Sunil Mittal lays down agenda for inclusiveness

New Delhi, May 27: Mr Sunil Bharti Mittal, the new President of CII, today said he expects the reform process to slow down as a result of new found realties of politics, but offered no concrete solutions to the issues raised by Prime Minister Manmohan Singh recently to check inequalities and conspicuous consumptions.

''While the reform agenda has been laid out by the government, it appears that one will see very little action in the next year and a half due to the changing political landscape,'' Mr Mittal said in an interview to sources.

The Chairman of Bharti Airtel Enterprises, answered a host of questions relating to the advice the Prime Minister recently gave to the industry on several issues, how India Inc plans to do its bit to achieve inclusive growth, reasons for his astonishing success in business, the changing political spectrum and its impact on economic policies, and issues pertaining to the World Trade Organisation (WTO) and environment.

Mr Mittal said the reform agenda which has already been outlined by the UPA government includes financial sector reforms, including raising of FDI caps in insurance, opening up of retail to the corporate sector, creating a competitive policy framework and carrying forward the process of liberalisation in various sectors.

Mr Mittal said he was no great expert in analysing the changing political equations, but his hunch was that the reform process could hit roadblocks.

While not spelling it out, Mr Mittal was hinting at the fact that populism would overtake rational and pragmatic policy making given the fact that general elections are just two years round the corner and the defeat of the Congress in the recent hustings would result in the UPA government developing cold feet on reforms.

The Prime Minister while recently inaugurating the CII AGM had spoken about the skyrocketing salaries of corporate leaders, the need to prevent cartelisation, not indulging in conspicuous consumption and adopting Gandhiji's model of trusteeship of wealth.

To a question relating to the Prime Minister's advice to the industry to prevent cartelisation and uncompetitive beahaviour, Mr Mittal said: ''The days of cartels are over as competition rules the roost. This is the result of more than a decade and a half of the reform process. Besides, the CII was wedded to promoting openness and intertwining the Indian economy with the Global economy.

This irons out the growth of monopolistic behaviour.'' Q: But, Europe and America, the champions of globalisation have significant amount of cartelisation and monopolistic behaviour? A: I am of the view that the answer to cartelisation is greater competition. We hold this close to our heart and work in this direction.

Q: The Prime Minister has said that excessive emoluments of top executives need to be discouraged. Besides he has stated that conspicuous consumption and vulgar display of wealth leads to social unrest.

A: The Prime Minister is referring to only a handful of Chief Executive Officers (CEOs) whose salaries are extremely high. Dr Manmohan Singh has suggested that one should not blindly ape the West and it was neccessary to evolve an Indian ethos, suiting the social, economic and political realities of the country.

In most cases wages and salaries are market determined. It is difficult to put a cap on them.

Q: You have said private sectors salaries cannot be legislated upon. This was never the case of the Prime Minister and he only wanted voluntary compliance of desisting from taking high salaries.

A: I made that remark in a different context.

Q: You have said the Prime Minister's advice of high emoluments was akin to that of a father's advice to a son. Is industry then a disobedient son? A: No answer.

Q: The Prime Minister had earlier spoken about crony capitalism and now about preventing cartels. What is in the mind of the Prime Minister as the issue is directed at the industry? A: I don't know what is on the mind of the Prime Minister. Q: Panchayati Raj Minister Mani Shanker Aiyar has recently stated that econmoic policy was unduly influenced by elite sections like the CII and to the detremint of the common man and the poor.

A: I dont know what Mr Mani Shanker Aiyar has in mind.

Q: There is a belief in some sections that the nexus between big business and the government is very close.

A: The days of larjesse are gone. I recall industralists spending almost their entire day on the corridors of power in the days of the license raj, not too distant a past. Reforms have changed all that.

There is now greater transparency in policy.

Q: Why does then CII every now and then call Central Government Minsters, Chief Ministers and doles out elaborate pre-budget memoranda? A: That is because we want clarification on policy issues and want the anomillies in the tax structure to be corrected.

Q: What is it that India Inc will do to promote inclusiveness? A: The CII has drawn up a huge agenda to achieve this. The Confedeartion will focus on building people, agriculture and sustainability of growth.

Our vision for agriculture is to create sustainable agri-business all over India for rejuvenating agricultural growth and increase farm incomes. Another focus will be on affirmative action and the CII has laid out certain targets in this regard.

Our agenda for this year is; 'People'. This includes blue collar, rust collar, white collar and grey collar workers. It also encompasses school dropouts, CEOs of industry, civil society, administration and the professionals.

We intend to take up 500 ITIs for upgradation and modernisation.

The objective in all this is the development of people, their training and skilling.

Q: What are your plans for bringing the Doha round to a successful completion and achieving sustainable environment? A: We will work very closely with the Ministry of Commerce on issues pertaining to the WTO.

We want the greening of India and expect the Government to incentivise adopting environment-friendly technologies.

Q: What accounts for your phenomenal success in business...from ordinary beginnings in business to great heights? A: There is a lot of hard work involved. But many people do hard work. We do our bit, but sombody has programmed success up there. The will of God is final in all matters.

UNI