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Risk management by the impoverished peasants in India: a micro-level narrative
“This is how forced displacement becomes cultural-economic
equivalent of an earthquake that shatters production systems and
social networks, undermines identity, and plunges those affected
on a downward poverty spiral”.
— Michael Cernea (2002).
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Introduction
Small and underprivileged communities often employ certain strategies to survive and maintain
livelihood in specific situations. The strategies become interesting especially when they
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encounter new situations. Mainstream strategic management discourse concerns itself only with
profits of business enterprises, while natural resource (for example, agricultural land)
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management strategies by the community members have to concern themselves more directly
with issues of access to assets and rules/institutions that delimit such access. While institutional
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conflicts remain important for business enterprises as well, it is possibly limited to daily
enactments of a few top layers of the organization. In a community of small producers, in
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contrast, such concerns remain important across the community. The community level natural
resource management strategies have another dimension. It is enacted by actors who are
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underprivileged and have to work against powerful state institutions and private business
enterprises, with its own set of legal institutions and arrangements which often force people
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(sometime under the rhetoric of development) to forgo their community and individual rights
over land and and other natural resources, which still provide livelihood opportunities for the
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European Journal of Development Research
majority of the inhabitants in the rural areas of the countries of Asia, Africa and Latin America.
The strategies of land use by the marginalized communities and individuals therefore, have to
operate under situations of bargain, resistance and sometime silent but intelligent courses of
action which often have to outwit legal managers of the state apparatus. Resistance movements,
electoral compulsions of the democratic system and conflicts between traditional and formal
legal norms create micro-domains of innovative action. Under the era of globalization, the rural
communities of the underdeveloped and developing nations are facing severe crises in managing
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their life-support systems, like land, water and forest, since these resources are being taken over
by the state at a much faster rate for various development projects, like building dams, highways,
industries and mines.
In the policy oriented academic discourse on the impoverishment risks encountered by the
underprivileged communities (who mostly suffer the pains of development but not its gains) the
scholars often overlook the risk management strategies undertaken by the people. These
academicians emphasize either on the market forces or on the role of the welfare state towards
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the creation of “safety nets” which they believe would mitigate the risks of the poor and the
marginalized under conditions of impoverishments by development projects.
Under this background, we would first discuss (i) a recent academic discourse on
impoverishment risk mitigation and then (ii) narrate a specific case to show how a community of
small producers in the rural area in the state of West Bengal in India managed their
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impoverishment risks under development caused displacement.
The empirical data for the case study have been collected through first hand anthropological
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observation by the author and his research students over a period of more than a decade.
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Generalized Safety Net: Well And Good, But How To Bell The Cat?
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In an exchange at Cornell University, the economist Ravi Kanbur and the anthropologist
Michael Cernea debated on the “compensation principle in resettlement” (Cernea and Kanbur
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2002). Ravi Kanbur initiated the discussion through an exploration into “the history of economic
thought and practice on how to balance the assessment of gains and losses that accrue as the
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result of displacement and of development processes more generally” (Kanbur 2002: 15). He
placed Michael Cernea’s Impoverishment Risks and Reconstruction (IRR) framework within the
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Page 2 of 26
domain of economics and searched for “complementary mechanisms” that could strengthen the
IRR model (Ibid). Cernea reacted to Kanbur’s search for generalized safety net in situations of
impoverishments caused by development projects by raising some operational questions. To
quote Cernea: … “how to design such safety mechanisms, whether they are politically feasible
and practicable, and how can they be included in resettlement policies.” (Cernea 2002: 27).
Admitting the need for generalized safety nets of Kanbur, Cernea doubted its feasibility
and suggested “resettlement with development” which would aim “to improve resettlers’
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Page 3 of 26
conditions above pre-project levels.” (Ibid) Unlike Kanbur, Cernea is however more concerned
with the ‘how to do it’ question and he placed his highest hopes on the “vast and growing store
of research in anthropology and sociology on the economics of displacement, on risks, and on
secondary effects”…’ (Ibid) The Kanbur-Cernea exchange finally ends with hopes, not with any
concrete call for legal and structural changes that are necessary to reduce the risks of forced
displacement and dispossession caused by development projects. At the time of writing this
paper Michael Cernea sent me one of his forthcoming paper in which he has elaborated four
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levels of risk management and advocated three kinds of “counter-risk actions” that may be
undertaken by the project managers and resettlement planners (Cernea 2005: P.3 and PP. 18-20).
In this paper he also narrated how in India a policy vacuum resulted through the several attempts
by the Central and the State Governments while the policy makers tried to create a safety net for
the project affected families. Here Cernea finally lamented over the “embarrassing absence of
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political will” which created a “legal vacuum” in a big country like India (Cernea 2005: 22).
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Michael Cernea in his more recent articles have suggested investment financing by the
governments which takes into consideration the cost of proper resettlement and rehabilitation of
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the populations to be affected by development projects. He cited many positive examples from
the different countries of the world (Columbia, Brazil, China, Norway and others) in which the
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governments have made formal arrangements for benefit sharing by the project affected people
(e.g. distributing electricity free of cost to the people affected for the installation of hydropower
projects) from
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collaborations in situations of displacement caused by development projects
(Cernea 2007). Cernea’s case studies however are limited to hydropower and big dam projects
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and his examples also does not reveal any case of joint investment financing by the government
and the corporate business houses.
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Recently, the giant Indian multinational, the Tatas, have pulled out from the state of West Bengal
in India, where about 997 acres of multi-crop farmland was acquired by the government for a
proposed small car manufacturing company by the corporate at Singur in the Hooghly district of
West Bengal. Tax reliefs and a number of financial benefits were also given to the Tata Motors
and above all, the government had to fight a stiff battle against the unwilling farmers led by the
major opposition party, the Trinamul Congress [a party formed out of Indian National Congress
and doggedly opposes the Communist Party of India (Marxist)] often leading to violence for the
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establishment of the company. The then Governor of West Bengal made every sincere effort to
overcome the stalemate which began about a month before the pullout. But the Tatas did not
show any interest towards corporate social responsibility through benefit sharing and/or
financing for rehabilitation of the displaced farmers who were unwilling to give up their rights
over the farmland. Currently, the Singur situation has worsened since the character of the huge
tract of farmland which was given to the Tatas has been transformed and cannot be used for
agriculture. On the other hand, the land has again been taken back from the Tatas by the newly
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elected anti-left Trinamul Congress led government and the whole issue is still being pending in
the Court of law. The net effect is the dispossession of peasants from their major means of
production and incidents like these are not new in the history of land acquisition in India.
About a decade ago, far worse things happened in the Kharagpur area of West Bengal, although
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the opposition parties and the civil society organizations during that time remained almost silent
(Guha 2007:3706-3711). The author of this paper had the opportunity of conducting micro level
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anthropological field work in the Kharagpur area during the mid-nineties. Let us move into the
details.
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Generalized vulnerability net and how it spread over in a leftist state in India
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While both Kanbur and Cernea hope to meet the challenges of displacement by
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generalized safety net, a kind of generalized vulnerability net has begun to spread over the
countries which move towards a liberalized economy. One of the outcomes of the generalized
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vulnerability net in situations of displacement is the pushing back of all pro-poor empowering
institutions and activities of the democratic government as well as civil societies. One recent
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Page 4 of 26
example of this comes from the left ruled state of West Bengal in India. In this state, the propeasant policies of the Left Front Government (LFG) (e.g. land reforms) are being pushed back
by its own recently adopted industrial policy (Guha 2005a). The industrial policy of the LFG was
rationalized by its protagonists by the success of its land reform measures, which as the argument
runs has improved the conditions of the peasantry so that the rural areas of this state can now
afford to have medium and large industries (WBIDC 1999). Some of these industries ironically
are being installed on fertile agricultural land in land scarce monocrop areas where small and
marginal farmers predominate. Furthermore, the land for those industries was acquired by the
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European Journal of Development Research
Page 5 of 26
colonial Land Acquisition Act of 1894 which only has provision for monetary compensation at
prevalent market rate. The net effect of this kind of development effort has not only been
impoverishment at the social and economic level but also disempowerment of the peasantry at
the political level. The all-powerful, Land Acquisition Act which bypasses the democratically
elected local self-government has no provision for rehabilitation nor the LFG has shown interest
to create any kind of safety net for these group of small and reform benefited peasantry which
included sharecroppers and tribal land losers. This is the broader context of risks, safety nets and
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vulnerability of a group of peasants who tried to create a greater space for compensation for the
land taken over by the government. In the following sections we would describe in some detail
how the peasants of Paschim Medinipur district of West Bengal made attempts to manage the
risks created by the acquisition of agricultural land for the industries through various kinds of
legal and extra-legal means. But before we enter into the detailed description of the peasant ways
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of risk management let us contextualize land acquisition in West Bengal.
The safety net tears apart
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In situations of rural poverty one of the best safety net is empowerment of the poor
through land reforms which is done through the distribution of illegally held land by the rich
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farmers to the landless and poor households. In the Indian context the colonial Land Acquisition
Law and the post-Independence Land Reform Act stand in a dialectical relationship. While the
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later empowers the peasantry the former does exactly the opposite function; it disempowers the
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peasants. And quite frustratingly, Land Acquisition takes place at a faster pace than Land
Reforms (Guha 2007).
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The new era of industrial development in West Bengal or for that matter, in any other
state in India is accompanied by dispossession of the peasantry from their major means of
production that is land. Dispossession from one’s own means of production is one kind of
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displacement in which the dispossessed family not only loses its economic security but also
social status and empowerment achieved through political movements and land reforms. The
international funding agencies like World Bank and the various national Governments have also
started to pay serious attention to the problem of development induced displacement. Most of the
studies on displacement so far have quite justifiably given more emphasis on “forced migration”
and involuntary resettlement of human groups (Cernea 1999; Fernandes et. al. 1989). But there
are situations when people are forced to give up their rights over one of the most valued capitals
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possessed by them. In an agricultural society this precious capital is land which embodies not
only an economic value but also manifests various social and cultural dimensions. Michael
Cernea’s pioneering study on displacement has shown that impoverishment has several
‘dimensions’ and the primary among them is landlessness. According to Cernea, landlessness is
one of the most vital components of displacement which should be given a major importance in
devising rehabilitation resettlement and plans. To quote Cernea: “Expropriation of land removes
the main foundation upon which people’s productive systems, commercial activities and
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livelihoods are constructed. This is the principal form of decapitalization and pauperization for
most rural and many urban displaces, who lose this way both natural and manmade capital”
(Cernea 1999: 17). So, dispossession of the rural cultivators from their agricultural land is
intimately interwoven with displacement even when they are not forced to leave their homes.
This can also be viewed as a kind of displacement from one’s own existing mode of survival.
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The second aspect of dispossession of the farmers from their major means of production,
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that is agricultural land, is the differential impact of land acquisition on the heterogeneous group
of agriculturists in a region. This is precisely because of the fact that when any Government
acquires agricultural land it does not take into consideration the pre-acquisition land holding
pattern of a region.
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Thirdly, dispossession also entails a political dimension. In a rural society where peasant
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movements had taken place in successive waves and the rights of sharecroppers as well as
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landless labourers have been ensured by a Government just a few years ago, the acquisition of
fertile agricultural land for capital intensive heavy industries by the same Government not only
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dispossessed the farmers economically but it also created political disempowerment and
despondency.
In this paper, we would briefly describe the consequences of land acquisition for the
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Page 6 of 26
private industries in which all three aforementioned risks had been observed, viz. (i)
landlessness, (ii) differential impact of land acquisition on the peasantry and (iii) their political
disempowerment. Although all the three phenomena took place within a very short period of
time, neither large scale forced migration nor any long standing peasant movement had taken
place owing to this dispossession and the plight of the farmers in the study area remained a little
known event in the development and displacement discourse in the academic as well as activist
circles of West Bengal and India. In the following sections an attempt would be make to depict
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Page 7 of 26
some of the consequences of land acquisition with the help of quantitative as well as qualitative
data.
Socio-economic Consequences of Land Acquisition for Tata Metaliks
Before describing the socio-economic consequences of land acquisition for Tata
Metaliks, a brief outline of the area from where the sample households have been selected from
the affected villages are provided along with the methodology adopted for this particular
fieldwork.
The Area
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The area lies on the bank of the river Kasai which is the largest river of Paschim
Medinipur district. Cultivation of paddy (staple of the district) in the villages under study
depends primarily upon rainfall and no systematic irrigation facilities have yet been developed
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by the Government. The villagers residing on the south eastern bank of the river cultivate a
variety of vegetables on the land adjoining their homesteads owing to a very good supply of
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groundwater tapped through traditional dug wells. But just west of the South Eastern Railway
track the groundwater level is not very congenial for cultivation of vegetables. The main
agricultural activity on this side of the railway track is rain fed paddy cultivation for about four
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to six months of the year. Land for the two big private industries has been acquired by the
Government on this side during 1991-96 in the wake of liberalisation in India.
Selection of Households
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The selection procedure of the households for this study followed a combination of
purposive and opportunity sampling. At the outset, the main aim of the researcher was to locate
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the households whose farmlands have been acquired for the establishment of the Tata Metaliks.
Instead of searching through the records of land ownership kept in the Land and Land Records
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department of the district, this investigation depended directly upon fieldwork by following the
traditional anthropological method of intensive interviews of the project affected people. Apart
from knowing the current status of land ownership, (which are not promptly made up-to-date in
the Land Records Office) micro-ecological variations and local level political movement
centering round land acquisition within the first few weeks of fieldwork, it became also possible
to know from the active members of the political movement the names of the villages whose
inhabitants have been affected by the acquisition of agricultural lands for the industries. Later, at
the time of conducting the household survey, snowball sampling was taken recourse to, wherein
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the affected households gave the names of other such household heads whose land have also
been acquired. Household survey had to be completed within a period of three months owing to
time constraints and as a result not all the affected households could be covered. A rough
estimate about the total number of households affected by the acquisition of land was made
available for us by the leaders of the peasant movement who took the help of the Congress party.
They estimated that about 200 families have been affected by the acquisition. Within the
stipulated time, a total of 144 households (72 per cent of the estimated total) belonging to
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different landholding categories, caste and community affiliation as well as families residing in
the two micro-ecological niches on both sides of the South Eastern Railway track have been
covered by the survey. The sample households included Hindu caste groups, Muslims, tribals,
owner cultivators, sharecroppers on both sides of the railway track which provide interesting
ecological variations in terms of groundwater level and cultivation of non-cereal food crops. In
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the following section, the findings of enquiry on some consequences of the said act of acquisition
have been described.
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Spreading the risk of landlessness
The first and foremost consequence conforms to the observation of Michael Cernea
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which he mentioned in his publications on the “eight major risks” involved in involuntary
displacement caused by development projects all over the world. Industrialisation in the
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liberalisation decade in Medinipur has led to dispossession of the small and marginal farmers
from their principal means of production.
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Page 9 of 26
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Table 1
Distribution of Households in Five Villages Affected by Land Acquisition for TML.
Name of the village
Ajabpur
Gokulpur
Mahespur
(33.638)*
21
(14.583)
32
(22.222)
12
(08.333)
32
(22.222)
144
(99.998)
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Total
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Liluakala
Number of households
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Amba
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Figures in parentheses represent percentage out of column total in the table.
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From table I it is found that the villages situated on the eastern side of the railway track
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(Ajabpur, Gokulpur and Liluakala) have been affected more in terms of the number of families
who have lost their farmlands. The people of these villages are excellent farmers who keep
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themselves engaged throughout the year in agriculture. Besides paddy, they also grow almost all
kinds of summer and winter vegetables like green chili, lady'’ finger, mustard, water gourd,
pumpkin, bitter gourd, brinzal, potato, cabbage, cauliflower, radish and others.
These vegetables are grown in lands adjoining their homesteads which have not been
acquired by the Government. The villagers mainly sell these vegetables in the local markets
which fetch them some ready cash. On the other hand, the families who live in the village
Paschim Amba, lying on the western side of the railway track, belong to the Kora tribe. Many of
the Kora women and men now work as temporary unskilled labourers in the coke oven industry.
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Table 2
Distribution of Households of Different Castes and Communities Affected by Land
Acquisition for TML.
Name of the Caste/ Community
Number of households
Baisnab
4
(2.777)
Brahmin
6
(4.166)
Kayastha
13
(9.027)
Kshatriya
15
(10.416)
Muslin
8
(5.555)
Napit
2
(1.388)
Sadgope
56
(38.888)
Scheduled Castes
12
(8.333)
Kora (Tribe)
24
(16.666)
Tantubay
3
(2.083)
Teli
1
(0.694)
Total
144
(99.368)
Table 2 shows that the households belonging to Sadgops, who are one of the most enterprising
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peasant caste of western Bengal, have been affected most, while the scheduled tribe and
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scheduled caste families comprise almost a quarter of the total number of affected households.
Despite the presence of various constitutional safeguards and job reservation for the scheduled
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communities, there is no special provision for rehabilitation of these marginalised groups in
India. In this region too, these communities have become further marginalised due to the
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establishment of industries on their farmland and no step has yet been taken either by the State or
the Central Government to rehabilitate these groups properly.
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Table 3A
Pre-acquisition Agricultural Landholding Pattern of Sample Households Affected by The
Acquisition for TML.
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Size category of holdings (in Number of households
acres)
Landless
Nil
19 (13.194)
≤ 0.5
0.5 – 1.5
58 (40.277)
1.5 – 2.5
32 (22.222)
2.5 – 3.5
13 (9.027)
3.5 – 4.5
8 (5.555)
4.5 – 5.5
6 (4.166)
5.5 – 6.5
Nil
6.5 – 7.5
8 (5.555)
Total
144 (99.996)
Mean
size
4.73
6.43
8.84
8.60
8.86
12.6
13.3
5.76
household
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Table 3B
Post-acquisition Agricultural Landholding Pattern of Sample Households Affected by The
Acquisition for TML.
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Mean
size
6.36
5.48
8.25
7.57
12.07
9.20
10.33
15.00
5.76
household
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Size category of holdings (in Number of households
acres)
Landless
22
(15.277)
35
(24.305)
≤ 0.5
0.5 – 1.5
51
(35.416)
1.5 – 2.5
14
(9.722)
2.5 – 3.5
13
(9.027)
3.5 – 4.5
5
(3.472)
4.5 – 5.5
3
(2.083)
5.5 – 6.5
1
(0.694)
6.5 – 7.5
Nil
Total
144
(99.996)
On
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In the pre-acquisition stage, there was no landless family within the sample households
and 75 per cent of these families belonged to the size category of 0.5 – 4.5 acres. According to
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European Journal of Development Research
the latest standards set by the Government of West Bengal, these families should be regarded as
marginal and small farmers. The pattern of landholding among the same families after land
acquisition shows that 15 per cent of the families have become landless and the number of
households belonging to the lowest landholding category (≤0.5 acres) have increased from 19 to
35. On the other hand, the numbers of households within the size category 3.5 – 7.5 acres, have
declined from 22 to 9 only. Landlessness has another interesting dimension. The post acquisition
phase shows that the project affected families are forced to support bigger families with lesser
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amount of agricultural land.
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BOX I
Gokul Choudhury is a middle aged man of Gokulpur village in the study area, who owned 0.54 acres land from his
father. He has read upto class-VI and his main occupation was agriculture. But after the acquisition his main
occupation is vegetable selling. He used to till the land with his family members and got 2800 kg paddy per year. He
cultivated different traditional varieties of paddy (Rupsal, Patnai etc.) which are usually planted in the rainy season.
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He came to know about acquisition of the land from a notice, which came from land acquisition office of
Midnapore. After receiving the notice he however, attend meeting but never submitted any objection in writing.
After a short period of time like other farmers of Gokulpur, he agreed to give away his land with the hope that a
member of his family will get a permanent job in the industry. He got compensation of Rs. 4000/- for giving 0.22
acres land (located in the Pritimpur mouza) which was acquired for the Tata Metaliks Company. His other piece of
purchased land located in the Amba mouza amounted to 0.32 acres, was acquired by the Government for the Bansal
Cement Company in the year 1995. He got compensation of Rs. 48000/- for giving this land. He saved the money in
the local State Bank.
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The land which he possesses, now cannot supply food for his family throughout the year. He now has to purchase
paddy from the market for two- three mounths of the year. He and his son also sell vegetable grown in his
homestead land.
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Page 12 of 26
He stated that the most adverse and immediate effect of land acquisition in his family was scarcity food and fodder
for he cattle. (Majumder & Guha 2008)
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Page 13 of 26
Table 4
Land Acquisition Scenario Among the Sharecropper Households Affected by Acquisition
for TML.
Amount of Land in acres
Number of households
2
≤ 0.5
0.5 – 1.5
8
1.5 – 2.5
NIL
2.5 – 3.5
1
Total
11
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In table 4, the distribution of sharecroppers according to the size category of their
landholdings has been shown. It is true that the number of sharecropper families constitutes only
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7.63 per cent of the total number of affected families but the overall importance of this
phenomenon has to be viewed in the context of the land reforms policy of the LFG in West
Bengal. Not only have the political leaders of this Government, but also the academic researchers
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praised the Left Front Government for increasing the bargaining capacity of the sharecroppers
through the recording of their rights over agricultural land (Lieten 1996). But here also the case
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of industrialization in Medinipur under the wider context of the structural adjustment programme
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and economic liberalization policy shows that even a Leftist Government, which was committed
to uphold the interests of sharecroppers, became instrumental to dispossess small and marginal
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farmers along with sharecroppers from their means of production. No attention to the
inevitability of the risk to the vulnerable category of peasants (since they are not the owner of the
land they cultivate) has been paid by the Government while acquiring the land. In this
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connection, it may be mentioned that even the administrative procedures for monetary
compensation to the sharecroppers make them more vulnerable in terms of the amount as well as
the delay towards its payment. The new industrial policy of the Government of West Bengal still
does not have any safety net for the sharecroppers (Guha 2005 b).\
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Page 14 of 26
European Journal of Development Research
BOX II
Operation Sharecropper comes a cropper
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The Statesman 5 May 2008 (page 1)Shiv Karan Singh
KOLKATA, May 4: “As soon as I heard about the camp, I ran to get our name recorded”, said Mr Singho,
remembering the events of 1984, when the effects of Operation Barga first reached his village, Liluakola,
in West Midnapore. Mr. Singho remembers Land Reforms under the Left Front as a “good thing”,
because under Operation Barga, his father, Sumanto Singho, a sharecropper, was protected from being
evicted by the landowner and guaranteed a 75% share of the .3-acre area cultivated. This protection gave
food security to the Singho family.
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However, for Mr. Singho, the benefits of Operation Barga have long expired. His father passed away.
And, in 1991, the state government acquired the land that he and his four brothers continued to sharecrop
in Kalaikunda Gram Panchayat to establish a Tata pig iron factory. The compensation was less than Rs.
2,000. Now, with but a small adjoining homestead plot where they grow vegetables and sesame, the
Singho brothers are another example of the lakhs of beneficiaries of land reform that have been
subsequently dispossessed of food, income, and status by state land acquisition. For, although land reform
protected the sharecropper from the whims of the absentee landlord, it has been powerless against the
whims of the state government armed with the Land Acquisition Act (1894).
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Utilization of compensation: A step towards risk management
While the policy makers of the Government think that their task of rehabilitation ends
with the payment of compensation, the project affected families begin to manage risk by
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spending the compensation money. The following table summarizes this risk management
behaviour of the peasants in the study area.
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Page 15 of 26
Table 5
Profile of Utilization of Compensation Money by the Land loser Households Affected by
the Acquisition for TML.
Number of household under the various categories of utilization
Purcha
Compensa
Domesti Marria
Purchas se of House
tion
Repaym Bank
building
c
ge
e
of
shallo
category in
ent
of deposi
and/or
consum purpos
agricultu w
rupees
Loan
t
ption
e
ral land tubew repair
ell
1,000
– 6
9
31
9
2
18
10,000
10,000
– 5
5
5
12
9
1
16
20,000
20,000
– 1
5
5
4
2
6
30,000
30,000
– 1
5
5
5
1
6
40,000
40,000
– 1
1
4
1
4
50,000
50,000
– 1
1
1
2
60,000
60,000
– 0
0
0
2
1
0
1
70,000
70,000
– 80,000
80,000
– 1
1
1
1
90,000
90,000
– 2
1
4
1,00,000
Total
13
7
28
62
31
6
58
(9.027)
(4.861 (19.444) (43.055) (21.52 (4.166)
(40.27
)
7)
7)
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European Journal of Development Research
Busines
s
investm
ent
6
3
1
2
1
13
(9.027)
Here we have made an attempt to quantify the pattern of utilization of the compensation
money received by the land losers in the study area. It needs to be mentioned at first that all the
144 households have received monetary compensation, although many land losers during the
field investigation reported that they were yet to get the full compensation money. Secondly, all
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European Journal of Development Research
the families have utilised the compensation money in more ways than one. Eight categories of
utilisation of the compensation money by the villagers could be identified, which were then
arranged into ten compensation categories. But as the household members have spent the money
under more than one utilization category so any row total achieved is the result of addition of the
same household more than once under different categories. Understandably, the sum of all the
row totals equal to the total number of households in the sample. However, each column total
represents the actual number of households out of 144 under any particular utilization category.
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This gives a fair idea as to how the villagers have tried to compensate their loss of land. The
maximum number of affected households has spent some portion of the compensation money in
domestic consumption, while the second highest number of households has deposited a part of
the money in bank. But if spending on marriage of the family members and house-building and
repair are also considered to be domestic consumption then clearly the latter item predominates
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in the compensation utilization process. The lower frequency of households who have tried to
spend the money for agricultural purposes (for example, purchase of arable land or shallow tube
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wells) marks the beginning of the process of displacement of these small and marginal farmers
from their traditional occupation and peasant way of life. It can be concluded that by and large
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the way this group of dispossessed peasants utilized their compensation money have led them to
incur more risks on the economic front.
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Peasants protest against land acquisition: from risk management to strong bargain
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The protests launched by the landowning peasants of the Gokulpur-Amba area against
land acquisition took many forms, even though these did not last long maintaining the same
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intensity. A good number of peasants took the statutory means to put up their objections against
land acquisition under section 5A of the Land Acquisition Act during December 1995. A
Government report dated 21.06.96 vividly recorded the objections and described in detail how
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Page 16 of 26
the latter were overruled. The objections submitted by 342 land losers contained the following
points : (i) The acquisition of agricultural land would affect the farmers seriously by throwing
them out of employment, (ii) the land losers will not get compensation at the rate they expect and
(iii) the proposed acquisition is against public interest and is beyond the purview of the Act. It is
interesting to observe how the concerned officials of the Land Acquisition Department overruled
all the objections raised by the farmers. Before rejecting the objections, the officials, however,
recognised the severity and magnitude of the acquisition. To quote from the report:
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Page 17 of 26
It is a fact that since large quantum of land is being acquired and the
people chiefly subsist on agriculture many people will be seriously
affected in earning their livelihood and avocation” (Departmental Report
1996).
But this was the only sentence in the whole report which upheld the interests of the
peasants. The rest of the 3-page report was devoted to justify the acquisition through the
elaboration of some arguments. The arguments of the officials centered around the low
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agricultural yield of the lands which are monocrop in nature. Moreover the report also mentioned
about the merits of the location of the land, which provided important infrastructure facilities for
the industry like nearby railway line and the national highway. It is learnt from the report that
during the hearing of the objections the petitioners could not “specify their individual difficulty
in parting with the land” although the same report said that “most of the objectors submitted that
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they have no objection if employment is assured to them, in the company in favour of whom
acquisition is being done.” It is not clear from the report why the authors of the same could not
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understand the nature of “individual difficulty” in parting with the land which is their main
source of livelihood. Three points raised in the report are quite significant and shows the
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bureaucratic way of dealing with such an action on the part of the Government which was going
to have a severe impact on the subsistence pattern of a group of rural cultivators in a monocrop
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region. Firstly, at one place the report mentioned: “It is worthwhile to point out that objections
have been received only from 342 landowners for the acquisition of 526.71 acre which will
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affect at least 3000 landowners, if not more.” It seems the official position rested on the logic
that as the overwhelming majority of the farmers would not face any difficulty so there was no
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need to record any objection against this acquisition. Secondly, after citing the locational
advantages of the land, the officials overruled objections regarding the question of earning a
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livelihood by saying that the proposal had been approved both by the screening committee and
by the state after considering all the aspects. Incidentally, the screening committee for the
approval of any project comprises the Sabhadhipati of the panchayat samity and the Member of
the Legislative Assembly of the locality. It is obvious that these people’s representatives who are
members of political parties of the LFG would not object a proposal which has already been
approved by the cabinet and the concerned ministries of their own Government. Thirdly, the
report dealt with the point ‘job for land’ simply by saying that the Land Acquisition Act does not
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European Journal of Development Research
provide any relief except compensation. But the Government may take up the matter with the
company particularly for those farmers who would become landless and would be devoid of any
source of earning a livelihood. Now, after having overruled all the objections, the procedure for
land acquisition made headway.
Beside, recording objections within the legal framework of the Land Acquisition Act, the
farmers of this area also took recourse to extra-legal means to fight against the acquisition of
their agricultural land. The information on this part of the peasant protest have been collected
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from interviews of the leaders and participants of this movement as well as from press reports
and the various written memoranda submitted by the villagers to the district and state
administration. In the following paragraphs the succession of the important events of the peasant
resistance has been described.
The vast rural area which lies between Medinipur and Kharagpur townships is dominated
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by the two left political parties of the state, namely, CPI and CPI (M), which are also the major
partners of the Left Front Government. The Congress, which is the opposition party in the state
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has some followers in the area. This party being the major supporter of economic liberalization
did not raise any objection when the news of industrialization in this area came to be known. In
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fact, Congress welcomed this decision of the Left Government. They only raised doubts about
whether the industrialists would at all choose West Bengal as a suitable site for industrialization.
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In the study area Tata Metaliks was established on about 200 acres of agricultural land during
1991-92. Before the establishment of Tata Metaliks the leaders and cadres of CPI (M) and CPI
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organized meetings and continued individual level campaigns on the “bright possibility” of
getting jobs by the land losers in the industry. But when the Tata Metaliks started production, the
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promise for providing jobs was proved to be a false one and the peasants also experienced the
lengthy as well as tedious process of getting compensation from the district administration. All
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Page 18 of 26
of these caused sufficient disillusionment among the peasants who were once hopeful about the
positive effects of the establishment of an industrial estate in this region.
The decision of the state government to acquire agricultural land in the same area for
Century Textiles Company was taken under this background. The pessimism created among the
peasants owing to the establishment of Tata Metaliks inspired some of the inhabitants of this
locality to agitate against the acquisition of land for another pig-iron industry. The movement
grained much popularity under the leadership of Trilochan Rana [a former CPI (ML) leader]
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European Journal of Development Research
Page 19 of 26
during 1995-96 who joined the trade union wing of the Congress Party and put considerable
pressure on the district administration.
Two interesting incidents may be mentioned in this regard which would throw some light
about the reasons behind the popularity of this movement among the farmers. The first incident
took place in the month of May 1995 when Trilochan Rana organized a good number of peasants
to put a deputation to the Tata Metaliks Company authorities demanding some compensation for
the damage caused by the movement of trucks carrying goods for the company over the
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unacquired agricultural fields (there was no crop in the fields at that time) of those farmers. The
trucks damaged the dykes of the fields (ails) and the soil. Under the pressure of the peasants the
company authority had to pay compensation in kind to 75 peasant families in presence of the
pradhan of the Kalaikunda GP. Some amount of fertiliser was given to those peasants whose
lands were damaged.
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In the second incident Trilochan Rana put a deputation to the district administration about
the damage caused to the unacquired agricultural fields of some peasants for putting pillars to
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demarcate the acquired lands for Century Textiles Company in Kantapal, Mollachak and other
adjoining villages. Those cement pillars were fixed by digging at about 4 sq.ft. of land to a depth
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of 3-4 ft. and became permanent structures right on the agricultural fields of the peasants whose
lands were not acquired. These pillars served as the boundary of the acquired land for CTIL.
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About 24-25 such pillars were constructed in early 1996. The peasants argued that cultivation of
fields over a much wider area around those pillars was not possible owing to physical
obstruction.
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The district administration had to agree with this demand of the peasants and arranged for
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payment of Rs. 420/- as monetary compensation to those families affected by the construction of
those pillars. This compensation payment continued for 2 years but with the decline of the
movement the administration discontinued this compensation.
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Both these incidents reveal that under the pressure of an intelligent and organised peasant
movement the company authority as well as the Land Acquisition Department had arranged
compensation for peasant families having no provision under the existing legal and
administrative framework.
The movement reached its peak from the later part of 1995 up to April 1996 during which
the farmers even went to the extent of violent means. In the first week of January 1996 hundreds
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European Journal of Development Research
of farmers in the Kalaikunda area stormed into the tent of the engineer who was conducting soil
testing and land survey on behalf of Century Textiles Ltd. A leading national daily reported on
10 January 1996:
Land Survey and soil testing work in Mathurakismat Mouza in the
Kalaikunda gram panchayat area of Kharagpur rural police station
undertaken by Century Textiles – a Birla group of Industries – had to be
abandoned following stiff resistance from villagers last week….The farmers
also blocked Sahachak for nine hours yesterday…They also lodged a
complaint with the police against the firm” (The Statesman 10 January
1996).
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On 22 March 1996, the same national daily reported about a mass deputation by a group
of peasants of the Kharagpur region before the district administration (The Statesman 22 March
1996). In this deputation, the peasants demanded land for land or a job for the members of the
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land loser families. They also demanded a compensation of 3 lakh rupees per acre of agricultural
land. After this deputation, about 100 farmers came to Medinipur Collectorate(the administrative
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headquarters of the district) on 10 April 1996 and submitted a memorandum to the District
Magistrate saying him that they would boycott the ensuing parliamentary election to protest
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against the acquisition of fertile agricultural land for industrial projects. The farmers stated in
their letter that this acquisition would disturb the local economy and distabilise the
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environmental balance of the region and this event was also reported in The Statesman on 2 May
1996. It is important to note in this connection that neither the state or district level Congress
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leadership, nor any MLA of this party showed any interest in supporting this movement of the
peasants in Kharagpur region. The local CPI(M) leadership and the elected panchayat members
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of this area not only remained silent about this spontaneous movement of the peasants but they
also made every attempt to smoother this agitation by labeling it as a disturbance created by
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Page 20 of 26
Congress to stall the progress of industrialization under LFG. Without getting support from any
opposition party and facing stiff resistance from the ruling left parties and lacking a coherent
organization, this localized peasant movement against land acquisition gradually lost its
intensity.
The land losers also tried to organize themselves by refusing to accept compensation
money for a very brief period under the leadership of a few local leaders but this effort too did
not last long and the movement finally came to a halt in the Kalaikunda region.
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Page 21 of 26
The old man and his political bullocks: dealing risks with semantics
At the end of this paper, we would describe an anecdote from the field to complete our
narrative of risk management by the impoverished peasants of our study area. The event
occurred near Kantapal village at Kharagpur from where the huge chunk of land acquired for
Century Textiles could be seen. A discussion with the author and his students was going on
about the condition of the small dykes (‘ail’ in the local parlance) constructed by the farmers to
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demarcate the plots of land possessed by different owners within the acquired area. Since no
cultivation could be taken up for three successive seasons in the whole area, which had turned
into a grazing field, the dykes had started to break down. Two consequences of this situation
followed. Firstly, the farmers who still had unacquired land in the vicinity of the acquired area
were facing a lot of difficulties in protecting their agricultural plots from the grazing cattle.
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Earlier there were other farmers who also shared the responsibility of driving out the cattle from
the fields during agricultural season. Driving out the intruding cattle in the paddy fields is always
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a collective affair in rural areas. After acquisition, the number of farmers has decreased in this
area. Moreover, cows and buffaloes of the milkmen of the urban areas of Kharagpur town have
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also ventured to exploit this huge chunk of land.
Secondly, after the breakdown of dykes the poorer people of the area who used to collect
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a good quantity of small fishes of various types from those agricultural plots as a common
property resource, are not getting any fish in those plots. In the discussion three to four persons
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including one middle-aged women and old man were present. All of them were denouncing the
Government for the takeover of the fertile agricultural land for Century Company which had not
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yet been established. When the question arose that if people of this area had started to dislike the
ruling party and the Government then why did they cast their votes at the panchayat and
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assembly elections to the same party every year? The reply came from the old man which is
reproduced here verbatim: “Look babu, (‘gentleman’ in Bengali) we poor people always have to
ride on some animal almost blindfolded. After the ride for some time we start to realize whether
it is a tiger or a bullock. But very often we have to twist its tail in order to keep it in proper
direction” (translated freely from Bengali). All of us including the old man burst into laughter
but we later realized that the joke symbolized the gap between aspiration and achievement of the
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European Journal of Development Research
peasants without the safety nets envisioned by the academicians of the developed nations of the
world.
References
Cernea, M.M. 1999 “Why Economic Analysis Is Essential To Resettlement: A Sociologist’s
View”. In M. Cernea ed., The Economics of Involuntary Resettlement: Questions and
Challenges. PP. 5-49. Washington D.C.: The World Bank.
Cernea, M.M. 2002 “For a New Economics of Resettlement: A Sociological Critique of the
Compensation Principle”. In An Exchange on the Compensation Principle in Resettlement
Working paper (2002-33). Department of Applied Economics and Management. Cornell
University, Ithaca, New York.
rP
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Cernea, M.M. 2005 “Resettlement Management and Risk Analysis : Denying or Confronting
Risks?” In H.M. Mathur ed. Managing Resettlement in India : Approaches, Issues, and
Experiences. 2005 New Delhi: Oxford University Press.
ee
Guha, A. 2007. Land, Law and the Left: the Saga of Disempowerment of the Peasantry in the
Era of Globalization. New Delhi: Concept Publishing Company.
rR
Guha, A. 2005 a. “Pushing Back Land Reforms: The Case of Dispossession of Peasants by
Industrial Projects in Medinipur, West Bengal.” Paper presented in a National Seminar on
Urgent Issues in Displacement, Resettlement and Rehabilitation organised by Indira Gandhi
National Open University held during 6-7 February 2003 in New Delhi.
ie
ev
Guha A. 2005 b. “Eviction of Bargadars Under State Patronage in Leftist West Bengal: A Policy
Perspective.” In Perspectives on Rural Development eds. R.K. Das, A. Basu and A. Guha [2005,
Forthcoming]. Department of Anthropology, Vidyasagar University and Indian Anthropological
Society. Kolkata.
w
On
Guha, A. 2007. “Peasant Resistance in West Bengal: A Decade Before Singur and
Nandigram”.Economic and Political Weekly, Vol.42, No.37, September 15-21, pp.3706-3711.
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Kanbur, R. 2002 “Development Economics and The Compensation Principle.” In An Exchange
on the Compensation Principle in Resettlement. Working Paper (2002-33). Department of
Applied Economics and Management. Cornell University, Ithaca, New York. Lieten, G.K. 1996
Development, Devolution and Democracy. New Delhi: Sage Publication.
Lieten, G.K. 1996 Development, Devolution and Democracy. New Delhi: Sage Publication.
URL: http:/mc.manuscriptcentral.com/fedr
Page 23 of 26
Majumder, A. and Guha, A. (2008) ‘A Decade after Land Acquisition in Paschim Medinipur,
West Bengal’. Journal of the Indian Anthropological Society, 43: 121-133
The Statesman 1996 News item dated 10 January 1996. Calcutta.
The Statesman 1996 News item dated 22 March 1996. Calcutta.
The Statesman 1996 News item dated 2 May 1996. Calcutta.
West Bengal Industrial Development Corporation 1999. Destination West Bengal. Calcutta:
WBIDC.
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Acknowledgements
I am greatly indebted to SA Khan and Alan Rew for inviting me to present a preliminary
version of this paper in the conference” Integrating Planning Against Risk” sponsored by Centre
for Development Studies, Swansea and Economic and Social Research Council, UK held during
17-18 September 2005 in Bangkok. I am also indebted to Michael Cernea who not only kept on
sending his articles one after another but also for constantly inspiring me to write this paper. I
would like to express my sincere thanks to the Land Acquisition Officer and the staff of the Land
Acquisition Department of the Paschim Medinipur District who extended all kinds of help and
cooperation while I worked in the Department during 1999-2000. Last but not the least, I express
my deepest gratitude to the acquisition affected villagers of Kharagpur-I block who helped me by
providing all kinds of information when I conducted the fieldwork during 1995-1999.
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European Journal of Development Research
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European Journal of Development Research
Table 1
Distribution of Households in Five Villages Affected by Land Acquisition for TML.
Name of the village
Number of households
Ajabpur
47
(33.638)*
Amba
21
(14.583)
Gokulpur
32
(22.222)
12
(08.333)
32
(22.222)
144
(99.998)
Liluakala
Mahespur
Total
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Figures in parentheses represent percentage out of column total in the table.
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Table 2
Distribution of Households of Different Castes and Communities Affected by Land
Acquisition for TML.
Name of the Caste/ Community
Number of households
Baisnab
4
(2.777)
Brahmin
6
(4.166)
Kayastha
13
(9.027)
Kshatriya
15
(10.416)
Muslin
8
(5.555)
Napit
2
(1.388)
Sadgope
56
(38.888)
Scheduled Castes
12
(8.333)
Kora (Tribe)
24
(16.666)
Tantubay
3
(2.083)
Teli
1
(0.694)
Total
144
(99.368)
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Page 25 of 26
Table 3A
Pre-acquisition Agricultural Landholding Pattern of Sample Households Affected by The
Acquisition for TML.
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Size category of holdings (in Number of households
acres)
Landless
Nil
19 (13.194)
≤ 0.5
0.5 – 1.5
58 (40.277)
1.5 – 2.5
32 (22.222)
2.5 – 3.5
13 (9.027)
3.5 – 4.5
8 (5.555)
4.5 – 5.5
6 (4.166)
5.5 – 6.5
Nil
6.5 – 7.5
8 (5.555)
Total
144 (99.996)
Mean
size
4.73
6.43
8.84
8.60
8.86
12.6
13.3
5.76
household
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Table 3B
Post-acquisition Agricultural Landholding Pattern of Sample Households Affected by The
Acquisition for TML.
w
Mean
size
6.36
5.48
8.25
7.57
12.07
9.20
10.33
15.00
5.76
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Size category of holdings (in Number of households
acres)
Landless
22
(15.277)
35
(24.305)
≤ 0.5
0.5 – 1.5
51
(35.416)
1.5 – 2.5
14
(9.722)
2.5 – 3.5
13
(9.027)
3.5 – 4.5
5
(3.472)
4.5 – 5.5
3
(2.083)
5.5 – 6.5
1
(0.694)
6.5 – 7.5
Nil
Total
144
(99.996)
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European Journal of Development Research
household
Page 26 of 26
European Journal of Development Research
Table 4
Land Acquisition Scenario Among the Sharecropper Households Affected by Acquisition
for TML.
Amount of Land in acres
Number of households
2
≤ 0.5
0.5 – 1.5
8
1.5 – 2.5
NIL
2.5 – 3.5
1
Total
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Table 5
Profile of Utilization of Compensation Money by the Land loser Households Affected by
the Acquisition for TML.
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Number of household under the various categories of utilization
Purcha
Compensa
Purchas
se of House
Domesti Marria
tion
Repaym Bank
e
of shallo building c
ge
category
ent
of deposi
and/or
agricultu w
consum purpos
in rupees
Loan
t
ral land tubew repair
ption
e
ell
1,000
– 6
9
31
9
2
18
10,000
10,000
– 5
5
5
12
9
1
16
20,000
20,000
– 1
5
5
4
2
6
30,000
30,000
– 1
5
5
5
1
6
40,000
1
4
1
4
40,000
– 1
50,000
1
1
1
2
50,000
– 60,000
60,000
– 0
0
0
2
1
0
1
70,000
70,000
– 80,000
80,000
– 1
1
1
1
90,000
90,000
– 2
1
4
1,00,000
Total
13
7
28
62
31
6
58
(9.027)
(4.861 (19.444) (43.055) (21.52 (4.166)
(40.27
)
7)
7)
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Busines
s
investm
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6
3
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1
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(9.027)