Our Chamber's 99th Annual General Meeting is due to be held on
10th December, 2004. As I prepare to lay down the office of the
President and hand over the baton to my successor, I look back
to the year with a sense of fulfillment for the achievements
as also the concern for unfinished tasks.

As the regional apex organization with regional focus PHDCCI has played the vital role  
by sensitizing the states in our command area on a number of issues crucial to economic
growth. The launching of state chapters of Punjab and UP demonstrates the resolve to
work in close partnership with the trade and industry. Some of the important areas
highlighted include industrial infrastructure, streamlining of procedure to improve  
investment inflows, identification of focus areas of growth in respective States,
micro level sub-regional planning, power generation, urban development, enhancement  
of civic amenities, promotion of exports etc. I am happy to say that in recognition
of the useful contribution made by the Chamber, the MP Government has agreed to give one 
acre plot of land free of cost for construction of PHDCCI office at Bhopal. I am also happy
that a solid ground has also been prepared for our forthcoming Centenary celebrations.

Looking at the other side of the coin, postponement of the induction of VAT to April 2005,
slippages in the road construction programmes, deficiencies in power supply to the industry, 
absence of any initiative in the field of labour law reforms are those few areas where
renewed efforts are required.  

The Chamber has also been active in organizing region specific events and I make a special  
mention of our brain storming sessions on rapid economic development in important
industrial sectors in the northern region. This gave me an opportunity of visiting many  
industrial centres and equally importantly interacting with members in our command area.  

At the national level the Chamber has played a key catalytic role during the year to build a  
consensus on a variety of subjects ranging from economic reforms, impact of budget,
priority to agriculture, amendment in labour laws etc all of which generated a  
wealth of information for members.  

A number of initiatives were also taken to promote international trade and investment  
during the year. The Chamber sponsored a high-level business mission to Pakistan which  
I had the privilege to lead. The positive response and personal warmth that we received  
during the visit would go a long way to enhance regional cooperation among South Asian  
countries in future. With this visit, we in the Chamber have taken a decisive step in the  
direction of restrengthening our dialogue with neighbouring countries and work jointly to
augment our trade and economic cooperation based on comparative advantage.

The year also witnessed the ushering in of the Common Minimum Programme of the new  
Government, which for the first time ever, has made an attempt to blend our social  
priorities with policies aimed at sustaining higher rate of growth. We look forward to  
implementation of the planned priorities so that it does remain only a wishfuI thinking.  
I entirely agree with the view that in a country with myriad social problems we have to  
work beyond achieving mere numbers in growth. Growth with social justice
shall have to be our watchword.

The estimates of GDP growth in the first quarter of 2004-05 show that the economy continues  
to perform well and growth remains buoyant and broad based. What is particularly  
noteworthy is that growth has been driven by dynamism in industry, higher than targeted  
exports and positive growth in the service sector. But there are glitches as well.  
The rise in inflation continues unabated and is causing concern despite official explanations  
and consolations, interest rates have started inching up, our forex reserves are  
posing the problem of plenty and the monsoon has been deficient this year.  
This certainly puts a question mark on the sustainability of our growth process and  
the effective distribution of wealth in the current year.

But despite the above, I would, through these columns, like to reiterate that now is  
the time for hastening the reform process. The economic and political factors are  
sufficiently conducive for the government to pursue reform- oriented measures  
and to complete the unfulfilled agenda which would provide the growth  
impetus to the economy. 

(Ravi Wig)
President