Swadeshi Companies

Q. (1) What are Indian or swadeshi Companies? It has become a fashion now-a day to bamboozie the unwary public by adding “India Limited” full blooded British concerns. Lever Brothers ‘India Limited’ have their factories here now. They claim that to produce Swadeshi soaps, and already ruined several large and small soap factories in Bengal. Then, there is the Imperial Chemicals India Ltd. Which has received valuable concessions. This is dumping foreign industries instead of foreign goods on us.

(2) Then there are companies with Indian Directorate with British Managing Agents who direct the Directorate. Would you call company with large percentage of Indian capital and a large number of a Indian Directors on the Board, but with a non-Indian Managing Directors or non Indian firm as Managing Agents a Swadeshi concern!

A. (1) As regards the definition of a Swadeshi Company, I would say that only those concerns can be regarded as Swadeshi whose control, direction and management by the managing director or by the Managing Agents are in the Indian hands. I should have no objection to the use of foreign capital, or to the employment of foreign talent, when such are not available in India, or when we need them, but only on condition that such capital and such talents are exclusively under the control, direction and management of Indians and are used in the interests of India.

But the use of foreign capital or talent is one thing, and the dumping of foreign industrial concerns is totally another things. The concerns you have names cannot, in the remotest sense of the term, be called Swadeshi.Rather than countenance these ventures. I should prefer the development of the industries in question to be delayed by a few years, in order to permit national capital and enterprise to grow up and build such industries in future under the actual control, direction and management of Indians themselves.

(2) Answer to this is contained in my answer on the first point.

Harijan: Mar. 26, 1938.