For a paradigm shift

RAJEEV BHATT

Interview with Chief Minister Amarinder Singh.

Enterprise and endeavour define the essential spirit of the people of Punjab. With an average growth rate of 10 per cent, among the highest in the country, the State is way ahead of others in almost all sectors of industrial and agricultural development. The literacy rate is 58 per cent and it boasts the highest per capita income among Indian States. The "granary of India" was the first to translate agricultural technology into the miracle of Green Revolution, recording the highest growth in food production. The White Revolution made it the State with the highest per capita availability of milk.

The Punjab of today has close to two lakh small and medium-scale industrial units and 653 large-scale industries. It leads in the manufacture of machine and hand tools, and printing and paper-cutting machinery. It is also fast developing as a choice destination for investments in the Information Technology sector.

At the helm of affairs for the past three years, Chief Minister Amarinder Singh has played a major role in charting the State's path to all-round development. He spoke to Sarabjit Pandher about the government's achievements and future plans. Excerpts:

What have been the important achievements of your government in the past three years?

The Congress returned to power in Punjab after winning the February 2002 Assembly polls. The State presented a gloomy picture and people seemed to be fast losing hope, which was a worrisome indicator as we had recently witnessed a prolonged era of terrorism. Our first attempt was to contain the scourge of corruption, especially in the top echelons of power, and it is quite known now that we have been able to send an appropriate message down the line, though a lot still needs to be done in this field.

Secondly, we could send a message that Punjab's rights were safe only in the Congress' hands. While we could prevent nine lakh acres in the southwestern districts from becoming barren, our decisions put an end to the polemics over the issue of rights of riparian States. We seek a fair and transparent distribution of natural resources among States in order to benefit the whole country.

Last year the government stood by the people in organising the fifth centenary of the birth of the second master of the Sikhs, Guru Angad Dev, the fourth centenary of the installation of the Guru Granth Sahib in the Harmandir Sahib and the third centenary of the martyrdom of the four Sahibzadas (sons) of Guru Gobind Singh. While upholding the secular credentials of the government, we displayed our concern for preserving the rich cultural ethos of the State. The government began a process of reviving the association of the people with heritage through special festivals.

Finally, Punjab played a leading role in assisting the Union government to devise and implement various confidence-building measures along the road to normalising relations with Pakistan. I visited Pakistan in February and the Chief Minister of West Punjab, Chaudhary Pervez Elahi, came on a return visit in December. We organised the first India-Pakistan Punjab games. This cooperation, if led to its logical conclusion, will open new vistas of prosperity in the State, especially along the border.

Our government envisages a "dream" for the people of the State. Or, why else would they have reposed confidence in us while voting during the four byelections?

The Opposition parties and your detractors within the Congress have criticised you for non-performance. How would you assess the performance of the government?

It was a Herculean task to live up to the promise of providing an efficient, effective and responsive government and to revive the process of development, which had come to a standstill during the previous Shiromani Akali Dal-Bharatiya Janata Party alliance government. Owing to terrorism and the anti-growth policies of the previous government, the growth rate had come down to just 1.46 per cent.

So our priority was to revive the fiscal health of the State. Apart from various other steps, we enacted the Punjab Fiscal Responsibility and Budget Management Act to deal with the situation. While we inherited empty coffers and a huge debt of Rs.32,496 crores, several coordinated initiatives resulted in an increase in revenue receipts from Rs.11,071 crores in 2002-03 to Rs.12,139 crores in 2003-04. The revenue deficit decreased from Rs.3,754 crores to Rs.3,563 crores.

We have managed to reduce the annual burden of Rs.217 crores by availing ourselves of the benefits of the debt swap scheme of the Union government. The situation will also improve on account of a Rs.1,556-crore revenue deficit grant, which will be extended to the State in 2005-06.

When your government was sworn in, you promised to run a reforms-oriented regime. You even reversed some populist measures of the previous government. What is the outcome?

Some tough decisions were required to stem the rot. The farmers want assured power supply and not free power. Our efforts resulted in eight to 10 hours' power supply to the farm sector, which returned a record 156 lakh tonnes of paddy last season. Another bumper rabi crop is expected. As we ensured the supply of inputs such as fertilizers and pesticides over the past three years, cotton production has increased by nearly seven lakh bales. The gross domestic product of the State in the primary sector has shown a growth of 7 per cent as compared to a deceleration of 3.5 per cent in the previous year.

The change in the financial health of the State can be judged from the fact that the World Bank has resumed considering the State for extending development assistance. At various stages of approval are projects worth more than Rs.3,000 crores - to establish sanitation facilities and supply drinking water in rural and urban areas and to construct and augment roads. Meanwhile, the State is negotiating an annual Structural Adjustment Loan to the tune of $125 to $150 million.

Reforms in other sectors have resulted in Punjab becoming a leading investment destination in the country. While the government has approved 27 mega projects worth Rs.6,881 crores during the current financial year alone, the total investment in the industrial sector is likely to touch Rs.10,000 crores. Industry leaders at the international level in different fields have begun setting up projects in the State. Quark Xpress has established its IT Development Centre at Mohali, employing more than 1,100 professionals, and has signed an agreement to create state-of-the-art industrial infrastructure. Similarly, international IT companies such as IBM, Intel, DELL, Samsung, TCS, I-Flex, Satyam, Wipro and Infosys have shown interest in setting up their facilities in Mohali. While we have been pursuing the proposals to set up Special Economic Zones in Amritsar and Mohali, Punjab Infotech has developed Mohali as a hub of electronics and IT industries.

The State Empowered Committee on Industries recently approved an industrial park for which 300 acres [120 hectares] has been identified in the vicinity of the historic town of Machhiwara. Besides, the State government has been successful in getting a textile industrial cluster in Ludhiana and a wool and woollen garments cluster in Amritsar under the "Industrial Infrastructure Upgradation Scheme" of the Government of India.

During the past three years there has been a quantum jump in exports from the State. Goods worth Rs.8,933.31 crores were exported, as compared to Rs.4,408 crores and Rs.70,13.51 crores respectively in the previous two years.

What are your plans for the next two years?

Now that the State's fiscal health has shown major signs of revival and funds are available, we shall resume the process of development with the help of the Union government. It is a formidable challenge as a lot needs to be done to bring about a much-needed paradigm shift in the economy. In order to ensure that Punjab regains its position as a leader in all-round growth special emphasis is being laid on augmenting the road network, increasing power generation and reforming the power sector.

The government shall strive to attain the front-runner position for the State in the fast-globalising national economy, for which world-class social and physical infrastructure will be put in place. While cities would transform into economic powerhouses, villages would become micro-business centres and the Punjabi entrepreneurial spirit shall flow freely with least interface with the government. Moreover, Punjab shall emerge as a State where the poor, the underprivileged and the disadvantaged shall take centre stage. We have drawn up special action plans, supported by necessary funds, to bring about essential improvements at various levels of primary, secondary, technical and professional education systems and health services.

How successful have been your programme of diversification of agriculture and contract farming?

While the "Crop Adjustment Programme" authored by renowned agricultural-economist S.S. Johl is pending with the Union government, the State has launched the path-breaking multi-crop multi-year Contract Farming Scheme through Punjab Agro-Foodgrain Corporation Ltd. New and remunerative crops such as hyola (hybrid mustard), basmati, maize, malting barley and sunflower are being promoted by providing high-yielding and disease-resistant seeds. This is being done with the support of latest agronomic practices provided by reputed companies in tandem with government departments and the Punjab Agricultural University [PAU].

During the 2002-03 rabi season, 9,119 farmers were motivated to bring 22,000 acres [8,000 ha] under the contract farming programme. Next year, 15,000 farmers participated and 60,000 acres [24,000 ha] were brought under this scheme. In the 2004-05 rabi season, about 1,10,000 acres [44,000 ha] are expected to be covered. Moreover, besides promoting agricultural diversification, the revival of the cotton crop in the Malwa belt has boosted the morale of the farming community.

Recently, Punjab approached the Central government for permission to sign a memorandum of understanding [MoU] between the PAU and the Agricultural University, Faisalabad, in Pakistan's Punjab, for mutual exchange of skills in enhancing yields and efficiency of food crops and cotton.

You referred to a special focus on the uplift of the weaker and disadvantaged sections of society. What exactly have you attained so far?

The State government has created a "Dedicated Social Security Fund" of Rs.450 crores to ensure timely payment of pension to widows, destitute women, the aged and the disabled. Under various schemes, while 9,64,330 beneficiaries receive a monthly financial assistance of Rs.200, the government has earmarked Rs.12 crores to provide about 80 lakh textbooks to 14 lakh schoolchildren from Scheduled Caste families. The "Ashirwad" scheme provides economic support to 80,000 such families whose girl children go to school. The benefit under the scheme is limited to two daughters in a family. During the current fiscal year about 80,000 families would benefit from this scheme.

The State government has empowered Deputy Commissioners in the districts to allot five marla residential plots to Dalit families out of the village common land. We have also launched the Rajiv Gandhi Pendu Jan Sehat Kalyan Yojana to provide domestic and community latrines, which would resolve many social and psychological problems. Under this scheme, the government pays Rs.4,500 and the beneficiary only Rs.1,000 of the total cost of a unit. Priority is given to villages where the sarpanch is a woman or person from the Scheduled Castes or has been elected unanimously, or which have historical/religious importance.