economic development of NE region

[kabira]

I have seen many of our big companies invest money in volatile regions like Afghanistan, Iraq and Pakistan. Heck indian companies were helping Pakistanis to get trained in call center business. So far I havent seen any big company invest in Manipur, Mizoram, Nagaland etc. What could be the reason??

[Rajiv]

Re: economic development of NE region

I have seen many of our big companies invest money in volatile regions like Afghanistan, Iraq and Pakistan. Heck indian companies were helping Pakistanis to get trained in call center business. So far I havent seen any big company invest in Manipur, Mizoram, Nagaland etc. What could be the region??

you mean reason right

[head coach]

Re: economic development of NE region Kabira, This article gives you an answer: NORTH EAST INDIA THE FORGOTTEN REGION

[Dirty_South]

Re: economic development of NE region Thnx for the link HC :hmph:

[Lurker]

Re: economic development of NE region

I have seen many of our big companies invest money in volatile regions like Afghanistan, Iraq and Pakistan. Heck indian companies were helping Pakistanis to get trained in call center business. So far I havent seen any big company invest in Manipur, Mizoram, Nagaland etc. What could be the reason??

Kabira, I do not think that Indians training Pakistanis for call-center is the same as improving situation in NE. To be frank I would be happier if NE states are developed economically on a different platform that IT/IT Services. As it is we already have Bangalore, Chennai, Pune, Hyderabad, Mumbai, NOIDA etc vying for that. heck even small towns like Trivandrum, Bhubaneshwar have a good IT infrastructure today. Why add on to existing competition? The trick is to develop states based on their native strengths. NE is a fantastic region for India to develop along tourism lines. That is where the thrust should be. There are quite a few problems of course. Terrorism and subversive activities for one. We need a more peaceful NE so Indians could start going to Gangtok and Kohima to enjoy their summer vacation like they did at Srinagar before kashmir terrorism. But then thats easier said than done. Also a big problem is the development, or lack of, Eastwards from UP. As you from UP to Bihar to West bengal to NE, the facilities become exceedingly poor. That would need to be beefed up all the way. xxxx

[Guest dada_rocks]

Re: economic development of NE region

I do not think that Indians training Pakistanis for call-center is the same as improving situation in NE.

They say charity begins at home and I guess reference in OP is if u can do that across the border with whihc ur relation ihas hardly been cordial why can't u do the same instead in ur own home.

Why add on to existing competition?

You got to be kidding. Competetion is awlays good and if u don't like competetion wonder what does helping pakistan entails.

The trick is to develop states based on their native strengths. NE is a fantastic region for India to develop along tourism lines. That is where the thrust should be. There are quite a few problems of course. Terrorism and subversive activities for one. We need a more peaceful NE so Indians could start going to Gangtok and Kohima to enjoy their summer vacation like they did at Srinagar before kashmir terrorism. But then thats easier said than done. Also a big problem is the development, or lack of, Eastwards from UP. As you from UP to Bihar to West bengal to NE, the facilities become exceedingly poor. That would need to be beefed up all the way.

As well intioned as idea is NE is no barbados which can sustain its economy on tourism alone.

[Lurker]

Re: economic development of NE region

They say charity begins at home and I guess reference in OP is if u can do that across the border with whihc ur relation ihas hardly been cordial why can't u do the same instead in ur own home.

And pray do tell why do you consider the act as charity? Are we talking of Indian Government opening the call centers?? As far as I can remember the OP talks of big companies, which are generally all Professional non-Governmental organization. So what makes you wonder it is not about strictly business and is about charity?

You got to be kidding. Competetion is awlays good and if u don't like competetion wonder what does helping pakistan entails.

Yeah yeah and I have mentioned when competition is not all good. Why should every state vie for the same - IT and ITS?? Its a classic case of putting eggs in one basket. If you are a smart investor you never keep all your savings in just one share.

As well intioned as idea is NE is no barbados which can sustain its economy on tourism alone.

Even Barbados does not exactly have the most booming economy in the world. My idea was rather simple - develop a region/state based on its strength. The strength of NE is tourism. You have natural beauty that no money can create. With a bit of expenditure on infrastructure(specially hoteliering and the likes) you can boost that. That is much different than creating infrastructure to match a Bangalore or a Hyderabad in IT. xxx

[Guest dada_rocks]

Re: economic development of NE region

And pray do tell why do you consider the act as charity? Are we talking of Indian Government opening the call centers?? As far as I can remember the OP talks of big companies, which are generally all Professional non-Governmental organization. So what makes you wonder it is not about strictly business and is about charity?

A person helping his/her competetor (as u have duely noticed intiating BPO in NE wud be tantamount to increasing competetion) at his/her own cost does look like charity. Helping ur competetor a business decision I am sure indian businessmen are not that dumb.

Yeah yeah and I have mentioned when competition is not all good. Why should every state vie for the same - IT and ITS?? Its a classic case of putting eggs in one basket. If you are a smart investor you never keep all your savings in just one share.

Same mentality was in place when hyderabad jumped the bandwagon. fact is Indian IT indystry still is not able to fill the gap otherwise there won't have been interest shown in places like pakistan. Pie is much more bigger that the already engrossed states can handle.

[Lurker]

Re: economic development of NE region

Same mentality was in place when hyderabad jumped the bandwagon. fact is Indian IT indystry still is not able to fill the gap otherwise there won't have been interest shown in places like pakistan. Pie is much more bigger that the already engrossed states can handle.

Hyderabad jumped on the bandwagon? Hyderabad was ALWAYS on the bandwagon. Any IT person will tell you a large percentage of Indian IT professionals have come from AP. There was no dearth of resources. Now do mention how many North Eastern folks have you seen it IT?? As for Pakistan getting a slice of the pie that is the typical mentality of yours kicking in. You are somehow suggesting Pakistani companies are getting leftovers from India. Could it also be that companies who have set-up offices in Pakistan have seen a good return on investment? Perhaps better than what they would in India? Help me understand this. I am running a TCS or an Infosys and I have the option on opening a office in Indian state or Pakistan. Why would I go to the latter? Let me see where you are coming from on this one. xxxxx

[Guest dada_rocks]

Re: economic development of NE region

Same mentality was in place when hyderabad jumped the bandwagon. fact is Indian IT indystry still is not able to fill the gap otherwise there won't have been interest shown in places like pakistan. Pie is much more bigger that the already engrossed states can handle.

Hyderabad jumped on the bandwagon? Hyderabad was ALWAYS on the bandwagon. Any IT person will tell you a large percentage of Indian IT professionals have come from AP. There was no dearth of resources. Now do mention how many North Eastern folks have you seen it IT?? As for Pakistan getting a slice of the pie that is the typical mentality of yours kicking in. You are somehow suggesting Pakistani companies are getting leftovers from India. Could it also be that companies who have set-up offices in Pakistan have seen a good return on investment? Perhaps better than what they would in India? Help me understand this. I am running a TCS or an Infosys and I have the option on opening a office in Indian state or Pakistan. Why would I go to the latter? Let me see where you are coming from on this one. xxxxx

where did I suggest indian companies are putting shops in pakistan. pakistan is getting business because indians are not able to fill all the gaps and may i add there is a big shasm here from BPO LPO to what not. Tomorrow they most certainly be indian indusry's competetor provided the usual pakistan crap doesn't happen. Keeping thsi in mind helping them at the business can be either charity or suicidal. i tend to think indian buisnessmen are not an idiot so sucide is out of the question and it has to be charity given the boruhaha of friendship these days it all makes sense.

[The Outsider]

Re: economic development of NE region Okay, finally got the time to post on this interesting thread. Talking of North East it is always important to bear in mind the demographics and geography we are dealing with. These states were never even a bonafide part of the British empire because of too many complications and too little economic returns. They were classified as "Non Regulated Areas" or "Excluded Areas" by the British, which basically meant that while they were part of the empire on the map, only the British army ever used the region to guard mainland India. As a result, the locals never experienced the hardships under the British empire and lived largely as they had earlier in their tribal cultures, not integrating with the independence movement or mainland India. The entire region is still tribal dominated and whenever mainland ideas have been tried to be forced upon them, resistance of varying scales has been the result. A big mistake made by central governments of yesteryears has been trying to foist new institutions on the region rather than make use of the existing tribal institutions and organizations to implement economic policies. This has been viewed upon as encroachment upon their unique identities and cultures by the locals. Moreover, what these externally foisted institutions have done has resulted in a dole distribution economy rather than anything more grassroot and substantial. Not only that the seclusion of the locals from the economy and its growth has caused a passiveness towards development and a government monopoly in employement has led to rampant corruption and nepotism. While a lot is made out of non Kashmiris not being able to purchase land in Kashmir, it is by no means a unique situation in India. The North East states also have this restriction and so do certain tribal regions of Himachal Pradesh. This was an excellent policy immediately after independence when a lot of unstable regions needed assurance that their centuries old customs would not be jettisoned. But mainstream integration requires judicious use of allowing people from other states to settle in. Just as a closed economy was good for India for a couple of decades or so but globalization happened much later we are late on removing this statute as well. What has resulted is evil feeding upon evil. The seclusion of the locals from the policies being implemented for them has given rise to violence and instability which in turn has created a corrupt environment where disturbing amounts of Central funds are embezzled further alienating the local populace. The state governments have come under pressure from the center to increase revenues and they have used the classic method of increasing taxation. There have also been huge cultural changes wherein many tribals are now actually very well educated. Many go to Calcutta and Guwahati for higher education. The institutions, formalized and implemented decades ago, are no longer relevant to the upcoming educated new generation. An educated, frustrated, youth in search for non existent jobs is worsening the problem. Some move out, some remain stagnated, and some choose the path of violence. So whats the way out? Obviously, the approach taken till date has not worked and the future policies need to be different in light of a changed political and cultural hue of the North East as well as the rest of India. The economic advantages that the North East offers will need to be tapped for that. A state supported open economy would offer a solution. In this economic model the region is opened up for investment and the state facilitates the set up of the infrastructure and offers trade routes with reduced barriers to improve the competitiveness of the region. From the role of a promoter, the state becomes a facilitator. 1. Agriculture is still the main industry in the area as state sponsored industries and small scale industries are largely sick. Efforts to setup labour intensive industries have come to nothing because the center failed to see that the North East is infact a labour scarce region except for Assam. Problem is that very primitive practises are being used in agriculture. The states import food worth Rs. 3000 crore from other states which is a huge chunk of money for these tiny states. Modern farming itself will solve a large part of the problem. 2. While Assam has good infrastructure, it is pretty much non existent in most other states. Even that backbone of India, the Indian Railways, is conspicuous by its absence there. There are numerous hydroelectric sources in the area which are untapped. A good economy cannot sustain itself without a good infrastructure. 3. Many hype the literacy rates of the North East which are around the 55-60%. A closer look reveals that literacy is not education. As many as 50% of the teachers in the North East are not trained. The national figure is 90% trained teachers. A classic case of people misrepresenting numbers to suit their agendas. 4. The CII and and the FICCI will have to play a crucial part in alliance with government supported measures to encourage their members to invest in the area. If the center supports them through infrastructure and trade subsidies the area can become a very viable economic region. 5. Judicious opening up of international trade borders with Bangladesh, Myanmar, and China can also make the area economically viable but carries a lot of political implications which can only be sorted over time.

[Dhondy]

Re: economic development of NE region Abey Shwetabh, tu kya North East pe PhD kiya kya? Maloom hota saala Manipur ka paidaaich hai!

[Dhondy]

Re: economic development of NE region Arre sorry...tu nahin, Gambo Manipur ka capitation walah college se pass karleya. :chin:

[Lurker]

Re: economic development of NE region Good post there Shwetabh. :wtg: A question for you. Do you think the decline of Calcutta(or Kolkatta if you will) as a commerical/intellactual/cultural center has affected NE situation? I have a feeling that with the decline of Calcutta the entire Eastern India has been affected one way or the other, the commerical center that was once the hub for job seekers from the region has now effectively become a large slum. xxxx

[The Outsider]

Re: economic development of NE region

Good post there Shwetabh. :wtg: A question for you. Do you think the decline of Calcutta(or Kolkatta if you will) as a commerical/intellactual/cultural center has affected NE situation? I have a feeling that with the decline of Calcutta the entire Eastern India has been affected one way or the other, the commerical center that was once the hub for job seekers from the region has now effectively become a large slum. xxxx

Thanks Lurker. Whenever a major city or area experiences an economic/cultural decline then surrounding areas are naturally affected. But I am a bit sceptical about the impact Calcutta's decline has had on the detereoting situation in the North East. A prospering Calcutta would have uplifted the region but the continuous decline would have little to do with it because the North East had very liitle historical influence and connection with Calcutta. Moreover, as we have seen from various examples in India none more prominent and recent than Hyderabad/Andhra Pradesh that a prospering urban center need not translate into a prospering country side if the implementation policies are skewed.

[yoda]

Re: economic development of NE region

I have seen many of our big companies invest money in volatile regions like Afghanistan, Iraq and Pakistan. Heck indian companies were helping Pakistanis to get trained in call center business. So far I havent seen any big company invest in Manipur, Mizoram, Nagaland etc. What could be the reason??

You can't just invest money for the sake of it. Public companies especially are accountable to the shareholders and the bottom line only. Unless there is a business reason, there won't be much activity. And if there isn't much activity it means there isn't sufficient business reason. More pertinent question is, what have the people and the govts of these states done in terms of policies, infrastructure and skill level to attract investment? Even in states like Tamil Nadu there was economic stagnation till the govt decided that they needed to do something to improve infrastructrure and provide incentives to companies for doing business there.