SPONSORED BY

Auto Segment
Mutual Fund Segment
My Budget
Expert Speak
In Association With
 
Business Standard

Letters: Alternatives to cartelisation

Related News

It is shameful that some of the most reputed business houses in the cement industry are involved in the unethical practice of making profits by deliberately underutilising their production capacity (“Competition watchdog bites Rs 6,300 crore off cement firms,” June 22). It is time the Indian cement industry resorted to ethical, though tougher, methods of increasing profits. The labour productivity in the industry is just about 1,400 tonnes per employee (based on CMA figures for 2010-11). Investment in training and development together with work simplification could help. Similarly, there is a wide scope for cost reduction, particularly in two areas — power consumption and transportation. The use of better quality inputs and modern technology (like vertical roller mills) will make the industry more energy efficient. Reduction of detention time of wagons and recourse to schemes like own-your-wagon or build-operate-lease-transfer will provide potential savings. The temptation to add to profits by ignoring ecological measures for air and water pollution should be checked.

Instead of appealing against the modest penalty imposed by the Competition Commission of India, the industry should seek professional alternatives to earn profits.

Y G Chouksey Pune

Letters can be mailed, faxed or e-mailed to:
The Editor, Business Standard
Nehru House, 4 Bahadur Shah Zafar Marg
New Delhi 110 002
Fax: (011) 23720201
E-mail: letters@bsmail.in
All letters must have a postal address and telephone number

Read more on:   
|
|

Read More

Letters: Some global 'towns' please

This refers to the report “Among 440 rising global cities in 2025, India to have 36: Report” (June 28). The June 2012 edition of McKinsey Global’s ...

Recommended for you

Quick Links

Financial X-Ray Rss icon

Will the Budget deliver big bang reforms?

Economic Survey rules out need for such reforms; analysts believe fiscal tightening, rural stress and political debacle might be restrictive

L&T: Infra revival to boost prospects

Shortlisting in a major defence order and opportunities in rail capex programme see the stock spurt 5% on Friday

Advertisement

Back to Top