Cooperative legend Dr U S Awasthi needs no introduction. Heading the largest fertilizer cooperative of the country he is seen as the guardian of about 4 crore farmers connected to IFFCO through 40 thousand member-cooperatives. Indian Cooperative in an exhaustive interview tried to know what is there in him that enabled him to effect the turnaround in the IFFCO’s fortunes in the nineties. The cooperative behemoth has since continued to grow constantly under his great leadership. A man’s personality is shaped by a number of extra-ordinary experiences he has in his life In this free-wheeling chat we have tried to understand the person behind Dr Awasthi- the MD of IFFCO.
Excerpts
Indian Cooperative: We want to know you, your childhood’s social and philosophical foundations and what finally made you emerge as one of the leading champions of farmers in the country
Dr U S Awasthi: When I opened my eyes and was about two and a half years old, I lost my father. He died on 13 August 1947. But my home atmosphere both paternal and maternal were imbued with slogans of “azadi”(freedom). Gandhi had mobilized the masses against British rule and our family participated in the freedom movement wholeheartedly. Earlier in the freedom struggle of 1857 also my grandfather participated and even earlier in Aghan war my great grand dad participated. Being the scion of such a family my only slogan in life has been “jhanda uchcha rahe hamara”(Indian triclour has to fly high).
My consciousness so filled with love for the country in my childhood that patriotism became a ruling creed in my life.
Indian Cooperative: Life after all is not a bed of roses for anyone. You must have had your share of struggle. Tell us something about the greatest challenge you may have faced at IFFCO.
Dr U S Awasthi: I still remember Bhojraj Singh was the MD and he invited me to join IFFCO. The salary was less than what I was getting but I still felt an irresistible urge as if I were going to fulfill my life’s mission. IFFCO then was controlled by the govt and I was sent to oversee PPCL. While I was still at PPCL IFFCO was not doing fine. It was sliding down the slop and creating massive disappointment to us. I used to discuss with my friends and we felt unhappy about its future. I had got offers both from IFFCO and Kribhco and in fact I had to wait for 7-8 months to join IFFCO.
When I got the opportunity I focused on a few things. It was 1st February 1993 when I joined IFFCO as MD. I saw there was a lot of trust-deficit -between employees and management; between management and cooperators. Ogranization was stagnating and as is generally seen in such situations, vested interests were out to take undue advantage of the situation.
First of all, I focused on ending the interference of bankers. We had to borrow money no doubt but we somehow managed to pay off all their dues. That amounted to shedding lots of load off our chest.
Next we focused on technology. IFFCO at that time was caught in the 18th century mindset. People were fearful of technology. We launched massive training programmes to overcome our techno-phobia.
Third we went ahead with doubling plant capacities of all our units. I am a non-stop worker; everything was launched simultaneously.
Indian Cooperative: But cooperators form an important part of the deal and one cannot move ahead without their cooperation. How had been your relationship with them?
Dr U S Awasthi: I must tell you that I respect them a lot. I meet them once in a month and that gives me a comprehensive idea of what is happening in the country in matters of farm and farmers. I consult them and take their advice on every issue and sometimes they come up with startling suggestions.
Indian Cooperative: Any particular experience that you would like to share with us?
Dr U S Awasthi: Oh there are many; once we decided to venture into retails and things were being worked out. I remember one of our Directors Shish Palji said “can we compete in this unorganized sector with local baniyas as being IFFCO we would hire people on good salaries. They hire boys paying them Rs 2000 a month and no perks. The point was well-reasoned and so we dropped the idea.
Another interesting example is IFFCO’s bid to come up with an Airlines company. We had even named it as Hawa-hawai; a high-profile CEO had been appointed. But some of the directors raised the issue of complications as to dealing with air-hostesses and the whole idea was jettisoned.
We are absolutely transparent and informal. There is free-exchange of ideas which has made IFFCO what you see of it today. We are ever ready and willing for course-correction.
Indian Cooperative: You are at the helm of the largest fertilizer producing company and you must have felt restricted many a times due to political interference. How have you handled them and what has been your experience?
Dr U S Awasthi: To tell you frankly, I have never felt restricted in what I do due to political interference. . In fact I have been able to extract best out of them. No political party is anti-farmer and IFFCO too is committed to their welfare. Given commonality of intentions where is the clash?
Across the political spectrum we have been getting support for the good of farmers. Being the largest urea-producer we have got their support in all our bid to help the farmers.
Indian Cooperative: Tell us about an incident when you felt blocked and terribly frustrated you?
Dr U S Awasthi: You believe it or not but I have never felt frustrated in my life. Incident if at all it was there it has always been short-lived. I remember an incident when we tried to shift our corporate office to NCUI. An entire top floor was earmarked for us and we even paid Rs 5 crore. Mr Vishwanathan was the Chairman and we felt suffocated at our Nehru Place office. But NCUI was not ready to give us Bank Guarantee and our Finance Director whom even as MD I always valued objected to the deal. We discarded the idea and I indeed felt a little frustrated for a day or two.
Soon we began to build IFFCO Tower in Gurgaon. When the building was ready and we were about to move in, there was some issue with Chautala govt. People started to advise us against shifting to that place. Then we began to search for a new location and see what we have come up with. We got this Saket place in Rs 92 crore and now it is valued at Rs 700 crore. We were able to convert one of our biggest frustrations into an opportunity.
I still respect M K Tandon our Finance Director who objected to the NCUI thing. I tell him even now we are here at this majestic office because of you.
(to be concluded)