'Diversity makes interaction between industries tough'

took charge as the president of the Southern Gujarat Chamber of Commerce & Industry (SGCCI) a couple of days back.

The main role of business chambers like SGCCI, feels Mandalaywala, is to raise the issues of small industries at the proper level. Excerpts from an interview with Business Standard:

What is the future of local chambers like SGCCI when bigger trade bodies such as the Confederation of Indian Industries (CII) and the Federation of Indian Chambers of Commerce and Industries (FICCI) seem to be active these days?

CII and FICCI are bodies of bigger industries. SGCCI represents units between Vapi and Tapi, which are mostly small scale industries.

We look into the problems of such industries and raise them at the right places.

SGCCI has 3,500 members and 75 different trade associations of the south Gujarat region. This hints at the bright future in store for SGCCI.

We select a new president every year, who brings in new ideas and concepts. This not only improves the chamber's functioning, but also makes its activities effective.

What are the reasons for local chambers remaining inactive for most of the times?

I cannot comment about other chambers, but as far as SGCCI is concerned it is certainly not inactive. We organise programmes such as workshops and seminars for the benefit of the local business fraternity almost every week.

We have leading businessmen and top political leaders visiting the chamber regularly.

Our activities are not aimed at securing publicity, but to work for the benefit of the local business fraternity.

Why do chambers in different cities of Gujarat lack in co-ordination among them?

We do co-ordinate with other chambers in certain cases. The main reason for the lack of interaction between various chambers is that industries are situated in different regions.

While Rajkot basically has plastic and engineering industries, textiles and diamonds are the main industries of Surat. The problems and issues of these industries are very different from one another, so there are little chances of making combined representations or demands.

What role has SGCCI played in issues such as Cenvat, power tariff for powerlooms and airport development which are crucial for the development of local industries?

We have made representations at the highest level seeking abolition of Cenvat. We were in Delhi last week and urged Union finance minister P Chidambaram and textiles minister Shankarsinh Vaghela to abolish Cenvat in the interest of the local powerloom industry.

On the power tariff for the powerloom industry, we have raised the issue many times with the state government. Our demand for an airport in Surat is pending for several years.

The Airports Authority of India, chairman, Ramalingam had assured us that work on the airport was on at full-swing and it would become operational by January-February.

What steps have the chamber taken for better infrastructure in Surat?

Good Infrastructure is crucial for the development of any city. The infrastructure in Surat is pretty good, though there is scope for improvement. The Surat railway station is crowded, so the government should develop the Udhna railway station.

Also, the frequency of various intercity trains should be increased. We have held talks with railway officials for the same.

There is also need for converting the present roads outside Surat city limits into four-lane or six-lane roads, for which we have had several meetings with the officials. Developing an airport and a seaport at Hazira or Magdalla is also important.

Are you happy with the role of the government in the development of local industries?

The government has always supported the textile and diamond industries. However, I must say that the progress made by local industries is mainly due to the hard work of the people. The government needs to sort out issues such as Cenvat and power tariff at the earliest.

Where do you foresee Surat as an industrial centre in the next 10-15 years?

Surat is a happening place. It is one of the fastest developing cities in the country.

With better infrastructure and more support from the government, the local textile, diamond and jari industries would be well on the path of development and become a force to reckon with at the world level.

I have no doubt that Surat will be one of the top cities in the country in the coming years.