Wednesday, October 24, 2007

No thought given to cooperative farming

The Statesman, 24 October

If land reforms is a transitory phase to move on to industrial development, it is implied that the process is completed and there is an increase in the purchasing power of the farmer. Then why do starvation deaths haunt us, asks MANAS BAKSHI

The Left Front came to power in West Bengal for the seventh term banking on, among other things, its election manifesto which sought industrial development. And the argument for accelerating the pace of industrialisation was against the backdrop that not only has the growth of industrial sector in the state been long neglected, even the existing industrial units are facing setbacks one after another following labour unrest, managerial incongruities and so on. The result has obviously been closure of several sick units, jute mills and tea gardens.

Now that the air of globalisation has started blowing and SEZ has become a catchword for both the Central and many of the state governments, it has become imperative for the West Bengal government to bolster industrial development.

It may be recalled that so far agricultural development through implementation of various land reform measures and active participation of the three-tier panchayat bodies has been emphasised. And now, when to woo big industrialists both Indian and alien, for sizeable investments, acquisition of farmland has become a crucial issue, a vital question that crops up is: have we reaped the full benefits of land reforms?

A proper analysis of the ground realities will reveal that whatever success could be achieved through Operation Barga, vested land recovery, its distribution and carrying out of various government sponsored schemes up to the 1980s had its impact till the early years of the 90s. But since then, progress in the agricultural sector of West Bengal has been almost stagnant.

So much so that share of agriculture in the SDP is at present only 26 per cent, that of industry and service sector are 24 per cent and 50 per cent, respectively. It may apparently be construed that West Bengal has gone ahead as far as the service sector is concerned but the reality is different because education, health, entertainment are also included in the service sector, and even software which actually belongs to the industrial sector.

Now, if transition from agriculture to industry is accepted as a definite economic consequence, share of agriculture in the SDP needs to be slashed from its present 26 per cent ~ but to what extent? No clarification in this regard is available, though the West Bengal government plans to acquire immediately a total of one lakh acres of land for projects in the pipeline like IT parks, food parks, biotech parks and of course, SEZ. Notably, vested land available to the extent of 23,000 acres may be used for other projects, but for SEZ, it is insufficient and acquisition of farmland cannot be avoided.

Here lies the problem because arid or wasteland is aplenty in some of the economically backward districts of West Bengal like Purulia, Bankura or Birbhum. Acquisition of land for industrialisation or urbanisation would never have posed a problem there, but that is no choice for the investors because of lack of infrastructural facilities and paucity of other services in those areas. Capitalists are interested in areas where infrastructural and other facilities are available along with government backing.

Unfortunately, many jute mills and other industrial units located in and around Kolkata are closed for several years and the number is on the increase. Why is no effort being made for industrial investments there? As pointed out very recently by a Forward Bloc leader that out of 700 acres, nearly 400 acres in Hind Motors is lying unused. Why isn’t the Left Front government spearheading new initiatives there?

To thwart such questions, the reason advanced is more sarcastic than anything else; that is, for setting up a big industrial unit, large area of land is required at a time ~ some fragmented small plots of land will not serve the purpose. Moreover, there are some legal snags which will take time to be removed. Certainly, big investors are not ready to wait. The owners of small plots of agricultural land who are large in number, will have to sacrifice; and industry will flourish, urbanisation will take shape at the cost of two-to-three crop farmland ~ even by way of forcible acquisition.

It is often being said by the LF leaders, explicitly to negate the farmers’ emotional attachment with land, that acquisition of farmland is the only way to industrialisation ~ for industry can’t be built in the air. True, equally true is agricultural activities can’t be carried out on the roof of a shopping mall or a sky-scraper. The approach should, therefore, have been a pragmatic one. Before wooing the industrial barons, there was the need for a broad-based discussion with the opposition leaders as also farmers’ representatives; there was also the need for setting up a land bank to draw a proper land map on the basis of investigation, to identify land for acquisition safeguarding, as far as possible, the farmers’ interests, and above all, to determine the mode of compensation and way of rehabilitation of farmers losing their farm-based livelihood. Instead, it has been rash to rush for land acquisition for Tata Motors at Singur and the chemical hub at Nandigram. It has only set Singur on turmoil and Nandigram on the boil ~ the all party consensus still being awaited.

If, to fulfil the demands of industrialisation or urbanisation in consonance with market economy, land acquisition is imperative, it is also imperative to satisfy the demand of paying the market price for farmland. Be it the UPA government at the Centre or Left Front in West Bengal, all are hell-bent for land acquisition for SEZ offering enough incentives, including tax exemption. But scanty regard is being given to protect the interests of the farmers as far as market price is concerned.
Needless to say, in West Bengal, where land is acquired directly by the government at a price predetermined by it, to offer it to the industrialists, little chance is left to verify the price with the prevailing market rate ~ let alone the scope for considering the productivity-linked or market-oriented appreciation in value.

Even if the price appears compensatory, questions that come to the fore are: first, if a plot of land is accepted as an economic unit, it is not without the salient water resource, capacity to maintain ecological balance and other fringe benefits which factors, if taken into consideration, can hardly be compensated in monetary terms only.

Secondly, what about the large number of landless labourers who can hardly be absorbed in other occupations while being deprived of compensation of any kind.
Thirdly, claim of the sharecropper to a three-fourth share of crop where the cost of production is borne by him is an issue which was heralded at the time of implementation of Operation Barga. Why is compensation to them one-fourth of what the landowners are entitled to? In fact, both are being forced to accept some sort of a VRS from land-based occupation.

Fourthly, the number of sharecroppers not officially recorded is no less ~ what will be their fate? Could they be absorbed in the proposed industries? The questions are numberless.

Let us move on to another aspect. It is being harped on by many a Left Front leader that land reform measures were adopted in the interest of industrialisation and urbanisation that could facilitate scope for rural people taking advantage of hi-tech living. For a farmer’s son ought not to remain traditionally a farmer: he should have the amenities of modern life that his present non-remunerative agro-based livelihood can’t afford.

The dream is sweet, no doubt, but is far from reality. Right now, the number of registered educated unemployed in West Bengal is 77 lakh. Add to this the number of disguised and not yet recorded unemployed. Then comes the question of those who will now lose their land in the prospect of employment in future. Even if one person from each family losing farmland for industry is employed, the problem associated with fragmentation of land in case of inheritance will remain the same ~ because all of the same family can’t be given employment.

If land reforms is a transitory phase to move on to industrial development, it is implied that the process is completed, and land reforms has come full circle which means, among other things, an increase in the purchasing power of the man in the farm. If that be the case, why do starvation deaths haunt us from Amlasol to Baghmundi? More alarmingly, why, as per National Sample Survey, West Bengal ranks high among all other states as far as the percentage of unfed families for some months in a year (10.6 per cent) is concerned? And this against the backdrop of the vaunted land reforms, Boro revolution, decentralisation of power through panchayats.

In reality, it is the purchasing power that is virtually emaciated ~ especially in case of the landless labourers who are absolutely dependent on agricultural activities but hardly get work for whole of the year mainly because of non-availability of substitute work.

It is a pity while returns from the farm sector is often branded non-remunerative, seldom any attempt has been made to catch up with cooperative farming. Cooperative farming, corporate farming could not only pave the way for utmost utilisation of human resources, but could also ease the process of marketing, from production to distribution of agro products, freeing it from the shackles of middlemen. Various agro-processing industries could also develop under such farming. What is more, it could ensure the livelihood of a large number of landless agricultural labourers. Unfortunately, it has not happened like that.

It pains one to think that the so-called Left forces were once vocal against privatisation. And now, in its bid to open up doors for industrial growth and broaden the scope for SEZ, the Left Front ~ instead of taking up the gauntlet itself with its own efforts ~ is banking on the private sector more than ever before.

(The author, a doctorate in Rural Economics, has to his credit the book “From Feudalism To Capitalism ~ A Case Study Of Agrarian West Bengal, 1920-80)

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