Provide inputs on zoning'


COIMBATORE: Valuers should provide inputs on zoning of the city, suggested Jayakumar Ramdass, Head of the Taskforce on Skills and Human Resource of the Confederation of Indian Industry, Tamil Nadu.
Inaugurat'ng a two-day seminar here on Friday on “Quality Assurance in Valuation of Assets in the Changing Scenario”, organised by the Coimbatore Branch of Institution of Valuers, he said zoning was important. When an industry came up in the city outskirts, residential property also developed in that area. This gradually led to implementation of pollution control norms and the industries had to shift to another location. As a result, industries were now developed as clusters. Zoning would help in development.
Valuers could also help by releasing quarterly report on land prices in their respective areas. P.K. Thiagarajan, President of the Institution of Valuers, said that with liberalisation, the profession had also become international.
P. Kanagasabapathi, Director of Tamil Nadu Institute of Urban Studies, Coimbatore, said that migration had been happening world over. Cities were growing because of urbanisation. In 2001, 44 per cent of the State's population lived in urban areas. This was expected to increase to 50 per cent soon. Valuation was a serious issue. In India, the problem was under-valuation at macro level. There were different estimates for economic indicators. The valuation problem should be addressed seriously
State Chairman of the Builders' Association of India K. Viswanathan said valuation was a complex subject. The land prices changed often. Valuation should be managed professionally. Prices of construction raw materials had increased. During the last one year, labour costs had gone up and masons were getting about Rs. 400 a day. Earlier, the labour component in construction cost used to be 25 per cent. Now, it was 30 per cent. Valuers should take this into consideration. S. Pichaiya, convenor of the event, said service sector was driving the country's growth and so professional services such as valuation were gaining importance. Valuers need to introspect and improve the standards of valuation.

PROSPEROUS INDIA – 3

Culture of Self-employment in India 

Evidences show that the different segments of the Indian economy remained very active since the earlier periods. Apart from agriculture, India was widely known for her crafts, high quality manufacturing, business and trade. Writing on the industrial situation that prevailed more than 2300 years ago, Basham noted that ‘the basis of ancient Indian industry was individual craftsman aided by the members of his own family, though there were larger manufacturers also’. While narrating the situation in the eighteenth century Agarwala notes: “A large proportion of the Indian population was engaged in various industries up to the first decade of the 19th century. Weaving was still national industry of the people; millions of women eked out their family income and their earnings from spinning. Dyeing, tanning and working in metals also gave employment to millions.” It seems that significant proportions of people remained involved in industrial, trade and service sectors, apart from agriculture and related activities.

In this connection it is important to understand that the Indian tradition accorded the highest priority to self- employment. More than five thousand years ago, sage Vidura emphasized in his teachings that self employment was the best status in life. Hence venturing in to something on one’s own or getting engaged in family occupation was considered as the most preferable vocation in life.

Self employment system has several advantages and is a unique feature of the Indian economy. It gives freedom to the individual concerned as one is not under the control of any body. It provides adequate opportunities for those who want to work independently. People with original ideas can try them and undertake newer efforts. Self -employment seems to be an ideal one in many ways, as it avoids the negative effects of both the popular economic systems. In the market system, significant sections of the working class might not get adequate remuneration for their toil or even opportunities to work, while the communist system does not properly recognize entrepreneurship and initiatives. At the macro level, the contemporary market system with mega corporations tries to exploit people at every single opportunity, while the communist system denies people choices and opportunities resulting in restricting the basic freedom to grow.

Self employment system does not mean that all activities remain on a smaller scale. Even in the earlier periods there were big businessmen. Moreover, there were different types of business organizations such as pani and srnei, which were partnership and corporate forms of organizations. Evidences indicate that these forms of organizations were known to have existed at least 2800 years ago.

One major reason for the sustenance of the Indian economic system over thousands of years could probably be her self-employment base and the culture of many people (and families) directly involved in managing their vocations. Even continued invasions and the resultant disturbances for hundreds of years could not destroy the economy. Also the continuous involvements of sections of people in selected vocations over generations have enabled them to specialize in their activities and design suitable systems to make superior output. But the subsequent domination of the British and the colonial rule destroyed the native arrangements, resulting in serious damage to the economy and society. Millions of families had to move away from their vocations due to the destruction of the agricultural, manufacturing, trade and service activities.

As a result when the country got independence, more than three fourth of the population was dependent on land based activities. With their new found political freedom and the burden of history, different groups of people started moving to newer vocations, and as a result millions of initiatives have been taking place during the last sixty years. Till the globalization process started impacting the home made arrangements in the system a few years back, going for jobs and working under somebody was considered low in status among many Indian communities. Even today doing something on one’s own or getting engaged in the case of family business is considered as a superior way of life in different parts of the country. It may be pertinent to note here that people with educational and professional backgrounds are slowly venturing to set up own initiatives during the recent years.

It was estimated that the self employment sector contribute about 35 percent to the GDP of India, the largest share. Along with agriculture, the total contribution of the self –employed segment would be about 55 per cent of output. The balance is shared by the government and the corporate sectors. Also the self employment sector provides the maximum employment opportunities to people. Project OASIS Report 1999 submitted to the Government of India stated that of the total working population, 15.2 percent were regular salaried employees, while over 53 percent were self-employed. We can understand the significance of self-employment in India when we note that the self-employed rates in richer parts of the world are very low, while their salaried populations remain higher. In the US for example, the share of self-employed category was only 6.6 per cent, as against the share of private waged and salaried workers who constituted 78.5 per cent.

The 62nd round of the National Sample Survey Organisation (NSSO) report on the employment situation of India in 2005-06 reinforced the fact that Indians prefer self- employment. The number of self-employed people were high, both in rural and urban areas of the country. The survey revealed that in rural India, more than half of all workers were self-employed, 57 per cent among males and nearly 62 per cent among females. The corresponding figures for urban India were 42 for male and 44 for female.

The self employed sector is a self made one that does not depend on the governments. Moreover this sector is the breeding ground for future enterprises. The major business and industrial centres of the country today were once the initiatives of a few entrepreneurs from this category. In this respect it is pertinent to note that this sector has played a significant role in laying the foundation for the growth of Indian economy after independence.

Self - employed sector has been instrumental in creating millions of enterprises over all these years. Economic Census 2005 (Government of India) states that 41.83 million establishments were functioning in the unorganized sector as smaller units. Of them, more than 70 percent of the total number of enterprises was own-account enterprises. The Third Census of the Small Scale Industries had estimated that there were 1, 05, 21,190 units in the SSI category. About 95.8 percent of them were found to be of the proprietary type, with 10.11 percent of the units managed by women. There were more than 2000 clusters in the country with hundreds of enterprises belonging to the small, medium and even corporate units in each of them. Generally, a venture begun with the initiative of one or two entrepreneurs spearheads the formation of clusters.

The economic development of different regions and states has been driven by the self- employed sections. In many cases, the initiatives of the self- employed sector at the local levels grow into small, medium and big enterprises. What was started as a small cycle shop a few decades ago has grown to be the well known Hero Group today. Hero Honda, one of their group companies, is the largest manufacturer of motor cycles in the world. The economically advanced states of India such as Gujarat, Tamil Nadu and Punjab have many well performing industrial and business centres, initiated by the self-employed segments a few decades back.

Though the self employment based sectors have had to face continuous challenges due to the apathetic attitude of the ruling sections and have undergone changes over the years, they still remain the basis of Indian economy and business. They play their role silently and steadily, without many of us even realising it. It is the culture of self-employment, nurtured by the family and cultural traditions of the country, which has been helping India to grow and emerge as a powerful economy at the global level.


References


Basham, A.L., The Wonder that was India, Rupa and Co., New Delhi, 2001
National Sample Survey Organisation report, 62nd round, Govt. of India
Project OASIS Report 1999, Govt. of India
Third All India Census of Small Scale Industries 2001-02, Govt. of India, 2004
US Bureau of Census – Share of different categories of workers in US in 2000

(Yuva Bharathi - Voice of Youth, Vivekananda Kendra, July 2010)

What do we expect from foreign universities?

Foreign Educational Institutions (Regulation of Entry and Operation) Bill 2010 has recently been tabled in the Parliament by the Government. The Bill enables the education providers from foreign countries to set up universities in India and offer degrees. They need not follow the reservation norms and are permitted to fix the fees on their own.
The Bill was in fact prepared earlier and had to be kept in abeyance for more than four years due to opposition from various quarters. It was then sent to a Committee of Secretaries, where modifications were made to certain provisions. The Bill is however facing opposition from different sides, including the major opposition parties, students’ organizations and educationists on different grounds. Reports say that there is no consensus even within the ruling party.
The Union Minister for Human Resource Development says that the entry of foreign universities will “enhance choices, increase competition and benchmark quality.” He also feels that the work force will be able to get the necessary training and increase skills. The present Gross Enrolment Ratio of students in higher educational institutions at 12.4 is lesser in India compared to the developed countries. The Ministry feels that foreign universities will help the country to increase the enrolment ratio and India will have more percentage of people studying in higher educational institutions in future.

We have to remember that education is not just another sector in a country. Education enables the citizens to improve their living standards and plays the critical role in shaping the future of the country. The dream of every parent is to give an education that makes children to grow up imbibing the best values, with the required capabilities for life. Hence the Government and the society should be very careful while deciding policies related to education.
Whenever we think of foreign universities, the countries that come across our minds are generally the US, the UK, Canada, Australia and a few others in Europe. A study of the personal lives of the citizens of these countries, their social and economic conditions and the functioning of their university systems reveal that all is not well with their higher educational systems. The purpose of higher education should be to make students better citizens, resulting in the overall development of their lives and that of the societies around them. We all know that many of the western economies are in a very bad shape. There is no saving habit among people in the countries that are known for higher education such as the US, the UK and Australia. Individualistic attitudes have resulted in the large-scale destruction of families and societies. It was reported that in countries such as the US and Australia, more than forty percent of the children were born out of relationships outside marriages. These countries are forced to spend enormous amounts to take care of their families and societies, without substantial results.
Many of the biggest corporations in the world are from some of these countries. The events during the last few years indicate that many of the senior executives of the corporate sector have been engaged in amassing wealth for themselves through all means, at the cost of the interests of the shareholders, public and the governments. Remember that many of these executives are from the much sought after business schools and reputed institutions of higher learning! It is now widely accepted that the education provided by their B schools is not complete.
Paul Krugman, the well known US economist and 2008 Nobel laureate, openly admitted last year that the economic theories of the western countries developed during the last thirty years have failed and proved to be harmful to the world. When we study the history of the west, we can understand that their social and economic ideologies have been continuously failing. The recent economic crisis has landed them in a situation from which they find it difficult to proceed.
At the same time, India has been continuously moving forward after Independence, in spite of the confusions and contradictions at the top. As a result, India is the second highest growing nation in the world today. India was a poor and underdeveloped country when the British were leaving our motherland. But after sixty years, the entire world is turning its attention towards India. The family and social systems of India are looked upon as models by the rest of the world. Our achievements so far, admired by all including the west, have been with our own system of education and institutional set up.
India is an ancient civilization. Education was given utmost importance in the native Indian system. The purpose of education was to make citizens as better human beings and prepare them to contribute to the best of their abilities for the betterment of the society at large. As we all know the first university in the world was established here in our country about 2700 years back. Evidences show that India remained as the most prosperous nation in the world till almost the beginning of the nineteenth century, with pioneering contributions in diverse fields. The surveys conducted by the Englishmen in the early nineteenth century showed that India had an elaborate and a very good system education in the country. Even at that time India’s literacy rate was most probably the highest in the world. Subsequently, the British introduced the Macaulay system of education which resulted in the destruction of the native systems. The approach of the colonial masters led to the decline of the superior position of India.
This is the reason why people like Mahatma Gandhi, Tagore and Maharishi Aurobindo strongly advocated the ‘Indian system of education’ for the overall development of the nation, even before independence. Many educationists and thinkers have been emphasizing the need for India- centric education system during the last sixty years. But unfortunately, we could not even make some of the basic changes that are urgently required.
But in spite of these fundamental difficulties, the Indian education sector has been showing good progress. Governments and societies have established thousands of institutions in different parts of the country. Universities could not increase to the extent required as there were restrictions on their entry for many years. Now we are witnessing a faster growth in the number of universities after the Governments allowed the private sector to establish them.
It is not that the Government cannot create good institutions in India. Many of the institutions promoted by the Governments such as the Indian Institutes of Management, Indian Institutes of Technology and Indian Institute of Science are producing candidates who are comparable with the best people from the best universities in any other part of the world. So what is required is the change in the attitude and approach of the Government. It is unfortunate that the funds allotted by the Government for higher education and the amount spent for it are not to the extent required for a country like ours.
If the Government feels that it will not be able to provide the necessary facilities, it is better to involve the local societies and the private sector, and then monitor them with the necessary regulatory mechanisms. As for the foreign universities, they will come here with their own motives. It is not sure whether the universities that are well known would prefer to come here now. As for the state universities in countries such as the US, many of them are in serious difficulties, as the governments are finding it difficult to provide them with the required funds after the economic crisis. So the universities are increasing the fees payable by the students. As they face difficulties in payment of salaries, they are taking steps to reduce professors and staff. This has resulted in protests in many universities and colleges since last year. There were instances of arrests of students and imprisonment. March 4th was observed as the ‘Day of Action for Public Education’ in more than thirty states across the US.
Against this background, some of their institutions are reported to be looking for opportunities in other countries to keep them in the business. A country such as India with a huge population and high growth rate would be a fertile ground for them. India’s permission to allow them to function from here would make them survive in the field.
There is one point that keeps crossing our minds. Many western countries such as the US and the UK are facing serious social and economic crisis. Learned experts from their own globally reputed institutions of higher learning have been finding it difficult to provide even basic solutions to their problems. When such is the case, what is going to be the use of their universities here? What type of ‘quality education’ will they provide? It is accepted that they are advanced in fields of science and technology. But unfortunately those developments do not benefit the common man. For example, the medical expenses are very high in the US which has the maximum number of Nobel laureates in medicine. What is the use of newer inventions in science and technology, when they are not able to benefit the larger sections of the society?
India has strong cultural backgrounds with thousands of years of experience. The fundamental reason for India’s achievements is the family and community orientation. If India has to emerge and grow as a powerful nation, her unique strengths have to be nurtured and preserved. Many express doubts as to whether the entry of foreign universities will be suitable to our ethos and values. We have to understand here that sex magazines are allowed to be published by the students in some of the ‘most respected’ universities in the west within their own campuses. They are allowed on demand from the students as theirs is ‘free’ society that would like to give ‘full expression’ to the ‘feelings’ of the youngsters. What kind of impact it will create in our family- based society, when such institutions decide to replicate their ‘initiatives’ here? Indiscipline, misbehavior and criminal activities are reported in large numbers in some of their institutions. Moreover the recent studies undertaken in their countries have revealed that about three fourth of the colleges do not groom their students properly.
In this situation, different options could be explored. Many Indians are working as professors, scientists, engineers, doctors, IT experts and corporate executives in reputed establishments in the developed countries. With their experience in western environments we can involve them to improve our higher education, wherever we feel it is necessary. In the recent years, some of the management professors working abroad have established institutions here. They are doing well. We can encourage such initiatives in other fields also. The Government can provide them the necessary support.
We all know that there is need for training in India at different levels. A latest study by the US professors shows that the Indian corporate sector is many times ahead of the US in providing the required training to their employees (Harvard Business Review, March 2010). The non-corporate sector that contributes the maximum to the national income and growth has its own arrangements to train the required people. But they are not always adequate. The Government can help the industrial and business sectors by providing necessary support to the major clusters, where thousands of people are working. Training can be provided to the maximum number of people at the cheapest cost, when the work is undertaken in collaboration with the local industry/ business associations. We have to remember that in the earlier centuries, the guild system provided the necessary training for different types of vocations. Such systems can also create entrepreneurial opportunities for many unemployed persons, even while providing the required personnel for the industries.
India has a huge pool of skilled manpower that does not have formal education. A few years back the Department of Science and Technology reported that around 30 per cent of the innovations taking place in the country are through illiterates. A certificate by the college/ university would help the uneducated and under educated sections that have skills improve their status and positions and make them recognized by the world. The Government has to take necessary steps to allow educational institutions to certify the uncertified but skilled people, by following proper evaluation methods. We don’t need foreign universities to do this.
The contents of the contemporary education system are largely based on the western experiences and theories. They are not relevant to our conditions and many of these theories have failed in their own countries of origin. It is time we changed them immediately. Moreover, the Indian universities should be given the necessary option to make experiments and innovations, within a broad set of parameters. The Indian private sector seems ready to make investments in education. They are capable also. Hence the Government should take necessary steps to make use of them.
A few basic questions disturb our minds whenever we think of allowing foreign universities in India. What kind of higher education do we expect from the universities of foreign countries, where people are failing in their own personal lives, and their social and economic systems are facing serious crises? Why don’t we make the required changes in the higher education system with our own resources and inputs, when we have the necessary background and fundamentals with us?

( Swadeshi Patrika, New Delhi, June 2010)

PROSPEROUS INDIA -2

Superior agriculture and thrust on food production since ancient times



Food is the basis of life. Mankind requires adequate food for survival and growth. An ideal state is one in which no one suffers for want of food. The first priority of every country is to provide adequate food to all the citizens. The main objective of any economic theory should be to help the societies to plan for providing food to all the people. Unfortunately the “modern” economic theories of the west speak only about markets and competition. Hence we see hunger and poverty on the increase in different parts of the world during the contemporary periods, in spite of the development that has been taking place. So development itself is becoming meaningless to vast sections of people in the world. Modern economic theories and the economists are not able to provide meaningful solutions to reduce poverty and provide food to all.

In this connection, one has to learn from India of the earlier periods when the native systems were in place without the alien influences. Ancient India understood the significance of food much more than any other nation in the world. Mahabharata says: “Food is indeed the preserver of life and food is the source of procreation. When there is no food, the five elements constituting the body cease to be.” Hence the Indian system gave the maximum thrust to production of food in abundance, so that there will be plenty of it available for consumption. Sages and scriptures emphasized the need for growing and producing more and more food. For example, Taittiriya Upanishad said: “Endeavour so that there be a great abundance of food. That is the inviolable discipline of mankind.”

Accordingly agriculture was accorded the primary status in the society. Thiruvalluvar was only echoing this when he said that of all the vocations, agriculture was the most important as the entire world depended on it for their food ( Kural 1031). Hence farmers were given high respect as they engage in producing food for all the others in the society. Bhisma mentioned in the Mahabharata that the cultivators take up the responsibilities of the kings on their shoulders by providing food to the people in the country.

Kings were advised to create and provide the required facilities to the farmers so that crops were grown and food was produced without difficulties. When Bharatha visited Lord Rama during ‘vanavas’, Rama advised him to ensure that all those engaged in agriculture received special attention and help them conduct their vocation. Hence the states took up the responsibility to create the necessary infrastructure and other facilities. Maintenance of water bodies and construction of tanks were undertaken wherever necessary to store water. Even when rains fail, arrangements were there in place to provide water so that farming activities did not suffer. In the Mahabharata Narada asks Yudhistra to ensure that the cultivators had not exhausted their seeds and were offered loans at the rate of one per cent.

As a result agriculture flourished. Due to the antiquity of India and very long years of experience in farming, Indians gained complete knowledge of agriculture in all its respects. Hence they developed suitable methods to get the maximum results. During the period of British domination, they brought an agricultural chemist J A Voelcker from their country to India to recommend improvements to be made in agriculture. In his report of early 1890s, he stated: “Nowhere one would find better instances of keeping land scrupulously clean from weeds, of ingenuity in device of water-raising appliances, of knowledge of soils and their capabilities, as well as the exact time to sow and reap as one would find in agriculture; and this is not at its best alone, but at its ordinary level. ……. Certain it is that, I at least, have never seen a more perfect picture of careful cultivation combined with hard labour, perseverance, and fertility of resource, than I have seen at many of my halting places in my tour.”

After observing Indian farmers and the farming methods, the British agricultural scientist Albert Howard wrote about hundred years back that he could not do better than watching the operations of the Indian farmers regarding them as his ‘professors.’ While mentioning about the indigenously developed natural farming techniques that were in use in India, he noted that the Indian farmers used organic manures that ensured them to continue farming on the same land for more than two thousand years without any drop in yields.

The farmers treated the lands as the Goddess and nourished and nurtured her without causing any disturbance to her long term health. They adopted superior methods and developed their own techniques needed to increase production. The European officials and experts were astonished to see the way agriculture was conducted in different parts of India. After observing the native agricultural methods personally while serving in India, the English official Major General Alexander Walker was amazed to know the use of Drill Ploughs by the farmers and noted around 1820: “ The Hindoos have been long in possession of one of the most beautiful and useful inventions in agriculture. This is the Drill Plough. This instrument has been in use from the remotest times in India. …. It would be just to adduce this, as another proof of ingenuity of this people and of their successful attention to this branch of labour.”
In this connection the noted Gandhian Dharampal who had studied these aspects in detail underlines that: “The Drill Plough is said to have been used in Europe …. .. in 1662. Its first introduction in England dates to 1730. But it took another 50 years before it was used on any scale. It was used in India …. .from time immemorial. Observations of its use, by the British, however could only begin in the last decades of the eighteenth century, …….. .”

The aim of the farmers was to increase the production and productivity levels through natural and harmless methods. They achieved them with hard work and native techniques. Based on the study of inscriptions, Bajaj and Srinivas estimate that the productivity in Thanjavur area in Tamil Nadu amounted to around 15 to 18 tonnes of paddy per hectare, from 900 CE to 1200. In the southern part of Ramanathapuram in the state, the production was 20 tonnes of paddy per hectare in 1325 CE. The British observers and their administrative records show high levels of productivity in different parts of the country even till the early nineteenth century. For example, it was reported in 1803 that the productivity of wheat was about 7.5 tonnes per hectare in the regions around Allahabad.

It is significant to know that the ultimate objective of all these efforts was to provide food to all living beings at all times. About two thousand years back, the Greek historian Diodorous Siculus noted: “ It is …. confirmed that famine has never visited India, and that there has never been a general scarcity in the supply of nourishing food.” Making food available to all is indeed the noblest of all objectives of a society and India remained committed to it since the earliest times, till the Britishers intervened with the native arrangements and began destroying them. This is the reason why a large percentage of the humanity has been living here happily since the earliest times.

References:

Bajaj J.K. and Srinivas, M.D., Annam Bahu Kurvita, Centre for Policy Studies, Madras, 1996.
Bajaj J.K. and Srinivas, M.D., Restoring the Abundance: Regeneration of Indian Agriculutre to Ensure Food for All in Plenty, Indian Institute of Advanced Study, Shimla, 2001.
Dharampal, Indian Science and Technology in the Eighteenth Century, Other India Press, Goa, 2000.
Winin Pereira, Tending the Earth – Traditional and Sustainable Agriculture in India, Earthcare Books, Bombay, 1993.

( Yuva Bharati – Voice of Youth, Vivekananda Kendra, June 2010 )