Survey conducted by farm laborers organization reveals
high incident of indebtedness
84 percent farm labor families are under debt
having average debt of Rs. 91,437/- per family
39 percent agri-laborers are in the grip of
Micro-finance companies – the modern day Shylocks.
Contrary to widely held belief that debts are
incurred for marriages etc, 25 percent debts are for construction of houses
& 19 % for illness
Report of a survey, conducted by Punjab Khet Mazdoor Union, in 13
villages, spread over 6 Districts of Punjab, about the burden of debt on dalit
agricultural laborers, was released here today in the presence of Economists,
intellectuals, activists and a big gathering of agri-laborers. Dr. Sukhpal
Singh – Head Economics Department, Punjab Agriculture University, Ludhiana, Dr.
Anupama – Prof of Economics, Punjabi University, Patiala, Sh. Devinder Sharma –
agriculture economist, Sh. Hamir Singh and Sh. Daljit Ami –Journalists, were
present on the occasion.
Lachhman Singh Sewewala, General Secretary of Punjab Khet Mazdoor Union,
presented the report, highlights of which are as follows:
v Out of 1618 agriculture laborer families surveyed, 84
percent (1364) were under debt amounting to a total of Rs. 12,47,20,499/-,
which comes out to be Rs. 91,437/- per family.
v Main source of this debt is private money-lenders –
micro-finance companies, usurious money-lenders and rich landlords etc., who
charge exorbitant interest. 38.8 percent families are indebted to Micro-finance
Companies. Some of the families are indebted to multiple sources.
v Debt of Micro-finance companies amounts to Rs.
2,88,97,035/- (23 percent) and of rich landlords Rs. 2,88,76,650/- (30 percent)
v Debt from landlords, owning more than 10 acre land,
comes out to Rs. 1,92,69.900/- (15.46 percent), between 5 to 10 acres comes out
to Rs. 93,28,500/- (7.47 percent) and from those owning up to 5 acres, comes
out to be Rs. 85,84,400/- (6.88 percent).
v Debt advanced by Public Sector, Private &
Co-operative banks is Rs. 2,02,19,969/- (16.21 percent)
v Debt from Goldsmiths is 17,04,725/-, (1.38 percent)
from friends & relatives Rs. 77,82,300/- (6.24 percent) and from provisions
shop-owners Rs. 57,500/- (0.05 percent)
v Agriculture laborers are made to pay interest
ranging from 18 to 60 percent on these loans. Public Sector Banks and Co-operative
Societies charge between 7 to 24 percent interest.
v A large part of the debt i.e. 25 percent
(Rs.3,04,36,900/-) has been incurred for construction of houses,19 percent (Rs.
2,39,33,500/-) for illness, 14 percent each for domestic needs (Rs.
1,76,96,110/-) and marriages (Rs.1,79,16,475/-), 6 percent (Rs. 75,14,000/-)
for taking land on Theka and 5 percent (Rs. 66,08,269/-) for purchase of a
vehicle.
v The reasons for such heavy debt, are – landlessness
amongst agriculture laborers, acute unemployment caused by anti-people
development model, alarming pollution causing incurable diseases, lack of
public health services and highly
expensive private medical treatment, policy of privatizing of health services,
education and water resources and rolling back of welfare schemes and extremely
discriminatory, defective and usurious loan policy.
In order to tide over the crisis caused by the
mounting debt of agri-laborers and farmers, the report suggested the following
policy steps:
Ø Revolutionary land reforms and distribution of
surplus lands amongst the landless agriculture workers. After implementation of
land ceiling laws in Punjab, the surplus land available is 16 lakh 66 thousand
hectares. It should be speedily distributed.
Ø Increased budget expenditure on agriculture
Ø Curbing the loot of manufacturers and traders of
agriculture inputs, such as seeds, fertilizers, pesticides, insecticides and
farm machinery;
Ø Development of such plant varieties which require
less fertilizers and pesticides, but give rich yield.
Ø Promotion of agro-based, labor intensive industries
to generate employment.
Ø Doing away with policies of globalization,
privatization and liberalization.
Ø Creating opportunities of permanent employment in
Govt, semi-Govt and Public sector and withdrawing the policy of casual &
contract employment.
Ø Debt relief to agriculture laborers. Ensuring loans
to agriculture laborers and poor farmers interest free or on nominal interest.
Ø Enactment of pro-people Debt Relief Act.
Ø
Stopping
concessional loans and other credit facilities to rich-landlords on soft terms
and their incomes be brought under tax.
Above policy initiative cannot be expected to be taken by the present
regimes, who are the representatives of landlords, big capitalists and agents
of imperialists. To get these implemented, agri-labor and farmers shall have to
jointly mobilize their vast strength, through decisive militant struggles. They
forcefully reiterated that only by remodeling the present society, making it
free from imperialis and feudal exploitation and repression, as advocated by
Shaheed Bhagat Singh & his companions, thereby getting rid of the vices
such as unemployment, price-rise, incurable diseases, landlessness,
discriminatory and usurious loan policies etc.
Initiating discussion on the report, Dr. Sukhpal Singh hailed the PKMU
for undertaking this survey, which otherwise should have been undertaken by
academicians. He lamented that with the privatization in the sphere of
education and health, the agri-laborers have been badly hit. He called the task
of bringing agri-laborers, out of debt-trap and ushering in social equality,
very important as the agri-laborers are backbone of agriculture. He suggested
co-operative ownership of land.
Dr. Anupma said that the survey tears apart the rosy picture of so
called prosperous Punjab. Till now the discussions about debt, revolved round
the farmers. Focusing on the conditions of agri-labor is an important step.
Noting the landlessness as an important reason for indebtedness, she supported
the demand for land reforms. She also demanded soft loans from banks for
agriculture and bringing out a law to regulate loans by commission agents and
money-lenders. She called upon the debt victims to raise their voice, unitedly.
She also proposed to undertake a study of bonded labor amongst agri-labor,
particularly women and its impact on wages, social standing, gender-equality
etc.
Sh. Davinder Sharma, noted expert on farmers’ issues, said that the
survey report is a mirror to the rulers and the university administrations. It
was tragic that Punjab Govt was expressing total ignorance about debt-problem
of agri-laborers, who constitute one third of farming community. He vividly
described, how the rulers are providing opportunities to big corporate to loot
banks and National exchequer, in the matter of advancing loans on most
favorable terms and writing these off even in cases of willful defaults on the
one hand and punishing poor farmers, agri-laborers and poor people on the
other. He appreciated the fact that the report has highlighted the modern day
blood-sucking Shylocks, in their new avtar as Micro-finance companies. He
demanded cheap loans for agriculturists.
Sh. Hamir Singh, journalist, strongly favored a pro-farmer and pro -
agri-labor model of agriculture development, discarding the present model. He
complimented the PKMU for bringing out the report. He called upon the
agri-laborers to assert their unity at village level to ensure correct
implementation of welfare schemes such as MGNREGA, old age pension etc.
Sh. Daljit Ami, press-person, said that this report is an important
document which will help the academicians, journalists, intellectuals &
opinion-makers in understanding the ground realities of agri-workers life in
Punjab. It portrays the harrowing conditions, in which agri-workers are living.
He called upon the intellectuals and journalists to make the people aware of
the findings of this survey.
The PKMU leadership thanked all the participants.
