We Are Here To Promote Efficient Industries

Your tenure as chief minister of the state spans over two decades through which the countrys economy has undergone a sea change. How do you compare your experience in the eighties and post liberalisation in furthering the states efforts at industrialisation and what strategies are you planning to cope with the new situation?

The situation has completely changed between the eighties and nineties. In the eighties we were struggling against a number of odds, the biggest of them being the Centres economic policy, which did not allow free flow of private capital. Now the policy of liberalisation has made vast capital accessible to the state. Our aim then and now, however, has been the same: to change Orissas status as a backward state to a vibrant forward-looking economy, both in agriculture and industry. In my last tenure I had tried to create a climate for industrialisation, as a result of which many new industrial houses had turned their attention to Orissa. Today, with vast natural resources available in the state, Orissa has become the new hub of industrial activity in the country.

 

Though Orissa is one of the front-runner states as far as investment proposals are concerned, there is a wide gap between the commitments and actual investments. Why?

Yes, we have received many proposals and memorandums of understanding have been signed. But some of the biggest investments have been proposed in the core and infrastructure sector where the gestation period is quite long. In such projects, it takes a lot of time to tie up things like acquisition of land, environment clearances, water and power connections, appraisal by the financial institutions and arrangement of funds. These procedural tangles have slowed the actual investment flows which will be accelerated once the projects get going.

With so many entrepreneurs now showing interest in the state, what are your priority sectors as far as investments are concerned?

The state is rich in mineral resources and it also has large reserves of coal, a long coastline, perennial water sources, rich soil and varied agro-climactic zones. So our stress is not on any particular group of industries but a diversified one ranging from mining to agro and port-based units.

What would you say are the main hurdles in the way of rapid industrialisation of the state?

Poor infrastructure facilities have stunted the growth of industries. Shortage of power was another deterrent, but now we have surplus generation. Similarly, the row over environmental clearances in certain projects has delayed their implementation.

Has the bureaucracy also played spoilsport by not waking up to the situation?

Bureaucracy is just an instrument in the hands of the political leadership of the country or state. If the political leadership has a strong will, there will be no problem from the bureaucracy.

How do you compare your industrialisation efforts with other developed states like Maharashtra and Gujarat?

During my last term, we had brought out an industrial policy resolution. This time, too, we announced a new industrial policy resolution in January offering many sops to potential investors. Besides, Maharashtra and Gujarat are slowly getting crowded, and with industries now keen on setting up units close to the raw material base in a bid to cut costs, Orissa with its vast natural resources has become the focus of their attention.

Though you have set up a high-level committee headed by the chief secretary to monitor the progress of large projects on a regular basis, there is no single-window system like Shilpabandhu in West Bengal and similar set-ups elsewhere to accord all statutory clearances to an industrial project at one go. Do you have any plans to put such a system in place?

Of course, we do not have a designated office for the purpose. But the committee headed by the chief secretary has members from all departments from which statutory clearances for projects are required. So this mechanism can work in the same manner as a single-window set-up.

There have been allegations by the small-sectors that they have been neglected because of the administrations total concentration of time, energy and resources on large units some of which are yet to get off the drawing-board. What do you plan to do to assuage their feelings?

There has been no discrimination between the large sector and small sector. During my last term I had chalked out a special scheme to promote the small and tiny sector and called for setting up 1,000 industries in 1,000 days. But what did they do after that? We are here to promote efficient industries, not the inefficient ones.

As a statesman leading the state to 2000 AD where do you want to see Orissa in another five years?

I want to see Orissa as one of the most industrialised states and one of the most sought-after destinations for both domestic and foreign investments coming into the country. But rapid development does not mean indiscriminate industrialisation. The investments have to be channeled properly to the right sectors and right places to sustain balanced growth.