Indian news

Subterms

    Latest story

    100 Shares129 Views

    India’s Highway Construction Is in the Fast Lane

    by

    When experts look back at the early 2000s, they will observe that India embarked on a construction spree to develop its transport infrastructure. The country is emulating what the United States and Europe did in the previous century and what China and East Asia have done more recently. Traditionally, India focused on railways. For the last 20 years, roads have been the priority. Now, the country is also focusing on its 116 rivers and long coastline to develop commercial waterways. 

    As is well known, various factors contribute to a nation’s development. The most fundamental is the availability of food and water for the population. Here, India has had some success since its independence in 1947. In health care and education, India can and must do better. India also needs to improve safety and security for its citizens and improve the rule of law. The factor most important for India’s development is perhaps transportation because it has the greatest multiplier effect on the economy. As a result, transportation has the greatest potential to improve the lives of ordinary citizens.

    360° Context: The State of the Indian Republic

    READ MORE

    Transportation infrastructure, such as railways, roads, air traffic and waterways, are the arteries of a country’s economy. The German economy was built on the backbone of an outstanding railway system and the legendary autobahn. The US is knit together by a crisscrossing network of freight trains, interstate highways and airports. Advanced economies like Japan, South Korea, Switzerland and the Netherlands are known for their evolved infrastructure.

    In recent years, China has set the standard for implementing infrastructure at a scale and speed unprecedented in history. Most economists credit spectacular rates of economic growth to Chinese investment in infrastructure. India is betting that building good infrastructure will boost growth, create jobs and raise the standard of living for hundreds of millions.

    Railway and Highway Infrastructure

    According to a 2018 report by NITI Aayog, the premier policy think tank of the Indian government, 59% of all freight in India is transported by road, 35% by railways, 6% by waterways and less than 1% by air.

    On March 31, 2020, India’s railway track length stood at 126,366 kilometers and, on March 31, 2019, the length of national highways was 132,500 kilometers. Per 100 square kilometers, India has more railway tracks and highways than countries like the US and France. This does not necessarily mean India is doing well. South Korea and Japan have over four times the highway length per 100 square kilometers.

    Instead of the density of infrastructure per unit area, density per population size seems to be the more accurate metric. When it comes to infrastructure per million people, India fares very poorly. For instance, Indonesia’s population is merely 20% of India’s, but its highways are twice as long as India’s. South Korea’s population is a tiny 4% of India’s, but its highways are thrice as long as India’s. The top two stars on the infrastructure front are the US and Australia, followed by Japan and France.

    India’s highway network is inadequate for the country’s needs. Highways comprise 1.94% of India’s total road networks but carry a staggering 40% of total road traffic. This means that not only do they suffer high wear and tear, but transportation continues to be a big bottleneck for the economy. It is little surprise that India is finally investing in transport infrastructure.

    After independence in 1947, India underinvested in infrastructure. Two centuries of colonial extraction had left the country with limited resources and almost unlimited public needs. In its early years of independence, India struggled to feed its masses. There was little money to build railways, roads, ports, airports and transport infrastructure.

    India also lacked the expertise to build such infrastructure at scale. Planners, engineers and skilled labor were all in short supply. The nation did not have enough knowledge of transport technology either. There was another challenge in a densely populated democratic country. Infrastructure projects result in the displacement of large numbers of people. Many resist, others negotiate hard and still, others approach their local politicians who start resisting these projects to win votes.

    India’s varied geography also imposed daunting challenges for developing infrastructure. Largely flat countries like Australia and France could focus on railways, which run twice as long as their roads. Mountainous countries like South Korea and Japan have built more roads than railway lines. While plains and plateaus in India are crisscrossed by railway lines, roads are the means of transportation in its extensive mountainous regions.

    A New Focus

    Over the last 20 years, India’s focus has shifted to roads. This began under the coalition National Democratic Alliance (NDA) government led by Atal Bihari Vajpayee of the Bharatiya Janata Party (BJP). Although this government lost the 2004 election, NDA’s vision set in motion transport infrastructure development. In 2014, the BJP-led NDA returned to power and accelerated the building of highways across the country.

    NDA-initiated highway construction was kickstarted by the Golden Quadrilateral, a project connecting India’s four biggest cities: Delhi, Mumbai, Chennai and Kolkata. This boosted economic growth. Since NDA returned to power, India has embarked on Bharatmala Pariyojana, an ambitious project to connect the entire country through a network of highways like the fabled interstate highway system of the US. Even remote regions such as the northeast and Jammu and Kashmir will be covered.

    In the past, India did not measure highways as per international standards. This meant their growth could not be measured and compared easily. To quote management guru Peter F. Drucker, “If you can’t measure it, you can’t improve it.” Since 2018, the measure of highway length in India has been aligned with international standards. While impressive figures on the growth of national highways have been published, their interpretation now is clear and consistent.

    There has also been a steady increase in highway construction rates. In March 2021, it reached 37 kms/day. For the 2020-21 financial year — India’s financial year begins on April 1 and ends on March 31 — road construction averaged 29.81 kms/day. In 2014-15, the rate was 16.61 kms/day. Six years on, the road construction rate has almost doubled and is the fastest India has achieved since independence. The credit goes to Nitin Gadkari, the minister for road transport, one of the star performers of the NDA cabinet. In March, he claimed that India had secured the world record for fastest road construction.

    India’s Evolving Waterways Make a Big Splash

    The oldest civilizations have originated and flourished near major rivers for a simple reason. They provide fresh water, a fundamental human need. Rivers also provided an easy way to travel and transport goods before the advent of roads and railways. Even today, commercial transport of goods via rivers, lakes and oceans continues to cost less than via land. While container ships regularly carry goods across the high seas, most countries no longer use their rivers very well. The US, Australia, Japan, Russia and China are among the few countries that use their rivers and inland waterways well. 

    India has 116 rivers. Potentially, these could provide 35,000 kilometers of waterways and should be tapped. The government set up the Inland Waterways Authority of India in 1986 for “development and regulation of inland waterways for shipping and navigation.” In spite of tremendous cost advantages, waterways’ commercialization received little attention over the next 30 years. In 2016, the NDA declared 111 rivers across India as national waterways, a quantum leap up from five. By 2020, the government operationalized 12 of these waterways. The journey to suitably develop the remaining 99 will be a long and expensive one. However, this investment will cut logistics costs tremendously in the long run and boost India’s competitiveness.

    Unique Insights from 2,500+ Contributors in 90+ Countries

    Gadkari points out that the cost of logistics in India is 18% of the total cost of production. For China, this figure is 8-10%. Notably, waterways account for 47% of total transportation in China, compared to 3.5% in India. As waterways develop, so will commercial activity along their banks and lead to job creation.

    India has another major underutilized natural resource. It has a long coastline of 7,500 kilometers spread across 14 states. To develop ports and coastal transportation, the government has launched the Sagarmala project. This could achieve what the Golden Quadrilateral did for roads in the past. By 2025, the government aims to increase the share of waterways transportation from 3.5% to 6%, reducing logistics costs, boosting exports and generating 4 million new jobs.

    The Road Ahead

    About 53% of India’s population is under 25 years of age and many of them need jobs. Employed young people are more likely to send their children to school. They are likely to eat better and live longer. So far, India’s growth rate has not exceeded the job creation rate. For social and political stability, the government needs to create jobs. 

    While India’s economy continues to grow, the pace of growth does not match the employment needs of India’s young population. Building infrastructure is one of the best ways to generate employment because of its massive multiplier effect in an emerging economy like India. The country needs competent ministers and bureaucrats with domain expertise such as Gadkari. Key ministries overseeing power and finance in New Delhi and India’s state capitals should emulate this model.

    Along with building infrastructure, India must reform its arcane laws of colonial and socialist heritage to boost economic activity. The government must also reform education and vocational training in collaboration with industry to raise the skills of the workforce, improve employability and increase productivity. This is a tall order, but if India can get its house in order, then domestic and foreign investment would flow in. Then, the country would finally be able to join the Asian tigers as one of the world’s fast-growing economies.

    The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

    More stories

    • 113 Shares159 Views

      in World Politics

      A Modi-fied India Has Weakened on the World Stage

      by

      Narendra Modi, the prime minister of India, has completed seven years in office. At the same time, his autocratic leadership has brought the simmering discontent in the foreign policy establishment out in the open. Some members of the Forum of Foreign Ambassadors of India signed an open letter slamming critics of Modi’s foreign policy. On May 31, the government notified the Central Civil Services (Pension) Amendment Rules, 2020, to further muzzle dissent by retired bureaucrats.

      Although rare, such vocal disagreements are not new in India. However, with its economy in shambles and a spate of downgrades by reputed international agencies on democratic values, human development, press freedom and hunger index, the foreign affairs discord will further diminish its global stature.

      India Is Slowly Evolving Into a Market Economy

      READ MORE

      Over the decades, India has seen several significant changes in the way it looks at the world. It went from the idealistic Non-Aligned Movement in the 1950s to a close relationship with the Soviet Union during the Cold War. Now, India has cozied up to the United States to form the Quad, a strategic partnership to counter China that also includes Japan and Australia. India also flirted with BRICS nations for a brief while to form a coalition of developing countries — Brazil, Russia, China and South Africa — which seems to be dying a quiet death.

      All along, India has prided itself in maintaining strategic autonomy. Modi’s megalomania made him believe that he would suddenly catapult India to global power status. Unfortunately, his terms in office have left a muddled mess in its wake.

      Strong Start

      In today’s world of modern warfare and geopolitics, which includes nuclear-armed neighbors in Pakistan and China, Modi’s early years saw inane chatter about “Akhanda Bharat,” the ruling Bharatiya Janata Party’s (BJP) term for undivided India. This idea seeks to regain ancient India’s lost glory by spreading Hinduism’s influence across South Asia. Barring such misplaced euphoria, Modi rode the wave of international goodwill to regularize the border with Bangladesh.

      In western Asia, the Middle East was warming up to Indian influence. Progress was made on a deal to develop Iran’s strategic Chabahar port, which would facilitate overland access to Afghanistan. In 2017, Modi became the first Indian prime minister to visit Israel. India has also improved its relationships with Saudi Arabia and the United Arab Emirates. Yet since the 2017 Doklam standoff on the India-China border that Modi’s team handled well, Beijing has succeeded in building more infrastructure in the region than New Delhi. Though it could also be considered a strategic tie. Despite US objections, the decades-old India-Russia defense partnership evolved from New Delhi being a technology buyer to the recipient of technology transfer and, finally, a defense research and development partner — an evolution that has continued under Modi.

      Embed from Getty Images

      India’s perpetual see-saw with Pakistan has continued throughout Modi’s tenure. His initial outreach by inviting then-Prime Minister Nawaz Sharif to his inauguration in 2014 and a surprise stopover in Lahore a year later quickly fizzled out. In 2016, Pakistan-based militants carried out terrorist attacks near the town of Uri in the Indian state of Jammu and Kashmir. In response, India conducted “surgical strikes” across the Line of Control (LoC), which separates the disputed Kashmir region. In 2019, Pakistani militants attacked Indian soldiers in Kashmir. For the first time since 1971, India entered Pakistani airspace to bomb locations that New Delhi claimed to be terrorist training camps.

      The situation between India and Pakistan did not change much. Tensions between the two countries persist. But Modi was reelected in 2019 on the promise of this altered equation of India swiftly and boldly following up on terrorist attacks by Pakistan-based militants.

      The reality was much more nuanced. Despite Indian claims and Pakistani counterclaims, international observers concluded that the two cross-border raids by India were not particularly effective. By blocking access to bombed sites, Pakistan’s side of the story seemed flimsy. However, Islamabad’s downing of an Indian fighter jet in February 2019 and capturing an Indian pilot, who was returned a few days later, appeared to expose holes in India’s defense preparedness. Nonetheless, Modi managed to isolate Pakistan globally and, in 2018, have it included in the gray list of the Financial Action Task Force, the global agency tracking terror financing.

      India’s relations with the West did not improve much. In Europe, other than the Rafale warplanes agreement in 2016, the Modi government was unable to make progress on the stalled trade deal with the EU. To be fair, Brussels was busy rebuilding after the Great Recession and the chaos caused by Brexit. Across the Atlantic, there was optimism in the air. During his final term, US President Barack Obama reluctantly embraced Modi. Later, the bonhomie between Donald Trump and Modi could not prevent a trade war.

      However, India-US defense and strategic cooperation strengthened as Modi built on the hard work of his predecessors, Atal Bihari Vajpayee and Manmohan Singh. The rising threat of China also played its part in developing this relationship. The 2015 agreement between Obama and Modi on nuclear liability issues was followed by a bilateral Logistics Exchange Memorandum of Agreement in 2016 and a Communications Compatibility and Security Agreement in 2018. The Quad seems to be a natural extension of this closer US-India partnership, India’s Act East policy and the Asian pivot of the United States.

      What Changed?

      After a reasonably strong start, Modi’s India has found itself in a muddle. India’s foreign policy failures closely follow the country’s economic decline since 2017-18 and steadily rising majoritarianism. Trump’s erratic, isolationist policies and India’s widening geopolitical deficit vis-à-vis China played a role, but most of Modi’s wounds are self-inflicted.

      For his narrow domestic agenda and to pass the Citizenship Amendment Act (CAA), Modi selectively gave a pathway to citizenship to non-Muslims from the neighboring countries of Afghanistan, Bangladesh and Pakistan. Because it excluded Muslims, even persecuted ones, from these countries, the CAA was criticized and deemed discriminatory.

      In doing so, Modi alienated Bangladesh, which is rapidly modernizing and leaving India behind on most human development and economic indicators. Bangladesh swiftly showed India its place through a diplomatic snub and demonstrated its desire to walk into China’s open arms. Sustained diplomacy over the past year, combined with Modi’s recent trip to Bangladesh and India’s donation of COVID-19 vaccines, repaired some of the damage. While cooling down the CAA rhetoric might help, India’s weakened economy could still push Bangladesh closer to China.

      Embed from Getty Images

      Under the Trump administration, the US held a tough stance against Pakistan over what it called “Islamabad’s failure to take action against militant groups.” Aid from Saudi Arabia also dried up due to strained relations between Riyadh and Islamabad. As a result, Pakistan is beholden to China. The China-Pakistan Economic Corridor (CPEC), which passes through Gilgit and Baltistan, a disputed region that both India and Pakistan claim sovereignty over, has cemented China’s grip on Pakistan. New Delhi has not approached the recent ceasefire agreement with Islamabad and the resumption of peace talks from a position of strength. Rather, it is a tacit admission by both weakened parties that peace is mutually beneficial.

      Relationships with the Arab world and Israel remain strong, but Modi has lost the plot with Iran and is losing some ground with Russia. Beijing recently signed a 25-year strategic deal with Tehran and, with its economic clout, is pulling the Kremlin into its sphere of influence. In the pre-Modi era, as a rising economic power, India managed to carve out exceptions for itself to bypass US sanctions against Iran and Russia. Throughout Modi terms in office, China has steadily widened the economic and geopolitical gap with India. New Delhi’s growing weakness vis-a-vis Beijing has resulted in India kowtowing to the US and losing its strategic autonomy.

      Britain’s need for trade partners following its departure from the European Union might lead to a favorable India-UK deal. But a free trade agreement between India and the EU has not seen any significant movement under Modi. US President Joe Biden does not seem to be in any rush to end the trade war his predecessor began with India.

      For all the buzz surrounding The Quad, India is the junior partner that has little to offer to others in terms of economic benefits. New Delhi will enhance its strategic and military cooperation with other like-minded democracies, but it is unlikely to intervene if there is a full-scale confrontation between India and China. Unless the Indian economy becomes efficient and tightly integrates itself with Quad countries, its usefulness to other partners will be limited to its size and strategic location.

      In the Cold War, the US aligned with autocrats and religious fundamentalists, most notably in China and Pakistan, to defeat the Soviet Union. In the new brewing cold war between Washington and Beijing, Quad countries will pay lip service to building democratic institutional capacity in India. However, if push comes to shove, they will partner with an authoritarian India to counter China, which will serve their narrow self-interests.

      India-China Relations

      Modi’s biggest foreign policy failure is India’s frayed relationship with China. His misplaced overconfidence forced him to reject conventional wisdom and embark on a charm offensive with Chinese President Xi Jinping. Modi ignored the Doklam warning and kept expecting Xi to treat India as an equal, despite the crumbling Indian economy. Meanwhile, China had already started reducing New Delhi’s sphere of influence through its outreach to India’s neighbors and offers of economic and strategic partnerships. In 2019, Modi scrapped Article 370 of the Indian Constitution to downgrade the state of Jammu and Kashmir to a union territory status. His deputy, Amit Shah, made unrealistic claims about taking back the China-controlled Aksai Chin. In response, Xi directly occupied Indian territory in Ladakh for almost a year.

      China’s strength and India’s decline are best captured through the different ways the countries approach bonds. China is selling its government bonds internationally at a negative interest rate despite a raging pandemic, ongoing border clashes with India and a 300% debt-to-GDP ratio. Indian bond investors are demanding higher yields even though India’s debt-to-DGP ratio is below 100%.

      With a sizable military and tactical superiority, India was unlikely to lose territory to China. However, through emergency weapons purchases during the Doklam standoff, India paid dearly for Modi and Shah’s hubris and prioritizing domestic politics over national interest.

      Weakened on the World Stage

      Through his speeches, photo-ops with world leaders and tweets, Modi keeps peddling lies and projecting strength to voters. While India’s financial health has deteriorated significantly, the BJP has raised — through anonymous electoral bonds — millions in political donations that fuel Modi’s formidable propaganda machine.

      .custom-post-from {float:right; margin: 0 10px 10px; max-width: 50%; width: 100%; text-align: center; background: #000000; color: #ffffff; padding: 15px 0 30px; }
      .custom-post-from img { max-width: 85% !important; margin: 15px auto; filter: brightness(0) invert(1); }
      .custom-post-from .cpf-h4 { font-size: 18px; margin-bottom: 15px; }
      .custom-post-from .cpf-h5 { font-size: 14px; letter-spacing: 1px; line-height: 22px; margin-bottom: 15px; }
      .custom-post-from input[type=”email”] { font-size: 14px; color: #000 !important; width: 240px; margin: auto; height: 30px; box-shadow:none; border: none; padding: 0 10px; background-image: url(“https://www.fairobserver.com/wp-content/plugins/moosend_form/cpf-pen-icon.svg”); background-repeat: no-repeat; background-position: center right 14px; background-size:14px;}
      .custom-post-from input[type=”submit”] { font-weight: normal; margin: 15px auto; height: 30px; box-shadow: none; border: none; padding: 0 10px 0 35px; background-color: #1878f3; color: #ffffff; border-radius: 4px; display: inline-block; background-image: url(“https://www.fairobserver.com/wp-content/plugins/moosend_form/cpf-email-icon.svg”); background-repeat: no-repeat; background-position: 14px center; background-size: 14px; }

      .custom-post-from .cpf-checkbox { width: 90%; margin: auto; position: relative; display: flex; flex-wrap: wrap;}
      .custom-post-from .cpf-checkbox label { text-align: left; display: block; padding-left: 32px; margin-bottom: 0; cursor: pointer; font-size: 11px; line-height: 18px;
      -webkit-user-select: none;
      -moz-user-select: none;
      -ms-user-select: none;
      user-select: none;
      order: 1;
      color: #ffffff;
      font-weight: normal;}
      .custom-post-from .cpf-checkbox label a { color: #ffffff; text-decoration: underline; }
      .custom-post-from .cpf-checkbox input { position: absolute; opacity: 0; cursor: pointer; height: 100%; width: 24%; left: 0;
      right: 0; margin: 0; z-index: 3; order: 2;}
      .custom-post-from .cpf-checkbox input ~ label:before { content: “f0c8”; font-family: Font Awesome 5 Free; color: #eee; font-size: 24px; position: absolute; left: 0; top: 0; line-height: 28px; color: #ffffff; width: 20px; height: 20px; margin-top: 5px; z-index: 2; }
      .custom-post-from .cpf-checkbox input:checked ~ label:before { content: “f14a”; font-weight: 600; color: #2196F3; }
      .custom-post-from .cpf-checkbox input:checked ~ label:after { content: “”; }
      .custom-post-from .cpf-checkbox input ~ label:after { position: absolute; left: 2px; width: 18px; height: 18px; margin-top: 10px; background: #ffffff; top: 10px; margin: auto; z-index: 1; }
      .custom-post-from .error{ display: block; color: #ff6461; order: 3 !important;}

      The world knows that India is run by a narcissist who has built a false domestic narrative of the country’s global standing to keep winning elections. The West will keep hoping that India gets its act together economically and stops destroying independent institutions so that it becomes a democratic counterweight to China. But that is a battle only Indian voters can lead.

      As India warms up to the Quad, where does it go from here? As a new cold war brews, lessons from the past are informative. While the US used China and Pakistan to dismantle the Soviet Union, China cleverly used its leverage to strengthen its economy and authoritarian communist rule. Meanwhile, Pakistan indulged its military and majoritarian religious leadership to destroy itself from within.

      With his dismantling of democratic institutions and promotion of religious bigotry, Modi has left Indian foreign policy in doldrums. If voters want it to become a vibrant, democratic counterweight to China and a global player that does justice to its potential, India will have to find a leader who understands that issues like a strong economy, independent judiciary and social stability cannot be divorced from its foreign policy but are integral to it.

      The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

    • 50 Shares149 Views

      in World Politics

      Where India Went Wrong

      by

      In just over a month, India has gone from boasting about its vaccine diplomacy to becoming the global epicenter of the COVID-19 pandemic. As this author explained in a previous article, many have questioned whether India’s vaccine diplomacy was a bold masterstroke or an unwise distraction.

      Before the start of the second wave of COVID-19 infections in March, the pandemic seemed to be under control in India. In September 2020, the country recorded an average of 95,000 daily cases of COVID-19 during the peak of the first wave. By January 2021, that figure had dropped to under 20,000.

      At the same time, the United States went from around 35,000 confirmed cases per day in September to a peak of over 300,000 in January. At the start of the year, the United Kingdom was in the midst of a deadly second wave of infections, which reached over 60,000 cases a day. At that time, Britain was battling a more contagious strain of COVID-19 known as the “Kent variant,” which is named after the region where it was first discovered in England. Countries in Europe and around the world raced to halt flights to and from the UK in a bid to control the spread of the new strain, which they feared would soon go beyond the British isles.

      India’s Health-Care System Is in Shambles

      READ MORE

      To put these figures in perspective, the UK population is 66.6 million, the US is 328 million and India is around 1.36 billion. That means at the start of 2021, the infection ratio per 100,000 people in India was far lower than in the UK and the US.

      Lax Safety Measures

      As a result, Indians thought the country was beyond the worst of the pandemic. In March, Harsh Vardhan, the Indian health minister, said the country had entered the “endgame” of the health crisis. This led to a false sense of hope, which made the public and the central and state governments complacent. Restrictions that were brought in to curb the spread of the coronavirus were quickly eased. Life had almost returned to normal in January with the opening up of nightclubs, restaurants, hotels, tourist locations and public transport.

      At the same time, elections were announced in five states, including West Bengal, which the ruling Bharatiya Janata Party (BJP) had set its sights on winning. All political parties and their supporters held rallies with tens of thousands of people in attendance. The Hindu festival of Kumbh Mela attracted millions of people who took a dip in the Ganges, a river considered sacred in Hinduism. Nearly 60,000 spectators were also allowed to enter stadiums to watch cricket matches. All of these events took place with lax safety measures in place, with no social distancing or wearing of masks.

      Embed from Getty Images

      In hindsight, India did not anticipate a second wave of COVID-19. It lifted the lid on public restrictions at a time when countries such as the UK were battling a winter wave of infections. As mainland Europe realized, it was inevitable that the more contagious strain of COVID-19 discovered in the UK would spread. India failed to realize this despite repeated warnings.

      Now, India is battling its own second wave. The country has repeatedly broken the record for the daily number of confirmed cases of COVID-19. On May 2, India recorded more than 400,000 new daily infections. The actual number of cases is believed to be far higher due to a shortage of testing kits and people getting tested. Many Indians are not getting checked because they have no symptoms but are contagious or they are worried about testing positive for the virus. States like Bihar, West Bengal and Maharashtra have been accused of manipulating and underreporting the number of positive cases and deaths from COVID-19 to avoid criticism over inefficient governance. Worryingly, epidemiologists believe that India has not yet hit the peak of the second wave and that the worst is yet to come.

      No Improvement to Health Care

      It has been argued by many that the pandemic will not come to an end until it is under control everywhere. This is because “viruses naturally mutate over time.” There are currently thousands of mutations of the coronavirus around the world, but only a few of them are variants of concern for scientists. As more people contract the virus and spread it to others, it is inevitable that different strains will emerge. This is why despite the successful vaccination rollout in countries like Israel, the UK and the US, authorities have been cautious as they reopen economies and reduce restrictions for the public. The fear is that some variants, such as the one discovered in South Africa, will evade the existing vaccines and render them less effective.

      India has discovered a worrying COVID-19 variant of its own that is officially called B.1.617. This new strain — which is also known as the “double mutant” due to two mutations coming together in the same variant — accounts for 61% of infections in Maharashtra, a major epicenter for infections. It is unclear whether the Indian variant is driving the second wave, but it is believed to be more transmissible than previous strains of the virus. This is in addition to fear over the UK strain, which has spread to more than 50 countries.

      Complacency by the central and state governments has made the health care system crumble as Indians desperately seek medical assistance. When the pandemic first hit India in March 2020, authorities failed to strengthen the infrastructure at hospitals. As of 2018, the Indian government spent only 3.54% of GDP on health care. Other emerging economies such as Brazil and South Africa spent 9.51% and 8.25%, respectively. In India, there is only one doctor per 1,445 people, which is far lower than the figure the World Health Organization recommends. At public hospitals, there were only 0.7 beds available per 1,000 people.

      .custom-post-from {float:right; margin: 0 10px 10px; max-width: 50%; width: 100%; text-align: center; background: #000000; color: #ffffff; padding: 15px 0 30px; }
      .custom-post-from img { max-width: 85% !important; margin: 15px auto; filter: brightness(0) invert(1); }
      .custom-post-from .cpf-h4 { font-size: 18px; margin-bottom: 15px; }
      .custom-post-from .cpf-h5 { font-size: 14px; letter-spacing: 1px; line-height: 22px; margin-bottom: 15px; }
      .custom-post-from input[type=”email”] { font-size: 14px; color: #000 !important; width: 240px; margin: auto; height: 30px; box-shadow:none; border: none; padding: 0 10px; background-image: url(“https://www.fairobserver.com/wp-content/plugins/moosend_form/cpf-pen-icon.svg”); background-repeat: no-repeat; background-position: center right 14px; background-size:14px;}
      .custom-post-from input[type=”submit”] { font-weight: normal; margin: 15px auto; height: 30px; box-shadow: none; border: none; padding: 0 10px 0 35px; background-color: #1878f3; color: #ffffff; border-radius: 4px; display: inline-block; background-image: url(“https://www.fairobserver.com/wp-content/plugins/moosend_form/cpf-email-icon.svg”); background-repeat: no-repeat; background-position: 14px center; background-size: 14px; }

      .custom-post-from .cpf-checkbox { width: 90%; margin: auto; position: relative; display: flex; flex-wrap: wrap;}
      .custom-post-from .cpf-checkbox label { text-align: left; display: block; padding-left: 32px; margin-bottom: 0; cursor: pointer; font-size: 11px; line-height: 18px;
      -webkit-user-select: none;
      -moz-user-select: none;
      -ms-user-select: none;
      user-select: none;
      order: 1;
      color: #ffffff;
      font-weight: normal;}
      .custom-post-from .cpf-checkbox label a { color: #ffffff; text-decoration: underline; }
      .custom-post-from .cpf-checkbox input { position: absolute; opacity: 0; cursor: pointer; height: 100%; width: 24%; left: 0;
      right: 0; margin: 0; z-index: 3; order: 2;}
      .custom-post-from .cpf-checkbox input ~ label:before { content: “f0c8”; font-family: Font Awesome 5 Free; color: #eee; font-size: 24px; position: absolute; left: 0; top: 0; line-height: 28px; color: #ffffff; width: 20px; height: 20px; margin-top: 5px; z-index: 2; }
      .custom-post-from .cpf-checkbox input:checked ~ label:before { content: “f14a”; font-weight: 600; color: #2196F3; }
      .custom-post-from .cpf-checkbox input:checked ~ label:after { content: “”; }
      .custom-post-from .cpf-checkbox input ~ label:after { position: absolute; left: 2px; width: 18px; height: 18px; margin-top: 10px; background: #ffffff; top: 10px; margin: auto; z-index: 1; }
      .custom-post-from .error{ display: block; color: #ff6461; order: 3 !important;}

      In July 2020, state governments opted to build temporary centers for COVID-19 patients instead of buying additional beds for existing hospitals and allocating more resources. These centers were barely used. Due to their high maintenance costs, they were dismantled a couple of months before the second wave hit. Now, as hospitals face a short supply of beds and a high demand for them, some state governments are considering whether to rebuild the makeshift centers.

      In March 2020, Modi allocated 150 billion rupees ($2.03 billion) to strengthen the infrastructure of health care in India. The government purchased personal protective equipment (PPE) and an additional 60,000 ventilators. Yet as of last fall, just under 24,000 of the ventilators had been installed in hospitals across the country. Both public and private hospitals are currently short of beds, ventilators and oxygen in many major cities.

      As COVID-19 infections sweep the country, social media networks have been flooded with posts calling for help. Friends and families of those suffering from the virus have desperately sought to find available beds in hospitals, oxygen supplies or medication to combat COVID-19. Disturbing reports of people dying after being unable to access treatment have been heard all over the country. Ambulances and other vehicles with COVID-19 victims inside them have lined up outside hospitals that no longer have space available. Many hospitals have reported that patients they were treating died as the oxygen supply ran out. Outside crematoriums, the number of dead bodies is mounting.

      The Government’s “Vaccine Diplomacy”

      With the situation worsening, the BJP-led government has been criticized by Indian courts for focusing on state election campaigns instead of taking preemptive action to combat the second wave. Aside from easing restrictions too quickly and not reinforcing the health care system in time, many states face shortages of COVID-19 vaccines. In January, Prime Minister Narendra Modi claimed to have rolled out the “world’s largest vaccination drive,” aiming to get jabs in the arms of 300 million people by July. At the time of writing, only 2% of the Indian population — 29 million — has been fully vaccinated with two doses. This is compared to 23% in the UK and 30% in the US, both of which focused on vaccinating their most vulnerable citizens first to drive down new infections and deaths.

      India had other things in mind. It sought to distribute doses worldwide as part of its vaccine diplomacy. With the world’s largest manufacturer of vaccines, India has so far exported 66 million doses to 95 countries. Yet, earlier this year, the Modi government implemented an initiative to donate free batches in an attempt to boost the country’s soft power when the pandemic was seemingly under control. Many observers questioned whether the move was necessary instead of focusing on vaccinating Indians themselves. Toward the end of March, as infections increased and vaccines decreased, the Modi government realized that its decision to export millions of doses was premature. It decided to halt the export of doses and instead vaccinate Indians over the age of 45. Yet the damage had already been done due to poor planning by the BJP-led government.

      Embed from Getty Images

      Meanwhile, state administrations in Maharashtra, Delhi and Andhra Pradesh that are not ruled by the BJP have claimed they are running short of vaccines. Critics have accused Modi of playing politics with vaccine distribution as states with BJP governments, such as Gujarat, were given almost the same number of vaccine doses as Maharashtra, which has a population double that of Gujarat. The health minister has denied that regions were short of supplies and instead blamed state governments for the poor rollout of vaccines.

      In order to counter criticism over its inefficient planning, the central government announced on April 19 that all citizens above 18 would be able to get vaccinated from May 1; it had previously focused on health and frontline workers and those over 45. By opening the door for all adults, an additional 600 million citizens are now eligible. Yet with vaccines in short supply, some states have postponed the rollout. The website through which citizens can book a jab crashed minutes after it went live for the new age group.

      The government has approved additional funds for vaccine manufacturers to ramp up production. However, the increased production is unlikely to be available for a few months as vaccines go through a lengthy process of packaging and safety checks. To make up for this shortage, the government has fast-tracked the approval process for foreign-produced vaccines. These include Johnson and Johnson from Belgium and Sputnik V from Russia, which cost more than domestically-produced ones.

      Public Image

      In an attempt to maintain his public image, Modi addressed the nation on April 20. Indians needed assurances and demanded answers, but the prime minister offered none. He neither informed the public about plans to tackle the crisis, nor did he give any reasons about why the country is facing a horrific second wave. This is despite him previously boasting that India’s handling of the pandemic had been exemplary and should a model for the world. It seems the central government is content with placing the blame on state administrations and the public instead of admitting that it made mistakes.

      Earlier this week, the BJP failed to win in the state of West Bengal despite heavy election campaigning. It seems that Indians are beginning to realize that Modi’s preoccupation with his public image, and his need to win votes, is costing the country dearly. In fact, the obsession with elections on the part of Indian politicians has contributed to the second wave of COVID-19 infections. India can only hope that Modi and other politicians shift their focus from politics to health care before it is too late.

      The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

    • 75 Shares159 Views

      in World Politics

      Shaping the Future of Energy Collaboration

      by

      The cancelation of British Prime Minister Boris Johnson’s much-awaited visit to India is disappointing but unsurprising. India, a country with nearly 1.4 billion people, is currently confronting a second wave of COVID-19 infections. Though all is not lost as bilateral talks are expected to take place virtually on April 26. High on the agenda remains the launch of Roadmap 2030, which will foreseeably set the tone for India-UK relations in a post-COVID era and pave the way for a free trade agreement.

      The Missing Pieces to Avoid a Climate Disaster

      READ MORE

      This shared vision, forming a critical piece of the “global Britain” agenda and the UK’s post-Brexit foreign policy, is expected to lay out a framework for enhanced cooperation across a much broader set of policy pillars. One such area is climate action, which is a key part of economic growth strategies and the global green energy agenda for both countries.

      As signatories to the 2015 Paris Agreement — the international treaty on climate change — India and the UK have sizable ambitions to invest in creating cleaner and sustainable energy systems. This time last year, the United Kingdom experienced its longest coal-free run to date, a significant milestone for an economy that generated about 40% of its electricity from coal just a decade ago. While India’s green energy transition is comparatively nascent, it has made significant strides toward expanding its renewable energy capacity, especially in solar power, where it is emerging as a global leader.

      Energy Sources

      Although the two countries have vastly different energy sources and consumption patterns, this creates a unique opportunity for each economy to capitalize on its individual strengths. In offshore wind power, the UK is the largest global player, while India has only begun to scratch the surface of its wind potential. The United Kingdom’s technical prowess will play a crucial role in supporting the growth of India’s offshore wind energy — from the meteorological expertise required to evaluate wind patterns and energy production potential to joint research and development opportunities.

      The growth of electric vehicles (EVs) is another area where each market has distinct strengths. India, for example, can rely on the UK’s experience as it undertakes the massive infrastructure exercise of deploying smart charging EV stations. The UK can draw on India’s success with battery-powered three-wheelers to develop sustainable last-mile connectivity solutions. Strengthened bilateral cooperation on these fronts will not only accelerate the EV revolution globally but can also serve to contain China’s dominance in this market.

      Embed from Getty Images

      The Indian and British governments are closely collaborating around climate action. This is evident from recent trips to India by the UK’s Alok Sharma, the president of this year’s UN Climate Change Conference (COP26) that will take place in Glasgow, and Lord Tariq Ahmad, the minister for South Asia and the Commonwealth.

      It is, however, important to expand the scope of these engagements to include small and medium-sized enterprises (SMEs), which constitute a powerhouse of skill and experience. SMEs based in the UK can play a significant role in supporting India’s energy transition. British companies could adapt their innovations for the local market, while in turn benefiting from India’s strong manufacturing base and engineering skills. To tap into this market opportunity, governments could facilitate SME-focused trade delegations as well as joint-venture opportunities for cleantech startups.

      Green financing would play an equally important role in truly unlocking the value of such partnerships. This would be through existing bilateral instruments like the Sustainable Finance Forum and Green Growth Equity Fund or the UK’s soon-to-be-launched revenue mechanism that will mobilize private investment into carbon capture and hydrogen projects. This is especially important for India, which is looking at green hydrogen in a big way and is set to launch its first national hydrogen roadmap this year. As the UK’s carbon capture market grows, this could support India’s plans to produce hydrogen from natural gas, creating new avenues for technology sharing.

      If one thing is clear, it is that the opportunities are immense and the existing foundation is strong. With the stage set and the actors in place, Roadmap 2030 could certainly stand to benefit not just India and the UK, but the world at large in delivering a cleaner, more affordable and resilient energy future.

      The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

    • 88 Shares129 Views

      in World Politics

      Is India’s Vaccine Diplomacy a Good Idea?

      by

      In terms of numbers, India ranks the third worst after the US and Brazil when it comes to COVID-19 infections. At the time of publishing, the country has recorded over 12.3 million confirmed cases and more than 163,000 deaths. The BBC reports that India is facing a “severe, intensive” second wave of the pandemic. The situation in states like Maharashtra, Gujarat and Punjab has reached alarming proportions.

      How Did India Combat COVID-19 in 2020?

      Last year, Indian Prime Minister Narendra Modi imposed a stringent lockdown that brought economic activity to a shuddering halt. This lockdown led to a dramatic contraction of India’s GDP by 23.9% in the April-June 2020 quarter. The economy recovered somewhat in later quarters, but it experienced a recession in the 2020-21 financial year for the first time in 25 years.

      Arguably, the lockdown was a success in preventing a rapid spread of COVID-19 last year. In percentage terms, India did not do too badly. After all, it has nearly 1.4 billion people in contrast to the US population of 330 million. The daily new cases in India dramatically declined until recently when the second wave hit the country. Thanks to a young population and public health measures, India experienced a remarkably low mortality rate.

      What’s Behind Chile’s Vaccination Success?

      READ MORE

      India has low per capita income and poor health care facilities. So, its achievement in controlling the COVID-19 outbreak has been hailed by many public health experts, including the World Health Organization (WHO). In January, India launched a massive vaccination program to fight the pandemic. This was possible because the country has a track record of mass vaccination and massive vaccine production.

      Indian manufacturers supply more than 60% of the world’s vaccines against diseases like polio and measles. Early on, the country began mass production of two COVID-19 vaccines: Covishield and Covaxin. The Serum Institute of India (SII), which partnered with the University of Oxford and AstraZeneca, had already produced and stocked approximately 70 million Covishield doses even before India granted emergency approval to their vaccine. 

      On January 16, India launched an ambitious plan to vaccinate around 300 million people by June. The world’s largest vaccination program focused first on those with high vulnerability to the coronavirus. First on the list were health care workers. They were followed by those who were 65 years or older. This ensured that the vaccine was not monopolized by the richest sections of Indian society. 

      As vaccinations have increased, the Modi government has eased restrictions in the country. Crowds have gathered at large weddings, sporting events and festival celebrations. The government lifted restrictions to stimulate economic activity. A poor country like India with a large population could not afford a lockdown for too long. However, the easing of restrictions has not only led to increased economic growth, but also rising cases of COVID-19 infections. India faces a tough balancing act between stimulating economic activity and curtailing a pandemic.

      India’s Vaccine Diplomacy

      During the pandemic, India has embarked on an ambitious foreign policy initiative. Modi announced the Vaccine Maitri initiative to supply COVID-19 vaccines to other nations only four days after India began domestic vaccinations. With the world’s largest manufacturer of vaccines, India has shipped approximately 61 million doses to 84 countries, which have included free batches. It has pledged 200 million doses for the WHO’s COVID-19 Vaccines Global Access (COVAX) initiative to ensure vaccines for 92 low and middle-income countries.

      Embed from Getty Images

      India began its vaccine diplomacy by distributing doses to its immediate neighbors: Nepal, Bangladesh, Sri Lanka and the Maldives. The country has also exported vaccines to faraway places such as the Caribbean, where the likes of Barbados, Dominica and Jamaica have benefited from Indian aid. Leaders of countries such as Brazil and Antigua and Barbuda have publicly thanked Modi for his country’s generosity.

      As per some foreign policy experts, India’s vaccine distribution is a diplomatic masterstroke. It helps the country gain goodwill and increase its soft power. It could lead to a more peaceful neighborhood. In the future, India might win much support, strengthen its claim to a permanent seat at the UN Security Council and emerge as a great world power.

      Vaccine diplomacy might be giving a rare chance to counter China, which has launched the Belt and Road Initiative to increase its global footprint. For decades, China has backed Pakistan and, for the last few years, has increased its presence in Myanmar, Bangladesh, Sri Lanka and Nepal. With Chinese influence growing in India’s closest neighbors, the country has understandably become anxious.

      In June 2020, Chinese and Indian troops engaged in a bloody hand-to-hand combat with many dying in the process. Since that clash, relations between India and China have been fraught. India has banned over 200 Chinese apps and restricted Chinese investment into the country. COVID-19 has given a unique opportunity to India — the “pharmacy of the world” — to compete with China. By shipping vaccines to low and middle-income countries, India is gaining influence at the Chinese expense whose vaccines have been questioned by Western media.

      Rich countries have failed poorer ones because they have focused on domestic programs. Unlike India, the United States, the European Union and the United Kingdom are focused completely on vaccinating their domestic populations. India’s generosity is unique and might lead to long-term gains.

      Masterstroke or Distraction?

      However, there is a counterargument that India has been premature in kicking off vaccine diplomacy. It did so before setting its own house in order. According to the Johns Hopkins Coronavirus Resource Center, as of April 2, India has administered nearly 69 million doses, fully inoculating only 9.6 million people. That is just 0.71% of its population. India’s focus should have been getting every one of its citizens vaccinated instead of basking in complimentary tweets from foreign leaders. Such goodwill might turn out to be very transient. 

      Recently, India has slowed down its vaccine exports and speeded up its vaccination program. The government has now enrolled private hospitals in its vaccination drive, and everyone above the age of 45 is now eligible for the vaccine. Modi himself got vaccinated on March 1, boosting public faith in COVID-19 vaccines and increasing their uptake nearly four-fold. It seems that the government is paying attention to its critics.

      Time will tell whether India’s vaccine diplomacy was a bold masterstroke or an unwise distraction. It reveals that there are no easy choices for any nation during a raging pandemic.

      The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

    • 75 Shares179 Views

      in World Politics

      Narendra Modi’s War With Social Media

      by

      The Wall Street Journal reports on the Indian government’s intention to clamp down on social platforms that have played a role in the recent farmers’ protests. According to Wall Street Journal sources, Narendra Modi’s government has threatened to jail employees of Facebook, WhatsApp and Twitter “as it seeks to quash political protests and gain far-reaching powers over discourse on foreign-owned tech platforms.”

      The article claims that this initiative constitutes the government’s response to the foreign tech companies’ refusal “to comply with data and takedown requests from the government related to protests by Indian farmers that have made international headlines.” In other words, the Indian government wishes to control the content that may be allowed to appear on these platforms.

      Why Are India’s Farmers Protesting?

      READ MORE

      But we also learn that it isn’t simply the response to a specific event, such as the farmers’ protests, but a matter of principle. It involves rewriting the rules of India’s democracy. “The rules would also compel companies to remove content that undermines security, public order and ‘decency of morality,’” The WSJ reports.

      Today’s Daily Devil’s Dictionary definition:

      Undermine:

      Express ideas or facts that, however sincere truthful, are deemed dangerous because they challenge a government’s official narrative, the only one permissible for public dissemination.

      Contextual note

      Since the beginning of the “global war on terror” in 2001, governments across the world have regularly appealed to the theme of “national security,” applying it to oppose anything that might vaguely embarrass them. Prime Minister Modi’s government has boldly added the much broader categories of “public order” and “decency of morality” to the mix. States in the past that have actually managed to accomplish that kind of behavioral control have generally been referred to as fascist. While it may seem abusive to apply that term to any democratically elected government today, the similarity of such policies with those practiced by fascist regimes from the past should be obvious. 

      Embed from Getty Images

      Nations that seek to apply such policies today should only deserve to be called “aspirationally fascist.” Given the availability of communication technology to even the humblest among us, the effective repression of expression and enforcement of morality applied to an entire population would immediately undermine any nation’s pretension of democracy. We should ask ourselves if Modi is serious in his demands. The difficulty of achieving those goals in the era of global platforms appears to be insurmountable. If it were to succeed, it would imply dismantling one of the givens of the globalized economy and the stoutest pillar of any democracy: the free circulation of ideas.

      In its reporting on the same topic, Business Insider focuses on the immediate challenge to the Indian government represented by the farmer protests. It describes the government’s initiative as an attempt “to pressure the firms into sharing data related” to the protests. If this is true, the aim would no longer appear to be the mere prevention of unfavorable discourse disseminated through the media. It would imply the harnessing of data produced by these foreign platforms for surveillance purposes. That would then serve the state to crack down on elements suspected of subversion or threatening the public order.

      This would seem to contradict the idea that the government’s aim is simply to censor subversive ideas. Instead, its aim would be to partner with the social platforms to gain access to their data and metadata. This would serve, not to suppress certain ideas, but to suppress the people who express those ideas.

      Modi may simply be casting his lines in all directions at the same time, unconcerned with the type of fish he may reel in. It could be compared to the Trumpian foreign policy notion of “maximum pressure” to make the adversary bend. In Modi’s case, it is directed at the platforms to convince them to take some action that he finds acceptable — it doesn’t really matter which. He appears to be giving his victims the choice between applying his criteria of censorship, which means banning specific content, or quietly handing him the data they collect, which will make it possible for India to identify and punish the culprits. At the same time, by personally threatening the employees of the platform, Modi is showing that he means business, much like Donald Trump and Mike Pompeo when they imposed sanctions on the officials of the International Criminal Court to discourage them from investigating the US and Israel.

      The WSJ reveals the deeper ambitions of the Indian government concerning the surveillance of social media. It cites a member of the government who “said the rules would require platforms to track and store records of specific messages as they traveled among users.” This would have radical implications, defining user privacy in the use of social platforms as a relic of the past. The threats against employees of the platforms demonstrate the conclusion The WSJ has reached: “The Indian government appears ready for a fight.”

      Historical Note

      Narendra Modi’s government appears to see this as a possible historical turning point. India’s rivalry with China, at least in terms of soft power, has been defined in many people’s minds as the contest between the world’s two powerful but highly contrasted nations that can be called billionaires (in terms of population). One is an autocracy and the other a democracy. One ambiguously carries the heritage of Western colonization; the other defies it. 

      Seen as competition, it has turned out not to be a truly fair fight. China has obviously been progressing exponentially in its economic and military influence, whereas India seems to be handicapped by its confusing democratic institutions and traditions, coupled with its incomprehensible and ungovernable demography. The traditionally conflictual relationship that has prevailed between the two nations has recently been exacerbated not just by India’s unfocused economic orientations — illustrated by the complexity of the debate around the farmers’ protests — but also with regard to contested borders, where some recent skirmishes have taken place.

      The WSJ article offers a curious hint that Modi’s government may be seeking to emulate China: “The big difference between the earlier history and where we are now is that China has done just fine without those companies.” Coming from Modi’s government, this sounds either like an expression of envy or the resolution to mobilize all its forces to go to battle with the social platforms, applying the logic of China which has peremptorily curtailed their freedom to operate.

      .custom-post-from {float:left; margin: 0 10px 10px; max-width: 50%; width: 100%; text-align: center; background: #000000; color: #ffffff; padding: 15px 0 30px; }
      .custom-post-from img { max-width: 85% !important; margin: 15px auto; filter: brightness(0) invert(1); }
      .custom-post-from .cpf-h4 { font-size: 18px; margin-bottom: 15px; }
      .custom-post-from .cpf-h5 { font-size: 14px; letter-spacing: 1px; line-height: 22px; margin-bottom: 15px; }
      .custom-post-from input[type=”email”] { font-size: 14px; color: #000 !important; width: 240px; margin: auto; height: 30px; box-shadow:none; border: none; padding: 0 10px; background-image: url(“https://www.fairobserver.com/wp-content/plugins/moosend_form/cpf-pen-icon.svg”); background-repeat: no-repeat; background-position: center right 14px; background-size:14px;}
      .custom-post-from input[type=”submit”] { font-weight: normal; margin: 15px auto; height: 30px; box-shadow: none; border: none; padding: 0 10px 0 35px; background-color: #1878f3; color: #ffffff; border-radius: 4px; display: inline-block; background-image: url(“https://www.fairobserver.com/wp-content/plugins/moosend_form/cpf-email-icon.svg”); background-repeat: no-repeat; background-position: 14px center; background-size: 14px; }

      .custom-post-from .cpf-checkbox { width: 90%; margin: auto; position: relative; display: flex; flex-wrap: wrap;}
      .custom-post-from .cpf-checkbox label { text-align: left; display: block; padding-left: 32px; margin-bottom: 0; cursor: pointer; font-size: 11px; line-height: 18px;
      -webkit-user-select: none;
      -moz-user-select: none;
      -ms-user-select: none;
      user-select: none;
      order: 1;
      color: #ffffff;
      font-weight: normal;}
      .custom-post-from .cpf-checkbox label a { color: #ffffff; text-decoration: underline; }
      .custom-post-from .cpf-checkbox input { position: absolute; opacity: 0; cursor: pointer; height: 100%; width: 24%; left: 0;
      right: 0; margin: 0; z-index: 3; order: 2;}
      .custom-post-from .cpf-checkbox input ~ label:before { content: “f0c8”; font-family: Font Awesome 5 Free; color: #eee; font-size: 24px; position: absolute; left: 0; top: 0; line-height: 28px; color: #ffffff; width: 20px; height: 20px; margin-top: 5px; z-index: 2; }
      .custom-post-from .cpf-checkbox input:checked ~ label:before { content: “f14a”; font-weight: 600; color: #2196F3; }
      .custom-post-from .cpf-checkbox input:checked ~ label:after { content: “”; }
      .custom-post-from .cpf-checkbox input ~ label:after { position: absolute; left: 2px; width: 18px; height: 18px; margin-top: 10px; background: #ffffff; top: 10px; margin: auto; z-index: 1; }
      .custom-post-from .error{ display: block; color: #ff6461; order: 3 !important;}

      The fact that Facebook and Twitter are banned in China has enabled the emergence of Chinese non-global equivalents such as Weibo and Renren. Modi would appear to be dreaming that something similar could take place in India, though the government’s ability to control what happens on such networks as effectively as the Chinese seems more than unlikely. Modi may simply be citing the Chinese case to frighten the American owners of the dominant platforms.

      The WSJ presents Modi’s gambit as a negotiating stance. The prime minister believes he is in a position to “threaten the tech companies’ future in a market of more than 1.3 billion people that, since they are locked out of China, is the key to their global growth.” The article cites Jason Pielemeyer, the policy director of the Global Network Initiative, focused on human rights: “In a market the size of India, it’s hard to take the nuclear option, which is to say, ‘We’re not going to comply, and if you block us, we’ll call your bluff or accept the consequences.’” 

      At the same time, The WSJ reveals what may be the truly “noble” underlying motive of the Indians, one we should all applaud. It’s a motive that sounds far more generous and respectful than either threats against American tech companies or the desire to emulate China’s policy of social control. “Officials have said the government wants to protect small Indian businesses, secure user data and allow room for India’s own tech firms to grow,” The Journal reports. 

      So, which one is it: the emulation of China’s surveillance society and despotic control of the media or a democratic encouragement of small businesses? Because India is a democracy, all that will only become clear in the next election, in 2024. Only three years to wait for the moment of clarity. Isn’t that what democracy is all about, waiting for the next election in the hope that the truth will then become manifest?

      *[In the age of Oscar Wilde and Mark Twain, another American wit, the journalist Ambrose Bierce, produced a series of satirical definitions of commonly used terms, throwing light on their hidden meanings in real discourse. Bierce eventually collected and published them as a book, The Devil’s Dictionary, in 1911. We have shamelessly appropriated his title in the interest of continuing his wholesome pedagogical effort to enlighten generations of readers of the news. Read more of The Daily Devil’s Dictionary on Fair Observer.]

      The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

    • 113 Shares119 Views

      in World Politics

      India’s New Agricultural Policy After Decades of Farmer Suffering

      by

      In India, June 5 was a turning point in the history of the country’s agriculture. The government passed three ordinances to unshackle farmers from the restrictive marketing regime that has managed the marketing of agriculture produce for decades. This sweeping stroke promises to bring the entire world of farming technology, post-harvest management and marketing channels at the doorstep of the farmer. The challenge now is to put these promises into action. The national vision of the farm sector is to double the income of farmers by 2022. This move is revolutionary since income is intrinsically linked to how the markets of the harvested produce function.

      First, the Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Ordinance provides much-awaited freedom of choice to farmers and traders. Now, farmers can sell and purchase produce through trading platforms other than the notorious markets operated by the Agriculture Produce Marketing Committee (APMC). An article published on Fair Observer in 2019 rightly observed how forcing farmers to sell their produce to APMC markets led to the problem of monopsony. As the only buyer of produce, APMC markets faced no competition and offered farmers very low prices. This ordinance promises to increase farmer incomes significantly.

      360° Context: The State of the Indian Republic

      READ MORE

      Second, the Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Ordinance further empowers farmers by creating a framework for direct engagement with processors, agri-business firms and large retailers.

      Finally, the Essential Commodities (Amendment) Ordinance releases farm produce from the restrictions imposed by the Essential Commodities Act by severely curtailing regulations on farm produce. Such restrictions will now be permissible only under extremely emergent circumstances.

      The trigger for these sweeping changes may have been the disruption in the production and supply chains due to the COVID-19 pandemic. The health crisis and the resulting nationwide lockdown necessitated drastic steps to provide immediate relief to the agriculture sector. However, we must not forget that agricultural marketing reforms have been in public discourse for nearly two decades. In practice, they always appeared to take two steps backward for every step taken forward. Petty politics, instead of agricultural needs, dominated these decisions. Hence the officials of the Ministry of Agriculture deserve recognition. They have used a crisis as an opportunity to free farmers from the oppressive yoke of red tape, rigged markets and little choice.

      Poor Infrastructure, Corruption and Lack of Accessibility

      Before discussing the details of the three ordinances, let us briefly review the existing structure and context of the marketing of agriculture produce. The overarching legislations governing agricultural markets are the APMC acts of the respective Indian states. These were enacted with the laudable objectives of ensuring fair prices to farmers and safeguarding them from the exploitation of middlemen. They aimed to enable farmers to sell their produce easily.

      Embed from Getty Images

      These acts created the institution of the APMC, which operates agricultural markets commonly called APMC mandis, the Indian word for a market. Ironically, the APMCs have achieved the precise opposite of what their architects envisaged. In their enthusiasm to ensure stability, most state governments discouraged the rise of private mandis and even criminalized setting up competing markets. This created monstrous monopolies of APMC mandis controlled by influential cartels. Instead of offering fair prices to farmers, these mandis artificially manipulated prices. The management of APMC mandis remained opaque and exploited farmers while claiming to serve them. In particular, small and marginal farmers were at the mercy of wealthy traders at these markets.

      Unsurprisingly, the January 2019 report of the parliamentary standing committee on agriculture noted that the APMC acts had not achieved their purpose. With cartels at APMC mandis dictating the terms of trade, farmers face unreasonable deductions from the sale returns of their produce in the form of market fees, commission charges and other levies that rightfully should be paid by traders. On occasions, these farmers are charged the same fees multiple times. Corruption is rampant. Aside from a handful of exceptions, mandis tend to have poor infrastructure. Basic facilities for post-harvest management of agricultural produce such as grading, sorting and packaging are lacking. Supporting services, such as banks, post offices and resting places, have also failed to develop. If some facilities exist in some mandis, they are of extremely poor quality.

      Additionally, the number of such markets is grossly inadequate. The National Commission on Farmers has recommended that an agriculture market should serve a geographical area of not more than 80 square kilometers, whereas the existing national average is 496 square kilometers. Both the quantity and quality of APMC mandis are lacking. It’s tragic that an institution established to protect farmers from exploitation has become the source of it. It is for this reason that the parliamentary report recommended that creating alternative marketing platforms should be a priority. It observed that the APMC acts had led to restrictive markets and obstructed the emergence of competitive markets. Regrettably, the Indian farmer did not have the right to choose his customer thanks to the APMC acts.

      The APMC mandis tend to be noisy, messy, chaotic and unhygienic. So, it is no surprise that a large number of farmers, especially the small and marginal ones, do not sell to APMC mandis, but they do to intermediaries and unlicensed traders. Though there are no official figures available, various studies place the share of these informal intermediaries or middlemen at 30-55%. The figure is lower in the case of food grains but very high for horticulture produce.

      There exist, in many places, several layers between the farmers and the mandis. Thus, the safety net that these mandis aim to provide farmers is already diluted. The much-maligned middleman has become an integral part of the agriculture marketing system. One of the most significant aspects of the three ordinances promulgated on June 5 is to recognize and integrate these middlemen into a liberalized regulatory framework. Now, they can enter into bona fide trade relations with farmers.

      A New, Better Approach

      In 2003, the Ministry of Agriculture attempted reform after prolonged discussions. It came out with a model legislation for states to emulate: the APMC Marketing (Development and Regulation) Act, 2003. Curiously, the focus here also remained on regulation; the preamble mentions “improved regulation in marketing” before it talks of the “development of an efficient marketing system.” In contrast, the recent ordinances offer a pleasant contrast. The term “regulation” itself has been done away with. The first ordinance declares its objective to be “promotion and facilitation” and the second one “empowerment and protection.” These ordinances present a paradigm shift in Indian agricultural policy.

      The key objectives and their provisions in the trade and commerce ordinance are as follows:

      creation of an ecosystem of freedom of choice to farmers and traders for sale and purchase of farmers’ produce
      formation of competitive alternative trading channels
      promotion of transparent and barrier-free intra-state trade and inter-state trade
      facilitation of trade of produce outside the physical premises of notified markets
      creation of viable electronic trading platforms

      As per the new ordinances, farmers are to be paid on the day of the transaction or within a maximum of three working days. They do away with the onerous licensing system that required farmers to obtain several licenses to trade in different mandis within the same state. Gone is the market fee in the “trading area,” which is defined as any area of transaction outside the present day-notified mandi.

      Now, APMC mandis will now face serious competition and might be spurred into reforming themselves. Further, to the great relief of farmers, the dispute resolution mechanism has been kept simple and local, with preference being accorded to resolution through conciliation. The ordinance also envisages a price information and market intelligence system, thus equipping farmers for determining the price of their produce.

      The key features of the price assurance and farm services ordinance are as follows:

      creation of a national framework on farming agreements
      protection and empowerment of farmers in their engagement with the likes of large agribusiness firms, wholesalers and large retailers
      promotion of remunerative price agreements and a fair and transparent framework

      The ordinance also recognizes the possibility of an adverse impact on the rights of sharecroppers in the changed business environment. Hence, it has a specific provision for protecting their rights. The risk of markets and prices is likely to be transferred from the farmers to the contracting entities. Finally, the essential commodities ordinance clearly states, “the regulatory system needs to be liberalized … for the purpose of increasing the competitiveness in the agriculture sector and enhancing the income of farmers.” Accordingly, regulation of farm produce such as cereals, pulses, oilseeds, edible oils, onions and potatoes is only possible in extraordinary circumstances such as war, famine, a natural calamity of grave nature or an extraordinary price rise.

      Ensuring Lasting Change

      The reforms in agriculture marketing by way of these three ordinances are holistic. A primary problem with earlier legislation was that farmers could only sell their produce to specified traders in particular locations. As a result, farmers have been inevitably pushed to alternative buyers outside the legal framework, including middlemen and direct buyers. Small and marginal farmers suffer from an inherent disadvantage in such an environment. They lack access to market information. Even when they have some information, they lack the capital and technology that high-value crops require. The liberalization of agricultural markets will increase revenue avenues for farmers and improve their monetary returns.

      The proof of the pudding is in eating. The success of the ordinances will be determined by their implementation, which must be carried out in letter and spirit. While the ordinances remove aberrations and deficiencies in the regulatory structure, achieving their goals requires a strengthening of institutional capacity and infrastructure. Investment in agriculture, post-harvest infrastructure and marketing framework are all grossly inadequate. While these reforms should spur investment, it would be premature to expect that to happen automatically. Further efforts and interventions are called for. The big challenge ahead is to implement these reforms in the incredibly diverse markets across the country and to build strong alternatives as envisaged by the new legislation.

      A seemingly unrelated point is important regarding these ordinances. A recent article criticized the bureaucracy for drafting documents in language that was “officialese or bureaucratese.” This pejorative term is used for language full of jargon that is wordy and vague. Such criticism cannot be leveled against these ordinances. They serve as exemplars for other official documents. They are simple, straightforward and eminently understandable. The philosophy, intention and objectives of the ordinances are effectively spelled out in the preambles, which are among the best-drafted government documents in recent times. The trick now lies in achieving what they say.

      *[The author is a former secretary of the Ministry of Fisheries, Animal Husbandry and Dairying for the Indian government.]

      The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

    • 100 Shares189 Views

      in World Politics

      India Must Modernize Its Inefficient Defense Production System

      by

      In a complex world, countries have to clearly identify and evaluate external threats on a continuous basis. These are no longer only military, insurgent and terror, but also scientific, technological and economic.

      360° Context: The State of the Indian Republic

      READ MORE

      In the Indian situation, foreign powers have engaged in cyberattacks, electronic warfare, illegal fake currency circulation and media manipulation to exacerbate the country’s internal fault lines. To counter such a multiplicity of threats, India must build up comprehensive national power. More than ever, this power is a composite of economic, industrial, scientific, technological, innovation, military and intelligence capabilities.

      Threats, External and Internal

      India is the only country that shares land borders with two nuclear states: China and Pakistan. With Pakistan, India shares a maritime boundary too. Pakistan, a country born after the partitioning of British India in 1947, has been congenitally hostile to and consistently opposed the very idea of India. It waged wars against India in 1948, 1965 and 1971. A little more than two decades ago, it destroyed a promising Indian peace initiative by taking over strategic heights in Kargil, an Indian district in Ladakh, provoking a limited but bloody conflict in 1999.

      The bitter bone of contention between India and Pakistan is Kashmir. As a self-defined haven for Muslims, Pakistan refuses to accept Kashmir as a part of India. It has backed an armed insurgency as part of its strategy to bleed India with a thousand cuts. Pakistan’s goal is to dismember its larger neighbor, beginning with Kashmir. In the 1980s, it backed a bloody insurgency in Punjab, which eventually failed. Since then, it has doubled down on Kashmir.

      Embed from Getty Images

      Pakistan’s fixation with India has defined its foreign policy since its inception. During the Cold War, Islamabad allied with the US, mainly to wrest Kashmir from India. In recent years, it has aligned itself with China to counter India in every possible manner.

      China’s relations with India are becoming increasingly complicated. This can be explained as a big power competition. This began as early as the 1950s when both countries were emerging from the shadows of imperial powers after two centuries of domination. In 1962, India lost to China in a brief but traumatic war. Since then, the two countries have not been able to agree upon a border, and the Chinese have been nibbling away at Indian territory more aggressively in recent years. At its essence, the Chinese game plan is simple: China wants to emerge as a superpower and a rival to the US. It wants to block India’s rise as an Asian power and a rival in the region.

      Like any large and diverse country, India has numerous internal security challenges. Insurgency remains a serious threat in Kashmir as well as India’s northeastern region that borders Bhutan, China, Myanmar and Bangladesh. India has faced a communist Naxalite insurgency since the 1950s. Islamic extremism, aided and abetted by foreign powers and jihadi organizations, especially Pakistan and its proxies, is increasing dramatically. The long coastline of India makes it extremely vulnerable to terrorist attacks as the 2008 massacre in Mumbai demonstrated.

      Given such threats, it goes without saying that India needs a strong security apparatus of military, police and intelligence. Importantly, the country also requires a robust defense production apparatus for three reasons.

      First, India must have the ability to produce key requirements of its armed forces to enable them to be combat-ready. Otherwise, India would be dependent on imports and at the mercy of foreign suppliers, especially at critical times. Second, India must profit from new dual-use technologies and capabilities that emerge from defense production as France, Russia and the US have demonstrated repeatedly. These have a multiplier effect in boosting a country’s technological base, driving growth in its economy and creating new jobs. Third, India cannot rely exclusively on the public exchequer for ensuring defense preparedness, given competing demands on the budget, paucity of foreign exchange reserves, dependency on Middle Eastern oil and welfare-oriented policies. Hence, the participation of the private sector in defense production is a sine qua non.

      The Story of Defense Production in India    

      India has credible experience in defense production for over two centuries. The British set up a gun carriage factory in 1801 that began production in 1802 and is still operational today. World War I provided the impetus for the British to increase production. The number and range of these factories increased significantly until the end of World War II. Defense facilities and their management structure, namely the Ordnance Factory Board (OFB), are yet another legacy of the British like India’s bureaucracy, judiciary and military.

      After the defeat in 1962, India created a number of defense public sector undertakings (DPSUs). These are units owned and managed by the government. Like most other government-owned entities, these units never really had any incentive to achieve excellence. They have been unable to satisfy the requirements of the armed forces even partially. India has consequently continued to import critical equipment from foreign original equipment manufacturers (OEMs). The foreign OEMs have earned the trust of the armed forces for quality, delivery schedules and even confidentiality. India continues to pay huge royalties for technologies transferred for producing imported equipment in the DPSUs.

      These foreign OEMs are largely privately owned but enjoy strong state support from their home governments. Yet India has not demonstrated the same level of trust in its own private sector companies. Even though India liberalized its economy in 1991, it permitted private sector participation in defense only in 2001. Nearly 20 years later, the private sector production of 170 billion rupees ($2.27 billion) comprises just about 21.3% of the 800 billion rupees ($10.67 billion) total defense sector. Most of this production is in low-value goods.

      While the US relies on Boeing, Raytheon and Northrop Grumman for many of its new defense technologies, India has entrusted the task of development of such technologies exclusively to its Defense Research and Development Organization (DRDO). In theory, India should be producing cutting-edge, high-quality defense material with institutions like the DRDO. The reality is very different

      In a nutshell, the present apparatus that India has for satisfying the requirements of its defense services is entirely inadequate. In view of the deteriorating security conditions on its borders and increasing internal threats, this failure could prove catastrophic. In the past, India’s failures led to colonization. Tomorrow, these might lead to Balkanization.

      What Has Gone Wrong?

      Ordnance factories are India’s oldest defense production units. They produce a vast variety of equipment and supplies. Run by the OFB, they fall under the administrative control of the Ministry of Defense. These OFB factories are run by officers of the Indian Ordnance Factory Service (IOFS) who are a part of Indian civil services. They are generalist administrators with little technological expertise.

      Like much of the government, the OFB is not accountable for quality, timeliness and efficiency. There is no pressure to produce returns on public investment. The OFB pays little attention to operational efficiency, and cost-effectiveness has seldom been part of its calculus. They do not even produce annual profit and loss statements or balance sheets. They function in absolute opacity as monopolies with captive buyers.

      The Directorate General of Quality Assurance (DGQA), another colonial legacy, is responsible for the quality assurance of products produced by OFB factories. It falls under the administrative control of the defense ministry just like the OFB. This arrangement is misguided. While the OFB is the producer, the DGQA is supposedly responsible for the quality of OFB products. The armed forces are the consumers but have no right to evaluate the quality of the products they use. The DGQA neither produces nor consumes and is not responsible or liable for poor quality or anything going wrong. It is bureaucratic, inefficient and incompetent. Over time, the DGQA has even acquired an odious reputation for its integrity. This has serious implications for India’s national security.

      Many in India have long recognized the need for reform. A proposal recently emerged to convert the OFB into a public sector company. This would make India’s 33 ordnance factories into DPSUs. Importantly, the DPSUs themselves have been a failure as explained above. This reform measure is ill-conceived, half-hearted and doomed to failure.

      The problems of the post-1962 DPSU model run deep too. They also operate as monopolies with the armed forces as their captive customers. DPSU employees enjoy complete job security, are not accountable for quality, delays or cost overruns. Strong unions resist any reforms. DPSUs operate in an environment of financial indiscipline. There is no compulsion to generate a reasonable return on capital and even continuous losses do not lead to closure. These losses have become a persistent drain on the public exchequer and suck up taxpayer money that could have gone to health, education or infrastructure.

      To be fair to DPSUs, they are not responsible for all their shortcomings. They have no autonomy to run their organizations. The Ministry of Defense micromanages recruitment, promotion, pay structure and investment decisions. DPSUs do very little in-house research or development. Instead, they rely on the DRDO or foreign licenses. Top management appointments by the government are far too often dispensed as patronage. Merit and achievement often become secondary considerations and, at times, interventions to promote a social justice agenda weaken DPSU performance.

      This performance has dangerous consequences. If a soldier guarding India’s borders gets inferior DPSU products, then it diminishes his fighting ability. The lack of DPSU accountability for quality, timely delivery and cost control weakens India’s national security. When a plane made by Hindustan Aeronautics Limited (HAL) fails midair and the pilot dies, the country does not hold HAL accountable. This means that DPSUs have no incentive to maintain quality standards. Even items produced under a license are subject to unconscionable delays and extreme cost escalations. For example, the Germans can produce a submarine completing all trials within two years. In contrast, India’s DPSUs take over 10 years to assemble semi-knocked-down kits. DPSUs took an eternity to manufacture Arjun, India’s main battle tank, even though most of its critical components are simply imports.

      Whose Fault?

      Undoubtedly, it is not just DPSUs who are at fault. There are deeper reasons for India’s failure to achieve even a reasonable degree of self-reliance in the vital area of defense production and its defense research and development capabilities.

      Embed from Getty Images

      First, India has a narrow technological and scientific base. Since the mid-1990s India has invested less than 1% of its GDP for research and development activities. On the other hand, China has steadily boosted its research and development expenditure and has crossed 2% of its GDP.

      It is important to note that China’s GDP has grown faster than India’s and is now four times the size of its southern neighbor. Thanks to its increased expenditure, China now manufactures products that sell across the world.

      In contrast, Indian industry still struggles to sell globally and is starved of skilled manpower. India’s best technical talent still migrates to greener pastures. Except for a handful of enterprises, none of the vaunted information technology firms in India have created a top brand or a reputed product line. The situation is worse in the manufacturing sector.

      Second, India suffers from a lack of skilled manpower for even the most basic of industrial activities. An outmoded education system churns out millions of white-collar job seekers. Technical jobs like machining, plumbing, electrical works, mechanical works and quality assurance are treated as inferior pursuits. Even engineers from premier institutes seldom aspire for a hands-on career profile. They prefer to go into management or government service.

      India is desperately short of a workforce with advanced manufacturing floor skills. The few skilled technicians are a prized lot. Both the private and the public sectors compete for them. Enlightened thought leaders in the information technology sector like Narayana Murthy have often bemoaned the fact that India’s education system is failing to produce employable candidates, forcing private enterprises to establish in-house training institutions.

      To increase the scale and improve the quality of industrial production, India needs to raise an army of trained workers. This would involve nothing short of a cultural revolution in both industry and education.

      Some Solutions to Defense Production Problems

      In truth, the real answer to the problem is privatization. Taxpayer money must not be wasted on inefficient ordnance factories or DPSUs. If the armed forces could choose suppliers from a competitive marketplace, there would be huge savings for the taxpayer. Furthermore, the forces would be able to get high-quality products that meet the highest standards. Those who object to privatization should remember that India buys all its high-end defense equipment from private players, well-known OEMs such as Rafale jets from Dassault Aviation and M777 howitzers from BAE Systems.

      Not all ordnance factories can be turned into DPSUs and not all DPSUs can be privatized. Those units that cannot be turned around must be closed down. In addition, not all DPSUs need to be privatized. Some would be in core strategic sectors and they need professional management and operational autonomy. A part of their shareholding could be sold in the market to bring financial discipline and competitiveness to these DPSUs.

      Like any high-performing company in the world, the government should empower the board of directors of DPSUs and give them operational autonomy. Any DPSU board should be able to select its top management and hold its feet to the fire. The DPSUs must select top management from the open market by offering competitive pay, allowances and incentives. Similarly, they must recruit other employees on the basis of merit, and merit alone. The board must set high-performance standards for employees and foster a culture of excellence. The board and management must exercise financial discipline to generate returns on capital.

      The DPSUs must also do their own research and development. This does not mean that they stop working with the DRDO. It just means that they are responsible for all aspects of their performance. They can and indeed must collaborate with other institutions, especially the DRDO, but the buck for all aspects of their performance stops with them. Also, the DPSUs must have the power to raise capital in the form of both equity and debt from capital markets. The value of their shares and the rating of their debt will reflect the true worth of their enterprise, make the DPSU management accountable and compel them to perform optimally.

      In theory, the DRDO is expected to develop world-class defense technologies India needs to lessen reliance on imports. In reality, the DRDO is yet to establish itself as a reliable source for high-technology and battle-ready products that can more than match that of the adversaries. Of course, there are notable exceptions, particularly when it comes to rockets and guided missiles. The DRDO needs to replicate these successes in other fields.

      Like DPSUs, the DRDO also needs operational autonomy. Those who run the DRDO must be able to hire and fire, set pay and standards, and run the organization optimally to produce technologies that Indian armed forces need. At the same time, the DRDO must be accountable for its performance. Its key job is to produce indigenous technology and reduce dependence on imports. Furthermore, the DRDO has to achieve this under tight timelines, given rising threats to India’s national security.

      The DGQA has become totally outdated. This colonial institution must be disbanded. The consumer of the product must have the right to decide if a product is good enough, while the producer must be held fully responsible for both the quality and the delivery of its supplies. The producer must also suffer penalties for its failures. In practical terms, the armed forces who use defense products must have a choice to select products and producers. They should also be able to go to court and claim damages or ask for penalties if producers supply products that fall short of their quality standards.

      Finally, the defense sector needs some of the same reforms that one of the authors suggested to the prime minister in a memo on May 5. In their words, India “must no longer have the power to throttle supply-side activity.” Indian entrepreneurs do well around the world. It is time to unleash Indian entrepreneurial energy in the defense sector too. This will improve quality, cut costs and make India more secure in the years and decades ahead.

      For too long, India has failed to promote a culture of excellence while allowing mediocrity to flourish. It has derided merit and achievement while tolerating inefficiency and dishonesty. This has caused serious damage to the nation’s economic progress and the welfare of its people. This culture has imperiled national security. Hence, India must focus on developing a culture of excellence in all fields. Given the multiplicity of threats, defense production must be the sector that becomes an exemplar of excellence for this new culture of excellence.

      The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More

    • 75 Shares189 Views

      in World Politics

      The State of the Indian Republic

      by

      On August 15, India celebrated 73 years of independence. By some metrics, the country has been a fantastic success. Multi-ethnic states such as Yugoslavia and the Soviet Union collapsed in the early 1990s. In contrast, India is still united despite its bewildering diversity in terms of religion, region, language, caste and class. Its democracy has proved resilient and political power still changes hands peacefully.

      Scroll down to read more in this 360° series

      The Republic of India began as and continues to be an audacious experiment. India’s independence came at a terrible cost. In 1947, the departing British partitioned the country into India and Pakistan, leading to violence and the largest migration in history. Despite the violence and chaos, India chose a pluralistic democracy and inspired other colonized nations to pursue independence.

      Since then, India has changed dramatically. Some trumpet the country’s great achievements. Others damn its monumental failures. In 2020, India still offers insights and lessons to many other nations around the world. With a population of more than 1.3 billion people, the state and health of the Republic of India is a matter of global importance.

      The Story of the Republic

      In seven decades, Indians have become much better off physically and financially on aggregate. For a start, they are living longer. Life expectancy in 1947 was 32 years. Today, it is over 69. During British rule, famine was a part of Indian life. It began with the Great Bengal Famine of 1769-70, which killed 10 million people, a third of the population of Bengal. During World War II, an estimated 3 to 5 million people died as Bengal’s grain was diverted to the overseas British war effort. Since independence in 1947, India has suffered no major famine and has achieved food security for the first time in centuries.

      There are many other achievements. India’s per capita GDP has improved dramatically. Literacy has increased from 11% in 1947 to 74% as per the 2011 census. Social mobility for women and members of lower castes has increased. A Dalit (India’s lowest caste) woman has held office as chief minister of India’s largest state and a woman has been prime minister. India now has nuclear and space programs and is on the verge of great power status.

      Embed from Getty Images

      Yet there are warts in the picture. Cambridge economist Joan Robinson had a lifelong love affair with India and famously observed, “Whatever you can rightly say about India, the opposite is also true.” Her observation holds true today.

      Indians may not be dying of hunger, but too many of them are still struggling to get enough food or water. In the 2019 Global Hunger Index, India ranks at a lowly 102 out of 117 qualifying countries. As of 2017, 37.9% of children under 5 were stunted and 14.5% of the population was undernourished. These rates are comparable to countries in sub-Saharan Africa, not in East or Southeast Asia. According to NITI Aayog, the premier policy think tank of the government, India faces the worst water crisis in its history and about 600 million face acute shortages. With nearly 70% of the water contaminated, India ranks 120 out of 122 countries in the water quality index.

      To add insult to injury, India‘s health care system is in crisis. Numerous research papers have chronicled the low quality of primary care facilities for women and children. A study by The Lancet found that 2.4 million Indians die of treatable diseases every year. A 2016 report by the World Health Organization found that 57.3% of India’s doctors did not have a medical qualification. When it came to nurses and midwives, 67.1% had education only up to secondary school level. Rural areas are poorly served. Public health care has declined dramatically. Even the poor turn to private health care where profiteering is rife.

      Like health care, education is in poor health. Annual reports invariably find young Indians lacking in cognitive development, early language and early numeracy. Teachers are often recruited on the basis of bribery. Like doctors, many are not qualified for their jobs. In addition, schools often lack basic facilities like water or electricity. Anyone who can afford to do so sends their children to private schools. For many, the focus of education is clearing entrance examinations to government-run, highly-subsidized elite universities. As a result, a booming $40-billion private coaching industry has emerged, which trains students for such examinations, allowing little space for innovation.

      Like education, India’s environment is in a dire state. The air in cities like Delhi or Bangalore is almost unbreathable. Sewage and industrial waste are discharged into rivers, streams, ponds, lakes and other water bodies. Plastic litters the land, including the high Himalayas. The levels of pollution have made scientists offer repeated warnings about impending environmental disasters to little effect.

      The Indian economy is in a similar state to the environment. Even before the COVID-19 pandemic, growth had stalled and jobs dried up. More than 50% of Indians are under 25 and over 65% under 35. Thanks to selective abortion and gender discrimination, India has higher female mortality and more men than women. These single men present a major national challenge. Thanks to persistently high unemployment, there is a real risk that India’s much-trumpeted demographic dividend could turn into a demographic disaster.

      India’s institutions that are supposed to deal with these challenges are in dangerous decline. In politics, crime pays. Money and muscle power are essential for winning elections. Identity politics in the form of religion, region, caste and class has risen to alarming levels. In bureaucracy, corruption works. Colonial laws and post-independence ones have led to restrictive red tape. Citizens navigate it through bribery, personal networks or political influence.

      Furthermore, elite bureaucrats are held in high esteem. After they clear a grueling exam in their 20s, these mandarins are deemed omniscient. They head everything from exam boards to airlines and move seamlessly across ministries of culture, agriculture and finance. Neither lack of domain expertise nor incompetence holds them back. 

      Like the bureaucracy, India’s judiciary faces major issues. Like Bollywood, the profession of law is known for nepotism, not competence. The judicial system is infamous for its delays. Over 3.7 million, about 10% of the total number of cases, have been pending for over 10 years. Hence, many citizens turn to local crime bosses instead of courts for justice. Many of these criminals go on to run for office. Even the police are accused of behaving like a mafia. With the crumbling of the criminal justice system, they are increasingly taking to vigilante justice and extrajudicial killings.

      The weakening of institutions has gravely undermined the rule of law. The republic may not yet be in peril, but it is not too far off from a major crisis.

      Why Does the Indian Republic Matter?

      When the Soviet Union collapsed in 1991, there were high hopes for a new age of peace and progress. Democracy was the new natural order of the universe. In 2020, that romance with democracy has dimmed. Strongmen are in power in many countries. Polarization runs high. India is no exception to this global trend and it assumes importance for five key reasons.

      First, the Indian republic matters most to its 1.3 billion citizens. Its success would mean better lives for nearly a fifth of humanity.

      Second, if the republic fails to deliver essential services or meet minimal expectations of its citizens, India could experience violence, chaos and even disintegration. The entire region could go up in flames as in 1947 when the British partitioned the country into India and Pakistan.

      Third, India has long been an exemplar for the decolonized world. Countries like Tanzania and South Africa avidly studied India’s imperfect but resilient democracy. India provides a good roadmap for the bumpy transition from a traditional to a democratic society.

      Fourth, the Indian republic offers rich insights for any multicultural, multiethnic, multireligious democracy. The promise and peril of such an experiment are laid bare in India.

      Fifth, India poses difficult questions for our time. Can democracies avoid degenerating into popularity contests between competing special interest groups? If so, how? Can a humongous republic with innumerable moving parts reform itself? If so, what does it take? If not, what lies ahead? Answers to such questions will determine the future course of history.

      The views expressed in this article are the author’s own and do not necessarily reflect Fair Observer’s editorial policy. More