SME Times News Bureau | 23 Jul, 2018
India is becoming more and more vulnerable to sudden policy change
risks, emanating both at the Central and state levels with some of
the well-known companies getting caught off the guard by issuance of
a government notification or two, industry
body ASSOCHAM said recently.
in truck axle load by the Centre and the Maharashtra Government
directive on food and beverages in the cinema halls are the latest
examples of the policy changes coming as a bolt from the blue for the
corporates. Likewise, if there is one sector which is prone to policy
changes and market disruptions, it is the telecom, running through
the entire value chain," an ASSOCHAM note said.
any amendment in rules should first involve stakeholders'
consultation before being pronounced.
chamber finds with concerns that even the big time organised players
are not prepared to face the fast changes which accentuate the rapid
disruptions being brought around by technology and emergence of
business paradigm, challenging the established models of
announcement of business roll outs across the broad band value
chain by telecom behemoth has shaken the entire value .... Somewhere
, a comfort zone had set in among the existing players. It is this
comfort zone which is being shaken and challenged by technology
disruptions by those with deep pockets," said ASSOCHAM Secretary
General D S Rawat. On
the other hand, the policy changes being brought, both at the Centre
and the States are coming not only from the sectoral regulators but
also the government departments, shaking the established players, he
in the truck axle load and food and beverages in cinema halls fall in
this category. Likewise, the telecom regulator has come out with its
recommendations on data ownership even as a Supreme Court panel is
going into the entire gamut. Even a Parliamentary Standing Committee
on IT is looking into the issue of data privacy and other related
issues, he added.
the companies must be more geared towards policy dynamics, the
industry chambers can act, as had always been the case,
as a perfect connect between the industry and the governments, both
the Centre and the states for changes in the policy dynamics. The
only issue is that there should be wider consultations before the
changes are announced. Maybe, the GST Council model is an ideal way
of staying dynamic while remaining predictable." the chamber