Commentary/Ashok Mitra
The poor are simply not on the agenda
Cynicism, at some juncture, passes into heartlessness. The story
is now out. The regime that came to power in 1991 pressurised
the Planning Commission and the Central Statistical Organisation
into adopting a somewhat dubious method whereby to measure whether
the incidence of poverty has gone up or down in the country over
a certain period.
Those at the helm of government were desperately anxious to prove
the all-round magnificence of the economic 'reforms' not only
were supposed to have given growth; they, it was claimed, had
tackled most effectively the problem of income distribution too:
thanks to the reforms', poverty in the country had declined dramatically
since the 1980s.
Even while this carnival of fiction was making the rounds, in
another corner of the Planning Commission, a committee of experts,
whose credentials were impeccable, were at work to formulate a
more legitimate statistical method of poverty between two points
of time. The committee's formula, and the estimates obtained from
feeding date thereto, were not allowed to see the light of day
during the past quinquennium. A war is a war is war. The reforms
were war; the exigencies of the war necessitated falsification
of some data and suppression of some others.
A new deputy chairman has been installed in the Planning Commission
since last June. He instructed the statisticians in the Commission
to re-do the estimates of the poverty line for the relevant years,
on the basis of the till-now-carefully-shunned methodology. The
results are startling: the proportion of population below the
line of poverty instead of shrinking to 18 per cent because of
the waving of the magic wand of 'reforms' as per the claims of
the previous government, actually rose to about 40 per cent by
1992-93, when the 'reforms' were in full swing.
But there you are, those presiding over the administration in
New Delhi have come to regard poverty as an abstract issue. Discussions
on how to ameliorate poverty, like the ones on how to remove illiteracy,
take place interminably. What emerges is what Karl Marx had once
described as vulgar economics. Numbers and percentages are bandied
about, the reality behind these statistics matter little to either
most of the participants or the establishmentwallahs.
Standard answers are offered for the persistently heavy incidence
of poverty: the fruits of growth in industry, agriculture and
services have yet to percolate down; the problem is being looked
into. There are also other headaches, such as low capital formation
because of the reluctance of grumpy foreigners to invest in our
country. They too cannot be blamed much thought. They cannot but
take into account the current political uncertainties. The incapacity
of the Indian working class to rise above their narrow sectarian
interests has been, don't you know, another important factor impending
the progress of reforms and checkmating efforts to eradicate
poverty.
Does not the real issue lie elsewhere? The poor, despite ritual
formulations in official, including Planning Commission, documents,
are simply not on the agenda. In case they were, the decision-makers
could have taken one or two very simple practical steps to bring
down the incidence of poverty. To pick an example, they could
have stressed the significance of raising the production and productivity
of pulses.
The annual output of pulses in the early 1950s was around 11 to
12 million tons; the production of the grain in any of the recent
years is estimated to be 12 to 13 million tons. That is to say,
within this entire span of four and a half decades, the output
of pulses has moved up by barely 10 per cent. The country's population
has jumped three times over these decades; the overall production
of foodgrains has increased at least four times. Per capita availability
of foodgrains for the major food articles has either remained
stable or has improved.
Pulses however do not fall into that category. The per capita
availability of this grain has shrunk by more than one-half. Irrigation
has brought newer areas under cultivation, the acreage under all
crops, food and non-food, has increased significantly. Not so
in the case of pulses. Acreage under pulses has stayed stagnant
at the level of 20 million to 22 million hectares throughout the near
half-century. None has bothered about inducting new technology
in the cultivation of this grain.
Come to think of it, this decline in the per capita availability
of pulses encompasses a grand Indian strategy. Pulses are known
to be an inferior grain. As they have ascended to higher and higher
income ranges, the relative consumption of this grain by the creamy,
and not even so creamy, layers have gone down significantly in
the course of the decades.
That has not helped the poor; per capita
availability of the grain has declined in drastic fashion for
them. And this is where the puzzle commences. These millions of
poor have not experienced any appreciable increase in wages and
earnings despite the economy's moving lugubriously along the growth
path.
Milk and meat and fish and egg articles, rich in protein, are
beyond the reach of the poor. To meet their requirements of protein,
they willy-nilly have to seek the inferior grain, pulses. We are,
however, in a liberated milieu, market forces have to have the
final say in such matters as production and consumption.
The poor
discover that they cannot fall back on pulses either in their
search for protein. Per capital availability of pulses has shrunk
and shrunk, the bulk of the grain produced in the country are
pre-empted for the consumption of the more affluent classes, the
poor, are out.
This, then, is what poverty is about. The nation's vast majority
are poor, they lack purchasing power, they do not have the wherewithal
to buy pulses of even the very worst category. During these four
and a half decades, plenty of talk has taken place on the ways
and means to raise the production and productivity of pulses.
Experts have been imported; they have left wise words behind.
Some of these experts too have mentioned the necessity of bowing
down to market forces; if only the Indian poor would agree to
pay sufficiently high prices for pulses, farmers would expand
their acreage under the crop, and the country's starving millions
would have their requirements of protein fully met. But in case
they lack adequate purchasing power, nothing can apparently be
done for them. Liberalisation and poverty are irreconcilable bed-fellows.
Such, then is the report card. We are unable to raise our production
of pulses. That calls for investment; investment for the sake
of the poor is really too much. We will, however, not shy away
from importing pulses say, from Australia on the pretext of feeding
the poor: that is globalisation. The imported pulses will not
go into the bellies of the poor; they do not have the purchasing
power to buy the imported stuff. So what, the kickbacks and commissions
from the import proceeds are bound to reach the right quarters.
There is, according to the latest statement of the country's finance
minister, now a hunger and an aspiration among Indians for quality
goods and services. Pulses do not make this list. What the finance
minister has in mind is such goods as White Horse Whisky and Gordon's
Giri.
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