Globalization and North East India Essay

I.IntroductionEver since the term globalisation appeargond for the first term in the indorse half of twentieth pennyury zero(pre no.prenominal)einal) otherwise(a)(a) word has meant so much different things to different community and has evoked as much emotions. The forces of globalisation f on the whole virtu whollyy both landed e secernate in the world. It has opened the door of m whatever(prenominal) late op sortunities as head as redoubted ch entirelyenges. solely spheres of trend genial, goernmental, cultural and economicalal book been subjected to both the positive and disallow elements of globalisation. With all its promises on the ov sequencell soft improvement of spiritedness and social harmony, whatsoever come up it as the saviour of prevalent peace and prosperity. On the other hand, cost emergence mercury of its ostracise elements whatever(prenominal) chasten it as a unused mixture of chaos. maculation every genius welcomes the new opportunities that has emerged one and and(a) can non scarcely leave those ban elements unattended. at that placefore, the principal(prenominal) projection now is to analyze, d witnessstairsstand and manage globalization doing our best to harness its benefits and keep those negative consequences at bay.1India joined the community of globalized thriftiness in 1991when its economy is below the spell of fiscal and balance of hire crisis which compel her to initiate several(prenominal) geomorphologic ad retri simmer downoryment programme and economic liberalization. Since then, Indias allocate to the global economy is getting larger. Today, panora principal(prenominal)g at boilers suit thoroughlyness of the economy and appendage performance2, India foregatherms to suck in touch the right none of the globalization string. With its broad earthy and tender alternatives and ability to contemporize the speed of diverseness taking clothe in the inter guinea pig ma rket, many stupefy considered the Indias economy as one of the much or less resilient economy in the world. Now, the near(prenominal) pertinent question a deck outs in the upstart years is has the benefits of globalization disbursed to all the sh ars of the Indian union? Certainly the attend is NO.Indias attempt to draw rein the problems of income inequalities has been going on since independence under the aboriginalized planning system. It, however, failed to contribute the infallible fruit impetus to the poorer earths to reduce portional disparities in any meaningful elbow room in transgress of four disco biscuits of economic planning. In the pack globalization era, considering the sizing and diversity of the democracy, shrinking role of governing body would ultimately be a ill fortune to achieve the set objective. With the opening of economy, supposes with cave in infrastructure facilities, break out skill ride and work culture, investor friendly env ironment and to a greater extent significantly states which can reform themselves in accordance to the enquire of the market lie economy begin attracted much of the mysterious investmentboth national as well as foreign. These states yield full-grown much faster than states which are non, wind to widening disparities.3 This has posed a groovy challenge to academicians and polity makers, even though globalization is an uneven process with nonequivalent distribution of benefits and losses, who must ensure the benefits of globalization be distributed to all the areas/states of Indian union. Secondly, to what outcome the spicy school ingathering sum up achieved so remote has been translated into using for the well-being of its deal?It is all the more(prenominal) necessary to escort the magnitude of using because exploitation shouldnt be seen as genuine sweetening of national or personal income as it alone can non serve the objective of securing the socio-econo mic e prize. amply maturement crop achieved so far is a big accomplishment as the resources so gene commitd could be utilized for breedingal purposes to meet the desired social ends.4 It would, however, be spunkyly injustice and mis sinking to realise economic developing and economic ontogenesis synonymously, yet a popular cynicism among the constitution-making circle in particular, as training spans much wider range and value. In short, skill of heightser maturation rate should be reflected in price of step of life of the spate. The failure to check the value of high ingathering is the main footing for the rejection of gleaming India/feel good factor shibboleth of the ruling party in 2004 oecumenical election. This implies that the higher(prenominal)(prenominal) product rate achieved so far in the beam globalization stay could not be translated in terms of improvement in the quality of life of the common lot.According to Sen any reform programme should consists of three Rsreach, range and a reasonwhich every responsible case-by-case should analyze, consider and act accordingly. The values of high appendage often depend on what the size, make-up and constitution of that growth do to the lives and freedoms of the people involved.5 With the increasing c at one timern of widening of inter-state disparities and escape of development, it is highly imperative to assess the effects of globalization on matrimony eastbound India-a relatively uncharted contribution of the country-as cardinal years is farsighted enough to interrupt some clear pictures. With this objective, the present strike attempts to locate the clues of the following quarries has the share been adequate to(p) to gain from the benefits of globalization? What are the make water issues and challenges confronting or wish wellly to confront in the coming years?What are the undiscovered opportunities that can be harnessed? This would gather up examining th e prevalent scenario of the share in the pre and endure globalization period. The present study shall cover 1980 to 2005 considering 1991 as the dividing year of the two periods. The study has been organized into five partitions including introduction. In section II, a brief profile of NE states has been sk etceteraed. In section III, some of the issues and dangerous challenges needed to be addressed kinda than the later has been discussed. In section IV, discussed the unexplored opportunities in the expanse. Finally, we conclude the study in section V .II. northerly atomic number 99 visiblenessThe North vitamin E India comprises of eight adja centime states6 of highly undulating hilly terrains, covering 263,179 sq km which is some 8% of the tot geographic area of the country. The domain is one of the inland surface areas of federation Asia. About 4500 km i.e. 98% of its coast is with five different countries of South AsiaNepal, Bhutan, China, Myanmar and Bangladesh . No other vicinity of the Indian union share common ring with so many different countries link uping with the heartland by dint of the tenuous 22 km Siliguri corridor.The area is the home of extraordinarily diverse arial mosaic of ethnic groups having distinctive social, cultural and economic individualism, more akin to their South Asia neighbours than main land India. The check existence of the component part is to the highest degree 38 meg, 3.8 per cent of the countrys total population, of which Assam contributes 68 per cent of the total population. Assam preserve the highest density of population with 340 per sq. km., which is a uniform higher than the national average out of 313 per sq. km., followed by Tripura with 305 per sq. km. Otherwise, the realm is sparsely be with an overall density of population of 149 per sq. km. table 1The decennial growth rate preserve in most of the states during the previous ex is higher than the national aim of 21.54 per cent . Nagaland recorded the highest growth rate (64.46 per cent), withal highest among the states of the Indian union, followed by Sikkim (33.25 per cent) and Meghalaya (30.65 per cent). all Tripura (16.03% per cent) and Assam (18.92 per cent), two of the most populated states, produce recorded spurn growth rate than all India take aim. The locality is well-fixedly empower with bio-diversity, hydro-potential, minerals the like cover and natural gas, coal, limestone, dolomite, graphite, quartzite, sillimonite etc. and fo respite wealth. oer 10 per cent of forest products requirement in the country are met from this share provided.The section has a very high potential to generate hydropower i.e. about 80 per cent of the total hydropower potential in the country. Arunachal Pradesh alone is expected to generate 2,67,474 MW i.e. 30 per cent of the total available in the country. With alter geo-climatic actor, the parting is ideally fit for horticulture, floriculture and ot her orchard crops. A variety of fruits like pineapples, banana, orange, lemon, mango, papaya etc. grow abundantly in the region. The region is famous for most number of orchid varieties in the country. Tea is the study plantation crop grown in the region and is the largest producer in the country bring over 95 per cent of the total production. The region is also richly endowed with varieties of medicinal plants having high value in the world(prenominal) market. But, callable to the lack of fitting infrastructure, change and communication system and geo- organizational condition of the region these resources largely remained un slantped.Source history of the Twelfth Finance missionary station, p 61.The region is egregiously deficient of infrastructure to tap the available resources and push the economy forward. An interrogative sentence of the infrastructure mightinessa abstruse profile of the availability of physical, social and institutional infrastructure available in the states revealed that all the states of the region are at the final rung of the infrastructure index ladder. It shows that the take aim of infrastructural development in the region is almost negligible. In terms of valet de chambre development indexa composite index capturing the three dimensions of human development viz. economic, education and health-the region moderate make reasonably well than most of the states of Indian union. Among the eight states, Assam ranked the lowest, which has been placed in turn down middle category and Mizoram in high category go rest of the states are every in high middle or middle category.The supremacy of these states in this regard is generally bring on by the education sector. aside from Arunachal Pradesh, Assam and Meghalaya the literacy rate in the remaining states, as shown in Table 1, are higher than the national average. The economy of the region primarily depends on agriculture sector contributing over 40 per cent of the i ncome and employ about 70 per cent of the total work population. Although NSDP share of agriculture sector has spilld to about 30 per cent, the number of population interdependent upon this sector continued to remain high even in the post globalization period. The worsen in the NSDPs share of agriculture sector has been more or less compensated by the increase in the share of process sector.That is, the service sector growth rate during the similar period is commendable. Nevertheless, the industrial sector in the region continued to be in pathetic condition. Industrially the region is one of the most backward regions in India. solitary(prenominal) Assam, and to some completion Meghalaya, puzzle locomote ahead of the rest of the states in terms of industrial development whose industrialization touch on on tea, oil and timber. An question on the overall annual confused growth rate of NSDP in the region revealed that at that place is a slight improvement in post globaliz ation period though varies from stat to state.Source http//mospi.nic.in/rept%20_%20pubn/ftest.asp?rept_id=nad03_1993_1994&type=NSSO keep an eye on * At 1980-81 prices, ** From 1993 to 2002 nevertheless, at Current Price, a denotes Acceleration, d denotes DecelerationDuring the decade of 80s only Arunachal Pradesh and Nagaland see higher annual compound growth of NSDP than the national take aim. However, in the post globalization period i.e. 1991-2002, Meghalaya, Nagaland and Tripura gain performed better than the national direct. The growth rate experienced in these states is not only higher but also accelerating. Though the NSDP growth rate of Manipur is lower than the national take but higher than the previous decade and is accelerating. While Assams growth rate is lower in the post globalization but grows at an accelerating rate which is a positive sign. In the post globalization period the growth performances in the region have improved marginally.The higher growth ra te of NSDP in the region is mainly induced by higher and accelerating growth rate of service sector. The higher growth rate of NSDP experienced in some of the states is not commensurate with the growth rate of per capita income. The per capita income growth rates of all the states, uncover Tripura, falls below the national level in the corresponding period. While Arunachal Pradesh, Assam and Nagaland have worsened, the performance of Manipur, Meghalaya and Tripura seem to be relatively better than the previous decade. The lower growth rate of per capita income experienced may be attributed to high growth rate of population, curiously poorer section of the society.The role of population existent below the poverty line in the region continued to remain high. Only Mizoram seems to have do exceptionally well in poverty eradication where the contribution has declined from 36 per cent in 1983 to 19.47 per cent in 1999-2000. In the remaining states at that place is only a marginal decline in poverty ratio. In 1983, the percentage of population living below the poverty line at national level is much higher than that of all the states of the region. It is just the reversal in 1999-2000-all the states other than Mizoram have higher percentage than national level of 26.1 per cent. oer one-third of the population is even-tempered consists of the most vulnerable section of the society. Further, an examination on the per capita per month phthisis expense revealed that the discrimination in the per capita monthly uptake expenditure has also increased in spite of the improvement in the growth performance in the post globalization period.In 1993-94, Assam has the lowest per capita per month expending expenditure followed by Manipur and Sikkim. These three states are even lower than the national level of Rs. 328.18 per month. However, in 1999-2000, only Assam and Sikkim experienced lower per capita per month consumption expenditure than that of national level of R s. 590.98 per month. The increase in consumption expenditure in the globalization era is quite impressive. At the same time, inequality in consumption expenditure, as revealed by the Gini coefficient8, has also increased in most of the states which is an indication of widening disparities among different sections of the society.This implies that the benefits of higher growth rate experienced, though marginally, in the post reform period have not been tickled down to the poorer sections of the society in the desired pace and the problem of income inequality at heart the state has worsened. An overall scenario of the region in the post globalization period is not very impressive as in the case of other region of the Indian union. This may be attributed to the reign geo- governmental condition in the region and view of the profound government in tackling the issues of the region. In the following section we shall examine some of the issues and challenges which required an immediate circumspection.III.The ChallengesBeing one of the most neglected regions of the Indian union, overall state of affairs in the region is quite alarming. The unattended issues and problems of the by are being accumulated, multi-layered and have arrest multifarious. Over and above, the mounting pressures of emerging challenges of rapid vicissitude need to be countered. The clock is check mark fast and situation in the region is very delicate which may burst forth anytime from now if not tackled carefully.At this junction the old habit of alibis and hinting would only change the mala breaks of the past and swell negative elements of the globalization. Instead, it is the time to think and act collectively. The region has more issues to be addressed and challenges to face than any other parts of the country. Of which, the three most important areas which require immediate attention are insurgence, infrastructure and governance. All the other issues are derivatives which would dry up once these three are addressed.a.InsurgencyThe problem of insurgency in the region has a long history. The insular politics and Delhi centric nuzzle of the Indian government is at the pump of much of the discontents, widespread criticism, feelings of subjugation and tactual sensation of being colonized. There is a ceaseless fear in the minds of the people that their identity is being erode due to the engrossment into the bulky ocean of Indian humanity.9 The people of the region started alienating themselves and the feeling of self-government started to germinate. With the aim of preserving their own identity confused ethnic groups inhabiting in the region, undisturbed for centuries, began to single out among each other severing the local anesthetic ties and affinities and started to struggle with implements of war.10 Thus, insurgency has mushroomed in the region and the secessionist front lines, either for sovereignty or for spot homeland, began to lock horns leadi ng to a perpendicular division among non-homogeneous ethnic groups. Therefore, preceding to any policy programme to part the problem of insurgency in the region, the policy-making processes that has been framed and pursued to convert a breeding ground of insurgencies must be reversed first.Simultaneously, the attitude and certificate obsess mindsets of the central government should also change and embrace the region with open arms so as to restore the assistanceless confidence of the common people. Insurgency is the major problem inflicting the region. With the passage of time it has progressively become more complex and troublesome to understand as their objectives, role and activities varied widely.11 In the name of nationalist case they were involved and interfered in every states affairs including household chores, like a moral police, of their people. Each maverick group runs parallel government. In a way, apart from Sikkim and Arunachal Pradesh, all the remaining s tates have multiple governments. The problem of insurgency has become the stumbling block in the course of development.It foundered every development schema and hampered all the developmental works. Kidnapping, extortion, killing, bandh, strikes and curfews have become the order of the day. At the same time, the numbers and activities of the plain criminals masquerading as insurgents have also increased alarmingly. Today, the region has become the killing field and specialize in the export to death bodies, if not the manufacturing products. In short, the region has reached the pinnacle of the industrialization of insurgency and criminalization process.It would not be easy to decide the solvent. However, keeping in mind the rising global terrorism, it would be wise to work on a holistic approach for amicable solution sooner than the later. At the same time, what every insurgent group, operating in the region, should realize is that the formation of separate homeland or attainment of more autonomy or sovereignty is not the solution because within itself formation of new group with new demand can not be ruled out.b.fundamentThe rich natural and human resources available in the region could not be utilized to the full extent mainly due to the geo-political condition, including ever-deteriorating law and order, which has a lot of implication on the development of must needed infrastructure. The negligence of the central government in the past and due to the problems of insurgency at present resulted into the gross deficiency of infrastructure in the region. This has gamy the free flow of factors as well as products. In such a situation, it would be hard for the region to fall the benefits of globalization. It is also not surprising to find the lack of FDI inflow in the region. During January 2000 to Mach 2006 the region received only 9 million US dollar i.e. 0.04 per cent of the total FDI inflow in the country. The lack of infrastructure, as revealed by the in frastructure index apt(p) in Table 2, has not only spoiled the prospect of economic development but has also created a even division among various ethnic groups affect the fabrics of social harmony in the region.All the constituent states of the region are internally lockedthemselves locked and locking out others, unable to connect with each other physically in terms of poor transport links, and more seriously, unable to make connections intellectually and emotionally with their closest neighbours, or even with and among their own people.12 It has displaced the common understanding and linkages for unruffled coexistence and regional cooperation. In order to reconnect the illogical connectivity, wiliness and commerce and more importantly to foster emotional attachment among various ethnic groups inhabiting in the region infrastructures like roads, transports, communications electricity, banking etc. must be developed adequately. Such exercise would not only enlarge the base for the growth of the economy in the region but also enhance the regional cooperation-an locomotive engine of growth in this era of globalization. Underdevelopment breeds insurgency and insurgency retards development. This two are reciprocally reinforcing. This is a classic case of poisonous cycle of underdevelopment-insurgency-underdevelopment.Therefore, any policy programmes either to resolve the problems of insurgency or development of much needed infrastructure should go concurrently and not sequentially as it hampered the progress of one another. Further, as it has been assert in the programmening tutelage field on Transforming the North East, the approach of the central government should change from planning for the North East to planning with the North East.13 This implies that, under the prevailing circumstances mere allocation of stores or carrying into action of new policy would not serve up to tackle the problems in the region. Considering the emotional sentiments of the inhabitants and sensitivity of the issues, the region must be handled with care. every(prenominal) developmental programme for the region should have the consent of the inhabitants and needs to be penalise with sincerity without delay.c. organisationThe state is responsible for the substructure of conducive political, legal and economic environment for building individual capabilities and encouraging buck private initiatives.14 It would, however, depend on the quality of the governancemechanism, processes, systems, structures and institutions that guide the social, economic and political relationship. Good governance exercises its legitimate political power in a manner that is perceived as equitable, non-discriminatory, socially sensitive, participatory, naive and accountable to the people at large. This includes not only the process of transformation of human and natural endowments to a socially desired ends but also reveals the long term vision and commitment of the state to conceptive human well being and bear on development of the people.15 The state of governance in the region is in pathetic condition. administration machinery is on the brink of collapse. Corruption, squandering of ordinary funds, deteriorating law and order, lack of transparency and accountability, bureaucratic rigmarole, insensitivity and so forth are quite rampant in the region. There is widespread allegation of insurgency-government officials-bureaucrats-politician nexus, including law enforcing agencies, and draw off public funds. All this has eroded the individual capabilities and institutional capacities to meet the social objectives.Until and unless the quality of governance has been improved, no question how much is the fund earmarked for whatever the policy programme initiated would not be fortunate and only the common people have to bear the brunt. Taking into consideration of the simulacrum shift in the development strategy and the amount of funds allocated16 in young time, we may no longer be able to blame the central government in the near proximo. The present state of affairs in the region is past deed of the central government and what the future generation will face would be decided by what our government has done today.IV.OpportunitiesThe economy of the region has been disrupteded by the forces discussed in the preceding section in spite of her rich natural resources. Besides the natural resources, many new opportunities have also emerged with the changing contour of world economy that can emanation the economy of the region. But, the need of the hour is to focus on those areas which would lead to growth of the economy, develop the sense of conjunction and can extinguish the social and political chasm. The two main areas that can boost the economy are as followsa.tourism touristry is one sector where the region has comparative advantage. This persistence is highly competitive where the tourists have a wide range of choices and l ook for good value of their silver. With bountiful natures breathtaking scenic beauty, hygienic climatic conditions, extraordinarily diverse rich art and cultural heritage of the people, this region can become a hot spot for eco and adventure tourism.Tourism fabrication involves a vast network of business activities relating to attracting, receiving, accommodating, managing and armed service of tourists. These include hotels, restaurants, transport agency and several other related activities. The development of this industry would promote national integration and international understanding, generate custom and revenue and provide prospective buyers for local make products peculiarly handloom and handicraft productsa dyeing industry due to lack of access to market.Tourism can generate more employment per million of rupees spent than any other activities. It can generate jobs in the remotest corners for out of practice(predicate) to highly specialized skilled workers which wo uld help in the realization of plan objectives. It would also enlarge the base of locally manufactured products. All this, however, would be possible only when in that respect is well-developed infrastructure like transport and communication and sense of participation of the people of the region.b.Border tradeThe lack of connectivity and access to market, the main causes for under utilization of resources and weak resource-industry linkages, have set the economy of the region by half a century behind. The region has lost the markets in her neighbourhood, particularly in Bangladesh, due to partition, insurgency and diplomatic strains and tensions. delinquent to the peripheral location and stiff contestation from mainland industries having better access to critical inputs like finance, technology and management, the base of traditional manufacturing in the region has been eroded leading to deindustrialization. While resource base can actualise a variety of industries at all scales , the existing industrial structure, dominated by small-scale demand based industries has not been developed proportionately. This has widened the gap between resource base and industrial structure in the region. Further, due to the restriction of free movement of men and material across the border, the spirit of isolation has developed in the minds of the people. It is in this context, there is a strong line of work to develop border trade.In this more and more borderless world, establishment of border trade would not only provide an opportunity to hearten the local manufactured units but also serve as a expatriation corridor for the mainland big industrial units to explore the vast Asian market. This would also bring the centrality and visibility of the otherwise peripheral north east region.17 It is with this vision that look east policy was initiated in 1991. Unfortunately, as old habits die hard the central government still continues to live in the shadow of security obse ssed mindset and prefers inward looking at approach. As a result, even afterwards fifteen years of performance of border trade agreement, it has failed to invigorate the regions trade with their neibhouring countries. As a result, Indias look east policy has, by and large, bypassed the region.The percentage of trade with neighbouring countries have zip up to 8 per cent of the countrys total book of account of trade in 2003-04 from a mere 1.7 per cent in 1987-88. However, over two-third of the total volume of trade with these countries flow via Bay of Bengal while the land borders of the region have been left(p) for transit corridors for illegal trade . The lukewarmness of the central government in implementation of the policy has only led to rise in the porosity of these borderlands. An impressionistic perspicacity reveals that there is a rise in negative activities like cross-border insurgency, gunrunning, smuggling drugs, narcotics and AIDS, money laundering, trafficking wo men, illegal immigration etc. which elevate add to the existing multifarious problems in the region.Conclusionglobalization has become the most potent force emerged in recent time. It virtually affects every walk of lifepositive or negative. Unlike other regions of the Indian union, North East India is more likely to swamp by its negative effects. The region is at the throes of discernible crisis. Since 1991, there has been increase in inequality and unemployment, decline in the quality of the governance, rise in smuggling, trafficking, illegal immigration, corruption, squandering of public funds, escalation in insurgency related activities, etc. These have led to underdevelopment and erosion of the capacity of the individual and quality of life. A sense of departure has developed particularly among the educated youths of the region. The clock is ticking fast and fuse is not long. It is time to work on a holistic approach to resolve problems in the region.Notes1. Chanda, Nayan, 20 03, What is globalization? Coming Together globalization Means Reconnecting the Human Community, YaleGlobal Online, http//www.globalenvision.org/depository library/8/567. 2. Recently it has been argued that the turning send of higher growth rate in India was 1980 but not 1991 as perceived by many. For more details see Nayyar, Deepak. 2006. stinting Growth in license India Lumbering Elephant or cart track tiger?, economic and semipolitical Weekly, vol. 41, no. 15, pp. 1451-1458. 3. or so authors even argued that coastal states with open port facility have outperformed non-coastal states in the post globalization era. For more detail see Kishore, Adharsh. 2002. Towards an Indian Approach to Globalization, http//www.rba.gov.au/PublicationsAndResearch/Conferences/2002/kishore.pdf. 4. Sen, Amartya, 2005, The Three Rs of Reforms, sparing and governmental Weekly, vol. 40, no. 19, p. 1. 5. ibid., p. 1.6. Sikkim becomes the member of North East Council on December 2002 after an amend ment of the NEC constitute 1971. Since then all development purposes of the state has been treated at per with the other septette states of the region. However, the addition of Sikkim in the North eastern Region is yet to be reflected in the literature of NER. 7. The composition of the Special crowd on Targeting Ten Million calling Opportunities per Year over the Tenth Plan Period has viewed that Current Daily berth (CDS) is the better measure to capture unemployment than accustomed Principal and Subsidiary Status (UPSS). 8. The issue Human victimisation piece of music 2001 provides the augur of Gini Coefficient for rural and urban area only. It does not provide the combine estimate of the two.11. For more detail analysis see Roy, Sanjay K. 2005. hostile Nations in nor-east India, Economic and semipolitical weekly, vol. 40, no. 21, pp. 2176-2182. 12. Prabhakra, M. S. 2004. Is North-East India inland?, Economic and semipolitical Weekly, vol. 39, no. 42, p. 4608. 13. GOI. 1997. Transforming the North East Tackling Backlogs in Basic Minimum work and Infrastructure Needs, High Level Commission Report to the Prime Minister, training Commission, http//planningcommission.nic.in/reports/genrep/ne_exe.pdf, p. 2. 14. GOI. 2001. subject area Human Development Report, Planning Commission, http//planningcommission.nic.in/reports/genrep/nhdrep/nhdreportf.htm, p. 114. 15. ibid, p. 114.16. Apart from all the constituent states being assort as Special Category States, establishment of NEC and induction of DoNER speaks the volume of fund allocated to this region. 17. Verghese, B. G., op. cit.ReferenceAhluwalia, Montek S. 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