What is 'The Gujarat Model' of Development ?
Most of the political commentators in newspapers and politicians of various parties have derided, if not dismissed, the Gujarat Model of Development. Some economits have pointed out that the human development index in Gujarat is average as in so many other states.
However, some impartial observers have praised many initiatives taken by the Modi administration. " Chief Minister Narendra Modi has", states a report of the US Congress, " streamlined economic processes, removing red tape and curtailing corruption in ways that have made the state a key driver of national economic growth." According to the Rajiv Gandhi Foundation, corruption in Gujarat is " very low."
Providing basic facilities to the people is main purpose of the Gujarat Model of Development, and they are : electricity, water supply and infrastructure such as roads. Modi brought good governance to Gujarat by creating transparent processes (e-governance) and serving the people by empowering the bureaucracy.
Introduced e-governance : Digitized procurement process which enabled businessmen to submit bids online ensuring transparency in government contracts; Every village was provided with internet connection; All basic services such as birth and death certificates, income certificates, applications for government schemes and tax payments were made available at e-panchayats. With this process, scope for corruption and speed-money has come down drastically.
Empowering bureaucrats : Frequent and arbritrary transfer of officers has been done away with. This gave stability of tenure to bureaucrats which in turn promoted good governance. Inter-departmental co-ordination was achieved through ' Chintan Shivirs' where presentations were made on the activities of the various departments and this allowed top bureaucrats to discuss among themselves and exchange ideas. Modi has mentioned in one of his speeches that he was able to do many things with the help of the bureaucrats – bureaucrats, like all human beings, like to be respected and appreciated. Bureaucracy is like a horse which goes where the rider wants it to go.
Reform of the power sector : Modi appointed an efficient and upright officer, Manjula Subramaniam, as the Chairperson of GSEB ( Gujarat State Elecricity Board) who re-organised the Board. She separated agricultural, industrial and domestic feeder lines. While domestic users get 24-hours power supply, agricultural sector gets 8-10 hours of high voltage supply at subsidised rates. The Planning Commission has other states to follow this example.
GSEB has been able to stop theft of elecrticity. All these maesures have transformed GSEB from a loss-making PSU into a profit-making entity. GSEB was able to reform its functioning as there was no political interference.
Government also has promoted high-value foods crops ( mango, banana) and non-food crops (cotton). " Bt cotton led the charge in Gujarat's agrarian miracle," states Ashok Gulati, the famous agricultural economist, " supported by investment in check dams and other irrigation schemes. More than 50 percent of Gujarat's cotton is irrigated while in Vidarbha,Maharashtra, it is only 5 percent. That explains why cotton is a success in Gujarat, not in Maharashtra."
Gujarat pioneered the issue of soil-health cards to the farmers. The card has information such as soil properties ( mineral composition, water retention capacity, productivity) and suitable crop for the land. It also has information on the fertilizer and pesticides to be used. This has helped the farmers to increase the productivity of the land. Gujarat has encouraged contract farming to provide ready market for thie produce.
Annual Krishi Mahotsavs organised by the government bring the farmers in direct contact with agricultural experts to improve agricultural practices and impart new knowledge to the farmers. Another initiative is the animal health camps for cattle.
Infrastructure : Gujarat has a road network of 74,000 km and almost all villages are villages are connected by all-weather 'pucca' roads. Gujarat has undertaken massive widening and upgradation of roads to smoothan the transport of agricultural produce to the cities and industrial goods to the ports.
The Publi-Private Partnership model adopted by Gujarat has increased the port capacity hugely. Port capacity has more than doubled from 135 million tonnes to 284 million tonnes during the period 2001-11.
Industry : Modi's pro-active initiative in the industrial field is well-illustrated by the famous sms " Welcome to Gujarat" to Ratan Tata when he lost the land in Singur ( West Bengal). Now the Tata Motors is manufacturing its famous Nano in Sanand, Gujarat. Many other automobile manufacturers are flocking to Gujarat creating more employment opprtunities for the people. If there is no red-tape, water and power are availbale, if there is industrial peace, what more can an industrialist ask for ?
Apart from the above, Modi government has taken many other initiatives for the economic progress of Gujarat. Kutch Festival has made the barren land into a new tourist destination giving livelihood to artisans in that remote area. The Kite Festival has attracted international attention and increased the income of all people involved in this trade. Solar energy has been given boost by the government.
Gujarat's economic success was recently testified by workers from UP who are working in Gujarat.
" Modi often speaks of migrants from UP and Bihar flocking to Gujarat," reports Avishek G.Dastidar (Indian Express, May 9), and adds, " Seen through the eyes of the migrants, Gujarat almost assumes the proportion of a fabled land. ' What roads! Nowhere will you find the roads that you see in Gujarat. And if you have a pair of able hands and don't mind working hard, you will surely get a job.' says Behraj Khan,32, a driver in sugar mill in Bardoli near Surat. Ever since he shifted to Gujarat in 2003, Behraj has helped six of his relatives near Lucknow to migrate to Gujarat. ' I started with Rs.6000, now my salary is Rs.17,000 with a yearly allownace to visit home. Where would I have managed this in UP?'.
" 25-year-old Raj Mohammad from Rae Bareli, went to Ahmedbad five years ago to work in a pipe fabrication company." writes Avishek G.Dastidar in the same report. " In Rae Bareli, he says, he would have been either unemployed or become a helper to a mason. Over the years, he got his brothers and some friends to join the company."
" Rama Chandra Tiwari, a farmer in nearby village Gandhiyon tell you," writes Shekhar Gupta, on his tour of Poorvanchal, (IE, May10), "many people from here go and work in Gujarat and come back to say the same thing (24-hour power). Many also work in Mumbai and Delhi, but the calm and productive environment that you find in Gujarat is unmatched. So is the power supply. This,therefore, is an entirely verifyable claim and requires no further propaganda or vendication,holographic or otherwise."
No wonder that Modi's election speeches received unprecedented response in UP and Bihar, and would get unprecedented votes as well.
The Gujarat Model of Development is providing the basic amenities such power and water supply to every village and house-hold, and improvement of infrastructure such as roads network as well as employment creation. This has received enthusiastic response from the people of Gujarat, and now from the people of India. Verdict of 2014 is people want Gujarat Model of Development all the states of the Indian Union.
May 16,2014.
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