The Hindu Business Line : ‘Growth process must be balanced’

Tiruchi, July 9 The process of growth must be balanced and rational leading to the economic and social development of the poor, the senior BJP leader and former Minister for Human Resource Development, Mr Murali Manohar Joshi, has said.

The current economic growth of nine per cent is useless since it fails to address the food, health and educational needs of a majority of the population, Mr. Joshi said, warning of food riots.

At present, 70 per cent of the population contribute to only 16 per cent of the Gross Domestic Product, he noted, while participating in an interaction meeting with industrialists here. The meeting was organised by the Trade and Industry Cell of Bharatiya Janata Party.

There is a need to evolve a better management system attuned to the reality, he said, emphasising that technology must be country specific paving way for uniform progress of all sections. Mr. Joshi attributed the high inflation to the compulsion of Indian industries to pay their employees on a par with multinational companies in order to prevent attrition.

The Government has also been forced to raise salaries of its employees. This, in turn, has led to more consumption causing a surge in inflation, he pointed out, adding that while growth is essential, problems arise if it is unbalanced.

Earlier, industrialists presented their views on the current economic situation. Mr G. Pattabiraman, Managing Director, G.B. Engineering Industries, emphasised that price stability is vital for industries to grow. Speculation has caused inflation and is derailing the economic progress, he said.

Mr S. Sridharan, President of Tiruchi District Tiny and Small Scale Industries Association, suggested that major industries with turnover of above Rs 1,000 crore could be asked to adopt a block each and fulfil social and educational obligations.

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