Sunday, July 16, 2017

VOX POPULI

by

S Kamat
as
Aam Admi

Issue: 210                       Date: 17.07.2017

Contents:

1.      Has ‘Retail Inflation’ Figure Been Managed To Show Inflation Is Contained?
2.      The Killings of Pilgrims Bound for the Amarnath Yatra
3.      BCCI: The Times Are A Changin?
4.      Charlie Chaplin's Modern Times – India Adaptation
5.      On Venugopal Appointment As The Attorney General of India

Has ‘Retail Inflation’ Figure Been Managed To Show Inflation Is Contained?

The papers are full of the news that the June 2017 CPI is just 1.56% higher, the lowest rise in the last 20 years or for more impact since 1978 as we are told. The fall in CPI as one is led to believe is linked to the prices of food like vegetables, milk etc. dropping. This index is being taken as justifying the argument that inflation has been contained. This is absolutely not true. Why are we talking about CPI since the media reports carry the information that ‘retail inflation’ has been stopped in its tracks? This is yet another attempt by government to confuse the issue so that the common man at the first instance does not link the two. In any case ‘retail inflation’ is the old CPI indexed to 2012 though the basket of commodities in it may be different now. Thereafter the WPI figure has been released which shows just a modest increase of 0.9% thus reiterating the argument that price rise has been capped.

As for stopping inflation in its tracks, we have all seen how prices of tomatoes have been spiraling over the last 7-10 days and the same media carry news that this vegetable is being sold at some places in Mumbai at Rs. 100 per Kg. Not only that just yesterday I bought ridge gourd and string beans at Rs. 70 per Kg. in Goa which has been shooting up for the last month or more. So one wonders where this government gets its figures from about the fall in prices of vegetables. Do they at all visit the market to cross-check the figures that they are being fed by official agencies to make the government look good? The traders in the market will tell you traditionally prices of vegetables go up during the first part of the monsoon with the onset of rains. Not only that the Chief Economic Advisor has the temerity to quote that eggs in June 2017 went down by 0.08%. Now is that a figure to be quoted? What difference does 0.08% make to anybody? Is this government splitting hairs to support their contentious arguments.

Thus it is clear once again that the CPI figures have been massaged to support the government premise that inflation is under control where it is not. On the same page you have the June 2017 IIP being shown as sluggish and growing at just some 1.7% having been pulled down by the manufacturing sector among others. In fact this matches the CPI growth being in the same region sustaining the argument that these seem to be all ‘managed’ figures. Why are they doing this? To put pressure on RBI to cut interest rates which argument is derived from the fact that inflation is under control and that investment needs to be stimulated given the sluggish manufacturing.

The RBI should not succumb to these pressures like they did at the time of Demonetisation but take an independent decision whatever it may be which they are able to back with economic data and the past basis of similar decisions. The Indian economy judged by any standards is in a shambles what with GDP growth being hit by measures like Demonetisation and employment growth being stunted. Independent assessors of the unemployment scene in the country have said that Demonetisation, the H1B issue in the IT sector and the impact of GST that is still to kick in, are likely to show negative growth for jobs. The impact of Demonetisation on the small and medium sector and the informal sector where data comes on a 6-monthly basis and which is more than due now should show what the measure has done to these sectors and specifically to job losses and units having to be shut down altogether.

In summary, the Narendra Modi led government has no clue in which direction the economy is going and is shooting in the dark by unleashing economic measures one after another which is inflicting miseries on the common man. 

The Killings of Pilgrims Bound for the Amarnath Yatra

The Kashmir situation is going from bad to worse what with the killing of the 7 Gujarat pilgrims who were on their way for the Amarnath yatra. For long it has been known that the pilgrims on this yatra are a soft target for militants. The fact that the pilgrim buses were attacked with a hail of bullets shows that adequate security was not provided and/or shows up the lackadaisical attitude of our security forces on duty. The focus of the attack once fatalities occur of innocent pilgrims shifts to the sentimental aspect as covered by the media. Then like vultures the politicians descend for photo opportunities. We have our Home Minister waxing philosophical about Kashmiriyat at this time when he has failed at his first job of protecting our citizens. Every time we have a terror incident like this our administration and security forces throw up their hands and say - 'What could we have done? It just happened. Next time we will take adequate precaution.' This is the ongoing refrain repeated after every terror attack. And then the blame game starts as to who did not do their job? Whether it was the intelligence that failed the police, whether it was Centre or State etc. etc. The main issue of protecting the lives of innocent citizens is lost in the dust of recriminations that is blown up. This will not do. Our governments and through them the security forces should follow a 'zero tolerance' approach towards terror incidents. Where is the Chief of Army Staff now? Just about a month ago he was talking of giving our enemies a bloody nose, but he has been outwitted by a terrorist organisation at whose command the resources are not even 0.0001% of what the Indian Army has. Gen Rawat should pull up[ his socks and ensure that our Army completely seals off the borders with Pakistan and PoK. This will limit the number of cross-border attacks and those that originate in Pakistan. The Indian Army should understand that it is not enough to camp in a State like Kashmir and seek unlimited powers under the AFSPA act and still fail to perform their primary duty of keeping the enemy out of India and protect its citizens. When incidents like the above killing of the Amarnath pilgrims  occurs and watching the aftermath, one gets the disgusting feeling that all concerned be it the Army or the other security forces, the State and Central governments etc. etc. want such incidents to happen to get their two minutes of fame in the arc-lights of publicity and to lobby for resources, the victims be damned.

BCCI: The Times Are A Changin?

Finally Ravi Shastri has been appointed the India cricket team coach. One cannot say that the process was 'fixed' but one can safely assume that it was 'arranged'. The difference between the two words is that apparently due process was followed. However, the appointment of Ravi Shastri was a foregone conclusion. What with Sunil Gavaskar making the right noises once it was known that Anil Kumble was on his way out and that Shastri was being thought about. There is no doubt that Shastri has the  right credentials for the job. Added to that he gets along well with the players given that he has had a stint of team director before Kumble took over as the coach. But the entire process of decision making though it is made out that they have gone by the rules smacks of the working of an Old Boy's Club. Consistent with this premise Ravi Shastri’s task as coach seems to be constrained by the appointment of Rahul Dravid as the batting and Zaheer Khan as the bowling consultants. Then what is left in cricket, only fielding for which surely Bangar will be roped in. So what does Shastri actually then do as coach? In an Old Boy's Club everybody is accommodated to keep them happy and then if someone becomes disgruntled, then with a wink and a nudge they are asked to manage! Also deferring the decision of the coach appointment by a day as Ganguly explained so that the Committee could get the captain Virat Kohli's views is rather new. Since when have captains been consulted about coach appointments? Some years ago the captain had no say even on team composition and had to go in with the playing eleven chosen by the selectors. But like they say times, they are changin'!
The fact that BCCI is an Old Boy's Club has been brought home many a time to the discerning thinkers that follow the game of cricket in India. Otherwise we would not have a Committee of Administrators managing it at the present time. You scratch my back and I will scratch yours, is the common rule that is followed in the BCCI. Ramachandra Guha, one of the members of the above CoA, realised at the point of his resigning from the Committee when he raised issues of conflict of interest of some of the ex-cricketers like Sunil Gavaskar, Saurav Ganguly and Rahul Dravid among others. These personages don different hats for the BCCI while at the same time involving themselves in the IPL and their own commercial interests leading to questions of insider trading like situations and playing favourites to further their own interests in the choice of players etc. When Guha came out with his missive to the CoA spelling out his views in these matters, it was Gavaskar who took umbrage since he felt that he was always doing the right thing and in the interest of Indian cricket. But he forgot that there could be other interpretations to his work or that others may not see it the same way as he sees it. Thus Guha's long letter of resignation rocked the boat but the effect was minimal. Dravid the gentleman that he is and as reported in the press, was the first to give up his IPL roles and remain satisfied with his assignment as the coach for the India U-19 team, a BCCI position. Otherwise nothing has changed at the Old Boy's Club. There was a Guha ripple but things have settled down to the old normal since he is done and gone. 
What one feels is that the Old Boys at BCCI are just biding their time until the CoA runs out of steam or members whichever is earlier and they can come back to the driver's seat and run their fiefdoms as they please. 


Charlie Chaplin's Modern Times – India Adaptation

For those who have seen Charlie Chaplin's Modern Times, there is a somewhat Chaplinesque spin on what is happening these days in our country. This has to do with Narendra Modi and his governance supported by his prominent side-kick, Arun Jaitley. It is a story of incompetents and misfits who are playing with this country's future and slowly but surely taking it down the path of degradation and ruin. Take the initiatives highly touted by the BJP government of Demonetisation, Cashless Society and the latest in this line, GST. In all this taking a cue from Modern Times, you will find Arun Jaitley hammering away at a machine trying to fit a peg into a hole. Not being successful, he continues in exasperation to hammer away in Charlie Chaplin-style. We have Narendra Modi in the scene looking over Jaitley’s shoulder scratching his head all the time and muttering to himself – ‘Why is the Gujarat model not working?’. A close-up of the action shows Jaitley trying to fit a square peg into a round hole! This is evident from the fact that under Jaitley's instructions the RBI during the first 50 days after the 8th Nov 2016 Demonetisation issued more than 50 guidelines to the banking system on how ‘not’ to handle currency notes. The Cashless Society that is losing steam and the GST the results on which are yet to come initiatives though laudable are something which India is not yet ready considering the lack of computer literacy and the irregular and unreliable computer networking across our wide and disparate country. Given the present awareness of computers in the country there is a need for a large amount of hand-holding that is required for users to get aboard the system networks. You cannot operate on a Take It or Leave It mode. The exasperation is seen in all this by the number of threatening strictures and conditions that are being imposed by government on common people and the trading community. Where the carrot is required to be proffered, it is the stick (nay, a danda!) that is being shown to a bewildered citizenry. Back to the Modern Times – India Adaptation, we find Jaitley trying to justify to Modi about the punitive measures being taken. But Modi continues to look at Jaitley non-plussed. All the while he is scratching his head and continuing to mutter to himself, is seen to be walking out of the room. But this time he is saying under his breath – ‘Wish I had someone to take Jaitley’s place.’ The End - Modern Times – India Adaptation.

On Venugopal Appointment As The Attorney General of India
Lately we have had news of K K Venugopal having been appointed as the Attorney General of India. The news reports detail a long list of his achievements in the legal field and mention that he has been awarded both the Padma Bhushan and the Padma Vibhushan. We are also told that he is in his eighties, some papers put him at 82 while others say 86. If so given his long and distinguished career as a legal luminary where was the need for him to accept the post of AG? Considering his age, should he not have gracefully declined the offer and told the government to give the position to someone younger and deserving? If people like Venugopal and Ram Jethmalani continue to be jealously attached to their profession in their 80's where will the younger lawyers go? At least Jethmalani is involved in private practice while Venugopal is accepting an official government position and that too following in the footsteps of Mukul Rohatgi a much junior person of the same profession. There is no problem in Venugopal in continuing his legal practice and guiding juniors or even taking up an advisory role to the government but taking up the assignment of AG seems to be a little incongruous.
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