Manipur, it appears, has neither "Resource-Plan" nor "Reform-Plan" at the moment. This is perhaps, the weakest area in the economic exercise.
Investment is linked not only with physical and market connectivity but also with "security-connectivity". The solid foundation of efficient infrastructures enriched with stability and sensibility is the springboard for spread -effects of commendable economic initiative.
To-day we are required to remember four prerequisites (sine-qua-non) for investments to bear the desired benefits.
SQN 1: The will of the people and their preparedness to make sacrifices for the cause of development.
SQN 2: Political maturity and stability,
SQN 3: Atmosphere of peace and co-operation and above all Meticulous Planning (U.N.)
Managing investment activities is really tough and challenging. It is in a way part of learning-by-doing. The investor observes critically and supervises the behaviour of production cycles.
At one point of time new excitements and new temptations are generated and the investor is forced to undertake innovative moves to meet emerging concerns. This is a difficult period; but it is a moment of crucial test. Manipur does need large investment from within and outside.
Unfortunately the state faces uncommonly high hurdles with very limited resources.
Although North-East is a late comer to development, the region has recently started experiencing new excitements, new tem-ptations and new equatio-ns on many fronts.
Connectivity has picked up. Disability of occupational multiplicity is getting replaced by better professional pursuits.
Poverty is getting reduced from 33.78 percent in 1993-94 to 28.54 per cent in 1999-2000 in Manipur, from 40.87 % to 36 % in Assam and from 37.92 per cent to 33.87 per cent in Meghalaya.
However much remains to be done to change the "culture of poverty".
The incidence of unemployment remains fairly high with 4.6 percent of the labour force being openly unemployed in Assam in 1999-2000 followed by Manipur 3.5 percent. Paradoxically there is enormous amount of work to be done in the region but few jobs, leading to semi-stagnant situation.
Both per capita income and per capita consumption expenditure are low. The per capita income of Manipur was only Rs. 16,944 at current prices in 2000-2001 as against Rs. 59,538 of Goa and Rs. 29,544 of Punjab. The per capita monthly consumption expenditure of Manipur was only Rs. 596.36 in 2000, while that of Delhi was Rs. 1316.
Assam does bad with only Rs. 473.42. The net result is "welfare loss" resulting from the pattern of meager consumption expenditure on inferior commodities at higher prices.
It is a fact that both growthless jobs and jobless growth may burn the two ends of the small open economies of the North-East. The task is really difficult. The diseconomies of being "small", "rural", "informal" and "heterogeneous" continue to pose a formidable concern.
This is a "development-challenge". Area-specific model of manpower development and development strategy based on the abject realities and traditional skills may be rewarding.
We talk much of employment but much less of employabiltity. Employment is function of employability and availability of complimentary inputs including "unpaid factors of production" (called physical infrastructures). Creation of employment is one and utilization (realization) of the created opportunity is another.
We cannot force someone to work. Confidence is born largely in the womb of a fair degree of employability duly fostered by durable peace, stability and cordial atmosphere.
Today Manipur has become a land of PCOs, NGOs, Self Help Groups, Roadside small hotels and rickshaw pullers. Even a decent self-employment requires four conditions — largely personal.
Credit creation is not necessarily confidence building. Confidence goes very close to employability and productivity. Whom to look at the time of difficult situation remains to be answered.
The Indo-Myanmar Border Trade, 1994-95 generated a new wave of excitement.
In spite of a number of teething problems such as lack of adequate institutional response, knocking barter component, difficult physical connectivity, weak banking facilities, rising threat of insurgency (new economics of insurgency), long chain of authorized and unauthorized check posts (68 check posts within a distance of 210 kms.
From Moreh, Manipur to Dimapur, Nagaland), there are convincing evidences of increase. Shop establishments recorded annual percentage increase of 11.48 during 2000-2005 (till date). Direct employment also recorded the annual percentage increase of 11.61.
The other side of the coin is really uneasy. The strong rather — rising tendency for "big and immediate gains" from "small deals" (drugs and guns) may be counter productive in the long run in the border region. The geo-politics, it appears, has got mixed up with "trade activities".
— to be continued
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Part II |
Part III |
Part IV |
Part V |
Part VI |
Part VII |
* Prof Mohendro Singh wrote this article for The Sangai Express
This article was webcasted on July 22nd, 2006
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