Monday, June 11, 2012

Much Ado About Crap & Loo Rooms


The crap has hit the fan.  Along with it much pee has flown  in the country.  Nay, Nay don’t get me wrong. It is not about Anna or Baba refusing to pee or deliver the crap for the day to show solidarity with millions of poor Indian women suffering silently with cultivated constipation because they did not get an opportunity before dawn to relieve themselves on the roadside. Neither it is about millions of poor Indian men, peeing straight on a wall or a bush in the open.  Oops!! Sorry, for bracketing them in the category of “ Poor”. They each spend a day Rs 28  for all their worldly needs and how dare I call them poor. Apologies for my ignorance.

Back to the  issue of crap and pee of the privileged few that has raised much stink recently. This is about our august body, the Planning Commission  and its honorable Vice Chairman defending the “renovation of  2 toilets” ( actually they are 2 wash rooms ) in the Planning Commission’s office at a cost of 3 million rupees. And of course, precautions need to be taken to prevent other less privileged mortals in the same building from even having a look at these swanky places. So another half-a-million is spent to install access control and issue smart cards for just 60 of the privileged elite. All this info unfortunately had to be shared by the Planning Commission because of one  Right To Information ( RTI ) activist thumbing his nose into the crappy affairs of the Planning Commission. What a shame!. The government must immediately invoke the Official Secrets Act  enacted by  the Mughal ruler, Babar or the most recent one enacted for India by the British just 200 years back to punish any one who thumbs his nose into the smelly affairs of the privileged bureaucracy.

Since no such act has been extended for the matter in debate by the government, reams and reams are allocated for condemnation  in print media and panelists of all hues in visual media are just having a verbal diarrhea. What nonsense. These journalists and commentators seem to have no sense of understanding of how important it is to have  classy swank loos and crap pots in office, with Italian marble, Brazilian mirrors, best of the class faucets and fragrant toilet rolls.

However, we need not despair. Even though our intelligentsia and common men decried the need for such an extravaganza, our intelligent politicians immediately grasped the need for such essential items. So the Union Cabinet which met for the first time after the revelations on renovation, relegated all unimportant matters such as falling industrial output, currency slide, massive fuel price hike, economy in doldrums and discussed about the farsighted vision and approach to loos and crap pots of the Planning Commission in general and the Vice Chairman Dr.Montek in particular. Let us not be surprised if our parliamentarians in unison  vote for adding such swanky facilities in their quarters next parliament session  like they did every time to hike their pay and allowances.

The RTI activist, apart from bringing out into open the indulgence of Dr Montek and the importance he gives to luxurious way of peeing to discharge his duties, has also solved the mystery and perplexing declaration of the Planning Commission a few weeks back in declaring that anyone spending Rs 28 ( close to half a dollar) a day for every need is above the poverty line.  Dr. Montek has very vigourously defended this decision and here could be the reason.

During May and October 2011, Dr Montek made several  overseas trips, 18 nights, at a cost of 3.5 million rupees public money.  During these trips,  while crapping in the luxury of 5 star hotels, he realized that if India has to progress it should start with modernizing the most basic infrastructure, the toilets. He has fairly succeeded in this  field, judging by the curiosity and envy it generated amongst our cabinet ministers. One day recently when he has finished filling the newly installed crap pot in his office, tickled by the jet of water from the health faucet auto cleaning his arse, his brain cells became hyper active and he started seriously thinking on how to reduce poverty in the country.  As he was drying his arse with the scented satin smooth toilet paper, the revelation struck him.  Like Buddha after enlightenment, Dr Montek’s face radiated a serenity never seen before. With a contended smile, he adjusted his neck tie in the Brazilian mirror, smoothened the creases of his 3-piece Armani suit, looked around him at the toilet, grunted in satisfaction and called for a meeting of the Planning Commission the next day to discuss the vexatious  issue of poverty.  Each member in no time trooped into the wash room. While peeing,  Dr Montek in earnest talked about the imperative need to bring millions of Indians above the poverty line. Every member agreed with a vigorous shake.  Looking at the members, with a benign smile Dr Montek shared with them his brilliant idea of pegging the amount an Indian spends a day for all his needs at a certain threshold to move him from Below the Poverty Line. But no one could come out with the monetary number required for the poor for a day to survive. After much deliberation, the members agreed that the amount will be the same as the number of loo and crap pots in the renovated wash rooms. There were 28 of them. Hence, it was declared that from now on those spending Rs 28 a day would no longer be treated as poor in India.  With one gesture, more than 300 million Indians were rescued from abject poverty.

A few days later, the Union Government announced a major sop to the Now-No-Longer-Poor Indians. It has raised the subsidy from Rs 8,500 to Rs 10,000 for construction of toilets in their “ homes”.

A few weeks later, the Prime Minister has called for all Government agencies to tighten the belt. No, No not after crapping. The call was to bring in austerity at all levels.

India might lack in several things but never in humour.



Friday, December 09, 2011

FDI in Retail: Neither Boon Nor Bane



The deadlock in Parliament for a week over allowing 51% Foreign Direct Investment (FDI) in multi-brand retail was over, with Manmohan’s government withdrawing  the proposal “ for now”.  For the past week, we have heard and read Giga Bytes of information with Aye sayers proclaiming  FDI will bring in better prices for farmers and increase employment and Nay sayers  predicting it will wipe out the small kirana stores thereby increasing unemployment in the unorganized sector.                                              
To me, both are wrong.  For different reasons.

In the heat of arguments, everyone forgot that retail giants that will come in are giant transcontinental corporations  which empathize only with one thing. Profits and more profits.  It is a myth and naivety to even optimistically think these corporations will pay a better price for farmers than that is existent in the market. They will just replace the existing middlemen by they themselves becoming the middlemen and hoarders. Neither will they generate employment to the large extent being projected. In large retail chains, very few are employed in the store compared to the volumes. Even contract farming or captive farming where agreements are drawn beforehand  by the retail chain with farmers for purchase of entire produce has not worked to the advantage of the farmers as is evident from the basmati growers of Punjab, potato framers in Northern India with Pepsi and Subabul, eucalyptus growers in Andhra Pradesh with ITC paper mills. On the other hand, they impose extra burden on the farmer to bring in gloss for the produce like wax coating for apples and protective sponge net for pears.
 
The argument that these retail conglomerates will wipe out the corner store Kirana Wala is also unfounded. Already, India has retail giants for the last several years like More, Reliance, Metro, Subhiksha and a host of others but the mom and pop kirana stores never perished. They have a unique business model of extending credit, home delivery and personal relationship with the consumer. It is a common practice for these stores to give goods on credit even when the order is placed through the house maid or on telephone. In fact, it was Subhiksha that got wiped out and not the kirana stores.

India Inc. too stepped in crying hoarse that withdrawal of the proposal will be a blow to economic reforms and a great loss to farmers. Obviously, the tycoons were salivating at the prospect of  investing in the rest of the 49% equity and riding on the train of super profits. It was hilarious listening to these Armani suite wallahs glibly espousing the cause of farmers. None of the existing retail conglomerates paid a single rupee extra to the farmers than the market price.  With their clout and money power, they have become the biggest hoarders buying up huge stocks at distress price, hoarding them against all laws and selling them for windfall profits.

Rotting Food Grains at Govt. Storage Depots
The government should have announced a slew of measures for the benefit of farmers before the decision to allow Foreign Investment or Indian Investment in retail. It should have come out with plans for massive network of storage houses for grains and cold storages for perishable produce across the country.  All the produce should be bought by the government at a price fixed every two years giving farmers an opportunity to make a decent profit and impose a limit on the percentage of profit the retailers can sell the same. Also a pre-condition should have been imposed that 80% of all farm produce and manufactured goods that are displayed ( not sold ) in retail chains should be procured from within the country. This would have addressed the three most important issues that are plaguing the country, - rotting farm produce due to lack of storage facilities, distress sales by farmers leading to farmer suicides and dramatic rise in food inflation hitting hard the consumers. Instead of addressing the issue holistically, all the politicians without exception took hard stands benefitting none of the three stakeholders-  producer, seller and consumer.
Alas,  What a loss !!

Thursday, September 15, 2011

Gen X to Gen Z: What a Difference !


I have no idea about when demographers started classification of generations, but the classifications fit the majority. And vast differences exist between each generation, and from generation to generation the gap increases tremendously.  First there were “veterans”, born prior to 1925 who have witnessed World War II and the tumultuous events of World history, next is “ babyboomers” born between 1940 and 1955 who would have come of age between 1960-1970. Rebellion against authority was part of their profile. They were the beneficiaries of economic boom of 60s. Then came Gen X,  my generation, born in early 60s  who were more rebellious against any type of authority and life was a constant struggle against every stereo type of authority. Usually they grew up with two or three more siblings in the house and had to share everything with the siblings from bedroom to bathroom, from soap to towel. In India, this generation like me stared at the colour TV first time when they were in budding twenties, lived with one Doordarshan channel for more than a decade and could relish the countless channels only after their forties. They stood in long lines in their 20s to book a trunk call at post offices to their homes and waited for hours to get connected. They have enjoyed the fruits of telecom revolution and the quintessential cell phone only when after their 40s. PCs and Internet were only  newspaper stories and most would have touched a key board for the first time in their 40s. PCs storage capacity was talked in MBs.Porn was only in books and in their mid 20s VCR was the most sought after personal entertainment device. Rayban goggles was the ultimate fashion statement.  Most of them would have started in their mid 20s with the prized possession of a Bajaj Scooter and caringly dusted it everyday without fail. One VIP suitcase was used  for a life time without it ever getting even a scratch protected with an olive green military standard canvas cloth cover. Eating out in restaurants was rare and when happened it was a family event and talked for weeks. Owning a car was the biggest dream and owning a house was even a bigger dream. Mega schemes were laid out to own a house. First it would be acquiring a plot of land, somewhere on the far outskirts of the town or city and then planning a savings schedule for the next 10 years to construct the dream house. America was the ultimate dream and any one fortunate enough to settle there was a demi God.
Then came Gen Y, born in 80s and by the time they came of age the next century dawned and the Indian economy was in full swing. By the time they crossed teenage, mobile phone has become another organ of the body and internet was being used by millions. Even hick towns sprouted dozens of internet cafes. Porn has moved from books to PCs and computers capacity was talked in GBs.TVs straightened out and became flat. Jazzy bikes replaced the Bajaj scooter and owning a car by  mid 20s did not even call for a comment. Signing up a 20- 30 year EMI  housing loan did not raise any eye brows. America was still  a dream but only for short term assignments or for a holiday. Cooking at home has become irregular. Curry points mushroomed everywhere.  Number of siblings fell to just one. Use of branded goods has become the fashion statement, whose price made their parents miss a heart beat.

Then came Gen Z, born in 90s usually the children of Gen X.  The decades of hard work and painful and planned accumulation of the wealth of Gen X has become the spring board for Gen Z. Nothing but the best is their motto and a thousand rupee note in their hands transforms into loose change in a jiffy. Authority is no problem for them because they have never encountered one. Friends are virtual and all talk happens only on the Face Book and any advice by teacher or parent is immediately put for validation with virtual friends. They are part of one or other virtual social groups with thousands as members. Google is THE only source of reliable  information. Cell phone is no longer just a phone and does everything except cooking. Palm sized phones boast of GB capacities. Two continuous days of eating at home calls for by default home delivery pizza or KFC. Picking up goods without even looking at the price tag attracts no comment. All decisions are taken independently without parental intervention or advice. It is not uncommon to be the only child.

What a change!! And what a gulf of differences with in just one generation!!

Wednesday, May 25, 2011

AP Rice Mill Lobby Strangulating Farmers




It is sad that neither media nor the government is concerned about the plight and suicides of paddy farmers in the state as they are about say weavers’ deaths. Not that the death of weavers should not be a matter of concern, but due attention should be paid to the paddy farmers suicides too. While clothes can be made by textile mills and weavers can choose other forms of work, it is the farmer who is stuck with his land and there is nobody on the earth to produce food grains except him. The reasons for the plight of farmers are two. One is the Central Government which fixes minimum support price arbitrarily without taking the actual input costs and refuses to increase it citing the fallacious reason that food prices will increase. It cites the same reason for refusing exports. Its arm, the Food Corporation of India ( FCI ), has grain stocks  double the capacity of its godowns. Crop after crop and year after year, the FCI cites the reason of lack of storage space to avoid buying from the farmer directly.
In AP, kharif crop ( July- Dec ) on average yields 100 – 110 lakh tons of paddy. In Rabi ( Jan – April ) the yields are 110- 120 lakh tons.  The just harvested rabi crop yielded  an estimated 120 lakh tons. Of this, the FCI bought directly from  farmers a meager  5 lakh tons and the state civil supplies  department bought 1.5 lakh tons at the minimum support price of Rs 1000 a quintal. Once the FCI stopped purchasing, the rice millers started purchasing a quintal of paddy at Rs 800- 850. And they bought 98 lakh tons. At Rs 200 lesser price per quintal, the farmers lost a whopping sum of Rs 2000 crore. And this is just for one crop not including the profits earned by millers by exporting rice to other states  and countries. The government in AP, whichever party is in power, dances to the tune of rice millers and so when almost all the farmers had made a distress sale of paddy, politicians are shedding crocodile tears now urging the central government to increase MSP and allow export of rice. And who will benefit from this. None except the rice millers. Each rice mill pays 30% of the milled paddy to FCI as levy and can sell the remaining stocks in the open market. The millers also get 12 kg of rice bran and 12 kg of broken rice for each quintal of paddy milled. The 4-5 kg of husk they get is used to generate power or used to generate steam to make paraboiled rice. The levy rice collected by the FCI is  allocated  to public distribution system for distribution to below poverty line people at a high subsidized rates. FCI has now 50 million tons in its warehouses, double the quantity required to meet the needs of subsidized rice distribution through PDS.

Paddy cultivation is  highly labour intensive. The input costs have trebled in the last 5 years but the MSP for paddy has not increased by  more than 40%.  If we take 5 acres farmer, his input costs are Rs 90,000/- which includes from raising nursery, mechanized ploughing, plantation, weed removal, fertilizer, pesticide, reaping and to harvesting. At an average  25 quintals per acre, if he gets MSP, his net earnings are a meager  Rs.35,000 for the entire crop from his 5 acres. If rabi crop is also cultivated and both the crops are not affected by any natural calamity, his earnings per year is Rs 70,000/-, which is less than Rs 6000 a month. It is  a fact that once every 3 years, one crop at least is lost to nature’s fury. having thus lost a year of earnings and with no money for the input costs for the next crop, farmers have to go for loans either from banks or private money lenders. Both these institutes show no mercy on the hapless farmer while recovering the money. This is what makes the farmer take his life. Last quarter, State Bank of India wrote off Rs 41,500 crore as bad debts and not even a single rupee of this colossal amount  would be from a farmer.

The AP government should exert pressure on the central government to allow exports of rice on a continuous basis and stop the practice of permitting millers to export after they buy at a lower price from the farmers. The FCI should be given procurement quota for each state depending on the extent of paddy cultivated. The practice of FCI procuring a lion’s share from only Northern states should stop.  

Thursday, February 18, 2010

Media Hyperbole & Free Speech

The release of Shahrukh Khan’s latest film, My Name is Khan (MNIK) has become the biggest story in print and electronic media for the last one week. All the noise started when the self-declared Moses of Mumbai, the senile xenophobist, Bal Thackery has criticized Sharukh for saying that Pakistani cricketers should be taken into IPL teams. This statement, Thackery claimed, is anti-national and threatened to disrupt screening of Khan’s movie. Sharukh refused to budge and apologize. The media went hammer and tongs hailing Sharukh’s stand as heroic and went to the extent of equating watching the film to taking a stand for independence and free speech. What a comedy !! Indian media trivializes even the most critical and sensitive issues and waters down them, in its mad race to reach one slot higher than the competition to garner advertisement revenues. Unlike Sachin or Mukesh Ambani who have gone public saying Mumbai is for all Indians, Sharukh has never made public his stand on Shiva Sena’s jingoism. Sharukh, all said and done, is a matured businessman and his loss-making Kolkota Night Riders team in IPL needs players of caliber to notch up a few wins. So he might have wanted some Pakistani players to buttress his team, which the media has ignored and made him into a real life hero. While it is gratifying to note that Thackery’s calls to boycott the film have been defied by the public openly, it is sickening to watch and read the media catch on to it as if Freedom of Speech and democracy in India depends on this one issue and exhorting public to defy Shiva Sena by flocking to the theatres screening the movie. Putting Shiva Sena in its place requires not flocking to the theatres but media blackout. A party confined to small pockets in one state needs the media platform for survival. However, for the media, ratings was the primary interest, not freedom of speech or taking a collective stand against hooliganism and intimidation. There have been numerous other instances recently of clamps on freedom of speech and never the media had this kind of sustained coverage to drive public behavior. One of the world-renowned painter, the 94-year old F M Husain is in exile in Dubai. Why was he forced to leave his home country. Because right wing religious parties and groups could see nudity of a Goddess in a few lines he sketched on the canvas. Where was the media then. Taslima Nasrin was expelled from India in 2008. Deepa Mehta’s movies, Fire and Water both came under Sena’s ire. The poor taxi drivers of Mumbai who have migrated from all parts of India were vandalized by Sena activists on the urgings of Thackerys. Since these issues do not have the same easy marketability, they were just reported. And easy marketing is at the heart of this campaign. Issues connected with India’s two loves, cricket and Bollywood, a media savvy celebrity, a comic book goon and the perception of participation by painless flocking to movie halls has made this campaign an effort less marketing for the media.
The real fight for freedom of speech and democracy should be the fight against our desperate poverty. Yet there is frighteningly little focus and interest in transparent governance, the prioritization and allocation of the country’s resources for its people. And there are serious issues at stake. The Food Security Act (FSA) is on the cards. FSA says that there are people in our country who don’t even have enough food for basic sustenance. That their numbers are so large that the States and Central Government have been slugging out for months trying to figure out eligibility criteria and a sharing arrangement that they can afford. We also have the National Rural Employment Guarantee Act (NREGA), which entitles each rural household hundred days of unskilled work at minimum wage. These Acts are a testimony to the fact that we have kept a large portion of our population out of the growing economy. However, not even a miniscule percentage of airtime and column space has been spared to discuss these issues. Even worse, there is no national passion for these issues. I shudder thinking of the future of this country, with two-thirds population being crushed under the burden of poverty and the apathy of the media towards critical issues.

Thursday, November 19, 2009

Non-Veg Pickles ( Prawn, Chicken, Mutton )

The process for chicken, mutton and Prawn pickles is the same. Ingredients and quantity are also the same. So if you know how to make one, you can make them all.
Prawn Pickle

Take good-sized prawns of one and half kilo. After de-shelling, prawns will weigh about one Kilo. Devine the prawns and rinse in water at least three times. Keep them aside for some time till water drains off. Add a tsp of turmeric powder, 2 tsp of crystal salt, 2 tsp of ginger garlic paste and mix well. Place the contents in a large dry pan and simmer till water is completely evaporated.
Take 100 gms of coriander seeds ( Dhania ) and fry them in a dry pan with a low flame for 2 to 3 minutes till the aroma reaches you. Put the fried seeds away to cool. Add a finger length cinnamon stick ( Dalchini) and a dozen cloves ( lavangalu) and grind them to fine powder . Add a cup( about 100 gms ) of powdered crystal salt and a cup of chilly powder ( 100 gms ) and mix well. Heat 500 gms of groundnut oil in a deep pan. After oil is heated well, deep fry the prawns for about 2 to 3 minutes till they become slightly brown. It is better to take small portions of the prawns and deep fry them so as not to have the oil overflow from the pan. Add the fried prawns to the container which has the mixed powders. Take 4 spoonfuls ( about your handful) of ginger garlic paste and drop it gently into the simmering oil. Put out the flame of the stove. Let the ginger and garlic paste remain in the hot oil for a few minutes. Add the oil along with the paste to the prawns. Mix thoroughly. Take about 12 average sized lemons and squeeze the juice ( 50 to 60 ml). Strain the juice to separate seeds. Add the juice to the prawns while the oil soaked paste is still hot. Mix well. Let it cool. Do not put a lid on the container as it will condense the vapour to water drops and the pickle will get spoilt. Transfer the pickle to glass jars. Shelf life is 4 to 6 months.
Chicken & Mutton pickle
Chicken or mutton should be boneless. They should be cut into one to one and a half inch pieces. Process is same as prawn pickle. Only more time is needed for deep frying. About 5 minutes.

Thursday, October 08, 2009

Obama Disappoints

What a disappointment Obama is !! Just a year ago the World watched every move of this man and prayed for his victory in the belief that he had the capacity to judge things from a global perspective and provide leadership to the World leaders. CHANGE and WE CAN were his slogans and like any other political slogans , they proved to be just that—a mere political catchy words that have no meaning once in power.
Nothing has changed, domestically or internationally. May be I should say no effort has been made to change anything even though circumstances provided the opportunity on a platter to Obama. The US banking and financial sector continues to rot in spite of gobbling up a trillion dollars of tax payers money, the greed of the CXOs continues to be obnoxious, yet nothing has changed. Except for sound bytes to the media on the salaries and bonuses of CXOs, nothing has changed. Even the much talked about health reforms seem to have taken a back seat. The Obama administration is clearly buckling under the pressure of these big corporations.
And now the last blow to all the believers in Obama. Obama has become the first US President in two decades not to welcome the Nobel peace prize winner to the White House since the Dalai Lama began visiting Washington. And this coming from the person who claims that Mahatma Gandhi and his non-violent approach has influenced him to a large extent. Yet he refuses to meet the Buddhist monk and the spiritual leader of Tibet whose only demand is greater autonomy ( not separation ) and preservation of Tibetan culture, which China is systematically destroying. And why this refusal. Because of the pressure from China. So economic considerations outweigh all other factors.
The US President will meet with corrupt, murderous dictators, military junta heads, even embrace them, laugh with them, accept gifts from them, but NOT meet the Dalai Lama? The ultimate failure in honoring human rights and international relationships. And the ultimate disappointment for people like me world over.
Just a year ago during the primaries, Obama urged George W Bush to boycott the Beijing Olympics opening ceremony in protest against the bloody repression of a popular uprising in Tibet. “If the Chinese do not take steps to help stop the genocide in Darfur and to respect the dignity, security, and human rights of the Tibetan people, then the President should boycott the opening ceremonies,” Obama said.
What a CHANGE !!
What a fall !!
What a disappointment Obama has turned out to be !!

Tuesday, December 16, 2008

The Acid Test For Indian Society


A week back three youngsters in their budding twenties poured acid on two unsuspecting girls causing serious third degree burns in Warangal in Andhra Pradesh, India. The reason for this heinous crime was one of the girls had spurned the overtures of one of the culprits. Both the girls are battling for life with one girl, doctors say may lose vision permanently and both the girls, if survive, will need multiple plastic surgeries. It is no wonder that the entire town came out in rallies and expressed sympathy for the girls. However, what was surprising was every section of the society, including the students, demanding the police to catch the suspects and encounter them which meant shooting them to death. Instant justice in this instant world ! A day later the three suspects were caught, interrogated, confession extracted, paraded before the media in the late evening and Lo and behold ! all the three suspects end up dead in the middle of the night on the outskirts of the town. The official version was police had taken them to a location where the suspects said they hid a stolen motorcycle but when they reached the spot, the suspects tried to attack the police and so were promptly shot to death. This usually is the standard official version for most of the deaths in the police shootouts. As news spread, there were celebrations in the town, people praising the police for swift action and awed college students pestering the police officers for autographs. Even in state capital, the educated elite were openly praising the police for this instant justice delivered. To my horror, even the state government released a statement that indirectly meant that any such acts will invite similar response. A few sane voices and their feeble protest at this form of delivering instant justice were drowned out in the cacophony of jubilation. We have been witnessing similar jubilation and approval across the country whenever such incidents take place. In the wake of sympathy on the plight of the girls and the hatred on the perpetrators of the crime, we seem to have forgotten that we are in a civil society governed by the laws of the land and judiciary. While it is true that many of our laws do not reflect the modern realities and need to be comprehensively changed, it is as reprehensible as the crime itself to eulogize custodial deaths. Instead of bringing pressure on the governments to amend the laws to make the punishments more stringent and revamp the judicial process for quick trials, we seem to have taken the easier option of condoning and even demanding instant justice. We should not for a moment forget that this makes every individual policeman, the investigator, the prosecutor, the judge, the jury and the executioner. Is any one person or a group capable of playing all these roles without bias.
Have we as a part of the civil society forgotten the brutal Bhagalpur blindings in 1980, where the police blinded about 30 undertrials with cycle spokes and then poured acid into the eyes. Most of them were petty thieves, waiting for the trial to commence. Can we condone the act in the name of instant justice since the case would have taken a long time to conclude in the usual process? Or for that matter, the police shooting of a business man to death last year in Delhi due to mistaken identity. It could be you and me tomorrow in the place of the businessman.
I ask those of you who have openly come out in support of the police shooting to death the three suspects, shall we as a society dispense with the judicial system altogether and give rights to the police to deliver instant justice. A thief can have his hands amputated, a person accused of murder can be hung to a lamp post and eve teasers stoned to death in public. There are societies where such forms of public punishments are in vogue. We call those states barbaric.
Despite the passing of the Protection of Human Rights Act in 1993 and establishing a National Human Rights Commission, incidents of police brutality continue to take place in various parts of the country. This is because of the silent approval of the public.
The acid test for the Indian society is whether in the near future it opts to pressurize governments to amend the laws and make punishments more stringent, revamp the judicial process for speedy trials, demand better policing methods and respect the Human Rights or continue to encourage models of instant justice. There will lie the answer to where as a nation we are headed.

Saturday, December 13, 2008

The Vampire Companies In Drug Trials

It was an innocuous small news item buried in the local pages of the Hyderabad based newspapers a few days back. The news was that a person undergoing drug trials complained of chest pain and died before he was shifted to a corporate hospital. Hardly any news, when in our country only double digit deaths find space on the front page. However, this is no ordinary death. The death is due to the plague that is the hallmark of a majority of Indian entrepreneurs. The plague of greed for money at any cost. At the cost of the lives of thousands of poor citizens of this country through clinical trials, which are outsourced by the giant global pharma and bio technology companies. A city based bio company has been conducting drug trials on this person, which the company spokesperson accepted and added he was a “Volunteer” who was administered a dose one day earlier, was put under observation for 24 hours and released. So he argued the reasons for the death of this “Volunteer” cannot be attributed to the drug trials. Shockingly, he also added that this “Volunteer” was also undergoing a drug trial for another company. As a spin doctor of the bio company, he should have known that the rules of the Central Drugs Standard Control Organization clearly forbid clinical trials of more than one drug in a span of 90 days on the same person. But that is only the Law and in this country it is the least respected, especially by the money-making class.

So what in essence are these drug trials, called as clinical trials? When a new drug is formulated in the research labs of the pharma companies, it needs to be extensively used on human beings to determine dosage, efficacy and after affects. In the US and Europe, trials for one drug costs anywhere from 100 to 150 million dollars because of the stringent conditions and high hospital costs. To save such a huge spending, these corporations have started outsourcing to Indian companies at one –tenth of the cost. Where on Earth can one find a nation with a deadly cocktail of half a billion people mired in rampant poverty and illiteracy, a plethora of diseases, two million private hospital beds , completely unethical and greedy entrepreneurs, lack of proper regulation, blatant corruption and a slipshod state machinery to enforce whatever little regulations are in force. So almost all the giant pharma . corporations have zeroed in on India. According to a Confederation of Indian Industry study, clinical trials in India in 2002 generated $70 million in revenues and reached $200 million by 2007. McKinsey estimates that by 2010, global pharma majors would spend around $1 billion for drug trials in the country.
How do the Indian clinical trial companies which grab the outsourcing deals conduct the clinical trials? The modus operandi is simple. Middle men sift through the records at the government hospitals to identify those with a particular disease or a combination of diseases. They are then filtered as per the need of the age / gender group. Since most of the visitors to the government hospitals are poorest of the poor, it becomes a cake walk for the middle men to cut a deal. For as little as 100 to 150 rupees a day!! The “Volunteers” are regularly monitored with changes in dosage. At prior defined periods, the “Volunteers” are examined for any symptoms of side effects and the progress of the disease. If there are indeed side effects, sometimes fatal, they are disposed off with a few thousand rupees. Since the law stipulates that drug trials can be conducted only on “Volunteers”, the illiterate “Volunteers” are made to sign /put thumb impressions on the declaration of volunteerism absolving the companies from any legal consequences. The poor “Volunteers” get a few thousand rupees each in a year and in most cases life time misery with side effects, the middlemen get a few lakhs each for supplying the “Volunteers” and the company profits by a few million dollars. The entire process or the findings need not be registered with or divulged to any regulatory body. Perfect, isn’t it?

What has happened as a stray incident in 2000 has become rampant today across India. In 2000, the use of a banned drug on unsuspecting poor cancer patients by the prestigious U.S. John Hopkins’ Hospital in collaboration with the Regional Cancer Treatment Centre in Kerala was exposed by the centre’s radiology head. Two patients died as a result of the drug trial. Bowing to the public demand, the Kerala Government requested Dr Parikh of the Tata Memorial Hospital in Mumbai to probe the incident. Dr Parikh collected documentary evidence of JHU releasing funds for the drug trials with the conscious knowledge of that drug having been banned by the US Food and Drug Administration. The drug was developed by a team of researchers of JHU's department of biology. This has forced the Indian Council of Medical Research (ICMR) to inquire into the trials. As usual, the results are still not public and no action has been taken against those responsible, where as the Johns Hopkins University barred the principal investigator from heading future research with human subjects. NGOs estimate that at any given point of time, clinical trials are being conducted for more than 100 new drugs in India involving thousands of “Volunteers” across multiple cities. They fear several of these drugs are either banned in the developed countries or new experimental component mixtures derived from the banned drugs.
Recently, India has made some regulatory attempts, amending its Drugs and Cosmetics Act to require compliance by trial conductors with a set of good clinical practices / guidelines along with the ethics committee that the ICMR formulated. But this is clearly not enough. The government should make registration of every drug trial compulsory, the findings to be divulged, mandatory compensation payment for those affected and strong penalties against the defaulting companies.

Till then, like vampires sucking blood out of the living, companies will continue to suck out profits from the misery of the Poor.

Sunday, December 07, 2008

Banner Anger

The anger against politicians for not taking the November 26th terrorists attack on Mumbai seriously was uniform across the country. Here are some of the banners giving a glimpse of the anger, mailed to me by one of my friends, Kali Krishna.










































Sunday, November 30, 2008

India's Heart Broken, But Not The Spirit



We Indians have faced several terrorist attacks in the past, some brutal as 1993 Mumbai blasts. We have had live coverage of the attack on our Parliament building itself. But the images of November 26th 2008 attack on Mumbai will stay etched in the memory of Indians for a long time. The images of indiscriminate firing from a van into thick crowds, the bodies strewn all over the street after an explosion, the injured at VT railway station dazed and bleeding profusely being helped by people, the funeral of the three top cops who were killed in action and the imposing red coloured dome of the Taj Mahal Palace Hotel spewing out fire and smoke will stay with us for a long time. The terrorists have chosen the places of attack to have maximum death toll and coverage. While the taking over of Oberoi Trident Hotel and Nariman Point were to take hostage of maximum foreign nationals, it is evident that the taking over of Taj hotel and causing explosions in it, was no doubt to hurt the national pride of Indians.
It is now part of the Legend of Jamsetji Nusserwanji Tata, the patriarch of the Tata industrial Group, who has commissioned the Taj Palace Hotel building in 1900 after being refused entry to the now-defunct Apollo Hotel, which had a strict Europeans-only policy. The hotel was deliberately built with its rear to the harbour in an apparent snub to the British Monarchy, who entered through the harbor. Now the terrorists have snubbed all Indians by causing massive destruction to the hotel.

As the first pictures of the live coverage of events at Taj and Trident were beamed across a nation, it was a shock to watch the complete chaos. There was no unified command and policemen were simply running helter skelter, with everyone talking on mobile phones. On Mobile phones !! It was apparent that there was not even a unified communication system in place. As usual the combined forces of the Army and Navy along with NSG commandoes brought order to the chaos and fought hand to hand to kill the terrorists. But by then the damage was done. Over 200 dead and 500 injured.


As details emerged slowly, more shocks were in place. After getting information on a shootout at CST by terrorists, the top three cops of Mumbai together went in a van. Together !! And became sitting ducks. With all due respect to the dead, this singular act of travelling together to face the terrorists shows the lack of processes and professionalism. More shocking was the news that the NSG commandoes had flown all the way from Delhi but had to cool their heels at the airport for hours together as there were no further instructions. Detailed plans of the Trident and Taj hotels were found with the terrorists but the commandoes did not have one. We saw the Taj burning for hours on without any sight of a fire truck. One came in after three hours. It took our Prime Minister 20 hours after the attacks to convene a cabinet meeting. It took 60 hours to eliminate all the terrorists.

The worst shock was allowing the visual media to beam the live images of the commando action. Someone has forgotten that the terrorists too might be watching TV and alter their plans accordingly. Even the helicopter dropping off commandoes on the roof top of Nariman Point was also beamed live.

No sooner than the operation ended, the blame game started. The central intelligence agencies say they have forewarned the state which neglected the warning. The warnings usually are something like this, “ Terrorists belonging to X, Y or Z group are planning to launch an attack from land, sea or air on important landmarks and busy public places in the next three months.” Which state will heed to such warnings, when on an average, small or big, a dozen terrorist attacks take place every month in some state or the other in the country.

Revolting it was to watch the politicians give sound bytes, blaming the ruling party and the ruling party defending itself and pointing out similar attacks in previous government. With crass insensitivity, even before the dead were laid to rest, our politicians jumped in to take political advantage of the incident. We Indians act like Ostriches, burying our heads in the sand so as to not see the obvious. Ringed all around with six countries – Pakistan, China, Nepal, Myanmar, Bangladesh, Sri Lanka- whose animosity and in some cases blind hatred towards India is open and whose support to several terrorist groups in India is an established fact, terror is here to stay for a long time. What we need is not statistics to determine under which party’s rule more were dead. What India needs is a strategy at the highest level to tackle terrorism. It might evolve this time, because the attacks on 26th were also directed at the mighty and powerful, who have been insulated from terror all along, as the terrorists always hit only the general public travelling in suburban trains, or shopping in crowded bazaars. There will be enormous pressure from this group on the governments to act decisively and plan thoroughly for the future.

For the time being Indians are heart-broken but strong in spirit as evident from the reopening of the Leopold café as a defiance within two days after the deadly attack on it. As news of its reopening spread, thousands descended on the café to show solidarity. Unable to manage the crowds, it had to shut down after two hours. Incidentally, the café is owned by a Muslim.
I pray to God to give strength in their hour of grief to those families who have lost their near and dear in the carnage. I salute the armed forces for their bravery and sacrifice.

Tuesday, November 25, 2008

Gals, Guys, Gays, Biceps & Buttocks


When does one realize that one has aged and out of touch with the world around. Well, when one doesn’t know how to react to a situation that appears normal to everyone around, but extra-ordinary to you, it is then you have aged. This revelation dawned upon me rather forcibly a couple of weeks back and reaffirmed a few days back. A couple of weeks back, I got into the office lift on a fine morning. A twenty-some girl also got into the lift and as the doors were about to close there was a flurry of activity outside and the door opened again. Another twenty-some girl came breezing in and in the same breath asked the other girl “ Did you get it done”. This girl started giggling and to my thorough panic and embarrassment lifted her shirt a few inches up to reveal a gold ring on the navel. Both of them immediately fell into an animated conversation and stepped out at their floor. I was completely flummoxed. Not with the act of showing off one’s navel’s accessory but for the fact that both these girls cared two hoots for my presence and didn’t even give a glance. I was thoroughly embarrassed for having invaded their private space—the office lift.
A couple of days back, another set of two girls and a guy in the twenties were having a chirpy conversation with a torrential non-stop flow with an equal mix of Hindi and English, which this younger generation seemed to have mastered. I was just a pace behind them waiting for the lift and tried to claw out some meaning. They were talking about a movie Dostana and “how John and Abhi pretended to be gays , locked their lips in a passionate kiss and how one of their mothers accepted it and John is sooooo cuuuute with his exposed butt”. What ? Butt ?!! Buttocks !! cannot be, I must have heard it wrong, I thought. At that moment, the guy turned his back to the girls, pulled the trouser down a good length to reveal his upper half of the butt. I was incredulous and could not grasp what he said and nearly got a fit when one of the girls gave a friendly whack at his butt and said, “ John’s is better.” As they were getting out of the lift, one girl turned halfway to me and gave that half smile may be indicating that all these Pats on Butts were common in their group and I was simply out of place. With an effort that would have got accolades from the very best poker players, with a dead pan face I smiled back in the same reassuring measure as if I witnessed these PoBs every day of my life. None of the others even glanced at me while walking out of the lift. I realized then that my aging was official.
As I mulled over this incident, I realized that the movie is the same whose poster I gawk at everyday while driving to the office to have my eyes full of the perfectly lipped ( no, no not a spelling mistake ) Oomph oozing, bikini clad Priyanka. My vision was so focused that I barely realized the two hunks on either side of her. I was in wonderment that two leading actors did not hesitate to act out as gays and even locked the lips. Amazing! More amazing is how causally these youngsters took to the movie and the concept. And above all butt bearing on the screen ! Over the years, I have watched the progression of the screen heroes move from biceps to triceps to six packs and flaunt the body sculpting in a song or a fight. But imagine someone going with a trouser half falling off, flaunting his butt. From now on, the screen hunks may also do all sorts of workouts to have a butt that is better shaped than his competitor. We may see a new breed of physical trainers and gyms with special equipment even for general Janatha. Anything is possible with these youngsters.
Same is the case with the latest Airtel mobile phone commercial with Sharukh Khan and Saif Ali Khan. With “I miss you so much”, groans by Saif boring deeply into the sockets of Shah Rukh’s eyes in the bath room and bed room, they give a gay touch. Actually, SRK is helping Saif to record a voice message to Kareena with a deep painful resonance , which he finally extracts from Saif with a blow at a strategic place. How times change ! And how much of change from Generation to Generation.
Sometime in mid 80’s, a Bombay Journalist has come out openly in an interview about his sexual preference which has created quite a stir. At that time even the elegant word Gay ( actual meaning is carefree / happy ) was not widely used and even the Press used to stick to the cruder version of Homosexual. Well, one evening I was nursing my drink in Hyderabad Press Club along with a friend when suddenly one of our common acquaintances walked to our table with a stranger. I got up, shook hands with the acquaintance and as he was introducing the stranger I began shaking hands with him. At the very moment his name and city were mentioned, I had this irrational urge to pull my hand back, rub the palm on to the trousers and just somehow not be there. However, with supreme effort and with a normal face, I completed the hand shake and indulged in polite conversation for a couple of minutes. Both of them noticed that they were not being invited to join the table even for a cursory drink and left. And that was me then, the liberal of the liberal belonging to Gen X. Any guy from this Gen Y would not have flinched and might have even hugged and kissed him.
I am astonished at this Gen Y gals, guys, gays for their obsession with biceps and buttocks and their amazing ability to convert instantaneously any space into their own private space.


Sunday, November 16, 2008

Comedian-in-Chief of the USA

Recently when I was talking to one of my friends Radhe, he mentioned that he watched a few days back the deadly one-liners of Bush on YouTube and he almost split into half laughing. While it is such a disgrace to America for having elected someone like Bush for two terms, on hind sight one may feel it is a historical necessity for future generations for centuries together to take this as an example of whom to never elect. Coming back to the one-liners, I just searched on the net and compiled a score of them to commemorate and commiserate his two terms. Here they are. Straight from the mouth of the Comedian-in-Chief of the United States of America

Health Hazard caution: Some may cause you to be sick to the last bone.



  • This is an impressive crowd—the haves and the have mores. Some people call you the elite, but I call you my base.

  • For every fatal shooting, there were roughly three non-fatal shootings. And, folks, this is unacceptable in America. It's just unacceptable. And we're going to do something about it.

  • I have opinions of my own, strong opinions, but I don't always agree with them.

  • I know the human being and fish can coexist peacefully.

  • I know what I believe. I will continue to articulate what I believe and what I believe - I believe what I believe is right.

  • I think war is a dangerous place.

  • I promise you I will listen to what has been said here, even though I wasn't here.

  • If this were a dictatorship, it would be a heck of a lot easier - so long as I'm the dictator.

  • It would be a mistake for the United States Senate to allow any kind of human cloning to come out of that chamber.

  • This foreign policy stuff is a little frustrating.

  • I'm the commander - see, I don't need to explain - I do not need to explain why I say things. That's the interesting thing about being President.

  • Our enemies are innovative and resourceful, and so are we. They never stop thinking about new ways to harm our country and our people and neither do we.

  • Do you have blacks, too? (To Brazilian President Fernando Cardoso)

  • When I was young and irresponsible, I was young and irresponsible.

  • You're free. And freedom is beautiful. And, you know, it'll take time to restore chaos and order - order out of chaos. But we will.

  • It is clear our nation is reliant upon big foreign oil. More and more of our imports come from overseas.

  • I think we agree, the past is over.

  • And there's no doubt in my mind, not one doubt in my mind, that we will fail.

  • We spent a lot of time talking about Africa, as we should. Africa is a nation that suffers from incredible disease.

  • I'm also not very analytical. You know I don't spend a lot of time thinking about myself, about why I do things.

Thursday, November 06, 2008

Obama Creates History In A Nation That May Soon be History

My first reaction to the US presidential election results was “Thank God! McCain did not win”. This World is not ready to tolerate another uncouth, ill tempered person who is completely ignorant of world affairs a la George Bush. Neither were Americans. Barack Hussein Obama, whose Muslim father was from Kenya and mother from Kansas has assured himself a place in American history, by being the first non-white American winning the US Presidential election. By electing Obama, the New Age American people have proved that they have come of the age of racism. John F Kennedy during the last year of his life 40 years ago predicted that a black person could be the President of the US in 40 years. He was ridiculed then. He is proved right now. The reasons for Obama’s easy win are numerous. The US and the World has witnessed 8 years of unprecedented hypocrisy, blatant lies and the US administration acting like a subsidiary of big corporations. The poisonous foliage called Bush has brought down the prestige and credibility of America to abyss. The last straw was the implosion of economy. The American public has put behind them their color prejudices and voted decisively for the 46 year old Afro American.
U.S. politics has never seen anything like Obama. The 46-year-old senator from Illinois had a change-oriented message that resonated with voters and a personal history he calls a uniquely American story. In spite of initial media ridicule about his race, name and antecedents, Obama has surprised even his worst detractors with his tenacity and youth following. His emphasis on need to change has resonated well with the beleaguered America. Obama will be the first Black man to walk into the White House as its master.
So what will happen after Obama takes over on January 20th , 2009. Nothing drastic will happen. At least not in his term or terms. Why not, one may ask. Obama has played well to the gallery by emphasizing on need to change without specifying what and who needs to change. The public who have been sick for the last several years with the Bush administration and its policies and paranoid of their future after the unprecedented financial crisis assumed something else will change which would be for better. Very few of them have realized it is they who have to change. Let me list out a few items where change is necessary and see if this is possible in the near term of say 20 years from hence.
1. The US government living off its treasury bonds by selling them to foreign nations should change. Its current debt is close to 3 trillion dollars and a lion’s share of it is from dictatorial countries in Middle East and China. At any given point of time, these countries can bring down the dollar to such a hyper-inflation stage that the US will buckle on its Knees.
2. The Americans living off on debt with utter disdain for borrowed money just for a wee bit more materialistic comfortable life should change their life style in line with their actual incomes.
3. Americans constitute 5% of the world population but consume 25% of the total energy. This needs to change.
4. Americans consume 900 billion calories of food every day, some 200 billion more than needed. Enough to feed 100 million people. They need to change their eating habits.
5. Americans throw away 200,000 tons of edible food each day. Because the food industry provides umpteen varieties of the same food item in the name of consumer choice, which are thrown out when they near the expiry date.
6. About 80% of the corn and 90% of oats are fed to livestock. 60% of available land is used for beef production. About 100 liters of water is required to produce one KG wheat where as 10,000 liters of water is required to produce 1 KG of beef. Agricultural priorities need to change.
7. Americans are just 5% of the World population but own one-third of world cars and produce carbon emissions equal to the rest of the world. This needs to change.
Now we know why nothing will change in the near short term or near long term. For any drastic change to happen suddenly in societies, countries and the World a cataclysm of event or events should happen. It could be as simple as oil producing nations refusing to deal with dollars and insisting on a more stable currency like Euro. This will lead to demand for dollar collapsing and since the dollar doesn’t have the backing of Gold standard, it could simply turn into worthless paper.
when one reads world history what strikes forcibly is that the people living in those times could never believe that the end was near. No Roman had believed during the height or decline of the mighty Roman empire that it would cease to exist. No English man believed, even in modern times, that the mighty British Empire where the Sun never sets will be bankrupt and crunched to its original pea nut size in a matter of a couple of years. No country or power is an exception to this nature’s law.
I only hope that Obama will at least lay the foundation for this change and the future leaders and future American generations will change the destiny of this once great country for better. If that doesn't happen --------
Amen !

Monday, October 13, 2008

FIRE Vaporises Global Wealth

I was never good with numbers in my school or college. Due to this drawback, I have never opted for any course in accounts or economics. So I just couldn’t understand in the beginning the recent global financial crisis and because of not having any knowledge on this matter, I stayed away from blogging. However, as reams and reams are being written daily, it slowly dawned on me that there is a close connection between these banks and myself. The connection is Fraud and Forgery. You see my father was an old fashioned parent who believed that making money freely available to children would spoil them. So he would give certain fixed pocket money monthly and insisted on proper accounts to be submitted during every semester holidays. That posed a huge problem to me as the 20 movies I used to watch on average a month and the 2 packs of cigarettes a day could not be accounted for as they were and also the pocket money was never sufficient. So I used to replace movies with masala dosa and cigarettes with chilli bhaja while accounting and show huge unexpected expenses for books and other study material, the money for which I used to claim was borrowed from friends. To receive a feel good fat cash bonus before returning to the college after holidays, I used to tamper the mark sheet from college. This is nothing but Fraud and Forgery for personal gains. I realized that these giant financial corporations have done the same. Fraud and Forgery for personal gains. So we have a common thread and I can now freely blog.
My Fraud and Forgery continued taking it to the next level as I moved up a year in the college the expenses too have increased. My father got suspicious and looked so close into the accounts as to find out in person the cost of masala dosa and chilli bhajja. He also approached the college office to compare the actual marks with the declared marks. The result. Severe financial restrictions were imposed and I had to qualify with concrete evidence to whatever I said from then on. I quickly fell in line.
It is sad to see that governments didn’t have same common sense as my father, a school drop out had. They have given away trillions of dollars of tax payers’ money as a bail out gift to these mega corporations instead of punishing them for their crimes. In the name of saving the economy, governments world over have pumped in trillions of dollars, in lieu of worthless paper. Even on the brink of bankruptcy, the power of these mega corporations to influence the decision making of governments is mind boggling.

All these years, these corporations pressurized government after government to deregulate and have little or no government intervention at any stage. This process, the banking gurus said, was essential and essence of capitalism and free markets. The result. The combined greed and fraud of Financial Institutes, Insurance sector and Real Estate ( FIRE) has vaporized wealth across the globe.

So what really happened. The Real Estate sector banked heavily on continuous price appreciations and built excess capacity. The people too banked heavily on continuous price rises and bought houses they could not afford because the banks were giving loans 100% of the cost. These banks then bundled up these mortgages as bonds and sold them to other banks all over the World. The Insurance companies guaranteed these mortgages as well as loan repayments for a commission. When people wanted to sell the houses for a profit after some time, they realized there were no takers in the market because every Tom, Dick and Harry had a house. Prices crashed, millions of people defaulted in EMI payments and the mortgages have suddenly become worthless papers. Not knowing which bank had how much of this toxic debt, banks refused to extend any credit to each other. Starved of liquidity, bank after bank went bankrupt. The infusion of trillions of dollars by governments will only act like a drip to a dehydrated patient and not as a fuel for a rebound. The Stock markets , as usual operate only on two factors. Fear and Greed. This time fear has set in and the market wealth of all the companies has just vaporized by more than half, thanks to FIRE.

The lesson we have to learn is that while the concept of free markets is good and that of government controls bad, the operation of free markets almost without any kind of oversight or control (which is what happened on Wall Street where government restrictions were over the years subverted by lobby-driven legislation) is doomed to lead to catastrophe. This is not the first time this has happened, and it will not be the last unless the governments take some tough measures. The governments at least now should ensure that the Financial Institutes come out clean and arrive at the truthful value of assets they hold. New mechanisms should be in place to ensure transparency in book keeping and severe punishments for those CEOs and Boards who inflate the profits for personal gains.
Meanwhile, let us all brace for a severe credit crunch and an economic slowdown, if not recession.

Friday, September 19, 2008

Fortune For 500, Misery For 5 Billion

The global economic power of giant Trans Continental Corporations has grown to the point that they have become bigger than most of the countries where they do business.
Altogether, of the 100 biggest economies in the World, 40 are countries and 60 are corporations. The world's Fortune 500 companies last year earned one-third of the World GDP of 70 Trillion dollars.
Anyone would assume that with such a large revenues, these 500 companies would have employed a substantial portion of the world’s workforce. We will be shocked to know that all these companies together employ less than 20 million out of an available 3 billion workforce, according to the Washington based Institute for Policy Studies (IPS). According to IPS, about 5 billion people, close to 80% of global population together earns less than half of the earnings of these companies.

If we look at the topmost 50 companies of these 500, it is evident why most of them are at the top. Their earnings are from natural resources. Oil, ore,minerals and metals and their by products like steel, aluminum, and power. These natural resources belong to the countries which means people, but these are given away for long term lease or sold at throwaway prices by the governments. For example, in 2004, oil was $ 25 and in 2008 over $100 a barrel. Was there any additional investment or additional employment generation between 2004 and 2008. Nil. Same is the case with iron ore, aluminum, coal, lime stone where prices have trebled. The iron ore mining companies in India used to sell the ore in 2004 at $35 a ton and pay 50 cents to the government as cess. In 2008 the ore is selling at $ 140 a ton but the companies continue to pay 50 cents only because of the long term lease contracts. If we look at the soaring profits of similar companies across the World, it is evident that the situation is same everywhere. And who bears the brunt. Billions of people suffer with rising costs and billions of windfall profits are pocketed by these companies.

Corporate globalization continues to increase at a hectic pace. The elixir of corporate is growth ... unquenchable growth. And profit. It’s imbedded in their genes. So these Trans Continental Corporations do everything in their power to grow and get profits. And power is one thing they have in abundance. Unlimited power with heads of governments wringing their hands at World Economic Forum and pleading for investments, offering huge tax breaks, huge tracts of land and a host of concessions. The Heads of State know clearly that while they govern a State, it is these Corporations that rule. In this process, these Trans Continental Corporations transcend responsibility to nations, people and employees. A Union Carbide can brush away with impunity the biggest and the most horrible industrial disaster with just $500 compensation to each of the surviving victims. And then one fine day it disappeared from the face of the earth. Just like that with a merger. A Dow Chemicals can refuse to clean up its shut down factory full of deadly chemicals , yet governments clamber over one another inviting it to set up business in their states. A Chiquita Brands International, the US company engaged in Banana business in Columbia , can get away with just a $ 25 million compensation to the hundreds of families of victims who have been killed by rebel forces in Columbia who were funded for a decade by the company to protect their business from disruptions. A Tata Motors can get away from moving a project to another place at a loss of 1500 crore rupees but consistently refuses to pay a few crores as additional compensation to 400 farmers whose land was acquired forcibly by the government for the project. That too after 40 people agitating for additional compensation were killed. The Sanlu group in China, biggest maker of milk powder can get away with mixing melamine in the milk powder resulting in 10,000 children becoming sick and 500 babies dying of acute kidney failure. After a mega merger, a giant corporation can get away with firing thousands of its employees by declaring “ these positions have become redundant”. Positions not people. These are not isolated incidents but regular happenings across the World. It is evident that these corporations transcend responsibility to nations, people and employees. So to whom are they responsible. The oft repeated remarks of the spin doctors of these corporations is that they are responsible to their investors is another sham. The investors are mega financial corporations who hold large chunk of stake in these companies. The retail investors are miniscule and a necessary evil who have little say or knowledge of their companies operations. In a recent AGM of Reliance, when one shareholder questioned Mukhesh Ambani how and why he is building a 27 floor billion dollar home for himself and how he could gift his wife a Jet with company money, he was asked to sell his shares and move on if he doesn’t like what the company is doing. Anyway, not even one per cent of the world population invest in companies. In effect, these corporations are responsible to no one. Trillions of dollars at their disposal and unbridled power derived through that money without responsibility to anyone. What a deadly cocktail !
And what do they do with this power. They use it to corner more profits. Take for example the carbon credit system. It was originally conceived to encourage the big corporations to be eco friendly by reducing pollution. How is the system in the current form. Carbon credits can be traded internationally, which means these big corporations continue to pollute but will buy the carbon credits from smaller companies. They have made a mockery of the system.
The most influential business group advising government on US-EU commercial relations', the Transatlantic Business Dialogue (TABD) consists of 100 CEOs of these most powerful corporations. When presidents, prime ministers and other heads of state meet at the World Trade Organization, this more permanent group provides its agenda. It is apparent that WTO is toying TABD agenda of watering down environment, consumer and worker protection laws in selected nations under the guise of binding free trade agreements that give them complete freedom to move their goods and capital across borders.
If WTO has its way, here's an example of how it works. Years ago a US Pharma giant has manufactured defective heart stents which cracked, killing close to 200 patients in whom they had been implanted. However, they had been cleared by the US Food and Drug Administration. So even though India has far superior heart stents, we cannot stop these defective stents from being dumped into our market . If we do WTO imposes trade sanctions on us. Neither can any nation stop Genetically Modified food products.
The most sinister thing is these Corporations control the media. Most of the television media ,movie industry and great part of print media are owned by these corporations either directly or through subsidiaries. About 80% of commercial television time , which actually sponsors TV programs is bought by them. The result -serious issues that affect these corporations are trivialized in TV media and buried deep inside newspapers. In affect, these corporations control our awareness of issues and influence the thought process. One of the best examples can be the Al Gore- Bush election. Major TV stations announced first of Al Gore win but within hours changed their stand and bombarded the viewers for weeks on Bush win. The reasons are fairly clear. Al Gore is eco friendly, is conscious of energy crisis which is unpalatable for big corporations. The fact that the perception of millions of people has been reversed or at worst confused at the bidding of these corporations to place oil friendly person to the highest of the office in itself tells the power and reach of these corporations.
The stark reality that Trans Continental Corporate rule has replaced democratic government rule is the single most important issue we now face. It will take great courage and common global action to challenge and overcome this monstrous threat to the well-being of the vast majority of humankind--and even to the planet itself.
It is predicted that by 2025 World will be full of robots. There is every possibility of this being a reality though not with the mechanical / electronic robots. But we the human beings will be robotized in our thought process and shepherded along the highway to an Orwellian night mare by these faceless Corporations for whom profits alone is reverent. Everything else is irrelevant.

Monday, September 08, 2008

Politics for Power on Power

As expected the Opposition has continued to cry foul on the Nuclear Deal notwithstanding the 45 nation Nuclear Supply Group has given a green signal for nuclear trade with India. The main point for the Opposition is that India cannot conduct nuclear tests in future. But no one clarifies why there is a necessity for us to conduct tests in future, when we have already conducted two in the past and world wide a self moratorium on tests is on. The nuclear bomb technology is so perfected that more tests are simply not needed. This is nothing but politics for power on nuclear power.
India is in dire need of electricity and is currently has a shortfall of one lakh Mega Watts, almost 10% of the entire production. If the country has to grow at the current rate of 8 to 9 % year on year, experts estimate that it needs an additional million MW by 2020. And we have run out of options. Chances of increasing the hydel power are slim due to large scale submersion of fertile lands, displacement of people, and stiff opposition from environmental activists. Our coal reserves last just for another 50 years and most importantly coal based thermal power plants pollute. The carbon emissions from the coal based power plants are high. Currently, every new plant that is coming up is dependent on imported coal, a drain on the forex reserves. We have very few natural gas reserves and in Andhra Pradesh, 4 gas based power plants have not yet been commissioned for want of gas linkage even after a decade. The wind and solar power have its own limitations. We have no option except to go for nuclear power. The current Prime Minister had the courage to look beyond his term, into the future needs of this country. Bravo!
The USA gets 25% of its power from nuclear power plants. The French gets 80% of their electricity through nuclear. India gets just a meager 3% from its nuclear plants.
With a growing economy, a population explosion, increasing energy demand, limited availability of conventional sources, and a strong consensus for environmental protection, India is harnessing energy ranging from jatropha biodiesel to atomic power. This is the only country in the World to have a separate ministry for non-conventional energy sources.
Efficient, reliable and environmentally sustainable energy supplied to each household at the least possible cost is a dream of Indian government. While successive Central governments have been seeking energy security by 2012 for India, the current government went further to prescribe “Energy Independence” by 2030.
Though commercial primary energy consumption in India has grown by about 700 percent in the last four decades, India’s present level of energy consumption, by world standards, remains very low. The current per capita commercial primary energy consumption in India is about 350 Kilograms of Oil Equivalents per year (kgeo/yr) which is well below that of world average of 1,690 kgeo/yr. By 2010 per capita energy consumption is expected to increase around 450 kgoe/yr. Compared to this, the energy consumption in China is 1,200 kgeo/yr, Japan is over 4,050 kgeo/yr, South Korea is 4,275 kgeo/yr, and the US is 7,850.
We have a long way to go. And nuclear power is the only way.

There are 15 nuclear power reactors in operation in India. Most of them are operating at 30 to 40% of their capacity for lack of fuel. In addition eight more nuclear power reactors are currently under construction, and another 8 mega plants on the drawing board. We need equipment, fuel and other related things urgently. The urgency the government is showing to clinch the deal with the US and NSG is commendable.

Contrary to misconceptions, Nuclear energy is a clean energy with no emissions except water vapor. Nuclear technology has vastly improved over the years and another Chernobyl is not a distant reality. The nuclear waste that is generated over the years can easily be stored, buried deep in the desert. When we can conduct actual nuclear bomb tests deep down in the desert, we can easily store a few hundred drums of nuclear waste in the desert.

This government, especially the far sighted Prime Minister deserves kudos and the opposition all the boos.