Role and Functions of Reserve Bank of India

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Role of RBI

Pre-reform Post-reform
Developmental Role: the developmental role has increased in view of the changing structure of the economy with a focus on SMEs and financial inclusion Priority Sector Lending: Introduced from 1974 with public sector banks. Extended to all commercial banks by 1992 In the revised guidelines for PSL the thrust is on ensuring adequate flow of bank credit to those sectors that impact large segments of the population and weaker sections, and to the sectors which are employment intensive such as agriculture and small enterprises
Lead Bank Scheme Special Agricultural Credit Plan introduced.
Kisan Credit Card scheme (1998-99)
Focus on credit flow to micro, small and  medium enterprises development
Financial Inclusion
Monetary Policy: the role of RBI has changed from regulating credit and money flow directly to using market mechanisms for achieving policy targets. MP framework has changed to promote financial deregulations and market development. Role as a facilitator rather than as principal actor. M3 as an intermediary target Multiple Indicator Approach
Regulation of foreign exchange Management of foreign exchange
Direct credit control Open Market Operations, MSS, LAF
Rupee convertability highly managed Full current ac convertability and some capital account convertability
Banker to the government Monetary policy was linked to the fiscal policy due to automatic monetisation of the deficit Delinking of monetary policy from the fiscal policy. From 2006, under FRBM, RBI ceased to participate in the primary market auctions of the central government’s securities.
As regulator of financial sector: As regulator of the financial sector, RBI has faced the challenge of regulating the increasing financial sector in India. Credit flows have increased. RBI had to make sure that financial institutions are regulated in a way to protect the consumers while not impeding economic growth. Reduction in SLR
Custodian of FOREX reserves Forex reserves have increased drastically. Need to manage it adequately and avoid inflationary impact
Inflation Direct instruments were used Multiple indicators
Financial Stability Closed economy Increased FDI and FII has made financial stability one of the policy objectives.
Money Market Narsimhan Committee (1998) recommended reforms in the money market

 

 

Indian Agriculture- Current Status, Issues & initiatives.

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Indian Agriculture

  • Mainstay of Indian Economy
  • Since independence, undergone a change from being the sector contributing the highest share to the GDP to one contributing the lowest share.
  • Agriculture is a state subject.
  • GDP contribution (Agriculture and allied sector)
    • 5 pc in 1950-51
    • 7 pc in 2008-09 and 14.6 pc in 2009-10. It was 19 pc in 2004-05. (2004-05 prices)
    • Agricultural GDP grew by 0.4 pc in 2009-10 and -0.1 pc in 2008-09.
  • Employment
    • 9 pc in 1961
    • 9 pc in 1999-2000
    • 2 pc in 2008-09
    • 1999-2000: Number at 237.8 million
  • GCF
    • Share in total GCF 2009-10: 7.7 pc (2004-05 prices)
    • GCF as % of agricultural GDP: 2007-08 – 16.3, 2008-09(P) – 19.67, 2009-10(QE) – 20.3
    • GCF as % of total GDP: 2007-08 – 2.69, 2008-09P – 3.09, 2009-10QE – 2.97
  • Contributes to agricultural growth and industrial demand
  • Contributed 10.59 pc of total exports in 2009-10.
  • Due to the large number of workforce in this sector, the growth of agriculture is a necessary condition for inclusive growth.
  • Food grains production
    • Highest in 2008-09: 234. 47 mn t
    • 2009-10: 218.11 mn t

Agriculture and Industry

  • Agriculture as
    • Supplier of wage goods to the industrial sector
    • Provider of raw materials
    • Consumer of agricultural capital goods produced by industry
  • Stagnation in agriculture
    • Get data on CAGR

Land Reforms

  • Great scarcity and uneven distribution of land
  • Focus of agricultural policies in the initial years was on institutional changes through land reforms
  • Two objectives of land reforms in India
    • To remove the impediments to agriculture that arise due to the character of agrarian structure in rural areas
    • To reduce or eliminate the exploitation of tenants/small farmers
  • Four main areas of land reforms in India
    • Abolition of intermediaries (zamindars)
    • Tenancy reforms
    • Land ceilings
    • Consolidation of disparate land holdings
  • Economic arguments for land reforms
    • Equity
    • Small farms tend to be more productive than large farms
    • Owner cultivated plots of land tend to be more productive that those under sharecropped tenancy
  • Abolition of zamindari was successful while the other three areas of land reforms met with limited success
  • Operation Bargha. Also, LR in Kerala
  • Regional trends in LR
  • Effect of land reforms
    • On tenants
      • Absentee landlordism declined
      • Tenancy declined. In some cases, tenants were evacuated from the land.
      • In some cases there was a drift of tenants into landless
      • Where tenants had not been evicted, tenancy was pushed underground
    • On equity
    • On productivity
    • On agrarian power relations
  • The National Commission on Farmers has placed the unfinished agenda in land reform first in its list of five factors central overcome an agrarian crisis
  • Way forwards
    • Land reforms that make tenancy legal and give well defined rights to tenants, including women, are now necessary

Technology and Green Revolution

  • In the early 60s India faced several crises
    • It had to fight two wars: Pakistan and China
    • Severe drought in 1965 and 1966
    • US was using PL-480 food supply as a means to twist India’s arms to meet US interests
  • This called for an overhaul of the agricultural strategy and the need to be self-sufficient in food production
  • Three phases of green revolution
    • 1966-1972
    • 1973-1980
    • 1981-1990
  • 1966-1972
    • C Subramaniam and MSS
    • 1965: Agricultural Prices Commission and Food Corporation of India set up
    • Introduction of HYV seed of wheat from Mexico created by CIMMYT
    • Under the new agricultural policy, the spread of HYVs was supported by public investments in fertilisers, power, irrigation and credit
    • Food grain production shot up
      • 1966-67: 74 mt
      • 1971-72: 105 mt
    • India became nearly self-sufficient in food grains
    • What led to the increased production?
      • Favourable pricing policy led to adequate incentives
      • National research system proceeded to indigenise the new seeds to tackle their shortcomings
      • Availability of inputs including canal water, fertilisers, power and credit
      • Subsidies
      • Role of credit began to be important after 1969
    • 1973-1980
      • This phase saw many challenges
      • Consecutive droughts in 1972-73
      • Oil shock
      • Production fell. Imports began again.
      • Thereafter, government increased fertiliser subsidies
      • Groundwater irrigation increased in  importance
      • HYV technology extended from wheat to rice
    • 1981-1990
      • 1986
        • Rice prod: 63.8 mt (1964: 37)
        • Wheat prod: 47 mt (1964: 12 mt)
      • Even when the ‘worst drought of the century’ struck in 1987, food needs could be adequately met due to buffer stocks
      • HYV technology spread eastward to states like West Bengal and Bihar
      • The impact of HYV technology had started to plateau however
      • Input subsidies kept on increasing
      • 1991: Input subsidy was 7.2 pc of agricultural GDP
    • What was the impact of highly regulated policies on agriculture?
      • There were barriers on pricing, movement and private trading of agricultural produce
      • The external sector was burdened with various tariff and non-tariff barriers to agricultural trade flows
      • The overvalued rupee produced an anti-export environment for agriculture
      • High protection to industry produced high industrial prices and adverse terms of trade for agriculture, reducing the relative profitability of the primary sector
    • What was the aim of agricultural pricing in pre-reform era?
      • Ensure inexpensive food for consumers
      • Protect farmers’ incomes from price fluctuations
      • Keep the balance of payments in check
    • Agriculture in post-reform era
      • Impact: 1. Growth in PCI led to an increase in food demand and also diversification. Terms of trade between agricultural and industrial prices improved in favour of agriculture
      • Increased profitability has led to increase in private investments which are now double the public investment in agriculture.
      • Growth rates
        • 1980s: 3 pc
        • 1990s:
        • 2000s:
        • Tenth Plan: 2.47 pc (as against 7.77 pc of overall economic growth)
      • This has however not translated into reduction of poverty
      • There has been an increase in both urban and rural inequality
    • Deceleration in agricultural growth
      • Declined during 90s
      • Deceleration in the growth of area, production and yield
      • Food production of Rabi crops has off late equalled the Kharif crops. This has to an extent reduced the over dependence on monsoon and imparted some stability to agricultural production
      • Area-wise, the deceleration was more in case of the Indo-Gangetic region
    • The instability in agricultural growth is more in states with high percentage of rain-fed areas
    • Acreage: declining trend in most crops during the period 1995-96 to 2004-05
    • Productivity: sharp decline (1995-2005). Healthy performance of cotton and maize though

Major factors affecting growth potential

  • Lack of long term policy perspective
    • No long term strategy for agricultural development
    • National Agricultural Policy was announced only in the year 2000
    • Sectoral priority to industry from the second FYP
    • Weaknesses of policies followed for agricultural development
      • Policies provided little incentives for the farmers as the prices were depressed and the sector was disprotected vis a vis other sectors of the economy
      • Inward-looking policies
      • Excessive price based focus than non-price factors like water, infrastructure, R&D, extension services etc
    • Investment in Agriculture and Subsidies
      • There have been cutbacks in agricultural investment and extension, but not in subsidies
      • Agricultural subsidy as pc of GDP:
      • Public investment in agriculture declined from 4 pc of agriculture GDP in 1976-1980 to
      • Subsidies on fertiliser, power and irrigation have contributed to soil degradation
      • It is important to reduce subsidies and increase public investment in crucial areas such as soil amelioration, watershed development, groundwater recharge, surface irrigation and other infrastructure
      • Public Sector GCF in agriculture stood at less than Rs 50 bn at 1993-94 prices
      • It is imperative to reduce these subsidies for stepping up public investment in agriculture
      • After 2003, the investments have started to increase. In  2006-07 public sector GCF was 3.7 pc of agricultural GDP and  total GCF was 12.5 pc of agricultural GDP
      • Three areas should get priority in public investments
        • Rural roads
        • Electricity
        • Irrigation projects
        • <all three of them are under Bharat Nirman project>
      • Complimentarity between public and private sector capital formation in agricultural sector. Public sector can create infrastructure while the private investment is essential for short term asset building mainly in the areas of mechanisation, ground levelling, private irrigation etc
    • Lagging research and development efforts
      • After the green revolution, there has been no major breakthrough in agricultural research. GM is a promising area but its safety has not yet been conclusively established.
      • Poor productivity in India compared to other countries and even compared to world average
      • India, however, has the largest public agricultural research establishment in the world. ICAR and agricultural universities
      • India spends only 0.3 pc of agricultural GDP for research as compared to 0.7 pc in other developing countries and 2-3 pc in case of developed countries.
      • There is hardly any scope for expansion of area. Hence, productivity must increase to keep up with the increasing demand. R&D has a lot of role to play here
      • New varieties of seeds need to be developed suited to different regions of the country
      • The research system should be responsive to the changing needs and circumstances
    • Technology generation and dissemination
      • Fixed land. Hence technology
      • Focus on yield as well as sustainable use of land
      • Focus should be on specific requirements of each agro-climatic region
      • Ned to develop much stronger linkages between extension and farmers
    • Rising soil degradation and over-exploitation of groundwater
      • Around 40 pc of Indian’s total geographical area are officially estimated as degraded
      • Soil health is deteriorating in Punjab and Haryana
    • Degradation of natural resources
    • Subsidies vis-a-vis investments and farm support systems
    • Agriculture’s terms of trade and farm price volatility
      • Ensure rapid development of backward farm linkages
    • Summary: Need to correct the policy bias against agriculture, make higher investments, develop new varieties of seeds, conserve natural resources like land and water and provide incentives to the farmers to adopt modernisation

 

Some Issues in Indian Agriculture

  • Low public investment
  • Halt in the modernization of agriculture
  • Agricultural indebtedness
  • Farmer suicides
  • Agricultural imports and future markets

Subsidies

  • Talk about bringing urea under the Nutrient Based Subsidy (NBS) system and decontrolling its prices
  • Downsides
    • Fertilizer subsidy touched almost 1 lakh crore in 2008-09
    • Promotes overuse of fertiliser and thereby catalysing soil degradation
    • As a result, agricultural production in the bread baskets of the country has stagnated, posing a threat to the food security of the country
    • Drylands do not receive the benefit of crores of subsidy given in fertilizers

Government Intitiatives

  • Green Revolution
  • National Policy on Agriculture, 2002
  • National Policy for Farmers, 2007
    • Major policy provisions include provisions for asset reforms, water use efficiency, use of technology, inputs and services like soil health, good quality seeds, credit, support for women etc
    • Focus on millets as well

Agriculture during the 11th plan

  • Flagship schemes
    • Rashtriya Krishi Vikas Yojana
    • National Food Security Mission
    • National Horticulture Mission (2005-06)
    • Integrated Scheme of Pulses, Oilseeds and Maize
    • Technology Mission for Integrated Development of Horticulture in North-east and Himalayan States (2001-02)
    • National Mission for Sustainable Agriculture
    • National Mission on Micro Irrigation was launched in 2010 in addition to the earlier Micro Irrigation Scheme launched in 2006
    • National Bamboo Mission
  • Avg growth of 2.03 pc against the Plan target of 4 pc per annum.
  • For sustainable and inclusive growth
    • Must focus on the small and marginal farmers as well as female farmers
    • Group approach should be adopted so that they can reap economies of scale
    • Bring technology to farmers
    • Improving efficiency of investments
    • Diversifying while also protecting food security concerns
    • Fostering inclusiveness through a group approach
  • Irrigation
    • Envisages creation of an additional potential of 16 mn ha
    • Bharat Nirman aims to bring an additional 1 crore ha of land under irrigation by 2012
    • Accelerated Irrigation Benefits Programme still on

Irrigation

  • 45 pc of nearly 175 mn ha of cropped area is irrigated
  • Trends
    • Nearly trebled from 24 mn ha in 1953-64 to 75 mn ha in 1998-99
    • It accounts for the largest part of total investments in the agricultural sector
    • Importance of ground water as an irrigation source has also increased considerably
  • Uneven access
    • Inter-regional variance
    • Inequality in access within the farming population
  • Areas of concern
    • Depletion of ground water
    • Environmental concerns
    • Costs
  • Steps to take
    • Improving water use efficiency
    • Water governance
    • Economic incentives for efficient use
  • Govt Schemes
    • Accelerated Irrigation Benefits Programme was started during 1996-97. It extends assistance for the completion of incomplete irrigation schemes
  • In 11th FYP – refer previous section

Way Forward

  • Second green revolution (?)
  • Relook at all the issues offering forward and backward linkages in the agricultural production cycle
  • Focus on oilseeds, pulses and coarse cereals
  • Coarse cereals: high nutrition, can be grown in dry areas, enhance fertility of soil in rotation
  • PDS should be reformed: coarse cereals should also be provided through PDS
  • Timely availability of credit at affordable costs
  • Wider extension of insurance facilities to the farm sector
  • Water and irrigation infrastructure
  • Drip irrigation
  • Organic manures should be popularized and their commercial production encouraged
  • Educate farmers about technology and agricultural techniques

Food Security

  • Food security should also incorporate nutritional security. This requires emphasising the increase in production of pulses, fruits, vegetables, poultry and meat.
  • Interpreted broadly
  • Includes nutritional security which particularly incorporates maternal health and infant health due to the involvement of the nutritional aspect
  • Also covers employment security (?)
  • Affordability, accessibility and availability
  • Food security seeks to address all the three dimensions of hunger: chronic, hidden and transient
  • It also is the first step towards inclusive development

Public Distribution System

  • High procurement prices

Irrigation

  • The total irrigation potential in the country has increased from 81.1 mn hectares in 1991-92 to 108.2 mn hectares in March 2010.
  • 1996-97: Accelerated Irrigation Benefit Programme initiated
  • Reservoir Storage Capacity: 151.77 billion cubic metres

Agricultural Pricing

  • To ensure
    • Remunerative prices to growers
    • Encouraging higher investment and production
    • Safeguard the interest of consumers by making sure that adequate supplies are available
  • It also seeks to evolve a balanced and integrated price structure in the perspective of the overall needs of the economy

 

Investment in Agriculture

  • FAO estimates that global agricultural production needs to grow 70 pc by 2050 in order to meet projected food demand
  • Hence investment should grow by a whopping 50 pc
  • In India, public investment in agriculture has witnessed a steady decline from the 6th FYP onwards
  • Share of investment in agriculture has been between 8-10 pc
  • Most of this has gone into current expenditure in the form of increased output and input subsidies
  • Though private sector investment has been increasing, it has not proved to be enough
  • Decreased public spending in creation of supporting infrastructure in rural areas has discouraged private investment in this sector
  • Some of the measures could be
    • Investment in general service like R&D, education, marketing and rural infrastructure
    • Increased investment in rainfed areas
    • Private sector participation
    • Increased investment for sustainable development

 

WTO and Agriculture

 

  • Uruguay Round multilateral trade negotiations were concluded after 7 years of negotiation in December 1993
  • The WTO Agreement on Agriculture was one of the main agreements which was negotiated
  • Agreement on Agriculture contains provisions in three broad areas of agriculture
    • Market Access
    • Domestic Support
    • Export Subsidies
  • Market Access
    • This is the most important aspect of the negotiation because all countries restrict market access while only few have export subsidies and domestic support
    • This includes tariffication, tariff reduction and access opportunities
    • Tariffication means that all NTTBs should be withdrawn (such as quotas, minimum export prices etc)
    • Adopts a single approach using a tiered formula
    • Single approach: everyone except LDCs have to contribute by improving market access for all products
    • Sensitive products: All countries can list some sensitive products and are allowed flexibility in the way these products are treated, although even sensitive products have to see ‘substantial improvements’ in market access.
    • Special and differential treatment
      • Purpose: for rural development, food security and livelihood security
      • Specifically, special treatment is to be given to developing countries in ‘all elements of the negotiation’, including ‘lesser’ commitments in the formula and long implementation period
      • Special products: developing countries will be given additional flexibility for products that are specially important for their food security, livelihood security and rural development.
      • Special Safeguard Mechanisms: is intended to provide contingent protection to poor farmers in developing countries from negative shocks to import prices or from surges in imports. [Safeguards are contingency restrictions on imports taken temporarily to deal with special circumstances such as a sudden surge in imports. AoA has special provisions on safeguards. In agriculture safeguards, (unlike normal safeguards) can be triggered automatically when import volumes rise above a certain level or if prices fall below a certain level; and it is not necessary to demonstrate that serious injury is being caused to the domestic industry]
    • AoA requires (from 1995)
      • 36% average reduction by developed countries, with a minimum per tariff line reduction of 15% over six years
      • 24% average reduction by developing countries with a minimum per tariff line reduction of 10% over ten years
    • Domestic Support (subsidies)
      • AoA structures domestic support into three categories
        • Green Box
        • Amber Box
        • Blue Box
      • Green Box
        • Non (or minimal) trade distorting subsidies
        • They have to be government funded and must not involve price support
        • They tend to be programmes that are not targeted at particular products and include direct income supports for farmers that are not related to current production levels or prices. They also include environmental protection and regional developmental programmes. These subsidies are therefore allowed without limits
      • Amber Box
        • All domestic support measures considered production and trade fall into the amber box
        • These include measures to support prices, or subsidies directly related to production quantities
        • These supports are subject to limits which are allowed: 5% of total production for developed countries, 10% for developing countries
        • Reduction commitments are expressed in terms of a “Total Aggregate Measurement of Support” (Total AMS)
      • Blue Box
        • This is the “amber box with conditions” – conditions designed to reduce distortion
        • Any support that would normally be in the amber box, is placed in the blue box if the support also required farmers to limit production
        • At present there are no limits on spending on blue box subsidies.
      • Export subsidies
        • Developed countries are required to reduce their export subsidy by 36% (by value) or 21% (by volume) over the six years
        • For developing countries the % cuts are 24% (by value) or 14% (by volume) over 10 years
      • India’s commitment
        • As India was maintaining QRs due to balance of payments reasons (which is a GATT consistent measure), it did not have to undertake any commitments in regard to market access
      • In India, exporters of agricultural commodities do not get any direct subsidy. Indirect subsidies are given

 

 

Food Processing

  • Food processing is a large sector that covers activities such as agriculture, horticulture, plantation, animal husbandry and fisheries
  • Ministry of Food Processing indicated the following segments within the Food Processing industry:
    • Dairy, fruits and vegetable processing
    • Grain processing
    • Meat and poultry processing
    • Fisheries
    • Consumer foods including packaged foods, beverages and packaged drinking water
  • Industry is large and has grown after 1991. However, of the country’s total agriculture and food produce, only 2 per cent is processed.
  • FP has 9% share in manufacturing
  • Structure
    • 42 pc: Unorganised
    • 33 pc: SSI
    • 25 pc: Organised

 

Constraints & Drivers of Growth
Changing lifestyles, food habits, organized food retail and urbanization are the key factors for processed foods in India, these are post-liberalization trends and they give boost to the sector.
There has been a notable change in consumption pattern in India. Unlike earlier, now the share and growth rates for fruits, vegetables, meats and dairy have gone higher compared to cereals and pulses. Such a shift implies a need to diversify the food production base to match the changing consumption preferences.
Also in developed countries it has been observed that there has been a shift from carbohydrate staple to animal sources and sugar. Going by this pattern, in future, there will be demand for prepared meals, snack foods and convenience foods and further on the demand would shift towards functional, organic and diet foods.
Some of the key constraints identified by the food processing industry include:

  • Poor infrastructure in terms of cold storage, warehousing, etc
  • Inadequate quality control and testing infrastructure
  • Inefficient supply chain and involvement of middlemen
  • High transportation and inventory carrying cost
  • Affordability, cultural and regional preference of fresh food
  • High taxation
  • High packaging cost

In terms of policy support, the ministry of food processing has taken the following initiatives:

  • Formulation of the National Food Processing Policy
  • Complete de-licensing, excluding for alcoholic beverages
  • Declared as priority sector for lending in 1999
  • 100% FDI on automatic route
  • Excise duty waived on fruits and vegetables processing from 2000 – 01
  • Income tax holiday for fruits and vegetables processing from 2004 – 05
  • Customs duty reduced on freezer van from 20% to 10% from 2005 – 06
  • Implementation of Fruit Products Order
  • Implementation of Meat Food Products Order
  • Enactment of FSS Bill 2005
  • Food Safety and Standards Bill, 2005
  • Mega Food Parks

Apart from these initiatives, the Centre has requested state Governments to undertake the following reforms:

  • Amendment to the APMC Act
  • Lowering of VAT rates
  • Declaring the industry as seasonal
  • Integrate the promotional structure

 

Plan Schemes

During the 10th Plan, the Ministry implemented Plan schemes for Technology Upgradation/Modernization/Establishment of Food Processing Industries, Infrastructure Development, Human Resource Development, Quality Assurance, R&D and other promotional activities.

In the 11th Plan, it has been proposed to continue assistance to the above schemes with higher levels of assistance. In the 11th Plan, the Ministry proposes to launch a revamped Infrastructure Scheme under which it will promote setting up of Mega Food Parks, cold chain infrastructure, value added centres and packaging centres. The Mega Food Park Scheme will provide backward and forward linkages as well as reliable and sustainable supply chain. The emphasis will be on building strong linkages with agriculture and horticulture, enhancing project implementation capabilities, increased involvement of private sector investments and support for creation of rural infrastructure to ensure a steady supply of good quality agri/horticulture produce. It will provide a mechanism to bring farmers, processors and retailers together and link agricultural production to the market so as to ensure maximization of value addition, minimize wastages and improve farmers’ income. The Mega Food Park would be a well-defined agri/horticultural-processing zone containing state of the art processing facilities with support infrastructure and well established supply chain. The primary objective of the proposed scheme is to facilitate establishment of integrated value chain, with processing at the core and supported by requisite forward and backward linkages. It is envisaged that the implementation of the projects would be assisted by professional Project Management Agencies (PMA) from concept to commissioning. In 11th Plan it is planned to support establishment of thirty (30) Mega Food Parks in various parts of the country.

Vision 2015 on Food Processing Industries

A vision, strategy and action plan has also been finalized for giving boost to growth of food processing sector. The objective is to increase level of processing of perishable food from 6% to 20%, value addition from 20% to 35% and share in global food trade from 1.6% to 3%. The level of processing for fruits and vegetables is envisaged to increase from the present 2.2% to 10% and 15% in 2010 and 2015 respectively. The Cabinet has approved the integrated strategy for promotion of agri-business and vision, strategy and action plan for the Food Processing Sector, based on the recommendations made by the Group of Ministers (GOM).

Integrated Food Law

An Integrated Food Law, i.e. Food Safety and Standards Act, 2006 was notified on 24.8.2006. The Act enables in removing multiplicity of food laws and regulatory agencies and provide single window to food processing sector. Ministry of Health & Family Welfare has been designated as the nodal Ministry for administration and implementation of the Act.

National Institute of Food Technology Entrepreneurship & Management (NIFTEM)

The Ministry has set up a National Institute of Food technology Entrepreneurship & Management (NIFTEM) at Kundli (Haryana). The Institute will function as a knowledge centre in food processing. Certificate of Incorporation of NIFTEM as a section 25 Company under the Companies act 1956 has been obtained.

 

SWOT Analysis of Food–Processing Industry
Strengths

  • Abundant availability of raw material
  • Priority sector status for agro-processing given by the central Government
  • Vast network of manufacturing facilities all over the country
  • Vast domestic market

Weaknesses

  • Low availability of adequate infrastructural facilities
  • Lack of adequate quality control and testing methods as per international standards
  • Inefficient supply chain due to a large number of intermediaries
  • High requirement of working capital.
  • Inadequately developed linkages between R&D labs and industry.
  • Seasonality of raw material

Opportunities

  • Large crop and material base offering a vast potential for agro processing activities
  • Setting of SEZ/AEZ and food parks for providing added incentive to develop greenfield projects
  • Rising income levels and changing consumption patterns
  • Favourable demographic profile and changing lifestyles
  • Integration of development in contemporary technologies such as electronics, material science, bio-technology etc. offer vast scope for rapid improvement and progress
  • Opening of global markets

Threats

  • Affordability and cultural preferences of fresh food
  • High inventory carrying cost
  • High taxation
  • High packaging cost

 

Subsidies

 

Fertilizer Policy:    Urea is the only fertilizer under statutory price control.  Government of India has introduced nutrient based subsidy with effect from 1st April, 2010 in respect of phosphatic and potassic  fertilizers. Under the policy, subsidy is based  on the nutrient (N,P,K and S) content of the  decontrolled P and K fertilizers. Price of Urea has been increased by 10% while price of other subsidized fertilizers are being maintained around current levels. Additional subsidy on micronutrients has been introduced on Boron and Zinc, to begin with.  In order to promote the concept of balanced use of fertilizers and to encourage use of micronutrients, several fertilizers fortifed with Boron and Zinc have been incorporated in the Fertilizer (Control) Order, 1985.

 

 

 

Salient features of Architecture – Forts and Monuments

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The architecture of Rajasthan is mainly based on the Rajput school of architecture which was a blend of the Hindu and Mughal structural design. The stupendous forts, the intricately carved temples and the grand havelis of the state are integral parts of the architectural heritage of the state. The Rajputs were prolific builders. Some of the most imposing and magnificent forts and palaces in the world dot the arid Aravali landscape and tell the tales of their glorious legacy.

M?ru-Gurjara Architecture show the deep understanding of structures and refined skills of Rajasthani craftmen of bygone era. M?ru-Gurjara Architecture has two prominent styles Maha-Maru and Maru-Gurjara.

Islamic influence in the architecture of Rajasthan is most prominent in the city of Ajmer. The important monuments of this city are the Dargah Sharif of Khwaja Muinuddin Chishti which consists of a number of white marble buildings arranged around two courtyards, including a huge Gate donated by the Nizam of Hyderabad, a mosque given by Shah Jahan and the Akbari mosque. Hindu architecture can be witnessed in Pushkar where there are several Ghats and temples. The outstanding temples standing in an array, with their touches of the Islamic architectural style, are richly different in style.

Important Features of Rajasthani Architecture are:-


Haveli: Between 1830 and 1930, the affluent Marwaris constructed huge mansions in the Shekhawati and Marwar region. These buildings were called Havelis. They were heavily influenced by the in their construction. There were two courtyards in a typical Shekhawati haveli. The outer courtyard was mainly inhabited by men and the inner one was the domain of Women. The havelis also sported beautiful and appealing frescoes and were closed from all sides with one large main gate. This provided security and comfort in seclusion from the outside world.

Chhatri: Originating in Rajasthan, chhatris are elevated, dome-shaped pavilions and are visible Elements of the Rajasthani architecture, where they are the symbols of pride and honour. In the Shekhawati region of Rajasthan, chhatris are built on the cremation sites of wealthy or distinguished people. Chhatris in Shekhawati are usually of a simple structure of one dome raised by four pillars in a building containing many domes and a basement with several rooms. Many prominent chhatris exist in cities like Jaipur, Jodhpur, Udaipur, Haldighati, Bikaner, etc.

Jharokha: It’s a type of overhanging enclosed balcony which is commonly found in palaces, havelis and temples in Rajasthan. This balcony is normally a stone window. Jharokhas jut forward from the wall plane and can be used for either adding to the architectural beauty of the building itself or for a specific purpose. In the ancient times, the women in purdah could see the events outside without being spotted themselves. The projected balcony, which is an essential element of the Rajasthani Architecture, served as a decoration piece and as a viewing platform. Many jharokhas also have chhajjas attached to them.

Stepwell: A stepwell (or a bawdi) is a well or pond in which the water can be reached by climbing down a set of steps. These bawdis are common in the Western India, especially in Rajasthan and Gujarat. Stepwells have been in existence for hundreds of years. In the ancient times, builders dug deep trenches into the earth for dependable, year-round groundwater. The walls of these trenches were lined with stoneblocks but without mortar. Stairs were created leading down to the water. The majority of surviving stepwells originally also served as leisure points, as well as provided water. The city of Bundi (near Kota) has as many as 60 stepwells.

Fundamental Rights

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  • Discrimination not on grounds only of
    • Art 15: religion, race, caste, sex, place of birth
    • Art 16: religion, race, caste, sex, descent, place of birth, residence
  • Reservation
    • First Backward Classes Commission: 1953, Kaka Kalelkar
    • Second BCC: 1979, B P Mandal (by Morarji Desai govt)
    • Article 340
  • Reasonable Restrictions
    • Speech and Expression: Sovereignty and Integrity of India, security of the state, friendly relations with foreign states, public order, decency or morality, Contempt of Court, defamation and incitement to an offence
    • Assembly: sovereignty and integrity of India and public order
    • Association: sovereignty and integrity of India, public order and morality
    • Movement: interest of general public and the protection of interests of any scheduled tribe
    • Residence: interest of general public and the protection of interests of any scheduled tribe
    • Profession: in the interest of the general public
  • Protection against self-incrimination does not extend to civil proceedings
  • Protection provided under normal detention in Art 22 not covers arrest under the orders of a court, civil arrest, arrest on failure to pay the Income tax and deportation of an alien

 

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Union and State Executive

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Governor

  • Same person can be appointed the governor of two or more states
  • Appointed by the President
  • May resign by writing to the President
  • Qualification
    • Citizen of India
    • 35 years of age
  • Art 161: Pardon for any offence against a law relating to a matter to which the executive power of the state extends
  • Constitution does not state the procedure or the grounds for the removal of the Governor

Council of Ministers

  • The advice tendered by the CoM cannot be enquired in a court
  • Number of ministers in the CoM (including the PM) cannot exceed 15 pc of the total number of members of LS (91st amendment, 2003)
  • If a person is disqualified under the 10th schedule (defection), he cannot become a minister
  • Art 75(3):

Attorney General

  • Article 76
  • Should be qualified to be appointed as a judge of the SC
  • Right of audience in all courts in the territory of India
  • Has the right to take part in the proceedings of either houses, without the right to vote.

Parliament

  • Consists of the President, Lok Sabha and Rajya Sabha
  • Six months should not intervene between consecutive sessions
  • The president shall address a joint sitting of both the houses at the first session of every year and at the first session after the general Elections
  • The Chairman and Speaker can vote only in case of Equality of votes
  • Quorum: One-tenth of the total number of members of the House
  • MPs resign by addressing their resignation to the Speaker of the Chairman
  • If a member is continuously absent for 60 days without permission for all the meetings of the House, his seat is declared vacant
  • Article 102: grounds for disqualification.
    • 5 grounds
  • Decision on questions as to disqualification of members shall be referred to the President and his decision shall be final. The President, in giving his decision, shall act in accordance with the advice of the Election Commission
  • Joint sitting: If passed by one house and rejected by the other, disagreement between houses on the amendments to the bill, more than six months has passed and the other house has not passed the bill
  • Joint sitting does not apply to Money Bills

Council of States

  • Elected members: 238 from state and union territories
    • Allocation of seats given in the 4th schedule
  • Nominated members: 12
    • From field of Literature, science, art and social service
  • Elected members of the states to be elected by respective Legislative Assembly by Proportional Representation by means of single transferrable vote
  • Representatives of UTs to be chosen as Parliament may by law prescribe
  • 1/3 members retire every 2 years
  • At least 30 years of age
  • Deputy Chairman can resign by addressing to the Chairman

Most RS seats: UP>Maharashtra>TN=AP>Bihar=WB>Karnataka

States with only one RS seat: Arunachal, Goa, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tripura

States with least RS seats: Above 8<HP=Uttaranchal<J&K<Haryana=CG

UTs: Delhi-3, Puducherry-1, Rest-zero

House of People

  • 530 members from states by direct elections
  • 20 from UTs chosen in a manner prescribed by the Parliament
  • 2 nominated by the President from the Anglo-Indian community if it is not represented
  • Ratio of LS seats allocated to a state and its Population should be same across states
    • This may not be followed if the population of the state is less than 6 million
  • Population kept as frozen till the census taken after 2026
    • For LS constituency allotment to states: 1971 census data used
    • For defining boundaries of constituencies: 2001 census data used
  • At least 25 years of age
  • Speaker can resign by addressing to the Dy Speaker. The latter can resign by addressing to the Speaker
  • When LS is dissolved, the Speaker shall not vacate his office until immediately before the first meeting of the LS after its Dissolution
  • Whenever the Deputy Speaker is appointed as a member of a parliamentary committee, he automatically becomes its chairman

Most LS seats: UP>Maharashtra>AP=WB>Bihar>TN

States with one LS seat: Mizoram, Nagaland, Sikkim

Least LS seats: Above 3<Manipur=Meghalaya=Goa=AP=Tripura<HP<Uttaranchal<J&K

UTs: Delhi(7), Puducherry(2), Rest -1

Reserved for SC: UP – 17, WB – 10

Reserved for ST: MP – 6, Jharkhand, Orissa – 5, CG, Gujarat, Maharashtra – 4

 

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Constitutional Development & Indian Constitution

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Making of the constitution

  • 1934: Idea of constituent assembly put forward by M N Roy
  • 1935: INC officially demands constituent assembly
  • 1938: JL Nehru’s declaration on the constitution of India
  • 1940: Nehru’s demand accepted in the form of August Offer
  • August Offer
    • PM: Winston Churchill
    • While rejecting INCs demand for independence of India after the war on the ground that INC is not representative of the minorities, three offers were made
    • Expansion of Viceroy’s executive council with the inclusion of Indian representatives
    • An advisory body with the members from British India and Indian princely states which were supposed to meet at consequent intervals was established
    • Two practical steps were decided to be taken in which it was to come at an agreement with the Indians on the form which the post representatives body should take and the methods by which it should come to a conclusion.
    • It further planned to draw out the principles and outlines of the Constitution itself
    • Congress rejected the offer
  • 1942: Cripps Mission
    • PM: Winston Churchill Sec of State: Leo Amery                                Viceroy: Linlithgow
    • On the framing of an independent constitution to be adopted after the WW II
    • Cripps proposals rejected by the ML which wanted India to be divided into two autonomous states
  • 1946: Cabinet Mission
    • PM: Clement Attlee Viceroy: Lord Wavell
    • Members: Pethick Lawrence (sec of state for India), Stafford Cripps, A V Alexander
    • Simla Conference
    • May 16 plan
      • United dominion of india would be given independence
      • Muslim majority and Hindu majority provinces to be grouped
      • Central government to run foreign affairs, defence and communications while rest of the responsibility would belong to the provinces, coordinated by the two groups
    • Interim cabinet was formed. ML joined the cabinet but decided to boycott the constituent assembly
  • 1946, Nov: Constituent Assembly formed under the Cabinet Mission Plan
  • First meeting of CA on December 9, 1946. Sacchidanada Sinha was elected the temporary Presidetn
  • Dec 11, 1946: Rajendra Prasad and H C Mukharjee elected as the President and VP of the assembly respectively.
  • BN Rao was the constitutional advisor to the assembly
  • Dec 13, 1946: Objectives Resolution moved by JL Nehru
  • Jan 22, 1947: Objectives resolution adopted
  • June 3, 1947: Mountbatten plan. Partition of the country announced.
  • Jan 24, 1950: Final session of the CA. It however continued as a provisional body from Jan 26, 1950 till the formation of the new Parliament after the first general elections in 1951-52

Major Committees of CA

Committee Chairman
Union Powers Committee JL Nehru
Union Constitution Committee JL Nehru
Committee for Negotiating with States JL Nehru
Steering Committee Rajendra Prasad
Rules of Procedure Committee Rajendra Prasad
Provincial Constitution Committee Sardar Patel
Committee on Fundamental Rights and  Minorities.

Two sub committees ( FR , Minorities)

 Sardar Patel

(J B Kriplani, H C Mukharjee)
Drafting Committee B R Ambedkar
  • Drafting Committee was setup on Aug 29, 1947. It had seven members
    • B R Ambedkar
    • Alladi Krisnaswamy Ayyer
    • N Gopalaswamy Ayyangar
    • K M Munshi
    • TT Krishnamchari
    • N Madhava Rau
    • Syed Mohammad Saadullah
  • Nov 26, 1949: Constitution was adopted
  • The Preamble was enacted after the entire Constitution was already enacted

 

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The years of Stagnation and Emergence of socialism

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  • Gandhiji was arrested in 1922 and sentenced to 6 years of imprisonment. The result was the spread of disintegration, disorganization and demoralization in the nationalist ranks.
  • After a defeat of their resolution of ‘either mending or ending’ in the Congress, CR Das and Motilal Nehru resigned and formed the Congress-Khilafat Swaraj Party in December 1922.
    • It was to function as a group within the congress
  • How to carry on political work in the movements’ non-active phases. The swarajists said that work in the council was necessary to fill the temporary political void. The no-changers believed otherwise.
  • Major no-changers: Sardar Patel, Dr Ansari, Rajendra Prasad
  • The no-changers opposed council-entry mainly on the ground that parliamentary work would lead to the neglect of constructive and other work among the masses , the loss of revolutionary zeal and political corruption.
  • Despite the differences, he two groups had a lot in common.
    • The need for unity was very strongly felt by all the Congressmen after the 1907 debacle.
    • Both realized that the real sanctions which would compel the government to accept the national demands would be forged only by a mass movement.
    • Both groups fully accepted the leadership of Mahatma Gandhi.
  • In the session held in 1923, the congressmen were permitted to stand as candidates and exercise their franchise in the forthcoming elections.
  • Gandhiji was released on February 5, 1924. He did not agree with the Swarajists. However, slowly he moved towards an accommodation with the swarajists.
  • On 6 November 1924, Gandhiji brought the strife between the Swarajists and no-changers to an end, by signing a joint statement with Das and Motilal that the Swarajists Party would carry on work in the legislatures on behalf of the Congress and as an integral part of the Congress. This decision was endorsed in Belgaum.
  • The Swarajists did well in the elections and won 42 out of 101 seats in the Central Legislative Assembly.
  • In March 1925, Vithalbhai J Patel was elected as he President (speaker) of the Central Legislative Assembly.
  • The achievement of the Swarajists lay in filling the political void at a time when the national movement was recouping its strength.
    • They also exposed the hollowness of the reforms of 1919
  • After the petering out of the NCM communalism took stronghold
    • Even within the Congress, a group known as ‘responsivists’, including Madan Mohan Malviya, Lala Lajpat Rai and NC Kelkar, offered cooperation to the government so that the so-called Hindu interests might be safeguarded.

Emergence of socialism in the 1920s in the nationalist ranks

  • JL Nehru and SC Bose
  • Raised the question of internal class oppression by capitalists and landlords
  • MN Roy became the first Indian to be elected to the leadership of the Communist International
  • Muzaffer Ahmed and SA Dange were tried in the Kanpur Conspiracy Case
  • 1925: Communist Party of India was formed
  • All India Trade Union Congress
  • Various Strikes: Bombay textile mills, Jamshedpur, Kharagpur
  • Bardoli Satyagraha (1928)
    • Peasants under the leadership of Sardar Patel organized no tax campaign
  • Indian Youth were becoming active
    • First All Bengal Conference of Students held in 1928 presided by JL Nehru
  • Hindustan Republican Association: 1924
    • Kakori Conspiracy Case (1925)
    • Four, including Ram Prasad Bismil and Ashfaqulla Khan were hanged.
  • Hindustan Socialist Republican Association (1928)
    • On 17th December 1928, Bhagat Singh, Azad and Rajguru assassinated Saunders
    • Bhagat Singh and BK Dutt threw bomb in the Central Legislative Assembly on 8 April 1929 to let the people know of their changed political objectives
  • Chittagong Armoury Raid: 1030, Surya Sen
    • Participation of young women

 

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Struggles for Gurudwara Reform and Temple Entry

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  • The Akali movement
  • The movement arose with the objective of freeing the Gurudwaras from the control of ignorant and corrupt priests (mahants).
  • Apart from the mahants, after the British annexation of Punjab in 1849, some control over the Gurudwaras was exercised by Government-nominated managers and custodians, who often collaborated with mahants.
  • The government gave full support to the mahants. It used them to preach loyalism to the Sikhs and to keep them away from the rising nationalist movement.
  • The agitation for the reform of Gurudwaras developed during 1920 when the reformers organized groups of volunteers known as jathas to compel the mahants and the government appointed managers to hand over control of the Gurudwaras to the local devotees.
  • Tens of Gurudwaras were liberated within an year.
  • To manage the control of Golden Temple and othe rGurudwaras the Shiromani Gurudwara Prabandhak Committee was formed in November 1920.
  • Feeling the need to give the reform movement a structure, the Shiromani Akali Dal was established in December 1920.
  • The SGPC and Akali Dal accepted complete non-violence as their creed.
  • There was a clash between the mahant and the Akalis over surrendering the gurudwara at Nanakana. This led to killing of about 100 akalis.
  • The Nankana tragedy led to the involvement of Sikhs on a large scale in the national movement.
  • Keys Affair: In October 1921, the government refused to surrender the possession fo the keys of the Toshakhana of the golden temple of the Akalis. This led to protests. Leaders like Baba Kharak Singh and Master Tara Singh were arrested. Later, the government surrendered the keys to keep the Sikhs from revolting.
  • Guru ka Bagh gurudwara in Ghokewala was under dispute as the mahant there claimed that the land attached to it was his personal possession. When few akalis cut down a tree on that land they were arrested on the complain of the mahant. Seeing this thousands of akalis came and started cutting down the trees. About 4000 akalis were arrested. Later, the government didn’t arrest but started beating them up severly. But the alakis kept turning up. Ultimately the government had to surrender.
  • The akali movement made a huge contribution to the national awakening of Punjab.
  • However, the movement encouraged a certain religiosity which would be later utilized by communalism.
  • In 1923, the Congress decided to take active steps towards the eradication of untouchability.
  • The basic strategy it adopted was to educate and mobilize opinion among caste hindus.
  • Immediately after the Kakinada session, the Kerala Provincial Congress Committee (KPCC) took up the eradication of untouchability as an urgent issue.
  • KPCC adeiced to organize an procession on the temple roads in Vaikom, a village in Travancore, on 30 March 1924.
  • During the processions, the satyagrahis were arrested and sentenced to imprisonment.
  • On the death of Maharaja in August 1924, the Maharani released the Satyagrahis.
  • Gandhiji visited Kerala to discuss the opening of temple with Maharani. A compromise was reached whereby all roads except for the ones in the Sankethan of the temple were opened to the harijans.
  • In his Kerala tour, Gandhi didn’t visit a single temple because avarnas were kept out of them.
  • The weakness of the anti-caste movement was that through it aroused people against untouchability it lacked a strategy of ending the caste system itself.

 

 

Non Co-operation and Khilafat Movement

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Non Co-operation Movement

  • Montagu-Chelmsford Reforms 1919: Dyarchy
  • In a system called “dyarchy,” the nation-building departments of government — agriculture, education, public works, and the like — were placed under ministers who were individually responsible to the legislature. The departments that made up the “steel frame” of British rule — finance, revenue, and home affairs — were retained by executive councillors who were nominated by the Governor.
  • The Hunter Committee report praised the actions of general Dyer.
  • Khilafat Movement
    • For support of Turkey
    • Khilafat Committee formed under the leadership of Ali Brothers, Maulana Azad, Hakim Ajmal Khan and Hasrat Mohani
    • The promises made to the Khilafat Committee were not kept after the World War.
    • The All-India Khilafat Conference held at Delhi in November 1919 decided to withdraw all cooperation from the government if their demands were not met.
    • On June 9 1920, the Khilafat Committee at Allahabad unanimously accepted the suggestion of non-cooperation and asked Gandhiji to lead the movement.
  • Khilafat movement cemented Hindu-Muslim unity
    • Gandhiji looked upon the Khilafat agitation as “an opportunity of uniting Hindus and Mohammedans as would not arise in a hundred years”
  • The non-cooperation movement was launched on August 1, 1920. Lokmanya Tilak passed away on the same day.
  • People countrywide observed hartal and took out processions.
  • The congress met in September at Calcutta and accepted non-co-operation as its own.
  • The programme of non-cooperation included:
    • Surrender of titles and honors
    • Boycott of government affiliated schools and colleges, law courts, foreign cloth and could be extended to resignation from government services.
    • Mass civil disobedience including the non-payment of taxes.
    • National schools and colleges were to be set up
    • Panchayats were to be established to settle disputes
    • Hand-spinning and weaving was encouraged
    • People were asked to maintain Hindu-Muslim unity, give up untouchability and observe strict non-violence.
  • Changes in Congress to attain the new objective:
    • At the Nagpur session in 1920 changes in the Constitution of Congress were made.
    • The goal of congress was changed from the attainment of self-government by constitutional and legal means to the attainment of Swaraj by peaceful and legitimate means.
    • The Congress now had a Working Committee of fifteen members to look after its day to day affairs.
    • Provincial congress committees were now organized on a linguistic basis.
    • Mahalla and ward committees were formed.
    • The membership fee was reduced to 4 annas a years to enable poor to become members.
    • This was not without opposition however. Some members still believed in the traditional methods. Leaders like Jinnah, GS Khaparde, Bipin Chandra Pal and Annie Besant left congress during this time.
  • Gandhiji, along with the Ali brother, undertook a nationwide tour to address people.
  • Thousands of students left government schools and joined national schools.
  • The most successful item of the programme was the boycott of foreign cloth.
  • Picketing of toddy shops was also very popular.
  • Students let government schools and colleges. IT was during this time that Jamia Milia Islamia of Aligarh, the Bihar Vidyapith, the Kashi Vidyapith and the Gujarat Vidyapith came into existence.
  • Lawyers such as Deshbandhu CR Das, Motilal Nehru, Rajendra Prasad, Saifudiin Kitchlew, C Rajagopalachari, Sardar Patel, T Prakasam and Asaf Ali gave up their legal practice.
  • Tilak Swarajya Fund was started to finance the NCM.
  • In 1921, Khilafat Committee issued a resolution that no muslim should serve in the British Indian army.
  • The visit of the Prince of Wales on 17th November 1921 was observed as a day of hartal all over the country.
  • The Congress Volunteer Corps emerged as a powerful parallel police.
  • By December 1921, the government felt that things were going too far and announced a change of policy by declaring the volunteer corps illegal and arresting all those who claimed to be its members.
  • Thousands of peasants and tenants participated in the movement.
  • In Punjab, the Akali movement to remove corrupt mahants from the Gurudwaras was started.
  • Assam: Tea plantation workers went on strike. Midnapore: peasants refused to pay Union Board taxes.             Guntur (Chirala): Agitation led by Duggirala Gopalakrishayya                        Malabar: Mohlahs (muslim peasants) created a powerful anti-zamindari movement.
  • As the government refused to yield, Gandhiji announced that mass civil disobedience would begin in Bardoli taluqa of Surat.
  • However, in Chauri Chaura, Gorakhpur on 5 February 1922 crowd set fire on a police station and killed some policemen. On hearing this, Gandhiji decided to withdraw the movement.
  • The congress working committee ratified his decision. Thus, on February 12, 1922, the non-cooperation movement came to an end.
  • Assessing the Withdrawal:
    • Some scholars say that Gandhiji withdrew the movement because he wanted to protect the interests of the propertied class.
    • Some argue that there was no logic why a small incident should lead to withdrawal of the movement itself.
    • However, government could use Chauri Chaura to justify its repression of the movement.
    • If movement was started at that time, it would have been defeated due to the repression of the government.
    • Gandhiji was protecting the movement from likely repression, and the people from demoralization.
    • Mass movements tend to ebb in some time. Hence, withdrawal is a part of the strategy of mass movements.
  • Gandhiji was tried in 1922 and sentenced to six years’ imprisonment.
    • He invited the court to award him “the highest penalty that can be inflicted upon me for what in law is a deliberate crime, and what appears to be the highest duty of a citizen”.
  • Positives out of the non-cooperation movement:
    • Congress started commanding the support and sympathy of vast sections of the Indian people.
    • Millions of Indians became politically involved. Women were drawn into the movement.
    • Muslims participated heavily and communal unity was maintained.
    • Strengthened the national movement. Nationalist sentiments and the national movement had reached the remotest corners of the land.
    • People gained tremendous self-confidence and self-esteem.

 

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Gandhi’s early career and activism

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  • Gandhi was the first Indian barrister to have come to South Africa.
  • He was faced with various racial discriminations within days of his arrival in SA.
  • He led the Indian struggle in SA.
  • The first phase of Gandhi’s political activities from 1894-1906 may be classified as the ‘moderate’ phase.
  • He set up the Natal Indian Congress and started a paper called Indian Opinion.
  • By 1906, Gandhiji, having fully tried the ‘Moderate’ methods of struggle, was becoming convinced that these would not lead anywhere.
  • The second phase, begun in 1906, was characterized by the use of passive resistance, Satyagraha. There was no fear of jails.
  • South Africa prepared Gandhiji for leadership of the Indian national struggle:
    • He had the invaluable experience of leading poor Indian labourers.
    • SA built up his faith in the capacity of the Indian masses to participate in and sacrifice for a cause that moved them.
    • Gandhiji also had the opportunity of leading Indians belonging to different religions.
  • South Africa provided Gandhiji with an opportunity for evolving his own style of politics and leadership.
  • Gandhi returned to India on January 9, 1915
  • He founded the Sabarmati Ashram in Ahmedabad in 1916
  • Initially he was politically idle. He spent his time studying the situation of the country.
  • He was deeply convinced that the only viable method of political struggle was satyagraha.
  • During the course of 1917 and early 1918, he was involved in three significant struggles – in Champaran in Bihar, in Ahmedabad and in Kheda in Gujarat. The common feature of these struggles was that they related to specific local issues and that they were fought for the economic demands of the masses.
  • Champaran Satyagraha (1917)
    • Peasantry on the indigo plantations in Champaran, Bihar was excessively oppressed by the Eurpoean planters.
    • On the invitation of the peasants he went to Champaran and began to conduct a detailed inquiry into the condition of the peasantry
    • The government was forced to set up a committee with Gandhi as one of the members. The sufferings of the peasants was reduced.
    • Others in this movement: Rajendra Prasad, Mazhar-ul-Haq, J B Kriplani, Narhari Parekh and Mahadev Desai.
  • Ahmedabad Mill Strike (1918)
    • Dispute between workers and mill owners
    • Gandhi advised workers to go on a non-violent strike. He himself took to fast
    • Owners yielded and gave a 35 percent increase in wages to the workers
  • Kheda Satyagraha (1918)
    • Despite crop failure in Kheda the government insisted on full land revenue
    • Gandhi advised the peasants to withhold payment.
    • Govt issued instructions that revenue should be collected from only those farmers who could afford to pay
    • Sardar Vallabhbhai Patel played a major role in this satyagraha.
  • Impact of these early experiences
    • Brought Gandhiji in close contact with the masses
    • He identified his life and manner of living with the life of the common people
  • He had three main aims
    • Hindu-Muslim Unity
    • Fight against untouchability
    • Raising the social status of the women
  • Gandhiji’s first major nation-wide protest was against the Rowlatt Bills in 1919. He formed the Satyagraha Sabha whose members took a pledge to disobey the Act and thus to court arrest and imprisonment.
  • Satyagraha was launched. The form of protest finally decided was the observance of a nation-wide hartal accompanied by fasting and prayer.
  • However, protests were generally accompanied by violence and disorder.
  • In Punjab, the situation was particularly violent. Genral Dyer was called to control the situation. On 13 April, Baisakhi Day, General Dyer ordered to open fire on unarmed crowd in Jallianwala Bagh. The government estimate was 379 dead, other estimates were considerably higher.
  • Gandhiji, overwhelmed by the total atmosphere of violence, withdrew the movement on 18 April.
  • Difference between earlier methods of struggle and satyagraha
    • Earlier, the movement had confined its struggle to agitation. They used to hold meetings, demonstrate, boycott etc
    • Through Satyagraha they could act now.
    • The new movement relied increasingly on the political support of the peasants, artisans and urban poor.
    • Gandhiji increasingly turned the face of nationalism towards the common man
  • Jallianwala Bagh Massacre
    • On April 13, 1919 a large crowd had gathered in Amritsar to protest against the arrest of their leaders, Dr. Saifudding Kitchlew and Dr. Satyapal
    • General Dyer opened fire
    • Widespread criticism. Tagore returned his knighthood.

 

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