Chapter IIIaid. The Plan also seeks to increase adult literacy to 85 per cent by the end of the 11th Plan and in theprocess give special attention to bridging regional, social and gender gaps.The second major part of the inclusive strategy of the Plan is to have a comprehensive health approachwhich encompasses individual health care, public health, sanitation, clean drinking water, access to foodand knowledge about hygiene and feeding practice. The National Rural Health Mission (NRHM) hasalready been launched to ensure quality health care in rural areas, and will be extended to the Sarva SwasthyaAbhiyan that also covers the health needs of the urban poor. As lack of institutional deliveries has beenidentified as the major reason for child and maternal mortality, the state will explore the possibility of anentitlement system for pregnant women to have professionally supervised deliveries. While the measuresoutlined are commendable, the key to achievement lies in their implementation, which is marred byinadequate investment and lack of quality in the health infrastructure.11. The 11th Plan discusses regional divides and proposes allocation ofcentral and state funds towards specific gapsThe Planrecognisesthatcommunitiesthat havebeen leftbehind inthe growthstory includeSC/STs, andminorities,and otherspecialgroupsthat needattentioninclude thoseaffected bydisabilities,the old, andbeggars.The debate is about allocation of funds between states, tied to specific purposes, and untied funds. Itfocuses on Ho w Mu c h each state should get, by what formula and Ho w To Sp e n d these funds. In thisdebate differences in poverty levels, education and health, gender and human development indices, housingshortages etc. become important as criteria. In keeping the overall emphasis on the Centre decidingthese formulas and retaining fiscal dominance, it completely misses an opportunity to connect with theclaimed ‘rights-based’ perspective. Application of a rights-based, self governance, transparency andaccountability approach calls for greater decentralisation, and would lead towards greater collection oftaxes at the state level and reduce central lists. The current planning perspective does not yet approachthis problem.The Plan recognises that communities that have been left behind in the growth story include SC/STs,including the Primitive Tribal Groups (PTGs) and nomadic tribes, and minorities, 3 and other specialgroups that need attention include those affected by disabilities, the old, and beggars. The first majormeans for integrating them into growth is through protective measures like reservations for educationand employment, supplemented by a 15-point programme for the welfare of minorities. The economicdevelopment measures include setting up of a Land Reform Commission to enable their controlover land distributed earlier, and preferential or joint land ownership of women. Preferential accessto the employment guarantee scheme and training under the Apprentice Act are further measures topromote employment and employability of these especially disadvantaged groups. Rehabilitation andresettlement of tribals is given importance wherever they have been displaced. However, the DraftNational Rehabilitation Policy of 2006 had invited much criticism and therefore the 11th Plan proposesa comprehensive and integrated national policy for land acquisition, compensation, and resettlement.Moreover, total eradication of the practice of bonded labour, which especially targets SCs and STs, isexpected to be achieved, through intense efforts to identify and rehabilitate bonded labour and theirchildren.12. Trade policies must adhere to the principles of transparency, preferenceto people’s needs and rights74Fiscal policies and development budget allocations reveal a mix of policy approaches. There is recognitionof the need to develop human capital, and to create employment for the masses. The rights-basedapproach taken to employment generation for the rural poor holds tremendous potential for socialprotection, especially of the poorest. Similarly, regulations are proposed for providing social security to3Religious minorities include Muslims, Christians, Buddhists, Sikhs and Zoroastrians (Parsis)74
Policy: Pathways to Sustainable Livelihoodsthose employed in the unorganised sector. An analysis of trade policies demonstrates how neo-liberalapproaches may dictate the outcomes, especially in terms of sectoral performance, and its implicationsfor gender and social protection. Trade policies of developed countries seek to promote their “internalpolicies of creating a single market by an agenda of progressive liberalisation and deregulation”.India has already become important as a trade partner for the developed economies, and is already animportant production base and outsourcing destination for European operators. It considers an exportledand free trade model a powerful driver of economic growth, development, and employment, andhas adopted the liberalisation model, enhancing its export industries in manufacturing and informationtechnologies, and its access to foreign markets. The question that arises in the context of sustainablelivelihoods in India is whether there is coherence between India’s development agenda and its trade andinvestment agenda. Will trade and other policies of liberalisation contradict or support the Indian policyperspectives on poverty eradication, social protection, social inclusion, and gender equality?If one examines just one large trade partner, the European Union (EU), analysis shows the followingareas of concern:1) Current trade policies uphold the competition paradigm subordinating and redefining the developmentparadigm. This is based on the trickle-down theory, which believes that growth will lead to development.Despite rising evidence to the contrary, the EU has cut down its aid for human development and antipoverty-programmesand instead shifts assistance to economic cooperation and aid for trade. This reversesthe means-end-relation: <strong>Development</strong> aid becomes a tool for enhancing trade.Will tradeand otherpolicies ofliberalisationcontradict orsupport theIndian policyperspectiveson povertyeradication,socialprotection,socialinclusion,and genderequality?2) The EU gives special attention to non-tariff-barriers, to international regulatory convergence andreciprocity of trade liberalisation. The underlying assumption is that the EU and India are equal partners.However, a high asymmetry prevails in many sectors and areas, let alone the fact that the Indian percapita GDP is only 7 per cent of the EU GDP. Demanding reciprocal trade liberalisation in asymmetricpower relations and advancing equal trade rules between unequal trade partners disregards the existingeconomic disparities, in particular different levels of development and different social needs. Mechanismslike reciprocity and harmonisation of tariffs and regulations among unequal partners tend to privilegethe stronger parties, countries and companies, and disadvantage the weak actors in the markets. Seekingthe removal of domestic regulations which protect local industries against foreign investors, lifting offoreign direct investment (FDI) restrictions on performance standards like local content requirementsand dismantling of capital control means to limit the policy space of the partner. It limits governments’right to use regulation as a policy instrument for their development priorities e.g. food sovereignty orfor positive affirmative action, e.g. subsidies for small women producers because positive discriminationwould be considered trade-distorting.” 4Additionally, the EU asks for opening up government procurement and does not exclude essentialservices, 5 patenting of living organisms like seeds in agriculture, 6 and enforcement of intellectual propertyrights for pharmaceutical products, which would prevent production of cheap medicines. Further, theprocess of trade negotiations lacks transparency and democratic legitimation through consultation ofparliaments and civil society, with business confederations from both sides getting privileged space tolobby (Wichterich, 2007).The crucial question raised by Europe-based NGOs and networks is whose needs, whose rights andwhose interests can be safeguarded or enforced through the offensive EU agenda for speedy and deepmarket liberalisation in India? Does the envisaged bilateral FTA serve the objectives of sustainabledevelopment, poverty eradication, social and gender justice and human rights such as food sovereignty4UNCTAD (2007): Trade and <strong>Development</strong> <strong>Report</strong>, Geneva5This could imply privatisation of water and energy supply which has led to an increase of prices in other countries, and distorted poor people’saccess to basic services.6This poses a threat to the production systems of farmers and deprives them of the most important livelihood resources and biodiversity.75
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ChapterPage NoForeword 6Preface 8Ab
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employment growth, these sectors we
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Chapter Iresponse, risks and shocks
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OverviewTable 1.2 Employment and Un
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Mona DikshitMona Dikshit has been a