Showing posts with label debt. Show all posts
Showing posts with label debt. Show all posts

Tuesday, March 06, 2007

Distressed CM, Distressed Babus, Distressed Farmers

With the Maharashtra Chief Minister, Bhau Vilasrao Deshmukh, taking immediate steps at damage control, and to plug the bureaucratic leaking hole, created by the state government's affidavit regarding the delayed release of Central funds for the distressed debt numbed, cotton farmers of Vidarbha, it is clear that the Vidarbha issue is beginning to cause some spin off distress, among the sections of Indian society which have an assured income every month.
As against the farmers, dependent on faulty weather, farm exit policies, political corruption, monopolistic private sector intervention in agriculture and countless other problems.
It started off with the Relief Commissioner,, Sudhir Kumar Goyal, IAS, donning the cap of a seasoned farm strategist and philosopher, and claiming that the Vidarbha farmers were victims of a lopsided system, where they were trying to generate profits from GM cotton farming in non irrigated areas, high cost inputs, low incomes. Shri Goyal initially was persuaded to conduct political damage limitation excercises.
Shri Goyal never felt the need to tell us who approved large scale GM cotton experimentations with Vidarbha farmers in the first place despite a sprawling agricultural science network existing in India. Even more GM specific laboratories and extension institutes are being rapidly planned as India exceeds China in GM crop coverage.
Now with Congress being rudely voted out of power in the state elections in Punjab and Uttaranchal, despite, the visits of Shrimati Sonia Gandhi, the central Congress think tanks, are beginning to get sleepless nights, and the tough talking, pesticides in mother's milk, Cricket Minister and the fair play Sensex Minister, whose photos with top industrialists were splashed all over the media, while Vidarbha farmers were denied even a ten minutes appointment, are being asked to have a relook at the rural agrarian situation in Vidarbha, much to their dismay.

Not surprising, that the bureaucrats lower down in the pecking order, are beginning to speak out their minds at political incompetence and callousness, that begins from policy levels in New Delhi itself.

Somebody at some level, low down in the IAS bureaucracy and babudom in Maharashtra, took the decision, to defend the state Congress government's handling of Vidarbha agrarian crisis, in a court affidavit, and blame the PMO, for delayed release of funds, promised by Shri Man Mohan Singh himself.
Shri Singh in his much publicized Vidarbha visit, had announced a whopping Vidarbha Relief Package, the internal details of which, however, were known only to Oxbridge economists and think tanks sitting in South Bloc, New Delhi.
Shri Singh followed this up with his passionate advocacy of unleashing a Second Green Revolution on Indian farms, private sector entry into food retail, and advocacy of the need for raising farmers out of debt with rising incomes, so that they can share in the fruits of the Shining India that is sweeping Indian cities and economy, as is their due.

But then, what was not clarified, that a large scale Farm Exit Policy, is already underway in India, with senior economists, think tanks and bureaucrats, unanimous, that farm income dependant Indian populations must somehow or the other be reduced in percentage, before the WTO Doha hand shake takes place with Pascal Lamy, US and Europe.

So call it a gaffe, call it a faux pas, call it bureaucratic distress, somewhere in the lower echelons of Indian bureaucracy, some people are feeling the pressure, and feeling the need to let off some steam in court affidavits and media manipulation, if in nothing else.

Maybe Bhau Deshmukh and Shri Pawar, will succeed in damage limitation by praising the excellent support from PMO in making the Vidarbha crisis intervention a major feather in his cap.
He has been quoted as saying "We sincerely appreciate your concern over the high incidence of farmers' suicides. The assistance from the PM's relief fund has been of immense help to needy families in Vidarbha."

But then, Indian democracy, may show a different door to these ministers, begging for 3-4 extra years under their political supervision, before the urban gains in Indian economy, are transfered to Indian rural areas.
Vidarbha is too important an electoral bell weather for Congress to disregard and take casually.

Friday, February 16, 2007

No government on earth can subsidize 60% Farmers

Dr Sudhir Kumar Goyal, Divisional Commissioner, Relief, Amravati, in an interview, has said that immediate relief had been given to farmers where interest worth Rs 782 cores had been waived off. But the entire loan cannot be waived. "Subsidies are given. But no government on earth can give subsidy to 60% of its farmers."

The Vidarbha farmers have been given fresh loans, which Dr Goel said was three times more than in the past.

This is called "singing a tune as per the ears of the listener". This is a sure indication that Congress political bigwigs are beginning to wake up to the rural crisis in Vidarbha and are being given instructions to dirty their white cotton linen kurtas and designer goggles. Politicians are now instructing bureaucrats to begin to appear reasonable and avoid the image of apathy and callous behaviour towards farmers.

After years of hiding the facts, then cautiously being forced to admit it, in the face of rising media pressure, local government officials have begun to sing a different from the tune that is being sung by the Indian Prime Minister, the Sensex Minister and the Cricket Ministers.

Let us see in which direction, the issue of Indian farm suicides heads now. Congress cannot risk an electoral rout in Vidarbha. It is now a matter of time before top Congress think tanks begin to look at the issue of agrarian suicides. And yes, they will first ask the Indian bureaucracy to shoulder the blame rather than take the blame on faulty agricultural prescriptions of last six decades which skim rural surplus for industrial subsidization.

Attempts will now be made to blame the plight of Vidarbha farmers, on faulty implementation of the Vidarbha package announced by the Prime Minister.

The real question not being asked is why, when the richest consumers on earth are shifting to wearing cotton, cotton growers in India are committing suicides.

Linen suits retail for Rs 8000, and cotton trousers are retailing in Western markets for Rs 2500.
The WTO Multi Fibre Agreement is rolled out and yet the Vidarbha cotton growers are suffering.
Should they not have been the richest farmers in the world by now ?
Is the Divisional Commissioner of Amravati not still talking on behalf of his masters and trying to sell a new story to the cotton farmers of Vidarbha ?

We will now hear many different perspectives on why farmers are committing suicides but people are still not ready to do a stock taking of the last six decades of New Delhi and Mumbai backed plunder of Indian rural areas.

Friday, January 19, 2007

Daksha Ignores Shiva

In Hindu mythology, Daksha is regarded as one of the progenitors of mankind. Daksha is also known for being the father in whose house, Uma or Parvathi took birth. The great yagya instituted by Daksha, is known to many Indian villagers, who believe in the virtues and faith of Parvathi, as representative of the family devotion that a married woman is expected to have in the Indian rural setting towards her duties and well being of her family.
Needless to say, India is no more the same India, nor is Bharat the same Bharat. Bharat from which India took shape, is these days trampled by urban interests and neglect. We now hear that after farmers of Vidarbha, Maharashtra, Andhra, Kerala, farmers of Uttar Pradesh, from where Mrs Sonia Gandhi contests parliamentary elections, are also learning the virtues of desperate mass suicides as the visible face of Indian government's agricultural policies and undeclared farm exit policy.
U.P. farmers too, are joining the Indian farm band wagon, and also taking to suicides, to escape the fate of rural debt, and forcible land and assets recovery operations, that Congress economic policies are leading them towards.
I do wonder, when the Farmer Leaders will give a call for farmers to Quit their Land in the villages and make a mass exodus for Indian urban life.
"Apni Zameen Chhodo" -
Indian urban life, is a fast emerging paradise, that even the likes of Tesco, Walmart, Marks and Spencers, Adidas, Nike, European banks and investment majors, financial services companies, are eyeing with great affection. So why not the Indian farmer ?
Why is the Indian farmer unable to see the charm and attraction of Indian urban life ? Anyone who puts on a thinking cap, knows that is " where the action is ".
Gaon Chhodo, Shahar Chalo - this I am sure is the only solution to the problems of Indian farmers. Chinese farmers of course have restrictions on their migratory freedom. Indian farmers need to make the best of their current migratory freedom, before some legislation in India, bans them from voluntarily leaving agriculture.
Maybe, the Indian farmer is still traditional, illiterate, old fashioned in his thinking, and steeped in traditions, and thus feels hesitant about going to the house of his daughter in law in the cities, to escape his dire situation. But yes, one of these days, the Indian farmer will have to understand that his future, depends on discarding his false pride and moving en masses to the house of his daughter in law (bahuriya ka ghosla), who lives in the city.
There will surely be initial discomforts and hiccups, but overall his situation will improve for the long term better. All the leading so called economic pundits of India, say with a wink .. "afterall, no gain without pain.." Some use more fanciful terms like structural adjustments.
"Bahuriya ke ghar chalte hain" ... this must be the song on the lips of Indian farmers. And of course, there can be some very good lyrics to accompany this song title. And music, oh, just think of the sheer creative possibilities of setting this song to lilting music and celebratory thumkas, dhol and drums, shehnai and guitars, folk as well as modern versions of the songs, will sell exceedingly well in all the outskirts of Indian cities. Who said there is no money to be made in entertainment from rural areas ?
T-Series can bring out a "Top Collections" of Aaj Ke Kisan Ki Awaaz - casette and I am sure it will make some people very, very rich.
"Ab der kis baat ki bhaya, bahuriya ke ghar chalo, bahuriya ke haath ki chai shahar chal ke piyenge, mastee se pade rahenge, TV aur fillum dekhenge ...".
Farmer leaders, need to give this call in every Indian village, and then see how the pessimism of Indian farmers changes to long term optimism. Suicides rates will come down and urban areas will experience unprecedented growth.
Indian GDP projections will go straight out of the roof, foreign investments will shoot up, stock brokers, investment consultants, forex experts, hedge funds and wealth managers will make a beeline for India.
The Indian Finance Minister, Commerce Minister and Agriculture Ministers, will be parcelling out, rapid fire, 5 minute appointment slots, as European business leaders, and trade delegations, line up outside the Delhi, South Bloc offices. Things will become terribly busy for these three ministries and 24 hour days will be short.
China will be forced to reconsider its ban on farmer migrations to urban areas, industrial labour strategies, Special Export Zones, as it feels that the yawning Indian Tiger will shoo away, if not swallow, the Chinese panda. Maybe, in return, the border row will also be forgiven and forgotten, as Indians and Chinese premiers, embrace to kiss and tell and sell. They will wonder how the Indians have woken up to the powerful strategy of an undeclared Farm Exit policy, and taken a page from their manuals.
The Chinese will try to read up on the wonderful economic strategy, and whisk away the secret team of economic think tanks, of Indian political and development planners, for trebling growth every Five Years. And mind you, not just wishy washy future projections and PowerPoint slides, but real, solid statistics.
But while everyone will see the merits of this approach to economic restructuring, the Indian farmer may still fight shy of overcoming his old fashioned views of not going to the house of his urban daughter in law. For after all, he stills lives under a " false sense of pride ", and refuses to learn anything at all from the TV soap serials that attempt to mentally prepare him for his urban push and how he must carry himself in the cities.
And yes, to delay his decision, on this uncomfortable lifestyle choice, he will raise silly, diversionary questions.
Like ...
... who will look after the village lands in my absence, will they not become fallow ?
... who will feed the birds that gather daily around me ?
... who will reassure the buffalo and her calf every morning at dawn ?
... What if the daughter in law refuses to make chapatis ?
... What if I nostalgically miss the village banter of childhood friends around the hookah ?
Yes this is certainly tricky, and maybe some expensive psychiatrists, corporate gurus, motivation pundits, lifestyle trainers, can be persuaded to offer motivational sessions for Indian farmers as they ponder the question of significant lifestyle changes.
For after all, reading the writing on the wall, is what all consultants are about. Swallow the bitter pill now else...a stich in time, saves nine...etc, etc
After all, a sniff of the countryside will do them also some good, now that six lane excellent highways have been laid for their Toyota Corollas, in the name of upgrading rural infrastructure.
As regards, the farmer assets, left behind in the villages, no need to worry, Indian bankers, economists, agricultural scientists and Planning Commission, can take just what they want... maybe we can have a whole range of new, innovative, courses in Agricultural Research and Extension Institutes on - Best Practices for Leaving Fertile Land Fallow - How food crop seeds can be treated for 5 year delayed harvest - after all who in his right mind wants to do Contract Farming in the villages of India ?
Maybe switch roles for 5 Years and see the success of this Alternative Five Year Plan ?
Any ISB Hyderabad grads out there who want to try this strategy of making India a Global Power ? If the Railway Ministry can inspire Kellogg and American management under grads, why cant we inspire ISB grads ? The whole world has its eyes on us now.
Think outside the groove... that is what they say, dont they...

Thursday, November 30, 2006

CandleLight Vigils - Mohan Dharia

The sheer logic of Indian democracy becomes evident, when the politician is forced to go back to the electorate at least every five years. The electorate also knows very well, that next time, they will see the politicians emerge, from the corridors of the various Sabhas - Lok, Vidhan, Rajya, etc, will be about four and half years later, unless of course there is a court decision or some such toppling of the cart.
There is no doubt that after the whirlwind tours of Shri Man Mohan Singh, and Maharashtra Chief Minister to the Indian killing fields - farming lands - the politicians lower down in the pecking order, would all feel they have been pardoned from making a beeline for the rural countryside and spoiling their white linen kurtas and designer goggles.
The Indian Finance Minister, of course thinks that, when there exists an Agriculture Ministry, and a Planning Commission, for super annuated politicians and retired farm leaders like Sharad Joshi, Ajit Singh and Tikait, there is no need for him to even open his mouth, on Indian countryside and farm issues. His remit is basically stock markets, and the tax system, pulling the strings of the IRS bureaucracy.
The countryside, ah, the votes are still there. Of course, the politicians might do so a bit sooner, if Sonia Ji decides to jolt them, bolt them, or scold them.
Some people are surely now playing a wait and watch game. Where this issue of Indian farmer suicides will now go, and how much of an impact it will have on election prospects for Congress in the next elections ? These calcualtions will soon begin in earnest.
As always, with the loyalties and royalties, well known inside Congress, people are wondering when Mrs Sonia Gandhi, will take on the image and role of Mrs Indira Gandhi vis a vis the Indian farmers and the Second Green Revolution. Mrs Indira Gandhi created an entire infrastructure of institutions to solidly underpin the first Green Revolution.
This Mrs Gandhi is only talking of Second Green Revolution, lulled by the Leopold and Oxbridge awards.
It is only when she decides to take note of the farmer suicides, that the scramble for farmer votes will be activated by push button, within Indian Congress party. Till then, it is wait and watch, apart from cursory suicide figures, being read out from a note prepared by an IAS bureaucrat, by Shri Sharad Pawar in Lok Sabha. Till then, business as usual for Mr Chidambaram, RBI Governor and Congress politicians.