head. One was to do something in optic fibre. I am glad that I made that happen, with we emerging as one of the preeminent performers in optic fibre installations associated with power lines. We won an award in nuclear project beating an organisation which he considered worthy of beating and that too by a whisker of a margin. He wanted us to bring in niche products, which we are yet to achieve and continue to work on it. 

He wanted the division to achieve at least a ₹1000 crore sales, with a order back log to sustain the operations and scale up. We are far away from that task and I am sure the division will work to achieve this dream also over time. 

The first order, for which we had celebrations in boat club lawns with all the key officers of the company and customer's representatives, was only Rs.30 crore. That was 10 years ago. BGR would now celebrate if we secure orders more than ₹1000 Crore and it will be my endeavour to work for it in the months and years to come. 

And when we do celebrate, which I am sure we will, we will not only miss BGR's physical presence, we will miss the great host in him as well.  Nobody will ever come close to the host BGR was. 

Oil Prices and Policy options for the Government

With oil prices zooming past US $ 130 and breaking new highs every week, policy makers have an issue at hand. Having relied heavily on prolific spending of the resources raised through indirect taxation of Petroleum products, the government is now being compelled to reduce the taxation to ensure that the recent spurt in the international prices do not hurt the economy and the poor alike. 

This would mean that the government should look at alternate sources of revenue to bridge the shortfall in revenue generation as one can not expect the government in election mode to cut down on freebies / cutdown on salaries etc. The main options are Direct taxes from services and new segments. With large scale retail formatting taking off, it is necessary that the taxman look at ways of cornering the piece of the action. as after all large scale retailing does use more of the public resources.

Export of petroleum products should also be taxed and influential corporate houses can not be allowed to have their say on avoiding the taxation. If refining margins have risen up to US $15 from US $ 6 a few years ago, such company's can well afford to share some of the largesse. I am sure with the capacities available in India, international buyers cannot ignore us.

Two more initiatives need to be put in place simultaneously. 

The first and foremost is to discourage the growth of private transport in cities and metropolis. To put in this practice the government should invest heavily in public infrastructure quickly. The other initiative is on natural gas and coal gasification process. Having identified huge reserves of gas we need to ensure that these are brought to market at the earliest possible dates and sold devoid of any subsidy from start. The deceleration of demand on foreign exchange which such locally available sources of energy can bring in, will have transformative impact on foreign exchange management of our currency and fuel the Indian growth engine to newer highs.

With oil prices zooming past US $ 130 and now retreating from life time highs, policy makers have an opportunity to correct the policy stance. Having relied heavily on prolific spending of the resources raised through indirect taxation of Petroleum products, the government was compelled to reduce the taxation to ensure that the recent spurt in the international prices did not hurt the economy and the poor alike.

This would mean that the government should look at alternate sources of revenue to bridge the shortfall in revenue generation as one can not expect the government in election mode to cut down on freebies / cutdown on salaries etc. The main options are Direct taxes from services and new segments. With large scale retail formatting taking off, it is necessary that the taxman look at ways of cornering the piece of the action. as after all large scale retailing does use more of the public resources.

Export of petroleum products should also be taxed and influential corporate houses can not be allowed to have their say on avoiding the taxation. If refining margins have risen up to US $15 from US $ 6 a few years ago, such company's can well afford to share some of the largesse. I am sure with the capacities available in India, international buyers cannot ignore us.

Two more initiatives need to be put in place simultaneously.

The first and foremost is to discourage the growth of private transport in cities and metropolis. To put in this practice the government should invest heavily in public infrastructure quickly. The other initiative is on natural gas and coal gasification process. Having identified huge reserves of gas we need to ensure that these are brought to market at the earliest possible dates and sold devoid of any subsidy from start. The deceleration of demand on foreign exchange which such locally available sources of energy can bring in, will have transformative impact on foreign exchange management of our currency and fuel the Indian growth engine to newer highs.

Clearing the muddle of Rising Food Prices

Many column centimeters in leading newspapers, including your paper combined with interesting sound bites in all TV channels have put before us multiple reasons responsible for the spiraling price rise. Out of these a few stand out which has to be tackled by policy makers on a war footing.

The planned increase in agricultural production shall meet the increasing population, the additional demand created by new generations aspirations and affordability. This is best achieved by careful planning and timely implementation of irrigation projects, making available at the retail level advanced improved seeds, tested soil enriching techniques to improve the yield and above all easy rural credit with minimal collateral to the rural agriculturist. In the absence of such a coordinated approach there will be gaps which will leave us exasperating at the slow agricultural growth rate.

On the other hand diversion of land from wheat to Bio fuels in developed economies is one more self centered approach of the developed economy which we need to understand to live with. Financial centers have established and put in place procedures & mechanisms that make it easy for the non informed to bring in their savings in to commodities and make a fast buck on scarcities. We should have sufficient negotiating clout to bring them around to stop such a move which we sadly lack (as proved in various WTO forums).

Further, given the depth of scientific community available with in the country and the financial resources available with us (we have invested hundreds of billions of dollars in other country's instruments for a rainy day!) it is really surprising that a concerted approach is not being taken to solve this fundamental problem.

Politicians should take note that their continued neglect of this fundamental issue will shake them up and even dislodge them from their exalted positions.

US Sub Prime Mortages

Much is written about the fall out of US Sub Prime mortgages and the impact it is likely to cause on US economy and the world at large. But an important lesson in it for India is that Sub Prime Mortgages served to prop up the US economy for the last 5 years at the expense of the Developing economy who had at the guidance of the developed economies, (had) developed a growth model which was predominantly driven by US consumption!

None of the planners outside US could foresee that such a model is not sustainable even in the medium term leave alone for ever. So the savings of poor countries like India, were being parked as foreign exchange reserves in US Treasury bonds which fueled the liquidity which boosted wasteful consumption. One must acknowledge the ingenuity of the US financial brains who planned this out and implemented it to the tee.

The hard lessons which we in India learn from this futile exercise, is that it is necessary to fund across sections to ensure growth and through growth consumption.

In the US with the treasury backing, funds have been extended on over valued assets to individuals who do not earn enough to even support their living expenses leave alone meet mortgage repayments and own assets. As reported in the press the abuse of credit facility, has been so rampant that even basic norms such as insisting on minimum down payments for availing mortgages have been waived off. All these to maintain excessive consumption!
Take a leave out of Sub Prime mortgages and cox banks to fork out up to a nominal 5 % of their advances to fund persons in poorer section of society, whose repayment capabilities are limited, but willing to commit to repay. Such an effort will spur consumption and through consumption inclusive growth. Such advances shall be refinanced by the RBI through long term instruments directly and eventually provided for in the budget.

Planners in India are staring at growing disparities caused by excessive urbanization and phenomenal growth of white collared jobs and compensation. While our financial systems are robust and fund these sections of society, it is time that we addressed the poorer sections across the board.

India is unique in many ways and needs novel solutions to maintain its growth path and achieve inclusive growth. It is necessary to be bold and the time is ripe to take such populous steps given the fact that this is an Election year.

Question waiting for an Answer !

Question waiting for an Answer !

A thought provoking column from one of your regular columnist and a senior distinguished bureaucrat. The answer is obvious, but like the Roman citizen nobody wants to say the King is naked. If a Senior bureaucrat after so many years of distinguished service to the country is still waiting for an answer what will poor soul like us will do?

The reform process has not even approached the bureaucracy leave alone prepare a plan for changing the organisation and its people. Enough proof is available to all, on the capabilities of our entrepreneurs from the airlines and telecom sector. Scientists & technocrats of Indian origin, have made startling inventions and contributions which have been acknowledged world over. Some of these individuals have studied in India, but have been lured to the foreign shores by the ease with which they can pursue their passions abroad.

Even now it is not late. Let us encourage Venture capitalists to move in instead of hedge funds. They should be allowed to come in and move out freely and allowed to encash their inventions as is done in the valley. The risks which these venture capitalists bring in is negative compared to the chaos which the hedge fund operators and fair weather friends bring in.

If enough seed capital is there to pursue individual's passion I am sure the day is not faraway when we can boast of some radical inventions. We need to reinforce these efforts through greater autonomy for higher institutions, tax subsidies and inverted duties etc.

Let us think out of box and still not grapple with the question.

Stock Market Volatality & need to curb it

Mature markets in the developed world seldom show intra day variation in excess of 1% in the major indices tracking companies across sectors like the S& P 500. This goes to reflect the maturity of the market and reflects that the players are in it for the long run. This is helps the long term players to plan their actions and book profits.

Any volatality in these indices is clearly interpreted as a sign of some of the players need to show more than actual profits in the short term. This results in manipulated trades with out sound fundamental forces guiding the action (other than plain hood winking) resulting in Rapid-fire Trades. This may either bring loss to him or gain at other participants loss. This though an essential part to guide in price discovery at extreme situations, can not be allowed to continue for extended periods lest the serious players loose interest in the market. New entrants will also shy away; Or become gullible with the distorted view that money can be made in the market in a short period and look for such opportunities.

It is obvious now that the build up in some scrips prior to mega IPO issues was due to such unhealthy trades.Since then our markets have been extremely volatile and the regulator has done little to cool it. Given the low volume of free float and the concentrated action on the bourses from some sections of the stake holders, our tendency to believe in new stories and theories (read rumors) we are allowing a few to distort the market. This exposes the retail investor to greater risks. For the retail investor even the Mutual fund route is not with out risks for the mature operators also fall prey to such large scale manipulations.

We are now becoming aware of another new threat through FII like the Bear Stearns, who are compelled to exit our market to save their day in their home base. We are not aware how many more are to follow! That the local Derivatives segment helps them in clouding their actions is another story.

It is therefore essential for the regulator to step in quickly to stop such actions.

RICE STRAINS

From a country where, food shortages was an accepted fact and we had to go through periods when we needed administration's permission to host a family marriage lunch and dinner, we have come far. But the sad fact remains that all are yet to travel this distance.

While the intelligentsia, discuss in forums issues that need to be done to rectify this anomaly, little gets done at ground level. From the mid seventies till now, the misuse of funds earmarked for irrigation projects is a classic case in point. Where, irrigation projects got done and rivers regulated, we see prosperity. But the millions which were wasted on the canals which never got made or got built as per intended specifications, have brought misery to many.

Today, India is at cross roads, as your editorial points out.

Given the communication access to many even in the hinterlands of the country, today the rural urban divide is visible to many and increasingly people are demanding answers. With the increased thrust being seen internationally for allocating the necessary importance to increased food production, it is time our ministries got their act together, to bring in the next major thrust..

Today, the cultivated land share is reducing by the year due to rapid industrialisation. We had still not perfected the model of transferring the correct costs for the agricultural produce, before which, this IT led industrialisation has landed on us. Our Economy managers, are now compelled to choose between segments, which they cannot. If one has to pay the correct price for the agricultural produce, we run the risk of increasing inflation and more by way of inflation expectations. But before long one has to do something about it.

We cannot subsidise imported food, but we can extend subsidy to our own agriculturists. While we are moving towards a full fledged market economy, where services are paid at cost, it is essential that the sector which gives the maximum employment opportunities in the country pay the labour minimum wages in relation to industry wages. This has to be achieved through direct subsidies.

Subsidies, however need to be made in transparent manner and cannot again be routed through free services like the Free electricity or through corporations such as subsidised prices for fertilizers. Pay a remunerative price for the farm produce, but demand remunerative price for the inputs used by the beneficiaries of the subsidy. This demands a significant change in the mind set and political will, and one only wishes that our politicians see the long term benefits in such an approach.

Development efforts, to introduce new grain strains, which reduce the water intake, cuts down sow to reap time, is resistant to known strains of diseases , has to be encouraged with state funded initiatives.

It is a mission to increase agricultural production and therefore it has to be taken up with the same zeal it demands; anything less can damage what we have gained since independence.

WRONG PRESCRIPTION

Any regulator would insist that the system where stake holders process their transactions capture trails which can be utilised to trace participants role leave alone their antecedents. He will be extra cautious about intermediaries, who transact on behalf of clients. The details of the clients though not available at the time of processing the transaction through the system, is an essential data which needs to be recorded. It shall be available to the regulator and the other participants of the transaction and cannot be the left indeterminate.

PN falls short of this and makes the transaction opaque. Especially, where the intermediaries are understood to have offered exotic products through their own financial engineering, the regulator needs to intervene to demand either transparency or prescribe different set of guidelines for such transactions to limit their scope.

Whether it is a cash market dealing or a derivative dealing the completed transaction over a period the owner parties (buyer or seller) to the deal are to be identified. It is therefore essential that funds behind PN needs to be identified and cannot forever hide from the purview of regulator.

While one may fault the manner in which the announcements have been made, the timing, the intent and the prescription are timely.

Cheaper Credit? is it the cure for all?

Cheaper Credit

It is true that high interest rates hurt and it hurts some setions more than others.

But if the government and the industrialist do come together and initiate steps which can cut down costs then there may be not an immediate need to reduce this impost. As your leader correctly points out there are sections such as realty, which have absorbed this impost (through external flows), which is once again hurting the same industrialist. Any early redemption of this impost could hurt the sections it is wishing to protect by causing runaway inflation.

As a first step the government can authorise free movement of goods across states to recognized Logistics providers who will be responsible for the movement of goods and the sales tax compliance there off. Given the ground reality of the infrastructure bottle necks, the least government could do is to reduce the transit time of goods and thereby reduce inventory and costs there off. Cost of compliance will also be low as the logistics provider can be authorised to ensure compliance.

The other area is that of the exorbitant taxation on fuel. The taxation on fuel be it used for the industry or as a part of the executive compensation should be vatable / modvatable. This will provide significant relief to the industrialist and int he long term act an incentive to the government to reduce the taxes per s

Prescription for PN

Prescription

Any regulator would insist that the system where stake holders process their transactions capture trails which can be utilised to trace participants role leave alone their antecedents. He will be extra cautious about intermediaries, who transact on behalf of clients. The details of the clients though not available at the time of processing the transaction through the system, is an essential data which needs to be recorded. It shall be available to the regulator and the other participants of the transaction and cannot be the left indeterminate.

PN falls short of this and makes the transaction opaque. Especially, where the intermediaries are understood to have offered exotic products through their own financial engineering, the regulator needs to intervene to demand either transparency or prescribe different set of guidelines for such transactions to limit their scope.

Whether it is a cash market dealing or a derivative dealing the completed transaction over a period the owner parties (buyer or seller) to the deal are to be identified. It is therefore essential that funds behind PN needs to be identified and cannot forever hide from the purview of regulator.

While one may fault the manner in which the announcements have been made, the timing, the intent and the prescription are timely.

Olympic Myths

Olympic Myths

An interesting locals perspective on the Olympics has been presented in this article. While I agree with the views presented, it would do us all lots of good if we look at a possible solution as well for this "distortion" to ordinary lives and permanent alterations(damage!) to the locale.

Given the proven business model of Olympics, any progressive thinker like you (Mike) should propose an alteration to the model so that part of the business model stays. Any effort to totally alter the scheme will bring with it the enormous clout of the forces that stand to benefit from this once a 4 year show.

Some of my suggestion are:

1. Leverage technology: With the enormous capability of technology one can synchronize multiple locational events and present a coherent continuous spectacle to the Television audience which is the key funder of such extravagance.
   
2. Allow to bid for hosting specialized events only instead of the entire games. Such an effort will make it easier for new comers to look at creating a part of the facility and not burden itself with the issues of hosting the entire paraphernalia of the Olympic teams. It will drastically reduce the logistics effort required to move men and materials for the event, while bringing in more live(read physical) participation to encourage the sport and the participants.
3. Make use of the created facilities game after game. Such large facilities can be wasted away for a once in life time function. It has to be reused to conserve energy if not anything else. It also brings in enormous savings in costs of hosting subsequent Olympics.
4. Such an approach reduces the risk of security and partly saves the games from the efforts of evil minded eliminating the possibility of whole some interruption.

What would be the objections and who would be the objectors? Policy makers should think it out and act out the next steps.

An interesting Article from my favorite columnist Swaminathan Ankaleswara Iyer (with my editorial flourish)

The slump in global stock markets since July has wiped out an estimated $5 trillion of wealth, five times the GDP of India. So, world inequality has fallen dramatically. Are poor people across the world celebrating the great reduction of global inequalities? Are socialists celebrating increased equality ? No, not at all.

But why not? For years, analysts have worried about rising inequalities in India. Rapid growth has sent the stock markets soaring, and several Indians have entered the Forbes list of top billionaires of the world. Simultaneously, 300 million remain below the poverty line. This stark contrast has evoked much outrage.

Prime Minister Manmohan Singh says that unless the poor participate in fast growth, uprisings could disrupt our nationhood - over 150 out of 600 districts are affected by Maoist violence. The same theme is echoed in a recent study of Asian inequality by the Asian Development Bank. The ADB chief economist has been widely quoted as saying that high levels of inequality disrupt social cohesion, and could lead to civil war.

If this were really true, then the stock market slump should have healed social tensions. An Indian Express story on August 12 estimated that the richest five Indians had lost more than $10 billion in the previous fortnight. The total wealth lost by all shareholders was $52 billion (Rs 210,000 crore), almost equal to the GDP of Bangladesh.

So, inequalities in India have fallen dramatically. Not even the most draconian tax measures could have reduced the wealth of shareholders by $52 billion.

But are the 300 million poor people of India celebrating? Are landless labourers in Bihar delighted that the wealth of the Ambanis has suddenly fallen by billions? Are the tribals of Chattisgarh and Jharkand joyous that the Tatas have become poorer? Are illiterate Dalit women, the most oppressed and powerless section of our population, ecstatic that the stock market slump has improved income distribution?

Of course not. And this has consequences for theories of social tension. Now that the stock market slump has significantly improved India's Gini coefficient of wealth, will Maoist insurgents in Chatttisgarh give up insurrection? Will ULFA in Assam cease its depredations because of greater equality between the people of Assam and those of Dalal Street? Will the militants in Kashmir become less militant because of an improved income distribution?

To even suggest this would be farcical. Yet that farcical notion is deeply entrenched in much socio-economic analysis. The millionaires of Nepal are deeply invested in Indian stock markets. Does the ADB think that their stock market losses, which have reduced inequalities, will ease tensions in the neglected Himalayan region of Nepal?

Economists focus on measures of inequality like the Gini coefficient. But ordinary folk have very different concerns. Bihar is the poorest state and Goa the richest, but the poor Bihari does not worry about the disparity. He knows that his travails are due to local politicians and mafia, not rich Goans. He is not interested in impoverishing the Ambanis, he wants to become rich himself. He welcomes a booming stock market that might bring investment and jobs to Bihar.

Many analysts think society is happier when inequalities fall and unhappier when inequalities rise. Really? In an economic recession, profits fall much faster than wages, so equality improves. But do the poor enjoy a recession , with its unemployment and weak wages? Not at all. They far prefer an economic boom, even though profits rise much faster than wages.

People want more income, not better Gini coefficients. They are concerned with inequality only when they see some powerful people gaining at their expense. They don't grudge Sachin Tendulkar or Shah Rukh Khan their riches. Both these gentlemen are from families of modest means, and have become billionaires through talent. That makes them role models, not hate objects. They are examples of what ordinary Indians seek - a chance to become rich and famous themselves They do not want a slice of Mao's China, they want a slice of Deng's China. They want the opportunity to rise.

The ADB review is dead right in its key conclusion: governments in Asia must do much more to improve equality of opportunity. In India, it is shocking that after six decades of independence and the spending of millions of crores, literacy is barely 65%, and most people who complete school cannot read simple paragraphs or do simple maths sums.

It is outrageous that every village does not have a functioning school and health clinic; does not have electricity, telecom and a pukkaroad ; does not have access to effective rule of law or judicial redress.

This is the inequality that I keep complaining about. Instead of doing something about it, socialists point fingers at the rising wealth of Ambanis and Tatas, as though that is responsible for the sad plight of our villages. It would be as ridiculous to blame Tendulkar and Shah Rukh Khan.

The shocking denial of access to basic facilities at the village level institutionalises inequality of opportunity, and prevents the poor from rising. Urban facilities provide some social mobility. But rural facilities are typically so pathetic as to become poverty traps.

For this, our netas and babus are fairly and squarely to blame. These heroes of the Left are the zeros that have ensured continuing inequality of opportunity, poverty and powerlessness. Their solution is to compete in offering castebased reservations, not in providing the equality of opportunity that might make caste irrelevant.

I too am outraged that 300 million Indians remain poor. I am outraged not that a few Indians have become billionaires but that thousands more have not, for want of equality of opportunity. I look forward to an India with thousands of billionaires and millions of millionaires. I do not wish to give the poor a few doles, keeping them as objects of pity. I want to them to be given equal opportunity so that they too can be independent and aspire to provide to their progeny what they did not have but always wanted.( convert them to millionaires, to objects of envy).

TRAI initiative on DTH

(Telecom Regulatory Authority Initiative of India initiative on Direct Transmission to Home)
It is important to understand that at the core of the initiatives of the TRAI(Telecom Regulatory Authority of India) should lie the consumers interest and the investor's healthiness so that the consumer gets to access to latest technology at competitive costs over time.

It is therefore obvious that convergence of technologies need to be encouraged and starting from brand related barriers to technology related barriers need to be broken down. Today the business models of the telecoms have to be dynamic to capture the fast changing impact that technology advancements are bringing. While continuity in policy and guidelines to nurture an enterprise is essential, TRAI must be complemented in addressing the consumers interests simultaneously.

DTV is one such convergent technology tool which will have to be exploited to the larger consumers' benefit. Individual players who have outbid others to corner bandwidth(be it satellite or Air Spectrum) should not be encouraged to drive away consumers by imposing artificial restrictions which are purely based on short term revenues considerations.

(My letter to the Editor of Economic Times)

Going over the Hill

I know that at some age one is supposed to feel old and that it is not fixed that one should feel old say at fifty. It varies from person to person.

But when you do feel it, it is shocking.

It is shocking because suddenly you are aware of things which are common knowledge to you but are historical facts for many!

It is shocking because, even though you want to do something, your body does not respond as it has been for decades and you know that you have to slow down.

It is shocking because, you eat less and you do not crave for food.

It is shocking because you have joined the walking group till recently you used to avoid because they were slow

It is shocking because that you know that you have limited (but still lots and lots) time to complete the things you set of to do.

One of the person whom I respect used to say that when you cross fifty you realise that the world can do with out you and when you cross Seventy the world is better off with out you. Now that I have crossed fifty, I do not have that feeling. I am relaising that the infinite energy and time which I had always assumed to be my birth right is no longer true. They are limited and I have used up quite a lot.

I need to commit myself to the job at hand more diligently and complete what I had been made for and that too as early as possible

Presidential Prescrition - An over reach of Press

In a leader in "The Hindu" today, a heavy dose of prescription is handed over to the Presidential nominee.

This presidential election from the start has been a controversial one. To a very large extent it reflects the mindset of the politicians on the purported fluid political situation. The ground reality is different. It is therefore unbecoming of leading news papers to further disillusion the ruling class by prescribing restraint when there is no cause of a provocation. The opposition is fragmented and no one, even the worst enemy of the congress will like to rock the boat now.

Coming to the prescription itself and the instances quoted in the history based on which such prescriptions are handed over, it is to be said that times are changing and the same Victorian approach may not be what the doctor will order. The media is only partly free and excessive restraints at the wrong time on the part of the President may not be advised.

One needs to allow the incumbent to act and have faith in her advisers and the other administrators of the constitution of India. In our 57 years of Republic, except for a brief period in 1975, our independence was never at risk. We managed to come out of that crisis as well.

I would strongly argue for an active President of India, whose actions will of course have to be within the powers granted by the constitution. While restraint and private reprimand in some cases may produce extraordinary results, it must be left to the judgment of the first person to choose the option.

One stop solution as indicated in the Leader is not what the doctor will order

The Leader is Looking Ahead .

SEZ Policy

SEZ policy which was supposed to be a single stop solution for all the ills of the exporters has hit a road block much to the chagrin of some in the government. The issue is the land which in most of cases is snatched from small farmers and handed over to the industrialists & corporates. Our rural folk have skill sets which support agriculture and it is naive to expect that reclassification of Land use which effectively rules out the repossession of the land by the current owners for generations will be smooth. Further the literacy level and the language barriers prohibit these farmers to move on to another location in our own country with out major setback. Policy makers and corporates should be humane enough to understand these issues and take appropriate action.

For instance in the case of Reliance, one of the suggestions is to take these farmers on contract basis and provide them with leased land and need based funds to engage in farming. Such farm output could be sold through their own proposed retail network. Such forward thinking and inclusive development models should be deployed by the corporate leaders like Reliance.

Irrelevance of Inflation Targetting

In spite of phenomenal increases in the basic prices of Metals and Oil, which we import to run our economy, our economy is ticking and moving forward reporting marginal increase in inflation rate. This shows that we have found a way to scale up volumes and efficiency. We are also increasingly shedding cost plus factors, as is evident in air travel and communication costs which are no longer operating on social basis but are driven by market forces and hence competitive. I still remember the news stories, (similar to the ones which we are seeing in Oil sector today), that Indian Airlines request for revisions are not decided by the government and hence the Airlines is likely to report losses!

Therefore monetary policies should factor in structural changes and encourage on a sustained basis the attempt to bring an impetus to growth. We are at this stage a unique economy where our knowledge workers are gaining recognition and bringing in large profits which are retained in the nation. Consumption is increasing and goods are being delivered to meet the demand. Sustained corporate earnings growth across sectors is aided in no small measure by volume growth.

So we need to have our own policies, which in this case may even call for increased deficit financing or using the forex reserves. We need to therefore find the way to sustain this growth through monetary policy and be very cautious in our moves lest, this momentum gained over ten years of 5 year planning is challenged.

Carnatic Music

Indian Music, in particular Carnatic Music, is full of unique characteristics. Your paper with its coverage have over the years, brought out its nuances to generations. Your coverage in today's paper under "This day that Age" and Music Scan is one such instance where you have put in word what we the Music audience feel and participate in and at the end of the concert (or listening in) carry with us.

Carnatic music is driven by a highly passive, but knowledgeable, critical individual audience who have their own preferences. Similarly the artistes are individualistic, with their own style. But both know the broad rigorous limits which makes the participative effort sublime.

Carnatic Music is of meditative quality and adaptive to help it carry this tradition through ages.