Planned Development.pptx

Class-XII Political Science

1. GENERAL INSTRUCTIONS Keep a practice notebook and required stationeries with you. No disturbance should be done to the co-students. Unmute your microphone when required. Use chat box only for necessary writing. Use Golden Words during conversation. Join the session 5 minutes before.

2. CHAPTER 3 POLITICS OF P LANN ED D E VE L O PME NT

3. MIND MAP

4. INTRODUCTION: POSCO PLANT IN ORISSA Korean POSCO plant was to set up in Jagatsinghpur district, Orissa. People faced displacement, trees were cut down. POSCO made its office. People from Gram Panchayats of Dhinkia , Naugaon & Gadakujanga demonstrated, tried entering office. Police prevented the entry. People were supported by Rashtriya Yuva Sangathan & the Nabanirman Smiti . Plant moved out of the area after too much of distruction and displacement of people. Orissa govt. Demanded 82 crore dues before the move. MoU (Memorandum of Understanding) was cancelled.

5. POLITICAL CONTESTATION Lesson we learned from POSCO failure- major decisions should be taken in agreement with people in democracy. After independence we made series of major decisions like this. All these decisions were bound together by a shared vision or model of economic development. When majority of the people agree to the idea of development then it can lead to economic development and social development. There are disagreements seen, however, on the kind of role that the govt. must play in ensuring growth with justice. Businessmen, industrialists, farmers and everyone is going to be effected by the policies adopted by the govt. We will understand the process of development in this session.

6. ECONOMIC DEVELOPMENT IN INDEPENDENT INDIA AIMS – E C O N O M IC GROWTH SOCIAL AND ECONOMIC JUSTICE A KEY ROLE BY GOVERNMENT IN DEVELOPMENT 3. POLITICS OF PLANNED DEVELOPMENT

7. IDEAS OF DEVELOPMENT Development means different for different people. Different for the industrialist who is setting up a steel plant, different for urban consumers, different to village people and different to adivasi . Thus it can generate contradictions, conflicts and debates. The first decade after independence India experienced such situations. Development meant being modern or becoming more like ‘West’. Modernisation was also associated with the ideas of growth, material progress and scientific rationality. Countries were divided into developed, developing or underdeveloped. On the eve of independence we had 2 models of development- Liberal-Capitalist model such as much of in Europe and US & Socialist model as in USSR. Many leaders in India were impressed by the idea of USSR, leaders of Communist Party of India, Socialist Party of India & the leaders like Nehru. Some thought of industrialisation while others preferred for the development of agriculture.

8. IDEAS OF DEVELOPMENT DEVELOPMENT MEANS MODERNISATION AND WESTERNISATION FOR MANY INDIANS GOVERNMENT OF INDIA INCLUDED POVERTY ALLEVIATION AND SOCIAL AND ECONOMIC RE -DISTRIBUTION PROGRAMMES INDIA ADOPTED MIXED ECONOMY (CAPITALISM +SOCIALISM) 3. POLITICS OF PLANNED DEVELOPMENT

9. What is Left And Right in Politics? Left- People with the ideas of Socialist & Communist are considered to be the Left people. They promote public sector over private. They believe the industries and agriculture should be the matter of states and not of individuals. Countries like USSR & China is said to be the leftist. Right- People with the ideas of Capitalist and open market competition are considered to the Right people. They promote privatisation and open market competition. They believe that the competition can promote economical development in a nation. Country like USA is said to be the rightist.

10. PLANNING & PLANNING COMMISSION Different opinion of development, but people were firm on one opinion. Development can not be left on private sector. Govt. needs to plan or design for development. But it also needs to have public support. It has been seen in 1940s & 1950s all over world. Let be Great Depression in Europe, Japan & Germany and even in USSR. Planning was no sudden invention. Bombay Plan: 1944, industrialist gather from all over India to plan for economic growth of the nation. People from Left & Right were involved in this plan. Planning Commission of India: Set up in Mar 1950 by simple resolution of the Govt. of India. Planning Commission is always under the Prime Minister of India. Now it is renamed as Niti Ayog .

11. P LANN I NG ROLE OF THE GOVERNMENT IS IMPORTANT IN PLANNING BOMBAY PLAN BY THE GREAT INDUSTRIALISTS ALSO DEMANDED FOR A PLANNED ECONOMY 3. POLITICS OF PLANNED DEVELOPMENT

12. PLANNING COMMISSION SET UP IN MARCH, 1950 UNDER THE CHAIRMANSHIP OF PRIME MINISTER NITI AAYOG NATIONAL INSTITUTE FOR TRANSFORMING INDIA AAYOG WAS ESTABLISHED IN 5/1/2015. IT REPLACED PLANNING COMMISSION 3. POLITICS OF PLANNED DEVELOPMENT

13. THE EARLY INITIATIVES As in USSR, the Panning Commission of India opted for five year plans (FYP). The Govt. of India was to prepare a document a plan for all its income and expenditure for next five years. Accordingly, the budget of the central and state govts . to decide for plan and non-plan budgets. The first document was released in Dec 1951, generated excitement in the country. First Five Year Plan (1 st FYP) was adopted in 1951.

14. FIRST FIVE YEAR PLAN K. N. Raj, a young economist drafted the plan. He believed that fast rate of development might endanger democracy. So, decided to go slow with agrarian plan. Agriculture sector was hit hardest by partition and needed urgent attention. Huge allocation to large-scale projects like Bhakhra Nangal Dam. People were encouraged to spend less and preserve more. Savings of the banks will raise the GDP of the nation. Multi-purpose project helped in irrigation, fisheries, generation of electricity and many more.

15. FIVE YEAR PLANS CENTRALISED AND INTEGRATED NATIONAL ECONOMIC PROGRAMME JAWAHARL NEHRU PRESENTED THE CONCEPT TO THE INDIAN PARLIAMENT BORROWED THE CONCEPT FROM USSR 3. POLITICS OF PLANNED DEVELOPMENT

16. “ HASTEN SLOWLY” CONCENTRATED ON AGRICULTURE CHIEF ARCHITECT – K N RAJ MAIN PROJECTS CONSTRUCTION OF DAMS AND IRRIGATION FACILITIES ATTEMPTS TO DEVELOP THE HABIT OF SAVINGS FIRST FIVE YEAR PLAN (1951 – 56) 3. POLITICS OF PLANNED DEVELOPMENT

17. SECOND FIVE YEAR PLAN (1956 - 61) “ QUICK TRANSFORMATION” CONCENTRATED ON INDUSTRIES CHIEF ARCHITECT – P C MAHALANOBIS MAJOR PROJECTS SUBSTANTIAL TARIFFS ON IMPORTS STARTED MAJOR INDUSTRIES IN PUBLIC SECTOR DEVELOPED AND BORROWED TECHNOLOGY 3. POLITICS OF PLANNED DEVELOPMENT

18. RAPID INDUSTRIALISATION P. C. Mahalanobis , drafter of the second FYP was an economist. He wanted quick structural transformation by making changes in all possible directions. Before adopting the plan, Congress session was held at Avadi near present Chennai. Socialist pattern of society was adopted. Substantial tariffs on import to protect domestic industries. Industries like electricity, railways, steel, machineries and communication developed in public sector. This industrialisation was a turning point in India’s development. Not so advanced in technology, so spent precious foreign exchange to buy technology from global market. Industries attracted more investment than agriculture. Difficulty in balancing industry and agriculture. This plan was termed as “Urban bias”. There were people who wanted to focus on agriculture related industries such as heavy ones.

19. DECENTRALISED PLANNING KERALA MODEL Not necessarily all the plans are centralised plans nor all the plans are only of industries and projects. Kerala Plan: more focus on education, health, land reform, effective food distribution and poverty alleviation. Despite low per capita incomes, and relatively week industrial base, Kerala achieved nearly total literacy, long life expectancy, low infant and female mortality, low birth rates and high access to medical care. The state has also taken initiative to involve people in the making of plans at the Panchayat , Block and District level.

20. KEY CONTROVERSIES AGRICULTURE VERSUS INDUSTRY SUPPORTERS OF AGRICULTURE LEADERS LIKE J C KUMARAPPA AND CHARAN SINGH SUPPORTED RURAL AND AGRICULTURAL DEVELOPMENT. MAJORITY OF INDIANS DEPENDS AGRICULTURE AS THEIR SOURCE OF INCOME NEGLIGENCE TOWARDS AGRICULTURE MAY AFFECT THE LIVES OF MANY STABLE AGRICULTURAL SECTOR ENSURES FOOD SECURITY 3. POLITICS OF PLANNED DEVELOPMENT

21. KEY CONTROVERSIES AGRICULTURE VERSUS INDUSTRY: 1 st FYP lacked industrial development and similarly 2 nd FYP lacked agrarian strategy for development. Gandhian economists like J.C. Kumarappa proposed an alternative blueprint that put greater emphasis on rural industrialisation. Choudhary Charan Singh, a leader from Congress, later broke from the party and formed Bhartiya Lok Dal . 3 rd FYP was the mixture of 1 st FYP & 2 nd FYP. Still there wasn’t any escape from poverty. Reforms were initiated, programmes were made for community development. Even after more money spent on agriculture, it did not solve massive problem of rural poverty.

22. SUPPORTERS OF INDUSTRY INDUSTRIALISATION IS ESSENTIAL F O R R A P ID E CON O M IC DEVELOPMENT TO REMOVE RURAL POVERTY TO GENERATE MORE EMPLOYMENT OPPORTUNITIES TO EARN MORE FOREIGN EXCHANGE TO MODERNISE AGRICULTURAL SECTOR AGRICULTURE VERSUS INDUSTRY 3. POLITICS OF PLANNED DEVELOPMENT

23. PUBLIC VERSUS PRIVATE SECTOR SUPPORTERS OF PRIVATE SECTOR NOT ENOUGH SPACE AND SUPPORT TO PRIVATE SECTOR IN INDIA MANY HURDLES BEFORE PRIVATE SECTOR – LICENCES, PERMITS etc 3. POLITICS OF PLANNED DEVELOPMENT

24. PUBLIC VERSUS PRIVATE SECTOR India did not follow either of two paths- Socialist or Capitalist. Adopted “Mixed Economy” method and both the sector private and public was taken care of. Mixed model gathered criticism from both left and right. Public sector was believed to show good growth but it created hurdles instead by installing licenses system. Even the state’s policy to restrict imports of goods could not show improvement in domestic market. Public sector employed people. State intervened only those areas where private sector was not prepared. So, instead of helping poor, the state intervention created a new ‘Middle Class’ who enjoyed the privileges of high salaries without much accountability. Poverty did not decline; even the proportion of poor kept reducing but numbers kept growing up.

25. SUPPORTERS OF PUBLIC SECTOR RESTRICTIONS ON FOREIGN IMPORT DENIED THE OPPORTUNITIES FOR INDIAN FIRMS TO COMPETE WITH MULTI NATIONAL COMPANIES. SO NO INCENTIVES TO IMPROVE FOR INDIAN COMPANIES INEFFICIENCY AND CORRUPTION IN PUBLIC SECTOR STATE IS INACTIVE IN PUBLIC EDUCATION AND HEALTH CARE STATE INTERVENED ONLY IN LESS PROFITABLE SECTORS STATE INTERVENTION DIDN'T HELP THE POOR. IT CREATED A MIDDLE CLASS PUBLIC VERSUS PRIVATE SECTOR 3. POLITICS OF PLANNED DEVELOPMENT

26. MAJOR OUTCOMES THIRD OBJECTIVE WAS DIFFICULT TO REALISE. LAND REFORMS WERE NOT EFFECTIVE POWER IN THE HANDS OF LANDOWNING CLASS BUSINESS CLASS WERE THE MAJOR BENEFICIARIES POVERTY DID NOT REDUCE 3. POLITICS OF PLANNED DEVELOPMENT

27. FOUNDATIONS OF ECONOMIC GROWTH CONSTRUCTION OF MEGA DAMS STARTED A NUMBER OF HEAVY INDUSTRIES IMPROVEMENT IN TRANSPORT AND COMMUNICATION FACILITIES 3. POLITICS OF PLANNED DEVELOPMENT

28. Major Outcomes: Three Objectives of Independent India. Land Reforms to promote Economic Equality & reduce Poverty. Foundations : Foundation was laid for India’s future growth, largest development projects were under taken ( eg : Bhakhra Nangal & Hirakud dams). Public Sectors like steel plant, oil refineries, defense promoted. Infrastructure for transport & communication improved. Land Reforms : Initiatives were taken to remove poverty through various attempts like Land reforms. Zamindari system was abolished. Upper limit or ceiling was made but was not successful. Land reforms were not converted into laws or was only meant on papers. Dominant people were able to mould it.

29. LAND REFORMS ABOLITION OF ZAMINDARI SYSTEM RELEASE LAND FROM LANDLORDS AND RE DISTRIBUTE AMONG LANDLESS PEASANTS 3. POLITICS OF PLANNED DEVELOPMENT

30. Govt campaign reaches the village : advertisements were written on walls to show govt initiatives. An advertisement had became especially well known in Shivpalganj (U.P). Showed a farmer with a turban wrapped around his head, earrings & a quilted jacket, cutting a tall crop of wheat with a sickle. A women standing behind him, very pleased with herself (Department of Agriculture, slogan “Grow more Grains”). Food Crisis : Agricultural situation went from bad to worse in 1960s. Between 1965-1967, severe droughts occurred in many parts of the nation. Resulted in food shortage. Bihar was severely effected. 9 districts produced less than 1/2 of their normal output. 5 districts 1/3 of normal. Intake calorie of India was 2450 per capita per day, but Bihar had 2200 per capita per day & was dropped to 1200 per capita per day. Death rate was 34% higher than the normal. Zoning of HYV seeds had its adverse effect in India due to India’s agreement with America.

31. REDUCED THE ROLE OF LANDLORDS IN POLITICS LIMITATIONS UPPER LIMIT ON HOLDING AGRICULTURAL LAND AND SECURITY AGAINST EVICTION WERE NOT PROPERLY IMPLEMENTED. 3. POLITICS OF PLANNED DEVELOPMENT

32. THE GREEN REVOLUTION CONCENTRATED ON ALREADY DEVELOPED AGRICULTURAL AREAS IN NORTH INDIA GOVERNMENT OFFERED HIGH YIELDING VARIETIES OF SEEDS F E R TILIZE R S PESTICIDES BETTER IRRIGATION AT SUBSIDISED PRICES FLOOR PRICE FOR THE AGRICULTURAL PRODUCTS 3. POLITICS OF PLANNED DEVELOPMENT

33. OTHER DEVELOPMENTS GROWTH OF LEFT WING ORGANISATIONS RISE OF MIDDLE CLASS CRITICISM RICH PEASANTS WERE THE BENEFICIARIES CONCENTRATED IN WHEAT PRODUCTION FOCUSSED ON PUNJAB , HARYANA AND WESTERN UTTAR PRADESH ONLY THE GREEN REVOLUTION 3. POLITICS OF PLANNED DEVELOPMENT

34. The Green Revolution: US-India agreement. US supplied HYV seeds but with a condition to export grains back to them and not even internally in India. Moreover, it focused already prosperous areas such as Punjab, Haryana and western parts of UP. So, the backward areas remained backward and these areas showed good progress. The White Revolution : “Milkman of India”, Verghese Kurien started cooperative dairy farming in India. He played crucial role in the story of Gujarat cooperative milk & marketing federation limited that launched AMUL ( Anand Milk United Limited). In 1970 the ruler development programme called operation flood was started. Operation flood organised cooperatives of milk producers into a nationwide milk greed with a purpose of increasing milk production, bringing the producer & consumer closer by eliminating middle men. Many women were involved.

35. THE WHITE REVOLUTION BY GUJARAT COOPERATIVE MILK AND MARKETING FEDERATION LIMITED IMPORTANT ROLE BY VARGHESE KURIEN, MILKMAN OF INDIA AMUL, BASED IN ANAND, GAVE A UNIQUE PATTERN FOR RURAL DEVELOPMENT AND POVERTY ALLEVIATION. AMUL PATTERN IS KNOWN AS WHITE REVOLUTION 3. POLITICS OF PLANNED DEVELOPMENT

36. THE WHITE R EV OL U T I O N OPERATION FLOOD IN 1970 TO INCREASE MILK PRODUCTION TO ELIMINATE MIDDLEMEN TO ASSURE THE PRODUCERS A REGULAR INCOME 3. POLITICS OF PLANNED DEVELOPMENT

37. Later Developments In 1960s, after Nehru’s death Congress system encountered difficulties. Indira Gandhi emerged as a popular leader. She controlled & directed the economy. 1967 onwards India witnessed many new restrictions on private industries. 14 private banks were nationalised. Government announced many pro-poor programmes. Gained popularity. Indian economy grew at sluggish per annum rate of 3% to 3.5% . Inefficiency in public sector & corruption increased. Due to corrupt bureaucrats Indian Economic Development was not positive. Bureaucrats lacked public faith.

38. LATER DEVELOPMENTS RESTRICTIONS ON PRIVATE SECTOR AFTER 1960s NATIONALISATION OF PRIVATE BANKS PRO POOR POLICES WERE ANNOUNCED STRESS ON SOCIALIST PATTERN INTRODUCTION OF NEW ECONOMIC POLICY IN 1991 3. POLITICS OF PLANNED DEVELOPMENT

39. MAIN PROBLEMS OF INDIAN ECONOMY SLOW ECONOMIC GROWTH INEFFICIENCY AND CORRUPTION IN BUREAUCRACY PEOPLE LOST FAITH IN B U R E A U C R A C Y

40. LET’S WATCH A FILM: PATHER PANCHALI The film tells a story of a poor family in a Bengal Village & its struggle to survive. Durga , the daughter of Harihar & Sarbajaya , with her younger brother Apu , goes on enjoying life oblivious of the struggles & the poverty. The film revolves around the simple life & the efforts of the mother of Durga & Apu to maintain the family. Pather Panchali (song of the little road) narrates the desires & the disappointments of the poor family through the tale of youngsters. Finally, during monsoon Durga falls ill & dies while her father is away. Harihar returns with gifts including a saree for Durga . The film won numerous awards nationally & internationally. Year of release: 1955, director: Satyajit Ray, story: Bibhutibhushan Bandyopadhyay , screen play: Satyajit Ray.

41. IMPORTANT DATES Stamps issued depicting a vision of planned development: 1955-1968 Planning Commission was set up: March 1950 Spectacular economic growth against all odds in Soviet Union: 1930’s and 1940’s The 1 st five year plan document released: 1951 2 nd and 3 rd plans launched: 1956 & 1961 Due to economic crisis govt. decided to take PLAN HOLIDAY: 1966 Pather Panchali released, won numerous awards nationally and internationally: 1955 Operation Flood started (Rural development programme): 1970 14 private banks were nationalised: 1967 Food crisis in Bihar due to famine: 1967

42. SHORT ANSWER QUESTIONS When the National Planning Commission was set up and who was the chairman of this committee? Who had prepared the ten year plan and why? When did the Planning Commission issue a draft outline? Mention the criticism of the second five year plan. What is meant by Planned Development? What is meant by White Revolution? Who was P C Mahalanobis ? What was ‘Bombay Plan’? What was the role of central objective of planning in India? Who had prepared the ten year plan and why?

43. LONG ANSWER QUESTIONS How was the Planning Commission of India set up? Mention its scope of work. Describe the objectives and achievements of 3 rd five year plan. Differentiate between the 1 st five year plan and 2 nd five year plan. What was Green Revolution? Examine any two positive and two negative consequences of Green Revolution. Examine the controversy regarding Agriculture vs Industry in India after the 2 nd five year plan.

44. THE END PREPARED BY NEETU UPADHYAY