Issue 32 Vol II, January 31, 2007

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The Plight of the Poor
Vinod Anand

IT is stated that the poor pay higher prices for (non-branded) commodities of daily use like vegetables, pulses, legumes, ad do the marginal poor farmers with the small land holdings. The reason they have less income (liquidity/cash) than others, and hence lesser buying power, and, as such, they cannot buy in bulk. The reverse of this hypothesis is also true as richer people end up paying lower prices.

This is strongly supported by a recent research conducted by Vijayendra Rao in three Karnataka villages. This is one side of the story. The other part relates to the low prices (almost five times less) that the poor (marginal) farmers receive for their limited end products they sell, if any to the intermediaries between them and the ultimate demanders.

The essence of this argument is that the poor (including the marginal farmers) finally end up paying higher prices as consumers and receiving lower prices as primary producers. They are, therefore, at a double disadvantage and their net well being gets tremendously reduced. This twin hypothesis of ‘lower-income and higher consumer- prices’, and ‘lower-income and lower producer-prices’ eventually pauperises the poor in a crucial way, and leads to many serious implications for the economy as a whole.

One impact of this perverse situation is that despite that child labour, which is socially undesirable, and violates human rights in all respects, continues to be an important segment of the Indian labour force. There are shocking facts about child labour in India. a look at the facts reveal disturbing pattern.

  • The number of full time child labour workers increased from 13.4 million in 1951 to 14.5 million in 1961, and then later decreased to 12.7 million;

  • Marginal child labour increased from 2.4 million in 1981 to 10.5 million in 1991;

  • A massive group of children referred to as ‘nowhere children’ (appearing neither in official labour statistics nor in the education statistics) in the age-group of 5 to 14 years, who are neither in school nor in labour force, number about 74 million;

  • The combined total of full-time child workers, marginal child workers, and ‘nowhere children’ amounts to over 97 million or about 40 per cent of the 5 to 14 years child population;

The twin supposition of ‘lower-income and higher consumer-prices’ and ‘lower-income and lower producer-prices’ adds to this already worsening situation of child labour because child labour generates extra income and extra output, both of which are badly required by the poor families, essentially the marginal farmers, to buy enough so that they also pay like others just the normal prices, and sell enough so that they also charge like others higher prices than they charge otherwise.

If this twin hypothesis of ‘lower-income and higher consumer-prices’ and ‘lower-income and lower producer-prices’ is included in estimating the absolute poverty level, then the poverty level should be higher than what is indicated by official data. In other words, absolute poverty line, being a direct function of the general price index, shifts upwards as the general price index moves up with higher prices paid by the majority of the poor, especially the farmers in this context.

Again, if both the variables (higher income and lower prices) of the reverse hypothesis of ‘ higher-income and lower prices’ are also included in poverty line calculations, it can be seen that the poverty over time becomes more dramatic than shown otherwise in the sense that the fall in poverty over time will be much more than shown officially. In fact, official data only talk of higher incomes, and this reduces poverty over time, and ignores the effect of higher incomes in lowering prices.

The inclusion of the hypothesis of ‘lower-income and higher-prices’, and its reverse ‘higher-income and lower-prices’ in the poverty line calculations will surely project an extremely different poverty scenario as compared to what is shown otherwise by official data.

The twin hypothesis also encourages the poor to go for larger families to be able to attain scale economies by buying enough of each commodity, and by (producing and) selling enough of farm products, if any to qualify for normal prices. This perhaps is an additional reason as to why poor households tend to have larger families. The twin hypothesis, therefore, in the long run works against the population control policy.

The twin hypothesis as propounded is perhaps well grounded in Indian reality.  To statistically establish this we need to probe further qualitatively (on the basis of interviews), and quantitatively (on the basis of administered questionnaires). And verified with cross-site analytical case studies, and also in terms of the econometrics of the poor people covering determinants of their livelihood and survival, unemployment, and other miseries they face, and also in terms of the political economy of the poor covering the role of the Government to ameliorate the lot of the poor.

The author is presently placed at the national University of Lesotho (vinodkanand2002@yahoo.co.uk)

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BOOK: ANTI-COLONIAL ANGST
Atamjit Singh

Gopal Singh Chandan – A Short Biography & Memoirs by Amarjit Chandan. Centre for Migration Studies, Lyallpur Khalsa College Jalandhar, Punjab – IndiaGopal Singh Chandan – A Short Biography & Memoirs by Amarjit Chandan. Centre for Migration Studies, Lyallpur Khalsa College Jalandhar, Punjab – India

Punjab Centre for Migration Studies has published 5 booklets to "highlight the lives of overseas Punjabis who have either made a substantial contribution to the society in which they have settled or have played a vital role in building Diaspora Punjabi communities' institutional infrastructure". One of the booklets focuses on Gopal Singh Chandan (1898–1969), a settler in Kenya who ultimately left the country of his choice. But he made significant contribution to  trade unions and anti-colonial movement.

An important feature of Gopal Singh Chandan: A Short Biography and Memoirs is that the biographer Amarjit Chandan, now settled in England, is not only his son but also a well-known writer of Punjabi. The publication, in addition to a brief description of the socio-political scenario of India and Kenya in the early decades of last century, helps its reader to know both the Chandans from close quarters. The translated version of the memoirs of the elder Chandan, though was an emotional journey for the son, provides its readers some valuable information about Makhan Singh, Ghadar Kirti activists in Kenya and Ishar Das. Ishar was an arrogant Legislative Councillor of Kenya who inflicted pains to his own countrymen and was later murdered by fellow Indians. One of the assailants, Bujha, had sought shelter in Gopal Singh's photo studio.

Gopal Singh ChandanGopal Singh Chandan. 1929

He was deeply involved in community work and played a pivotal role in the management of two Gurudwaras and one Sikh school, in addition to organizing Kavi Darbars, and the programmes of a literary society called 'Kavya Phulwari'. Gopal Singh became a whole-time activist when his middle son Swaran became competent in handling father's photo studios. Gopal Singh's support to Ghadar movement activists make his account really striking. His opposition to establishment of caste-based Gurudwaras and separation of electorate based on religion, makes his contribution remarkable, not only in the growth of freedom movement in Kenya but also in his understanding of ethos of humanistic Sikhism.

Gopal Singh Chandan (garlanded) and Makhan Singh (with glasses) on his rightGopal Singh Chandan (garlanded) and Makhan Singh (with glasses) on his right. Nairobi. January 1950.

Makhan Singh, the founder of East African trades union movement, spent 17 years in prison for Indian and Kenyan independence.

Amarjit Chandan has also underlined his father's contribution in popularizing Punjabi language in Kenya. He was instrumental in introduction of subject of Punjabi in schools. Oriental courses like Gyani were also started and Gopal Singh enthusiastically brought Punjabi books from India for selling them on non-profit basis in Kenya, largely as a labour of love. Another contribution lies in the fact that he was in charge of the trade union activities of Kenya, when Makhan Singh was in India during 1940-1947. A man of the mass movements, he was also a good photographer and a singer who carried his harmonium from India. Portrayed as a devoted Gursikh, he was also a member of the Communist Party of India. Amarjit Chandan describes the painful reaction of his father on knowing that the son has embraced the Naxalite ideology in India. He regrettably writes, "I cry for my father with remorse and feeling that he was right." Gopal Singh's memoirs included in the booklet offer an interesting reading.

Amarjit ChandanAmarjit Chandan. 2005

Written intensely from the core of his heart, yet based on facts and presented in a well formulated manner, supported by valuable photographs and a befitting glossary to decode cultural expressions, the booklet promises a material of great historical worth and literary importance. The genuineness of this effort must be applauded, though one wishes that the size of the volume were a little larger.

Dr Darshan S Tatla heads this Centre.  Email: dtatla@yahoo.co.uk
[Courtesy: Hindustan Times. Chandigarh. 09 Jan 2007]
Atamjit Singh is a Punjabi playwright and is principal of ASSM College, Mukandpur, district Nawan Shahr, East Punjab
E-mail: atamjit_pwright@rediffmail.com

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