Morning:
8°c
So Ratan Tata has finally come out against the British Government's reluctance to stump up funds to support Jaguar Land Rover. “My concern is that the Government doesn't appear to care about manufacturing,” the chairman of the group which controls the struggling automotive firm and Corus said at the weekend.
What confounds me is what made the usually shrewd Tata, along with most Indian commentators, ever think they would.
Ever since Tata first approached the UK Government for help last year, I've been struck by the confidence among India's business journalists and businessmen that some support would eventually come Tata's way.
Even yesterday, a very senior journalist told me that when push came to shove, the UK government would step in.
“Ratan Tata is now putting pressure on the Government. He's saying, Look, we made a mistake',” he said. “There are a lot of jobs at stake.”
Pointing out that the UK Government has not so far felt compelled to save jobs at Longbridge, Dagenham, Ryton or even Jaguar's own Brown's Lane plant failed to sway him, as did a brief outline of the bruising experience the UK Government had trying to prop up Rover.
Perhaps it's a hangover from India's days as a planned economy.
But I find it hard to understand how Tata or its advisers felt that a government which is willing to let foreign companies buy up most of its country's airports, ports, and manufacturing, would then throw subsidies at them.
* Does the sudden departure of Samir Bhatia, Barclays' managing director for India, mean Barclays is joining Royal Bank of Scotland in the list of banks who have messed up their India strategy?
RBS paid over the odds for ABN Amro India only to see the best bankers jump ship. As the regulator only allowed Barclays to open five branches, it tried to grow its retail business through credit cards.
But just tracking down credit-card holders is turning out to be quite tricky in India, and making them pay up is harder still.
* The exodus of expatriates from Mumbai is picking up steam, if the Bombay expats group's postings on Yahoo is anything to go by.
Nowadays, the messages are all about new homes for much-loved maids and drivers, empty flats to rent, and bargain basement furniture sales.
Activity on the site, which peaked in October and November last year at more than 370 messages, is now down below 200.
