Subscribe Login
Jamaica Observer
ePaper
The Edge 105 FM Radio Fyah 105 FM
Jamaica Observer
ePaper
The Edge 105 FM Radio Fyah 105 FM
    • Home
    • News
      • Latest News
      • Cartoon
      • International News
      • Central
      • North & East
      • Western
      • Environment
      • Health
      • #
    • Business
      • Social Love
    • Sports
      • Football
      • Basketball
      • Cricket
      • Horse Racing
      • World Champs
      • Commonwealth Games
      • FIFA World Cup 2022
      • Olympics
      • #
    • Entertainment
      • Music
      • Movies
      • Art & Culture
      • Bookends
      • #
    • Lifestyle
      • Page2
      • Food
      • Tuesday Style
      • Food Awards
      • JOL Takes Style Out
      • Design Week JA
      • Black Friday
      • #
    • All Woman
      • Home
      • Relationships
      • Features
      • Fashion
      • Fitness
      • Rights
      • Parenting
      • Advice
      • #
    • Obituaries
    • Classifieds
      • Employment
      • Property
      • Motor Vehicles
      • Place an Ad
      • Obituaries
    • More
      • Games
      • Elections
      • Jobs & Careers
      • Study Centre
      • Jnr Study Centre
      • Letters
      • Columns
      • Advertorial
      • Editorial
      • Supplements
      • Webinars
    • Home
    • News
      • Latest News
      • Cartoon
      • International News
      • Central
      • North & East
      • Western
      • Environment
      • Health
      • #
    • Business
      • Social Love
    • Sports
      • Football
      • Basketball
      • Cricket
      • Horse Racing
      • World Champs
      • Commonwealth Games
      • FIFA World Cup 2022
      • Olympics
      • #
    • Entertainment
      • Music
      • Movies
      • Art & Culture
      • Bookends
      • #
    • Lifestyle
      • Page2
      • Food
      • Tuesday Style
      • Food Awards
      • JOL Takes Style Out
      • Design Week JA
      • Black Friday
      • #
    • All Woman
      • Home
      • Relationships
      • Features
      • Fashion
      • Fitness
      • Rights
      • Parenting
      • Advice
      • #
    • Obituaries
    • Classifieds
      • Employment
      • Property
      • Motor Vehicles
      • Place an Ad
      • Obituaries
    • More
      • Games
      • Elections
      • Jobs & Careers
      • Study Centre
      • Jnr Study Centre
      • Letters
      • Columns
      • Advertorial
      • Editorial
      • Supplements
      • Webinars
  • Home
  • News
    • International News
  • Latest
  • Business
  • Cartoon
  • Games
  • Food Awards
  • Health
  • Entertainment
    • Bookends
  • Regional
  • Sports
    • Sports
    • World Cup
    • World Champs
    • Olympics
  • All Woman
  • Career & Education
  • Environment
  • Webinars
  • More
    • Football
    • Elections
    • Letters
    • Advertorial
    • Columns
    • Editorial
    • Supplements
  • Epaper
  • Classifieds
  • Design Week
Red tape and taxes put brakes on ‘Make In India’ push
NEW DELHI, India — In this photograph taken on February 6, 2017, employees of Indian company Nuts and Boltz work in their office in New Delhi.(Photos; AFP)
Business
May 16, 2017

Red tape and taxes put brakes on ‘Make In India’ push

NEW DELHI, India (AFP) — When Saurabh Ahuja tried to import a US$600 3D printer for manufacturing drones in his Delhi workshop, he ended up spending another US$900 in taxes and bribes and waited three months for it to clear customs.

“We lack in technology and industry to make the smallest things, so we have to import,” Ahuja said as he listed the frustrations entrepreneurs still encounter since the Government launched its “Make In India” project.“If my business grows, the country grows with me. But the Government won’t let me grow.”Since coming to power in 2014, Narendra Modi has been looking to overhaul India’s image as an awkward country in which to do business and instead emulate China by becoming a global manufacturing hub.In September that year, the right-wing premier unveiled ‘Make in India’ as a flagship initiative which would have an “unprecedented overhaul of outdated processes and policies” at its core.The Government has tried to woo investors by promising to simplify the tax regime and liberalise rules on foreign direct investment (FDI).But in the World Bank’s most recent chart ranking countries for their ease of doing business, India came 130th out of 190.While much of the focus has been on the travails of foreign firms, local entrepreneurs who should be the poster boys of Indian manufacturing are also struggling.The printer that Ahuja did eventually manage to import from China to build everything from drones to robots had nearly 300 parts.He first had to submit a sheaf of documents, including details of the exporter and the product catalogue to officials at Delhi airport.He was then told each part would have to be tested before being let through. Three months and 150,000 rupees (US$2,250) in warehouse charges later, he got his consignment only after he coughed up a bribe, he said.Officials at the airport did not respond to an emailed query for comment.Ahuja, 29, launched his company Nuts and Boltz six years ago from a basement in north-west Delhi to provide other budding entrepreneurs a place to experiment with product ideas.For an hourly rental fee, clients have access to equipment such as 3D printers and circuit boards.But while the prototypes can be crafted in India, nearly all the manufacturing ends up being outsourced overseas.MAD IN INDIA“Maker spaces are great because you can quickly launch a prototype and get credibility,” said Navi Radjou, co-author of the book

Frugal Innovation.“But then you open a Pandora’s Box, because if a customer asks for 2,000 units of your product, you’re screwed since you can’t make it at that scale and that leads to a lot of frustration.”While India’s big business houses are among Modi’s loudest cheerleaders, economist Sunil Sinha said making things at home remains a fraught process for smaller firms.“It’s one thing to say we want to focus on manufacturing and that’s why we have liberalised FDI and that’s why we’re trying to improve the ease of doing business,” Sinha, principal economist at Fitch India, told

AFP.“But the crucial component is what’s happening at the State level, at the local level.“Anyone setting up a factory or business needs water and electricity connections and various permissions and annual regulatory filings to different government watchdogs. Those are the major stumbling blocks and there are no significant changes at that level.“Many of the large companies… have special access to the corridors of powers, but for the small guy, no one will even answer his call so he has to strike a deal with whoever is the hurdle.”Ahuja was reminded of how onerous it was to manufacture at scale when the Government last year banned the imports of lithium polymer batteries needed to power the drones.He now buys the batteries from Mumbai from someone who smuggles them in and then charges US$300 a go, double the actual cost.“Since the parts are not easily available, we’ve put on hold our classes to teach people how to make drones,” Ahuja said.His complaints find echoes among large-scale manufacturers such as Rajiv Bajaj, head of the Bajaj Auto conglomerate.A long-established motor bike manufacturer, Bajaj wants to introduce a quadricycle, but has encountered multiple obstacles.“If your innovation in the country depends on government approval or the judicial process, it will not be a case of ‘Made in India’, but ‘Mad in India’,” Bajaj said in a speech this year, using a twist on the Government’s campaign slogan.

AMRITSAR, India — Indianblacksmith Raj Kumar (centre) fits ahorseshoe onto a horse’s hoof on aroadside in Amritsar on Monday.
NORWOOD, Sri Lanka — India’s Prime Minister Narendra Modi gestures as he addresses a public rally in the tea-growing town of Norwood some 80 kms east of Colombo on Friday.

{"website":"website"}{"jamaica-observer":"Jamaica Observer"}
img img
0 Comments · Make a comment

ALSO ON JAMAICA OBSERVER

Excelsior upset JC to lift first Manning Cup in 21 years
Latest News, Sports
Excelsior upset JC to lift first Manning Cup in 21 years
December 19, 2025
KINGSTON, Jamaica  —   Excelsior High defeated Jamaica College 2-0 to win the Inter-secondary Schools Sports Association (ISSA) Wata Manning Cup at th...
{"jamaica-observer":"Jamaica Observer"}
Curfew extended in sections of St Catherine North Division
Latest News, News
Curfew extended in sections of St Catherine North Division
December 19, 2025
KINGSTON, Jamaica — The curfews that have been imposed on Windsor Road/McVickers Lane and March Pen communities in the St Catherine North Police Divis...
{"jamaica-observer":"Jamaica Observer"}
Chabano Nkani re-releases Close to You
Entertainment, Latest News
Chabano Nkani re-releases Close to You
BY KEVIN JACKSON Observer Writer 
December 19, 2025
KINGSTON, Jamaica — Eight years after releasing his debut album Phases , which he dedicated to his late mother, recording artiste and producer Chabano...
{"jamaica-observer":"Jamaica Observer"}
CAD reassures public that court records remain fully intact after Hurricane Melissa
Latest News, News
CAD reassures public that court records remain fully intact after Hurricane Melissa
December 19, 2025
KINGSTON, Jamaica —The Court Administration Division (CAD) is reassuring the public that court records remain fully intact following the recent passag...
{"jamaica-observer":"Jamaica Observer"}
48-hour curfew imposed in sections of Elgin Town
Latest News, News
48-hour curfew imposed in sections of Elgin Town
December 19, 2025
KINGSTON, Jamaica — A 48-hour curfew has been imposed in sections of Elgin Town, Lucea, in the Hanover Police Division. The curfew began at 6:00 pm, o...
{"jamaica-observer":"Jamaica Observer"}
Latest News, News
Market Bag: Sorrel at $800 a pound, expected to rise above $1,000
December 19, 2025
KINGSTON, Jamaica – Sorrel prices are around $800 a pound at the Coronation Market this week and are expected to climb above $1,000 as Christmas draws...
{"jamaica-observer":"Jamaica Observer"}
Kintyre Holdings forms JV with Miracle Corp to launch consumer goods brand
Latest News, News
Kintyre Holdings forms JV with Miracle Corp to launch consumer goods brand
December 19, 2025
KINGSTON, Jamaica — Investment firm Kintyre Holdings (JA) Limited said on Wednesday it had entered a strategic joint venture with local distributor Mi...
{"jamaica-observer":"Jamaica Observer"}
St Catherine beat Mona on penalties to win Walker Cup
Latest News, Sports
St Catherine beat Mona on penalties to win Walker Cup
December 19, 2025
St Catherine High defeated Mona High 4-3 on penalties after battling to an exciting 3-3 draw in normal time to win the ISSA Walker Cup on Friday. It w...
{"jamaica-observer":"Jamaica Observer"}
❮ ❯

Polls

HOUSE RULES

  1. We welcome reader comments on the top stories of the day. Some comments may be republished on the website or in the newspaper; email addresses will not be published.
  2. Please understand that comments are moderated and it is not always possible to publish all that have been submitted. We will, however, try to publish comments that are representative of all received.
  3. We ask that comments are civil and free of libellous or hateful material. Also please stick to the topic under discussion.
  4. Please do not write in block capitals since this makes your comment hard to read.
  5. Please don't use the comments to advertise. However, our advertising department can be more than accommodating if emailed: advertising@jamaicaobserver.com.
  6. If readers wish to report offensive comments, suggest a correction or share a story then please email: community@jamaicaobserver.com.
  7. Lastly, read our Terms and Conditions and Privacy Policy

Recent Posts

Archives

Facebook
Twitter
Instagram
Tweets

Polls

Recent Posts

Archives

Logo Jamaica Observer
Breaking news from the premier Jamaican newspaper, the Jamaica Observer. Follow Jamaican news online for free and stay informed on what's happening in the Caribbean
Featured Tags
  • Editorial
  • Columns
  • Health
  • Auto
  • Business
  • Letters
  • Page2
  • Football
Categories
  • Business
  • Politics
  • Entertainment
  • Page2
  • Business
  • Politics
  • Entertainment
  • Page2
Ads
img
Jamaica Observer, © All Rights Reserved
  • Home
  • Contact Us
  • RSS Feeds
  • Feedback
  • Privacy Policy
  • Editorial Code of Conduct