They don't trust each other, we don't trust either.

"The prosperity of Germany, United States and Japan has been attributed to high levels of trust between business and the state," wrote Gurcharan Das. The lack of trust in India resulted in the "failure of the Indian Railways to attract a single private player to run 150 trains", by investing Rs 300 billion. "The reform failed because of a lack of trust. Bidders had repeatedly insisted on an independent regulator to create a level playing field: flexibility in timings, routes and a fair exit. They didn't trust the current regulator, a retired railwayman. The railways didn't budge." "Cumbersome ease of doing business at the grass-root level and high cost of doing business is affecting the animal spirits of the private sector, according to a survey by industry chamber CII," Economic Times (ET). Just recently, "Piyush Goyal, the Industry and Commerce minister, found himself in a Twitter storm after The Hindu reported his statements against the Indian Industry's business practices," CNBCTV18. "The Reserve bank of India (RBI) conducts a quarterly Order Books, Inventories and Capacity Utilization Survey (OBICUS) for the manufacturing sector," Mint. "It assesses the operating efficiency of a manufacturing unit" and showed that capacity utilization (CU) "had increased to 69.4 in Q4 FY21 (January-March 2021) from 66.6% in the previous quarter". CU is a measure of efficiency of a manufacturing unit and 85% and above is considered to be good, Marketing91. "Addressing members of the Confederation of Indian Industries on August 12, revenue secretary Tarun Bajaj asked why private investment was subdued despite impressive corporate performance (in terms of profits)," wrote Roshan Kishore. Perhaps, he was not aware of the RBI's Industrial Outlook Survey (IOS), which showed that "An unprecedented 28.4% of the respondents believed that their existing production capacity is more than adequate for the second quarter (July-September 2021-22)." Politicians and civil servants want industry to invest in new projects which will create new jobs, which will increase demand and, in turn, lead to more projects. This will create economic growth and help the present politicians to win elections. Industrialists, on the other hand, want to see a rise in demand before they will borrow money to build new capacity. In December 2020, Centre for MonitoringIndian Economy (CMIE) studied "the full set of listed companies that provided financial statements for the quarter ended September 2020", a total of 4,234 companies, which showed that "Net profits increased by 568.5 percent." "They did so by cutting costs a lot more sharply than they suffered the fall in sales because of the lockdown." "A cut in the wage bill could mean a combination of layoffs and wage rate cuts." Wages of permanent staff were reduced while headcount was cut by axing contractual labour. Businessmen are afraid of losing control of their companies through the Insolvency and Bankruptcy Code (IBC) 2016, Business Standard. However, as with every law in India the IBC is also becoming toothless. "Initial success in finding new homes for distressed steel plants raised hopes that the savings-starved economy would extricate valuable capital from failed ventures. But now, creditors are balking at 90% haircuts, and bailout funds are disillusioned with everything from long delays in admitting cases by tribunals to a chronic shortage of judges," wrote Andy Mukherjee. "That the government often sees taxpayers as tax dodgers until proven innocent and that the private sector tends to consider consumers more as a source of profits than the reason for its existence are serious hurdles in the way of India's economy achieving sustained high growth," wrote Prof VA Nageswaran. Meanwhile, "India 'remains a challenging place' to do business, the US has said, urging it to foster an attractive and reliable investment climate by reducing barriers to investment and minimising bureaucratic hurdles," Indian Express. "Why I'm losing hope in India: Bloomberg," Andy Mukherjee wrote in sorrow. The rot seems permanent.