Livelihood. A struggle to subsist or right to life. D. T. Reji Chandra. a study report

Transcription

1 Livelihood A struggle to subsist or right to life livelihood opportunities and risks of rural communities in tamilnadu a study report D. T. Reji Chandra Forum for Collective Forms of Cooperation

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3 Livelihood A struggle to subsist or right to life livelihood opportunities and risks of rural communities in tamilnadu a study report D. T. Reji Chandra Forum for Collective Forms of Cooperation

4 forum for collective forms of cooperation Livelihood A struggle to subsist or right to life 2015 D. T. Reji Chandra rejichandra@pragma.co.in Published by Forum for Collective Forms of Cooperation (FCFC) National Secretariat: ODAF, NA/204, Neelachal Apartments, Cuttak Road, Bhubaneshwar, , Odisha South Regional Secretariat: FCFC South Region, SCINDeA, 219, Kottaiyur Road, Yelagiri Hills, , Vellore District, Tamil Nadu Design & Production: +G Publishing, Madurai Acknowledgements Dr. William Stanley, National Convener, FCFC, Bhubaneswar for the support to undertake the study. Dr. Sheila Benjamin, South Regional Convener, FCFC, Yelagiri, Tamilnadu for coordinating the study. The data collection from selected villages and the field visits were organised and coordinated by NGOs: Ms. J. Rajammal, Director, Rural Women s Development Society, Tiruvannamalai. Ms. A.N. Meenakshee and Ms. N.R. Parameswari, Imayam Social Welfare Association, Coimbatore. Mr. P. M. Mohan, Director, Centre for Improved Rural Health and Environmental Protection, (CIRHEP), Nilakkottai, Dindigul District. Mr. A. Jerald Morris, Director, Auroville Village Action Group, Irumbai, Auroville, Vilupuram District. Dr. I. Sebastian, Executive Director, St. Josephs Development Trust, Genguvarpatty, Theni District. Ms. M. Renida Sarala, Director, Women s Organisation in Rural Development (WORD), Pallipalayam, Namakkal District. Ms. K. Vijaya, Secretary, Virutcham Magalir Munnetra Kalzangiam (VMMK), Virudhunagar. Mr. S.Nadesan, Executive Director, Centre For People s Education (CPE), Pavoorchatram, Tirunelveli District Mr. K.R. Raju, Director, Village Development Centre (VDC), Manachanallur, Tiruchirappalli District. Mr. Godwin Gloridason, +G Publishing, Madurai for designing and printing the document.

5 livelihood: a study report Contents 1. Livelihood Study 3 Background; Livelihood study; Scope and methodology; FCFC 2. Livelihood Landscape 7 Understanding livelihood; Overview of rural poverty; Displacement and livelihood; Acts related to land acquisition and compensation; Government initiatives; Civil society organisations; Denial of livelihood rights 3. Livelihood: Practices and Perceptions 15 Selected districts; Agro-climatic zones Profile of villages: 17 Tirunelveli; Virudhunagar; Dindigul; Namakkal; Coimbatore; Thiruchirapalli; Nagappattinam; Thiruvannamalai; Villuppuram/Pondichery Interpreting data Livelihood: Key Factors and Emerging Issues 41 Water the lifeline for sustainable livelihood; Primary income from wages; Agriculture and land; Small business; Rural artisans; Land ownership and dalit communities; Livestock; Rainfall and drought; Migration; Access to credit; Sanitation; Alcohol; Transport Communication; Education; Subsidised and freebie schemes; Government schemes; Self-help groups, associations, cooperatives; Social exclusion; Changing patterns in climate. 5. Livelihood Right and Way Forward 55 National ample Surveys; Exclusion and the divide; Including the excluded; Right to livelihood; A journey of learning. List of participated NGOs 61 i

6 forum for collective forms of cooperation Contents Case Studies Pavali, the fruit yard of yesterday 19 Water for agriculture and drinking 22 Environment and livelihood: The pollution issue 25 A form of bonded labour 27 Family restored 30 Liberation by any means 33 A village of entrepreneurs 36 Watershed and migration 42 The double edged sword 43 Veera Chinnammal, the entrepreneur 45 ii

7 livelihood: a study report A journey of learning The livelihood study is a journey of learning; a journey through villages to engage with people and understand their diverse backgrounds and the dynamics of rural livelihood as perceived by them. The striking aspect in the journey is the vast divides and disparities between people belonging to different social classes and geographies. Sustaining livelihood and ensuring its security require both protection and promotion; protection of existing practices and promotion of new opportunities. But contrary to this, the most disturbing trend is the general endorsement for industrial and infrastructure expansions, in the name of development, that destroys and displaces existing livelihood opportunities of people. This is being justified as, for the greater development benefit small sufferings are inevitable. But the question always remains as to who benefits and who is to suffer. Moreover, this is denying the right to livelihood for a section of people by displacing them and creating opportunities for another section. In the process, a vast number of people are excluded from the benefits of such development initiatives and forced to rely on the informal economy, with low or almost no access to mainstream resources, services, and amenities. 1

8 forum for collective forms of cooperation As generally acknowledged, rural livelihood primarily depends on and revolves around land, water, and agriculture. It is evident that unless drastic reforms are brought into these areas, the number of excluded people, who are denied the benefits of the current development interventions, will continue to rise. The observations and reflections expressed in the study are based on both collected data and necessarily from people s perceptions. Perceptions may be unsubstantiated, but definitely they are real, they exist, and they operate and powerful in influencing the socio-economic and political contexts. Therefore the study is an attempt to capture the broader livelihood context that includes an outline of the livelihood landscape; profile of villages, practices and perceptions of people; key factors and dominant issues; and a way forward to promote livelihood as the right of people as guaranteed by the constitution. I thank FCFC, the National Forum for Collective Forms of Cooperation, for giving me this opportunity. I acknowledge and thank all the organisations and staff who participated in this study and supported the field visits and data collection. I hope this report will serve the primary purpose of enhancing the understanding on livelihood, and enable the FCFC member organisations to integrate the insights into their programming processes for effective livelihood protection and sustainable livelihood promotion of vulnerable communities. Madurai March, 2015 Reji Chandra 2

9 livelihood: a study report 1. Livelihood Study Struggle to subsist or right to life Background Forum for Collective Forms of Cooperation (FCFC) is a national platform of networks (Collective Forms of Cooperation-CFC), for mutual dialogue, exchange of knowledge, learning from experiences, and joint action. Most of the member CFCs work with their partner NGOs on a range of development and human right issues in specific geographic locations with diverse approaches and appropriate organisational structures. A few CFCs also work at the national level. The theme of FCFC for the current phase of is Livelihood. This includes capacity building, undertaking studies and research, and organising workshops on emerging issues related to livelihood, with a focus on livelihood issues of excluded communities. As part of the study and research programme, FCFC South Region initiated this study on Livelihood opportunities and risks of rural communities in Tamilnadu. South Central India Network for Development Alternatives (SCINDeA) the South Regional Convener of the FCFC coordinated this study. This study is one of the several studies initiated by FCFC on livelihood. Livelihood Study The main purpose of the study is to understand the livelihood context in Tamilnadu, especially in villages, as perceived by the community. This is an attempt to identify and document some of the dominant conducive and constraining factors that impact on the livelihood of communities, which could be integrated into the programming processes to plan strategies for joint action. Specifically, the study aims:?? To identify and assess livelihood opportunities, strategies, practices, and patterns in rural Tamilnadu?? To identify conducive and constraining factors in the rural livelihood context and the community response towards such conditions?? To identify opportunities and strategies to integrate livelihood intervention as part of the programming process of the CFC partner organisations. The scope of the study is limited to selected villages in Tamilnadu with the purpose of understanding the livelihood context and community responses. The report is based on the findings from the survey, field visits, and case studies, mainly to serve the purpose of knowledge sharing and integration into the programming process of FCFC partner 3

10 forum for collective forms of cooperation organisations. So essentially, the study attempts to identify the dominant trends, patterns, and issues around livelihood based on the information collected from the villages and people s perceptions documented through visits and interactions. Methodology: The Study was organised in two phases. The first phase was largely based on the responses from the selected representative NGOs who are based in different districts of Tamilnadu, selected from among the FCFC members, and in some cases non-members, to represent all geographical regions. A basic questionnaire was prepared and sent to all identified NGOs. Around 30 questionnaires were sent with a minimum three NGOs to represent each of the five regions. Since agriculture and associated activities generate the highest livelihood opportunities in Tamilnadu, the agro-climatic division of Tamilnadu was taken as the basis for dividing the regions. Tamil Nadu is divided into seven distinct agro-climatic zones based on rainfall distribution, irrigation pattern, soil characteristics, cropping pattern and other physical, ecological and social characteristics including administrative divisions. The study covered the five major zones among the seven, leaving out the hilly terrains that form part of small areas in a few districts at the western region and the high rainfall area which is only one district in Tamilnadu. The hilly areas, being occupied mainly by Adivasi (indigenous communities) who have a different livelihood pattern, resources, and issues, are also not covered. The second phase of the study was field based, shortlisted from the responses of the first phase. The field study included Focus Group Discussions with communities, NGO staff, and interviews of community representatives, local leaders, and associated institutions. In the second phase, nine blocks were identified from nine different districts representing all the five major agro-climatic zones. The blocks were selected within the districts with criteria such as existing diverse livelihood conditions, dominant livelihood opportunities, and distinct livelihood issues. Three villages, representing different livelihood activities, were selected from each block for data collection. A questionnaire, covering crucial areas of livelihood, was prepared and sent to the representing NGOs of that area to collect data from these villages. An orientation to the staff of the participating NGOs was organized in Trichy on 19th September The orientation covered an overview on the basics of livelihood, followed by a discussion on the purpose of the study, and the draft questionnaire to arrive at a shared understanding and interpretation. At the end, the questionnaire was finalised with the feedback and suggestions from the participants based on their field experiences. Data was collected from the selected three villages in each district, and among the three, two villages were visited for direct interaction with people and other stake holders. A total of 27 villages, covering five agro-climatic zones in Tamilnadu, were studied and in them 18 villages were visited to meet people and interview selected families or individuals for case studies and experience sharing. The methodology also included case studies, by profiling 4

11 livelihood: a study report Village meetings selected villages from a livelihood perspective, to understand the different contexts and dominant issues. The findings were shared in a debriefing session to clarify issues and finalise case studies. In addition, the key points and learnings were shared in a larger workshop in Chennai with representatives from the NGOs who participated in the study and other participants working in livelihood and associated themes. Resource Team: The study was undertaken by Reji Chandra, who has more than 20 years of experience in development project management with focus on network coordination, capacity building, and monitoring and evaluation; and thematic areas such as livelihood, entrepreneurship development, community enterprises, cross learning, and formulating community based interventions for a range of development sectors. Currently Reji coordinates Pragma Consultancy, a team of development professionals providing services to client organisations and communities through a variety of services for better delivery of their development goals. ( FCFC (Forum for Collective Forms of Cooperation) FCFC (Forum for Collective Forms of Cooperation) is a national forum of networks (CFC), formed in 2002, with a purpose of enhancing effectiveness and impact of members, and enable them to network, cooperate, and undertake joint action programmes at local, regional, national and global level, in order to pursue a sustainable pro-poor development process. By design, FCFC is a non-institutional, non-hierarchical network and the efforts by its members are voluntary in nature. FCFC is having a national secretariat, currently at Bhubaneswar with ODAF, which coordinates the forum with five regional chapters (North, North East, East, West, and the South) and focusing on identified key areas that cut across all the five regions, based on the emerging national issues in consultations with regions. FCFC partnering 5

12 forum for collective forms of cooperation with EED/BftW, plans and facilitates implementation of programme activities by member CFCs. FCFC aspires for a harmonious society where people live a better life and a better future through addressing a number of issues affecting the life and livelihood of the poor and marginalized sections of the communities. FCFC has taken up wide range of campaign and advocacy on emerging development issues to influence the policy environment in favour of the weaker and vulnerable sections of people, in the areas of land and agriculture, women and children, social welfare schemes, rights and entitlements of marginalised, disaster, drought, environment, education, and health. FCFC has a focus area for every three years and after focusing on climate change during the past few years FCFC has identified livelihood as the current focus area. This includes research and documentation, orientation on emerging issues, and cooperation and facilitation for building networks and strengthening alliances. 6

13 livelihood: a study report 2. Livelihood Landscape Understanding livelihood What is livelihood? Making a living, supporting the family, or my job all these answers describe a livelihood aspect. The term livelihood is generally understood as strategies and activities that people identify and apply to support their survival. In addition to the efforts of people working for their own livelihood, other stake holders such as governments, industries, civil society, and other socio-economic factors influence livelihood efforts of people by being a threat or strength with mutually beneficial or conflicting interests. A variety of definitions for livelihood have emerged that attempt to represent the complexity. Livelihood is defined as a means of securing necessities of life such as food, water, clothing and shelter. It is commonly understood as a source of income, means for living, and security for life. It includes a variety of activities for earning income, fulfilling life needs, and also the capacity to acquire such requirements for life. More commonly, documents refer the definition suggested by Chambers and Conroy: A livelihood comprises the capabilities, assets (including both material and social resources) and activities required for a means of living. A livelihood is sustainable when it can cope with and recover from stress and shocks and maintain or enhance its capabilities and assets both now and in the future, while not undermining the natural resource base. (Robert Chambers and Gordon Conway, 1991) Livelihood, as a whole, includes the various types of assets people have and use, the strategies they choose, and activities they practice to make a living. This also includes the context, within which a livelihood option operates along with other associated factors, that either makes a livelihood vulnerable to risks or offers support to sustain. Sustainable Livelihood is a more coherent and integrated approach to livelihood. Sustainable livelihood essentially encompasses both the self-sustaining aspects of a livelihood activity and the integral assurance for sustaining the environment. A livelihood is sustainable when it can cope with and recover from stress and shocks; maintain or enhance its capabilities and assets both now and in the future, while not undermining the natural resource base, and provide livelihood opportunities for the next generation; and which contributes net benefits to other livelihoods at the local and global levels and in the short and long term. (Chambers & Conway, 1991) Livelihood is not a set of isolated income generating activities, but a system with a range of factors that influence and interact with each other in a context. This context includes the assets people draw upon, the strategies they develop to make a living, the policy framework which has a bearing on livelihood activities, and all associated factors that strengthen or weaken the efforts. As a result of this complex dynamics it becomes a greater challenge to protect, promote, and sustain livelihoods. 7

14 forum for collective forms of cooperation Livelihood assets include human, social, natural, physical, and financial assets/capitals. Assets may be physical, such as land, plant, livestock, tools, and other resources; and may also be intangible such as rights for food or work or livelihood, and access to resources, information, education, health and other services. Another way of understanding the livelihood assets, or capitals, that people draw upon to make a living is to categorize them into groups. LIVELIHOOD ASSETS Human Social Natural Physical Financial Skills, knowledge, health, ability to work Social resources, including informal groups/networks (SHGs) Membership of formal groups, trust that facilitate co-operation or ensures rights, Economic opportunities Land, Soil, Water, Forests, Fisheries Roads, Water & sanitation, Schools Producer goods, including tools, livestock and equipments Savings, Credit, Income, trade and remittances Livelihood strategy means the variety of approaches on how people access and use assets, within the social, economic, political and environmental contexts to make a living. Livelihood strategies could be several, diverse, and combined to meet needs of households, sustain themselves, build their capital, and contribute to the growth of the household. Livelihood context: Livelihoods form within and part of social, economic and political contexts. Institutions, social relations, governance, and policies and policy processes such as markets, social norms, land ownership, access to resources, and other practices affect the ability of a household to access and use assets for a beneficial result. All these factors are interlinked and capable of creating obstacle or opportunities for livelihood. Livelihood vulnerability: Vulnerability is the inability to withstand the effects of a, negative change in the context of a livelihood. The strength of a given livelihood is not only judged by its useful results, but equally by its resilience to such changes. The vulnerability level affects the capacity to manage risks. Livelihood risks make a livelihood vulnerable to shocks and stresses. This includes disasters, conflicts, economic recession, changes in politics and governance, technology, and availability 8

15 livelihood: a study report of natural resources. Such risks can cause serious obstacles to livelihoods. (Source: Guidance Note on Recovery Livelihood, UNDP) Livelihood rights: Article 21 in The Constitution of India, 1949 mentions about Protection of life and personal liberty. The constitution guarantees that no person shall be deprived of his life or personal liberty except according to procedure established by law. Till 1960, the Apex Court was of the view that Article 21 of Indian Constitution does not guarantee right to livelihood but only right to life. But later, the interpretations changed. According to this interpretation, the sweep of the right to life conferred by Article 21 is wide and far-reaching. It does not mean, merely that life cannot be extinguished or taken away as, except according to procedure established by law. That is one aspect of the right to life; an equally important facet of that right is the right to livelihood because, no person can live without the means of living, that is, the means of livelihood. Overview of rural poverty in India India, over the past few years experienced a GDP (gross domestic product) growth coupled with a significant increase in its middle class. However, a large number of people are still trapped in poverty. Recent figures show that 34 percent of the country s billion one out of every three people earn less than Rs.75 ($1.25) a day. This is worse in the case of rural communities who have fewer opportunities, since many of the traditional livelihood options have diminished and small businesses and crafts almost wiped out by organised large volume corporate units. It is widely acknowledged, often questioned, that the Indian economy is more focused on the GDP growth ignoring employment generation, inclusive development, and reduction in rural poverty. India experiences an impressive growth and is one of the major producers of food items. But on the contrary, it is widely reported that one-third of the world s hungry live in India and over 230 million Indians sleep hungry every night. On the Global Hunger Index India ranks 66th out of 88 countries. According to United Nations Children s Fund (UNICEF), one in every three malnourished children in the world lives in India and every second child is malnourished. In India, about 50 percent of all childhood deaths are attributed to malnutrition. Former Prime Minister Manmohan Singh, in February 2012, called this as a national shame. The rural poverty situation in India is very complex and it differs between regions and social classes. Poverty denies access to livelihood assets, mainstream services, and the dignity of secured livelihood. A vast majority of the poor households in rural areas belong to the socially marginalised groups and the minorities who are engaged in low productivity occupations. Apart from deprivation, isolation, and exclusion, these sections of people are subjected to indiscrimination and a significant proportion of them live in highly vulnerable regions, 9

16 forum for collective forms of cooperation suffering due to the impact of poverty by way of denial of livelihood opportunities. In addition, the rural poor have limited skills and face depletion of natural resources. Moreover, they are restricted to benefit from the urban centric growth processes. A large proportion of these households are engaged in agricultural labour, which has been experiencing a decline in recent years. According to the Planning Commission, monthly per capita income of less than Rs.1,000 (Rs.33.3 per day) in urban and Rs.816 (Rs.27.2 per day) in rural areas is the poverty line for deciding the below poverty line (BPL) population. Based on these new criteria, 13.7 per cent of urban and 25.7 per cent of rural population are poor. Based on this figure, the overall poverty ratio (proportion of poor in total population) is said to have declined from 37.2 per cent in to 21.9 per cent , an impressive 15.3 per cent fall over seven years. But these criteria for deciding poverty line and the figures about the proportion of poor in the country are strongly challenged by economists, media, and civil society representatives, since the number is brought down by reducing the income level to define poverty. The government also announced another set of approximate poverty figures after releasing the Planning Commission estimates, based on those to be covered under the new National Food Security Ordinance (NFSO). According to NFSO, nearly 67 percent of the population needs subsidised food grains. Based on the year consumption expenditure, the estimates placed the poverty line much higher, at per capita Rs.1,506 per month (Rs.50 a day) for rural and Rs.1,850 per month (Rs. 62 a day) for urban. This figure is very close to the World Bank s poverty line of US$ 2 (purchasing power parity [PPP]) in corresponding to Rs.45 in rural and Rs.57 in urban, per capita per day. (Source: State of India Livelihood Report 2013, by SOIL, 2014) This goes with the World Bank Report Addressing Inequality in South Asia, published in 2014, which reiterates that inequality in South Asia is much more glaring than what government data shows because standard yardsticks of measuring income don t reveal the true picture. Wages: A majority of the people in rural areas depends on wages. This varies from the informal daily wage earners to formal sector contract workers. Though there is regular increase in wages, the impact of such increase is mixed. International Labour Organisation (ILO) reports that increasing prices in India, especially of food, eliminate much of the nominal gain in wages, and this is the major cause of shrinking purchasing power of workers. (Global Wages Report, , International Labour Organisation) Land and agriculture: In India, although the contribution of agriculture to the Gross National Product (GNP) is around 35 percent, over 85 percent of the rural income is generated only from agriculture. Most of the rural families have been treating agriculture as a family tradition. Though agriculture and allied activities are the major source of livelihood in rural areas, most farmers are not able to cultivate their land economically. 10

17 livelihood: a study report Over percent of the rural families are landless and among the land holders, 69 percent are marginal farmers with less than one acre holding and about 21 percent are small farmers with 1-2 acre holdings. Thus about 90 percent families own less than 51 percent lands, with a per capita holding of 0.19 acre. Out of the 147 million hectare agricultural lands, about 60 million hectare are located in arid zones, which are mostly owned by the dalit or other poor families. As the chances of crop failure on these lands is very high, the farmers generally do not invest in these lands and end up with poor crop yields, even during normal years. Water: Water is the critical input for human consumption as well as for crop production and rural employment generation. Water has become a critical issue for livelihood and a rapidly depleting natural resource due to low level of rain comparing to the past years, encroachment of water bodies for other purposes, and absence of proper water management system. Rainfall is the main source of water for agricultural production in India. However, in the absence of adequate soil and water conservation practices, it is estimated that over 65 percent of rainwater runs off to the sea, after flooding the rivers. In addition, farmers use excessive water in cropping areas under irrigation. As a result of poor soil and water conservation measures, the average yield of food crops in India is lower as compared to many other countries. Forests: While forests are the main source of livelihood for indigenous people (adivasis), forest resources have been providing many direct and indirect benefits to other rural communities who live near the areas. Lately, a large area of forest land is devoid of vegetation due to over-exploitation for commercial purposes. The effects of deforestation are evident in the form of shortage of fodder, fuel, timber, non-wood forest products and medicinal herbs. The indirect losses in the form of soil erosion, deepening of ground water table, and reduction in green cover are more serious. As a result, the existence of millions of tribal families and other rural communities living near forest areas, who were dependent on forest products for livelihood, has been threatened. Livestock: Another important source of income, as a main livelihood activity or as a supplementary income, is livestock. Livestock also complements agriculture. Cattle and buffaloes are popular for milk production. As milk is an important part of the diet and bullock power is still used for farming and rural transportation, families maintain animals even though they are often uneconomical due to reduced grazing area and poor livestock management. Fisheries: Fish production in India has increased more than tenfold since its independence in According to the Food and Agriculture Organisation (FAO) of the United Nations, fish output in India doubled between 1990 and As per data, Tamilnadu has 11

18 forum for collective forms of cooperation a coast length of 1076 kms, and the marine fish production is 4,29, tones. The inland fisheries resources have 3,73,696 hectares and the production is around 1,89, tones. Fishing is the main source of livelihood for the coastal communities and as forest resources this also provides livelihood opportunity for people who live adjacent to coastal areas. Migration: Migration of people as a workforce from rural to urban areas has accelerated in India, including Tamilnadu, due to the urban-based economic development and higher wages in non-agricultural jobs. Thus, by shifting occupation from agriculture to nonagriculture, people try to raise their income and alleviate from poverty. Poverty and discrimination are the root causes of migration. Historically, migration has been a common livelihood strategy practiced by households. The major cause for migration is lack of employment opportunities in the place of origin with an opportunity of a high income employment in the destination areas. Migration mostly helps migrant households avoid hunger and starvation, and in successful cases improve the economic well-being of the families. The development-induced migration is commonly known as displacement. Displacement and livelihood Development-induced displacement is another key issue that affects communities and their livelihood. Communities and individuals are moved out of their homes, often also from their homelands, by force in the name of development. This in effect displaces them from existing livelihood opportunities. Such forced migrations have been happening, associated with the construction of dams, but currently expanded to many other activities, such as mining, creating economic zones, industrial corridors, building military installations, airports, industrial plants, weapon testing grounds, railways, road developments, conservation projects, forestry, etc. Development-induced displacement is a livelihood issue affecting communities in rural, forest, costal and urban areas. The people who face such migration are often helpless, suppressed by political power and laws. Greater good is used as a justification for such projects and associated displacements, which in recent times are opposed by protests as human right violations. Acts related to land acquisition and compensation A few Acts and legal aspects have direct bearing on livelihood, especially that of the vulnerable communities. Mostly they are in the realm of traditional livelihood rights related to forest, coastal areas, settlements, and around land acquisition. Land Acquisition in India refers to the process of land taken over by the central or state governments for various infrastructure and economic growth initiatives. Several controversies have arisen with claims that land owners have not been adequately compensated, and people are displaced from their habitat and deprived of their livelihood right. 12

19 livelihood: a study report Till 2013, land acquisition in India was governed by Land Acquisition Act of The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, came into force from 1 January The 2013 Act focuses on providing not only compensation to the land owners, but also extend the provision of rehabilitation and resettlement benefits if any livelihood loss is caused, which shall be in addition to the compensation. The minimum compensation guidelines are changed and other factors laid down in the Act such as forbidding or regulating acquisition of multi-crop irrigated area, acquisition of land for use by private companies or public-private partnerships, including compulsory approval of 80 percent of the landowners. The Act also introduced changes in the land acquisition process, including a compulsory social-impact study, which needs to be conducted before an acquisition is made. Recently the new government has introduced an ordinance called Land Acquisition, Rehabilitation, Resettlement Ordinance that dilutes many provisions of the 2013 Act, with a justification that there should be a balance between the welfare of the farmers and industrial growth. Political parties, farmers organisations affiliated to political parties as well as civil society movements across the country have expressed their opposition to this ordinance. Government schemes Both the central and state governments execute schemes to improve the livelihood of poor communities, especially focusing on BPL (Below Poverty Line) families. The two initiatives that have direct impact on livelihood are the National Rural Livelihood Mission (NRLM) and the Rural Employment Guarantee Scheme. National Rural Livelihood Mission (NRLM): NRLM has an ambitious mandate. It aims to reach out to all rural poor families (BPL families) and link them to sustainable livelihood opportunities. NRLM aims towards building, supporting and sustaining livelihoods of the poor. NRLM harnesses the innate capabilities of the poor, complements them with capacities (information, knowledge, skills, tools, finance and collectivization) to deal with the rapidly changing external world. The three major components of this mission include enhancing and expanding existing livelihood options of the poor; building skills for the job market outside; and nurturing self-employed and entrepreneurs. The NRLM projects are implemented in many states in collaboration with and supplemented by state governments. The National Rural Employment Guarantee Act 2005: This is an Act to provide for the enhancement of livelihood security of the households in rural areas of the country by providing at least one hundred days of guaranteed wage employment in every financial year to every household whose adult members volunteer to do Skilled or manual work and for matters connected therewith or incidental there to. 13

20 forum for collective forms of cooperation The XI Five Year Plan also has adopted an inclusive growth strategy of expanding livelihood opportunities to the excluded social and occupational groups. NABARD (National Agriculture and Rural Development Bank) has introduced the concept of Village Adoption/ Village Development Plan (VDP). The objective of Village Development Plan is to mobilize resources, create awareness, and ultimately provide the village with access to public services based on a need assessment. At the Tamilnadu state level, there are number of schemes that are directed on livelihood. A study done by IFMR (Institute for Financial Management and Research), Chennai has listed 39 such schemes in Tamilnadu, that supports programmes such as entrepreneur development, animal husbandry, credit support with subsidy, self-employment programmes, land development schemes, water shed development, and support for development of specific thematic area and many schemes for specified communities. Involvement and initiatives of civil society organisations Though the number differs, a large number of NGOs and Civil Society Movements function in Tamilnadu who work with various communities, on a variety of themes and issues. Many such organisations and movements also address livelihood issues, often with differing approaches and actions. Specifically, two major approaches prevail. One aims to protect existing livelihoods by focusing on the livelihood right that generally include mobilisation communities against displacements, and other violation of livelihood rights, and working in policy areas with advocacy and lobbying strategies. The other approach, the promotion and strengthening of livelihoods, focuses more on capacity building of communities, vulnerability reduction, risk management measures, creating new livelihood opportunities, and facilitating access to mainstream resources and services. Many such organisations, driven by different ideologies, adopt an approach suitable to the organisational capacity, appropriate to the community, and relevant to the context. To ensure secured livelihood it is crucial to ascertain the right to livelihood; and it is also equally important to build community capacity to adopt livelihood strategies and manage livelihood risks. The capacity to manage natural resources is equally important as the right to access natural resources. Denial of livelihood right In summing up, livelihood is influenced by various factors and it is a complex issue. In spite of the significant economic growth in India, still more than 30 percent of the population lives with less than Rs.60 a day. There are ongoing responses to address this disparity by different stake holders such as government, non-governmental agencies, and business sector with a variety of approaches and schemes in collaboration with and often in conflict with each other. All these efforts, though often have generated some temporary results, have ultimately failed to address the deep rooted problems even after 67 years of independence. 14

21 livelihood: a study report 3. Livelihood: Practices and Perceptions In the first phase of the study, basic data was collected from 32 NGOs representing all regions of Tamilnadu. From these responses, three villages each from nine blocks in nine districts were identified for detailed data collection and visits. The data from 27 villages was consolidated to identify the key practices, prevailing trends and emerging issues around livelihood. Among these 27 villages, 18 villages were visited for direct observation and interaction with people, village leaders, NGO staff, and local government representatives. The profile of selected villages and case studies are primarily based on observations during the visits, and interactions with people. The interactions helped to understand people s perceptions which reflect their livelihood struggles, aspirations, and fears that depict the larger livelihood contexts in the villages. Information was collected on the following significant factors that have direct bearing on rural livelihood activities and associated issues.?? Primary occupation of the village and income?? Land ownership?? Water resources?? Health?? Education?? Infrastructure?? Communication?? Social capital?? Community capacity?? Access to natural resources?? Access to credit?? Migration?? Displacement?? Social problems?? Government Schemes?? Dalit families 15

22 forum for collective forms of cooperation Selected Districts Krishnagiri Vellore Tiruvannamalai Thiruvallur Chennai Kancheepuram Nilgiris Coimbatore Erode Tiruppur Dharmapuri Viluppuram Salem Cuddalore Namakal Perambalur Ariyalur Karur Tiruchirappalli Nagapattinam Thanjavur Thiruvarur Dindigul Pudukkottai Theni Madurai Sivagangai Virudhunagar Ramanathapuram Tuticorin North-Eastern Zone Kanniyakumari Tirunelveli High Altitudes and Hilly Zone Western Zone North- Western Zone Cauvery Delta Zone Tamilnadu Agro Climatic Zones Southern Zone High Rainfall Zone 16

23 livelihood: a study report 3.1. Profile of villages 1. Tirunelveli Tirunelveli district comes under the south agro-climatic zone in Tamilnadu. It has an area of 6823 sq.km with a population of over 30,00,000. In this, the working population is around 15,00,000 people with agriculture and allied activities alone comprising above 50 percent; house hold activities comprises around five percent, and other small trades and services around 45 percent, in which a large number is concentrated in urban areas of the district. Rajanagapuram, Alagappapuram, and Manthiyoor are the three villages selected from Kadayam block of the district for the study. Tirunelveli is said to be the only district in Tamilnadu to have all the five types of ecological zones as described in the ancient Tamil literature as Kurinchi (hilly), Mullai (forest), Marutham (fertile land), Neithal (seashore) and Palai (desert land). The district is irrigated by several rivers originating in the Western Ghats, such as the Pachaiyar river, which flows into the perennial Tamiraparani river. The Tamiraparani and Manimuthar rivers have many dams with reservoirs providing water for irrigation and power generation. The Tamiraparani provides consistent irrigation to a large agricultural area in the district. The Chittar River also originates in this district. The Courtrallam and Manimuthar waterfalls are the two major and popular falls in the district. Beedi rolling, (beedi is a native cigar made of tobacco flakes rolled in a dried Tendu leaf, or Piliostigma racemosum, and tied with a string at one end) is a main household activity next to agriculture. In many parts of the district, especially in rural areas, beedi rolling is an employment activity of majority of households for years. For many families this is the main Beedi rolling 17

24 forum for collective forms of cooperation source of income as almost all family members are involved in this, often including children after their school time. Since agriculture is a seasonal job limited to a period, even for those families who primarily cultivate, beedi rolling provides supplementary income and a major support during off season. The primary crop is paddy, irrigated by rain and water from the dam through canals. The availability of water makes agriculture as a core and viable activity in these parts of the district. With the wealth of water, fertile lands, and beedi rolling as a supplementary income, households seem to be reasonably employed, though issues on the exploitation of beedi workers by companies and its effect on the health of women and children are often raised. The registered formal companies provide security measures to people who work for them that include health insurance and provident fund. Such benefits are available even if people work for these companies from home. A number of families also work in unregistered informal firms that operate alongside through contracting arrangements with some local agents. Since forest area is close to the village there is constant threat from animals both for crops and people. Livestock, which was a major supplementary income and part of integrated farming in the past, is reducing during the recent years due to shortage of fodder and restrictions to graze cattle in the forest area or collect grass from the forest. Migration of families is a rare phenomenon except educated youth moving out to cities for jobs in companies. 2. Virudhunagar Virudhunagar district has an area of 4243 Sq. Km, in which 6.3 percent is under forests found in the eastern slopes of the Western Ghats. The scheduled castes accounts for percent. Virudhunagar district has a concentration of match, fireworks, and printing industries with Sivakasi being the hub, which is known to be a leading industrial town for these specific industries. There are nearly 450 fireworks factories giving direct employment Drinking water in drought areas 18

25 livelihood: a study report to about 40,000 workers and about one lakh indirect employment. About 3500 match factories are situated in Sivakasi and Sattur areas of Virudhunagar district. Besides, Virudhunagar is the main market in Tamilnadu for oil, chicory, coffee seeds, dry chilies and pulses. Ginning factories, spinning mills, power loom and hand loom industries are also present in the district. Amathur, Pavali, and Senkundapuram are the three villages selected for study in Virudhunagar block. Agriculture, which was the primary activity in these villages in the past, has gradually lost its primacy. People state repeated drought due to failure of rain and poor maintenance of irrigation tanks as reasons for the decline in farming. These villages have not opted for ground water to irrigate their crops when rains failed, rather took up jobs in factories. The opportunity to work in match industries, firework factories, and other mills and trading centers could be one major reason for people to give up farming and take up other available jobs. A good number of people work in these factories even from remote villages, since factories arrange bus transport to pick-up the workers in the morning and drop them in the evening after work. It is also a common practice to collect the raw materials from the factories periodically and work from home on a piece rate basis. People agree that they have relatively good employment opportunities now in the context of declining cultivation, but they are also worried about the future of these jobs due to mechanisation of the factories, corruption in regulatory bodies, and import of cheaper products from China. Since majority of families in these villages are totally dependent on these industries for survival, any threat to these opportunities will cause a major crisis in this area. It is evident from these villages, that when alternate employment opportunities exist, people prefer to opt out of agriculture and take up these jobs. The higher the risk in agriculture the more people move out of it. Though these villages face repeated drought and decline in cultivation due to scarcity of water for irrigation, it has not affected their drinking water supply. This is significant because while many fertile intensive agricultural areas undergo drinking water shortage, these drought prone and dry areas do not face that problem. The district in general, due to its current dry nature, is not a conducive place for either agriculture or industries that require high amount of water. Perhaps that is the major reason why the fireworks, match industries, and printing work which require dry weather and less water thrive in the district. Secondly though cultivation area is limited, the district has emerged as a trading centre of many agricultural products cultivated in other areas. Pavali village is around six kilometer away from Virudhunagar town, the head quarters of Virudhunagar district. The village has around 1200 families which Pavali, the fruit yard of yesterday include around 360 dalit families. Almost all dalit families in the village are landless, whereas majority from other communities own less than two acres of land. 19

26 forum for collective forms of cooperation Agriculture was the main livelihood activity in the village even six years back, but now the farming area is reduced to less than 25 percent of what was cultivated earlier. People attributed low or no rain fall during the past few years as the primary reason for the decline in cultivation. The village ponds, full all through the year in the past, are now dried up and used as playground by children and youth. Repeated droughts and consequent loss of crop due to lack of water, discouraged people to continue farming. Even presently some families cultivate paddy, cotton, and millets in small areas very much depending on the availability of water. Match industries and firework units, which are widespread in the district, have become the primary source of income. Though villages are linked with roads, transport facilities are poor, except the bus from the match factory that pick-up and drop those who work in the factory. Due to the existence of many industries and allied activities, child labour, till recently, was a major issue in this region and thus became a focal region for child right activists. These days all our children go to school because parents have realised the value of educating their children. Child labour existed in the past due to poverty and ignorance about education, said Gurusamy one of the elders in the village. Migration to nearby towns and to other places for work is high. Lately, the match and fire cracker units are also having difficulties in providing adequate employment due to mechanisation, corruption, and the import of Chinese products which are cheaper than the local ones. The interesting observation is that, though there is heavy drought and shortage of surface water for agriculture, there is no drinking water shortage in the village. The bore well pumps at many points in the villages, erected by the local government, provide sufficient water to the families. Usually, such dry areas face shortage of drinking water and the exception here is perhaps due to the alternate employment opportunity in local industries. As a result, farmers have not resorted to ground water extraction for cultivation; Recalling memories Once a fruit garden 20

27 livelihood: a study report instead took up the factory jobs when rain failed and cultivation turned out to be risky. Such an option reduced the need to use ground water, and as a result, comparing to other dry areas, these villages still have enough ground water reserve for drinking. It was hard to believe, when many elderly villagers said that Pavali was a place popular for fruit cultivation till According to them, fruits from Pavali had a demand in the surrounding markets. Once people from the nearby town worked in our farms, but now we go to nearby towns looking for jobs. This land where fruit trees were grown a few years back now looks fruitless. We had a garden till 1976 in this place where we stand now. Look around now, what has happened to our village due to repeated drought? grieves Samayan, who worked in that fruit farm till Dindigul The district has an area of 6, sq km with a population of 2,159,775, according to the 2011 census. The Scheduled Castes account for percent. The literacy rate of the district is less than the national average. Among the total 1,105,155 workers in the districts, more than 633,000 (above 50 percent) are in agriculture and allied works. The total cultivated area in the district is 2,61,758 hectare. Mallanampatti, Poosaripatti, and Lakshmipuram are the three villages identified for the study from Batlagundu block. Varieties of flowers, such as Madurai malli, (Jasmine), Vadamalli (Nerium), Pitchi (dwarf armadillo), are cultivated extensively in this part of the district. In some areas, grapes are also cultivated. Flower is a profitable crop if water is available. The flowers cultivated here have good local and as well as export market, used for decorative purposes and for industrial purposes for extracting aromatic products. The intensive flower farming over the years, and drought in recent times, marginal farmers who own small pieces of lands have almost stopped farming due to water shortage. Since they cannot invest for digging deep bore wells, instead of cultivating in their lands, they preferred to work in other flower fields for wages. The farmers, who hold large areas of land, started digging bore wells that eventually resulted in ground water depletion. As a result, these villages currently face acute shortage of drinking water. Women start plucking flowers in the fields from midnight, so that the flowers could reach the market early in the morning. These women, after their work, go to sleep only in the morning and sleep almost till noon. Without proper lighting in the field at early hours, this work carries the risk of snake and insect bites. Such incidents are reported as common. Though flower cultivation is remunerative, the area of cultivation is reducing year by year due to shortage of water. As a result, since no other alternate livelihood opportunities exist, families migrate to other industrial, urban places looking for jobs. 21

28 forum for collective forms of cooperation Mallanampatti village is around 35 km from Dindigul, the district headquarters. Around 200 families live in this village that includes 40 dalit families. Around 50 families hold in an average two acres of land. The dalits are landless and live in a colony at the far end of the village, away from other communities. These dalit families are mostly wage earners in fields. The main occupation of the village is agriculture, mainly cultivating flowers. The jasmine and nerium flowers of this area are popular and they have a good market. Most of these dalit families work in the fields, along with other landless families. Flower cultivation is much dependent on water. Due to low rainfall during recent years, the farmers faced severe shortage of water for their crops. As a result, small farmers opted out of cultivation and those who are capable of investing, went for ground water by digging bore wells. Thus, excessive use of ground water over a period of time has resulted in depletion of ground water, Water for agriculture and drinking making it necessary to dig deeper and deeper. Lately, when bore wells permanently failed to yield water, a few farmers even bought and transported water in trucks from far away villages, to save standing crops. Since the ground water level has gone down, and there is no other option to bring water from other places, currently the village is facing severe drinking water crisis. The bore wells dug in the village by the local government for drinking water purposes have dried up. For women it is a struggle on each day to fetch water for drinking and other domestic use. Water is pumped and supplied only once in a week and that is also for an hour or so, and within that time it is difficult for all families to collect the required water. An informal sort of rationing is regulated by families to have some fair distribution, yet they could not avoid occasional quarrels. If they miss this weekly ration of water, they have to go to the fields, two to four kilometer away, and request the land owner for a pot of water from the bore well. Women are now For water in Mallanampatti village 22

29 livelihood: a study report worried because in the fields too, water level has gone down and many wells are already dry, and if this continues what will happen and where they will go for water. The severe drinking water shortage, has forced some families in the village to go for rain water harvesting using inefficient crude methods of collection. This desperate attempt also failed to fully address their problem. People also fail to understand that there is a direct link between the overuse of ground water by farmers for cultivation and the shortage of drinking water in villages. The understanding about water as a common natural resource is also lost. Ground water is considered as a private property as part of the land ownership; it belongs to the land from where it is sucked. The land ownership also holds the ownership of the water beneath. Since these villages have no other option except agriculture for their income, farmers are forced to go for ground water that eventually results in drinking water shortage and migration of families. Many migrated to Tiruppur and Coimbatore, the nearby cities, looking for jobs in textile mills and other factories. Water makes people to move out. 4. Namakkal Namakkal district in many aspects shares the profile of Salem and Erode districts. According to 2011 census, Namakkal district had a population of 1,726,601 with Scheduled Castes and Scheduled Tribes accounting for 20 percent. The rivers Cauvery, Aiyaru, Karipottan Aaru and Thirumanimutharu run through many parts of the district. Namakkal is a popular place because of its Lorry body building industry. More than 150 Lorry body building workshops with a number of subsidiary industries are operating in this district. In addition weaving, poultry, sago productions are dominant economic activities. A few blocks in Namakkal have weaving as the primary activity as in the neighboring Erode district. Erode is well known for textile products of handloom, power loom, and readymade garments. The handloom and power loom products such as cotton sarees, bed spreads, carpets, lungies, printed fabrics, towels, and dhotis are produced and marketed massively. Kaliyanur, Govindampalayam, and Sowthapuram are the three villages selected for the study from Pallipalayam block in Namakkal district. Since Pallipalyam is close to Erode district it more reflects Erode, the textile centre. Since a few rivers flow into this district, including Cauvery, water is available and agriculture was the primary occupation cultivating paddy, sugarcane, and cotton as the major crops. Currently, due to the enormous growth of power looms and allied activities in textile, agriculture is pushed to the back in many areas of the district. The textile related processing, that has developed and occupied most of the villages, requires high amount of water. Due to the risks involved in agriculture with its seasonal nature, many families opted to textile related jobs over cultivation. Many farm lands are converted into bleaching and dyeing 23

30 forum for collective forms of cooperation units and used for other allied activities, causing heavy water pollution. The toxic nature of water prevents even those who want to cultivate in their lands. This in turn further affected agriculture. The pollution of water and use of agricultural land for textile units have created a major conflict in Erode and Namakkal districts between textile industries and farmers. In this, farmers are supported by environment activists. The pollution of water affects agriculture, drinking water, and health. But when the issue of pollution and health was raised, women expressed that survival is more important for them than pollution. We have to live; we want to work and earn some income; we know some people develop health problems because of these kinds of work. But we have to compromise the pollution issues for the sake of the income we get from it. Due to job opportunities created by textile units, many people from other areas migrate into these villages. Agricultural lands are sold as housing plots since there is demand for more houses. Sell land and invest in a bank. You get some interest for that amount. No cultivation is profitable these days, says Iyavoo, an elder from the village. Lands cultivated a few years ago were being rented out for dyeing units, because it brings more money than cultivation. Awareness for educating children is high as educating children is seen as the only way to liberate them from the drudgery they face in their work and life. People claim that currently there is no child labour in the village, though it was common some years back. A few families have availed government schemes that are available for weavers. In spite of employment opportunities and regular income, compared to many other districts, borrowing from money lenders is also high in these areas. More commonly, families borrow from power loom owners by committing their work and in some cases even the work of all family members. This is almost like a bond to work with an owner. Weaving Cotton Yarn 24

31 livelihood: a study report Environment and livelihood: The pollution issue In Erode and Namakkal districts there are a number of textile bleaching, dyeing, and processing units that have been functioning without effluent treatment plants. The untreated waste water is being discharged in the rivers. Since these chemicals have highly polluted the water sources, both meant for drinking and agriculture, the issue was taken up by the media and also to the court by farmers and environment activists. The court ordered treatment plants mandatory, and the units which function without one are to be declared as unauthorised units and closed. Many units did not follow the directions and faced demolition. But demolition seemed to be a short lived solution to the problem, because these units, once demolished, reemerged within a short span of time and started functioning again. We are forced to rebuild and function again because we have to deliver to companies, as we have already booked orders from them. Moreover, rebuilding costs are much less than establishing a treatment plant, said a unit owner on condition of anonymity. A number of such processing units are rebuilt even after repeated demolitions. The owner of the unit also explained the reasons why a small unit cannot have a treatment plant. A treatment plant costs around Rupees 20 to 40 lakhs which is impossible for me to invest, when my investment to start this unit itself is Rupees seven to eight lakhs only. That is why, I opt to rebuild and run for a few more months till the unit faces another demolition. Otherwise I have to abandon this unit and look for a job in a large unit as an employee. The textile process involves various steps starting from cotton yarn to cloth, such as bleaching, dyeing, winding, and weaving. These major steps include many micro processes in the production chain in which each link is well connected and coordinated as a manufacturing chain. All these processes involve labour, generate employment, and require a variety of machinery and durables. It is evident that pollution of Bleaching unit Water pollution 25

32 forum for collective forms of cooperation water affects agriculture and polluted drinking water affects health. Moreover, those employed in these units are subjected to occupational health hazards, specifically skin and respiratory infections and allergies. On the other hand, textiles are necessary and provide employment opportunities for thousands of families in these villages, where agriculture is considered as seasonal and a high risk occupation. Even if one step in this processing chain is broken, the whole process breaks down. Specifically bleaching and dying involves chemicals and this effluent needs treatment. The large companies have mostly complied with treatment plants after the court direction and ongoing pressure from activists. The smaller units, with less investment, who cannot afford to follow this, are branded as illegal units. Pollution board often demolishes such small units, but as soon as the demolition team leaves the place the unit is rebuilt using the same materials. In such a situation, before addressing the pollution problem, it is crucial to consider the total livelihood context and the implications associated with it. There are thousands of families who live on these small units. Isolated reactions from a thematic perspective, without placing the issue in the total context, are not going to address the issue; rather it takes away the livelihood opportunities of many low income families and support only the larger businesses to survive. Instead of seeing it as an isolated pollution issue, it is important to develop a comprehensive policy framework and a regulating mechanism so that such vital issues are addressed in an inclusive and practical way. When people come into conflict with such livelihood opportunities with pollution or health issues, being in a resource poor condition, they favour the livelihood opportunity as the priority. Many people expressed that they get more money by giving away their land for dyeing or bleaching than cultivating. Yes, we know we are exposed to pollution and health problems due to this type of work in our villages. But when we have to choose between starvation and pollution, we choose pollution. We have to take this risk for our survival. Even with this work and income we are indebted, said a middle aged woman. 5. Coimbatore Coimbatore district had a population of 3,458,045 with a scheduled castes population of 15.5 percent as per 2011 census. Coimbatore city is an important textile hub and one of the most industrialised cities in Tamil Nadu. Coimbatore district houses a large number of small and medium textile mills. The neighboring Tiruppur is home to some of Asia's largest garment manufacturing companies, exporting hosiery worth millions. Other industries include manufacturing of electric pumps, auto components, and wet grinders. Agriculture also contributes to the economy and the major crops include rice, sugarcane, cotton, coconut, betel nut, tea, and spices. 26

33 livelihood: a study report Mathampatti, Kuppanur, and Chithiraivaikalmedu are the three villages selected from Thondamuthoor block. The selected villages are 12 to 15 kilometers away from Coimbatore. Agriculture, is active, but not as a primary occupation. The betel nut and coconut farms near these villages also provide employment opportunities. Since these villages are closer to the city, a good number of youth have taken-up driving of autos, cars, and trucks. Due to the presence of many educational institutions near the villages, in the outskirts of Coimbatore city, many women have chosen to learn tailoring and stitch uniforms for schools and colleges. The rapid expansion of Coimbatore city during the recent years, coupled with an impressive industrial growth both in Coimbatore and Tiiruppur areas, have generated a lot of employment opportunities at all levels. As a result, people from nearby villages migrate to these urban areas. It is evident that even in fertile areas like Coimbatore, if high income employment opportunities are available, a large number of people prefer these jobs for agriculture. The situation in the dalit settlements is different. Most of them are landless, and work as farm labourers or in the brick kiln and heavily indebted due to the seasonal and unorganised nature of the work. Kuppanur is a small dalit settlement, 16 kilometers from Coimbatore city with a population of around Almost all families in this village are landless. Most of them are employed in nearby fields or brick kilns. There are seven brick kilns in the vicinity. Brick kiln work, like agriculture, is a seasonal one which does not ensure A form of bonded labour employment all through the year. So during off season people are forced to borrow, mostly from the brick kiln owners, with an assurance that they, and in some cases their families, will work in the brick kiln during the next season. Since the kiln owners do not charge interest for this loan, which is termed as advance, people prefer to borrow from Kuppanur village 27

34 forum for collective forms of cooperation them instead of money lenders who charge exorbitant rate of interest. For the people, it is a choice between paying high interest to moneylenders and committing their labour to their employers. The owners, even if there is no work in their kilns, do not allow these people to work in other kilns or fields, rather ask them to do some work in their field or attend to household work including taking care of cattle. Being bonded through this borrowing, though interest free, one loses the right to bargain for wage increase or demand for normal working hours. This is almost a form of bonded labour. Subash, a resident of this village, studies law in Coimbatore city. He alleged that this ongoing practice is nothing but indirect bonded labour. He continued to say that people are trapped in this poverty cycle caused by a set of socio-economic factors such as pattern of landownership, unemployment, seasonal employment, drought, indebtedness, dependency on others for livelihood, and lack of regulatory support for fair wages and working conditions in informal sector jobs. According to him, if the government could regulate this and implement the guidelines seriously, perhaps the situation would be different. Lack of regulatory measures is the primary cause for the ongoing exploitation and oppression of these people, who cannot raise their voice against the land or brick kiln owners, to whom they are indebted and on whom their livelihood depends on. Because of this oppressive condition, many youth migrate to Coimbatore city for construction work or looking for jobs in mills, but those who are only familiar with the brick kiln work have no other option except continue their life here. People from Theni and Madurai districts migrate here to work in these kilns, due to drought and unemployment in their areas. Being desperate, these migrant people are willing to work for low wages, if food and a place to stay are provided. The brick kilns owners use this as an advantage to engage local workers also at low wages and poor working conditions. 6. Tiruchirappalli According to 2011 census, Tiruchirappalli district had a population of 2,722,290 in which scheduled castes accounted for percent. The area is 4, sq.km. The rivers Cauvery and Kollidam start branching out to form the Cauvery delta, irrigating vast tracts of land in the district. The major crops are rice, sugarcane, banana, coconut, cotton, betel nut, corn, and groundnut. There are also a few drought prone areas in the district that are not irrigated by Cauvery. The district has a large cattle and poultry population. Kumarakudi, Solanganallur, and Thillampatti are the three villages selected for the study under Mannachanallur block. Main occupation is agriculture, but mostly rain fed, since Cauvery does not flow into this part of the district. According to people, the village suffers due to repeated drought in recent years. The village tank was not filled up for the last ten years due to lack of or no rain, 28

35 livelihood: a study report Gem cutting which is a clear indicator to understand the situation. As a measure, a few farmers resorted to digging bore wells for cultivation. Raising cattle has also become difficult due to water scarcity. Drinking water is sourced from other regions where Kollidam flows. Gem cutting was a thriving enterprise in these villages taken up by almost all households, till ten years back. Recently, the arrival of china stones, which are priced low comparing to Indian ones, has affected the gem cutting work and reduced it to a few households. According to villagers, currently, due to the sudden collapse of gem cutting, unemployment is very high resulting in a large scale migration to Tiruppur for work. 7. Nagapattinam Nagapattinam is a coastal district of Tamilnadu with Nagapattinam town as the district headquarters. As of 2011, the district had a population of 1,616,450. Nagapattinam is a disconnected district in Tamilnadu, and possibly the only district in India, where people from part of this district need to cross some other district to reach the district headquarters. The area is square kilometer, with a coast line of around 187 km. In this crop area accounts for about percent. Thiruinthavur, Kelayi, and Needur are the three villages selected for the study from Myladuthurai block of the district. This coastal district abounds in green paddy fields, coconut and mango trees, plantains and many kinds of green vegetations. Paddy is the main crop of this district with three yields in a year. Cereals, pulses and oil seeds are the other three important crops. The district is situated in the region of the famous river Cauvery with a network of irrigation canals. Agriculture is the main occupation. Almost all households are engaged in cultivation in some form, either as farmers or as workers. Most of the families own small areas of land 29

36 forum for collective forms of cooperation Water makes a difference ranging from 30 cents to two acres. Families who have small areas of land cultivate their land, and also work in their neighbours land. Large farmers hold vast areas of land, owned by them and leased from the temple. In this district and the adjacent Thanjavur district, large stretch of land is owned by a few landlords. These districts are also known for many popular temples, religious organisations, and endowments that hold vast area of fertile land. Usually, these lands are leased out perpetually to village farmers. Thiruinthavur village has around 800 families who do not own lands, but cultivate in temple land under lease agreements. They can cultivate in these lands, but cannot legally sell it to another person. Cultivation is totally depending on surface water. There are a few open and bore wells for emergency with very high water levels. Those who own such wells lend water to others also in exchange for a quantity of paddy to meet their pumping expenses. Migration to other areas for livelihood, except educated youth taking up jobs in cities, is an unfamiliar concept. In spite of adequate water available for cultivation, people say that the rain pattern has changed in recent years, as they get unusual rains during some months which they do not get in earlier times. According to them, the intensity is also high with shorter durations. This causes loss of crops and unpredictability of the seasons. Kelayi is a village 17 kilometers from Myladuthurai and 60 kilometers from Nagapattinam, the district head quarters. The village comes under the Cauvery delta area which gets good rainfall. The main three occupations are agriculture, inland fish culture, Family restored and livestock, which are suitable only for a region rich in water. The main crops are rice, sugar cane, cotton and other short term crops. Water, really makes a difference in this village. People admit that all of them in the village are occupied in agricultural work and earn a 30

37 livelihood: a study report reasonable income. The level of indebtedness is negligible, and there is no migration. The effect of alcoholism exists here also. But some women do not see it as a major problem since there is sufficient income. If they drink and stay at home then it is not an issue, but it becomes a concern if they indulge in some kind of quarrel after drinking, expressed a village woman in the group. Though in general alcohol has not affected families, due to better employment options and high income level of the village, in some cases it has affected the families. This is evident in the case of Vasantha. Selvaraj, Vasantha s husband was an alcoholic. Like all other families in the village, Selvaraj also owns a small piece of land in which the family cultivated paddy. Selvaraj, being addicted to alcohol, spent most of the income for liquor which caused conflicts at home. As Vasantha felt that she cannot depend on her husband to run her family with three children, she decided to start some business for additional income. She purchased tea powder in bulk, packed it in small pockets, and distributed it to shops in the region. She was able to manage this along with her work in their field. The business slowly picked up and she expanded it to other products like groceries. In the process, she succeeded in persuading her husband to involve in the business. Currently, Vasantha organises the procurement and packing of products from home, and her husband manages the distribution and collection of money. As a successful entrepreneur, now Vasantha is happy with a good income and the regained support of her husband. All the three children are studying, one in college and the other two in high school. By being engaged in the work, Selvaraj has become very responsible. He drinks even now, but at home and to a limit. It is not a problem for us anymore because it is within a limit and he never goes outside the house after drinking but stays in the house, says Vasantha. 8. Tiruvannamalai The district had a population of 2,464,875 with an area of 6,191 km. In this the Scheduled Castes account for percent. Tiruvannamalai district is known for its two major businesses, rice mills and silk saree weaving. Paddy is the primary crop and rice mills to process paddy are found throughout the district. Aliannenthal, Karapattu, and Nammiandal are the three villages selected for the study from Pudupalayam, and adjacent Chengam blocks. Agriculture is the primary occupation, mostly depends on rain and other surface water sources such as village ponds, reservoirs and small dams. As agriculture work is seasonal, 31

38 forum for collective forms of cooperation during off season, many people find jobs in nearby rice mills. Since these jobs are not permanent or regular, a large number of people will be jobless during off seasons and drought periods. When people could not find jobs, as in any typical village, they are forced to borrow from money lenders. Many women who borrowed from moneylenders do not even know how much interest they pay. What they know is the total amount of money they have borrowed and how much they have to repay in how many equated weekly installments. In many cases, the interest for the first installment period is already deducted from the borrowed amount and only the balance is paid to the borrower. In spite of self-help groups existing in many areas, and money for emergency is available from a revolving loan fund, still many families are heavily indebted with loans from money lenders. Many such families could not relieve themselves from this debt trap, because they are able to repay only the interest and not the capital. In such cases, most of them end up in paying interest that is many times more than the total loan amount received. In some cases, the debt continuous as a cycle; a new loan comes in line as soon as the outstanding loan is closed. Since almost all the dalit families are landless, they depend on land holding families for jobs. The 100 days work under NREG, was found helpful by villagers which is closed recently for reasons they do not know. Migration rate is very high. Since rain fall is decreasing and as a result the cultivable area is reducing year by year, many youth migrate to Chennai, Bangalore, Tiruppur, and Erode to work in textile mills or construction industry. Drinking water is available and bore wells yield water at reasonable depth. Perhaps this is because ground water is not yet extracted for agriculture. In two of these villages, government schemes are availed, especially loans for buying cattle under livelihood development programmes. Many families have bought cows and they sell milk to cooperatives by taking it to a collection point or to individuals who come home and collect. Cattle compliment their income from agriculture work and provide support during off season to subsist. Nammiandal, a dalit village 32

39 livelihood: a study report Aliannenthal is a village, 15 kilometers away from Tiruvannamalai, with around 200 dalit families. Since most of them do not own any land, they work for the landowners who live in the nearby village. Since agriculture is seasonal, and work is available only for four or five months in a year, they depend on cattle to substitute their income. Aliannenthal village has a significant past. The story goes back to the events that happened twelve years back in the village. The landless dalit families in this village were totally dependent on the land owning community for work. Most of these families borrow from the landowners for emergencies and during off season and pay back the debt by working in their land. This form of bonded labour continued for years and even generations. Besides this practice, caste based discrimination also prevailed. Since the livelihood of dalit families was dependent on these caste communities, there was no other way except accepting the discrimination as the order of the day. This further weakened the bargaining power of the people, and helped the landowners to take an upper hand and retain the families with low wages and long working hours. A few who raised their voices against these unjust practices were denied work and they had to leave the village and migrate to other places for work. At one point, all families jointly raised their voice against low wages, bonded labour, and other caste based atrocities. They presumed the consequences for this and the whole village had already decided to take up illicit liquor as Liberation by any means the alternate income opportunity for them, knowing well the risks associated with it. In a year, Aliannenthal became popular for arrack by attracting nearby villagers to come and buy illicit liquor from them. The caste groups living next, with whom these people had conflicts earlier, complained to police and enforcement department about the presence of illicit arrack in Aliannenthal. This resulted in a series of harassments to the families by police and enforcement agencies. When this increased beyond a level, villagers found it difficult to manage. They started bribing those who raided the village. In spite of this arrangement, harassment continued in different forms. Often women and young girls were targeted. Occasionally, fearing such harassments, families lived in the fields away from home. To prove their sincerity in work, with prior information, police periodically arrested a few and registered cases. At one stage, the higher officials started descending on the village when the place became popular through media reports and political and caste groups playing on this issue for their own benefits. During one such raid, a verbal quarrel between the police and villagers ended up in violence. Laila, an active and vocal member in the village, slapped a police constable that flared up the matters. Three women were taken into custody including Laila. On the way to the police station, when the van stopped due to traffic, two women escaped from the van and vanished in the dark. Laila was taken to the station. She was very upset because the constable, whom she had beaten, was the one 33

40 forum for collective forms of cooperation Aliannenthal village Laila who regularly came to the village to collect the bribe money. Laila recalled the incident that happened ten years back and said, He comes regularly to collect money from us every week and when the senior officers came for a raid he was also with them pretending as if he is very honest and serious in his work. He came closer to me and tried to hold my hand to push me into the van. I was furious and slapped him in the public, and this became a big issue. I was taken to the police station. I told them the truth. Since they were afraid that I will reveal all this in the court, if a case is filed against me, they were hesitant to register a case. The constable who was beaten also said that he does not want a case fearing that the issue may become very serious, if I bring out the truth. At that time, the village decided to stop arrack distillation and start a new life. The district collector understood our problem and approached the matter very sensitively. She visited us and had a meeting with all our families and assured financial support from government to start some economic activity, if we stop the illegal act. We all agreed and Rs.25,000 was given as grant to all families. Many of us bought cows and started rebuilding our life. During this time with the support of the District Collector, some reconciliation also happened between the dalit and other communities. Some of us started going to agriculture work again, recalled a woman who was part of the struggle. Life is good now with the usual ups and downs. Recently, we even forced to close a government liquor shop opened in our village, Laila proudly shared this before leaving the meeting. 9. Viluppuram/ Pondicherry Pondicherry, the union territory and Viluppuram district are bordering areas. Auroville (City of Dawn) is an experimental township in Viluppuram district in the state of Tamil Nadu near Pondicherry. Auroville was founded in 1968 by Mirra Alfassa (known as "The Mother"). As stated in Mother s first public message about the township, "Auroville is meant 34

41 livelihood: a study report to be a universal town where men and women of all countries are able to live in peace and progressive harmony, above all creeds, all politics and all nationalities. The purpose of Auroville is to realise human unity." The Auroville community has influenced the livelihood aspects of thousands of families in Viluppuram and Pondicherry villages. A community development organisation is also set up by Auroville to support these families who live in and around Auroville. Auroville has many production units for eco friendly natural products. The diverse range includes handmade paper, wood work, clothing, leather, batik, paper lampshades, puppets, hammock, dresses, sweater, perfumes, candles and many more such items. It is common that people, who work in such units, learn the skill, develop customer contacts, and start their own units. The entrepreneurs sell these products through Auroville shops or directly in domestic as well as export markets. There are hundreds of such units functioning around Auroville villages creating entrepreneurs and providing employment to many families. Earlier, around fifteen years back, we never had money in our hands. Now we have money. All of us work and earn. There is opportunity for all. Many of our daughters who got married to boys from other places also stay here with their husbands, since both of them can find jobs here. There is also migration into our villages from other parts of Tamilnadu and even from faraway places like Andhra. They are all accepted and considered as assets for bringing additional skills and more employment opportunities for villages, said Vijaya Lakshmi from Alankuppam village. She continued, Our parents say that they suffered. Many worked hard in fields or collected firewood and sold in the nearby town for a living. Some had cattle. Now we are all well off. Our children are studying. Alankuppam village has a dalit colony attached to it. As in most of the dalit settlements people are landless, but all of them work and earn reasonable income. Though dalits of this Wooden tray making 35

42 forum for collective forms of cooperation area do not hold land, these families are not dependent on anyone for agriculture work, but rather employed and independent. Alcohol is a real problem as perceived by the women in the village. Sanjeev Nagar is a village located in Viluppuram/ Pondicherry area, with around 500 families. Most of these families work in Auroville or associated units. Though families own small areas of land, agriculture seems to be secondary. They plant casuarinas and a few other crops that require less input and labour. Even if some families own land, most of them opt to work in the production units that exist in and around the villages. Many young people have started their own units after gaining experience and customer contacts by working in Auroville units. Women are also employed and almost all women and young girls drive bicycle or mopeds/two wheelers. The income they generate from their job and the mobility by using two wheelers, give them a high level of A village of entrepreneurs confidence and independence. They are free to go to work, shopping, and attend to any emergency in the family without depending on someone. Radha from the village recalled and shared her hard early years and how life has changed for her and her family lately. She started her life as an agriculture worker and now her son is the owner of a production unit which provides employment for many others. Her son Rathinam, worked in Auroville for a few years and currently he owns a production unit that crafts multipurpose wooden trays. Rathinam, a carpenter by training, uses his carpentry skills to make high value products with fine quality, which fetch higher price in the domestic as well as export market. The orientation and experience they gain in Auroville units ensure quality and artistic value in these products. Water unit in Sanjeev Nagar Radha 36

43 livelihood: a study report The exposure helps them to use their skills such as carpentry, tailoring, pottery, knitting, and masonry for making value added products. These units, in addition to the direct employment to people who work, also provide indirect job opportunities for many subsidiary and supportive units like procurement of raw materials, selling, and other allied opportunities like transport, hotels, packing, trading and so on. The opportunity to learn new skills, the exposure to production processes, and contacts from Auroville have changed the faces of more than 30 villages in this vicinity. Ganesan, who learnt the art of making hard leather products by working in Auroville, is now the owner of a leather handicraft unit that employs around 25 workers. Elango runs a unit that makes handmade cotton hammocks. But for Auroville, we would be grazing cows only, said both of them. The water in Sanjeev Nagar is hard and not suitable for drinking. This problem is solved by installing a water purification unit in the village with an initial investment of around Rs.5 lakhs. Currently 192 families are members and pay a service charge of Rs.80 per month to maintain the unit. Each member family gets 15 cans of water every month. This community initiative, with some initial organisational support from Auroville, is a self reliant community managed effort to address the drinking water problem in the village Interpreting the data The study covered 27 villages in nine blocks from nine districts covering 8,856 households, which has a total population of 41,371 (21,038 male and 20,333 females; 966 women for 1000 men higher than the national average of 929). In this the dalit households are 4,136, that is almost 46 percent. This is due to a high concentration of dalits in selected villages for the study and visits. The state average is 19 percent as per the 2011 census. The following table gives details of the composition of farmers, small businesses and wage earning groups. According to the collected data, the main income for rural families comes from agricultural labour, construction industry, weaving, brick kilns, and other areas such as match industries, rice mills, textile industries, and other localised jobs like beedi rolling. In this, agriculture takes the lead with more than 50 percent of wage coming from this sector. When the number of agricultural labourers is added with those who own land and involved in farming, the data matches with the known fact that agriculture is the main livelihood option in villages. The dominant area of employment and income is still agriculture and allied activities. Next to wage earning comes farming and then small business initiatives as income generating opportunities for rural families. Livestock is also another option common in areas where water is available. Among the 27 villages, eleven villages have a high number of livestock, nine villages have moderate and seven have in small numbers. 37

44 forum for collective forms of cooperation details number Marginal Farmers Less than 2.5 acres 1839 Small farmers Less than 5 acres 786 Large farmers Above 5 acres 184 total farmers 2,809 Leased land Mostly temple lands 548 Agriculture labourers Marginal farmers also work 9766 Construction workers Masons, and all allied works 1636 Match and fire works Dominant in one district 846 Weaving Dominant in one district 530 Beedi rolling Dominant in one district 582 Mill workers Dominant in two districts 1729 Brick kiln and others Dominant in one district 2102 total wage earners 17,191 Trade Selling, Vending 541 Production Small production units 301 Services Tailoring, transport 765 Artisans Dominant in one district 885 total small business 2,492 SHGs Government and NGO promoted 202 Associations/Unions Weavers, farmers, beedi rolling 29 In spite of high risks in cultivation and its unreliability for assured output, people still depend on agriculture, though they always express displeasure about it and even look for some alternates. Perhaps this is because people are familiar to land and related activities and conditioned to continue agriculture work as a family tradition. In more than 15 villages among the 27, agriculture is the only available option before them. The majority among those owning lands are marginal farmers, -around two third-, holding less than 2.5 acres of land. In general dalits do not own land, and even if they own, they are mostly uncultivable terrains. The average wage ranges from Rs.200 to 600, but job opportunities are very limited and mostly seasonal. Women are paid less than men, but the reason given is that men and women are not doing the same type of work, and so the difference in the wages. Except in places where river or dam and canal irrigation exist, drought is prevalent in other areas. In places where agriculture income is low and high risk, people are willing to stop cultivation and even sell their land, if there are other opportunities for earning income. At the 38

45 livelihood: a study report same time a good number of people, even in drought prone areas, who own lands, still hold it with a hope that conditions will change and good times will come again. People do not go for intensive ground water cultivation in villages, where there are alternative employment opportunities. They cultivate when there is rain and other surface water sources are adequate for the crops; otherwise go to the alternate employment opportunity. There is no drinking water shortage in such villages where ground water is not exploited for farming. In villages where ground water is extensively extracted for agriculture, drinking water shortage has surfaced. Acute drinking water shortage exists in seven villages, moderately in seven villages and drinking water is not an issue in 13 villages. Access to formal credit is a real issue for rural families especially for farmers. Money lenders still reign. In spite of microfinance initiatives in a few places through self-help groups, since formal sector credit is not available, people are exposed to informal money lending sector. The interest rates are exorbitant, where in most cases people who borrow cannot repay the capital but only pay the interest and endlessly get caught in the web of indebtedness. Among the 27 villages covered in the study 23 villages are in the grip of indebtedness. Roads and other infrastructure like community centers and temples have improved compared to previous years, but transport facilities are very much inadequate, as a result people mostly depend on mopeds or bicycles and on other informal and unorganised sector. The presence of mobile phones has improved communication and to some degree compensates the transport limitations in rural areas. Self-help groups (SHGs) exist where NGOs work. Cooperatives and association of workers function where a large number of people work in a particular trade or occupation or clusters of livelihood opportunities exist such as weaving, cultivation, beedi rolling, and other home based industries. There are 202 SHGs that covers a maximum of 3700 women in these villages, leaving out a vast number out of its coverage. There are 29 associations or unions, but the activities of these associations are in most cases, limited to demanding higher wages once in two or three years. Alcoholism is rampant and a constant problem in families especially for women and children. Alcoholism and poor sanitation are the two issues reported as major problems in all villages. Both affect women more. Health conditions have improved comparatively, yet it is a serious issue with high level of malnutrition among children. Occupation related health problems exist in seven villages intensively and moderately in four villages, which are not addressed with any mitigation measures. Toilet is a major concern and all the 27 villages do not have toilets in majority of the households. Health and hygienic conditions have a direct impact on livelihood vulnerability and risk. Awareness on education has improved and schools are available at primary level in all villages. Social exclusion of dalits exists, with separate settlements, temples, festivals, community halls, drinking water sources, and other such differences, though the atrocities have comparatively come down. 39

46 forum for collective forms of cooperation Migration is high where water scarcity and drought condition exists. If alternate employment opportunities are available in such drought prone villages it reduces migration. There is inward migration to fertile villages or areas where employment opportunities exist. Displacement was not reported as a major issue in the 27 villages. Drought is intensive in seven villages, where migration is high; moderate in ten villages; and the other ten villages are fertile with good water for cultivation. NREG is seen as an opportunity to compensate the seasonal nature of agriculture. It is found to be very useful by the beneficiaries who have limited job options other than seasonal agriculture. Government schemes are available but the information about them and the procedures to avail them are not transparent. People still feel that they require an intermediary to avail government schemes, because the details and procedures are not openly announced and officials, with a few exceptions, are not easily approachable and available. 40

47 livelihood: a study report 4. Livelihood: Key Factors and Emerging Issues The key factors that affect rural livelihood are identified from the findings based on the collected data and the observations through the visits and interactions with people. Twenty factors are identified that commonly affects rural livelihood. 1. Water, the lifeline for sustainable livelihood Water, seems to be the lifeline of livelihood in rural areas as expressed by communities. Though water is crucial for all, it is the primary source of livelihood and life in a rural context. Water is primary and indispensable for any livelihood opportunity in rural areas impacting on agriculture and all activities associated with agriculture; livestock, inland fishing, and enterprises that requires water such as weaving and dyeing; and for drinking and sanitation purposes. In most of the villages, people equate water with rain, as the source of water and symbol of prosperity. They state that rain and drought directly determine their wealth and poverty. Lack of rain is perceived as the primary reason for unemployment and poverty. In this context, though people in general are not discussing about water management concepts and practices, and their direct link with water scarcity, many complained that irrigation tanks are destroyed, encroached for other purposes, and the ones which still exist are not properly maintained. Villages that are completely dependent on agriculture, without any other alternate employment opportunities, have a tendency to go for ground water during droughts through open and bore wells. This causes depletion of ground water resulting in shortage of drinking water, since most of the villages depend on bore wells for drinking purposes. Low rainfall and drought add to this scarcity. Even in drought prone areas, where ground water is not used intensively for agriculture, drinking water is not affected. Water is the root cause of unemployment and migration. It is a common practice in many villages that people migrate when rain fails, and return to the villages when there is adequate rain for cultivation. In many villages such incidents are reported, where the migrant families due to drought, return to their villages after the water situation improved. 41

48 forum for collective forms of cooperation Kadavakurichi is a village in Nilakkottai block of Dindigul district. Around 500 families live in this village mainly depending on agriculture and livestock. A few years back, low rainfall and drought affected agriculture and livestock. Irrigation tanks and wells dried up, cultivation was stopped, lands were almost abandoned to become barren and the grazing fields looked as play grounds. The land value also came down sharply. Due to lack of employment in agriculture, hardships in raising cattle, and the resultant deterioration of living standards, many families migrated from this village to Tiruppur and Kerala for jobs. During this time, under the NABARD (National Bank for Agriculture and Rural Development) scheme, CHIREP, a local NGO working in this area implemented a water shed programme with community involvement. This is an integrated and comprehensive programme that attempts to address a set of livelihood issues at the local level through the watershed. Kadavakurichi is a case to learn how water can change the face of the village and bring a spiral of changes in the livelihood context of Watershed and migration a village. The key and direct output aimed through the watershed project was to conserve the soil and water and thereby prevent soil erosion and retain the water in the land. This resulted in the increase of surface and ground water levels. This in turn, enhanced the percolation rate of the soil, and increased the green cover in the lands for improving soil fertility and increasing biomass. The specific output on water level improvement snowballed into a multi dimensional impact on areas like land development, employment opportunities, increased cultivation area, increase in livestock population, increase in milk production, introduction of agricultural equipments and new technologies, introduction of varieties of crops leading to an increased bio-diversity, kitchen gardens, reverse migration, and increased enrolment of children in schools. An impact study of the watershed programme when compared with the baseline study taken prior to 2010, reveals that water, changes the development face and phase of villages; and it is the lifeline for sustainable livelihood for rural communities. Water shed 42

49 livelihood: a study report 2. Primary income from wages The primary income for village families come from wages, earned mainly from agriculture and allied jobs. A considerable number, next to agriculture, works in construction sector, weaving and associated jobs, brick kilns, and other industrial work either by going to the mills or at home on piece rate such as beedi rolling in Tirunelveli district, match and firework products in Virudhunagar district, textile related work in Erode/Namakkal districts. Permanent and temporary migrations are common in many villages where families move to urban areas for job opportunities and higher income. Since most of these jobs fall under non-regulated unorganised sector, such people depend on the informal economy and being exploited in areas like wages, working hours, and social security measures. There is also a prevailing practice, where people take loans from their employers as advance money by committing to work in their units. This is a kind of bonded labour and those workers and families caught in this web find it extremely difficult to come out of it. Since most of the dalit families do not hold lands for cultivation, they are the most affected by this practice as they mainly depend on informal sector jobs. This goes on as a cycle of low wages, seasonal employment, indebtedness, migration, and bonded labour. 3. Agriculture and land Farming is the second important income option for those who own lands or lease land for cultivation. The majority are marginal and small farmers, holding 0.5 to 2.5 acres of land. Agriculture is currently considered as a vulnerable and high risk livelihood activity due to low rain fall, drought, change of climate, non-availability of mainstream credit, and the exploitation of intermediaries. Government supported procurement system is more beneficial for large farmers. In the case of marginal and small farmers, many of them borrow money in advance from intermediaries by binding the produce for a fixed price even before cultivating. In such a situation, if the crop fails, the farmer is pushed into an unredeemable debt cycle. Moreover, due to high input required for the current cultivation practices, in the form of fertilizers and pesticides, agriculture also has become a high risk and low return economic activity. Veelinayakkanpatti is a village five kilometres away from Nilakkottai in Dindigul district. In this area, farmers predominantly cultivate flowers like Jasmine, Pitchi and Nelium, which are very popular and have a high market demand. Karuppiah is a farmer who lives in this village and The double edged sword cultivates flowers in his land. Karuppiah, 61, started his life as a fire wood collector from the nearby hill, and selling it in Nilakkottai for his living. He inherited around two acres of dry land from his father, but since the area is not fit for cultivation, due to water shortage and repeated drought, it 43

50 forum for collective forms of cooperation The flower field Karuppiah was left barren. Moreover it required a heavy investment to dig well to irrigate the crop when rain fall is low. During the late nineties, there was severe drought and many families migrated to other places for work. In 1998 a watershed programme was planned in this area and Karuppiah, being a farmer who owned land in the watershed area, was invited to participate in this programme. After the watershed, many families who migrated earlier also returned to the village and started cultivation. Karuppiah, who also cultivated flowers in his land, stated, I was living in a hut in this land and now I and my two sons have built good houses for us. I built all these houses from my farm income only. He was proudly showing the three houses, which are large with all facilities like urban middle class houses, built in a line with separate compound walls where he and his two sons live with their families. In addition, he has bought more land adjacent to his inherited property and expanded farming. According to him, he used to pay a wage of Rs.30,000 per week for his workers and he earned an income of around Rs.125,000 per month for many years. During the recent two or three years, he has been facing heavy losses due to less rain and drought. Due to intensive farming and lack of rain, the bore wells have also dried up. In the current year, as a result of accumulated losses, he has an outstanding loan of more than 13 lakhs. His two sons have migrated to Kerala State to work as agricultural labourers for Rs.600 per day. If there is rain they may come back for cultivating our land. Even I have started working in the nearby villages, where cultivation is going on with well water. I am not sure how long their wells will yield water. Wells are drying up one by one in our area. Water is not available even if one digs a bore beyond 1100 ft now says Karuppiah. What we earned from the land for over ten years is taken back from us by the land in two years time. One drought can destroy all that we have earned for ten years, says Karuppiah. He was not expressing any emotions when he mentioned about his loss. He was very casual as if he is narrating something that had happened to someone else. Perhaps such strength to bear both losses and gains in life casually is what they have learned from the hard and insecure life that gives strength to cope and bounce back. He was not showing any regret when he 44

51 livelihood: a study report recalled paying more than Rs.30,000 earlier as wages to his workers, and now he has to go and work in other fields for a daily wage. He is waiting for rain so that his sons could return and cultivate again. He waits to regain what he has lost. It is hard to understand if it is the confidence of a farmer or his gambling hope in a desperate condition. According to him, low rain and drought have drained up the earlier effect of watershed. In addition, overuse of water for expanding the area of cultivation, without crop planning based on the availability of water resources, led to this condition now. Drought and over use of water for cultivation is a deadly combination according to him. The shortage has reversed the condition and migration has started again, even in Karuppiah s family. 4. Small business Next to wage earning and agriculture, small businesses emerge as a livelihood option that includes small level trading, services, and manufacturing. The small ticket and low volume nature of small business in rural areas, due to low concentration of people, and lack of access to mainstream credit, make rural businesses as a high-risk low-return livelihood activity. In spite of this risk, a large number of small businesses exist in villages. They are small, widely scattered, often competitive with each other, mostly depend on the informal economy for survival and so highly vulnerable to risks. People in rural business generally assume that their only problem is shortage of capital, and a higher amount of loan will take them out of the crisis and help them to develop the business. An analysis of some such cases shows that the shortage of capital appears to be a consequence of an underlying problem that was not identified. Some of the basic principles of business such as accounting and monitoring are ignored in many cases. There is also no demarcation between business expenses and family expenses. As a result, there is always a demand for higher amount of loans for business activities. Since credit from formal sector is denied, people borrow from moneylenders with high inertest rates. This affects the business, because rural business cannot make a surplus to repay such high interest loans. So it is common in villages that people start businesses, and later wind it up in a few year times, and go back to work again ascribing shortage of capital as the reason for the failure. This trend is evident in many villages. The success stories always had the key ingredients of entrepreneurship, good market linkages, and access to formal credit. Veera Chinnammal lives in Pavali village near Virudhunagar. Many families from Pavali work in match and fire cracker industries. Veera Chinnammal and Veera Chinnammal, the entrepreneur her husband also worked in a fire cracker company. Their work involved making the outer casing for crackers. In the course of time, Veerachinnamal approached the company 45

52 forum for collective forms of cooperation to find out, if she can make it at home and deliver to them at the same quality and for a less price. The company agreed on an experimental basis in the beginning. She and her husband started a unit at home with a small investment; part of it came as loan. The quality and price were agreeable to the company. The home based unit became as a regular supplier to the factory. Her husband died a few years back, but Veera Chinnammal continued to run the unit successfully. Currently she employs 10 to 15 workers in her unit. Since she has not attended school, she cannot read and write. But she managed the unit, including accounts, for years even after her husband s death. Now her son, who is in school, helps her in writing accounts. She purchases the raw materials, Veera Chinnammal manages the employees, the production, and delivers the orders to the factory. It is remarkable to see a village woman, who cannot read and write, managing such a production unit for years as a successful entrepreneur. 5. Rural artisans Craft has lost its past glory in villages. Presence of rural artisans, especially in craft related sector, is declining in villages. As a livelihood option this sector is losing its significance for various reasons, except for some families who are in this for years. Currently, the sector either holds the stigma of charity and inferior quality, or is viewed as decorative and elitist appealing to a tiny market segment. The sector s informal nature and unorganized production process face problems with lack of raw materials and outdated support services. The earlier support through structures like KVIC with its network of production units spread across villages, have also vanished from the rural context. Though some shops still buy from a limited number of artisans, the procurement process and payment methods are complex, cumbersome, and often corrupt. It is very difficult for the artisans to market their products unless there is a structure that coordinates design, production, and market. This is a sector almost gradually fading away from the villages as a viable livelihood option. 6. Landownership and dalit communities Land, though farming is becoming a high risk activity, still counts in villages as the symbol of prosperity and power. Village life and livelihood still revolves around land. Owning land is considered as an economic security and social status whereas landlessness is always associated with powerlessness and dependency. Among those who do not own land, dalit 46

53 livelihood: a study report families are the majority, and even in case they own, in most cases such lands are not suitable for cultivation. Due to landlessness, dalit families become dependent on other communities for employment. Besides social exclusion, this economic dependency make their life more vulnerable, leading to low wages, indebtedness and in many places bonded labour. Landlessness and drought are the two major causes of migration in villages. Even in case of dalits and other poor families who own barren lands, it is very difficult for them first to invest and develop the land for cultivation, since these require high amount of money and other inputs to make it cultivable. Unless the government extends supports in all areas of need including finance for farming, these people cannot use their land for cultivation and as a source of livelihood. 7. Livestock Livestock still exist as a subsidiary and supplementary income option for many families in agriculture and those who work as labourers for wages. Since water, fodder, and grazing areas are essential for raising cattle, livestock is popular in areas where water is available and agriculture is active. Livestock, in addition to being a supplementary income, is an essential element for integrated farming. In some villages people have availed credit to buy cattle. In some cases even free cattle are distributed through government schemes. Milk cooperatives function in some areas to extend loans for buying cattle and also buy back the milk, but only those families who have accessible collection points near their villages supply it to the cooperatives. Many do not prefer to take the milk early in the morning and deliver it at a collection point where the cooperatives purchase milk. Rather they prefer someone coming home and collecting the milk, even for a lower price. Families prefer such services which are convenient and reliable. 8. Rainfall and drought In general, people express their concern about low rainfall and repeated droughts in recent years. They specifically mention that rainfall has gradually come down during the last ten years period and the water bodies in villages are ignored or encroached. This is a direct cause for the gradual decrease in cultivation in many villages. According to villagers, they get adequate rain only once in five years on an average, which has almost become an established pattern in recent times. People in general also agree that the rainfall during the recent times is erratic and the volume of rain has also come down, but droughts occur more often than in the past, and relatively severe than earlier times. People are aware that low rain and drought cause a chain of events that result in migration to other places for jobs. 47

54 forum for collective forms of cooperation In villages, water is always equated with rain; and rain linked with prosperity. Good rainfall and adequate water in fact change the nature of the village. Rain brings life to villages. During and after rains, villages become vibrant with a lot of activities; people look happy and occupied. This is very evident and could be experienced when one visits a village during or just after good rains. 9. Migration Migration is very common in villages, except in a few areas where water is sufficient for intensive agriculture or other alternate employment opportunities exist. In general youth migrate to nearby cities looking for construction work or to work in industries. Educated youth always move to nearby cities for jobs. It is a pattern among families in many villages, to temporarily migrate to other places during drought and come back to their villages when water condition improves and agriculture progresses. The outward migration happens in villages where scarcity of water and drought are experienced and inward migration where agriculture is active or other cluster of employment opportunities exists. 10. Displacement Displacement did not emerge as a major issue as it is more commonly reported in the coastal or forest areas. But a few small level incidents were reported in nearby villages due to infrastructure development, expansion of industries, and other government schemes. These are mostly caused by land acquisition or expansion of industrial activities into residential or agricultural areas. In general, the awareness level of people on this issue has increased and many small level struggles go on against such projects from a livelihood, health, and environment point of views. 11. Access to credit Access to formal and timely credit is crucial for any livelihood activity and economic security. In case of agriculture, credit input is crucial because timing is critical in farming. Credit emerged as a dominant issue in all villages. Since asset creation is negligible and savings are limited due to low income, rural families depend on credit for meeting emergencies and ongoing expenses during off seasons. Lack of access to formal credit is the main cause for many oppressive and exploitative practices in villages. During off seasons, even for consumption people depend on borrowing. Farmers get advance from intermediary buyers linking the produce of the next season. Workers borrow from owners and almost bond their labour. Moneylenders are active in all villages charging exorbitant rate of interests ranging from 60 to 120 percent. A variety of dispersal and recovery systems are in practice. Most of the families who walk into this debt trap find it 48

55 livelihood: a study report extremely difficult to come out. Access to timely formal sector loans at market rate is an essential service to sustain livelihood efforts. Credit and related issues are expressed as a major problem next to low rainfall and drought. 12. Sanitation Sanitation, especially toilets, is one major area neglected in villages. Though women and young girls are aware of this problem and face lot of difficulties, the condition has not improved. A variety of reasons are put forth for lack of improvement in sanitary conditions, both by people and government authorities. The main reasons are difficulty in legal ownership of house plots, living in rented houses, cost of toilet construction, water shortage for maintenance, poor maintenance of community toilets, and often a non-priority among men. This issue is raised by women in all the villages as an emergency need to be fulfilled. In spite of claims about various schemes, the sanitary condition, especially toilets in villages, are in a very poor condition. 13. Alcohol One issue that came out in all the villages, irrespective of being located in drought prone or in Cauvery belt or in an entrepreneurial area, is alcohol. Drinking and alcoholism are dominantly everywhere and it is widely expressed as a problem that affects livelihood efforts of many families. Women and children are the most affected. As a village woman said, If we can claim that we have achieved 100% saturation of one scheme in Tamilnadu, that is nothing but the supply of alcohol to all villages in the State through a government distribution and selling network system. This will beat any product, service or company. There are also comments from men like, I earn, and why not spent a few Rupees for drinking. In some villages even women are agreeing to their husbands drinking, provided it is within limit and do not pick-up quarrels with neighbors. One woman even went to the extent of saying with a note of sarcasm; we cannot stop our men from drinking. If government is not selling they will go and buy from private or illegal sources. So it is better that our money goes to the government so that at least we will get back a small portion of it through free products or welfare schemes. But most of the families condemned this as a curse on them, and upset because even youth and school kids are trying alcohol since it is available everywhere. Women narrate stories in every village about how drinking destroys families through money drain, street quarrels, and domestic violence. 14. Transport Though the village roads are better compared to the conditions a few years back, villagers feel they are totally neglected in transport. Most of them depend on bicycles, mopeds and other forms of two wheelers. Two wheelers are mostly used for transport. Other irregular and informal local facilities are also available. Villages, being remote, travelling not only 49

56 forum for collective forms of cooperation to nearby towns but even between villages are difficult and risky. In remote areas, in places where limited public transport is available, if a bus is missed or if a bus fails to arrive on a route, it is very difficult and risky to manage the situation. This is worse in the case of women. Roads and transport are essential infrastructure for the success of any economic activity and welfare of people. This is denied to the rural population. 15. Communication Mobile phones are available in all villages with most of the families. The presence of mobile phone services, by opening a communication channel between people, compensates the transport problem to some extent. A few years back mobile signals were not available in villages, because the towers were in nearby towns. But currently mobile towers are visible in village areas and villages are very well linked with mobile coverage. Moreover, the recharge coupon is also brought down to Rs.10 at a time, which is affordable to people even on daily wages. The customisation of systems and technology by these mobile phone operators to reach the people in rural areas is something to be studied for implementing schemes and delivery of other development measures in rural areas. Mobiles have solved the limitation in mobility of many rural people who have very limited transport options. 16. Education Presence of schools and level of awareness on education is one significant improvement noticed in all villages. Almost all children in the villages, with very rare exception like children from migrant families, go to school and complete up to primary level. The dropout rate has also come down, though in some areas it still exists. Primary level schools are available in or close to the villages, but have poor infrastructure and lack of facilities. Middle and high level schools exist in nearby places in two to five kilometer vicinity. Parents generally recognise education as a livelihood opportunity and send their children to school. The common understanding is that, I do not want my children to suffer as I suffered. I do not want my children to undergo the hardships I undergo now. I want them to study and get a good job for a happy life. This aspiration, perhaps combined with the ongoing campaign to educate children, has worked in the villages. Many low income families in villages send their children even to private schools paying transportation cost and tuition fees. In spite of limitations of teachers and infrastructure for village schools, parents are very positive about this development in their villages. Child labour is also reduced, though in some families, children work at home after school hours, if the family is involved in a home based occupation. 17. Government schemes There are a variety of schemes implemented both by the Central and State governments independently and jointly. 50

57 livelihood: a study report National Rural Livelihood Mission: NRLM has an ambitious mandate and its objectives and operational details are very well articulated in its mission document. The programme aims to reach out to all the rural poor families (BPL families) and link them to sustainable livelihood opportunities. Since this scheme is implemented in selected areas, many villages are not aware of this programme. Neither its operation is commonly felt in villages nor any impact visible. The process of identification, selection, and funding seems to be very complex involving many layers of processing and levels of approvals. The National Rural Employment Guarantee Act, 2005: The Act is enacted to provide for the enhancement of livelihood security of the households in rural areas of the country by providing at least one hundred days of guaranteed wage employment in every financial year to every household whose adult members volunteer to do Skilled or manual work. According to the data in , in Tamilnadu around 96,43,932 job cards are issued, in which 26,90,620 are for scheduled cast families. In this, the number of households demanded work is 63,09,795 and all of them are allotted work, till the programme is stopped recently. So out of this scheme more than 63,00,000 BPL families in rural Tamilnadu are benefitted. In every village visited, people valued and appreciated this scheme. Poor families, who are benefitted through this scheme, considered this as a social security for them. In a few villages, people expressed that this scheme could be implemented in a more productive way, but strongly supported its relevance and benefits to people in the context of drought and unemployment. They are all surprised to know the abrupt termination of this scheme, by the new government, for reasons the villagers are not aware of. People generally agree that this scheme is not a permanent solution for their problems and rural poverty, but definitely an income security measure for the poor, and if properly implemented could be an effective means to improve the village facilities and infrastructure. Tamilnadu Government schemes: In Tamilnadu, there are 39 schemes listed by IFMR (Institute of Financial Management and Research, Chennai) related to livelihood in areas such as entrepreneur development, animal husbandry, Credit with subsidy, selfemployment, land development, water shed development, support for specific thematic area development, and schemes earmarked for specific communities. The awareness level of these schemes among the community is very limited and such schemes are perceived as privileges. It required an effort from an institution like IFMR even to know the different schemes available, which show how such schemes are segregated, and lack coordination and transparency. Firstly, such schemes are not disseminated properly to reach all potential beneficiaries. Secondly, the application and selection processes for approval are not transparent. Since the budget allocations for such schemes are limited, each scheme can only cover a limited number of beneficiaries. Because of this, the process is taken over by intermediaries and often entangled with complex and corrupt practices. Even some 51

58 forum for collective forms of cooperation beneficial schemes are diluted due to centralisation, politicisation, inefficient operation, cumbersome procedures, and corrupt practices. Specifically people see the free ration rice, employment schemes, and government support for livelihood as the only means of security for their life. This view is dominant in drought affected villages, where inadequate employment opportunities exist. Subsidised and freebie schemes: The Tamil Nadu Civil Supplies Corporation, of Government of Tamil Nadu, is responsible for providing food grains and other commodities for the people under the Public Distribution System through a chain of Ration Shops. It also provides kerosene at very low cost and a few other commodities such as rice, wheat, sugar, and cooking oil. During festival seasons other provisions are also distributed free or for a subsidised price. This also includes free distribution of rice of four kilograms per adult and two kilograms per child per month subject to a minimum of 12 kilograms and maximum of 20 kilograms per month per card. In addition, a long list of products are distributed free of cost in Tamilnadu by the government, which currently, includes sarees, dhotis, fans, mixer grinders, laptop computers, and bicycles. In , Tamil Nadu government spent more than Rs 3,100 crore (31,000 million) for freebie schemes, mainly electrical and electronic products which are distributed at free of cost to the beneficiaries across the state. In the same period, the government has spent almost Rs.20,000 crores (200,000 million) for other free schemes. In spite of the severe criticism on subsidy and such freebies, the provision of free rice and bicycles for students is very much valued by families who availed it. Free rice is felt as a security by poor families in the context of lack of employment, low income, and drought. In villages, in the morning and afternoon, it is a regular and encouraging sight when batches of students, especially girl students, in school uniform ride cycles much resembling a procession. This has definitely improved the mobility of school girls in general, and their travel to schools specifically, in areas where limited public transport is available. But the sad part of it is that many such schemes are politicised and many families complained that preference in distribution is given only to ruling party supporters or those who are recommended by them. In spite of all these negative aspects, in general, people feel it as a great support from the government. It is widely agreed that such temporary measures are not solutions for addressing the poverty issues in villages. But in a poverty context, where even high income group of people, including large industries, enjoy financial concessions in many forms from the government, it is ironic to discuss the theories of economic growth against subsidy when it comes to poor people who struggle to subsist. Moreover, in a context where more than one third of people are excluded from the development impact, debates against subsidy and support to the poor become more absurd and irrelevant. Contrary to this perspective, spending huge amounts annually, for such politicised, temporary, and populist measures, only strains the economy rather than generating any long term benefits neither to the people nor to the economy. In a way, this approach makes people as objects of charity. 52

59 livelihood: a study report 18. Self-help groups, associations, cooperatives SHGs (Self-help Groups) of women exist in many villages where NGOs (Non Governmental Organisations) or government agencies have promoted such groups. Though they do not cover all families in the village, a small percentage of women are covered as members in SHGs. Except a small number of groups which involve in social issues, majority of the groups function around savings and credit. A revolving credit system operates in SHGs, to support group members with emergency loans. Even if the interest rate is higher than banks, the surplus amount is revolved again for the benefit of the members. Since SHGS are unable to meet the total credit requirements of the families, the dependency on moneylenders and employers still exist, though reduced. There are associations or unions for specific occupational groups such as farmers, weavers, and beedi rolling women. But in most of these cases the associations are seen as a platform to raise salary/wage issues once in two years. Communist parties are more active in such associations and unions of unorganised workers. Cooperatives are more seen as extensions of the government. They are all highly politicised, making the role of members limited to election of leaders on party basis, though officially party politics is not approved in cooperatives. People have mixed responses about cooperatives, and they choose to associate with them based on access, availability, relevance, and convenience. 19. Social exclusion Social exclusion of dalits is significantly evident in villages and this has direct bearing on the livelihood conditions of these communities. In spite of reservations and exclusive schemes available for dalit development, for over 65 years since independence, still a high percentage of dalit families belong to the rural poor segment. It is also very evident that dalits are still excluded from many aspects of life and livelihood. They live in isolated colonies mostly away from the main villages; majority is landless; dependent on other communities for employment; relatively more indebted; bonded for labour with an employer linked with borrowing; and prone to migration. Dalit settlements, in most of the villages, exist separated from the main villages with their own temples, festivals, village committees, wells and water taps. Even supplies like drinking water reach them through the main village after delivering to other communities living there. Due to the social exclusion the community is more vulnerable for livelihood risks. Dalit families express that the situation has changed to some extent, but exclusion still exist and occasional conflicts do occur. Social exclusion has a direct bearing on economic independence and it is a major barrier for livelihood security. One way of bringing parity and social acceptance is through economic independence, since social and economic exclusions are inherently interlinked. 53

60 forum for collective forms of cooperation 20. Changing patterns in climate Though people in villages are not much informed about the debates going on around climate change or global warming or their implications on life and livelihood, people seems to be aware of the ongoing changes in the pattern of rainfall and seasons. Farmers notice these changes, since rainfall, temperatures, and other climatic extremes, like drought and flood, have a direct impact on sowing season, availability of water, pest control, and productivity. They also experience that such changes affect standing crops and livestock. Farmers observe these changes in climate and often find it difficult to predict seasons due to the deviations from established patterns. But they are not familiar with adaptation measures including changes needed for mitigation and sustain production. It is possible that climate change, if coping strategies and mitigation measures are not introduced, may result in reduction of cultivable land area, increase the pace of migration, affect food security, and intensify poverty. 54

61 livelihood: a study report 5. Livelihood Right and Way Forward National Sample Surveys The National Sample Survey Office (NSSO), under the Ministry of Statistics and Programme Implementation, comes out regularly with surveys on areas linked to livelihood. These surveys are the primary source of data on various indicators of economic characteristics at national and state level. The Situation Assessment Survey of Agricultural Households reiterates that agriculture is the predominant occupation for the livelihood of majority of the rural population. The report says, During the agricultural year July June 2013, rural India had an estimated total of 90.2 million agricultural households, which constituted about 57.8 percent of the total estimated rural households of the country during the same period. Agricultural activity (cultivation, livestock and other agricultural activities) was reported to be the principal source of income for majority of the agricultural households in all the major States, except Kerala where about 61 percent of the agricultural households reported to have received maximum income from sources other than agricultural activities. (Source: Situation Assessment Survey of Agricultural Households, NSSO, 2013) On the debt issue the report says, About 52 percent of the agricultural households in the country were estimated to be indebted. The report further reveals that Among the major States, Andhra Pradesh had the highest share of indebted agricultural households in the country (92.9 percent) followed by Telangana (89.1 percent) and Tamil Nadu (82.5 percent). About 31% of the rural households and 22% of the urban households reported debt (cash loan) outstanding as on The average amount of debt for a rural household was Rs.32,522 and that for an urban household was Rs.84,625. The results of the survey on debt show that non-institutional entities played a major role in advancing credit to the households, particularly in rural India. The non-institutional agencies had advanced credit to 19% of rural households, while the institutional agencies had advanced credit to 17% households. (Source: The All India Debt and Investment Survey, NSSO, 2014) The report on the Study on Nutritional Intake in India, , brings out an interesting finding that rural areas in Kerala, Tamilnadu, and Gujarat states have nutritional levels almost 10 percent lower than the national average. The decline of agriculture, state of rural businesses, high level of indebtedness, and poor nutrition levels are clear indicators to understand the livelihood conditions of the rural families. While on one side government claims that poverty level has come down, on the other side, studies, including reports from different government sources, display a variety of 55

62 forum for collective forms of cooperation indicators to establish that a high level of poverty exit in the country. The NSSO studies, as well as studies from various international agencies, clearly indicate and validate the popular notions that agriculture is the key for rural livelihood; rural families are indebted; there is a major urban rural divide with regard to mainstream services; and the minimal role of formal institutional agencies in serving rural areas. This makes majority of rural families to depend on informal and non-institutional sectors for their services paying a higher price than the organised and regulated formal sector. This exclusion of a large population is a consequence of the current development paradigm which mainly depends on industrial growth, even at the cost of displacing existing livelihood opportunities, and counts the GDP as the only indicator for growth. Exclusion and the divide The livelihood vulnerability for risks are caused by or consequences of exclusion of more than one third of the population, which is more concentrated in rural areas, from the impact of ongoing development efforts. As a result, this large segment of people has lack of or no access to mainstream resources, services, and amenities. They are in the periphery. Since they are not benefited by mainstream development impact, and thus excluded from the formal mainstream economy, they live mostly depending on the informal economy. The informal economy is often casual, irregular or seasonal that includes activities and jobs without any regulation and social protection. A large number of rural people depend on this informal economy for their livelihood, which causes low returns and wages, long working hours, violations of rights, unsafe or difficult working conditions, and lack of adequate legal and social protection. Instead of addressing the causes of the imbalance, isolated poverty alleviation programmes are implemented within the same development framework that fails to create sustainable impacts. Moreover, such schemes are considered as subsidiary activities with a project mode, and highly centralised and politicised. As a result, most of these ongoing schemes fail to bring any significant changes in the livelihood context of the rural poor. There is endemic poverty in spite of economic growth. Since resources are unevenly distributed, a high percentage of population lives in absolute poverty or at subsistence level. Though the causes for such condition and the barriers to overcome it are obvious, poor people find it extremely difficult to move out of this. Besides this economic isolation, the social exclusion of a large number of people in the name of caste and traditional practices add to these problems. This has a direct impact on livelihood. Agriculture continues to be the main occupation of rural families and the major livelihood activity that ensures food security. Currently, this is declining due to a variety of reasons. This decline intensifies the imbalance, causes more migration, and results in unplanned urbanisation that further marginalises a large number of people and forces them into the informal economy for survival. 56

63 livelihood: a study report Agriculture is like gambling. This is worse than gambling because all our hard earned money and work is invested already and when it fails there is no support and no way to come out, remarked Loganathan, from Mathampatti Village, Coimbatore district. He continued to say, No youth takes up agriculture now. Only people above fifty years work in the fields. The low return and high risk nature of farming, low wages for agricultural labour, and lack of access to timely credit at reasonable interest rate, are some of the reasons why agriculture is not sought by youth and even parents discourage children to take up agriculture. The irony is that there is a tendency among rural poor to accept such exclusion and resulting poverty conditions as their destiny. Most of them, due to this conditioning and vulnerability, rarely demand their rights. It is a common expression in villages that nothing is going to change, which makes them to adhere to the conditions with a sense of helplessness and attitude of acceptance. Living in villages, with long droughts, drinking water shortages, seasonal job opportunities, and low income, is very hard. We are caught up in a cycle of indebtedness from which we will not be able to come out in our life. We survive because the ration rice, though of a very poor quality, is available to eat and survive. It is a very hard life here, said Ponniah, a senior person in Poosarippatti village. Including the excluded The major livelihood issues, especially in a rural context, revolve around key themes like water, land, and agriculture. Unless drastic reforms are brought into these sectors, in spite of growth, life for majority of rural communities will be a continuous struggle to subsist. An inclusive development approach in a reformed livelihood context with supportive policies and good governance seems to be the only lasting solution. Managing water resource: Water is the lifeline of rural livelihood. This is what is expressed by the community and very evident in villages. Water is equated with prosperity. Water has a direct link on major livelihood aspects such as employment, income, food security, energy, sanitation, health, hygiene, and migration. In many instances, the problem is not lack of water, but rather lack of effective management of it. A progressive water policy and an appropriate mechanism to manage water resources have the potential to address many rural livelihood issues. Addressing land issues: Equally considered as important to water is land. In a rural context, land is the major livelihood asset that ensures economic security and stands as a symbol of social status. Land reform is crucial for the empowerment of the landless, especially dalits and women. Land development, by bringing more areas under cultivation, generates livelihood opportunities and enables food security. Land reform and growth in agriculture sector seems to be a prerequisite for inclusive development. 57

64 forum for collective forms of cooperation Enabling livelihood context: The marginalisation of a large number of people by the current development model is evident. A series of welfare and support schemes are developed to address this issue, but such an approach has not yielded much result even after more than six decades of independence. Instead of implementing various subsidy-based or free schemes to temporarily address poverty issues, it is essential to create a conducive environment wherein people are able to operate with equal opportunities and power of choices. From the current isolated project style schemes, it is essential to move towards a comprehensive integrated policy framework and regulating mechanisms to create a supportive environment for livelihood security of the poor. Only such an enabling context with a supportive policy structure would enhance the livelihoods of the vast number of excluded families in rural areas. A lasting solution is possible only when these sections of people are enabled to migrate from the informal sector of the economy to the formal sector with sustained access to resources, services, and amenities. Ensuring good governance: Good governance with a favourable policy framework and regulating mechanisms are essential for ensuring livelihood security. Instead there is an attempt to address livelihood and exclusion issues through welfare schemes and campaign modes. In a constraining livelihood context such interim efforts fail to achieve results. Instead of denying the deep rooted problems, it is the primary responsibility of the governments to focus on good governance where people can take care of themselves and their livelihood without the need for any such provisional programmes and privileges. What people need is their right to access livelihood opportunities rather than such privileges. The governments have to respect this constitutional provision and fulfill it through good governance wherein people could build their capacities and avail their rights. Right to livelihood Article 21 in The Constitution of India, 1949, mentions about protection of life and personal liberty. Accordingly, No person shall be deprived of his life or personal liberty except according to procedure established by law. Till the year, 1960, the Apex Court was of the view that Article 21 of Indian Constitution does not guarantee right to livelihood but only right to life. But later, the interpretations changed: The question which is to be considered is whether the right to life includes the right to livelihood. The only one answer to that question is that it does. The sweep of the right to life conferred by Article 21 is wide and far-reaching. It does not mean, merely that life cannot be extinguished or taken away as, for example, by the imposition and execution of the death sentence, except according to procedure established by law. That is but one aspect of the right to life; an equally important facet of that right is the right to livelihood because, no person can live without the means of living, that is, the means of livelihood. 58

65 livelihood: a study report The interpretation, that right to life is also right to livelihood, makes it mandatory to have a policy structure that ensures everyone to have adequate access to resources and equal opportunities to earn income. Specifically, this includes non-discriminatory access to employment; removal of barriers faced by socially excluded groups; social protection; equal access to resources and skills; land rights; access to and right to natural resources; forest rights; and other traditional livelihood rights. An attempt to understand livelihood from a human rights perspective helps to understand the existing disparity and how it is reinforced by current policies and institutions. The human rights perspective questions such imbalance and demands development of policies and programmes that strengthen assets of the poor and their livelihood security. It is imperative to develop public policies, within a human right framework, to address the imbalance, instead of introducing charity schemes. Only such an approach will protect the rights of people and also enable and ensure them to secure a standard livelihood for dignified living. Livelihoods, livelihood practices, and livelihood policies, though operate at different levels, are interdependent. One affects the other. A livelihood activity, small or large, can destroy existing opportunities that supports a group of people or it could be instrumental to generate new opportunities. This is where the policy framework plays a regulating and protecting role to ensure that any emerging livelihood opportunity, in any form and at any level, do not destroy existing or traditional opportunities. Protecting and ensuring the right to livelihood is the responsibility of the State. Governments need to ensure good governance, supportive livelihood policies, and effective regulative mechanisms that enable people exercise their right to livelihood. All stake holders have the responsibility, be it business or civil society organisations. Business sector that has a larger role in shaping the economic side of life has the social responsibility of ensuring that profit maximization of any business does not destroy or deprive existing livelihoods. It is the responsibility of the State to regulate this balance. All stake holders, especially organisations in development and civil society movements have a role to play in this process of protecting the livelihood rights. A journey of learning Finally, the study is a journey of learning; an opportunity to understand the dynamics of rural livelihood as expressed by people. During the journey, while discussing with people about livelihood and related issues, a set of words were very often and repeatedly used by them. The key words are: given, exist, survive, subsist, struggle, curse, water, rain, land, income, migration, employment, bonded, alcohol, cattle, debt, loan, toilets, subsidy, education, destiny, loan, business, children, family, government, and hard. The words, burdened with livelihood concerns, helps to understand about how people perceive their life and livelihood. 59

66 forum for collective forms of cooperation The word most often used in the context of livelihood is rain, which is always equated with water and associated with prosperity. Most of these words are expressions of their frustrations and their expectations. More often, people tend to accept their deprived conditions as their fate, but they hope a better future for their children and willing to work for it; a hope that gives them a valid reason to continue the struggle to subsist. People in general felt that there are good and bad changes happening around them, but definitely disappointed by the pace of progress. The isolated and often reactive approaches, of both government and other agencies, are often doubted, because they failed to bring significant changes in their life. Villages are becoming more aware comparing to the past years on issues related to land and livelihood. They are not willing to lose their existing livelihood opportunities for the expansion of industries or infrastructure in the name of development; but express their helplessness and anger. These observations and reflections are based on what is revealed by people in different villages, their practices and perceptions. A major learning in the journey is the need to be open to learn from people s perceptions and aspirations, rather than entirely hiding behind mere data; because, though essential, life is not about facts and figures and ideologies, but it is all about living. Finally, life and livelihood security are not charity, but the right to live with dignity as it is guaranteed by the constitution. The State is responsible for ensuring the livelihood security of people, not by delivering charity, but by creating an enabling livelihood context and supportive policy structure, wherein people can sustain them. It is critical to develop such a conducive environment for the excluded people to liberate themselves from the ongoing constant struggle for subsistence and move towards a sustainable livelihood. The fact is that life is not a preparation to live in another world in another time, but to live here and now, for all people. What is denied, by a nation, to a generation can t be compensated back later. This means there is an urgency and compulsion to collectively act. 60

67 livelihood: a study report list of ngos participated in the study no name and contact region Rural Women s Development Society Tiruvannamalai rwdstvm@gmail.com Imayam Social Welfare Association Coimbatore imayamcovai@gmail.com Centre for Improved Rural Health and Environmental Protection (CIRHEP) Nilakkottai, Dindigul District, cirhep@gmail.com Auroville Village Action Group (AVAG) Irumbai and Post, Auroville avagoffice@auroville.org.in North Western Western Western North Eastern St Joseph s Development Trust Genguvarpatty , Theni District (Nagapattinam Project) project@sjdt.in Women s Organisation in Rural Development (WORD) Pallipalayam, Namakkal District, sarala@wordorg.net Virutcham Magalir Munnetra Kalzangiam (VMMK) Virudhunagar vmmk2000@gmail.com Centre For People s Education (CPE) Pavoorchatram, Tirunelveli District, cpepavoor@yahoo.co.in Village Development Centre (VDC) Manachanallur Post, Tiruchirappalli District, vdc_raju@yahoo.com Eastern Delta North Western Southern Southern Eastern Delta 61

68 forum for collective forms of cooperation Referred Documents 1. State of India s Livelihood Report 2013, ACCESS Publication, National Rural Livelihoods Mission, Mission Document, Ministry of Rural Development, Government of India 3. Guidance Note on Recovery Livelihood, International Recovery Platform and UNDP 4. Survey on Unincorporated Non-agricultural Enterprises (Excluding Construction) in India, National Sample Survey Office, Ministry of Statistics and Programme Implementation, New Delhi, Debt and Investment in India, National Sample Survey Office, Ministry of Statistics and Programme Implementation, New Delhi, Situation of Agricultural Households in India, National Sample Survey Office, Ministry of Statistics and Programme Implementation, New Delhi, Land and Livestock Holdings in India, National Sample Survey Office, Ministry of Statistics and Programme Implementation, New Delhi, Addressing Inequality in South Asia, World Bank,

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70 ?? Livelihood: a struggle to subsist or right to life?? Livelihood is defined as a means of securing necessities of life such as food, water, shelter and clothing?? A livelihood comprises the capabilities, assets, including both material and social resources, and activities required for a means of living?? The word most often used by people in the context of livelihood is rain, which is always equated with water and associated with prosperity?? Ensure that emerging livelihood opportunities, in any form and at any level, do not destroy existing or traditional opportunities?? Livelihood security is not about charity but the right to live with dignity as it is guaranteed in the constitution?? Right to life is the right to livelihood because, no person can live without the means of living, that is, the means of livelihood?? What we deny, as a nation, to a generation can t be compensated back later