Thursday, October 4, 2012

SPEECH AT THE EVENT “EMERGING KERALA, 2012” ON 12TH SEPTEMBER,
2012 AT COCHIN, KERALA:


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Hon’ble Prime Minister of India, Dr. Manmohan Singh ji, Shri H.R. Bhardwaj, Hon’ble Governor, Shri Oommen Chandy, Chief Minister of Kerala, Shri A.K. Antony, Union Minister of Defence, other dignitaries on the dais, distinguished delegates and invitees, friends from the media, and ladies and gentlemen:



2. It gives me immense pleasure to be present here amongst you at this important event aptly titled “Emerging Kerala,” and, I am grateful to the Government of Kerala for giving me an opportunity to share my views with this august gathering. I would limit myself to a few words on what I feel is an important agenda for the State of Kerala to help it become a role model for other States to emulate.



3. Thinking of Kerala, the first thing that comes to one’s mind is ‘nature at its abundance.’ It cannot be denied that the recent socio-economic advancement of the State has a lot to do with a dynamic tourism sector in the State. Kerala is one of the first States in the country to have focussed on ‘tourism’ as an important sector and to have succeeded in making it vibrant, with cascading results on various other fronts. The effect of tourism on local economy, in direct, indirect and induced manners is quite high. It can be said that this had led many other States to follow in Kerala’s footsteps. This is one more first to Kerala’s credit.



4. Similarly, Kerala was the first State in India in spotting the potential of the I.T. sector in contributing towards economic development of the State, especially in areas like R&D services, financial services, medical transcription services, etc. The First Info-Park in India was built in Kerala. Although neighbouring States have surpassed us in the recent past, we have been fast catching up with them and will soon, hopefully, outgrow them in this sector, too.



5. It cannot be denied that Kerala’s strength flows through its services sector. The weakness that the State suffers in the areas of agriculture and industrial sectors has been more than made up by its energetic tertiary sector. Kerala has the highest Human Development Index of all Indian States; its literacy rate is the highest of any Indian State; it is least corrupt and ranks as India’s cleanest. The State also has efficient and talented work force. Every economic activity has a service component to it and hence service sector benefits the society through employment generation at various levels. We just need to tap and exploit these potentials that will contribute to the growth of the State at the grass-root levels.



6. Availability of sound logistics attracts multi-national companies to set up their shops as they help them cut costs in areas such as material handling, production and packaging, warehousing and transportation, inventory and security. The Kochi International Container Transhipment Terminal (ICTT), known as the Vallarpadam Terminal, is a dream-come-true for Kerala. The only trans-shipment port in India, the terminal reduces our country’s dependence on foreign ports to handle trans-shipment. I take this opportunity, as a member of his team and as the sitting M.P. of Kochi to thank our Hon’ble Prime Minister for the personal interest which he took in ensuring that a three-year relaxation has been given to the CABOTAGE law, which will benefit the Vallarpadam terminal in a major way. Similarly, the Kochi Metro, for which the Foundation Stone will be laid tomorrow by our beloved Prime Minister will also be a major milestone in the overall infrastructure and logistics development of Kochi in particular and the State in general.



7. I will be found wanting if I do not say a few words about protection of agricultural resources of the State with an emphasis on value addition in food and agro-processing. Agriculture is the backbone of India. Better utilization and value addition of agricultural produce offers huge scope for enhancement of income of farmers. Properly developed, this sector covering cannery, fish processing, meat packing plants, slaughterhouses, vegetable and fruit packing plants, especially those of mango, jack fruit and banana can make the State of Kerala a major player at the national and international levels. We also need to encourage R&D activities in processing of coconut for product and process development and improved packaging.



8. Kerala is known for its intellectual achievements. We have our sons and daughters spread all over the world excelling in each and every field they have chosen for themselves. The mind-set of becoming good employees must change to be able to become efficient entrepreneurs. The initiative of the State of Kerala in the development of programmes like the Kerala State Self-Entrepreneurship Development Mission is a welcome one which, if followed-up in right earnest, will result in the birth of thousands of entrepreneurs whose intellect, efficiency and hard work will result in the industrial development of the State and the nation.



9. “Emerging Kerala – 2012 – Global Connect” is an idea whose time has come and I congratulate the State Government of Kerala on their initiative in finding ways and means to ensure that the State’s march towards prosperity is on right track. I am sure that the path is set now for the traction of Kerala from a service-based economy to wealth and value creating sectors predominantly in micro, small and medium sectors. I would request trade delegates, diplomats and the corporate heads that have assembled here to participate in B2B and B2G deliberations and succeed in finalizing business partnerships for common good.



10. With these words, I would like to conclude my speech and, in parting, wish the event every success and fruitfulness.



THANK YOU!



JAI HIND!





Kerala has changed and it is an investment-friendly State now that welcomes investors. This is the message that Chief Minister Oommen Chandy wants to send out to the world.

“We want to showcase the opportunities available here. We also want an open discussion and want to hear the other side on Kerala’s chances for development,” Mr. Chandy told The Hindu group of publications in an interview at Cliff House, his official residence, here on Thursday.

Exchange of ideas

He said that Emerging Kerala 2012 to be held next week was not an investment meet but a forum for exchange of ideas. Mr. Chandy is clear that infrastructure development is the key to job creation and that will be his main aim in the remainder of his term.

“We have neglected infrastructure development. We know that if infrastructure is there, investment will definitely come and job opportunities will open up. My main aim is to develop the infrastructure of the State with whatever possible method,” Mr. Chandy insisted.

He plans to focus on ten major areas to develop in his term as per the advice of Sam Pitroda, who is a mentor to the government. The first will be coastal transport, which will reduce road traffic and bring down transport costs by up to 40 per cent. Along with the Vallarpadam terminal and the upcoming Vizhinjam and Azhikkal projects, 14 minor ports will be developed. The second will be development of national waterways. The idea is to extend the Kollam-Kottappuram waterway to Kasaragod.

Ayurveda

The third is to focus on development of the Ayurveda system, which is linked to tourism. These are apart from the focus on information technology and high-quality educational institutions.

Admitting to Kerala’s limitations in attracting manufacturing industries, Mr. Chandy said the government was thinking of a manufacturing corridor from Kochi to Palakkad. Dense population and scarce land have prevented serious growth of the manufacturing sector in the State.

Availability of labour is also an issue in the State, according to Mr. Chandy. Aspiration levels have increased along with education leading to a scarcity of unskilled workers.

“In my constituency, there is a powerloom and a spinning mill. They find it very difficult to get labour,” Mr. Chandy pointed out.

Asked if trade-unionism was a problem, Mr. Chandy was quick to point out that Kerala had the lowest figure in India for working days lost due to labour strikes. Militant unionism is an old story that is no longer true, according to him.

Asked about his vision for Kerala, the Chief Minister said: “My main aim is to develop the infrastructure of the State with whatever possible method. There is only one problem, that of acquisition of land. Money is not an issue. We are ready to take care of the financial aspect of landowners. We are ready to give a good financial package for them at market value.”



I have a funny anecdote to recite here as I heard it from my Gujarati friends. It is said that in Gujarat, entrepreneurs over there prefer a Malayalee to a local Gujarati when it comes to hiring as office assistant, the reason being that a Malayalee would restrict himself to being a good, faithful and hardworking helping hand without ever thinking about turning an entrepreneur himself. This will not be so if the assistant were to be a Gujarati who, at the quickest opportunity, would try to outwit his own employer and become a business rival.