Need to continue trade with China, ASEAN country better than India in ease of doing business: Bajaj
Rajiv Bajaj, MD, Bajaj Auto, has supported the continuation of trade with China. They say that the raw material should be taken from where it is found at the lowest price. Bajaj said this on the second day of the three-day Asia Economic Dialogue 2021. This virtual event is organized by Pune International Center and the Ministry of External Affairs. Bajaj also said that ASEAN countries are better than India in terms of ease of doing business.
If you do not have a business relationship with China, you will be deprived of special experience
Bajaj said, “We want to consider ourselves as a global company, so according to me, in terms of culture and business, we should not only achieve overall by increasing the participation of women in the workforce, but we should also need to make the dealer, distributor and supplier base global. I believe that we should continue to trade with China. If we do not have business relations with such a large country, then for a long time we will find ourselves incomplete and we will find ourselves weak by being deprived of specific experience.”
Two-way commitment is required for the auto industry to have a strong supply chain
Bajaj said that in order to provide the final product to the customer, two-way commitment is required in the smart supply chain that the auto industry needs. He described stability in the supply chain as another important aspect and said, “I am saying this in view of what happened in June-July, when the government (whatever the reason) was particularly impeded on imports from China. I think it was like hitting an ax at own feet. Because what is not manufactured in the country, how can one gather it overnight for product delivery in domestic or foreign market.”
Goods should always be taken from where the cheapest is available
Regarding where it is cheaper to get goods from China or Thailand, Bajaj said, “We should always get the goods from where the cheapest is available.” He said that in the coming years, the company will expand in Asia in a big way. He wants to compare countries on the basis of key components of production. He said that we have compared India, Vietnam, Indonesia, Thailand and Malaysia in terms of land, labor, power, logistics and legal system.
It is easier to do business in ASEAN countries than in India
Bajaj said, “To be honest, in my analysis, we are not very happy about the result we reached about India. To a limited extent, whatever our experience says, it is easier to do business in ASEAN countries than in India.”
