West Bengal’s Development Experience : How its Subversive Politics is Taking its Toll

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    West Bengals

    Development Experience :How its Subversive

    Politics is Taking its TollPhilosophy of Development Term Paper

    Raunaq Sahu, HS08H019

    3/8/2011

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    Introduction

    West Bengal is in the throes of an epochal process of change. The CPI(M) led Left Front

    government is on its way out after a reign spanning three decades, and its performance and

    methods as well as the states development trajectory are being analyzed with great detail. As the

    violence over the Tata Motors plant showed us, the cancerous tumour has metastasized and

    succeeded in finding its way across several of the issues plaguing the state today. And the politics

    involved in all this has had a significant role to play.

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    The Economy

    The economic reforms brought about by the central government would seem to indicate that

    West Bengal has given a very good account of itselfthe growth rate for West Bengal for the

    period from 1993-1994 to 2001-2002 was a commendable 7.2 percent, second to Karnataka

    which registered a growth rate of 8.11 percent. Indias cumulative growth rate during this period

    was 6.3 percent. The average per capita income in West Bengal grew by 5.5 percent as opposed

    to the national average of 4.3 percent.1 This performance is all the more commendable when we

    take into account the population growth rate of the state (a high 2.34% per annum)which is

    because of the inflow of Bangladeshi immigrants.

    If we look at the Agriculture sector, West Bengal is one of Indias best performers. It is

    responsible for 14.6 percent of the countrys total yield. Its average yield (2424 kg per hectare)

    ranks it in third place overall (the national average being 1739 kg per hectare). These numbers

    have been achieved by Bengal despite its agricultural acreage being only 28.1 percent (when

    compared to the numbers for Punjab and Haryana, which are 89.7% and 65% respectively). 2 An

    important thing to note here is that marginal-sized holdings are the most commonbecause of

    the land reforms. To boost levels of agricultural yields further, there has to be an increase in the

    acreage irrigated (the costs for which are normally to be incurred by the Central Government).

    This issue, however, does not figure in the Common Minimum Programme.

    Coming back to the issue of Bengals impressive growth rate, a deeper analysis tells us a different

    story. If we look at the period from 1985-1986 to 1990-1991, Bengals NSDP growth rate was

    1

    Studies on the Economy of West Bengal since Independence, Amiya Kumar Bagchi. Source: Economic andPolitical Weekly, Vol. 33, No. 47/482Wait Until Light, Satrujit Banerjee. Source: Opinion, The Telegraph

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    24.52 percent, which was the sixth lowest in the country3. Logically, it follows that the high

    growth rates observed in the nineties were a consequence of the low base rate that resulted from

    the abysmal levels of growth in the preceding period.

    So, merely looking at the economic aspect will not give us a clear picture of the situation. The

    National Human Development Report released by the Planning Commission ranked West

    Bengal 20th in 1991. In a survey limited to only 15 states, conducted in 2001, Bengal is ranked 8th.

    There are more issues that the state has to overcome before it registers any sizeable

    improvement in its HDI performance. Its finances are in a shambles. As of the fiscal year 2003-

    03, interest payments, wages and pensions constitute 101 percent of the revenue receipts, with

    interest liability alone accounting for 43.3 percent. The fiscal deficit (as a proportion of the

    states GDP) is a stratospheric 8.5 percent. Almost three quarters of the registered small-scale

    sector enterprises in the state are extremely weak. The state government had made a great deal

    out of a recent report which stated that post-1991, West Bengal attracted the highest amount of

    capital, second only to Gujarat. However, a close examination of the comparative figures shows

    that for every crore invested in the state, the number of jobs generated is a pathetic 2.52 (as

    opposed to 3.75 in Andhra Pradesh, 4.05 in Gujarat and 5.6 in Maharashtra) 4. Unless there is a

    large scale employment of blue collar workers in the manufacturing sector and thereby a

    reduction in the levels of poverty, a massive improvement in the healthcare system, HDI scores

    are not going to see a serious improvement anytime soon. A massive roadblock stands in the way

    of redressing the issue of unemploymenta large percentage of the literate unemployed cannot

    be absorbed by the service sector because they do not possess the required communication skills

    in English. The Left Governments decision to banish English from public schools has come

    back to haunt it. To compound matters, the principal employer for these people i.e. the state

    3Convergence of Human Development across Indian States, Hiranmoy Roy and Kaushik Bhattacharjee.

    Source: IGIDR Proceedings/Project Reports Series, August 20094The Evolution of Industrial Relations in West Bengal, Ratna Sen. Source: International Labour Organization,

    2009

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    government can barely manage to pay its standing pension and wage bills. The future does not

    look very promising.

    The Healthcare Sector and Nutrition

    The healthcare sector in West Bengal has seen mostly slow, and at best, uneven progress. Like

    most Indian states, its health sector faces many systemic challenges. The root cause of this is the

    severe under-funding of the sector, and a malfunctioning public delivery system5. The state has a

    population of over 80 million, which means that there is a wide variation in health indicators

    across the state, which the system is not equipped to deal with.

    Health and other socio-economic indicators for West Bengal. Source: Chakravarty (2003) based on SRS

    Bulletin, October 2002

    5West Bengal: Health Systems Development Initiative - Programme Memorandum. Government of West

    Bengal, DFID, UK 15. January 2005

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    The public health delivery system is a victim to several issues: unfilled vacancies, staff

    absenteeism, urban bias in the distribution of facilities and benefits, paucity of drugs at the lower

    levels and poor management capacity. The fiscal crisis of the state government has caused a

    sharp drop in the levels of investment in health and other development endeavours. The primary

    healthcare sector is prey to criminal negligence. The level of public health expenditure a dismal

    0.8% of state GDP and is very low, by international standards6. A large proportion of the measly

    finances going to the sector are lost in staff payments and other administrative costs leaving the

    government with little resources for new capital spending. Inadequate support for the public

    sector has resulted in the ad hoc growth of a substantially large private sector, which is subject to

    little or no regulation and, more often than not, delivers poor service.

    The average level of nutrition in Bengal, especially among women is quite low, even though

    malnutrition among children and severe malnutrition among children is also low. There is an

    alarmingly high proportion of children with anaemia (78% compared to the national average of

    74%). The nutritional status of women in the state is a major cause for concernin a survey

    conducted by the National Nutrition Monitoring Bureau, West Bengal ranked 8th out of 9 states

    with regard to vital variables like the chronic energy deficiency among women. In terms of the

    BMI (Body Mass Index), the performance of the state is deplorableit ranks 24th among 25

    states.

    6West Bengal Human Development ReportDevelopment and Planning Department, Government of West

    Bengal(May 2004)

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    Nutritional status of married women in West Bengal and in India. Source: Chakravarty, 2003

    In an effort to get out of this rut, the Government of West Bengal launched its Health Sector

    Strategy and outlined its major objectives as: reduction of maternal mortality; reducing infant and

    child mortality; minimizing burden from infectious diseases; elimination nutrition related diseases

    and disorders and strengthening the private sector. Equity, efficiency and quality of public and

    private healthcare can all be massively improved. There are is still a long way to go in this regard.

    Literacy and Education

    The West Bengal Human Development Report, 2004 states:

    The literacy rate in West Bengal has always been higher than the all-India average, and West Bengal

    ranks sixth among the major states in this regard. The state government has been making concentrated

    efforts through various special schemes such as total literacy campaigns, non-formal education, etc apart

    from formal schooling for children to achieve the goal of education for all as soon as possible.

    We cannot afford to take this victorious declaration at face value. In 1999-2000, 27 percent of

    households in the rural zones and 12 percent of all households in the urban zones did not have a

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    single literate adult. The proportion of households without any female adult literate was even

    higher, at 51 and 31 percent in the rural and urban areas respectively. Even among the so-called

    literate population, around 17 percent in 1998-99(according to the NFHS 2) is only literate at the

    below primary level7. The quality of primary education imparted in the state is poor. The plan

    expenditure of the Education Department as a percentage of the total plan expenditure of the

    government remained constant at around 7.5 percent during 1980-81 to 1993-94 and has

    significantly declined in recent years.8 The education infrastructure in the state is also dismal.

    Source: Nagi Reddy, 2003

    The report conveniently ignores the aspect of higher education. And the biggest problem has to

    do with the Left Governments stubborn refusal to permit the teaching of English in primary

    schools. As noted earlier, this hinders the employability of the populace.

    7Report of the Education Commission, Government of West Bengal, 1992 and the Pratichi Education Report,

    2002, Kolkata8Budgetary Resources for Education, 1951-52 to 1993-94, Department of Education, MHRD, Government of

    India, 1995

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    Employment Trends

    Employment, or rather the lack of it, is one of the most critical issues for the living conditions of

    the people in West Bengal today. The rate of generation of employment has been lower than the

    rate of expansion of the population and much lower than the rate of income growth. Reduced

    public investment and expenditure on public services, effects of import competition and

    inadequate flow of bank credit to small producers are the factors responsible for the current state

    of affairs. Consequently, employment and job creation has shifted towards marginal, part-time

    and insecure contractual work or self-employment9.

    Census data on employment in West Bengal, as percentage of the total population. Source: Census of India,

    2001

    The ratio of main workers to the total male population fell quite significantly over the decade.

    The inadequacy of productive employment opportunities, as highlighted earlier, is the main

    factor here. This shift from main work to marginal work indicates that employment is hard to

    come by and the typically secure forms of employment are losing ground to non-secure forms.10

    For male workers, the big shift has been in terms of decline in the share of cultivators, which has

    9West Bengal Human Development ReportDevelopment and Planning Department, Government of West

    Bengal(May 2004)

    10Wage Differentials in West Bengal, P. Chakraborty. Source: Indian Journal of Industrial Relations, Vol. 10,

    No. 4

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    also declined in terms of absolute numbers. The wage differentials in (a) Organized industries,

    (b) Unorganized industries and (c) the Public and Private sectors in the state influence the

    dynamics of the employment sector.11 As illustrated by the table above, West Bengal has an

    extremely low rate of female work participation in the country. This would reflect the

    phenomenon of gender discrimination or instances of under-reporting due to the social

    invisibility of women and the lack of recognition for the unpaid work that they do.

    The Perversity of Politics: How it has brought Bengal to its knees

    Most, if not all the problems that West Bengal faces today can be traced to its political set-up.

    With the prevailing state of affairs and the aftermath of the madness and violence we have seen

    over the past couple of years, it is not surprising that the Left Front is going into a steady decline

    and is on its way out after ruling for thirty-three years. The belligerence that has been the Left

    governments trademark has given way to the silent acquiescence to the reality the losses in the

    assembly elections and the erosion of its popularity. The CPI(M) has to accept that it is the main

    reason behind the present plight of the state. It had led the Left Front to victory in successive

    elections over a long period of three decades. They had the mandate to bring about positive

    changes in the state. They outlined their vision for the state in the 1978 Document titled

    Industrial Policy in West Bengal. Their stated objectives were:

    THE major goals of the Left Front Government over the long run should be:

    (a) reversal of the trend towards industrial stagnation,

    (b) arresting the growth of unemployment and providing for increased employment in the

    industrial as well as agricultural sectors;

    (c) encouraging the growth of small and cottage industries,

    (d) lessening the stranglehold of the monopoly houses and multinational firms on the economy of

    the State,

    (e) encouragement of indigenous technology and industrial self-reliance,

    (f) the gradual expansion of the public sector, and

    11Wage Differentials in West BengalP. Chakraborty, Indian Journal of Industrial Relations, Vol. 10, No.

    4

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    (g) increasing the control of the actual producers, that is, the workers, over the industrial

    sector.12

    What the last thirty years have shown us has turned out to be quite different. The CPI (M)

    squandered that mandate by advancing its own vested interests at the cost of the progress and

    development of West Bengal. Through their disruptive and heavy-handed way of running things,

    they obfuscated the distinction between the party and the government; they promoted and

    protected their cadres and unions in hospitals and centres of learning, they destroyed work

    culture and discipline through unchecked and irresponsible trade-unionism, and when their

    attitude wasnt enough, they resorted to violence. They failed to promote the industrial sector

    and create employment in the state, something Buddhababu himself admitted to (he conceded in

    an open letter that the industrial sector took a rear seat in the state). The regressive policies

    didnt end there they decided against having English medium education in the public schools,

    as a result of which a sizeable chunk of the educated young Bengalis are unemployable for the

    purpose of proper jobs in the service sector.

    Since the late 60s, Bengal had acquired an unenviable reputation for being unnecessarily over-

    politicized and strepitous. For a certain period, it looked like Buddhadeb Bhattacharya was trying

    to recast its image.13 All those pretences are lost now. And as far as the general public is

    concerned, they have realized that there isnt really a political entity that can save the state for

    them, it is a case of choosing between the lesser of the two evils. Though there is no running

    away from the fact that a significant political change is sweeping across Bengal, the fact remains

    that the transition phase is going to be extremely testing and possibly damaging. As MJ Akbar

    wrote in one of his columns:

    12Industrial Policy for West Bengal, Government of West Bengal. Source: Social Scientist, Vol. 6,

    No. 6/7, Special Number of West Bengal (Jan. - Feb., 1978) 13Brand Buddha in India's West Bengal: The LeftReinvents Itself, Partha Pratim Basu

    Source: Asian Survey, Vol. 47, No. 2 (March/April 2007)

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    The drama of Bengal is full of actors making powerful speeches. We need a plot, very quickly.14

    One can only hope that the state emerges from this mire with strength and resolve.

    14West Bengal: Next time, the Volcano, MJ Akbar. Source: Times of India, June 21, 2009