VOLUME 29, NUMBER 4 LEADERS 183 Rich in Human and Material

Rich in Human and Material Resources A 30-Million-Ton Player by 2015 The Honorable Shri Buddhadeb B Muthuraman, Managing Director, Bhattacharjee, Chief Minister, Government of Tata Steel Limited, Kolkata West Bengal, Kolkata 185 195

West Bengal’s Competitive Advantages Tea-licious! The Honorable Shri Nirupam Sen, Aditya Khaitan, Managing Director, Minister of Commerce & Industry, McLeod Russel India Limited, Kolkata Government of West Bengal, Kolkata 188 196

Poised for the Service Revolution Committed to Action Rathin Datta, Amit Kiran Deb, Chief Secretary, Chairman and Chief Executive Officer, Government of West Bengal, Kolkata PricewaterhouseCoopers Pvt. Ltd., Kolkata 190 199

The Power Behind the Power Grand Palaces Await You Sunil Mitra, Principal Secretary, Ajoy K. Misra, Department of Power and Senior Vice President, Sales and Marketing, Non-Conventional Energy Sources, Taj Hotels Resorts and Palaces, Mumbai Government of West Bengal, Kolkata 191 201

Attracting IT Companies A Power Storage Pioneer Debanjan Datta, Managing Director and Satya Brata Ganguly, Chief Executive Officer, West Bengal Chairman and Chief Executive Officer, Electronics Industry Development Exide Industries Limited, Kolkata Corporation Limited, Kolkata 192 202

VOLUME 29, NUMBER 4 POSTED WITH PERMISSION. COPYRIGHT © LEADERS MAGAZINE, INC. LEADERS 183 Rich in Human and Material Resources An Interview with The Honorable Shri Buddhadeb Bhattacharjee, Chief Minister, Government of West Bengal, Kolkata

dence, our state enjoyed a preeminent vision for West Bengal, and how do position in the field of industry. West Ben- you see that vision evolving in com- gal is now regarded as one of the top five ing years? states of India in respect of industrial The electorate of my constituency investment. gave an unequivocal verdict. The percent- West Bengal is also internationally age of votes polled in my favor was more reputed as a seat of culture. The world- than 61. In the recent elections to the renowned poet Rabindranath Tagore and state legislative assembly, the Left Front the film maestro Satyajit Ray were born made a very impressive performance by and bred in Kolkata, the cultural nerve winning 235 out of 294 seats. center of Bengal. The state has to its We make it clear to our people that credit five Nobel laureates. Professor the state government will continue to do Amartya Sen, a son of West Bengal, won its best to live up to their expectations. the Nobel Prize in Economics in 1998. The Left Front government has been in West Bengal has emerged as one power since 1977. During our first few of the most preferred investment terms, we concentrated on improving destinations in India, and the whole conditions in the rural sector. We laid The Hon. Shri Buddhadeb Bhattacharjee of Southeast Asia. What factors have stress on implementing land reform and contributed to your state’s recent rural development programs. Following EDITORS’ NOTE With a B.A. honors success in attracting investment from our success in the rural sector, we have degree in Bengali from Presidency Col- a sizeable number of multinational been making efforts to accelerate the pace lege in Kolkata, Shri Buddhadeb Bhat- corporations? of industrial growth in the state. Our aim tacharjee joined the Communist Party of West Bengal is endowed with vast is to make West Bengal a more dynamic India (Marxist) in 1966. He was elected agricultural and industrial resources, a and forward-looking state. The quest for as a member of West Bengal’s legislative large pool of skilled manpower, and new knowledge is one of the basic fea- assembly for the first time in 1977, and relatively developed social and physical tures of the 21st century. Our young men the same year joined the West Bengal infrastructure. The state government’s and women are striving to acquire this cabinet as Minister-in-Charge at the industrial policy of 1994 recognizes the new knowledge for the common good. I Department of Information and Public important role of the private sector in our am sure that they will succeed. Relations (subsequently the Department economy. The policy emphasizes the You are proud of the fact that of Information and Cultural Affairs). need for the induction of foreign technol- multinationals such as IBM, During his distinguished political career, ogy and investment on mutually advanta- Mitsubishi, Cognizant, Frito Lay, The he has also served as Minister-in-Charge geous terms. In the present economic Salim Group of Companies, ITC, Tata at the Department of Local, Urban, and system of our country, the public sector, Group, Exide Industries, Price Metropolitan Development; Minister-in- the private sector, and the joint sector waterhouseCoopers, foreign banks Charge at the Department of Urban have to operate in close cooperation. like Deutsche Bank and Citigroup, and Development and Municipal Affairs; West Bengal offers vast opportunities IT companies are enlarging their in- Minster-in-Charge of the Home (Police) for investment in areas such as iron and vestments in West Bengal. What do Department; and Minister-in-Charge at steel, petrochemicals and chemicals, IT you think is responsible for this trend? the Department of Information Technol- and IT-enabled services, leather, engineer- The industry-friendly environment of ogy. Bhattacharjee took over as Chief ing, agribusiness, biotechnology, infra- the state attracts these multinationals. Minister in November 2000 and was structure, gems and jewelry, and tourism. One reason they are expanding their returned to that position in the general We are inviting foreign direct investment operations in West Bengal is its sociopolit- elections of May 2001. He was reelected in both industry and infrastructure. ical stability. The advantages of West Ben- in 2006. Domestic and international companies are gal include the availability of raw materi- contributing to the economic growth of als, a good communications network, the What would you most like our read- our state. low cost of operations, a sound agricul- ers to know about West Bengal, and You stunned political prognosti- tural base, a large and concentrated mar- why? cators by receiving more than 75 per- ket, and a good pool of human capital and West Bengal is well known as one of cent of the vote in your constituency skills. the most vibrant states in India. The state in the recent elections for the legis- One of your primary concerns is rich in human and material resources. lative assembly. What did you share has been to improve standards of ed- Before and after the country’s indepen- with your constituents about your ucation in West Bengal. What steps

are you taking to achieve this? out with distinct success. The state is pro- foreign tie-ups to implement such pro- The state government is earnestly gressing steadily. jects are being worked out. We have trying to raise academic standards further. You plan to modernize the in- already received collaboration offers from A mass literacy program in West Bengal is frastructure of Kolkata and the rest various companies based in Japan, China, being implemented with success – 70 per- of West Bengal in coming years. the United States, the United Kingdom, cent literacy has been achieved. Our gov- Could you elaborate on specific in- Indonesia, Singapore, Italy, and a few ernment is taking effective steps to bring frastructure needs that will require other countries for some of our ambitious all the children in the state under the foreign investment, and the opportu- schemes. ambit of elementary education. Emphasis nities that will be available to in- You are a cinema buff and an au- is being placed on extending technical vestors for these projects? thor, and you love reading and writ- education schemes and vocational train- The state government is taking time- ing literature. Is it fair to say that you ing programs. The universities in West bound steps to develop the infrastructure are endeavoring to reinforce West Bengal are introducing some job-oriented sector. Now, the power position in the Bengal’s status as the cultural center courses. The West Bengal National Univer- state is stable. Additional capacity to the of India, with all of its diversity and sity of Juridical Sciences and other univer- tune of 3,500 megawatts is expected to be secularism intact? sities of special orientation, such as Bid- created during the 11th five-year plan West Bengal’s reputation as a cultur- han Chandra Krishi Viswavidyalaya, Uttar period. A number of bridges and flyovers ally advanced state has to be maintained. Banga Krishi Viswavidyalaya, the West have been built in different parts of West Our cultural ethos, based on unity in Bengal University of Technology, the West Bengal. New industrial growth centers and diversity and secularism, is being enriched Bengal University of Health Sciences, the new townships are being set up. Kolkata is by the fusion of tradition and modernity. West Bengal University of Animal and passing through a process of renewal. At the same time, our efforts are now Fishery Sciences, and Ramakrishna Mis- For the whole of West Bengal, we are being directed toward building West Ben- sion Vivekananda Education and Research drawing up plans to set up seaports, air- gal as a modern industrial and commercial Institute are meeting the needs of a large ports, an elevated mass transport system, hub. We will work for the all-around number of students. Computer education expressways, and other facilities. Some development of the state.• is being provided with various modern facilities. We are setting up some centers of excellence at the higher education level to raise the quality of education. West Bengal has suffered a “brain drain” of its best and brightest students to countries abroad over the past few decades, perhaps more than any other Indian state. Are you hope- ful that you can reverse this trend, especially now that West Bengal’s economy has revived? The reverse process has started. Steps taken to augment educational facilities and to improve the quality of education are yielding positive results. New colleges are being set up. A marked increase in the number of students being admitted to different educational institutions – engineering and technological institutions, in particular – and successful academic performance in various disciplines testify to the gradual improvement of our educational standards. IT education in the state has received a significant boost. Biotechnology and other new disciplines of education are being promoted. LEADERS Magazine’s President, International, Patrick J. Gillis (center), and Utpal Chatterjee (right), LEADERS Associate Research in various fields is being carried Editor for India, interview the Chief Minister in his office in Kolkata on August 7, 2006.

186 LEADERS POSTED WITH PERMISSION. COPYRIGHT © LEADERS MAGAZINE, INC. VOLUME 29, NUMBER 4 West Bengal’s Competitive Advantages An Interview with The Honorable Shri Nirupam Sen, Minister of Commerce & Industry, Government of West Bengal, Kolkata

pursuing a well-tailored policy to harness We foresee rapid industrial growth in its full potential, utilizing its competitive the days ahead for a number of reasons, advantages and capabilities for growing at including the policy framework of the state a faster pace, with a focus on emerging government, the proactive steps of the sectors like automobiles, petrochemicals, government to attract investment, the information technology, biotechnology, state’s strength in the agriculture sector, food technology, and so forth. Simultane- the growing demand of the people for var- ously, our aim is to bring about a proper ious consumer goods in view of their balance between the traditional sectors increased purchasing power, the political and the “sunrise” sector. It is necessary to stability of the state, the investor-friendly note in this context that following the outlook of the state government, im- onset of a new policy regime in the wake proved infrastructural facilities, the avail- of the liberalization of the Indian economy ability of the educated and skilled human in the early ’90s, the state government resources necessary for the sunrise indus- crafted its own policy resolution on industries, the availability of uninterrupted try, in 1994, to reap the harvest of unfold- power supply at a comparatively low rate, ing opportunities. The key elements of and the positive response from industrial- The Hon. Shri Nirupam Sen this policy are forging greater cooperation ists from different parts of the country and with the private sectors and the fusion of abroad. In traditional sectors like jute, tea, EDITORS’ NOTE Shri Nirupam Sen was indigenous knowledge with the advanced and engineering, where West Bengal has first elected by the Burdwan Sadar South scientific and technological developments inherent strengths, the prospects for constituency to the West Bengal Legisla- taking place around the globe, in order to growth are very good, because of the mod- tive Assembly in 1987, and was reelected catch up with the rest of the world. ernization drive undertaken. In the sunrise in 2001, the year he was appointed to his In our bid to achieve the objective of sectors too, rapid development is already current position. He was reelected a sec- speedy industrialization of the state, rely- visible, particularly in chemicals and ond time in 2006. Additionally Chairman ing on our intrinsic strengths and vigor- petroleum, plastics, leather, food process- of the West Bengal Industrial Develop- ous implementation of policy initiatives, ing, and information technology. ment Corporation, Sen is a member of we have decided to set up sector-specific It is important to note in this context the Secretariat of the Communist Party of parks with world-class infrastructure, com- that the filing of the Industrial Entrepre- India (Marxist), West Bengal State Com- mon facilities, state-of-the-art pollution neurs Memorandum has become a major mittee, as well as serving as a member of control measures, and modern amenities. indicator for the investment under way in the Central Committee of the Party. The setting up of leather, foundry, rubber, India, and particularly in individual states. chemical, polymer, garments, and jute The total number of approvals issued to What plans do you have to make parks is a step toward this end. We are West Bengal during 2005 for setting up West Bengal the most attractive in- also setting up sector-specific parks in the industries stood at 445, with proposed vestment destination in India? industrially underdeveloped districts, with investment of INR17,702.14 crore, com- West Bengal has always held a pre- all the modern facilities. pared to the 467 investment approvals eminent position in the industrial scenario To encourage investment – both totaling INR7,871.79 crore received during of the country. In the pre-independence domestic and foreign – we have placed 2004. We are, however, aware that era, the traditional sectors of industry, adequate emphasis on the development investors’ confidence is an important fac- such as jute, tea, engineering, etc., flour- of infrastructure. We are strengthening tor for industrial growth, and such confi- ished in the state, and contributed signifi- existing infrastructure as well as building dence develops gradually. So, as the cantly to the growth of the national econ- new infrastructure. Currently, a total of state’s industrial, transport, and common omy. Naturally, the industrial base of West 764 kilometers of national highways are infrastructural facilities develop, investors’ Bengal is quite sound. The skilled man- being upgraded to four- to six-lane high- confidence will also be boosted. power of the state and its adaptability to ways. We are improving the connectivity Naturally, we visualize faster growth new challenges following the rapid of Haldia Port by widening the national in different sectors in the coming days. advancement of science and technology is highway link that connects the port with The potential areas of rapid growth are an added advantage. However, the fact the main highway network. Setting up a petroleum and chemicals, petrochemicals, remains that West Bengal’s position has deep-sea port is also a priority, and build- automobiles, high-end engineering, considerably declined in the post-inde- ing another airport is on our agenda too. knowledge-based industries, leather, gar- pendence era, for a variety of reasons. What are the growth prospects ments design and manufacturing, food As of now, the state government is for West Bengal’s industrial sector? processing, and textiles.• 188 LEADERS POSTED WITH PERMISSION. COPYRIGHT © LEADERS MAGAZINE, INC. VOLUME 29, NUMBER 4 Committed to Action An Interview with Amit Kiran Deb, Chief Secretary, Government of West Bengal, Kolkata

EDITORS’ NOTE Amit charjee. How and why has the Chief domestic and from overseas – he makes Kiran Deb joined the Minister been so effective in attract- definite commitments on behalf of the Indian Administrative ing record levels of foreign direct in- state government that are seldom unat- Service in 1971 and was vestment to West Bengal? tended to later. assigned to the West It is difficult to answer that question As the leading officer in the West Bengal cadre. He spent without being adulatory or hyperbolical. Bengal government, what do you seven years as a senior Objectively speaking, when you meet Shri think makes West Bengal unique officer in local govern- Buddhadeb Bhattacharjee, the Chief Min- compared to other states in India? ment before serving in ister, you are bound to be impressed by In short, the state has all the infra- the government of his sincerity and his deep sense of com- structure needed for fruitful investment – Amit Kiran Deb India for five years. In mitment to the development of the state. such as power, water supply, roads, 1992, Deb returned to He is thoroughly pragmatic in his skilled manpower, telecom networks, West Bengal to fulfill a broad portfolio of approach, has an absolutely open mind, ports, and airports. Another advantage is senior administrative roles, including and can argue his case forcefully and in a that the state administration is fairly cor- Home Secretary of West Bengal (2001 to convincing manner. Being conscious of ruption free, its functioning is transparent, 2005). He assumed his current position in the fact that he is treading on a road full and the political leadership is responsive July 2005. of pebbles that tend to halt his speed, he and positive. Combined with another very understands the value of time, takes quick important factor called political stability, You work very closely with Chief decisions, and tries to cut delays. During the state turns out to be a most attractive Minister Shri Buddhadeb Bhatta- his interaction with investors – both destination for investors.•

190 LEADERS POSTED WITH PERMISSION. COPYRIGHT © LEADERS MAGAZINE, INC. VOLUME 29, NUMBER 4 The Power Behind the Power An Interview with Sunil Mitra, Principal Secretary, Department of Power and Non-Conventional Energy Sources, Government of West Bengal, Kolkata

under implementation scheduled for states, we are in power surplus almost all commission in the next year. year round, and we export significant vol- The 900 megawatt Purulia Pumped umes of power to power-deficient states Storage Project, to be commissioned next in India. Over the years, we have continu- year by WBSEB with the assistance of the ously planned capacity additions and Japan Bank for International Cooperation, focused on efficiency improvements in will be one of the few pumped storage our transmission and distribution busi- projects in the world and will contribute nesses. This has enabled us to reach this significantly to peak power availability and power surplus position. grid stability in our region. What specific opportunities are In addition, the Damodar Valley Cor- available to investors interested in poration, a company jointly owned by the participating in the power sector in central and state governments, has a gener- West Bengal in coming years? ation capacity of around 1,200 megawatts. The electricity demand within the The Durgapur Projects Limited, a state gov- state and the country is poised for rapid ernment utility, generates thermal power growth, with industrialization and a signifi- and supplies it in an extremely competitive cant rural electrification initiative aimed at Sunil Mitra environment in the industrial region of providing electricity access to all house- Durgapur. Certain other central govern- holds in the country by 2012. EDITORS’ NOTE After graduating from the ment utilities, including the National Ther- The opportunities for investors inter- University of Delhi, Sunil Mitra joined the mal and Hydel Power Corporation, also ested in participating in the state power Indian Administrative Service in 1975. contribute to the power pool of the state. sector are on four fronts; first and fore- Since that time, he has been responsible In what ways does the power most, in building new generation capacity. for numerous assignments, ranging from structure in West Bengal compare With abundant high-quality coal reserves, developmental and revenue administra- and contrast to those found in other transmission linkages, and quality human tion in the field in West Bengal to sensitive Indian states? resources, new thermal generation plants defense procurement on behalf of India’s The only point of comparison that in West Bengal can attractively supply elec- central government. Over the last decade, readily comes to my mind is the legal and tricity to load centers across the country. Mitra has steered the evolution of a policy operating environment where, like in most Opportunities are also significant in the framework to restructure West Bengal’s other states, we have the vertically inte- construction of interstate transmission cor- public-sector entities. He was appointed grated WBSEB and the WBERC [West Ben- ridors and the setting up of gas-fired ther- to his current position in July 2005. gal Electricity Commission] to regulate the mal stations, because of abundant reserves sector. However, the areas of contrast with of natural gas in the neighboring region. How is West Bengal’s power sector other states are manifold. We have an Second, the distribution and trans- structured? extremely competitive sector environ- mission segment growth in coming years The power sector in West Bengal is ment, unlike most other states. With the also provides attractive opportunities for among the most competitive in India, simultaneous existence of players from the electricity equipment manufacturers and with participation by utilities from both private and public sectors, West Bengal is suppliers, and we would encourage the private and public sectors. The state- one of the rare pockets in our country investments in setting up manufacturing owned West Bengal State Electricity Board where an electricity consumer has a choice facilities for electrical equipment in West [WBSEB], with a small capacity for hydel of suppliers. All our state power utilities Bengal with a host of available incentives. generation, is the largest integrated power are now commercially profitable and there Third, we have an investor-friendly utility in the state, with about half the is no dependence on operating subsidies policy in place for investments in the man- state’s energy sales. CESC Ltd., a private or budgetary support from governments, ufacture of renewable energy devices and licensee with its own generation and dis- as in most other states. the setting up of renewable-energy-based tribution system, supplies the city of In contrast to many other states, gov- power generation projects in West Bengal. Kolkata and accounts for around one- ernment policy in West Bengal has not Fourth, the state government’s effi- third of the state’s energy sales. been subjected to frequent shifts. As a ciency-linked incentive scheme provides The state-owned West Bengal Power result, privately run utilities have also for rebates on energy charges on any Development Corporation is the largest improved their operating efficiency and major industrial investment, while the thermal generation utility, with installed commercial profits in a stable environment. central government’s schemes provide for capacity of about 2,900 megawatts and Another area of contrast is our power exemptions from certain taxes and duties 1,270 megawatts of capacity expansion surplus situation. Unlike most other for setting up new power plants.• VOLUME 29, NUMBER 4 POSTED WITH PERMISSION. COPYRIGHT © LEADERS MAGAZINE, INC. LEADERS 191 A Power Storage Pioneer An Interview with Satya Brata Ganguly, Chairman and Chief Executive Officer, Exide Industries Limited, Kolkata

Exide has been a pioneer and leader up to the challenge every time – both in in the field of power storage solutions for terms of quality and quantity. Our 80 per- close to six decades, despite intense cent market share in the automotive origi- global competition in this sector. The fac- nal equipment market, which has been tors that have contributed to this achieve- growing extremely fast, is an indication of ment are various, but most important the inherent strength of the company. among them is a unique ability to foresee Brand equity is another strong asset changes in the marketplace and to be pre- that helps us retain our leadership posi- pared for those changes ahead of time – tion and consolidate it. Exide’s brand and ahead of the competition. equity has been earned over a period of This ability has consistently helped six decades, through sustainable leader- us to come up with cutting-edge technol- ship and growth. And I am not talking ogy products and services, even when about brand equity with customers or there was no global competition and India dealers only. Our brand equity is strong was a protected market. This vision among all our stakeholders – technology helped us put up new plants in the right partners, shareholders, bankers, suppliers, place ahead of a demand boom, so that employees, and society at large. Today, Satya Brata Ganguly we were ready when demand actually when you say, “Exide,” it means more picked up. than just a high-tech battery under the EDITORS’ NOTE With a degree in chemi- Exide has shown a remarkable ability hood of your car. It means a certain trust cal engineering, Satya Brata Ganguly to adapt itself with time. There have been that our stakeholders place in us. It means was appointed head of Dunlop’s R&D sweeping changes in the economy, and a certain ethos in our dealings. division in 1976 and became Director of market dynamics have been rewritten sev- You’ve said that “our strong and the company’s Research & Technical Ser- eral times in the last six decades. As a effective distribution network is our vices division in 1982. He joined Chloride nation we have migrated from a closed biggest strength.” Could you elabo- India Limited (now Exide Industries Lim- and command economy to a free-market rate on the makeup and effectiveness ited) in April 1986, assuming the roles of economy. But Exide has been able to rise of your network? Managing Director in 1991 and Chair- man in 1993. Ganguly serves on numerous boards of directors and is an active member of a variety of civic and charita- ble organizations.

COMPANY BRIEF Founded as Chloride Electrical Storage Co. UK in 1916, and ultimately renamed in 1995, Exide Indus- tries Limited (www.exideindustries.com) is India’s premier power storage solutions company and its largest producer of batteries. With 26 offices, 100 Exide Care Centers, and 25 Exide Power Cen- ters, the company is a leader across a range of battery applications, including in the automotive, telecommunications, mining, railway, military, and emer- gency lighting sectors.

Exide Industries’ continuing growth has positioned it as the largest power storage solutions company in South and Southeast Asia. What factors have enabled Exide to assume this leadership position? The Exide Research & Development Center in Kolkota

Our strong dealer network is defi- In what ways do you see Exide’s nitely an important entry barrier for our international business evolving in competition. The whole company is geared coming years, and why? toward delighting customers by offering There are huge opportunities for them the right product, at the right time, at Exide’s products to go international, as the right place, and at the right price. Our Exide has already established the quality dealers play an important role in that deliv- of its products to international standards. ery process. Our systems for dealer rela- There is a large and rapidly growing tionship management have evolved over a demand for Exide products in both long period of time. Trust in the company Europe and Southeast Asia. So in the com- plays a very important role in retaining and ing years, we will see a big growth in expanding our distribution network. exports to developed countries. However, one problem with our dis- You have identified the telecom- tribution network was its urban-centricity, munications, power, and defense sec- which is being actively corrected now. tors as three key areas of growth for There was a time when you could see the Exide in the future. Why? Exide name only in the cities. But as As India is now focusing on infra- India’s economy is gradually maturing, and structure development, areas like power rural and semi-urban centers are becoming and telecommunications will come to the more and more important, we are fanning forefront. At the moment, there is a we already have orders going into the out not only to the smaller towns but also growth of 30 percent in telecommunica- next three to four years. to the villages. We now have a huge popu- tions, and multinationals such as Alcatel, Another largely untapped area is lation of dealers in small villages, if not Siemens, Ericsson, and Nokia are expand- nonconventional energy, where we hamlets, in distant places. They not only ing at an accelerated rate. India is now fac- believe we can play a major role in the sell Exide batteries but also service them. If ing a power crisis, but it is expected that supply of solar batteries. The government a farmer is stuck in a field with his tractor, by 2020 India will have surplus power, is putting more and more emphasis on due to a discharged battery, a trained per- after meeting the requirements of both nonconventional energy, particularly in son will tend to his service requirements. rural and urban areas. In the defense sec- rural areas where power is not so stable. This whole process takes a lot of effort, tor, besides supplying normal automotive As a result, the demand for solar power but we are prepared to go the distance in batteries for defense, we are also supply- will be extremely high. So the future holds the interests of our customers. ing submarine batteries to the Navy, and immense potential.• VOLUME 29, NUMBER 4 POSTED WITH PERMISSION. COPYRIGHT © LEADERS MAGAZINE, INC. LEADERS 193 A 30-Million-Ton Player by 2015 An Interview with B Muthuraman, Managing Director, Tata Steel Limited, Kolkata

East”? And is that more true today So Kolkata, and West Bengal as a region, than in previous years? are important to Tata Steel. With its sea coast, its ports, and its You mentioned that West history of fostering industry and educa- Bengal’s recent economic resur- tion, West Bengal is a natural “Gateway to gence can be partly attributed to the the East.” Unfortunately, it has not been Chief Minister’s energetic leadership so for several years, for many reasons. in attracting foreign direct invest- However, in the last three to four years, ment. Could you elaborate? there has been a resurgence in West Ben- Leadership makes a major differ- gal. There is enlightened leadership, the ence in the success of nations, states, bureaucracy works well and in the inter- and industrial enterprises. The current est of economic progress, and the Chief Chief Minister of West Bengal is a very Minister himself is personally spearhead- genuine person. He is genuinely inter- ing the efforts. All these have made a big ested in the people of West Bengal and difference. A state that, for several their well being. He is aware that they decades, was looked upon by the busi- face obstacles and challenges. He ness community as a state to avoid, has addresses these challenges personally, B Muthuraman now become a favorite place for invest- with perseverance, persistence, tenacity, ment. So today, in my view, West Bengal and in a humane and genuine manner. EDITORS’ NOTE B Muthuraman joined is undoubtedly a “Gateway to the East.” He has no agenda except for the pros- Tata Steel as a Graduate Trainee in Could you provide an overview perity of West Bengal and its people. His 1966, and proceeded to work in the iron- of Tata Steel’s history in West Bengal genuineness comes through within a few making and engineering division for 10 and the company’s importance to minutes of conversation with him. He years and in marketing and sales for a the region? has made a big difference. further 20, ultimately rising to the posi- Tata Steel was established in What are Tata Steel’s future ex- tion of Vice President. He was appointed Jamshedpur nearly 100 years ago, pansion plans at its facilities in to his current post in July 2001. A mem- because of Jamshedpur’s proximity to Jamshedpur, and how will these ber of numerous boards of directors and iron ore and coal, and the availability of plans impact the steel industry in industry associations, Muthuraman water and adequate land. Kolkata has India? holds a B.Tech degree in metallurgical always been home to the commercial Tata Steel today produces nine mil- engineering from the Indian Institute of headquarters of Tata Steel, and it contin- lion metric tons of steel per annum, with Technology in Madras and an M.B.A. ues to be so. five million metric tons produced at from the Xavier Labour Relations Insti- In the ’80s, Tata Steel acquired an Jamshedpur and four million metric tons tute in Jamshedput, and completed the antifriction-bearing manufacturing plant produced in Southeast Asia. The output advanced management program at in Kharagpur from Metal Box India Ltd. In of the Jamshedpur plant is being INSEAD in France. the last 20 years, this unit has grown to 10 expanded to 10 million metric tons. We times its original size. It is one of the best are also planning three greenfield plants COMPANY BRIEF Established in 1907, divisions of Tata Steel, with excellent in India, in the states of Orissa, Chhattis- Tata Steel Limited (www.tatasteel.com) work ethics and human-resource prac- garh, and Jharkhand. We are constantly is Asia’s first, and India’s largest, pri- tices. More recently, we have set up a looking at acquisitions in geographies vate-sector steel company. Among the metallurgical coke manufacturing plant in that fit into our strategy. All these will lowest-cost producers of steel in the Haldia, at a capital cost of INR1,500 help Tata Steel become a 30-million-met- world, Tata Steel has created a manu- crores. The work is progressing very ric-ton player by 2015, and a much bigger facturing network spanning India, smoothly. One of our associate compa- one after that. China, Thailand, Vietnam, Malaysia, nies, TMILL, operates a berth in Haldia Through this journey, we will con- the Philippines, Singapore, and Sri Port, where we have introduced world- tinue to be what we have always been – Lanka. Tata Steel’s products are used class operating practices. Another associ- socially and environmentally responsible, principally in the quality- and service- ate company of ours, Tata Metalliks, a good corporate citizen, and always in conscious automotive sector and the makes pig iron in Kharagpur. This is the pursuit of building our nation. India construction industry. best pig iron manufacturer in India. This requires steel for its economic develop- company has ambitious expansion plans. ment and our plans fit in well with India’s In your view, does West Bengal war- Another of our associate companies, Tata aspirations to become a developed rant being called a “Gateway to the Ryerson, has its headquarters in Kolkata. nation.• VOLUME 29, NUMBER 4 POSTED WITH PERMISSION. COPYRIGHT © LEADERS MAGAZINE, INC. LEADERS 195 Tea-licious!

An Interview with Aditya Khaitan, Managing Director, McLeod Russel India Limited, Kolkata

der in Assam. India is the world’s largest tion in wind and water erosion. I strongly producer and consumer of tea and the believe that WMG’s intervention will go a tea grown in India is unique, with its own long way toward improving the lives of special characteristics. people in rural India. We think this is You’ve said that “the biggest ad- what corporate social responsibility vantage West Bengal has is that the should be about. people here are loyal to the state, What do you think of the action and the education level is much West Bengal’s Chief Minister Shri higher than in other parts of India.” Buddhadeb Bhattacharjee has taken Could you elaborate? to attract investment to the state? The people of West Bengal believe As part of an ideology-driven leftist in the need for education, and therefore party that has reigned for more than 30 attach considerable importance to educa- years, Buddhadeb Bhattacharjee caused tion. Furthermore, they are loyal to their an internal stir by going all out to invite state and, unlike people from other parts “capitalistic” private investors after he of India, people from West Bengal take assumed office in 2000. Bhattacharjee pride in staying and working within the saw IT as a major growth driver for Aditya Khaitan state. As a result, the state has a ready investment and employment generation. pool of managerial talent to add value to In 2000, the West Bengal government EDITORS’ NOTE An honors graduate its IT, business process outsourcing, and created an IT department, and two years with a degree in accountancy, Aditya services sectors. later, it introduced the IT and IT-enabled Khaitan has considerable experience in McLeod Russel India Limited’s services [ITES] policy. Publicizing the management, corporate finance, corpo- parent company, Williamson Magor state’s new face in India and abroad rate restructuring, and mergers and Group [WMG], is planning to move through road shows helped to dispel per- acquisitions. In addition to his responsi- into biodiesel. In what ways do you ceptions that the state was anti-business bilities at McLeod Russel India Limited, see WMG’s plans for biodiesel im- and rife with labor unrest. He also Khaitan is Vice-Chairman of the Indian pacting rural India in coming years? invested in roads and infrastructure to Tea Association, a committee member of We have started looking at growing bolster industry confidence. the Indian Chamber of Commerce, and jatropha as a source of biofuel, as oil Today, West Bengal’s IT exports are sits on the boards of several companies. prices are touching an all-time high. The approximately INR2,200 crore and make jatropha system creates a positive up around 5.2 percent of national soft- COMPANY BRIEF A subsidiary of the reciprocity between the raw material and ware exports. Mr. Buddhadeb Bhat- Williamson Magor Group, McLeod Rus- energy production, and the environment tacharjee is hoping to boost this to 15 sel India Limited (www.mcleodrusselin and food production; i.e. the more percent by 2010. dia.com) is a leading Indian tea com- energy jatropha hedges produce, the I personally laud the efforts our pany, with six plantations in West Ben- more food crops are protected from ani- Chief Minister has made in trying to bal- gal and 44 in Assam. The company also mals and erosion. Also, additional ance industrial growth with rural priori- has 28 tea-processing factories, manu- income can be created, mainly for ties, such as agriculture, land reform, and facturing bulk tea for sale through auc- women. poverty alleviation. tion houses. A significant portion of the The jatropha plant can be used in His cadre-based party, the Commu- company’s tea is exported. the following ways. It can reduce poverty nist Party of India (Marxist), traditionally by creating income in rural areas through relied on the votes of farmers and people As one of the largest suppliers of tea the use of jatropha oil as a fuel and as a in the rural hinterland. But now, the Left in India, how would you describe raw material for soap. The sale of jat- Front’s astounding 235-seat win in this McLeod Russel’s importance to the ropha seeds can improve rural income, year’s legislative elections, with higher economies of West Bengal and India and help reduce the cash drain from margins than in the previous election, as a whole? rural to urban areas. In addition, jatropha has shown that he is able to impress peo- Mcleod Russel is the world’s largest can protect food crops against grazing ple in the urban milieu as well as the integrated tea plantation company, with animals, as jatropha is not eaten by ani- business community with his govern- an annual production of 70 million kilo- mals. Jatropha can also help with erosion ment’s agenda for reform. I am indeed grams. We have 50 tea estates – six in control. Planting jatropha hedges and proud to have such a Chief Minister West Bengal, with an annual production stabilizing small dams can result in an heading our state and wish him all the of six million kilograms, and the remain- improvement in soil fertility and a reduc- best in his journey.• 196 LEADERS POSTED WITH PERMISSION. COPYRIGHT © LEADERS MAGAZINE, INC. VOLUME 29, NUMBER 4 Poised for the Service Revolution An Interview with Rathin Datta, Chairman and Chief Executive Officer, PricewaterhouseCoopers Pvt. Ltd., Kolkata

are found in West Bengal. What’s the countries [Brazil, Russia, India, and China] history of the firm? stand identified as locations with the high- Its history goes back to 1872, when a est growth potential. India has been living Scottish accountant, William Adolphous up to expectations with a consistently Browne, set up a practice of public high growth rate. PwC’s study “The World accountants, auditors, and liquidators in in 2050” estimates that by 2050, India’s Kolkata – then Calcutta – which later GDP, in terms of purchasing power parity, came to be known as Lovelock & Lewes is likely to catch up with that of the U.S. [L&L]. Eight years later, in 1880, a British In the 19th century, for political and Accountant of Belgian descent, Marc Meu- economic reasons, India could not partici- gens, set up another accounting firm in pate in the industrial revolution. With its Kolkata, which became known as Price demographic advantage, its stress on edu- Waterhouse [PW]. cation, and its inherent knack for technol- The two firms grew side by side, liv- ogy, India is comparatively well placed to ing through a history that saw a country take advantage of the service revolution under the yoke of foreign rule; the two that will characterize the 21st century. world wars of 1914 and 1939; a unique India is fast becoming the service and Rathin Datta struggle for independence the like of resource provider to the world. which the world had never seen; and the What is West Bengal’s potential EDITORS’ NOTE A Chartered Accountant birth of an independent nation emerging for economic growth, and as a and an acknowledged expert in fiscal as the world’s largest democracy. “Gateway to the East”? law, Rathin Datta has spent many years After World War II, the English and The state of West Bengal is the hub advising multinational corporations and Scottish accountants in India started of Eastern India, stretching from the large Indian companies on domestic and returning to Britain, and those who Himalayas down to the Bay of Bengal, international tax issues, mergers and remained repatriated after Indian inde- with the hinterland of Uttar Pradesh, acquisitions, and cross-border entry pendence in 1947. In the process, the two Bihar, and Orissa on one side and Assam, strategies. As a member of the Interna- partnerships got transferred wholly to Sikkim, and the entire region of Northeast tional Fiscal Association, he authored Indian chartered accountants. India on the other. India’s national reports for that organi- In 1980, Price Waterhouse spawned It has historically been proud of its zation’s congresses in Brazil in 1989 and the consulting company which is now intellectual heritage and large educational New Delhi in 1997. Among numerous called PricewaterhouseCoopers Pvt. Ltd. institutions. In recent years, more than 50 other professional activities, he recently [PwCPL]. L&L was a member of the net- engineering and management colleges served as Vice President of the Bengal work of Coopers & Lybrand. PW and have been set up. All the five Nobel Lau- Chamber of Commerce and Industry. PwCPL were members of the Price Water- reates from India worked for some time house network. When the two global net- in Kolkata. COMPANY BRIEF Formed by the 1998 works merged, L&L, PW, and PwCPL all It is also a power-surplus state. Its merger of Coopers & Lybrand and Price became members of the worldwide net- agricultural sector has grown by an aver- Waterhouse, PricewaterhouseCoopers work of PricewaterhouseCoopers firms. age of more than 5 percent per year over (PwC) is one of the largest professional Last year, PwCPL set up its new the last several years. It has seen a services companies in the world, employ- India Solutions Delivery Centre in Salt planned progression in policy focus from ing more than 140,000 people in 148 Lake, Kolkata, to serve its clients and the agriculture and land reform to industry- countries and providing industry- network. and service-led growth. The state focused services to public and private In an interview in the July 2006 accounts for more than 7 percent of the clients. In India, PricewaterhouseCoop- issue of LEADERS, PwC’s global CEO, Indian market. It has excellent telecom- ers Pvt. Ltd. has offices in Bangalore, Samuel DiPiazza, said the firm’s out- munication bandwidth. These strong Kolkata, Chennai, Hyderabad, Mumbai, look for India was very positive. Can fundamentals are coupled with a proac- New Delhi, Bhubaneshwar, and Pune. you elaborate? tive state government acting as a catalyst The organization reported global rev- As territorial impediments to trade for growth. enues of $19 billion in 2005. and investment flows break down, market Its strategic location in Eastern India – forces assert to channel trade, business, two hours from Bangkok, four hours from PricewaterhouseCoopers Pvt. Ltd. is and investments toward large markets, Singapore, and just across the Himalayas one of the oldest professional ser- lower costs, assured quality, and potential from China – inherently makes it a “Gate- vices firms in India, and its origins for resources. In these respects, the BRIC way to the East.”• VOLUME 29, NUMBER 4 LEADERS 199 Grand Palaces Await You By Ajoy K. Misra, Senior Vice President, Sales and Marketing, Taj Hotels Resorts and Palaces, Mumbai

in Jaipur, and more recently the magnifi- cent Umaid Bhawan Palace in Jodhpur. The Taj Grand Palaces, which are “authentic living palaces,” are the most competitive proposition for the Taj, as no other group can lay claim to restoring and managing the most luxurious authentic palaces in India. This position will be strengthened further with the launch of the grand Faluknuma Palace in Hyderabad in 2008. For the last year and a half, we have been working to unlock the substantial potential that exists in our authentic Grand Palaces, in order to reinforce our intent to engage our customers in a mean- ingful way. This has resulted in a clear and Ajoy K. Misra exciting strategy of delivering exceptional, unique, and indigenous experiences that No other hotel chain can lay claim to a will dictate the growth and expansion diverse portfolio that reflects its name so across this category of hotels in India. completely as Taj Hotels Resorts and Palaces. The Taj group has within its fold world-renowned landmarks in the cultivation of greater and modern business hotels, preference and brand loyalty idyllic beach resorts and for the Taj. We will continue authentic Rajput Palaces. to expand our leadership in The Taj group was the this category while launching first in the subcontinent to the Faluknuma Palace in pioneer the movement of Hyderabad in 2008, hence cre- transforming original palaces ating a journey that will allow into luxurious palace destina- our customers to experience tion hotels. This started with signature service and grand the Taj Lake Palace in Udaipur hotels in India that cannot be in the early ’70s, and contin- replicated. ued with the Rambagh Palace The brand is all about providing customers with small indulgences, such as vin- tage car transfers, champagne We currently have three Grand heritage walks, royal cuisine, and the sim- Palaces that have been restored sensitively ple pleasures of our signature royal butler to reflect their historical significance and service – all this in the enhanced environ- heritage, yet each one is replete with every ment of “living palaces,” which speak of conceivable contemporary comfort. The history and heritage while being architec- Taj Grand Palaces are centered on opulent turally spectacular. The certainty of being and spacious accommodations and inti- in a royal palace is central to the Taj’s macy in an environment that allows its positioning around uncompromising, guests unrivalled comfort and privacy. bespoke, signature hotels.• We are committed to the creation of memorable experiences that will differen- Elephant polo at the Rambagh Palace, Jaipur (above); the tiate the Taj brand on the platform of the exterior of the Umaid Bhawan Palace, Jodhpur (center); “authentic palace experience,” resulting the swimming pool of the Taj Lake Palace, Udaipur

VOLUME 29, NUMBER 4 POSTED WITH PERMISSION. COPYRIGHT © LEADERS MAGAZINE, INC. LEADERS 201 Attracting IT Companies An Interview with Debanjan Datta, Managing Director and Chief Executive Officer, West Bengal Electronics Industry Development Corporation Limited, Kolkata

[Webel] was incorporated in 1974 with them very large. What makes the IT the objective of developing the electron- industry in West Bengal unique? ics industry in the state of West Bengal. West Bengal is home to India’s rich- The corporation, through its subsidiary est pool of qualified, trained, and skilled companies, was in the business of manu- talent with initiative, commitment, values, facturing various electronic components competence, and varied domain knowl- and equipment. edge. It has the necessary infrastructure With a quiet revolution taking place and is a dynamic socio-industrial growth in West Bengal, the information technol- environment. West Bengal offers plenty of ogy and IT-enabled services [ITES] indus- human talent, from a reservoir which is tries put down their roots firmly in line always being topped up with fresh minds. with the state government’s vision to posi- West Bengal is the fourth fastest grow- tion West Bengal as one of the top three ing state in India, in the post-reform years, IT states in the country by 2010. Webel and the recipient of the second-highest quietly broadened its activities from elec- inflow of investments. It is home to India’s tronics to information technology, and is fastest growing software technology park, now also the nodal agency for IT and ITES with more than 300 IT companies employ- Debanjan Datta of the government of West Bengal. Origi- ing more than 45,000 IT professionals. nally, Webel’s role was to attract knowl- Major players include leading multinational EDITORS’ NOTE Debanjan Datta began his edge-based industries on a global scale corporations and Indian giants. career as an IT Executive and has since and also to facilitate e-governance for the West Bengal offers abundant, high- served in various IT and management entire state of West Bengal. Webel’s prime quality power, low attrition rates, and a low roles in the steel, energy, and professional task now, however, is to create world-class cost of high-quality living. It is very well services sectors. A past board member of infrastructure and facilities, encourage positioned in the five key enablers for IT BAeHAL Software Ltd. and a member of entrepreneurship, and establish the insti- enterprise: talent, cost of operations, numerous industry associations, Datta tutions that will spearhead the future. infrastructure, policy, and investor support. holds a bachelor’s degree in mechanical Webel has successfully implemented What are your hopes and expec- engineering from Calcutta University and a number of remarkable e-governance tations for the electronics and IT in- a postgraduate diploma in business man- projects not only for West Bengal, but also dustries in West Bengal in coming agement from the Xavier Institute of Social for some neighboring states. The West years, and how do you see Webel’s Sciences (Ranchi, India). Bengal State Wide Area Network role evolving as the industry evolves? [WBSWAN] connects all district headquar- The state’s vision is to rank among COMPANY BRIEF The West Bengal Elec- ters, gram panchayat [local government the top three IT states in India by 2010 tronics Industry Development Corpora- bodies], and groups at the block level, and contribute 15 percent of the country’s tion Limited (Webel: www.webel and provides Internet bandwidth service IT revenue. In ITES, the state is targeting a india.com) is the nodal agency of the gov- across the state, IT education in schools, 20 percent share of business process out- ernment of West Bengal for developing and other things. Webel has implemented sourcing revenue. In IT services, it is tar- information technology and IT-enabled the first such network in the country, con- geting 12 to 14 percent of software ser- services industries and creating value for necting all 411 police stations in West vices exports. the state’s citizens. Acting as the single Bengal. A series of applications run on the Webel is the single-window support window support center for all the services network, such as a criminal tracking sys- center to key requirements of investors, required by IT and ITES investors in West tem and applications that permit messag- assisting with rental space availability, land Bengal, Webel develops infrastructure, ing and access to data at grassroots level procurement, telecom infrastructure, facilitates the clearance processes to track crime. power connections, building approval, required to set up businesses, ensures last- Our main competencies are IT educa- and Software Technology Parks of India mile connectivity, and assists the govern- tion in schools; smart cards for drivers [STPI] registration. Webel’s strategy for ment in all its e-governance projects. licenses, vehicle registrations, etc; elec- creating world-class infrastructure in vari- torate cards; e-governance; information and ous parts of the state through joint ven- Could you provide our readers with a communication networks; telemedicine; IT tures with several leaders, and producing brief history of Webel and elaborate projects; Internet service provision; braille “industry-ready IT managers” through on its mission? machines; and broadcasting. multiple initiatives, will place West Bengal The West Bengal Electronics Industry There are approximately 300 IT on a different platform, as one of the most Development Corporation Limited companies now in West Bengal, 50 of preferred choices for the industry.• 202 LEADERS POSTED WITH PERMISSION. COPYRIGHT © LEADERS MAGAZINE, INC. VOLUME 29, NUMBER 4