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Lessons from Singur

The Singur controversy in West Bengal is showing no signs of subsiding. With the opposition ratcheting up its politics of protests and agitation, one needs to think whether it is advisable to let this continue indefinitely. The Opposition has not responded to appeals for dialogue, and the agitprop around the land acquisition in Singur and Nandigram is getting out of hand and is now a law and order problem. Similar agitations elsewhere in the country have added another dimension to our internal security threats.

One needs only to examine the statistics to understand how West Bengal is faring in the developmental process. Constituting ten per cent of the Indian market, the state has an annual consumption expenditure of about US$26.37 billion. West Bengal today has the third largest economy in the country with a Gross State Domestic Product (GSDP) of US$23 billion. It is second only to Karnataka in per capita growth (5.4 per cent), well above the national average (4.2 per cent) and next only to Maharashtra in terms of companies established (72,437), with a paid-up capital of US$8.834 billion.

Even more interesting is the fact that the per capita incomes of West Bengal and Maharashtra, excluding the two metros of Mumbai and Kolkata, are fairly close. West Bengal's per capita income (excluding Kolkata) is Rs.12,671, while that of Maharashtra (excluding Mumbai) is Rs.13,897. West Bengal has the second highest Compounded Average Growth Rate (CAGR) of 5.49 per cent against a national average of 4.4 per cent. The CAGR of West Bengal's real NSDP stood at 8 per cent between 1994 and 2004, outperforming the national GDP growth and today, the state has an industrial growth rate which is 1.1 per cent higher than the national average. Appreciating this background, while the Opposition certainly has the right to oppose the government's policies, it should be principled and responsible rather than without concern for the interests of the people.

One should remember that the Naxalite movement of the sixties had negatively affected the image of West Bengal and led to the flight of capital and industries from the state. Now that the government is trying to make up for lost time and to catch up with the rest of the country, sustained law and order problems, coupled with the politics of bandhs and strikes, would be ruinous for the State, when the state's economic takeoff is around the corner. This no-holds-barred politics of an irresponsible opposition is queering the pitch.

Today, we do have a wider debate raging in the country about the advisability of continuing with the colonial Land Acquisition Act of 1894, and about the issues surrounding land acquisition for 'public purposes'. The issues which the Singur controversy has thrown up includes the advisability of the government acquiring land for private industries, the definition of 'public purpose', the issue of preventing industries from acquiring more land than is required for a project, the advisability of acquiring fertile agricultural land, the need to have a suitable land policy including updated land records, and the advisability of establishing industries by displacing settled people.

The Opposition and many observers feel that a popularly elected government should focus on development of basic infrastructure, rather than 'act as agents of private industries'. But a popularly elected government cannot sit idle when other states are going out of their way to woo private industries. The government has to take proactive measures to compete against others, and this is what the West Bengal government is doing.

With hindsight one can definitely say that if governments intervene in such land acquisitions, their homework should be done beforehand - including building a broad consensus among the opposition and others concerned, and putting in place a proper rehabilitation policy for those displaced by the proposed acquisition. On the other hand, the opposition also needs to be more responsible and should respond to appeals for a 'reasonable' dialogue and discussion.

Singur heralds momentous changes in the history of West Bengal, and vested interests would do their best to resist such changes. Today, Singur has symbolic value. It signifies the desire of 'Bharat' to make peace with 'India'.

Note: The views expressed herein are those of the author and do not reflect those of the Government.