Interview: Ram Prakash Gupta

INTERVIEW: RAM PRAKASH GUPTA, UTTAR PRADESH CHIEF MINISTER
''We want private sector in all areas''

''So, what can I do for your state, sir?'' asked Ratan Tata, the chairman of Tata Industries. After an hour-long discussion with Uttar Pradesh Chief Minister Ram Prakash Gupta, on the needs of the state and areas where the Tatas could invest, Tata promised to get back in a month. At the second roadshow by the state government in six years, Gupta fielded similar questions from the who's who of Indian business-from Dhirubhai Ambani and Harsh Goenka to Subhash Chandra of Zee and the chiefs of the financial institutions. At the end of it, Uttar Pradesh was richer by Rs 25,000 crore worth of investments. Flush with success, Gupta told BT's Roshni Jayakar: ''It's been beyond expectation.'' Excerpts:

Q. Uttar Pradesh is known to be a sleeping giant. How are you trying to change that image?

A. We've signed several Memoranda of Understanding (MOUs) here. The message that we would like to spread is that Uttar Pradesh is waking up. That the state administration is not corrupt and inefficient. (That) we will take quick decisions. We are introducing a culture favourable for promoting industry. The issue is that the private sector is scared of coming to the state. We want to tell them that it is not as bad as they think and demonstrate it to be. We wish to be seen as an efficient and competent state. I have set in motion the process of reforming our administration, police, and the people at large. There is already a change in sentiment in the administration.

But Uttar Pradesh is known as a BIMARU(Bihar, Madhya Pradesh, Rajasthan, and Uttar Pradesh, abbreviated as BIMARU, which also means sick in Hindi) state.

We were never a BIMARU state. In 1952, the state's per capita income was on par with the national average. It was during the first three five-year plans, when no investments were made in the state, that the average rate of growth dropped to 2-2.5 per cent. Now I am trying to spread the message that UP BIMAR(U) nahi hai, jagrut hai. We will have to compete with states like Maharashtra and Karnataka. And the response so far has been good.

You mean the private sector is willing to invest in the state?

Everyone is keen. They are asking: ''Where can we invest?'' For those looking at agro-based industries, I have suggested potatoes. There is frequent overproduction of potatoes in the state and then prices crash. We are also developing agro-processing parks in Saharanpur, Haldwani, Allahabad, Hapur, and Lucknow. Parle, which has a unit in the state, wants to expand. I discussed with Harsh Goenka, the Chairman of the RPG Group, the possibility of setting up a retail chain and investing in bio-technology and power. UP ranks number two in software exports. Software technology parks are already functional at NOIDA and Kanpur and more are to be set up. An infocity is proposed at Kanpur. We are considering setting up a film city and have urged Zee to look at investments in multiplexes.

Uttar Pradesh is privatising power distribution. What next?

The process of privatisation will extend to power generation. Next on the agenda is transportation. Our policy is to get the private sector in all areas. The state government will come in only in areas where the private sector will not.

Spreading the message is one thing, but what about implementation?

We have been working towards that. Last month we launched the School Chalo campaign to encourage children to go to school. We announced the population control policy and, from October 2, we will start a campaign that will spread the message from village to village that if we want to remove poverty we need to reduce population. Such campaigns and policy initiatives will change the environment.

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