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      Last year there was an excuse that there was with no sufficient time  
 with the Government to incorporate far reaching changes in the last year's budget.
It was more or less an adhoc budget.  It was promised that the next budget would
be all that would suffice the need of the day.  Now that time has come. It is
time now to examine how far the current budget meets with the fulfillment of the
wishes of the People at large.

 Before that we will have to go to examine some bare facts, some background
under which the present Government has come to power last year. The third front, the
allied, are all on their feet to embarass the present Government at the first available
opportunity.The Ministry is working under a tight schedule. It is not easy for them
to take hard decisions. World reports indicate that the present Government was on
probation. It is astonishing that it has been able to perform quite efficiently under the
worst of the situation that has arisen in the history of the country. World reports further
indicate that general election were around the corner any moment. A fresh mandate
at the hands of the pepole will be necessary for a stable Government to come to power.
It is a matter of time. Any moment the unfortunate forecast can happen. In the existing
circumstances, would a prudent ministry risk to invite the inevitable disaster? 
It would prefer to remain in power by just dilly-dallying the present problems
and pass the time. We have to recall the fruitless, stormy last budget session. Government
would not want to lose face by compromising with the opposition parties by withdrawing
the proposed changes in order to pass the general budget.

 Despite all the odds aforesaid mentioned, the present Government has no alternative
but to take some hard decisions in the areas of:

 l. World-crude oil prices are at a record high level. Any rise in the prices of
petroleum products will give the opposition parties an upper hand. An attempt has been
made in the budget to reduce the import duty on crude-oil.  The excise duty on petroleum
products is also reduced. It will be in the fitness of things to completely prescribe
specific rates of duty on petroleum products in place of advalorem rates of duty on such items.

 2. Some new taxes are warranted to meet with the deficit financing. Government
can not afford to do so. The opposition will not allow to let the budget pass.
It will have therefore to be a budget without taxes. Is it wise to have a wide gap
of defiicit financing?

 3.  The Banking system has failed. All the nationalised banks, co-operative
banks are proved incompetent at the hands of private banks that has mushroomed on
the horison. Private banks have provided satisfactory service, instant funds to
the people.

 4.   The vicious circle of rising prices will need to grant additional
dearness instalment to the employees. From where the funds will come?

 5.   The Defence Ministry, Railways Aviation ministry needs funds
for expansion and renovation of outdated infrastructure and goods.

 6.   All the staes of the country have asked for more funds from the Center.
From where will the funds come?

 7.   The 10th Five Year Plan schemes have to be completed.Where are the funds?

 8.    The Proposed change-over to VAT in April this year does not seem to be probable
in light of the stand some Staes have taken.

 9.     Many changes have been proposed in the Service tax area to cover new items. They
will come into effect after the budget is passed and becomes an act.

 The country is in the worst of the situation in the history of its life since
Independence. The FM will have to be very tactful and restrained in his approach. This is
the test of his diplomacy. We all wish him the best of luck for everything.      

Government recently anounced a number of initiatives designed to help country's textile and apparel industries to better compete in the challenging global market-place. The aim is to encourage the textile units to shift to higher value added products of superior kind and quality, and to focus on niche markets and improve productivity. The Textile units will be allowed to import project-components including equipment and machinery acquisition for modernisation of the existing plants.

Government will grant initiatives for the textile and apparel industry in millions of rupees over the years and will continue to increase the level of such assistance for future years to come so as to put them in a very comfortable position in competition with China and Pakistan. A worker in China and Pakistan puts in, on an average, much more production output than an Indian-worker. This ratio has to be reversed. The worker's outlook has to be changed.

Machinery has to be operated at its optimum capacity. Un-interrupted power supply, non-interference of trade-union activists are necessary to achieve to double the present production.

Machinery howsoever modernised it may be, it is being operated by employees. The staff plays an important role in achieving more output. Automatisation and sophisticated tools and machinery will help the zealous enthusiastic worker to double the existing production. An atmosphere of harmony dedication to duty, honesty punctuality and discipline for all involved in this trade is the need of the day. Cotton, cellulose, non-cellulose fabrics have to be eye-catching from the wearer's point of view.

The handloom sector has to intensify its drive to put into market higher value added superior kind and quality products in the market. They have to devise means to put in something original and new to the buyers. Production of circular knitted fabrics has to be similarly intensified. Woolen and Silk fabrics apparel have to be so presented before the public that at the very sight of it, such apparel secure a place on the spot in the buyer's mind.

The United Staes, China, India, Pak and Uzbekistan are five major cotton producing countries in the world. USA has multipled its cotton production by using modern techniques and world organisation directives regarding use of fertilisers and modern methods of farming and use of pesticides to protect the crop. We have to concentrate on increased production in light of advanced technology and methods and cover more area of land under cotton-plants cultivation. World-area, under cotton cultivation is 36 million hactares of which India cultivates in 9 million hactares of its agricultural land i.e. 25% of world area of land under cotton cultivation is in our country.

World production of cotton is 25 million MT out of which Indian Production represents 4 million MT i.e.16% of world's cotton production. The Cotton Corporation of India with its offices in new Bombay and regional offices in almost all cotton growing states regulate supervise and handle all cotton transactions in and out of the country. We are heading towards an economic revolution. The present Government has put its finger on the right spot by revising the schemes and priorities in the rest of the Tenth Five Year Plan.

We cannot afford to remain complacent or unaware of world happenings. We have to march along with them. The present Government has been able to create an atmosphere of trust peace and means to clear the obstacles and expand business side by side, in an attempt to solve all important national issues. Public Co-operation is the need of the day. The machinery has been set moving. Let it move. Do not allow it to derail now. It will have a very very disastrous effect on our lives if it is slowed down or minimised in its size. The export of gold jewelery and diamonds is on a rise.

Our exports of wearing apparel has favourable market conditions, world-over, so as to double the quantum of our exports to the world-countries in the coming years.

The Government is planning to form a National Tax Tribunal with high powers to solve the large number of trade, duty disputes and other issues. This is a very healthy sign and it is hoped days of smiles on our withered faces are not far off. Government alone can not do everything. The people have to come forward to put in efforts so that Government plans and policy becomes fruitful to all.

Our Import-Export policy book is voluminous, cumbersome,heavy. We have to come out, of the play of words. The game lies in its effective implementation. By mere mis-description of the goods under import-export as the case be, there are scams after scams. But our eyes do not open. Our import-export and foreign trade is governed by a few houses for years. They dictate terms to the Government. This situation needs a jolt, an about-turn with radical changes to bring about speed in this area. Much needs to be done. Fast track-powers are to be delegated to a few selected loyalists to meet with the world pace of import-export and foreign trade.

Countries of the Asia-Pacific like South Korea are doing wonders in the field of electronics.Samsung Electronics Co. besides being its largest, is the world's second biggest semi-conductor maker followed by Intel Corporation. It vies with domestic rival LG Philips LCD Co. for the top spot among manufacturers of liquid crystal displays. (LCDs.) This electronic giant has doubled its R&D jobs as it builds on success in TV and cellphones. Newspaper reports indicate that China's export of passenger cars soared by two hundred percent on a surge in sales of small economy models to neighboring countries. Its export of parts of vehicles, complete sets of parts for assembly at site of destination also far exceeded its other vehicle exports. Japan Taiwan Korea Singapore Hongkong Shanghai have achieved great heights in the matter of foreign trade, import-exports. We have to follow them.

The attention of the Finance Ministry, these days, is focused on the future budget. The Commerce Ministry is also on the move. But both of them might have to take a trip to the world of Reality. Dreams cannot be sold forever. You have to come to Reality. Public awareness is felt. Do not miss the bus. You have to fulfill the promises you made. There is little, or, so to say, no change whatsoever in the state of affairs of the country, before and during the last year and a half of governance.

Based on the familiar tale of a young kitten, who believes the sky is falling. It so happened that on its roaming around the trees, in search of some adventure, the small kitten was struck by a fruit falling from a tree. In the entire narration, the kitten is at the center of a global crisis which had pulled the alarm bell that the sky was falling. The kitten described the event as a big rock from the sky falling which caused it to hit the alarm button. Public opinion can be like this. There are instances of kingdoms lost on small issues. Do not give rise to small issues to enlarge. They can bring about disstrous effects. Public anger can prove and do anything.

Global trade is advancing in leaps and bounds. Asia-Pacific countries are heading towards great national progress. Forget about China and Japan. It is an accepted fact that none can beat China today. All are awed at what China gained especially in and after the nineties. Today China is the world leader. All criticism about China's human rights-record, and lack of democracy etc. is forgotten and forgiven. All bow to the Might. China is the Might today. Might is always Right. Its economy has turned sturdy despite floods earthquakes, hurricanes, other disasters which are rampant in China. There is no effect whatsoever of natural calamities on its economy. We have to learn a lesson from China. The leaders of this nation were busy building up the country for future development, silent all the time, consolidating its basic infrastructure on war footing.

It is reliably learnt from authentic reports which indicate that it would be advisable for all countries to settle their disputes, gain trade concessions with China now a days. Because China is anxious to see that 2008 Olympics is over and till that time, no incident of controversy should mar its inauguration of World Olympics Games at 08hrs, of 08th day of the 08th month of 08th year of the century. Thereafter it would change itself to show its strength and dictate issues on its own terms and conditions. Therefore the sooner is better.

All these years our Governments have blown bugal-songs of their achievements. On the other hand China was busy all the time, in building, consolidating the country by providing modern infrastructure on priority basis. Our country is lacking in infrastructure in every field. We have no infrastructure as such. It is now too late to start all over again. Moreover it is a costly game. Wherefrom the money will come? For the past fifty-eight years nothing has been done. Everything, every construction is over-due for replacement. Bridges, roads run-ways have outlived their life period. All our money was wasted in fruitless schemes, plans and projects from which middlemen, party workers got their share and flourished at our expense. A sort of jungle of mal-practices prevails. Old habits die hard. The tendency to abuse public money is not forgotten. Strict measures are over-due. Otherwise it will be too late.

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Geographically our entire country is devoid of natural barriers,boundaries except in the north by the great Himalayas and the Pamir. Elsewhere our lands are joined, inter-connected with Nepal, Bhutan Bangladesh, China, Pakistan,etc. Our sea-shores are watered in common by the Arabian sea, Bay of Bengal etc. with Ceylon Lakshdweep, Pakistan, Bangladesh Burma etc. Their inter-dependence is well demonstrated economically over years; import of one country being in many instances the exportable products of the other. Above factors point to the mutual advantage of close co-operation amongst these nations. A compulsion has now come for each of the country to improve their relations with neighbouring countries and forget the old animosity,differences in order to survive in the 21st Century. If we examines the pages of history, the Aryavart was spread up to Gandhar (now Kandhar) Afghanistan,upto Burma,  Indonesia Java Sumatra and all those places. Gradually they were all divided for political considerations.

In other parts of the world, in Europe, same type of situation prevailed. They have formed the European Common Union. In the Western hemisphere, from the top of Alaska to the tip of Argentina, a free trade agreement is in the offing between USA, Canada Mexico, in all 34 nations, including Latin American States. In Asia-Pacific there exists a trade- union of China Japan Taiwan Korea Australia New-Zeland etc.Let us eamine our import-exports.

Services-export of our country is 20% of our total exports. It is over and above the foillowing.

Our exports comprise of : Agriculture.= 20%

Gems and Jewelry= 20%

Cotton,yarns,Tex.fabrics

Apparel,ready made

Garments.= 20%

Cereals= 4%

Handicrafts= 4%

Ore and minerals= 4%

Leather goods= 4%

Marine products= 3%

Drugs,Pharaceuticals

and Chemicals= 2%

Dyes Coaltar chemicals= 2%

ElectronicGoods= 2%

Tea= 2%

Coffee= 2%

Crude&PetroleumPro.= 2%

Miscellaneous= 9%

Most of the exports are to European countries, USA Germany Belgium Russian countries etc. Our Exports of wheat was 5 million tons last year. The  exports of baasmati rice was also 5 million tons. Still there is tremendous scope of our exports to South America. At present our export goods percentage to South American countries is meagre half percent. Now let us examine our imports. In the field of imports we import crude oil about 80% of our requirements from various countries. Edible oils, industrial machinery, spare-parts, raw materials for finished goods, import of gold for jewelery and other items are in small quantity.

Some big countries do not want India in the race for captainship of Asia. All sorts of rumours  and ill-talks are spread highlighting inadequate infrastructire and inner factions of communities etc. We have to go ahead. We had come alone. We have to go ahead alone. Do not care what other say.

There are some elements in the country who believe that a borderless confederation would generate organised crime, to spread across our borders, and that our police and other law enforcement agencies will not be able to cope up with problems arising out of it. Each country has its own definition of crime. This will give birth to crimes,different procedures, different systems of criminal justice, different forms of political accountability. As against this, efficiency of police administration would increase, on account of wide range of sources of information, available to them from member countries. As it is, hundred percent prevention and repression of crime is hard to achieve. At best it can be minimised. For all this we have to have a clean transparent police administration without interference from higher ups.

Air, Sea, and Land Transport is crucial for commercial economic cultural exchanges. This sector accounts for ten percent of of our country's GDP, employing millions of people & assets,engaged in transport business. All our neighbouring countries have to promote technological innovation in transport sector including telematics application. In the matter of road transportthere are large number of individual truck owners unsupported by any sound organisation to protect them from road safety. This needs to be looked into. Good roads are a must. International highway system has to be adopted on lines of European countries for speedy and efficient movement of cargo and passengers through out the confederation. All this is fraught with risk and problems. But a way has to be made. If there is a will, there is a way.

Our neighbours have also realised that mutual import-exports, status of favoured nation is necessary to survive in the 21st century. We hope the new Government gives it, a try atleast.Some countries do not want India to lead. All sorts of misnomers are spread of two faces of India, the real poverty, lack of  education and lack of natural resources and infrastructure are prominent among them. The world-Newsreports forecast that there will be chaos for ten years.No strong government would come to power.

There is no master to guard the treasures of the country.There is no one who can say 'No' or stop them.  Sky is the limit. Almighty may save us by some miracle. The President and the Judiciary have a tough time to bear the brunt of everything. The Constitution has tied-up their hands. In such a situation the Auditor & Comptroller General, intelligence units, law-enforement agencies, media, public can be their hands.Let us hope for the best. This too, shall pass.

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1. The FM deserves to be congratulated for meeting half-way in putting off the Truckers'-strike.

2. It is also very heartening news to know that the FM has promised to redraft and simplify the  Service Tax Act. In fact, the levy of service-tax, in an underdeveloped country. like India, is anunjust levy, if not impossible to implement. The Constitution writers had thought fit to levy it after a period of fifty years, presuming that by that time the country would have satisfactorilycome out of the status of an under-developed country. This has not happened. So levy of service-tax also should not happen. Anyway. The Government has left no field uncovered in levying the taxes. Taxes are the tears of a billion people. They are sacred.

3. "Coming events cast their shadows before."

4. Olympic Events and such world-gatherings prove useful, from the point of view of contacts,  general gossip, over and above the excitement of results of sports-events. At Athens 2004  Olympic Games, dignitaries from the world over had gathered. It is reliably learnt that one nation- a world-power, has plunged into a global monetary-financial collapse, worse than any financial- crisis we have ever witnessed. This will bring in world-wide rescession. Our country is facing similar symptoms. Purchasing power of the people is dropping. Now is the time to strengthen the hands of the party in power. Forget all your ambitions. Forget all your differences. A time has come for all political parties to shelve their differences. Do not put bumps. Do not put road-blocks. Do not organise strikes.

Whatever the present ruling party is, give them a chance to do something. Our very existence is at a stake. We as a nation, today, stand at the thrasholds of breaking up- at its worst of the circumstances of its life of fifty-eight years. A sort of national calamity is in the offing. Emergency measures are required to combat it. United we stand, divided we fall.

5. The Government has to take measures - the country has to make a U-turn, we have to continue to remain a great producer-nation; do not forget we have one billion mouths to feed. We were able to push through the mechanisms of international, monetary-financial and free-trade system.

It is our ill luck, we are about to largely destroy our system of agriculture and industry by natural calamities like monsoon failure, and strikes and boycots. The states have  to give up their regional interests and agree to link our main rivers for the sake of prosperity of the country. Our achievements which had been the objects of envy of many a world-nations, are about to be lost in vain. Some big-power is interested in magnifying our miseries, to prove that they were right in their forecasts about us- about their ill-spoken predictions about the fate of our country after Independence. According to them, we were not fit for Independence. They may be true in propagating that our farm-houses,industries our health system, our education system,  the basic economic infrastructures in all fields have been ruined and mismanaged. We have to make a collective effort for this.

We have to accept this stricture as a challenge. To some extent they are right. Nothing is impossible if we stand united.

Let us all give it a try.

6. The Government has to assert itself, the power of the State- to put, bankrupt private financial systems, all the PSUs, various Boards, into receivership, in order to re-organise the entire set-up. We have to set-up a system of political-economy suitable to the needs of the country and not as per the guidelines laid down by the world-bank. The Air-India, Indian Air-lines, ONGC, Railways, Post & Telegraphs, Telephones, all state-owned-corporations, Boards, are bankrupt. Overheads are mounting. They are dead elephants.  Accept this reality. It is painful. Restructure the entire set-up- small but compact. All co-operative banks have to be winded up. Formulate a powerful monitoring system. You should know everything. It is your-our money they have played with. Now never. No more. Put an end to all these cases of mis-appropriation of public money. They have to be accountable for their failure to protect public- money. Everyone in the line of heirarchy is responsible in respect of all the above fields. They have to be dealt with firm-handedly. Put all these details in the newspapers. Let the people know them. This is a punishment. People shall boycot them as swindlers of peoples' money. Hand over this task to the Supreme Court and the High Courts. They can set-right the affairs of the country. That is only the solace left, that the Judiciary is there. Touchwood.

"People get the Government, they deserve." = Winston Churchill in 1946.

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The Central Government, State Governments and local bodies jointly and severally earn Rs. 14- from sale of one litre of petrol. The car-drivers, Riksha-drivers, two wheeler drivers,public vehicles drivers are attacked from all fronts. Excise tax sales tax road tax municipal tax are paid when a new vehicle is purchased. Loan Instalments with interest are a headache already. Traffic tickets are a new burden. Vehicle insurance rates have been increased many-fold. Thefts from vehicles is now a routine. Cost of tyres and component parts are rocket high. Petrol-adulteration, theft of LPG from cylinders are common. Petrol pump-boys play mischief. In such a tense situation, it is a pity that the Government has been earning from sale of petrol diesel kerosene, LPG.

When crude oil is imported, it bears import duty at 20% adv.(now reduced to 15%). On arrival in the refinery, such crude oil bears an oil-cess on the basis of weight of crude oil received in the refinery for refining. The refinery collects around rupees ten per litre for refining. When the petrol diesel or kerosene is cleared it bears excise duty at 8% advalorem. The state Government collects sales tax at 6% and the local bodies like municipalities collect 2% as octroi-entry tax, plus transport charges at all stages.

The Petrol Pump charges his commission for sale of such items. A stage has reached now that further rise in the prices of petrol diesel or kerosene or LPG will force us to stop using them as a protest against heavy burden of taxes on items of essential nature. Rise in the prices of such essential commodities has given birth to an all side inflation on corresponding items of essential nature in day to day life of its people. Living has been worthless for 80% of the population of the country. But our Government does not awake from its sound slumber. Half-hearted measures have not helped. One barrel of crude-oil weighs 42 gallons(140 Kgs) of crude oil. Recovery of petrol is about  21 gallons( 69.lts) in a barrel of crude-oil. There are other bye-products like napthelene, bitumen tar asphalt. They are taken into other usage. Nothing is lost except evaporation-loss.

Prosperity and Progress of China is today due to its domestic finds of Mineral oils in China.  China has turned out to be an important oil producing country in the world market. Russia  had lagged behind in its oil production after l992. There are signs of recovery of oil at old standard in Russia from 1998 and onwards. Olden days of prosperity have returned in Russia.  It is only, unfortunate,unlucky, it is our country, that does not see golden days of its glory. History will  never pardon the present day lot for mismanagement. It is only our country that can not find oil from within. Whatever efforts are done they are  half-hearted. Where ever oil is found it has proved more costly in administrative expences.  The ONGC at Dehradun has proved a white elephant all these years. Is there no solution to it?

Indonesia can find oil from within. We can not do it. WHY? Petroleum Minister Mr.  Aiyar has already asked the Finance Ministry for specific rate of duty on mineral oils inplace of advalorem rates of duty. It is suggested that Mineral oils are essential commodity. Trade and prosperity of the country depends on easy mobility. It is in the interest of the nation at large to do away with all sorts of taxes on this item. They should do it. Earlier the better.

While reducing the 5% import duty the FM put forward an argument that he would be losing  8000 crores by way of revenue. This does not seem correct. The adv. rates of duty on high price of crude will balance the flow of income to the exchequer. He has not given any relief. He has foregone 8000 crores worth additional revenue that would have accrued on account of high price of crude oil at 46$ a barrel, in place of 30$ a barrel. He has to think in terms of more revenue. It is his job to increase revenue. It is the job of the PM to keep at heart National Interest which is of paramount importance in the present days.

The country is slipping. Please awake. Do something. People have opted for you with some expectations. You have to fulfill their expectations.

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The DRI, ante-evasion sleuths have to assess to duty, the country's different manufacturing giants, importers- exporters who are reported to be involved in the form of mis-description of goods and involved in large-scale irregularities resulting in loss of revenue to the tune of millions of rupees. The sales, import-export records, a parallel secret records, when minutely seen would reveal astonishing facts. According to unconfirmed reports available, it is estimated that contraband goods comprised of  forty persent of the country's market during the period of last ten years. In the past the giant companies were involved in delicate assessment issues like inclusion of value of primary secondary packages used for packaging, in the value of the goods for the purpose of assessment to duty. It was at the relevant time criticised that the Government was ignoring the plea of 'presence of presumption of innocence' in the issue.

Ultimately the Courts had to decide the issue fifty-fifty, in favour of the manufacturers and the Government. The citizens are required to pay their tax to the rupee, and so we have to make sure that there is a sense of equity. The untoward elements have not to worry about starving, freezing, or working in the heat like so many of our citizens. They have their own group, club gatherings, discussions over sumptuous dinners and drinks,etc. They would rather golf, than think. Because they want to forget what they have been doing. They were bent upon the pursuit of money and pleasure at any cost. They caused the chaos- a handful of them. They are among us.

We owe it to our future generations to let them know the truth. Some groups of people managed to ruin our country so completely that we have no other legacy to give to our children except poverty and dis-order of the day. Genuine businessmen suffered, they could not stand in competition with the syndicates. People feel today, left, flat, dry, drained and desperate. A country of a billion people is still without infrastructure, without proper housing facilities, without education, without any direction, filled of poverty. Ten Five Year Plans have brought prosperity to a few selected groups-and not to the people for whom they were meant. Imagine the huge plan outlay of one Five Year Plan; like that Ten Five Year Plans; and the result? nothing. Who is responsible? No stock-taking was done. No post-mortem of the expenditure was done. In fact at the end of every Five Year Plan, there should have been a breathing time of one year to think in retrospect as to what was gained and what was left undone. There was a mad rush at the end of the first Plan to start the other- a hay-day for them all, at the expense of the people of this country. We were spectators to this game for a period of fifty-years. Now when the horse is stolen, they talk of locking the stable. Why do you worry about the empty stable? Why don't you run to find the horse? Why don't you find those who stole the horse?

We need today the leaders like Sardar Patel. GB Pant,LB Shastri, Kairon,Kamraj Dr.BCRoy, YBChavan to take us out  of the present mess. This is no time to fight for leadership. Every one is a leader and people will appreciate his/her services to the Nation.There is set, to-day, an atmosphere to salvege what is left. Do not disturb it. Give it a chance for a period of full-term.The Staes have bankrupted themselves and have been running the administration by way of over-drafts. Where are our natural resurces? Where is the income from Forestry, Mines Coals agriculture?

State Governments collect millions in taxes by way of road tax vehicle taxes insurance charges sales tax and what not? Emergency measures are the need of the day for discipline by the States. Municipalities and Panchayats collect entry-tax, taxes on houses and what not? Where is an end of all this? The states have been running inumerable boards commissions inquiry- matters of cases which have lost significance. Every MLA who could not get a seat as a minister is accomdated as a Chairman of the Boards specially created to accomodate them. All have jointly and collectively and severally left no opportunity unturned to siphon public money under one pretext or the other. We have a Crisis. The crisis is dragged, kicked, tossed farther and farther by taking short-term measures in the form of patches, and like keeping them alive on oxygen and providing more money to keep them alive. The truth is bound to come out. Do something to stop this vicious circle that has gripped the country today. Such delaying tactics is no solution to the calamity that has befallen. God save this country.

The two opposition blocks have to play a constructive role. The Congress has the maximum seats and plus a support of a large group of a party. Now the oppoosition should not corner the Government on agitational issues. You have to find something;not this day to day hulla-gulla, crowd and morchas and bandhs and strikes and all sorts of tactics to harass the ruling party. You have to behave. Indian Parliament is 55 years old. But the standard of their devotion to parliament is deterioting. Where are the old parliamentarians today who were our idols? Hung Parliament is the concept of the day. In Canada similar situation had arisen in elections last April 2004. Theree parties were almost in the list of first second & third by a close margin. Federals Mr. Paul Martin is the PM. He has no absolute majority but he is no.1. He has not even taken support of any other party.He has no problems. He has his freedom. He appoints Supreme Court High Court Judges. He has changed the High Commissioners and so so on. Thus the New Government must be given a try. Do not create problems hurdles and chaos. Foreign powere want that you fight. Then they will pass judgement that you are not to fit to rule. They will then enter to help you how to run the country. Once this has begin,note your dooms day is sure. We are being projected as some brutes backward opportunists who want power at any cost. We are being very poorly evaluated as mature politicians. We have to improve this image. They already propogate that we do not deserve a democracy. We were never mature for it. We have to defy this prophecy and be united and allow the present government to complete its full-term.

Following points relating to indirect taxes are brought to your kind notice. Some bold measures at your hands will help the industry, the business community and the country at large. Credit goes to the present PM who as the FM in the year 1991, took some bold steps and gave the economy of the country a new dimension. As the FM in the Third Front Government, You further liberalised the things. Things have now changed. World has changed. We have to change. With the advent of computers, methods of work has changed. Exploit the computers. They are good servants- bad masters.

1.Though computers are installed in every office, there is no sign of reduction of staff in the offices. On the contrary it is seen that with the coming of computers parallel machinery is deployed with the result that there is duplication of information in almost all the fields. Administrative expenditure needs to be slashed to a half. You may form guidelines that certain computerised work need not be kept in files.

2.There are so many Directorates and Departments of Principal Commissioners who simply transmit the lower level information to the Ministries. With the coming of the computers and easy access to the Ministry directly by the lower formations, such intermediary departments need to be winded up. You have to anounce the VRS scheme and take other harsh measures to reduce the staff to a half of the present strength. There is no need of clerical staff. They have to go. Only computer literate staff is required to stay.

3. The rates of duty on excisable items is too much. For example the Textiles items bear duty on all types of yarns at exhorbitantly high rates followed by duty on textile fabrics at eqally high rates. There is tremendous scope of expanding textiles production if the duty rates were rationalised. There is tremendous scope of export of textile fabrics and textile ready made items more than double than the present quantum of our exports. The western countries have removed the import duty of textile items which needs to be taken into consideration for our textile units to double or triple their manufacturing and cover all these countries by exportingour wearing apparel to them. As it is we are late. Other countries have already captured the areas. Still we can give a try.

4. Taxing the commodities is not the sole way to raise income. There are many other areas to raise income to the Government to run the administration. Your recent budget again and again cameback to commodity taxes in guise of turnover tax and all that.

5. The Service Tax net is too much burdensome for them to pay. The rates are required to be slashed to a half. There is so much of scope of rationalising the service tax net that income from service tax would come by itself. There is no need for administrative machinery for collection of service tax. A simple method may be adopted for service tax rates and its payment. Complicated Service Tax Act and all that is not necessary.

The whole service tax pattern needs to be simplied redefined and overhauled.

6. All sorts of mal-practices are being practised in the area of export of gold jewellery. You allow them to bring gold to make jewellery therefrom; there is so much adulteration of other metals that half the quantity of raw gold is swindled by the middlemen and contractors. The overseas customer never buys India madejewellery. We have earned a very bad name in this field. If purity of gold in ornaments was adhereed to, there is tremendous scope of increasing the present export to more than double. Creation of machinery to stamp the ornaments is a lengthy and time taking process. Some institutions need to be entrusted with the responsibility of importing gold and export genuine pure ornaments made from it. Here the labour is cheap. There are machines now to make jewellery on wholesale scale. There would be no problem.

There is concentration in Bombay and Agra. Other centers need to be opened.

7. All sorts of patients from the world over, visit India for medical diognisis, operations and other treatment. The dentists and dental surgeons have a hay-day these days with foreign visitors coming to India for dentures and permanent teeth implant and other dental treatment.

8. Like computer software contracts, other countries make use of our pathological laboratories for carrying out pathological tests of samples taken by them. Such samples are being flown to India. The test results are being communicated on computers. The world has come to know that labour is cheap in our country.

What costs them in dollars euro and pounds, here it is done in rupees.

9. The duty on import of goods needs to be fixed at 30 percent. Other duties like addl.duty auxiliary duty counterveiling duty surcharge etc, all need to be slashed to nil. The trade is far more advanced and speedy than our staff. There should be surveillance cells to pinpoint cases of under-invoicing in imports and over-invoicing in exports.There should be cameras at every office, air-port, sea-port, cargo-complex, container- depots. We need to install high powered x-ray machines at all ports to detect smuggling of goods in containers.

Containers are a big source of all sorts of mal-practices. There is a need of tight security and control for them. Maximum damage is attributed to the facility of sealing containers at source.

The procedure of import-export needs a review. Scrutiny of import manifest or bill of entry should start from appraiser level and higher-ups right away and entry made in the computer instantly.

10. There is evasion of duty in excise customs and service tax areas. It relates to all excisable commodity, all customs commodity, import export EOUs Airports Seaports FPOs Bonded warehouses, container depots cargo complex personal baggage etc. This works out to 40% in every field. Means and ways have to be devised to bring to net this loss of revenue. Put an end to duty draw-back. Wind up draw-back wing.

11. The National tribunal is waiting implementation for the last few years. Its formation will help to achieve transparency in adjudication matters at all levels and ease the burden of the Apex court.

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"

                                                                                          It is History. The price of gold bullion in the year 1980, had surged to US $ 873 an ounce. It was the record highest in the last 25 years.

Some investors buy gold, in these days of inflation, to preserve their purchasing power. It is speculation. Gold price has surged to US $ 490. an ounce, these days which is its record highest since December l987.

It is reliably learnt from informed soures that Gold Bullion price is likely to hit the US $ 550 mark, within the coming three months. Reliable news agency reports that gold bullion may rise to its highest level in the near future. At the beginning of the 21st century gold price was around 250$ an ounce, and it apppeared that it would remain steady for the time being. These hopes have ben belied for the present. The tendency of the investors is to buy Bullion as a safeguard against inflation. The public demand for purchase of jewelery is seen rising. The jewelers therefore have stocked up gold stock to meet with the rising demand. World gold prices may rise to US $ 550 in the next coming months. It will boost its price from $ 485 as the hedge fund managers and other large speculators have increased their net long position in future by five percent.

"There is pressure to raise gold price to from all quarters including some last minute people jumping on the bandwagon" said New York Stock Exchange spokesperson. The world currencies are declining. The investors therefore purchase more gold as a hedge against declining prices of world currencies. One important reason gold has gained is due to the fact that the bank rates have been increased on and on to stem inflation. Gold may still gain in future on speculation demand which may exceed the production from gold mining companies, all around the world.

Our country is in the danger of losing its position in the rank of gold producing countries of the world. Our gold finds, depleted resources in mining gold within the country are due to lack of exploration. The last decade was a decade of lost exploration. Unless new discoveries are made, reserves for gold under mining would be depleted at the end of this decade. This will mean closure of smelters and refineries and the havoc it will reap on our economy. To reverse this sorry state of affairs and catch-up internal gold production, it is necessary to form a cabinet rank ministry for gold. We have vast highly prospective geology much of which is still largely unexplored. However the need for increased exploration is not the only challenge that has threatened the gold mining process. The aging population and shortage of skilled workers are also worries and a problem.

It is reported that world's largest hoarders of gold are a few parties from India. The princely states are foremost among them.

It is learnt from reliable sources that pressure to auction 1000 tons of gold is mounting on the IMF. The UNO at the behest of Uncle Sam wants funds to help the third world nations for natural calamities. If this happens to be a reality, there is chance for fluctuations in the prices of gold. Economists hold different views on such an eventuality. Some believe that the gold prices would have no or at the most nominal effect of the auction of 1000 tons of gold. Some say that in the past, when such auctions were held by other nations, it gave rise to higher prices.

 Gold, element symbol AU, atomic weight 197, valency 1.3 is one of the heaviest metals.Yet it is soft and ductible. It is not stiff. An ounce, 28 grams of gold can make 187 sq.ft 17 sq.meter of thin gold leaf. Gold is durable and indestructible. Neither  Moth nor rust could devoureth Gold. It does not tarnish or corrode.  Gold workmanship is a very lucrative profession. Examples of gold craftmanship is very famous in Italy.  The Velenza jewellery in Italy is known for its antique fashioned ornaments of kind and quality.  The Indian craftsmanship is famous but it has no guarentee or authenticity.  Indian jewellery lacks its authenticity in international market.  The UAE has rehabilitated Indian goldsmiths in Dubai Sarjah Abudabhi where gold jewellery is prepared under strict supervision and security.  This is the reason that Dubai, Abudabhi Sarjah etc have turned famous in the world for jewellery purchase. The international customers have made UAE a buying spree.

Half of the world stock of gold is represented by South Africa.  Rest is divided among Russia, Canada Australia Brazil and USA. Aluvial gold refers to gold found in the river-beds stream-beds and flood-plains.  The  river-bed of Congo Africa, the river-sand contains granules of gold.  Throughout the length and breath of the river, tight security is maintained.  The staff engaged in sand-processing is kept under strict surveillence.  Still despite all this scrutiny, there are reports that the workers bring the gold-sand into a match-box with them kept in their pockets.  Such match-boxes are traded and given to the coastal inn-keeper in exchange of a hefty meal.  It is said now even the security staff bring with them a match-box full for a lavish lunch.

Native gold is found in the shape of nuggets as large as half an inch in diameter.  On some occasions,   nuggets of native gold wighing about 50 kgs. are found.  The record is of largest nugget of 92 kgs. found in South Africa.  Native gold also contains some portion of silver.

Gold is evaluated in terms of a medium, a measure, a standard , a store in the world countries.  A country is known by the stock of gold lying in their strong rooms.  It is a colleteral in terms of international trade.  As per the IMF reports France possess largest stock of gold as foreign reserves.  Then comes Germany.  It is folllowed by Italy USA, UK, Canada Russia Japan.  In the list of G-8 Countries Japan has the lowest Gold and natural resources.

There is international gold standard for payment and exchange.  If the demand for the Euro currency exceeds the demand for the US Dollar, for the Euro the US dollar price will rise in the international market.  The US dollar was earlier defined as 23.22 grains of pure gold.  The British pound is defined as 113 grains of pure gold.  Thus one British pound would equal 4.9 US dollar at offiicial parity.

The public is not authorised to exchange US dollars for gold. Only foreign central banks can do so.  Two-tier gold system is adopted by world countries, to protect international monetary reserves from pressure of high rising gold prices.  The monetary gold used as reserve,  would sell only at a fixed price, and the gold kept as selling commodity will sell at fluctuating market price.

The official gold stock of the country has to be maintained at the existing level.  It can only be transferred or pledged in setteling internation debt.  India transferred huge quantity of gold under pledge to London and Switzerland banks in the year 1991 to settle debt of crude oil import.    The advantages of the gold standard are that it prohibits the countries to cause price inflation by excessive issue of paper currency.  It also creates certainty in international trade by providing a fixed pattern of exchange rates.

It will be interesting to note that the Tokyo Exchange of Japan as of today accounts for 90% of security transactions.  As the economic growth of Japan has continued, the Tokyo Stock Exchange became world's largest security exchange overtaking the NewYork Stock exchange.

Similarly, gold bullion market,  once world's largest is now operated by the Chinese gold and silver exchange at Hongkong.  There are no foreign-exchange control rules and regulations of currency exchange in HongKong.

As of today, in China and China influenced countries,  silver has remained the doment standard.  Elsewhere in the whole world, Gold-standard prevails.

Gold is world's rare element. It has melting point at 1064*C.  It is conductive and does not react in water or oxygen.  The world countries hold large stock of gold with them in their stong-box as international official resources to buy and sell.  Added to these, there are other holdings of gold by international organisations and banks.  Such stock works out to 35000 tons according to world gold council reports.  Private holding of gold in also in the form of  jewellery, bars, blocks pallets ingots coins. It is estimated that overall there is a stock of such gold of about 145000 tons.    Above figures include stock of gold held by private organisation.

India is the largest repository of gold in terms of total gold stock in the world. In terms of personal ownership of huge stock of gold, it is not known as to who holds it, but fingers point to a very well known royal family of India.  In India, temples are said to possess huge quantity of gold stock, in different forms.

On an average, annual turn over of gold from gold mines is estimated at 2500 tons a year.  So far as its industrial use is concerned, it is used as a catalyst.   Gold may be the oldest metal known to mankind but its industrial use has been intensified in the 21st century, in the modern technology.  The thin gold-film sheets are pasted to the walls of inter-space shuttle yans for protection for infra red rays.  It is reported that in one space yan shuttle for journey to moon, 41 kgs. of thin fils sheets of gold was pasted around it for atmospherical protection.  In supersonic jet aeoplanes, such films are pasted on the windows for protection to the eyes of travelling passengers from infra-red rays at high altitude.

Newspaper reports indicate that India receives every year about 400 tons of gold.  This has been going on for the past 100 years. Purity of gold is measured in terms of carat.  Pure gold measures 24 carat. It is too soft in pure form to make jewellery. Therefore other metals are added to it.  It may be silver copper nickel zinc to increase its strength and durability.  Common measurements after adding alloys are 18 carats, 14 carats and 10 carats.  In the USA the definition of gold implies purity in terms of 10 carat. i.e. 40.7% of pure gold. Higher carat of gold indicate more value of the gold. It is compulsary to stamp and mark of the jeweller company with country of origin,  on the jewellery for authenticity.

The World Gold Council has its hqrs. at London.  They have issued guidelines for public that in order to keep gold jewellery shining and scratch-free, avoid contact with chlorine gas and other harsh chemicals.  Use mild hot water, mild soap and soft brush to clean it.  Do not wear jewellery when doing rough work.  Store the jewellery in a velvet backed box or soft pouch and avoid putting weight on them.

Historically speaking gold was the sole attraction of life all along. It could be afforded by the wealthy only.

In the last century special types of machines were invented to make production of gold ornaments in bulk. Prior to that there were goldsmiths in every town village and city who used to make hand made ornaments from gold.  Special machines meant to make gold bangles, earring necklaces wristlests were invented which prompted gold jewellery to be available to every one who could afford it. Italy has been a center of such ornaments for years. It consumes about 400 tons of gold two-third of it goes in making ornaments for export.

Nowadays, Hongkong, Thailand Manila Singapore have emerged as gold jewellery manufacturing centers.  They cater to the growing market of pure ornaments (Chukkaam) in China.  The standard of living in China has gone high.  Gold is purchased in the form of ornaments for investment by the new emerging middle class of that country.  China now consumes gold every year to the extent of 500 tons every year that is on par with India.  Same is the case in Japan.  Automatic ornaments making machines cater to the craze of Japanese people to buy gold ornaments.  They consume every year 100 tons of gold.  It is estimated that 60% of the stock of gold in the world is in the form of gold-ornaments.

How much it would be in one ton of gold?

One ton of gold could be in a volume of a 2 x 2 x 2 ft. cube.  London refineries make gold bars of different size weight for international trade. The popular one is 400 troy oz. that is 12.5 kgs. that is 27 lbs.  The reasons for fluctuations in gold prices are on account of :

High cost of gold mining,  These days gold mining cost has risen to US $ 238 per troy oz.

There has been a higher margin of profit at every stage of handling.

Refinery costs have increased.

Insurence rates have gone high.

Administrative overheads have increased.

There is no competition.  There is laxity in market.

It is reported that days are not far off that gold prices will cross the 1980 record of gold at 825 $ per troy oz.

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The world population was :-

30 crores (300 million) in the first Century AD.

50 crores (500million) in the 1650 AD.

600 crores (6000 million) in 2000 AD.

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After Uncle Sam China or Japan will rule the world. Alfa to Omega.

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Money is not everything in life.  You canot make this statement without it.

Mind you, this is no idle threat. World reports indicate that the price of a one barrel of crude oil will

be One-Hundred US $ at the end of the present decade. Gasoline is sold in USA To-day at 2$ a gallon, -ordinery quality, and premium gasoline costs 2.5 $ a gallon for sophisticated cars. The present rates are on the basis of crude price around 50 US $ a barrel. With the increase in the price of crude oil at one hundred dollars a barrel. there will be corresponding rise in retail gasoline prices to the extent of 4$ a gallon for ordinnery gasoline and 5$ for premium variety of gasoline for sophisticated cars, This is the world forecast of petroleum prices likely to be paid at the end of the year 2010. This means, within the last 6 years we will be paying double the rates of petroleum

products. This is an almost certainty. We are heading towards that. Nothing can stop it. It is all planned.

With regard to our country we will have to pay the price of one litre of petrol at Rs.100 a litre by the end of the year 2010.The trouble in the duty structure for customs duty, excise duty, state sales tax, and octoi tax, they are all having advalorem rates of duty at which customs-excise-state sales tax and the octroi duty are levied. Even the refinery charges, its commission is at l0% advalorem. The petrol dealers charge petrol commission at 5% advalorem. The Government will have to revert back to specific rates of duty say, Rs.1000/- per Metric Ton as import duty. One barrel of crude-oil contains 220 gallons of crude-oil which when converted into liters would be approoximately 650 litres that is Rs. 650/- for a barrel of crude oil. It will also bear a charge of Rs.50 a ton under the National Calamity fund. i.e. Rs.32.50 per one barrel of crude oil of 650 litres.

At present there is an import duty of 5% adv.plus an additional duty of Rs.2. per metric Ton. on Motor spirit and HS diesel.This will have to be converted into a outright specific rate of duty.

Now let us go to the structure of Central Excise duty that is being charged on the finished goods. i.e. after the imported crude oil is refined in the refinery and final products, petrol, motor spirit, high speed diesel, etc. that are produced as per requirements. Under the 2005 budget, central excise duty on petrol is reduced from 23% adv to 8%adv. plus a specific rate of duty of Rs.5/-per litre is introduced in the 2005 budget. The existing duty on diesel at 8%adv is restructured at 8%adv plus a specific rate of duty of Rs.1.25 per litre. An attempt has been made to introduce specific rate of duty plus advalorem rate of duty in prices of crude oil and finished products. Gradually Government shall have to revert to specific rates of duty so that the cascading effect could be avoided. Even then The Government will have a sizable steady income from petroleum products.

World countries have already realised that days of running cars with petrol are going to be over within the next couple of years. IceLand has completely accepted hydrogen operated cars in IceLand. Battery operated cars are also used. All world countries have made their arrangements in the event such a calamity of non-availability of petrol would arise. Toyota car has put in market its new model with battery operated machinery in the car plus it can revert to petrol-use in the event the battery got run-down after about 300 miles on way. The driver can start then regular petrol supply and can reach the battery charging station for a replacement. There will be plenty and easily available many battery supply centres located on highways like existing gas-stations, or say near around the gas stations.

In our country we have made gas-cylinders as an alternate for petrol cars. There is a dual system so arranged in the car that when the gas in the cylinder get used-up, and the car sputters for short supply of fuel, the driver can conveniently switch over to the petrol supply. This contrivence is in very preliminery stage and it is reported that much innovation is required to be done in this direction. Necessity is the Mother of Invention. South America has increased ethenol percentages to bring down percentage consumption of petrol. Every country is engaged in doing something. Let us hope a way is found out. Earlier the better.

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Chapter Heading 89. -Ships Boats and Floating structures.

CH.89.08. =Vessels & other floating structures for breaking-up.

Both the Customs Tariff and the Central Excise Tariff cover Ship Breaking item under C.H.No.89.08 with rate of duty @ 15% and 16% plus surcharge, other duties respectively at appropriate rates.

At the end of their sailing life, ships vessels and floating structures are sold as scrap for their steel. Greece is the place where auction of such ships takes place. A ship for breaking is sold ordinarily between two to five million US dollars. The Principal in Dubai buys such ships for ship-breaking, making payment in US dollars. Such ships are sent  to ship-breaking yards-say Alang ship-breaking yard, Bombay, Sachana etc. In India the syndicate in New Delhi runs this business. The Syndicate pays the Principal in kind by exporting equivalent valued foodstuffs butter cheese,grains pulses-in short everything as indented by the Principal.After fulfilling customs formalities ship-breaking takes place in under-developed countries Bangladesh, Pakistan India China etc. Such ship breaking activity turns our green good sea-beach into dirty graveyards. Such ships brought for ship-breaking also contain hazardous materials like asbestos lead paint,PCBs (polyclorinated biphenyls) in engine oils. During the process of scrapping hazardous poisonous gas is found released in the environment. Every year about 700 such ship are taken out of actual sea-faring and put into auction for scrapping.

About 300 such ships account for our share in ship-breaking approximately. Such ships ordinarily travel under flag of convenience available at cheap rates from countries like Panama, Malta Cyprus etc. Ship masters have the right to sail under any flag they choose. Ships are registered in such countries where rules are not strict. Shipping companies and ship-owners remain incognitio-their origin can not be traced. Everything is done by petty contractors middlemen etc. They make huge profits from selling such old ships but do not bear the burden of undertaking a follow-up clean break-up of the ship. Here they raise their hands.

The International Maritime Organization has issued clear cut guidelines for follow up action till completion of the breaking process by the sellers of such old vessels. In our country, the Hon'ble Apex Court of India rendered yeoman's service by issuing guidelines on lines of the IMO plus the Lordships have also issued directives that prevents dumping of hazardous wastes in the country, and the ship has also to be delivered with 'gas free for hot works' certificate as per Indian Laws.

Their Lordships have stressed that the Basel Convention was applicable to export of such ships to our country as it amounts to one and the same thing like export of hazardous materials to our country;and that 'gas-free for hot work' should be made compulsary for the ship owner and that no ship be givenpermission to beach unless such certificate is produced. Any explosion irrespective of the certificate should result in cancellation of the plot holder's licence and the Explosives Inspector prosecuted.

The Pollution Control Board has issued instructions to observe the said precautions. It has also directed to remove asbestos and other hazardous waste on board of the ship and store it at a landfill in the hinterlands adjacent to the ship-breaking yards. This directive is uncalled for as it does not address the illegalities of import of such hazardous wastes into the shipbreaking yards. Many agencies have visited the shipbreaking yards of Alang, Bombay to monitor environmental pollution. Syndicates have very long hands and everything has remained on paper.

There is complete ban on diamond polishing in the western countries being hazardous to health. They send all their diamonds for trimming polishing shining to underdeveloped countries. There is complete ban on manufacture of synthetic organic dyestuffs being hazardous to the environment. Such SO Dyes are manufactured in India. They import it from India. Pollution Control Board and Courts have issued innumerable guidelines but they are of no avail. Time is now ripe for public awakening.

At a little distance from Alang, at Pipavav, the Japan Car manufacturing company financed the Delhi syndicate for establishing a modern ship breaking yard. This ship-breaking yard is now ready but it is delayed for want of last minute green signal from the Government. As per arrangement, every year

Japan renders 200 vessels for scrapping. These vessels would be scrapped at Pipavav. The cut steel would go Japan for use in their automobile plants. This arrangement was done during the Congress regime between 1985 to 90. Now that this party has come to power, it will be shortly commissioned.

In short it is time now to enforce the directives issued by the Hon'ble Supreme Court of India. In Japan their Government have refused permission to establish a ship-breaking yard in Japan sea-waters. India welcomes everything. This state of affairs has to stop now.

Customs-all over the World, is considered unique, due to its position, the role it plays at the borders, and ports of entry, and the authority to inspect exports and imports, and charge appropriate duties. Although the traditional role of the Customs administration is revenue-collection, customs operations are rapidly evolving to include trade-facility, combating commercial fraud,shady deals, international links of crime etc. Invariably the shady deals lead to fraud which is often linked to organised crime practised in a variety of ways to include revenue and fiscal evasion, through false declaration, misuse of exemptions and even money laundering.

Some do not like to pay readily and willingly. Some are out to cheat by smuggling, under-invoicing,  over-invoicing as the case be. Domestic and international trade over the years has significantly increased the volume of export and import of goods of our country. This has led to increased opportunities to increase revenue to the exchequer. It has increased responsibilities of Customs. These additional responsibilities on the Customs wing has increased their volume of duties,alertness,compilation of information and over and above a very very vigilent eye at all times. This is especially true in the country's present circumstances when it is passing through an acid test of its economic-progress. It is now a challenge for the Customs wing to save every rupee and strengthen the hands of the Government in light of the fact that India is a candidate for Super- Power in the next coming years. In our Country, and indeed, in many other countries also, the mere mention of the word Customs and Customs operations evokes images of corruption, graft, greed, bureaucracy, to the extent that, even commercial fraud is attributed erroneously to Customs officials in the the minds of general public. There are certain notorious elements in the business circle who are the prime perpetrators of commercial fraud.There are some traders, travellers even in some isolated cases offences were perpetrated with the connivance of port-authority police or the customs officials.

We have to attempt to improve our image at large in the eyes of the public and change the world opinion about us. All know that maintaining free and expedious flow of goods and traffic and atthe same time observe to apply controls checks and counter-checks for safeguard of revenue and security is not an easy task. Happily we have been moving towards a developed framework of a standard to secure and facilitate global trade from the country-of-origin to the country-of- consignment. These standards do promote customs-to customs networking, and customs to business partnership. It includes use of pre-arrival information, application of risk management automated systems and the establishment of effective consultative relationship with customs trading counterparts and other stake-holders and providing a dispute settlement system in customs related matters especially valuation and capacity building. It will provide the Customs sleuths to deliberate and develop new strategies and instruments to provide support with new instruments. The new crop of Customs Officers have endeared themselves to the public by theirefficiency friendliness and firmness with which they have performed their duties at International Airports. Foreigners who came into contact with them have recognised this. The approach is now shifting from exclusive movement control to more audit-based controls.  India is a continent with one billion of its population. It is a peninsula. Our land borders touch many neighbourly countries. We have a very large sea-coast. India is susceptible to anything and everything, and any type of mischief at the hands of unscrupulous elements is possible.

We have to guard our borders which runs into thousands of miles. Punctuality, devotion and the spirit for a kill (not that we have to actually kill anyone in the course of duty); that do-or die spirit, are pre-requsites of a dedicated sleuth of customs. It is learnt reliably that chaos happens at the the end of a shift-duty. The out-going staff is in a hurry to leave; the incoming leisurely lot is not mentally ready to take over. It is said a wise cop always reports five minutes early than his scheduled duty time. Similarly he leaves five minutes late after end of his duty shift. Everything can happen in that small period which can make your life, or ruin your life. The under-world has deeply studied the methods and practices and they have a list of your minutest details of your likes, your weakness etc. The officers have to be watchful in the areas which include vigilant eye against drug-trafficking counterfeiting, piracy, money-laundering and terrorism.

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1. "There are people in the country so hungry that God cannot appear to them except in form of a roti. =Mahatma Gandhi.

2. "When white smoke is seen coming out of the Chimney, in the Conclave, People know that a consensus is reached. The Cardinals agreed. The New Pope is elected. All rejoice."

Source. Vatican City. Italy.

3. East wind prevails over West wind.

4. Old habits die hard.

5. Golf. It is rediculous obsession of the rich.

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In the field of white-collar crimes, they have no real names.

They are known as Bhai, Kaka, Boss, Don,ChaCha, Munna, Pundit,Munim. Before setting out on a mission, they also check the auspicious time, pray etc.  They know they are destined to be caught one day. They also know the end is always tragic.Silence is golden. Silence is eloquent. They follow this dictum well.

In this trade, it is seen that all arrangement is done with farsightedness, premeditated planning efficiency and secrecy. Every individual involved- right from the carriers drivers middle-men- they are all well-trained. They are tutored to remain dumb, silent when caught. They do not utter a word. It is impossible to penetrate into their silence. They do not break the vow, an oath they have been administered to reveal nothing if caught. Perhaps they know the last smallest person.They may  not know who is the main boss. They only know Bhai is all-powerful. His hands are long.

The silence protects the identity of the main characters involved, their lieutenants, the brains behind it, the lawyers,etc. It is an organisation. Any number of consignments may be seized.

The Bhai remains dis-assosiated. This dis-connection saves them. The officers do not get a handle- any lead, to proceed further. The trouble is that if any high-handedness is done to get the lead, there are elements, agencies media, Human Rights, who are very much aware; they are very much conscious, they are very much concerned about civil-rights of the smugglers, than the interest of the Government. What to do? They make a hue and cry against the Government. It is helpful to fill the place with plainclothes officers, give them the mandate to mix with the masses and collect intelligence. There are certain groups. They are specialised in landing, transporting, storing, disposing such goods. Bust them.

Confiscate their pagers, their cell-phones,search them properly for evidence. Give information to the press media with their names nature of things and other details. This will scare them. They are afraid of being exposed in public. They are among us.

The public has also to co-operate. They have to be realist. Government works for them. The public need to be told plainly. To cite an instance. In Bombay all rejoiced. It was the twentyfourth Independence day. He was YashwantRao Chavan. On 26th June, he had taken over as the Finance Minister.

The year was 1970. In Bombay one woman asked him at a Choppattey gathering. "Will you bring down prices?" "Things are very dear-costly." He replied in Marathi, meaning like this. "'Tai, I am no magician. Do not dream. We can never bring back, buy things at old prices. Prices are bound to go high every day." FM had anger at the tip of his nose. We need plain speaking leaders who talk to the people in their language. Laloo will be more effective in convincing the People than the Harvard lot, who sell dreams. They cannot hypnotise the masses.

The people are poor. They are masses. China faces the same problem. How to educate the masses? In China films are made, depicting green trees coming as ghosts, chasing people who cut green trees. Anyone who saw this film would never cut the green trees. Our film makers have no other subject except  hero-heroines running around the green trees, singing songs.

Public Institutions have withered. Alone Government cannot do everything. All have to come forward. All have to contribute in the direction of Nation- building. Where is that spirit of pre-independence era? Where are all those slogan-shouting people? Where are all those lady social workers who moved in the streets with Tri-Ranga in their hands and shouting at the top of their voice?

Where is that atmosphere of "Doing -or- Dying" for the Country? India is slipping. Dreams were sold to the People of India. Ten Five Year Plans are formulated. People were shown Moon in their palm. What is the outcome of all that money,that People paid as taxes -invested, in the name of future prosperity? - to see, experience the present day Chaos? Whom we have to hold accountable? We. Ourselves. None-else. We believed in them. We are responsible. AlMighty may save us. AlMighty Does Good.

Recently, China signed a deal with Russia to invest 1.5 billion US $ in construction, timber, agriculture and other industries in Russia. In all, eight projects were signed by China Investment Forum. It envisages Chinese companies investing 1.3 billion US $ into building a housing complex in St. Petersburg. The Russian and the Chinese delegation also laid the corner-stone for the Baltic Pearl Complex which will house 35000 families in the first phase of the project. Russia is a quite rich nation now. For the last few years, prices of crude-oil have sky-rocketted beyond imagination.

With the prices of Crude-oil 52 $ a barrel, Russia has encashed on this price-hike. It came out of economic collapse it faced a few years ago. Russia is the second largest crude-oil producer in the world after Saudi Arabia. Now Russia is a spending-master, eager to make projects for the benefit of its people.

Everybody thinks about China, either from a risk perspective, or from an opportunity perspective. Many countries have established a foothold in China, or are in the process of entering the Chinese market. There is considerable risk factor involved. If its economy were to stall its way into hard-landing, the big hit to other countries would come indirectly by a decline in global commodity prices. In fact Chinese merchants risk trade retaliation unless the Yuan currency is unpegged from the US $. It is a fact that the Yuan is greatly undervalued and it has given the Chinese exporters an unfair advantage in world-trade. There is continuous pressure from the western countries on China to re-value its currency vis-a-vis the US $. China's stock-phrase reply is " We will see."

Western countries believe that emergence of China as a Super-power is a threat to the world-peace.

They also feel that regardless, China will surely soon dominate the world. Its rising military strength is also a problem. It is spelled out at length in the latest issue of Atlantic Magazine.

" When power relationships are correctly calibrated, wars tend to be avoided.' Only a similarly pragmatic approach will help to accomodate China's re-emergence as a Great Power. "

China joined WTO in 2001. It had promised to allow member states to restrict imports of Textiles and wearing apparels,etc of Chinese goods if such imports threatened to disrupt their markets. China conveniently disregarded all his commitments and reports indicate that it has dumped hundredfold shipments of T-shirts, cheap hosiery articles and flax yarn in the western countries.

In the area of Footwear also, China has dumped in a triple-digit leap shipments of footwear into western countries. Average price for a pair of cheap leather shoes from China is 3 US $. The Europian countries and the USA say that they can not buy even, the raw materials for one pair of shoes at that price. Forced labour has helped China to accelerate its production output in each and every field to an unimaginable extent. USA and the European Union have been negotiating with China to upvalue its Yuan currency and stop unfair trade practices otherwise they would be constrained to slap sanctions and/or impose import duty on Chinese goods. Chinese reply is as usual a stock-phrase. "We will see." No action thereafter whatsoever.

In light of what is stated above, it will be in the fitness of things, to be very guarded in dealing with that country especially when we have tripled our trade with that country within the last few years. Our country is committed to eradicate poverty and gain economic development at a faster speed. It will be necessary to assess every proposal made by that country very critically with pros and cons in all sides before finalising any deal with that country.