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By:

Kaustubh Kale

10 September 2024 at 11:37:15 pm

Modak and the Art of Investing

As the aroma of freshly steamed Modaks fills homes during Ganesh Utsav, the festive spirit comes alive instantly. My mouth is already watering at the thought! The humble Modak, prepared with love to honour Lord Ganesha, may look simple from the outside. But anyone who has tried making one knows that a good Modak depends on several things coming together - the right ingredients, the right recipe, patience with the process, and finally, enjoying the result. Investing is surprisingly similar....

Modak and the Art of Investing

As the aroma of freshly steamed Modaks fills homes during Ganesh Utsav, the festive spirit comes alive instantly. My mouth is already watering at the thought! The humble Modak, prepared with love to honour Lord Ganesha, may look simple from the outside. But anyone who has tried making one knows that a good Modak depends on several things coming together - the right ingredients, the right recipe, patience with the process, and finally, enjoying the result. Investing is surprisingly similar. Choose the Right Ingredients A Modak is only as good as the ingredients that go into it. Fresh coconut, good-quality jaggery, properly prepared rice flour and the right flavours all contribute to the final result. Our investments and financial products are the ingredients of our financial plan. Equities, mutual funds, fixed income, gold and other investments each have a specific role to play. The objective is not to pick whatever appears most exciting at the moment, but to select suitable, good-quality investments that match our financial goals, time horizon and ability to take risks. Health and life insurance are equally important ingredients. Adequate coverage helps protect savings, the family, and their financial goals and dreams. Good ingredients provide the foundation. But ingredients alone are not enough. Get the Recipe Right You may have the finest ingredients in the kitchen, but if the proportions are wrong, the Modak may still not turn out well. The same applies to investing. Asset allocation is the recipe of a financial plan. Too much of one ingredient can spoil a Modak. Similarly, excessive concentration in one asset or too much money in low-return products can spoil a portfolio. Balance is key. A thoughtfully constructed portfolio brings different investments together in the right proportions. To keep asset allocation very simple - short-term goals can be planned through bank fixed deposits, recurring deposits and debt mutual funds. For long-term goals, one can consider hybrid mutual funds, equity mutual funds or direct stocks. Trust the Process Once the Modak is shaped and placed for steaming, constantly checking whether it is ready will not make it cook faster. Investors often make the same mistake. We keep checking markets, reacting to every correction, chasing recent performers or changing strategies because of short-term noise. Good investing requires patience and discipline. Invest regularly, review periodically and allow your financial plan enough time to work. Compounding is powerful precisely because it rewards those who remain invested for long periods. Sometimes, the best thing an investor can do is simply avoid unnecessary interference. Enjoy What You Have Created Finally comes the most important part - eating the Modak! The purpose of investing is not merely to accumulate the largest possible number on a statement. Wealth should eventually help us fulfil our goals, support our families, create financial security and enjoy life with greater peace of mind. A good Modak needs the right ingredients, the right recipe and trust in the process. A good investment journey needs exactly the same. This Ganesh Utsav, may Bappa bless us with the wisdom to make good financial choices, the patience to stay disciplined, and the prosperity to enjoy the fruits of our efforts. Ganpati Bappa Morya! (The author is a Chartered Accountant and CFA (USA). Financial Advisor. Views personal. He could be reached on 9833133605.)

Textile Loses Sheen

Suyash Padate
Nov 13, 2024
2 min read

Updated: Nov 15, 2024

Textile Loses Sheen

The strike led by Dr. Datta Samant involved 2,47,189 Mumbai mill workers and brought the city to a standstill. The 1982-83 strike was the last industrial action by the Mumbai mill workers when the city witnessed an industry-wide strike bringing the workforce to the centre of politics. The Textile Strike of 1982 is a watershed moment in India’s labour history. It was one of India’s longest strikes involving more than 200,000 workers who collectively stopped work for more than eighteen months. Regarded as one of the longest industrial strikes in history – it lasted over a year and was, technically, never withdrawn – rendered thousands of workers jobless, thanks to an adamant stand taken by their union led by a doctor-turned-trade-union-leader named Datta Samant as well as mill owners, and the Central and state governments.


In the later part of the 19th century, Mumbai textile industry grew significantly contributing to Maharashtra’s prosperity. There were about 130 textile mills which contributed to the growth of the textile and cotton industry. It covered an area of almost 600 acres of Mumbai island. In 1982, due to a major strike of 18 months, the mills were permanently closed and brought down the closure of the struggling industry. In this backdrop the Maharashtra government came out with a new policy on textile units. The Department of Textile of the state government comes under the aegis of Cooperation, Marketing, and Textile Department and is responsible for the development and promotion of the textile industry in the State. The Department plays a significant role in implementing schemes and programs that have helped improve the quality of textile products in Maharashtra and create employment opportunities in the industry. As per the decision, the Department is committed to further developing the textile industry in Maharashtra with a strong presence of both traditional and modern textile sub-sectors and aims to make the state a global hub for textiles.


The aim of the policy was to attract entrepreneurs in the entire value chain, besides seeing that existing units do not migrate to other major cotton-growing states. Over and above the Centre’s textile package, the technology upgradation fund scheme and other incentives, all major growing states have introduced their own textile policies to attract investment.


The governments of Tamil Nadu, Karnataka, Andhra Pradesh and Telangana have announced a number of incentives for textile units. Maharashtra saw the migration of all types of business units in the sector. Considering this reality the government introduced this policy.


In the last 15 years some units started operating in different parts of the state. Unfortunately, many units had closed down before this policy which ran from 2018-2023, hardly any expansions in the state were going to other states, all the cotton produced in the state was going outside.

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