Better infrastructure

| Updated on October 12, 2012 Published on October 12, 2012

This is with reference to “Explaining the infrastructure slowdown” ( Business Line, October 12). Given the poor infrastructure, including the pathetic conditions of the roads in most villages, towns and cities, a big ticket project on road construction is long overdue. In fact, good roads are the backbone of the country’s overall development.

To be successful in any mega road project, the Government should look at various factors such as relaxation of bureaucratic rules, adherence to time-frame and maintaining transparency and accountability in contracts.

First, firms with experience in the road sector should be encouraged to take part in the project. Second, those that complete projects on time should be rewarded with incentives. This will indeed minimise time-overruns.

Third, corruption, which is ruining many projects, should be kept at bay. This can be achieved by focusing on transparency and accountability. With improved infrastructure, Indian cities such as Hyderabad, Mumbai and Bangalore have greater chances of beating the competition, even globally.

P. S. Saravana Durai


FDI woes

This refers to ‘FDI in retail can boost tax revenues 5-fold, says Technopak study’ ( Business Line, October 12). Though revenue generation will be enhanced, with an expected reduction in leakages, we are not yet geared to face this challenge. In terms of infrastructure and logistics like transport, condition of roads, we appear to be in an ‘infancy’ stage.

Besides, there is a danger of indigenous products getting side-tracked, as a result of which the manufacturing sector, especially small and medium enterprises, may face a grim situation. Farmers will continue with their woes of miniscule margins, even after FDI entry. The age-old slogan of ‘Be Indian and buy Indian’ is set to fall by the wayside.

Ashok Jayaram


Published on October 12, 2012
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