Monday, March 5, 2007
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About Pictures. Their stories. Picstories.
We talked of IT. What is IT? It is the arbitrage between the per hour rate in the US and India. We have gone from zero to $20 billion in exporting software, employing about 1 million people in 10 years. These million people changed the brand of India, consumption pattern and gave us the confidence that we can do everything.
The arbitrage has narrowed but is still there. It will disappear in a few decades by which time our software exports may be $100 billion. From a million people, it will benefit 10 million people. If that is what has happened in software, imagine what will happen in agriculture.
Let me give you some numbers. Take potatoes, the most common food across the world. From Bill Gates to my driver, everybody eats potatoes. Now, plot the prices. Farmers in Uttar Pradesh and Bihar get about Rs 4-5 a kilo; in the Middle East, the wholesale price is about Rs 25-30 a kilo. In the US, Sam's Club, it is Rs 90 a kilo. In Europe, it is Rs 110 a kilo. The arbitrage is 1:20. If we get our produce right, and if the US market is opened up, you will be surprised how quickly we reach $20 billion.
The food market is much bigger than the software services market. And the money goes straight into the hands of millions of farmers. The spinoffs are enormous -- jobs, houses, durables, a whole new consumption boom will start in rural areas.
- Mukesh Ambani
For full interview pls log: http://www.rediff.com/money/2007/jan/19inter.htm
2 comments:
hi, the pic you have put is of Narayan Talao and the mandir is Narayan Mandir...it is NOT Rameshwar mandir. Rameshwar Mandir in Vengurla is near Nagar Vachanalaya. The pic shown by you is taken from Hill popularly known as Nimujga.......please rectify your mistake.....Thanks
Thanks Jayant. This info was provided by an authentic source. So I had no reason to recheck facts.
I am hoping you have got them right and making the changes.
Thanks again.
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