KITS AND KICK-BACKS

The government has more than egg on its face – that too in these bad COVID times. The reference is to the way the Union Government, or the Indian Council of Medical Research (ICMR), had to hurriedly cancel a large consignment of Chinese rapid anti-body COVID testing kits. Centrally, two questions arise. One, why turn to China for even simple matters when the nation is largely equipped in terms of healthcare products both in terms of manufacture and materials required. Second, why did the government entity, the ICMR, bring shame on itself and the government by going in for a deal at a higher price? This has surprised even the courts here so much as to order a huge slash in the kit’s price. Worse, the quality was compromised in the deal. The result is ICMR ordered withdrawal of the Chinese kits that were already supplied to the healthcare sector across the country.

The government, or ICMR, is coming up with the explanation that not a single penny will be lost as no money was paid for the deal, and none will be paid either. This is small comfort, and only settles a part of the overall concern. Bigger issues remain. For, the Delhi High Court’s finding was that a kit that should cost no more than Rs 400 was priced at the rate of `600. It could be that, at some level, a major cut was attempted. The cut could be huge, as orders were placed with two Chinese companies for massive quantities of supplies. Now, ICMR has asked all state and UT governments to withdraw the kits as “wide variations” were found in their test results on COVID-19. The people have been taken for a ride and at grave cost to their lives and health.

The issue assumed seriousness after Congress leader Rahul Gandhi took up the matter with the government, stressing that serious irregularities have taken place. The government has had a major loss of face. The court’s intervention showed his allegation has merit to it. The withdrawal of the kits further reinforced such a concern. Perceptions could strengthen that some people at a responsible level in the government turned even the nation’s adversity to their own advantage. Whether the Union Health Ministry itself is involved in this or not does not need investigation as otherwise such a large import with such huge financial involvement obviously cannot be undertaken by a clerk or even the Secretary of the Ministry of Health & Family Welfare (MoHFW). It is extremely sad that people in power relish moments of distress for the common citizen.

Another matter of concern is, why could India not produce the kits, despite its expertise in the health-related sectors. China, even as it reeled in the impact of the COVID-19 pandemic, exported such kits and even masks to the US and European nations, in huge bulk, fetching the culprit nation money in billions. Labour costs are high in the developed world but supposedly not in India or China. India kept itself on a shutdown mode, and went into full inaction. Even if the shutdown was not in place, Indian business or manufacturing sector is incapable of responding swiftly to newly arising demands of the market. The complacence here has built up to such an extent that the manufacturing sector as a whole has perished in the past two decades of Chinese invasion of the markets with their goods. The way China organised such large consignments in a jiffy even in this troubled situation is proof of the dynamism that marks the business and enterprise in that country. The tendency in India is to turn to China for anything and everything. The blame should go to the government in its failure to encourage entrepreneurs at the small and medium sector at least while big business itself is more apparently losing interest in India and is probably transplanting itself as also the wealth in key locations or tax havens abroad.

At the same time, the attempt on the part of every sector is to take advantage of governmental largesse while the COVID spread has opened up new opportunities for all to keep sounding governments to extract more in terms of benefits. A month of lockdown by itself would be enough to take a nation and its business to hell. Hopefully there may be a slow and steady rebound, and one only can wait. The minimum that can be hoped for from all sides in these tense times is responsible behavior. This applies to the Union and State governments too.

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