Wednesday, July 29, 2009

Is there a way out of Orissa’s dilemma?

Orissa’s socio-economic environment represents an oxymoron of poverty amid riches. Among the states, it languishes near the bottom of the Human Development Index table and per capita income rankings. Almost half of rural Orissa is in the Below Poverty Level league. Due to poor productivity arising from primitive practices, agricultural GDP is growing at just around one per cent per annum. It is a food insecure state with 57 per cent of the population suffering from chronic energy deficiency. About 48 per cent of the women suffer from nutritional deficiency and 72 per cent of children are afflicted with some degree of anaemia. This is a state that has an abundance of mineral resources. It possesses 33 per cent of the country’s iron ore deposits, 25 per cent of the coal, 60 per cent of aluminium ore, 98 per cent of chromium ore, 67 per cent of manganese ore, 92 per cent of nickel ore, 71 per cent of graphite, 31 per cent of China clay, 18 per cent of dolomite, 25 per cent of fireclay, 65 per cent of pyrophillite and 30 per cent of mineral sands.This is a cornucopia that could propel the state to the front ranks of industrial production — particularly iron and steel, alumina and aluminium, ferro-alloys and power. Judiciously exploited, these mineral resources can yield an income for the state, which, if properly distributed, can raise the per capita income several fold and wipe out the abysmal poverty in the countryside.Orissa also has many of the basic resources needed to make it a tourist destination. With a forest cover of over 30 per cent of the land area, the state has 18 wildlife sanctuaries and four national parks that have tremendous potential for eco-tourism. On top of this, the historical heritage, stretching back to two millennia, has dotted the countryside with magnificent ancient monuments like the Konarak temple. Couple these with dance forms like Odissi and Chaau, and you have an irresistible tourist magnet.The state remains dirt poor despite all these resources. Its GDP growth rate is half the national average. So, what gives? There are a number of factors, but primarily it has been due to poor leadership. Barring Biju Patnaik, who personally initiated efforts to realise the state’s industrial potential, Orissa has been ill-served by its political masters in the past four decades. Their vision has stopped at personal gain, leaving the state bereft of basic infrastructure, the resources untapped and the bulk of the population scrambling for existence.Tribals in the state, who form 24 per cent of the population, whose main habitat is the remote forested and contiguous regions, are the hardest hit by this lack of development. This deprivation has alienated them from the government and led to the infiltration of Maoists into their habitats.A recent government white paper concedes that 14 of the 30 districts are affected by the Naxal insurgency. Ironically, these are the districts where most of the mineral resources are concentrated, thereby creating a big hurdle for tapping them. As of now, the state has no clue on how to tackle the Red menace. The police are too ill-equipped and ill-trained. Last year, there were 56 Maoist attacks in which 74 security personnel were killed.Yet another factor frustrating potential investors is the slow pace of land acquisition. More than five years have passed since the state received investment proposals totalling over Rs five lakh crore. Most of these remain stalled, as the land has still not been acquired.There was a time, back in the ’50s and early ’60s, when the government could easily acquire large tracts of land for projects like the Rourkela steel plant. The population then was much less and the people were not so aggressive about their rights. Today, not only has the population trebled but the multiplication of family members has led to fragmentation of holdings, making acquisition that much more difficult.There has also been a quiet intrusion of activists, some associated with Maoists, who have marshalled land owners, particularly in the tribal belts, into refusing to let go of their land. Thanks to these activists, even the offer of good relief and rehabilitation measures, on top of handsome compensation, which promises a way out of their penury, does not tempt the farmers to sell their lands.Even in cases where the state government has completed the acquisition process, it is not able to get the land vacated. The government treads on eggshells as far as this goes since the use of force has led to ugly incidents in which locals have died in police firing. Unable to find a way out, the state is now planning to relinquish the acquisition process to private entrepreneurs themselves.The same problem of land acquisition along with inordinate delays in statutory clearances, is holding up crucial infrastructure projects such as roads, bridges, dams, ports, etc. This is why Orissa has one of the lowest proportion of PPP projects in the country for developing its infrastructure. Because of poor connectivity, exploiting its tourism potential remains a distant dream for the state. The facilities at the Bhubaneswar airport are a throwback to the Sixties. The bus network is primitive.Is there a way out of Orissa’s dilemma? Yes, but it will require courageous leadership which will not hesitate to fan out to the boondocks and win back the confidence of the people by attending to their welfare problems effectively. Some of the industrial projects where the government has confidence in the reputation and sincerity of the promoters in implementing all R&R conditions should be helped by way of interfacing with the landowners so that the land acquisition process is facilitated. A special team needs to be set up within the higher bureaucracy to focus on smoothening the way for infrastructure projects. And, of course, there is a need to create a special anti-Naxal security force, like neighbouring Andhra Pradesh has done, to tackle the military might of the militants, while their political influence is countered by attending to the welfare of the tribals.
nnsachi@yahoo.com

Source: http://www.expressbuzz.com/edition/story.aspx?Title=Is+there+a+way+out+of+Orissa%E2%80%99s+dilemma?&artid=7myeByL0rR4=&SectionID=XVSZ2Fy6Gzo=&MainSectionID=XVSZ2Fy6Gzo=&SectionName=m3GntEw72ik=

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