Tarapur s Troubles

March 4, 1972 Or take, again, the industrial sector. Much has lately been said about the fall in the industrial growth rate. In this context, the role of the larger houses as well as the objective of curb- ing monopoly and concentration of economic power have also come in for a lot of discussion. The recent decision to allow larger production from established capacities, for instance, has raised its own problems. The Company Affairs Ministry has objected to applications from the larger houses being cleared without reference to it. Problems have arisen also in regard to the working of the Monopolies Commission and the extent to which the Commission may inquire into inter-connections of companies belonging to large houses. Similarly, there are cases of partial clearance of certain applications while other essential matters have been kept pending so that the purpose of the clearance is lost. A case is built up for providing additional incentives, including extension of the system of development rebate, to promote investment In industry. The Finance Minister is under pressure to do something in this direction in his Budget, though there are also contrary political constraints to be reckoned with. The Economic Affairs Committee alone will be able to provide the guidelines on these issues.