New Delhi: "It looks like a horror story." But with a happy ending.T U Shenava was not one of those who wanted to stay back in the country. With studies complete, he started working but his mind and heart were set on going abroad. Destiny looked the other way and plans changed. "The government was encouraging people to go for business in backward areas. After doing service for six years, I also decided to set up a unit in an upcoming industrial area at Badlapur in Thane district of Maharashtra. But I burnt my fingers terribly."

Shenava's Industrial Tubes Manufacturers came up in 1968 but with all the birth pangs. "Being a first generation entrepreneur, I was not street smart," recollects Shenava. But problems seldom chose generations; they just come by. "We fought on two fronts - an unhelpful bureaucracy and shrewd trade union leaders. We felt duped. The place lacked basic infrastructure. In fact, nearest police help was 15 km away."

The company got its major business from the defence forces. "We were ruling defence supplies for three years in early 1980s." But problems caught up. Amidst the strong currents of trade unionism, Shenava's dream project started crumbling. "The agitation trade union politics of Datta Samant in brought doom to my unit." Production slowed down and Canara Bank declared them bankrupt. But this time round, Shenava did not let fate change the course.

"Since we were supplying a vital product for the armed forces, the Industrial Development Bank of India came up with a Rs 1.25-crore revival package which was to provide us with working finance each year. But ironically, every time we came up with results, they delayed funds. What they were supposed to give us every year, came only after three years." Nevertheless, the company managed to overcome hitches. "And, our luck opened in the nineties. From a mere Rs 3 lakh profit, we have now managed to make Rs 1 crore. Ever since we have paid back term loans, we don't have to look around for funds."

Shenava feels trade unions, dominated by CPM, are now more co-operative and rational which makes bargaining on productivity-based issues possible though people who benefited from the past system are resisting.

With exports forming a mere five per of his turnover, Shenava is aiming for 50 per cent exports. "I want to set up another unit in Goa for availing the benefit of a five-year tax holiday."

Challenges, however, still stand firm on the ground. Shenava's unit manufactures copper tubes. But with duties coming down from 150 to 30 per cent, he has started facing competition from the world market. He, however, finds that the Government policies are very lopsided and fears the duties may come down to 5 per cent.

Shenava also did projects for BHEL and state electricity boards. But found himself in trouble when after five years of completing a job for BHEL, the excise department slapped duty on one of the intermediate products. Shenava was in a fix. "Since the burden of excise duty is always borne by the customer, the whole process only meant that I take money from one government agency and give it to the other. But asking BHEL to pay for the excise duty was too difficult since the work had been completed five years back."

Shenava decided to fight it out and challenged the order. "CEGAT gave us an unconditional stay though the matter is still in the court," Shenava says with a triumphant smile on his face.

"Bogged by pressures, many people call it a day and leave the shores of this country. But once proper infrastructure is provided, ours will be a better quality of life." Optimism takes over Shenava's annoyance. "Today is the real challenge and I am hopeful."

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.