NCM-JUNE 2014

OUR
VALUED
ADVERTISERS
IN THIS ISSUE ARE
G.D. J ASUJ A
Managing Editor
WHAT ARE
YOU
WAITING
FOR?
Editorial
7
When Politics Takes Precedence Over Economics
Aeon Chemicals (p101)
Amco Dyeing (p101)
Azure Fabrics Pvt. Ltd. (p101)
Chemidyes (India) Corporation (102)
Colorant Limited (III Cover)
Darshit Trading Co. (p9)
Ganesh Polymers (p99)
gangahemic@yahoo.com (102)
Inter Continent Chemical (India) Ltd. (I Cover)
Inter Continental Industries (p5)
Jay Ambey Textile Processors (p102)
Jay Chemical Industries (IV Cover)
Jyoti Laboratories (p99)
Kumar Textile Industries (p99)
Leo Rubber Industries (p101)
LS Auxichem Pvt. Ltd. (p10)
Mafatlal Food Products Pvt. Ltd. (p101)
Mars Exports (p99)
Meghmani Dyes & Intermediates Ltd. (p6)
Microgenix Specialities Pvt. Ltd. (II Cover)
Oriental Gums & Bio-Polymers (p99)
Rang Rasayan Agencies (p102)
Veeraj Associates (p102)
Worldtex Speciality Chemicals (p102)
I am supposed to write something related to textile and/or allied industries in
my editorial because this is a trade publication and writing on politics may
seem to be little misplaced. But I strongly feel that ultimately the political
class is responsible for the countrys economic, social and cultural position.
Any mis-step in todays highly interconnected, interdependent and conflicting
world can cause immense harm to the country. But the governance requires
making decisions and many times very hard and difficult decisions have to be
taken rather quickly to have the desired result.
I tend to look at what the future has in store for all of us, in general, specially
amidst rising geopolitical tensions in various parts of the globe that have brought
powerful nations head-on. The countries openly involved are China, Japan,
Vietnam, Russia, the US and the EU. China is involved in a maritime dispute in
the East China Sea with Japan and over the South China Sea with Vietnam
and the Philippines. Russian act of force in Ukraine has earned Putin the
enmity of the United States and the European Union and they have imposed
fresh sanctions on Russia. These sanctions have somehow brought Russia
and China nearer. On the other hand, the US has made it clear that it is imple-
menting its strategy of rebalancing to the Asia-Pacific by having comprehen-
sive partnerships and alliances (including military capabilities) with countries
like Japan, South Korea, Vietnam, the Philippines and Malaysia.
The current world scenario is clearly giving an ominous sign that the future
might be highly uncertain and fraught with hardship. Bloomberg has reported
that China is hoarding crude at the fastest pace in at least a decade, shielding
itself from supply disruptions and helping keep prices above $100 a barrel. The
analysts are busy decoding the message hidden behind this development. The
global tensions are creating much market volatility and also problems for mul-
tinationals that rely on these countries for manufacturing.
With Narendra Modi becoming PM, most Indians hopes have obviously sky-
rocketed. The international community, however, is feeling left in doubt as
well as hope about the economic growth under the new government and
also about the foreign policy issues particularly in light of the above-men-
tioned difficult scenario. Whether India will decide to be closer to the US-Ja-
pan-EU or the China-Russia group will be keenly observed. This will also be an
acid test for Modis governance on the global stage. In fact, this will also
impact the countrys financial and economic road-map in the coming years.
The current global scenario has intertwined so many countries, including In-
dia, in such a way that they may have to make their position clear sooner than
they expect in order to decide the direction they wish to move on in the best
interest of their people.
Lets all hope for the best in coming years.