Tata says tata to colonization

But Mittal is apparently still interested.

Tata formally withdrew its $3 billion colonization proposal from Bangladesh. They wanted to set up multiple industries if the government ensured them a gas supply despite a national gas crisis and disregarding all the other local companies that have been wanting more gas.

The Indian corridor
This withdrawal is also on the heels of India's corridor policy -to use Bangladesh in its transportation route to Nepal and Eastern India. But doing very little to help Bangladesh in the process. The government was right in this aspect of rejecting the deal.


Is it not funny that India, despite being a strong player in this region is detested the most in the region? It tries to muscle its way in one way or the other.

Bangladesh is too nationalistic, India isn't
The first thing to come out of the mouths of the FBCCI president, Annisul Haq, is that how this deal will 'tarnish' Bangldesh's image. Bangladesh is too nationalistic. But India is not, except that they had 3 decades of a nationalistic policy that prevented foreign companies to enter their country. They nurtured their own industries before they lifted their policy.

Industrialization vs Microlending
But Bangladesh does not know how to deal with its own people. It must open up, not to the world, but only India to declare itself a free-trade country. It also gets numerous visits from Gandhi Jr, and other Indian officials who are there to scout out Bangladesh's success in microlending whereas India is satisfied with its large scale industrialization and technology accomplishments.

No India does not want to make any sort of agreement regarding this advantage they have. All Indian officials are happy enough to observe the success of microloans. Bangladesh's strategy should be to expand micro loans to create a hoard of farmers, chicken farms and fish hatcheries. India will take care of everything else. India will take care of industrialization while Bangladesh continues to live in the Middle Ages.

Message to Annisul Haq, (he made his money on garments btw): Maybe power plants and fertilizer goes to Tata. What is preventing Tata from dumping another $3 billion on garments?

Final message
I am not criticizing India, I am just saying, India has moved beyond the feel-good economics of microlending to a point where their companies are setting up base in Bangladesh. Bangladesh can survive on microloans while India will rake in the billions. Unless Bangladesh changes its outlook and goals, it will continue this way. There needs to be more incentives for businesses in Bangladesh to expand and make money.

In case you were wondering, the pictures are of Indian Generals: Ratan Taka, Mittal, Ambani 1, Ambani 2. Bangladesh hardly makes the list or takes the pride of their businessmen. The Bengali tiger tears them to shreds whenever possible. India just likes to promote them. Now do you see the difference?

Foreign cattle/slaves get deported

Lets see what makes sense here. Kuwait's inflation is at an all time high of 11%. Laborers revolt (although they revolted violently and I don't support this type of street rampage) to force Kuwait to change its labor laws. The minimum wage is significantly raised to 40 dinars. Then they finally deport 217 (and still counting) workers back to Bangladesh for causing this.

The man pictured on the left, took out a loan for his travel expenses, cannot contain his emotions as he was forced out of Kuwait, with a huge debt.

What caused this rampage
In short, the food crisis. Kuwait's inflation is to blame a little, but the woes of Bangladesh continue to put pressure on its laborers abroad. Poor families just do not have enough to survive the high costs. This ultimately led to the worker's revolt. Also Bangladeshi laborers are used to revolting and burning down garment factories. Kuwait is nothing new to them, its just a procedure that they must follow.

Revolt, especially violent revolt, seems to be a Bangladeshi national past time these days.

What it means for the rest
Revolts will happen soon if prices are not adjusted to the prosperity that the middle east is gaining from this labor. Currently all foreign labors are treated, not like second class citizens, but like cattle. They have their own compounds and are routinely segregated.

Similar situations will follow because Kuwait, possibly under international pressure, caved into the demands (China is the good guy these days because of its benefits and the Olympics). Kuwait also is very inept in dealing with revolts, because lets face it, they have never faced a mass uprising because they never had the population 'mass' to begin with.

Soon these revolts will happen in other Middle Eastern countries that have this huge mismatch, and also because economic conditions for the poor get worse in Bangladesh every year.

The Decisive Quote
Asked about implication of Kuwait's new decision, Expatriates' Welfare and Overseas Employment Secretary Abdul Matin Chowdhury said implementation of the decision does not mean a stop to hiring workers. Kuwait now prefers hiring skilled workers, he added.

Something strikes me as wrong. When did Kuwait prefer 'skilled workers'? Does Kuwait have a software/engineering industry that I am not aware of? It has oil, and oil is a labor intensive project.