The New Nation - Internet Edition

Stop flouting of negotiated prices

What remains of sanctity of contracts and that too contracted at the highest level of the government, if the same can be ignored? Only four days ago, a tripartite meeting between the Commerce Adviser, refiners of soybean oil and the wholesalers, arrived at what can be called a negotiated price of the oil at the retail level. It was agreed in the meeting that after adjusting for all short and medium term factors affecting soybean oil price, the three parties at the meeting had decided that its per litre price at the retailer level must not be above Taka 106.50. In other words, the price was fixed and it should become binding on the retailers.

All these factors were deliberated and taken into consideration before declaring the minimum price. But only two days after the declaration, the retailers are found ignoring it. According to newspaper reports, one litre of soybean sold for Taka 110 on average in the city’s markets on Tuesday in a flagrant violation of the fixed price. The interests of consumers, the prestige and the authority of the government are at stake. The fixation of soybean oil price can be taken as a test case by the government under the new Commerce Adviser. It is perhaps, necessary for the adviser and the government to be unyielding on this issue.

They must not hold back from taking tough measures to enforce the sale of oil only at the fixed price by the retailers. By doing this, they will send the message that business operators must keep their commitments and always function within certain norms. Failure to act now decisively, will only make the process of price control of some essential consumer goods more difficult. There gaps, if any, in the law in moving hard and fast against unethical business activities must also be bridged at the soonest.

Expediting PRSP implementation

Speakers at a recent roundtable in the city reportedly complained of slow implementation of the Poverty Reduction Strategy Papers (PRS). They observed that in absence of proper monitoring of the implementation of the projects, PRSP was failing to achieve the development targets. The government approved the PRSP titled "Unlocking the Potential: National Strategy for Accelerated Poverty Reduction" in October 2005. The implementation period has been extended up to June 2008. Bangladesh earlier implemented five-year plans and a two-year plan with the declared goal of economic development and poverty reduction. The country's poverty reduction shows a modest but encouraging trend. According to Bangladesh Economic Review 2007, income-poverty reduced to 40.0 percent in 2005 from 58.8 percent in 1991-92.

Poor implementation of the PRSP is a matter of great concern for the people, especially the poorer sections of the population. Due to massive crop failure and damage of property in consecutive waves of floods and cyclone Sidr, a large section of the people slid down the poverty line. The price hike of essentials aggravated the poverty situations. The slow implementation of PRSP can only worsen the situation. The government must gear up its administrative machinery to implement the PRSP projects on time.

The PRSP is still considered largely donor driven and to have ignored many local priorities. But it has not been backed up by the support that had been promised before the strategy was made conditional to increased donor funding. The implementation period of the PRSP is going to expire by June this year. The PRSP can be updated once every three years based on annual performance. Donors support the strategy or not the exercise has made Bangladesh like many other least developed countries to focus its economic activities on poverty reduction. This focus should be sharpened and more equitable distribution of income achieved for social peace and progress.

Bridging the widening food gaps

Md. Masum Billah

The soaring price of life saving commodities has baffled all classes of people in general and the middle, working and lower classes in particular. Edible oil, food grains such as rice and wheat and children's' food exclusively power milk stand champion in this climbing race. Powder milk is not a luxury item, rather it is a surviving item, even then it remains within the grip of huge taxation of the government gaining momentum of soaring high every month. The situation shows that there is no referee to whistle for drawing this game to a close. As the price of rice climbs across South Asia farmers and millers in Thailand are setting on stocks and waiting for it to rise even further. Top rice exporter in Bangkok says in an interview with the Straits Times, " In my 25 years of trading , I have never seen such a bad position." So, Bangladesh being an Asian country and prone to natural calamities cannot expect to see a better situation in respect of rice and wheat price. It has gone beyond the buying capacity of commoners several months back, still it warns us to go beyond further. Government, in one sense, has surrendered to this situation. However, citizens cannot comply with the government's argument; they can go with it either.

India recently contributed to soaring world prices imposing a ban on rice exports to Bangladesh, Madagascar, Mauritius, the Comoros Islands. Recently she has relaxed only partially to allow some supplies to these countries and Sidr hit Bangladesh but the situation still remains almost unchanged both in the world market and in Bangladesh as well. In the local markets of Pakistan, the price of rice has gone up over the past month by more than 60% .China banded rice exports to ensure enough is available for domestic demand. From Kansas to Kabul, high rice and wheat prices are worrying officials and economists and have started hitting tens of millions poor people. In Singapore, while rice importers and supermarkets have no problems getting the staple grain, in the past three months prices have risen by 30-40 percent. Singapore imports rice from more than 20 countries including Thailand, Vietnam, Burma, China, Pakistan, USA, Egypt and Australia. A recent food price survey by the Farm Bureau in the American State of Missouri found that in the fourth quarter of last year, the retail price of a 20 ounce loaf of bread had already risen 30 US cents from the previous quarter to US $2.

Thailand's rice exporters numbering between 150-200 but with the top 10 controlling up 70%of export trade are finding rice hard to come by because of stockpiling by farmers and millers.. "Even non-rice traders have got into hoarding rice in Thailand, so exporters have not got it." The government's procurement price 6700 baht($211) per tone, but the real price up to close to 9000bhath. While Thai government has been releasing rice from its stocks, the volume has not been enough to alleviate the situation.

President Gloria Macapagal Arroyo of Philippines had contacted Vietnamese Prime Minister Ngoyen Tan Dung on February 20 to see if he could pledge an undisclosed supply of rice officially and it is considered as an exceptional move in a market that normally operates on a purely commercial basis among traders or state procurement agencies. It was not the first time an Asian government takes action in the face of soaring grain prices and growing fears over the security of food supplies. The same situation happened several times but the present situation has made many Asian states fearful. Philippines whose rapidly expanding population among the most dependent on imports could run short of its staple national food which is mainly rice. Robert Zeigler, Director General of International Rice Research Institute located in Manila said, " We have a crisis brewing in terms of rice supply." Nearly half the planets 6.6 billion people depend on rice for survival but rising population and economic growth mean that the world is already eating more the grain than is harvested. Vietnam, World's second biggest exporter put temporary ban on shipments to meet domestic demand between harvests. World's stocks of the grain are currently around 7.2 million tonnes which show their lowest levels since the early to mid 1970s when food shortages triggered a devastating famine in Bangladesh.

Bangladesh is currently scrambling to secure supplies of rice after a devastating cyclone Sidr last year which washed away about one million tones of the grain. The causes of the shortage and high prices are diverse and vary from country to country.

They include natural disasters or adverse weather, high fuel prices which add to transport costs, hoarding and smuggling of rice and wheat to take advantage of higher prices across national borders. Disruption of electricity seriously hampers rice production. Bangladesh is immune none of these factors. To alleviate the grave situation already intruded upon us and to avid further gravity of the situation, the government must take some short term and long term measures. Government has already promised to make the chemical fertilizers easily available to the farmers, less disruption of electricity supply causing load-shedding in urban areas and other related but doable measure to see a bumper harvest. As a part of immediate measures, private bidders are allowed to import rice. It further needs relaxation to release imported rice particularly in the docks. All the available parks and playgrounds must be brought under cultivation.

As world figure shows more people are consuming rice than the world produces. The gap is widening gradually as the industrial world concentrates more attention on industries and urbanization, the agricultural products have shown a downward trend comparing the growing population.

The industrial world as well as the growing industrial countries should ponder over the point that the maximum industrial raw materials directly come from agriculture. So invariably we must direct our serous efforts towards agricultural production. The number of farmers is becoming less day by day in all the developed and developing countries of the world. One point regarding this fact proves positive that being employed less people in agriculture; the world can be satisfied with necessary food grains. But according to this matrix, the production has not increased as the present global rice shortage and other food grains gives evidence. Only 7% world's rice supply is traded internationally but it is a critical amount for any country facing a shortage because rice is also a political commodity. We remember PL 480 Law of the United States how they play a game with developing countries using food as plaything. It is learnt that huge amount of food grain is wasted to crease artificial famine in the world and people of developing countries are made depended on them. Nature definitely does not show this with pleasing eyes. Its adverse effect must be borne by the people of this planet. Now the world shows serious food shortage and Bangladesh cannot evade this situation easily. But a group of people just blame the inefficiency of the government which does not stand on a strong base. In fine, to alleviate the situation we must stop politics with food as it has been used as political commodity both nationally and globally for many years. Now let us view it on humanitarian grounds as the survival of humanity and even the animals is directly related to it.

(The write works as a specialist in Brac Education Programme, PACE and regularly writes on various national and international issues.)

Empowering Muslims

Salman Khurshid

AMONG the some very dramatic and far reaching decisions of the multiparty United Progressive Alliance (UPA) government in India is the initiative to empower the Muslim minority of the country.

In an age of poverty of ideology, and growing worldwide aspiration for good governance, the Congress party led coalition has set out to accomplish something its adversaries call "appeasement" of minority vote bank, and ironically accuse the party of having neglected Muslims because of a "soft Hindutva" approach to politics.

Obviously, both the allegations cannot be true unless it can be explained by a proclivity of "flip-flop" on difficult electoral issues. But, of course, what is true is that the Bharatiya Janata Party continues to believe (fortified in that belief by the electoral success of Narendra Modi) that some guttural minority bashing is good for majority consolidation.

The so called Third Force parties persist in exploiting the Muslims (whom they captured for the first time when the Babri Masjid was sadly demolished) by dubbing the Sachar Committee Report as a charge-sheet against the Congress in the matter of neglect of Muslim aspirations.

Therefore in order to make a success of the Sachar Committe Report the Congress and the UPA have to overcome the smog being blown over its honest intentions by the opponents of the party. The Sachar Committee is indeed remarkable in its candour and insight.

Something often spoken about but seldom formally substantiated has been recorded in black and white. The credit for taking the bull by the horns, as it were, goes to India's Prime Minister Manmohan Singh and Congress President Sonia Gandhi. For the first time a government of India document or announcement opted not to hide behind the euphemism of 'minorities' and spoke directly of Muslims.

Given that mandate Chief Justice Sachar tenaciously culled out official information from the Centre and the States to make out a case that generally Muslims are economically, educationally and socially more disadvantaged than the Hindu OBCs (other backward class) and in many areas are even more disadvantaged than the dalits.

Thanks to the BJP we will never know the percentage of Muslims in the military. Perhaps, the BJP has still to discover what the Indian military establishment has known since 1857, that food habits are crucial to the morale and discipline of the forces and that this has a lot to do with religious and social mores of the soldiers.

It was not for the Sachar Committee to say what all needs to be done to address the problem it identified and highlighted. However, the Sachar Report does provide some pointers. The UPA has set itself the task of implementing institutional steps to correct distortions and empower Muslims quickly, concentrating on education and job opportunity.

Fortunately, India's minority ministry headed by AR Antulay was already in place to take the responsibility of the nodal ministry. No time was wasted in placing the first ATR (Action Taken Report) before the parliament. Meanwhile, the impressive scholarship programme that will supplement and complement the existing schemes under the Waqf Council and Maulana Azad Foundation have already been launched in several states.

The finance ministry directive to nationalised banks to ensure 10 per cent loans to minority borrowers and the government of India instructions that 15 per cent financial and physical targets must be secured for Muslim concentration areas out of all development funding have already been circulated.

In the vast ocean of development spending and infrastructure building it is indeed a great challenge to keep track of what might for the want of a better term be called Sachar Committee targets. Much talk and little delivery could lead to high levels of frustration, disenchantment with the very idea, and unmanageable political fall-out for the Congress and the UPA.

But what would be tragic in the extreme will be the loss of a once in a life-time opportunity for the Muslims of India. Therefore political strategy is critical for this enterprise. That will not happen without the right sort of leadership from within the party as well as from amongst Muslims themselves.

The idiom of our salesmanship is important in order to give a sense of ownership to the Muslims and the Hindu majority alike. The Planning Commission has been given the task to identify Muslim concentration districts and towns in order to focus the effort there. As a rule of thumb 25 per cent Muslim population has been taken as the cut off for the priority list.

Although that appears the best workable solution for the present we need to find some way of attending to important arrear that fall short by a per cent or two. Besides, as in the case of Kerala, there are several districts that meet the cut off requirement but which on social parameters are far ahead of districts of Uttar Pradesh with below cut off population.

It is important to note that except for scholarships and perhaps one or two other schemes, most of the favoured projects are not of exclusive utility nature. Thus a school or a hospital in a Muslim concentration area would cater to the other children and patients in the area as well. The Muslims can be seen as conduits or cause of development rather than impoverished burden on society.

Sachar Committee projects must be seen not as by Muslims, for Muslims, and of Muslims; they should be seen as truly enlightened altruistic national endeavour. Then the whole nation can move forward, not some parts of it alone. The enterprise of implementing this grand vision is both need based and demand based.

If we can succeed in making it a people's movement for equitable development or inclusive growth as its called today, Sachar Committee follow up will be written as a golden chapter in our history and will in all likelihood change the face of contemporary politics.

The Indian equivalent of the 'New Deal' would have taken place. Whilst every Indian has a stake in the success of the Indian New Deal, its primary and proclaimed beneficiaries have a special responsibility. One is reminded of the immortal words of Senator Robert Kennedy: "Some people see things as they are and ask 'why?'; I see things as they are not and ask 'why not?'.

The UPA has given the Muslim citizens of India a chance to be equal with their fellow citizens in every way. It is incumbent on them to prepare their wish lists for development and put them to the governments at the federal levels and the states. And no one has said that the aspiration should be minimal.

When you are struggling at the bottom it is sensible to think of the next meal but it costs nothing to look up and dream of the stars. Despite pervasive backwardness and helplessness, the Muslims of India have a heritage and history of some substance. Their contribution to the Independence struggle and the building of modern India is remarkable.

Muslims have wallowed in self pity, anger, lack of self confidence, sense of retribution, and meaningless disputes. Despite the vision of Sir Syed Ahmed Khan, Maulana Azad, Rafi Ahmed Kidwai, Dr Zakir Husain and in recent times, President APJ Abdul Kalam, the Muslims of India submitted to their pitiable condition.

It took the courage of Dr Singh and Mrs Gandhi to urge them to rise. The next few years will tell if the Muslims in India made their mark on the diversity index of excellence, and accomplishment, by just deserts not preferential treatment alone.

(Salman Khurshid is a veteran Congress leader and former federal minister.)

Catastrophe for the boat people

Elizabeth Becker

Le Dung was seven when his family bought passage on a rickety boat and fled the communist government of Vietnam for parts unknown.

They were lucky. Everyone - father, mother, and three sons - survived the rough seas, landing in Thailand, where the United States generously accepted them as refugees and resettled them in Louisiana. About the same time I was weaving my way through refugee camps in Thailand and Malaysia, reporting on the survivors and their stories of despair at home and horror at sea. They were huddled on some of the world's most beautiful beaches, waiting to convince representatives of the United States, France, Sweden and other nations to accept them as new immigrants. That was 30 years ago, when the plight of the Vietnamese boat people filled newspapers as one of the most dramatic stories coming out of the Cold War in Asia.

Today Dung is known as Danny Le and he is helping the boat people who have found themselves in a decidedly different catastrophe.

Now these former boat people are ordinary Americans, mostly working poor, whose homes in Biloxi, Mississippi, were destroyed by Hurricane Katrina 2? years ago. They had the further misfortune of living in a state which considers casino development a priority over repairing or rebuilding homes. Le's job for the charity SOS Boat People is to find help for those whose homes were destroyed. My role has changed, too. No longer a daily journalist, I was recently in Mississippi as a member of the board of directors of Oxfam America, the Boston-based international charity known for its disaster relief overseas.

In the days after Katrina struck, when it became maddeningly clear that the US government wasn't doing its job, Oxfam broke with tradition and offered relief in our own country.

So here we were, the former refugee and the former reporter, exchanging notes on what was needed to ensure that Le's Vietnamese-American clients could receive some of the promised aid from the Federal Emergency Management Agency. In some ways, the story line is similar. My old notebooks are filled with international relief officials complaining about local governments putting impossible hurdles in the way of destitute boat people. Then the insensitive officials were Thai and Malaysian and they made easy villains in our newspaper articles. This time, the local officials are Americans who are experts at camouflaging their abandonment of the poor.

Mississippi decided that homeowners without wind insurance were ineligible for federal funds dispensed through the state. The state recently transferred $600 million earmarked by Congress for homeowners' aid and gave it to a new port development project that includes a gambling casino.

In fact, most of the people without wind insurance couldn't afford it and must now rely on private charities for their recovery. A few blocks from Le are the offices of the East Biloxi Coordination Relief and Redevelopment Agency. It is the brainchild of Bill Stallworth, the sole African-American member of the Biloxi city council.

Under his umbrella group, an assortment of charities from Oxfam to Oprah Winfrey to Habitat for Humanity are building homes for the disenfranchised. Stallworth said that while he received some corporate donations, he has received no money from the state or federal government. I know I was supposed to be pleased to have played a very small role helping these boat people.

But mostly I was ashamed that government generosity for the Vietnamese when they were fleeing communism evaporated when they became part of America's working poor. Back in Vietnam times are much better. Many of the beaches the boat people fled from are now luxury resorts; some villas on China Beach are selling for $2 million.