ADI GODREJ :‘I am very confident about India emerging as a key power’
Interview: V Gopalan
There is renewed emphasis on India’s growth prospects. What the country need to do now to move faster in the growth ambition?
Adi Godrej: I have no doubt that the drivers to speedier and broad-based economic growth should be in place besides identifying the new elements for giving a new push to the key sectors in the economy. How do we make the process move? It depends on faster decision making and transparency in its implementation.
What the new thrust on social development means to India?
It signals a positive turnout. India’s growth in future will come not only from India but from foreign countries as well. It is a very strong development showing the potential and vision of Indian industry and the Country is proud about it.
We, no doubt, continue to fight basic issues like rural backwardness, poverty etc., But we should not miss the new image of India as an emerging market, as a fast developing economy, as an investing country because the benefit of all these new developments can also be fruitfully channelized to modernize agriculture, building up rural infrastructure, health, education etc. In this context I do not consider the hopes on India becoming a top emerging market as a mere hype. It is, in fact, a reality widely acknowledged. The question is how we are taking the opportunity before us.
Retail sector is projected to play a vital role in economic progress. How do you visualize the kind of transformations and its possible implication?
Well, more and more modern retail groups will come. With retail consumption expanding impressively the growth of modern retail business in the coming years will be substantial. The new urban culture has a strong orientation towards retail both for comforts and life style. When I say the retail business is poised for a big growth it covers the traditional retail segments also. Naturally there will be stiff competition between modern retail and the traditional segments. The competition is good for both and also the consumers. The competition will make the modern and traditional retail more efficient and quality adhering. The competition will ensure quality products at a lower price for the consumers. The transformations in the retail sector in the next 5 years will substantially enrich the range and reach. The Indian consumer will have wide choices and the consumer will be the king.
Retail preferences of people, especially younger generation is fast changing?
The younger generation is very passionate, forward-looking and growth oriented. The younger generation is earning more and their consumption is also more. Since they earn more, they are able to spend more and share of younger consumers in retail business today is substantial and it is bound to grow.
What are the major initiatives and plans of the Godrej Group for the future?
We are working on major plans. One is, we have to build a strong brand – a future ready brand positioning. Godrej is an household name in India with largest consumer base covering a broad spectrum of products. Currently, about 500 million Indians everyday use one product or the other from the Godrej Group. Having been successful here, we are now moving abroad to get new markets for our products. We have acquired companies in other parts of the world including Africa, Latin America, Indonesia etc., and we wish to have large consumer base abroad also.
Our business model is raised on the ‘consumer first’ philosophy. We strongly believe that giving the value for money and always living up to consumer expectations is key to staying ahead in business.
Finally, how do you assess the growth prospects of the country in the medium term?
I have no doubt that greater thrust in Governance, greater transparency and commitment to reforms. Further, proper social atmosphere is a prerequisite. Corruption is a big threat and it is important to fight and eliminate corruption, if we are to move forward. Overall, I believe that despite the difficulties and challenges, India has shown to the world that the Nation, with its great past and the power of the modern younger generation people who are shinning well in every sphere today, is well positioned to progress. Personally speaking, I am very confident about India emerging as a key power.
‘We strongly believe that giving the value for money and always living up to consumer expectations is key to staying ahead in business.’