Thursday, November 24, 2005


MISSION IMPOSSIBLE
By Chandan Mitra

http://www.dailypioneer.com/mission_impossible.asp
There's a very thin line dividing bravado from foolhardiness. Even five full years after I started treading it, I still don't know whether taking over The Pioneer was a courageous act or a demented one. But at least now the story can be told and judgment left to the reader. Yes, it is exactly five years ago that I actually began running this newspaper on my own, although our official anniversary is on May 15.
On May 13, 1998, an interim agreement was reached with the then owners, the ever-magnanimous LM Thapar and his nephew Gautam, according to which if a final deal was struck before May 30, I would bear the costs incurred for keeping the paper running after May 15. If negotiations failed, the Thapars would pay the expenses incurred for a maximum of 15 days after that deadline and then perform euthanasia. In the event, a satisfactory agreement was concluded before the last and final deadline and I signed the papers on the evening of May 25 in the office of Ballarpur Industries' Vice-President SK Khandelwal. However, in accordance with the earlier accord, technically The Pioneer came under my management with effect from May 15, at least as far as paying for it was concerned. It was a hot, mid-summer evening of May 25 that I returned to our office from Thapar House on Janpath Lane, more tired and apprehensive than excited. I remember being greeted at the reception by Lakshmi Iyer (now with India Today) with the unexpected news of my favourite music director Laxmikant's death. That took away whatever little sense of elation I might have felt, although the entire staff assembled to cheer and promptly announce a celebratory party. For me, it was business as usual. After holding the evening news meeting, I set out to write Laxmikant's obituary and reached the Patparganj apartment of present Executive Vice-President Durbar Ganguly for the party well after 10 pm.It took a few days before the enormity of Mission Impossible dawned on me. We had no money in the kitty although the Thapars had been generous to a fault, diverting all advertising dues outstanding to The Pioneer as a loan to its new management. But ad revenue comes in a dribble, expenses happen in a flood. Newsprint had to be purchased, suppliers had to be paid, electric and other routine bills stared us in the face. I had already made it clear to the entire staff in a series of general body meetings held before the transition that salaries would be delayed by a few months. But, still, we had to figure out where this money would come from. The paper had lost over Rs 1 crore every month during 1997-98; monthly revenues never exceeded Rs 30 lakh. From all accounts, it was a hopeless case. But there was grim determination. My senior colleagues Sanjeev Bikhchandani, Bindu and Durbar Ganguly in Delhi and Dipak Mukerji and Uday Sinha in Lucknow shared the dream. We had to succeed; there was no scope for failure. How bad our own resource position was can be gauged by just one instance. It had been agreed that CMYK Printech Ltd. (a non-operational company I bought through the good offices of a friend) would purchase The Pioneer brand for a relatively nominal consideration. When I examined my bank balance, I discovered I was short of this amount. Sanjeev kindly offered to loan me Rs 25,000 so that I could write out a cheque to the Thapars. That left me with just about Rs 10,000 in the bank. For months thereafter, personal friends lent me money to pay house rent and run the kitchen. I still ventured into the Great Unknown.Honestly, though, I never intended to run The Pioneer myself. The buy-out was supposed to be a holding operation till we found a suitable proprietor. The story began on January 17, 1998 when I was called to Mr LM Thapar's Amrita Shergill Marg house for an "important discussion." LMT and Gautam grimly informed me that given the group's financial position and spiralling losses of the paper, it had been decided to close it down. I had an inkling of what was coming in view of the ever-tightening budgets since November 1997. Saddened but not entirely shocked, I asked for the proposed date of closure. The answer left me stunned: It was to be the day after Republic Day, just 10 days away. General elections were due in March with the IK Gujral Government having recently fallen. I pleaded that we be allowed time till after the polls so that I could scout for a buyer. I pointed out that it would be difficult to get any industrialist to bite the bait till the polls were out of the way and some degree of political stability restored. Gautam expressed scepticism, arguing that they had tried hard but the paper's financial track record was too intimidating for anybody to risk buying it. I still persisted, seeking a three-month breather and LMT finally relented sternly telling me he would not wait beyond one month of the results being declared. I agreed gratefully. For more than a week after that I spoke about this to nobody, fearing staff would jump ship in droves and I wouldn't be able to bring out the paper even before it officially closed. The then management led by one Neeran Chibber was, however, overjoyed at the prospect of this historic publication closing down. He was never committed to The Pioneer anyway and eagerly awaited its closure to migrate to a cushy job that had been promised to him. What he did subsequently to his benefactors is another story.So, the news of the paper's impending closure was out in no time, triumphantly broadcast by soulless apparatchiks of the "management". We began hunting for buyers in real earnest with Sanjeev helping me with elaborate project reports, revenue projections and other forms of financial wizardry, none of which I comprehended those days. We met all kinds of prospective buyers ranging from NRI barons to Okhla printing press owners, real estate dealers and self-styled confidants of corporate bigwigs. We were too naĂŻve to realise that all the effort at documentation and presentation of our case was a complete waste of time and energy. Barring one NRI industrialist who later proved to be very helpful, none called us a second time although later they used our acquaintance to seek favours that I indignantly refused. Around April 15, 1998, the Thapars asked me for a progress report and I had to admit drawing a blank. But I continued to plead and got an extension till April 30. Nothing transpired. Two days before that date, senior staff members sought my permission to directly approach LMT. I said I had no face to accompany them, so they were welcome to give it a shot. LMT was moved to grant a further 15 days and that's how May 15 became D-Day.The initial months were so problematic that I don't even recall how they passed. By August, the staff too got restive: Everybody, after all, had families to run and couldn't be expected to live on love, thin air and a sense of Mission Impossible. The Thapars had settled the entire staff's PF, gratuity, closure pay and other allowances. About 29 staffers bid adieu with the generous handshake that left some richer by anything between Rs 5 to 7 lakh. Within a week of taking over, I had to relieve over 100 others in a desperate bid to cut costs. The unionised staff in Lucknow would have nothing of this and I had to succumb to the pressure of employing all of them afresh in CMYK so that The Pioneer could continue to appear without a break. Periodically, I would make rounds of industrialists' offices virtually with a begging bowl, either offering them ownership or shares in the company for a consideration. Some obliged, some politely refused. In August, we barely scraped up enough funds to disburse 15 days' salary. A wave of jubilation swept through the office. Little did they (or even we for that matter) know much worse was to come. In 1999, we failed to pay salaries for five months in a row. The staff still hung on, believing in The Pioneer's destiny. The spirit refused to evaporate. Whenever it threatened to, we replenished it by pooling in for office parties that continued into the wee hours. Friendly MPs and MLAs obliged by allowing us to use their lawns, often joining us in the merriment amid prognostications of doom.What amazed me was some top-notch journalists actually came and joined The Pioneer in full knowledge of the situation. Hiranmay Karlekar and A Surya Prakash were among the notable ones. In 2000, Amit Goel, former corporate bureau chief of The Economic Times, also enrolled in our adventurers' club. Over the years, he helped steady the business with his intimate knowledge of finances and immense goodwill in the corporate world. Meanwhile Durbar Ganguly, who was an investigative reporter with Ananda Bazar Patrika, metamorphosed into one of the city's most successful marketing honchos. Today The Pioneer's advertising revenues, although still insufficient to allow us to increase circulation or visibility, are more than double what they were before 1998.My faith in the old dictum God helps those who help themselves has deepened manifold over these five years. Miraculously, saviours have appeared at the most critical of times. I am acutely aware that canards are frequently spread about the sources of our funding. I wish even half of what I sometimes hear were true, for if it were indeed so, our grind would have been immeasurably lightened. I would never spend sleepless nights wondering how I would repay banks and financial institutions that loaned us money. I can assert with pride that The Pioneer funds itself through revenues generated by advertising and circulation, apart from loans legitimately obtained to tide over cash flow problems. In fact, while the list of defaulters with banks and FIs reads like a Who's Who of Indian industry, despite all the horrific adversities we have faced in the past, The Pioneer has never defaulted, having regularly serviced every loan it has obtained on merit. Some industrialists who have helped The Pioneer have been such thorough gentlemen that to date I have never had to compromise with my conscience as they have not asked for any favours in return. When we ventured into the internet business at the height of the dotcom boom, one businessman invested some money in it which proved to be a turning point for the newspaper. The dotcom bust happened within months. He still laughs over it and remains a close friend. People, I have realised over these gruelling years, are never bad by definition. Be good to them and you bring out their best and vice versa. Decades ago in school we read 'To kill a Mockingbird' as our English Literature text. The moving novel's last line was "Most people are good once you really get to know them." So true! Another turning point came when to our own bewilderment we emerged the highest bidder in the tender for publishing Alliance Air's in-flight magazine last year. Now, Darpan is not just critically acclaimed but has also been placed on board Indian Airlines flights giving it a massive readership, easily crossing 10 million each month.What is it that kept us going through such turbulent times? I don't really know. At least on 10 occasions, I was advised to cut losses, sell out and set myself up as a columnist, TV personality or seek employment with another established group. Several times, I seriously pondered the option, especially when at the end of the first year of our operations we notched up a loss of Rs 2.78 crore without the remotest idea how we would ever cover the deficit. But the loans came just then. Another time, I had virtually made up my mind to sell out only if somebody agreed to just pick up the losses. I even negotiated. But somewhere, it hurt. I felt humiliated at the thought of giving up. When I still go out myself seeking ads for The Pioneer I never feel any sense of shame or dishonour because we are still waging a war to save an institution. Purists may disagree, but I must honestly admit that at times old-fashioned ideas of the strict line between editorial virginity and commercial promiscuity need to be crossed for the greater good. But quitting after an admission of failure? Going back to taking dictations from the management? Letting this historic publication die or fall into avaricious hands? Pleading for somebody to be sacked or employed? The old adage of a hungry, free bird as opposed to its well-fed counterpart in a golden cage keeps us going.Our readers have been The Pioneer's greatest source of strength. We did not reduce our cover price of Rs 2 when both the market leaders cut theirs to Re 1. And we offered just 16 pages against their 32. Still, we did not lose even one subscriber. For a significant number in Delhi and Lucknow, The Pioneer remains the paper of choice for its quality, not raddi value. Arguably, we cannot afford the latest technology; nor can we hire enough journalists or marketing staff at prevailing industry salaries. Each time there is a shake-out in the media with the launch of new TV channels or publications, we lose good people. But we haven't lost the will to rebuild. And I know that as long as we don't give up the battle, nothing can stop The Pioneer from pulling through in yet another miracle. Old-timers in the paper recall folklore about The Pioneer having shifted its headquarters in 1941 from Allahabad to Lucknow without even a day's break of publication. More than 60 years ago, given the state of technology then, it was nothing short of a miracle. I believe we are heirs to that legacy and destiny has bestowed upon us the responsibility of keeping this 139-year-old institution going. As I said quoting Iqbal at the tenth anniversary celebrations of the paper's Delhi edition on December 14, 2002: "Kuchh baat hai ki hasti mit-ti nahin hamari!" With your unstinted patronage, dear reader, it never will!
The Bihar Times and the birth of Bihar
Dr Suresh Nandan Sinha,Bihar Times.
The state of Bihar owes a great deal for its birth and development to the newspaper 'The Bihar Times' whose publication started in the year 1894 to give a boost to the demand for the separation of Bihar from Bengal which comprised of the the states of Bihar, West Bengal, Orissa and Assam. In this congeries, Bihar was a non-entity as all attention were given to Bengal, Calcutta, being the centre of administration.
After the decisive battle of Buxar, the Emperor, Shah Alam of Delhi throne transferred the diwani of Bengal, Bihar and Orissa to East India Company whose centre of activities was Calcutta. As such, there was little education in Bihar and the State was socially, educationally and economically backward and exploited.
It was in the year 1889 that Late Sachchida Nand Sinha went to England for doing Bar-at- Law. There, he became a butt of ridicule when he called himself a Bihari, coming from Bihar which had no existence on the map of the country. This humiliating experience provided a spur to Dr Sinha to strive for a niche and separate identity for the state of Bihar. In 1893, having successfully completed his Bar-at-Law, he returned to Patna and took a vow to rest content only after making Bihar-a separate administrative unit. But the struggle for Bihar like all other struggles also brought stiff opposition in its wake as volatile Bengal was not agreeable to separate identity for Bihar.
Nevertheless, the idea for separation of Bihar started taking shape and for spreading it and eliciting public support in its favour, publication of a weekly journal \'\'Bihar Times\'\' was started in the year 1894 with the support and cooperation of Nandkishore Lal of Gaya, Rai Bahadur Shreekrishna Sahay and famous journalist, Mahesh Narain who became its editor. In the initial years, this weekly journal exclusively devoted itself to the struggle for separation of Bihar from Bengal and this movement became widespread. After sometime, Dr S N Sinha and Nandkishore Lal submitted a memorandum on behalf of many local institutions to Lt governor Alexander Mackenji for separation of Bihar from Bengal. In 1906, Rajendra Prasad who was secretary of \'Bihari Club\' of Calcutta, organised a conference of Bihari students at Patna in consultation with Sachchida Nand Sinha and Mahesh Narain. \r\nIn this conference, a student committe was formed to give fillip to the separatist movement and thus it gained great momentum. In 1907, Mahesh Narayan died but the movement got backing of Maulana Mazrul Haque, Ali Imam, Rai Bahadur Brahmdeo Prasad, Hasan Imam. With their help in 1908, the first convention of Bihar State Sammelan was held at Patna in which a resolution was unanimously passed to separate Bihar from Bengal. The same demand was repeated in its second convention at Bhagalpur in 1909. After a few months of this convention, Dr \r\nS.N.Sinha and Mazrul Haque were elected members of Imperial Legislative Council from the quota of Bengal Legislative Council and Muslim minority seat. By this time, the separatist movement had got recognition in the eyes of British administration. It was at that time that the then law member \r\nS.P.Sinha resigned from his post and Vice-Roy Lord Minto made Consultation with Dr Sinha to fill up the said post. Dr Sinha suggested the name of Ali Imam who was appointed Law member in place of S.P.Sinha. Ali Imam proved very helpful in furthering and giving legal boost to the idea of separation. In 1911, in Delhi Durbar, George V was going to be declared Emperor of \r\n",1]
);
//-->

Nevertheless, the idea for separation of Bihar started taking shape and for spreading it and eliciting public support in its favour, publication of a weekly journal ''Bihar Times'' was started in the year 1894 with the support and cooperation of Nandkishore Lal of Gaya, Rai Bahadur Shreekrishna Sahay and famous journalist, Mahesh Narain who became its editor. In the initial years, this weekly journal exclusively devoted itself to the struggle for separation of Bihar from Bengal and this movement became widespread. After sometime, Dr S N Sinha and Nandkishore Lal submitted a memorandum on behalf of many local institutions to Lt governor Alexander Mackenji for separation of Bihar from Bengal. In 1906, Rajendra Prasad who was secretary of 'Bihari Club' of Calcutta, organised a conference of Bihari students at Patna in consultation with Sachchida Nand Sinha and Mahesh Narain.
In this conference, a student committe was formed to give fillip to the separatist movement and thus it gained great momentum. In 1907, Mahesh Narayan died but the movement got backing of Maulana Mazrul Haque, Ali Imam, Rai Bahadur Brahmdeo Prasad, Hasan Imam. With their help in 1908, the first convention of Bihar State Sammelan was held at Patna in which a resolution was unanimously passed to separate Bihar from Bengal. The same demand was repeated in its second convention at Bhagalpur in 1909. After a few months of this convention, Dr S.N.Sinha and Mazrul Haque were elected members of Imperial Legislative Council from the quota of Bengal Legislative Council and Muslim minority seat. By this time, the separatist movement had got recognition in the eyes of British administration. It was at that time that the then law member S.P.Sinha resigned from his post and Vice-Roy Lord Minto made Consultation with Dr Sinha to fill up the said post. Dr Sinha suggested the name of Ali Imam who was appointed Law member in place of S.P.Sinha. Ali Imam proved very helpful in furthering and giving legal boost to the idea of separation. In 1911, in Delhi Durbar, George V was going to be declared Emperor of
\' Bihar Times\' played its role effectively, true to its purpose, in educating the masses to struggle for creation of Bihar. This journal took up the cause of Bihar and nourished the idea that the separation of Bihar from Bengal would provide the necessary relief to the Bengal administration which will be convenient to Govt of India and in due course \'Bihar Times\' influenced other newspapers of neighbouring states also in moulding them towards the idea of creation of Bihar. With the death of Mahesh Narain, it got a big jolt, nevertheless, the paper continued to come out and much later it took the form of \'Motherland\' and it still continues to serve the state of Bihar in its new avatar on internet and thus the history of this paper originates from 19th century and traversing its long journey through 20th century, it will now enter the 21st century after a year with a renewed and added zeal to serve the friends of Bihar in India and abroad in the new age of information technology. \r\n\r\nGrowth in Western India Reduces Poverty in Bihar\r\n\r\n\r\n\r\n\r\nGerry RodgersAn eminent economist, he worked extensively on poverty & employment in Bihar, currenty working as director(training) ILO,Geneva.\r\n",1]
);
//-->
India.On this occasion, the Secretary of India affairs wrote a letter to Govt of India in which he emphasised the demand of the Biharees terming them''healthy and law-abiding who were different to Bengalese in their origin, language, propensities, land and thinking.'' It was also communicated that on 12th December, a Lt governor in council separately for Bihar and Orissa would be appointed. This was announced in the Delhi Durbar to everybody's satisfaction amidst great rejoicings. Thus Bihar and Orissa became separate administrative unit under Lt Governor in council from 1st April,1912. In due course, Orissa was also separated from Bihar from 1st April,1936.
' Bihar Times' played its role effectively, true to its purpose, in educating the masses to struggle for creation of Bihar. This journal took up the cause of Bihar and nourished the idea that the separation of Bihar from Bengal would provide the necessary relief to the Bengal administration which will be convenient to Govt of India and in due course 'Bihar Times' influenced other newspapers of neighbouring states also in moulding them towards the idea of creation of Bihar. With the death of Mahesh Narain, it got a big jolt, nevertheless, the paper continued to come out and much later it took the form of 'Motherland' and it still continues to serve the state of Bihar in its new avatar on internet and thus the history of this paper originates from 19th century and traversing its long journey through 20th century, it will now enter the 21st century after a year with a renewed and added zeal to serve the friends of Bihar in India and abroad in the new age of information technology.
Growth in Western India Reduces Poverty in Bihar
Gerry RodgersAn eminent economist, he worked extensively on poverty & employment in Bihar, currenty working as director(training) ILO,Geneva.
\r\nIn April we returned to Mazgama and Pokharia, two villages in Purnia District, for the first time since 1981. It was our third visit. In 1970 we had found these villages deep in poverty, with poor links to the outside world, and benefitting little from government programmes. Still, there was hope for the future. The Kosi canal irrigation system was under construction across village lands, and the increasing availability of high yielding seeds offered possibilities for agricultural development. \r\nBut in 1981, we found the situation little changed. The Kosi canal system provided no irrigation water and increased vulnerability to flood. Agricultural development was limited. Some tubewell irrigation had begun, but the main pattern was one of stagnation. Incomes were if anything even lower than in 1970; certainly wages had declined. A few workers were seeking employment outside the village - earthwork in Assam, for instance - but most remained dependent on local agriculture. Levels of mortality among agricultural labourers were high. As we approached the villages in April 1999, signs of change were evident. At the village itself, the first stop was a cluster of shops on the road, including a small pharmacy, a cycle repair shop and some general stores. This was new, a sign that there was money to spend in an economy which was hardly monetized at all before. We talked to villagers, and returned to households we had visited before to find out how their lives had changed. The pattern soon became clear. Agriculture in the villages had improved a little - tubewell irrigation had spread, and more fertilizer-intensive crops were being grown. But the change was small, given that 18 years had passed, hardly sufficient to keep pace with population growth and certainly not enough to explain the apparently healthy local economy. Some non-agricultural activities had also emerged, mainly in commerce and transport, but they appeared to be a consequence of increased income rather than a cause. \r\n",1]
);
//-->

In April we returned to Mazgama and Pokharia, two villages in Purnia District, for the first time since 1981. It was our third visit. In 1970 we had found these villages deep in poverty, with poor links to the outside world, and benefitting little from government programmes. Still, there was hope for the future. The Kosi canal irrigation system was under construction across village lands, and the increasing availability of high yielding seeds offered possibilities for agricultural development.
But in 1981, we found the situation little changed. The Kosi canal system provided no irrigation water and increased vulnerability to flood. Agricultural development was limited. Some tubewell irrigation had begun, but the main pattern was one of stagnation. Incomes were if anything even lower than in 1970; certainly wages had declined. A few workers were seeking employment outside the village - earthwork in Assam, for instance - but most remained dependent on local agriculture. Levels of mortality among agricultural labourers were high. As we approached the villages in April 1999, signs of change were evident. At the village itself, the first stop was a cluster of shops on the road, including a small pharmacy, a cycle repair shop and some general stores. This was new, a sign that there was money to spend in an economy which was hardly monetized at all before. We talked to villagers, and returned to households we had visited before to find out how their lives had changed. The pattern soon became clear. Agriculture in the villages had improved a little - tubewell irrigation had spread, and more fertilizer-intensive crops were being grown. But the change was small, given that 18 years had passed, hardly sufficient to keep pace with population growth and certainly not enough to explain the apparently healthy local economy. Some non-agricultural activities had also emerged, mainly in commerce and transport, but they appeared to be a consequence of increased income rather than a cause.
The main factor in the change was a massive increase in migration. Villagers were migrating, not permanently, but for 2, 4 or 6 months at a time, to work in Delhi, Punjab, Western UP or Haryana. Migration of this sort is nothing new in Bihar, but the scale had changed. Now ,in virtually every labour family with an able-bodied male member, there was at least one migrant, often 2 or 3. In Western India ,the migrants could earn double the local wages, and their remittances and savings were pouring thousands of rupees into the local economy. Local wages had risen sharply as well, responding to the competition from the national labour market. As a result, the incomes and consumption levels of the poorest groups - agricultural labour households - had risen markedly. \r\nSo poverty in these villages had declined, and on the whole it was the poorest groups who benefitted most. It was a welcome surprise. But the improvements stemmed from economic growth which was occurring, not in Bihar, but elsewhere in India. Whether these changes will lead to sustainable development locally will depend on whether these monetary flows can find their way into productive investment. \r\nJanine Rodgers Gerry Rodgers \r\nBihar Society: Motion Sans Vision\r\n\r\n\r\n\r\n\r\nDr Shaibal GuptaEconomist and member secretary, ADRI, Patna\r\n\r\nBihar is geographically and demographically equivalent to France and Germany. In terms of mineral resources, it is considered to be the Ruhr of India. However, earlier policy of freight equalization had spelled doom for industrialization of the state. On the other hand, the fertile soil of Bihar plains with abundant ground and river water could have been delight of any development strategist. Yet, Bihar remains one of the most backward economic tracts. Paradoxically, however, in spite of extreme poverty, the sale of Maggi (a food product of multinational Nestle) in Patna is second highest after Delhi; different varieties of chocolates vie with \'medicine\' to record highest sale in the state, or another multinational, manufacturing \'chewing gum\', appoints a regional manager with an army of subordinates to look after its burgeoning sale even in rural areas of Bihar. \r\n",1]
);
//-->

The main factor in the change was a massive increase in migration. Villagers were migrating, not permanently, but for 2, 4 or 6 months at a time, to work in Delhi, Punjab, Western UP or Haryana. Migration of this sort is nothing new in Bihar, but the scale had changed. Now ,in virtually every labour family with an able-bodied male member, there was at least one migrant, often 2 or 3. In Western India ,the migrants could earn double the local wages, and their remittances and savings were pouring thousands of rupees into the local economy. Local wages had risen sharply as well, responding to the competition from the national labour market. As a result, the incomes and consumption levels of the poorest groups - agricultural labour households - had risen markedly.
So poverty in these villages had declined, and on the whole it was the poorest groups who benefitted most. It was a welcome surprise. But the improvements stemmed from economic growth which was occurring, not in Bihar, but elsewhere in India. Whether these changes will lead to sustainable development locally will depend on whether these monetary flows can find their way into productive investment. Janine Rodgers Gerry Rodgers
Bihar Society: Motion Sans Vision
Dr Shaibal GuptaEconomist and member secretary, ADRI, Patna
Bihar is geographically and demographically equivalent to France and Germany. In terms of mineral resources, it is considered to be the Ruhr of India. However, earlier policy of freight equalization had spelled doom for industrialization of the state. On the other hand, the fertile soil of Bihar plains with abundant ground and river water could have been delight of any development strategist. Yet, Bihar remains one of the most backward economic tracts. Paradoxically, however, in spite of extreme poverty, the sale of Maggi (a food product of multinational Nestle) in Patna is second highest after Delhi; different varieties of chocolates vie with 'medicine' to record highest sale in the state, or another multinational, manufacturing 'chewing gum', appoints a regional manager with an army of subordinates to look after its burgeoning sale even in rural areas of Bihar.
Nowadays, even in rural areas, no social ceremony of even a modest household is complete without soft drinks and video recording. In case Bihar faces \'food and drinking water scarcity\', Rabari Devi can say without compunction, "If there is no bread and water.......eat chocolates and drink Pepsi". In fact, foodgrain production, recording nearly national growth rate, has resulted into almost 25 percent annual growth of deposits of rural banks and opening of retail outlet of corporate organisations in the muffossil area. This incongruous economic spectacle is essentially the result of distorted and dependent capitalism that had developed in the state. However the economic spectrum that has unfolded in Bihar is a consequence of many political factors. Over and above, the recent massacres in central plain have assumed the diabolical dimensions. \r\nIt is a tragic irony that when most of the states are awaiting the new century and millennium by strengthening the foundation of knowledge capital, Bihar is increasingly getting into the quagmire of ancient gladiatorial society. \r\nPolitics in Bihar is significantly determined by the agrarian relation, essentially scripted by Lord Cornwallis, through the permanent settlement in 1793. Being the important bastion of Sepoy Mutiny in 1857,Bihar was subjected to extreme repression after the failure of the revolt. Thus, this area developed insularity and resistance to ideas related to science, education, culture, modernity etc, over a period of time. For a long time it was a part of the catchment area of Hindu orthodoxy of Varanasi, symbolized through the Maharaja, Brahmin Pundits and Bhartendu Harischandra, father of modern Hindi and ideologue of merchant aristocracy. \r\nHindi heartland did not experience social movement in the absence of an \'intermediate identity\' of regional subnationalism.Capital transformation in agriculture along with \'Sanskritisation\' had resulted into further consolidation of either \'caste profile\' or \'Hindutva identity\'. \r\nNot that emergence of Karpuri Thakur and subsequently, Laloo Prasad is a replication of the phenomenon of Charan Singh in UP or Devraj Urs of Karnataka, but their political resonance at the central level is similar. But, what one could see at the national level may not be true in Bihar, where state is either slowly \' withering away from within, unable to\' mediate\' between highly conflicting interest groups and maintain even a modicum of governance. One could characterize weakening of the state through a number of indicators; but the state of public finance probably tells the story in most convincing manner. Out of its total annual budget of Rs. 18,503 crore (in 1999-2000), no less than Rs. 3,519 crore are to be spent on repayment of loan and interest (\r\n",1]
);
//-->

Nowadays, even in rural areas, no social ceremony of even a modest household is complete without soft drinks and video recording. In case Bihar faces 'food and drinking water scarcity', Rabari Devi can say without compunction, "If there is no bread and water.......eat chocolates and drink Pepsi". In fact, foodgrain production, recording nearly national growth rate, has resulted into almost 25 percent annual growth of deposits of rural banks and opening of retail outlet of corporate organisations in the muffossil area. This incongruous economic spectacle is essentially the result of distorted and dependent capitalism that had developed in the state. However the economic spectrum that has unfolded in Bihar is a consequence of many political factors. Over and above, the recent massacres in central plain have assumed the diabolical dimensions.
It is a tragic irony that when most of the states are awaiting the new century and millennium by strengthening the foundation of knowledge capital, Bihar is increasingly getting into the quagmire of ancient gladiatorial society.
Politics in Bihar is significantly determined by the agrarian relation, essentially scripted by Lord Cornwallis, through the permanent settlement in 1793. Being the important bastion of Sepoy Mutiny in 1857,Bihar was subjected to extreme repression after the failure of the revolt. Thus, this area developed insularity and resistance to ideas related to science, education, culture, modernity etc, over a period of time. For a long time it was a part of the catchment area of Hindu orthodoxy of Varanasi, symbolized through the Maharaja, Brahmin Pundits and Bhartendu Harischandra, father of modern Hindi and ideologue of merchant aristocracy.
Hindi heartland did not experience social movement in the absence of an 'intermediate identity' of regional subnationalism.Capital transformation in agriculture along with 'Sanskritisation' had resulted into further consolidation of either 'caste profile' or 'Hindutva identity'.
Not that emergence of Karpuri Thakur and subsequently, Laloo Prasad is a replication of the phenomenon of Charan Singh in UP or Devraj Urs of Karnataka, but their political resonance at the central level is similar. But, what one could see at the national level may not be true in Bihar, where state is either slowly ' withering away from within, unable to' mediate' between highly conflicting interest groups and maintain even a modicum of governance. One could characterize weakening of the state through a number of indicators; but the state of public finance probably tells the story in most convincing manner. Out of its total annual budget of Rs. 18,503 crore (in 1999-2000), no less than Rs. 3,519 crore are to be spent on repayment of loan and interest (
In the absence of pro-active \'state\' in Bihar, people here have developed ingenuity to convert \'disadvantage\' into \'advantage\'. However, in the absence of an effective and enlightened political leadership, the \'state\' is far behind its own people. If an MNC - inspired corporate vision is to be thrust on Bihar with \'laptop- totting industrialist and professionals\', a sanitised chimera of modernity can be woven overnight; one only needs to hire only foreign firm or give another assignment to Mckinsey and Co. But this \'corporate\' canopy will only embroil us into yet another \'tokenism\'. To be meaningful and effective, \'development\' should be accepted as an agenda and only then a \'vision\' would emerge demarcating the roles of physical, human and, more importantly, the\' knowledge capital\'. \r\nIndeed, it is the knowledge capital which has emerged as a potent source of development. Even the poor can now hope to catch up the rich. The only constraint here is the absence of a \' vision\' and nothing else. \r\n\r\n\r\n",0]
);
D(["ce"]);
D(["ms","5648"]
);
//-->
19.6 percent).Of this, interest payment alone is Rs. 2,825 crore (15.3 percent). To take another indicator, the initial budget for plan expenditure during 1998-99 was Rs. 3,700 crore, but it had to be revised twice, bringing it down to only Rs. 2,000 crore. In the absence of pro-active 'state' in Bihar, people here have developed ingenuity to convert 'disadvantage' into 'advantage'. However, in the absence of an effective and enlightened political leadership, the 'state' is far behind its own people. If an MNC - inspired corporate vision is to be thrust on Bihar with 'laptop- totting industrialist and professionals', a sanitised chimera of modernity can be woven overnight; one only needs to hire only foreign firm or give another assignment to Mckinsey and Co. But this 'corporate' canopy will only embroil us into yet another 'tokenism'. To be meaningful and effective, 'development' should be accepted as an agenda and only then a 'vision' would emerge demarcating the roles of physical, human and, more importantly, the' knowledge capital'.
Indeed, it is the knowledge capital which has emerged as a potent source of development. Even the poor can now hope to catch up the rich. The only constraint here is the absence of a ' vision' and nothing else.
The Bihar Times and the birth of Bihar
Dr Suresh Nandan Sinha,Bihar Times.
The state of Bihar owes a great deal for its birth and development to the newspaper 'The Bihar Times' whose publication started in the year 1894 to give a boost to the demand for the separation of Bihar from Bengal which comprised of the the states of Bihar, West Bengal, Orissa and Assam. In this congeries, Bihar was a non-entity as all attention were given to Bengal, Calcutta, being the centre of administration.
After the decisive battle of Buxar, the Emperor, Shah Alam of Delhi throne transferred the diwani of Bengal, Bihar and Orissa to East India Company whose centre of activities was Calcutta. As such, there was little education in Bihar and the State was socially, educationally and economically backward and exploited.
It was in the year 1889 that Late Sachchida Nand Sinha went to England for doing Bar-at- Law. There, he became a butt of ridicule when he called himself a Bihari, coming from Bihar which had no existence on the map of the country. This humiliating experience provided a spur to Dr Sinha to strive for a niche and separate identity for the state of Bihar. In 1893, having successfully completed his Bar-at-Law, he returned to Patna and took a vow to rest content only after making Bihar-a separate administrative unit. But the struggle for Bihar like all other struggles also brought stiff opposition in its wake as volatile Bengal was not agreeable to separate identity for Bihar.
Nevertheless, the idea for separation of Bihar started taking shape and for spreading it and eliciting public support in its favour, publication of a weekly journal \'\'Bihar Times\'\' was started in the year 1894 with the support and cooperation of Nandkishore Lal of Gaya, Rai Bahadur Shreekrishna Sahay and famous journalist, Mahesh Narain who became its editor. In the initial years, this weekly journal exclusively devoted itself to the struggle for separation of Bihar from Bengal and this movement became widespread. After sometime, Dr S N Sinha and Nandkishore Lal submitted a memorandum on behalf of many local institutions to Lt governor Alexander Mackenji for separation of Bihar from Bengal. In 1906, Rajendra Prasad who was secretary of \'Bihari Club\' of Calcutta, organised a conference of Bihari students at Patna in consultation with Sachchida Nand Sinha and Mahesh Narain. \r\nIn this conference, a student committe was formed to give fillip to the separatist movement and thus it gained great momentum. In 1907, Mahesh Narayan died but the movement got backing of Maulana Mazrul Haque, Ali Imam, Rai Bahadur Brahmdeo Prasad, Hasan Imam. With their help in 1908, the first convention of Bihar State Sammelan was held at Patna in which a resolution was unanimously passed to separate Bihar from Bengal. The same demand was repeated in its second convention at Bhagalpur in 1909. After a few months of this convention, Dr \r\nS.N.Sinha and Mazrul Haque were elected members of Imperial Legislative Council from the quota of Bengal Legislative Council and Muslim minority seat. By this time, the separatist movement had got recognition in the eyes of British administration. It was at that time that the then law member \r\nS.P.Sinha resigned from his post and Vice-Roy Lord Minto made Consultation with Dr Sinha to fill up the said post. Dr Sinha suggested the name of Ali Imam who was appointed Law member in place of S.P.Sinha. Ali Imam proved very helpful in furthering and giving legal boost to the idea of separation. In 1911, in Delhi Durbar, George V was going to be declared Emperor of \r\n",1]
);
//-->

Nevertheless, the idea for separation of Bihar started taking shape and for spreading it and eliciting public support in its favour, publication of a weekly journal ''Bihar Times'' was started in the year 1894 with the support and cooperation of Nandkishore Lal of Gaya, Rai Bahadur Shreekrishna Sahay and famous journalist, Mahesh Narain who became its editor. In the initial years, this weekly journal exclusively devoted itself to the struggle for separation of Bihar from Bengal and this movement became widespread. After sometime, Dr S N Sinha and Nandkishore Lal submitted a memorandum on behalf of many local institutions to Lt governor Alexander Mackenji for separation of Bihar from Bengal. In 1906, Rajendra Prasad who was secretary of 'Bihari Club' of Calcutta, organised a conference of Bihari students at Patna in consultation with Sachchida Nand Sinha and Mahesh Narain.
In this conference, a student committe was formed to give fillip to the separatist movement and thus it gained great momentum. In 1907, Mahesh Narayan died but the movement got backing of Maulana Mazrul Haque, Ali Imam, Rai Bahadur Brahmdeo Prasad, Hasan Imam. With their help in 1908, the first convention of Bihar State Sammelan was held at Patna in which a resolution was unanimously passed to separate Bihar from Bengal. The same demand was repeated in its second convention at Bhagalpur in 1909. After a few months of this convention, Dr S.N.Sinha and Mazrul Haque were elected members of Imperial Legislative Council from the quota of Bengal Legislative Council and Muslim minority seat. By this time, the separatist movement had got recognition in the eyes of British administration. It was at that time that the then law member S.P.Sinha resigned from his post and Vice-Roy Lord Minto made Consultation with Dr Sinha to fill up the said post. Dr Sinha suggested the name of Ali Imam who was appointed Law member in place of S.P.Sinha. Ali Imam proved very helpful in furthering and giving legal boost to the idea of separation. In 1911, in Delhi Durbar, George V was going to be declared Emperor of
\' Bihar Times\' played its role effectively, true to its purpose, in educating the masses to struggle for creation of Bihar. This journal took up the cause of Bihar and nourished the idea that the separation of Bihar from Bengal would provide the necessary relief to the Bengal administration which will be convenient to Govt of India and in due course \'Bihar Times\' influenced other newspapers of neighbouring states also in moulding them towards the idea of creation of Bihar. With the death of Mahesh Narain, it got a big jolt, nevertheless, the paper continued to come out and much later it took the form of \'Motherland\' and it still continues to serve the state of Bihar in its new avatar on internet and thus the history of this paper originates from 19th century and traversing its long journey through 20th century, it will now enter the 21st century after a year with a renewed and added zeal to serve the friends of Bihar in India and abroad in the new age of information technology. \r\n\r\nGrowth in Western India Reduces Poverty in Bihar\r\n\r\n\r\n\r\n\r\nGerry RodgersAn eminent economist, he worked extensively on poverty & employment in Bihar, currenty working as director(training) ILO,Geneva.\r\n",1]
);
//-->
India.On this occasion, the Secretary of India affairs wrote a letter to Govt of India in which he emphasised the demand of the Biharees terming them''healthy and law-abiding who were different to Bengalese in their origin, language, propensities, land and thinking.'' It was also communicated that on 12th December, a Lt governor in council separately for Bihar and Orissa would be appointed. This was announced in the Delhi Durbar to everybody's satisfaction amidst great rejoicings. Thus Bihar and Orissa became separate administrative unit under Lt Governor in council from 1st April,1912. In due course, Orissa was also separated from Bihar from 1st April,1936.
' Bihar Times' played its role effectively, true to its purpose, in educating the masses to struggle for creation of Bihar. This journal took up the cause of Bihar and nourished the idea that the separation of Bihar from Bengal would provide the necessary relief to the Bengal administration which will be convenient to Govt of India and in due course 'Bihar Times' influenced other newspapers of neighbouring states also in moulding them towards the idea of creation of Bihar. With the death of Mahesh Narain, it got a big jolt, nevertheless, the paper continued to come out and much later it took the form of 'Motherland' and it still continues to serve the state of Bihar in its new avatar on internet and thus the history of this paper originates from 19th century and traversing its long journey through 20th century, it will now enter the 21st century after a year with a renewed and added zeal to serve the friends of Bihar in India and abroad in the new age of information technology.
Growth in Western India Reduces Poverty in Bihar
Gerry RodgersAn eminent economist, he worked extensively on poverty & employment in Bihar, currenty working as director(training) ILO,Geneva.
\r\nIn April we returned to Mazgama and Pokharia, two villages in Purnia District, for the first time since 1981. It was our third visit. In 1970 we had found these villages deep in poverty, with poor links to the outside world, and benefitting little from government programmes. Still, there was hope for the future. The Kosi canal irrigation system was under construction across village lands, and the increasing availability of high yielding seeds offered possibilities for agricultural development. \r\nBut in 1981, we found the situation little changed. The Kosi canal system provided no irrigation water and increased vulnerability to flood. Agricultural development was limited. Some tubewell irrigation had begun, but the main pattern was one of stagnation. Incomes were if anything even lower than in 1970; certainly wages had declined. A few workers were seeking employment outside the village - earthwork in Assam, for instance - but most remained dependent on local agriculture. Levels of mortality among agricultural labourers were high. As we approached the villages in April 1999, signs of change were evident. At the village itself, the first stop was a cluster of shops on the road, including a small pharmacy, a cycle repair shop and some general stores. This was new, a sign that there was money to spend in an economy which was hardly monetized at all before. We talked to villagers, and returned to households we had visited before to find out how their lives had changed. The pattern soon became clear. Agriculture in the villages had improved a little - tubewell irrigation had spread, and more fertilizer-intensive crops were being grown. But the change was small, given that 18 years had passed, hardly sufficient to keep pace with population growth and certainly not enough to explain the apparently healthy local economy. Some non-agricultural activities had also emerged, mainly in commerce and transport, but they appeared to be a consequence of increased income rather than a cause. \r\n",1]
);
//-->

In April we returned to Mazgama and Pokharia, two villages in Purnia District, for the first time since 1981. It was our third visit. In 1970 we had found these villages deep in poverty, with poor links to the outside world, and benefitting little from government programmes. Still, there was hope for the future. The Kosi canal irrigation system was under construction across village lands, and the increasing availability of high yielding seeds offered possibilities for agricultural development.
But in 1981, we found the situation little changed. The Kosi canal system provided no irrigation water and increased vulnerability to flood. Agricultural development was limited. Some tubewell irrigation had begun, but the main pattern was one of stagnation. Incomes were if anything even lower than in 1970; certainly wages had declined. A few workers were seeking employment outside the village - earthwork in Assam, for instance - but most remained dependent on local agriculture. Levels of mortality among agricultural labourers were high. As we approached the villages in April 1999, signs of change were evident. At the village itself, the first stop was a cluster of shops on the road, including a small pharmacy, a cycle repair shop and some general stores. This was new, a sign that there was money to spend in an economy which was hardly monetized at all before. We talked to villagers, and returned to households we had visited before to find out how their lives had changed. The pattern soon became clear. Agriculture in the villages had improved a little - tubewell irrigation had spread, and more fertilizer-intensive crops were being grown. But the change was small, given that 18 years had passed, hardly sufficient to keep pace with population growth and certainly not enough to explain the apparently healthy local economy. Some non-agricultural activities had also emerged, mainly in commerce and transport, but they appeared to be a consequence of increased income rather than a cause.
The main factor in the change was a massive increase in migration. Villagers were migrating, not permanently, but for 2, 4 or 6 months at a time, to work in Delhi, Punjab, Western UP or Haryana. Migration of this sort is nothing new in Bihar, but the scale had changed. Now ,in virtually every labour family with an able-bodied male member, there was at least one migrant, often 2 or 3. In Western India ,the migrants could earn double the local wages, and their remittances and savings were pouring thousands of rupees into the local economy. Local wages had risen sharply as well, responding to the competition from the national labour market. As a result, the incomes and consumption levels of the poorest groups - agricultural labour households - had risen markedly. \r\nSo poverty in these villages had declined, and on the whole it was the poorest groups who benefitted most. It was a welcome surprise. But the improvements stemmed from economic growth which was occurring, not in Bihar, but elsewhere in India. Whether these changes will lead to sustainable development locally will depend on whether these monetary flows can find their way into productive investment. \r\nJanine Rodgers Gerry Rodgers \r\nBihar Society: Motion Sans Vision\r\n\r\n\r\n\r\n\r\nDr Shaibal GuptaEconomist and member secretary, ADRI, Patna\r\n\r\nBihar is geographically and demographically equivalent to France and Germany. In terms of mineral resources, it is considered to be the Ruhr of India. However, earlier policy of freight equalization had spelled doom for industrialization of the state. On the other hand, the fertile soil of Bihar plains with abundant ground and river water could have been delight of any development strategist. Yet, Bihar remains one of the most backward economic tracts. Paradoxically, however, in spite of extreme poverty, the sale of Maggi (a food product of multinational Nestle) in Patna is second highest after Delhi; different varieties of chocolates vie with \'medicine\' to record highest sale in the state, or another multinational, manufacturing \'chewing gum\', appoints a regional manager with an army of subordinates to look after its burgeoning sale even in rural areas of Bihar. \r\n",1]
);
//-->

The main factor in the change was a massive increase in migration. Villagers were migrating, not permanently, but for 2, 4 or 6 months at a time, to work in Delhi, Punjab, Western UP or Haryana. Migration of this sort is nothing new in Bihar, but the scale had changed. Now ,in virtually every labour family with an able-bodied male member, there was at least one migrant, often 2 or 3. In Western India ,the migrants could earn double the local wages, and their remittances and savings were pouring thousands of rupees into the local economy. Local wages had risen sharply as well, responding to the competition from the national labour market. As a result, the incomes and consumption levels of the poorest groups - agricultural labour households - had risen markedly.
So poverty in these villages had declined, and on the whole it was the poorest groups who benefitted most. It was a welcome surprise. But the improvements stemmed from economic growth which was occurring, not in Bihar, but elsewhere in India. Whether these changes will lead to sustainable development locally will depend on whether these monetary flows can find their way into productive investment. Janine Rodgers Gerry Rodgers
Bihar Society: Motion Sans Vision
Dr Shaibal GuptaEconomist and member secretary, ADRI, Patna
Bihar is geographically and demographically equivalent to France and Germany. In terms of mineral resources, it is considered to be the Ruhr of India. However, earlier policy of freight equalization had spelled doom for industrialization of the state. On the other hand, the fertile soil of Bihar plains with abundant ground and river water could have been delight of any development strategist. Yet, Bihar remains one of the most backward economic tracts. Paradoxically, however, in spite of extreme poverty, the sale of Maggi (a food product of multinational Nestle) in Patna is second highest after Delhi; different varieties of chocolates vie with 'medicine' to record highest sale in the state, or another multinational, manufacturing 'chewing gum', appoints a regional manager with an army of subordinates to look after its burgeoning sale even in rural areas of Bihar.
Nowadays, even in rural areas, no social ceremony of even a modest household is complete without soft drinks and video recording. In case Bihar faces \'food and drinking water scarcity\', Rabari Devi can say without compunction, "If there is no bread and water.......eat chocolates and drink Pepsi". In fact, foodgrain production, recording nearly national growth rate, has resulted into almost 25 percent annual growth of deposits of rural banks and opening of retail outlet of corporate organisations in the muffossil area. This incongruous economic spectacle is essentially the result of distorted and dependent capitalism that had developed in the state. However the economic spectrum that has unfolded in Bihar is a consequence of many political factors. Over and above, the recent massacres in central plain have assumed the diabolical dimensions. \r\nIt is a tragic irony that when most of the states are awaiting the new century and millennium by strengthening the foundation of knowledge capital, Bihar is increasingly getting into the quagmire of ancient gladiatorial society. \r\nPolitics in Bihar is significantly determined by the agrarian relation, essentially scripted by Lord Cornwallis, through the permanent settlement in 1793. Being the important bastion of Sepoy Mutiny in 1857,Bihar was subjected to extreme repression after the failure of the revolt. Thus, this area developed insularity and resistance to ideas related to science, education, culture, modernity etc, over a period of time. For a long time it was a part of the catchment area of Hindu orthodoxy of Varanasi, symbolized through the Maharaja, Brahmin Pundits and Bhartendu Harischandra, father of modern Hindi and ideologue of merchant aristocracy. \r\nHindi heartland did not experience social movement in the absence of an \'intermediate identity\' of regional subnationalism.Capital transformation in agriculture along with \'Sanskritisation\' had resulted into further consolidation of either \'caste profile\' or \'Hindutva identity\'. \r\nNot that emergence of Karpuri Thakur and subsequently, Laloo Prasad is a replication of the phenomenon of Charan Singh in UP or Devraj Urs of Karnataka, but their political resonance at the central level is similar. But, what one could see at the national level may not be true in Bihar, where state is either slowly \' withering away from within, unable to\' mediate\' between highly conflicting interest groups and maintain even a modicum of governance. One could characterize weakening of the state through a number of indicators; but the state of public finance probably tells the story in most convincing manner. Out of its total annual budget of Rs. 18,503 crore (in 1999-2000), no less than Rs. 3,519 crore are to be spent on repayment of loan and interest (\r\n",1]
);
//-->

Nowadays, even in rural areas, no social ceremony of even a modest household is complete without soft drinks and video recording. In case Bihar faces 'food and drinking water scarcity', Rabari Devi can say without compunction, "If there is no bread and water.......eat chocolates and drink Pepsi". In fact, foodgrain production, recording nearly national growth rate, has resulted into almost 25 percent annual growth of deposits of rural banks and opening of retail outlet of corporate organisations in the muffossil area. This incongruous economic spectacle is essentially the result of distorted and dependent capitalism that had developed in the state. However the economic spectrum that has unfolded in Bihar is a consequence of many political factors. Over and above, the recent massacres in central plain have assumed the diabolical dimensions.
It is a tragic irony that when most of the states are awaiting the new century and millennium by strengthening the foundation of knowledge capital, Bihar is increasingly getting into the quagmire of ancient gladiatorial society.
Politics in Bihar is significantly determined by the agrarian relation, essentially scripted by Lord Cornwallis, through the permanent settlement in 1793. Being the important bastion of Sepoy Mutiny in 1857,Bihar was subjected to extreme repression after the failure of the revolt. Thus, this area developed insularity and resistance to ideas related to science, education, culture, modernity etc, over a period of time. For a long time it was a part of the catchment area of Hindu orthodoxy of Varanasi, symbolized through the Maharaja, Brahmin Pundits and Bhartendu Harischandra, father of modern Hindi and ideologue of merchant aristocracy.
Hindi heartland did not experience social movement in the absence of an 'intermediate identity' of regional subnationalism.Capital transformation in agriculture along with 'Sanskritisation' had resulted into further consolidation of either 'caste profile' or 'Hindutva identity'.
Not that emergence of Karpuri Thakur and subsequently, Laloo Prasad is a replication of the phenomenon of Charan Singh in UP or Devraj Urs of Karnataka, but their political resonance at the central level is similar. But, what one could see at the national level may not be true in Bihar, where state is either slowly ' withering away from within, unable to' mediate' between highly conflicting interest groups and maintain even a modicum of governance. One could characterize weakening of the state through a number of indicators; but the state of public finance probably tells the story in most convincing manner. Out of its total annual budget of Rs. 18,503 crore (in 1999-2000), no less than Rs. 3,519 crore are to be spent on repayment of loan and interest (
In the absence of pro-active \'state\' in Bihar, people here have developed ingenuity to convert \'disadvantage\' into \'advantage\'. However, in the absence of an effective and enlightened political leadership, the \'state\' is far behind its own people. If an MNC - inspired corporate vision is to be thrust on Bihar with \'laptop- totting industrialist and professionals\', a sanitised chimera of modernity can be woven overnight; one only needs to hire only foreign firm or give another assignment to Mckinsey and Co. But this \'corporate\' canopy will only embroil us into yet another \'tokenism\'. To be meaningful and effective, \'development\' should be accepted as an agenda and only then a \'vision\' would emerge demarcating the roles of physical, human and, more importantly, the\' knowledge capital\'. \r\nIndeed, it is the knowledge capital which has emerged as a potent source of development. Even the poor can now hope to catch up the rich. The only constraint here is the absence of a \' vision\' and nothing else. \r\n\r\n\r\n",0]
);
D(["ce"]);
D(["ms","5648"]
);
//-->
19.6 percent).Of this, interest payment alone is Rs. 2,825 crore (15.3 percent). To take another indicator, the initial budget for plan expenditure during 1998-99 was Rs. 3,700 crore, but it had to be revised twice, bringing it down to only Rs. 2,000 crore. In the absence of pro-active 'state' in Bihar, people here have developed ingenuity to convert 'disadvantage' into 'advantage'. However, in the absence of an effective and enlightened political leadership, the 'state' is far behind its own people. If an MNC - inspired corporate vision is to be thrust on Bihar with 'laptop- totting industrialist and professionals', a sanitised chimera of modernity can be woven overnight; one only needs to hire only foreign firm or give another assignment to Mckinsey and Co. But this 'corporate' canopy will only embroil us into yet another 'tokenism'. To be meaningful and effective, 'development' should be accepted as an agenda and only then a 'vision' would emerge demarcating the roles of physical, human and, more importantly, the' knowledge capital'.
Indeed, it is the knowledge capital which has emerged as a potent source of development. Even the poor can now hope to catch up the rich. The only constraint here is the absence of a ' vision' and nothing else.


�Our trade with India can be trebled’


DEPUTY Prime Minister and minister of economic affairs of the Netherlands, Laurens Jan Brinkhorst, was recently in India with a big business delegation. In an interview with Vinay Pandey, he spoke about his country’s growing relationship with India. Excerpts:
What do you think of the India-Netherlands relationship?
We have a long historic relationship. But in economic terms, it has been an underdeveloped one. This is primarily because after Independence, India had chosen a policy of self-sufficiency. You concentrated more on internal development rather than connecting with the rest of the world. We greatly appreciate the fact that India is liberalising today. We also appreciate the enormity of task India has undertaken, to turn this big ship from an inward looking economy to an outward looking one. There is enormous potential in taking the relationship forward. That is why we are now here with the largest business delegation ever. Trade is one example. Only 0.5% of the Dutch external trade is with India. We can easily double or even triple it over the next five years.
What steps are needed to intensify the bilateral economic ties further?
The relationship can develop only if it is a partnership of equals. Therefore, we must start from the concept that a level-playing field is a must. There are still some elements of discrimination that have prevented the realisation of the full potential of the Dutch participation in Indian economy. Let me give you two specific examples. The first is the issue of how to have access to the financial markets. There is now minority shareholding possible in Indian banks and in Indian insurance companies. We also realise that we must have lower tariffs. By and large I think we have achieved very low level of tariffs and we hope that can be matched increasingly by India.
Energy is emerging as a binding constraint for India. What is the scope of Dutch involvement in this sector? What about the nuclear option?
The policy of the Netherlands has been to increasingly decouple economic growth from energy growth. If prices go up there is stimulus for investment in alternate energy. But in the case of a country like India that phase has not been reached yet because the poor population cannot be confronted with increasing energy prices. On the other hand, I think ultimately the answer cannot be to subsidise energy. I say this with some modesty because in most developing countries energy is subsidised. The way forward is not to increase subsidy every time but to do more in terms of energy saving. Indian economy is highly inefficient in terms of energy usage. We recognise that nuclear power is an option. I am certainly not against that option.
Is the Netherlands prepared to accommodate higher inflows of skilled Indian professionals?
We have always been outward looking. We are also open to importing knowledge from outside. You have some excellent universities and good knowledge in the IT field. We are in the process of making a law to facilitate the entry into the Netherlands of knowledge migrants. Our companies that are willing to work with Indian citizens can now do so through an accelerated process that imposes some obligations on them. If they fire the person so employed, the government will not be liable for social spending in respect of migrant who becomes unemployed.
Is there a meeting ground between the developed and the developing world at the WTO?
It is difficult to predict. But let me say two things. India should not focus just on agriculture. India is a large service economy and also has a reasonable manufacturing base. Increasingly India has interest in opening markets both for products as well as services outside. What you are actually interested is in market access and reducing export subsidies. LDCs already have total free access. Two, in the field of agriculture, EU has signed an agreement to phase out our existing export subsidies totally by 2013. If anything further will happen it will depend not only on what happens in India but also in America.


A bad ruler bites the dust
Thursday, November 24, 2005 0:56:15 IST

Literacy has to be a minimum qualification for those who seek to rule; without that it’s impossible to fathom complications of modern governance..

for :

When a bad ruler bites the dust it is cause for celebration even for those who had no hand in his removal. So last week’s victory of the people of Bihar over Laloo Prasad Yadav is something for us all to rejoice, a celebration we must participate in because Laloo and his wife Rabri were bad rulers who will be remembered in a category entirely their own. Other politicians who have used caste to power their political careers - Mulayam Singh Yadav, Mayawati - are amateurs compared to Laloo and the cynicism with which he manipulated the insecurities and ignorance of some of the poorest, most vulnerable people in our country simply to stay in power.

Unfortunately, he also succeeded in manipulating the media and it played a significant role in keeping him and his semi-literate wife at the helm of Bihar for fifteen years. There was one brief moment, when he anointed Rabri chief minister, when he offended the media’s middle class sensibilities but this passed all too soon and once more he was projected across India as a genial, charismatic, �secular’ leader whose heart was in the right (left?) place even if his administrative skills and moral fibre were flawed.When it was clear last Wednesday that he had lost Bihar, more than one television reporter lamented that Bihar’s politics would not be less �interesting’.Interesting? So interesting that we need statistics to show how interesting Laloo’s rule has been for Bihar.

Statistics speak louder than wordsIn India, the figure of those living below the poverty line is 26 per cent of the population. In Bihar, it is nearly double at 43 per cent. The literacy rate for India is 65 per cent while in Bihar it is 48 per cent, primary school enrolment for India is 95 per cent while in Bihar the figure is 79 per cent. Between 1994-2004 per capita income in India grew 52.2 per cent while Bihar languished at 22.6 per cent under Laloo’s �interesting’ rule.Is it any wonder that last week’s results have shown that the average Bihari prefers Nitish Kumar’s uninteresting rule to Laloo’s interesting times. Mercifully, now even �secular’ analysts are beginning to acknowledge that Nitish’s victory was a vote for governance and not for caste as continues to be projected by those who would have us believe that it was a combination of forward castes and extremely backward castes, who go by the new acronym EBC, that won Nitish Kumar the election.

These same �secular’ analysts have tried to project last week’s results as a victory for Nitish Kumar’s Janata Dal (U) and a defeat for the Bharatiya Janata Party and Hindutva without pointing out that the BJP got nearly twenty more seats last week than it got in last February’s election: 36 to 55. The Janata Dal (U) got 57 then and 87 last week. Laloo’s defeat had nothing to do with secularism, caste or religion. It had everything to do with an administrative collapse so acute that huge swathes of Bihar seem totally without governance, totally without law and order.Nitish Kumar understands this and in an interview to the Times of India had this to say about his priorities. �Initially, I have to concentrate on basics, which is governance. The government should be visible.

I will first strive to establish law and order in Bihar so that people don’t live in fear any more. Second, I am committed to replacing the current atmosphere of social confrontation with harmony. Third, I have to rebuild infrastructure -like sadak and bijli - so that we can implement schemes for ushering in prosperity’.His priorities make a refreshing change from Laloo Yadav’s ideas on governance. Days before his defeat he pronounced that in Bihar people were not interested in development but in caste. It is of a piece with his general views on governance. It brings to mind a conversation I remember having with him in Patna shortly after he made Rabri Devi chief minister. I asked if he did not think it was important for a chief minister to be at least literate enough to understand the meaning of governance and he replied, �It is officials who run the government not the chief minister’.Later that same morning when I asked Rabri Devi the same question she had a fit. �Is your cameraman literate’ she demanded on camera. �Do you think illiterate people cannot hear? Cannot see?’. It was an interview fraught with tension, and it was on camera, so I did not get into a discussion on the subject but now that I am writing what I hope will be the final obituary of Laloo and Rabri, I want to put on record that I think illiterate people should not even be allowed to contest elections.

Literacy, a must to ruleLiteracy has to be a minimum qualification for those who seek to rule us because without the ability to read, it is impossible to understand the complications of modern governance. So our less educated politicians resort to using such things as caste and religion to win votes and the end result is nearly always a replacement of governance by politics.There are those who argue that if people vote on caste lines they will get casteist politicians. It is my opinion that this is not true. People vote along caste lines only when they see no hope of governance. Give them roads, electricity, schools, jobs and a reasonable standard of living and they would not care less what caste the chief minister came from.Nitish Kumar seems to have understood this; the question now is if he can succeed in five years in setting up the infrastructure of governance in a state that has seen it ground to dust in the past fifteen years.

From Delhi to Palam
Chandan Mitra-Daily Pioneer.


Seen from the comfort our plush living rooms in metropolitan cities, India is surging ahead: Power-packed, four-wheeled SUVs zip across under-construction expressways, discotheques are brimming over with heterosexuals, homosexuals, metrosexuals, multi-sexuals or whatever, new TV channels and airlines are taking to the air almost daily (a record 525 flights landed in Delhi last Thursday).

Not surprisingly, therefore, we can't remotely visualise the starkness of the reality in India's underdeveloped underbelly. Probably we don't even want to think about it. And even when it hits the headlines, we pause momentarily before resuming our awe-struck amazement at the rise and rise of the sensex.

But reality has a nasty way of catching up with us, if only as a reminder that India's aspiration to attain Big Power status will continue to be jolted by intense internal socio-economic conflict. What happened at Jehanabad in god-forsaken Bihar on the night of November 13 is one such shattering visitation.

Jehanabad was not a mere jailbreak. In terms of inmates forcing their way out of prison, by violence or stealth, there have been many other "impressive" performances. Some years ago, terrorists dug a tunnel under the walls of Chandigarh's high-security Burail prison and escaped, filmi-style.

Jehanabad's importance does not lie in numbers either, although it must be the single biggest escapade in Indian history with 379 inmates walking out. At least 20 were reluctantly dragged away and a few of them subsequently murdered. The most significant thing about the Jehanabad incident was that it symbolised the collapse of the state machinery and demonstrated that the authority of the mighty Indian state could be brazenly defied. It established that the writ of the government did not run in many parts even of "heartland" India. For all practical purposes, the rebels in Bihar had successfully created what in their parlance is known as a liberated zone.

Imagine the sequence of events. It's pitch dark in that unkempt, schizophrenic town. The darkness of the night is made more eerie because the daily power cut is in progress. The occasional generator is sputtering sporadic light due to inadequate supply of costly petrol.
Amid the stillness some candles and kerosene lamps flicker casting lengthy shadows on deserted alleys. In the distance, shouts are heard. Gradually they rise to a crescendo. Gunfire begins. Fearful inmates scamper into their homes, furtively glancing out of window shutters trying to figure out what is going on. Raising blood-curdling slogans, several processions slither along the town's narrow lanes. Microphones blare out: "We have no enmity with you.

The police and Ranvir Sena are our enemies. We shall teach them a lesson. Stay indoors and do not go to the police." The residents are too terrified to go anywhere except, perhaps, the toilet. It's only when the marauders leave, raucously triumphant, that the enormity of the event hits home.

While the people and police cowered, over 1,000 armed outlaws overpowered the security forces, broken through the jail's cordon sanitaire, freed their comrades, dragged away some 20 "class enemies" also lodged in the same building, and decamped thumbing a nose at the authorities. A few days later, mutilated bodies of two top leaders of the Ranvir Sena whom the attackers had whisked away, were discovered in nearby fields. True to form, the Maoists must have held a kangaroo court in a neighbouring village and tortured them to death in full public view.

There is something savagely primordial about the Jehanabad outrage. It's not only the brutality. Naxalites revel in such acts. In my childhood in Kolkata of the late 60s we read about determined young men storming buses, dragging out hapless men (either because they had turned renegade or police informer), beheading them publicly and jubilantly gyrating on the streets with their severed heads.

It was almost like the mythological dance of Goddess Kali. But Jehanabad was not a case of selective, targeted violence against individuals. It was a classic instance of a guerrilla raid on the most visible symbol of the state - the jailhouse.

Only last month they broke into a police armoury in Giridih and escaped with 183 rifles. Clearly this was part of the plan to storm the Jehanabad jail. Maoist outrages have become so commonplace in Bihar, Jharkhand, Chhattisgarh and Andhra Pradesh, with landmine blasts routinely killing dozens of security forces, that we have become immune to these. Consequently, they get bolder.

A few months ago, armed Naxalites similarly attacked police stations in the town of Madhuban in Bihar's East Champaran district and freed their comrades from lock-ups apart from looting a large quantity of arms. It was reported that Nepali Maoists had walked across the porous border and helped their Indian counterparts in mounting the operation.

However, the police brass was at pains to deny Nepali involvement pretending it was a pure "Made in India" operation. Acknowledgement of foreign participation would have shown up our border security in poor light and the authorities were unwilling to concede the reality of the Red Corridor extending deep into India from Nepal. That Maoists made bold to storm the jail in Jehanabad reveals the price we have paid for turning a blind eye to the seriousness of the Madhuban incident.

Those familiar with Communist history would recall many similarities between the Jehanabad incident and the Changsha uprising in central China in the mid-30s. Although his latest biography denies Mao Zedong a key role in its organisation, his hagiographers have for years credited the Chinese dictator for being its principal strategist. Those who plotted the Jehanabad outrage obviously internalised Mao's dictums on how to plan and execute such guerrilla actions.
It was in the aftermath of the success of the hit-and-run operation at Changsha that Mao wrote some famous guerrilla commandments. These included, "When the enemy sleeps we attack; when the enemy camps, we harass, when the enemy attacks, we run." The conservative urban leadership of the Chinese Communist Party had called for an explanation in view of the savagery at Changsha.

In justification, Mao wrote: "Revolution is not a dinner party and revolutionaries do not have table manners." Such simple one-liners appear to have become the mantra of the desperadoes who function in his name across vast tracts of the sub-continent. Amazingly, the rudimentary tactics that help Mao take on the regime of Chiang Kai-shek 70 years ago appear to be yielding similar dividends to those who, in blatantly display of extra-territorial loyalty, coined the slogan "China's Chairman is our chairman" some 35 years ago.

Yet another startling factoid has since come to light. Following the Jehanabad raid that resulted in the abduction and murder of two top Ranvir Sena leaders, the authorities have decided that even Beur Jail in Bihar's capital is not safe for the Sena's supremo. So, it is proposed to shift him to Delhi's Tihar Jail. A similar suggestion is doing the rounds for other high-profile criminals lodged in different prisons in various parts of India. Doesn't this amount to admitting the shrinking control of the Indian state over distant parts of the country?

If prisoners cannot be secure in jails outside Delhi, what about ordinary citizens who do not live in official custody? Could we be returning to the days when it was mockingly said about a later Mughal 'emperor', Att Dilli te Palam, shahenshahi Shah-e-Alam (From the walled city of Delhi to Palam on the outskirts is the expanse of Shah Alam's empire)?