Government to upgrade inflation indices

The government will upgrade the inflation indices to better represent economic reality.The upgrade will include a better representation for services and will also change the base year from 1993-94 to 2004-05.

In India, the weekly WPI is more closely watched than the consumer price index, which is published monthly, because it covers a higher number of products. The government has plans to draw up a producers price index by modifying the present WPI, but work on that has been delayed due to problems in data collection.

The National Statistical Commission had in 2001 recommended that the Central Statistical Organisation compile a single national consumer price index by computing the CPI (Urban) and CPI (Rural) separately and then combining them together into an all-India index in line with global practice to improve accuracy and help policy makers in tracking price movements.

Armed Forces Tribunal formed

The establishment of the Armed Forces Tribunal, an exclusive court for the members of the Army, Navy and the Air Force will enhance their confidence and trust levels in the system of dispensation of justice in relation to their service matters. Hence, it marks an important milestone in the history of the armed forces in India.

Set up by an act of Parliament in December 2007, the tribunal will have its principal bench in New Delhi and eight regional benches across the country.

It will have 15 courts in all -- three each in New Delhi, Chandigarh and Lucknow and one each in Jaipur, Mumbai, Kolkata, Guwahati, Chennai and Kochi.

The tribunal will act as a civil court while adjudicating in service matters and as a criminal court when hearing appeals against court martial.

The government has appointed the former Supreme Court judge A.K. Mathur as chairperson of the AFT, which will have 29 members. It has 8 judicial members and 15 administrative members.

Seeking fair deal for muslims

The Rajindar Sachar Committee’s report on the social, economic and educational status of the Muslim community in India struck a blow to the Congress’ democratic and secularist assertions made over the decades. It lays out the actual conditions the Muslim minority faces and how it lags behind in terms of human development indicators.

It reports that only a small percentage of them are in government service and involved in areas of socio-political life.

The community has been reduced to a sort of political working capital in the hands of the big political parties. According to the report, Muslims need assistance at all levels. They face deprivation in terms of habitation facilities, access to bank credit and also political decision-making power.

Since Independence, India has seen many commissions and committees constituted to resolve the problems of the minorities, especially Muslims. The Ram Sahay Commission on Muslim weavers, the Srikrishna Commission and the Gopal Singh Commission were formed during Congress governments, but their reports are gathering dust. Such moves constitute nothing but political stunts with empty promises for the vulnerable minority. It is obvious that the Sachar Committee report will meet the same fate.

But this is the first commission to have studied the roots of the problems the Muslim community is facing and what the government has done for it in the last 50 years. Ghettoisation and insecurity have grown among Muslims after the demolition of the Babri Masjid in 1992. As a result, the percentage of Muslim children attending school and university has significantly gone down.

The follow-up on the report has taken on political hues, with the Congress using it as a tool to woo the minorities and the BJP raising concerns over the figures mentioned in it. But what has the Congress done for the minorities during all these years? It claims to be a champion of secularism but has used the term only as a euphemism to appease Muslims and secure their votes.

The Sachar report should be an eye-opener for big political parties like the Congress and the BJP, which are using the Muslim issue as a device of vote-bank politics.

After Independence and during Congress rule, there was talk of a classified circular which directed that no Muslim be appointed to senior-level positions in the defence forces. The Congress had created such a stir for a long period of time so that Muslims would be forced to leave India. Further, an imprudent game was played by the communal forces during Jawaharlal Nehru’s rule with the clandestine support of the administration and the police. This continued for almost 30 years, creating fear and anxiety among the minorities. The communal clashes that took thousands of human lives and destroyed property worth crores of rupees were the consequences of this game. The Congress appointed commission after commission to investigate the communal riots, but none of the big perpetrators has been convicted.

Instead of punishing the culprits, the police and the administration invariably prosecuted the innocent Muslim victims. The fear and anxiety this caused, and the cavalier approach of the government, resulted in low levels of progress among Muslims in education and commerce. During a span of 50 years, the entire community has been pushed into a vacuum of illiteracy and unemployment.

The fervour of backward class politics of the Congress waned in the wake of the Mandal and Mandir issues. Now it is seeking to widen its base while leading a coalition government. It has moved for other backward classes quota in higher educational institutions and talked of reservation for Muslims.

The Congress’ efforts for the progress of the minorities have been proved hollow, particularly in the Hindi heartland. On the contrary, the smaller parties, including the Samajwadi Party, the Telugu Desam Party and the Dravida Munnetra Kazhagam, and the Left parties, have brought several benefits to Muslims. The SP has time and again asked for affirmative action on the basis of the Sachar Committee report. They should be encouraged to participate in the process of economic growth. The report is a revolutionary step to uplift the minorities in India, and if the Government of India implements its recommendations, that will boost India’s secular democracy.

It is to be seen how sincerely and resolutely the United Progressive Alliance government will pursue the agenda it has laid out. Should the findings be put in deep freeze, leaving the secular and vibrant democratic future of India in a disastrous state? According to the Director of the Centre for Policy Research, Professor Pratap Bhanu Mehta, the report not only reflects the poor human index of Indian Muslims but indicates the vacuum of Indian governance. It points to the poor development of infrastructure facilities such as electricity and telecommunications services in areas of Muslim habitation. Muslims are not represented enough in the civil services, in banks, in other public sector undertakings, in the judiciary and in the agencies involved with national security tasks. The Central government needs to coordinate with State governments to pool resources and formulate such policies as would help translate their developmental regression into progress.

The Sachar Committee has suggested that a commission examine the livelihood problems faced by Muslims. But apart from instituting a committee of experts, the Congress has made no substantive effort in this direction. Proper representation of the minorities, especially Muslims, in the police and defence forces will prove to be a morale-booster for them in terms of their safety and security issues, but this has not been looked into. As per the committee’s recommendation, the Congress government has promised to open schools, training institutes and banks, provide free education up to the age of 14 and create infrastructure in areas populated by Muslims. But that promise now lies in cyberspace.

The report mentions that representation for the Muslim community to the same order as the percentage of Muslims in the population of the country is found only in one place: in jails. The fact that this is true can be seen now in Congress-ruled States such as Maharashtra and Andhra Pradesh. Many innocent Muslim youth of Mumbai and Hyderabad are in jail only on the basis of suspicion. There is hardly any effort being made by the respective governments to provide them legal aid.

In the context of the report, the Congress is trying to play the role of a messiah for Muslims. These represent nothing but tokenism. The Action Taken Report on the Sachar Committee report is but a post-dated cheque. As ever, the Congress wants to use Muslims as a vote bank. It is not really bothered of their rights or their welfare.

There are many areas where work needs to be done for the growth and development of the Muslim community, such as the provision of basic infrastructure facilities in education, health, road and drinking water, employment generation, safety, promotion of the Urdu language, modernisation of madrassa education and the separation of politics from community development.

In the present situation, the SP strives to continue the efforts it has undertaken to work for the minorities and the downtrodden. The party stands for the empowerment of the poor, the minorities, and the marginalised sections that were the worst victims of exploitation due to the lopsided policies pursued by successive governments at the Centre. Muslims want to live a respectable life without any political prejudice. They know how to carry themselves in the present conditions and how to uplift themselves and grow. The government has to support them in different spheres of activity.

The SP wants the implementation of the Sachar Committee report in toto. A high-power expert committee representing all political parties should be constituted to look into the implementation of the recommendations.

Drought analysis

There are reports in financial newspapers that the ongoing drought affecting nearly 200 districts in the country may not have much effect on GDP, since the farmers in the drought-affected areas contribute hardly 3 per cent to GDP. It is sad that such a measure of the impact of drought on the lives and livelihoods of millions of rural families is even considered. It is this mindset that is responsible for our country being the home of the largest number of poor and malnourished people in the world. P. Sainath’s article in The Hindu of August 15 brings out clearly the growing insensitivity to human suffering in our country.

No wonder we are finding it difficult to achieve the first among the U.N. Millennium Development Goals – reducing hunger and poverty by half by 2015. Unless we realise that agriculture in India is not just a food-producing machine, but is the backbone of the livelihood of over 60 per cent of our population, rural deprivation and suffering will not only continue to persist, but will get worse, leading to severe social unrest.

Fortunately, there are some encouraging developments which offer hope that drought management will be based on human values.

First, our President in her address on the eve of the Independence Day urged the need for refraining from making profit out of poor peoples’ entitlements. This is a timely warning since thousands of crores of rupees will be spent during the coming weeks in drought relief. Unfortunately, disaster relief funds become an easy target for those to whom corruption is a way of life and hence it would be useful to provide copies of P. Sainath’s book, Everybody Loves a Good Drought (1996, Penguin), to all involved in taking the benefits of the drought relief programmes to rural families.

Secondly, the Prime Minister in his Independence Day speech has rightly emphasised the need to help farmers in their hour of distress, so that they can help the country to produce as much food as possible under the prevailing meteorological conditions. He has announced that the repayment of loans taken from banks will be rescheduled. In this connection, it will be useful to find a long-term solution to the problems faced by farmers in rain-fed areas by adopting the recommendation of the National Commission on Farmers (NCF) that the repayment period for loans in drought-prone areas should be four to five years. This is particularly important, since we do not have an effective crop insurance policy for farmers in drought-prone areas.

Thirdly, the Prime Minister has constituted a Crisis Management Committee under the leadership of Pranab Mukherjee, with membership includes the veteran leader Sharad Pawar. Mr. Mukherjee fortunately belongs to the rare group of leaders who are firmly rooted in the “we shall overcome” philosophy. I hope the Crisis Management Committee will not only look into the immediate problems and short-term solutions, but will also develop a medium- and long-term plan that can enable us to face the challenges of drought, flood, high temperature, and sea level rise, which in future will be the recurrent consequences of global warming and climate change. I wrote an article in The Hindu of July 13, 2009 on “Monsoon management in an era of climate change.” Since serious action involving a large financial outlay is now under discussion, I would like to lay out a road map on the action needed immediately and during the remaining period of the 11th Five Year Plan.

Immediate Action

With the help of State governments, the Indian Council of Agricultural Research (ICAR), and agricultural universities, the situation in each State may be classified into the following two categories.

1. Most Seriously Affected Areas (MSA):

These are areas where the monsoon irregularity has multiple adverse effects on crops, farm animals and human food, and livelihood security. Also, hydropower generation is affected, leading to energy shortage. The power shortage, in turn, makes it difficult to give a crop life-saving irrigation, wherever opportunities for this exist.

Apart from the relief operations normally undertaken, the urgent needs of MSA areas are: saving farm animals from distress sale through Farm Animal Camps near a water source or near a groundwater sanctuary (that is, a concealed aquifer which can be exploited during the emergency) and where animals can be fed with agricultural residues enriched with urea and molasses. Distress sale of farm animals is a clear index of extreme despair.

A “Beyond the Drought Programme” should be organised. This should involve short duration crops like saathi maize (60 days maize), sweet potato, pulses, oilseeds, fodder crops, and other less water-requiring but high-value crops, according to scientifically prepared contingency plans.

Another urgent need is the launch of “A Pond in Every Farm” movement. This can be done by permitting NREGA workers to build Jat Kunds in the farms of small and marginal farmers (see also Sainath, The Hindu, 15 August 2009). The revised NREGA guidelines permit this. At least five cents in every acre should be reserved for the construction of ponds to store rainwater. Where there is adequate ground water in MSA areas, subsidised electricity and diesel should be made available on a priority basis. Energy is the key limiting factor in taking advantage of ground water.

2. Most Favourable Areas (MFA)

In every agro-ecological zone, the Most Favourable Areas (MFA) can be identified where there is enough moisture for a good crop. A compensatory production programme can be launched in such MFA farms by taking steps to increase the productivity of the crops already sown. This can be achieved by undertaking top-dressing with urea or other needed fertilizers, including micro-nutrients, with government support. Wherever there are opportunities for launching such compensatory production programmes because of adequate rainfall, the faculty and scholars of the agricultural university in the area can be requested to move from class rooms to farmers’ fields to help ensure the proper administration of the nutrient top–dressing programme. This will help to increase crop productivity significantly.

Preparing for the Rabi season:

Where two or more crops are taken normally, it is time to begin preparation for a good rabi crop by assembling the seeds, soil nutrients, and other agronomic inputs needed for timely sowing and good plant population. Late sowing of kharif crops should not be encouraged, since every week’s delay in the sowing of wheat reduces the yield by over fourquintals per hectare.

Action during 2009-10:

During the next few months, detailed drought, flood, and good weather codes should be prepared for every agro-climatic zone in the country. These codes should indicate the pro-active measures such as building Seed Banks of alternative crops needed for minimising the adverse impact of rainfall abnormalities. The Good Weather Code should provide guidelines for maximising the benefits of good soil moisture. Another step urgently needed is the identification and training of two members of every panchayat – one woman, one man – as Climate Risk Managers. It is best that they are identified by the Gram Sabha.

The Climate Risk Managers can be trained in the science and art of managing uncertain rainfall patterns leading to drought or flood. They could also operate a Weather Information for All programme based on village level agro-met. stations. A mini agro-met. station can be built in every block with basic instruments to measure temperature, rainfall, wind speed, and relative humidity. The Climate Risk Managers can be trained in data collection and interpretation, so that the right decisions are taken at the right time and place. Such a technological upgrading of agricultural infrastructure will also help to attract youth in farming.

Medium Term Action

This could include the following:

(a) Build a national grid of ultra-modern grain storage structures all over the country. To start with, at least 50 such storage facilities each capable of holding one million tonnes of food grains can be constructed, thereby making it clear that government intends to remain at the commanding heights of our food security system.

(b) Promote through Gram Sabhas community food and water security systems. This should involve establishing at the village level seed, grain, and water banks. Seed banks will help to introduce alternative cropping strategies and contingency plans to suit different rainfall patterns.

(c) Enlarge the food security basket by including a wide range of millets and grains like ragi in the public distribution system (PDS).

Lessons from the Past

In 1966, the country faced a serious drought. A serious famine was avoided, particularly in Bihar, though concessional wheat imports of the order of 10 million tonnes under the U.S. PL-480 programme. This served as a wake-up call and several steps were taken under the far-sighted political leadership of C. Subramaniam, Lal Bahadur Shastri, and Indira Gandhi, which led to a wheat revolution in 1968. The major ingredients of this revolution were: technology; services that can take technology to the fields of small and marginal farmers; public policies, particularly relating to input and output pricing; assured and remunerative marketing; and above all, farmers’ enthusiasm as a result of national demonstrations in small farmers’ fields.

Today, the last component of the green revolution symphony is sadly lacking: over 40 per cent of the farmers interviewed by the National Sample Survey Organisation (NSSO) said they wanted to quit farming, if there was another option. No further time should be lost in implementing the commitments made under the National Policy for Farmers presented in Parliament in November 2007 — if the desire of the Prime Minister that there should be another green revolution is to materialise.

Magnetic Leviation

Maglev or Magnetic tranportation Maglev is a system of transportation that suspends,guides and propals vehicles,predominently trains,using magnetic leviation from a large number of magnets for lift and propulsion.Maglev research and devolopment began in germany and japan during 1970's.After laboratory test in both countries,test track was consturcted in japan in 19070,s and germany during 1980's.This technology has the potential to be faster,quieter and smoother than wheeld mass train system.This technology has potential to exceed 6000km/he if deployed in a evacuated tunnel(ie.faster than air transport) In India a maglev line project was presented to india's railway minister Lalu prasad Yadav by an American company.If approved, this line would serve between the cities of Mumbai and delhi,the prime minister Manmohan singh said that if the line project is successful the government will buil more lines connecting other cities also .Maharashtra state government has also approved a feasibility of study for a Meglev train project.

Real national secutity

The arms business is probably the second largest business in the world after the food business. It is, therefore, not surprising that we consider national security to be just what the defence and allied services provide the country.

But there could not be a greater illusion than that. With all the weapons in the world, we must not consider ourselves secure unless we have agriculture security (which is synonymous with food security, farmers’ security and rural sector security), education security, and health security. If India were secure on these fronts, there would have been no so-called left-wing extremism affecting a quarter of the districts: in many areas the government’s writ does not seem to run now.

We waived farmers’ loans, but did we take steps to empower them so that they do not need to take any more loans? What we did was for political gain. For what we did not do, the explanation is that we pay only lip service to farmers’ security.

Agriculture security concerns seeds, agro-chemicals, water, power and soil. It involves the marriage of traditional and modern agricultural practices; the de facto empowerment of panchayats and women; the marketing of agro-products at fair prices. Such security requires the provision of sources of augmentation of income to agriculturists and village-dwellers through the development of traditional arts and crafts, medicinal plants, and the unparalleled repertoire of fruits and vegetables. Also involved here are organic farming; the use of post-harvest technologies; orchid tissue culture (for example, Arunachal Pradesh has 650 varieties of orchids which, if exploited, can bring the State an income of Rs.10,000 crore a year), mushroom culture, and the appropriate use of fisheries and marine wealth. Other elements include intelligent energy use; the empowerment of the rural sector with knowledge; microcredit; the integration of rural and urban sectors; appropriate research such as on organic farming, bio-pesticides, and the development of varieties with all the advantages of hybrids, that would benefit India: research that is being encouraged under the Indo-U.S. Knowledge Initiative on Agriculture would be of greater use to the U.S. The integration of the National Rural Employment Guarantee Scheme with carefully thought-out developmental plans; prevention and management of disasters such as floods and famine and the cleaning up of land records are also not to be forgotten. Then come a system to prevent, detect and take care of bio-terrorism against agriculture. Emerging new and exotic diseases of plants and animals need to be tackled by setting up centres of plant and animal disease control. Climate change has to be addressed, bearing in mind the fact that a one-degree rise of temperature can bring down the production of wheat by 5 million tonnes. None of the above constituents of agriculture security has been adequately taken care of.

If a power from outside India wishes to control this country’s destiny today, it is not going to drop a nuclear bomb: it only has to control Indian agriculture. And to do that, it needs to control just seed and agro-chemicals production. The Indian government is not cognizant of this: otherwise, more than 30 per cent of the country’s seed business today would not have been under the control of multinational seed companies. Indeed, a moratorium on genetically modified (GM) crops would have been declared until preparations were made to test them adequately.

As regards education, the most important division in the country today is between those (numbering less than 10 per cent) who have access to good education and those (adding up to more than 90 per cent) who have only education without any value. The former are the rulers and the latter are the ruled.

With the extensive commercialisation of both school and higher (including professional) education leading to a university degree, education has become a commodity to be sold and purchased. India is perhaps the only country in which this has happened so extensively, with the buyer getting the minimum that the seller can get away with. So a private school has no hesitation in charging Rs.10,000 as laboratory fees for a Class I student, and there is often no correlation between what is charged and for what amount the receipt is given. You could sometimes get your required registration and university affiliation for an engineering, medical, pharmacy or nursing college that you are setting up by buying off the inspection team and officers of the accreditation authority. It is no surprise, therefore, that 80 per cent of the engineering graduates (in fact, graduates in all areas) India produces are unemployable.

Till the 1960s, there was no commercialisation of education, and government-run or trust-run schools were uniformly good. The children of the rich and the poor went to the same school, and the rich and the powerful had a stake in government schools. Now only the poor send their children to government schools; they might as well not do that too for, at times the school may exist only in name or the designated teacher may not come for weeks on end. Or, if he is a little more considerate, he may send a surrogate replacement for 20 per cent of his salary which he would compensate for by engaging in a more lucrative business activity during school hours.

The Right to Education Bill that has just been passed by the Rajya Sabha and the Lok Sabha, if it is notified by the government, will only be a boon for those who make money in the school business, while it will be a disaster for those who have no access to education today. Unfortunately, that is what the rich and the ruling classes want. For education is the most important weapon of empowerment, and the best defence against exploitation.

To be truly independent as a nation, and to maintain national dignity, India needs a knowledge society in which every citizen has a minimum amount of knowledge. The country can do that only by decommercialising and decommodifying education and setting up a common school system (for which there has been a continuous demand since the days of the Kothari Commission in the early-1960s) in which the students of the rich and the poor in the same neighbourhood would be studying in the same school without paying any fees, and with a new curricular framework. That is the only way for us to ensure education security.

As regards health security, the lack of a sense of ethics in the medical profession (with some exceptions granted), and corruption in the Central Government Health Service, in the corporate health sector, and in the Medical Council of India, are matters of common knowledge. Inflated bills, pay-offs, unnecessary medical tests and a lack of general physicians are all well-known and well-documented phenomena. In Bhopal on September 24, 2008, a gas tragedy victim was denied medical assistance in the Bhopal Memorial Hospital which was permitted to be set up by Union Carbide expressly for the gas tragedy victims; he died the next day while waiting in the hospital. But who cares?

Our rural health-care scheme covers just a few diseases. Contrast our health-care efforts with that of China’s recently announced well-thought-of programme of spending $124 billion to modernise its national health-care system in the next three years.

We seem to really care only about the requirements of countries such as the U.S., the multinational companies, and the top 15-20 per cent of our rich and the powerful. According to an article in The Lancet (May 16, 2009), a small country like Ghana lost $60 million since 1951 which it spent on training health workers who have migrated to the U.S., the U.K. and Canada. The U.K. alone saved £103 million in training costs by importing Ghanians. It is unclear what the corresponding figures are for India and the U.S., but there is no doubt that the U.S. will be the winner.

Ironically, the Indian government can do everything required to ensure agriculture, education and health security. The Green Revolution was based on our own varieties and not seed companies’ hybrids. Some of the best schools in the country even today are the Central Schools, or Kendriya Vidyalayas. And many of the best institutes of higher learning in every sector are government institutions. Some of our best hospitals, such as the All India Institute of Medical Sciences in Delhi, the Post Graduate Institute of Medical Education and Research in Chandigarh, and the Christian Medical College Hospital in Vellore, are run by the government or a trust without a profit motive.

If the present Indian policies with regard to agriculture, education and health security continue to be pursued, there could well be a civil war in the next 10 to 15 years.

Malnutrition death in India

Despite decades of intervention, child malnutrition remains a shameful paradox in an India that aspires to occupy a larger global economic space. As a recent report in this newspaper revealed, “severe malnutrition” claimed the lives of over 450 children under the age of six in Madhya Pradesh since May 2008, reflecting the State government’s abdication of a basic duty. This is also symptomatic of a chronic social failing: the inability of governments to put deprivation issues at the centre of economic policy. Decades after planned economic development and targeted interventions, India has not achieved acceptable child nutrition levels: 38 per cent of its children aged under five are too short for their age (stunted), 15 per cent are wasted (too thin for their height), and a shocking 43 per cent are underweight, according to the World Health Organisation (WHO) data. The percentage of underweight children in other developing countries such as Brazil (four per cent) and China (six per cent) makes it clear that India has to go a long way before it could stake a realistic claim as one of the world’s emerging economic powerhouses. The country also risks the possibility of losing out on its advantage of “demographic dividend,” unless it makes urgent political and administrative interventions.

Action is required on two fronts. At a broader level, a nation’s nutritional well-being is directly linked to local food security. The frequent recurrence of the blight of malnutrition, despite an improvement in the food inadequacy status of households — the figure dropped from 4.2 per cent in 1993-94 to 1.9 per cent in 2004-05 — proves the continued validity of Nobel Laureate Amartya Sen’s proposition that food deprivation is the result more of distribution inequalities than the lack of food. Correcting this systemic inadequacy is the larger challenge; but improving the working of the Integrated Child Development Services (ICDS) is something the State governments can do if they had the political will and vision. The World Bank’s 2005 study on the working of the ICDS highlighted three important mismatches: the gap between design and implementation, the neglect of the poorest and the most vulnerable, and the poor quality of services. The National Family Health Survey-3 showed the States that had well-designed health intervention schemes such as immunisation programmes and maternal care fared better. There is much the State governments can do to prevent such shocking relapses into deprivation. Making local administrations accountable is a much-required first step to mainstream development issues into the political agenda.