IT HAPPENS ONLY IN INDIA,
GREAT JOB MR. PARMAR
it is good to eat as many as vegetables and fruits (totally vegetarian), but my aurvedic doctor asked me to stop eating every...
'What's good for the West is too good for India' seems to be the motto driving multinational automobile majors. Or else why would they dump Euro ii compliant cars in India, and at the same time introduce their state-of-the-art Euro iii and Euro iv versions in Europe and the us?
Sample this. As a part of the rating exercise, grp collected data from various sources on 10 passenger car models of multinational companies (mncs) being sold in India as well as the uk. Their Indian versions were found emitting 42 per cent more carbon monoxide (co) and 68.6 per cent higher hydrocarbons and nitrogen oxides (hc + nox). Worse, the mncs are unlikely to upgrade their technology till 2005, when the domestic emission norms will be upgraded.
To be sure, today's Indian carscape is incomplete without these conglomerates. They have integrated themselves with the industry and fine-tuned it. But project findings for most key parameters reveal that contrary to expectations, they are either only marginally ahead of their Indian counterparts or on a par with them, with their products conforming to the same environment standards. This, in effect, explodes the myth that mncs would emerge as the vehicle for the auto industry's overhaul.
For instance, some European carmakers intend promoting diesel vehicles to meet their commitment to reduce greenhouse gas emissions. This may be relevant for the West, where particulate pollution is not very high and the prices of diesel and petrol are same. But in India, the policy can have a disastrous impact on public health. Diesel vehicles emit suspended particulate matter, which is a major air pollutant in urban India. Then there is the question of ethics. Diesel is subsidised and should not be used as a fuel for passenger cars that are owned by the relatively affluent sections of society. The mncs' low score in terms of corporate environment governance can, therefore, be attributed to their failure to customise corporate plans with an India-centric focus.
Given that mncs had a head start in terms of capital, technology, reach and number of years in the industry, they were expected to emerge runaway winners. But the best they could manage was 3 leaves -- a category in which Indian companies also figured and which was well below the highest honour of 5 leaves. The global players use India as a dumping destination for obsolete technology. This may well be the reason for their average performance.
"Our company is different. We are selling the same car in India as well as Europe," contends I K Lee, director, production, Daewoo Motors India. But figures speak otherwise (see graph: Double standards ).
Some automakers feel hamstrung by local constraints. The latest Euro iii and Euro iv models of internal combustion engines cannot be launched in India because of the low-grade fuel sold in the country, they aver. Another green option -- hybrid vehicles -- known to be successful in developed markets like Japan, is unlikely to attract the Indian consumer owing to the product's exorbitant prices.
When queried on the outdated technology issue, Aditya Vij, managing director, General Motors India Limited, says, "We manufacture cars strictly in conformity with Indian norms." In his answer lies the crux of the problem: India's less stringent environmental regulations that give mnc auto giants a licence to pollute.