Saturday, October 14, 2017

A ‘women-centric’ approach for gains in nutrition

India has won significant battles against malnutrition. Unlike a few decades ago, instances of severe malnutrition such as kwashiorkor and marasmus are now rare. Latest figures from the National Family Health Survey revealed that there has been a ten percentage point decline in stunting from about 48 per cent in 2005-06 to 38.4 per cent in 2015-16. However, national figures mask regional variations. On the one hand, there are states like Kerala and Goa which have a low burden of undernutrition. On the other hand, there are states like Bihar, Uttar Pradesh, and Madhya Pradesh which have a high incidence of undernutrition.
Within the states also, there is considerable variation. Despite stunting levels in Odisha being 34.1 per cent (also known as “high prevalence”) certain districts such as Cuttack (15.3 per cent) and Puri (16.1 per cent) are among the top 10 “low stunting level” districts in the country. Similarly, in Karnataka, districts like Mandya have stunting rates as low as 18.6 per cent while others like Koppal have levels as high as 55.8 per cent. However, overall India’s record in addressing undernutrition has been much poorer when compared to other countries in South Asia such as China, Thailand, and Vietnam. Thus, the war against undernutrition is hardly over and meeting the World Health Assembly targets will be an uphill task for India. Moreover, the problem of undernutrition in India coexists with the problem of overweight and obesity and associated non-communicable diseases for a small section of the population which is affluent. The Observer Research Foundation and the Bill and Melinda Gates Foundation organised a consultation on malnutrition with some of the best experts in the country to explore the reasons behind India’s poor performance in addressing undernutrition and suggest appropriate policy interventions.
Although India has a plethora of policies and schemes to reduce undernutrition, there has been a basic flaw in our approach. The discourse on undernutrition in India has been “food-centric” or in recent years, “ICDS centric”. Social determinants of undernutrition have largely been ignored, particularly, the role of women. India needs a more “woman-centric” approach towards tackling undernutrition for it is not food but birth which determines whether a child will be stunted or not. In Purnima Menon’s words, “the biggest risk factor for being stunted is who you are born to”. Stunted children are born to mothers who are also stunted, uneducated, and not empowered enough to take care of their children. Therefore, nutrition policies must try to address the key determinants of undernutrition such as women’s body mass index, women’s education, early marriage, and access to ante-natal care.
A multi-sectoral approach towards nutrition is the need of the hour because narrow departmentalism has been a critical constraint in case of India. It is important to understand that nutrition does not belong to any one ministry. Nutrition outcomes tend to be better in areas where public investments have also been made in primary education and health centres along with nutrition interventions.
Amarjeet Sinha, secretary, ministry of rural development, stressed that a whole range of initiatives: better sanitation, clean drinking water, and trained rural medical practitioners are required in Indian villages for better nutrition. China offers a good example for India. In China, there was a dramatic reduction in child undernutrition and infant mortality between 1949 and 1979. Not one but a number of initiatives were behind China’s success.
First, the green tea kettle in school enforced the habit of making everyone drink boiled water. Public health facilities were improved through immunisation against diseases and training of traditional doctors. Lessons must also be learnt from better performing states and districts of India. Sinha also underscored the role that communities play in improving the nutritional status of the population by highlighting the successes of women’s self-help groups in states like Tamil Nadu.
Moreover, over half of the Indian population is deficient in micronutrients. This is mainly because of a cereal-based diet. Carbohydrates account for over 80 per cent of the diet along with small portions of fat. The bulk of the population is completely deficient in proteins and micronutrients. Thus, promoting dietary diversity through nutrition literacy and widening of the food basket under the public distribution is of utmost importance.
Here are four recommendations for India. Firstly, nutrition policies must take into account the role of social factors, particularly gender inequality. It will be next to impossible to address the challenge of undernutrition without addressing the key issues of early marriage, lack of control over child birth, and poor health of mothers.
Most nutrition interventions must be targeted to two age groups: children between 0-1,000 days and adolescent girls. This is so because the first 1,000 days are crucial for the baby. Undernutrition during this period can have profound implications on the development of the baby into a healthy adult. Similarly, it is important to target adolescent girls because they are likely to be the future mothers. Second, to address the issue of diabetes and micro-nutrient deficiency, it is important to invest in improving nutrition literacy in India. Thirdly, the basket under public distribution system must be widened to include pulses, and processed fruits and vegetables to ensure dietary diversity. Lastly, linking agriculture to nutrition is critical. Farmers must be encouraged to produce nutritious crops and vegetable not only for the market but also for household consumption.

This article originally appeared in The Asian Age

Wednesday, September 13, 2017

I really need to be sent off for re-education

I really need to be packed off for re-education. I am finding myself to be quite unsuitable to live in ‘modern’ India. My education, a PhD in economics from Jawaharlal Nehru University (Oops!) has rendered me completely incapable of understanding what the hell is happening in this country. A very highly qualified woman scientist, Medha Khole (we routinely complain that there aren’t many women in STEM) working for the Meteorological Department in Pune had filed a police complaint against her domestic help for hiding her caste and her marital status. In her police complaint, she said she needed a Brahmin married woman, whose husband is alive, to cook food at her house for religious ceremonies. Wow. I mean really…Wow. I am not oblivious to India’s reality. I know discrimination on the basis of caste and gender is quite common in India even among the so called educated urban elite. Most Brahmins do not eat food prepared by dalits especially during religious ceremonies. I am also aware of the discrimination that exists on the basis of gender. Married women whose husbands are alive and have borne sons are on top of the social hierarchy. What went against her the cook was not only the fact that she was not a Brahmin but also that she had lost her husband. As an informed social scientist, I am aware of the low status of widows in India but what astonishes me is that she went a filed a police complaint! I mean, just what happened to the good old Indian hypocrisy? Such a blatant caste and gender discrimination! Hail our education system. One can actually become a scientist without knowing anything about the struggle against caste and gender discrimination and the Indian constitution. Just what kind of educated women is this system creating? 


The story doesn’t end there. Apparently there is an organization called the Akhil Bhartiya Brahmin Mahasabha which decides to support her. A certain Mr Dave from Akhil Bharatiya Brahmin Mahasabha, speaks in her favour and feels that she has every reason to feel cheated because her family tradition goes back to 80 years. He also insists it is the government which is keeping the caste system alive through reservations in government jobs. The solution according to him lies in getting rid of the reservation system. I mean really, just what weed are all these people smoking???

There really is no point in educating women if they have to grow up to be like Medha Khole. We also don’t need any more women in science who have an unscientific mindset. I am more ashamed to know that a widow had to lie about her caste and marital status to earn a livelihood. This is really a denial of the right to life. But then scientists like her who spent hours mugging theorems and formulae and conducting experiments inside laboratories are not as vella as us social scientists are. They really don’t care about India’s constitution anyway. They have better things to do. But Mr Dave is actually right. There should be no reservations in jobs. And here by jobs I mean, not only the government jobs which he and other upper caste snobs of his ilk aspire for, but also the kind of jobs that poor dalit widows apply for. There should be no reservation for jobs to clean, cook etc even in religious places and ceremonies.

Do I make sense? No? I definitely do need re-education. I want to know where Ms Khole and Mr Dave studied.

Sunday, September 10, 2017

China’s rapid growth in Africa: Lessons for India





China’s rising economic interest in Africa has caught the attention of scholars, journalists, and policy makers all over the world. Although the literature on China’s role in Africa has proliferated remarkably, most studies present a dichotomous understanding of China’s role in Africa, either as a ‘threat’ or as an ‘opportunity’. In fact, some scholars have even labelled Chinese economic engagement with Africa as the ‘new scramble’ for African resources. On the other hand, there are scholars, who regard China as the new economic frontier which is making a great contribution towards African development. Within India, many experts routinely emphasise the need for India to counter China’s growing influence on the African continent by building closer links with Africa. Others have expressed concerns over ‘China’s deep pockets’ and India’s inability to match China’s soft loans for infrastructure. Sadly, there is very little Indian scholarship devoted to the issue of China-Africa relations. Given the importance of both China and Africa for India, this is indeed quite disappointing.
This article tries to highlight some features of Chinese economic engagement with Africa which are often ignored by Indian scholars.
Firstly, Chinese economic engagement with Africa is not limited to resources. Although trade in resources such as crude oil and copper account for the bulk of trade between China and Africa and China has sanctioned infrastructure for resource loans worth billions of dollars to countries resource-rich countries such as like Angola and Democratic Republic of Congo, it would be wrong to dismiss China’s growing economic engagement with Africa purely as a means of acquiring resources. There are many African countries which lack resources, yet their economic ties with China are growing like never before. Ethiopia, an agricultural country in East Africa, is a case in point. The Ethiopian case completely rebuts the argument that China’s interest in Africa is limited to resources. Bilateral trade between Ethiopia and China grew at a rate of 63 per cent per annum between 2002 and 2012 and currently China is the country’s largest export destination. It is interesting to note that sesame seeds, a product, which has been, introduced in Ethiopia recently, accounts for about 85 per cent of the exports to China followed by leather and leather goods. Moreover, contrary to the belief that only oil producers like Nigeria, Angola, Sudan, and Equatorial Guinea, have been major recipients of Chinese soft loans, Ethiopia has also received huge volumes of Chinese loans for infrastructure. According to figures from China Aid Data, the total value of Chinese official financial flows to Ethiopia was about US$ 3.6 billion in 2012. Ethiopia has also been a major recipient of Chinese foreign direct investments. Chinese investment in Ethiopia is dominated by the private sector and is primarily directed towards the manufacturing sector, particularly the leather sector.
Secondly, China is making a huge economic impact on Africa through trade, development finance, and investment flows. Demand for African exports was one of the most direct channels through which China penetrated Africa. Chinese demand had a huge quantitative impact on most African countries and led to an unparalleled growth in exports from countries such as Angola, Democratic Republic of Congo, and Ethiopia. In fact, Chinese demand was significant enough to affect world prices, and led to improvements in terms of trade for these countries. Therefore, the emergence of China as the main export destination played an important role in reviving their economies during the 2000s. Sub-Saharan Africa’s exports to China grew remarkably from 2000 onwards, at a compound annual growth rate of over 22 per cent and by 2013, it exceeded sub-Saharan Africa’s exports to the United States.
Indian experts rarely regard Africa as a market for Indian manufactured products and prefer to focus on India’s long-term commitment to African development, development cooperation initiatives like Indian Technical and Economic Cooperation (ITEC) and Lines of Credit (LoCs) as well as the need for African votes for a permanent seat in the United Nations. On the other hand, China has effectively penetrated the African market. Imports from China overtook the US in 2004 and by 2013; China’s share in sub-Saharan Africa’s imports was about 14 per cent. There was a dramatic growth in imports of Chinese manufactured goods early 2000s onwards and China is now sub-Saharan Africa’s largest source of manufactured products. There was a dramatic growth in Chinese manufactured exports to countries such Angola and Democratic Republic of Congo, countries known for the huge ‘infrastructure for resource’ loans from the Chinese Export Import Bank. In 2009, China accounted for just 2.9 per cent of Angola’s manufactured imports but by 2013, China replaced Portugal as the largest source of manufactured goods for Angola with a share of 38.9 per cent. Similarly, Democratic Republic of Congo’s imports of manufactured goods from China have grown tremendously and China now accounts for over a quarter of the country’s manufactured imports. Ethiopia’s case is particularly unfortunate because India has lost market share to China. In 2000, India was the largest exporter of manufactured goods to Ethiopia with a share of 19.1 per cent followed by China at 13.1 per cent. However, China overtook India in 2003 and by 2012, it accounted for over 31 percent of Ethiopia’s manufactured imports, whereas India’s share declined to 14.9 per cent. China currently accounts for over 50 per cent of Ethiopia’s imports of leather manufactures, textile yarn and fabrics, and cork and wood manufactures and nearly 90 percent of Ethiopia’s footwear imports.
Similarly, Chinese investment flows to Africa have also increased rapidly in recent years. According to the World Investment Report 2016 published by United Nations Conference on Trade Development (UNCTAD), China was the fourth largest investor in Africa in 2014. China’s foreign direct investment stock increased more than three-fold from USD 9 billion in 2009 to USD 32 billion in 2014 and China overtook South Africa as the largest investor from a developing country in the region. While most of the Chinese investments in Africa are indeed led by large state owned enterprises which typically invest in infrastructure and resource sectors, increasingly a large number of private Chinese enterprises have also set up operations in many African countries. Scholars like Jian-Ye Wang and Jing Gu assert that increasingly it is the Chinese private sector, rather than government ministries, which is the leading China’s economic intercourse with Africa. Chinese private sector enterprises typically invest in the manufacturing and service sectors.
Proximity to Europe and access to cheap labour are important pull factors in the case of African countries like Ethiopia. The presence of India’s private sector has also grown very rapidly but the actual volume of Indian investments in Africa is much less than reported by the Indian media. This is largely because the bulk of the Indian investments in Africa are directed towards Mauritius, a tax haven, and is round-tripped back to India.
However, the most striking feature of China-Africa relations is the unprecedented growth of official finance from China to Africa. Although conceptual differences make comparisons between Chinese development finance and official development assistance from Organisation of Economic Cooperation and Development (OECD) countries difficult, many estimates suggest that Chinese financial flows to sub-Saharan Africa are now comparable in scale to traditional Official Development Assistance (ODA) from OECD countries. Chinese finance is predominantly channeled through China’s Export Import Bank in the form of concessional loans for infrastructure development. Chinese companies are also building vital infrastructure including, dams, ports, roads, railways, and bridges in Africa. According to a study by the World Bank, over thirty five African countries have engaged with China on infrastructure finance deals. Given sub-Saharan Africa’s critical shortage of infrastructure, this is China’s biggest contribution towards African development. Indian LoCs are largely directed towards infrastructure development in Africa, but it is quite clear that India cannot match China in terms of scale. Therefore, India’s development cooperation must be directed towards a few niche areas. India also needs to ensure better implementation of its lines of credit which often suffer from project delays.
In a nutshell, potential gains from closer economic ties between India and Africa have not been realised fully. To revive its manufacturing sector and create jobs for the youth, India needs a more active strategy to expand its manufacturing sector. India’s ailing manufacturing sector really can’t afford to ignore the Africa’s growing middle class. Secondly, given that India can’t match China’s deep pockets, its development cooperation must be more strategic. India needs to focus on a few niche areas and ensure better implementation.
(Originally published in China Chronicles, ORF)

Thursday, July 4, 2013

Can we have a more informed debate on food security both inside and outside the Parliament?

 Frankly, I am taken aback by the quality of discussion on food security that is taking place. On the one hand are our politicians who have continually disappointed us and this time is no different. The government has suddenly woken up from its sleep and decided that it will once again get into the business of governing India. The principle opposition party has openly declared elections and their more bothered about petty things. But what I find most disturbing is that the media is not engaging in a constructive debate on a matter that concerns more than 70% of India’s population. Most of the discussion in the newspapers is unfortunately not well researched. For instance, Mr. TK Arun writes in the economic times that “number of empirical studies show that hunger is no longer a major worry for the vast majority of Indians (4% are hungry), but over 40% are malnourished”( http://economictimes.indiatimes.com/opinion/columnists/t-k-arun/a-dozen-alternatives-to-food-subsidy-for-improved-welfare-of-the-poor/articleshow/20907793.cms).

He does not cite the empirical studies neither does he explain what is his definition of hunger. Generally undernourishment is considered a part of hunger. It is interesting to note that way back 2011, economic times had reported that countries like China and Pakistan ahead of us in the Global Hunger Index published by the International Food Policy Research Institute (IFPRI) (http://articles.economictimes.indiatimes.com/2011-10-12/news/30270931_1_global-hunger-index-hunger-levels-india-ranks). Either Mr. Editor does not read his own newspaper or he grossly underestimates its readers!

Time for some facts. Is hunger really not an issue in India as the likes of Mr. Arun would have us believe? Firstly, what exactly is hunger? Hunger refers to the discomfort associated with lack of food. Food and Agriculture Organization (FAO) defines food deprivation as the consumption of fewer than 1800 calories which is regarded as the minimum that most people require to live a healthy and productive life. According to FAO’s World Hunger Map, 18% of the Indian population or about 217 million people are undernourished (http://faostat.fao.org/site/563/default.aspx).

 In the Global Hunger Index (GHI) Reports, “hunger” refers to the index based on the following three indicators:
1.      Undernourishment - proportion of undernourished people as a percentage of the population
2.      Child underweight - proportion of children younger than age five who are underweight
3.      Child mortality - mortality rate of children younger than age five
GHI ranks countries on a 100-point scale in which zero is the best score and 100 the worst.

According to the GHI Report 2012, India ranks 65th out of a total of 79 countries and its GHI score is 22.9 which implies that hunger levels in India are ‘alarming’. India has lagged behind in improving its GHI score despite strong economic growth in the past two decades. During the period from 1990 to 2012 when India’s per capita GNI more than doubled, GHI score improved by only 24%. A quick comparison of GHI scores across countries reveals that India ranks way below her neighbours China (2nd), Sri Lanka (37th), Pakistan (57th) and Nepal (60th) in the GHI index. Moreover, 28 Sub-Saharan African countries are ahead of us. Even strife torn countries like Sudan (61st) rank ahead of us.

According to the MDG India Country Report 2011 published by the Ministry of Statistics and Programme Implementation (MoSPI), India is likely to miss the millennium development goal of halving the proportion of people who suffer from hunger. Therefore, which empirical studies are being relied upon to say that hunger is not a major worry for India is not clear at all?

P Sainath has compared the ruling classes of India who pursue business friendly policies while cruelly neglecting the poor with Nero’s guests. It is high time the Indian elite stop acting like Nero’s guests and the media stop misinforming us so that we can clearly see the alarmingly high levels of hunger present in India. Such high levels of deprivation cannot be acceptable in a civilized society. India needs a more a more informed debate on food security both inside and outside the Parliament which considers all the concerns of the opposition parties, farmers groups, civil society and academia and then the enactment of food security bill which improves the lives of millions in India and gives them a dignified life. Is anybody ready to rise up above petty politics and short term gains?

Thursday, June 7, 2012

Challenges and solutions for a sustainable future


Sustainable development has been the overarching goal of the international community ever since the United Nations Conference on Environment and Development (UNCED) in Rio in 1992. However, two decades on, the world is far from realizing the bold vision set forth in Rio. Today, we continue to struggle with the grave challenges of climate change, food and energy security for a growing population, high levels of poverty and deprivation in the developing countries, and rising global inequalities.

So, what are the underlying factors behind our less than satisfactory progress on sustainable development? And what steps can we take now to make truly sustainable development a reality?

The Obstacles
Extreme poverty and inequality have stalled progress: Despite the vast amounts of wealth currently being produced, about 22.4%  of the world’s population lives on less than $1.25 a day.Out of 84 countries with available data on Millennium Development Goals, 40 countries are not on track to meet the poverty reduction target (World Bank, 2009). On the remaining targets as well, sub-Saharan Africa shows very little progress. According to the Report on the World Social Situation 2010, 963 million people or about 14.6% of the estimated world population of 6.6 billion are undernourished. This extreme poverty and inequality is a key factor in the failure of sustainable development because poverty eradication, food security, universal access to modern energy services, public health and employment generation are the overriding concerns of developing countries. Therefore, for future success, poverty alleviation and equity should be placed at the centre of sustainable development efforts at Rio+20.

International discussions on sustainable development have failed: The international discussions on sustainable development are beset by a lack of trust between developed and developing countries. This lack of trust reflects a lack of appreciation of the domestic political commitments and constraints on both sides and makes implementation of global commitments on sustainable development impossible. The problem of trust stems from the huge gap in finance and technology between the developed and developing worlds. Agenda 21, an outcome of the UNCED in Rio in 1992, argued that financing for sustainable development and technology transfer are the two key means of implementing sustainable development, along with education, training, public awareness, science and informed decision making. Official development assistance can be a vital source of external finance for many developing countries for implementing renewable energy projects and providing energy access to the poor people.

However, inadequate financing remains the biggest obstacle to sustainable development in poor countries. Without financing from developed nations, developing countries will not be able to mobilize the resources for the additional investment needed to promote sustainable development. In addition, most developing countries have poorly developed markets for long-term domestic financing for development projects and a weak fiscal basis, which further limits the scope for substantial increases in domestic funding. So, provision by the wealthy nations of new, stable, predictable financial resources to support implementation activities in developing countries is essential for the achievement of tangible outcomes. Unfortunately the developed countries have failed to meet their commitments to help developing countries meet the sustainable development goals set forth in Rio. Most of the developed countries have not allocated 0.7 per cent of GDP to aid for developing countries which was first pledged in a United Nations General Assembly Resolution in 1970. Since then the target has been affirmed in many international agreements including the March 2002 International Conference on Financing for Development in Monterrey, Mexico and at the World Summit on Sustainable Development held in Johannesburg.

Moreover, a huge technological gap exists between developed and developing countries. Although a few large developing countries such as China, Brazil and India possess the ability to undertake technological efforts on their own, the majority of the developing countries are not in the same situation. Therefore, for the world to move onto a path of sustainable development, developing countries would require access to technology at affordable prices. However, there has been little technology transfer from developed to developing countries. The focus of implementation has generally been on creating conditions in developing countries conducive to foreign investment and building capabilities to absorb and utilize imported technologies. Currently a large body of technological information is held by the private sector which is in turn, dependent on intellectual property income. Therefore, the intellectual property regime is a decisive determinant of technology diffusion. Available evidence points to a centre-periphery character in technological evolution where firms from developed countries are the main holders of intellectual property rights and developing countries are technology followers. Existing IPR laws are not able to distinguish between countries at different stages of development in ways that might help IPRs to fully contribute to development objectives.

We reward the wrong activity – Another major cause of concern is that governments all over the world continue to spend huge amounts of resources to subsidize environmentally unsound practices in agriculture, energy, water and transportation. The subsidy system is now deeply entrenched in political systems worldwide. According to IEA (2011), fossil fuel consumption subsidies amounted to $409 billion in 2010. However, only 8% of the $409 billion spent on fossil-fuel subsidies was distributed to the poorest 20% of the population. A major shift in subsidies is needed in which governments work to reduce the initial costs and risks associated with implementation of sustainable practices such as solar and wind energy.

The Way forward
We must redefine the concept of development. The priority given by political leaders to GDP growth tends to crowd out sustainable development concerns. The predominant economic growth agenda has increased material wealth of a small section of society at the expense of growing ecological scarcities and social disparities. For instance, a major weakness in India’s growth story is that it has not been sufficiently inclusive and has come at the cost of overexploitation of the country’s resources. India’s performance in poverty eradication is very disappointing. According to UNDP’s Multidimensional Poverty Index (MPI) 53.7% of India’s population is poor (UNDP, 2011). Nations all over the world need to intensify their efforts to improve the lives of the poor and provide for basic needs such as education, nutrition, health care services, adequate shelter and a clean environment. Thus, the political goal must shift from maximizing growth rates to improving the lives of the people. This shift necessitates alternative indicators of development, such as the UNDP’s Human Development Index (HDI), the UN system of Integrated Environmental-Economic Accounting (SEEA) and the OECD’s initiative on Measuring the Progress of Societies, which complement GDP and integrate economic, social and environmental dimensions of well-being.

The examples of Sri Lanka, Cuba, Costa Rica and the Indian state of Kerala show that high human development is possible without fast growth. Moreover, countries such as Nepal and Tunisia have also been successful in improving the human development index by following different pathways. Despite modest economic growth, Nepal and Tunisia have made impressive progress in health and education with the help of massive public policy efforts (UNDP, 2010). India’s Mahatma Gandhi National Rural Employment Guarantee Act 2005 (MGNREGA), a wage employment programme that guarantees hundred days of wage employment in a financial year to a rural household, is also an important step towards sustainability and equity in India. It promotes inclusive growth and empowers the poor and marginalized groups by financing rural works that address causes of drought, deforestation and soil erosion restores the natural capital base on which rural livelihoods depend.

We must bridge the trust gap. To build trust between developed and developing countries, we need more effective dialogue and co-operation that is not reflected in today’s multilateral regimes. Given that the overall required investment for sustainable development is very high and that the greatest need is in developing nations, stronger commitments and concrete actions from developed countries are the need of the hour along with innovative sources of financing. A currency transaction tax could be an innovative new source to meet the financing gap. The tax can be a simple proportional levy on individual foreign exchange transactions assessed on foreign exchange dealers and collected through existing financial clearing systems. Moreover, developed countries should also stimulate private sector innovation with a combination of tax and regulatory policies. Innovative financing schemes canbridge the financing gaps in some sectors like water and sanitation in developing countries which are regarded as high risk, low-return investment. For instance, in Niger the Coca-Cola Companyand the United States Agency for International Development (USAID) sponsoredthe installation of locally made rope pumps.

The issue of technology in poor nations needs to be addressed at various stages in terms of facilitation, development, deployment and technology transfer. In the context of developing countries, lack of awareness about clean technologies is a key barrier for small scale units. Thus, collaborative research with the necessary arrangements for building capacity in developing countries will go a long way in reducing the technology gap.For instance, with the support of the Swiss Agency for Development and Co-operation (SDC), The Energy and Resources Institute (TERI) has helped the Firozabad Glass industry cluster switch over to energy-efficient and environment friendly technologies based on natural gas. The energy efficiency of coal-fired muffle furnace was very low and a major source of pollution in Firozabad, India. The higher pollution from these coal-fired systems affected the health of the workers and the local population in Firozabad. Joint efforts of TERI and SDC improved the lives of the workers and reduced the level of environmental pollution in Firozabad at the grass roots level in addition to lowering the fuel cost of glass units on account of reduced energy consumption. Thus, fostering partnerships between developing country institutes, which have a better understanding of local problems, and international organisations which have the requisite resources and technologies, is the key to finding solutions to the environmental problems and to contribute to the improvement of the lives of the poor people in developing countries.

There are high expectations on the Rio+20 summit for renewed momentum for global sustainable development. Therefore at Rio+20, world leaders must build upon and scale up theachievements, best practices and lessons of theMDGs, and lay strong foundations for the post2015 development agenda.In order to make significant progress towards sustainable development, the summit should come up with a concrete roadmap for future and define aspirational goals for the international community in the areas of food security, sound water management, universal access to modern energy services etc.

 

Thursday, December 29, 2011

Understanding theme 1 of the Rio+20: “A green economy in the context of sustainable development and poverty eradication”

Rio+20 marks the 20thanniversary of United Nations Conference on Environment and Development (Rio 1992) and the 25th anniversary of the Brundtland Report. Sustainable development has been the overarching goal of the international community since Rio 1992. However, two decades on, the world is far from realizing the vision of Rio. The upcoming UNCSD is therefore, an opportunity for world leaders to address the economic, social and environmental crisis gripping the world today. Theme 1 of the conference is as follows:
“A green economy in the context of sustainable development and poverty eradication”
The concept of green economy has moved into the mainstream of policy discussions, however, it is not a concept that enjoys widespread agreement and there is substantial ambiguity in its definition. The following definitions of green economy/ green growth exist in the literature:

“The green economy approach is an attempt to unite under one banner a broad suite of economic instruments relevant to sustainable development. (UNCSD, 2010)”

“A green economy is one that results in “improved human well-being and social equity, while significantly reducing environmental risks and ecological scarcities. (UNEP, 2011)”

“Green growth is environmentally sustainable economic progress to foster low-carbon, socially inclusive development. (UNESCAP )”

In a nutshell, the concept of green economy amalgamates several existing concepts such as durable economic activity, reduced environmental impact, sustained growth in high quality jobs and reduced poverty.However, it is not clear how the green economy approach adds value to the sustainable development paradigm. Discarding sustainable development without a proper understanding of what the green economy approach entails might stall the progress on sustainable development particularly in the developing world where the achievements have not been impressive on many dimensions of sustainable development.

The critiques of this concept imply that the social pillar of sustainable development receives inadequate attention and that the environmental protection agenda, which is dominant, could negatively impact economic growth. As such, recognising the different stages of development of nations and the differences in environmental endowments and challenges, each country would need to define its own strategy for achieving a ‘green economy, and identify both the opportunities, challenges and needs in doing so.

The green economy approach presumes a higher rate of growth, poverty alleviation and social equity. However, some of the difficult but important questions that need to be answered are: how the green economy approach would contribute to poverty alleviation and achievement of millennium development goals: what would be the impact on economic growth in developing countries; how to identify and deal with trade off; how to garner resources for the transition to a green economy; how to handle the transition from the present to the greener economy; what are the elements that should be incorporated in the green economy concept so that it adequately addresses the issues of poverty and equity?

Wednesday, August 17, 2011

Why Dr Manmohan Singh is wrong

On the eve of India’s 64th independence day, Anna Hazare appealed to the people of India to join the peaceful protest against corruption and demand a strong Lokpal Bill which will reduce corruption from the Indian society. His speech became the biggest news of the day and overshadowed Dr Manmohan Singh’s address to the nation. In the last one week he has said time and again that he has no magic wand against corruption, Parliament has the sole right to make laws and protests will affect India’s image and economic growth. The fact he had no power over his corrupt colleagues is clear to the entire nation. He failed to garner support from fellow Parliamentarians. All the opposition parties critised Anna Hazare’s arrest. The main opposition party has targeted him on grounds of corruption in Common Wealth Games and 2G spectrum allocation even before Anna Hazare started his fast in April. The credibility of his government lowered further because of the active smear campaign launched by his party colleagues. The new charges against his government are arrogance, murder of democracy and brute force. Since use of police force and “I will not submit to the fancies of activists” attitude proved counterproductive, he tried to lean on the economic pillar. Indeed, he is widely respected in India and abroad as a good economist. He has also been hailed as the man who abolished license raj, liberalized India and put the Indian economy on a higher growth trajectory. However, the common man has dismissed his theories on the resilience of Indian economy in the face of global imbalances. Most of the protesters refuse to accept his argument that global factors are responsible for high inflation and are critical of Government’s supply side management. No one in India except the policy makers is convinced about India’s economic progress. Most of the urban residents are critical of the government’s indifference towards agrarian distress. Therefore, his third line of defence also fails. Dr Singh is absolutely wrong because protest against corruption is not anti-growth, on the contrary, corruption is the greatest obstacle to economic and social development. It undermines development by distorting the rule of law and weakening the institutional foundation on which economic growth depends. Corruption in the Common Wealth Games severely dented India’s image and most of the Indians felt humiliated when foreign players opted out of the games. Moreover, the ills of corruption are particularly severe on the poor because they are most reliant on the provision of public services and are least capable of paying the extra costs associated with bribery, fraud and misappropriation of economic privileges. He needs to understand that Indians are no more content with political freedom and economic prosperity of the select few. They demand accountability from the government which they have elected not blows of police lathis. Although many of the protesters do not know of the nuances of the Lokpal Bill and how it is expected to reduce corruption, they have united against the governance deficit in his government. Instead of trying to kill the movement with a heavy hand, he should admit the follies of his government and try to regain the confidence of Indian society as “Mr Clean”. At the moment he unfortunately does not have many friends outside his cabinet.