It takes five years for other countries to build aircraft carriers. Why does India take 20 years?

 It takes five years for other countries to build aircraft carriers. Why does India take 20 years?

Source: Indian Prime Minister Modi (Tuyuan: Xinhua)

Twenty years after the launch of the construction of the domestic carrier, the first domestic carrier in India has been in service with the latest news. Indian Lieutenant General Saxena, who is responsible for the production and procurement of naval vessels, said on the 8th that Indias first domestic aircraft carrier, Viceland, will be delivered to the Navy in February, 221 and is expected to begin service in 2023.

According to Hu Bo, director of the Center for Marine Strategic Studies of Peking University, under all conditions, the construction of an aircraft carrier takes about three to five years. However, from the start of the design in 1999, the completion time of the Indian aircraft carrier has been delayed repeatedly, even when only 30% of the completion was launched and then towed back to the dock. The road to service of the Viceland has been tortuous. India is unable to produce the right steel, gear box development and production progress is lagging behind... Many problems related to Indias national defense and shipbuilding industry foundations were exposed during the construction process.

As one of the core indicators to measure the scale and level of a countrys industrialization, Indias manufacturing added value in 2017 is about 392.3 billion US dollars, with a per capita value of 293 US dollars, which is only 11% of Chinas. Compared with Bangladesh and Pakistan, Indias advantage is also very weak. In addition, Indias manufacturing added value accounts for 15% of its gross national product, which is much lower than that of China, Myanmar, Indonesia and other neighboring countries. For India, whose economic growth has entered the forefront of the world, the problem of industrialization is an obstacle that India must overcome on its way to a modern country.

First, Indias land acquisition process is cumbersome, long cycle, and some small landlords form alliances, preferring barren land, but also overwhelming price, which makes the cost of industrial land acquisition in India rise, seriously hindering the promotion of industrialization. A recent example is that in April in southern Tamil Nadu, some residents and environmental groups disagreed with the governments land acquisition and road construction, which led to the abolition of a major road construction plan connecting the state capital and key cities in the central region. If the road is completed, traffic time can be reduced by half, which greatly promotes local economic development.

Secondly, Indias over-protection of labor rights and interests restricts the development of industrialization. According to the Indian Labor Protection Act, if Indian enterprises employ more than 100 people, they must obtain government approval to lay off workers. This regulation seriously restricts the expansion of enterprise production scale, which can not be expanded, the average cost of production will be difficult to reduce, and industrial upgrading will be more difficult. At the same time, in order to avoid the restriction of labor law, small-scale owners with less than 10 employees prefer to stick to extremely low labor productivity and restrict large-scale production.

Institutional constraints such as employment policy and land policy are the main reasons why Indias industrialization has been unable to enter the fast lane of development. Therefore, even if India has abundant cheap labor and land resources, Indias industrialization process is hampered.

After Moody took office in 2014, he began to solve two major problems: the introduction of the Land Expropriation and Compensation Act; the relaxation of some provisions of labor and land regulations, giving business owners greater voice, and so on. Modi also launched the Made in India program, hoping to increase the proportion of manufacturing industry in Indias GDP to 25%, which clearly defines the direction of revitalizing Indias industrial system. However, it is not easy to break through the vested interest groups. The amendment of the Land Expropriation and Compensation Act has been sniped by the opposition. The policy of giving entrepreneurs greater voice has triggered the largest strike in Indian history, with about 200 million people participating in the protests. For the Modi government, the completion of industrialization and modernization catches up with and surpasses the hidden reefs and dangerous beaches. (Dai Shangyun, Review Department of Overseas Networks)

Source: Overseas Network Responsible Editor: Yao Wenguang_NN1682