ASSOCHAM demands reduction of ministries at Centre

Chennai, June 18: With the aim of cost cutting on all fronts, ASSOCHAM has demanded downsizing the union cabinet by reducing the number of ministries from 53 to 40.

According to ASSOCHAM President Venugopal N Dhoot some ministries should be merged for operational efficiency and better functioning.

The money saved through the exercise could be utilised for the development of infrastructure, he said.

''When the country attained independence, there were only 18 ministries. As the time progressed, the number multiplied, with costs to the national exchequer escalating to a whopping Rs 75,000 crore every year'', he pointed out.

Mr Dhoot said the FDI in retail trade should be allowed in stages so that those involved in it could prepare themselves for some other professions.

On the demand for Reservation in the private sector, he said it should be voluntary and not mandatory.

He said the Tamil Nadu Government should take efforts to set up a 'Singapore corridor' as a number of industrialists from Singapore had evinced interest in shifting their units here due to low costs.

''Tamil Nadu can attract an investment of Rs 15,000 crore through the corridor,'' he said.

Mr Dhoot, who is also Chairman of Videocon, said his company was interested in setting up a plasma TV manufacturing unit in Tamil Nadu, provided the state government offered more concessions.

UNI