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  #1  
Old October 20th, 2008, 09:32 AM
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Nano from Gujarat: Legitimising Moditva?

It's really amazing to see how these journos concoct such stories. How can you even think on these lines?


Ratan Tata, one of India's best regarded industrialists, has dismayed many people by deciding to shift the Nano car factory from Singur in West Bengal to Sanand near Ahmedabad in Gujarat.

The agitation against land acquisition at Singur, led by Mamata Banerjee, cannot alone explain the choice of Gujarat. For one, the scope to explore alternatives to the existing land acquisition formula wasn't exhausted. Some interesting alternatives were proposed, which would have marginally raised the project's costs, but significantly increased the compensation paid to farmers and sharecroppers.

These include pursuing solutions already under discussion, such as returning a part of the land from the project area to the owners. Alternatively, a modest land royalty equivalent to one-quarter of one percent of the sales of the Nano car would annually generate Rs 1.25 lakh (Rs 125,000) an acre for landowners.

Also proposed was higher compensation for land by raising the price of the promised 'one lakh-rupee' car by Rs 10,000, which would have made the project more acceptable. The Tatas didn't pursue these ideas.

For another, many state governments wooed Tata Motors [Get Quote] with lucrative incentives. It's not clear if Gujarat's offer was more attractive than the concessions proposed by Maharashtra, Karnataka, Andhra Pradesh or Uttarakhand, which would minimally have to match the super-favourable treatment they got in West Bengal -- a total subsidy estimated at Rs 850-900 crore (Rs 8.5-9 billion), or half the entire cost of the project!

It appears that the Tatas opted for Gujarat not so much for specific concessions, as because they too were taken in by Chief Minister Narendra Modi's image as a dynamic, no-nonsense, pro-business leader, besides being attracted to what the Bharatiya Janata Party celebrates as the 'Gujarat Model' of development, based on rapid haphazard industrial expansion at high human-rights and environmental costs.

They were confident that Modi's ruthlessness would ensure the project's 'smooth' implementation and profitability.

In addition, Tata may have been influenced by what he terms Gujarat's 'intangibles' -- policy continuity, a 'peaceful' industrial climate (assured by Modi's repressive labour policies), good infrastructural backup, Sanand's location close to the planned Mumbai-Delhi industrial corridor, and law and order 'stability' (however despotically this might be imposed by an authoritarian communal government).

At any rate, by deciding to go to Gujarat, Tata has bestowed unprecedented legitimacy and respectability upon Modi and his ghastly brand of politics. Nothing expressed this as eloquently as the mutually admiring body language in the two men's interaction and by Tata's distinction between the 'Bad M' (Mamata Banerjee) and the 'Good M' (Modi).

Last year, Tata had famously told businessmen: "You are stupid if you are not in Gujarat." Until the Nano project, the Tatas had limited investments in Gujarat through Tata Chemicals [Get Quote] in Mithapur.

Now, by relocating the Nano factory, Tata has finally put his imprimatur on Modi's 'leadership' of Gujarat -- although Modi presided over a terrible pogrom of Muslims in 2002.

By shifting the Nano factory, Ratan Tata has behaved like any other businessman in search of low-risk investments and high profits. From within the logic of profit maximisation, it's hard to fault him.

But the House of Tatas is meant to be different: it's seen as an enlightened, liberal-minded and ethical industrial group driven by considerations larger than profit alone. Ratan Tata's admirers believe he 'can do no wrong.' They also attach an almost mystical value to the Nano car as a great managerial and technological achievement, to be priced at the magic figure of Rs 1 lakh -- and destined to become a 'dream machine' for the middle class, or a noble kind of 'public good.'

However, the Nano is likely to have serious safety and maintenance problems because its design cuts many corners and uses flimsy materials instead of solid, durable ones. It's doubtful if it'll be a real 'achievement' and meet elementary safety and emission norms while maintaining the one lakh-rupee price.

It may turn out the opposite of a public good by choking our roads, stoking rampant consumerism and resource waste, discouraging public transport, and becoming a social and environmental liability.

However, the larger premise about the Tata Group being different or exceptional is based upon three propositions: it pioneered Indian industrialisation through Empress Mills and Tata Iron and Steel Co in the 19th century, and continues to play a highly innovative role under Ratan Tata as a professionally managed conglomerate; it's driven by philanthropic motives and has an unblemished labour relations and environmental record; and, finally, that it's a model of corporate social responsibility (CSR), which averts aggressive practices.

The first half of the first proposition is undoubtedly true. The Tatas indeed established textile and steel production as swadeshi enterprises, collecting subscriptions from the middle class. They also set up many other new industries, including chemicals, electronics and software.

But there has been some stagnation in their in-house innovative activity, and the group has increasingly expanded through mergers and acquisitions, as in the $13-billion Corus takeover and the Jaguar-Land Rover deal.

Ever since he became chairman of the House of Tatas in 1991, Ratan Tata has tightened his family trusts' hold on the group's companies. Under the legendary JRD Tata, Tata Sons Ltd owned just 3 percent of their equity. Now, it holds a controlling share in most companies.

Tata's own record in failing to turn around electronics company Nelco in the 1970s and Empress Mills in the 1980s speaks for itself.

The Tatas' labour relations record is patchy. As historian Dilip Simeon has documented in his book, The Politics of Labour under Late Colonialism (Manohar, 1995), the Tatas tarnished the record in the late 1920s and 1930s by promoting communal unions and employing goondas and strike-breakers. Nelco too was closed down in the late 1970s as a result of a strike and prolonged lockout.

In recent years, many Tata companies have got into serious environmental conflicts over projects in Maharashtra, Gujarat, Jharkhand and Orissa.

The Tatas admittedly run a number of good charitable trusts. But as far as CSR goes, Ratan Tata has been lobbying on behalf of Dow Chemicals being allowed to escape its responsibility for the aftermath of the Bhopal disaster as the heir of Union Carbide, which it took over.

He wants Dow to be freed of its legal liability to clean up the contaminated Bhopal plant site, which has poisoned water supply and affected 25,000 people living in the vicinity.

Under Ratan Tata's stewardship, the Tata Group has turned extremely aggressive and acquisition-oriented. The Corus takeover has put it into a debt of $7.4 billion. But that didn't stop the Tatas from taking over Jaguar-Land Rover. Labour unions in these acquired companies feel less than assured of job protection and good industrial relations.

On top of this comes Tata Motors' decision to move the Nano factory to Gujarat. Implicit in this is an endorsement of Modi's style of governance and, above all, a sanctification of his viciously communal politics.

In effect, the decision will be interpreted as an invitation to forget the haunting reality of the massacre of 2,000 Muslims in 2002 sponsored by the state. This was the worst carnage of its kind in Independent India -- and a major assault on secularism and democracy, from which Gujarat has still not recovered.

Indeed, the victims of the carnage continue to be denied justice and live in fear and insecurity, with scores of cases under TADA and POTA and all manner of harassment, including fake encounters in which DCP Vanzara has been involved.

The recent report of the Nanavati Commission has only added insult to injury by declaring the burning of a train coach at Godhra a planned conspiracy instead of an accident, and by giving a clean chit to Modi. (For a detailed critique of the Nanavati report by Ahmedabad-based lawyer-activist Mukul Sinha, visit www.nsm.org.in )

Tata's endorsement of Modi is in line with a long process of the Indian industrialist class gradually reconciling itself with Modi-style Hindutva, helping erase the memory of the Gujarat pogrom, and 'normalising' Hindu communalism.

This is happening at a dangerous moment in India's evolution, when Hindutva attacks on the religious minorities are rising, whether in Orissa and Karnataka, or in Madhya Pradesh and Maharashtra, while the minorities face ethnic cleansing or are victimised in the name of fighting terrorism.

The Indian State has shown no will to stop this and bring the culprits to book by upholding the law of the land.

As the latest National Integration Council meeting showed, even Naveen Patnaik is willing to implement a ban on the Bajrang Dal, if the Centre orders one. But will the Centre muster the courage, or duck the problem of communalism like the Tatas have done?

India's survival as a pluralist secular democracy hinges on this issue.

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  #2  
Old October 20th, 2008, 09:49 AM
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Re: Nano from Gujarat: Legitimising Moditva?

What can you expect from English media in India? They will keep demonising Narendra Modi and wont be ashamed to drag Tata into it.

No one cared and wrote such long articles when Mamta Banerjee resorted to violent protests in Singur to oust Tata Motors.

So dont worry, the elections will show once and for all what the people want, what the private sector wants.
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Old October 20th, 2008, 11:15 AM
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Re: Nano from Gujarat: Legitimising Moditva?

The author in question is a pseudo paki and a terrorist sympathizer.

One of those kind who keeps on singing HINDU paki bahi bhai

P.S: Its an insult on the intelligence of common INDIAN that these so called intellectual ba$tards do not remember the same when TATA was first supposed to start his factory in the commie land.

BTW none of these intellectuals question why the commies collected funds for china during 62 war.
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Last edited by BABU_HYDERABADI; October 20th, 2008 at 11:17 AM.
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Old October 20th, 2008, 01:07 PM
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Re: Nano from Gujarat: Legitimising Moditva?

It's not as much as legitimizing Modi as it is about Gujarat.
Gujjus have really turned their state into a great place to do business. A place where business has more priority that the ones we saw with Mamta Bitch in WB, or political uncertainty in Karnataka.
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Old October 20th, 2008, 01:15 PM
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Re: Nano from Gujarat: Legitimising Moditva?

I wonder why the nano project did not go to TN in the first place. Most of the automotive cos have set shop in outskirts of Chennai and it's being touted as the Detroit of India. Does'nt it make sense to get the Nano in there cause they can exploit a lot of vsndor's who are supporting these car cos. Makes good business sense. Maybe they were not able to find land? but I don't think that's the case
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Old October 20th, 2008, 01:40 PM
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Re: Nano from Gujarat: Legitimising Moditva?

I think they wanted to produce Nano with the least investment in terms of cost because of they having such a low price tag on the car. Choosing established areas would not have helped them control the costs.

But I guess the WB fiasco put some sense into them that having a good business climate is more productive .

As always Praful Bidwai proves that he is an India Hater .
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Old October 20th, 2008, 03:26 PM
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Re: Nano from Gujarat: Legitimising Moditva?

Jab Hathi chalta hai tu kutto kai bhonknasay uss ko fark nahie padta. Let the dog bark and take out his frustation.

BTW - he did say one thing that I agree on. Nano is going to clog the already clogged roads. I guess, next time when I will go to India I won't find a place to walk
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Old October 21st, 2008, 05:13 AM
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Re: Nano from Gujarat: Legitimising Moditva?

Sounds crap..... Modi is a good businessman-leader.... he is a visionary when it comes to economic progress...he has managed to sell Gujarat very well as an investment destination despite its much maligned image... now This Modi is very different from Modi, the social leader... he is someone I still refuse to trust... but I have a feeling that next elections he will be wooing muslims....
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Old October 21st, 2008, 07:37 AM
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Re: Nano from Gujarat: Legitimising Moditva?

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Originally Posted by chitrala View Post
Sounds crap..... Modi is a good businessman-leader.... he is a visionary when it comes to economic progress...he has managed to sell Gujarat very well as an investment destination despite its much maligned image... now This Modi is very different from Modi, the social leader... he is someone I still refuse to trust... but I have a feeling that next elections he will be wooing muslims....
i think he does not care about muslim vote
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Old October 21st, 2008, 09:29 AM
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Re: Nano from Gujarat: Legitimising Moditva?

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Originally Posted by BABU_HYDERABADI View Post
i think he does not care about muslim vote
rightly said...if he were to care about muslims, he would not talk about bringing POTA back. A lot of mullas are anti-POTA for some unknown reason
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Old October 21st, 2008, 09:59 AM
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Re: Nano from Gujarat: Legitimising Moditva?

Quote:
Originally Posted by BABU_HYDERABADI View Post
i think he does not care about muslim vote
He does not seem to...but he will I guess.... he has already stopped those 'hum paanch humaare pachees' and 'babar ki aulad' speeches.... it would be a natural progression as a politician...a hindu leader with muslim slant...I never expected Mayawati wooing Brahmins and brahmins responding positively.... people have very short memory...let's see... it will help him propel into the national scene... and appease the so called P-sec and FHLs.
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Old October 21st, 2008, 10:27 AM
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Re: Nano from Gujarat: Legitimising Moditva?

Quote:
Originally Posted by chitrala View Post
He does not seem to...but he will I guess.... he has already stopped those 'hum paanch humaare pachees' and 'babar ki aulad' speeches.... it would be a natural progression as a politician...a hindu leader with muslim slant...
Please confirm that these long beard folks are muslims or not.....
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Old October 21st, 2008, 11:35 AM
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Re: Nano from Gujarat: Legitimising Moditva?

I am not entirely sure, however doesn't one need to tie a kerchief/cloth over the head when in the mosque ? It seems odd to me and makes me feel that the last 2 photos may be morphed.
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Old October 21st, 2008, 12:45 PM
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Re: Nano from Gujarat: Legitimising Moditva?

I am not sure but Bohras are a little different from orthodox muslims....gujjus may know better...doesn't look morphed pic to me though...these dharmgurus always want to stick close to power...
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Old October 21st, 2008, 12:54 PM
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Re: Nano from Gujarat: Legitimising Moditva?

Quote:
Originally Posted by chitrala View Post
I am not sure but Bohras are a little different from orthodox muslims....gujjus may know better...doesn't look morphed pic to me though...these dharmgurus always want to stick close to power...
As per info from street talks, they have contributed Rs. 3.52 crore for BJP at the time of guj asmbly election...

it seems a natural progression of Modi as a politician...
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