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Re: Superpower Syndrome: Sid Harth

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Sid Harth

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Dec 2, 2009, 1:58:01 PM12/2/09
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A K Bhattacharya: Sweet and bitter memories of a decade

How would history remember the first decade of the 21st century?
A K Bhattacharya / New Delhi December 2, 2009, 0:09 IST

The first decade of the 21st century is about to end in a few weeks
from now. How would history remember this decade? It is difficult to
encompass a decade’s major trends and developments in a short essay of
this nature. However, it would be instructive to recall at least a few
of them.

Globally, the decade began with the breakdown of trust in corporate
governance. Corporate scandals and acts of malfeasance that may have
been kept hidden from public gaze in all the previous decades came
tumbling out of the cupboard as the first decade of the 21st century
began. Enron, Worldcom and Arthur Andersen were globally respected
corporate institutions before they were all found guilty of violating
the basic governance rules.

Global confidence in companies lay badly shaken. The organisers of the
annual jamboree of the world’s top business and government leaders at
Davos decided in 2003 that its theme that year would focus on how the
corporate world should rebuild trust, which it had obviously lost. At
another level, regulators in the US and in many European countries put
in place stricter governance and disclosure norms for corporate
players. Life for corporate leaders was not the same any more.

That sombre mood, however, made no visible impact on the kind of
irrational exuberance that became the hallmark of the American
financial sector in the latter half of the decade. In an impossible
bid to keep the housing bubble going for as long as it could, the
financial sector, aided and abetted by the US regulators, not only
burnt their own fingers but also fell headlong to bring down along
with it the global economy. Mercifully, the decade is ending with the
hope that the world economy would not have to suffer the pangs similar
to those caused by the economic depression of the 1930s.

In India, the decade represented resilience, reforms, change and hope.
The economy showed its resilience not just once at the start of the
decade, when it came out triumphant from an economic slowdown induced
by the short-lived dotcom boom quickly followed by a bust. Similar
resilience was in evidence when the economy responded positively to
the government’s fiscal stimulus measures and bounced back to growth
after receiving major blows from a global downturn.

Annual economic growth, measured by the rise in the gross domestic
product (GDP) at factor cost, has averaged at over 7 per cent in the
current decade, a clear 1.5 percentage point increase over the annual
growth rate recorded in the previous two decades. The increase is not
dramatic. But the direction of the change has been unmistakably
towards a steady rise. What is also clear is that the Indian economy
has now marched far ahead of the 3 to 3.5 per cent annual growth rates
that marked the first three decades after India gained political
freedom.

On the fiscal discipline front, the Indian government has done
reasonably well during the decade. The decade saw four finance
ministers in this period. Yashwant Sinha kept the fiscal deficit at
around 5.6-6.2 per cent of GDP. Jaswant Singh brought it down to 4.5
per cent. At the end of his fourth Budget in 2007-08, Palaniappan
Chidambaram brought it down to 2.7 per cent. But then the global
downturn forced the government to introduce fiscal stimulus measures
and the fiscal deficit went up to 6 per cent in the following year.
Pranab Mukherjee has projected the deficit at 6.8 per cent for the
last year of the current decade, the second highest level in the last
two decades.

The decade also saw the country’s largest corporate entity engaged in
a long battle over division of assets between two brothers after their
father died in 2002. The Ambanis’ battle is not yet over and may go
beyond even the coming decade. At another level, Indian companies went
overseas to acquire major brands and firms. The Tatas acquired Corus,
Jaguar Cars and Land Rover. The Aditya Vikram Birla group took over
Novelis and several other large Indian companies, including a few in
the information technology sector, took charge of entities in
different parts of the globe.

India’s politics also saw some major turns and twists during the
decade. The BJP got defeated in the 2004 general elections, in spite
of its economic reforms and a credible growth story. The Congress, led
by Sonia Gandhi, has unleashed a new brand of politics that harps on
inclusive growth with economic and institutional reforms. The formula
has worked very well for the Congress so far. Manmohan Singh may well
be India’s Goh Chok Tong, providing a mature and stable leadership
even while keeping the prime ministerial seat ready and warm for Rahul
Gandhi to take charge one day. That certainly is one hope Congress
leaders cherish these days as they prepare to face the new decade.

http://www.business-standard.com/india/news/a-k-bhattacharya-sweetbitter-memoriesa-decade/378313/

...and I am Sid Harth

bademiyansubhanallah

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Dec 3, 2009, 1:49:47 AM12/3/09
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Top defence brass meet Chinese delegation

PTI First Published : 02 Dec 2009 10:38:25 PM IST
Last Updated : 03 Dec 2009 01:47:20 AM IST

NEW DELHI: Top Indian defence brass today met a Chinese delegation
which is here on a five-day visit to take forward bilateral relations
between the two countries and to plan for future joint military
exercises.

The Chinese delegation led by Peoples Liberation Army (PLA) deputy
chief General Gezen-feng had meeting with IAF chief Air Chief Marshal
P V Naik and Navy chief Admiral Nirmal Verma and the two sides
discussed possibilities of holding joint exercises in the future.

The delegation could not meet Army chief General Deepak Kapoor, as he
was away in Meerut, Defence Ministry sources said here.

The Chinese team is scheduled to meet Defence Minister A K Antony and
Defence Secretary Pradeep Kumar to discuss on the scope for bolstering
the bilateral confidence building measures later during their visit
that will end on December 6.

The visit, which comes in the wake of reports of Chinese Army nibbling
in Indian territory all along the Line of Actual Control (LAC).

Soon after, another Chinese delegation led by Tibet Military Regional
Command commander-in-chief Lt Gen Shu Yutai will be in India from
December 11, officials said.

Meanwhile, commenting on the Chinese delegation visit and his
discussions with it, Verma told reporters that India and China shared
common concerns and whatever appeared in the respective media was not
to be misunderstood.

"I may be meeting them for the first time but there have been
occasions earlier when officers from both Navies have interacted. The
main thrust during the discussion is that whatever is coming in the
media should not be misunderstood," Verma said.

India, particularly the Navy, has for long been suspicious of China's
increased presence in the Indian Ocean region.

However, the Navy chief said Chinese were concerned over their energy
supplies that flowed through the Indian Ocean's sea-lanes of
communication and wanted to secure it, as much as India wanted to
secure its energy supplies.

"Both India and China are growing economies. China's energy flows
through the Indian Ocean. Their concerns are similar to ours," he
said.

Pointing out to the anti-piracy operations in the Gulf of Aden off
Somalia, Verma said the Chinese Navy had deployed their warships in
great strength to ward off the sea brigands and on their way back
home, some of these ships had called on Indian ports recently.

Except for a structured joint Army exercise between the two nations
and one-off naval exercises, the armed forces of the two countries
have not have much of an interaction, but have had some defence
delegation exchanges.

The two countries signed a memorandum of understanding in May 2006
during a visit to Beijing by then defence minister Pranab Mukherjee
for joint military exercises and counter-terrorism training, apart
from greater defence cooperation.

http://www.expressbuzz.com/edition/story.aspx?Title=Top+defence+brass+meet+Chinese+delegation&artid=5IPRvFh|mm0=&SectionID=b7ziAYMenjw=&MainSectionID=b7ziAYMenjw=&SectionName=pWehHe7IsSU=&SEO=india,
china, defence, border dispute

chhotemianinshallah

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Dec 3, 2009, 5:42:28 AM12/3/09
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Khangura to PM: Akali-BJP foolishness should not deny Punjab nuclear
power
Punjab Newsline Network
Thursday, 03 December 2009

CHANDIGARH: Qila Raipur MLA Jassi Khangura urged the Prime Minister Dr
Manmohan Singh to seriously consider the plea for a nuclear power
plant for Punjab as the state was faced with severe power crisis.

Khangura also sought to clarify the stand of the Punjabis towards the
Indo-US Nuclear deal in view of the opposition to the deal by the
Akali and BJP MPs when it came for voting in July 2008.
In a letter to the Prime Minister, Dr Manmohan Singh, Khangura assured
him that most of the Punjabis, including some MPs of the Akali Dal
were also in favour of the deal and wanted to support it. “Let me
assure you that he (Badal) did not speak for all Punjabis when he
pressured his MPs, many of whom were inclined to support or abstain,
to stand against you during the trust vote last year”, he said, while
adding, “he (Baddal) simply spoke for himself and his son, Sukhbir
Badal, and against progress for the State”.

The Qila Raipur MLA said, vast number of people in Punjab recognise
the desperate power deficit status of the state and appreciate the
efforts to alleviate the power issues of the nation through the Indo-
US Nuclear Deal. “When the common man struggles daily to run his
business, the farmer to irrigate his fields, and the student to do her
homework, all due to a lack of power, it is time to seek action”, he
observed.

Khangura said, “it is high time to plead with the Prime Minister not
to ignore the otherwise unheard voices of Punjab which are drowned out
time and again by the despotic shouts of the father son duo who
profess to be leading us to a brighter future, but in fact are
consigning us, quite literally, to darkness”.

Making a passionate plea for a nuclear power plant for Punjab, he
urged the Prime Minister to re-consider the case (for nuclear power
plant) and also re-assess the situation and, if necessary on grounds
of border issues or population density, allow Punjab to place its
nuclear power station outside of state boundaries.

Khangura urged the Prime Minister to constitute an exploratory
committee that will research and recommend on providing nuclear power,
and, therefore, a future, to the people of Punjab.

http://www.punjabnewsline.com/content/view/21495/38/

chhotemianinshallah

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Dec 3, 2009, 5:44:35 AM12/3/09
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Badal urges Shide for setting up nuclear power station in Punjab

Punjab Newsline Network
Thursday, 03 December 2009

CHANDIGARH: The Punjab Chief Minister Parkash Singh Badal on Thursday
urged the Union Power Minister Sushil Kumar Shinde to advice the
Nuclear Corporation of India to bear with the state government for the
delay in the site selection process.

In a letter to the Union Power Minister, Badal informed him that he
had already directed the Chairman of the Punjab State Electricity
Board to coordinate with the Chairman and Managing Director of the
Corporation to pursue the matter further.

Badal pointed out that Punjab was a densely populated State and most
of the area was under intensive cultivation, due to which the whole
exercise was taking some time. He however, reiterated that the state
was very serious in finding a suitable site for setting up of a
nuclear power plant in Punjab.

The Chief Minister further said that the Ministry of Power, Government
of India was vigoursly pursuing proposal to set up nuclear power
stations in the country.

“Even we are very keen to have a nuclear power station in Punjab and
in pursuance of a letter received from Nuclear Power Corporation of
India we had already initiated the process of selection of a suitable
site in the State”, wrote Badal.

http://www.punjabnewsline.com/content/view/21485/38/

chhotemianinshallah

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Dec 3, 2009, 5:57:14 AM12/3/09
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NPCIL initiates process to set up nuclear power plant in Haryana
Punjab Newsline Network
Wednesday, 02 December 2009

CHANDIGARH: The Nuclear Power Corporation of India (NPCIL) Wednesday
initiated the process to set up 4X700 MW Nuclear Power Project in
Haryana, which would be a green project with zero emission thus having
no health hazard even from radiation.

A team of senior officers of NPCIL, led by its Chairman and Managing
Director, Dr. S.K. Jain held their first meeting with the senior
officers of Haryana Government to discuss various issues concerning
the ambitious project involving an investment of Rs.12,000 crore,
before visiting the site of the Nuclear Project between Kumharia and
Gorakhpur in district Fatehabad tomorrow. They would call on the Chief
Minister, Bhupinder Singh Hooda on Friday in New Delhi.

Today’s meeting was presided over by Financial Commissioner and
Principal Secretary, Finance, Ajit M.Sharan. Dr.S.K. Jain said that
the project would be based on indigenous technology of pressurised
heavy water and its design was already ready for construction. The
NPCIL has set up 17 Nuclear Power Projects and four more projects were
under construction. The Government of India had accorded inprincipal
approval for setting up of 4X700 MW in two phases in October 2009, he
added. He said that the pre-project activity would be completed by
2010-11or early 2012. The construction of first and second units would
be started by March 2012. Work on units 3 and 4 would commence after
about three and four years when work on Kumharia 1 and 2 units tapers
off.

It was revealed that the tariff for the Nuclear Power Projects was
coming to about Rs.2.70 per unit which is very competitive rate
considering the tariff prevailing in the coal fired generation units
in the country. He said that NPCIL has been establishing Nuclear Power
Generation Projects in a time frame of 50 to 60 months which is one of
the earliest project erection schedules anywhere in the world. Dr.Jain
assured that this would be a green project with zero emission and the
radiation level would also be within the prescribed limit. Therefore,
this would not pose any threat to the health of the people. He said
that the NPCIL would consider the proposal of Haryana Government to
set up vocational training centre to train the people of the area.
Also, a CBSE school would be set up by the Corporation in addition to
the medical facility and a township. He also offered assistance of the
NPCIL to the CCS Haryana Agricultural University, Hisar and Guru
Jambheshwar University, Hisar in undertaking projects in Nuclear
technology.

The Haryana Government assured uninterrupted supply of required
quantity of 320 cusecs of water for the plant. Other related issues of
the project were also discussed in detail. In his presentation, the
Executive Director of NPCIL, Dr.S. Thakur said that they would require
about 500 hectares of land to set up the project whereas the earlier
proposed area was 1000 hectares. He assured that the NPCIL would
follow the progressive relief and rehabilitation policy prescribed by
the Haryana Government. Mr Ajit M.Sharan conveyed the commitment of
the Haryana Government to provide them all facilities to set up
Nuclear Power Project at the earliest possible. Managing Director,
Haryana Power Generation Corporation, Mr Sanjeev Kaushal presented the
vote of thanks. Those present in the meeting included Financial
Commissioner and Principal Secretary, Power, Mr Madhusudan Prasad,
Managing Director, Power Utilities, Lt. Gen. (Retd.) O.S. Lohchab and
other senior officers of the State Government.

http://www.punjabnewsline.com/content/view/21477/93/

chhotemianinshallah

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Dec 3, 2009, 10:07:22 PM12/3/09
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IDSA COMMENT

India-US Relations: The Need to Move Beyond Symbolism
Shanthie Mariet D'Souza
December 3, 2009

Manmohan Singh’s visit to the United States, the first official state
visit of the Barack Obama administration, has been dubbed as merely
symbolic and lacking substance by several analysts. Their
disappointment appears to stem from lack of dramatics and “something
spectacular” in this rather quiet, but certainly not unproductive,
visit.
During Manmohan Singh’s previous state visit to the United States in
2005, the iconic India-US nuclear deal was seen as marking a watershed
in bilateral relations. In comparison, the issues that found mention
in the joint statement released during the latest visit are bound to
be viewed as ‘non-significant’. Moreover, in the backdrop of Obama’s
visit to China that preceded Singh’s US tour and the joint statement
with the Chinese that spoke of an important role for China in South
Asia, analysts perceive an unstated US tilt towards China.

However, what seems to have missed the eye is that in the shadow of
the grandiose ‘nuclear deal’, India and the United States have moved
significantly in strengthening traditional areas of co-operation like
agriculture, education, health, service sector and a forward movement
on global commons like space co-operation and enhanced cooperation on
clean energy, energy security, and climate change launching the Clean
Energy and Climate Change Initiative. The Obama-Singh 21st Century
Knowledge Initiative aims at building linkages between American and
Indian universities through increased exchanges and programmes to
strengthen educational opportunities for the disadvantaged. As the
Indian government focuses on making ‘inclusive growth’ a mantra for
surging India, these areas of co-operation will assume greater
importance in the coming years. During Secretary Clinton’s visit to
India earlier this year these were the focus areas of cooperation in
the five pillars of the Strategic Dialogue.

Analysts have harped on India’s supposed relegation to the background
in the Af-Pak strategy of the Obama administration. It needs mention
that while the Bush administration emphasized on the de-hyphenation of
India-Pakistan relations and provided India an elevated status through
the nuclear deal, it looked the other way when Pakistan under General
Musharraf did not do much to counter the Taliban threat, despite the
billions that were poured into that country. On the contrary, under
the Obama administration, military aid to Pakistan has come under
scrutiny and is being provided with strings attached. The Kerry-Lugar
Bill is also a case in point. Moreover, despite statements from the
top US military commander in Afghanistan, India’s role in Afghanistan
is seen as being in tandem with American interests of capacity
building and rebuilding of the war-torn nation. Manmohan Singh’s visit
which occurred on the eve of the first anniversary of the 26/11 Mumbai
attacks as well as of the impending announcement of Obama’s new Afghan
policy provided the Indian prime minister an opportunity to deliver a
strong message to the United States – “Don’t go wobbly on
Afghanistan”.

Post-26/11, counter-terrorism co-operation between India and the
United States has increased substantially, particularly in the realm
of information sharing. The Headley- Rana saga is one such instance.
The Counterterrorism Co-operation Initiative is seen as enhancing the
joint counterterrorism working group’s mandate. Defence co-operation
and joint exercises, especially ‘Yudh Abhyas’ in Babina (October 12 to
29) which saw the largest number of strykers used outside Iraq and
Afghanistan are signs of growing military-to-military co-operation.
The subset of defence co-operation includes collaboration on
humanitarian, disaster relief, and maritime security efforts. Greater
co-operation in guarding the sea lanes and anti-piracy operations will
assume added significance in the days to come. More importantly,
India’s large defence market continues to be of tremendous interest to
American investors.

While it is easy to dismiss the growing economic co-operation as
outside the realm of the strategic partnership, they are force
multipliers in taking the India-US relationship ahead. The Indian-
American community in the United States has contributed significantly
to strengthening the relationship between the largest and oldest
democracies. In the years to come the ‘Knowledge initiative’ and
investment in human capital will help actualize the American and
Indian dreams of ‘Knowledge economies’.

According to a recent Confederation of Indian Industries (CII)
estimate, the India-US services trade is likely to grow from the
present $60 billion to an ambitious $150 billion in the next six
years. This fast growing services trade has remained relatively stable
despite financial melt down. Given the growing demand for services in
the United States and assuming that the demand for outsourcing will
continue to grow from American corporations, India can expect larger
market access in this sector.

While critics were obviously looking for path breaking outcomes during
the visit, it needs to be emphasized that during the first official
state visit focus on issues considered insignificant are actually
essential to strengthen the foundations of the partnership. With
continuing road blocks to operationalising the India-US nuclear
agreement, there seems to be little forward movement in finalizing a
mutually agreeable legal text.

Some earth shattering headlines, like American support for India’s
membership in the UN Security Council, would have been much welcomed
among Indian audiences. Apart from the fallacy of such heightened
expectations, what is clearly lacking in Indian commentaries is the
willingness to define India’s role as a major power in the region.
While there has been a reluctance to move beyond viewing the India-US
relationship through the prism of US-China or even US-Pakistan
relations, it is pertinent to note the absence of ability to define
India’s role in this growing partnership with the United States, both
by our political leadership and strategic community. Given such a
trend, India is certain to remain a fence sitter, alien to great power
politics and unable to influence the course of global power
reconfiguration in these times of ‘change’.

http://www.idsa.in/idsacomments/India-USRelations_smdsouza_031209

chhotemianinshallah

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Dec 4, 2009, 5:48:09 PM12/4/09
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India to get more nuke reactors from Russia

Jyoti Malhotra / New Delhi December 05, 2009, 0:03 IST

New defence pact likely as Manmohan visits Moscow on December 7.

India and Russia will take new steps to reinvent their strategic
partnership when Prime Minister Manmohan Singh meets Russian President
Dmitry Medvedev in the Kremlin on December 7, with a civil nuclear
cooperation agreement and an extended defence cooperation pact,
expected to be the highlight of the meeting.

Last week as the PM travelled to the US, over-zealous bureaucrats in
the Obama administration, well-versed in the minutiae of non-
proliferation matters, prevented a signature on a nuclear fuel
processing agreement between India and the US.

But next week in Moscow, an umbrella agreement on civil nuclear
cooperation that envisages as many as 10-12 Russian nuclear reactors
being sold to India over the coming decade, could well transform the
stagnating relationship and take it into new realms, far beyond the
meagre $10 billion of annual bilateral trade today.

Another indicator of freshly warming ties is the visit of Russian
Prime Minister Vladimir Putin to Delhi in the first half of March
2010, when the deal over the ‘Admiral Gorshkov’/INS Vikramaditya
aircraft carrier and its accompanying Mig-29K fighter jets is likely
to be finally signed.

Besides these pacts, a joint declaration between the two sides
envisaging a political partnership, a $100-million credit line between
Russia’s Vneshekonombank and Exim Bank, as well as a small agreement
on procedures to be employed by defence personnel participating in
joint exercises between the two sides will be started.

On the evening of December 7, the prime minister will also formally
close the ‘Year of India in Russia’ at the world-famous Bolshoi
Ballet, where noted sarod player Amjad Ali Khan will perform with his
two sons. However, a culture agreement between the two sides is
unlikely to see the light of day.

Highly placed sources in both establishments confirmed that Delhi has
indicated to Moscow about being willing to look at expanding the
number of Russian nuclear plants going to be built on a second site at
Kudankulam in Tamil Nadu, from four to six.

Russia is already building two civil nuclear plants of 1,000 Mw each
at Kudankulam — taking the proposed total there to eight — and these
are expected to go onstream very soon.

Similarly, at the Haripur site in West Bengal which has been allocated
to Russia to build two reactors (besides two each for the US in
Gujarat and Andhra Pradesh and two for France in Maharashtra), the
possibility of expanding this number to four is already being talked
about. It is believed Medvedev will make Singh an offer of building
10-12 reactors over the next decade in India.

Significantly, the impending civil nuclear cooperation agreement is
expected to talk about much more than nuclear reactor sales from
Russia to India. Besides incorporating schedules and sales of nuclear
fuel that will feed the Russian reactors and allow Indian reprocessing
of the fuel — the real crux of the problem in the case between India
and the US — the deal actually signifies a slow but definite shift in
India’s strategic vision of the world and the reinvented contours of
its relationship with Russia.

Indian officials steeped in nostalgia have often reminisced about the
halcyon days of the special relationship between India and the Soviet
Union. But in recent months, it has been none other than the
pragmatist prime minister — whose single-minded pursuit of the US over
the past five years in search of the nuclear deal meant that several
other relationships like Russia were abandoned by the Moskva riverside
— who has signalled his intent to re-look at the Indo-Russian
relationship in new ways.

Describing Russia as a “world power” in interviews with Delhi-based
Russian journalists two days ago, on the eve of his Russia visit — a
phrase he has not used in the past five years — the prime minister
also talked about the need for both Indian and Russian businessmen to
take advantage of India’s powerful growth indicators despite the
recession that has consumed Russia.

The PM’s reference to Russia as a “world power” was made in the
context of how Moscow should seek to influence Pakistan to abandon
terrorism as an instrument of strategic power.

In one swoop, the PM was indicating, again, that India was not only
ready and willing to talk to Islamabad if it took serious measures
against India-related terrorist attacks, but also allowed that Russia,
besides the US, had a stake in taking responsibility for the expanding
arc of terrorism that affected not only Afghanistan-Pakistan but also
the underbelly of Russia and all of Central Asia.

Both Russian and Indian officials strenuously deny that the newly
warming relationship between them has something to do with the newly-
acquired distance between Delhi and Washington under the Obama
administration. But, it is clear that Manmohan Singh put on a brave
face when the world saw India being jointly lectured by the US and
Chinese presidents in Beijing recently.

According to noted Russian political analyst Sergei Kurginyan, who in
Delhi recently met senior Indian officials, including National
Security Adviser M K Narayanan, “India is a very important partner for
Russia and promoting the bilateral relationship is in the strategic
interest of both countries”.

Besides the nuclear agreement, the other major pact to be initiated at
the Kremlin will revolve around the expanded long-term defence
cooperation between India and Russia, over the decade 2010-2020.

Meanwhile, sources confirmed that price differences still persisted
over the ‘Admiral Gorshkov’ deal, which is why it was not being
finalised during the PM’s coming visit to Moscow. India is still not
willing to pay more than $2.1-2.2 billion for the entire package,
while the Russian side is not comfortable with a price below $2.5-2.7
billion.

A third interesting aspect of the PM’s visit relates to the meeting of
the Indo-Russia CEOs council, co-chaired by Mukesh Ambani of Reliance
Industries, and Vladimir Yevtushenkov, the CEO of the Sistema group
(which promotes its telecom services in India under the MTS brand).

Both are expected to forge an economic bilateral agenda over the next
few years and break the abysmally low self-fulfilling prophecy of
minimal trade and even less investment, although it isn’t clear right
now how they intend to do so.

http://www.business-standard.com/india/news/india-to-get-more-nuke-reactorsrussia/378633/

chhotemianinshallah

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Dec 5, 2009, 7:53:01 PM12/5/09
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India poised to become world No 1 in Test cricket
TNN 6 December 2009, 01:58am IST

More than 77 years after India began playing Tests, M S Dhoni's men
have a real chance of going where no Indian team has before - the
summit of Test cricket.

With Sri Lanka still needing 59 runs to make India bat again, and just
four wickets to go, the ICC world No 1 Test ranking is tantalizingly
within reach.

If achieved, it would be a fitting slot for a team that hasn't lost a
Test series since August 2008 in Sri Lanka and has since proceeded to
sort out ‘mystery spinner' Ajantha Mendis in no uncertain terms.

Before that, they lost narrowly to Australia in Australia - and even
that was a bitter, scrappy affair in which they ran the then world
champions down to the wire and would probably have drawn the series,
but for the intervention of Steven Bucknor at Sydney.

India may have lost that series, but it was clearly on the right
track, with the batsmen no longer cowed by lively tracks or short-
pitched pace. Remember, during that series India beat Australia at
Perth, considered a fast bowler's dream pitch. Just as importantly,
the team finally had an attack that could match fire with fire, while
also boasting the traditional Indian strengths of guile and tweak.

Long described as tigers at home but lambs abroad, India had briefly
turned the tide under Sourav Ganguly. Even after he left the hot seat,
India notched up some important wins, like the series win in England.
But Rahul Dravid's abrupt resignation plunged Indian cricket into a
fresh round of confusion after the chaos of the Greg Chappell era.

Enter Anil Kumble, the first bowler to captain India since Ravi
Shastri led in a single Test in 1987-88. Kumble's vision document
conveyed the need for focus and dedication. His mantra: Play fearless
cricket and stop quibbling about factors you can't control, like the
toss or the wicket. During his stint, the team found its feet again.

Kumble's exit paved the way for M S Dhoni. Having led India to victory
at the first T20 world championship and the final Australian tri-
series, Dhoni had already established his leadership credentials. His
calm-but-ruthless style has worked equally well in Tests.

http://timesofindia.indiatimes.com/sports/cricket/series-tournaments/sri-lanka-in-india-2009/top-stories/India-poised-to-become-world-No-1-in-Test-cricket/articleshow/5306363.cms

chhotemianinshallah

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Dec 5, 2009, 7:59:54 PM12/5/09
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The world banks on India: Zoellick
Shankar Raghuraman & Vikas Singh, TNN 5 December 2009, 02:06am IST

NEW DELHI: Robert Zoellick has seen a lot change over the course of a
long career, first in the US government, now as the World Bank
president. But perhaps the most startling change is in the way the
world views India.

‘‘The outside world’s image of India now is of cutting-edge
competitive companies that are going to take jobs away from the
developed world. I get more and more voices coming from Europe and
North America saying, ‘Why should we give money to India when they’re
going to be a threat to our businesses?’ I have to constantly explain
the huge income diversity of India and the fact that a lot of
development work still needs to be done,’’ he chuckles.

In an exclusive interview to TOI, Zoellick also dwelt on how the
growing strength of India-US ties has proved helpful to him. “I’m
eventually going to have to go to the US Congress to seek its support
for an increase in the World Bank’s capital. I spoke to the
Confederation of Indian Industry and said, ‘Maybe you can help me
because I know there’s a strong India Caucus in Washington. Together
we can make a case that an increase in the Bank’s capital would help
India’s development’.”

Wrapping up a four-day visit to the country, Zoellick praised India’s
“strong crisis management” and said it was playing an important role
in leading a global recovery. “We all look to India now as a rising
global economic power and in our interconnected world it has played a
helpful role over the tough moments of the past year,” he said.
But he brushed aside a suggestion that the strong showing of the
Indian and Chinese economies — at a time when the US and other
developed countries are still struggling — might decisively shift the
balance of power and make this the Asian Century.

‘‘Two centuries ago, India and China probably accounted for 20-25% of
the world’s GDP each. For a variety of reasons, their share dropped
dramatically thereafter. It’s natural that their share will increase
again. But I personally think that the US retains a huge amount of
dynamism and it’s not going away anywhere. When I visit India and
China, I find a lot of people wanting to deepen their ties with the
US. There has been a greater distribution of growth and opportunity in
recent times, which is great. But I don’t see it as the Asian Century
or the American Century or the European Century. I see it as the
challenge of how to get the globalization process to work more
effectively for everyone.”

Speaking specifically about the Bank’s role in India, Zoellick said he
favoured a shift in strategy to get “more bang for the buck”. “Our
current portfolio of commitments is $22 billion. That includes $3.4
billion a year from the International Finance Corporation (the Bank’s
private sector arm). India is the primary country for IFC, we have
more investments here than anywhere else. I’d like to do more. But if
you look at our investment profile here, it tends to be a series of
individual projects. We’re talking to the government to see whether it
would be interested in consolidating, maybe doing fewer projects but
trying to use the money to help support public policy and
institutional development.”

“In a country of India’s size, if you want to have an effect on public
policy, you probably need about a billion dollars to play in the
game,” he added. “We’re lending about a billion to help clean up the
Ganga — a fascinating project, because of the river’s cultural
importance. In agriculture, we’ll do some $5 billion in 2009-12. On
the national highways project, we’ll probably start with a billion and
move up. But even with the sums we’d like to do, it’s still modest
compared to India’s needs. So I was asking your government, ‘how can
we use our resources to have a greater effect in priority areas’? And
I want to make sure we’re aligned to the government’s priorities.”
Zoellick added that the Bank had a role to play in providing not just
financial resources but also leveraging its knowledge of global best
practices. “I had a meeting with Kamal Nath and some private
entrepreneurs. And we discussed how the Bank could apply its learnings
from around the world to help make India’s bidding process for road
projects more transparent and competitive, while ensuring quality and
engaging local communities.”

If the Bank were to focus on poorer states, we asked, wasn’t there a
chance that it would actually be lending money to the worst-governed
regions? And wouldn’t that negate its intent of maximising
effectiveness of lending? “We’d like to focus on states where there’s
interest in building capability and institutional capacity, even if
they’re poor for historical reasons. Also, if you look at China, we
don’t do many large projects there but lots of pilot projects which
serve as models,” he responded.

So, does he think disbursing intellectual capital is as important as
disbursing financial capital? “One of our problems is that we’re
called a bank,’’ he replied. “We don’t just put out money. We work
most effectively when we combine knowledge, experience and learnings
from around the world. We’re trying to use money in the most effective
way possible. But we also try to build markets and institutional
capacity. It could be a local currency bond market or carbon market or
microfinance development market. But we’re constantly asking
ourselves, ‘how can we have more effect’?”

“It’s not a one-way street, either,” he concluded. “Today, toll roads
are fairly common in India, but would be a revolutionary concept in
many US states. You have some of the world’s finest minds, impressive
companies and dynamic entrepreneurs. There are still huge challenges,
but India has made impressive progress in developing programs that
reach poor people. I believe the world has a lot to learn from
India.”

(Tomorrow: Zoellick on globalization, multilateralism and
democratization of the bank and the fund)

chhotemianinshallah

unread,
Dec 6, 2009, 9:14:04 AM12/6/09
to
India, Russia reach agreement on Gorskhkov, to ink nuke deal tomorrow
PTI 6 December 2009, 06:59pm IST

MOSCOW: India and Russia have reached a broad agreement to break the
logjam over the protracted price renegotiation over Admiral Gorshkov
aircraft carrier and the two sides are expected to sign a landmark
civil nuclear pact during summit talks between Prime Minister Manmohan
Singh and President Dmitry Medvedev tomorrow.

Seeking to resolve the Gorshkov price issue, an irritant in bilateral
ties, the two countries have worked out a general agreement, sources
said. A pact in this regard, however, is unlikely to be signed during
Singh's visit here.

The Prime Minister arrived here on a three-day visit, his sixth trip
to Russia since 2004, that will also see the inking of three
agreements in the field of defence, including one for ending ad-hocism
in servicing Russian military equipment.

As a special gesture, the Russian President will host a private dinner
for Singh and his wife Gursharan Kaur at his countryside residence in
Barvikha outside Moscow.

The path-breaking civil nuclear pact is significant as it will ensure
uninterrupted uranium fuel supplies from Russia in the event of
termination of bilateral ties in this field for any reason, the
sources said.

The agreement is considered by India as a "major improvement" over the
123 pact with the US which provides for not just termination of
ongoing cooperation but also for the return to the country of already
supplied components and fuel in the event of the accord being
scrapped.

http://timesofindia.indiatimes.com/india/India-Russia-reach-agreement-on-Gorskhkov-to-ink-nuke-deal-tomorrow/articleshow/5308166.cms

bademiyansubhanallah

unread,
Dec 6, 2009, 4:16:49 PM12/6/09
to
From no one to No 1, Team India comes of age
Vijay Tagore / DNA Monday, December 7, 2009 0:34 IST

Mumbai: I am very proud to be part of this Indian team today. We have
achieved what we were aiming to do for the last 18 months. The feeling
of being the best is great. There is also the satisfaction of having
contributed to the team's success in a small way.

What stands out for me in this side, compared to the ones I have
played in before, is togetherness. We back ourselves and each member
is fiercely motivated.

I know the difficult job starts now. We have to live up to
expectations and remain No 1. It is unfortunate that we will be
playing only two more Tests till November next year. We know some
other sides may play well in this period and may overtake us but we
will have to give our best in every Test from now on. We can't rest on
our laurels. The real hard work starts now.

I have been asked how I compare my 293 with the No 1 ranking. The
ranking is the biggest thing to have happened to the Indian team and
my 293 is no match in comparison. Individual performances do not
matter here. You may score 100, 200 or 293 and the team loses; that
knock has no value. The rank is a team achievement, supported well by
the coaching staff. Hopefully, we will keep playing good Test cricket
from now on.

The key to achieving is all-round contribution. We can't win Test
matches by scoring triple hundreds. A lot of credit is due to the
bowlers, particularly the pacers who have worked hard on not-so-
helpful wickets and kept taking five-wicket hauls. And the spinners
were always on the ball. We have also improved as a fielding side. We
work hard at the nets and that is another important factor.

Having said that, if any individual or a group of individuals who
deserve credit for this achievement, then it is Mahi (skipper MS
Dhoni) and Gary (coach Gary Kirsten). I think Mahi is a tremendous
captain and a leader. He has led the side brilliantly since he took
charge. As for Gary, I can say he is not just one of the best but the
best coach in the world. India is lucky to have him.

Then there is Gautam Gambhir. I missed him very badly in this Test.
His contribution to the team's success is immense. It is amazing the
way he has been performing for the last two years. Scoring seven
centuries in nine Tests is no mean achievement. He has been the pillar
of the Indian team.

The success, however, has not come overnight. We have been planning
this for the last few years. There have been discussions on this in
the team meetings. We talk strategy on how to do certain things to
achieve our goal.

Personally, I'm happy that I got 293. There are not many players who
have this kind of scores. Yes, 300 would have been great but I'm
equally proud of 293. The most satisfying thing was the team's win,
rather than my innings. Since that knock, I have been asked questions
about similarities in my style of batting with Vivian Richards. It is
a great honour to be compared with such a great player. I hope I will
live up to the expectations.
(As told to Vijay Tagore)

http://www.dnaindia.com/sport/report_from-no-one-to-no-1-team-india-comes-of-age_1320912

bademiyansubhanallah

unread,
Dec 6, 2009, 4:18:33 PM12/6/09
to
Team India's tryst with destiny
Vijay Tagore / DNA Sunday, December 6, 2009 10:30 IST
Last updated: Sunday, December 6, 2009 10:59 IST

Mumbai: It may have taken more than 75 years to become the best Test
team in the world but in the end, the moment came faster than
expected. A little over half an hour into the final day of the Test
and the mission was accomplished. At precisely 10.04am on Sunday, MS
Dhoni and his men anointed themselves as the No.1 in the world. For
the record, India beat Sri Lanka by an innings and 24 runs to clinch
the series 2-0.

The desire to become the No.1 team must have been pretty strong as
India needed only 7.4 overs on the last day of the final Test. Zaheer
Khan never looked better in the series and unleashed some unplayable
deliveries.

One of them was to Sri Lanka skipper Kumar Sangakkara. And the team
showed they can perhaps do without the new fielding consultant. They
were sharp and resilient.
Even as India looked pumped up, the Sri Lankans looked to be in hurry
as if they had to catch a return flight home. Skipper Sangakkara, who
batted bravely on the fourth day, departed nicking one off Zaheer to
Dhoni on the third ball of the day.

The Sri Lanka captain's wicket set the tone for India's victory.
Zaheer dismissed Ranganna Herath and Nuwan Kulasekara and Harbhajan
Singh had Muttiah Muralitharan caught by Dhoni.

India celebrated the win with a huddle and Sachin Tendulkar, the
champion batsman, admitted that he waited all through his 20-year
career for this moment. He declared that he is enjoying the moment and
is in no mood to think about retirement.

http://www.dnaindia.com/sport/report_team-india-s-tryst-with-destiny_1320579

bademiyansubhanallah

unread,
Dec 6, 2009, 4:20:15 PM12/6/09
to
India third team to be World No 1 Test team since 2001
PTI Sunday, December 6, 2009 12:28 IST

Dubai: Indian cricket today touched an unprecedented high as Mahendra
Singh Dhoni's men became the number one Test side for the first time,
dislodging South Africa in the ICC Rankings issued here today.

The innings and 24-run win over Sri Lanka in the third Test in Mumbai
gave India a 2-0 series triumph and five rating points from the
rubber, taking their overall tally to 124.

India is only the third team after Australia and South Africa to go
atop the ladder since the Test Championship was introduced in May
2001, the ICC said in a statement.

India had started the series in third spot on 119 ratings points,
three less than South Africa.

The 2-0 series win also means India will finish 2009 as the number-one
ranked side after starting the year in third place behind Australia
and South Africa.

Although Australia's ongoing series against the West Indies will
conclude before the year ends, even a 3-0 clean sweep by Ricky
Ponting's men will not be enough for them to challenge India's top
spot.

South Africa, who had topped the Test rankings in August after
Australia lost the Ashes to England, will have an opportunity to
regain the position when they go head to head with England in a four-
Test series starting later this month.

A series win by 2-0 or better will give Graeme Smith's side back its
number-one spot but that scenario will arise only in January next
year.

While the 2-0 success has put India on top of the world, the defeat
has dropped Sri Lanka from second place to fourth spot in the Test
Championship table which is only updated at the end of a series.

ICC Test Championship table:
1. India (124), 2. South Africa (122), 3. Australia (116), 4. Sri
Lanka (115), 5. England (105), 6. Pakistan (84), 7. New Zealand (80),
8. West Indies (76), 9. Bangladesh (13).

http://www.dnaindia.com/sport/report_india-third-team-to-be-world-no-1-test-team-since-2001_1320613

bademiyansubhanallah

unread,
Dec 6, 2009, 4:22:34 PM12/6/09
to
India deserves this, says John Wright
Monday, December 7, 2009 0:30 IST


Are you aware that India has become the world No.1 Test team?

I got a call from The Independent in London. They asked me about
Sehwag being close to his third triple century. Journalists in New
Zealand too have been asking and writing about it. So I have been
following the series. I actually follow all the matches that India
play.

What's your take on India's achievement?

India deserves this -- not only the players and the Board but also the
fans. I'm very pleased for your country. They are the best in the
world and they truly understand and celebrate their cricketers'
success. I'm happy for them.

Did you ever think that India would go on top?

I always knew that India has the ability to become the best Test team
in the world. I'm so pleased for the players, Gary (Kirsten), Paddy
(Upton) and the BCCI. I know the Board is a tough task master but it
is fantastic. I'm very pleased.

There is a perception that some credit is due to you. You have
instilled in them the belief that they can be the No.1...
I think Sourav (Ganguly) and the senior players like Rahul (Dravid)
and Anil (Kumble) should deserve credit for that. I know Sourav and
Anil have retired but I was lucky to have some fantastic five-six
senior players -- Sourav, Anil, Rahul, Sachin, Srinath and then some
talented youngsters like Harbhajan Singh, Virender Sehwag and MS
Dhoni. I was lucky there.

I think Gary has been wonderful for the side. I don't know how he
coaches but I understand his style of coaching is similar to mine. For
me, to be the first foreign coach was a great privilege and honour.
And it was wonderful that it was carried on by Gary after an odd
hiccup.

You think they can maintain their position?

That is the challenge. They first have to enjoy it and then take up
the challenge. In India everything is there in the system -- they have
the structure and the academy. Now they have to keep producing the
players. So I think they can stay at the No.1 spot.

What was the biggest turnaround for India? Was it in Kolkata in 2001?

The ability to bring about a turnaround was always there. The theme
was to achieve team achievement as against individual achievements.
There are great individual achievements but in a funny way today's
achievement is greater than any of those. The key for India is to have
potent fast bowlers. That way Zaheer Khan and Sreesanth are very
important for the side. But the best thing about India is that they
are not reliant on any one player. A few individuals will soon go away
but every young Indian cricketer now knows that the team can be the No.
1. That is the turnaround.

What do they have to do to sustain this achievement?

Look, they have won the World Twenty20 title two years ago. They are
No.1 in Tests and they were also No.1 in ODIs. So they have the
ability. But the key is to stay together as long as possible and pass
on the baton to the right individuals. They have the talent and the
people of India back them. I think they can not only sustain this but
can get even better.

Should BCCI change its mindset and allow India to play more Tests?

I'm not sure. Scheduling is a very difficult thing. Test match cricket
is taking a backseat everywhere in the world. Besides, India can also
be the No.1 side in every format of the game. They have the skills to
excel in every format of the game so why concentrate only in one
format.

You coached Sehwag. He has just missed a major milestone. How has he
evolved over the years?

I'm very proud that I know him. He has the ability to do it again. I'm
very confident he will do it again. He just has to play the ball
straight.

How do you rate skipper MS Dhoni vis-a-vis other Indian captains you
worked with?

Sourav, Rahul and Anil were wonderful leaders in their own ways and
Mahendra was on a good learning curve. He is a smart cricketer and has
learnt a lot. He also has some great cricketers like Sachin in his
side. He sets great leadership standards. I have been telling the boys
that they have to be accountable to the biggest fan base in the world.
I'm happy that I could play a small part in this wonderful team's
great rise.

http://www.dnaindia.com/sport/interview_india-deserves-this-says-john-wright_1320903

bademiyansubhanallah

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Dec 6, 2009, 4:24:25 PM12/6/09
to
Best Indian team: Sachin
DNA Monday, December 7, 2009 0:20 IST

Mumbai: Sachin Tendulkar has reached greater heights in batting but
his dream to see India at the top was achieved only on Sunday in his
two-decade-old career.

The Indian batting maestro showered praised on the MS Dhoni-led team,
calling it one of the best Indian teams ever. "Yes, I must say so. We
have got such a strong batting line-up right from the top to No.7
where Dhoni bats. It's a wonderful feeling to become the No.1 Test
side. We have been waiting to get to this position for a long time,"
Tendulkar said.

http://www.dnaindia.com/sport/report_best-indian-team-sachin_1320905

bademiyansubhanallah

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Dec 6, 2009, 4:26:07 PM12/6/09
to
Gambhir says he is happy to receive award after Sehwag
PTI Sunday, December 6, 2009 22:14 IST

Mumbai: After receiving the best cricketer of the year award from BCCI
president Shashank Manohar, Gautam Gambhir said that he was very happy
and honoured to receive it in the year after his favourite player and
India team-mate Virender Sehwag got it.

"Last year Sehwag said that he was happy to receive it after his
favourite player (Sachin) had got it. Now I am happy to receive it
after my favourite player (Sehwag)," he said.

"It is great to be part of such a great team," Gambhir said.

http://www.dnaindia.com/sport/report_gambhir-says-he-is-happy-to-receive-award-after-sehwag_1320851

bademiyansubhanallah

unread,
Dec 6, 2009, 4:29:47 PM12/6/09
to
Team India players get cash award of Rs25 lakh each
PTI Sunday, December 6, 2009 19:41 IST
Last updated: Sunday, December 6, 2009 20:34 IST

Mumbai: Hero of the 1983 World Cup, Mohinder Amarnath and in-form
opener Gautam Gambhir hogged the limelight at the annual awards
function of the Cricket Board held in Mumbai tonight.

Amarnath who followed in the footsteps of his illustrious father Lala
was bestowed with the Col CK Nayudu Lifetime Achievement Award,
comprising a trophy and Rs15 lakh.

Former India captain Lala Amarnath was the first recipient of the
prestigious award in 1994. Left-handed batsman Gambhir, who missed the
third and final Test against Sri Lanka to attend his sister's wedding,
received the Polly Umrigar Award for being India's best cricketer
between October 1, 2008 and September 30, 2009.

The Delhi batsman, who received a trophy and a cheque for Rs5 lakh,
scored 1269 runs from eight Tests at 84.6 (inclusive of five
hundreds), during this phase with memorable efforts of 206 against
Australia at Delhi, and a match-saving ten-hour marathon worth 137
against New Zealand at Napier.

He also scored 670 runs from twenty-one ODIs, and 177 runs from eight
T20 Internationals, during this period.

http://www.dnaindia.com/sport/report_team-india-players-get-cash-award-of-rs25-lakh-each_1320798

chhotemianinshallah

unread,
Dec 6, 2009, 8:04:55 PM12/6/09
to
India, Russia to sign umbrella nuclear deal 'better than 123'

6 Dec 2009, 1730 hrs IST, IANS

NEW DELHI: India and Russia will sign on Monday an umbrella agreement
for expanding civil nuclear cooperation that will give New Delhi the
right to reprocess spent fuel, taking the pact "far beyond the 123
agreement" inked with the US, a top official said here Sunday.

The official's comments came as Prime Minister Manmohan Singh arrived
in Moscow on a three-day visit that is expected to take the time-
tested strategic partnership between the two countries to another
level in "an evolving international situation."

The inter-governmental umbrella agreement on peaceful uses of nuclear
energy will provide a comprehensive framework for expanding the
existing civil nuclear cooperation between the two countries. Last
year, the two sides signed a pact for Russia building four additional
reactors at Kudankulam in the southern state of Tamil Nadu.

The agreement will be an advance on the 123 civil nuclear cooperation
agreement signed between India and the US last year by granting India
the right to reprocess spent fuel and facilitating the transfer of the
sensitive enrichment and reprocessing technologies, official sources
said.

Recently, India announced the allocation of one more site at Haripur
in West Bengal for nuclear reactors supplied by Russia.

Russia, one of the earliest supporters for India re-joining the global
nuclear trade, had supported consensus for New Delhi in the Nuclear
Suppliers Group.

India and the US are in the final stages of concluding a reprocessing
pact. The pact was expected to be signed during Manmohan Singh's visit
to Washington last month, but could not materialise due to "minor
problems" relating to the language of the draft agreement.

http://economictimes.indiatimes.com/News/Politics/Nation/India-Russia-to-sign-umbrella-nuclear-deal-better-than-123/articleshow/5307963.cms

...and I am Sid harth

chhotemianinshallah

unread,
Dec 6, 2009, 8:07:00 PM12/6/09
to
PM arrives in Russia for arms, nuclear deals

7 Dec 2009, 0237 hrs IST, AGENCIES

MOSCOW: Indian Prime Minister Manmohan Singh arrived in Moscow on
Sunday to ink billions of dollars of weapons deals and for talks on a
landmark nuclear deal that could significantly widen atomic fuel
imports from Russia.

India, along with China, is one of Russia's biggest clients for arms
sales but New Delhi has been upset in recent years by long delays in
the delivery of a refurbished Soviet-era aircraft carrier under a $1.6
billion contract.

The signing of arms deals and talks on a civilian nuclear deal to
widen uranium fuel deliveries are set to take centre stage in the
three-day visit, officials said. Singh met Russian President Dmitry
Medvedev for an informal dinner after arrival on Sunday and is also
set to meet Russia's powerful prime minister, Vladimir Putin.

"Cooperation in the field of defense has been a very important aspect
of our cooperation with Russia," Singh told the Russia Today English-
language television channel. "We have been able to get equipment and
technologies from Russia which were not available to us from any other
countries."

Russia and India, which in October agreed the outlines of a 10-year
weapons deal that could be worth at least $10 billion, are building a
modern supersonic fighter aircraft invisible to radars like the US
F-22 Raptor stealth fighter.

Singh may sign weapons orders including a $1 billion deal for 80
Russian Mi-17 helicopters and contracts for fitting Brahmos missiles
onto Russian-made Sukhoi fighter planes, Indian officials have said.
Long delays to the Admiral Gorshkov aircraft carrier have soured ties
with some of India's military top brass. In July Medvedev took the
rare step of publicly scolding the Russian shipbuilder for the
delays.

COLD WAR ALLY

Russia sees India, a Cold War ally, as an important partner whose
influence will expand in Asia, though trade lags far behind Moscow's
economic ties with the European Union and China. Trade rose to $5.1
billion in the first nine months of 2009, though that accounts for
just 1.6 percent of Russia's external trade, according to Russian
state figures.

Indian energy companies including state-run company ONGC have been
trying to boost their position in Russia, the world's biggest energy
producer, though it was unclear if any deals would be reached during
Singh's trip. Russia is seeking to strengthen its foothold on the
Indian nuclear market before a deal with Washington gives major US
companies access to the Indian market.

The 2005 civil nuclear deal that Singh signed with former US President
George W. Bush, ended the long nuclear isolation imposed on India
after it tested an atom bomb in 1974. But several issues need to be
cleared up before US businesses including General Electric Co and
Westinghouse Electric Co, a subsidiary of Japan's Toshiba Corp, can
compete for billions of dollars in new reactor agreements.

Press Trust of India said India and Russia were set to sign a new
civilian nuclear pact that could ensure uninterrupted uranium supplies
from Moscow, but gave no further details. Russia is building nuclear
reactors at the Kudankulam nuclear power plant in the southern Indian
state of Tamil Nadu and plans to build additional plants.

http://economictimes.indiatimes.com/News/Politics/Nation/PM-arrives-in-Russia-for-arms-nuclear-deals/articleshow/5309068.cms

bademiyansubhanallah

unread,
Dec 7, 2009, 3:58:27 AM12/7/09
to
Indo-Russian defence coop key to bilateral ties: PM
Agencies

Posted: Monday , Dec 07, 2009 at 1226 hrs

Moscow:

The two sides are also expected to sign a landmark framework agreement
on civil nuclear cooperation.

As he prepared to meet President Dmitry Medvedev for the annual summit-
level talks, Prime Minister Manmohan Singh has said defence
cooperation has been a "very important aspect" in Indo-Russian ties.

Singh arrived on Sunday on a three-day visit, his sixth trip to Russia
since 2004, that will see the inking of three agreements in the field


of defence, including one for ending ad-hocism in servicing Russian
military equipment.

The two sides are also expected to sign a landmark framework agreement
on civil nuclear cooperation.

"Cooperation in the field of defense has been a very important aspect
of our cooperation with Russia," Singh told the Russia Today

television channel.

"We have been able to get equipment and technologies from Russia which

were not available to us from any other countries," he noted.

Reflecting the warmth in the bilateral ties, the Russian President
hosted a private dinner last night for Singh and his wife Gursharan
Kaur at his countryside residence in Barvikha outside Moscow, an
honour so far accorded only to US President Barack Obama.

Over dinner, Medvedev and Singh held informal discussions on a wide
range of issues including nuclear cooperation and conventional
energy.

http://www.indianexpress.com/news/indorussian-defence-coop-key-to-bilateral-ties-pm/550984/

chhotemianinshallah

unread,
Dec 7, 2009, 8:06:13 AM12/7/09
to
Old friends, different times

C. Raja Mohan
Mon, Dec 7 05:28 AM

As Prime Minister Manmohan Singh holds consultations with the Russian
leadership today, India should get a first-hand assessment of Moscow's
thinking on the rapidly changing great power relations and what they
mean for the balance of power in Eurasia.

A decade ago when annual summitry between India and Russia began,
Moscow was driven by the need to limit the dangers of perceived
American unilateralism. Russia, like everyone else in the world
including India, must now come to terms with the dramatic rise of
China and the new direction of Sino-American partnership.

A decade ago, disappointed by the meagre results from Boris Yeltsin's
attempts to integrate Russia with the West through the 1990s — the
immediate aftermath of the Cold War — a new generation of Russian
leaders led by Vladimir Putin sought to reaffirm Moscow's standing as
a great power.

This did not mean Putin wanted a renewed confrontation with the US.
Hardly. Putin offered unconditional cooperation to the US in the wake
of 9/11, and President George W. Bush declared that he could do
business with Putin.

Throughout this decade, Russia focused on the creation of a
"multipolar world" that would limit America's "hyperpower". This in
turn set the stage for Russia's major strategic initiative of the
current decade — the institutionalisation of the so-called strategic
triangle with China and India, and drawing in other emerging powers
such as Brazil.

Russia also extended support to China's initiative to build the
Shanghai Cooperation Organisation. Both Moscow and Beijing had a
common interest in preventing the United States from meddling too much
in Central Asia, which abuts Russia's soft underbelly and China's
volatile western flank.

This framework, of course, is coming apart amidst the shifting balance
among Washington, Beijing and Moscow. As he copes with the challenges
of a rare financial crisis at home and the unfinished costly wars in
Iraq and Afghanistan, Ameican President Barack Obama has chosen to
"reset" ties with Russia and reach out to China.

Delhi must expect that Putin and Russian President Dmitri Medvedev
would want to take full advantage of Obama's offer. At the same time
Moscow has also reasons to be wary about the growing pressures on
Washington to accommodate Beijing.

Like India, Russia has no interest in seeing a Sino-American
condominium over Asia. Obama's visit to Beijing last month has
generated as much anxiety in Moscow as it has in Delhi. It has
revealed the new imperatives for India and Russia to draw together
amidst the new flux in great power relations.

It might be worth recalling that it was Sino-US rapprochement in 1971
that pushed India towards a de facto alliance with the Soviet Union.
Unlike in the 1970s, Delhi and Moscow should have no desire to direct
their partnership against either Washington or Beijing. After all,
Russia and America are recrafting their relationship; and Moscow's
ties with Beijing are becoming thicker than Indo-Russian relations.

Meanwhile, India's own fledgling strategic partnership with America
has been reaffirmed during Dr Singh's visit to Washington last month;
and for all the difficulties in Delhi's ties with Beijing, there is no
way of ignoring the importance of a peaceful Sino-Indian relationship.

What Dr Singh and his Russian interlocutors are looking at is a new
Eurasian equilibrium, in which Delhi's ties with Moscow do not remain
the weakest link. At the core of any attempt to restructure the Indo-
Russian relationship must be the recognition of the fact that a
multipolar world is already at hand — thanks to the rise of China and
the weakening of American power.

As Delhi and Moscow recognise that the creation of a multipolar Asia
is as important as the construction of a multipolar world, an agenda
of cooperative bilateral action presents itself. The following is an
illustrative list of what India and Russia can do together in the
coming years.

India's growing hunger for natural resources and Russia's need to
modernise its massive mineral sector provides a synergy that needs to
be fully developed. Indian capital, managerial talent and manpower
can, for example, help Russia develop its resource-rich far eastern
regions.

India and Russia could think big about developing bilateral industrial
collaboration between Russian defence firms and the Indian private
sector that has now ventured into arms manufacture.

Delhi and Moscow can both learn from Beijing which has become a major
exporter of arms in Asia, Middle East and Africa and is in a position
to tilt the military balance of power in many sub-regions of the
world.

On the nuclear front too India and Russia must focus on the objective
of jointly offering the full spectrum of nuclear products and services
to the rapidly expanding global market for atomic electricity
generation.

Even more important is the need for Indo-Russian collaboration in
advanced atomic science and technology — from nuclear fusion to high
energy lasers — that contributes to their own national security as
well increases their contribution to the promotion of global arms
control and non-proliferation.

Finally, India and Russia must consider very visible and bold high
technology ventures that will capture the spirit of new possibilities
between the two countries. The establishment of a joint centre for
advanced space research in India could be one way of going about it.

Such a facility could focus on a range of new opportunities in outer
space — from colonising the moon to the development of cheaper launch
technologies, from developing small nuclear reactors for space travel
to development of new legal principles to govern growing human
activity in the heavens, and from training Indian astronauts to
developing space-based solar power.

The writer is Henry A. Kissinger Chair in Foreign Policy and
International Relations at the Library of Congress, Washington, DC

exp...@expressindia.com

http://in.news.yahoo.com/48/20091207/1241/top-old-friends-different-times.html

chhotemianinshallah

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Dec 7, 2009, 8:10:48 AM12/7/09
to
'A diplomat without peer'

Mani Shankar Aiyar
Thu, Dec 3 06:13 AM

Shilendra Kumar Singh (or SK, as he was universally known) was perhaps
the Indian Foreign Service's most adept practitioner of the interface
between politics and diplomacy. As a diplomat he was without peer, a
voracious reader, a clear and concise writer with an incredibly neat
hand, an excellent public speaker and an utterly charming
conversationalist. Behind the friendly exterior lay a razor-sharp
mind, a steely determination and a healthy scepticism which prevented
him from falling for all that he was told. He buzzed at all the
flowers in the garden but picked only the honey that he chose.

His experience ranged across most of the key dimensions of Indian
foreign policy. Beginning as a Persian-language student, his first
posting in Tehran took him as the consular officer on adventurous
voyages to Gulf ports which have since become magic names for untold
prosperity — but were then no more than havens for the dhows, where
young boys dived for pearls and camel caravans stretched into the
desert. He then had a stint at the United Nations in New York in the
heyday of India's involvement with the UN and the early years of the
Non-Aligned Movement. With India leading the decolonisation crusade
and drumming up adherents by the day to the Non-Aligned Movement,
Indian influence on world affairs was at its peak and our reputation
for knowing our own mind and speaking it was at its height. Later, he
was ambassador to a series of hotspots: Lebanon, as the PLO was being
pushed out; Afghanistan, as the Soviet Union allowed itself to be
pushed into a foolhardy invasion which eventually brought the
Communist house of cards tumbling down; Pakistan, as it made its
transition from Zia to Benazir Mark I; and then foreign secretary till
he was prematurely ousted in a shameful coup by the V.P. Singh
establishment and their IFS mercenaries.

But perhaps his highest point was as director, external publicity and
South Block spokesman during the first few years of Prime Minister
Indira Gandhi and her Minister of External Affairs, Dinesh Singh. That
was when SK came into his own as a master player in the interface
between politics and diplomacy. His contacts ranged across the
political spectrum and he proved his mettle as an able communicator to
members of Parliament and the media. It made his influence in the
foreign office quite disproportionate to his relatively humble
position in the foreign service hierarchy, but because he knew how to
"walk among kings, nor lose the common touch" — whatever the
grumblings of MEA mandarins — it was he who managed what initially
appeared to be the public relations disaster of our ambassador to
Rabat turning up as the only ever non-Muslim representative to the
Islamic Conference and India then being rusticated from the Conference
largely because communal riots broke out in Bhiwandi just as the
conference was getting underway. There was a howl of public protest at
India getting itself into this pickle but SK played his full role in
restoring equilibrium.

After a long period in the shadows through most of the nineties, SK re-
emerged in public office as Governor of Arunachal Pradesh and later as
Governor of Rajasthan. For swinging the Arunachal administration
around from lining pockets to people-oriented governance, SK will one
day get appropriate credit. But as his role was constitutional, much
of his contribution was out of the public eye. As we secure that
sensitive border state, the people of the state and of India as a
whole will have much to thank him for.

Like all who hold public office, SK had his share of detractors,
especially as he handled matters of administration at headquarters. So
those who got from him what they wanted quickly forgot their gratitude
and those who did not carried their grievances to the grave. But that
is life.

SK leaves behind his gracious lady, Manju, and two bright sons of whom
we will hear much in the future, Shashank, an investment banker, and
Kanishka, aide to Rahul Gandhi. They, I am sure, will carry the SK
tradition of courtesy combined with competence very far forward.

Just a month ago, I lost another valued colleague, Gopi Arora. Now
SK:"Tis all a chequer board of Nights and Days

Where Destiny with men for pieces plays

Hither and thither moves and mates and slays

Then one by one back in the Closet lays."

Goodbye, my friend.

The writer is a former Union minister,Congress MP and foreign service
officer

http://in.news.yahoo.com/48/20091203/1241/top-a-diplomat-without-peer.html

bademiyansubhanallah

unread,
Dec 7, 2009, 4:22:20 PM12/7/09
to
Manmohan Singh

Steve Coll makes the case that Manmohan Singh, prime minister of India
and formerly minister of finance, is one of the great underrated
statesmen of our time. It’s a very convincing case. Singh brought
economic growth to India, has fought—and won—against destructive Hindu
nationalism, made efforts at peace with Pakistan, and done an
admirable job of urging restraint in the face of provocations from
terrorists. That last is, in particular, something I think American
political leaders could learn a lot from.

Among other things it reminds me that it’s always difficult to really
keep the sheer scale of India and China in mind. Thinking about the
global economic crisis, for example, it’s worth recalling that those
two mega-countries have kept on growing right through the developed
world’s downturn. So for over two billion people, 2009 is actually the
best of times, economically speaking. And that’s many more people than
live in the US/Europe/Japan depressed era.

28 Responses to “Manmohan Singh”

1.SteveK9 Says:
December 7th, 2009 at 1:47 pm
He also want India to have 470 GW (kind of a specific number) of
nuclear energy by 2050, nearly all indigenous and largely using
India’s abundant thorium reserves—show us the way Manmohan!

2.James Gary Says:
December 7th, 2009 at 1:49 pm
So for over two billion people, 2009 is actually the best of times,
economically speaking.

FYI: For the middle and upper classes in those two countries, things
are pretty good right now. However, a majority of the populations of
both China and India live in miserable, grinding poverty, and will
continue to do so for the forseeable future under even the most
optimistic growth scenarios.

3.charlie Says:
December 7th, 2009 at 1:51 pm
I am a big fan as well, but Singh does have major charisma challenges.
He’s been lucky in that regard but the real test on being a great
statesman is when we look back at him in history.

You also need to ask how much is Indian influence in Afghanistan
helping/not helping with AfPAK. Certainly it gives the Pakis the
willies. And it isn’t the most sophisticated strategy — be unfriendly
to your neighbor but be nice to the guy next to him.

4.Thorfinn Says:
December 7th, 2009 at 2:01 pm
This is complete nonsense. While Singh in 1991 championed economic
reforms, Singh since 2004 is a political puppet. He has never won an
election in his life. His government did nothing to further economic
reforms, while infrastructure building ground to a halt. The
government debt grew enormously. Restraint in the face of terrorist
attacks nothing–even the Hindu nationalists didn’t retaliate after
terrorists bombed Parliament.

He’s been a very disappointing PM. Hopefully he’ll do better in his
second term.

5.mpowell Says:
December 7th, 2009 at 2:08 pm

FYI: For the middle and upper classes in those two countries, things
are pretty good right now. However, a majority of the populations of
both China and India live in miserable, grinding poverty, and will
continue to do so for the forseeable future under even the most
optimistic growth scenarios.


While this may be true, I’m not sure what could be done about it by
anyone.

6.James Gary Says:
December 7th, 2009 at 2:12 pm
While this may be true, I’m not sure what could be done about it by
anyone.

I don’t know either, but it’s beside my point—which was that it’s not
really fair to count those people among the beneficiaries of Indian/
Chinese economic growth.

7.Trevor Says:
December 7th, 2009 at 2:14 pm
The poverty in India is unutterably awful. To give anyone praise there
is just ungodly. Never been to China, but I’ll bet it’s pretty bad
there, too.

8.Gmorbgmibgnikgnok Says:
December 7th, 2009 at 2:16 pm
I landed in Bangalore a little over a week ago. There has certainly
been a lot of growth since I was last there in 2003. I have been
hearing the same sense of malaise that you get in the U.S. — everyone
is out of work, new grads are going hungry, etc. But I think that’s
relative. This place positively hums with activity. It managed a 7.9%
growth rate in 2009, and the bet is 8-9% next year. No one is holding
onto his wallet the way they do in the U.S.

The good news is you can buy anything you want. The bad news is that
you can’t find a trash can to throw the wrapper, so you throw it on
the ground. Infrastructure sucks. They loosened credit restrictions,
so every family has 2-3 vehicles. Traffic here looks like someone
yelled “Fire!” in a movie theater, and half the patrons are driving
for the exit.

The state government is not much use. The metro rail is years behind
schedule and way over budget. Private corporations take up some of the
slack. But they mainly want engineering schools and roads to take
people to and from their office parks. The stuff they build is pretty
sweet. Side rant: If the libertarians in the U.S. ever enact their
agenda, they’ll end up with Bangalore.

9.Dave Weigel Says:
December 7th, 2009 at 2:23 pm
one of the great underrated statesmen of our time

He’s obviously never heard of John McCain.

10.fostert Says:
December 7th, 2009 at 2:23 pm
“Restraint in the face of terrorist attacks nothing–even the Hindu
nationalists didn’t retaliate after terrorists bombed Parliament.”

What are you talking about? You actually want Hindus to go on a
rampage? Are you fucking serous? Last time that happened, it was a
bloodbath on the scale of 9/11. And you want them to do that again? If
that’s the case, you are a terrorist that really needs to be picked up
and tried.

As for Singh’s economics, it’s really hard to say. India is so messed
up that it’s impossible to say what would work. Our economists can’t
even figure out America, and they’d just be roadkill in India. Nobody
in India has a clue about how India really works. Yet it somehow
does.

As for Singh being a puppet, well who’s the hand? I see none, but you
apparently see the hand. So who or what is the hand? If it’s Adam
Smith’s invisible hand, then India will stay the same. But maybe it’s
China, in which case India might prosper. But who knows? This
mysterious hand might be Russia or the US. That would surely suck.
Regardless, given your master abilities of detecting the invisible,
can you enlighten us as to who controls this puppet?

11.AswanDamn Says:
December 7th, 2009 at 2:31 pm
Singh is a “puppet” of the Gandhi dynasty. I think this is the one
area he has performed extremely well. He is inoffensive, and brings
Congress party a large and, often, outcast constituency, the Sikhs. As
soon as Sonia Gandhi decides her son, Rahul, is ready, Singh will be
cast aside.

12.Mayur Says:
December 7th, 2009 at 2:33 pm
@8:

Side rant: If the libertarians in the U.S. ever enact their agenda,
they’ll end up with Bangalore.

Actually, Bangalore will have a functioning metro system pretty soon
(and the specs look good to me) and the gov’t is funding a massive
electrical generation and transmission infrastructure boost, so I
don’t buy the fact that the libertarians would do nearly as well.

13.Thorfinn Says:
December 7th, 2009 at 2:35 pm
fostert,
The point is that this bit about “Indian retaliation” is way
overplayed. India has never retaliated after a terrorist attack, and
likely never will. Of course I don’t think they should–I don’t care
for nuclear war. This isn’t exactly the stuff of underrated strategic
mastermind.

Perhaps you’ve heard of Sonia Gandhi? The chairperson of Congress; the
woman who appointed Singh (who is, again, unelected) and his cabinet?
The person with the last word on every political decision within
Congress? Her face is all over the country; I’m not sure how you’ve
missed her. Singh couldn’t even get the Finance Minister, let alone
Power Minister, of his choice over her objections.

It’s tough to say what works in India. But it’s pretty easy to see
that sheltering corrupt officials who loot $10 billion doesn’t work.
Allowing corporations to steal land under SEZ laws doesn’t work.
Running up debts to shovel out cash, of whom 20% gets to the intended
recipients, doesn’t work. This is neither leftist nor rightist
economics–it’s crony capitalism at its worst.

14.kid bitzer Says:
December 7th, 2009 at 2:35 pm
you know, it’s really not that hard to see how this can be true:

“The poverty in India is unutterably awful.”

and this can be true, too!

“So for over two billion people, 2009 is actually the best of times,
economically speaking.”

it can be better now, because it was worse before!

yglesias is not denying that it is horrible for a lot of people, or
that the improvements are inequitably distributed. but it was worse
before!

as far as singh’s admirable restraint in not destroying his country in
response to trivial terrorist attacks–keep in mind that he had the
advantage of watching *america* destroy itself in response to trivial
terror attacks. the lesson was obvious.

terrorism was just a bee-sting. the panicky flailing on the part of
bush and cheney was the anaphylactic shock.

15.Gmorbgmibgnikgnok Says:
December 7th, 2009 at 2:37 pm
The poverty in India is unutterably awful. To give anyone praise there
is just ungodly.

I’ll praise anyone who builds a school or hospital or road there.
They’re trying. Anyone who condemns them should first acknowledge that
— just maybe — they were born lucky.

16.fostert Says:
December 7th, 2009 at 2:39 pm
Gmorbgmibgnikgnok, it sounds like your first time in India. Welcome to
Bangalore, the most sane city in India. Although Hyderabad is pretty
close to sanity. But there’s no question that Bangalore is the most
like America. Really, Brigade Road is just like the Vegas Strip. Click
your heels three times and….oh well, your still in Bangalore. On
Brigade Road, wondering why the hell it’s such a small cheesy place
with such a huge population. And if you haven’t been to the rest of
India, you really want to leave Bangalore. But when you go to the rest
of India, you really want to go back to Bangalore. Unless you’re in
Darjeeling, in which case you’ll stay for a few days and then fly to
Thailand.

17.Rich in PA Says:
December 7th, 2009 at 2:45 pm
I think Singh was always known as a good egg, and the concern was that
he wouldn’t be permitted to govern. I have a deep loathing for Indian
politics and for the Congress, but it’s really more to their credit
than to Singh’s personal credit (because smart and decent people
aren’t such a scarce commodity) that he’s held the highest office for
several years.

18.Gmorbgmibgnikgnok Says:
December 7th, 2009 at 2:51 pm
Gmorbgmibgnikgnok, it sounds like your first time in India.

Sorry if I gave that impression. It’s my tenth, since I started going
in 1973 at the age of 2. Perhaps the Wonderland description comes from
the fact that I’ve seen it before and after liberalization. It used to
be that time moved forward in America, while in India it stood still.
Nowadays the impression is reversed.

And I have been through non-Bangalore — traveled down the coast of
Kerala, where it’s all hammers and sickles and it’s still 1958, down
to Kanyakumari and back up through fields of power-generating
windmills in Tamil Nadu, only to break down in some village called
Thirumangalam. Then on to Madurai, Mysore, and back to Bangalore. All
the while driving on roads that could turn milk into butter if you
just kept it on your lap.

19.Rob Says:
December 7th, 2009 at 3:05 pm
To me its amazing how poor China is. It has an economy the size of
Japan despite having 10 times the amount of people.

20.Hector Says:
December 7th, 2009 at 3:15 pm
Re: But there’s no question that Bangalore is the most like America

The climate is quite nice too, certainly a lot cooler then Madras.

The air quality, however, is worse than Houston, and that’s saying a
lot.

21.fostert Says:
December 7th, 2009 at 3:20 pm
“Perhaps you’ve heard of Sonia Gandhi?”

So I’m guessing you’re saying Sonia is the puppet master? I’ve heard
of her for sure, but power in India is not held by her. A lot of
people pull her strings and she’s more the announcer of decisions
rather than the one who makes them. There’s a big contingent that just
wants to hear the Gandhi name, and they are truly idiots. But the
puppet masters will move her hands to make seeming progress. But
progress never happens in India and that’s just a show. And yes, India
is still a corrupt nightmare under Singh. It was a corrupt nightmare
all through the Raj, and has been ever since. But you talk about
things that don’t work, yet India still works. Think it sucks? It sure
does, but what else is going to happen in India? Got a better plan?
I’d really like to hear it. Perhaps you could explain it. And before
you do it, maybe you should actually go to India. You obviously
haven’t been there or you wouldn’t say Sonia’s face is all over India.
I’ve been all over India, and I don’t remember seeing Sonia’s face
anywhere. Not a single time. I did see Mayawati’s face in Uttar
Pradesh. And Mayawati is a real political force who probably will run
India someday. She’s like a Lyndon Johnson wrapped in Sarah Palin’s
clothes (except they are saris). I’m not sure if I like her, but I
respect a female Dalit who pulls together a Dalit-Muslim-Bhramin
coalition. That’s unheard of even in India. That would be like a
Mexican-Hippie-CEO coalition in America. Wall Street meets the Border
and the Forests. That can’t happen here, and it never should have
happened in India. Regardless, she’s the governor of Uttar Pradesh,
India’s largest state. It’s pretty big, too. Like 190 Million people
big. It’s like running Brazil. Gov Ahnold has nothing on her.

22.fostert Says:
December 7th, 2009 at 3:40 pm
“The air quality, however, is worse than Houston, and that’s saying a
lot.”

It is, but which way? Think Chennai has better air? How about Kolkata?
Houston is a bad measure of air quality, but it doesn’t work in India,
either. You’d be really hard pressed to find a major city in India
with better air than Houston. Hyderabad? Maybe? Okay, that’s a
stretch, but I’m trying Hector, I’m really trying. Actually, Delhi is
getting better. And for a huge Asian city (23 million), it’s actually
a lot better than you’d expect. And nice and cool, unlike Chennai.

And Gmorbgmibgnikgnok, you’ve barely even seen India. That’s the
South, which is really cool, but there’s a lot more. Go to Darjeeling
by train from Bangalore. Then you’ll really see India. Yeah, it’s like
140 hours by train, counting the inevitable delays, but you’ll really
see a lot of India. And the beauty of Darjeeling, is it’s really not
India anymore. After a 140 hours on the train, you’ll be glad your no
longer really in India. And when you’re in Darjeeling, if you really
want to get away, there’s always Sikkim.

23.NM Says:
December 7th, 2009 at 3:47 pm
Fostert I think is closest to reality in his description. I’ve met
Rahul and I think conservatively he’s a decade away from holding any
reasonably high office in India. He’s not at all an impressive
character. He’s good looking, but not charismatic.

Someone mentioned that infrastructure development has slowed under
Singh. This is either someone who doesn’t know what they’re talking
about or is lying for some unknowable reason. It’s patently false
inner city light rail and subways didn’t exist in India 10 years ago.
Now every “major” (by Indian standards) city has a metro project
either underway or in planning. National rail transportation is
carrying 5 billion passengers a year. Highway construction has boomed.
Electricity infrastructure is booming (though they’re still battling
the problem of theft of current).

Singh has fallen short on some issues such as corruption. But he’s
made a token effort at reform. And frankly battling corruption in
India is a pretty thankless task. I’m not sure how that’s ever going
to be resolved.

As for not being elected, that’s nonsense. He’s elected by the
coalition which he leads. Being the head of a coalition government
isn’t exactly an easy thing to do. To poo-poo the fact that someone
has managed to become Prime Minister of one of the largest populations
in the world is pretty f*cking ridiculous.
Singh has been great for India. I can only hope the next PM is half as
competent as he has been.

24.Thorfinn Says:
December 7th, 2009 at 3:53 pm
fostert,
I don’t know how to respond to that mess, but at least one thing is
demonstrably false: Sonia Gandhi’s face is plastered all over India,
along with her son; and Manmohan Singh for that matter. If you don’t
agree than you don’t know what she looks like.

A Dalit-Muslim-Brahmin coalition is nothing special. It’s been
Congress’s traditional vote-bank since Independence. The difference is
who’s in charge.

25.fostert Says:
December 7th, 2009 at 3:58 pm
“Go to Darjeeling by train from Bangalore.”

When you get to Siliguri/NJP, don’t take the train, it’s like nine
hours. Hire a taxi and drive up, it’s only three hours. It’s a pretty
scary road though, so if you have any kind of height or diving fears,
dispell them at the first tea stop. If you have any concerns after
that first cup of tea, drive back and take the train. If you have a
problem with these three things combined, then don’t do the road:
hairpin turns, gravel roads with sketchy maintenance, thousand foot
cliffs with no guardrails. If these things are uncomfortable to you,
take the train.

26.Gmorbgmibgnikgnok Says:
December 7th, 2009 at 4:05 pm
And Gmorbgmibgnikgnok, you’ve barely even seen India.

Actually, I’ve been around the north, too. But I was boring myself and
it’s time for bed.

27.gregor Says:
December 7th, 2009 at 4:09 pm
Unutterable poverty is a very good characterization.

That’s what the middle and the upper class Indians do not want you to
talk about. Because for them, the conditions have definitely improved
very substantially.

However, it must also be said that apart from the readily available
and affordable domestic help, the life of a middle class Indian, even
though he may be very happy and proud of his lot, is no better than
that of someone just getting by in this country, e.g. someone with a
high school education working in retail at 8 bucks an hour.

28.Charlemagne Says:
December 7th, 2009 at 4:15 pm
the life of a middle class Indian, even though he may be very happy
and proud of his lot, is no better than that of someone just getting
by in this country, e.g. someone with a high school education working
in retail at 8 bucks an hour.

Ah, in this flattened world, I think you’ve just captured where the
American middle class is heading! Why the Indian is happy and the
American is not has everything to do with trajectory.

http://yglesias.thinkprogress.org/archives/2009/12/manmohan-singh.php

bademiyansubhanallah

unread,
Dec 7, 2009, 4:49:30 PM12/7/09
to
From Russia with love: 4 new nuclear reactors
Rajeev Deshpande, TNN 8 December 2009, 12:57am IST

MOSCOW: On Monday, as Moscow experienced its first real snowfall this
winter, relations between India and Russia experienced more than a
thaw, on a range of interests encompassing nuclear trade, shared Af-
Pak perceptions and a plan to boost commerce to $20 billion by 2015.

The discussions between Prime Minister Manmohan Singh and Russian
President Dmitri Medvedev on Sunday evening and at their more formal
meeting on Monday gave what is seen to be a much-needed push to
bilateral ties. The process is expected to be consolidated during
Singh's meeting with Prime Minister Vladimir Putin. Medvedev and Putin
are slated to visit India next year, with the latter expected sometime
in March.

The Singh-Medvedev meeting yielded a rich cache of agreements which
included establishing a credit line of $100 million and a nuclear
agreement that is expected to provide momentum to India's nuclear
trade. Singh said there would an addition to the two reactors being
developed at Koodankulam in Tamil Nadu while a site was being
considered at Haripur in West Bengal.

Medvedev stressed that Russia did not support any addition to the club
of N-weapon states, which has implications on the country's position
in Iran, and that N-weapons should not be ``held hostage to terror'',
in a fairly direct reference to Pakistan. Though Singh did not refer
to Pakistan, he echoed his host's views on a stable Afghanistan with a
stable sense of nationhood.

The easy use of phrases like "most rewarding", "a major step in our
ties" and "trust and confidence" indicated a genuine meeting of minds
as did the assertion that India-Russia trade would touch $20 billion
by 2015. Medvedev also made it clear that the G8 statement at La
Aquila did not impact on ENR (enrichment and nuclear reprocessing)
related agreements with India.

The nuclear agreement with Russia was stressed by both leaders and
Department of Atomic Energy chairman Srikumar Banerjee later told
mediapersons that fuel guarantees, upfront clearances and,
importantly, cooperation in research were important takeaways. Defence
and military agreements, supply of spare parts and active cooperation
in intelligence sharing augur well for the relationship.

Medvedev said his conversation with Singh was not merely an exchange
of impressions but a really "full and substantial" discussion that
embraced several interests. Singh said that apart from issues like
security and N-trade, he had a "very pleasant discussion" on India's
participation in Russia's pharma sector.

The continuing global slowdown and a decline in oil prices have made
Russia more open to reaching out to an old friend while the change of
guard in US has seen India reaffirm ties, with Singh describing Russia
as a "global world power" at a joint press conference on Monday. The
two nations also share concerns over the rise of China.

With the meeting with Medvedev having set the mood, Singh's
interaction with Putin, still very much the "real" power centre in
Moscow, is expected to see a detailed exchange of assessments. Putin
and Singh will also address a conference of CEOs to be attended by
Indian biz honchos. The easing of credit is seen to address a long-
pending irritant as banks have tended to rate Russia's risk status on
the higher side.

The two sides signed a total of six agreements but the Russians were
clearly pleased with the civil nuclear cooperation pact. The reactors,
which cost about $1.5 billion each, will certainly be welcome for a
Russian economy that is simply not doing too well. Banerjee told
mediapersons that the site would most probably be offered to the
Russians once land clearances were obtained from West Bengal
government.

Banerjee also spoke of India's plans for 10,000mw capacity which would
be a mix of reactors built by foreign suppliers and indigenous 700mw
pressurised heavy water reactors. "The current uranium reserves we
have allow us to support 10,000mw," Banerjee said. Eight 700mw PHW
reactors were being planned at present that would account for
5,600mw.

There was some good news on the uranium supplies front as potentially
minable deposits had been found in Karnataka and Andhra Pradesh. The
site in Meghalaya was still affected by environmental issues that were
being sorted out. These could improve the uranium availability while
India could also consider using foreign sources fuel for safeguarded
reactors.

http://timesofindia.indiatimes.com/india/From-Russia-with-love-4-new-nuclear-reactors/articleshow/5312233.cms

bademiyansubhanallah

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Dec 7, 2009, 4:52:01 PM12/7/09
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Indian Navy ship thwarts pirate attack on US tanker in Gulf
PTI 7 December 2009, 07:13pm IST

NEW DELHI: An Indian Navy warship successfully repulsed a pirate
attack on a US-owned tanker in the Gulf of Aden off Somalia coast.
( Watch Video )

"A Navy ship in the Gulf of Aden prevented an attack of pirates on a
private tanker flying a Norway flag and owned by US company today," a
Navy spokesperson said here.

MT Nordik Spirit, the tanker owned by the Nordik Shipping Company, was
sailing in the Gulf of Aden around 1500 hours when the pirates made an
attempt to hijack it and fired small arms at the crew members.

"The crew immediately sent out a distress signal and the Indian navy
ship, which was in the vicinity, responded to the SOS call," he said.

The warship flew out its helicopters with Marine Commandos and on
seeing it, the pirates gave up their hijack attempt on the tanker, the
spokesperson said.

Later, the warship accompanied the tanker and escorted it to safety.

The Indian Navy has been taking part in global anti-piracy operations
in the Gulf of Aden against the Somali sea brigands since October last
year and one of its Frigates had "a kill" last November when a mother
ship of the pirates was destroyed.

The Naval ships, which have a 365-day presence there, have escorted
over a 100 merchant vessels in the last one year, most of them foreign-
owned.

http://timesofindia.indiatimes.com/india/Indian-Navy-ship-thwarts-pirate-attack-on-US-tanker-in-Gulf/articleshow/5311594.cms

bademiyansubhanallah

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Dec 8, 2009, 10:14:28 AM12/8/09
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Indo-Russian civil nuclear agreement historic: Cong
Press Trust Of India
New Delhi, December 08, 2009

First Published: 19:03 IST(8/12/2009)
Last Updated: 19:05 IST(8/12/2009)

The Congress on Tuesday hailed the Indo-Russian civil nuclear
agreement as "historic", saying that it will ensure uninterrupted
uranium fuel supply and transfer of technology to the country.

"We welcome it. It's a historic agreement. Besides ensuring the
transfer of nuclear technology, it will lead to uninterrupted nuclear
fuel supply. India's nuclear programme will progress after the
agreement," party spokesperson Shakeel Ahmad told reporters in New
Delhi.

The two countries signed the broad-based agreement in civil nuclear
field yesterday that will ensure transfer of technology and
uninterrupted uranium fuel supplies to its nuclear reactors and inked
three pacts in the defence sector.

The agreements were signed after talks between Prime Minister Manmohan
Singh and Russian President Dmitry Medvedev at the Kremlin, during
which they discussed a whole range of issues.

http://www.hindustantimes.com/india-news/chunk-ht-ui-indiasectionpage-topstories/Indo-Russian-civil-nuclear-agreement-historic-Cong/Article1-484355.aspx

bademiyansubhanallah

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Dec 8, 2009, 10:26:58 AM12/8/09
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Reform the reformer
Sumit Mitra
December 07, 2009

First Published: 23:34 IST(7/12/2009)
Last Updated: 23:59 IST(7/12/2009)

The convulsions that have gripped the Jawaharlal Nehru National Urban
Renewal Mission (JNNURM) — India’s flagship city development programme
— with only three years to go for the termination of its assigned
lifespan of seven years, is symptomatic of the country’s predilection
to put politics above all other issues, including the vital ones. The
Mission, aimed at pulling India’s 63 cities out of their dilapidation,
which is somewhat reminiscent of Dickensian London, is conditional
upon a bunch of mandatory reforms. The stake is large — Rs 120,536
crore, of which 35 per cent would come from the central government,
provided the state governments and the municipal bodies shelled out
the rest, and the latter two cleaned up their act as far as reform is
concerned.

But reform to the Indian politician is a horrid word. It means not
only a possible run on the ‘vote bank’, but of losing the charm of
discretionary power for which they are in politics in the first place.
The CPI(M), which rules West Bengal, admittedly finds reform
detestable ideologically too. But so do many others, fearing it will
make them lose ‘votes’ as well as ‘notes’.

They have dragged their feet on almost every point in the Mission’s
reform agenda. Reform of property tax by making it fully online should
be welcome to everyone in normal circumstances. To the venal
politician, however, it means losing the opportunity to under-assess a
property for a consideration. Nor does it leave him with the option of
sending a demolition team with a bulldozer to visit the house of the
person he doesn’t like. Moreover, the Mission’s mandate demands full
accounting of budgets for basic services to the urban poor.

Considering how little is actually spent by municipalities for the
slum-dwellers, the idea of disclosing the sum actually spent on the
poor cannot but be dreadful to the party in power. To the politician,
even more distasteful is the idea of transferring to the municipal
body the power of shaping its own budgets, and of institutionalising
citizens’ participation. Much worse than Oliver asking for more, it is
like giving Oliver what he asked for.

JNNURM is a two-pronged programme, with one arm for improving the
urban infrastructure as a whole (the passenger-friendly Volvo buses
being a part of it) and another for gentrification of slums. The Union
government, far from being tight-fisted, has been generous in
transferring the early installments for the approved projects. But it
cannot give more as most states are unwilling to accept the reform
agenda. West Bengal has even refused to repeal the Urban Land Ceiling
Act, a relic of Indira Gandhi’s ‘Emergency’ era. Maharashtra did it at
the last moment.

Expectedly, the programme is running at a very slow pace, with not
even a quarter of the projects completed and less than a third having
got off the ground. It is in this context that one should judge the
pyrotechnics of an invitee at a recent national conference on the
fourth anniversary of JNNRUM, which Prime Minister Manmohan Singh
addressed. He accused Mamata Banerjee, the railway minister, of not
releasing slum land in Kolkata owned by the railways for re-housing
the poor slum dwellers in new constructions to be built under the
Mission. Having spearheaded the land-losers’ agitation at Singur and
Nandigram in the recent past, Banerjee is expectedly wary of de-
stabilising lives of the urban poor. This is specially so after the
last Lok Sabha polls in which they seem to have voted for her en
masse. The incident shows that fear of electoral backlash to reform
cuts across party lines.

India is passing through a development dilemma in which even public-
spirited politicians (hoping it’s not an oxymoron) are fearful that
improvement measures initiated by them might be misunderstood by
voters. For instance, JNNURM is ready with funds to augment and
modernise urban drinking water supply schemes, provided the urban
local bodies receiving the grant agree on a user fee for operation and
maintenance of the new lines. But most states would not like their
cities to levy charges on drinking water, which, as they fallaciously
argue, is regarded as a public good in India. However, a nominal water
tax is in existence in most metros, but having water metres clamped on
taps, as demanded by JNNURM, is still out of the question. Pressure is
being mounted on the Mission to drop it from its reform agenda.

What then can save our cities? Carving them out of their states? It is
fanciful thinking, considering that 60 per cent of India’s GDP comes
from its urban areas. Lawmakers will not agree on parting with the
cities. A way out, perhaps, is in making the seven cities with over 4
million population in 2001 mega-cities as they are called, follow the
Greater London Authority (GLA) model. Following GLA’s inception in
1999, the Mayor of London is accountable only to an elected assembly
of 25 members in taking all strategic decisions regarding the city.
Such autonomy has brought about wide-ranging changes without any fuss
— like the hefty ‘congestion charge’, which every Londoner cribs about
but nobody questions the cause. There is still huge scope of
intervention by Whitehall (read Sheila Dikshit in Delhi or CPM
headquarters on Alimuddin Street in Kolkata), but nobody has the
authority to question the strategic vision of the man in City Hall.

Ironically, the jinxed JNNURM was indeed pushing Indian cities to a
similar situation. It demanded that the elected municipalities be
given “city planning functions”. But why should the Indian politician
surrender the opportunity to rule the cities from the background?

Sumit Mitra is a Kolkata-based writer. The views expressed by the
author are personal.

http://www.hindustantimes.com/editorial-views-on/columnsothers/Reform-the-reformer/Article1-484061.aspx

bademiyansubhanallah

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Dec 8, 2009, 10:29:05 AM12/8/09
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Test of the best
Hindustan Times
December 07, 2009

First Published: 23:55 IST(7/12/2009)
Last Updated: 23:57 IST(7/12/2009)

It has taken 77 years, oodles of disappointment, a nation’s enduring
adulation and a high-adrenalin shift from the ‘nice guys’ of yore to
the charming aggression of Dhoni’s lads for Team India to clamber to
the top of a ranking that really matters in a country of over a
billion cricket crazy citizens. For those of you who don’t know what
we’re talking about and still call yourself Indian — no matter where
you might be — we’ve finally arrived at the top of the International
Cricket Council’s Test cricket rankings. Pity, though, that we might
be able to stay on for just a wee bit, but then beating bottom-of-the-
barrel Bangladesh in the sole Test series of 2010 won’t keep the
hyenas at bay. So, while the Board of Control for Cricket in India
lavishes Rs 25 lakh each on the men of the moment, a penny each for a
billion thoughts of those who gave the initial heave-ho.

Team India’s growth numbers would put the Chinese economy to shame. In
the last two years, we’ve pocketed series wins against Pakistan,
Australia, England and Sri Lanka, brought one back from faraway New
Zealand recently, and drawn at home against South Africa. Cynics might
not be satisfied till we pull off a Trojan surprise in Oz and grind
the Proteas to dust in Durban, but for all true-Blue Indians who have
spent eight years gazing wistfully at the Australians up there, it’s
time to celebrate. Period.

Cynics may also be pre-occupied with looking over their shoulders at
the South Africans and Aussies hot on our tails in the rankings chart,
but for the cracker-bursting, dhol-whipping, bhangra-boogying aam
aadmi, tomorrow’s definitely another day. The one-day table beckons
but we’re at the head of the five-day feast for now. Let’s enjoy the
high. At least till tests do us part.

http://www.hindustantimes.com/editorial-views-on/edits/Test-of-the-best/Article1-484074.aspx

bademiyansubhanallah

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Dec 8, 2009, 10:31:01 AM12/8/09
to
Keep an eye on the table
Hindustan Times
December 07, 2009

First Published: 23:49 IST(7/12/2009)
Last Updated: 23:53 IST(7/12/2009)

The significant risk to the India story at this juncture is inflation,
pushed along by food prices. Wholesale food inflation rose an alarming
2 percentage points a week to 17.47 per cent in November, triggering
comments from the Prime Minister’s economic advisory committee as well
as the Organisation for Economic Cooperation and Development that it
could raise non-food inflation — a benign 2.2 per cent at the moment —
unless the central bank begins tightening its monetary policy. The
Reserve Bank of India, too, has been flagging broader inflationary
expectations for quite a while. Although monetary policy is a blunt
instrument to tackle a supply shock with, the RBI’s hawkish stance on
prices can only stiffen as the knock-on effect works its way into core
inflation (minus food and energy). The central bank is most likely to
drain some of the excess liquidity in the system before it starts
raising interest rates.

The current orthodoxy does not countenance any threat to India’s
growth momentum. Depending on how you choose to measure it, food makes
up from 25 per cent to 65 per cent of the weight in the several price
indices the government puts out. Persistently high food inflation is
squeezing household budgets and, therefore, consumption. The supply-
side policy response is fairly well established. The Centre draws down
grain stocks to feed the poor, sells some of it in the open market to
keep a lid on prices, lowers taxes on food imports, pays more for farm
produce, and ensures availability of power for irrigation. All of
this, however, is predicated on states ensuring bottlenecks are
cleared in the public distribution of food. There appears to be
evidence that last-mile problems linger, playing into the hands of
speculators.

Drought management capabilities in India lack the ability to tackle
successive ones. The prospect of another low harvest next year poses a
bigger threat than the likelihood of a double-dip recession in the
West. Interest rates can do little to contain the demand for food and
inflation can only rise as the government replenishes its granaries at
higher prices. Mitigation, not management, is what should shape
India’s approach to drought. That would involve technology upgrades, a
shift towards drought-resistant seeds, and rehabilitation of water
delivery systems.

http://www.hindustantimes.com/editorial-views-on/edits/Keep-an-eye-on-the-table/Article1-484072.aspx

Sid Harth

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Dec 8, 2009, 4:16:03 PM12/8/09
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Seized uranium is of low grade: BARC
Raina Assainar & Mihika Basu / DNA
Tuesday, December 8, 2009 9:41 IST
Last updated: Wednesday, December 9, 2009 0:57 IST

Mumbai: The Mumbai crime branch on Monday evening arrested three
people for illegally possessing 5kg of depleted uranium. The trio,
identified as Premsingh Tangayan Savitri, 40, Srinivasan Vyankat
Chalpati, 37, and Tulsidas Bhanushali, 39, were arrested from Sai
Nagar in Panvel.

"Mrinal Roy, regional director of Atomic Minerals Directorate for
Exploration and Research, central region, Nagpur, had lodged a
complaint with Panvel police about three people arriving in the suburb
with uranium. The crime branch officials laid a trap and arrested
them," DCP (crime) DT Shinde said on Tuesday. The Panvel court on
Tuesday remanded them in police custody till December 17.

A police official, who did not want to be quoted discussing issues
relating to national security, said the uranium is U-38 and U-35,
which is not dangerous. "Barc officials have confirmed that the seized
substance cannot be used to make explosives and there is no cause for
panic. The source, from where the substance was coming, and its
destination, will be revealed during the course of investigation,"
Shinde added. The accused have been booked under section 24 (1) (a) of
the Atomic Energy Act, 1962, for illegal possession of a prescribed
substance.

Savitri is a resident of Sai Leela building at Sai Nagar in Panvel and
runs a business of precious stones, Chalpati is a resident of sector
19 in Vashi and is into the transport business, while Bhanushali is a
resident of Ghatkopar and deals in raw materials, the official added.

Uranium can't be reused: "Natural uranium is extracted from the earth
crest and contains mainly two isotopes of uranium - U-238 (99.3%) and
U-235 (0.7%). The third isotope, U-234, is present in very low
percentage in natural uranium. Depleted uranium has less U-235 (used
in nuclear reactors) as compared to natural uranium. In the seized
substance, this percentage is 0.2%," said DN Sharma, head, radiation
safety systems division, Barc. Depleted uranium, Sharma said, cannot
be used as an explosive.
He said though uranium is a chemically toxic element, it cannot be
inhaled or ingested in
the seized form and hence it is not harmful to human health or the
environment.

"Depleted uranium cannot be reprocessed or used in a nuclear reactor
and is used as shielding material which checks undue exposure to gamma
ray radiation," said RK Sharma, head of media relations and public
awareness section, Barc.

http://www.dnaindia.com/mumbai/report_seized-uranium-is-of-low-grade-barc_1321348

Sid Harth

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Dec 8, 2009, 4:42:39 PM12/8/09
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Defence pact with Russia to boost operational capability: India
PTI Tuesday, December 8, 2009 10:11 IST

Moscow: India today voiced confidence that its agreement with Russia
on a 10-year military and technical cooperation from 2011 would help
enhance the operational capability of its defence forces in the next
decade.

The agreement which was among the three defence pacts signed between
India and Russia after the annual summit talks between prime minister
Manmohan Singh and Russian president Dmitry Medvedev provides for
acquisition, licensed production, upgrades and modernisation of
defence equipment as well as the development of new and advanced
weapon systems.

"The agreement would help enhance operational capability of Indian
Defence forces in the next decade by providing various Defence
equipment systems," foreign secretary
Nirupama Rao told newsmen wrapping up the prime minister's talks with
the Russian leadership that also included prime minister Vladimir
Putin, who as the earlier Russian president sowed the seeds for
Russia's strategic partnership with India.

"... (it) will also facilitate capacity development of the Indian
Defence Industry," she said.

Taking bilateral defence ties to a new high, the agreement on After
Sales Support for the Russian arms and military equipment supplied to
India is being seen by Indian officials as an excercise to facilitate
timely and adequate supply of spares and services for maintaining a
high level of readiness and integrated maintenance of Russian made
military equipment supplied to India.

Rao noted that Indian and Russian leaders have focussed on priority
areas of bilateral partnership and how the two countries intend to
take this forward through intensive efforts in the coming months
ahead.

At the India-Russia CEO's Council meeting last night, Rao said the
Russian co-chair of the council Vladimir Evtushenkov spoke of the
prospects for cooperation in the field of telecommunications. The
potential for collaboration in the pharmaceutical industry was also
stressed at the meeting, she said.

The prime minister at a news conference yesterday underscored how
India could help in supplying affordable drugs to Russia because of
the excellent knowhow it had in this field.

Both Singh and Medvedev spoke of the potential for India and Russia to
forge ties in the pharmaceutical industry. The Indian co-chair Mukesh
Ambani spoke of the opportunities for Russian participation in the
infrastructure development sector and cooperation in pharmaceuticals,
including joint development of new technologies in the Health sector,
as also telecommunications.

http://www.dnaindia.com/world/report_defence-pact-with-russia-to-boost-operational-capability-india_1321358

Sid Harth

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Dec 8, 2009, 4:52:57 PM12/8/09
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China's 'economy on steroids' may be a global risk
Venkatesan Vembu / DNA Tuesday, December 8, 2009 2:52 IST

Hong Kong: The aftershocks of the global credit crisis may have been
felt most recently in Dubai, causing minor palpitations globally, but
experts believe that a far bigger rumbler may be waiting to explode in
faraway China, with far greater destructive force.

In particular, long-standing structural deficiencies in the Chinese
economy are being accentuated by Chinese policymakers' response to
last year's global economic crisis, and jeopardising economic recovery
in China and around the world, they fear. "Overcapacity is a blight on
China's industrial landscape, affecting dozens of industries and
wreaking far-reaching damage on the global economy in general, and
China's economic growth in particular," notes a recent report from the
European Union Chamber of Commerce in China in partnership with Roland
Berger Strategy Consultants.

And although there's nothing new about overcapacity in China, "its
pervasive influence has become ever more prominent -- and its effects
on both the Chinese and international economies have become ever more
destructive -- in light of the global economic crisis that still grips
world market," it added.

Much of that "overcapacity" has been driven by an orgy of capital
spending and the artificial peg of the Chinese renminbi to the US
dollar to protect the export-led manufacturing industry.

But analysts at Pivot Capital Management warn that when it runs out,
it heightens "the chances of a hard landing" in China.

"Given China's importance to the thesis that emerging markets will
lead the world economy out of its slump, we believe the coming
slowdown in China has the potential to be a similar watershed event
for world markets as the reversal of the US subprime and housing
boom," they warn.

The key to the Chinese miracle has been its very high investment
relative to its gross domestic product (GDP). All developing countries
tend to overinvest for certain periods during their economic progress,
but China's investment spend (gross fixed capital formation to GDP
ratio) has broken all record. Post-war Germany achieved a peak
investment to GDP ratio of 27% in 1964; Japan's peaked at 36% in 1973,
and South Korea's at 39% in 1991. But China's economy is reporting a
50%-plus investment to GDP ratio. For every renminbi yuan it produces,
half goes back as investment.

Not only that, the investment boom has lasted longer in China than
anywhere else: before China, the longest any country has sustained an
investment to GDP ratio of over 33% was nine years (Thailand and
Singapore). China is now in its 12th year of investment-led growth.

Few economists believe this is sustainable, but there are optimists,
too, who do not share this "sky-is-falling" outlook on China. "China
is not facing an imminent collapse from a big investment bubble or a
mountain of debt," says UBS economist Tao Wang. "The truth about
China's growth and risks is not as dramatic as some pundits make it to
be."

Wang argues that when analysing the issue of "overinvestment and
excess capacity" in some sectors, it's important to bear in mind that
China is going through "a phase of rapid industrialisation and capital
accumulation, which started from a relatively low base and is still at
a relatively early stage." The high investment-GDP and capital-output
ratios, she argues, "are specific to the current phase of China's
growth, which has been very manufacturing-intensive and, in
particular, biased toward heavy-industries."

But even she believes that unless "structural imbalances" in China's
economy are addressed through adjustments to macro policies, "we
expect... non-performing loans to increase down the road, and asset
bubbles and excess capacity problems to worsen."

BNP Paribas economist Guy Longueville points out that "production
overcapacity is less significant than had been feared in autumn 2008."
But, he reckons, "there is still a general latent problem of
overcapacity... which can re-emerge in the future."

"The triptych of latent corruption, excess credit and excess liquidity
favours dangerous or criminal investment," adds Longueville. "Waves of
'sheep-like' investment by Chinese companies as soon as a sector looks
promising can saturate demand a few years later."

Hong Ho-fung at the Indiana University has a more searing account of
what China's "mega-fiscal-stimulus" did. Many of the investments under
the stimulus programme, he reckons, "are inefficient and generally
unprofitable. If the turnaround of the export market does not come in
time, the fiscal deficit, non-performing loans and the exacerbation of
overcapacity will generate a deeper downturn in the medium term."

Citing a Chinese economist, Hong says that China's "mega-stimulus
programme is like 'drinking poison to quench a thirst'."

http://www.dnaindia.com/money/report_china-s-economy-on-steroids-may-be-a-global-risk_1321325

chhotemianinshallah

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Dec 9, 2009, 1:10:29 PM12/9/09
to
TOP ARTICLE
Take A Fresh Look
David P Fidler and Sumit Ganguly
10 December 2009, 12:00am IST

During Prime Minister Manmohan Singh's visit to the United States, he
appeared to reverse India's decades-long refusal to join the Nuclear
Non-Proliferation Treaty (NPT). On Fareed Zakaria's GPS show on
November 29, Singh responded to a question by indicating that India
would be willing to join the NPT as a nuclear weapons state. No Indian
leader has ever publicly expressed willingness to accept the NPT.

The prime minister also suggested that India would welcome a US effort
to help it become a nuclear weapons state under the NPT. If India
intends to follow through on the prime minister's expression of NPT
interest, this transformation will have significant implications for
India as an emerging geopolitical actor and for nuclear diplomacy,
including President Barack Obama's vision for a world free of nuclear
weapons.

The NPT has been one of the most excoriated treaties in Indian foreign
policy. Even before it was finalised in 1968, India made its
opposition clear. India continued to criticise the NPT after its
completion, complaining that it discriminated against countries that
did not have nuclear weapons, heightened difficulties for countries
trying to develop nuclear energy and failed to force existing nuclear
weapons states to engage in serious disarmament.

India's NPT opposition has been presented as consistent with the
principles of non-discrimination and the need for nuclear powers with
massive arsenals to get serious about disarmament. But, India's
hostility also reflected its security interests in developing nuclear
weapons to deter threats from Chinese conventional and nuclear
capabilities. India's NPT stance was, thus, grounded in principles
important to the Indian polity and calculations about power-and the
combination of principle and power gave India's opposition deep roots
in its foreign and national security policies.

This background helps explain why Singh's interest in joining the NPT
represents a radical departure from prior Indian policy. The PM did
not elaborate on his desire to become part of the NPT, but such a
statement could not have been made without the Indian government
having concluded that the balance of principles and interests now
favour India being receptive to the NPT.

In terms of India's NPT opposition on principled grounds, Singh may
have concluded that continued opposition according to these principles
no longer serves the purposes it once did. China once opposed the NPT
for similar reasons before it joined as a nuclear weapons state in
1992, which reflects a Chinese realisation that opposition to the NPT
had diminished traction in the post-Cold War world. The emphasis on
non-discrimination and heightened disarmament obligations dovetailed
with India's and China's Cold War support for non-alignment and
equality of weak and strong states under international law. The Cold
War's end and India's and China's emergence as rising powers have made
non-alignment anachronistic and the principle of sovereign equality
less appealing.

From the perspective of India's interests, a willingness to join the
NPT could pay dividends for India, which will outweigh costs resulting
from its NPT "flip-flop". India's interest in the NPT will enhance the
treaty's status at a time when it is under attack because of North
Korea's behaviour and perceived Iranian nuclear designs. With the NPT
Review Conference approaching in May 2010, India's support will allow
it to argue that it is strengthening the fight against nuclear
proliferation. India's NPT acceptance would also act as a warning to
Iran without India risking good relations with Iran through a direct
challenge against Iran about its nuclear intentions.

India could, thus, leave behind criticism it has received in nuclear
diplomacy, including over the US-Indian civilian nuclear accord
concluded in 2008. Indian accession will bolster the NPT as the
central agreement in the fight against nuclear proliferation, but the
NPT's disarmament obligations do not threaten India's nuclear
arsenal.

An Indian change on the NPT would also put Pakistan in a difficult
position because this manoeuvre would increase scrutiny of Pakistan's
past and present nuclear activities. Any effort by Pakistan to try to
join the NPT would generate controversies because of Pakistan's
involvement in proliferation through the A Q Khan network and the
concerns about the security of Pakistan's nuclear arsenal.

India's interest in the NPT would also challenge existing NPT members
because they must amend the NPT's definition of a 'nuclear weapons
state' to permit India to join. NPT members will have to undertake
strategic calculations in light of India's growing significance in
world affairs. Can the existing nuclear weapons states oppose Indian
accession without appearing to sacrifice non-proliferation for selfish
interests? In this way, India puts itself at the centre of nuclear
diplomacy in ways that its opposition to the NPT never did.

In short, an Indian willingness to accept the NPT would represent a
shrewd policy shift because it inserts India's ideas, interests and
influence into nuclear diplomacy in a manner that could bring
substantial benefits to India and pose policy challenges that will
test the mettle of friends and foes alike.

Fidler is the director and Ganguly is the director of research of the
Centre on American and Global Security at Indiana University,
Bloomington.

http://timesofindia.indiatimes.com/home/opinion/edit-page/Take-A-Fresh-Look/articleshow/5319392.cms

chhotemianinshallah

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Dec 9, 2009, 1:13:38 PM12/9/09
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COMMENT
Moscow Moves
9 December 2009, 12:00am IST

Prime Minister Manmohan Singh has been a busy man. Coming on the heels
of his US visit, his trip to Russia has paid dividends with a raft of
initiatives aimed at revitalising ties between New Delhi and Moscow.
Foremost is the nuclear agreement signed between the two countries. In
going beyond the terms of India's deal with the US and guaranteeing
unrestricted nuclear cooperation and nuclear fuel supply regardless of
G8 resolutions and other considerations, Russia has essentially
enabled India to start positioning its civilian nuclear sector as a
buyer's market.

With France and Canada having inked nuclear agreements with India as
well, there is both incentive and now urgency for companies in those
countries and the US to lobby their governments for ensuring smooth
nuclear trade with India. This can only be to New Delhi's benefit.
Likewise, the agreement on joint nuclear research and development is a
significant step forward. Interestingly, US companies too are looking
at India as a cost-effective manufacturing base for several components
of nuclear power plants. Since such plants are zero-emission demand
for them is slated to go up by leaps and bounds globally. Multiple
benefits would flow to India if it could position itself as an
essential part of the global supply chain for nuclear power plant
manufacture, including the growing difficulty of isolating it
internationally on the nuclear issue.

An area in which the India-Russia relationship has so far been
severely lacking is trade. Russia features nowhere on the list of
India's top trade partners. The push to hit the $20 billion mark for
trade exchanges by 2015 is welcome in this regard. The potential for
expansion - via both direct trade as well as investment - is
substantial in a variety of spheres, from the traditional focus on
defence to others like energy, the IT sector and the pharmaceutical
industry.

There will be stumbling blocks, of course, as there are in relations
between any two sovereign states. The Gorshkov deal has been one such
for a long time. That issue has, hopefully, been resolved now,
although such assurances have been given in the past as well. New
Delhi must also take care to diversify and wean its armed forces from
over-reliance on Russian equipment. But there is sufficient
manoeuvrability in the New Delhi-Moscow relationship to allow for
dealing with any irritants, as synergies between them are great.
There's scope for intelligence-sharing on terror, and both have
similar concerns on Afghanistan. Above all, now that Washington and
Moscow are moving to repair their relationship, New Delhi is in the
happy position of not having to choose between them, but leveraging
ties with both to its advantage.

http://timesofindia.indiatimes.com/home/opinion/edit-page/Moscow-Moves/articleshow/5315063.cms

chhotemianinshallah

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Dec 9, 2009, 1:17:00 PM12/9/09
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COMMENT
English Endures
7 December 2009, 12:00am IST

The march of the Chinese in the global marketplace has led those with
long-term vision to start leaning Mandarin. After all, if one wants to
do business with the world's fastest growing economy, one better learn
to speak its tongue. Meanwhile, though, the Chinese are pumping in
massive amounts of resources to acquire English-speaking skills. For
it is quite clear - from several studies, trends and by logic - that
English will remain the language the world does business in for at
least a few decades to come.

From Hungary to Egypt, Russia to Korea, teaching English is getting
top billing in schools. Catch them young, and watch them succeed seems
to be the mantra at work here. Compared to most other countries which
do not speak English as a native tongue, India is well-placed in terms
of the number of its people who speak the language. According to the
2000-01 census, about 10.7 per cent of our population speaks some
English. In terms of absolute number of speakers, this pool is next
only to the United States. However, the proportion of those who speak
fluent English is lower.

A British Council report titled 'English Next India' suggests that
India is falling behind China where absolute number of English
speakers are concerned. Thanks to new educational policies being
adopted in China, it is adding about 20 million new English speakers
each year. This is as good a wake-up call as any. A skilled workforce
with English-speaking abilities is one of India's economic advantages.
This is the main reason why it ranks as the top BPO destination in the
world, despite competition from countries like China and the
Philippines, which offer similar services at lower costs. If India
were to maintain its edge in the knowledge economy stakes, English
holds the key.

There is a great demand for English education in India. And this is
not just a middle-class longing. Those from poor backgrounds also view
learning the language as a passport to better economic and social
prospects. They often go out on a limb to secure access to English-
medium schooling for their children. Fulfilling that demand could
unlock a floodgate of talent that will serve well our collective
aspirations to progress. Government must incentivise the teaching and
learning of English in both public and private schools right from the
primary school level. This could be by offering instruction in the
English medium or by promoting a substantial component of English
learning in the curriculum. At the same time, parochial politics -
which has led some states to shunning English teaching at the primary
level in government schools - must be slapped down hard.

http://timesofindia.indiatimes.com/home/opinion/edit-page/English-Endures/articleshow/5308591.cms

Sid Harth

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Dec 9, 2009, 4:31:15 PM12/9/09
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India likely to access vast resources in eastern Siberia and far
eastern Russia

Sandeep Dikshit

Medvedev indicated enhanced partnerships in energy sector, says
Nirupama Rao

— Photo: PTI

OPENING NEW CHAPTER: Prime Minister Manmohan Singh being greeted by
his Russian counterpart Vladimir Putin in Moscow on Monday night.

ABOARD PRIME MINISTER’S SPECIAL FLIGHT: A day after securing a civil
nuclear cooperation agreement with Moscow to meet its growing energy
needs, India on Tuesday secured promises for securing hydrocarbons
from several Russian oil fields.

In an unanticipated development, Prime Minister Manmohan Singh’s
intensive engagement in the Russian capital with President Dmitry
Medvedev and Prime Minister Vladimir Putin led to understandings of
immediate and long-term nature to access the vast Russian resources in
eastern Siberia and far eastern Russia.

Mr. Medvedev gave an indication of enhanced partnerships in the energy
sector when he observed on Monday that with the civil nuclear deal 3.0
in the bag, “we can think of working in other areas.”

Foreign Secretary Nirupama Rao said Russia agreed to allow India to
enter the Trebs and Titov oil fields in the Timan Pechora region.

ONGC Videsh Limited (OVL) and Russia’s Sistema signed a memorandum of
understanding to scout for oil and gas assets in Russia and other
Central Asian countries. The Russian political leadership also gave a
“very positive response” to India’s request to participate in the
bidding for the lucrative Sakhalin-3 oil field.

With OVL having entered into tie-ups to study investment opportunities
with Russian oil and gas giants Roseneft and Gazprom, Ms. Rao was
confident of India obtaining sourcing rights in at least some of the
projects.

In the case of Sakhalin-3, Russia told India that it was yet to take a
decision on allowing foreign participation. In case such a decision is
taken by the first quarter of next year (when Mr. Putin will visit
India), New Delhi could take a stake in the project.

OVL now has a slice of the Sakhalin-1 and swaps oil accruing to its
account with crude carriers operating in India’s vicinity.

Sistema also is no stranger to India. It is Russia’s biggest investor
in the Indian telecom sector.

Its chief co-chairs the Indo-Russia CEOs Council with Reliance
Industries head Mukesh Ambani.

Circumspect about the civil nuclear energy agreement 3.0 before it was
inked (although officials had told The Hindu that the pact was
through), Ms. Rao chose to downplay the gains from this agreement.

“This shows the growing engagement of the world community in the
development of India’s civil nuclear energy programme,” she said and
bracketed the pact with the ones signed with the U.S. and France.

Asked whether the spate of tie-ups with Russia in strategic sectors
could impact India’s ties with the U.S., Ms. Rao pointed out that in
today’s world, each relationship stood on its own.

India was reluctant to sign three military agreements with the U.S.
and its talks on securing enrichment and reprocessing rights for
uranium were making slower-than-anticipated progress. At the same time
the U.S. had obtained about $5-billion of arms exports orders and
promised contracts worth 10,000 MW in nuclear energy.

On the other hand, Russia and India agreed to further the military
partnership by agreeing to join hands in producing a transport
aircraft with multiple versions, buying more heavy class and naval
fighters, making progress on aligning to produce a next generation
fighter and closing differences over the price for the refit of
aircraft carrier Admiral Gorshkov.

“Our ties with the U.S. do not affect the stability and solidity of
our ties with Russia. They are as I said earlier rock solid,” Ms. Rao
said.

http://www.hindu.com/2009/12/09/stories/2009120960091000.htm

bademiyansubhanallah

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Dec 12, 2009, 3:35:27 AM12/12/09
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Talking shop with Beijing
Hindustan Times
December 11, 2009

First Published: 22:37 IST(11/12/2009)
Last Updated: 22:41 IST(11/12/2009)

When Wen Jiabao calls Manmohan Singh has a definite view on the
weather in Copenhagen. The two rapidly developing economies are on the
same side of the negotiation table in climate change talks. There’s
one crucial difference though. China already has a large carbon
footprint, India is poised to enlarge its. The two countries will be
discharging nearly half the world’s greenhouse gasses 20 years from
now, but it is more expensive for China to do anything about it. So Mr
Wen needs Mr Singh more than the other way round next week. India’s
larger interests are served by aligning with China, yet it has the
flexibility to be more receptive to the West’s proposals on saving the
planet.

India’s energy use per $1,000 of GDP has declined by 42 per cent
between 1980 and 2006 and China’s use by 71 per cent. Still
manufacturing-intensive China needs 50 per cent more energy to produce
an extra dollar than India where services are growing faster than
industry. Both countries face the same scale effect of additional
emission as their economies expand. India’s energy use per capita has
risen by 70 per cent in a quarter of a century and China has posted an
eye-popping 136 per cent growth. However, the composition of
consumption in India is ahead in the transition to a less fuel-hungry
economy. And its relatively slower pace of growth allows India to gain
from technological advances that lower emissions per unit of output.

The more proximate divergence arises from the state of infrastructure
development in the two countries. China has already built significant
power generation capacity and the UN estimates that if all Chinese
power plants were to run on Japanese technology, they would emit 50
per cent less carbon dioxide. India has so far managed to put up a
fraction of its required power capacity. It is cheaper to build green
power plants than retrofit existing ones (a power plant typically has
a life-span of 50 years). Likewise, in transportation. The Chinese
road network is in place but the pace of highway development in India
allows it leeway to explore fuel-efficient rail networks. A clutch of
Indian cities is indeed in the process of acquiring rail-based mass
transport systems. Summits are not needed to convince energy-starved
China and India to seek efficiencies. The economics is compelling. It
is just that they should be free to choose their paths to God.

http://www.hindustantimes.com/editorial-views-on/edits/Talking-shop-with-Beijing/Article1-485543.aspx

bademiyansubhanallah

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Dec 13, 2009, 5:26:00 AM12/13/09
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'Dhanush' missile successfully test fired
PTI Sunday, December 13, 2009 13:29 IST

Balasore (Orissa): India today successfully test fired its nuclear-
capable ballistic missile 'Dhanush', with a range of 350 km, from a
naval ship off the Orissa coast.

The single-stage ship-based missile was flight-tested at around 11.30
am and the trial was successful, defence sources said.

'Dhanush' has a payload capacity of 500 kg and is capable of carrying
both conventional and nuclear warheads. It can hit both sea and shore-
based targets.

The missile, which has liquid propellant, is the naval version of
India's indigenously developed surface-to-surface 'Prithvi' missile
system, the sources said.

"Dhanush, being developed by Defence Research and Development
Organisation (DRDO), was put to trial jointly by a team of scientists
and officers from the Navy," they said.

"Today's test launch has been tracked from its take-off to impact
point through an integrated network of sophisticated radars and
electro-optic instruments for post-mission data analyses," the sources
said.

The missile had failed in its first test at the development stage on
April 11, 2000 due to certain technical problems relating to the take-
off stage but subsequent trials were successful.

The last trial of 'Dhanush' was successfully conducted from a naval
ship off Orissa coast on March 30, 2007, the sources said.

http://www.dnaindia.com/india/report_dhanush-missile-successfully-test-fired_1323180

bademiyansubhanallah

unread,
Dec 13, 2009, 5:28:16 AM12/13/09
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Army should be confident of nuclear arsenal: Kakodkar
PTI Sunday, December 13, 2009 12:00 IST

New Delhi: Army should be fully confident as there is no doubt about
the nuclear arsenal at their command, former Atomic Energy Commission
chairman Anil Kakodkar has said seeking to put at rest questions
raised over the efficacy of the country's hydrogen bomb test.

"I think that is guaranteed. Army should be fully confident. There is
no doubt about the arsenal at their command," he told Karan Thapar on
Devil's Advocate programme on CNN-IBN.

Kakodkar, who retired from service on November 30, was asked about
former Army chief VP Malik's remarks that nuclear scientists should
assure the armed forces about the efficacy of the thermonuclear
device.

He ruled out the need for further thermonuclear tests and said the
country has several hydrogen bombs with a yield "much more" than 45
kilo tons.

"Of course. Why do you put singular, use plural?" he shot back when
asked whether India had a thermonuclear bomb.

"Much more than that. I said from up to low kilotons to 200 kilotons,"
Kakodkar said when asked whether the hydrogen bomb has a yield of 45
kilo tons.

Kakodkar dismissed former DRDO scientist K Santhanam's claims over the
success of the 1998 thermonuclear tests saying it would not be correct
to assume that he (the defence scientist) knew everything.

"We required logistic support which was provided by DRDO. ...things
were being done on a need-to-know basis. To assume that Santhanam knew
everything is not correct. Santhanam knew what was within his
responsibility," Kakodkar said.

He said it was "totally erroneous" to conclude that the hydrogen bomb
test was not a success.

"It is a totally erroneous conclusion. The yield of thermonuclear test
was verified, not by one method but by several methods and by
different groups and this has been reviewed in detail," he said.

"I had described the tests as perfect in 1998 and I stand by that,"
said Kakodkar, who played key roles in the nuclear tests of 1974 and
1998.

He also said the instruments used by DRDO to measure the yield of the
tests did not work. "I myself had reviewed this immediately after the
test and we concluded that these instruments did not work.

"If the instruments did not work where is the question of going by the
assertions based on them and what is the basis of those assertions,"
he said.

On former AEC chief PK Iyengar's support to Santhanam's claims,
Kakodkar said "Iyengar was not in the picture as far as 1998 tests
were concerned. He knows only as much as has been published. Nothing
more."

When pointed out that other countries had done more hydrogen bomb
tests than India, Kakodkar said "if you go by dil maange more that is
another story. The important point is all tests worked as designed."

http://www.dnaindia.com/india/report_army-should-be-confident-of-nuclear-arsenal-kakodkar_1323152

Sid Harth

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Dec 13, 2009, 11:42:38 AM12/13/09
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Women CEOs: India Inc beats US hands down
PTI 13 December 2009, 05:11pm IST

NEW DELHI: Gender imbalances continue to prevail in corporate
boardrooms across the world, but the situation is much better in our
country if the number of women CEOs that India Inc has is any
indication--nearly four times more than that of the US--a survey
says.

According to a survey by international executive research firm, EMA
Partners International, around 11% of Indian companies have women
CEOs, while in the case of Fortune 500 list from the US, the women
CEOs just account for three% of the total consideration set.

"In the backdrop of the Fortune 500 numbers, the Indian results
certainly look a lot better, though on a standalone basis, it is clear
that barring financial services, other industries have a log way to
catch up," EMA Partners chairman James Douglas said in the survey.

In India, the survey was carried out among 240 mid and large domestic
as well as MNCs. The companies were selected on the basis of revenues
and market capitalization among others. The survey was conducted in
November.

Globally, on an average, about three% of top CEOs are women, which is
quite unrepresentative, given the fact that roughly half the
population are females and around 50% of the staff are also females in
most markets.

According to the EMA Partners estimates, over 25% of the executives
are women in Germany, more than 30% in Britain, while this is 35% in
France.

http://timesofindia.indiatimes.com/biz/india-business/Women-CEOs-India-Inc-beats-US-hands-down/articleshow/5332921.cms

Sid Harth

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Dec 13, 2009, 11:44:32 AM12/13/09
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India Inc buys 143 US cos in 2 yrs
TNN 19 June 2009, 11:08am IST

NEW DELHI: The greater engagement of US with India seems to have
benefited the former during the economic downturn as thousands of
Americans managed to save their jobs when Indian corporates went on a
major acquisition drive in the US. ( Watch )

During the last two years, Indian companies acquired 143 US firms
across various sectors. While 94 deals were concluded in 2007-08, in
the following year when the economy was on the downturn, Indians
bought as many as 50 US entities that were on the verge of closure,
saving thousands of jobs.

A study, jointly conducted by Indian industry association FICCI and
Ernst & Young, said Tata Chemicals, Wipro, Reliance Communications and
Firstsource Solutions were some of the top Indian entities that were
involved in bailing out US companies in the red.

The report released on Thursday said IT&ITeS, manufacturing and
pharmaceuticals were the prime sectors in which most of the deals were
formalised. Indian companies from the IT sector have over the years
been aggressively expanding in the US market.

The deals were predominantly debt financed with cash being a popular
mode of payment. "This trend probably extends from India Inc's
traditional preference for cash transactions in the domestic merger
and acquisition space," the report observed.

The Ernst & Young report says the boom in the Indian economy in the
last three to four years made the domestic companies cash-rich which
provided them with access to more capital than in the past.

Interestingly, one of the key factors, as the report cites, behind
more acquisitions has been the liberal policies introduced by the
government and RBI for overseas investments.

According to RBI data, in 2007-08 the total outbound investments of
Indian companies amounted to $18 billion. In the first half of
2008-09, at least 2,000 proposals valued at $9 billion were cleared
for overseas investments in joint ventures and wholly owned
subsidiaries.

http://timesofindia.indiatimes.com/biz/india-business/India-Inc-buys-143-US-cos-in-2-yrs/articleshow/4672858.cms

Sid Harth

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Dec 13, 2009, 11:46:34 AM12/13/09
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Breaking News:

Tatas, SBI, Infosys among world's top 50 reputed firms
IANS 9 May 2009, 10:53am IST

WASHINGTON: The Tata Group, State Bank of India (SBI) and Infosys
Technologies are among 17 Indian firms that figure among the top 50 in
a list of the world's 200 most reputable companies.

With a pulse score of 80.89 on a scale of 0-100, the US-based
Reputation Institute ranked the Tata Group 11th above global giants
like Google, Microsoft, General electric, Toyota, Coca-Cola, Intel and
Unilever.

Italy-based chocolate producer Ferrero was ranked as the most
reputable company on the planet right now. With its pulse score moving
from 83.52 last year up to 85.17, Ferrero came up from fourth place
last year to first, more than a full point ahead of second ranked
IKEA.

"However it is the people of India who love their companies the best,"
noted US business magazine Forbes. "Of India's 27 corporations ranked
by the institute, 24 (89 percent) placed above the average. Seventeen
of them landed in the top third of the list."

The Reputation Institute's global pulse of 600 companies is a measure
of corporate reputation calculated by averaging perceptions of four
indicators - trust, esteem, admiration and good feeling - obtained
from a representative sample of at least 100 respondents in the
companies' home countries.

SBI, India's largest bank, is ranked 29th with a score of 78.11.
India's second largest software exporter Infosys is at 39th, with a
pulse score of 77.45.

Larsen & Toubro comes next at 47th position with a pulse score of
76.58, while India's largest carmaker Maruti Suzki has been ranked
49th with a pulse score of of 76.26.

Other Indian firms in the top 200 are: Hindustan Unilever (69 -
74.99); ITC Ltd (95 - 73.50); Canara Bank (102- 73.34); Hindustan
Petroleum (111 - 73.08); Indian Oil (112 - 73.01); Wipro (116 -
72.77); Mahindra & Mahindra (137 - 71.61); Bharti Airtel (163 -
70.32); Bank of Baroda(174 -- 69.81); Bharat Petroleum(175 - 69.79)
and Punjab National Bank (177- 69.67.)

Johnson & Johnson, which placed first in the US for reputation, lands
third globally. Kraft Foods places eighth, making the US one of only
two countries with two businesses in the global top 10. Brazil is the
other. Its Petrobras and Sadia landed fourth and fifth respectively.

Brazil had the second highest percentage of its participating
companies ranked above the global average at 76 percent, while 62
percent of American companies received pulse scores above the
average.

http://timesofindia.indiatimes.com/biz/india-business/Tatas-SBI-Infosys-among-worlds-top-50-reputed-firms/articleshow/4502300.cms

Sid Harth

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Dec 13, 2009, 11:48:36 AM12/13/09
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India Inc to India Stink
Bachi Karkaria16 January 2009, 12:10am IST

Despair not that our newfound software power is crashing all around
us. Behold, our age-old claim to fame has come hobbling up to lift us
back to global attention. Poverty has hit pay-dirt, earlier at the
Booker awards, and now at Beverley Hills. So what if Satyam has become
a pariah? 'Slumdog' banega crorepati, no? The film has been sweeping
up awards as though BMC brooms were going out of style.

This week's Golden Globe Awards will ring in millions of squalor-
dollars for Danny Boy. Last year, it was the 52,500-sterling-pounds
Man Booker Prize for Aravind Adiga's similarly malodorous novel. Yes,
slums are set to become the old-new India Story. The development comes
not a day too soon, for our much-vaunted 'economic power engine',
already crippled by load- shedding, now seems headed for a scandalous
black-out.

Maybe this backward leap is all about hubris. We had no business
trying to break free of our millennia-long karma. Third World was our
laid-down destiny, and we had no right to muscle into the First World
aka the Forbes List. Indians had begun multiplying in the
Billionaires' Club with the same fecundity with which Indians used to
multiply. Period. The global genuflecting to the separate Mittals, the
separated Ambanis, the undivided Ruias, the Brothers Ranbaxy and K P
Singh, the high-rising DLF don, had deluded us into believing that we
had escaped the cycle of life and debt, and become the new dollar
deities.

Now divine retribution has caught up with us, and put us back into our
pre-ordained squalor-celebrity slot. We have salvaged our garland of
global recognition, but this time it is made up of all the stereotypes
we thought we had put in the shredder of Corus, Arcelor, and 9 per
cent growth. The Golden Globes and the Booker have shown us our place
even as they have showered us with their prizes. 'Slumdog Millionaire'
is so feel-good because its context is so smell-bad. Just as Balram
'White Tiger' Halwai's rise was so piquant because he was such an
embodiment of filth.

This 360-degree turn in our global positioning proves yet again that
the hierarchies of fame are not easily defied. Abandon the designated
vehicles of glory, and you get punctured. In the marketplace of global
attention, urban slums and rural boondocks are the Indian franchisees
in perpetuity. Ambani-come-lately and the whole corporate wannabe were
doomed before they even stepped into their Bentleys. Poverty is our
commodity, and that's all that the world wants from us. Brand India
was nothing but virtual maya.

Mother Teresa knew the formula, and she became a saint. Buddhadeb
Bhattacharya messed about with Kolkata's image as the world's metaphor
of squalor, and he has been eternally damned. For all his intellectual
loftiness, Satyajit Ray also knew that Indian poverty was a better
export than wealth, and even zamindars had to be in an advanced stage
of decay to feature in his films. For all its recently flaunted
materialism, Kolkata is a business dimwit, or, by now, it would have
patented its infamous slums instead of letting street-smart Mumbai
steal them from under its nose, and run away with the worldwide
rights. Goodbye, 'City of Joy'. Hello, 'Shantaram'.

Of course, Mumbai being Mumbai, it did not need Danny Boyle to turn
slum dross into gold. The Kolkata bustee or the Delhi jhuggi-jhopri
may be symbols of unglimmered despair, but this city's zopadpattis
invoke more awe than shock. Why, even the penthouse parvenu takes a
sheet out of their tatty roofs to learn that sweet are the uses of
encroachment or that the line between the legal and the culpable is at
best blurred. Mumbai may love to hate its slums, but their tenacity,
their industry, their stink are integral to its distinctive DNA. Here,
you can never become a millionaire if you aren't a slumdog at the
core.

http://timesofindia.indiatimes.com/home/opinion/subverse/India-Inc-to-India-Stink/articleshow/3985547.cms

bademiyansubhanallah

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Dec 13, 2009, 4:07:11 PM12/13/09
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India has a predominant place in space tech: Nair
STAFF WRITER 0:26 HRS IST

Kottayam, Dec 13 (PTI) Technical experts in the country were not
behind anybody in terms of ability and India has a predominant place
among the developing countries in space science and technology, former
ISRO Chairman G Madhavan Nair said today.

Most of the scientists who studied in the country were steering
scientific developments across the world, he said at a reception given
to him at a college in Pala near here.

He said ISRO would carry out the country's maiden manned moon mission
by 2020.

Challenges faced by people including poverty, crisis in agriculture
sector and shortage of electricity would be confronted through
scientific developments, he said.

http://www.ptinews.com/news/421986_India-has-a-predominant-place-in-space-tech--Nair

chhotemianinshallah

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Dec 14, 2009, 5:41:49 AM12/14/09
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Kakodkar says India has credible thermo-nuclear bombs in the "plural"
Sun, 12/13/2009 - 23:26
NetIndian News Network
New Delhi, December 13, 2009

Dr. Anil Kakodkar.Former Atomic Energy Commission (AEC) Chairman Anil
Kakodkar has asserted that India has credible thermo-nuclear bombs, in
the "plural", with a yield of "much more" than 45 kilotonnes each.

"Why are you using singular? Make that plural," he said when asked if
India had a credible thermo-nuclear bomb during an interview with
journalist Karan Thapar on the Devil's Advocate show on television
channel CNN-IBN.

When it was pointed out that former defence scientist K Santhanam had
said recently that the thermonuclear device had not been weaponised
even 11 years after the tests, Dr Kakodkar, who retired as AEC
Chairman at the end of last month, asked, "How does he know? He is not
involved."

About the yield, Dr Kakodkar said, "I told you we have the possibility
of a deterrence of low kilotonne to 200 kilotonnes."

Referring to statements made recently by former Army Chief Gen V P
Malik and others about doubts in the public arena and the neeed for an
assurance to the Army on the yield and the efficacy of India's thermo-
nuclear bomb, Dr Kakodkar said, "I think that is guaranteed. The Army
should be fully confident and defend the country. There is no issue
about the arsenal at their command."

Asked about the doubts raised by Dr Santhanam, former AEC Chairman P K
Iyengar and others about India's nuclear tests of 1998, Dr Kakodkar
said their was a totally erroneous conclusion.

"The yield of thermo-nuclear tests was verified, not by one method but
several redundant methods based on different principles, done by
different groups. These have been reviewed in detail and in fact I had
described the tests in 1998 as perfect and I stand by that," he said.

Asked about the AEC claim that the yield of the tests was 45
kilotonnes and Dr Santhanam's statement that the DRDO seismic
instruments had measured it as something between 20-25 kilotonnes, he
said that the DRDO did dploy some instruments for measurements but
they did not work.

"I myself had reviewed all the results immediately after the tests and
we concluded that the instruments did not work," he said.

He assured that the AEC had proof that the yield of the test was 45
kilotonnes. "Yes. In fact we have. Within limits of what can be said
and I must make it clear here that no country has given so much
scientific details on their tests as we have given and this we have
published with the maximum clarity which could be done," he said.

Dr Kakodkar said it was unfortunate that such doubts were stil being
raised but said he was not worried by them because "facts are facts".

To another question about Dr Santhanam pointing out that the thermo-
nuclear test did not create a crater when the fission device, which
had produced a yield of 25 kilotonnes, had created a crater of 25
metres in diameter, Dr Kakodkar said that, in the first instance, the
fission device yield was 15 kilotonnes.

He said that, although the two devices were about 1.5 km apart, the
geology within that distance changed quite a bit, partly because of
the layers that existed and their slopes but also because their depths
were different. He said fission device was, thus, placed in one kind
of medium and the thermo-nuclear device in another kind of medium.

"In fact, we have gone through detailed simulation. For example in
simulation you can locate the thermo-nuclear device where the fission
device was placed and you can locate the fission device where the
thermo-nuclear device was placed. And you get a much bigger crater now
because the yield is higher...And the fission device which is now
placed in the thermo-nuclear position produces much less ground
displacement," he said.

He offered similar explanations for the fact that the shaft and the a-
frame were not damaged during the test.

About Dr Iyengar's views, Dr Kakodkar said his predecessor was nowhere
involved in the 1998 tests, though he had been a key figure in the
1974 tests. He said information was given to many people on a "need to
know" basis, and to to assume that Dr Santhanam knew everything was
not true. "He knew everything within his realm of responsibility," he
said.

Dr Kakodkar said there was no hiding of information and India was,
perhaps, unique in that it had given out the maximum information and
that, too, immediately after the tests.

"There is no hiding. There are limits to what can be revealed. These
have been discussed in the Atomic Energy Commission in not one but
four meetings after the 1998 tests. And there are people who are
knowledgeable. Dr Ramanna was a member of the commission at that time.
So where is the hiding?" he said.

He did not agree with Dr Santhanam's suggestion that a peer group of
scientists should be formed to review the results of the 1998 thermo-
nuclear test.

"There are methods through which one has assessed the test results.
Each one of them is a specialisation in itself and there are different
groups - not just individuals but groups - which have looked at these.
The fact is that this is also on a need-to-know basis. Now, if all of
them come to conclusions which are by-and-large similar, what other
things can you do in terms of forming a peer group of scientists?" he
asked.

He said the AEC had gone through the records once more recently after
the controversy had cropped up again and later come out with an
authoritative statement on the issue.

He said the important point to note was that the thermo-nuclear test,
the fission test and the sub-kilottine test had all worked as
designed.

"They are diverse. In terms of detailed design, their content is quite
different. And so we think that the design which has been done is
validated and within this configuration which has been tested one can
build devices ranging from low kilotonne all the way to 200
kilotonnes. And that kind of fully assures the deterrence," he said.

Asked if India was right in maintaining that it did not need more
thermo-nuclear tests when all the established nuclear powers had
needed more than one test, he said, "Well if you go by 'Dil Maange
More', that's another story.

"But we are talking about a time where the knowledge base has
expanded, the capability has expanded and you carry out a design and
prove you are confident that on the basis of that design and that
test, one can build a range of systems right up to 200 kilotonnes," he
added.

NNN

http://netindian.in/news/2009/12/13/0004403/kakodkar-says-india-has-credible-thermo-nuclear-bombs-plural

chhotemianinshallah

unread,
Dec 14, 2009, 5:44:47 AM12/14/09
to
10 offset contracts signed so far under Defence Procurement Procedure
Mon, 12/14/2009 - 13:58
NetIndian News Network
New Delhi, December 14, 2009

About ten offset contracts have been signed so far under the extant
Defence Procurement Procedure, Defence Minister A K Antony told the
Lok Sabha today.

In a written reply to a question in the House, Mr Antony said the
companies with which the contracts had been signed included
Rosoboronexport and RAC MiG of Russia, Fincantieri of Italy, Lockheed
Martin and Boeing of the United States, Elta, Israel Aerospace
Industries and Rafael of Israel.

The estimated value of the offsets involved in these contracts is over
Rs. 8909 crores, Mr Antony said.

According to him, the implementation of the offsets is expected to
result in expanding and enhancing the manufacturing infrastructure and
technical knowledge necessary for indigenous manufacture of weapon
systems required by the Armed Forces.

The benefits of offsets accrue to both defence public sector
undertakings as well as to private Indian industry engaged in the
manufacture of defence systems and equipments, he added.

NNN

http://netindian.in/news/2009/12/14/0004407/10-offset-contracts-signed-so-far-under-defence-procurement-procedure

chhotemianinshallah

unread,
Dec 14, 2009, 5:47:01 AM12/14/09
to
DRDO to take up indigenous development of UAV
Mon, 12/14/2009 - 13:43

NetIndian News Network
New Delhi, December 14, 2009

The Defence Research and Development Organisation (DRDO) will take up
the indigenous development of a medium altitude long endurance
Unmanned Aerial Vehicle (UAV).

Defence Minister A K Antony told the Lok Sabha in a written reply to a
question today that the development would be undertaken against
against confirmed Qualitative Requirements (QRs) to meet the
requirements of the three Services.

Mr Antony said the UAV had been named Rustom-H. The Indian industry
would be the development-cum-production partner for the project, which
is expected to be completed in 78 months after formal sanction.

NNN

http://netindian.in/news/2009/12/14/0004406/drdo-take-indigenous-development-uav

chhotemianinshallah

unread,
Dec 14, 2009, 7:59:04 AM12/14/09
to
Gorshkov's final price decided: Russian envoy

2009-12-14 17:30:00

Days after Prime Minister Manmohan Singh's visit to Moscow, Russian
ambassador to India Alexander Kadakin Monday said the final price for
the refurbishment of aircraft carrier Admiral Gorshkov has been
finalised.

'Talks were successful. Talks have concluded,' the Russian envoy said
when asked about the final price at which Russia has agreed to sell
Admiral Gorshkov to India.

The envoy, however, declined to disclose the final price of the
aircraft carrier that has been the subject of protracted negotiations
between the two sides.

'Please don't sensationalise Gorshkov's pricing. These are routine
price negotiations,' said Kadakin, an old India hand whose earlier
tenure as Russia's ambassador to India (1999-2004) saw the forging of
strategic partnership between the two countries.

The Gorshkov issue came up during the summit level talks between Prime
Minister Manmohan Singh and Russian President Dmitry Medvedev in
Moscow last week.

After the talks, Indian Foreign Secretary Nirupama Rao had said the
negotiations over price and other technical issues relating to the re-
fitted aircraft carrier were brought 'to a successful conclusion'.

Rao, too, did not disclose the final price agreed to by both sides.

Kadakin admitted that there were 'mistakes' by both sides in
negotiating the price, but assured that these issues have now been
sorted out.

The carrier would be supplied to India in a very good shape with
cutting-edge technology, Kadakin said.

Kadakin said India-Russia defence ties remained as strong as ever and
Moscow was not worried about New Delhi diversifying its purchase of
military hardware from other countries.

He admitted that supplying spares and maintenance of Russian weaponry
sold to India remained an issue, but expressed confidence that these
would be sorted out soon.

Moscow had reportedly asked for $2.9 billion for the aircraft carrier,
nearly thrice the price that was originally agreed between the two
sides in 2004.

But New Delhi insisted on scaling back the price to $2.1 billion.

Delays in re-fitting the aircraft carrier and huge cost overruns had
turned out to be an irritant over the otherwise time-tested
relationship between the two countries.

http://sify.com/news/Gorshkov-39-s-final-price-decided-Russian-envoy-news-jmor4chccgj.html

bademiyansubhanallah

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Dec 14, 2009, 4:40:49 PM12/14/09
to
China warms up to India after months of chill
Jayanth Jacob , Hindustan Times
New Delhi, December 15, 2009

First Published: 00:45 IST(15/12/2009)
Last Updated: 00:46 IST(15/12/2009)

After months of frosty ties, Beijing warmed up to New Delhi on Monday
with its ambassador to India writing to External Affairs Minister S.M.
Krishna, seeking a meeting to discuss the celebration next year of 60
years of diplomatic ties between the two countries.

Zhang Yang said he would like to “benefit” from any “ideas” the
minister may have.

Ties have been strained between the countries in the recent past over
Beijing issuing stapled visas to Indian nationals from Jammu and
Kashmir and the Chinese protesting the Dalai Lama’s visit to
Arunanchal Pradesh in November.

As part of the celebrations, there will be an India festival in China
and a China festival here. President Pratibha Patil is expected to
visit the neighbouring country next year.

Though the anniversary plans were agreed upon in August — when the
13th meeting between the Chinese and Indian special representative on
the boundary issue was held in New Delhi — some suggestions from the
Chinese side hadn’t found favour with India.

These include Beijing’s proposal to teach Chinese language in India
and an exchange programme for school students.

http://www.hindustantimes.com/india-news/india/China-warms-up-to-India-after-months-of-chill/Article1-486639.aspx

chhotemianinshallah

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Dec 15, 2009, 9:02:04 AM12/15/09
to
Ajai Shukla: India: Global hub for warship-building

Ajai Shukla / New Delhi December 15, 2009, 0:32 IST

Strategic circles are abuzz with rumours that the United Kingdom will
soon offer India one of the new-generation aircraft carriers that it
is constructing, since they are turning out too expensive for the
Royal Navy to afford. Interestingly, India will almost certainly turn
down the offer.

The Royal Navy had planned to build two Carrier Vessels Future (CVFs):
the 65,000 tonne HMS Queen Elizabeth and HMS Prince of Wales. With the
budgeted price of US $6.4 billion (Rs 30,000 crore) for the pair, now
apparently the cost of each, building a third and selling it abroad is
an option being considered to reduce the unit price. But, in contrast
to this exorbitant price, the cost of India’s 44,000 tonne Indigenous
Aircraft Carrier (IAC), under construction at Cochin Shipyard Limited
(CSL), is barely a third of the Queen Elizabeth. And the Indian Navy’s
next IAC, a 60,000 tonne behemoth like the Queen Elizabeth, will cost
less than half its British counterpart.

In the gloomy framework of Indian defence production, warship-building
has emerged as a silver lining. The Kolkata class destroyers, being
built at Mazagon Dock Ltd, Mumbai, will cost the navy Rs 3,800 crore
each, one-third the global price for comparative warships. The INS
Shivalik, now completing sea trials, is a world-class frigate built at
Indian prices. Earlier this year, addressing an industries body, the
Indian Navy’s chief designer, Rear Admiral MK Badhwar, called for
making India a global hub for building warships.

While his appeal might have been tinged with strategic motivation — a
larger warship industry would bring down unit prices, providing the
navy with even more bang for the buck — there is little doubt that
shipbuilders would profit more from crafting warships than from
slapping together merchant vessels. India has developed the
capabilities, including, crucially, the design expertise, to produce
world-class warships. But the defence shipyards do not have the
capacity to meet even the Indian Navy’s needs; playing the
international warship market needs clear-sighted government
intervention to synergise the working of public and private
shipbuilders.

Building a merchant ship is a relatively cheap and simple process,
from design to outfitting. Essentially, it involves welding together a
hull (often from imported steel) and then installing imported systems
such as engines, radars, the steering, navigation and communications
systems, and some specialist systems, e.g. for cargo handling.
Imported components form the bulk of the cost, with little value
addition within the shipyard. A commercial shipyard’s business plan
revolves around bulk manufacture, compensating for the small profit
margins by churning out as many ships as possible.

Creating a warship is infinitely more complex, and expensive. The
design process is critical, with complex software shaping the
“stealthiest” possible ship, virtually undetectable to an enemy. Next,
a host of sensors and weapons must be accommodated to deal with
different threats: enemy ships, submarines, aircraft and incoming
missiles. Harmonising their different frequencies, and canalising
information and weapons control into a single command centre, involves
weaving an elaborate electronic tapestry.

Actually building the warship is a labour-intensive task, which
involves painstakingly duplicating key systems so that the vessel can
sail and fight even with one side blown out by the enemy. More than
400 kilometres of wiring must be laid out inside, all of it marked and
accessible to permit repair and maintenance. A modern frigate has 25
kilometres of pipelines, built from 10,000 separate pieces of piping.

All this generates many jobs. An army of skilled craftsmen, many more
than in merchant shipbuilding, does most of this work manually,
through an elaborate eco-system of 100-200 private firms feeding into
each warship. And these numbers are growing as defence shipyards
increasingly outsource, using their own employees only for core
activities like hull fabrication; fitting propulsion equipment; and
installing weapon systems and sensors.

In this manpower-intensive field, India enjoys obvious advantages over
the European warship builders that rule the market. These advantages
are far less pronounced in merchant shipbuilding, where Korean and
Chinese shipyards are turbocharged by a combination of inexpensive
labour, indirect subsidies, and unflinching government support.

What makes India a potential powerhouse in warship-building is not so
much its labour-cost advantage as a strong design capability that the
navy has carefully nurtured since 1954, when the Directorate General
of Naval Design first took shape. The importance of design capability
has been amply illustrated in the bloated CVF programme. The UK,
having wound up its naval design bureau, has already paid over a
billion dollars to private companies to design the aircraft carrier.
And with every minor redesign, not unusual while building a new
warship, the design bill and the programme cost goes higher.

India has everything it takes to be a warship-building superpower: the
springboard of design expertise; cheap and skilled labour; and
mounting experience in building successful warships. What it lacks is
capacity, which the government can augment with the help of private
shipyards. This will significantly augment private shipyard revenue,
boost defence exports, and provide the government with another
strategic tool for furthering its interests in the Indian Ocean
region.

http://www.business-standard.com/india/news/ajai-shukla-india-global-hub-for-warship-building/379570/

bademiyansubhanallah

unread,
Dec 16, 2009, 3:16:02 AM12/16/09
to
Leadership
Yes, China Has Fully Arrived As A Superpower
Shaun Rein, 12.15.09, 04:22 PM EST
Three trends for 2010 prove it.

More from Shaun Rein

A remarkable 44% of Americans believe China is the world's leading
economic power and only 27% think the U.S. is, according to a recent
survey by the Pew Center. James Fallows, the Atlantic Monthly
journalist, thinks that is proof that Americans have lost their minds.
He argues that China can't be the world's leading economic power. Too
many of its people live without indoor plumbing, no mainland science
researcher has won a Nobel Prize and the country has no global brands.
How can a place like that be an economic superpower?

The normally adroit Fallows surprisingly misses the real point. China
already is a superpower in many regards. Despite its poverty, no
matter what industry you're in or where in the world you operate, you
can no longer ignore China's economic might. That is power.

Here are three trends to look for in 2010 that demonstrate China's
superpower status:

First, China is wielding national influence in places it never
affected before. Over the last several decades it provided an
ideological counterpoint to the United States, doing business in its
push for oil with unsavory regimes like Iran and Sudan that
democracies traditionally wouldn't work with. Now China is gaining
influence with America's closest allies, too. During the financial
crisis it doled out billions in contracts in Great Britain and France.
This year it surpassed the U.S. to become the largest trading partner
of both Japan and Brazil. It conducts more than $100 billion a year in
trade with both the Middle East and Africa. In Africa it is laying
down highways and other infrastructure projects. Already 750,000
Chinese workers have moved there.

Premier Wen Jiabao and the World Bank are even discussing ways to move
textile factories from southern China to Africa. China's factories
just might lift up Africa as no Western aid money has ever been able
to do.

Look for Chinese companies to buy not just access to commodities but
also Western brands, like Volvo and Hummer. Building brands takes
decades. That's why so few Chinese brands have emerged globally.
Chinese firms have traditionally focused on competing on price, but
that's changing fast as they learn about marketing. Aggressive,
impatient Chinese businesses don't want to take decades to build
brands the way Toyota ( TM - news - people ) and Sony ( SNE - news -
people ) did, so they're looking to buy them from the West instead.

My firm, the China Market Research Group, interviewed 500 senior
executives at 100 Chinese companies in 10 industries. Seventy percent
of them told us they planned to use the downturn to speed up their
international expansion, using both acquisitions and organic growth.
They specifically aimed to tap into the U.S. and Western Europe with
their cash wealth.

The second trend that shows that China is an established superpower,
not just a rising one, is its emergence as a hotbed of innovation.
Many analysts believe that Chinese are good at copying but not at
innovating. That's just not true anymore.

The country has become the main recipient of venture capital money in
clean technology. The government is trying to address soaring health
care costs by reducing pollution and is actively encouraging foreign
investment to do so, as I wrote in "China Is Pulling Ahead On The
Environment." It is spending $9 billion a month on clean energy
research, and within five years it will become the world's largest
producer of solar and wind energy. Most rural homes already heat water
using solar panels on their roofs, and China is now exporting its wind
power technology to the U.S. Its technology is being used to build a
36,000-acre wind farm in Texas.

At the same time, Chinese in the U.S. have been increasingly moving
back to China, driven by the bad economy and visa hassles that arose
from Bush administration policies. More than 1.5 million Chinese have
studied abroad. Those who went to the U.S. in the 1980s and mid-1990s
tended to stay, and they helped drive Silicon Valley's growth. Now
most are moving back to China, and many are taking their companies
public on NASDAQ. Robin Li, the founder of Baidu, and James Jianzhang
Liang and Neil Shen, the co-founders of Ctrip, which is listed on
NASDAQ, all studied abroad before returning to China.

The third trend: Not only is China becoming ever more powerful
economically; it is also starting to exert its political power more
responsibly. Although it has been a bit combative on climate and
carbon emissions at the Copenhagen conference, it has taken a leading
role among the G-20 group of nations in helping push for effective
responses to the world financial crisis. Partly because China is
crucial to the world economy, G-20 is formally replacing G-8 as the
main economic meeting of wealthy nations. Also China has become the
key broker with North Korea in attempts to make that country less
belligerent, and it will bring greater influence to bear in political
discussions in the years ahead.

China is certainly not altogether as wealthy as the U.S. or Japan, as
Fallows correctly observes. But it is emerging confident and
relatively unscathed from the financial crisis. Some 80% of Chinese
told us they were optimistic about their futures. At the same time,
the unemployment rate in the U.S. is still far too high, and Japan has
not only one of the world's highest per capita gross domestic products
but also one of the highest suicide rates, with more than 30,000
citizens killing themselves in each of the past 10 years. The
traditional powers aren't the dominant forces they once were,
economically or otherwise.

People have been talking for years about China as an emerging global
power. The reality is that in many ways it is now fully emerged.
Growing economic strength begets power.

Shaun Rein is the founder and managing director of the China Market
Research Group, a strategic market intelligence firm. He writes for
Forbes on leadership, marketing and China.

Comments for Comments 1-9 of 9
Yes, China Has Fully Arrived As A Superpower
Shaun Rein
Three trends for 2010 prove it.

Posted by ssaigol | 12/16/09 03:05 AM EST
"doing business in its push for oil with unsavory regimes like Iran
and Sudan that democracies traditionally wouldn't work with"

The US and Western democracies are buying oil from Saudi Arabia,
Kuwait, Qatar, Bahrain, none of which are democracies and can be
classified as tyrannical regimes. So Why are the Chinese criticized
for ding the same.

Posted by Julestin | 12/16/09 02:16 AM EST
At the end of the day, China is emerging as the Asian superpower and
that cannot be disputed. Naturally, this will receive protest from the
west, especially those who have never been outside of America and who
refuse to believe that the 21st century is the Asian century.

China is the phoenix rising from the ashes, while America is mopping
up its mess - economically, politically and socially. Sure, China has
a lot to of catching up to do, but hey, they have got 1.2 billion
people, is already #1 in the Olympics, has the advantage in the global
balance of trade and people who are not afraid to live and work in
harsh places.

The Chinese may be poor but they are not afraid of hard work. Compare
that to a group of people who judge civilisation by the availability
of hamburgers, beer and french fries.

America is always the first to point fingers at the rest of the world
for their seeming trangressions. Before pointing the fingers at China
for use of resources, look in the mirror. Who were the first
industrial farmers who mowed down the forests in the Amazon? Who
financed the militia in Afghanistan and Iran? Who is the world's
biggest consumer and has been dumping their non-recyclable trash in
international seas? Who is responsible for the oil mining in Alaska?
Which are the brands who built and ran the first sweat shops hiring
child workers in India and South America? Which drink company dumped
toxic into the waters and soils of the developing country they built
factories in? Which banks and bankers needed bailing out in the last
recession? Which country believed in firepower and war? Ask Vietnam,
Afghanistan and Iraq.

So America has been responsible globally and domestically? But why
talk about that, let's divert attention from their failings and point
fingers at China for their human rights failings and the rest of the
developing world for the use of their own natural resources instead.

Posted by FranklinWong | 12/16/09 12:11 AM EST
This is

Posted by FranklinWong | 12/15/09 11:18 PM EST
I hope this article is not typical of the quality of your analysis.
The article you are "rebutting" said that China was big and fast
developing but was not the number #1 economic power in the world. Are
you claiming that it is the number one power? If so you don't give any
evidence for that. So you actually are supporting the article you say
you are "refuting." This is not very impressive work.

Posted by RightontheMark | 12/15/09 10:38 PM EST
Not sure what the point of the author is. Yes, China is a very
important country. I think most of us can agree on that but what is
the author trying to say in this article???

Having worked in market research I know a bias when I see it - too bad
the author doesn't see it - can just imagine the market research they
do in his firm.

Posted by jjoyce6018 | 12/15/09 10:02 PM EST
@eyecoin

Once you leave the Downtown areas of Shanghai and Beijing those
numbers seem grossly exaggerated, however we may have a quite
different definition of the word "poverty" ?

Also statistics cannot define a people's life, dreams, and hopes for
their personal future, while most Chinese have high hopes and are
confident about their country's future,(nationalism) their personal
hopes are not so lofty, and are guarded at best.

If your numbers are correct ? I will bet that about 800 million of
them are just barely out of poverty.

Posted by eyecoin | 12/15/09 09:27 PM EST
How can you say "the little attention to the wuality of life of it's
citizens."? China has experienced the highest growth of the middle
class and more people lifted out of poverty in the last decade than
anywhere. That is market forces at work. This is the natural result of
market forces. This is not, and should not be something the government
does, but it actually happened.
- "the poverty rate in China in 1981 was 64% of the population. This
rate declined to 10% in 2004, indicating that about 500 million people
have climbed out of poverty during this period." - (Ravallion, Martin,
and Shaohua Chen, 2005. China's (Uneven) Progress Against Poverty.
Journal of Development Economics.)

Posted by jjoyce6018 | 12/15/09 07:05 PM EST
Should be interesting to see if a nation can become a respected
superpower purely on it's ability and desire to make money, with
little attention given to the quality of life of it's citizens.

China today is driven by a fierce sense of blind Nationalism to become
bigger and stronger than anyone else with little regard as to what
long term effects that will have on itself, the world, or other
countries, and is not making many friends in the process.

It has a long way to go, the perception of China now is largely shaded
by the decline of the American economy which is a huge consumer based
economy that has fueled not only itself, but the entire world
(especially China) and is far from down and out.

China at this point is but a HUGE SUCKING machine, sucking up money,
and natural resources at an alarming rate, and has shown no sign of
understanding or even caring about what global impact they are having
or what responsibility comes with being a superpower.

China will have to deal with some uncomfortable situations soon, it
will not be able to take over the world with cash alone, it will be
confronted soon, as long as it is seen as nationalist,and purely self
serving.

China's only long term goal at this point seems to be beat America
first, then the world.

Many other countries still see it as a threat, and supporting regimes
like Iran, Somalia, and N.Korea is not just irresponsible, it is
dangerous to the entire world population.

China is succeeding with Capitalism, but will China's politics
continue to be purely self-serving or will it truly become a trusted
global player, having a positive impact on it's trading partners and
the global community ?

The World still has many doubts, and the lack of any government system
with transparency is not helping, we still have a long way to go
before you can start beating your chest, a true international super
power should not be measured by how much money or guns it has, and if
that becomes the only yardsti

Posted by bduff600 | 12/15/09 05:39 PM EST
That would be a really impressive rebuttal, IF the Fallows argument
were "China is not a superpower." The question was, "Is it now THE
leading power in the world." That is what 44% of Americans said was
true, and it's what fallows said was false. It's not an issue that you
address at all.

http://www.forbes.com/2009/12/15/china-superpower-status-leadership-citizenship-trends.html

bademiyansubhanallah

unread,
Dec 16, 2009, 3:23:45 AM12/16/09
to
Vote For Forbes India's Person Of The Year
12.14.09, 11:31 PM EST

Which of these 21 candidates is the standout?

Forbes India, the country's most influential business magazine, is set
to declare its choice for the "Person of the Year" in its upcoming
edition that will hit the stands on Friday, December 18. In the race
for the honor are 21 eminent Indians who have shown leadership,
courage and enterprise and in many ways, exemplify the unique "Indian
Way".

Forbes India invites its readers to take part in the process of
discovering the one person who will top that list. Until 11.00 p.m. on
Thursday, December 17, click here to vote for your choice of the
Person of the Year.

There are prizes to be won too. Among those who vote for the eventual
winner, to be chosen by the Forbes India editorial team, 25 people
will be picked by a lucky draw for a special prize.

Similarly, among those who vote for the popular choice in the online
poll (who may or may not be the eventual winner), 25 people will be
selected for a lucky prize.

The idea behind the Person of the Year package had its genesis in the
newsroom discussions at Forbes India, where senior editors debated
about what is gripping the minds of the readers as a very volatile and
action-packed year draws to a close. They figured it is the emergence
of India as an economic power and its arrival on the world stage.

But India has a long way to go before it realizes this potential. The
country must find ways to develop its economy while making sure the
growth is inclusive of the less privileged. It must make its
governance more efficient while safeguarding its democratic
institutions. Such a comprehensive economic solution for nearly 1.2
billion people has never been attempted in the world before.

This cannot be achieved by a cookie-cutter approach, by importing
models from the developed world and implementing them here. India must
find its own way, by blending the best from all corners of the world,
but also evolving local solutions from the hearts and minds of its
citizens.

The 21 personalities in Forbes India's People of the Year List are
those who are finding out this Indian Way. In 2009, they have
demonstrated a rare ability to bridge the country's traditional
strengths with modern thoughts on development. As 2010 unveils, they
will help us find answers for many of our development problems.

But there is one person among the 21 who stands out for an ability to
blend visionary ideas with surgical execution. Who is that Forbes
India Person of the Year?

The answer will be known on December 18, when Forbes India's last
issue of 2009 comes out.

The Nominees are:

1. A.R. Rahman, Music Composer

2. Shobhana Bhartia, Chairperson, Hindustan Times Group

3. Nandan Nilekani, Chairman, Unique Identification Authority of India

4. Chetan Bhagat, Author

5. Lalit Modi, Commissioner, Indian Premier League

6. Facebook, everybody's Man Friday to connect with humanity

7. Pranav Mistry, Student and Inventor

8. Mahendra Singh Dhoni, Captain, Indian Cricket Team

9. Ratan Tata, Chairman, Tata Group

10. K.G. Balakrishnan, Chief Justice of India

11. Rahul Gandhi, General Secretary, Congress Party

12. Karambir Kang, General Manager, Taj Mahal Palace Hotel, Mumbai

13. Anjali Gopalan, Founder, The Naz Foundation

14. Kiran Karnik, Interim Chairman, Sayam Computer Services

15. Mehmood Khan, Managing Trustee, Rasuli Kanwar Khan Trust

16. Rahul Dhir, CEO, Cairn India

17. Francisco D'Souza, CEO, Cognizant Technology Solutions

18. Rahul Bhatia, Chairman, IndiGo Airlines

19. Sunil Mittal, Chairman, Bharti Group

20. Vikram Akula, Founder, SKS Microfinance

21. Jean Dreze, Development Economist

http://www.forbes.com/2009/12/14/forbes-india-contest-emerging-markets-rebuilding-global-markets-year.html

bademiyansubhanallah

unread,
Dec 16, 2009, 3:28:29 AM12/16/09
to
On the Fly

The Next Gorilla

Naazneen Karmali, 12.04.09, 08:40 AM EST
Forbes Asia Magazine dated December 14, 2009

Anand Mahindra explains why India's growth story is no mirage.

Under Anand Mahindra, 2009 has been a banner year for his $6.3 billion
(revenues) group. Seven months ago infotech arm Tech Mahindra outbid
Wilbur Ross and Larsen & Toubro to pick up scam-hit outsourcer Satyam
Computer Services ( SAY - news - people ) for $625 million. In July
the group led a revival of India's IPO market with the listing of time-
share unit Mahindra Holidays & Resorts. Auto flagship Mahindra &
Mahindra is on course to launch its pickup truck in the U.S. in early
2010. FORBES ASIA caught up with Mahindra, 54, in Mumbai in late
November:

FORBES ASIA: Does Prime Minister Manmohan Singh's recent visit to the
U.S. signal a shift in the arguably China-centric U.S. policy?

Mahindra: I don't think it does. The U.S. cannot afford to turn its
back on engaging with China, because it's the new Goliath out there.
President Obama is doing a good job of balancing with India, which is
the next gorilla in the making. The signal to China is very clear that
their [U.S.] relationship won't be at the cost of their strategic
relationship with India.

Are you convinced that the U.S. has fully recovered from the economic
tsunami?

The American recovery is clearly a jobless recovery. On my last trip
to the U.S., some businessmen were telling me that they were greatly
concerned about the shift in the attitude of entrepreneurs towards
employment-intensive businesses. This newfound reluctance to do
business the old-fashioned way is worrying and will affect the
country's recovery in the long term.

If India has been insulated from the global financial mess, what do
you credit?

India's been lucky, and I would put it down to three Ds. Firstly, the
developmental stage that we're at. We've reached a tipping point in
consumption-led growth, which is hard to stop in its tracks. The
second is our distance from world markets. Exports are a low
percentage of our GDP, and our financial markets are not as integrated
with world markets. The third D is India's demographics. The higher
percentage of young people in our population and their propensity to
consume is a powerful propeller of growth.

In the latest quarter, GDP grew almost 8%, well above estimates. Is
India's growth story as an emerging superpower, like China, a mirage
or reality?

It's for real but sometimes missed because India takes one step at a
time and doesn't do radical things. We don't raze our slums overnight
to build freeways; instead we build a Four Seasons hotel next to a
slum. Ours is a qualified story, full of caveats. But it may turn out
to be the case of the tortoise and the hare. Our vulnerability has to
do with our geopolitical fragility. We have to control internal
insurgency from the Maoists and our neighbors.

The launch of Mahindra's pickup trucks in the American market is
imminent. The timing seems a bit off, doesn't it?

Sometimes the best time is when everyone is advocating against it. The
reality is that we're going in with a compact diesel pickup that gives
30 miles per gallon. There's a space in the market for this new green
product. The erstwhile behemoths of the U.S. auto industry are in the
midst of restructuring, so there are good dealerships available. There
could be no better time for a challenger.

The Logan sedan hasn't done too well. Overall, has your partnership
with Renault ( RNSDY.PK - news - people )-Nissan ( NSANY - news -
people ) lived up to your expectations?

No, it hasn't, but that precisely is the problem: We had exaggeratedly
high expectations. We built capacity for 5,000 Logans per month and
were confident of selling that many. Initially, we sold 2,000 Logans
per month, which is now down to 500. This happened due to the
government slapping differential taxes on large cars, which gave
enormous benefit to smaller cars. We could have done some IIPOsuction
and adapted it in response to the new tax structure, but since the
Logan is not our product, we weren't able to.

You'd described the Satyam takeover as a "game changer." Eight months
on has it proved so, especially in light of the recent revelation that
the fraud is much bigger?

There's nothing we've seen so far in Satyam that makes me change my
mind. The scam has to do with the past. We bought it on an "as is,
where is" basis, taking into account the firm's clients, its employees
and future potential. The magnitude of the fraud is for all intents a
theoretical number.

Reader Comments

Mahindra Satyam represents a great buying opportunity at current
prices. The IT outsourcing movement is real. Satyam provides real
value. Patience will be needed but intrinsic value will be proven
[Read More]

Posted by apthatsme | 12/07/09 12:14 PM EST
I would rather buying real estate in California than invest in
companies from India yet. Reputation is very important in
international market. There were few scandals in the past. They came
from te [Read More]

Posted by Netteligent | 12/04/09 02:55 PM EST

http://www.forbes.com/global/2009/1214/companies-india-anand-mahindra-next-gorilla.html

chhotemianinshallah

unread,
Dec 17, 2009, 10:36:12 PM12/17/09
to
India resurgent
By Jonathan Power, Published: Friday, 18 Dec 2009

What India wants India will get. As Prime Minister Manmohan Singh told
me a couple of years ago, India wants to overtake China whilst putting
its own runaway capitalism under tighter social control.

At the time he seemed downbeat about realising these goals. But as
India has emerged faster than China , from the great recession, and as
its huge anti poverty programmes begin to bite his pessimism seems
unwarranted. Maybe it was just caution about the revolution he has
wrought.

I first came to Kolkata 35 years ago. It was then literally a “black
hole.” I walked out of my hotel in the evening. Everywhere was dark.
The city could only afford minimal street lighting. The bodies of
families eating, defecating and sleeping were scattered along every
pavement.

The next morning I walked along the back lanes near the hotel. How
could I ever forget seeing one man in a yard with piles of used toilet
paper.

He was carefully tearing the unsoiled bits off the soiled bits,
presumably for some other use. The shanty towns sprawled everywhere
just as in Mumbai‘s ”Slumdog Millionaire” today.

I returned to Kolkata 30 years later. After nearly 30 years of
Communist rule it was a transformed city. The shanty towns had gone
and the poor had flats with sewerage and clean water. The families on
the pavement had all but disappeared although single men sleep here
and there.

The city is brightly lit, the streets cleaned everyday and the police
efficient with police boxes on every major intersection. The crime
rate remains slower than in any major city in the world.

Now undisturbed one can see clearly the heritage of Kolkata – its fine
18th and 19th century mansions, some nicely restored, on every street.
The Maidan, the world‘s largest city park, continues to be the great
lung of the city, where the rich and poor gather every Sunday to walk,
picnic and to play cricket.

No longer do poor peasants pour into the city. The great land reform
in the West Bengal countryside has given every peasant a living on the
own soil.

Of the states, West Bengal has the second most productive agriculture
in India . No wonder the Prime Minister told me that he wants the rest
of India to emulate West Bengal .

Investment, foreign and domestic, is pouring into the state. Already
its computer industry is beginning to snap at Bangalore’s heels.
Educational levels and health services have been dramatically
improved.

Amartya Sen graduated from the city‘s Presidency College, West Bengal
has produced seven Nobel prize winners and a disproportionate number
of the world‘s top economists.

This is India resurgent, now emulated, albeit on a lesser scale than
West Bengal , in many of its states.

India is well on its way to overtake China, but with a type of
development more coherent that China’s winner-take-all capitalism. As
one banker put it to me: “China was ahead because it had no rule of
law. But now India will go ahead because it has rule of law.” High
speed economic growth needs civic walls if society is not to crack
under the strain and its innards poured out onto the streets.

India has them – elections, human rights standards and courts. No one
goes to prison for their beliefs and contracts are enforced. China’s
civic walls barely exist.

On the world stage, India is showing its muscle. It persuaded
President George W. Bush to lift the prohibition on providing India
with enriched uranium and to drop its sanctions on supplying nuclear
materials.

Its nuclear armoury is now accepted as well protected and there has
been no proliferation of its technology. India is now pushing for the
charter of the Nuclear Non-Proliferation Treaty to be revised next
year so that it is recognised as one of the six established nuclear
powers, which will give it added responsibilities. Its relationship
with China has improved beyond measure.

Its economic power puts it as one of the leading powers in the newly
constituted Group of 20 which now overshadows the G8.

India‘s future is written here in West Bengal, with its Communist
government which is in fact Social Democratic. Moreover, Congress will
likely win the next state election and at the centre, Congress and its
social democracy look like staying in power for a long time.

So India not only will continue with its Singh-devised economic
policies but with its burgeoning tax revenues will spend increasing
amounts on giving the poor incomes, jobs, health and educational
services. Within 10 years, India will have effectively banished the
worst poverty.

What India wants India will get. Within a decade India will be the
world‘s No. 1 economic power. And its social policies will be witness
to its success.

http://www.punchng.com/Articl.aspx?theartic=Art20091218145740

chhotemianinshallah

unread,
Dec 17, 2009, 11:26:46 PM12/17/09
to
India to miss New Year US nuclear gift
K.P. NAYAR

Manmohan Singh, Barack Obama

Washington, Dec. 17: Barack Obama’s good wishes to Manmohan Singh for
2010 will not be accompanied by the New Year gift which the US
President had hoped to send to the Prime Minister in the form of a
nuclear deal, completed and ready to be put into operation.

Elements within the Obama administration opposed to the principles
behind the nuclear deal, although unable to stop it or roll it back,
have managed to delay a round of talks that would have led to the
finalisation of a bilateral agreement for the reprocessing of spent US
nuclear fuel by India, which is the next step towards operationalising
the controversial deal.

The delay is embarrassing for the Prime Minister, who had declared at
his news conference in Washington at the end of a state visit on
November 25 that “I am confident that in the next couple of weeks we
can sort out these things” and complete the deal.

National security adviser M.K. Narayanan had elaborated on the Prime
Minister’s remark in Port of Spain three days later and told reporters
that “it is almost done. The difficulty is in the legalese. It can
take up to a week, it could take a little longer.”

But foreign secretary Nirupama Rao said in New Delhi yesterday that
“the next round of talks has not been scheduled as yet. It will be
done shortly. We hope to finalise the agreement at the earliest.”

Following the public announcements of a deadline by the Prime Minister
and his national security adviser, it is understood that India
approached the US state department for immediate dates for a round of
talks to resolve sticking points which were holding up the agreement.

Aware that Obama was keen to fulfil his commitment to Singh that he
would stand by the nuclear deal finalised between the Prime Minister
and former US President George W. Bush “as it is” without any changes,
state department officials were at their sweet best in responding to
the Indian request.

But elements within the department, working in concert with others in
the administration and the US Congress who are firmly opposed to even
minor adjustments in the existing global non-proliferation regime,
decided to resort to that time-honoured tool of bureaucrats that is
used to thwart the will of their political bosses: delay, delay.

The Americans told their Indian interlocutors of the difficulty in
persuading negotiators from Washington to travel half way round the
globe to India for a nuclear dialogue around Christmas time, which is
sacred family time here.

And then, there are the New Year holidays soon after, they pleaded.

The Indians said “of course”, and showed sensitivity to the plight of
any hapless American who would be asked to be away from stateside
during the Christmas and New Year season.

Then they offered to send an Indian delegation to Washington, instead,
so that the Americans would not be inconvenienced. The real aim of the
Indian interlocutors, though, was to salvage the Prime Minister’s
public commitment in Washington that “in the next couple of weeks”,
the stalemate would be resolved.

“No”, the officials of the state department firmly told the Indians at
this stage. Nothing doing. We will see in the new year, was their
reply.

And to make sure that the Indians do not pile more pressure and twist
the arms of the Obama administration, these elements, which want to
delay the nuclear deal — if they cannot stop it — persuaded the state
department to take a public position on this issue, just as the Prime
Minister and his national security adviser did.

The state department spokesperson was made to say at his daily
briefing that “the US and India continue to negotiate reprocessing
arrangements and procedures as provided for by Article 6 (iii) of the
US-India Nuclear Cooperation Agreement”.

He then added that “the President (Obama) and Prime Minister Singh
discussed their mutual commitment to implementing the US-India Civil
Nuclear Cooperation Initiative. In this connection, the United States
is confident that the arrangements and procedures will be concluded
well in advance of the August 2010 deadline.”

In language that will be well understood by those familiar with the
clauses of the nuclear deal, the spokesperson was telling India:
“Don’t rush things. We have our time-table. We will do things at our
pace, in our time.” Yesterday, the foreign secretary conceded the US
argument. She said: “I am talking about the agreement on arrangements
and procedures — and it will certainly be within the timelines of the
bilateral agreement on civil nuclear energy. The agreement basically
provides for these talks to conclude within one year, basically before
July 2010.”

On February 3, then foreign secretary Shiv Shankar Menon wrote to the
US under secretary of state for political affairs, William Burns,
asking for reprocessing talks to start under the terms of the nuclear
deal.

The US had six months to start the talks and the state department took
its own time to do so, but stuck to the terms of the deal. Now, they
have time until August 2010 under the deal to complete the
negotiations and sign a reprocessing agreement.

By waiting until this deadline and not hurrying with the talks,
hardcore non-proliferationists within the Obama administration hope to
watch how India behaves in the run up to the Nuclear Non-Proliferation
Treaty (NPT) review conference next year as part of their firm belief
that New Delhi ought to sign the NPT, although they are probably aware
that this will not happen.

http://www.telegraphindia.com/1091218/jsp/nation/story_11881114.jsp

bademiyansubhanallah

unread,
Dec 18, 2009, 5:18:04 AM12/18/09
to
Singh, Wen hold talks ahead of plenary at the climate summit

18 Dec 2009, 1513 hrs IST, PTI

COPENHAGEN: As negotiators struggled to finalise a draft for the
climate summit, Prime Minister Manmohan Singh and his Chinese
counterpart Wen Jiabao on Friday held talks in a bid to consolidate
the position of developing countries ahead of the world leaders'
meeting in Copenhagen.

In his opening remarks during his meeting with Wen, Singh recalled
that the two countries have been cooperating at various fora,
including the G-20.

"We need to continue the cooperation," said the Prime Minister, who
arrived in the Danish capital late last night to take part in the high-
level segment of the 12-day UN climate talks.

Besides Singh and Wen, US President Barack Obama, British Prime
Minister Gordon Brown and French President Nicholas Sarkozy are among
the 110 world leaders who would attend the 15th Conference of Parties
(COP) on its final day today.

The developing countries have been resisting attempts by the rich
nations to set aside the Kyoto Protocol, which sets legally binding
greenhouse gas emissions reduction targets for industrialised
nations.

The 1997 protocol also has a strong compliance mechanism which
penalises the rich nations if they do not meet emission reduction
targets agreed upon by them.

Singh, during his talks with Wen, expressed the hope that they would
be able to take their strategic partnership further.

He said he believed that the importance of the Sino-India relations
was underlined by the fact that the two leaders were meeting again now
on the sidelines of COP, recalling that they had earlier met in
Thailand on the margins of the ASEAN summit in October.

http://economictimes.indiatimes.com/news/politics/nation/Singh-Wen-hold-talks-ahead-of-plenary-at-the-climate-summit/articleshow/5351571.cms

Sid Harth

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Dec 18, 2009, 4:36:25 PM12/18/09
to
Will China crashland?
Venkatesan Vembu
Friday, December 18, 2009 10:57 IST Email

A recent study conducted by a US-based language analysis group
established that the top news story of the newsy, eventful decade gone
by was China's rise as a political and economic power. The study,
whose findings were based on a program that tracked words and phrases
used in the media, found that as a news story, China's ascendance
trumped other vastly consequential events of the decade like the 9/11
terrorist attacks and the Iraq war.

In an unconnected, recent opinion poll conducted by the Pew Research
Centre, a stunning 44% of Americans said they considered China to be
the world's leading economic power. Strikingly, only 27% of Americans
considered the US to be the pre-eminent economic power. That's a
remarkable change from February 2008 - before last year's wrenching
crisis on Wall Street - when 41% Americans said the US was the top
economic power, against just 30% who put China on that pedestal.

China has undoubtedly begun to 'colonise' the minds of people by
implanting itself as an economic and political force of considerable
weight. This effect is probably somewhat more pronounced in the US,
where a sense of despair appears to have gripped large sections of the
population consequent on the rapid unravelling of the bubbly-frothy
American dream since last year.

And viewed through that prism of despair, China, registering over 8%
GDP growth and gradually enhancing its profile on the world stage,
perhaps appears bigger and more powerful than it is. Nor does it
uplift the American spirit to see that even Statue of Liberty
souvenirs - which symbolise the shining 'beacon of liberty' spirit of
America - are mass-manufactured in Shenzhen!

Nothing succeeds like excess, of course, and the media's glowing and
breathless attention to China's ascendance is a narrative that
continually grows with each telling. Yet, such overly adulatory
commentary fails to do full justice to the complexity of the China
story if doesn't also reflect the numerous challenges that confront
China.

For there is, on the other side, a large and growing body of economic
and political thinkers who increasingly believe that China's mind-
numbing, too-good-to-be-true, supernormal economic growth of recent
decades may perhaps mask a house of cards that's as fragile as the
bubble economies that burst spectacularly last year.

For instance, in his most recent book The Corruption of Capitalism,
economist and analyst Richard Duncan notes that "the China boom",
which was kept alive by an export-led growth model that's now broken,
is over. And if the Chinese government attempts to prop up GDP growth
through vastly enhanced credit - as it did over the past year - it
could result in "complete economic collapse" in a few years, he
reckons. In any case, even if a crashlanding is averted, it would, he
adds, be a serious mistake to continue to extrapolate China's rapid
economic growth rates of the past decade into the future.

Likewise, legendary billionaire and fund manager James Chanos, who
heads the hedge fund Kynikos (which, in Greek, means 'cynic') is
putting his money where his mouth is and betting against China. Chanos
argues that China's GDP numbers are "massively inflated" by under-
depreciating a very shaky capital asset base. In his estimation,
demand in China is overinflated, and so he's looking to short-sell
commodities that are riding the current China investment boom - which
he expects will go bust at some point.

Chanos points to the irony that Western investors - who rile against
US government intervention in financial markets or in healthcare
reforms - are ready to embrace China, where 25 all-knowing members of
the Communist Party polit bureau micromanage the country's rapidly
growing economy.

Equally bearish analysts at Pivot Capital Management argue that
China's capital spending boom - which is propping up GDP growth this
year - cannot be sustained, and that chances of a "hard landing" are
increasing. They caution that the "coming slowdown in China" has a
potential to shake world markets in the same way that last year's
reversal of the US subprime and housing boom did.

This isn't the first time that prophesies of a "coming collapse" in
China have been made. Conservative Chinawatcher Gordon Chang authored
an eponymous book in which he outlined a bearish scenario under which
one-party Communist rule would unravel in China by the end of this
decade. That deadline is near at hand, but China's Communist rulers
retain an authoritarian grip on the levers of power, and superficially
face nowhere near a serious challenge to their authority as they did
during the 1989 Tiananmen Square protests.

Even so, there is a discernible turn in the tide of smart money
thinking about China. However implausible a hand landing scenario may
appear to those in awe of China's rise, the coming year promises to be
an exciting one for China watchers of all persuasions.

http://www.dnaindia.com/opinion/column_will-china-crashland_1324871

bademiyansubhanallah

unread,
Dec 19, 2009, 4:54:13 AM12/19/09
to
‘Wait for a Nobel... India still not a meritocracy’
Pooja Pillai

Posted: Saturday , Dec 19, 2009 at 1013 hrs

Mumbai:

It’s his first visit to India since he won the 2009 Nobel Prize for
Chemistry, but Professor Venkatraman Ramakrishnan walks down Marine
Drive without being mobbed. “I’m not a movie star,” he says, “movie
stars need the media and public attention, because they’ve built their
careers around a certain image. But for us scientists, it’s scarcely
about an image — it’s about the problems we like solving.” Remind him
of the rockstar-worthy applause his lecture in Stockholm garnered and
he modestly acknowledges, “It feels good.”

Prof. Ramakrishnan is in town to attend Sangat 2009, Mumbai’s annual
chamber music festival organised by the Mehli Mehta Music Foundation,
where his son Raman, a cellist, and his daughter-in-law Melissa
Reardon, a violist, are performing.

After spending two days in Mumbai, he will be heading to Chennai to
spend some time with family and also take in some Carnatic music
concerts, of which he’s an enthusiastic listener. “I really cherish
these opportunities to listen to Carnatic music live in India, because
there are so many exciting young performers I wouldn’t know about in
England.” However, a visit to Vadodara, where he grew up, is not on
this time. “I just don’t have the time.”

Work, however, does find its way into his schedule. “I am giving a
lecture at the Madras University in Chennai and the reason I’m doing
so is because they’d approached me before I won the Nobel. So you see,
it doesn’t have to do with my having won awards, they’re genuinely
interested in my work.” For a scientist, he stresses, a prize is a way
of rewarding a breakthrough, it’s not the culmination of his career.
“This breakthrough of ours has opened up new avenues to be explored.
There is a whole new set of questions that requires answers.”

On the subject of why Indians tend to do better when they go abroad,
Ramakrishnan says, “It’s not just applicable to the sciences. Former
President APJ Abdul Kalam pointed out that when Indians are in
Singapore, they’re careful not to litter or bribe a policeman, while
in their own country, they’re not quite so conscientious.” But he does
acknowledge that the West, and more specifically, the United States,
is more conducive to excellence because the society there is
meritocratic.

“India is getting there slowly. People are doing excellent work here
and some of their research gets published in the best science journals
around the world, but these are just a few instances. The US gets a
Nobel almost every year and the UK gets one every few years — India
will take much longer to arrive at that stage because it’s still not a
meritocracy.”

He attributes his own ability to do well in his chosen field to the
freedom of choice he had as a young student. “I’ve been lucky to have
teachers who were genuinely pleased when we solved a given problem,
they didn’t stress on cramming for exams.” He feels the reluctance of
students to opt for basic sciences is a troubling one and again here
he blames society’s attitude.

“Parents pressure their children into opting for careers in medicine
and engineering, believing that these will safeguard their future. But
there’s no joy there.” Ramakrishnan has had first hand experience of
this attitude and he narrates, “I’d just been admitted to medical
school and I won a Physics scholarship in the National Science Talent
Search Examination. I went to the office to get myself shifted to the
Physics course and the clerk there couldn’t believe I was voluntarily
opting out of medical school. He actually called the other clerks
around to share the joke.”

But, he says, there must be something going right with the Indian
education system. “Indian students do so well abroad. The foundations
laid here must be doing some good.”

4 Comments |

reservation
By: Rajesh | Saturday , 19 Dec '09 12:29:21 PM

India is a reservecracy. People who are good can not get admission to
good institutes because they are upper caste and poor. So the best
talent is wasted in the source itself. Government practice of
reservation is worse than South Africaion apartheid. Why thse so
called human rights are keeping quite

Nice Story
By: Bijan Arora | Saturday , 19 Dec '09 10:51:13 AM

Well done Pooja......with an interesting story.....and Indian
Express.....again to make some sense to journalism.

Meritocracy is not practiced here since Indian polity believes in
VOTE BANKS.
By: BG Subhash | Saturday , 19 Dec '09 10:36:46 AM

Thank you professor Venkatraman Ramakrishnan for pointing out that
"India still not a meritocratic society". Hope our MP`s/MLA`s read
what you have said! Professor please note that our world renowned
Democracy gives primacy to Reservation in the name of the upliftment
of disadvantaged which is truely what in India we call " VOTE BANKS"
which elects the lowly MP`s/MLA`s. Proof the pudding is in the eating
and the results are there for all to see!In states like Tamilnadu we
are told that reservation have gone to the extent of more than 90%. In
fact there is competition between various communities in India as who
is more backward. Recent example is between Meena & Gujjar communities
in Rajasthan who brought the rail/road transport to halt & caused huge
losses to State. There is a clamour to get the backward tag. This is
again to create vote banks. Indian Americans would have created
Trillions of $ of wealth for USA who went out to escape the
reservation politics.

meritocracy? NO , it is all politics in India
By: sraboni | Saturday , 19 Dec '09 13:01:45 PM

Thank you Subhash for pointing out the present situation in
India.Other news in Indian express says, 'Rajgopalcommission suggests
10% reservation for Muslims. Some one else suggested 5% earlier.
Unfortunately it is only out of100 the politicians has to decide the
reservations. In India there is no meritocracy, it is all politics,
everywhere it is only politics and the ultimate aim is "vote bank" and
to be in power by any means so to protect & supply money in Swiss
bank.People in India is allowing this to happen like blind folded they
vote for corrupt uneducated & well dressed bafoons year after year.
People should wake up,otherwise GOD BLESS INDIA!

http://www.indianexpress.com/news/wait-for-a-nobel...-india-still-not-a-meritocracy/556366/0

chhotemianinshallah

unread,
Dec 19, 2009, 9:09:46 AM12/19/09
to
Desis in DC

CHIDANAND RAJGHATTA, TOI Crest
19 December 2009, 10:03am IST

There was a remarkable moment during the recent Obama-Singh meeting in
Washington that was barely captured by the cameras. As the two leaders
met for their one-on-one, Singh's principal assistant and note-taker
was his private secretary Jaideep Sarkar, a young gun of the Indian
Foreign Service. No surprise there. And aiding Obama? Anish Goel, a
senior staffer of the National Security Council and a rising star of
the US foreign service. Similarly, when the US side engaged New Delhi
on Af-Pak issues, the Indians found, much to their surprise, that the
Senior Defense Advisor to Richard Holbrooke, the Special
Representative for Afghanistan and Pakistan was Vikram Singh.

It's a sight that has become increasingly common in Washington -
Indian-Americans and Americans of East Indian origin walking the
corridors of power that were once an all-American domain, with an
occasional black or latino interlude. It's a development neither New
Delhi nor Washington want to read too much into - other than the fact
that the United States, like India, has the rare ability to absorb
foreigners, minorities, and immigrants into the mainstream without
much effort, an idea that is both foreign and anathema to countries
such as Pakistan, Saudi Arabia, and China.

"That's just the way this country is," an Indian-American who now
holds a senior position in the Obama administration said, recoiling at
the idea of a story on the new tribe of desi pols. "Just as people of
European, East Asian and African ancestry made their mark without a
splash, so too will people of Indian origin. To see that as anything
else will be a disservice to both India and America."

ARNIE TO ALBRIGHT

Indeed, no one makes much of Arnold Schwarzenegger's Austrian origin
or Madeleine Albright's Czech lineage or Bill Richardson's Hispanic
background. The idea of America as a melting pot has advanced so much
that no one even considers the fact that Barack Obama is, strictly
speaking, ethnically, half Kenyan. In fact, Albright and
Schwarzenegger could never become the US President because they were
not born in the United States; Obama, who was born in the US, could,
and so can Louisiana-born Bobby Jindal, despite their more "foreign"
origins and looks.

But try telling all this to the Pakistanis, who are openly agitated at
what they see as the "Indian influence" in the US, or the Chinese, who
are less demonstrative but are equally leery. Last month, ahead of
Manmohan Singh's US visit, Pakistani ambassador to Washington Hussain
Haqqani produced 26 as the number of Indian-Americans serving in
Obama's administration. "Pakistan is wary of the Indo-US relationship,
which is robust and multifaceted," Haqqani told a meeting of US
lawmakers and staffers. "Facts like these naturally make Pakistan
nervous."

EDGE OVER CHINA

Twenty six might include support staff, interns etc, but it's a fact
that Obama's has more Indian-Americans in senior positions than any US
government - at least a dozen at last count. While there is some talk
of Obama's special regard for Indian-Americans (with overheated tales
of his passion for desi cuisine and familiarity with its culture), the
fact is there has been an incremental increase in the profile of
Indian-Americans in the administration, politics, and public life in
successive presidencies from Clinton to Bush to Obama, in keeping with
their rising numbers (2.5 million now) and growing success. The
Chinese are more numerous (3.2 million), but Indians, with their
familiarity with Democratic traditions and better facility with
English leading to better assimilation, seem to be doing well in the
political sphere.

While young professionals and pols of Indian-origin first began to dot
the Hill as interns and staffers to US lawmakers in the 1990s, the
otherwise negative noughties have seen them, in large numbers, take
giant positive strides into the administration, where many desi uber-
whizzes are now making and executing policies while their peer Indian-
Americans on the Hill oversee legislative activity. Many Indian-
American parents consider it a badge of honour to have kids serving as
interns on the Hill or in the White House.

PAK WORRIED

This has India's adversaries clearly worried. Time and again during
the nuclear deal, Pakistanis moaned about the "Indian lobby" on the
Hill doing the heavy-lifting and allying with the "Jewish lobby." Now,
they fear the influence will extend into the administration. They
should not have any reason to, though. Initial accounts of the spread
of the "Indian influence" in Washington DC appear misplaced and
exaggerated, with no sign that that first and second generation
Indians in the administration are in any way favourable to New Delhi.
For instance, Anish Goel, who received his PhD in chemical engineering
from MIT, has in no way influenced the outcome of the US-India nuclear
deal (still in limbo over the reprocessing issue) even though that is
his area of expertise and he initially served as the Desk officer
dealing with the subject in the State Department. Similarly, Vikram
Singh's influential role in Af-Pak policy making hasn't exactly
endeared his boss Richard Holbrooke to New Delhi, which has balked at
efforts to add "In" to Af-Pak. If anything, the fact that they are of
Indian origin may have made them even more self-conscious not to be
seen as favouring India. While many of the nearly one dozen Indian-
Americans currently in the senior and mid-levels of the administration
will go in and out of the government and the academic/thinktank
spheres in a revolving door system that is typically American, a few
will doubtless go on to occupy higher office. Some may even choose to
run for high office, as did Bobby Jindal, who was a policy wonk in the
healthcare area before running for Congress and then for governor of
Louisiana. In fact, standing outside the White House on a bleak, grey
morning in November when Singh arrived for his ceremonial state visit,
some scribes wondered how long it would be before a person of Indian-
origin occupied the Oval Office.

The idea is not all that far-fetched. Jindal himself came pretty close
to an office that is considered a heartbeat away from the Presidency
when John McCain shortlisted him as a Republican vice-presidential
running mate. Eventually, he decided to go with Sarah Palin, but many
American pundits think Jindal has a bright future in the Republican
Party, particularly if he delivers in Katrina-struck Louisiana state.
But while Jindal is one of few Indian-Americans in a Grand Old Party
that is generally seen as anti-immigrant, the Democratic Party is
teeming with them. Within months of coming to White House, Obama chose
a slew of Indian-Americans, many of them from his campaign, for
important jobs in his administration.

Two of his most significant choices were Aneesh Chopra to be the First
Chief Technology Officer and Vivek Kundra as the Federal Chief
Information Officer, appointments which endorsed the Indian presence
in the technology sector. But there were also appointments in Obama's
own specialty, law, a discipline where Indian-Americans are seen in
high numbers now. Among Obama's choices - Preet Bharara as the US
Attorney for New York, a job previously held by Rudy Giuliani and seen
as a stepping stone to a political career; Preeta Bansal, general
counsel and senior policy advisor in the Office of Management and
Budget; and Georgetown University Don Neal Katyal as principal deputy
solicitor general.

By far the most high-profile Indian-American appointment came just
ahead of Singh's visit when Obama named Rajiv Shah to head USAID, a
job that will include disbursing massive foreign aid to Pakistan,
which is already worried that the "Hinjews" are starting to control
the US purse-string. A whiz-kid who served as undersecretary for
research, education and economics and chief scientist in the
Agriculture Department before he was bumped up to the sub-cabinet
level appointment, Shah is among several desi science brains in the
government, a list that includes Arun Majumdar, Director of the
Advanced Research Projects Agency - Energy in the US Department of
Energy.

While many of Obama's political appointees are from the academia,
there is a separate stream of Indian-Americans which is coming up from
the grassroots in the Democratic Party. Since Obama himself was a
state legislator (from Illinois) before getting elected to the US
Senate and then making the presidential bid after only four years
there, he serves as an inspiration to lawmakers such as Satvir
Choudhury (Minnesota Senate), and Swati Dandekar, Jay Goyal and Raj
Goyle, all of whom are state level lawmakers and invitees to Obama's
state dinner banquet for Manmohan Singh.

RUNNING FOR CONGRESS

In fact, at least half dozen Indian-Americans are running for Congress
in the 2010 elections to the US House of Representatives, among them
Raj Goyle (D-Kansas), Manan Trivedi, (D- Pennsylvania), Ami Bera (D-
California), Ravi Sangisetty (DLousiana ), Reshma Sejauni (D-New York)
and Surya Yalamanchili (I-Ohio ). Only Goyle among them is said to
have a realistic chance to become the third US lawmaker of Indian
origin after Dalip Singh Saund and Bobby Jindal, but the fact that
most aspirants are in the 27-40 age group augurs well for the Indian-
American political future. Then there are others running for offices
ranging from Governor (Nikki Haley Randhawa in South Carolina) to
Attorney General (Kamala Harris in California) to State Comptroller
(Raja Krishnamoorthi, Illinois). Anyone could turn out to be a future
desi Obama.

There are Indian-Americans who are widely tipped as lateral entrants
at a future date - among them Fareed Zakaria, who has been spoken of
as a putative Secretary of State, and Indra Nooyi, whose experience as
CEO of Pepsi marks out her as a future appointee in the Department of
Commerce. So, to the question of a person of Indian-origin sitting
behind the "Resolute Desk" in the Oval Office of the White House…it
would appear the answer is not if, but when. And when it happens, the
Obama success in the US will be seen as the turning point in the
political history of the country.

TOP INDIANS IN THE OBAMA ADMINISTRATION

RAJIV SHAH

USAID administrator

RICHARD VERMA

Assistant secretary for legislative affairs at the state department

RO KHANNA

Deputy assistant secretary for domestic operations of the US and
Foreign Commercial Service, International Trade Administration

VIVEK KUNDRA

Federal chief information officer

ANEESH CHOPRA

First chief technology officer

ARUN MAJUMDAR

Director of the Advanced Research Projects Agency - Energy in the US
department of energy

PREET BHARARA

US attorney for Southern District of New York

NEAL KATYAL

Principal deputy solicitor general

RAJESH DE

Deputy assistant attorney general, US department of justice

SONAL SHAH

Deputy assistant to the President, director, Office of SICP, Domestic
Policy Council

FARAH PANDITH

US special representative to Muslim communities

ANJU BHARGAVA

Member, faith-based advisory council

RAJEN ANAND

Executive director, policy, USDA Center for Nutrition and Promotion

GRASSROOTS POLITICIANS TO WATCH

RAJ GOYLE

Democrat, Kansas

KAMALA HARRIS

District attorney, San Francisco

THOSE TO WATCH FROM BUSINESS AND MEDIA

INDRA NOOYI

CEO, PepsiCo

FAREED ZAKARIA

Editor of Newsweek International and host, CNN's GPS

http://timesofindia.indiatimes.com/world/indians-abroad/Desis-in-DC-/articleshow/5354920.cms

chhotemianinshallah

unread,
Dec 19, 2009, 9:12:13 AM12/19/09
to
India-origin Ramani Ayer among top 12 CEO exits in 2009, says Forbes
PTI 16 December 2009, 07:30pm IST

NEW YORK: Troubled financial services major AIG's chief Edward Liddy,
India-origin chief of debt-ridden Hartford Financial Services Ramani
Ayer and bailed out GM's head Rick Wagoner are among the Forbes' list
of 12 high profile CEOs who left their companies in 2009.

According to the US magazine's list of the top 12 CEO Departures of
2009, many of the American entities, whose chiefs' left their
companies this year, had received federal bailout funds at the peak of
financial crisis.

"Many of them ran companies that took federal aid. Others made a
fortune when they sold their companies. One may have mishandled data
that was tied to his company's most promising product," Forbes said
about the chief executives in the list.

Edward Liddy came out of retirement to lead troubled insurance giant
AIG in September 2008, then faced hostile questioning from Congress
over bonuses and had to step down.

Robert Benmosche, a former chief executive at MetLife Inc, replaced
Liddy in August.

Besides, Indian-origin Ayer left Hartford Financial Services in June
after serving for 12 years. The company had received USD 3.4 billion
in government aid.

"Ayer was responsible for the company's push into riskier versions of
variable annuities--life insurance contracts whose value fluctuates
with that of underlying securities."

http://timesofindia.indiatimes.com/world/indians-abroad/India-origin-Ramani-Ayer-among-top-12-CEO-exits-in-2009-says-Forbes/articleshow/5344582.cms

bademiyansubhanallah

unread,
Dec 19, 2009, 6:28:08 PM12/19/09
to
2010 may be a positive year for Indian investors: Credit Suisse

19 Dec 2009, 2027 hrs IST, ET Bureau

MUMBAI: Domestic equities are likely to be volatile in the January-
March quarter of 2010 on concerns the government may draw back fiscal
stimulus, Tips to pick potential stocks the Reserve Bank of India
(RBI) could absorb money supply and over bubbles in asset prices
worldwide, said Credit Suisse.

But investors should add exposure to shares in this period, according
to the investment bank, which remains confident of India’s growth
prospects.

Credit Suisse is optimistic about Indian equities in 2010. “2010 is
expected to be a positive year for Indian equities, though the move
will not be as linear as in 2009,” said the investment bank in a
report co-authored by analysts Toral Munshi and Chirag Shah.

The S&P Nifty has risen almost 98% from its lows on March 9, led by
share purchases by global investors worth over $15 billion. This sharp
jump has sparked fears about a bubble in global equity markets,
including India’s, because most global economies are still struggling
to come out of recession, while inflation is on the rise, partly
driven by surplus money.

With global policymakers indicating their intent to mop up some of the
money supply early next year on expectations of rising inflation,
investors are pondering to what extent will such moves impact investor
sentiment.

“While strong GDP and earnings growth parameters are supportive for
equities, the withdrawal of monetary and fiscal stimulus is likely to
weigh on investor sentiment in the first quarter,” the Credit Suisse
analysts said.

The investment bank expects RBI to raise the cash reserve ratio (CRR)
— the amount of cash banks need to deposit with the central bank — in
early 2010, followed by hike in repo rate — the rate at which banks
borrow from RBI — of 125 basis points during the year.

“The 125 basis points of tightening repo rate, though substantial,
should be viewed in the context of the 425 bps reduction from October
2008 to Tips to pick potential stocks April 2009,” the analysts said.

Investors will closely watch the government’s actions to drive
economic growth in 2010, according to Credit Suisse. Share sales of
public sector companies, deregulation of the oil sector and reforms in
the pension and insurance sectors are expected in 2010, the investment
bank said.

“This would send a positive signal to investors and can attract
significant capital flows into the country, a key requirement for
sustaining India’s growth momentum,” the analysts said.

“While the government’s intention itself was enough to drive momentum
in 2009, the conversion of intention to action will be the key driver
of investor sentiment in 2010,” according to them.

“On the other hand, inability or disappointment in implementing
reforms can lead to a P/E (price to earnings) derating,” they added.

http://economictimes.indiatimes.com/News/International-Business/2010-may-be-a-positive-year-for-Indian-investors-Credit-Suisse/articleshow/5353695.cms

bademiyansubhanallah

unread,
Dec 20, 2009, 1:57:25 AM12/20/09
to
TOP ARTICLE
Indian Institute Of Idiots
Chetan Bhagat19 December 2009, 12:00am IST

I avoid writing columns on the Indian education system as it is not
good for my health. For days, my blood continues to boil, i have
insomnia and i feel like hurting someone real bad. The Indian
education system is a problem that can be fixed. It affects the
country's future, impacts almost every family, everyone knows about it
and it is commercially viable to fix it. Still, nothing happens
because of our great Indian culture of avoiding change at all costs.
And because change means sticking out your neck and that, ironically,
is something we are not taught to do.

Still, with a movie coming on the education system, which came about
because of a book i wrote nearly six years ago, it is important to
revisit the issues. Soon, all the media will talk about is the
anatomy, diet and romantic chemistry of the main actors. While that
makes insightful breakfast reading, it is also important to understand
the main problems with our education system that need to be fixed or,
rather, should have been fixed 10 years ago.

There are two main problems: one, the supply of good college seats
and, two, the actual course content and intent behind education.

The first issue is about the supply of A-grade institutions vs the
number of A-grade potential students. With one crore students taking
the class XII exam each year, the top 10 per cent, the high potential
population by any global standard, deserves a world-class institution.
That means we need 10 lakh good, A-grade, branded college seats per
year. Either the government provides them, or they work with private
participants to make it happen. Until that is done, the scramble for
seats will be worse than a peak hour Virar fast. No amount of well-
meant advice to parents to go easy on kids, telling children to not
take stress, will work. I'm sorry, if i have a child who i think is
bright, i will fight to make sure he has a good college. If the number
of seats is well below the required number, the fight is going to be
bloody and ugly. And that is what happens every year.

What makes me most curious is: why doesn't the government fix it? Real
estate and faculty are often the biggest requirements in creating a
university. The government has plenty of land. And any advertisement
for government teaching jobs gets phenomenal responses. After this,
there could be running costs. However, most parents are happy to pay
reasonable amounts for college. With coaching classes charging crazy
amounts, parents are already spending so much anyway. I understand
Indians send $7 billion (over Rs 30,000 crore) as outward remittance
for Indian students studying abroad. Part of that money would be
diverted inwards if good colleges were available here. The government
can actually make money if it runs universities, and add a lot more
value to the country than, say, by running the embarassing Air India
which flushes crores down the drain every day.

Why can't Delhi University replicate itself, at four times the size,
in the outskirts of Gurgaon? The existing professors will get more
senior responsibilities, new teachers will get jobs and the area will
develop. If we can have kilometre-long malls and statues that cost
hundreds of crores, why not a university that will pay for itself?
This is so obvious that the young generation will say: Duh!?

The education system's second problem: the course content itself. What
do we teach in school and college? And how much do you use it in daily
life later? Ask yourself, has the world changed in the last 20 years?
If yes, has our course content changed at the same pace? Has it even
changed at all? Who are the people changing our course materials? Do
they have real life corporate exposure?

I am not saying we study only to get a job (though many, many Indians
actually do it with that main intention). However, even in the 'quest
for knowledge' goal of education, our course materials fall short. We
emphasise sticking to the course, testing endlessly how well the
student has revised his lessons. We treat lessons as rules to be
adhered to, and the better you conform, the more likely you are to
score. I hated it personally, and i am sure millions do too but they
have no choice. Innovation, imagination and creativity crucial for the
country as well as more likely to bring the best out of any student
have no place in our education system. In fact, we actually ensure we
kill this spirit in the child as fast as possible. Because innovation
by definition means challenging the existing way, and that is just not
something good Indian kids who respect elders do.

The cycle perpetuates itself, and we continue to create a second-rate
society of followers rather than change-embracing leaders. I have hope
that the current generation will break this norm and start questioning
the great Indian way. I have hope that the current HRD minister will
acknowledge this problem and do something. I have hope that Indians
will start questioning any politician they meet on what they are doing
about the education system at every place possible. I have hope that
people will realise that making new states is less important than
making new state universities. Maybe i am right, maybe my hope is
justified and maybe i will live to see the change. Or maybe i've got
it all wrong, my optimism is misplaced and i am just, as they say, one
of the Idiots.

The writer is a best-selling novelist.

http://timesofindia.indiatimes.com/home/opinion/edit-page/Indian-Institute-Of-Idiots/articleshow/5352945.cms

chhotemianinshallah

unread,
Dec 20, 2009, 5:26:16 AM12/20/09
to
Ready to help India on focussed research but no ceremonial work: Nobel
winner Ramakrishnan
PTI 20 December 2009, 01:49pm IST

MUMBAI: Nobel Laureate in Chemistry and Indian-American scientist
Venkataraman Ramakrishnan says he is willing to help India if the
government asks for the same on some focussed research on his subject
but will not be "wasting" his time for a "ceremonial" project.

"The scientists in India are good and, therefore, if the Indian
government asks me to help them, it has to give me a convincing reason
for that. I am ready to help if it is focussed on research on the
subject I am working on," he said in an exclusive interview.

However, the Indian government has so far not approached him, said
Ramakrishnan who is on his first visit to India after winning the
Nobel prize.

"I have not been asked but I can tell you if it is something focussed
in my field where it is worthwhile, then I will consider. But if it is
something ceremonial where they want just a guy who has been awarded a
Nobel prize, then I won't do it. I have a lot of work to do and won't
be wasting my time on some ceremonial kind of things."

Asked if the Department of Biotechnology (DBT) is very serious, he
said "yes. But why do they need me as there are several Indians here
and they have to convince me why they need me.

"All these scientists working in Tata Institute of Fundamental
Research, Indian Institute of Science, Centre of Molecular Biology,
National Centre for Basic Science, how come none of them can do and if
DBT or the government can answer me this seriously, then I will
consider," he said.

http://timesofindia.indiatimes.com/india/Ready-to-help-India-on-focussed-research-but-no-ceremonial-work-Nobel-winner-Ramakrishnan/articleshow/5358415.cms

Sid Harth

unread,
Dec 20, 2009, 9:17:57 AM12/20/09
to
Indian Navy foils piracy attempt in Gulf of Aden
PTI Sunday, December 20, 2009 18:30 IST

New Delhi: The Indian Navy has foiled a piracy attempt in the Gulf of
Aden by stopping a suspected pirate skiff from taking over a merchant
vessel.

"Around 1730 hours on Saturday, Indian Naval Ship (INS) Godavari
received a distress call from a Cayman Island-registered vessel 'MV
Soderling Ace' about sighting a white skiff approaching her. Located
around two miles from the vessel, the ship immediately launched a
'Chetak' helicopter towards it," Navy officials said here.

After reaching the area, the 'Chetak' sighted the suspected white
skiff with around seven men on it, and fired warning shots, which made
the skiff stop there, they added.

After closing in and boarding the skiff, Navy troops did not find any
piracy triggers such as weapons and ladders on it.

"They must have dropped their weapons in the sea after seeing the Navy
chopper coming towards them," officials said.

After investigations, the navy released the seven suspected pirates
along with their boat as no weapons or other suspicious items were
found with them, they added.

Earlier this month, the Navy had thwarted an attempt by pirates to
hijack a US-owned tanker in the area off Somalia's coast. For more
than a year now, the Indian Navy has deployed its assets in the Gulf
of Aden from anti-piracy operations, and has escorted over 700
merchant vessels from 45 countries there during this period.

Meanwhile, after completing its stipulated tenure in the pirate-
infested gulf, the 'INS Godavari' will be heading back to India, and
will be replaced by another Godavari-class guided missile frigate,
'INS Ganga', officials said.

http://www.dnaindia.com/india/report_indian-navy-foils-piracy-attempt-in-gulf-of-aden_1325701

bademiyansubhanallah

unread,
Dec 21, 2009, 4:44:11 AM12/21/09
to
Misplaced trust

T.S. SUBRAMANIAN

Once again a “mischief-maker” is able to expose colleagues to
radiation doses at an Indian nuclear power plant.

The Kaiga Atomic Power Station, where 65 NPCIL employees were found to
have received radiation doses in excess of prescribed limits in
November.

ON April 17, 2004, three employees of the Waste Immobilisation Plant
(WIP) of the Bhabha Atomic Research Centre (BARC) at Tarapur,
Maharashtra, were exposed to radiation doses when they used, at
different times, a particular chair in a room at the plant. Embedded
in a fold of the cushioned seat of the chair was a vial of liquid
waste containing caesium and strontium, both radioactive substances.
The vial should have been sent to a “counter” for “counting” its
radioactivity. Instead, it was found lodged in the chair. Top
officials of the Department of Atomic Energy (DAE) laid the blame for
the incident on “mischief” by a “disgruntled” WIP employee, who was
dismissed.

Tarapur, about 130 km from Mumbai, then had two nuclear power
reactors. (It has four now.) Liquid waste from these reactors is
stored in underground tanks. Liquid waste is categorised as high-level
and low-level. Solid waste is vitrified (converted into glass) and
stored in capsules.

Five and a half years later, on November 24, 2009, at the Kaiga Atomic
Power Station on the banks of the Kalinadi river in Karwar district of
Karnataka, bioassay tests of the urine samples of 65 employees working
in the first reactor building revealed that they had received
radiation in excess of the prescribed limits. They were all employees
of Nuclear Power Corporation of India Limited (NPCIL), which designs,
builds and operates nuclear power reactors in the country. They had
drunk water mixed with tritiated heavy water from a water cooler kept
in the operating island of Unit-1. Tritiated heavy water is a
radioactive fluid in the heavy water. The three operating reactors at
Kaiga use natural uranium as fuel and heavy water as both coolant and
moderator.

Two of the 65 employees received radiation doses above the annual
limit of three rem (or 30 millisieverts) set by the Atomic Energy
Regulatory Board (AERB), the watchdog organisation that monitors
safety in nuclear installations in India.

A top DAE official blamed the incident on “an insider’s mischief”. He
said “an insider had mixed tritiated heavy water in the drinking water
kept in the cooler in the operating island of the reactor”.

S.K. Jain, Chairman and Managing Director, NPCIL, also called the
incident “possibly an act of mischief”. He explained that there was
heavy water in the reactor’s moderator system and primary heat
transporter. During the reactor’s operation, a part of the deuterium
in the heavy water gets converted into tritium. (Deuterium and tritium
are isotopes of hydrogen.) While light water contains two atoms of
hydrogen and one atom of oxygen (H2O), heavy water contains two atoms
of deuterium and one atom of oxygen (D2O). Tritium oxide, or super-
heavy water, contains two atoms of tritium and one atom of oxygen
(T2O). “Trained, qualified workers” took out vials of tritiated heavy
water from the sampling points in the reactor building to the chemical
laboratory (which, in this case, was situated outside the building)
for analysis, Jain explained. This is done every day. When urine
samples of 250 workers were tested on November 24, it came to light
that 65 of them had received tritium radiation. Investigation revealed
that water in the water cooler had been contaminated with tritiated
heavy water. “Preliminary inquiry does not reveal any violation of
operating procedures or radioactivity release or security breach,” he
said.

Jain was confident that since the “computerised access control system
has a record of all the personnel who have entered the operating
island”, it was only a matter of time before the mischief-maker would
be identified.

The DAE/NPCIL do not seem to have become wiser after the incident at
the WIP at Tarapur. No closed-circuit cameras have been installed in
the corridors/passages leading from the sampling points in the reactor
buildings to the chemical laboratories, which are generally situated
outside the reactor building.

With touching naivete and implicit faith in their staff, top NPCIL
officials explained away the absence of closed-circuit cameras. Their
unanimous argument was: “The workers are our staff. Their antecedents
were checked before they were appointed. So there is no need to
monitor every movement of a worker.” Besides, they argued, it was not
feasible to install cameras all over the nuclear power plant “from end
to end”, and that cameras had been installed in what they called
“strategic areas”, “sensitive spots” or “vital points”.

But all of them declined to reveal what were the “strategic areas” or
“sensitive spots” where closed-circuit cameras had been installed. An
AERB official frankly admitted: “The closed-circuit cameras have been
installed at strategic locations so that nothing is removed without
authorisation. But who would have thought a fellow would go out of his
mind and mix tritiated heavy water with drinking water?” One NPCIL
official said that the vial containing tritiated heavy water would not
be detected by radiation-monitoring counters if it was covered with a
piece of cloth.

A top DAE official said, “There are a large number of places where
closed-circuit cameras have been installed. There were no cameras here
because it was a corridor [in Unit-1 at Kaiga]. The cameras were not
installed then because the decision at that time was based on a
[particular] scenario. Now you have to factor in this scenario [of an
employee spiriting away the vial containing tritium and mixing it with
drinking water in the cooler].”

The AERB sent two of its officers to Kaiga. They concluded that a
drinking water cooler was the source of the tritium contamination. The
water tank of this cooler, like other water coolers, was kept locked.
“However,” said Om Pal Singh, AERB Secretary, in a press release, “it
appears that a mischief maker added a small quantity of tritiated
heavy water to the cooler, possibly from a heavy water sampling vial,
through its [cooler’s] overflow tube.”

Officials of NPCIL and the AERB also played down the gravity of the
ingestion of tritiated heavy water by the 65 employees. An “update” on
the incident from Jain on November 29 said: “Any contamination caused
by heavy water inside the human body is quickly flushed out through
natural biological processes like urination and perspiration. These
processes can be hastened through simple medication. The contamination
detected in this incident has been brought down quickly and one worker
is currently close to the limit specified by the Atomic Energy
Regulatory Board.… No worker is hospitalised.”

Om Pal Singh argued that the “administration of diuretics accelerates
the process of removal of tritium from the human body by urination”
and said the personnel who ingested the tritiated heavy water were
referred to hospitals for the administration of diuretics.

But according to an article in Science and Democratic Action,
published by the Institute for Energy and Environmental Research,
United States, in its August 2009 issue: “As radioactive water,
tritium can cross the placenta, posing some risk of birth defects and
early pregnancy failures. Ingestion of tritiated water also increases
cancer risk.” These observations form part of the lead article,
“Radioactive Rivers and Rain: Routine Releases of Tritiated Water from
Nuclear Power Plants”, by Annie Makhijani and Arjun Makhijani. They
observed: “The problem of routine tritium emissions is, in our
opinion, underappreciated, especially because non-cancer foetal risks
are not yet part of the regulatory framework for radionuclide
contamination and because tritium releases constitute the largest
routine releases from nuclear power plants.”

Although the Kaiga incident came to light on November 24, it was not
before November 30 that the Kaiga station officials “formally”
requested the Mallapur police for an investigation. Notwithstanding
the NPCIL top brass’ confidence in the computerised access control
systems, biometrics and the list of 250 employees who work in Unit-1,
neither the State police nor the Central intelligence agencies had
zeroed in on the “mischief-maker” as of December 7.

Volume 26 - Issue 26 :: Dec. 19, 2009-Jan. 01, 2010
INDIA'S NATIONAL MAGAZINE
from the publishers of THE HINDU

http://www.frontlineonnet.com/stories/20100101262602900.htm

bademiyansubhanallah

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Dec 21, 2009, 4:47:55 AM12/21/09
to
Many a milestone


T.S. SUBRAMANIAN


Interview with Anil Kakodkar, who recently retired as Chairman of the
Atomic Energy Commission.

MOHAMMED YOUSUF

Anil Kakodkar: “Through strong linkages between Indian basic research
and Indian technology, we will be able to make India much stronger.”

ANIL KAKODKAR, Chairman, Atomic Energy Commission, and Secretary,
Department of Atomic Energy, retired on November 30 after a marathon
45-year career in the DAE. His tenure included nine years as Chairman
of the AEC and Secretary of the DAE. He was earlier the Director of
the Bhabha Atomic Research Centre (BARC) at Trombay near Mumbai.

During his professional career, Kakodkar was primarily involved in the
research and development of nuclear reactors. He made pioneering
contributions to the development of many critical systems for the
indigenous Pressurised Heavy Water Reactors (PHWRs), both the 220
megawatt electrical capacity and 540 MWe capacity reactors. These
systems helped India establish its self-reliance capability in nuclear
power reactors. He was among the chosen few involved in India’s first
nuclear test in May 1974 at Pokhran, Rajasthan. He played an important
role in the five nuclear tests conducted in May 1998, again at
Pokhran.

He is one of the architects of the Dhruva reactor at Trombay. This
reactor is based on a completely original concept and is one of the
most powerful reactor systems of its type. Kakodkar’s engineering
capability came to the fore again when he helped in the rehabilitation
of both the power reactors at the Madras Atomic Power Station at
Kalpakkam, Tamil Nadu, when they were on the verge of being written
off. He made significant contributions to the designing of the
futuristic 300 MWe Advanced Heavy Water Reactor (AHWR), which will use
thorium as fuel. He drove a hard bargain with the United States before
India signed the 123 Agreement, and he was able to convince the
Nuclear Suppliers Group to relax its guidelines, which enabled India
to enter the nuclear mainstream. Frontline met him at his office in
Mumbai on November 23. Excerpts from the interview:

Tomorrow, the fifth reactor at Rawatbhatta in Rajasthan is reaching
first criticality. You are going there.

This reactor was ready for some time and waiting for fuel. It forms
part of the Separation Plan, and accordingly, we have fuelled this
reactor with imported fuel. So it is ready to start. Capacity addition
is always a good thing. This fuel is from Russia.

You have had a distinguished 45-year career in the DAE, capping it
with your retirement as Chairman of the AEC and Secretary of the DAE.
What was its most satisfying part? Was it getting India out of nuclear
isolation by convincing the Nuclear Suppliers Group to waive its
guidelines, or India signing the 123 Agreement with the U.S., or India
building its own 540 MWe PHWRs at Tarapur, or BARC building the
Pressurised Water Reactor (PWR) for the nuclear-powered submarine
Arihant?

There are many important milestones that I was fortunate enough to
see. But the important thing for me is that we are a homogeneous lot
today, the entire DAE. There is a high degree of coherence in our
strategy to implement our programmes, and it looks to me that a
thousand minds working in coherence will be formidable. That is the
biggest satisfaction for me.

But what was the most challenging assignment of your career?

Luckily for me, I have been able to engage myself in new things, every
time something different from what I had done earlier. So everything
was a new challenge. Everything new has more excitement compared to
something which has gone by.

Can you give some examples?

For example, the Dhruva reactor is unique even conceptually. It is
completely Indian. Even today, Dhruva is the only reactor of its kind.
We began it as a concept and engineered it all the way through. In
PHWRs, I had a lot of opportunity to develop different components and
various systems. But decidedly, the 540 MWe reactors at Tarapur going
critical was a very important moment. The beginning of the
construction of the Prototype Fast Breeder Reactor [PFBR] at Kalpakkam
was also important – it is not an event completed yet – but one had to
go through an assessment of where we were and the capability to do
things.

Of course, building the submarine reactor was an excitement in itself.
The nuclear tests – I was involved in both the 1974 and 1998 nuclear
tests – were challenging. The PHWRs, the opening of civil nuclear
cooperation… they are all unique in themselves, each one is different,
each one full of excitement. As I said, it is always the new challenge
which has more excitement than the old one. So for me, what is
important is that I got the opportunity to do new things every time.

Do you feel sad that the thorium-fuelled AHWR project did not take off
during your tenure? You told me in 2004 that the ground-breaking
ceremony for the AHWR would take place by the end of 2004. It is yet
to take place. Has the AHWR become a non-starter?

It is not a non-starter. I would have liked to see the AHWR
construction start before I laid down office. Nevertheless, the AHWR
will continue to remain an important development both from the Indian
and the global perspective. [The construction of] the AHWR will be an
important development whenever it takes place, and it will take place.
There is no doubt about it at all. It is just that for a new
development, you have to ensure that everything that should be taken
care of has been taken care of and in the process, you lose time. I
have no great excitement about when it takes place – during my time or
others’ time. But that it will happen one day is an important thing.

Can you give me an assessment of what you have been able to achieve
both as the Director of BARC and as the Chairman of the AEC?

I listed them just now. The important thing for me is that we have
been able to take bold decisions, which are right for making rapid
technological progress. There is the satisfaction, when you look back,
that these bold decisions were timely. It is these things that allow
you to move faster and even leapfrog.

What were those bold decisions?

V.V. KRISHNAN

An inside view of the research reactor Dhruva at BARC at Trombay.
“Dhruva is unique even conceptually. It is completely Indian.”

To begin with, we decided to adopt electron beam welding for the
Dhruva reactor. An electron beam welding machine for such a large
construction was unthinkable in those days. Even now, not many have
adopted it for such large constructions. We did it, and that was how
we were able to make that unique design.

There were several bold decisions we took in the context of the
submarine reactor, the Pressurised Water Reactor. I cannot give you
the details. We took technologically bold decisions in the repair of
the two units at the Madras Atomic Power Station. Conventional wisdom
would have led to writing these reactors off. There are many examples
like these. But the important thing is that we could pick up enough
courage and confidence to take these bold decisions and I am very
happy about it.

You had your doubts about the 123 Agreement with the U.S. You opposed
the U.S. demand that India put its breeder reactors under safeguards.
Later, you became a supporter of the agreement. Why did you change
tack?

The fact is that the energy requirements of our country are very
large. As I had mentioned several times at BARC, even with the
contributions you can get from different kinds of energy sources in
the most liberal fashion, you will find that there will be an energy
deficit in terms of availability. The only way now to meet this
deficit is to import energy.

It is clear that when you import energy in the form of fossil fuels,
you will have to keep importing that energy for all time to come. On
the other hand, if you import that energy in the form of uranium, you
can recycle the uranium used in the reactor because it contains a lot
of energy value. In fact, you get more and more energy out of the same
fuel. So it becomes an extremely valuable additionality to our
indigenous programme because we have a significant multiplier of
energy production on the basis of our three-stage programme. We have
only a limited quantity of uranium and we can set up only 10,000 MWe
of PHWRs using this uranium. But when you recycle this uranium and
adopt the three-stage strategy, you can go up to 200,000 MWe.
Likewise, whatever uranium we import, we can bring in a similar
multiplier on that uranium also if we have gone through the
development of the three-stage strategy.

So the opening of the civil nuclear cooperation not only brings in
that additionality but because of the domestic development of the
three-stage programme, we will be able to bring in a multiplier on the
imported uranium and bridge the shortage for the future. This is what
I call the move towards energy independence. For us to be able to do
that, the domestic programme must continue, the way it was planned
earlier. There should be no constraints on its implementation.

If there were to be constraints on that, I would have opposed the
whole thing. But we have been able to negotiate well, and people are
also convinced [about it]. So we are in a position to go ahead with
the civil nuclear cooperation without hindrance to our domestic
programme and bring in both additionality and energy independence in
the long term. So it was not either my being opposed to or supportive
of.… It is a pragmatic move forward which benefits the country.

The Prime Minister was in the U.S. on November 23. What exactly is the
sticking point with the U.S. on our reprocessing the spent fuel from
the reactors to be imported from that country? You told a delegation
of the U. S.-India Business Council in January 2009 that there would
be no reactor purchases from the U.S. without reprocessing rights. Has
the U.S. gone back on allowing India the right to reprocess the spent
fuel from the reactors that will be imported from that country?
No. The 123 Agreement gives us the upfront reprocessing consent
rights. It is a done thing. What the 123 also says is that we have to
negotiate and agree on “arrangements and procedures” [to do that].
What we are discussing now are the details of the “arrangements and
procedures”. This work is in progress. We have had a number of rounds
of discussions and we are making progress on that with the U.S. As far
as other countries are concerned, there is no issue on that.

You have told me that “If I want, I can reprocess the spent fuel from
[the existing American reactors at] Tarapur tomorrow”. Will you do
that?

We will do the reprocessing in accordance with our priorities.
Reprocessing the spent fuel from Tarapur is not the most important
priority at this moment. But what I stated was the legal position.

The Union Cabinet has approved the Nuclear Liability Bill, which, it
is said, will protect American companies from demands for compensation
if there are any accidents involving the American reactors to be built
in India. Why should we do that?
No. It is not a question of protecting the American companies or any
such thing. Our effort to develop the domestic nuclear liability
legislation, in fact, predates the start of the discussion on the
India-U.S. nuclear deal. We have gone through a lot of studies. We had
appointed external groups to look at the necessity or otherwise of
developing civil nuclear liability legislation and what form it should
take.

Now the issue is the following. In case of an unfortunate accident –
which is very unlikely but supposing it takes place – then we will
have to be able to compensate for the damage caused. Currently, all
the reactors belong to either the government or the Nuclear Power
Corporation of India Limited, which is a government company. So it is
a 100 per cent government activity. If the scale of compensation that
becomes necessary is very large, then we should be able to mobilise
the required funding. It is a kind of insurance. For that, there are
four different international instruments for mobilising the
compensation. So this group looked at the merits and demerits of
joining one of them and came to the conclusion that India’s best
choice would be to be part of the Convention on Supplementary
Compensation [CSC] because this allows, beyond the threshold, tapping
international funding for compensation.

Now the CSC requires domestic legislation which is consistent with the
provisions of the CSC. That is where our action to develop the
domestic legislation began. As India expands its nuclear programme,
with several business partners being a part of such a programme, it is
important that we have a proper nuclear liability regime, and this is
at the core of the development of such legislation.

India has to give an “Assurance 810 letter” to the U.S. that commits
it (India) to the non-transfer of U.S. nuclear technologies to third
countries. Without this letter, the U.S. Department of Energy may not
give licences to American companies to sell reactors to India. Why
should we give such a letter?
Whatever we do, we will do within the framework of the bilateral
agreement, which provides for assurances on the peaceful uses of
nuclear energy or non-diversion [of nuclear material]. It is
consistent with whatever we have agreed. After all, we are talking of
civil nuclear cooperation, is it not?

Now that locating the DAE’s India-based Neutrino Observatory (INO) at
Singara in the Nilgiris district in Tamil Nadu has been ruled out,
where will it go from here?

This is a setback, I must admit. We will propose this problem to the
INO group to think about what to do. One important thing is the
urgency. It was planned to be a very important experiment. But it will
not remain important if time is lost because the world of science
would have moved on. So the INO group is looking at what to do.

How will you ensure the strategic component of India’s nuclear
programme 15 years down the line? You had stressed earlier that you
would not allow the 123 Agreement to compromise India’s strategic
programme.
First of all, in our agreements with different countries, we have
built in enough protection. There is a legal part of it. In technical
terms, we are looking at it as a multiplier of the three-stage
programme, even on the imported part. This, in turn, will mean that
you cannot build the multiplier if you have not mastered the fast
breeder reactor technology or the thorium technology. That thrust has
to be continuous. Our ambition is not just to expand our nuclear power
generation capacity through imports, which is a short-term
requirement. The long-term requirement is to make India energy
independent. That can happen only through the full development of our
three-stage programme. That action remains undiluted because it is
necessary for multiplying both the domestic and the imported
programme. So our strategic independence is guaranteed.

During your tenure as AEC Chairman, there were landmarks such as the
50th year of the DAE, the 50th year of BARC and Homi Bhabha’s birth
centenary. Which was closest to your heart? Did you use them
adequately to project the DAE’s achievements?
They are all important. I used them more for introspection, to send
out messages internally in terms of understanding our own legacy, for
recommitting ourselves to the goals of the DAE, to look at strategies
where we can do better than what we have been doing in the past. All
these events have helped us to consolidate our position and develop
greater clarity in our strategy. That is how I look at these things.

What was the most frustrating part of your career? Was it when you
could not exploit the natural uranium in Meghalaya because of
opposition?

I am still optimistic that we will exploit all the uranium deposits in
the country, including in Meghalaya, for nuclear energy production.
But obviously, it is a difficult exercise – taking people along, which
we will do because after all everything is in the country’s interest.
As long as everybody understands that, I am sure they will cooperate.
I have no doubt about that. There are delays, of course. I would have
been happier if it [mining of natural uranium in Meghalaya] had
happened earlier. But I remain optimistic.

Would you like to say something about the recent controversy over the
yield of the thermonuclear device that was tested in 1998?

That controversy was unnecessary. We said earlier and we are saying
now, after this controversy erupted, and we have given a lot of
information in the public domain [that we got the yield we wanted from
the thermonuclear device]. Since you have asked me this question, let
me again state that the yield of the tests done at Pokhran in 1998
have been verified by independent methods. These independent methods
have been used by diverse groups, and we get the same answer,
confirming that the desired yield [of the thermonuclear device] was
achieved. So, there is no issue whatsoever.

What lies ahead for the DAE?

We have to concentrate on our continuous search for technological
advancement. That should remain the key to our progress. Now I look
forward to such technological achievements on the basis of Indian
basic research. Through strong linkages between Indian basic research
and Indian technology, we will be able to make India much stronger.

You are a workaholic. You work 18 hours a day. So what is your next
assignment?

No problem. I can also sleep 18 hours a day!

You have survived on two to four hours of sleep a day.

I can survive on two hours of work! (Laughter)

You said in Kolkata recently that if the people of Haripur in West
Bengal were opposed to setting up a nuclear power project there, then
“we will not go there....”

No. The question [that was posed to me] was that the people were
opposed to the project. What I said was: “As a first step, we have to
take the people into confidence. We have to tell the people that
nuclear reactors will bring benefits and not create any harm. I hope I
will be successful in doing so. But we do not want to do anything
against the wishes of the people.”

Volume 26 - Issue 26 :: Dec. 19, 2009-Jan. 01, 2010
INDIA'S NATIONAL MAGAZINE
from the publishers of THE HINDU

http://www.frontlineonnet.com/stories/20100101262604100.htm

bademiyansubhanallah

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Dec 22, 2009, 3:49:51 AM12/22/09
to
India-Russia long-standing ties in 2009
Last Updated: Dec 22, 2009

NEW DELHI (BNS): India –Russia rediscovered their defence cooperation
in the year 2009. Many defence deals stepped into progress, which is
beneficial for both the countries at global front.

Both countries share multi-billion dollar lucrative arms market which
will further increase this month as India will buy more nuclear
reactors from Russia.

This year top Indian powers visited Russia, President Pratibha Patil
in September followed by Prime Minister Manmohan Singh in December to
concrete the association between the two nations after the New Delhi's
pro-US tilt.

India has given a green signal to remain Russia as its key strategic
partner after signing an umbrella civilian nuclear deal and inter-
governmental agreement by another 10 years till 2020, as said by PMO
sources.

Prime Minister Singh attended the summits of BRIC and Shanghai
Cooperation Organisation in Yekaterinburg and gave a signal of special
importance India attaches to its relations with Russia.

According to Tatiana Shaumyan, Director of Centre of Indian Studies of
the Oriental Institute of the Russian Science Academy, “The Kremlin
did not fail to notice Singh's gesture, which to a great extent
dispersed the 'India falling into the lap of Americans notion widely
subscribed in Russia”.

Delay in the delivery of the aircraft carrier Gorshkov was described
by President Dmitry Medvedev as the 'sole irritant' in Indo-Russian
relations.

An ambitious target of USD 20 billion bilateral trade by 2015 double
the USD 10 billion target is set for 2010 between the countries at
‘The Indo-Russian CEO's Council meeting’ in the presence of Prime
Minister Manmohan Singh.

"Strengthening the strategic partnership with India remains one of the
key priorities of Russia's foreign policy. This to full extent applies
to interaction on the global arena, as well as to the development of
multi-faceted economic relations," Putin said at Indo-Russian CEO's
Council meet.

Russian President Valdimir Putin urges to bring about 'qualitative'
changes in the bilateral economic ties between the two nations. His
visit is scheduled for 2010 on the invitation of Prime Minister
Manmohan Singh.

"We see, that cooperation with India has acquired real anti-crisis
stability, it is not afraid of sharp fluctuations in the global
economic conjuncture. Now our task is to move further, activate the
whole arsenal of opportunities for the diversification of Russian-
Indian contacts," Putin declared.

The 'Year of India in Russia' was also celebrated in 2009 after the
success of the 'Year of Russia in India' in 2008.

http://www.brahmand.com/news/India-Russia-long-standing-ties--in-2009/2769/1/10.html

bademiyansubhanallah

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Dec 22, 2009, 3:53:04 AM12/22/09
to
Chidambaram, Congress MPs applaud BJP member in Rajya Sabha

New Delhi, Dec 22

The Rajya Sabha Tuesday witnessed the rare site of Congress ministers
and MPs applauding a suggestion by a Bharatiya Janata Party (BJP)
member on improving the country's civil defence preparedness.

"You have two billion eyes in this country. Involve them in your civil
defence measures," BJP's Anil Madhav Dave said while participating in
the debate on the civil defence bill which has been passed by the Lok
Sabha.

"Involve panchayats in the effort," he said, adding that in Madhya
Pradesh school children in the age group of six to 12 years were being
taught the basics of security and civil defence.

"These children are at an impressionable age when they can
differentiate between right and wrong," he said, urging the government
to involve all sections of societies in civil defence.

Home Minister P. Chidambaram, Information and Broadcasting Minister
Ambika Soni and a number of congress MPs vigorously thumped their
desks as Dave concluded his maiden speech as a Rajya Sabha member.

Last updated on Dec 22nd, 2009 at 12:54 pm IST--IANS

http://www.prokerala.com/news/articles/a102096.html

chhotemianinshallah

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Jan 3, 2010, 7:56:54 AM1/3/10
to
India can compete with the best in the world: PM
STAFF WRITER 17:39 HRS IST

Thiruvananthapuram, Jan 3 (PTI) Noting that there was no barrier that
"we cannot overcome", Prime Minister Manmohan Singh today said India
could compete with the best in the world given the country harness all
the talent that exists.

"I have always believed that if we put our mind to it, we can work
together as a nation and compete with the best in the world," he said
after presenting the Panambilli Govinda Menon award to former ISRO
chairman G Madhavan Nair.

Govinda Menon was a multi-faceted Congressman, a freedom fighter,
lawyer, administrator, a respected politician and a connoissuer of
arts, Singh said.

The achievements of Nair and his ISRO team were ample proof of the
country's talent, he said, adding: "If we can harness all the talent
that exists in the country, there is no problem that we cannot tackle
and no barrier that we cannot overcome.

http://www.ptinews.com/news/451102_India-can-compete-with-the-best-in-the-world--PM

Sid Harth

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Jan 3, 2010, 11:45:25 AM1/3/10
to
Volume 27 - Issue 01 :: Jan. 02-15, 2010

INDIA'S NATIONAL MAGAZINE
from the publishers of THE HINDU

PUBLIC HEALTH

Far from healthy

VENKATESH ATHREYA

In the past quarter century, poor people have found access to health
care increasingly difficult with the growing commercialisation of
health.

V.V. KRISHNAN

In a remote village in Chhattisgarh’s Bilaspur district, children wait
for food under the midday meal scheme. A file picture.

THE 25 years since the launch of Frontline have been an eventful
period in the life of the Indian republic. As the 60th year of the
republic approaches, it is only appropriate that we reflect
collectively on where we are along many of the key dimensions of
development and how far we have progressed in the journey of
independent India that began more than 60 years ago. To its credit,
Frontline has pursued consistently this theme of the well-being of the
nation and its people in all aspects throughout the period since it
began its journey. Over a period when Indian print journalism in the
English language did not generally distinguish itself by concerning
itself seriously with the lives of the people and the state of the
republic, Frontline has been a significant exception. On the issue of
the health of alone, I found on a search of the back issues of
Frontline a surprisingly large number of articles of import.

Since about 1980, the Indian economy has grown, in terms of its gross
domestic product (GDP), at over 6 per cent per annum compound, as
against an average for the period 1950 to 1980 of around 3 to 3.5 per
cent. More recently, between 2003-04 and 2007-08, the rate of growth
of India’s GDP even breached the 8 per cent barrier, giving rise to
breathless celebrations in sections of the media about India being
rapidly on its way to being a “superpower” or at the very least an
economic powerhouse.

Malnourished HYDERABAD

While the current global economic crisis has led to some muting of the
rhetoric, it is important not to lose sight of some basic and
disturbing features of our track record of development even through
these years of rapid GDP growth.

The scale of mass deprivation remains immense despite years of high
growth and has even worsened in some respects. Perhaps the most
disturbing aspect of the nature of India’s development over the past
two decades, especially since the start of neoliberal economic reforms
in 1991, has been a rise in inequality in all indicators of
development and well-being. We shall focus here on one key feature of
this record, namely the dismal state of health and nutrition of the
mass of the Indian population.

Since Independence, India has made significant progress in many
fields, and these include some of the key indicators of health. Thus,
the infant mortality rate (IMR), defined as the number of infants
dying before reaching the age of one year per 1,000 live births, a key
and sensitive indicator of the state of health in any society,
declined from around 150 at the end of colonial rule (a grim reminder
of how terrible the colonial dispensation was) to 53 for the year
2008. Similarly, the expectation of life at birth was 32 years at the
time of India attaining Independence, but was close to a little over
63 years for the period 2002-06.

Immunisation deficit TUTICORIN

India has built up, over the decades, a large infrastructure in terms
of health facilities in the public sector. Thus, as of March 2008,
there were 1,46,036 health subcentres (HSCs) and 23,458 primary health
centres (PHCs) as against 84,376 and 9,115 respectively at the end of
the sixth Five-Year Plan in March 1985. Similarly, the number of
community health centres (CHCs) rose over the same period from 761 to
4,276. There were 1,813 first referral units (FRUs) – district and sub-
district hospitals – as of March 2008.

There has also been progress in immunisation of children and pregnant
mothers and in provision of ante-natal care as compared with the
situation at the time of Independence though in recent years, under
the neoliberal regime, there have been some setbacks. India’s record
in areas such as control of malaria has been rather mixed, though, and
the recent resurgence of infectious diseases across the developing
world has found the country relatively unprepared.

It would be fair to say, however, that the progress in the public
provision of health as well as the health status of the citizens has
been extremely modest. On the eve of Independence, the Bhore Committee
made a comprehensive set of recommendations for a health policy with a
clear focus on public health and rooted in the emphasis on preventive
care. Over the years, India has consistently failed to implement those
recommendations though official rhetoric continued to pay lip service
to the crucial importance of public health and preventive medicine.

Public Health Centre VELLORE

Even as late as 1983, the National Health Policy document echoed many
of the Bhore Committee recommendations and its rhetoric was consistent
with the famous Alma Ata declaration of 1978 of ‘Health for All by
2000’. A few years earlier, the Jaisukhlal Hathi Committee had called
for a rational drug policy and price control on a large number of
drugs and pharmaceuticals to prevent profiteering by multinational
drug companies and ensure affordable prices of essential drugs for
common people. The Indian Patents Act, which was passed in 1970,
provided space for the growth of the Indian pharmaceutical industry by
ensuring that patenting did not lead to the monopoly of transnational
pharmaceutical giants in the market for drugs and chemicals.

But by the mid-1980s, with the promulgation of the New Economic Policy
and the New Drug Policy by the Rajiv Gandhi government (along with
several other “New” policies announced for education, textiles, and so
on), the course of even the rhetoric of policy changed. By 1991, when
the economic reform policies of liberalisation, privatisation and
globalisation (LPG policies, as they are popularly known) were
accelerated under the tutelage of the World Bank and the International
Monetary Fund (IMF), the nation was set on a course entirely different
from what had originally been envisaged. It would no longer be the
case that the government was obliged to ensure the health of the
citizens. Instead, health was to become a commodity like any other,
and its provision was to be determined increasingly by market forces.

Over the period of reforms, public provision of health care and health
services has been undermined both at the level of practice and at the
level of ideology and policy. Provision of health through public
sector institutions has been impacted negatively by budgetary cuts
driven by the presumed need to rein in the fiscal deficit. The State
governments, which bear the main burden of public provision, have been
hamstrung by a fiscal regime that increasingly deprives them of access
to adequate resources. Besides, most of them have also happily gone
along with the neoliberal policy regime. The corporate private sector
in health care has boomed, even as India is being sold as a favourite
destination for “medical tourism”. With increasing commercialisation
of health care, the access of ordinary people to health care has
become more difficult. The weakening of the public health system has
left the country very poorly equipped to handle public health
emergencies.

LOW PUBLIC SPENDING

Malaria VISAKHAPATNAM

It is a well-known scandal that India is practically at the bottom of
a list of more than 170 countries in terms of the proportion of total
health expenditure that is financed by government. Public spending on
health in India was around 1.05 per cent of the GDP during the
mid-1980s and is currently at 1.35 to 1.4 per cent of the GDP. The
commitment given in the Common Minimum Programme (CMP) of the United
Progressive Alliance (UPA) government in 2004 that the total
expenditure on health by the Centre and State governments combined
would be raised to between 2 and 3 per cent has remained unfulfilled.
While there is a substantial rise in the outlay on health and family
welfare in the 11th Plan to Rs.1,40,135 crore from Rs.58,920 crore in
the 10th Plan, it still remains way below the levels required to meet
the CMP commitment. Now that the second UPA dispensation is not
dependent on the support of the Left parties for its survival, the
prospect of a rise in government expenditure to the levels promised in
the CMP in 2004 seems bleak.

While government spending on health remained at about 1 per cent of
the GDP in 2001-02, the total of health and health-related
expenditures amounted to 5.2 per cent of the GDP at factor cost. The
share of the government in total health expenditure has been less than
one-fifth. What is worse is that the reform policies have led to
greater commercialisation of health, and health costs have risen
rapidly. Since the mid-1990s, household health expenditure has risen
at 14 per cent per annum. A conservative estimate of the rise in the
poverty ratio on account of rising health expenditures of households,
even when calculated using the disputed official methodology, is
around 3.6 percentage points for rural areas and 2.9 percentage points
in urban areas.{+1} It is also known that rising health and education
costs have forced poor households to cut back expenditure on food to
meet these costs, something that could worsen an already scandalous
nutrition situation.

There are, of course, large inter-State variations in the public and
private provision of health care services and in health outcomes. For
instance, at one end we have a State like Kerala with an IMR of 12
(urban 10, rural 12) and at the other Madhya Pradesh with an IMR of 70
(urban 48, rural 75). Policy needs to address these disparities, with
a far greater focus on the poorly performing States. However, it needs
to be emphasised that health and nutrition outcomes across the country
have worsened during the reform period. This is shown dramatically by
the data on nutritional outcomes from the National Family Health
Surveys (NFHS). The third of these surveys, relating to 2005-06, after
more than a decade of neoliberal reforms, tells us that in urban India
between 1998-99 and 2005-06

• the percentage of women with anaemia rose from 45.7 per cent to 50.9
per cent;

• the percentage of women with chronic energy deficiency (CED) rose
from 22.1 per cent to 25 per cent; and

Swine flu scare HYDERABAD

• the percentage of children in the age group of 6 to 36 months who
are stunted rose from 35.6 per cent to 39.6 per cent.

The situation in rural areas is equally alarming, though it shows some
improvement between 1998-99 and 2005-06 in respect of both child
stunting and women with CED. The percentage of women with CED declined
marginally from 40.6 per cent to 38.8 per cent for India as a whole,
while that of children stunted declined substantially from 48.5 per
cent to 40.7 per cent, but still an unconscionably high level.
However, the percentage of women with anaemia in rural India actually
increased between 1998-99 and 2005-06 from 53.9 per cent to 58.2 per
cent.

LITTLE SENSE OF URGENCY

Commercial ventures CHENNAI

The dismal health and nutrition situation, implying a poor state of
food and nutrition security in both rural and urban India, needs to be
addressed on a war footing. But one finds little sense of urgency on
the part of a government firmly anchored in a neoliberal mindset to
address India’s permanent state of nutritional emergency even after
more than two decades of a compound annual growth rate of GDP
exceeding 6 per cent. Instead, a completely unregulated, commercial
private sector in health is allowed to run riot, even hijacking
medical education in the process and playing with the lives of
millions of poor people.

The slogan of “public-private partnership”, in most instances a
euphemism for “partnership for private profit”, has become the mantra
of the government to implement all programmes. The enormous mess in
urban health, on top of a dismal rural health care situation, cries
for urgent attention, but unless health is seen and provided as a
basic human right little will change. That does not seem to be on the
agenda of the government, now or in the foreseeable future.

While it is true that the issue is not merely one of enhancing outlays
but also one of improving health delivery systems to obtain desired
health outcomes, outlays constitute the basic prerequisite. A
government that is able to provide a largesse of nearly Rs.5 lakh
crore per annum over the past two years to the corporate sector in the
name of fiscal stimulus has no excuse for not raising health funding
to the levels required to address the country’s health crisis. Where
there is a will, there is a way. But there is no will.

http://www.flonnet.com/stories/20100115270108400.htm

Sid Harth

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Volume 22 - Issue 19, Sep 10 - 23, 2005
India's National Magazine

from the publishers of THE HINDU

COVER STORY

DYING YOUNG

LYLA BAVADAM
in Thane and Mumbai

Tens of thousands of children die every year in Maharashtra, mostly in
the tribal areas, because of malnutrition-related problems. The State
government, relying on incomplete data collected by its agencies,
refuses to admit the reality and act.

VIVEK BENDRE

A malnourished child in Nandurbar, one of the tribal-dominated
districts of Maharashtra that has recorded a large number of cases of
malnutrition deaths.

LAST YEAR, in what seemed like a crusade to awaken the conscience of
the Maharashtra government, the Marathi-language press relentlessly
published reports on the continuing deaths of large number of children
owing to malnutrition. The reports said that between May and April
2004, as many as 234 children had died in Nandurbar and Dhule
districts, 2,000 in the five tribal-dominated districts of Amravati,
Yavatmal, Gadchiroli, Chandrapur and Bhandara in the Vidarbha region
and 72 in Dharni and Chikaldhara taluks in the Melghat region, and
that 600 children were afflicted with Grade 4 malnutrition, which is
life-threatening.

The distressing statistics and photographs had the desired effect.
Chief Justice Dalveer Bhandari and Justice Dhananjay Chandrachud of
the BombayHigh Court were spurred into action and suo motu writ
petition No.5629 of 2004 was born. A notice was issued to the State
government, bringing the issue of malnutrition-related deaths and
other causes of infant mortality to the forefront once again.

In July 2004, the court issued the first set of directives to the
government seeking immediate action. The government was directed to
provide the factual health status in representative villages in
Gadchiroli, Yavatmal, Amravati, Nandurbar and Dhule districts. The
findings in the status report were depressing, but predictable. They
brought up the issue of inadequate medical facilities and chronic
under nourishment among children for discussion yet again. The State
government set up the Committee to Evaluate Child Mortality, headed by
the community health specialist Dr. Abhay Bang of the Society for
Education, Action and Research in Community Health (SEARCH), whose
2001 report in Marathi on child deaths (Kowali Pangal, or The Fall of
Tender Leaves) had also been instrumental in the suo motu action by
the court.

In August 2004, the committee submitted its first report, which
highlighted the magnitude of the problem and the under-reporting of
child deaths by the government. The 55-page report estimated that
between 1.20 lakh and 1.75 lakh children died every year in the State
for medical reasons. It warned that 38 lakh children would die in the
next 20 years if the authorities remained "insensitive to their
sufferings". The report blamed an insensitive bureaucracy for the
plight of nearly eight lakh children whose lives were threatened by
Grade 3 or 4 malnutrition.

Reviewing the 15-year record of the State in this matter, the report
said it found little improvement. The percentage of children affected
by Grade 3 or 4 malnutrition had fallen by a mere 0.6 per cent between
1988 and 2002. It also quoted from a study of the National Nutrition
Monitoring Bureau (NNMB), which said that more than 40 lakh children
were affected with Grade 2 to 4 malnutrition in Maharashtra. It
estimated that 82,000 children died every year in the rural areas of
the State, 23,500 in the tribal areas and 56,000 in urban slums.

ANIL SHINDE

Adivasi mothers waiting with their children outside the cottage
hospital in Jawhar in Thane district. Most of the children have been
diagnosed with varying grades of malnutrition.

Although the report was tabled in the Legislative Council in December
2004 and the Health Minister accepted it saying that its
recommendations would be implemented, not much has happened. In March
2005, the committee presented its second report. This report took the
next logical step of making detailed recommendations on how to reduce
malnutrition and child deaths.

In July, showing continued interest in the matter, the court followed
up the case and inquired what the State government had done. The
government admitted that this year there were 1,600 deaths of
children. However, this figure in no way gives the real picture as it
only gives the number of child deaths in the five tribal-dominated
districts, recorded over a period of five months.

According to government statistics, the total number of child deaths
in the entire State between July 2004 (when the court took an interest
in the matter) and June 2005 is estimated to be 45,000. Interestingly,
the estimate based on the Sample Registration Survey of the Government
of India for the same period is 1,20,000 deaths.

On September 16, the court directed the State government to submit a
time-bound programme to implement the recommendations of the
committee.

The court case has indeed succeeded in bringing out the crux of the
issue. The State government was guilty of two things - inability to
check malnutrition-related deaths and inaccurate maintenance of
records of the death of children for various medical reasons, not just
malnutrition.

There are two issues that need to be tackled on a war-footing to
reduce the high rate of child mortality. One is, of course, immediate
medical relief for children afflicted by malnutrition and the
prevention of further cases. The second is to ensure that there is
accurate collection of data by the State on child deaths from all
medical causes. After the public outrage that followed the 2001
publication of Kowali Pangal, the State government promised that there
would be 100 per cent reporting of child deaths. However, no
significant improvement has been made since then.

In order to rectify this situation, the committee suggested an action
plan, which is as follows: Reiterate the clear goal of reducing the
Infant Mortality Rate (IMR) to 15 per 1,000 live births by 2010, which
is the aim of the State's Population Policy of 2000 take a decision on
fixing accountability - follow a model where the Health Department,
the administrative services and the political leadership all share
responsibility - and enforce it; give the highest priority to the
issue and allocate resources; follow the detailed set of programme
recommendations made to the Health and Integrated Child Development
Services Department; have a reliable mechanism to monitor the IMR; and
present the status report annually in the State legislature and before
the High Court.

THE struggle to make the State accountable has a long history. The
problem of under-reporting child deaths was discovered in Gadchiroli,
one of the State's least developed districts, almost a decade ago by
SEARCH. The organisation runs a vital statistics measurement system in
about 100 villages in the district. In 1998, its team noticed a huge
discrepancy between its own findings and those reported by the Health
Department. The matter was taken up with the Chief Minister, and the
District Collector was asked to re-check the facts. Although an
entirely new set of figures emerged from the Collector's report, it
did ultimately validate SEARCH's findings. The Health and Family
Welfare Department had said that the still-birth rate was four. The
Collector's report found it to be 68. The Department claimed an IMR of
13. The Collector found it to be 118.

The differences were shocking and the Health Department stood exposed.
The government reacted by transferring the Collector. SEARCH, however,
kept up the pressure and with 13 other non-governmental organisations
(NGOs) formed the Child Death Study and Action Group (CDSAG), which
studied births and deaths in 226 villages and six urban slums for two
years at 13 different sites in the State. There were two major facts
that the study brought out:

1. While the IMR for the State was a high 66, it was highest in the
tribal areas, at 80.

2. The government was severely under-reporting deaths - in 1998 there
were an estimated 1,75,000 child deaths but only 30,000 were
officially recorded. This happened apparently with the knowledge of
local officials.

Why is it important for the administration to show, statistically, a
lower number of child deaths? A district's annual plan is based on the
feedback of the previous year. It follows that if the data indicate a
reduction in child deaths, that will be seen as a success story for
the district administration. However, if the field data indicate a
rise in child deaths, it would be seen as a reflection on the
inefficiency of the field workers and the department. Thus, by
presenting inaccurate data the administration was trying to avoid the
problem. This kind of evasion naturally perpetuates the problem. If
the records are inaccurate, how can the services be effective? With
medical services, not easily available, especially in remote areas,
the gap between the number of reported deaths and actual deaths
increased. The CDSAG study showed that only 30 per cent of the actual
infant deaths were reported in the Management Information System
(MIS).

The CDSAG study found that neo-natal deaths accounted for 58.7 per
cent of the child deaths, pneumonia for 13.2 per cent, malnutrition
10.4 per cent, and diarrhoeal diseases 10.1 per cent. The remaining
14.3 per cent were attributed to unknown causes. Despite their
relatively low percentage, malnutrition-related deaths invariably get
more public attention. Bang says, "Malnutrition involves food, hunger
and poverty making it not just a medical issue but an emotive and
political one as well. The availability and distribution of food are
political issues and are directly related to malnutrition, making
hunger or malnutrition deaths almost exclusively a political issue.
Malnutrition is difficult to prevent because you need wider political
policies that encompass issues of livelihood, employment, socio-
cultural understanding. Health interventions, on the other hand, are
easier to put into action and can bring down child mortality rates. We
have been trying to bring this to the notice of the government."

Health interventions are easier to implement and have the desired
effect in a quicker time-frame and since it is the disease that
ultimately kills a malnourished child, prevention of disease is as
important in the fight against child mortality as is eradication of
malnutrition. Thus, a two-pronged attack is required to minimise child
deaths.

VIVEK BENDRE

A tribal family in Melghat, in northern Maharashtra.

Global experts estimate that two-thirds of child deaths can be averted
by simple health interventions. Proof of this comes from what SEARCH
has achieved in Gadchiroli, a district associated with poverty and
under-development. In a field-based trial, Bang first treated
pneumonia in children and brought down the IMR from 121 to 79 in two
years. Thereafter, the IMR remained steady despite further reduction
in pneumonia and diarrhoea cases. It was only in1990 that Bang
realised that 75 per cent of the dead were newborn children.

Three years later, the internationally acclaimed field trial by SEARCH
began in Gadchiroli. It showed that an approach called Home-based
Newborn Care could make a huge difference to babies, living or dying.
The basis of the programme was an understanding of the region and of
tribal culture. SEARCH was aware of the tribal belief that a pregnant
mother must starve herself so that the foetus remained small and
enabled easy delivery of the baby. Working with these cultural
constraints, SEARCH trained village women and dais (midwives) in
maternal and neo-natal care. Simplicity was the keyword and emphasis
was laid on safety, education and eradication of harmful
superstition.

The approach was so successful that the IMR of Gadchiroli was bought
down from 121 to 30 per 1,000 births, almost equal to that of China,
which has made rapid strides in bringing down the IMR. SEARCH also
developed the Arogya Swarajya health care model. As the name suggests,
this involves a self-management of health aimed at reducing child
mortality. It is a decentralised model that provides knowledge and
information on health, basic diagnostic skills and treatment as well
as basic medicines and equipment.

Although statistically child mortality is a Statewide problem, it is
more acute in the tribal areas. Deaths of tribal children account for
about 1/8th of the total child deaths in the State. That tribal areas
need special attention is apparent from their high IMR of 80 as
compared to 64 in the rural areas and 68 in the urban slums. Owing to
their remoteness, many medical centres in the tribal regions are often
seriously understaffed. A senior doctor in a cottage hospital in the
tribal area of Thane district said, "Medical staff do not want rural
postings because they are seen as dumping grounds. We do not mind
working here as long as there is some assurance that we will be
relieved after a certain period."

The Jawhar cottage hospital has 54 beds but it caters to more than 100
in-patients. It functions with a staff of six doctors and 15 nurses
when it should have seven doctors and 17 nurses. It is soon to become
a subdivisional hospital with an official sanction of 100 beds. Its
official staff complement should rise to one medical superintendent,
13 medical officers and 34 nurses.

The neighbouring Vikramgadh taluk, where malnutrition is common, lags
far behind in respect of medical facilities. When Frontline visited
the six-bed Vikramgadh Primary Health Centre three years ago, the
local administration had said a cottage hospital was soon to be built
there. The plan is still only on paper. Meanwhile, this year's cases
of 43 children affected by Grade 3 and 4 of malnutrition in the taluk
could not be hospitalised because of the lack of space. In the past
three months 20 children have died in Vikramgadh.

The government is also urged to keep in mind cultural sensitivities
while treating tribal people. The harsh realities faced by tribal
parents have to be incorporated into the care-taking. "Small things
like an irregular bus service affects them - if they cannot get back
to their village by night they have to wait all night, without food,
at the bus station. The problem is definitely because of poverty,"
said a medical officer at the Vikramgadh PHC. The inability to afford
the bus fare to the PHC, to feed a child every two hours as directed
by the doctor, to leave fields untended or, as in the case of
agricultural labour, to be absent from work are all factors that
affect tribal health. Other, simpler issues such as the use of beds
also need to be considered. While caring for her two-year-old child, a
mother in the Jawhar cottage hospital prefers to rig up a hammock
under the bed for her child. She herself sleeps on the floor. The bed
with its white sheet remains unused.

Poverty is at the root of the problem and only sensitive field workers
understand the depth it has reached. In order to counter malnutrition,
the government gives a high-protein diet of khichadi (consisting of
lentils and vegetables) to tribal children in Thane district. Most
children take the khichadi home and share it with their large
families. That a family of five or more depends on food meant for one
exposes a dimension to the poverty that was clearly not anticipated
when the government decided to give free food. When a child is
hospitalised, it automatically means that the mother cannot earn for
that period. This means a vital loss to the family's already meagre
income. In an effort to counter this, the government gives Rs.40 a day
to the family while the child undergoes treatment. While the link
between employment, livelihood and health has been accepted this has
not been factored in appropriately in working out counter-measures.

According to Arun Bhatia, who retired from the Indian Administrative
Service as the Commissioner of the Tribal Research and Training
Institute in Pune, the problem is not a medical one but one of
economics. Bhatia had written a report on "Malnutrition-related deaths
of tribal children". He believes in "increasing the purchasing power
of tribals [to see] a dramatic change in their health status". This is
only too apparent in areas such as Thane where tribal people depend on
agriculture for their livelihood. There is almost a direct correlation
between malnutrition-related deaths and the monsoon. If the rains are
timely and plentiful, there are fewer malnourished children. But, as
happened in 2002, when the monsoon was delayed there was a high
incidence of fatality among children. The majority of tribal families
in Thane are landless. Those that do own land hold less than 0.8
hectare. Food shortage is common and people rely heavily on the
Employment Guarantee Scheme (EGS) for work and money.

But the existence of poverty and malnutrition is evidence that the
existing EGS works are not answering all the needs. Modifications to
the EGS are desperately needed because they can be the most effective
counter to the exploitation of the agricultural labourer, who is
caught between a highly exploitative rent for tenanted land - he hands
over 50 per cent of the produce - and an EGS wage that is lower than
the agricultural wage.

Furthermore, powerful landlords also contrive to prevent any EGS works
being implemented in their area so as to maintain their regular supply
of poorly paid labourers. In his report, Bhatia writes, "Unless these
distortions are recognised, the same defective analysis will be
employed to conceal the ugly picture of absolute poverty and
malnutrition deaths and the same solutions will be applied regardless
of their relevance or efficacy." Bhatia and his team set out policy
recommendations in the report. To date, none has been implemented.

In the context of employment and health, the National Rural Employment
Guarantee Scheme could literally turn the situation around.
Furthermore, its emphasis on female employment is particularly
relevant since studies such as the National Family Health Survey II
show that malnutrition in children is linked to the mother's health
status. The survey also emphasises how important the earnings of a
woman are, both for her family and for her own social and health
status.

A RECENT report of the Punarvasan Sangharsh Samiti (PSS), a group that
fights for tribal rights, says, "The root [of malnutrition] is because
of deprivation from natural resources." In a survey carried out in 22
villages and two resettlement sites of the Sardar Sarovar Project in
Nandurbar district, the PSS found that more than 98 children died in
April, May and June this year, and 71 of the deaths were related to
malnutrition. The survey also verified what the Committee to Evaluate
Child Mortality had said: That the government only records 10 per cent
of the actual deaths and that malnourishment is rampant among tribal
mothers as well.

The other north Maharashtra region to be afflicted with malnutrition
is Melghat. The problem is so pernicious here that the government came
up with what was thought of as a solution and came to be referred to
as the Melghat pattern. Essentially, this involved pumping in a lot of
money prior to the monsoon. It was not particularly successful in
addressing the problem. The case in north Maharashtra is complicated
by the existence of vast forest tracts and, in Melghat, by the
presence of large nature reserves, which have been the target of ire
of tribal rights groups. Unfortunately, while attempting to do their
best for the causes they espouse, both conservationists and tribal
rights activists have been at loggerheads. It is only recently that a
new direction has been given to resolve the problem. The basis of the
new understanding between the two groups is that forced relocation of
tribal villages is not the solution.

In an interaction that started in 1998, both tribal rights groups and
conservationists found they had common ideas. Neither wanted major
tarred roads within the forest; instead they showed preference for
small approach paths through the jungle. Neither wanted huge
development projects or even major infrastructure such as huge
hospitals and schools inside the forest. Surprising as this may sound,
the argument has a firm basis. First of all, the objections were not
to development per se but to major development works within the
forest. Past experience has invariably shown that major development
and infrastructure projects taken up within forests under the guise of
tribal welfare have merely been an excuse to take over ultimately the
land for creating luxury resorts and private holiday homes.

ANIL SHINDE

Two-year-old Yamini Shantaram Bhusare's mother prefers to put her in a
makeshift cradle, giving credence to the argument that the government
needs to be culturally sensitive to Adivasi lifestyle.

In the Melghat region itself there have been examples in the past of
tribal people being ousted from their land because developers claimed
that they had been paid for it. The tribal families ultimately crossed
the border and settled in urban slums in Madhya Pradesh. In the new
interactions between tribal rights NGOs and conservationists, the
focus is on facilitating livelihood earnings and self-determination
and not on edging out the tribal people.

Simultaneously, the health care needs of the tribal people in Melghat
are being addressed. A mobile health unit started by the Nature
Conservation Society Amravati holds regular health camps in remote
hamlets. The patients are all tribal people and a variety of ailments
from malnutrition to bronchial asthma are treated. Recently, even
emergency surgery was performed on an 11-year-old boy who had a life-
threatening hernia. Treatment, medicines and clothes are provided free
of cost to the patients. More than 1,000 patients were treated between
June and August this year in regions where government health care did
not penetrate.

While much has been done at the ground level by NGOs and sometimes by
the local administration, the government has made no comprehensive
changes in its approach. After a light rap from the High Court last
year over the mounting infant deaths, the State government went into
what is referred to as "mission mode" to tackle the problem. It
initiated the Malnutrition Eradication Mission. Started in Thane,
Nandurbar, Amravati, Dhule and Gadchiroli districts, the mission was
meant to follow nutritional guidelines based on a child's age. With
the Chief Minister at its head, it was planned on the same lines as
the polio eradication and literacy campaigns. Not much is heard of the
mission now. NGO reports, departmental crusades and even court
interventions have all raised an uproar at various points. In 1997,
the Nagpur Bench of the High Court issued directions on three
different petitions on malnutrition pertaining to the Melghat region.
The State government has not implemented the court orders in full. The
main problem, as Bang has been persistently pointing out, is one of
accountability.

http://www.flonnet.com/fl2219/stories/20050923006500400.htm

Sid Harth

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Volume 27 - Issue 01 :: Jan. 02-15, 2010
INDIA'S NATIONAL MAGAZINE
from the publishers of THE HINDU

EDUCATION

A long way to go


JAYATI GHOSH

The failure to pass legislation at the Central level for free and
compulsory schooling was a major impediment to the extension of
education.

Crammed HYDERABAD

THE rhetoric of successive Central governments in India with respect
to education has always been unimpeachable. This is evident in the
Constitution, which enshrined free compulsory school education as a
directive principle of state policy and committed the Government of
India to ensure it within a decade. It is even more marked in
successive education policies, which have stressed the need for urgent
action to provide good-quality education at different levels to all
segments of society, to expand the system to cater to the needs of
both the economy and society and to ensure inclusiveness through
various kinds of interventions.

Self-help KHAMMAM

Yet this democratic rhetoric has generally not been matched by
commensurate action that would actually achieve the stated goals. What
is more surprising is that even this under-achievement has been
accompanied by almost continuous self-knowledge, as the Central
government has serially appointed commissions to analyse the situation
and suggest policies for its improvement.

The landmark in this regard is the Report of the Education Commission
(1964-66), otherwise known as the Kothari Commission Report, which
still serves as the benchmark for all official policy goals and
action. This report clearly linked education to the task of nation
building and the development project: “The destiny of India is now
being shaped in her classrooms. This we believe is no mere rhetoric.
In a world based on science and technology it is education that
determines the level of prosperity, welfare and security of people. On
the quality and number of persons coming out of our schools and
colleges will depend our success in the great enterprise of national
construction whose principal objective is to raise the standard of
living of our people.”

No chairs BANGALORE

In consequence of that report, the National Education Policy of 1968
was announced with very lofty objectives: “The Government of India is
convinced that a radical reconstruction of education on the broad
lines recommended by the education commission is essential for
economic and cultural development of the country, for national
integration and for realising the ideal of a socialistic pattern of
society. This will involve a transformation of the system to relate it
more closely to the life of the people; a continuous effort to expand
educational opportunity; a sustained and intensive effort to raise the
quality of education at all stages; an emphasis on the development of
science and technology; and the cultivation of moral and social
values. The educational system must produce young men and women of
character and ability committed to national service and development.”

This was to be achieved by adhering to the following principles:

• Free and compulsory education, by enacting and enforcing the
required legislation;

Free breakfast TRICHY

• A focus on the status, emoluments and education of teachers, who
were seen as constituting the most important factor determining the
quality of education;

• The energetic development of Indian languages and a three-language
formula for schooling;

• Equalisation of educational opportunity, by correcting regional and
urban-rural imbalances, putting in place a Common Schooling System,
and having special focus on girls and students from backward classes
and tribal communities, and providing special facilities for
handicapped and other disadvantaged students;

• Identification of talent at an early stage and subsequent nurture;

SSA coaching camp VELLORE

• Bringing together school and community through work experience and
national service;

• Priority to science education and research, as well as to technical
training;

• Special emphasis on the development of education for agriculture and
industry;

Primary school KERALA

• Improving the reliability and validity of examinations, and making
evaluation a continuous process aimed at improving achievement rather
than at ‘certifying’ the quality of performance at any given time; and

• Liquidation of mass illiteracy, and spread of adult education.

Nearly two decades after this policy was announced, in the year that
Frontline began publication, it was painfully obvious that these
laudable goals were nowhere near being met and that neither fiscal
allocation nor actual policy intentions were close to adequate to meet
this challenge.

One reason was inadequate fixing of Central responsibility. Until 1976
(when the Constitution was amended to move education from the State
List to the Concurrent List, thereby allowing more direct intervention
by the Central government), State governments were largely held
responsible, for providing school education in particular. This led to
widely different outcomes across States, reflecting not only
historical legacy but also the ability and willingness of State
governments to spend on school education. This tended to reinforce
existing spatial inequalities. In any case, governments in the poorer
and more backward States tended to have fewer fiscal resources to
enable the required expansion, much less to ensure quality.

But even after 1976, there was little real progress because the
urgency of ensuring universal quality schooling and expansion of the
overall education system was simply not made a policy priority. Even
illiteracy rates remained shockingly high. Higher education received a
disproportionate share of Central funds for education, but even here
the growth stalled. The Nehruvian period generated some institutions
of higher learning (new universities and professional institutes like
the Indian Institutes of Technology and the Indian Institutes of
Management) that have now come to symbolise the future potential of
the country, but after the initial spurt, there was no push to ensure
the required rates of gradual but consistent expansion.

So the 25 years since then should ideally have been marked by a
complete transformation in terms of state policy, and a drastic
increase in both public funding for education as well as different
interventions to ensure better quality and more inclusive education at
all levels. To what extent has this happened?

There has been some improvement in certain indicators, but the
progress thus far is still uncertain, unbalanced and far from
satisfactory. The table shows that the period after 1980-81 witnessed
a significant expansion in all levels of educational institutions,
even though the numbers are still far from what is required.

The failure to pass, much less implement, legislation for free and
compulsory schooling at the Central level and the lack of any
assumption of financial responsibility for this by the Centre
certainly constituted a major impediment to the extension of
education. It is shocking to note that despite more than six decades
of official pronouncements, it was only in 2009 that the right to
education finally became law. However, one important change was
brought about by the greater involvement of the Centre in providing
financing for expansion of school education – first in the 1990s
through the District Primary Education Programme (DPEP) in some
districts, and then through the Sarva Shiksha Abhiyan (SSA), under
which the Centre provided 75 per cent of the funds with the goal of
universalising primary education. This has led to a greater expansion
of the school system, especially in States that previously could not
or would not provide more resources for such growth. The Annual Survey
of Education Report (ASER) 2008 finds that the share of children not
in school has fallen considerably: the proportion of seven-10- year-
olds not in school was 2.7 per cent, and the proportion of 11-14-year-
olds not in school was 6.3 per cent. However, the pressure to increase
enrolment has been associated with the dilution of quality norms, in
that “schools” or rather “educational centres” have been permitted to
come up, based on single (often untrained or minimally trained) and
underpaid local teachers handling multigrade classes with poor
facilities and occasionally no buildings or other basic
infrastructure. Quality not only is influenced by spending but
certainly does play an essential role, and, therefore, it is crucial
for public intervention not to try and deliver this human right “on
the cheap”.

Partly because of public miserliness, and also other problems with the
government school system such as teacher absenteeism in certain
places, there has been a growing reliance on private education even
for schooling. This is no longer a phenomenon common among the rich
and the middle classes: ASER 2008 finds that there was a 37 per cent
increase in private school enrolment just between 2005 and 2008. Among
all six-14-year-olds, the proportion of children attending private
schools increased from 16.4 per cent in 2005 to 22.5 per cent in 2008,
and the increase is particularly striking in Karnataka, Uttar Pradesh
and Rajasthan.

The same shift towards more private provision is reflected also in
secondary and higher education – and if anything, the move has been
even sharper and mostly concentrated in the past decade. Charts 1 and
2 provide evidence of the extent to which private suppliers have grown
in terms of both the number of institutions and the share of
enrolment.

These are, if anything, underestimates of the current situation, since
there is much evidence pointing to a significant increase in the
number of private deemed universities and institutions recognised by
the All India Council for Technical Education (AICTE) in the past
three years. Not only have private institutions grown rapidly in
number, but the bulk of such institutions are unaided. While
commercial activity in higher education (that is, for profit) is still
illegal in India, many of these are actually profit-making
institutions by another name.

Enrolment in the public higher education system is now likely to be
less than one-third of total such enrolment. This is to a significant
degree a reflection of the failure of the public higher education
system to expand adequately to meet the growing demand. India’s higher
education enrolment rates, estimated to be anywhere between 9 and 15
per cent depending on data source, are still well below international
norms, and there is still a great need for expansion.

Private institutions that charge relatively higher fees are likely to
constrain access, especially among the less well-off sections of the
population, and perpetuate economic and social distinctions. The
growth of private provision at all levels of education also makes it
much harder to implement the lofty ideals enunciated (and as yet not
implemented) by the Kothari Commission Report.

One important issue that gets increasingly ignored is the continuing
problem of adult illiteracy. The National Literacy Mission (NLM)
played a major role in providing a quantum leap in increasing
functional literacy among the adult population in the late 1980s and
early 1990s. However, follow-up has been poor, and many of the gains
are now eroded, with some beneficiaries even falling back into
illiteracy.

More importantly, a significant part of the age cohort 15-30 years –
around one-third – did not benefit from the NLM and were too old to
benefit from the expansion of primary education. So they remain
functionally illiterate.

There are many other issues and problems with the education system
that are increasingly being recognised: the problem of uneven and
often poor quality; the inadequate training of and motivation for
teachers; the irrelevance of much curricula; the rigidities that
characterise examination systems as well as pedagogy in general; the
lack of autonomy provided to institutions at all levels and various
kinds of outside interference; the mismatch between degrees and the
skills required by the economy; the lack of opportunities for
continuous learning; the problems of inadequate inclusiveness
reflecting not only traditional forms of discrimination and exclusion
but also the insensitivity of much education policy.

The country is now entering another phase of potentially rapid
expansion of the education system, which is clearly essential. But if
it is indeed to provide a basis for an inclusive and democratic
society and a sustainable development process, there is much about the
current forms of education provision that will have to change
drastically. The goals of the Kothari Commission are now more relevant
than ever.

http://www.flonnet.com/stories/20100115270109600.htm

chhotemianinshallah

unread,
Jan 3, 2010, 3:17:07 PM1/3/10
to
Monday, January 4, 2010
Most of infrastructure projects go slow
Pioneer News Service | New Delhi

Despite the country eyeing a double-digit growth in the coming years,
most of the infrastructure projects in power, coal, roads, crude oil
and natural gas production are lagging behind the schedule. Road
projects and gas and crude oil productions are worst-hit by delay.

According to the latest report of the Ministry of Statistics and
Programme Implementation, the NHAI road projects are lagging behind —
21.1 per cent of the targets, till April-October last year.

However, there is a silver lining on the horizon for the NHAI. After
long time, it has shown an improved performance compared to previous
years. “NHAI has constructed/widened and strengthened 1283 kilometres
of national highways to four lanes, which was 21.1 per cent lower than
the target set for the period, but it was 3.6 per cent higher than the
achievement of 1238 kilometre during the corresponding period of the
pervious year,” analyses the latest capsule report on infrastructure
performance.

Significantly, the border road construction work is going well and 12
per cent ahead of targets.

The production of natural gas at 25,389 Million Cubic Meters was 13.7
lower than the target while the crude oil production witnessed a
negative growth and was 6.7 lower than the target set.

The overall power generation in the country was behind 2.5 per cent of
the targets, though it achieved a growth comparing to previous year
figures. The report indicates, while the thermal and hydel power
generation lagged behind the targets, the country witnessed a
considerable growth from nuclear power generation.

“The power shortage in the country during April- October 2009 was 9.8
per cent, which was lower than the shortage of 10.6 per cent during
the corresponding period of previous year. A generating capacity of
5767MW was added during April-October 2009 against the target of
7481MW for the period,” said the report.

The report also says that the targets on cargo handling of imports
were not achieved. The major ports in the country handled cargo less
that 5.5 lower than the targets set for the period. Major ports like
Haldia, Cochin, New Mnagalore and Jawaharlal Nehru and Ennore handled
less cargo. At the same time, air cargo traffic was also down.

But the revenue from rail traffic was 2.5 percent higher than the
target set and recorded an impressive growth of 7.1 per cent.

Setback occurred in the telecommunication sector also due to the
surrender of 10.83 lakh connection in the public sector. "The mass
surrendering of wired telephone connections by the public sector
(BSNL, MTNL) was due to non-payment of bills and preference for
cellphones,” said report, adding that 966.45 lakh new connections were
provided cell phone sector by both public and private companies.

http://www.dailypioneer.com/226857/Most-of-infrastructure-projects-go-slow.html

chhotemianinshallah

unread,
Jan 3, 2010, 3:18:42 PM1/3/10
to
Monday, January 4, 2010
No link between Headley and BARC lab fire, says Govt
PTI | New Delhi/Thiruvananthapuram

The Government on Sunday dismissed speculation about Pakistani-
American David Headley, arrested for plotting terror attacks in India,
being behind the fire at a laboratory in Bhava Atomic Research Centre
in Mumbai that killed two scientists.

When told that people were linking Headley’s taking pictures of BARC
to the fire in Bhava Atomic Research Centre’s chemical lab last week
and radioactive poisoning of employees of Kaiga nuclear power plant in
Kaiga, Karnataka, Science Minister Prithivraj Chavan said, “No, I
think it will be stretching the imagination too far, first to link the
two incidents and also to bring extraneous element. I don’t accept
this at all”.

Chavan, who is also a member of the Atomic Energy Commission, said
investigations were on into the two incidents. We know what exactly
happened in Kaiga but who did it is still unknown...In BARC fire
incident, we will soon have some answers”.

In Trivandrum, Department of Atomic Energy Secretary Srikumar Banerjee
also ruled out the possibility of an external hand in the fire at the
BARC lab in BARC.

"Now people are saying this external hand thing but there is no
scientific answer to it. We do not see any thing," Banerjee told PTI
on the sidelines of the 97th Indian Science Congress.

Banerjee said the place where fire had broken out was a basic research
facility on anti-oxidants and did not have any chemicals that could
pose a fire hazard.

http://www.dailypioneer.com/226856/No-link-between-Headley-and-BARC-lab-fire-says-Govt.html

chhotemianinshallah

unread,
Jan 4, 2010, 12:31:51 AM1/4/10
to
India readying weapon to destroy enemy satellites: Saraswat
Agencies

Posted: Sunday , Jan 03, 2010 at 1524 hrs

Thiruvanathapuram:

Indian defence scientists are readying a weapons system to neutralise
enemy satellites operating in low-earth orbit, a top defence scientist
said here on Sunday.

"India is putting together building blocks of technology that could be
used to neutralise enemy satellites," Defence Research and Development
Organisation Director General V K Saraswat told reporters on the


sidelines of the 97th Indian Science Congress.

However, he added that the defence scientists have not planned any
tests but have started planning such technology which could be used to
leapfrog to build a weapon in case the country needed it.

Saraswat, who is also the Scientific Adviser to Defence Minister, said
the scientists were planning to build the weapon which would have the
capacity to hit and destroy satellites in low-earth orbit and polar
orbit.

Usually, satellites in such orbits are used for network centric
warfare and neutralising such spacecraft would deny enemy access to
its space assets.

"We are working to ensure space security and protect our satellites.

At the same time we are also working on how to deny the enemy access
to its space assets," he said. To achieve such capabilities, a kill
vehicle needs to be developed and that process is being carried out
under the Ballistic Missile Defence programme.

"Basically, these are deterrence technologies and quite certainly many
of these technologies will not be used. I hope they are not used,"
Saraswat said. In January 2007, China had demonstrated its capability
to destroy satellites by conducting an anti-satellite test. It had
launched a missile that blew to smithereens an ageing weather
satellite Fengyun 1C orbiting at a distance of 500 miles away from the
earth.

Saraswat said the DRDO is building an advanced version of its
interceptor missile with a range of 120-140 km. The missile
interceptor is expected to be test fired in September.

Space security is going to be a major issue in the future and India
should not be left behind in this area, the defence scientist said.

17 Comments |

Build it first
By: Vijay | Monday , 4 Jan '10 7:34:31 AM

Rather than announce plans, DRDO must first build it and then test it.
After that tell the press about it. I like the way how we developed
the Anti-ballistic missiles. Similar strategy must be taken in
building anything. No need to announce to the press. Build it and then
test it. During that time let the press know about it.

Nice!
By: Harprit Singh | Monday , 4 Jan '10 7:09:49 AM

This is very nice. Keep it up India.

War in space
By: Dr. Ram Chander Sharma | Monday , 4 Jan '10 4:57:06 AM

There is no safe place in this world rather our glaxy to live. Let we
destroy the weapons of mass destruction or we are destined to die.

Mr
By: Brian Prince | Monday , 4 Jan '10 4:39:28 AM

I think that India should concentrate on setting up a series of
military satellites that can be stationed over India and can be used
to shoot down incoming ICBMS by using the laser technology and also be
used to track down enemy satellites and destroy them in space. Whoever
will eventually control space will have the edge in any type of
warfare. I beleive that the Indian scientists have the necessary
infrastructure to venture into this new phase and create history.

What about incoming missiles?
By: The Owl | Monday , 4 Jan '10 3:16:00 AM

Has our defense scientists developed technology to shoot down/destroy
incoming missiles? I would think that is a more pressing problem for
India, given that Pakistan and China are both armed with ballistic
missiles that carry nuclear weapons.

Satellites
By: Ashish | Monday , 4 Jan '10 2:35:05 AM

I would be much happier if DRDO announced that it actually shot down a
satellite. Stop announcing stuff when nothing has been achieved. These
losers cant even get Agni to work.

India readying weapon to destroy enemy satellites
By: Rakesh | Monday , 4 Jan '10 2:16:52 AM

Who are these DRDO scientists fooling? As usual lot of hot air and
nothing else!! Rakesh

satellite technology
By: surya | Monday , 4 Jan '10 0:51:34 AM

Skeptics need to calm down. If technology is available to fire a
satellite and guide it to rbit in a desired trajectory and at the same
time get images from the probe- whats the big deal mates? Identifying
a particular satellite from up above by another satellite is that much
more easy. Sending a tiny missile a few miles to shoot it down is also
a small matter. All the members of contemporary space club, im sure
already have these capabilities. So give it a rest. Remeber when
cryogenic booster tech.$ was denied to DRDO by others, how they made
all this indegenously? True, it costs u a bunch but in a bad world we
are living in defence preparedness can not be ignored if u need to
take care of a billion inhabitants. Bigger the family larger the
bills, im afraid. They run a very inexpensive program in SrihariKota,
i heard. Surya,chicago.

Enemy satalites
By: gmenon | Monday , 4 Jan '10 0:50:14 AM

Has Dr.Saraswat been cleared by "Madam" to make this comment ? Learn
from the Chinese: atleast from their proverbs- Talk does not cook
Rice !

ABOUT TIME
By: Angry indians | Sunday , 3 Jan '10 23:32:35 PM

ABOUT TIME. THAT ONLY IS NOT ENOUGH HOWEVER. THE URGENT NEED IS TO
DEVELOPE FORMIDABLE NUKE ARMS WITH SOPHISTICATED DELIVERY SYSTEM THAT
CAN HIT ANY TARGET IN SPACE OR ON THE ENTIRE GOLBE, TO STOP ALL THESE
BULLYING, ARMS TWISTING, PUSHING AROUND, MADDLING AND ABUSING OF INDIA/
NS WHICH HAS SIMPLY BEEN ALLOWED IN THIS MANMOHAN RAJ. NO NUKE DEALS.
STRONGEST NUKE DETERENT THAT IS WHAT NEEDED.

Our scientists have plans. China demonstrated it!
By: oolala | Sunday , 3 Jan '10 22:51:50 PM

This is a great news for the citizens of India that DRDO scientists
have 'started planning' such defence measures. My congratulations and
best wishes for making plans to develop a weapon to destroy enemy
satellites. All we want in India are plans and more plans. Yo dude
Saraswat, Don't you know that China demonstrated it's capability
couple years ago. Dumb copy cats
"The defence scientists have not planned any tests but have started
planning such technology which could be used to

leapfrog to build a weapon in case the country needed it."
By: john jacobs | Sunday , 3 Jan '10 22:19:50 PM

V.K Saraswat, the D.R.D.O Research Director is merely indulging
himself in a bit of vainglory by claiming his scientists could produce
a ballistic missile defence system out of their hats; while the
Prithvi air defence system, a much hyped product of their brain child,
belie their presumptions.Critically examine what he has said:The
scientists have started planning such technology and will build a
weapon system by leapfrogging tests. A tall claim in the light of the
Prithvi experience. The only way the Indian army would have a BMD
system is for a nation friendly to India to make the tehnology
available.The D.R.D.O scientists could then hardly claim credit for
it.

Kya Baat Hai !!!
By: sangeeta | Sunday , 3 Jan '10 21:25:31 PM

We have seen Battle Tank Arjuna,LCA,Simple Bulletproof vests and now
star war weapons,Kya baat hai,we still are not sure of the tonnage of
our nuclear weapons

Indian capability to shoot down enemy satellites?
By: k madhukar | Sunday , 3 Jan '10 21:02:07 PM

Indian scientists are known to counting chicks before they hatch. let
us view this news as such.Indian public, by now knows that proof
pudding is in eating.

Killer Missiles
By: Bharat | Sunday , 3 Jan '10 20:48:54 PM

This is a great news from our DRDO. Many congradulations to our
scientists. May Almighty God Bless them with more energy to develop
their brains further, and to come out with information on more
innovative weapons such as missiles that destroy incoming missiles
before they enter Indian air space. Russia & US call them ABMs. India
should build such missiles that they are attracted to the incoming
missiles, hit them and destroy. Concerted & restless efforts will
certainly lead our scientists to success in developing such weapons &
bring glory to India.

WEAPON TO DESTROY ENEMY SATALLITE.
By: Robert Mathew | Sunday , 3 Jan '10 18:34:09 PM

Appreciateve but let it not be vain boasting which is one of the main
down falls of the DRDO. These are people who cannot even produce a LCA
even after working for two decdes. DRDO from the very inception has
wasted billions of dollars producing white elephants. It not only
wasted the finances, but also deprived our defence forces from
achieving the technological edge. DRDO throught its history never made
India proud nor they produced anything unique that beats the rivals.
Instead it made the country to expedite procurements to be in par with
our rivals, which is after 4 decades. DRDO must stop bragging and
engage itself in productivity with a low profile. Remember the duds
abaout which the dust is yet to settle. Follow China, which does not
brag but stuns the world at the right time.

Jai ho ! to public tax money
By: Devji kumar | Sunday , 3 Jan '10 17:58:19 PM

Its regretable that DRDO have to make such a sensitive national
security issue public, followed by a book and then a bollywood movie,
because thats where the fame, money, social status in society are. Its
would have been more beneficial to read later, about the 'rocket test
to shoot down spying satalites' rather then a concept at its building
block. Will the allocated hard earned public tax money be realy used
for the research and development of this 'system to shoot down spy
satalite' or is this 'news leak' story just to justify to the
'national budget' that transfer of tax money to defence has been
spent. IE should follow up on the business commissions to public
officials on awarding defence contracts to multinationals. Only time
will tell whether this also was just another italian job. Jai ho ! to
public tax money, may public officials concerned spend it wisely on
behalf of the nation, and any private compromises should be made
public by IE, because thats their responsibility.

http://www.indianexpress.com/news/india-readying-weapon-to-destroy-enemy-satellites-saraswat/562776/0

bademiyansubhanallah

unread,
Jan 4, 2010, 5:29:24 AM1/4/10
to
The world cheered for China in 200916:34, January 04, 2010

The year 2009 has now become past tense. During 2009, China attracted
worldwide attention for the great progress made in economy, culture,
politics, diplomacy and its own image. According to a U.S.-based media
tracking group, the rise of China as an economic superpower was the
most-read news story of the past decade, out-stripping the number 2
Internet story, the War in Iraq, by 400 percent.

Economy

"Some people once thought that China's ambition to guarantee an
economic growth rate of 8 percent in 2009 was a day dream, but China
has reached its goal."

The U.S.-based magazine Time, recently pointed out, "A year ago, many
people considered China's ambition to guarantee an economic growth
rate of 8 percent a day dream, but China has succeeded in realizing
its ambition. China maintained the highest growth rate among the
world's major economies, strongly spurring economic development in
other countries."

"China's economic growth is real, and the world should not expect
China to stop or tumble. Instead, it should cope with China's growth
which is faster than that of any other country. Others should not
expect China will fail to maintain its current growth rate and let the
U.S. maintain its status as the world's only economic superpower.
Instead, they should get ready to usher in a world in which China will
play a more important role. The old story has ended and China
represents the present and the future." U.S.-based Forbes Magazine
recently published an article entitled "China's growth is real."
According to the article, the driving force behind China's economic
growth came from the large-scale construction and infrastructure
projects launched by China's central government and local government
bodies, as well as the notable export rebound.

Culture

"Chinese culture will shine worldwide. China's soft power will make a
stride forward"

In 2009, Chinese Vice President Xi Jinping visited five European
countries, and attended the Europalia China Art Festival and China's
Guest-of-Honor activities at Frankfurt Book Fair. On October 14, 2009,
China Press USA carried an article entitled, "Showing soft power,
China's cultural parade staged," which said that Vice President Xi's
visit indicated China's intention to conduct cultural diplomacy."

The article commented that China's participation at the Frankfurt Book
Fair as the guest of honor for the first time undoubtedly served as an
opportunity to showcase China's glamorous culture. The attitude of
"actively going global" demonstrated that China had become more
confident about its culture, and its soft power was improving.

Since 2009, China has been conducting sweeping reforms within its
cultural system, and a great number of large publishers and media
groups were restructured one by one to compete for a voice in the
international community. In addition, the Shanghai 2010 World Expo
which will last for half a year will open in Shanghai in May 2010. It
is foreseeable that a series of activities will enable Chinese culture
to shine worldwide in 2010, and as a result, China's soft power will
make a stride forward.

Politics

"China's economy is constantly improving and the country is more
responsible in politics"

Recently, the U.S.-based magazine Forbes published an article
entitled, "Yes, China has fully arrived as a superpower," saying that
China was not only becoming stronger economically, but also becoming
more responsible politically. While effectively dealing with the
global financial crisis, China also played a leading role in the G20,
and was indispensable to the world's economy.

According to the Sydney Morning Herald's article entitled, "The wait
has passed, and China is marching forward bravely in politics,"
Professor White, a strategic researcher at the Australian National
University, said that in the past, China's economy was growing
ceaselessly but its political influence was limited. But now, China's
increasing political influence in 2009 already became a fact that
cannot be ignored. In terms of economy, White expressed that after the
financial crisis, China noticeably played an important role in the
world, and of course, the western world essentially welcomes and
encourages the role that China played.

Diplomacy

"The frequent visits by all nine members of the Standing Committee of
the Political Bureau of the CPC Central Committee were rarely seen in
the past, and China's people-oriented diplomacy is not empty talk
anymore."

Singapore's United Morning Post published an article entitled,
"China's people-centered diplomacy is not empty talk in 2009." The
article pointed out that many diplomacy-related events occurred in
China all year round. It is a rare thing that all nine members of the
Standing Committee of the Political Bureau of the CPC Central
Committee visited so many countries.

According to the article, President Hu Jintao attended the G20 Summit
in London in April. In June, he was present at the SCO (Shanghai
Cooperation Organization) Summit in Yekaterinburg, Russia and also
spoke with Brazilian, Russian and Indian leaders and visited Russia
and Slovakia. In November, he visited Malaysia and Singapore and
attended an APEC meeting. On December 15, President Hu completed a
visit to two Central Asian countries.

Premier Wen Jiabao visited four European countries and the EU
headquarters in January, and paid a friendly visit to DPRK in October.
In November, he visited Egypt and attended the opening ceremony of the
ministerial-level meeting of the Sino-African Cooperation Forum. In
December, he flew to Denmark to attend the UN Conference on Climate
Change.

The article also commented that the Chinese government's theory of
people-oriented diplomacy was not empty talk any longer. People heard
the voices of Chinese embassies in foreign countries, and the Ministry
of Foreign Affairs and even Chinese leaders played roles in various
events such as saving hostages in Iraq, evacuating Chinese citizens
from Tonga, and saving Chinese engineers and workers being held
hostage in Pakistan and Somalia. The Chinese convoy fleet was further
proof of the people-centered diplomacy of China.

Image

"Chinese workers were nominated as Time Magazine's Person of the Year
2009 for their hard work because they led the world's economy on the
path to recovery."

Recently, Time Magazine announced that Federal Reserve Chairman Ben
Bernanke was selected as the Person of the Year 2009. In the meantime,
a group of anonymous Chinese workers, together with Nancy Pelosi,
Speaker of the U.S. House of Representatives, and Usain Bolt, a
Jamaican sprint champion, were nominated as runners-up for the Person
of the Year 2009.

Time Magazine said that Chinese workers were nominated Person of the
Year 2009 because China's success in maintaining an eight percent GDP
growth rate should be firstly attributed to the tens of thousands of
workers who leave their hometowns to work in China's prosperous
coastal cities. The ordinary Chinese men and women's hard work in the
past and outlook for the future has led world's economy on the path to
recovery.

By People's Daily Online

http://english.people.com.cn/90001/90780/91343/6859047.html

chhotemianinshallah

unread,
Jan 4, 2010, 9:11:19 AM1/4/10
to
China International Relations in 2010: A Gloomy Look Ahead

First off, the new year here in Beijing has started with a relatively
nasty snowstorm (yesterday) and deep freeze (today/tomorrow). Since I
don’t drive, I could care less about the traffic problems, but I
suspect that there are a lot of grouchy people coming back to the
office this morning.

Unfortunately, I fear that this unpleasant atmosphere is going to
carry on throughout 2010. Things don’t look so cheery for China’s
relationship with the U.S. and EU, and while I do not see anything
dramatic occurring in the short term, there is also little to be
enthusiastic about.

Note that I’m not referring to the general business climate, probable
GDP numbers, etc. That’s another story. No, I’m talking about these
important bilateral relationships - China’s interaction with other
nations.

Why so glum?

First, climate change. I have about 100 news articles sitting in my
Inbox in case I decide to post on this topic. So far, I haven’t felt
the urge, despite the significant developments last month in
Copenhagen. The reason for this is my confusion over the PR spin,
watching the “blame game” post-conference, and essentially waiting to
see what happens next.

If you were tuned out last month, the Copenhagen conference was, in
the minds of many, a wasted opportunity at best. Some say that it was
at least a step in the right direction, others opine that it was too
little, too late, and that we’re all going to drown someday, which is
kind of a bummer. (I’ve never been a strong swimmer.)

To me, the second-most important result of Copenhagen was the finger
pointing. A whole lot of it was in the direction of China, and to the
extent that the “story” of the conference was that an arrogant China
put its needs over those of the rest of humanity — well, that’s not so
good. The pushback from the usual domestic sources over here has been
of the usual blunt, ineffective and tone deaf government variety.

The big worry is that the U.S. and/or EU get pissed off and look to
non-traditional solutions, such as carbon taxes on imports. These are
extra-legal solutions (in my opinion), but bilateral relations will
get very messy quickly if such policies gain ground.

Second, and related, are ongoing trade tensions. Again, nothing
dramatic on the horizon, but things don’t seem to be getting any
better. If we get some double-dip recession action in the U.S. this
year when stimulus money runs out, then all of these trade issues
become even more important politically.

China’s economy hasn’t done all that much rebalancing yet, and with a
rather precarious situation looming out there with respect to real
estate and securities, the export market is still very important. If
the government response is to protect/encourage that market as much as
possible through domestic incentives and trade barriers (i.e., the
same kinds of things I expect from the U.S. and EU), then the name-
calling and tit-for-tat will continue, if not worsen, this year. Oh
joy.

Third, of course, is the RMB. Nothing much has changed, which is the
problem. All of the people that have urged patience over the years
(myself included) have run out of patience themselves. Seeing multiple
columns from the usually moderate Paul Krugman (on econ issues) on the
value of the RMB and its effect on U.S. trade and macro economy is
worrisome. Krugman is usually portrayed as a denizen of the political
far left, but he is quite moderate on international trade and monetary
policy matters. I find him a pretty good belweather on the RMB debate,
so if he’s run out of patience, expect a lot of U.S. politicians to
once again turn up the heat on Beijing.

In general, the big concern here is that international opinion of
China is starting to develop into a theme: China is screwing over
everyone else to further its own interests. That’s the narrative,
anyway.

Sure, China has always adopted a realist foreign policy, so this is
nothing new. Additionally, many arguments can be made that most other
countries are following their own interests as well, and that China
should not be compared unfavorably. This is going to sound trite, but
I think the key to all of this for a nation is to get the best deal it
can, in other words give up as little as possible, while ensuring that
it can still portray itself as working toward the greater good. In
other words, be a realist during the negotiations, and then an
idealist or internationalist during the press conference afterwards.
The last thing you want to do is to be marginalized politically as the
“bad guy.”

Unfortunately, that is the narrative that is emerging. If China
becomes the international “bad guy” on climate change and
international trade, this will be a major setback in its global charm
offensive and will impact what China can accomplish on the world
stage. I think this is primarily a PR matter, as opposed to policy.
But if China fails to step up on the PR front, there could be some
major policy results, particularly with respect to trade, that could
lead to a ratcheting up of trade protectionism and, possibly, much
worse treatment for foreign investors over here.

Well, that’s enough unsubstantiated pontificating for one morning.

3 Responses to “China International Relations in 2010: A Gloomy Look
Ahead”
Bill Says:

January 4th, 2010 at 11:17 am
So a world class bully is emerging. Surprise!!

Joe Says:

January 4th, 2010 at 12:35 pm
Stan,
I’d like to argue with you–mostly because I like to argue with you–but
I think you are spot on here. I doubt there will be much really bad
news until after the Shanghai Expo, so the charm offensive should
continue through the summer. However as you pointed out, lookout below
when the USA stimulus money runs out. This Christmas wasn’t an
economic disaster like last year, but jobs and real estate haven’t
even started to recover. By Fall–and the Nov elections–you can expect
USA pols to blame the Chinese for everything. Should be interesting.
It was 80F in San Diego–enjoy that Beijing snow.
Joe

Stan Says:

January 4th, 2010 at 2:16 pm
Everyone wants to be a bully. Most countries just don’t get the
opportunity. Surely China is not unique in this regard.

http://www.chinahearsay.com/china-international-relations-in-2010-a-gloomy-look-ahead/

chhotemianinshallah

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Jan 4, 2010, 9:22:33 AM1/4/10
to
India’s Growth May Beat China in 4-5 Years, Basu Says (Update1)
By Kartik Goyal

Jan. 4 (Bloomberg) -- India’s economic growth may quicken to 10
percent in a “couple of years,” exceeding that of China as early as
2014, said Kaushik Basu, chief economic adviser to the South Asian
nation’s finance ministry.

India’s relatively large young population will help increase its
savings rate to more than 40 percent of gross domestic product, from
38 percent, and spur economic expansion, Basu said in New Delhi. The
government has no plans to “suddenly” withdraw pro-growth measures
unveiled last year to shield the economy from a global recession, he
said.

“It isn’t an impossibility for India to cross China’s growth rate in
the next four to five years,” Basu said. “The high savings rate will
trigger a period of sustained economic expansion.”

India’s GDP may rise more than 7.5 percent in the year to March 31, he
said, beating a central bank forecast for an increase of about 6
percent. China’s economy may have expanded 10.5 percent in the fourth
quarter of 2009, according to the median estimate of 32 economists
surveyed by Bloomberg News.

Policy makers aren’t expected to take monetary measures to curb a
surge in food prices, Basu said. Wholesale food prices increased 19.83
percent from a year earlier in the week ended Dec. 19, near the
fastest pace in 11 years.

“Right now, there’s no expectation of monetary tightening nor do I
believe there’s a reason for it,” he said. The price increase is “very
sector-specific, which needs sector-specific intervention.”

To contact the reporter on this story: Kartik Goyal in New Delhi at
kgo...@bloomberg.net

Last Updated: January 4, 2010 07:19 EST

http://www.bloomberg.com/apps/news?pid=20601091&sid=aFMBgBsjoltU

Sid Harth

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Jan 4, 2010, 1:08:48 PM1/4/10
to
Stumbling block
Monday, January 4, 2010 22:39 IST

Prime minister Manmohan Singh’s inaugural address to the 97th Indian
Science Congress in Thriuvananthapuram on Sunday was unusually
candid.

He talked about the need to remove bureaucracy and red-tape in science
institutes so that creativity can be unleashed and the country can
benefit from the breakthroughs in science and technology. Singh
acknowledged the criticism voiced by India-born scientist and 2009
Nobel Prize winner in chemistry, Venkataraman Ramakrishnan, that there
should be autonomy in research
institutes.

The fact that Indian science has been bogged down in bureaucracy and
red tape is a well-known one, but it needed a Nobel winner to say it
as it is and it needed a sensitive prime minister to acknowledge the
problem.

There are two aspects to this problem. The first is with regard to the
interference on the part of officials who call the shots in the
department of science and technology and other places who cite the
rulebook only in order to raise objections. There is need for
officials to look after the administrative nitty-gritty in science
institutes because it would be a waste of time, energy and talent for
scientists to be caught up in paper work.

But these officials should be facilitators and not be obstacles. There
should be either officers who are sensitive to the work being done by
scientists or the rules must be simplified in such a way that officers
cannot impede work.

The second aspect of the problem relates to the scientists themselves
and it is much more serious than the one posed by dull officers.
Science-managers in this country are scientists with grandiose plans
and big egos. They want to be seen as masters of the national research
centres and they lobby for it hard with the powers that be. The top
science managers in a majority of cases happen to be people who had
given up actual science research many years ago.

These senior scientists have set a bad example to their peers and
juniors, and the virus of bureaucratic tardiness has percolated down
the ranks of the scientists themselves. Science research needs to be
led by people who are themselves brilliant scientists and are actively
engaged in research work.

It might be difficult to find them because such people are more
interested in doing their work quietly and they usually shy away from
positions of power. This is the dilemma that needs to be resolved if
Indian science is to become the game changer.

http://www.dnaindia.com/opinion/editorial_stumbling-block_1330945

Sid Harth

unread,
Jan 4, 2010, 1:13:42 PM1/4/10
to
US universities deflate Kapil Sibal's campus claim
Vineeta Pandey
Monday, January 4, 2010 2:35 IST

When human resource development minister Kapil Sibal returned from the
US recently, he boasted of a long list of foreign universities
interested in setting up shop in India. But it appears that his claim
does not hold much water. At least two universities DNA wrote to
denied India plans.

Sibal had, based on his interactions with representatives of
Massachusetts Institute of Technology and Harvard, Yale, Boston,
Washington, Houston, Kentucky, Nebraska and North Carolina
universities, claimed that many US universities were keen on setting
up campuses in India.

However, Michelle Sherrard of George Washington University said, “We
have no plans for a campus in India.”

Jim Aisner, director of media relations at Harvard Business School
(HBS), wrote, “HBS has only one campus and it is in Boston,
Massachusetts. We have no plans to open more. We, however, have
research centres around the globe, including one in Mumbai. Their
mission is to help HBS faculty with on-site research and course
development in each of the regions served.”

Other universities, it is learnt, are adopting a wait-and-watch
policy. Many are believed to have developed cold feet due to the
strict norms proposed in the foreign education provider bill.

An expert who tracks the Indo-US education scene, said American
universities were waiting to see how the foreign educational
institutions (regulation of entry and operation) bill is adopted by
parliament. “Some US universities were thinking of setting up campuses
here, just the way Michigan University set up a campus in the Middle
East [West Asia] or the way it tied up in Singapore and Hong Kong.
They were also willing to take up losses initially. But certain
provisions in the bill, such as almost 50% reservation for SCs/STs and
OBCs, hiring, fee structure and ban on remittances, are big sitting
points for them,” the expert said.

The government, aware of the apprehensions, is trying to rework the
bill. The changes include doing away with inspection by UGC, fee
structure, hiring etc. But there is no commitment on removing the
biggest obstacle — 49.5% quota for SC/ST and OBC.

“The whole industry is waiting for the clarification. I don’t think
the quota system will deter foreign universities. I am optimistic
about this government move, but also worried about small and fake
universities entering the Indian market. We have to be cautious and
see only the best enter,” Ashok Mittal, chancellor of Lovely
Professional University, said.

Many foreign universities offer degree courses in India in partnership
with local universities. Carnegie Mellon, for instance, has been
offering a master’s programmme at the Chennai-based Sri
Sivasubramaniya Nadar School of Advanced Software Engineering.
Students spend over $53,000 for the 18-month programmme — 15% less
than what they would have to pay in the US.

Once the bill is passed, foreign universities will be able to offer
independent degrees without tie-ups with local universities.

http://www.dnaindia.com/academy/special_us-universities-deflate-kapil-sibal-s-campus-claim_1330569

...and I am Sid harth

Sid Harth

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Jan 4, 2010, 1:15:37 PM1/4/10
to
More funds for those pursuing doctoral, post-doctoral research
PTI Sunday, January 3, 2010 16:52 IST

THIRUVANANTHAPURAM: Researchers pursuing doctoral and post-doctoral
studies may soon get more funds.

Prime minister Manmohan Singh today said that the government was
considering revising the value of several government fellowships for
scientists.

"The government is considering revision of the value of doctoral and
post-doctoral fellowships, as well as formulation of new schemes that
would cover all research scholars with some funding support," he said
inaugurating the 97th Indian Science Congress at the Kerala University
campus here.

Singh also said that the government was planning a special package for
the science and technology sector in Bihar and other such regions as
part of its efforts to bridge asymmetries in development.

The prime minister said National Science and Engineering Research
Board will start functioning before March. The Board is part of a
government initiative to debureaucratise research, and hand over the
task of funding research to an independent panel of eminent
scientists.

Noting that under-representation of women was causing imbalance in the
scientific resource pool, Singh asked science administrators to
redouble efforts to attract talented young women to take up careers in
science.

"A step in this direction is a new scheme now available for women's
universities named Consolidation of University Research, Innovation
and Excellence (Curie). This scheme provides financial help for
complete upgrading of facilities in these universities," he said.

http://www.dnaindia.com/academy/report_more-funds-for-those-pursuing-doctoral-post-doctoral-research_1330423

Sid Harth

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Jan 4, 2010, 1:17:06 PM1/4/10
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IIT Bombay falls in line, starts faculty quota
Mihika Basu / DNA
Thursday, December 31, 2009 1:30 IST

Mumbai: After the initial resistance to quotas for its teaching
faculty, India’s premier institutes are beginning to cave in. The
Indian Institute of Technology-Bombay (IIT-B), has decided to
introduce a reservation policy for its faculty at the level of
assistant professors.

“We will soon release advertisements for this. We are looking at
various ways to attract PhDs from the reserved categories for these
faculty positions,” said Devang Khakhar, director of IIT-B. “If the
reserved seats remain unfilled despite all efforts, they can be de-
reserved after a year,” he added. Other than science and technology,
IIT-B’s reservation policy will be applicable up to the level of
professors in other streams like management and humanities.

According to a notification issued in 2008 by the ministry of human
resource and development (MHRD), the IITs were asked to introduce
reservations in teaching positions, which included 15% quota for
scheduled caste (SC) candidates, 7.5% for scheduled tribe (ST)
candidates and 27% quota for candidates from other backward classes
(OBCs).

However, the IITs were reportedly unhappy with the order and had asked
the ministry to revisit the matter. However, the SC/ST (Reservation in
Posts and Services) Bill, 2008, which had sought to exempt 47 elite
institutes from faculty quotas, including the IITs, could not be
passed in the Lok Sabha due to opposition. Hence, the ministry order
on faculty quota still stands.

Several other IITs have already implemented it or are in the process
of doing so. “We implemented quotas earlier this year. The will be no
compromise on quality, irrespective of whether it’s a general category
or a reserved category,” said IIT-Roorkee director, SC Saxena. IIT-
Kharagpur initiated the reservation policy in November this year and
has invited applications for the posts. At IIT-Madras, while no
appointments have been made, the process will be started soon.

IIT-Guwahati started faculty quota in 2008. “It is not a problem
because unfilled posts can be de-reserved after a year. But the fear
is that if the order becomes more binding, and if such flexibility is
taken away, then we will be in trouble,” said director of IIT-
Guwahati, Gautam Barua.

http://www.dnaindia.com/academy/report_iit-bombay-falls-in-line-starts-faculty-quota_1329279

bademiyansubhanallah

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Jan 6, 2010, 3:46:50 AM1/6/10
to
China, ASEAN to write new legend of cooperation15:35, January 06,
2010

China-ASEAN Free Trade Area (FTA) formally came into being on January
1, 2010. It is a major event in the annals of China-ASEAN relations
and glad tidings in the process of international economic and trade
cooperation. Since the birth of a free trade zone can be described as
something like "grinding one sword for 10 years", this joyous event is
of an extremely vital and far-reaching influence or significance.

First, it is definitely to spur economic integration between China and
the Association of Southeast Asian Nations (ASEAN) to the benefit of
both sides, resembling very much like the "Gospel" for 1.9 billion
people living in the vast region. This free trade zone is the first of
its kind China has ever built overseas and also the first exterior
free trade area the ASEAN nations have undertaken to create.

Since the completion of a free trade area means that the parties will
own the bulk of imported goods and implement the zero-tariff or low-
tariff scheme, the two sides would engage in the substantive service
market opening-up and more investment facilitation, and undoubtedly
signify that the Sino-ASEAN strategic partnership would lift to a new
height with a steady, forward step taken for the eventual realization
of a unified big market, big industry and big trade.

Second, it is definitely to cope with the ongoing financial crisis,
and drive a new wave of Chinese and Southeast Asian economic growth,
resulting in a "multiplier" gear to spur economic growth in East Asia.
The China-ASEAN FTA has a population of 1.9 billion, or almost one
third of the global population; its total GDP reaches approximately 6
trillion US dollars, second only to North America and the European
Union, and so it occupies a pivotal weight in the global economic set-
up.

FTA will not only help China to establish its own interest in line
with the industrial division of labor chain, but is also conducive to
dredging a channel down southward and to give an impetus to the all-
out development of China's mid-western region. To ASEAN countries,
they would get more economic support from China, utilize its strong
and steady economic might, industrial set-up and market buffer force
to steer the regional economy out of the financial crisis and to
promote exports onto the world market.

Third, it is definitely to enhance the mutual political trust between
China and its ASEAN neighbors so as to create the "big (theatrical)
stage" for East Asian regional cooperation and common development. The
building of FTA marks an uplift of the Sino-ASEAN strategic
partnership from the "mutual cooperation-type" to the "dependence
type" and poses another big breakthrough in the realm of China's
economic cooperation in East Asia following the nation's accession to
the World Trade Organization (WTO) in late 2001. The East Asia region
is now transferring from the "China opportunity" to "joint China-ASEAN
opportunities".

In establishing the China-ASEAN FTA, the leading beneficiaries will be
Chinese and ASEAN companies. Near-zero tariff reciprocal arrangements
would greatly facilitate both import and export trade of the two
sides. The ASEAN countries would get at the low cost top-quality China-
made appliances, toys, daily necessities, textiles, garments and
electronic produces, while people in China would be accessible to
cheap, low-priced ASEAN-made goods, particularly subtropical and
tropical fruits and other specialty products.

From a perspective of trade in service, both sides will be more
closely-linked in cross-border tourism, cooperation in contracted
labor service, education and training, and telecommunication exchange,
etc. and, from an investment cooperation point of view, as the
thresholds and risks for Chinese firms to invest in the ASEAN region
would be further reduced, so Chinese enterprises would readily "go
out" or overseas and, subsequently, the nation's financial sector
would in turn "take root and grow" in Southeast Asia.

At present, Sino-ASEAN trade and economic cooperation is changing
gracefully and quietly from a focus shifting on the general trade to
the rapidly growing, comprehensive cooperation and from a few
individual market blocks to a huge market of mutual integration. And
China and ASEAN are currently heading for the "win-win cooperation"
from previous competitions. So, people are fully convinced that the
two sides are sure to work to join hands in writing a new legend of
cooperation between China and adjacent countries.

By People's Daily Online and contributed by Dr. Zhang Xuegang, an
associate professor of Southeast Asia and Oceanian Studies at the
prestigious China Institute of International Relations

http://english.people.com.cn/90001/90780/91421/6861328.html

bademiyansubhanallah

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Feb 5, 2010, 12:46:51 AM2/5/10
to
Bridge the divide
Nilotpal Basu
Friday, February 5, 2010 0:37 IST

The poor and the marginalised are at the receiving end. But since the
onset of globalisation and the process of economic liberalisation, the
wealth and the prosperity of the few has come to be likened to the
collective progress of the nation. Therefore, observations that India
along with China is on the threshold of challenging and eventually
overtaking United States coming from US president Obama in course of
his State of the Union Address is something which excites us many
times more than an objective and dispassionate appraisal of our own
domestic and international expertise and considerations although that
has become almost unavoidable to overlook.

All is not well with the state of the republic at 60. Disturbing facts
were brought outby the Arjun Sengupta Commission, which revealed that
Rs20 or less is the paltry amount which is spent by 78 per cent of our
people. But such facts have not disturbed the ruling elite who
dominate the mainstream public discourse.
The situation is becoming so stark that it is becoming impossible for
even the organs of the Nation-state to disregard the grossly
unacceptable direction of development. Two recent landmark
observations by the Supreme Court have brought out this harsh and
bleak reality.

The first was by a bench constituted by Justice Dalveer Bhandari and
Justice KS Radhakrishnan expressing grave concern at the plight of the
homeless footpath dwellers shivering in the biting cold wave which was
sweeping Delhi. The court pointed out on January 20, “Thousands of
people are without a home in this winter. The report says you have
reduced the number of shelters. You must ensure that every one of them
is provided shelter. No one should suffer.” They went on, pained by
the fact that “malnutrition and hunger are the underlined causes
making people susceptible to extreme weather conditions. There is
ample scientific evidence that due to an increase in the basal
metabolism rate (BMR) with a fall in temperature higher calories are
required by the body to maintain body temperature”. Thankfully for the
government, the honourable judges did not touch upon the subject of
soaring food inflation and its possible impact on the nutrition
security of these ‘wretched of the earth’.

In an equally perceptive judgment, a bench of Justices GS Singhvi and
AK Ganguly in different but concurring judgments pronounced on January
26 on an appeal by Harjinder Singh, an employee of the Punjab State
Warehousing Corporation who was retrenched along with some others,
came down heavily on the mindset of the courts themselves. Justice
Singhvi observed: “The attractive mantras of globalisation and
liberalisation are fast becoming theraison d’ etre of the judicial
process and an impression has been created that the Constitutional
course is no longer sympathetic to the plight of industrial and
unorganised workers”.He lamented: “In a large number of cases like the
present one, relief has been denied to the employees falling in the
category of workmen, who are illegally retrenched by creating bylanes
and sidelanes in the jurisprudence. The stock plea raised by the
public employers in such cases is that the initial employment/
engagement of the workmen/employee was contrary to some or the other
statute or that reinstatement will put an unbearable burden on the
financial health of the establishment.”

Justice Singhvi was most pointed in stating “Courts have readily
accepted such plea unmindful of the accountability of the wrong doer
and indirectly punished the tiny beneficiary of the wrong, ignoring
the fact that he may have continued in the employment for years
together and that micro wages earned by him may be the only source of
his livelihood. It needs no emphasis that if a man is deprived of his
livelihood, he is deprived of all his fundamental and Constitutional
rights and for him the goal of social and economic justice, equality
of status of opportunity, and the freedom enshrined in the
Constitution remain illusory.”

Justice Ganguly was no less forthcoming:“Any attempt to dilute the
Constitutional imperatives in order to promote the so-called trends of
globalisation may result in precarious consequences. Reports of
suicidal deaths of farmers in their thousands from all over the
country along with escalation of terrorism, throw a dangerous signal.”
Justice Ganguly was emphatic, “Social justice, the very signature tune
of our Constitution and being deeply embedded in our Constitutional
ethos, in a way is the arch of the Constitution which ensures rights
of the common man to be interpreted in a meaningful wayso that life
can be lived with human dignity.”

It is time for a collective introspection. Otherwise, a large section
of our people driven to despair will become mired in a series of
completely destabilising explosions which is going to affect
absolutely everybody.

http://www.dnaindia.com/opinion/main-article_bridge-the-divide_1343402

bademiyansubhanallah

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Feb 5, 2010, 12:52:09 AM2/5/10
to
Talking of Tibet
Venkatesan Vembu
Friday, January 29, 2010 12:52 IST Email

Representatives of the Dharamsala-based Tibetan government-in-exile
are currently in Beijing for talks with Chinese officials on the
restive region over which China claims historical sovereignty and
which witnessed an uprising against Chinese rule as recently as two
years ago. The current, ninth round of talks, like much of the eight
earlier rounds since 2002, are enveloped in secrecy, but there is
little indication that any progress has been made towards political
reconciliation.

The Dalai Lama, the Tibetan spiritual leader and temporal authority
who fled to India in 1959 following a failed uprising against Chinese
rule, claims he isn’t campaigning for Tibetan independence but only
seeks ‘meaningful autonomy’ for Tibetan areas within the framework of
Chinese sovereignty over Tibet. But even up until the latest round of
talks began, the Chinese propaganda machinery, which is given to
purple prose, has been projecting the Nobel Peace laureate as a
“splittist” with a secessionist agenda. It has also sought to blame
the “Dalai clique” for the riots in Lhasa in May 2008, despite
disavowals from Dharamsala.

Given that India has offered refuge to the Dalai Lama and the
countless Tibetans who’ve fled their homeland — including the rather
more radical Tibetan youth movement — Beijing authorities are also
deeply suspicious of India’s intentions and motives vis-à-vis Tibet.
This is despite the fact that India, like the rest of the world,
acknowledges Tibet to be an integral part of China.

Sino-Indian distrust, of course, runs deep, and across several other
issues, including the unresolved border dispute, but China’s
insecurities arising from its infirm hold on Tibet only serve to widen
that trust deficit.

Chinese claims over Arunachal Pradesh, the northeastern Indian state
that is home to the Tawang Tibetan Buddhist monastery, represents the
most stark manifestations of this insecurity. They also underline
India’s strategic misstep in acknowledging China’s territorial
sovereignty over ‘Tibet’ without an underlying understanding on
precisely how that geographical entity was defined in the Chinese
perspective.At their core, China’s dilemmas over Tibet arise from its
inability, even 60 years after it secured control over it, to win over
the hearts and minds of the Tibetan community. As the uprising in May
2008 demonstrated, Tibetan resentment over the clampdown on religious
freedoms (particularly the worship of the Dalai Lama) and the
Sinicisation of Tibet, including the incentives to Han Chinese to
settle in Tibetan regions to alter the demographic profile, run deep.

For all the inflamed passions of radical activists in exile, however,
the movement for Tibetan independence today enjoys no international
support: not a single government recognises the Tibetan government-in-
exile, not even the host country. And even the Dalai Lama has publicly
reconciled himself to Chinese sovereignty over Tibet. Given China’s
ascendance as a global economic power, and its ability to garner
political influence on the strength of that economic might, Chinese
sovereignty over Tibet faces no real threat. Even so, for Communist
Party leaders, their manifest inability to completely pacify Tibet
even 60 years after the founding of the modern nation-state, counts as
a colossal failure of their Tibet policy.

Yet, Chinese policy towards Tibet has proved singularly lacking in
imagination. Last fortnight, the Chinese government unveiled what it
claimed was a ‘new approach’ to Tibet, but which in effect amounts to
more of the same: greater investments in the region, coupled with a
tightening of political hold — as manifested in the appointment of
hardline, militarist leaders to the Tibetan Autonomous Region. In
Beijing’s perspective, there is no provision for acknowledgement of
the popular disaffection that Tibetans feel.
China’s strategy on Tibet evidently lies in ‘waiting out’ the Dalai
Lama. Even the best efforts of the virulent Chinese propaganda machine
haven’t taken anything away from the enormous goodwill that the Dalai
Lama commands on the international stage. But since he is of advanced
age, and since there isn’t a second-rung leadership among the Tibetan
exile community that has an international standing, Beijing perhaps
calculates that after his time, the Tibetan movement — such as it is —
will flounder, enabling it to tighten its hold without any
international pushback.

That prospect holds implications for India’s relations with China, as
well. Should the Tibetan community in India become more radicalised
after the current Dalai Lama’s time — as seems increasingly likely —
it would bode ill for Sino-Indian relations. The best-case scenario
would be for an enduring political reconciliation between Beijing and
Tibetan leaders during the Dalai Lama’s time that would allow China to
feel rather more secure about its hold on Tibet, perhaps in exchange
for some concessions on preservation of Tibetan culture. But in a
political environment where Chinese leaders believe they hold all the
aces, and have everything to gain from outwaiting the Dalai Lama, the
prospects for such an outcome appear decidedly dim.

http://www.dnaindia.com/opinion/column_talking-of-tibet_1340626

chhotemianinshallah

unread,
Feb 5, 2010, 6:51:35 AM2/5/10
to
February 05, 2010
EPIC files FOIA request over reported Google, NSA partnership

http://www.computerworld.com/s/article/9152438/EPIC_files_FOIA_request_over_reported_Google_NSA_partnership?taxonomyId=142

In addition to the information request, privacy group also files
lawsuit against NSA
Jaikumar Vijayan

February 4, 2010 (Computerworld) Privacy advocacy group Electronic
Privacy Information Center (EPIC) has filed a Freedom of Information
Act (FOIA) request with the National Security Agency (NSA) asking for
details on the agency's purported partnership with Google Inc. on
cybersecurity issues.

In a separate action that was also taken today, EPIC filed a lawsuit
against the NSA and the National Security Council, seeking more
information on the NSA's authority over the security of U.S. computer
networks.

EPIC's FOIA request relating to Google was filed after a story in the
Washington Post about an impending partnership between Google and the
NSA on cybersecurity issues.

The Post reported that the NSA and Google are in the process of
finalizing an agreement under which the NSA will help Google better
defend itself against cyberattacks.

The report said Google approached the NSA shortly after the recent
cyberattacks, which it said originated in China.

The deal does not involve the NSA gaining access to Google users'
search information or e-mail accounts, and neither will Google be
sharing any proprietary data, the Post said, quoting anonymous
sources.

Neither Google nor the NSA confirmed the reporting about the
partnership. But the Postquoted an NSA spokeswoman as saying the
agency, as part of its "information assurance mission," has been
working with a broad range of commercial partners and research
associates.

News of the purported agreement is already stirring up a storm in the
privacy community. In its FOIA request today, EPIC asked the NSA for
all records concerning any agreement between Google and NSA whether in
draft or final form.

EPIC also asked the NSA for any communications the agency might have
had with Google on the issue of Google's not encrypting Gmail messages
prior to the cyberattacks from China but then deciding to implement
encryption immediately after the attacks.

"There is particular urgency for the public to obtain information
about the relationship between the NSA and Google," EPIC said in its
FOIA request. "As of 2009, Gmail had roughly 146 million monthly
users, all of whom would be affected by any relationship between the
NSA and Google."

However, James Lewis, director and senior fellow at the Center for
Strategic and International Studies (CSIS), cautioned against
overstating the privacy concerns. Without all the details, it's hard
to know what information exactly Google will share with the NSA, he
said.

And he said it's highly unlikely that Google will share personal data
with the NSA. All it wants is for the NSA to look at its networks and
help them figure out how to protect it against similar attacks, he
said. "It has nothing to do with intelligence. That point appears to
have been missed," Lewis said.

Meanwhile, EPIC's lawsuit against NSA was filed today in U.S. District
Court for the District of Columbia. It seeks the court's intervention
in getting the NSA to divulge details on the authority it has been
granted on domestic cybersecurity matters under National Security
Presidential Directive 54 (NPSD54). The classified directive, which is
also known as Homeland Security Presidential Directive 21, was issued
during the Bush Administration.

The directive was used to set up a highly classified, multi-billion
dollar cybersecurity program called the Comprehensive National
Cybersecurity Initiative (CNCI), which is designed to bolster the
ability of federal networks to detect and respond to cyber-intrusions.

Lawmakers, industry executives and privacy advocacy groups including
EPIC have urged the government to release more information on CNCI and
the NSA's role. EPIC has previously filed FOIA requests with the NSA
asking for the information. Its lawsuit stems from what EPIC claims
has been the NSA's failure to comply with statutory deadlines for
providing the information.

Jaikumar Vijayan covers data security and privacy issues, financial
services security and e-voting forComputerworld. Follow Jaikumar on
Twitter at @jaivijayan or subscribe to Jaikumar's RSS feed . His e-
mail address is jvij...@computerworld.com.

Posted by Naxal Watch at 1:09 AM

http://intellibriefs.blogspot.com/2010/02/epic-files-foia-request-over-reported.html

February 05, 2010
Iran caught up in China-US spat
http://www.atimes.com/atimes/Middle_East/LB02Ak02.html

By Kaveh L Afrasiabi

Just days after United States Secretary of State Hillary Clinton used
the occasion of a speech in Paris to lecture China on its national
security interests and warned Beijing of "economic insecurity and
diplomatic isolation" if it did not sign onto new sanctions against
Iran, China hit back.

On Saturday, Beijing escalated its rhetoric against US arms sales to
Taiwan, which it views as part of its territory, by suspending all
military exchanges with the US, summoning the American ambassador to
Beijing and using Clinton's own language about "long-term
implications".

Clinton had warned China it would come under a "lot of pressure" to
recognize the threat from Iran's nuclear program and to join
international calls for further sanctions. She said pressure would
come as Washington and other powers "move away from the engagement
track, which has not produced the results that some had hoped for, and
move towards the pressure and sanctions track" to curb Iran's nuclear
ambitions, which Tehran insists are for peaceful purposes.

Chinese Foreign Minister Yang Jiechi said of the US's US$6.4 billion
arms package for Taiwan that Washington should "truly respect China's
core interests and major concerns, and immediately rescind the
mistaken decision to sell arms to Taiwan, and stop selling arms to
Taiwan to avoid damaging broader China-US relations".

The official Xinhua news agency followed this up with hints that the
sales could damage diplomacy involving the US's efforts to get China's
backing in its nuclear stand-offs with Iran and North Korea. It said
the sales "will cause seriously negative effects on China-US exchanges
and cooperation in important areas, and ultimately will lead to
consequences that neither side wishes to see".

A commentary in the official China Daily chimed in, "From now on, the
US shall not expect cooperation from China on a wide range of major
regional and international issues. If you don't care about our
interests, why should we care about yours?"

Among the sales to Taiwan, still subject to congressional review,
would be Black Hawk helicopters built by Sikorsky Aircraft, a unit of
United Technologies; Lockheed Martin-built and Raytheon co-integrated
Patriot missile defenses and Harpoon land and sea attack missiles
built by Boeing.

The row with China comes at a bad time for the US in terms of Iran.
Washington needs all the support it can get in the United Nations
Security Council if it is to get new sanctions on Iran approved; an
aggrieved China could prevent this from happening and force the US
further down the road of imposing a further round of unilateral
sanctions, something that will deepen the divide between Tehran and
Washington.

Richard Haass, the president of the US Council on Foreign Relations
and traditionally a foreign policy "realist", recently said that "Iran
will prove to be the most compelling foreign policy issue of 2010". He
also recently wrote in a Newsweek article titled "Enough is enough"
that "Iran may be closer to profound political change than at any time
since the revolution that ousted the shah 30 years ago", and "the
United States, European governments and others should shift their Iran
policy towards increasing the prospects for [that] change". (See
Sanctions, regime change take center stage Asia Times Online, January
29,2010.)

Haass' endorsement of the "regime change" option, long promoted by neo-
conservatives and hawks, misses the point that Iran has weathered the
storm following last June's disputed presidential elections that
resulted in months of street protests and unrest. Tehran has also
reasserted itself in regional diplomacy by, among other things,
refusing to attend last week's international conference on Afghanistan
in London, which was accused by Tehran of meddling in Iran's internal
affairs.

The fixation with the "Iran threat" also overlooks the stalled Middle
East peace process and the dangers ahead of another flare-up between
Israel and the Arabs as a result of Washington's inability to exert
pressure on Israel.

Clinton has urged China to follow in the footsteps of the US and its
allies on Iran even though there are strong voices of opposition
within the US to the confrontational path being charted in the US
Congress in the form of an Iran sanctions act. (See Obama losing
control of Iran policy, Asia Times Online, February 1, 2010)

Two versions of this act have been adopted, one by the House of
Representative and one by the US Senate, and the differences between
them need to be hammered out before it can be fully legislated and
sent to the Oval Office for President Barack Obama's endorsement.

In a stinging rebuke of this pending legislation, the US Chamber of
Commerce has sent a letter to the White House, warning, "The proposed
sanctions would incite economic, diplomatic and legal conflicts with
US allies and could frustrate joint action against Iran."

Last December, in a letter to US Senator John Kerry, a top US State
Department official, James Steinberg, used the same argument to advise
the senate of the probable unwanted consequences of unilateral
sanctions on the US's allies, such as the Europeans, who have
extensive trade relations with Iran.

Although the letter did not mention any country by name, it is
abundantly clear that China, which enjoyed total trade of about $27
billion with Iran in 2009, tops the list. The US Congress opted to
ignore the State Department's input and has rushed ahead with the
sanctions bill. The bill is ostensibly meant to "empower" the
president, but in reality it pushes Obama's engagement approach more
towards "the pressure and sanctions track", to paraphrase Clinton in
her Paris speech.

Congress is effectively getting ahead of the White House on an
important foreign policy issue that, as is now happening with respect
to China, bristles with severe collateral damage.

It should not be forgotten that despite all the talk of "Iran's
nuclear threat" by US officials and media pundits, the US intelligence
community has (so far) withstood increasing pressure to be cowered
into revising its December 2007 finding that Iran's nuclear program
has been peaceful since 2003. Some media may be awash with stories of
a new intelligence report on Iran that puts aside the US's National
Intelligence Estimate on Iran, but in the absence of any tangible
evidence to corroborate the allegations of an Iranian proliferation
drive, this is unlikely to happen. Any new US threat assessment
regarding Iran cannot be divorced from the recurrent statements of the
International Atomic Energy Agency (IAEA) that "it reiterates that it
has no concrete proof that there is or has been a nuclear weapons
program in Iran".

On Friday, an IAEA statement indicated that the multilateral
negotiations with Iran regarding the IAEA-proposed "fuel-for-fuel"
swap for Tehran's medical nuclear reactor were "ongoing", despite
Tehran's rejection of key terms of that proposal.

Tehran has offered a counter-proposal that calls for a staged approach
whereby in lieu of a (near) simultaneous delivery of enriched uranium
for the Tehran reactor, it would be willing to ship out 400 kilograms
of its low-enriched uranium, followed by a second such exchange if
everything went smoothly.

Coinciding with the IAEA's announcement was a statement by Foreign
Minister Yang calling for dialogue and the "restarting" of
negotiations over the Iran nuclear issue. This more patient approach
has been dismissed in some quarters in the US as being imprudent.

To conclude, in the book Reading In Iran Foreign Policy After
September 11 this author wrote:
It is not China's veto power in the Security Council over sanctions
against Iran that matters, but that China's balanced and perceived
fair diplomacy could be an influence on Iran. The key to China's
diplomacy is to hold a firm line on non-proliferation while avoiding
prejudging Iran's nuclear intentions. China emphasizes Iran's right to
develop peaceful nuclear programs, while urging Iran to put its
nuclear program under the watch of the IAEA. China's position on a
peaceful solution to Iran's quest for nuclear power benefits all,
instead of just protecting its oil supply, as perceived by many. That
is why China's approach is shared by some Muslim and Arab countries,
including Saudi Arabia, Qatar, Kuwait, Jordan and Indonesia.

China has to think of the impact of its endorsement of, or failure to,
block economic sanctions against Iran. It also has to consider the
impact of sanctions - or the blocking of sanctions - on its other
energy partners such as Sudan, Venezuela and Angola. Siding with
Western powers against Iran because of concerns about its pursuit of
nuclear technology could set a dangerous precedent that could damage
China's relations with southern developing countries.

Kaveh L Afrasiabi, PhD, is the author of After Khomeini: New
Directions in Iran's Foreign Policy (Westview Press) . For his
Wikipedia entry, click here. His latest book, with Abbas Maleki,
Reading In Iran Foreign Policy After September 11 (BookSurge
Publishing , October 23, 2008) is now available.

(Copyright 2010 Asia Times Online (Holdings) Ltd. All rights reserved.
Please contact us about sales, syndication and republishing.)

Posted by Naxal Watch at 12:29 AM

http://intellibriefs.blogspot.com/2010/02/iran-caught-up-in-china-us-spat.html

February 05, 2010
Can China Afford its Belligerence?
http://www.asiasentinel.com/index.php?option=com_content&task=view&id=2281&Itemid=422

Written by Gerry O'Kane
Wednesday, 03 February 2010
Rocket-rattling over a Taiwanese arms package isn't doing anybody any
good

A US arms deal with Taiwan doesn't seem like an issue that should
affect green business in Asia, but it well could, and perhaps it ought
to. China has been threatening the United States with retaliation over
its US$6 billion defense package, including Patriot anti-missile
systems, helicopters and advanced communications equipment, cutting
off bilateral military contacts and threatening to sanction US defense
firms.

But while China has been the beneficiary of the heretofore soft
American approach, it has hardly played a full game of diplomatic give
and take. Indeed, China has shown no compunction about supplying arms
to outlaw states like North Korea and Somalia, if Somalia could be
said to exist as a country.

But the question is who needs whom more. In terms of clean technology,
for instance, China has been reliant on all other nations opening
their doors to its companies. It has been reliant on the US stock
exchange where its leading solar and wind manufacturers have sought to
list. It has needed technology from foreign developers and cash from
foreign private equity funds. It is the largest recipient of Clean
Development Mechanism funds globally while remaining the world's
largest polluter.

And the single biggest boost to Chinese hopes in this area has been
the US market. Of the green technology in Washington's US$787 billion
economic stimulus package, Chinese companies have won sizeable chunks
of these benefits, while the US taxpayer has watched as US solar and
wind turbine companies have gone to the wall or shifted production to
China.

Most recently Danish company Vestas has announced the building of the
world's biggest wind turbine manufacturing site in northeastern China.
Less than a year ago it closed the only wind turbine manufacturing
plant in the UK.

China's official rhetoric is often for the consumption of its own
people. It stood by the free trade mantra, loudly haranguing the US
for "Buy American" provisions' in its stimulus package, but then
enacted a "Buy China" policy in its own. As the recession developed
last year, so did the rhetoric of superiority and while China will
overtake the US as the world's major economy some time, it hasn't done
so yet.

There is a certain amount of pragmatism underlying the rocket
rattling. Complaints about US arms supplies to Taiwan have been going
on for decades while on the other hand business and political
relations with Taiwan have continued to improve. In the weeks before
the current spat, Taiwan's Council For Economic Planning And
Development gave a thumbs up to an idea offered by consultancy
McKinsey & Co that suggested that the United States and China, as the
top two largest energy users, importers and polluters, should jointly
develop electric vehicles, photovoltaic and carbon capture and storage
(CCS) devices. It regarded Taiwan's industry of photovoltaic and
electric car parts manufacturers as having a need and responsibility
of joining the big two.

At the CommonWealth Economic Forum in Taipei, C S Kiang, Sustainable
Development Technology Foundation chairman and founding dean of the
College of Environmental Sciences at Peking University , called on
Taiwan to participate with both the US and China in developing green
technologies, along with numerous other speakers that called for
greater co-operation between Taiwan and China.

It is not hard to imagine that US-policy makers and companies are
seeing little benefit from any growing relationship with China. In
spite of the gentle Obama approach, his visit to China yielded little
but humiliation, whether in university meetings with specially picked
audiences or being sidelined from meetings. China has been less than
helpful in talking with North Korea or Iran on their nuclear plans. It
has repeatedly been caught hacking US government computer systems. It
did little to help finalize an agreement at Copenhagen and has refused
to revalue the renminbi, resulting in a US$2.5 trillion reserve so
huge that it has trouble digesting it..

China has been making business difficult for foreign firms and
trumpeting its ability to show two fingers to everyone not Chinese. At
the same Forum in Taipei, Jack Ma, chairman of Alibaba, an internet
company, took great delight in telling the audience that he hadn't
heard from Yahoo! since Alibaba criticized its US shareholder as
"reckless" in supporting the position adopted by Google in China. The
traditional idea of "face" apparently does not apply to non-Chinese.

Foreign firms are increasingly pointing to the fact that China can
develop its clean technology cheaply because Chinese companies can
deliver without cumbersome regulations and complaints from citizens at
the building of new projects, and the availability of cheap state
loans targeted at what Beijing considers pillar industries.

And all this happens in the week that New Horizon Capital, a fund
operated by Wen Yungsong, the son of Prime Minister Wen Jiabao,
expects to finish raising its third US dollar denominated fund, part
of which will invest in 'new energy'. Its first two funds raised about
US$600 million, the majority of which came from overseas companies.
There is little doubt that this largest of funds will expect to derive
huge inflows of foreign investment.

For anyone who has visited China or done business there, it is
apparent that it's rarely a fair playing field for a foreigner. But
both people and companies put up with a lot of trouble because that's
the price you pay for big opportunities. On the other hand there are
only so many snubs and insults people take, especially from a country,
which in spite of its ultimate economic promise, still has its hand
out looking for favors.

If China is spoiling for a trade fight that begins with retaliation
against US defense firms, the west is in a considerably stronger
position than a country, whose reliance on foreign markets, technology
and investment remains substantial – and with 700 million poverty-
stricken peasants in the countryside, depending on 10 percent average
annual growth to keep them from getting too restive.

Gerry O'Kane appears in Asian Correspondent and blogs
athttp://asiancorrespondent.com/green-business-blog

Posted by Naxal Watch at 12:27 AM

http://intellibriefs.blogspot.com/2010/02/can-china-afford-its-belligerence.html

February 04, 2010
INDO-PAK INTERACTIONS: NEED TO EXPAND BASKET OF ISSUES OF CONCERN
B.RAMAN

Since the beginning of this week, the Government of India has
initiated two moves to expand the scope of the interactions with the
Government of Pakistan, which have remained stunted since the 26/11
terrorist strikes by the Lashkar-e-Toiba (LET) in Mumbai. The
terrorist attacks brought the structured, formalized composite
dialogue on the various issues coming in the way of the normalization
of bilateral relations to a state of suspension. They did not
interrupt the normal official interactions between the two
Governments. However, these have remained in low key with no new ideas
or new initiatives.

2.While not making any substantive move to resume the composite
dialogue despite repeated demands to do so from Pakistani leaders and
entreaties in the same direction from the US, the Government of India
has initiated two moves to re-vitalise the interactions at the
political and professional levels, presumably in order to test the
waters for a resumption of the composite dialogue process at a later
stage.

3.The first move----at the political level--- is the decision that
Shri P.Chidambaram, the Home Minister, should participate in the SAARC
Home/Interior Ministers’ conference, which is scheduled to be held in
Islamabad later this month, and hold bilateral discussions in the
margins of the conference with Mr.Rehman Malik, his Pakistani
counterpart. There has been no high-level political visit since 26/11.

4.The bilateral discussions, if approached seriously by the two
Governments, should be useful in exchanging notes on the progress of
the investigation and prosecution of the 26/11 conspiracy by the LET
and in laying the groundwork for establishing a tradition of mutual
legal assistance between the principal investigation agencies of the
two countries. This has to be a political decision and only the two
Ministers would be able to take such a decision.

5.Mr.Malik has been a trusted associate of President Asif Ali Zardari
and was a confidante of the late Benazir Bhutto since 1996. Though his
relations with Prime Minister Yousef Raza Gilani and the military-
intelligence establishment are not very good, he should be able to
speak with authority on behalf of Mr.Zardari. Moreover, he is an ex-
police officer, who had held a senior position in Pakistan’s Federal
Investigation Agency, which, inter alia, investigates and prosecutes
major terrorism-related cases He has more the mindset of a Pakistani
police officer than of an army officer and has not been known for
obsessive anti-India feelings.

6. The second move---at the professional level---- is the reported
invitation by Shrimati Nirupama Rao, our Foreign Secretary, to her
Pakistani counterpart Mr.Salman Bashir, to visit New Delhi on mutually
convenient dates “ to discuss terrorism and any other issue that could
lead to peace between the two neighbours” as reported by the media.

7. While there should be no problem with regard to Shri Chidambaram’s
visit to Islamabad and his bilateral discussions with Mr.Malik, it
remains to be seen whether the Pakistani Foreign Office would go along
with the wording of the reported invitation which does not make any
reference to a resumption of the composite dialogue. There is a
possibility though that the US will strongly nudge Pakistan to respond
positively to the invitation without insisting on a reference to the
composite dialogue.

8. There has been some valid criticism from sections of the New Delhi-
based community of retired officers of what they view as the haste
shown by the MEA in rushing with the invitation instead of waiting to
see what transpires during the Home Minister’s visit. I subscribe to
this criticism.

9. Now that an invitation has reportedly been issued, we have to
examine what should be the agenda of the proposed interactions between
the two Foreign Secretaries if Pakistan responds positively. While re-
vitalising these interactions, it should be our endeavour to expand
the basket of issues of concern to India, which have arisen since the
format of the composite dialogue was agreed upon when Shri Atal Behari
Vajpayee was the Prime Minister and which are not discussed
specifically now.

10. While the issue of mutual legal assistance between the principal
investigation agencies should be the concern of the two Home/Interior
Ministers, there are two other issues, which should be brought within
the scope of the interactions between the two Foreign Secretaries.
These are the continuing threats to the security of the Indian
diplomatic missions in Afghanistan and Bangladesh from Pakistan-based
terrorists and action by Pakistan to neutralize those threats and the
dangers of Al Qaeda and its associates getting hold of weapons of mass
destruction material and how to prevent them.

11. Pakistan’s initial reaction to the addition of these issues could
be negative, but that should not discourage us from raising them.
( 5-2-10)

( The writer is Additional Secretary (retd), Cabinet Secretariat,
Govt. of India, New Delhi, and, presently, Director, Institute For
Topical Studies, Chennai. E-mail: seven...@gmail.com )

Posted by Naxal Watch at 8:02 PM

http://intellibriefs.blogspot.com/2010/02/indo-pak-interactions-need-to-expand.html

February 04, 2010
India unprepared and unwilling to defend democracy

February 04, 2010 15:40 IST

http://news.rediff.com/column/2010/feb/04/india-unprepared-and-unwilling-to-defend-democracy.htm

With the American declaration of an exit from Afghanistan, Beijing
[ Images ] and Islamabad [ Images ] are upbeat. This leaves India
[ Images ] in the lurch as it is ill prepared to face the threat posed
by Islamic fundamentalists and the Chinese Communists argues Bharat
Verma.

The creeping invasion by authoritarian regimes will engulf Asia by
2020 as democracies continue to retreat. India is unprepared and
unwilling to safeguard the Asian democratic space.

The growing clout of totalitarian regimes coupled with non-State
actors is set to shrink the democratic space in Asia. If the onslaught
is not reversed by the end of the next decade, Islamic fundamentalist
regimes, Communist dictatorships, military juntas and non-State actors
will redraw the international boundaries and largely govern Asia.

The squeeze on the democratic space in India will increase once the
American forces begin to exit Afghanistan in July 2011. Islamic
fundamentalists with the assistance of the sympathetic Pakistan army
[ Images ] will take over Afghanistan and Pakistan. This Taliban
[ Images ] stronghold will operate on a 'hub and spoke' principle to
expand influence and territory. To begin with, India will lose $1.5
billion (about Rs 6,900 crore) worth of investment in Afghanistan, as
it is unwilling to defend it.

Islamic fundamentalism will sweep into Central Asia once the American
wall holding the spread disappears from Afghanistan. Gradually, the
resource rich area will come under the spell of the dark forces.
Russia [ Images ] will feel threatened. Americans and the
International Security Assistance Force are in many ways fighting
Russia's war.

Unlike New Delhi [ Images ], Moscow [ Images ] is always willing to
fight its way out!

Islamabad aims to create a caliphate with the help of the Islamic
regimes running from Central Asia to West Asia and Southeast Asia.
India stands in the way. Beijing desires to unravel India into
multiple parts based on the pre-British model as it cannot digest the
challenge to its supremacy offered in Asia by a liberal union of multi-
religious and multi-ethnic States.

The simple truth is that Indian democratic values contradict and
thereby pose a threat to the authoritarian philosophy of both, the
Communists in Beijing, and the Islamic fundamentalists in Islamabad.
Similarly, many regimes in Islamic West Asia feel uncomfortable with
India's ability to generate unprecedented soft power. Regression to
medieval times helps keep these autocratic regimes in the saddle.

The all-pervading Indian soft power, therefore, poses a serious
challenge. Hence, Pakistan is supported by the petro-dollars dished
out on a Wahabbi checkbook to neutralise the threat posed by liberal
India.

It is obvious that if the Indian model wins, autocratic regimes like
China and Pakistan lose.

Primarily, there have been no terrorist attacks on India after Mumbai
[ Images ] 26/11 on two counts. First, the raging civil war within has
kept Pakistan preoccupied. Second, the intervention of the American
forces has forced diversion of the Pakistan army and its non-State
actors's resources away from India. The stated exit of the Western
forces beginning July 2010 from the Af-Pak region will render India
extremely vulnerable.

The truth is that American forces in many ways are fighting India's
war too. However, New Delhi's expectation that they will continue to
fight such a war without India chipping is being naive.

While China and Pakistan have joined hands against India and bide
their time for the American forces to leave, New Delhi has appealed to
Washington not to exit from Afghanistan, but is unprepared and
unwilling to assist. The Catch-22 is that neither the West led by
America can win without Indian help nor can India prevail without a
concrete alliance with the West.

New Delhi's strategic incoherence continues to encourage Beijing and
Islamabad's designs of destabilising the Union. Militarily, India
remains underprepared due to the huge equipment shortages on land, sea
and air, created by the ministry of defence over the last two decades.

Shirking its primary responsibility of equipping the military leaves
it ill equipped to cope with the increasing intensity of the threat
once the Western forces retreat.

The stalemate in Afghanistan predominantly occurs on two counts.
First, superior technology in a guerrilla war where motivational level
of the adversary is very high, unless combined with adequate boots on
the ground cannot deliver victory.

The West does not have a large reservoir of manpower to mitigate the
situation. Thus, the under-manned war for past nine years has produced
difficult-to-reverse battle fatigue despite the most modern technology
on display.

The result is the resurgent Taliban and Al Qaeda [ Images ] in the
region. To win, a fair share of the soldiery needs to be drawn from
Asian stock with equally high motivation and equipped with Western
technology to surmount the challenge posed by Islamic fundamentalists.

Second, to defend Afghanistan, the war machinery should focus on
Pakistan. However, the American strategy in Afghanistan is similar to
the Indian fortress mentality.

Despite multiple attacks and infiltrations by the terrorists, New
Delhi continues to fortify itself internally in futile attempts to
repulse the attacks. Washington's approach is similar in Kabul for the
past nine years.

The Americans and the allied forces keep defending against the
irregular guerrilla forces launched in to Afghanistan from Pakistan,
clandestinely trained by the Pakistan army and its Inter Services
Intelligence. The ghost forces from Pakistan, when attacked, disappear
almost unscathed. They reappear in Kabul at will.

Washington and New Delhi cannot win since both refuse to face the fact
that Pakistan is the problem.

To lend stability to Afghanistan, the threat from Pakistan covertly
backed by China must be neutralised. Similarly to secure India, the
joint threat from Pakistan and China needs to be resolved. In both,
Pakistan is the common factor.

Beijing's Communists back the Islamic fundamentalists in Islamabad to
expel the American influence and subdue the Indians, even as Pakistan
draws oxygen for sustenance from the economic bailouts from the West

Logic dictates that to defend Kabul, with the intention of expanding
influence of democracies in Asia, the focus must shift to Islamabad.
However, an exit by the American forces set for July 2011 from
Afghanistan will herald the process of colouring Asia in a dark hue.

With the declaration of the exit time frame, Beijing and Islamabad are
once again upbeat.

This leaves India in lurch, as it is ill prepared to face the threat
jointly posed by Islamic fundamentalists that includes the Pakistan
army and the ISI, and the Chinese Communists. Both support the Maoists
in Nepal and the non-State actors including the Maoists in India.

New Delhi therefore faces a simultaneous three-dimensional threat, --
the external war on two fronts, worsening internal front aided by
external actors, and lack of governance.

Bharat Verma is editor, Indian Defence Review

Posted by Naxal Watch at 7:21 AM

http://intellibriefs.blogspot.com/2010/02/india-unprepared-and-unwilling-to.html

February 04, 2010
INDIA: Cyber Crimes registered during 2005 - 2007

As per information complied by the National Crime Records Bureau
(NCRB) on the basis of reports from the State Governments/Union
Territory Administrations, the State/UT-wise details of cases
registered under the IT Act and cyber-crime related IPC Section during
the last three year i.e. 2005, 2006 and 2007 are at Annexure. The
latest information available with NCRB pertains to the year 2007.

‘Police’ and ‘Public Order’ are State subjects under the Seventh
Schedule to the Constitution of India and therefore, the State
Governments are primarily responsible for prevention, detection,
registration and investigation of crime and for prosecuting the
criminals through the machinery of their law enforcement agencies as
also for protecting the life and property of the citizens.

The information Technology Act, 2000 alongwith the Information
Technology (Amendment) Act, 2008 provide for legal framework to
prevent cyber crimes including internet frauds and provisions to
address computer crimes like phishing, spamming, online frauds, cyber
Terrorism, identity theft and data protection.

The Government also conducts several awareness and training programmes
on Cyber Laws and Cyber Crimes for Judicial Officers and Law
enforcement Agencies. Indian Computer Emergency Response Team (CERT-
IN) provides reactive and proactive support to the cyber incidents in
the country. It also Liaises with similar agencies worldwide and users
of cyber space in the country including Government, public or private
and issues alerts, advisories and vulnerability notes. These
advisories are also published on the Web site of CERT-IN http://www.cert-in.org.in.
CERT-IN also interacts with cyber users in the country to mitigate
such incidents.

Posted by Naxal Watch at 6:07 AM

http://intellibriefs.blogspot.com/2010/02/india-cyber-crimes-registered-during.html

February 04, 2010
Borderpol Calls for Internationally Shared Watch List

http://www.defenceiq.com/article.cfm?externalid=1884&mac=DFIQ_OI_Featured_2010&utm_source=defenceiq.com&utm_medium=email&utm_campaign=DefOptIn&utm_content=2/4/10

Author: Defence IQ
Posted: 02/03/2010 9:17:00 AM EST

Borderpol slams politicians and government officials: “Eight years
after 9/11 we have not even begun discussions on an internationally
shared watch list which could be available to embassy staff,
immigration officials, border police and airport security staff
involved in implementing travel, aviation and border security.”

As governments worldwide scramble to respond to the so-called
'underpants bomber,' Umar Farouk Abdulmutallab, who boarded airplanes
freely from Lagos to Amsterdam to Detroit, Borderpol, has called for
the formation of international border organisation to provide an
international solution to an international problem.

According to the Canadian-headquartered, international public security
organisation, little has been heard from the US and UK beyond speeding
up the use of body scanners at airports and prescribing who should be
scanned.

But a basic fact is that that there were grounds for preventing
Abdulmutallab from getting on to an aircraft in the first place, as he
was by then on at least two watch lists; one in the US and one in
Nigeria and probably in the UK as well. He had also had a visa request
to visit the UK in May 2009 rejected by the UK Border Agency and, by
the time he reached Amsterdam, he was flagged in the U.S. consular
database as being presumptively ineligible for a visa due to having
been nominated to the terrorist watch list.

So how did this happen? It happened in part because, believe it or
not, over eight years after 9/11 we have not even begun discussions on
an internationally shared watch list which could be available to
embassy staff, immigration officials, border police and airport
security staff involved in implementing travel, aviation and border
security. Nor do we have a well established standard for deciding the
level of risk that is appropriate to accept for air travellers.

Stove-piping of information remains endemic among agencies, but it is
far worse between countries and is, without doubt the weakest link in
international cross border security. Sometimes information sharing is
a problem with legacy information systems, sometimes due to concerns
about privacy and data protection. More often than not, however, the
real problem is a lack of willingness on the part of politicians and
government officials to find solutions to implement it.

Borderpol's view is, collectively, border and transportation
officials, in cooperation with intelligence and law enforcement
authorities, can do a far better job of prevention than we have done
so far. Borderpol continues to advocate the establishment of an
international global extranet designed for sharing information on
suspect individuals among border agencies of allied countries involved
in border security. Held by Borderpol as a trusted third party; basic
information on suspect individuals such as name, date and place of
birth, the reason they are on the list (eg, visa rejection, Home
Office, UK), photo and source, would be available to officers of those
countries that have signed up to the scheme. The system would allow
them to flag up suspect individuals either for further questioning or
action, such as in this case, visa rejection or withdrawal.

Source: Contingency Today
http://www.contingencytoday.com

Posted by Naxal Watch at 5:34 AM

http://intellibriefs.blogspot.com/2010/02/borderpol-calls-for-internationally.html

chhotemianinshallah

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Feb 8, 2010, 7:22:59 AM2/8/10
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Terrorism biggest threat to country: Manmohan Singh
Submitted by Sarthak Gupta on Sun, 02/07/2010 - 06:29.
FeaturedManmohan SinghIndiaNew Delhi
New Delhi, Feb 7 : The Prime Minister, Dr Manmohan Singh, on Sunday
described terrorism as the biggest threat to the country, and added
that internal and border security would be tightened to counter it.

"We must fight united, an attempt is being made so that all
investigating agencies for together for a common purpose," Dr Singh
said.

Addressing an internal security meeting of all State Chief Ministers
convened by him to discuss internal security and issues related to
terrorism, Dr Singh said Naxalites have emerged as a major threat to
the country and have refuted all efforts for talks with the Centre.

He further said that insurgents and terror groups were also a threat
to national security.

"Jammu and Kashmir, north-east bear the brunt of the terror groups,"
he said, adding that hostile groups acting from across the border are
working to perpetrate their activities on Indian soil.

Dr Singh said the security situation affects growth; inadequate cops
as well as less number of trained cops were also a reason for worry.

"We need to fill vacant police posts and states should act quick on
this," Dr Singh said, adding that the country needs a safer coastline.

"We must periodically review the security system," he said.

Earlier, Union Home Minister P Chidambaram said the Centre would
boldly confront all challenges thrown at it by Naxalites.

Today''s meeting was called by Dr Singh to discuss internal security
and issues related to terrorism. (ANI)

http://www.topnews.in/terrorism-biggest-threat-country-manmohan-singh-2252995

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University, Washington, D.C. in May, 1981.

Mr. Williams began working with he FBI in July, 1976 in the NCIC
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course at the United States Navy EOD School in Indian Head, Maryland.

Mr. Williams was appointed a Special Agent of the FBI in May, 1982 and
thereafter was assigned to the Baltimore Field Office until October,
1982 when he was transferred to the Anniston Alabama Resident Agency
in the Birmingham Field Office. In June, 1984 he was assigned to the
Boston Field Office.

In December, 1984 he attended a specialized course at the Hazardous
Devices School at the Redstone Arsenal in Huntsville, Alabama. In
October, 1987, Mr. Williams was assigned to the FBI Laboratory,
Explosives Unit in Washington, D.C. were he served as a Supervisory
Special Agent, Hazardous Devices and Explosives Examiner.

During his tenure at the Laboratory, he was certified as an Explosives
and Hazardous Devices Examiner and as a Toolmark Examiner in the
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explosives.

Between January, 1997 and February, 1998, he was assigned to the
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In August, 1998, Special Agent Williams attended and successfully
completed a five week specialized course in Weapons of Mass
Destruction at the Redstone Arsenal in Huntsville, Alabama.

Mr. Williams supervised and was the principal FBI Laboratory Examiner
in the bombing of the World Trade Center, New York; the bombing of the
Alfred P. Murrah Federal Building in Oklahoma City; the bombing of a
French owned DC-10, UTA Flight 772 in Chad, Africa, and the accident
investigation aboard the USS Iowa. He also participated at the crime
scene following the bombing aboard Pan Am Flight 103 over Lockerbie,
Scotland; the UNABOMB investigation and many others.

Mr. Williams had been assigned to the FBI Baltimore Field Office since
February, 1998 and retired August 29, 2003 as the Senior Special Agent
Bomb Technician(SABT) for both Maryland and Delaware. As the Senior
SABT he would respond to explosive devices and hazardous materials,
conduct training for state, local and federal law enforcement agencies
and conduct investigations regarding bombings and terrorism incidents.

Since retirement, Mr. Williams has established the International
Counter Terrorism Consulting Group, L.L.C., Harwood, Maryland, a
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Intelligence Exceptional Intelligence Analyst Program. In addition, he
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strategy at the Joint Military Intelligence College’s PGIP- Reserve
Program. He holds a Ph.D. and M.A. in international affairs from the
University of Miami, an M.S.S.I from the Joint Military Intelligence
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Tampa. Lockwood is also the creator of the Lockwood Analytical Method
for Prediction (LAMP) for Open Source Intelligence (OSINT) analysis,
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http://www.amu.apus.edu/counter-terrorism-studies?GCID=S15412x008&KEYWORD=anti+terrorism&MATCHTYPE=search&utm_source=Yahoo&utm_medium=cpc&utm_term=anti%2Bterrorism&utm_campaign=Terrorism%2BStudies&ysmwa=9wF8xgkbx91ZnIH4kn9zIBlbleT0G2BNhmsEOXULa7lvhMjWgIwUBXIt05ruFTKv

chhotemianinshallah

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Feb 8, 2010, 7:38:54 AM2/8/10
to
Books › "anti terrorism"

Showing 1 - 12 of 994 Results

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chhotemianinshallah

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Feb 8, 2010, 8:46:44 AM2/8/10
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SSR #13: China, The Last Superpower

Published on February 7, 2010
8 Comments

This is the third of my Sublime Strategic Reports (SSRs) covering
global trends, regions, and geopolitics. After two hundred years of
global ascendancy, the West is in rapid relative decline to
(re)emerging Asia, which is mounting a steady “Great Reconvergence”.
Likewise, the legitimacy of today’s “neoliberal internationalist”
order promoted by the West is being questioned by the more statist,
neo-Westphalian visions of the leaders of the Rest, the so-called
BRIC’s. This has already led to the emergence of a “world without the
West” – a parallel international system based on the principles of
state sovereignty, hard power, and bilateral trade relations.

The most powerful and influential member of this new world is China,
which has become the “workshop of the world” since its graduated
opening up from the late 1970’s. Accounting for half of global steel
and cement production, China has built up an enormous infrastructure
of roads, railways, and ports to support its mercantile expansion. In
2009 it became the world’s largest automobile market. Furthermore,
China is now advancing higher up the ladder of added-value industries
by expanding into hi-tech areas such as commercial aircraft, renewable
energy, and supercomputers.

One of the most important factor making China’s rise all the more
significant is that it is concurrent with the accelerating decline of
Pax Americana that is spurred on by the end of cheap oil, US economic
weakness, and regional threats to American hegemony from the
“challenger Powers” (e.g. Russia, Iran, and China itself). Should the
current international order suffer a “cascading collapse” – which is
not unlikely, given the brittleness of the world financial and energy
system – then it is possible that China will emerge as an equal, or
even superior, pole to the US superpower as soon as 2020.

The Inevitability of China’s Return to Hegemony

Critics aver that ordinary Chinese remain much poorer than Americans,
but they miss the obvious fact that with its 1.3bn+ population, China
needs only a Romanian level of per capita economic output to equal the
US; should they reach Portugal’s level, China’s economy would be
double America’s size. (Economic power underpins military power). Nor
is there any reason for supposing that China’s growth will soon falter
due to social and regional inequality, environmental degradation, bad
loans, population aging, or social unrest (though it may well
experience a Malthusian collapse along with the rest of the world by
2050). For a refutation of the major concerns, see my old post A Long
Wait at the Gate of Delusions, or in summary:

1.Regional disparities. The sharp divide between the affluent coastal
and poorer internal regions is not new in Chinese history. In the
absence of firm central control, this has in the past led to
fragmentation – coastal administrations orientating themselves to
foreign commercial interests, the interior sinking beneath a morass of
poverty and corruption. However, modern China is not the ailing China
of the 19th century in the throes of Malthusian stagnation. It is now
a proud and rising Great Power, its regional separatist movements are
quelled, and it is under the firm control of the CCP. As such, the
chances of a jaded Japan or declining USA successfully exploiting this
divide are very slim.

2.Income inequality. There is also a great deal of inequality between
China’s urban and rural, between its new oligarchs and itinerant
indigents, and between the privileged and non-privileged. However,
this is entirely typical of capitalist societies at the height of the
industrialization drive, and levels of inequality tend to fall once a
more affluent state decides on expanding social welfare schemes to
contain labor unrest. As will be covered in a later, related post on
China’s internal debates, the ideological underpinnings for such a
shift are already coming into place with the concept of the
“Harmonious Society“.

3.Environmental degradation. A major problem. An innovative attempt to
start measuring economic performance with “Green GDP” (accounting for
pollution costs) was quietly squashed when it indicated that China had
almost no real growth. That said, localized pollution per se, like
city smog or collapsed ecosystems, won’t bring about China’s fall just
as they haven’t led to the fall of any other post-agrarian society.
The same certainly cannot be said for anthropogenic climate change,
whose effects will become devastating to China by the 2030’s (floods,
droughts, desertification, dust storms, etc). The most ominous
prospect is the melting of the Himalayan glaciers, though some point
out that this may be a centuries-long process. Nonetheless, these
potential disasters won’t come in time to prevent China’s assumption
of its superpower mantle, which I predict for 2020.

4.Bad loans. A valid point, but they only tend to result in – or more
accurately, contribute to – long-term stagnation by the time high
growth rates falters, such as when a developing society nears
convergency with the rich world (e.g. Japan in the early 1990’s).
South Korea got a severe economic shock in 1997 stemming from its
structural weaknesses, but respectable rates of growth continued up
until the 2008 economic crisis. Speaking of which, Western critics
should be doubly cautious now when criticizing China for its bad
loans. As recent history might have proven, investing in industrial
overcapacity may be rather less useless than building suburbs with no
future, printing money under euphemisms like quantitative easing, or
whatever the latest bondoogles are.

5.Will China get old before it gets rich? The concerns over aging are
ridiculous because 1) China’s TFR is at a respectable 1.8 (OK, more
like 1.6-1.7 if one accounts for their skewed sex ratios, but still…),
2) its labor force will continue growing until 2030, and 3) it still
has massive labor armies locked up in the countryside which can be
drawn into higher-added value economic sectors. The real problem cases
in the aging department are Central Europe, the Mediterranean, and
Japan. See Will China Grow Old Before Getting Rich? (Goldman Sachs)
for a more comprehensive analysis which reaches the same basic
conclusion.

6.Excessive export dependency. Frankly, I’ve always thought the image
of the heroic American consumer saving the world by kindly consuming
much of what the the world produces to be somewhat ridiculous – and
this image is already being revealed for the hallucination it really
is, thanks largely to US fiscal profligacy, imperial overstretch and
peak oil. But I digress. First, China’s export dependency is nowhere
near as high as suggested by the official figures because much of its
exports are merely assembled in China from parts made in and imported
from Korea, Japan, etc. Whereas gross exports are near 40% of GDP, net
exports are at just 7% of GDP. In 2008, China clocked up a respectable
8% GDP growth rate (albeit, one only enabled by prodigious credit
infusions), even though its exports fell by 20%. Second, the main
reason for Chimerica – Chinese saving / production – American
dissaving / consumption – in the first place was it allowed China to
acquire the foreign currency to pay for resource imports, build up its
industrial base, and acquire advanced technologies, while the US got
back cheaper goods to cushion its rising inequality and industrial
stagnation. But China interest in this deal is flagging. It already
has by far the world’s largest industrial base by volume and it has
bought up, or stolen, most of the key technologies needed for advanced
industrialism. From now on, growth will be slower as it is curbed by
stagnant world demand, accumulating bad loans, diminishing returns,
etc, – it will likely be around 5-7% a year in the 2010’s, rather than
the 10% typical of the 1980’s to 2000’s. Nonetheless, growth should
continue at a fast enough rate to soak up the new landless labor, ease
social tensions and enable China to launch a geopolitical breakout.
The inevitable transition from a centrally-weak, disbalanced and
commercialized nation-state, to a more centralized, balanced,
hegemonic empire will not be smooth, but China’s forward momentum is
simply too large to derail its rise to superpower status.

7.Social unrest. Unlikely to happen in a big way as long as fast
economic growth continues, which it likely will for the next decade.
China still has plenty of room for economic convergence, and its
investments in human capital are going to be paying off handsomely in
this period – “during the past decade, China has produced college and
university graduates at a significantly faster pace than Korea and
Japan did during their fastest-growing periods” (Goldman Sachs). Nor
are resource or ecological limits to growth likely to intrude in the
next ten years. Of course, this situation won’t last forever and by
2030 at the latest, China will be forced to radically reform its model
to hold together, e.g. to nationalist expansionism or ecotechnic
dictatorship.

8.China’s monolithic and non-democratic nature. Though the CCP
projects an image of internal unity on the world, under its placid
exterior there is a flux of dynamic debates about how China should
reconcile growth with environmentalism, capitalism with socialism,
democracy with stability, and cultural influence with military
strength. The necessity of liberal democracy for success is a figment
of the Western end-of-history mentality, and will be recognized as
such by the time the West realizes history doesn’t end.
In conclusion, China has the tools at its disposal to become the
world’s last industrial superpower (the US and Japan are in relative
decline, Russia has too few people, India is coming to the party too
late). The creeping dissipation of the global financial system will
remove the US from its position as the system’s intermediator, and
with it will go a key pillar of neoliberal internationalism. This will
clear the foundations for the emergence of a new symbiosis between the
oil-exporting nations of the Middle East and a China which can provide
them with cheap consumer goods and security guarantees in place of a
deindustrialized, unpopular, and increasingly insular America. These
trends will become the conventional wisdom by 2020.

China and the World: Coal, CO2, and Geopolitics

By that date, the age of scarcity industrialism will be in full bloom.
Three issues will come to the forefront of all discussions about
China’s global significance.

First, the impact of 1.3bn people enjoying rising levels of personal
affluence on the global environment. Its electricity generation fueled
almost entirely by coal, China has recently overtaken the US to become
the world’s biggest CO2 emitter. Today, given the absence of any
egalitarian, spiritual, or ultra-nationalist ideology keeping the
country together, China requires rapid growth to prevent spiraling
unemployment and social unrest. The CCP wants to remain in power, and
for that it needs stability, and that needs growth, and that needs
more and more coal plants every year. Hence the reason for China’s
unwillingness to agree to any but the weakest CO2 emissions targets –
i.e., a non-binding resolution to a 45% reduction in Co2 intensity per
unit of GDP by 2020 from the levels of 2005. However, since China’s
GDP is expected to treble or even quadruple from 2005 to 2020, its
emissions will grow by 50-100% even if it achieves this non-binding
target. Needless to say, this will be catastrophic for our efforts to
contain climate change to a global temperature rise of below 2C, at
which point runaway dynamics are expected to become predominant. As
the last superpower, I expect China to take the lead in any global or
national “final gambit” at geoengineering our way out of runaway
climate change.

Second, China’s ability to generate industrial growth from its own
resources is shrinking. It is already a major oil importer and its
grain production is on a slowly dipping plateau, thanks to increasing
urbanization and environmental damage (desertification, salination,
depletion of fossil aquifers, etc). It is already restricting exports
of the strategic Rare Earth Metals that constitute key components of
hi-tech devices such as hard drives, wind turbines, and electric cars.
This is a major problem for the world outside China, since China
accounts for a stunning 95% of global REM production. It will take a
decade to reopen the old mines, and in the interval the West could
experience a severe “tech crunch”.

Since the bulk of Chinese electricity consumption comes from coal and
its geo-economy is not structurally dependent on cheap oil on the same
massive scale as the US, China will not be as hard hit by peak oil as
the Anglo-Saxon world; besides, its manufacturing prowess and foreign
currency reserves will allow it to outbid most competitors for the
black gold. However, the downside to using coal is that it too will
peak – in China’s case, perhaps within 10 to 15 years, after which it
will go into a rapid decline. As such, China can be expected to “lock
in” foreign energy supplies with long-term contracts, increase
exploitation of unconventional fossil fuel sources such as coal seam
gas, and accelerate its current attempts to force through a renewable
transition. In 2009, China became the world’s largest producer of both
wind turbines and PV panels; however, they have made nary a dent in
its CO2 emissions, and are unlikely to do so any time soon. Coal is
much cheaper and more importantly, provides the vital base load power
that intermittent wind and solar flows cannot.

Third, China’s military power and neo-colonial influence is set to
increase in the coming decades. After suppressing military spending
from the late 1970’s to the early 2000’s in order to free up its
energies for rapid economic growth, the People’s Liberation Army is
now being paid back handsomely for its patience. A prescient quotation
from the Economist in 1986, from the days when the magazine was still
worth reading:

For China’s military men with the patience to see the economic reforms
through, there is a payoff. If Mr. Deng’s plans for the economy as a
whole are allowed to run their course, and the value of China’s output
quadruples, as planned, between 1980 and 2000 (admittedly big ifs),
then 10 to 15 years down the line the civilian economy should have
picked up enough steam to haul the military sector along more rapidly.
That is when China’s army, its neighbors and the big powers will
really have something to think about.

That time is now. Defense spending is now rising faster than GDP, as
China intensifies military modernization and acquires new capabilities
in electronic, information, and anti-satellite warfare. The overall
strategic balance has also changed. The dissolution of the Soviet
Union meant that the old Chinese fear of a tank invasion from the
north has dissipated; coupled with the growing importance of maritime
trade and foreign energy supplies, this has produced a reorientation
to coastal defense and broader power projection to the south and east.
China’s most ambitious military project is its decision to embark on
the construction of a real blue-water navy, a vital tool in the
renewed “gunboat diplomacy” we are likely to see in the years ahead.

In the short term, this has extended to China acquiring Russian
weapons such as four Sovremenny-class guided missile destroyers,
twelve Kilo-class diesel-electric submarines, and advanced anti-ship
missiles and supercavitating torpedoes such as the Sunburn, Sizzler,
and Shkval. Domestic production of naval vessels is expanding rapidly:
whereas US shipbuilding is withering away, China now accounts for a
third of global shipbuilding and “is in the midst of a shipbuilding
and acquisition craze that will result in the People’s Liberation Army
Navy having more ships than the U.S. Navy sometime in the next
decade”, including four aircraft carriers by 2020. China’s military
modernization has already tipped the regional balance of power. A
recent RAND study indicates that China is already be able to establish
air superiority over Taiwan in the event of a hot war over the
straits, and on current trends it will probably be able to conquer it
outright within the decade.

In tandem with its military modernization, which is mostly geared to
fighting and winning possible local wars in south-east Asia (Taiwan,
Spratly Islands, Vietnam), China is pursuing a far-sighted “string of
pearls” strategy of naval base construction on its outlying coastal
islands and friendly nations such as Myanmar, Sri Lanka, Bangladesh,
and Pakistan. They will host radar stations and anti-ship batteries,
and will form logistics hubs for naval operations. The underlying
strategy is to reinforce China’s coast against foreign encroachment
and to protect its sea lines of communication (SLOC) – especially the
vital energy routes supplying it with Middle East oil.

Finally, the broadest form of China’s projection of influence is its
rush to buy out mines, arable land, oil field concessions, and foreign
national elites, from Australia to Brazil to Ukraine to Angola;
indeed, Africa is a focal point of interest, with up to half a million
Chinese already working on building up the continent’s industrial
infrastructure and tapping its energy and mineral wealth. Closer to
home in South-East Asia, most nations are both appreciative and
fearful of China’s rise, bandwagoning with the US on security while
engaging with China economically. The fact of America’s accelerating
decline means that this state of affairs is not permanent. Any future
“downsized” US empire will have minimal interests in East Asia, and
will concentrate its energies on the Americas, Africa, and perhaps the
Middle East (though it will be largely displaced by Turkey and China
there).

The second greatest East Asian Power, Japan, will have neither the
will to mount a serious challenge to China’s emerging hegemony, nor
the strategic foundations. Japan is almost entirely reliant on foreign
supplies of energy, and as soon as the PLA Navy surpasses the Imperial
Japanese Navy, it will be utterly eclipsed by China. Why struggle,
when Japan can instead exist as in a comfortable symbiosis with a
China whose post-1978 growth it actively nourished – spats over their
wartime history to the contrary? Japan is capital-rich, China is labor-
rich; both share Asian values based on paternalism, state capitalism,
and national sovereignty… Japan has two choices. It can try to
construct an encircling alliance encompassing Russia, Korea, India,
and the US to contain China, but this is a truly ambitious undertaking
because 1) Russia has – and by that point the US will have – no
overriding reason to confront China, 2) the “pan-Asian” appeal of
China, 3) Japan has territorial disputes with Russia, whereas Russia
in turn has close if suspicious relations with China through the SCO,
and 4) as argued by the late Samuel Huntington, Asian societies have a
tendency to bandwagon with the leading regional power – now it’s the
US, in the future it will be China. The other alternative, and I would
argue the likelier and more natural one, is for Japan to acknowledge
Chinese regional hegemony. Once Japan takes this plunge, every other
nation in in the region will follow.

Conclusion

It is no exaggeration to say that whither goes China goes the world.
It is already the world’s greatest industrial power, at least as
measured by physical throughput, energy consumption, and pollution
emissions. Though still technologically backward, it is much less so
than 10 years ago. China’s purchases of foreign technology, copying,
and industrial espionage are rapidly closing the gap, and China’s
rapidly expanding R&D workforce will be able to successfully hit the
ground running once there arises the need for indigenous innovation.

The extent to which China will be able to solve its energy, minerals,
food, and water problems will have major impacts domestic and
international, and its success or lack of at reducing – or mitigating
– its greenhouse gas emissions, is probably going to determine whether
the world as a whole will be able to wriggle out of its Limits to
Growth predicament. Finally, China’s cultural, economic, and neo-
colonial influence is going to metastasize – in the process
transforming it into an East Asian regional hegemon and primary pole
in world geopolitics.

China’s greatest challenges lie in geopolitics (how to manage its own
rise?), coal (how to power growth?), and CO2 (how to grow, or just
stay still, sustainably?). The answers to these questions will
determine its future political, social, and economic trajectory. It is
therefore vital to to find out how its elites are planning to stand up
to this panoply of perils and opportunities, which will be the subject
of my next post on China.

Sean
February 7, 2010 at 8:02 pm
Social unrest. Unlikely to happen in a big way as long as fast
economic growth continues, which it likely will for the next decade.
China still has plenty of room for economic convergence, and its
investments in human capital are going to be paying off handsomely in
this period – “during the past decade, China has produced college and
university graduates at a significantly faster pace than Korea and
Japan did during their fastest-growing periods” (Goldman Sachs).

This is quite optimistic since it is China’s urban centered rapid
economic growth that has caused much of its rural social unrest. (Oh,
the dialectic!) I also seriously doubt that China is going to create
enough college graduates to augment social unrest, especially
considering most of the unrest is coming from the “college graduate”
class, but from the mostly peasant-migrant worker countryside.

On another note, you might be interested in this:

Sinomania: http://www.lrb.co.uk/v32/n02/perry-anderson/sinomania

Have you checked out Giovanni Arrighi’s Adam Smith in Beijing? You
also might want to look at the New Left Review, which has been doing a
lot of stuff on China. Like, for example, Ho-fung Hung, “America’s
Head Servant?” (http://www.newleftreview.org/A2809), which does some
comparison with South Korea and Japan. If you can’t access this
article, and want it, email me and I’ll send it.

AK
February 7, 2010 at 8:51 pm
Sorry, I didn’t express myself clearly enough. My comment about
China’s rapid progress in education was meant as support for the
notion that its rapid growth will continue for another decade or so,
because high levels of human capital allow much easier assimilation of
industrial-technological “best practice” (Education as the Elixir of
Growth), and hence convergence to the “leader” nations can proceed
rapidly. That rapid growth in turn will prevent social unrest from
spiraling out of hand.

I agree with you that China’s problem is basically the “sans-culottes
problem” – the 100mn migrant-workers with next-to-no labor rights.
This is certainly an inherent structural weakness of China’s model,
but it only becomes a real problem (i.e. a political one) when growth
dips below the c.6-8% needed to maintain the Chinese industrial labor
force at decent levels of employment. If growth falls below that
figure, unemployment rises and the sans-culottes are the first to take
the hit, fomenting instability and bringing a host of other grievances
to the table. This ties in with one of my basic points, which is that
China is essentially a speeding airplane: it is unlikely to stall
barring some freak sequence of events, but likewise if it does stall,
it will start plummeting out of the sky. China’s social welfare and
safety net are the landing gear, but they’ve been neglected since the
1970’s; reconstructing them anew is an urgent priority, and the CCP
seems to have realized this.

———-

Thanks for the articles. I really like the first – elegantly written,
lots of insights. “Ornamentally Confucian and functionally Legalist” –
beautiful. In particular:

Yet we also need to be aware that ‘the Chinese regard themselves as
superior to the rest of the human race,’ inheriting a Middle Kingdom
mentality that has always been more or less racist, and traditions of
tributary statecraft that may have been conducive to stability, but
were always based on hierarchy and inequality… The book, in other
words, disowns its own title, confected purely to increase sales.

Totally agreed. China pays lip-service to “multilateralism”, “soft
power”, etc, as long as it perceives itself to be a nation-state
suborned to Pax Americana. As it dissolves and China becomes
ascendant, I think it will not feel any urge urge to believe in
something it never really did. Then, it will revert to being a nation-
civilization, something along the lines of what it could have become
if Cheng Ho’s expeditions hadn’t been stopped and Ming China had
constructed a global empire.

Liked the reviews of the second and third books too. “Dereliction in
the rustbelt, super-exploitation in the sunbelt: the treatment of
labour is pitiless in either zone.”… but not totally so, in order to
forestall unrest. Good point.

I’m not convinced by the second article, which granted I’ve only
skimmed through. It buys too much into the myth of China’s export
dependency (the likes of Japan, Taiwan, and Korea are actually worse
off in this regard), I think the urban-rural divide has accelerated
China’s industrialization even at the cost of social tensions (by
squeezing surplus from the peasantry to make more resources available
for industrialization), and I certainly don’t subscribe to their take
that elements of the Chinese state have been subverted by narrow
coastal interests beholden to the US which is their explanation for
said urban-rural skew (the more rapid development enabled by such a
skew is a more plausible explanation).

AK
February 7, 2010 at 9:46 pm
PS. One more interesting tidbit: China’s hawks demand cold war on the
US. A cold war with China is certainly not something ailing Pax
Americana needs at this late juncture. Also, in particular:

“… And a PLA strategist, Colonel Meng Xianging, said China would
“qualitatively upgrade” its military over the next 10 years to force a
showdown “when we’re strong enough for a hand-to-hand fight with the
US”.

The 10-year figure is interesting since it tallies with my own
estimates for when China will attain regional superiority over the US
military (probably by then the PLAN will be bigger than the USN, China
will have 5th-gen fighters coming online, and will be much more
advanced than in 2010 overall).

Scowspi
February 8, 2010 at 12:11 am
If the positions expressed by AK, Anderson, and Martin Jacques are
well-founded, then I am interested in how this “Chinese future” will
play out in practical terms. From Anderson’s article:

“The soft power of its sporting prowess, its martial arts, its costly
painters, its multitudinous language, its ancient medicine, and not
least the delights of its cuisine, will spread China’s radiance far
and wide”

My direct knowledge of Chinese culture is pretty much limited to food,
Hong Kong gangster flicks, and a dubious translation of the “Tao Te
Ching,” so nothing I say should be taken seriously; however, I think
some questions are worth asking. To what extent is Chinese culture
exportable beyond a superficial level? Do they even consider it
something that should be shared with foreigners, or are they
possessive of it a la the Japanese? Do Karlin, Anderson, and Jacques
really think that we Westerners will all be reading Chinese books and
implementing Chinese ideas in our daily lives?

Let’s bear in mind that even when China was a dirt poor isolated
Maoist state, the food and the martial arts were just as popular as
they are now.

On another note, Martin Jacques has been peddling “Sinomania” for
years in the Guardian and other venues. As Anderson notes, he is a
onetime Communist and tends to get seduced by concepts of historical
inevitability. For this reason alone I am tempted to be skeptical of
his claims.

(sorry if this post is kind of rambling; I’m just thinking out loud)

AK
February 8, 2010 at 12:28 am
Perry Andersen is, IMO, pretty much spot-on in his important point
that civilizational values are… civilization-specific, and hence much
less exportable than ideologies.

Alas, there is a logical difficulty in this wistful hope, which is
insuperable. Alternative modernities, so conceived, are cultural, not
structural: they differentiate not social systems, but sets of values
– typically, a distinctive combination of morality and sensibility,
making up a certain national ‘style’ of life. But just because this is
what is most specific to any given culture, it is typically what is
least transferable to any other – that is, impossible to universalise…
Moreover, projections of a Chinese modernity that will eventually
become hegemonic not only forget the inherently self-limiting
character of any strongly defined national culture, they further
ignore the especially intense Chinese insistence, familiar to anyone
who has been in the country, on the uniqueness of China.

I don’t see Chinese culture becoming anywhere near as “universalized”
as Western, except to the extent that foreigners will find it prudent
to learn more about its language and culture to function better in a
world where it is fast becoming the predominant Power. (Like myself,
in fact – I hope to take a intensified Chinese language summer session
next year).

Re-the critique from Sinomania… well, even a broken clock is right
twice a day. I believe we’re in such a time now.

Scowspi
February 8, 2010 at 1:06 am
Just a thought: it would be interesting to do a comparative study of
China’s relations with its extensive diaspora and Russia’s relations
with its own extensive diaspora. Which country gets more value from
its diaspora? Gotta be China, right?

AK
February 8, 2010 at 1:08 am
You’re correct, certainly China.
I am not sure that the Russian diaspora even has a positive net worth
to Russia.

T. Greer
February 8, 2010 at 2:06 am

A few thoughts-

*I suggest you read Matshiro Matsuma’s Brookings Institute report,
“The Japanese State Identity as a Grand Strategic Imperative.” It
contains some useful insights as to how the Japanese strategic
machinery works, particularly when it comes to balancing.

*Huntington’s argument concerning Asian bandwagoning is bogus, IMHO.
There is no reason to use cultural arguments when standard IR ones
work just as well — when is the last time Asia actually had two great
powers at one time? The region bandwagons because the history of East
Asia is a history of a giant walking midst several dozen midgets.

*But lets say Japan plays this game and jumps into China’s lap, and
all of East Asia follows the Japs in. End of story? I doubt so. You
forget of the Elephant in the room – India. I seriously doubt India
takes Chinese appeals of Pan-Asian unity very seriously. India’s
absence from you strategic equation is thus disconcerting. Do you
think they will play no role in the region when year 2010 rolls
around?

*Another suggested reading is a piece from another well written blog,
China Financial Markets. Money quote:

China’s foreign reserves are certainly huge. They add up to an amount
equal to about 5-6 % of global gross domestic product.

But they are not unprecedented. Twice before in history a country has,
under similar circumstances, run up foreign reserves of the same
magnitude.

The first time occurred in the late 1920s when, after a decade of
record-beating trade and capital account surpluses, the United States
had accumulated what John Maynard Keynes worriedly described as “all
the bullion in the world”. At the time, total reserves accumulated by
the US were more than 5-6% of global GDP. My back-of-the-envelope
calculations suggest that this was probably the greatest hoard of
central bank reserves ever accumulated as a share of global GDP, but
please check before you accept this claim.

The second time occurred in the late 1980s, when it was Japan’s turn
to combine huge trade surpluses, along with more moderate surpluses on
the capital account, to accumulate a stockpile of foreign reserves
only a little less than the equivalent of 5-6% of global GDP. By the
late 1980s, Japan’s accumulation of reserves drew the sort of same
breathless description – much of it incorrect, of course – that
China’s does today.

Needless to say, and in sharp rebuttal to Friedman, both previous
cases turned out badly for long investors and brilliantly for anyone
dumb enough to have gone short.

*I would not get too cocky talking ’bout Chinese military superiority.
I suspect that they will rapidly construct a military force able to
rival anything produced in the 20th century. Problem is, the 20th
century is over. Aircraft carriers are the Bismark of the 21rst
Century — there is little evidence that a modern war would not blow
them out of the water. (See here for my reasoning) In fact, since you
concern yourself with futuristics, put that blog on your reading
list.) So what happens if China commits itself to a naval regime that
works in the now but doesn’t do **** in 2020?

*Another aspect left relatively untouched – you talk of China’s
efforts to secure supplies for its growing energy needs — how about
its food needs? Most Chinese, the ones below the Romanian level, eat 3
meals of rice a day. What happens when they reach the Portugal level,
and start eating beef? Combine this sharp increase in demand for food
with the predicted collapse of the neoliberal order and the existing
crisis in land use, and the CCP is left with a horrendous crisis on
its hands.

*Final note- The internal dynamics of the CCP deserve a shout out. If
China is going to have instability, it will be on this front. The
Chinese don’t like to show it, but their upper ranks are divided. Some
want, as you mentioned in an earlier comment, a new cold war. Others
see that as paramount to disaster. What happens when these folk clash?

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chhotemianinshallah

unread,
Feb 8, 2010, 9:09:48 AM2/8/10
to
America decline?

I was reading "Theodore Rex" - the autobiography of Theodore
Roosevelt, and came across this passage in the book

"For several years, both he (Roosevelt) and the world had been aware
that the United States was the most energetic of nations. She had long
ben the most richly endowed. The first year of the new century found
her worth twenty five billion more than her greatest rival, Great
Britain, with a GNP twice that or Germany or Russia. The United States
was so enriched with goods that she as the most self sustaining nation
in history."

then it continues

"Wall Street was awash with with foreign capital. It was estimated
that America could buy the entire United Kingdom, and settle their
national debt. New York City seemed destined to replace London as the
world's financial center"

The interesting note is that it was us, the United States, who
surpassed and replaced the previous world Superpower, England. One
hundred years later and some of the same elements can be slowly seen
emerging from the United States-China relations as we go further and
further into debt, while they (To be fair, Japan lends us a
significant amount of money too) become our personal bank. Within 50
years, the takeover was complete and we we clearly overtook England.

Are we witnessing the beginnings of the same thing, this time our own
replacement? This is a common question and discussion to be sure, but
I found the quotes interesting and the timing eerily familiar. Events
like the decision to discontinue the space race, watching our national
debt grow and grow, and falling behind for renewable energy are
worrisome.

Now, England obviously allowed themselves to fall from the top
gracefully and did not go to war with us over the issue. Do you
believe we would, in the event it did happen, be as willing to simply
"step aside" per se? What steps must we take first and foremost in
order to stall this slight faltering we are going through? What areas
must we resolve or strengthen first in order to preserve democracy
throughout the world and remain the world Superpower? I realize China
has a lot of obstacles to work through themselves, but we did too in
1900's (Civil Rights movement, poverty to name a few) and that didn't
stop us on the world stage.

Where would you start if you could choose?

Freeloader

Yesterday, 22:08 PM #2
JAD_333
Defense Professional
Global Moderator

Join Date: 04-15-07
Location: Virginia
Posts: 4,547
Country: Quote:
Originally Posted by Freeloader
Are we witnessing the beginnings of the same thing, this time our own
replacement?

Not necessarily. If history is our guide, a new superpower will
replace the US someday. But not for some time. If statistics are a
guide, economically the US is already #2, behind the EU, but we know
very well that this is aggregation of 28 otherwise sovereign states
using a common currency.

GDP in trillions $$
— European Union 18,387,785[4]
1 United States 14,441,425
2 Japan 4,910,692
3 China 4,327,448h
4 Germany 3,673,105

China is still a distant 3rd to the US. Japan which grew by leaps and
bounds throughout the 1960-70s slowed percentage wise, but still
exceeds China. Both were/are heavily dependent on US markets.

Percentage growth is always high for a country emerging from
undeveloped status because it is starting from a low point. That is
China is today.

Thus, it would take 8% per percent in dollar growth in China's economy
to equal 2-3 percent for the US (2008 figures).

Even if China grew at the rate of 25% of its 2008 GDP every year it
would take 10 years for it to catch up with the US. That is, if the US
stood still.

China is not the US's banker it would seem to be. It holds around $800
billion in US debt. Japan is close behind. Total US debt stands at
around $10
trillion, or 10 times what China holds.

US debt is estimated to grow to 101% of GDP by 2011 or $14 trillion
before decreasing. Our economic woes are to blame, not China. When our
financial institutions are stabilized, stimulus spending is no longer
needed, and industry regains it previous pace, then we'll see better
how China stacks up to the US.

Quote:
Now, England obviously allowed themselves to fall from the top
gracefully and did not go to war with us over the issue. Do you
believe we would, in the event it did happen, be as willing to simply
"step aside" per se?

Americans are proud of being number 1 in the world economy. Were they
to lose their position, I suspect they would accept it, albeit
grudgingly. But "step aside" is not how I would characterize it. We're
not going to bow out of the game, if that is what you mean. On the
other hand, being number 1 always is not a goal I would consider
worthy of pursing for its own sake. War simply to remain on top is out
of the question.

Quote:
What steps must we take first and foremost in order to stall this
slight faltering we are going through?

Strengthen our capital markets; create effective financial controls;
keep business taxes low as possible; negotiate effective international
copyright and patent protections for intellectual property; innovate,
innovate...

Quote:
What areas must we resolve or strengthen first in order to preserve
democracy throughout the world and remain the world Superpower?

Democracy is not worldwide. I believe we should do what we've always
done, with occasional lapses, and that is to encourage democracy where
it does not exist without imposing it and to serve as an example of it
in action. Democracy helped makes the US a superpower; it ought to
serve the US well in remaining so, whether we are the strongest or
among the strongest superpowers.

To be Truly ignorant, Man requires an Education - Plato

JAD_333

Today, 01:47 AM #3

Bigfella
Senior Contributor

Join Date: 01-12-07
Location: Melbourne
Posts: 2,995
Country: Quote:
Originally Posted by Freeloader
Now, England obviously allowed themselves to fall from the top
gracefully and did not go to war with us over the issue.

Just a point on this, don't assume that because Britain didn't go to
war with the US that its slide from no.1 was 'graceful'. Both world
wars, and especially the first, were tied up with heading off
potential threats to British power. The tremendous financial & human
cost of these wars dramatically accellerated the fall of the UK for
near top to distinctly second rank. If you look at Britain from the
40s to the mid-60s there are a string of less than graceful attempts
to maintain 'great power' status. Take such lessons as you will from
this.

Win nervously lose tragically - Reds C C

Bigfella

Today, 08:10 AM #4 (permalink)
Stan187
WAB BOUNCER
Senior Contributor

Join Date: 11-24-06
Posts: 2,534
Country: Well, from what I've read in power transitions literature,
it is said that the United States surpassed Britain in the 1890s.
However, the surpassing challenger in this case is not a state
dissatisfied with the world order. Instead it takes over and enforces
many of the same Anglo-established norms.

The US not dissatisfied with British system in 1890 when they surpass
them in industrial productions capacity. In fact, the US was satisfied
with the British even in 1918 in running things in terms of
enforcement, only with a new challengers to the world order (Soviets)
did the Americans have to take the mantle from the British to keep the
neo-liberal shape and institutions of the international system.

In Iran people belive pepsi stands for pay each penny save israel. -
urmomma158
The Russian Navy is still a threat, but only to those unlucky enough
to be Russian sailors.-highsea

http://www.worldaffairsboard.com/american-politics/54613-america-decline.html

bademiyansubhanallah

unread,
Feb 8, 2010, 6:45:22 PM2/8/10
to
COVER STORY

Thirst for profit

P. SAINATH

The corporate hijack of water is on and if the current trend
continues, India's water sources will be in private hands before
long.

AKHILESH KUMAR

The Sheonath river, a stretch of which has been leased to Radius Water
Limited, in Durg district of Chhattisgarh.

2001: THE old man shuffled his feet, acutely embarrassed. No matter
which part of India you're in, the first thing you do is offer your
guests a glass of water. And this was one part of Nallamada in Andhra
Pradesh blessed with that element. Things had changed, though. "Please
don't drink it," he said, finally. "See how it is?" he asked, showing
us a tumbler. Tiny blobs of thingummy floated atop a liquid more brown
than transparent. But then he brightened up. "Will you have Coca-Cola
instead? That, this village has." And so it did. As in the Aamir Khan
ad. The smaller bottle for Rs. 5.

It's also there in countless other villages where a glass of clean
water is now hard to find. And Coca Cola's impact on both drinking and
irrigation water sparks revolts across the country. From Plachimada in
Kerala to Kaladera in Rajasthan. From Gangaikondan in Tamil Nadu to
Mehdiganj in Uttar Pradesh. From Thane in Maharashtra to Khammam in
Andhra Pradesh.

2002: M.P. Veerendrakumar, chairman of the Mathrubhumi group of
publications, is startled to discover that the Malapuzha river and dam
in his native Kerala are "for lease or sale to private parties. "I did
not know you could sell and buy dams and rivers." He learns this from
a tender he sees in an American daily while on a trip overseas. "This
had not appeared in any of our local newspapers."

It had already begun in Andhra Pradesh There, two years earlier,
farmers chased away the World Bank's James Wolfensohn. He had come to
unveil the confederation of "Water Users Associations" in the state.
"Water Users." Oh, what a lovely word! It denotes that special group
of folks who use water. The rest of us are non-users, a type of
dryland bacteria.

Public handpumps such as this one could be a thing of the past if
States go ahead with privatisation of water supply.

But non-users, being a touchy, irritable lot, showed up in large
numbers at the Koelsagar dam in Mahbubnagar. Pitched battles were
fought and hundreds arrested. The government shifted the plaque of the
dam to a safe haven miles away so the Bank Boss could cut his ribbon
in peace.

2003: Private theme and water parks in and around Mumbai are found to
be using 50 billion litres of water daily. This, while countless women
in the slums and chawls of the city wait hours in queues for 20
litres. Meanwhile, anti-Coke battles are hotting up again. Kerala's
pollution control board confirms the toxic nature of the sludge spewed
out by Coke's plant in Plachimada. The panchayat revokes the plant's
licence.

2004: The polls to parliament -- and in some states -- see the rout of
the biggest 'water reformers.' Of course, there are many reasons for
their defeat. But water is on that list. Sadly for the World Bank, its
puff job is already done. So its report "India's Water Economy:
Bracing for a Turbulent Future" appears as it is -- a year later. It
sings the praises of Digvijay Singh in Madhya Pradesh and N.
Chandrababu Naidu in Andhra. And it claims they gained politically
from the reforms. It says the water users associations were
particularly good for Naidu. Because "farmers perceived this to be a
reform which moved in the right direction." That is in 2005, a year
after farmers in both states hand out some of the worst electoral
defeats ever seen to the Bank's heroes.

2005: Bazargaon is a scarcity-hit Vidharbha village that has one
sarkari well and gets tanker water once in ten days. It is also host
to the giant 'Fun & Food Village.' An elite park which offers 18 kinds
of water slides and uses millions of litres as a matter of course. All
Bazargaon's water flows towards this 'village.' It's a story repeated
in different ways in many places, across many states. Water as a
commodity, flows from poor to rich areas.

In Yavatmal, a Maharashtra minister asks farmers at a meeting to
"diversify into dairying." The crowd jeers. (Vidharbha has seen over
425 farm suicides in ten months.) The problems of water and irrigation
loom large here. "You want us to take up milk production?" scoffs a
farmer, rising to his feet. 'When you pay us a price of Rs. 6 for a
litre of milk, but pay Rs. 12 for a litre of your bottled water?" The
meeting ends early.

People pay more for water than corporates do. The bottled water
brigade got treated and cleaned water in Hyderabad for 25 paise a
litre for years. This goes into that bottle costing Rs. 12. In many
parts of the country soft-drink giants get it almost free. Whole
communities lose out as heavyweights like Coke step in. That company
used 283 billion litres of water worldwide in 2004. Enough, points out
the India Resource Centre, to "meet the drinking needs of the entire
world's population for ten days." And the billions of litres it
guzzles in India could meet the needs of whole districts. in Orissa or
Rajasthan for a year.

Yet Coca Cola was the leading sponsor of the "World Water Forum" in
Mexico this year. But Coke is not alone in the devastation it inflicts
in India. Meet the Real Thing. Central and state governments in this
country are privatising water. Coke is just one of the beneficiaries.
Oddly, those selling out India's water almost never use the word
'privatisation.' They know how discredited that is. So the buzzword is
'efficiency.' Or 'public-private partnerships.' The real questions are
never raised. Should anyone own water? How must it be shared? Who gets
to decide? Is water a commodity to profiteer in or is it a human
right? Is it more than a 'human' right? Countless other species also
need it to survive.

The corporate hijack

M. BALAJI

A PROTEST AGAINST the irregular supply and poor quality of water in
Veerapandi village near Tirupur, Tamil Nadu.

The bazaar is large. And top water corporations figure in the Fortune
500 Global list. As Maude Barlow, one of the world's leading water
activists, points out, the business "is already considered to be worth
U.S. $400 billion annually". And there is lots more to be made. In her
stunning book, Blue Gold, Barlow cites the Bank's own estimate of the
market size. "In 1998, the World Bank predicted that the global trade
in water would soon be a U.S. $800 billion industry, and by 2001, this
projection had been jacked up to one trillion dollars." And these
revenues are "based on the fact that only five per cent of the world's
population are now receiving their water supply from corporations". So
as the corporate grip on water tightens, "water could become a multi-
trillion-dollar industry in the future. What if city after city
privatises its water services?"

Now you know why our planners, Ministers and bureaucrats are eager to
privatise. There is big bucks in it. Major `studies' and contracts are
being awarded to private groups. As this deepens, people and
governments will suffer huge losses. But government officials and
private corporations will make giant gains.

The corporate hijack of water is on worldwide and one of the most
important processes of our time. The World Bank and the IMF help ram
it through. Water privatisation has often been shoved into their loan
conditionalities in the past decade.

In few nations will the damage be as terrible and complex as in India.
Here water use is already very unequal. Most irrigation and drinking
water in India, for instance, has a clear caste geography. Even the
layout of our villages reflects that. The dalit basti is always on the
outskirts, where there is least access to water. Barring dalits from
the main water sources of the village are not just about the 'social'
horror of untouchability. It is also about curbing their access to
this vital resource.

It is also closely tied to the framework of class. About 118 million
households -- 62 per cent of the total -- do not have drinking water
at home. As census household survey data analysed by Dr. S. L. Rao
show, 300 million Indians draw water from community taps or handpumps.
(Many World Bank and Asian Development Bank projects, by the way, will
end up doing away with those community taps.)

About five million Indian families (roughly the population of Canada)
still draw water from ponds, tanks, rivers and springs. This is a
stratified society. The big dams that have displaced millions of
Indians in the past decades have also narrowed control and access to
water. Atop this structured inequity, we now install hyper-
inequality.

A huge share of India's public health problems are linked to water-
borne or water-related diseases. Diarrhoea alone claims lakhs of lives
each year. Further reducing the access of poor people to clean water
will sharply worsen matters. In State after State, the laws are being
rewritten. A prelude to handing over control of both drinking and
irrigation water to corporations. The Maharashtra Water Resources
Regulatory Authority Act simply prices farmers out of agriculture. If
the rates implied in the act are actually imposed, irrigation costs
could be in thousands of rupees per acre. It would in fact be more
than what most farmers earn per acre.

At the same time as more and more fields run dry, golf courses
dripping pesticides and guzzling over a million litres of water a day
come up in regions of high stress. Even in Rajasthan. (In the
Philippines, there have been shootouts between farmers affected by
golf courses and the hired goons of the course owners.)

India is a nation of subsistence farmers. When you privatise the
rivers and the streams, the canals and the dams, you privatise
rainfall. And you ask for a social tsunami. This is also the swiftest
route to corporatisation of agriculture. In that sector, we are
already forcing out millions of small private owners called farmers.
The task is to hand it all over to large corporations. This policy-
engineered agrarian crisis wracking rural India is also about the
greatest planned displacement ever in our history Water will be a
major weapon used against farmers in this process.

Noble terms serve to whitewash the theft of water from the poor. In
Angul in Orissa, the World Bank sought to hand over water to the rich.
And called the process 'pani panchayats.' There, the 'rotation' of
canal water use saw to it that poor farmers could have a rabi crop
only once in two years. With people rebelling, this 'model' collapsed.
But not before causing much misery. In Andhra Pradesh, too, the Water
Users Associations were mostly headed by the biggest landlords and
contractors of the region.

Just think of the trouble we're begging for. Almost every giant
political headache in this country is linked to water. The single most
explosive issue in South India is the Cauvery waters dispute between
Tamil Nadu and Karnataka. Then there is the Almatti problem vexing
Andhra Pradesh-Karnataka relations. There is the fight over the Kabini
waters between Karnataka and Kerala. Even the 'Khalistan problem' had
a distinct link to the struggle over the Ravi-Beas waters. Water
conflicts in India also affect regions of the same state. The Krishna-
Godavari water disputes drive conflict within Andhra Pradesh. The list
is endless. Further, across the country, water conflicts of many kinds
seep right down to intra-village battles and bloodshed .

Some of our worst troubles with neighbours have also been about water.
The Kosi barrage with Nepal. The Farakka Barrage with Bangladesh.
Indus waters with Pakistan. Over decades, we've made things a lot
worse. The unregulated spread of borewells was an early form of
privatisation. The richer you are, the more wells you can sink, the
deeper you can go. It has proved quite disastrous. Many poorer farmers
have seen their dug wells sucked dry as neighbours collar all the
groundwater. In the end, it can destroy the entire village.
Mushampally village in Nalgonda in AP has more borewells than human
beings. The damage done to the aquifer has been terrible. Even the
richest farmers also went bankrupt as water stress peaked.

In his bid to privatise water when chief minister, Chandrababu. Naidu
wound up the irrigation development corporation of Andhra Pradesh.
Which meant it was now each farm for itself. That led to lakhs of new
borewells being sunk across the state. With disastrous results. Water
shortages in many states have also led to the emergence of 'water
lords' who make a fortune by selling the liquid. In Anantapur, some of
these are former farmers who find this more lucrative than agriculture
ever was.

In the cities, millions dwell in slums where they might pay the same
rates others do for water. But they get far less and spend far more
time in getting it. Against this deadly backdrop comes water
privatisation. If even the upper middle classes of Delhi loathe it,
imagine the plight of poor people in Chandrapur.

And get this. India could be the first nation in the world to
nationalise its rivers and privatise their waters. That is if we go
ahead with the great river interlining project. Nationalise? And
privatise? The linking scheme would demand the former. The latter we
are already deep into. Of course you can, like in Chhattisgarh, sell
or lease the river itself.

Those bringing it to you include some of the top corporations in the
world. Some of the companies now making a beeline for India have been
turfed out of Latin America. Suez, one of the Big Three of water, told
the Guardian that "it was almost impossible for it to work in Latin
America or Africa. And so, instead, it would "be concentrating on
China, India and Eastern Europe." The company did not mention that it
had been tossed out of Grenoble in its native France as well. As Maude
Barlow points out, that city also jailed its own mayor and a senior
Suez executive for bribery.

As she also shows, it's not just any racket. It's scale is stunning.
"Bottled water costs up to 10,000 times more than tap water in local
communities. For the same price as one bottle, 1,000 gallons of water
could be delivered to a person's home."

In Bolivia, when the MNC Bechtel took control of the water supply in
the city of Cochabamba, it raised prices by 200 per cent. In cities in
Peru, Chile and other nations too, water was priced out of the reach
of the poor. All of them saw widespread unrest and political turmoil.
Tiny Uruguay has set an example for the rest of the world. It amended
its constitution in 2004 to bar private control of water and to
declare water "a fundamental human right." This followed a referendum
where close to two-thirds of the voters rejected privatisation.

The U.S. Ambassador calls for 'Public-private partnerships' (read
privatisation) in India. Yet, as a report cited by Public Citizen
points out: "About 85 per cent of all the water that comes out of a
tap in the U.S. is delivered by a publicly owned and publicly operated
system." That was and is the norm. Though the drive for profit will
change things there, too.

Meanwhile, in India, the battles have begun. Protests across the
country show that people will not take it lying down. Still, with so
much money to be made, the privatisers will not just go away. The
waters have just begun to get choppy. And we're in at the deep end.

Volume 23 - Issue 07 :: Apr. 08 - 21, 2006


INDIA'S NATIONAL MAGAZINE
from the publishers of THE HINDU

http://www.flonnet.com/fl2307/stories/20060421005000400.htm

COVER STORY

Private water, public misery

Privatisation of water is taking root in India, often aided by
political and bureaucratic corruption. Alongside, resistance to this
is also building up.

AKHILESH KUMAR

THE BARRAGE ON the Sheonath river, built by Radius Water Limited, has
left the stretch after it with little water.

Sheonath's sorrow

By Aman Sethi in Durg, Chhattisgarh

THE Sheonath River Project is turning out to be Chhattisgarh's worst
inheritance from undivided Madhya Pradesh. The project, India's first
river privatisation experiment, was handed over to Radius Water
Limited (RWL) by the Madhya Pradesh government, pleading a lack of
sufficient funds.

The Rs.9-crore project was formalised on October 5, 1998, between
Madhya Pradesh Audyogik Kendra Vikas Nigam (MPAKVN) and RWL on a
build, own, operate and transfer (BOOT) basis for the construction of
a barrage on the Sheonath to supply up to 30 million litres of water
per day (MLD) to the Borai Industrial Growth Centre in Durg district.
The barrage construction was completed in two years and operations
began in January 2001.

"We got to know about the privatisation of the river only when RWL
began harassing villagers near the river and held self-laudatory press
conferences in Delhi," says Lalit Surjan, Editor of Deshbandhu, a
local newspaper. "We then began an investigation and were shocked by
the findings."

The agreement, which was inherited by the Chhattisgarh State
Industrial Corporation (CSIDC) when the State was carved out of Madhya
Pradesh in 2000, categorically gave RWL exclusive access to a 23.6-
kilometre stretch of the river for a period of 22 years (including two
years for project construction). RWL secured monopoly rights over the
supply of water to all sectors and phases of the Borai Industrial
Centre, and the CSIDC was obliged to provide all land for the project
free of cost. The CSIDC was expected to purchase water from RWL and
sell it to the industrial units in Borai.

The contract states: "It is clearly understood by both parties that
the Project Company has nothing to do with the actual users of the
water, i.e. various Industries/Units/Companies ... ." The contract
further required a "minimum guaranteed purchase of 4 MLD water
quantity by the Corporation... in case the demand reduces below 4 MLD,
the payable bill shall be for 4 MLD from the applicable first tier of
tariff." Early termination of the agreement was possible only by
"reimbursing all outstanding loans and credits of the Project
[estimated at a minimum of Rs.6.5 crores] ... [and] by compensating
the likely profit that the project company is expected to earn in the
balance concession period." The exit penalty could be as high as Rs.
400 crores.

Thus, for the last five years, the corporation has been trying to
ensure the profitability of RWL irrespective of its own losses.

"It is true that the Sheonath River Project is a loss-making
enterprise for the Chhattisgarh government," admits CSIDC Chairman
Rajinderpal Singh Bhatia.

A major problem is the lack of sufficient demand. Borai has only two
large and medium-scale industries, and their combined water
requirements is between 1 and 1.5 MLD - while the CSIDC pays for 4 MLD
as per the contract.

The government claims to be pushing hard to attract more industry, but
that, paradoxically, might force the CSIDC deeper into debt. "We
purchase the water at Rs.15.02 a kilolitre (1,000 litres). However, we
sell it to industry at only Rs.12 a kilolitre," explains a senior
official in the Accounts Department of the CSIDC. Thus, the CSIDC
makes a loss of 20 per cent on every unit of water sold, and an
increase in demand will simply mean increased losses. To make matters
worse, Hindustan Electro Graphite (HEG), which buys 90 per cent of the
CSIDC's total water sales, has refused to pay its dues.

"HEG is a special case," remarks the official. HEG was required to buy
a minimum of 3.6 MLD and pay for 90 per cent of the agreed amount in
case it did not require the entire amount. But HEG reneged on its
contract; moreover, it filed a case against the government in the
Chhattisgarh High Court. The court, which has issued a stay order,
directed HEG to pay at half the agreed amount - that is, at Rs.6 a
kilolitre!

In March alone, the Chhattisgarh government suffered a loss of Rs.12
lakhs. "You could say we have lost Rs.6 crores in the last five
years," concludes the official.

The Sheonath River Project illustrates the tremendous risks involved
in the privatisation of common property resources, especially water.
Apart from the ethical issues involved, the high installation cost of
water infrastructure and the relatively low price of water per unit
make it unviable for private capital. Companies like RWL can only
succeed in markets heavily distorted in their favour, where a
compliant state offers them the luxuries of perfect monopoly, minimum
purchase guarantees, tax holidays, generous exit clauses and complete
protection from people's protests.

Unfortunately, the Sheonath project is not the only such project in
Chhattisgarh. In a working paper on Chhattisgarh's water sector,
environmental activist Gautam Bandhopadhyay lists four other projects
- on the Kelo and Khurkutt rivers in Raigarh, on the Mand in Jagjir,
on the Kharoon in Raipur, and the Savri in Dantewada - where water
rights to rivers have been handed over to private consortia on the
pretext of attracting industry to the State. As with the Sheonath, the
terms of the agreement are being jealously guarded.

While the people of Durg fight to regain their rights to a river that
has sustained them for generations, the Government of Chhattisgarh
finds itself financing a private water supplier and subsidising a
private water consumer on the basis of an agreement that it never
signed.

Flawed policy

By Prafulla Das in Bhubaneswar

ASHOKE CHAKRABARTY

A dried-up canal of the Panasjhar minor irrigation project in Khurda
district in Orissa.

ORISSA has 4 per cent of India's population, but possesses 11 per cent
of the country's water resources. Yet, water is scarce in the State
and the situation does not seem set to improve, with a growing
population, rising demands in agriculture and industry and the absence
of a comprehensive water policy.

Chief Minister Naveen Patnaik recently made an ambitious announcement
that irrigation facilities would be provided for at least 35 per cent
of the cultivable land in all blocks of the State in the next five
years. An official report reveals that irrigation coverage extends to
less than 35 per cent of the cultivable land in about 200 blocks.
Patnaik's promise to reverse this in five years has few takers.

It is the absence of a comprehensive water policy that seems to be in
the way of any improvement in the situation. The State formulated a
water policy in 1994, based on the national water policy of 1987. When
a revised national water policy was adopted in 2002, Orissa decided to
review and update its own policy. The process of working it out is
still on. "The revised draft policy was submitted to the State
government a few months ago by the Water Resource Department. A few
changes have been suggested. We are working on the new policy again
and it will be submitted soon," U.P. Singh, Secretary of the Water
Resource Department, told Frontline.

Some voluntary organisations have alleged that the State government is
planning to treat water as a tradable commodity and that the new
policy would allow private participation in water management. U.P.
Singh said the allegations were "baseless". "Water will continue to be
treated as a valuable natural resource and there is nothing in it to
conclude that water is being privatised," he said.

However, the final draft of the State Water Plan, drawn up by the
Orissa Water Planning Organisation in September 2004, advocates
privatisation of water. "The Government of Orissa, in particular, has
very limited budgetary resources and cannot find money for new
development. There are not even any funds for maintenance of already
existing works. Thus, the water service sector is in an unsatisfactory
state," the draft says.

The latest report of the Comptroller and Auditor-General also points
to the losses suffered by the major and medium irrigation projects of
Orissa. In 2003-04, the 52 major and medium irrigation projects
incurred a loss of Rs.193.66 crores. Six of 11 major irrigation
projects incurred losses of above Rs.10 crores each.

The State Water Plan says that the answer to the problem lies in
seeking private participation in the development and management of
water resources. However, it also sounds a word of caution, saying
that private participation in all spheres of water management would
not be wise. "Only surplus water should be allowed to be exploited
commercially and only for production of commercial goods," it
suggests.

The Plan also floats the idea of introducing volumetric pricing of
water. "A gradual changeover is recommended - the sooner, the better.
Immediately, the micro systems may be converted to the volumetric
system. Supply to pani panchayats [water users' associations] may be
made on volumetric basis," it says.

All this seems to indicate there is some truth in the allegation that
the government's much-hyped pani panchayat scheme is a veiled attempt
to privatise water in the name of farmers' participation in irrigation
management.

The government aims to hand over all irrigation projects to pani
panchayats in a phased manner, under the scheme started in 2002. So
far, 8.01 lakh hectares of land has been handed over to the 13,284
pani panchayats registered under the Registration of Societies Act,
1860.

The government claims that this participatory irrigation management
programme allows farmers to take decisions regarding the distribution
and management of water resources in irrigated farmlands. In reality,
the programme seems to have created a divide between big farmers on
the one hand and small farmers and landless peasants on the other.
With the virtual withdrawal of the state from the scene, big farmers
exercise more influence.

Landless peasants are not even able to become members of the pani
panchayats. "The rich families of our village, who own vast areas of
agricultural land, run the pani panchayat. We are just cultivating
their land and paying them 50 per cent of the paddy we produce during
the kharif season and 25 per cent of the produce during the rabi
season," said Musa Badhai, a tribal farmer of Nuapada village of
Khurda district who has no land of his own. The Panasjhar minor
irrigation project in his village is now being managed by a pani
panchayat.

The Orissa government plans to develop 11 river basins, with help from
international banks. But the State is not prepared to meet the serious
deficit that is bound to arise with growth. A government survey shows
that the demand for water will rise from 54,895 million cubic metres
(mcum) in 2001 to 83,538 mcum in 2050, a rise of 52 per cent against
the total water availability of 91,000 mcum, which will remain
unchanged. The study was made in 2004, and the actual demand in 2050
could be far higher because there are many industrial projects that
were not taken into account in 2004.

Experts say that the 50-odd steel and aluminium units planned so far
are expected to consume a huge volume of water. But the authorities
insist that this increased demand will not affect the supply of water
for drinking and domestic use.

Public money worth crores has been pumped into irrigation projects,
but the State has not been able to manage its water resources
efficiently. International aid agencies and foreign banks are now keen
to give loans for the management of water. But with water management
slowly falling into private hands, it remains to be seen how much the
people benefit.

Fiasco in Delhi

By Aman Sethi

In New Delhi, families queue up for water, which has become scarce
owing to the non-commissioning of the Sonia Vihar water treatment
plant. A file picture.

"PRIVATISATION makes a team. The people are on the team, working in
new jobs and buying shares in their own future. Investors are on
theteam, risking everything they own and betting that we can
succeed.Government is on the team, the referee who keeps everything
fair, the old man we can trust."

While the lyrics from Ubinafsishaj (privatisation) - a Tanzanian pop
song produced by ,the Adam Smith International, (an international
development consultancy group), spear-headed a World Bank funded
privatisation agenda in Tanzania, theirthe citizens of Delhi were left
to find their own tunes. No agency - neither government nor private,
thought it necessary to inform them of a proposal to privatize the
city's water distribution. The truth behind the "Delhi Water Supply
and Sewage Project", better known as the 24X7 Project, only emerged as
a corollary to intense public scrutiny of the Sonia Vihar Water
Treatment Plant.

The summer of 2005 was a watershed period for privatization
experiments in the national capital. The intense heat and the failure
of the Delhi Government to supply both - electricity and water, in
sufficient amounts, made for a rather agitated citizenry. The
privatisation of power distribution had failed to live up to
expectations and a shortage of raw water had meant that, in spite of
its early completion, the Sonia Vihar Water Treatment Plant was
dysfunctional. The period saw members of residential colonies stop
traffic, stage dharnas and call for the dismissal of the Government on
basis of its failure to provide basic infrastructural services.

Victims of repeated hikes in electricity tariffs, post-privatisation,
without an accompanying increase in quality, Delhi's citizens had
finally woken up to the fact that monopolistic private operators were
as inefficient as public operators - at twice the price. Thus, the
public was understandably wary of any further "sectoral reforms".

Built at an inflated cost of Rs 880 crore - a figure that invited a-
investigation - the Sonia Vihar WTP was designed to process
approximately 140 million gallons per day (MGD); a lion's share of
which was allocated to zones to S-II and S-III in South Delhi, where a
pilot privatisation project had been initiated. While the plant itself
did not lie in the ambit of the privatisation project, it's role in
supplying the water made it crucial to the success of the project.
Eventually, news of the privatization only emerged when Parivartan, an
NGO working on transparency and infrastructure, filed under the Right
to Information Act on the basis of a report in a national daily.

The privatisation of Delhi's water supply was scheduled to follow the
well-trodden path of "unbundling", where the first step would have
involved the disaggregation of the Delhi Jal Board into a number of
smaller entities individually charged with tasks like water treatment,
supply and distribution. Once unbundled, the tasks of water treatment
and supply to localized operating zones was to be held by publicly-
owned companies, while the distribution of water within these
operating zones was to be handed over to "experienced private
operators." Each private operator was to be held responsible for
supplying water to an assigned zone 24 hours a day, seven days a
week.

While the contract incorporated significant escape clauses for the
private operators, it held the Jal Board responsible for a continuous
supply of water to the mouth of each localized operating zones. While
World Bank literature suggests that pressure-controlled water supply
within a localized operating zone is a complex and technical process -
essential for proper metering and leak detection, DJB officials
privately admitted that local distribution was the easiest of
processes and that most leakages in the system occurred outside
localized operating zones. The contract further called for a
"rationalization of prices" and a gradual move towards "full cost
recovery"- euphemisms for steep increases in user tariffs.

Parivartan also alleged that the World Bank had micro-managed the
consultancy tendering process to the point of outright favouring of
Price Waterhouse Coopers - an accusation that the World Bank denied.

Parivartan's findings were soon made public, and sustained media
coverage and citizen pressure resulted in furious back-peddling on the
part of the state government, the Delhi Jal Board, and the World Bank.
In a public statement, Michael Carter, India Country Director, World
Bank, stated, "Neither under the proposed project nor in any advisory
work is the Bank proposing privatisation of any part of DJB nor is
there is a timetable for any privatisation. As a matter of fact, at
this time, the World Bank would definitely not recommend
privatisation." However, water activists feel that handing over
control of distribution networks from a public entity to private
operators is, in fact, privatisation.

"At present the project has been put on hold," says Sudip Mozumder, a
media information official at the World Bank. However, neither
Mozumder, nor any DJB officials commented on why it was so.

With the summer coming around once more, Delhites have braced
themselves for another dry season. In a desperate attempt to improve
Delhi's water security, Chief Minister, Sheila Dixit has threatened to
sue the Uttar Pradesh if it refuses to release 300 cusecs of water as
per an agreement signed at the time of the construction of Tehri dam
and the Sonia Vihar Plant. But for now, with municipal elections
around the corner, no-one in the government dares mention
"privatisation

Not for the poor

By Dionne Bunsha in Chandrapur

RANJIT DESHMUKH

IN CHANDRAPUR TOWN of Maharashtra, both young and old take turns at
the Community pipes to collect water in view of the erratic supply.

"WHOM should I ask today?" This thought plays on Swarta Shende's mind
soon after she wakes up. It is a bright morning and her main concern
is about finding the 20 pots of water that her family needs for the
day. She does it every day. So do many other women in Chandrapur, the
first town in Maharashtra to privatise its water supply.

"The public tap has water for only two hours a day. And, with so many
women scrambling for their share, I get only three pots from here,"
says Swarta. "Then I go to other people's homes - those who have their
own taps or wells, asking if they will let me fill a few pots." Swarta
tries not to go too often to the same place, for they may get
irritated. "Two hours of my day is spent just collecting water," she
says.

It was not always this bad. "Earlier, we got water from 1 p.m. to 6
p.m. That was enough for everyone. But a year back, they cut it down
to two hours, so now we have to borrow from others," says Swarta. Why
the cut in water supply? She has no idea, but others point to the
privatisation of the town's water distribution in March 2004. Of
course, Swarta does not know that the Chandrapur Municipal Council
(CMC) handed over the task of water supply to a contractor. She is
only struggling to cope with its after-effects.

The privatisation of water supply in Chandrapur was an attempt to
`improve efficiency and investment'. The CMC wanted to cut the
`losses' it was incurring on the water supply scheme. Sheikh Maqsood,
city engineer of the CMC, who was one of the officials involved in the
tendering process, told Frontline: "We aimed to recover at least Rs.
1.46 crores as water tax, but we were able to recover only half that
amount. Our expenses were Rs.3 crores every year and we were making
huge losses. So we decided that it was better to hand it over to a
private company, since the Maharashtra government has allowed
privatisation schemes."

RANJIT DESHMUKH

At the hand pumps to collect water.

The deal: the CMC gets Rs.1.59 crores (over a period of 10 years) and
a Rs.75-lakh bank guarantee for handing over water distribution to
Gurukripa Associates. The CMC retains ownership of the network but the
private company takes over the distribution, maintenance and water tax
collection for 10 years. The contractor has to build only 1 km of new
pipeline every year. Any improvement and investment in the network is
the CMC's responsibility.

The privatisation may cut the CMC's losses, but has efficiency of
water supply gone up? Has investment increased? As we travelled
through this grimy industrial town, people in different neighbourhoods
- from the `VIP areas' to the slums - said the water supply situation
had only worsened. There was no response to their complaints as well.

Ratnamala Nagarkar from Vadgaon, Sai Baba ward, said water supply had
reduced to a trickle. "We used to get water twice a day. Now we get it
only in the afternoon for three hours," she said. "The flow in our
public tap is very weak now and it takes longer to fill. Often,
there's no water for two or three days, so we have to be careful and
always keep aside some pots in case there is no water the next day."
Ratnamala and many like her do not know that they are guinea pigs in
Chandrapur's water privatisation experiment.

Public taps run dry

Supply to many public taps has been stopped and the government has
issued a notification that no new public standposts should be built.
It says that efforts should be made to have group connections so that
people share the water bill. The worst hit by these measures are the
poor, who are wholly dependent on public taps for their water needs.

"Four taps in our area are not functioning. They refuse to repair it.
We can't afford to have our own water taps. Only one in six houses has
its own connection," said Prahlad Kamte, a resident of Indira Nagar in
Mela ward.

Girish Chandak, director of Gurukripa Associates, told Frontline:
"Every few days, the public taps get stolen and water flows out of the
pipes and is wasted. So, instead, we are trying to get people to pay
for group connections. It's the government's policy. If you give water
free, people don't value it."

Many who have water supply at home have got fed up and let the company
disconnect their connection. "We haven't got tap water for almost two
years. So we let them stop our supply. It doesn't make any difference
to us," said D.S. Khanke, a retired Forest Department employee. "We
dug our own borewell so that we don't have to rely on them."

"This is a man-made shortage. There's enough drinking water for the
entire city from the Irai dam nearby, but there's no network to supply
it to residents," says Sanjay Vaidya, Municipal Councillor.
Chandrapur's water network has not been expanded since the mid-1960s.
As the town has grown, several new neighbourhoods that have come up
over the years do not have municipal water supply. The residents rely
on their own borewells.

While Sanjay Vaidya estimates that 60 per cent of Chandrapur's three-
lakh population is not covered by the water pipeline network, Sheikh
Maqsood puts the figure at 30 per cent. The water table is falling as
more borewells are dug, most of them without permission from the CMC.
The CMC has decided not to dig any more borewells, but it keeps no
check on the proliferation of private wells. Plans to enhance the
distribution network have been stalled because the CMC does not have
the funds to guarantee the loans granted for the project.

Said Girish Chandak of Gurukripa Associates: "We have tried to balance
out water supply so that places that didn't get water are now getting
it and those areas which had five hours of water, or even 24 hours,
now receive less. The people you met must have been getting water for
longer, that's why they were complaining."

Refuting complaints that services were worse because the company did
not spend on maintenance, he said: "We have put in Rs.3 crores to
streamline the whole system. There was no proper maintenance or
records earlier, and there was a lot of corruption and delay in repair
works. There are regular leakages because the pipelines near the coal
mines often burst owing to blasting. We repair them within six hours,
while the CMC would have taken six days."

Girish Chandak added that the municipality used to get 150 complaints
a day, while his company gets just five. He said that five years ago
the CMC had 24,000 connections, which dropped to 17,000 in 2004 when
the company took over the distribution. "Today it is 19,000. That is
enough proof. If there was no proper water supply, people would not
take a new connection," he said.

Questions have also been raised about Gurukripa's track record. It is
alleged that it was formed only to bid for the tender and that it had
no experience in water management. Its partners are powerful traders
in the city - oil merchants, builders, medicine distributors and even
liquor barons. The nexus perhaps became clear when Frontline met the
city engineer. He invited us to the house of the head of the planning
committee, a Councillor, for the interview. It was apparent that the
engineer knew which places Frontline had visited. While the interview
was going on, he sent word to Girish Chandak, who showed up
immediately though we were supposed to meet him at his office later.

The people of Chandrapur were not given a choice between public or
private irregularities. They can now only decide every day who they
will borrow water from.

Costly alliance

By V. Sridhar in Tirupur

M. BALAJI

COLLECTING water from a broken pipe in the heart of Tirupur. This is a
common site in the town.

HARD-SELLING the idea of water as a privately owned saleable commodity
was never going to be easy, particularly in water-starved Tirupur in
Tamil Nadu. A way had to be found to get around popular opposition to
the sale of an increasingly scarce natural resource.

The result was a public-private partnership for supplying water to
industries, villages and the Tirupur Municipality. Launched in
February 2006, the New Tirupur Area Development Corporation Limited
(NTADCL) project, costing about Rs.1,023 crores, was expected to
provide a "final solution" to the water problem. The project is meant
to supply water to the 700 dyeing and bleaching units in and around
Tirupur and to domestic consumers in the Tirupur Local Planning Area
(TLPA), comprising the Tirupur Municipality, 16 village panchayats and
two other municipalities.

Those supporting the project hailed it as a "model" worthy of
emulation in the rest of the country. But people in Tirupur are
already paying 50 per cent more for the water supplied by the
municipality. There is also apprehension that the private-public
partnership is dividing the town with a population of about six lakhs
into haves and have-nots in terms of water.

The unique structure of the project makes it possible for the state to
vacate the space it held hitherto as a provider of a basic public
utility. The Tamil Nadu Water Investment Company, promoted by the
Tamil Nadu government and the Infrastructure Leasing and Financial
Services, was among the main equity holders. Others included the
Tirupur Exporters' Association and Mahindra Water Utilities Ltd.,
which maintains and operates the service on behalf of the consortium.

The build-own-operate-and-transfer model of ownership enables the
company to draw 185 million litres of water a day (mld) from the
Bhavani river at a point about 60 km from Tirupur. Of this, up to 115
mld is for industries; the remaining quantity is meant for users in
Tirupur and its surrounding areas. The concession granted to the
company runs for a period of 30 years. The initial agreement between
the company and industrial users priced the water at Rs.45 a kilolitre
(1,000 litres). While the municipality was to pay Rs.5 a KL, wayside
village panchayats were to pay Rs.3.50 a KL. The pricing of water thus
had an inbuilt element of cross-subsidisation; industrial users would
pay more so that domestic users could pay a more "reasonable" price.
The scheme, backed by the United States Agency for International
Development (USAID) and the World Bank, provided for some kind of
indexation, which implied an annual price escalation reported to range
between 6.5 per cent and 8 per cent.

The cross-subsidisation scheme is in danger of unravelling. Industrial
units have already refused to pay the originally agreed rate of Rs.45
a KL for water supplied by NTADCL. N. Kandasamy, president of the
Dyers' Association of Tirupur, said that industries could get water
for about Rs.30 a KL in tankers from villages near Tirupur. He said:
"It is true that we had committed to pay Rs.45 a KL, but we now find
this rate too high." Apparently, NTADCL is considering a reduction in
the industrial water tariff from Rs.45 a KL to about Rs.37 a KL in
order to increase the offtake by industrial users.

The two existing schemes, implemented by the government prior to the
NTADCL project, supplied Tirupur about 26.5 mld. The NTADCL project is
now providing about 15 mld to the town, which can increase up to a
maximum of 50 mld over the lifetime of the project.

Even before the project commenced delivery of water, the Tirupur
Municipality decided to increase the rate at which it supplied water
to users in Tirupur. While rates for domestic users were increased
from Rs.4 to Rs.6 a KL, the rates for commercial establishments in the
town were hiked from Rs.6 to Rs.10 a KL. The Chairman of the Tirupur
Municipality, M.N. Palanisamy, justifies the increase in user charges.
He points out that while the municipality pays NTADCL Rs.5 a KL, it
actually incurs a cost of Rs.7 a KL in supplying water to residents.
The town of about six lakhs has a mere 44,000 water connections and
about 650 public taps. There have been 10,000 fresh applications for
water connections, about 6,000 of which are from applicants living in
"approved" residential areas of the town.

Palanisamy rules out any water connections for those living in the
"unapproved" parts of the town. It is estimated that between one-third
to one half of the population in this booming town lives in its
"unapproved" parts. Palanisamy said that the State government had
prohibited the installation of new street-end common water taps.
"These are a nuisance and cause wastage of water," he said. Most
people who depend on street-end water taps for collecting water would
lose access to water if Palanisamy has his way.

Palanisamy claims that Tirupur residents with water connections at
home get water once in three days for about two hours. However,
Bommidurai, a municipal councillor, points out that in his locality
even those with a water connection get water once in eight to 12 days.
He said that the quantity of water supplied has not increased since
the NTADCL water started flowing into Tirupur. Piped supply of water
caters to only a fraction of the town's population. In Thennampalayam
in Tirupur, Angathal, wife of a manual worker, said she paid Rs.0.50 a
kodam (pot) of water to her neighbour who had a water connection. She
collects water once in eight to 10 days. Most people complain about
the poor quality of the water. Palanisamy agrees, but says that people
will "soon get used to it".

Palanisamy says that the municipality has been incurring huge losses
by supplying water at below-cost rates. The municipality incurred a
loss of Rs.7.11 crores during 2004-05. This, he said, ruled out the
possibility of supplying subsidised water to people in the town. It is
obvious that the bustling town can do much better in mobilising
revenues, which would enable it to provide better public services. For
instance, the municipality collects about Rs.12 crores as property
tax, which is minuscule in comparison to the hosiery industry's
turnover of nearly Rs.9,000 crores. A contribution of 1 per cent of
the industry's turnover would enable the municipality to provide water
at reasonable rates to people in the town. But these choices are not
acceptable to the powerful.

C. Govindasamy, Coimbatore district (east) secretary of the Communist
Party of India (Marxist), who has opposed the project from its
inception, points out that while people in nearby Coimbatore are
getting water at Rs.3.50 a KL, people in Tirupur are being asked to
pay Rs.6 a KL. He asks: "How can that be fair?"

It appears that the State government is pursuing a strategy that
applies pressure on consumers to access water from NTADCL instead of
other sources. In other words, state policy is deliberately attempting
to steer the project towards viability by closing other options.
Industry sources told Frontline that the revenue authorities had
threatened action if they drew ground water. In Tirupur itself the
strategy of forced exclusion of large sections of the people appears
to be aimed at creating a viable market for high-cost water supplied
by NTADCL. NTADCL, which is now pumping about 75 mld a day, is
currently supplying a little more than half the contracted quantities
to the village panchayats in the TLPA. Since there are no other
projects being planned in the foreseeable future, the rural panchayats
may be forced to buy the high-cost water.

In an article written on the occasion of World Water Day in The Hindu
(March 22), U.S. Ambassador to India David C. Mulford cited the
Tirupur project "as a great example of how private sector involvement"
can "dramatically improve access to water and sanitation".

The evidence certainly does not back his assertion that the
involvement of the private sector actually results in lower costs and
better services. Water is not only substantially more expensive as a
result of the scheme, but large sections have been excluded from a
service that was once the duty of the government to provide.

In strategic terms the public-private partnership model has enabled
the government to lease an important water source to a private
company. In hindsight, there are many advantages to the private
owners, which would not have been possible if the project was a full-
blown private enterprise. First, state involvement has blunted the
edge of popular outrage that would have arisen from the handing over
of a common property resource to a private entity. Second, the
institutional backing of the state ensures that the private entity's
access to the common property resource is more secure. Third, there
are the hidden subsidies that are available to the private owners in
terms of subsidised land and other similar benefits. The sweetener in
the deal is the promise to supply water to the domestic users in
Tirupur and its surrounding areas. This assurance was critical because
it successfully blunted the opposition of rural people to the deal.

It is no wonder that Tirupur is being touted as a great example to be
emulated. Institutions which were traditionally geared to serve an
essential human necessity have been bent beyond shape. This will make
it difficult for the government to change course later. That is the
most significant consequence of the great Tirupur experiment.
Govindasamy, who is contesting the coming Assembly elections from
Tirupur, said that it might not be possible for the scheme to be
"dismantled" even if a Dravida Munnetra Kazhagam-led government comes
to power. He said that it would be difficult for any government to
abrogate the agreement with the private parties.

He said: "We can at best effect changes in the way water is delivered
to people. Maybe the government can compensate the private parties and
send them packing. I do not know whether a new government headed by
the DMK will have the will to do this. But we will put pressure."

Vigil continues

By R. Krishnakumar in Thiruvananthapuram

VIPIN CHANDRAN

A protest in Kochi against the Kerala High Court verdict allowing Coca-
Cola to draw groundwater from Plachimada. A file picture

The Periyar, the biggest river in Kerala, has long lost its pristine
glory. It flows through two central districts of the State, Idukki and
Ernakulam, and caters to the domestic, industrial and commercial needs
of nearly 50 local bodies. Six power plants and a large number of
industrial units depend on it. But by the time the Periyar flows into
the industrial belt in Ernakulam district, just before joining the
Arabian Sea, its nature is altered by indiscriminate sand mining and
its supply heavily utilised. Since its mouth is below sea level, salt
water intrudes far into the river during the summer months and at
other times when there is reduced flow in the river. Industries
depending on its water are shut down periodically and domestic water
supply downstream is affected by pollution and increased salinity.

Yet, a grand scheme proposed by the Congress-led United Democratic
Front government soon after it came to power in 2001 was to allow
private investors to draw 200 million litres a day (MLD) of water from
the Periyar and purify and distribute it exclusively to industries,
commercial establishments and other bulk consumers in the Greater
Cochin Area. The proposed beneficiaries included private and public
sector industries, super-speciality hospitals, universities and
industrial parks. The Rs.330-crore scheme would have given the
investor company exclusive rights, initially for 20 years, to draw its
share of water from a location upstream of the government water supply
plants and to build check dams as "long-term steps to improve the flow
rate in the river". Other details of the scheme were never disclosed.

The government also announced plans to let private investors, among
them foreign companies, run a similar scheme (estimated at Rs.1,351
crores) to supply water to the Kanjikode industrial belt and the
Pudusseri industrial area in drought-hit Palakkad district. The
investor company, it proposed, could draw an assured supply of water
from the Malampuzha irrigation system (the source of drinking water to
Palakkad town and six panchayats in the district) and groundwater
sources and even utilise rainwater harvesting to draw and sell water
to a number of industrial customers, among them Pepsi, several
breweries and bottling units.

At least three similar schemes, for the temple town of Guruvayoor and
the tourist resorts at Kumarakom and Kovalam, were offered to
investors, who could utilise water from major rivers, dams and
groundwater sources.

But an avalanche of questions about the implications of the schemes
for local communities, protests in the project areas and media
criticism saw the government, which had just then launched its
flagship event, the Global Investors Meet in Kochi, beat a hasty
retreat. For the first time, and nearly a year after Coca-Cola and
Pepsi quietly set up their bottling units, Kerala was jolted out of
its complacency by the government's brazen attempts to privatise
community water resources. The proposals were declared withdrawn,
albeit temporarily.

But if they were never revived, it was not because the administration
was convinced about the concerns raised (Ministers continued to
describe the schemes as a grand opportunity sabotaged by unrealistic
protesters), but because another battle took the centre-stage. At
Plachimada in Palakkad district, the small local community took on the
soft-drink giant Coca-Cola in what was to become a symbol of the
struggles worldwide for the people's right to public resources.

Aided by a combination of factors, including support from a variety of
sources, it has succeeded in being a nagging, tenacious presence
against the multinational giant that had been sucking their
neighbourhoods dry. The struggle crossed its fourth year in April. The
residents' staying power brought them support from the world over and
helped them connect with similar struggles against corporate theft of
the world's most valuable resource.

Coca-Cola (and the government) arrogantly ignored the demands of the
motley crowd of villagers and tribal people who gathered at the
factory gates in April 2002 - denying the accusations of acute water
shortage and pollution caused by the company, and influencing the
government and its agencies. But within a year, both the company and
the State administration, along with all the mainstream political
parties, were forced to acknowledge the struggle and address their
simple but serious questions.

Within a few months of launching their agitation, the protesters
forced the panchayat to act on their behalf. The panchayat, acting at
their behest, refused to renew the company's licence and when the
State government intervened for the multinational, went to court.
Eventually, when the issue reached the Supreme Court, the State
government and its agencies were compelled to argue the case against
the company and from the side of the protestors.

Coca-Cola was made to shut down its plant by March 2004, supply
drinking water in tanker lorries to the people of the affected
villages and take remedial measures to contain pollution. And despite
the supreme confidence of the company's officials about winning the
court battles very soon, Coca-Cola's efforts to reopen the unit has
been frustrated by the protesters, the panchayat and, albeit
reluctantly, the government machinery.

At certain stages, even when the panchayat was ordered by courts to
renew the company's licence, the local body imposed conditions that
Coca-Cola could not comply with. The latest one in a list of 12 simply
said: "The company shall not use groundwater from Perumatty panchayat
for industrial purposes, or for producing soft drinks, aerated
carbonate beverages or fruit juice." It was exercising the priority
rights of the local community and acting against the over-exploitation
of groundwater in a manner that could lead to scarcity of the
resource.

The court battle is, for the first time in India, laying bare for
debate the crucial issues involved when commercial interests are
entrusted with the exploitation of scarce public resources. Among the
issues are the complex nature of ownership of public assets, the
rights of local communities, the powers of governments to intervene,
and the real danger of loss of public control over such vital, fast-
depleting assets.

In November 2005, the company said in a letter to the government that,
as a last resort, it was willing to "relocate" its bottling plant to
the Kanjikode industrial estate if other "options" failed and if the
government could ensure that it had "water and electricity" and a
trouble-free environment. The industrial estate is about 50 km from
Plachimada, and a similar unit of Pepsi located there is facing less
trouble as its source of water is within the industrial area.

The new offer came even as Coca-Cola launched its battle to stay on at
Plachimada in the apex court and made the several special leave
petitions filed before the Supreme Court by the panchayat, the State
government and the State Pollution Control Board against the judgments
of the Kerala High Court favouring the company, critical to the cause
of the history-makers at Plachimada.

The protesters continue to sit at the gates of the factory - for more
than 1,500 days now - seeking justice, and in the process ensuring
that no government in Kerala would dare launch another mega project
that lets commercial interests make a roaring business out of
dwindling water resources. Those who derided it as a hopeless struggle
of a few villagers against a behemoth corporation or as a misguided
campaign against the State's economic development eventually had to
recognise its true worth.

The real strength of the people of Plachimada may, after all, be in
the David-Goliath symbolism of their historic struggle.

Volume 23 - Issue 07 :: Apr. 08 - 21, 2006


INDIA'S NATIONAL MAGAZINE
from the publishers of THE HINDU

http://www.flonnet.com/fl2307/stories/20060421007101000.htm

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COVER STORY

Manager's nightmare

EVERY morning is a nightmare for M. Mohan, president of Thottipalayam
panchayat, which includes about 30 villages on the outskirts of
Tirupur. He gets up every morning trying to figure out how to juggle
the limited quantity of water that he gets from New Tirupur Area
Development Corporation Limited (NTADCL) project among the various
localities in the panchayat. He knows that however hard he tries he is
at best going to supply water once in 15 days to each locality. There
are demands from everywhere. There are complaints of inadequate and
delayed supply. And when the water does reach users, there are
widespread complaints of poor quality.

In the "lines", where migrant workers seeking work in Tirupur live in
cramped rows of 100-square-foot quarters, the shortage of water is
palpable. Poonkodi, a migrant from Dindigul who works in a garment
factory, collects six kodams (about 20 litres each) of NTADCL water
once in 15 days from a pipe at the end of the street where she lives.
When even this does not suffice she buys water carried in tankers,
paying Rs.1.25 for a kodam. How does she manage the severe scarcity of
one of the most essential of human needs? "I cope, I really do not
how," she says.

A few minutes in the panchayat makes it obvious that water from NTADCL
meets only a fraction of the needs of the people. People like Poongodi
supplement their requirements from other sources. There is the
"borewell water", which Mohan explains is "polluted groundwater which
poses a grave risk to public health". The effluents discharged from
the dyeing units in the last two decades have contaminated the water.
Mohan says: "Only the desperate would drink this water. I have no
other option."

Only a few houses in Thottipalayam have water connections. But even
those who enjoy this "luxury" get water only once in 15 days. NTADCL
promised to supply 5.14 lakh litres a day to Thottipalayam, and the
panchayat gets about 4.9 lakh litres a day. Mohan, however, has a
problem on hand. The promised quantity was based on the population
figures according to the Census. Although the "official" population of
the panchayat was about 26,000 according to the 2001 Census, Mohan
says that the panchayat actually has close to 50,000 inhabitants.
Tirupur attracted jobseekers from near and far. The population of the
town itself has exploded in the last few years, and the pressure is
now increasingly being felt in its hinterland.

Before NTADCL commenced operations in February 2006, water was
supplied by the "second water scheme", which commenced in 1993.
Thottipalayam panchayat was supplied 0.29 million litres per day (mld)
under this scheme. NTADCL supplied an average of 0.49 mld to the
panchayat in the last week of March. The generally accepted norm for
the absolutely minimal level of consumption for human beings is 55
litres a day per person. Weighed against this norm and assuming a
conservative population estimate of 36,000 (which even NTADCL has
apparently accepted), the supply from both schemes would be enough to
meet the needs of only about 15,000 inhabitants. To put it more
provocatively, if the norm of 55 litres a person was somehow enforced
stringently, more than 21,000 people in the panchayat - roughly 60 per
cent of its people - would have no water at all. The story is much the
same in the other panchayats near Tirupur. There have been sporadic
protests by desperate rural folk.

Nothing in the horizon gives hope. There are no new schemes planned by
a State government, which had touted that deliverance from water
shortage lay in this unique partnership. Mohan says that an official
told him "not to expect anything from a scheme that is purely a
business proposition".

V. Sridhar

Volume 23 - Issue 07 :: Apr. 08 - 21, 2006
INDIA'S NATIONAL MAGAZINE
from the publishers of THE HINDU

http://www.flonnet.com/fl2307/stories/20060421004901800.htm

COVER STORY

Showing the way

RAFIQUR RAHMAN/REUTERS

A protest in Dhaka against the short supply of water by the Water
Supply Authority..

ARE we caught in a choice between public or private sector corruption
and mismanagement? Is there a third option? People's protest movements
against privatisation have evolved alternative ways to use and
distribute water more efficiently.

Cochabamba, Bolivia: After protests in Cochabamba got rid of Bechtel
in 2002, the city's water company is being restructured into a
transparent public utility with a high public participation. Three of
seven members of the Board of Directors are elected representatives.
The trade union has a permanent seat on the Board. Local water
committees organise supply in the poorest parts of the city.

Savelugu, Ghana: The national water utility supplies water in bulk to
communities, which are in turn responsible for pricing, distribution
and pipe maintenance. Between 1998 and 2002, the percentage of
households with access to safe water increased from 9 per cent to 74
per cent. Guinea worm disease has reduced by over 98 per cent.

Dhaka, Bangladesh: When the employees trade union opposed Dhaka's
water privatisation plans in 1997, the Dhaka Water Supply and Sewerage
Authority tried an experiment in which it gave one zone to the union
and one to a local private company for a one-year trial period. After
a year, the Employees' cooperative's results were much better. So, the
water authority gave the private company's contract to the union. Not
only water supply, but also revenue collection improved, and wastages
reduced.

Santa Cruz, Bolivia: The cooperative run by residents of Santa Cruz in
Bolivia, the Cooperativa de Servicios Publicos Santa Cruz Ltda, is
considered one of the best-managed water utilities in Latin America.
All customers are members of the cooperative and have a right to vote
in the general assembly. The cooperative is financially independent
and recovers all costs. It charges a lower price for the first 15
cubic metres of water consumed each month and customers who cannot pay
are not cut off.

Rajasthan, India: In the desert, people harvest rain in large kundis
meant for community use. They are large concrete saucers where water
is collected, and this sustains them through the dry season. Besides
this, there are several other water harvesting systems as well. Many
villages where people maintain their traditional water systems even
after the arrival of piped water supply, there was no drinking water
scarcity. But villages that did not retain old water systems have
acute shortages.

(Source: Reclaiming Public Water: Participatory Alternatives to
Privatisation published by The Transnational Institute. Authors: Brid
Brennan, Bernhard Hack, Olivier Hoedeman, Satoko Kishimoto, Philipp
Terhorst, October 2004. And Dying Wisdom: Rise, Fall and Potential of
India's Traditional Water Harvesting Systems edited by Anil Agarwal
and Sunita Narain, Centre for Science and Environment.)

Volume 23 - Issue 07 :: Apr. 08 - 21, 2006
INDIA'S NATIONAL MAGAZINE
from the publishers of THE HINDU

http://www.flonnet.com/fl2307/stories/20060421004902200.htm

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COVER STORY

Bottled loot

CHANDRA BHUSHAN

The structure and economics of the Indian bottled water industry.

AT the fourth World Water Forum held in Mexico City in March 2006, the
120-nation assembly could not reach a consensus on declaring the right
to safe and clean drinking water a human right. Millions of people the
world over do not have access to potable water supply. But it is good
times for the bottled-water industry, which is cashing in on the need
for clean drinking water and the ability of the urban elite to pay an
exorbitant price for this very basic human need.

The fortunes of this more-than-$100-billion global industry are
directly related to the human apathy towards the environment - the
more we pollute our waterbodies, the more the sales of bottled water.
It is estimated that the global consumption of bottled water is
nearing 200 billion litres - sufficient to satisfy the daily drinking
water need of one-fourth of the Indian population or about 4.5 per
cent of the global population.

In India, the per capita bottled water consumption is still quite low
- less than five litres a year as compared to the global average of 24
litres. However, the total annual bottled water consumption has risen
rapidly in recent times - it has tripled between 1999 and 2004 - from
about 1.5 billion litres to five billion litres. These are boom times
for the Indian bottled water industry - more so because the economics
are sound, the bottom line is fat and the Indian government hardly
cares for what happens to the nation's water resources.

India is the tenth largest bottled water consumer in the world. In
2002, the industry had an estimated turnover of Rs.10 billion (Rs.
1,000 crores). Today it is one of India's fastest growing industrial
sectors. Between 1999 and 2004, the Indian bottled water market grew
at a compound annual growth rate (CAGR) of 25 per cent - the highest
in the world.

With over a thousand bottled water producers, the Indian bottled water
industry is big by even international standards. There are more than
200 brands, nearly 80 per cent of which are local. Most of the small-
scale producers sell non-branded products and serve small markets. In
fact, making bottled water is today a cottage industry in the country.
Leave alone the metros, where a bottled-water manufacturer can be
found even in a one-room shop, in every medium and small city and even
some prosperous rural areas there are bottled water manufacturers.

Despite the large number of small producers, this industry is
dominated by the big players - Parle Bisleri, Coca-Cola, PepsiCo,
Parle Agro, Mohan Meakins, SKN Breweries and so on. Parle was the
first major Indian company to enter the bottled water market in the
country when it introduced Bisleri in India 25 years ago.

The rise of the Indian bottled water industry began with the economic
liberalisation process in 1991. The market was virtually stagnant
until 1991, when the demand for bottled water was less than two
million cases a year. However, since 1991-1992 it has not looked back,
and the demand in 2004-05 was a staggering 82 million cases.

INFOGRAPHICS: V.S. WASSON

Bottled water is sold in a variety of packages: pouches and glasses,
330 ml bottles, 500 ml bottles, one-litre bottles and even 20- to 50-
litre bulk water packs. The formal bottled water business in India can
be divided broadly into three segments in terms of cost: premium
natural mineral water, natural mineral water and packaged drinking
water.

Premium natural mineral water includes brands such as Evian, San
Pelligrino and Perrier, which are imported and priced between Rs.80
and Rs.110 a litre. Natural mineral water, with brands such as
Himalayan and Catch, is priced around Rs.20 a litre. Packaged drinking
water, which is nothing but treated water, is the biggest segment and
includes brands such as Parle Bisleri, Coca-Cola's Kinley and
PepsiCo's Aquafina. They are priced in the range of Rs.10-12 a litre.

Attracted by the huge potential that India's vast middle class offers,
multinational players such as Coca-Cola and PepsiCo have been trying
for the past decade to capture the Indian bottled water market.

Today they have captured a significant portion of it. However, Parle
Bisleri continues to hold 40 per cent of the market share. Kinley and
Aquafina are fast catching up, with Kinley holding 20-25 per cent of
the market and Aquafina approximately 10 per cent. The rest, including
the smaller players, have 20-25 per cent of the market share.

Consumption of bottled water in India is linked to the level of
prosperity in the different regions. The western region accounts for
40 per cent of the market and the eastern region just 10. However, the
bottling plants are concentrated in the southern region - of the
approximately 1,200 bottling water plants in India, 600 are in Tamil
Nadu. This is a major problem because southern India, especially Tamil
Nadu, is water starved.

INFOGRAPHICS: V.S. WASSON

Economics and the law

The majority of the bottling plants - whether they produce bottled
water or soft drinks - are dependent on groundwater. They create huge
water stress in the areas where they operate because groundwater is
also the main source - in most places the only source - of drinking
water in India. This has created huge conflict between the community
and the bottling plants.

Private companies in India can siphon out, exhaust and export
groundwater free because the groundwater law in the country is archaic
and not in tune with the realities of modern capitalist societies.

The existing law says that "the person who owns the land owns the
groundwater beneath". This means that, theoretically, a person can buy
one square metre of land and take all the groundwater of the
surrounding areas and the law of land cannot object to it. This law is
the core of the conflict between the community and the companies and
the major reason for making the business of bottled water in the
country highly lucrative.

Take for instance the case of Coca-Cola's bottling plant in drought-
prone Kala Dera near Jaipur. Coca-Cola gets its water free except for
a tiny cess (for discharging the wastewater) it pays to the State
Pollution Control Board - a little over Rs.5,000 a year during 2000-02
and Rs.24,246 in 2003. It extracts half a million litres of water
every day - at a cost of 14 paise per 1,000 litres. So, a Rs.10 per
litre Kinley water has a raw material cost of just 0.02-0.03 paise.
(It takes about two to three litres of groundwater to make one litre
of bottled water.)

However, water is not that cheap in the United States, home to Coca-
Cola and PepsiCo. The average cost of industrial water in the U.S. was
Rs.21 per 1,000 litres in the late 1990s. It was Rs.90/1,000 litres in
the United Kingdom and Rs.76/1,000 litres in Canada.

Treatment and purification accounts for the next major cost. Even with
the state-of-the-art treatment system with reverse osmosis and
membranes, the cost of treatment is a maximum of 25 paise a litre (Rs.
0.25/litre). Therefore, the cost of producing 1 litre of packaged
drinking water in India, without including the labour cost, is just Rs.
0.25. In a nutshell, in manufacturing bottled water, the major costs
are not in the production of treated and purified water but in the
packaging and marketing of it.

The cost of a bottle, along with the cap and the carton, is the single
biggest cost - between Rs.2.50 and Rs.3.75 for a one-litre bottle. For
water sold in big plastic jars (20-50 litres), which are also reused,
or in pouches, this cost is much lower. It is precisely owing to this
that companies sell water at even Re.1 a litre in a 20-50 litre jar
and still make profits. Labour and establishment and marketing costs
are highly variable and depend on the location and size of companies.
Informal discussions with industry members reveal that the gross
profit of this industry can be as much as between 25 and 50 per cent.

Huge real costs

The reason that companies do not have to bear the cost of the main raw
material - water - has made this industry highly profitable. But the
real cost of the industry is huge.

The cost of fast-depleting groundwater is incalculable and so is the
cost of disposal of plastic bottles and pouches. These are hidden
costs that society and the environment pay and will pay in the future.
The sale of bottled water is therefore not environmentally sound by
any stretch of the imagination.

There are much cleaner ways to access clean and healthy water and for
this we will have to rethink our water paradigm.

Groundwater is the cleanest and cheapest source for all, but we have
over-extracted and polluted it with natural contaminants, agro-
chemicals and industrial waste. We will have to recharge and revive
our groundwater bodies and for this the existing archaic law must
change.

Our surface water bodies are in a deplorable condition. We dump our
sewage and industrial waste in rivers and ponds, try to clean them in
massive centralised treatment plants and then supply the water to
urban households - to be discharged again as wastewater into the same
waterbody. This vicious cycle must be cut and stopped. The cost of
dirty water is just too great for society to bear. Bottled water and
domestic treatment systems are a cheap as well as fill-and-forget
solution for 30 per cent of the population, but in doing so we have
not left any solution for the 70 per cent of the poor and the
marginalised.

Chandra Bhushan is Associate Director, Centre for Science and
Environment, New Delhi.

Volume 23 - Issue 07 :: Apr. 08 - 21, 2006
INDIA'S NATIONAL MAGAZINE
from the publishers of THE HINDU

http://www.flonnet.com/fl2307/stories/20060421006702300.htm

COVER STORY

`Act before it is too late'

DIONNE BUNSHA

Interview with Anil Naidoo, Director of the Blue Planet Project, which
is fighting against the commercialisation of water.

Anil Naidoo, who runs the Council of Canadians' Blue Planet Project.

Anil Naidoo was a key organiser of the alternative forum as a counter
to the World Water Forum in Mexico City recently. He is Director of
the Blue Planet Project, an international coalition of organisations
that are fighting against the commercialisation of water and working
to protect the right to water. In this email interview he highlighted
the reasons why water should remain a common resource.

Recently, you were leading the protests outside the World Water Forum
in Mexico, of which Coca-Cola was a big sponsor. Can you tell us more
about the forces that control the Forum, what they aim to achieve and
why you are against it?

You only need to look at the make-up of the World Water Council, which
controls the World Water Forum, to know the agenda of the Forum. While
there are over 300 organisations in the Council, many are consulting
companies and small players internationally. The real force behind the
Council lies with the likes of Suez, Vivendi and RWE Thames, the
world's largest water transnationals. The Council's president, Loic
Fauchon, is also the head of a private water company in France.

Other powerful players include the World Bank and the regional
development banks. There are also many large construction companies
that make a lot of money from water projects. Overall, what has been
created has been termed a global `high command' for water. At best it
can be called a global think tank; at worst it sets an agenda in
favour of privatisation and in the interests of its most powerful
members. At the third World Water Forum, the Forum did not acknowledge
the right to water and ignored pressure from civil society groups. The
right to water was again absent from the final declaration except in
the complementary declaration submitted by Uruguay, Cuba, Venezuela
and Bolivia.

The reality is that the World Water Council and the World Water Forum
are both completely unaccountable and are private entities. There is
no mandate to report to, nor is it part of any multinational process.
This means that while the organisers pay for international Ministers
to join, this event has no legitimacy to hold a ministerial, nor is
the text struggled over and voted upon as it is done in the United
Nations. International civil-society groups have called upon the U.N.
to take on this very important issue and to dissolve the WWC. It
should not be left to private entities like the WWC to be leading
these very important discussions.

Why are the World Bank and the International Monetary Fund so keen to
push water privatisation?

With the recent rash of water privatisation failures, these
organisations may not currently admit to pushing water privatisation,
but the reality is that next to the private water companies that make
large profits from privatised water, the World Bank and the IMF have
vigorously pressed this failed model for years. They continue to push
countries to `liberalise' their economies as a condition for loans and
assistance.

For us it is quite obvious that the World Bank and the IMF are
ideological institutions, which work counter to the best interests of
many countries. With the vast majority of the World Bank's money
coming from Northern donors, it is no wonder that these institutions
are pushing programmes that benefit Northern companies. Our hope is
that the WB and the IMF finally see that this is a failed model and
use the billions of tax payer dollars to invest in improving public
water systems around the world. We will continue to press for this
goal.

Many believe that in the near future, water could be more precious
than oil, and countries like Canada that have large fresh water
sources could form a cartel similar to OPEC [Organisation of Petroleum
Exporting Countries]. How far away from that reality are we today? Is
there really such a grave scarcity of water? What is the reason for
this scarcity? How much of it is man-made and could be controlled?

There is clearly a water scarcity with billions facing water
deprivation already. As populations increase and we continue to divert
and pollute the world's water, we can expect this to increase
exponentially. The reason for the scarcity is that water is finite and
that only a fraction of a per cent of the world's water is available
to us to use. This small amount of freshwater is being diminished,
particularly by pollution and by water-mining of groundwater
resources. This myopic strategy of building cities in the desert or
using fossil-aquifer water to sustain unsustainable human habitation
is very dangerous and will lead to great strife in the near future.

There is no substitute for water, so we must learn to respect it and
use what we have in a sustainable manner. Already a few companies
control an increasing amount of the world's water and others are
buying up water-rich areas for their own personal use. Others, like
Coca-Cola, are mining water in areas they have identified as having
rich water resources and when the water is depleted, the local
residents are left with ongoing water problems. Plachimada in India is
a good example of how this is happening around the world.

Most of the water crisis is man-made, either because we have allowed
the water to be polluted or [because] we have not invested properly in
distribution systems or in strengthening and improving public water
systems around the world.

The forces pushing for the privatisation of drinking water supply and
irrigation argue that corrupt local governments do not deliver
services efficiently to the public and that private companies are more
efficient and would augment investment. The other argument is that
only when people are charged the true value of water will they learn
to conserve it. How far is this true?

We believe that anything that can be done in the private sector can
also be done in the public sector, so there is no inherent advantage
to private water management. What does happen in water privatisation
is that the democratic mechanisms that may have existed for management
and community participation are no longer relevant. This is very
dangerous because we believe that the goal must be enforcing the human
right to water and ensuring that water remains a public trust.

Of course, there are things that can be done and should be done to
improve public water management. This does include dealing with any
corruption, but it should be noted that the public sector does not
have a monopoly on corruption and private companies also have been
proven to be corrupt.

Charging for water, we believe, is also contentious and we do not
agree that the market should control water resources. The market would
control water through pricing and this means that those who cannot
afford to buy water would not have access to water. This is a
violation of the human right to water.

Of course, raising the price of water would result in some reduction
in consumption, but this would occur disproportionately in the poor.
Normal market systems reward increased consumption by charging large
users lower per unit costs. Applying the market to water could then
have the absurd result of charging the poorest, who need water to
survive, more than the richest, who are using the water for other,
more frivolous, purposes. This is the paradox of the market. Water is
a natural monopoly and must not be controlled by private
interestsbecause it belongs to people and nature and even future
generations.

What should be done to make water for all a human right? How should
this common resource be managed more sustainably and equitably?

We are advocating an international treaty with binding enforcement
mechanisms on the right to water. We believe that both states and non-
state actors such as corporations must be held accountable for
violations of the right to water.

We believe there needs to be added investment in public water systems
to improve efficiencies and we think that framing solutions within the
right to water will produce sustainable water management. We all have
a stake in protecting our water systems and we must do this now before
it is too late. Sustainability and equity must be the cornerstones of
our common water future. Democratic participation and social control
are other keys to a positive water future and we must develop these
mechanisms more fully in the future as essential parts of well-
functioning water systems.

Volume 23 - Issue 07 :: Apr. 08 - 21, 2006
INDIA'S NATIONAL MAGAZINE
from the publishers of THE HINDU

http://www.flonnet.com/fl2307/stories/20060421004502600.htm

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