Hyderabad: IT and Industries Minister K T Rama Rao on Tuesday said the country needs to have in place a more robust dispute redress system rather than merely passing a “bland” legislation that mandated companies to honour everything that they had signed up for.
Speaking at an interactive session hosted by TV18 and the Confederation of Indian Industries (CII) on the sidelines of the World Economic Forum in Davos, the Minister said the government needs to figure out how disputes can be settled amicably without washing dirty linen in public. “It is not just about ease of entry into the country (to do business) but is also about how quickly you can exit. This should be the focus of the Union government,” he said, when asked about the contentious contractual obligations and policy continuation in the business arena.
“Absolutely yes. When there is a contractual obligation, the government as an institution has obligations since we sign up agreements. But, how do we ensure fair play. It does not matter what happens every five years since the government is an institution,” he said.
Stating that India was evolving, Rama Rao said as a fast growing emerging country, regulations and regulators were also evolving. “Everyday is a learning experience for both the Centre and the State governments,” he said, and cited the example of a US company he had approached for investment in the life sciences sector. “They were worried about how the price control would affect their business. As we meet industry, we tweak their inputs into our regulations,” he added.
Pointing out that the top five valued technology companies in the world – Apple, Google, Facebook, Microsoft, and Amazon – had their second largest base in Hyderabad outside their headquarters, he said Mercer had rated Hyderabad as the city with the best quality of living among all cities for five years in a row. He also mentioned the JLL report which said Hyderabad had emerged as the world’s most dynamic city among 130 cities globally.
Guruprasad Mohapatra, Secretary, Department for Promotion of Industry and Internal Trade, Ministry of Commerce and Industry, Deepak Bagla MD and CEO of Invest India, Vikram Kirloskar, President, CII, Tiger Tyagarajan CEO, Genpact, were the other panelists who shared their thoughts during the session.
Meanwhile, Rama Rao held meetings with global industry leaders at Telangana Pavilion in Davos. Earlier during the day, Roche Chairman Christoph Franz met the Minister at Telangana Pavilion. During the meeting, Rama Rao informed Christoph Franz that Hyderabad had emerged as the Pharma and Life Sciences hub of the country, and spoke about the investment opportunities in Hyderabad Pharma City and Medical Devices Park.
He also met with Hewlett Packard Enterprise COO Vishal Lall, Apollo Tyres Vice Chairman and MD Neeraj Kanwar, Carlsberg Group and Carlsberg Foundation Chairman Prof. Flemming Besenbacher, and Procter and Gamble CEO and MD, Southeast Asia, Magesvaran Suranjan and highlighted the investment opportunities in sectors like food processing, electronics, textile and life sciences in Telangana State.