rationalize and integrate!

Rationalize and integrate Indian economy
By G. Balakrishnan PhD., as public policy analyst

UPA 1 disbursed 11,353 crores to AP, 9000 crores to UP, 8900 crores to Maharashtra and also to various States ? Gujarat, Bihar, HP, MP, to alleviate the agriculturist problems as he was suffering from draught, failure of monsoons, bank loans and the like. Of which some States reached out the help some others did not spend the money and if at all spent, part of it has gone to pockets of politicians and similarly interested groups. And yet a large part of it reached poor beleaguered agriculturist. That had reflected for second time chance given to UPA 2 to form government of India.

This shows agriculture is dominant subject in India. This gives a lesson to government makers that they should allocate a lot of funds for agriculture and related activities, as agriculture only provides life line for all the people of India. So Agriculture development is a most important priority. Yes, it needs abundant water resource, at all costs as India essentially an agricultural economy a natural phenomenon, right from Indus valley civilization some 3500 years ago. Even today the same story is to be.



Agricultural Village is the basic unit of this economy. Lands in the hands of agriculturist should not be sold out, if agriculture is to thrive. This means no Spl. Economic Zone or Spl. Export zone can be developed unless these zones are created for agriculture efficiencies. You cannot think of agriculture sans water, and it cannot be manufactured in factories but provided by rains ? monsoons and similar activities of nature like evaporation of sea water and condensation after forming clouds and carried by winds to different locations by low depression and the like. But if monsoons fail, rivers will go dry and perennial rivers by melt of icecaps on mountains get water and these ice caps melt by excessive heat generated by scorching sun or pollution, but you will deplete this perennial source, sooner, thanks to your own green house effects. So in this regard you will have to take care to ensure that you will not pollute or increase CO2 emissions.

Yes you do a lot of CO2 emissions due to many factories AND CHEMICAL PLANTS and thus damaging the climatic conditions. You need anyway food commodities more than anything else after all you have to live. The source is agriculture. But unfortunately you had forgotten basic principles involved.

If we develop agriculture well then you can get bumper crops and that is the life giving substance.




Needed water has to be pumped by booster pumps from river estuaries those are water balance likely to be lost, after uses in the river courses, before entering into seas, can be retrieved, and for this retrieval you will have to create massive pipelines system in the lines of oil and gas pipelines.

Yes it is the best alternative to connecting rivers which is just utopian thought. Further connecting rivers is also a geological problem for it might cause tremors and earthquakes and the like, as density of water when increases naturally it is heavy weight displacement on certain landscapes.

Pipes are the alternatives to transport water yes it calls massive investments financially. You have to generate funds and now we have replaced gold standards and hence it is easier to monetize and you monetize for bail outs of corporate and banks but if your monetizing is centered around agriculture naturally surplus food you can export and create balancing with monetization and your debt servicing duly controlled and your currency is restored at your earliest, to the position of stability, after all, all over the world there is need of food as there are draughts and failures of monsoons.


You will allocate resources for agriculture centered education, at all levels while other existing patterns remain in place, that you can dispense different education relevant to your needs of agricultural economy. This is what Mahatma Gandhi said Basic education but we never heeded his advice but we realize the need of the same after 6o + years of your independence.
We are still touting on irrelevant in education while we need our needs based education and you will increase more and more number of jobless people; if you do not care as usual and that will not be of any use but will trigger revolts among the educated youth, realizing that their education has no meaningful opportunities for them, after all most people qualify for earning for generation of income just to sustain living. Nobody educates himself for pleasure, as such. There is no abundance any where, sirs.

This means distribution of wealth is to be done carefully and meaningfully. Any single distortion displaces many areas already well placed and established.

Creation of more and more states will not solve economic problems. Economy is always based on the already existing demographic set up in agriculture areas concerned. If so there will not be too many peaks and too many lows in graphs, after all humans cannot survive without food and essential complementariness.


Industrial areas are susceptible to many weather changes unlike natural weather.
In fact the planning has miserably failed just because planners have put cart before horse.
Nehru just wanted to improve economy does not mean he wanted to keep agriculture as a low priority but instead he wanted Agriculture should be made sustainable better by governmental programs, as he knew without food nothing will survive specially living beings.
Administrative set ups with proper district arrangements only could achieve this balance already way shown by previous administrators prior to independence and you need not invent once again.

Politicians really wanted political power and wanted too many States to wheel and deal things in their own manner to meet their own agenda for personal gratification. And he knew the moneys to be lost to white ants and destroyed and that would create problems to Nation.
Small states creation would have lots of problems and every time the pie of revenue of government has to be sub divided in unmanageable nonviable distributions/allocations. These allocations would soon turn out to be white ants and destroy the system. Both Nehru and Vallabh bhai Patel resisted even re-organization of states.


But Potti Sriramulu created the problem of Linguistic states by inventing emotional ?culture of Telugus? an unreliable factor for economic development and all that and he died by fasting for 55 days or so and that led to reorganization of States in 1956.

In every state this cancer spread and it caused a backburner situation in economy-burning. Planning Commission has to find resources. That means higher taxes or inventing new tax regimes. This meant several governments formations and to house the governments new capitals have to be founded and that means a lot of resources needed, an unnecessary burden on the exchequer.


If politicians rationalized and integrated then naturally so many taxes would not have been invented as a burden on people who are already poor to very poor agriculturists. That was the reason why the Ryotwari Act came into being to provide marginalized agriculturists. Pitiable again we are creating Zamindars and very poor people in the name of economic development.





It favors only the Rich and Wealthy, at the very cost of agriculture by so called Special Export Zones or Special Economic Zones, by so called converting agricultural lands into non agricultural lands, just to develop real estates that will be used by rich and wealthy by throwing away poor and poorest farmers and their poverty stricken children. That is not the purpose of Indian Independence from the shackles of British.
If we wanted otherwise White man is better to harness the resources to the benefit of the rich and wealthy! Look at statistics.
Retail price of Moongdal shot up by 128% over the last two years or turdal by 112%, urad by 105%, Onions by 110%, sugar by 118%potato by 56%, rice by 44%, loose tea by 43%, Atta by 38% and wheat by25%, severe effects on meat and poultry at Delhi itself. 100% increase registered in respect of rice. In other cities still the same problem. Villages are severely hit, as the commodities either not available or if available only rich and wealthy farmers can buy. Poor are hungry and many people starving and some die. How long poor stoically accept this as fate and soon they will rise in ?unquellable? revolts. Do we really want this situation please, in the name of development? So Man Mohan Singh monetizes and immediately and subsidize food items, without any further delay. Being an economist himself very well knows (I am not carrying coal to New Castle!) stability of prices possible if everything is just being equal but that never happens is the principle of economics, after all every minute changes happen for very many reasons, over which nobody has control in the consumption (demand) and supply (providing) management is the another principle prevailing from the time immemorial. No Nobel laureate in Economics assure or vouchsafe ?constant stability? just because human nature is such to loot ( a white collar crime, difficult to be tracked) given an opportunity and that is very well played by traders and middlemen in the so called economic development and now by new traders the bankers and banks. You might have seen no bank listens to RBI guidelines though RBI helped providing liquidity to banks, including PSU banks and all of them invest surplus funds in Mutual funds to get arbitrage advantage and certainly not to alleviate the problems of poor people. His statement during election ?give me 100 days, I will rectify (but it is subject to constancy of situation at the time he uttered). No body can predict future but possibly meet the rainy days but when you pump funds it leads to catastrophic changes. See whether his own Agriculture minister is able to manage prices in favor of poor and needy but this agriculture minister will make all kinds of false assurances, just because he knows pretty well he cannot control his men in politics. Except Man Mohan Singh every other man in the treasury benches or the oppositions are just time servers to get into power somehow or other and that is the pity of this great Indian democracy. (Ends)