As S Krishnan (SK), IAS, vacates his office at the Tamil Nadu Secretariat to join as the Secretary for Ministry of Electronics & Information Technology (MEITY), Government of India, he shares with IE on the growth journey that the state has embarked on and about his new role.
As a 1989 batch officer from the Tamil Nadu cadre, Krishnan had held several key posts that have provided transformational impact across the state. He has been instrumental in realising the trillion dollar dream of the Chief Minister along with the Minister for Industry and showcased the state effectively across the globe.
IE: How do you see the shift in investments in Tamil Nadu from traditional to new-age industries?
SK: I think a problem with Tamil Nadu and our people is, we sometimes underestimate ourselves. We assume we are not in the forefront. We may have missed out on a few opportunities but I think, by and large, we have almost entirely made sure that investments keep coming in. We have to remember that, this is despite the state not having much natural resource endowment. We have been one of the major beneficiary states of liberalisation in 1991. At that time, our per capita income was below the national average. Today we are almost twice the national average. That itself says a lot for what the state has done and first we need to recognise that.
Having recognised that, our extensive investments made in both social infrastructure and physical infrastructure is finding us in good shape now. We have consistently been at the forefront of addressing demand. Now the latest pivot is what we will do to push forward and move to the next level.
This is where we are strategising to build on our traditional strengths as well as match new aspirations. This forks the story to two parts. Presently, within our traditional sectors like textile, footwear, leather, engineering, automobiles, etc., technology is being applied, ensuring growth. On the other hand, we are also trying to bring investments in new sectors like electronics, EV,… Â This is on the manufacturing side. In addition to that, we are also trying to see whether the services and higher end services attached to manufacturing like research and development, FinTech, life sciences and other knowledge-based services can be attracted. We want to enhance the presence of global capability centres, R&D hubs, etc. A lot of this builds, to some extent, on our strength in manufacturing and also looks at what we can do to value-add services. Tamil Nadu has more than 50 per cent gross enrollment ratio in higher education. That means there is a lot of aspiration among people wanting to find jobs of that nature. And we are trying to address this major aspect.
IE: While we aim for this trillion-dollar economy by 2030, do you think we should have a higher benchmark considering our growth rate? Should we look to benchmark ourselves with other developed nations like Singapore?
SK: We can set ourselves all kinds of goals, but it has to be realistic and at the same time challenging. There is a realm of possibility to achieve each target. The trillion-dollar dream is a stretch target. To achieve this, we need consistent double digit growth rates, which in itself is quite challenging. Business as usual approach will not take us there. It strikes an ideal balance, as the target can be achieved, yet is challenging. This will force us to work harder, rather than having an unrealistic target and giving up half way through.
IE: What do you think the state can still improve upon?
SK: One thing we need to do is, project our strengths better. This will attract investments. The second thing that we must do constantly is to address the issue of quality in all spheres. It is an ever-changing benchmark and we must constantly update. With rising aspiration of our people, benchmarks for quality will also change and we need to move towards a much better service. It is a constant race and we have to keep constantly working at it. As a government, we need to push towards that.
IE: MEITY is an important portfolio as India embarks on a digital transformation. What do you foresee in your new role?
SK: To be honest, what I know is from the information available in the public domain, just as you all know. I understand it is an important area where a lot of work is going on. I am yet to know completely about the priorities of the ministry or how things are going currently. I have to go there, learn and figure it out. I expect it to be a very challenging assignment and a steep learning curve for me. I am not a technologist by training. I have to learn about that space quickly and make sure that the government’s objectives in that area are achieved.
For the present, I know that the sector is very significant for the future growth of the country and of the world. Globally it is very important, as it has huge implications in the way that governance operates, society relates to each other and redefines operations across all sectors. There are again two parts to it. One is the electronics and the hardware side and the other part is the software and various related applications.
We must build our capabilities on the hardware side by creating a resilient supply chain. This can be done by bringing in existing players to manufacture locally. Nowadays, semiconductors have become strategically important and every country wants to have a share of it within their own shores. The same countries which talked about neoliberal policy and government should get out of business, are actively encouraging these kinds of businesses to locate either in their own jurisdictions or in friendly jurisdictions. We are a beneficiary of this. But beyond that, I think it is also important to recognise that we are competing against the same countries. Whatever incentives we provide to attract these businesses, the local market will get affected. It is a complex scenario and we have to structure it in a way, it works for India. All this make the assignment very challenging and interesting.
IE: You have done much ground work for the TN Global Investors Meet in 2024. How do you feel leaving half way through?
SK: The GIM will definitely be a wonderful event with great success. The strength of Tamil Nadu government, is the strength of its system. It is not dependent on any one person, at any point. The chief minister and the industry minister are fully supportive for the entire team that is very active and hands on. While I did play my role, am sure the team will do a great job and pull it off well. I have great confidence in them.
