Monday, December 24, 2007

BABU GENU: a Swadeshi martyr

BABU GENU: A TRIBUTE TO A MARTYR

He was a congress party worker in the pre-independence era. Yet not many congressmen today may know him. Very few even within that party (or for that matter in any other political party in India) today may realise the profound significance of the message contained in his life. Fewer still would be in a position to recall the same. Even old timers within the Congress would be unaware that he was a four-anna member of the party – his registration number being 81941. None from his family benefited by his “joining” politics or the congress party, nor did he did not leave behind a “rich” legacy.

Though he was sad on hearing the news of the death of his mother, he confessed that he was in a way relieved at her death as it gave him the necessary leeway in life to fully devote himself for the cause of the nation. Being a fully dedicated volunteer to the cause of India’s independence; he did not have enough time and leisure to attend his brother’s wedding. Contrast this to the vulgar display of wealth in the marriages of those who are in power in modern times in India!

He was Babu Genu. On this day seventy-seven years ago (12th December 1930) Babu Genu was killed in the most gruesome manner while attempting to stop a speeding truck in Mumbai from carrying imported materials from Britain. Babu Genu lay on the ground before the speeding truck in the New Hanuman Road at Kalba Devi at around 11 AM on that fateful day in an attempt to prevent foreign goods from entering the Indian soil.

Even as the police were physically preventing him and his colleagues from participating in this non-violent protest, Babu Genu never gave up his resolve to stop the trucks. The truck driver - Balbir Singh – an Indian would come close to the protestors and stop for he would not and could not drive over fellow Indians. Seeing this, the police once again intervened and physically removed the protestors from the road to enable the truck pass through.

Freeing himself from the policemen gathered there, Babu Genu once again lay on the road in another attempt to prevent the passing trucks. Seeing the procrastination of the Indian driver the British sergeant lost his temper and took on himself to drive the truck at full speed over Banu Genu crushing his head and leaving behind a pool of blood and mass of flesh. Babu Genu was seriously injured and within hours passed away. He was in his early twenties when he died. Yet his life is a message to every Indian.

A brief life history

Babu Genu was born in 1908 in a poor family in Pune district of Maharasthra – a family that was steeped in abject poverty. The only prized possession of the family was a bullock that was used for farming. His father was a farmer and the other members of his family were his mother, two elder brothers and a sister. His father passed away in 1910 when he was a mere two year old child.

And when the bullock died too – a terrible tragedy for the family given their economic background - his mother unable to continue living in her village migrated to Mumbai to earn her livelihood as a domestic help. She left her sons back in the village in the care of some neighbours

All this meant that Babu was deprived of formal education in his formative years. Yet that did not mean that he was neither ignorant nor unaware of the issues confronting the country. After a spending a few years in the native village Babu Genu joined his mother in Mumbai. As his mother could not support his stay in Mumbai Babu Genu was compelled to seek employment as a casual labourer in the mills of Mumbai.

On many days he would not get employed. This did not deter him and he did not feel left down. Quite the contrary that gave him enough time and space to interact with the leading lights of independence movement in Mumbai and in the process understand it in different perspective.

Babu Genu was highly influenced by the sacrifices of Lala Lajpath Rai and the trio of Bhagath Singh, Rajguru and Sukh Dev. Yet he was wedded to the cause of non-violence and satyagraha as enunciated by Mahatma Gandhi.

The message of his life

As briefly mentioned above Babu Genu was not formally educated. Yet he understood the symbiotic link between geo-politics and geo-economics. He understood that the geo-strategic interests of the British Rule in India. He knew that economics was the driving force of British rule; establishment of the British Raj was merely a ruse to perpetuate the economic dominance of the British over India.

It is in this context Babu Genu understood the socio-economic-politic arguments propounded by Gandhiji and its significance. That meant that should the British rule were to be economically unsustainable it would collapse as there would be hardly any incentive for the British to continue their rule in India.

He knew economic independence of India was interlinked, intertwined and integrated to the political independence – a fact that escapes the attention of our political and the debating class today. He was fully aware that the no price could be less by any yardstick for the economic independence of the country. For there lay the key to political independence of the nation. No wonder he did not hesitate to make the supreme sacrifice of his life for the cause he so dearly believed.

Decades later as the nation is in search of the economic model that is suited for its development (and crucially what that development means) one may be tempted to dismiss Babu Genu’s economic thoughts as primordial, xenophobic or simply anachronistic. Yet one cannot and should not dismiss the message contained in the life of these great men, who literally and physically in broad daylight, gave their life for upholding their beliefs.

Why? Firstly, that is so because the fact of the matter is that we the present generation live in independent India only because of the noble thoughts, selfless actions and supreme sacrifices of these great men. That is the least a nation may do to express its gratitude to such great men.

Secondly, and the far more important reason is that the context of the life and history of Babu Genu may seemingly differ significantly from what it is prevalent in India today.

Yet, the text does not. Global powers clearly have a well-designed agenda – read global order - in imposing their will, thoughts, ideas and beliefs on others. If it was political domination through religion in the first millennia after Christ, it was done through the army in the second millennia. What is feared is that it could possibly be through economic intervention in the third.

Unfortunately, this brief history of mankind and a grim reminder of how the world looks at others and the manner in which it seeks to engage others – as one of that has to subjugate and ones that need to be subjugated. Surely, it is not how we look at the world or presume as to how the others look at the world – as one of near equals.

As the ideas and ideals of the likes of Babu Genu fade from our collective memory, one is tempted to only quote the oft-repeated cliché: if you forget history you are condemned to repeat it. Obviously, to assume that global economic interests are completely independent of geo-political intentions or devoid of conspiratorial motives in these modern times would be childish to say the least.

Yet this is what we seem to have done for the past several years. And the spectacular growth of our economy in the past few years seems to have made us oblivious to this risk. And that would mean necessarily understanding, redefining and recalibrating our concept of growth and development. Lop sided growth in recent years of our economy, rising disparity of income and crucially lack of genuine economic opportunities point out to a serious systemic imbalance, especially in the manner in which we have engaged the world – politically or otherwise.

And to correct the same we need to get our priorities right. It would be a fitting tribute to the life of Babu Genu if we could get our priorities right in our economic policies and begin afresh the debate on our development and growth and the terms by which we should engage the world, both in global politics and economics. And that in my opinion would be a fitting tribute to Babu Genu on his martyr’s day.

M.R.Venkatesh

The author is a Chennai based Chartered Accountant. He can be contacted at mrv1000@rediffmail.com

Friday, December 14, 2007

Remittance flows a great poverty alleviation tool

Remittance flows a great poverty alleviation tool, says report

A study commissioned by the UN agency International Fund for Agricultural Development (IFAD), estimates that remittances -- the portion of migrants' earnings sent back to their families -- reach 10% of the world's population, most of it in the developing world.

An estimated 150 million migrants worldwide sent more than US$ 300 billion to their families in developing countries during 2006.

There are over 50 million migrants from Asia and the Pacific. India is Asia's main exporter of migrants, accounting for 22% of total migrants. Asia receives almost US$ 114 billion in remittances annually -- the highest regional total in the world. And India is the top recipient country, receiving US$ 24.5 billion.

The impact of remittances on rural areas in developing countries in Asia is substantial. In Asian countries that are 65% or more rural, the ratio of remittances per capita to per capita GDP is 23%, and the highest in the world.

These funds are used primarily to meet immediate family needs but a significant portion is also available for savings, credit mobilisation and other forms of investment.

The report calls remittances the world's largest poverty alleviation programme and says it could become an effective grassroots economic development programme, particularly in rural areas that present some of the greatest challenges to financial inclusion.

To aid and enhance the process, the report suggests improvements in data collection, reduction in transaction costs, and increased efforts to leverage remittance flows for greater development impact.

Many Asian migrants and their dependents do not have access to basic financial services. For example, only 11% of Indians in the state of Kerala -- a major exporter of labour -- have bank accounts. Transaction costs too can be high in some countries, as much as 3% per transaction in Central Asia.


Wednesday, December 12, 2007

Nandigram Massacre - dual face of the Marxists exposed

NANDIGRAM MASSACRE

Following the adage of Deng Xiao Peng that the colour of the cat is immaterial as long as it catches the mouse, the Marxist’s attempt in Bengal to usurp the fertile agricultural land of small peasants in the name of industrialization , from the very same people it has so far proclaimed to stand for and the subsequent exposure of ugly sequence of events so far in Nandhigram has sent shock waves across the country. Cracks have appeared not only among the coalition of the left front but also among the wider public. The noted intellectuals, artists and professionals have all condemned the state sponsored massacre of innocent agriculturists. This massacre has been condemned even by the constitutional authorities like the Governor of West Bengal and the National Human Rights Commission Chairman as well as the Kolkata High Court.. The reformer cum mass leader image of Buddhadev Bhattacharya crashed making him run from pillar to post seeking pardon day in and day out. Nandigram today is encircled by armed party cadre of CPI(M), who are terrorising the people. Despite the report of the Governor, the role of the central government is that of a mute spectator, encouraging the goons of CPI(M).

Nandigram symbolizes the wide spread resentment by small land owning peasants and their refusal to part with their livelihood earning asset inherited by generation after generation. Though the opposition and agitation is spread across the country, like POSCO in Orissa and Mangalore in Karnataka, Nandigram generated so much heat leading even to disruption of parliament and the subsequent debate putting the Marxists on the defensive. The nation started sensing the beginning of the end of Marxists Raj in Bengal.

Nandigram should be an eye-opener to other states involved in acquiring agricultural lands of small farmers in the name of SEZs. From IMF to the Finance Ministry all have pointed out the revenue loss of lakhs of crores year after year. It has also been pointed out that only shift in employment and relocation of industries will take place without addition to employment or productive capacity. The Approach paper to the 11th Five year Plan of the Government of Maharastra has timely pointed out that the originators of the SEZs, namely the Chinese Government have admitted mainly real estate activities alone takes place in SEZs and the concept needs rethink.

The SJM fully shares the feelings of the people of Nandigram and assures that it will stand by them in this hour of crisis and in their valiant struggle to protect their livelihood. The SJM hopes that Nandigram will lead to two desirable things; exposure of the dual face of the Marxists and death to the concept of SEZs.

RESOLUTION NO. 3, Swadeshi jagarn Manch, 8th ALL INDIA CONFERENCE, Indore

7 the TO 9 the DECEMBER, 2007

STOP ENTRY OF CORPORATES IN RETAIL TRADE

STOP ENTRY OF CORPORATES IN RETAIL TRADE

The declared intention of the government in various fora to permit FDI in retail trade is highly deplorable. In our country 125 lakhs of small and medium shops exist providing direct and indirect employment to more than 4 crore people.

In this way this sector provides livelihood to more than 20 crore people with employment opportunities next only to agriculture and contributing 13% of GDP. This sector consists of hawkers, cart vendors, street sellers and also small and medium shops. The sector also is known for providing more employment with least amount of capital.

GOVERNMENT’S POLICY OF OPENING RETAIL TRADE TO CORPORATES

Under pressure from MNCs, the government has so far permitted 51% FDI in single brand retail and efforts are on to further open up the sector. After taking over the retail trade in U.S., U.K., the rest of Europe, South East Asia and China, the MNCs have now turned their attention to India. Because of popular resistance, the government is unable to proceed further in its intentions. This has resulted in MNCs making back door entry in association with Indian corporates. Some big Indian companies are also entering the retail trade in a big way trying to increase their hold on Indian Retail Sector.

EMPLOYMENT ENDANGERED

According to McKinsey report, labour productivity in Indian retail trade is hardly 6% of what it prevails in U.S., In other words every job created in organized retail trade displaces 15 jobs of normally less educated people in the informal sector who cannot be employed elsewhere leading to high unemployment among ordinary people.

OTHER DANGERS

The entry of corporates will also affect the productivity of Indian manufacturing sector, whole-sale trade and the consumers in the long run. It may be noted that MNC’s finished the shoe industry of U.S., and led to the closure of Coats in U.K. After monopolizing retail trade, these companies start fleecing the consumers. According to a study made by the Fortune magazine, due to monopoly of retail trade. the MNCs sold the goods at a price of 40% over the existing price in Europe leading to increased cost to the consumers.

When the METRO Multinational tried to enter retail trade in Bangalore misusing the whole sale license, due to opposition by SJM–lead traders agitation, the company shelved its plan and also the lost the court battle. Opposition to the entry of MNC’s and Indian Corporates in retail trade continues through out the country.

In this background, the SJM demands that:

01. Entry of MNCs and Corporates in retail sector be stopped forthwith to save the livelihoods of crores of people engaged in the sector.

02. Encouragement be given to the retail trade to modernize and expand their business by provding all out support including tax rebates and finance at an interest rate of 4%.


RESOLUTION NO. 2, Swadeshi Jagaran Manch, 8th ALL INDIA CONFERENCE Indore

7 the TO 9 the DECEMBER, 2007


GOVERNMENT SPONSORED AGRICULTURAL CRISIS

GOVERNMENT SPONSORED AGRICULTURAL CRISIS

The policies of globalization, liberalization and new economic policies in the name of reforms adopted by the government over one and half decades have pushed the agro crisis to its peak. Increasing number of farmers' suicides demonstrates the severity of the crisis. According to the government’s own statistics over 1.5 lac farmers have committed suicides so far after adopting new policies and the attitude of the government towards farming community continues to be indifferent. If the same situation continues the country might have many suicides in the years to come. The rehabilitation package announced by the Hon’ble Prime Minister could not give adequate relief to the farmers entangled in debt trap and the corruption of administrative machinery in implementing the package bears testimony to the insensitiveness of government. Lake adequate access to formal credit mechanism made farmers more dependent on informal credit and suffering its consequences.

SEZ A GOVERNMENT PROMOTED LAND GRAB CAMPAIGN :-

In the name of export promotion and development, the government had already approved 408 SEZ in the country and many more are in pipeline. For establishing these SEZs the Union and the State Governments are acquiring huge tracks of fertile and cultivable lands and transferring them to big corporate houses at throw away prices. Those lands which are treated as symbol of pride and also provide lively hood to millions of farmers are being forcibly taken away by the powers that be and in lieu of that the farmers are slapped with ignominy and even mortal persecution more often in the form of firing bullets. Nandigram is a classic example of a State sponsored terrorism to suppress the voice of the rightful owner of land for centuries with sentimental attachment to it. Acquiring huge tracks of fertile land for non-agricultural purposes is threatening the food security of the nation which is already in deep crisis.

INCREASING STRANGLE HOLD OF CORPORATE IN AGRICULTURE :-

Contract farming, genetically modified seeds, import of foreign seed. Futures trading in commodities, APMC Act., retail trade are some of the means through which the government had facilitated the big MNCs like PRO - AGRO, SINZENTA, MONSANTO, DU-PONT ect. to establish their strangle hold in agriculture. Because of the policies adopted by the government in agriculture with the abetment of big corporate houses, on one side the public investment in agriculture sector had sharply declined over different plan periods on the other side the government facilitated corporate investment into agriculture, resulting in unabated loot of farmers as well as consumers. The increasing presence of corporate strangle hold on agriculture had rendered farming as a non-remunerative vocation to small marginal farmers. The government’s documents disclose that about 40% of the farmers are willing to give up cultivation (farming) indicating alarming situation.

LOOMING THREAT ON INDIAN AGRICULTURE DUE TO WTO NEGOTIATIONS :-

Despite the stalemate in WTO negotiations due to the hard and strong positions taken by US and EU with regard to cutting down their farm subsidies, the developed nations are constantly demanding countries like India to provide them more agri-market access, and pressurize the third world countries to take forward the negotiations to suit their requirements. The undue interest shown by our Commerce Minister in building a consensus on the issue could be understood by the citizens. The farm bill, 2007 of US establishes beyond doubt the protective measures adopted by the developed nations to insulate their agriculture from external changes. The changes made to our laws in the form of new Patent Act, Farmers and Breeders Rights Act, Seed Act, etc. in accordance with WTO negotiations have already denied the Indian Farmer of all the rights enjoyed by him traditionally. On one side the developed nations are protecting their agriculture sector and on the other they are pressurizing the developing nations to import minimum percentage of their farm produce requirements, and government of India had willingly succumbed to their pressures due to which the import of agricultural products have reached record heights, worsening the agro crisis in the country. The developed nations have enlarged the agenda for negotiations to under mine Doha development declaration.

STEP MOTHERLY TREATMENT WITH WHEAT FARMERS-IMPORT OF WHEAT :-

For the second consecutive year the government of India had resorted to import of inferior quality of wheat at a very high price of around 400 dollars (2007) per tonne in the name of improving buffer stocks and paying not even half the import price to Indian wheat farmer, who produces superior variety of wheat only shows the extreme bias of government towards MNCs and step motherly treatment with Indian Farmer. When the wheat was imported in the past alongwith wheat came several viruses, weed, pest and fungus with telling effect on Indian farms and farmers had to face the challenge using different pesticides which not only increased cost of production of wheat in India and reduced incomes of farmers but also resulted in erosion of micro nutrients in several states. This time again the government further liberalized the quarantine laws in the country paving way for import of infectious and inferior variety of wheat. The policy of import of wheat had conferred windfall gains to MNCs like Glencore, Cargil, AWB etc. and the corrupt administrative machinery allowed unsuitable wheat throwing phyto sanitary measures to winds. The fact that even cattle refused to eat imported wheat in Maharashtra speaks volumes about the quality of that wheat. Same is the case with many other horticulture crops to cite an example the imported apples from US contained huge pest residue, SJM considers these aspects as instances of bio-terrorism from the west.

THE SJM STRONGLY RESOLVES TO DEMAND :-

01 The government should immediately divorce its love for MNCs, formulate and implement

plans/policies to promote the agriculture in general and farmers interests in particular. The government should enhance budgetary allocation to agriculture from present level of 6% to 25%.

02. To prevent the suicidal tendencies of farmers, the government should announce a package to write of their loans at the same time provide fresh loan to farmers at 3 or 4% rate of interest. Agriculture subsidy be given in the form of cash to farmers.

03. The farmers should be provided with the remunerative prices and mechanism should be evolved to enable farmers to reduce cost of cultivation.

04. SEZ act, 2005 should be repealed and the cultivable lands taken from farmers should be return to them with compensation for damages caused.

05. Ban import of wheat, pulses, oilseeds and other farm products and also implement special plan to increase their production in the country to ensure food security.

06. Promote organic and traditional farming methods with special budgetary allocation to support those activities.

07. Extensive social security measures like oldage pensions, health insurance etc. should be implemented for small marginal farmers and landless poor. Also extend crop insurance to all crops. Proposed Displacement and Rehabilitation Act should not be implemented without detailed survey and consensus.

(RESOLUTION NO. 1 swadeshi jagaran manch, 8th ALL INDIA CONFERENCE, 7 the TO 9 the DECEMBER, 2007