Innovation is the Key for India

India is the fastest growing democracy in the World. Our so called consumer class will soon overtake US and EU added together. But we must also ponder on the mistakes made by them. India Incs must remember that many people in our country earn less then US$ 2 per day. Thus it is very important that focus must shift on narrowing the wide gaps.

I feel that SEZs must be established but not in agricultral land at any cost. Why not govt focus on wast barren lans available in states like Rajasthan, MP and parts of Gujarat. Give very special incentives in terms of tax breaks for 100 years or so for companies to establish establishments there. Focus on creating infrastructure. This will also help in briding some divides in the states. Fortunately, these are also states with highest wind velocities in this part of the world. Why not give incentives for wind farms so that electricity is taken care of.!! A movement of labour should be increased from big cities to these areas for human capital and also from poor states like West Bengal and Bihar so that economic boom is inclusive. Create water supply through the other states. Inclusive liberalization can only be the way forward.

Indian companies need to be very innovative so that they can tap the huge market. Tata for example are creating cars for less then US$ 2000 which is such kind of innovation. Suzlon has created a name for itself in wind power. There are many examples. This is the only way forward for us to avoid the pitfalls of US and EU and may be even China. Our biggest asset is our democracy which is functioning given all the chaos and diversities in this country. We need to capitalize on it. .