Friday, March 15, 2013

Chapter - 6 Draft of the Party Programme Changes in Agrarian Relations Since Independence

Changes in Agrarian Relations Since Independence

6.1 Bitter and many times violent struggles by farmers resisting the forcible acquisition of land by the state and the corporate entities with the active help of the state have been taking place in many parts of the country. We have seen standoffs between the state power and the peasantry in NaiDA and other districts in UP, long drawn out anti posco struggle in Jagatsingpur. (Orissa), movement against the nuclear plant in Jaitapur (Maharashtra) and so forth. Many lives have been lost in the course of these struggles.

In trying to grab the farmers' land, the bourgeois government has used the Land Acquisition Act of colonial era and justified indiscriminate use of force against peasantry by insisting that it is a necessary step for development. In the process, severallakh acres of land have been acquired and millions of peasants and other dependent on land have been evicted and deprived of their livelihood. This is a crude and brutal offensive of the bourgeois state led by the corporate houses and big business.

6.2 The development of capitalism in Indian agriculture is based on a compromise with feudal remnants on the one-hand, and collusion with foreign capital on the other. While semi-feudal production relations still dominate many parts in rural India, the door has been opened for the multinational corporations to enter the field and assume cardinal positions in certain areas. IMF, World Bank and the WTO have played an active role in this respect. The government has signed Indo-US Agricultural Initiative where representatives of Monsanto, Cargill and other multinational companies participate in joint committees to take important decisions on research and new initiatives in Indian Agriculture.

6.3 It is important to see the tremendous changes which have taken place in the agrarian sector since independence. These changes have been speeded up under neo-liberalism i.e. in the last three decades.

Before Independence two popular slogans of peasant movement were, "Abolish the Zamindary System" and "Land to the Tillers". The formation of the All India Kisan Sabha in 1936 added militancy and urgency to these slogans, underlined the anti-feudal and anti-imperialist character of the movement and made it an integral part of national liberation struggle. With Congress party coming to power, land reform legislations putting an end to the Zamindary, Jagirdary and all forms of intermediaries were enacted in all the state assemblies. The occupancy tenants got direct control over land that they tilled. The rulers of princely states and the feudal landlords had constituted the crucial social and political base of colonial power. It was, therefore, expected that in independent India no place will be given to them in political and economic spheres. This did not happen. Congress party continued its alliance with the landlords as well as the dislodged rulers of princely states. The peasants paid Rs. 600 crores to the erstwhile Zamindars for getting control over their land. The landlords were also, given an opportunity to become 'capitalist (farmer) landlords and evict thousands of ''tenants-at-will'' in the name of resuming self-cultivation. The capitalist landlords and the new stratum of rich peasants formed the political base of the new ruling class in countryside.

6.4 Along with abolition of intermediaries the land reform legislations also included provisions for imposing ceiling on land holdings and protecting tenant farmers from exploitative land leasing practices. But the implementation record of land redistribution and tenancy reforms has been very poor in every state except west Bengal, Kerala and Jammu Kashmir.

After the state governments had enacted first round of ceiling laws, the Mahalanobis Committee estimated that there was 63 million acres of ceiling surplus land in the country. In 2004 the Union Govt. informed Parliament that the land declared surplus in the country was 7.3 million acres, land acquired by state governments was 6.5 million acres and the land actually distributed was only 5.3 million acres (most of this was done in the states of West Bengal and Kerala). The marginal and small holdings are 62% of the total holdings, but the area cultivated by them is only 19%.

6.5 The expectation of landless peasantry was belied and in 60s and 70s land struggles took place in many parts. The Communist Party of India headed by C. Rajeshwar Rao carried out several militant land struggles for breaking up large estates under the occupation of big landlords. Several thousand acres of land was captured and distributed among landless peasants and agricultural labour. In many cases the farmers or their children are still cultivating the land, which they had taken possession of in 60s and 70s. They cultivate the land although legal entitlement has been given to only a few households.

6.6 The Naxalbari Movement also rose in 1967 calling for land redistribution. Although it did not come up on the centre stage, it played an important role in persuading West Bengal government to redistribute surplus land and carry out meaningful tenancy reforms. The impetus land struggle in 60s and 70s petered out with time.

6.7 The Green Revolution was introduced in mid-sixties in the northern states. The government invested a great deal of resources in HYV programme. The necessary physical andmarket infrastructure was provided on subsidised rates to the well endowed farmers of Punjab, Haryana and western U.P. Productivity increased manifold and the class of resource-rich capitalist farmer was consolidated. At the same time a large number of small and marginal farmers moved out of agriculture in these states. The Green Revolution increased disparities both between regions and within regions. It needs to be noted that notwithstanding the emergence of a powerful capitalist farmers lobby, the semi-feudal production relations survived the entire period of the green revolution prosperity.

6.8 The Structural Adjustment Programme, which heralded the offensive of liberalization, privatization and globalization, brought with it a new crisis in rural livelihoods. The inclusion of agriculture in the Urguay Round of negotiations and the so-called Free Trade Agreements with some countries under the new regime of WTO have adversely affected our agriculture. All restrictions on external and internal trade of agricultural commodities were removed and the agrarian sector was exposed to unfair and unequal intemational competition. The domestic and foreign multinational companies rapidly made deep inroads in input and output markets. The supply of seeds, fertilizers and pesticides is now largely control led by MNCs The recent mode of attack on Indian peasantry is through forcibly providing genetically modified seeds by the seed MNC's in collaboration with government. This is creating havoc and instability in agricultural production. The government intends to pass a 'Seed Bill' which will give a legal basis to this attack on agriculture.

6.9 Starting from year 2000, a new offensive was launched on the farm sector by corporate and industrial units, building and land mafia, real estate developers and the government in the name of SEZ and other developmental projects. The state governments invoked antiquated Land Acquisition Act of 1894 to evict peasants from their land and handover the land to private companies. Under the neo-liberal frame, the state governments reversed the clock of land reform. The corporate sector has been allotted vast tracts of forest land and the so called waste land. It has also got indirect control over farm land through the provision of contract farming.

Apart from forcible land grab and introduction of contract farming by corporate houses, the farmers are also subjected to an iniquitous credit system. Nationalised banks giving loans for agriculture and small industries as a priority sector are neglecting this task. Once again the peasants are being thrown to the tender mercies of the money lenders or so-called 'loan providers'. It is estimated that while the banking system as a whole financed 35.6% of the loans, private money lenders accounted for 25.7% of the loans advanced to farmers. A much trumpeted 'loan waiver' gave relief only to a small section of the peasantry just on the eve of the 2009 general election. This provides no solution to the credit needs of agriculture, which requires an easy access to credit at no more than four percent rate of interest.

6.10 As to irrigation, only around 41 % of net sown area is irrigated during Kharif and 65% during Rabi seasons. Availability of water varies across the states. Public investment in irrigation is negligible. The transition from surface water to ground water actually implies the privatization of irrigation infrastructure. The ownership of ground water assets naturally belongs to rich peasants and affluent landowners.

A corollary has been the emergence of internal ground water markets and pump-rental markets. To secure access to ground water the rest of the peasantry including the small and marginal farmers have to pay a heavy amount as rental for this facility.

6.11 Following the repeated hikes in the prices of fuel, so essential to the farmers, there are moves to increase the prices of fertilizers too. Market forces unleashed by a government wedded to neo-liberalism are squeezing the farmers dry. The neo liberal policy frame affected all sections of the peasantry adversely.

The big farmer' lobby took an ambiguous stance towards the new regime. Initially, they perceived trade liberalisation and entry of agribusiness as programmes advantageous to them. However, the deflationary trend in world market prices in latter half of 90s and unequal bargaining power vis-a-vis the corporate lobby made them uncomfortable. The big farmer lobby now opposes free trade and demands protection of its economic space through state intervention.

The medium and small farmers generally follow the lead provided by the big farmers in switching over to new technology, new cropping pattern and new production arrangements. Sometimes they do it willingly in the hope that the returns will be high. More often it is done under compulsion because earlier infrastructure has been dismantled. In 1980s and 90s the medium and semi-medium farmers shifted to new cropping pattern and new technology. This shift required increased resources and entailed greater risk. The consequent indebtedness and the spate of farmers suicides has become a matter of great concern.

6.12 As for the small and marginal farmers, they have increasingly got dispossessed of their land and other resource base. In 2004-05, around 43 per cent of rural households had no land to cultivate. In addition, 22 per cent households cultivated less than 1 acre of land, which is insufficient to meet basic needs. The dispossessed marginal farmers and landless agricultural labourers rarely commit suicides. Instead, the men migrate out in search of jobs, leaving behind the non-viable pieces of land for the women to cultivate. The number of male cultivators declined by 4.24 million between 1991 and 2001, while the number of women cultivators increased by 5.71 million during the same period.

6.13 The beginning of the 21 st century has been greeted by a pervasive and intractable agrarian crisis in Indian economy. More than two lakh farmers have committed suicides. The number increases every day. Agricultural growth has stagnated. The share of agriculture in National income has come down to 12%, whereas its share in workforce still remains as high as 58 percent. The cumulative effect of neo-liberal measures is that the goal of real food security i.e. "Food for All" is receding howsoever much the government claims to legislate a Food Security Act. Per capita food grain availability in the country has declined in past decade. A big country like ours with a huge population has to defend its food sovereignty. It cannot afford to depend on food imports to feed its people. Food export is a political weapon of imperialist countries and the major food exporting countries like US extract a heavy price.

6.14 With the intensification of the agrarian crisis, features like usury, bondage and caste violence have resurfaced aggressively. Absentee landlords continue to exist extensively in Bihar and in some other parts, especially in the Hindi belt. The Bihar Land Reform Commission constituted in 2006 prepared a list of big landlords clandestinely holding thousands of acres of land and running a shadow Zamindary system. Hathua Raj in Gopalgunge, Bettiah Raj and Sikarpure Estate in Bettiah, Kausalaraj in Katihar are a few such names. They are in addition to the religious trusts and maths who hold thousands of acres of land.

Due to the crisis in agriculture, uncertainty caused by floods and droughts in certain regions, the growing burden of indebtedness and the lack of employment there is large-scale migration from the rural to the urban centers in search of work and better opportunities of livelihood. This has led to rapid increase in urbanization and certain cities have expanded into huge mega cities with slums, inadequate infrastructure and rise in general social problems.

6.15 Arable land is shrinking. With the real estate boom, the land market has become very active in rural India. It is calculated that between 1992-93 and 2002-03, as much as 18 million hectares of arable land has got transferred to non agricultural uses. Beside forcible acquisition and consequent eviction of peasantry by the state, a great deal of land has also slipped out of agriculture through the operation of local land markets. The markets have created a huge demand for non-agricultural use of land on the one hand, and have made farm operations non-viable for a large section of peasantry on the other. During the decade between 1991 and 2001, over 7 million people i.e. nearly 2000 people a day, for whom cultivation was the main source of livelihood; quit farming. That underlines the depth of the crisis in agriculture. Where do they go? They migrate to the cities in search of work, often wandering from one place to another. This is the route of rapid urbanization which is taking place in the country, and the source of the exploited mass of unorganized contract and casual labour. They swell the ranks of the reserve army of the unemployed.

Forcible acquisition and eviction have provoked violent struggles in different parts of the country in the last few years. A section of the peasantry, especially the well-off section is willing to part with some land by demanding an 'appropriate price' for their land. At the same time the tribals who are the most hit by forcible acquisition and eviction, as well as a section of small peasantry are unwilling to part with their land altogether. They reflect the different positions of the different layers within the peasantry. The small and marginal peasant clings on to his miserable plot of land as the only source of livelihood and his place in rural society, even though it is not sufficient to meet his basic needs.

6.16 While tribals constitute 8.08% of the entire population, there are 40% of tribals among the displaced and affected persons. Official figures claim that 28% of the displaced tribals have been rehabilitated. What has happened to the remaining 72% who number nearly 1.5 crores? They are truly the victims of such 'development'. Agriculture in India is being drawn into the world commodity market, subjecting land, water, resources and other agricultural inputs and outputs to inexorable market forces. This signals the growth and development of capitalism and capitalist relations of production in agriculture. The growth of capitalism in agriculture is sharpening all the social contradictions. Superimposed on the ruins of earlier modes, it accounts for the specific nature of the crisis in agriculture, the widening disparities and the misery of the lower strata of the working peasantry. A most heart breaking suspect of the crisis is the suicide of more than two and a half lakh kisans in 8 years.

Though capitalist development has proceeded apace there is a mixture and co-existence of several earlier social formations - feudal, semi-feudal, tribal scattered across a vast territory of the country.

6.17 Land, water, jobs, food have become the focus of the ongoing and impending struggles and peoples' movement. The land problem cannot be resolved without severe class struggle in the countryside. Some of the important issues raised by these struggles can be enumerated. Land is the key issue in this struggle for carrying forward the new democratic revolution. Demands that have to be fought for are:

i) Abolition of feudal and semi-feudal remnants, for the strict implementation of ceiling and tenancy laws and also for the cancellation of all benami transactions of land.

ii) Repeal of the colonial era Land Acquisition Act, 1894. Its replacement by a new law which is pro-farmer and provides for rehabilitation and resettlement in case any agricultural land is diverted for non-agricultural use. Fertile multi-crop land to be exempted from any such acquisition, whether for public, private or public-private partnership projects.

iii) SEZ is neither inevitable nor necessary for industrialization. A halt to further inroads of SEZs. Land already acquired in excess should be returned to the farmers.

iv) All moves to repeal the ceiling laws on rural (and urban) land to facilitate the drive of business houses and the builder and land mafias to acquire land for speculative gains should be banned.

v) Oppose all attempts of introducing corporate and contract farming. Opposition to opening up of the agricultural sector to the entry of multi-national corporations and to the free market forces as suggested by the IMF, the World Bank and the WTO regime.

vi) Provide easy access to institutional loans at 4% rate of interest. Small and marginal farmers to be given protection and preferential treatment in such matters as credit, supply of plants, seed, fertilizers, access to markets etc. so as to make farming productive, efficient and viable.

vii) Remunerative prices for agricultural produce and for maintaining parity in terms of trade between industry and agriculture, and against loot by monopolies and multinationals. Agriculture to be made profitable, a paying and respectable profession. Capital accumulation should be through surplus earnlnqs not through intensified exploitation of farmers.

viii) Giving emphasis to the growth of dry land agriculture. Massive public investment for the growth of infrastructure facilities like irrigation, rural electrification, market development, network of village roads. Proper implementation of NAREGA, with social audit.

ix) Ensuring flood control and prevention of water logging. Large scale tree plantation to maintain the ecological balance.

x) Agriculture should be diversified and agricultural income increased by encouraging supplementary occupations like dairy and poultry farming, sheep rearing, horticulture and fisheries, echo-culture and sericulture, social forestry etc.

xi) Encourage small scale, tiny and cottage industries especially agro-industries so as to draw a significant part of the work force dependent on agriculture into the non-agricultural sector.

xii) All anti-poverty and rural development programmes as well as employment generation programmes should be integrated with agriculture development through the Panchayat-raj institutions. Leakage of these funds should be arrested through social audits involving the panchayats. MNREGA work should be used mainly for building assets for agricultural growth.

xiii) Steps be taken to develop better indigenous bio-technical and genetic engineering. India being the country with the largest livestock, emphasis should be given on organic farming.

xiv) Struggle against price rise, and for a food security act based on a universal public distribution system, which will ensure food for all.

6.18 The struggles undertaken by peasantry and other marginalised sections of society have a sharp anti-capitalist character, in particular against the domestic and foreign corporate entities. The collective political struggles of the marginalised peasantry can be further strengthened by persuading the resource poor peasants to form a collective economic base.

6.19 The next step forward is to see that farmers, in particular small and marginal farmers are encouraged to form cooperatives strictly on a voluntary basis in different spheres of agricultural operation and economic life. Such cooperatives will demand help and facilities from the state for their effective functioning. Cooperatives are not just economic units. They have a political, social and cultural role to play in bringing about systemic changes.

India's foreign policy is thus subject to many complex and contradictory factors. The task of the progressive and democratic movement in the country is to ensure that India's foreign policy retains its independent and anti-imperialist character and stands in solidarity with all countries fighting for independence, democracy, social progress and socialism.
 
The Issue of Food Security:

6.20 Despite the vast agricultural potential of India, agriculture is in a state of crisis. In particular the production of certain items which are the main source of nutrition for the common people are declining. India is today a net importer of foodgrains. The per capita availability of foodgrains, pulses, edible oils coupled with their high prices is jeopardizing the food security of our people. The low-figure of per capita availability hides the gross inequality in the actual consumption of food. The poor have far less access to food than better off, and are thus condemned to chronic malnutrition, hunger and occasional starvation deaths. Externally the developed countries with their high consumption pattern absorb a much larger share of available food. While internally the top 10% also absorb more than the average owing to their growing demand for animal product. Fifty per cent of the world's hungry live in India. Within the country estimates have varied as to who are the poor and how many are below the poverty line.

6.21 The demand for the Right to Food, for ensuring 'Food for All' has therefore been central to the struggle against poverty. The paradox of the situation is that a large section of the food producers themselves, viz; the agri-labour and the marginal farmers are among the most vulnerable in the matter of food. To ensure the common people's access to food it is essential to fight against price rise and inflation in food items and also to fight for sufficient and easy availability of food. This is only possible in our specific conditions through a highly subsidized Universal Public Distribution System (PDS).

6.22 The entry of corporate entities including multinational companies like Reliance, Cargill and others into the food market has aggravated the problem on both counts, price as well as availability. The bourgeoisie has paved the way by allowing forward trading in food-grains and making the Essential Commodities Act totally ineffective This has opened the door to hoarding, speculative rise in food prices and deliberate disruption in supply.

6.23 The bourgeois government's approach to food security is to have a targeted Public Distribution System in place of universal PDS. It seeks to justify this by displaying special concern for the Below Poverty Line (BPL) and certain vulnerable categories. It has arbitrarily divided the population into 3 or 4 categories, and capped the coverage in the rural and urban areas in an arbitrary manner. The amount of foodgrains to be supplied per month as well as the prices varies with each category. A huge number of households, about 40 to 50 per cent of the population are thus excluded from the purview of this Food Security Law. The entire approach of the bourgeois government is to minimize its own obligations by restricting the number of eligible house-holds, as well as their entitlements to subsidized food.

6.24 A system of cash transfer instead of providing subsidized food items, actually means making a mockery of the Public Distribution System. Since cash transfers can lead to gross misuse and even resulting in raising prices if the distribution of subsidized food is discontinued, it has to be firmly opposed. The issues of state procurement stocking of foodgrains through a decentralized system, of ensuring that the quality of the stocks is preserved, its proper distribution and a social audit of the entire mechanism has to be addressed. Chain of cold storage for vegetables and other perishable items has to be built. The Party has to fight for a pro people Food Security Law.

Chapter - 5 Draft of the Party Programme India's Foreign Policy

India's Foreign Policy

5.1 The foreign policy of a country is generally influenced by and often times even determined by the internal economic policies pursued by the country.

In the immediate aftermath of independence India's foreign policy suffered from the imprint of British pressures, its membership of the Commonwealth and so on. But soon it underwent a significant change. It faced disillusionment with the indifference and even opposition from Anglo-American imperialist powers towards its desire to overcome its colonial backwardness and strive for independent economic development, though within the framework of the capitalist system. Such was the approach of Britain and the US towards the other South-East Asian Countries which had similar aims. On the other hand India saw that the Soviet Union was willing to extend a helping hand both for setting up large-scale strategic industries in the core sector and also to share technological know-how, while also shoring up its defence needs.

5.2 In the international field, in addition to the erstwhile colonies of imperialism that had achieved national independence, two powerful blocs had developed, - one led by the US imperialist and the other by the Soviet Union, including other socialist-oriented countries.

5.3 India opted for a foreign policy of peace, non-alignment, solidarity with the newly liberated countries and anti-imperialism. Though there were several lapses and compromises in its execution, this policy conformed at the time to the class interests of the national bourgeoisie, met the needs of India's independent economic development and was in tune with the anti-imperialist traditions of India's freedom struggle. It also reflected the interests of the newly liberated countries and all those who were still struggling for their independence from colonial powers. It had the support from the Soviet Union which needed peace to reconstruct its economy, which had been totally devastated by the anti-fascist war.

5.4 In pursuance of this policy of peace and non-alignment, India and China signed in 1954 the famous 'Panchsheela' i.e. the Five Principles of Peaceful Co-existence governing relations between states.

This was followed by the Ten Principles set forth in the Declaration adopted at the Afro-Asian Conference held in Bandung (Indonesia) in 1955.

5.5 As one of the leading initiators of both the Panchsheela and the Bandung Declaration India's prestige went up high among all countries of the new Third World that had come into existence.

5.6 Guided by such a policy India played an important role against imperialist wars of intervention first in Korea and then in heroic Vietnam. It stood with Cuba where the US imperialists suffered a humiliating defeat in its Bay of Pigs adventure and in all subsequent maneuvers to blockade Cuba. India expressed full solidarity with the long struggle of the people of South Africa led by the ANC against apartheid, of the people of Angola and Namibia for their freedom. India all along stood with the people of Palestine for their independent statehood.

5.7 The solidarity which India displayed towards countries struggling for their freedom was fully reciprocated by them when Indian people liberated Pondicherry and Goa from centuries old imperialist occupation. The Anglo-American imperialists disapproved of the minor military action which India took on the issue, while the Soviet Union supported it. This was so also when India fought Pakistan leading to the liberation at Bangladesh.

Inside the country there were sections who opposed the non-aligned foreign policy. The monopoly capitalists who had strong links with multinationals together with some bourgeois ruling groups and right-wing parties opposed the policy of non-alignment and anti-imperialism under the specious plea of 'genuine non-alignment' and 'correcting the tilt'. This led to vacillations and lapses which were not in conformity with the general foreign policy. The policy of non-alignment, peace and anti-colonialism strengthened India's political independence and also enabled her to obtain resources and aid from friendly countries particularly Soviet Union and socialist countries. After the demise of the Soviet Union and the dissolution of the socialist bloc US imperialist thought of itself as the only super power and the arbiter of the destiny of the world. It resorted to unilateral action and started ignoring the realities of the world situation. US transnational corporations and international financial and trade organisations which the US dominate began to dictate economic policies and impose a world order quite contrary to the 'New International Economic Order' (NIEO) proposed by the United Nations. India adopted the policy of Neo-liberalism, which implied liberalization, privatization and globalisation and a free market economy, under pressure from the US.

5.8 India entered into a series of agreements with the US such as 'New Framework For India-US Defence Relations', 'US-India Agricultural Knowledge Initiative', 'Agreement To Setup the Global Democracy Initiative', 'US-India Financial and Economic Forum, India-US C.E.O Forum and US-India Defence Policy Group'. It could not sign the dangerous 'Logistic Agreement' after negotiating it because of vigorous Left objection. The Nuclear Cooperation Deal which India entered into with the US was a continuation of all these agreements. In this way India was steadily moving away from pursuing an independent foreign policy and moving towards a strategic alliance with the US. The Indian bourgeoisie expressed its eagerness to align with the US in its pursuit for further integration into the global economy. It regarded this as the way for India to emerge as an economic power and eventually as a political power. It terms this as Economic reform. The economic policy of neo-liberalism had a corresponding effect on India's foreign policy.

5.9 India of course has no interest in hostility towards the US. It should be for friendship and good relations with the US, but not subservience to it.

5.10 Non-alignment has been given up as being irrelevant in today's world. In fact its anti-imperialist content and its solidarity with countries fighting for their independence and social progress has been diluted or eschewed in the name of "enlightened self interest" 'pragmatism' and so forth. This even allows the ruling class to tie up with Israel, and turn a blind eye to the military junta rule in Myanmar and Sri Lanka's oppression against the Tamils.

5.11 India however is too big and important a country and the democratic consciousness of its people is quite alert not to let its foreign policy be subservient to the US. It is the second biggest country in the world. It has friendly relations with most countries of the world and commands respect in the third world. It has a long tradition of anti-imperialism and its geo-political status is acknowledged by all. All these factors impel India to pull its weight for peace and disarmament in the Asia-Pacific region and the world however wary it is not to offend the US. It has raised its voice for reorganizing the United Nations according to present day realities, which also takes into account India's rise. It has joined up with the Shanghai Cooperation Organisation and forged alliances with BRICS (Brazil, Russia, India, China and South Africa). Within this group is a sub-group called the IBSA (India, Brazil, South Africa). It has raised its voice for statehood to Palestine, for lifting the embargo and blockade against Cuba, and so on.

India's foreign policy is thus subject to many complex and contradictory factors. The task of the progressive and democratic movement in the country is to ensure that India's foreign policy retains its independent and anti-imperialist character and stands in solidarity with all countries fighting for independence, democracy, social progress and socialism.

5.12 No issue affecting world peace and international relation in general can be solved today without the active involvement of India and China. An important task in the field is to work for further democratizing and strengthening the UN and for structural changes in its setup, freeing it from imperialist pressure (overt and covert) and expanding its peace keeping role. The goal of a world without weapon and war also requires that the UN be strengthen ensuring equal status for all countries in it and for their democratic participation through giving the General Assembly decisions and resolutions due respect. The aim is to make India a country which stands for peace and disarmament, a country fighting for a nuclear-weapon-free world, a country fighting for a new international economic order, a country which has a powerful voice in resolving the regional conflicts based on justice.

The Security Council's role has to be reviewed so that a coterie of "Big Powers" is not allowed to take decision on crucial issue of peace and security, ignoring the General Assembly.

Chapter - 4 Draft of the Party Programme India in the Contemporary world

India in the Contemporary world 

4.1 The latest deep and continuing crisis originated with the financial crisis in the USA, the Eldorado of capitalism, leading to the collapse of more than a hundred banks and financial institutions, which by their very gigantic size and scale of operations were supposed to be incapable of collapsing. This was soon followed by an economic meltdown that spread to all countries of the capitalist world.

4.2 As is usual with capitalism, the entire burden of the crisis was shoved on to the shoulders of the working class and the common people, who were faced with closures, retrenchments, loss of jobs, cut in wages, pensions and other benefits earned through tremendous struggles and sacrifices, in every country.

4.3 The shockwave of the crisis could not but affect many other countries, which had only five or six decades back broken out of their colonial chains, but had adopted the capitalist path of building their economy and were in many respects bound to the economy of their old masters.

4.4 Countries which had moved away from capitalism and were engaged in building economy according to their own conditions, such as China had managed to avoid this crisis. But they" could not altogether escape the effect of the international links of trade and finance, which they had with the capitalist world.

4.5 India, a developing country following the capitalist path of development, and even adopting the neo-liberal prescriptions dictated by the IMF, World Bank and the Transnational Corporations, inevitably suffered from this crisis of world capitalism. But it was saved from its rigors and intensity due to the fact that its financial sector till then mostly in the public sector, and so were many of its strategic industrial and commercial undertakings. They could not indulge in the speculative financial maneuverings and skullduggery which the private players in the Developed West had been indulging in.

Neo-liberalism did contribute to a fast economic growth in India for some period measured in terms of GDP, but it led to tremendous economic disparities with dizzy heights of affluence at one end and depth of poverty at the other, together with disastrous consequences for the environment.

A section of middle class and intelligentsia, which has benefited from the economic growth and is dazzled by 'Shining India', is also influenced by such talk of 'Reform', ignoring the actual consequences. Actually this serves to camouflage the ideological, political and economic designs of American imperialism and International Finance Capital.

4.6 In the name of combating the economic crisis bourgeois governments in most countries doled out huge funds to the corporate firms. The bailout packages ran into billions and even to trillions of dollars in the US, U.K, France, Germany and Japan etc., in the name of stimulating the economy and reviving it. Corresponding deep cuts were made in the funds meant for the common people.

4.7 India too followed suit by doling out huge packages to the crisis hit corporate entities. That could not mitigate the widespread closures and the resultant unemployment in a number of industries in the country.

4.8 Even after the passage of few years the US economy- the largest in the world, is still not in the way of recovering from the depression. So also several countries of the developed West, the European Union in particular. The crisis has lengthened into a more or less permanent one. There is the Sovereign Debt Crisis. The US which is the most indebted country of the world, living like a parasite at the cost of others, finds it difficult to repay its loans. The dollar has lost some of its sheen. Though there have been talks of finding an alternative international currency, the very weight of its prestige and acceptability backed by US economic and military might has prevented any such cataclysmic move so far. It continues in its position by default.

4.9 National currencies, including the Indian Rupee are under tremendous pressure, and there is financial instability all round. Situation in the Eurozone is very serious. Greece, Portugal, Spain, Italy have to face the ignominy of inability to repay their loan commitments. Led by Germany and France the European Union imposed harsh austerity measurers on Greece to bail it out of its predicament. This is meeting with the stiffest resistance ever, bringing Greece to the brink of a revolutionary outburst. Other countries cut their welfare budgets meant for the working people.

The working class and also many sections of the middle class are not taking this attack on their living standards lying down. Everywhere they are fighting back determinedly with massive militant actions directing their Indignation against corporate greed and its quest for maximizing profits at the expense of the common people. It took the form mass upsurge in many capitalist countries with people voicing their demand for an alternative to capitalism.

4.10 In the US and UK, the very citadels of capitalism, people in their thousands have come out on the streets against unemployment and economic inequality. The so-called London riots which took place not only in London but also in several other cities, and the "Occupy Wall Street" call which saw huge turn-outs in all cities of America for several weeks flaunting placards, and slogans against capitalism showed that mass indignation against capitalism was no longer confined to the peripheries of the capitalist world. The Metropolis too is now under attack!

Capitalism has long passed its peak and is now on the decline. No longer have we heard the triumphalistic cry that there is no alternative to capitalism.

The era of capitalist domination all over the world first ended after the October Socialist Revolution in Russia in 1917. World War-II saw the rout of fascism, the most reactionary and most imperialist element of finance capital. Hundreds of countries broke their chains of colonial slavery and achieved their National Independence. Some countries in Europe and Asia broke away from capitalism and took the path of socialism.

4.11 However the Soviet Union and some East European socialist countries collapsed towards the end of the 20th century. They are now engaged in restoring capitalism in their countries. This has given a new breath to capitalism, whose propagandists even gloated about the 'end of history'. But this is now proving short-lived. China, Vietnam, Cuba have been building socialism according to their specific conditions and characteristics. China and Vietnam have adopted the course towards "Socialism through a market economy". This is an original way to build a dynamic economy as a first step in their path to socialism. It remains to be seen what are the immediate consequences, but note must be taken that their sight is firmly focused on the goal of socialism.

China today has become the second largest economy after the USA. There is speculation about its economy overcoming the USA in the not so distant future.

4.12 A wind of change has swept across the Latin American continent. The Cuban Revolution in 1959 has withstood like a rock all the attempts of the US to suppress it and is marching ahead towards the socialist goal. Venezuela, Equador, Brazil, Argentine, Uruguay, Bolivia, Peru, have all broken away from US domination and emerged from what was earlier known as the "U.S Backyard". After pursuing armed guerilla struggle for many years they have changed tactics and won a majority in their parliaments and in presidential elections.

For more than a century most of these countries were under the iron heels of brutal dictatorships propped up by the US. Some had come to be called 'Banana Republics' serving the interests of American Transnational Corporations. Now profound political changes are taking place in each of them towards democratization. Economic changes for radically improving the conditions of life of the poor and indigenous people have been carried out. The countries of Latin America have also initiated several regional agreements for joint development including a bank of their own. US over lordship in the Organisation of Latin American States is no longer there.

The Latin American developments undoubtedly exercise tremendous impact on the world situation. They have made a difference in the balance of forces. So have certain developments in the African continent. They require critical study. Appropriate lessons have to be drawn.

4.13 Unprecedented massive and militant mass uprisings have rocked the northern states of the African continent. Millions of people occupied the main squares and streets of the capital and all major cities for several weeks at a stretch demanding the ouster of autocratic dictators and hereditary rulers in Egypt, Tunisia, Libya, Bahrain and several countries of the Arab world. For several decades these rulers were acting as reliable allies of America, and supporting Israel against the Palestinian people's struggle for statehood. At the same time they subjected the people to harsh repression. The people displayed exemplary courage in facing severe repression and fought back with fierce determination. Their demand was for an end to autocracy, for democratization and for a better equitable economic order. They succeeded in driving out the dictatorship in Egypt and Tunisia, though the final battle has not yet been won, mainly due to the motley combination of forces leading the movement, and the intervention of the military and imperialism from behind the scene. The most reactionary and autocratic country in the Arab World, Saudi Arabia, the reliable bastion of America sent its army to neighbouring Bahrain to crush the people's uprising and prevent the contagion of revolt from spreading. However, success cannot be measured only by the immediate gains, but by the people's mass awakening, which once roused cannot be thwarted or held back for long.

In Libya, the imperialist powers acting through the NATO have militarily intervened so as to thwart the people's movement, install a toady regime and grab the rich resources of Libyan oil. The same forces are trying to take over Syria by instigating and extending military aid to counter-revolutionary armed elements.

Africa, - the Arab World in particular, is in turmoil. The move is unmistakably for democratization, and against autocracy having links with imperialism. But in the absence of strong and powerful democratic and progressive parties leading the revolts in these Arab countries, the relatively strong Muslim Brotherhood patronized by Imperialism and the Saudi ruling circles are taking over. It emphasizes the importance of who leads the people's revolt and with what aim.

4.14 In working out and evolving the national strategy for social transformation, it has become increasingly necessary to take into account the global context and the global solidarity for achieving success.

4.15 The world today is divided into several groups of countries. Developments that are taking place in these countries illustrate the diverse possibilities and ways of building a new society in each of them in the course of advancing towards the common goal of socio-economic transformations. There may be many ups and downs, many twists and turns, and even temporary or long setbacks, but the inevitable course of historical developments is towards overcoming imperialism and capitalism and advancing towards social progress and change. This is a historical truth which has to be taken into account in carrying on revolutionary activities today.

4.16 Even though capitalism is on the decline and is facing serious problems this does not mean that it will come to an end on its own before long. World capitalism has tremendous reserves. It has unbounded capacity to use the Scientific and Technological Revolution and the Revolution in IT and Communication as well as its hold over the corporate media to prolong its life. It can only be overthrown by a combination of revolutionary classes and forces and led by a revolutionary party when the political situation matures in each country.

4.17 Though imperialism, and in particular US imperialism is in the midst of a serious crisis and is finding it difficult to emerge from it, this cannot be construed to mean that the danger and offensive of imperialism has diminished. Indeed US imperialism is taking recourse to more and more militarism and unilateralism in its relation with other countries. Its military expenditure is more than the combined defence expenditures of the rest of the world, and its strategic moves. are for 'regime changes', sanctions and military interventions against countries that dare to stand up to it, and assert their determination to decide their own destiny.

U.S imperialism puts its national interests above the interests of World Peace and orderly international relations. It pursues a strategy of preemptive attack against other countries in disregard of the United Nations. It is today the greatest threat to World Peace and Security, and to the sovereign rights of nations. The struggle for peace and opposition to imperialism is therefore a priority task on the agenda of all those who are fighting for democracy, progress and socialism.