Inspector Raj in India

[India News]: New Delhi, Dec 4 : Prime Minister Manmohan Singh Saturday assured Indian industry that a high-level committee would review archaic laws resulting in "Inspector Raj" -- the system of permits and licences -- that hinders growth. "The standing committee with representatives from industry and the government would review all existing industry laws with international best practices and if required amend archaic laws to end tyranny of inspector Raj," said Sanjaya Baru, media adviser to the prime minister, in a media briefing after a meeting of the Prime Minister's Council on Trade and Industry. Chairing the meeting attended by 17 of the 18 industry representatives, Manmohan Singh told them that the committee would also look into ways of improving infrastructure including roads, airports and power.

The meeting discussed proposals to develop six metros as gateways to India, go in for better tourism infrastructure with private investment, reduce multiple taxation in telecom, and give out road contracts with provision for maintenance. The prime minister said the first meeting of the infrastructure committee would be held Dec 10. He assured industry representatives that measures would be taken to jumpstart private investment in infrastructure. To help meet employment generation goals and promote entrepreneurship, the committee would look to upgrade skills by adopting more Industrial Training Institutes (ITIs). Briefing the media along with Keshav Mahindra, chairman of Mahindra and Mahindra, and N.R. Narayana Murthy, chairman and chief mentor of Infosys Technologies Ltd, and T.K.A. Nair, the prime minister's principal secretary, Baru said five ITIs had so far been adopted by various industries. "The Confederation of Indian Industry is coming up with a list of 100 more ITIs where skill upgradation will be taken up," said Baru. On the review of industry laws, Nair said: "The rules and regulations would be made more transparent and simple.

The attempt would be to, as far as possible, not leave issues to personal interpretation and to ensure that discretionary power is not misused." The infrastructure committee would consider various requirements of industry and make a presentation to the Council on Trade and Industry, which would meet every quarter, Nair said. Describing the discussions as "very interactive", Mahindra said: "This is the first time the government has recognised that there is an Inspector Raj in the country." Murthy expressed happiness that while ensuring fairness to all sections of the society, "the prime minister emphasised that we cannot afford to lose global competitiveness because then the industry will lose out and disintegrate".

--Indo-Asian News Service