Gandhian Vision of Rural Industrialization – Needs and challenges

Synopsis of Presentation• India’s development experience

• Need for Gandhian Model of development - challenges of its practical Implementation

• Attempts done so far - their critical review

• Hopeful signs-silver linings in the dark clouds

• Role of Technical Institutions-suggestions

OUR PATH TO “DEVELOPMENT”

The Model of Development

• Increase wealth of nation through Planned growth in agriculture and industry--emphasis on centralized technologies

• The wealth would trickle down to masses thus alleviating poverty

• Help to village industries only a stop gap arrangement for ‘quick employment generation’

Growth in Economy

ITEM YEAR1950 YEAR 1998Food grains 50.8 mt 203.5 mtSugar 1.134 mt 15.520 mtSteel 1.041 mt 373.1 mtCotton 4215 m sqm 17948 m sqmElectricity gen 6.575 b kWhr 448.6 b kWhrBicycles 99 k 10373kGDP crores 1,40,477 10,83,047

India’s Development Experience

0200400600800

10001200

US

D

bott

om20

% next

20%

top

20%

Per capita Income distribution in India-

1999

• 35% below poverty line-huge unemployment

• Unaccounted money in circulation: 30-50% of GDP

• Transparency International : India nearly at the top in corruption

• Total Debt : ~Rs2,000,000 crores ( 35% external)

• skewed economic growth ( carvak model) and moral shrinkage

Task force on Employment …...report submitted to

Planning Commission (2002)• Only if GDP growth ~8-9% employment

opportunities would increase……..if it continues at average of 6.5% it will not lead to any significant improvement in employment

• Almost near jobless growth in 1990s

• Unemployment ~ about 10 crore youth

What are its implications?

The Danger ahead -globalisation

• Stark inequalities can be a recipe for socio-political and economic destabilization in a globalising economy {PMs Council}

We need Holistic Growth with Social justice

Holistic Growth with Social justice• Failure of capitalistic and communist models -of

materialistic world view-their non sustainability• The humanistic alternative : Ruskin, Gandhi, Maslow,

Schumacher

• Gandhian View :Development should be holistic & Non-exploitative, i.e. sustainable

• Possible only in “Self sufficient Village Republics ” : Gram-swaraj & Swadeshi ---wealth generation in a distributed manner & not re-distribution of wealth generated centrally

• Need for Rural Industrialization--decentralised production

Challenges in Implementing Gandhian Model

• Gandhiji : I do visualize electricity, ship building, iron works, machine making and the like existing side by side with village handicrafts. But the order of dependence will be reversed…..

• Technical feasibility : Is it possible to have production by masses in a manner that can compete with mass production?

• Social feasibility - change in the world view of society : Imbibing universal human values-Holistic Education

Efforts Done till now

• AIVIA …set up by Gandhiji in 1935 at Wardha

• Voluntary effort of dedicated Gandhians

• Akhil Bhartiya Sarva Seva Sangha

• Setting up of KVIC 1957 …….JBCRI handed over to it

• Activities at JBCRI

• Contribution of NGOs

• Rural Technology Centres in IITs, IISc

Why have these

efforts not borne fruit ?

Why have these efforts not borne fruit

Technical Feasibility….1• Mind set : VI sector is bound to be un-

competitive ( economy of scale)– low productivity & quality – VI sector’s role is primarily to provide

employment---- not a ‘viable’ method of production

• No systematic efforts by technical institutions to innovate technologies, management practices for decentralised production---limited expertise with NGOs

• Technical education oriented towards organised sector alone

Technical Feasibility….2• No emphasis on Indigenous Technology

development…. “Import is cheaper”

• Rural Technology Centres : islands of ‘mediocrity’ in ocean of “excellence”– The Culture of Resource Generation in

Technical Institutions– Limited paying capability of KVI enterprises– Lack of ‘recognition’ for such ‘low’

technology work-- unfavourable institutional ethos

– Faculty appraisal: international publications

Why have these efforts not borne fruit

Social Feasibility• Materialistic world view promotes

consumerism & ostentatious living– rejects simple living as a policy– rejects ‘appropriate’ technologies– Attenuates the spirit of Service in NGOs

…...from “seva” to “naukri”

• The Education System promotes cut-throat competition– no discussion on values : default value system-

hedonism , materialistic world view

The future of any society depends on the education of its youth

Why have these efforts not borne fruit………..

Hope for the future ?

Success stories of decentralised production-management

• AMUL

• Lijjat Papad

• SEWA

• Mumbai Dabbawalas

• Handloom -Handicraft exports

• Contribution of NGOs

Silver Linings in the Clouds

• Ecological awareness-sustainable development movement – sustainable production & consumption– values for sustainable development

• Increasing popularity of Products best produced in VI Sector: Organic foods, Cotton, Ayurvedic remedies, herbal food supplements

• IT Revolution-potential for help in marketing• Introduction of Education in Human Values in

the education system

RIO-DECLARATION on Environment & Development

• 5: Eradicating poverty...decrease disparities an indispensable requirement for sustainable development

• 8 :Eliminate unsustainable patterns of production and consumption

• 22: recognize and support indigenous knowledge and traditional practices

Role of Technical Institutions…..some

suggestions?

Technical Feasibility• Develop technologies and management

practices to make decentralized production competitive

– Student Projects ( at all levels) related to KVI Sector

– Practical training in good KVI units

– Seek Grants for projects related to KVIC Sector

– Rural entrepreneurship as a viable career

– Rural Energy & Infrastructure Development Identify policy changes to give due recognition to such R&D work

Some suggestions

Social Feasibility

• Introduce Education in Human Values in the Curriculum– What , Why and How of Value inculcation ?– Interaction of Science Technology and Human

Values - sustainable development– Engineering Ethics

• Conduct Training programmes to sensitize professional engineers , scientists & NGOs

Some suggestions

Role of Governmental Agencies

Role of Governmental Agencies

• KVIC : Set up a Model Apex Institution to Coordinate the process of Transfer of Attention of S, T & M institutions to KVI Sector – Provide it with sufficient autonomy and

resources to fund research projects related to KVI Sector----ethos of a facilitator and not a stereotype auditor

– Set up its Technical Interface units in reputed Technical Institutions

– Promote rural Entrepreneurship Development programmes in Technical Institutions

MG

IRI

Some suggestions

Role of Government Agencies

• AICTE : Promote this work through affirmative action--accreditation policy

• GOI : Changes in Technology Policy and other affirmative action– Earmark a portion ( say 2%) of funds of rural

development ministry for R&D activities related to KVI Sector

– Give Priority to strengthening the rural energy programme and IT network

– Emphasis indigenous technology development

Some suggestions

Role of Government Agencies

• CSIR , DST , MNES , DBT, CAPART etc.

– Encourage R& D work at various levels-- from research labs to Grass root innovators -- to strengthen KVI Sector in various ways

Some suggestions

What should we aim to achieve in this workshop?

• Evolve Policies and action plans for various stakeholders ( especially technical institutions) which would accelerate the process of rural industrialization in tune with the Gandhian vision of sustainable village economy– the products of the KVI sector can compete

with those of the mainstream industrial sector and become equally popular in the country and abroad

Identify Action Plans to …….

• Provide best possible S,T&M inputs to increase productivity, ensure quality and marketing of KVIC products

• Create an ethos to attract professionally trained youth to Gandhian vision-- initiate the process of bringing about a change in the world view

• Empower traditional craftsmen, artisans in various ways---- learning and training, integration with mainstream technical education

• Promote Rural Entrepreneurship Development programmes in technical institutions

Thank You All !