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I tried starting a manufacturing unit in India (2020)

superr.in

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Re: I tried starting a manufacturing unit in India (2020)

#51

Post by plaguepilled »

sam_goody wrote: post #45

I do not understand the authors issue with paying bribes. You want your factory, you are willing to pay lots of money for it, and the system works with bribes. Fine, so be it. Pay the bribes and get to work. I once lived in such a country*. The unfairness is built in, but if you have the money, you can get whatever you need relatively quickly. If you are trying to save money, fine. But you are willing to go to court,…

>"I do not understand the authors issue with paying bribes." Because... Its extremely unethical and facilitates corruption?

Re: I tried starting a manufacturing unit in India (2020)

#52

Post by mijamo »

sam_goody wrote: post #45

I do not understand the authors issue with paying bribes. You want your factory, you are willing to pay lots of money for it, and the system works with bribes. Fine, so be it. Pay the bribes and get to work. I once lived in such a country*. The unfairness is built in, but if you have the money, you can get whatever you need relatively quickly. If you are trying to save money, fine. But you are willing to go to court,…

Paying bride is a criminal offense. Paying bride abroad is also a domestic criminal offense. I do not think encouraging criminal behavior is a great idea, especially when it is also unequivocally morally wrong.

Re: I tried starting a manufacturing unit in India (2020)

#54

Post by captn3m0 »

Previously on HN: https://news.ycombinator.com/item?id=24106545 (with a few comments from the author as well).

The author had added a correction to the post (12th August 2020) stating that this was a mistake, and that the actual procedure was much less cumbersome:

https://web.archive.org/web/20200812093618/https://superr.in...

> It has been bought to my attention that there was a mistake by an entry level employee.

> So the Revenue Department itself was supposed to get all the NOCs required by going to all those offices, but an entry level employee forgot to add my file to the list of NA’s to be done.

> [...] But PLEASE UNDERSTAND that “it was a mistake” in filing by an Entry Level Employee and normally this procedure takes less than 2 months and all the heavy lifting is done by the Revenue Department, Collector Office.

Tweet from the author about the correction: https://twitter.com/mrohanshah/status/1293170591441104902

But the correction was removed after a while, so maybe a bit of clarification will help.

Re: I tried starting a manufacturing unit in India (2020)

#55

Post by Varriount »

sam_goody wrote: post #45

I do not understand the authors issue with paying bribes. You want your factory, you are willing to pay lots of money for it, and the system works with bribes. Fine, so be it. Pay the bribes and get to work. I once lived in such a country*. The unfairness is built in, but if you have the money, you can get whatever you need relatively quickly. If you are trying to save money, fine. But you are willing to go to court,…

Regarding the country you formerly lived in, what efforts would you say were most effective?

Re: I tried starting a manufacturing unit in India (2020)

#56

Post by spaceman_2020 »

napier wrote: post #47
2Gkashmiri wrote: post #14

Earlier quoted context omitted.

dude. unless you are doing some space age shit or something, you don't need to set up a company in india to do business. sure the whole "limited liability" and that but in reality that is just a smokescreen. just use your personal pan card to open a bank account, get a GST registration, do income tax audit and you will be done. No compliance, no nothing. i do taxes and books for businesses with 250+ Crore turnover an…

You need limited liability at larger scale and an official entity to get low interest loans, support and above the counter investor funding. These systems need new company centred reform and redesign to remove friction causing elements like OP describes to enable Indian entrepreneurship to realise its untapped potential in India as well as overseas. The amount of bureaucracy left behind by the British and the layer u…

What makes me pessimistic is the place bureaucrats still occupy in the social hierarchy. Even today, getting a government job carries tremendous prestige, especially outside urban areas. Becoming an IAS/IPS officer is the most prestigious thing you can do as an individual.

Bureaucracy will remain obdurate as long as members of the bureaucracy are feted by society. Ideally, bureaucrats should be invisible. But in India, IAS/IPS officers make headlines regularly.

I won't get even started about the sheer amount of man hours wasted in preparing for administrative exams. Statistically, less than 0.1% of the people preparing for IAS exams will actually be selected. The remaining 99.9% waste YEARS of their lives in this futile endeavor instead of actually building and learning.

I remain bearish on India as long as the bureaucracy remains paramount.

Re: I tried starting a manufacturing unit in India (2020)

#57

Post by automatic6131 »

eunos wrote: post #39
spaceman_2020 wrote: post #8

India's obsession with paperwork is unceasing and baffling. Everything requires an application, even when everything can be done digitally. You need letters and stamps to get anything done. Case in point: the "company stamps" that are required for everything you do with your business. From getting a debit card to changing the maturity instructions for a corporate deposit, you need to sign your name AND stamp it with…

>Why? I have no idea! Legacy of British civil service and bureaucracy ?

"No, you don't understand, we have to operate like this seventy plus years after the end of British rule - not because we are incapable or we aren't agents - no no but because the British set up this system, and who are we to change it?"

See also, "no you don't understand, we had to start a war with the Muslims in the West because the British didn't tell them to be our second class citizens fast enough"

Re: I tried starting a manufacturing unit in India (2020)

#58

Post by protomolecule »

spaceman_2020 wrote: post #8

India's obsession with paperwork is unceasing and baffling. Everything requires an application, even when everything can be done digitally. You need letters and stamps to get anything done. Case in point: the "company stamps" that are required for everything you do with your business. From getting a debit card to changing the maturity instructions for a corporate deposit, you need to sign your name AND stamp it with…

We had company stamps and sole proprietor's stamps in Russia too but they became optional 7 years ago. It was Soviet legacy and it's surprising that India still hasn't got rid of it.

Re: I tried starting a manufacturing unit in India (2020)

#59

Post by postingawayonhn »

giva wrote: post #25
newyankee wrote: post #9

Earlier quoted context omitted.

Everything is right in theory. This article is about how difficult it is for a small entrepreneur, you essentially need big pockets and right connections to start something even very small. All this does is creates a set of entrenched local businesses which run hand-in-hand very transparently with local political interests. This is the whole reason Western folks never understand why China succeeded so fast, it is bec…

Had this article been the difficulties to build a manufacturing plan on an area reserved for industrial use, I would agree. But I don't believe that changing the destination of agricultural land has to be a fast and easy process.

It should be fast and easy, but not necessarily guaranteed. You should be able to get a decision quickly regardless of whether it's 'yes' or 'no'.

Re: I tried starting a manufacturing unit in India (2020)

#60

Post by rohan_shah »

captn3m0 wrote: post #54

Previously on HN: https://news.ycombinator.com/item?id=24106545 (with a few comments from the author as well). The author had added a correction to the post (12th August 2020) stating that this was a mistake, and that the actual procedure was much less cumbersome: https://web.archive.org/web/20200812093618/https://superr.in... > It has been bought to my attention that there was a mistake by an entry level employee. >…

Hey! I'm the author and here's the clarification:

That was the official response I got from the district administration so had to post it. Also was being pressured by the government (indirectly) to take it down. So that was all bs. Next update I'll give is when I will have solved the problem.

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