R u r a l - U r b a n L i n k a g e a n d D y n a m i c s I D R C - T T I I n s t i t u t e o f R u r a l M a n a g e m e n t A n a n d G u j a r a t

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1 I D R C T T I P a p e r P r e s e n t a t i o n I D R C - T T I Wo r k s h o p o n R u r a l - U r b a n L i n k a g e s 21 st & 2 2 nd A u g u s t I R M A A n a n d I m p a c t o f L a n d A c q u i s i t i o n f o r I n d u s t r i a l i s a t i o n i n M u n d r a Ta l u k a ( G u j a r a t ) : E m e r g i n g T r e n d s P r o f. I la P a t e l R u r a l - U r b a n L i n k a g e a n d D y n a m i c s I D R C - T T I I n s t i t u t e o f R u r a l M a n a g e m e n t A n a n d G u j a r a t

2 IRMA August 22, 2012 Workshop on Rural-Urban Linkages, August 21-22, IRMA

3 Background Industrialisation a key engine of economic growth Other side of growth Story Adverse Impact on Human Development Health and Education Widening Inequalities Poverty Food Insecurity Agriculture Rapid industrialisation in Kutch post-earthquake Industrialisation in Mundra Presentation draws from the quantitative study of 10 villages (in process) and field visits 3

4 Environmental Impact Coastal ecosystem Large-scale destruction of mangrove Blocking of creeks and canals Decrease in fish stock Air Pollution Emission from plants Water pollution Pollution of village ponds due to dumping of industrial waste Overuse of groundwater by the industry Increase salinity of ground water Adverse impact on agricultural land, crops and trees 4

5 Economic Impact Gradual shift in occupation Industry labour (mostly unskilled, casual/contractual) Long work hours Daily wage Rs , Salary Rs. 80,000 Rs. 1,00,000 Wage differences for men and women Industry-related Services Thekedars (Labour contractors), transport services, etc. Generating income from rental accommodation 5

6 Economic Impact Industry also employs labour from outside Migration Limited out-migration of unskilled labour in some villages Increase in migrant labour for the industry Changing preferences of youth for work Lack of interest in agriculture/agriculture labour Prefers industrial labour for cash income Driving vehicles, opening small shops, industrial labour 6

7 Economic Impact - Agriculture Adverse impact on agriculture Loss of agricultural land Smaller landholdings for cultivation Consolidation of landholdings by large farmers (Nana Kapaya) Shortage of agricultural labour Preference to work for the industry Decline in leasing of land for cultivation in some villages Problems of farmers with small holdings Increase cost of agricultural production Shift in cropping pattern in some villages 7

8 Economic Impact: Animal Husbandry Loss of gauchar land (SEZ affected villages) Shortage of fodder Severely affected livelihoods of maldharis/rabaris livestock rearers Difficult to maintain milch cattle in some villages 8

9 Economic impact: Fishing Adverse impact on livelihood of fishing community in coastal villages (Navinar, Bhadreshwar, Jalpara, Tundra, etc.) Problems due to Adani Port operations Restricted access to sea Adverse impact on traditional pagadiya fishing Decline in fish production Off-shore fishing operations are also curtailed 9

10 Social Impact Increase in alchoholism and addiction Taking away earnings Increase in domestic violence Disturbances and disharmony in the family Conflict over assets Breaking up of joint families and trend towards nuclear families Breakdown of collective life Villagers attribute this to migrants and alchoholism 10

11 Social Impact Status of women Gradual change in social status Women from lower castes participates in industry labour Women from other castes works in the village papadmaking, bandhani, etc. Increase work load of women Insecurity due to presence of migrants Conflictual relations with migrants 11

12 Social Impact Education Changes in educational aspirations of parents Education for employability in industry for better paid jobs Inability to support education outside the village Lack of awareness about options Improvement in educational participation of girls Health Complaints about respiratory problems and other ailment 12

13 Political Impact Loss of trust in traditional leadership Emergence of new interest groups Protest against industrialisation Fishing Community Community affected by loss of gauchar land 13

14 Conclusion Industrialisation is gradually changing village economy and society in Mundra Taluka Gradual shift towards non-agricultural work Opportunities primarily for industrial labour and industry-related services Adverse environmental impact Sustainability of agriculture for small holders at stake Increased vulnerability of fishing community and livestock-dependent community Economic gains are not necessarily translated into social well-being Ambivalent attitude towards migrants from other states Development for whom? At what costs? 14