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I tried starting a manufacturing unit in India (2020)

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

#431

Post by pkphilip »

dr_dshiv wrote: post #231
grepfru_it wrote: post #226

Earlier quoted context omitted.

When I visited a Cisco office in India, I noticed there was a prominent notice of business application and listed the Indian owner of the company. I thought that was interesting and went digging into India law about ownership. When I came out of that rabbit hole I immediately had zero interest in starting up in India. Simply because of the bureaucracy and would be way more wink-wink-$$$-nudge-nudge than what I'm even…

Well, I expected this article to be about bribes, because I assume it happens a lot. However, there were no bribes. Does anyone have actual experience with bribes in India (not traffic police)? Edit: sorry, one person openly asked for a bribe, the Panchayat. I would like to understand more about this. Do they just ask for an amount?

Bribes are required for each of the following for any store/shop/market:

* Trade license (renewable each year)

* Shops and establishment license Weights and measures calibration (needs to be done each year)

* To get electrical connection or to get additional capacity (Rs.100,000/KW in Bengaluru)

* Export / Import - at the ports to various officials no matter how clear your papers are

* Police clearance (for restaurants)

* Health inspector (from time to time)

* Food and Safety license (needs to be renewed periodically) Labour inspector etc

* Periodic visits from panchayat/municpality/police etc where they will demand money or take stuff for free or at huge discounts

India is a cesspit of corruption

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

#432

Post by htoiweri23423 »

primitivesuave wrote: post #376
tkk23 wrote: post #274

Earlier quoted context omitted.

India is huge. Could there be a district with enough integrity that it can become the place to establish a company in India?

I highly doubt it. Bribery is baked into the culture. Everyone takes bribes, and the act of solicitation does not have the negative connotations or legal ramifications that it would have elsewhere. Most Indian people who pay regular bribes are on friendly terms with the people they pay bribes to. Also, political parties are mostly funded by bribery, and rely on literally buying the votes of villagers to maintain powe…

Can you please not claim it is part of 'Indian' culture ? The Indian state is anything but Indian.

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

#433

Post by htoiweri23423 »

nabusman wrote: post #332
tkk23 wrote: post #274

Earlier quoted context omitted.

India is huge. Could there be a district with enough integrity that it can become the place to establish a company in India?

I think the state of Bihar is trying to do that (just armchair analysis from reading the news)

If some of the 'liberal-intellectual' types in India have their way, the only thing Bihar will (again) be known for is the industry of kidnapping.

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

#434

Post by htoiweri23423 »

Japan's colonialism in Manchukuo turned it into one of the largest industrialized economies in the world (and in many ways, more industrialized than Japan).

British colonialism & its continued degeneration under Nehru's acolytes made sure that India would never ever rise again. What a tragedy.

It's amusing that my countrymen consider the Indian state legitimate at all - it's only agenda seems to be the destruction of the classical Indian civilization, together with all its inheritence (language, tradition, 'religion' ...).

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

#435

Post by htoiweri23423 »

callamdelaney wrote: post #87
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…

With so many people pointless busywork is a good way to keep people busy and 'employed'.

No post body was provided.

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

#436

Post by htoiweri23423 »

unmole wrote: post #71
spaceman_2020 wrote: post #56

Earlier quoted context omitted.

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 Indi…

> Becoming an IAS/IPS officer is the most prestigious thing you can do as an individual. If you are in UP and Bihar. That's not true for the rest of the country.

Not really.

IAS folk make on the order of a $1M/pa with all their kickbacks. They often even get to send their kids to study in the West for "free" through "scholarships" (as a quid-pro-quo for compromising national interest). The demand is quite high (see marriage portals).

IPS is one tier lower. Though, anyone who has studied the hallowed history of the former commission of Mumbai knows this is also not something to sneeze at.

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

#437

Post by ectopod »

skippyboxedhero wrote: post #419
ectopod wrote: post #341

Earlier quoted context omitted.

Private Eye has covered this. The level of profit was not normal. Some of the companies were making 50%. And the government had two lists of companies when they were awarding contracts. The priority list was for the acquaintances of ministers and MPs. It smells very bad.

50% what? And Private Eye has also covered the NAO report, which found no evidence of this, and the GLP court case which attempted to prove the price paid was excessive and failed to do so. No, the priority list wasn't. To approve a vendor through the normal process would have taken years, the fast track process was created to get PPE quicker than normal. I believe all but one person was unrelated to the Tories, the…

Seriously? The high court found that the operation of the priority list was unlawful [1]. You can reasonably argue that they needed to move quickly, but that doesn't explain why some companies were getting special treatment.

And the 50% is profit. Obviously.

[1]: https://www.bbc.co.uk/news/uk-59968037

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

#438

Post by wittycardio »

htoiweri23423 wrote: post #432
primitivesuave wrote: post #376

Earlier quoted context omitted.

I highly doubt it. Bribery is baked into the culture. Everyone takes bribes, and the act of solicitation does not have the negative connotations or legal ramifications that it would have elsewhere. Most Indian people who pay regular bribes are on friendly terms with the people they pay bribes to. Also, political parties are mostly funded by bribery, and rely on literally buying the votes of villagers to maintain powe…

Can you please not claim it is part of 'Indian' culture ? The Indian state is anything but Indian.

How is the Indian state not Indian lol

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

#439

Post by wittycardio »

htoiweri23423 wrote: post #433
nabusman wrote: post #332

Earlier quoted context omitted.

I think the state of Bihar is trying to do that (just armchair analysis from reading the news)

If some of the 'liberal-intellectual' types in India have their way, the only thing Bihar will (again) be known for is the industry of kidnapping.

Yes because Bihar is run by liberals and intellectuals ?

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

#440

Post by TheRealPomax »

yrgulation wrote: post #379
TheRealPomax wrote: post #373

Earlier quoted context omitted.

Investing and "opening a business" are two very different things though. I'd definitely invest in India (BRIC is about to loose China, but the rest are still improving year over year at a rate that looks sustainable), but I'm not mad enough to try to actually open a physical business there. It's kind of a well-known bureaucratic black hole in economics circles. The best you can hope for is to buy an existing company…

Do you even need to open business? I’d just buy land near promising areas, say near where motorways are likely to be built, or regions with tourist potential (ie tall mountains, as snow will be at a premium in the future, thermal water reserves, agricultural potential, etc). That in itself can be good business. Buy it and leave it there for a while. Unlike china, india will indeed take a different trajectory - if it…

That's kind of what this whole article was about, so in this specific case, yes?
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