Chapter 243 Collusion between Government and Businessmen
In July, the land of Uttar Pradesh is steaming hot.
The workers simply took off their clothes, with their black, shiny backs, and looked forward to it under the scorching sun.
Today is a big day, as the Sur Cement Plant will conduct trial production.
Oh no, according to the sign at the factory entrance, it should be called Sur Building Materials Company.
Ron and Ratan came over in a car, and as soon as they appeared, the workers gathered here began to cheer.
"Long live the great Mr. Sur!" Muna stood at the front of the team, raising his fist and shouting.
He tied a yellow cloth on his head again, like a fighter, and the crowd shouted slogans in unison under his leadership.
Ron got out of the car and waved to everyone with a smile. The hot sun reflected on his sunglasses, making them blindingly bright.
"Muna is very good at this." Ratan was very satisfied with the scene and encouraged.
"You think so too, don't you?" Ron stood in front of the factory and looked around.
In addition to various slogans, many workers also held his portraits.
Damn, it's like an election, so exaggerated!
"He did a great job. That's what you have to do in India, make sure everyone remembers your face, especially the people who work for you."
"That's too crude a method," Ron sighed, like a child playing house.
"But it works. These illiterate people can't even read or remember complex slogans. But everyone can understand portraits. If you give them a simple slogan, and everyone shouts it every day, eventually everyone will accept it as the truth. Brother, this is the cornerstone of our rule."
Ron nodded. He knew what Ratan said was true. Promoting in India wasn't that complicated. No need for marketing strategies; just go for it.
Every election season, you will see many similar slogans posted on the streets.
Long live the great XXX Party! Step down, the ugly XXX Party!
It’s all like this, it can’t be more straightforward.
There is no other way. You have to make the poor understand. They are the main force of voting. The rich don’t need to vote.
"When will that Yadav come?" The sun was scorching and Ratan was getting impatient.
"Soon," Ron looked up at his wrist. "He won't miss a day like this."
The Sur cement plant, which has become a hot topic recently, is going to be put into trial production and the Chief Minister will of course attend the groundbreaking ceremony.
No politician would miss such a good publicity opportunity.
Sure enough, within a moment, two cars came speeding down the dirt road in the distance.
Yadav and his younger brother posed and waved to everyone after getting out of the car.
Several people with cameras got out of another car. They trotted over to Yadav, some kneeling, some squatting, taking all kinds of photos.
Yadav was smiling at first, but when he saw that the workers were holding Ron's portraits, his face immediately turned unhappy.
Ron winked at Muna, who immediately understood what to do.
"Long live the great Socialist Party!" He once again became a fighter.
"Support the Great Socialist!"
The increasingly loud slogans also brightened Yadav's face, and the kneeling reporters took more enthusiastic photos.
"Well done." Yadav came over to say hello.
"Thank you for your support." Ron said politely with a smile.
"Is everything okay today?"
"Of course, everything is ready."
As the group entered the factory, they saw towering towers, huge rotary kilns, and long material pipelines, and the beauty of industry was everywhere.
They wandered from building to building, where posters about Ron could be seen everywhere.
His portrait is either overlooking on billboards or gazing into the distance on safety posters, and even the walls of high towers are printed with his smiling face.
Next to it was a newly painted slogan: "Our Leader: He knows the direction, points the way, and marches forward."
Well, these were Muna’s ideas too.
In his words, workers can see the great Mr. Soul whenever they look up.
Very Indian, very distinctive.
Yadav saw it but didn't say anything.
This is Ron's territory, his factory, and outsiders have no right to criticize him.
"Ron, you are more capable than I thought." Yadav was very impressed at this moment.
"When I first arrived, there weren't even roads here. There were just a few scattered villages, low bushes and trees."
It takes a lot of courage to open a mine and a factory in a place like this. Few Indians can do it, at least not in Uttar Pradesh.
"How big is the entire project and how long will it take?" Yadav noticed that in many places only the foundation had been laid.
"The first phase of the project will not be fully completed until next year. The power station, distribution center, and workers' dormitories have not yet been completed. If subsequent expansion is carried out, the scale will have to be multiplied several times."
Now we are just rushing to complete the production line, and the complete supporting facilities have been put last.
“This is the industrial jewel of Uttar Pradesh,” Yadav commented with style.
"It's also proof of the minister's foresight." Ron extended his hand and led him into the workshop.
Cement production is not complicated, but the difficulty lies in scale and large investment.
The limestone mined from the mine is first crushed and then crushed twice, then enters the homogenization tank to stabilize the composition, and then is preheated, decomposed, and calcined into clinker. The last step is to grind it into cement powder while adding additives such as gypsum.
The entire production process does not require very sophisticated equipment, and anyone can do it as long as they are willing to invest the money.
Preparations for all aspects had been completed a few days ago, and today is more like a symbolic ceremony.
After Yadav nodded, Ron immediately ordered the work to begin.
With a rumble, the huge conveyor belt started, and endless pieces of gravel were sent into the mill.
After the harsh noise, the processed semi-finished products enter the next process.
The entire factory seemed like a giant that had just awakened, shaking continuously until the ground trembled slightly.
The discharge port of finished cement is several hundred meters away, and it can be delivered in two ways: truck loading and bag loading.
Most of this batch is for self-use, so there are already trucks waiting below the discharge port.
Soon the gray cement was put into the truck bed, and the technical director Gao Er asked someone to bring some.
He twisted it with his hands, smelled it, and then a look of joy appeared on his face.
“The condition is very good, better than most in North India.”
"What is the production volume?" asked Yadav.
"If the trial production goes well, the annual output is expected to be 100,000 tons after formal production."
Trial production is to verify the feasibility of the process and whether it meets expectations. Large-scale production will only be carried out after completion of acceptance.
"One hundred thousand tons, not bad!" Yadav was very satisfied with the number.
"I recently heard that the state government is planning to expand the Lucknow airport?" Ron asked intentionally or unintentionally.
"Well, we haven't made a decision yet. We need to hold a meeting to study this."
"The quotation from Sur Cement Factory is absolutely sincere, and our quality is impeccable." Ron hinted to him.
Yadav was a little tempted, but he still didn't agree. However, considering the special situation today, he changed the subject.
"Lucknow is planning to build a 200-kilometer expressway that will run through Kanpur. You can bid for it."
"That's great!" Ron exclaimed happily.
"You know the rules, right?"
"Of course, ten percent."
"Not bad," Yadav nodded with satisfaction. He glanced at the brand new and busy factory and nodded again, "Very good!"
After taking some photos and talking some nonsense to the camera, Yadav left satisfied.
"This guy asked for a 10% kickback right away. He's treating us like fat sheep." Ratan despised Yadav's gangster behavior.
"That's pretty good," Ron sighed.
According to international standards, a 200-kilometer expressway requires 600-900 tons of cement per kilometer.
But everyone who knows Indian standards knows that 300 tons of cement per kilometer is considered good.
This project requires a total of 60,000 tons of cement, which is honestly a big deal for the Sur Cement Plant.
According to the current market conditions, cement in Uttar Pradesh ranges from Rs 1,800 to Rs 2,500 per tonne.
What price will the Sur Cement Factory offer? Of course, 2,500 rupees!
It is a tacit understanding that when a government tenders a project, the highest price is quoted.
Of course, this assumes that Ron and Yadav have completed a behind-the-scenes deal in advance.
Well, that means collusion between officials and businessmen to get the project.
The total price quoted for 60,000 tonnes of cement is Rs 150 million, a very impressive figure.
Ron's cement factory does not charge for raw materials; the only costs are energy consumption and labor.
Cement is a high-energy-consuming industry. During the calcination process, the amount of coal consumed is almost 1:1 with the cement output.
Other equipment requires additional electricity to run, and these two together account for about a quarter of the cost of cement.
As for labor, it can be ignored.
The total value of cement is 150 million rupees, and after deducting costs, the total profit is about 110 million rubles.
This kind of infrastructure project involving collusion between officials and businessmen does indeed generate huge profits.
If Ron can get two more government projects, his cement factory will break even.
Outrageous, even a little unreal.
But this is not the most incredible thing. Yadav's income will shock you.
According to the agreement, he would take away 15 million rupees out of the 150 million rupees project payment.
Do you think this is the end? No, this is just the beginning.
As chief minister, he would formulate plans to the highest standards when requesting funds from New Delhi.
What does that mean? 900 tons of cement per kilometer of road—that's the highest standard.
But the actual data is 300 tons, less than one-third of the plan.
Where did the rest of the money go? Lucknow officials and other contractors have something to say.
This is India. The funds actually used for engineering construction only account for 30% of the project budget. In some outrageous places, 10%-15% is not impossible.
The remaining 70%-90% of the funds were embezzled by officials.
60,000 tons of cement and a profit of more than 90 million rupees is not bad.
With the current output of the Sur Cement Plant, it is enough for the workers to work at full capacity for half a year.
However, Ron was not much happier, he was thinking about other things.
“Is Yadav unhappy with us?”
"Why do you say that?" Ratan asked curiously.
“We are the only cement factory in Uttar Pradesh, but he has not relented on the Lucknow airport expansion project.”
"That thing consumes a lot of cement?"
"I just asked Gower, and there's a shortage of at least 200,000 tons."
"Hiss~" Ratan took a breath.
That is a huge order that can ensure that the Sur Cement Plant operates at full capacity for two years.
"I have a hunch that he's considering whether to continue being our ally."
"What did you hear?" Ratan's eyes turned cold.
"The Tripathi family visited him." Ron's eyes flickered.
(End of this chapter)
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