Settling for 'Jugaad' when we are capable of 'Jhakaas': Anand Mahindra

Partnership for next level: Mahindra Group Chairman Anand Mahindra has vouched for collaboration between Indian companies and government for realising India’s ambition of becoming a global power.

Speaking at 4th Annual Atal Bihari Vajpayee Lecture, Mahindra said a lack of private sector investments and government fuelling disproportionate growth through investment is because of a risk aversion mindset. 

"I’m t sure it’s a resource problem. I think it’s a problem again of mindset of risk aversion, of lowered aspirations, PCSD (post colonial subservience disorder) shackles us with invisible handcuffs that we don’t even realise are re. It shakes our self belief and waters down our aspirations, and in business it makes us risk averse. Sticking to tried and true, rar than blazing new paths, it makes us fear failure,” he said.

Mahindra ded that it makes people settle for 'Juga' when y are capable of 'Jhakaas' — a Marathi colloquial word for ‘wow’. We have carried this imputed sense of inferiority for long, he said, ding that it is time to change.

He also highlighted large-scale investments me in sunrise sectors such as semiconductors and batteries, hoping for m marking vent of a strong investment cycle.

Mahindra asked government for supporting domestic industry in terms of extending PLI scheme to more sectors, making regulations easier for start-ups and invators and lower logistics costs to help m increase competitiveness. 

He also called for an increase in research spending in India. Mahindra stressed on forming a robust partnership between public and private sector to incentivise India’s innate upper hand for being a global power. 

"I am vocating for a government partnership with Indian companies in three major areas — scale, invation, and global reach. While Korea and Japan helped ir companies to build scale through industrial policy and protectionism until ir companies reached scale to go global, India did t choose that path," he said.

While he said he was gl India did t tre on path, he emphasised country’s businesses do need nurturing and incentivisation for scale. 

“t through protectionism but support for a limited time horizon," he said ding productivity-linked incentive schemes are on right path, providing businesses a runway to venture into new sectors and industries.

On some questions raised on PLI scheme, Mahindra said lessons and changes are welcome. He ded that scheme has given cour for capacity building.

“Schemes can’t last forever and that’s a good thing but can we spre it wider? Can we spre reach of PLI schemes to cover larger sections of industry?" he asked.

Listing challenges which impact competitiveness of Indian industry, he said manufacturing costs are irrationally high and land costs, utility costs, logistics costs, collectively contribute to a lack of competitiveness. 

Mahindra also vouched for invations in real estate, as well as regulations and judicial reform for more value just like initiatives for setting up of India stack and NPCI’s payment rails changed things and provided efficiencies to industry to deliver concrete value.

He also spoke on issues faced by start-ups, saying that conversations with m reflected how y were lost in puzzle of existing regulations and controls applied to m, sometimes even retrospectively," he said. 

He said government is working on easing business for investors, but sought for making life simpler for invators, who are pioneers and potential unicorns.

"We need regulators to work as partners and proponents rar than being seen as taskmaster," he ted.

He also called for encourment of humongous amounts of invation for a resurgent India, "and less obstacles re are in way, better." 

While vouching for government support on global reach, Mahindra said, "Scale and global reach go toger like proverbial horse and carri. Once scale is unlocked, it needs global reach to be fully leverd. Me in India must become a globally recognisable brand."

This calls for more marketing, more tre shows, and more participation in global meets to showcase 'Me in India' to world. 

He also called for international aid tied to Indian industry, tying foreign aid to purchasing from Indian manufacturers to enter orwise closed markets.

(With PTI Inputs)