We are for open trade, not protection. Competition is the best: Adi Godrej
30 September, 2018
Adi Godrej, 76, chairman of the Godrej Group, has moved into his role as chairman emeritus of Godrej Consumer Products and Godrej Properties, even as he remains on the board of Godrej Industries. While he has handed over the mantle of leadership of the two companies to daughter Nisaba and son Pirojsha, he is a regular at his office in Godrej One, Vikhroli, Mumbai. In an interview with ET Magazine, Godrej spoke about the Indian economy and his companies.
On consumer and real estate demand in India
Consumer demand is growing well. GST is increasing consumption. GST rates on consumer products are lower than in the past, which is encouraging consumption. I expect overall consumer demand growth to be good.
Real estate is a little complicated because the new RERA has come, and there are a lot of changes. But with the economy doing well, I expect real estate to also pick up.
On the rupee and the current account deficit
The rupee has slid in the last couple of weeks. But for five years before that the rupee was quite steady. If you look at a five-year picture, the rupee is not doing bad. Current account deficit has gone up a little, but our foreign exchange reserves are very good. And now the government is taking steps to correct the current account deficit.
On GST implementation
GST has gone off very well. It has added to growth. It has helped reduce prices in many areas. From the very beginning in July 2017, GST rates on toilet soaps were lower and we passed on the benefits to consumers, and demand has increased. GST has been well implemented. The government has corrected some earlier infirmities and it is a great reform and will help India considerably in the future. It is helping already.