Another Setback for the Tatas C.P. Chandrasekhar

At the end of March, Indian private sector steel major Tata Steel, flagship firm of the Tata group, announced that it was closing its steel operations in the UK that are reportedly bleeding losses at the rate of one million pounds (approximately Rs. 9.5 crore) a day. Its board meeting in Mumbai, had rejected a plan to turn the UK company around, on the grounds that it was unaffordable and did not make sense, preferring sale of the business. However, with no suitors coming forward to buy out the assets, expectations are that it would soon just close its British…

Industrial Policy: The Way Ahead C.P. Chandrasekhar

Despite the rapid expansion of services in the economies of developed and developing countries, it still remains true that a nation's economic strength is in the final analysis based on the strength of its commodity producing sectors. Also, given the more rapid pace of productivity expansion in manufacturing, the creation of a substantial and dynamic manufacturing sector has historically been the centre-piece of development strategies. Seen from that perspective, there is much that is disconcerting about the development process resulting from the adoption of a neo-liberal reform agenda in the 1990s. To start with, despite claims to the contrary by…