Noted economist and Deputy Chairman of the State Planning Board, Prabhat Patnaik, has stressed the need for Kerala to take the lead in the fight for an alternative trajectory for economic growth, other than the one being implemented under the neo-liberal policies of the UPA government at the Centre.
Delineating the impact of the India — ASEAN Free Trade Agreement on Kerala, at a seminar organised by the Kerala Gazetted Officers’ Association here on Friday, he said that the FTA should be opposed not because it went against the interest of the State alone, but the new policies being followed by the Central government went against all the development that had taken place in India.
“It is not a case of Kerala versus the rest of India, as is being made out to be,” he said.
The ASEAN Agreement was not the end of the road in implementing its globalisation policies, but the Central government was planning to extend further concessions to select countries. “The Government of India is now pursuing an additional agreement with Malaysia and Indonesia, thereby increasingly sacrificing the interests of its petty producers,” he said.
Professor Patnaik took a serious view of the change that had taken place in economic discourses under the neo-liberal economists during the past few years. “From the language of humanity and compassion, it has been reduced to one of power play and influence,” he said.
According to him, the free trade agreement with ASEAN was not based on economic consideration but part of India’s diplomatic initiative in spreading its influence in the South East Asian countries. The agreement was necessitated by the geopolitical interests of the country as, otherwise, China would have gained from India’s absence in the area. “This is the language of power,” Professor Patnaik said.
Of late, the economic discourses have centred round theme of power, he pointed out, and added that the decision-makers were concerned about the drought situation not because they were anxious about the plight of the people but with the adverse impact it would have on growth rate.
Coming down on the increasing obsession with ‘India becoming super power’, he said this was an out come of the Indian finance capital increasingly getting linked with international finance capital.
According to him, it was not only the primary sector which would be adversely affected by the Agreement. Even those in the Indian Industrial sector too have expressed apprehension that they would find it difficult to compete effectively with the cheaper clones being imported from highly sophisticated industrial economies of the ASEAN nations.
Professor Patnaik said that a section of the service sector might get benefited from the free trade agreement. Trade of this nature, which went against elementary economics, should be opposed and Kerala can take the lead in finding an alternative strategy for economic development.
Activist and former vice-chancellor of Kerala University, B. Ekbal, KGOA general sectary K Sivakumar and others also spoke.
