1. Food Versus Liquor The India of 2010 Euro Care, 21st June 2010, Brussels Kshithij Urs Bangalore, India. dr_kurs@yahoo.com Analysis of the Food grain based liquid and Integrated Material Financial Aid, 2007 by Sachin Tiwali Nirman, Pune India sachin.tiwale@gmail.com

2. India – some recent facts • 1.2 Billion people Next Census will take place in 2011 • 77 to 80% of population lives in less than Rs.20 per day Arjun Senguptha Commission 2006 Suresh Tendulkar Commission 2009-10 • Extreme Inequality Alternative Economic Survey 2008 • Food Inflation, at 18% is amongst the highest in the world but more than 300,000 farmers of committed suicide in the last ten years

3. Deep transformation • A state of PoliticalVacuousness Fetish for corporate governance Priority for physical and commercial infrastructure over social infrastructure Acceptance and promotion of unbridled corporate power • A strong, state-promoted ‘Primitive Accumulation’ • Indian capital expansion dependant on exploitation of natural resources • Emergence of Non-state institutions with executive decision making powers at the cost of deliberative democracy

4. Food grain based liquid and Integrated Material Financial Aid - 2007* • Alcohol production from food grains • Subsidies on this production Criteria • Alcohol only from food grains opposed to the conventional Molasses-based production • Required grains have to be bought in Maharastra • Produced Liquor has to be sold within Maharastra * Based on analysis by Sachin Tiwale

5. Status in January 2010 • 32 grain based liquor distilleries sanctioned • State providing subsidies of Rs.10 per liter • 10 distilleries have started production • More than US $ 5 Million already distributed to three of the these production units • Each unit is eligible for US $ 11 Million public money as subsidies each year Based on analysis by Sachin Tiwale

6. “Primary Motive” of the government • ‘To help rain-fed farmers by providing them good prices for Jowar, Corn and Bajra’ • ‘This will consequently reduce farmers’ suicides’ • ‘Because of the unpredictable rains, jowar gets rotten….and we will use this to manufacture alcohol and provide good returns to farmers’ • Shortage of alcohol also quoted as a reason Based on analysis by Sachin Tiwale

7. Of dubious links and wrong trends • Knowing fully well that there is no second opinion on the ill effects of liquor, the state has deliberately linked alcohol to development and to farmers’ welfare • Subsidies to liquor and making it an essential need of the people of the state • Will Cigarettes be subsidised to help Tobacco growers? • MITCON has suggested Rs.5 as subsidy, not Rs.10 • Shifting focus from historic problems like malnutrition, education and health to ‘shortage of alcohol’ Based on analysis by Sachin Tiwale

8. Whither Food Security? • Combined production of the sanctioned Distilleries is 460 million liters of absolute alcohol • Each liter requires around 2.8 KGs of grain, a total of 1.3 Million tonnes of grain for alcohol • 2008-09 total production of grain in the state is 10.01 Million tonnes (13% goes for liquor) • In the same year 2.54 Million tonnes were imported to match the shortage • Jowar and Bajra form major part of rural diet Based on analysis by Sachin Tiwale

9. Fallout • Contributing to existing child mortality due to malnutrition (45000 every year) • With annual per capita cereal consumption of 104 KGs, the grain-liquor production is equivalent to the needs of 10 million people of the state • Food reduces and availability of alcohol will increase • Attempt to break the solidarity for women who have consistently opposed liquor in the state who also form majority of the farmers Based on analysis by Sachin Tiwale

10. Who are benefiting? • Son of Heavy Industries’ Minister Vilas Rao Deshmuk (Congress) • Daughter of Deputy leader of Lower House Gopinath Munde (BJP) • Sons-in-Law of former Prime Minister Narasimha Rao (Congress) • GovindaRao Adhik, the leader of Nationalist Congress Party Based on analysis by Sachin Tiwale

11. Ignoring other Voices • The proposal of mass movements was to increase the demand for farm produce by direct procurement and distributing through subsidized PDS • Stop import of Rice and Wheat from distant states • Respect local diet • The High Court in the state refused to accept a PIL quoting its non-interference in state policies – A case of Inarticulate Major Premise? Based on analysis by Sachin Tiwale

12. Anti Alcohol Movement • Anti-Alcohol struggles may not fully comprehend emerging challenges • Political orientation of these struggles found wanting • Disconnect between research centers and mass organisations • Corporate cooption of the media and the medias’ cooption of the civil society • Dwindling democratic space and a militant state has temporarily curtailed the emergence of stronger counter ideas and actions

13. Thank you