TODAY -

India's super profit; Manipur mortgaged
- Part 2 -

Campaign for Peace & Democracy (Manipur) *

Economy sans welfare

Quite contrary to the apparent growth as mentioned in the fabricated teleology, reading against the grain of parallel reports and researches illustrates a comparatively backward economy for Manipur. Economic condition of Manipur since 1949 "had not improved even up to the level of subsistence"[8].

The fact that Manipur was under the Central Rule from 1949 to 1971 would have had tremendous economic growth during this period had it not been for imperialist super profit agenda.

  • During this period various mega industrial establishments costing thousands of crore of rupees to the Consolidated Fund of India were set up in the privileged States of mainland India[9].
    However, till the fifth Five-Year Plan Manipur got 1.55, 6.25, 12.88, 30.15 crore respectively, i.e., too little for development[10]. And the corrupt Indian bureaucrats did not fully utilize it for any initial stage of development"[11].
  • According to a report of the Institute for Human Development, New Delhi, Manipur as late as 2005 continued to be largely underdeveloped and agrarian with a weak industrial sector and inflated services sector.
    Analysing growth and interstate disparities in India would reveal that Manipur which had a low ranking economy in the period beginning with 1960-61 had continued to be in lower rank throughout the period till 1995-96[12].
  • As far as developmental and fiscal deficit are concerned, "the share of the state in the All India Net Domestic Product remained stagnant at 0.2 per cent almost throughout the period 1991-92 to 2001-02"[13]. Till 1993 Manipur has deficit of 158 crore Rupees[14]. As a result Manipur's own resources in the tenth Five Years Plan had been Rs – (minus) 362.42 crore[15].
  • As far as Per Capita Income of Manipur is concerned, in 1980-81 (at 1993-94 Prices) it had stood at Rs. 4901 against all India income of Rs. 5966; and correspondingly at Rs 5811 against Rs. 8759 in 1993-94; Rs. 8963 against Rs. 12496 in 2001-02 respectively.
  • According to the 55th Round of the National Sample Survey Organisation's (NSSO) (July 1999 to June 2000), though the poverty ratio had declined, the number of poor had increased from 5.86 lakhs in 1973-1974 to 7.19 lakhs in 1999-2000[16].
  • The NSSO 61st Round survey report has showed a drastic decline in the number of poverty to 3.95 lakhs in 2004-2005. The decline is based on new methodology of poverty estimation and doesn't calculate actual number of poor persons whose access to basic requirements of subsistence has been fast declining.
  • Unemployment problem among the youths in Manipur increases beyond controllable stage[17]. Financial position of Manipur is considerably weakened and it had resulted in the State Treasuries remaining open for a few days only in each month. "Many have not got their wages for many months"[18].
    The Manipur Rifles had attempted a coup in 1999 against the government for delaying their monthly salary for months. In 2002 the State was no longer in a position to discharge its debt-service burden[19]. In the year 2005 out of the total number of 356193 households living in Manipur 115600 households were living at the Below Poverty Line[20].
The overall economic condition remains precarious and unfavourable to growth. The situation contradicts concept of economic welfare.

Firstly, economic welfare is a material condition founded on productive utilisation of natural resource and human skills. Productive production is required in order to create and supply effective demands.

Secondly, production constitutes the backbone of political economy and as such, good governance is a precondition for effective production. The two understandings suggest that polity and economy are interplaying.

In a seemingly democratic Indian sub-continent, the Government of India that is in absolute control over Manipur political economy, therefore, has the obligation to invest for the economic welfare of the people of Manipur. This expectation is not being fulfilled by the Indian rulers whose primary interest in Manipur is concentration and centralisation of capital.

To be continued.....




* Campaign for Peace & Democracy (Manipur) is an issue based information & analysis (published on 3rd July 2009) . They contributes to e-pao.net for the first time. They can be contacted at cpdmanipur(at)gmail(dot)com
This article was webcasted on July 27th, 2009.




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