“Multinational companies like Hindustan Lever that had a major industrial complex in Rajpura conveniently moved all its manufacturing to Baddi and Nalagarh. A number of major hosiery companies, instead of expanding in Punjab, looked for green pastures elsewhere where the hilly States, supported by BJP-led coalition government to reeled out a wholesome package offering a plethora of concessions, including relaxation in central duties and income tax. It wreaked havoc with industry in Punjab. The governments of those times did protest but were not strong enough to persuade the Centre to adopt at least “even play field for all” policy so that it could prevent flight of industrial houses to their new hilly abodes.”
Change, they say, is the only thing that is permanent. And to usher in change, it needs a lot of courage, initiative and planning. Only those who are bold and ready to take challenges of tomorrow progress.
Punjab Chief Minister Bhagwant Mann has shown those traits of courage and initiative to put the State firmly back on its rails. His recent visit to Mumbai and interaction with three leading industrial houses – Mafatlals, Hindustan Lever and Mahindra and Mahindra – besides the young and enterprising cyber security icon Trishneet Arora – look steps in the desired direction.
Besides seeking their patronage and lavish investments in the State, he has extended to them personal invitations for the INvestPunjab conclave scheduled to be held in Mohali next month.
Punjab, once the most progressive and number one State in the country, has been grappling for a long time with serious social and economic problems. Its agrarian model of economics has been blunted, reminding one of an old machines that eats up a lot of money in repairs and upkeep rather than serving the master as his earning tool.
Debates over reviving the sagging economy have been both animated and inconclusive. The State has to take some hard decisions to open new vistas of development and economic prosperity. One most quoted and accepted argument has been to move at a firm and affordable pace from agrarian model to mixed model of economics. It would need all-out support not only from the government of the time but also from the populace as the future lies only in economic viability.
If Punjab is at fiscal crossroads, it is primarily because of two reasons. First and foremost has been its failure to keep its industry firmly rooted. And the second it also failed to read what was written on the wall – change its economic model to changing needs of time.
It goes without saying that agriculture will remain the mainstay of Punjab. To sustain it, it needs firm and solid support from the industry.
Besides the flight of the industry, the State is caught in a quagmire situation.. It is faced with endless brain and brawn drain. Hundreds of thousands of young men and women are heading for advanced Western nations for secure their future.
When young Trishneet Arora, founder and Chief Executive Officer of TAC security, a US-based company with offices in Mumbai, Mohali and other places, met Chief Minister Mann during his recent visit, bonhomie marked their interaction. Bhagwant Mann profusely hugged him and invited him to the 2023 Mohali Invest Punjab summit. It was not invitation alone but the earnest desire of the Chief Minister to seek help and guidance of one of the youngest Cyber security experts to help his home State not only to check brain and brawn drain but also suggest alternatives, especially in the IT and cyber sectors that can gainfully employ the youth.
Convinced that the future of the State lies in its rapid industrialization, the Chief Minister Bhagwant Mann, has been frequenting industrial hubs, both within and outside the country, to convince captains of the industry to invest in Punjab. Working in earnest, he was in Mumbai early this week to speak to top executives of select industries that suit best to the needs of the State.
If the State has abundance of Cotton in its Malwa belt, it wants big cotton giants to set up their milling units in Fazilka and adjoining areas. It is unfortunate that efforts to set up ginning and spinning units in the cotton belt in the post State’s Reorganization period did not get or produce the results expected of them. There were limitless reasons for the public sector undertaking Spinfed to be wound up. A couple of other big names in the textile industry also chose to say goodbye to the State rather than struggle through the troubled times for problems well known to everyone.
CM Bhagwant Mann called on Arvind Mafatlal of the Mafatlal group to consider setting up a cotton mill in Fazilka by promising him all out support of the State Government. No industry can survive in the present competitive times without the support of the State.
Punjab was once known as the home of power presses, agricultural implements, motor parts, bicycles and bicycle parts, machine tools and hosiery. Since the state struggled through a dark phase of terrorism, it lost most of its industry to neighboring States, including Haryana, and Himachal Pradesh.
Multinational companies like Hindustan Lever that had a major industrial complex in Rajpura conveniently moved all its manufacturing to Baddi and Nalagarh. A number of major hosiery companies, instead of expanding in Punjab, looked for green pastures elsewhere where the hilly States, supported by BJP-led coalition government to reeled out a wholesome package offering a plethora of concessions, including relaxation in central duties and income tax. It wreaked havoc with industry in Punjab. The governments of those times did protest but were not strong enough to persuade the Centre to adopt at least “even play field for all” policy so that it could prevent flight of industrial houses to their new hilly abodes. Bhagwant Mann met top executives of Hindustan Lever to assure them that tomatoes needed for the ketch up processing industry in Nabha would now onwards be supplied by farmers of the State. At present, the unit is getting its raw material – tomatoes – from Nashik in Maharashtra.
Punjab has a huge potential for promoting tourism in general and pilgrimage tourism in particular. It is why Bhagwant Mann made it a point to call on the top brass of Mahindra and Mahindra for taking some initiative in the tourism sector in Punjab. Mahindra and Mahindra run a massive holiday homes service that creates and provides accommodation to holiday revelers at reasonable rates.
Besides, Mahindra and Mahindra is also all set to roll out tractors from its new manufacturing and assembly line in Lalru, near Chandigarh. The company executives wanted the Chief Minister to be guest of honor at the launch ceremony. In return, the Chief Minister solicited Mahindra and Mahindra participation in the INvestPunjab conclave.
The Mumbai visit needs a close and sincere follow up. The hype so created has to be converted into opportunities that can help Punjab to get back into the lead role as both industrial and agricultural leader in the country.
(Prabhjot Singh is a veteran journalist with over three decades of experience of 14 years with Reuters News and 30 years with The Tribune Group, covering a wide spectrum of subjects and stories. He has covered Punjab and Sikh affairs for more than three decades besides covering seven Olympics and several major sporting events and hosting TV shows.)