Why India is still not a Entrepreneure Friendly.
One of the major packaged fast food company who’s very popular product got banned few months ago because it was found unsafe for people to consume it due to inferior quality now stating in their advertisements that “their product was safe, their product is safe and their product will be safe.”
It is total mockery of the whole system that makes sure to provide favorable environment to both Indian and foreign investors to run successful business in the country.
Any sensible person with reasonable knowledge can ask these three simple questions – on what basis this product got banned, what all tests were conducted and finally who conducted it to declare that this product is unsafe. To everyone’s surprise now this same product without any changes got declared safe again by some other testing agency which the court has acknowledged and given a clean chit to the company to operate again.
Few more questions, why the previous body who declared the product unsafe is not challenging the court’s orders, why different outcomes of the test for the same products and finally, and interestingly, why the testing agencies were changed.
In this whole chaos and uproar, it is the consumer who got fooled and confused. No wonder if they further lose trust and are always doubtful about the authenticity of the systems that protect consumer’s interest. When decisions are made in haste and that too with strong nexus of bureaucracy and government the real purpose of creation and safeguarding of positive environment takes the back seat.
The double standards, unclear policies, weak enforcement of laws repels potential investors from India. It tarnishes India’s image abroad and put big question mark on it’s ability to provide safe and favorable environment to conduct business in India.
India with over 1.25 billion population and with one of the highest ratio of young population in the world will always attract new investors to capture the emerging market but the real question is not if the product is safe or not the real question is “Is India safe for investors to do business?”