Date: 19 July 2011
Subject: Indian farmers protest massive steel plant:Faiza Khan in Al Jazeera



Indian farmers protest massive steel plant - Features - Al Jazeera
English<http://english.aljazeera.net/indepth/features/2011/07/201171711310873319.html>






  Indian farmers protest massive steel plant
  India's largest ever foreign direct investment project, valued at $12bn,
could displace 22,000 people.
  Faiza Ahmad 
Khan<http://english.aljazeera.net/indepth/opinion/profile/faiza-ahmad-khan.html>Last
Modified: 19
Jul 2011



<http://english.aljazeera.net/Services/ArticleTools/SendFeedback.aspx?GUID=201171711310873319>
       *Farmers in Odisha state say the government and large corporations
are conspiring to illegally seize their land, while the government believes
the steel project will bring development to the region [FAIZA Khan/Al
Jazeera]*

The eastern state of Odisha in India is pitting small farmers against
international business interests in a battle that threatens the Indian
government's idea of development.

"POSCO go back!" is a common chant among the hundreds of residents from
Jagatsingpur district who have standing
guard<http://www.youtube.com/watch?v=s2ITerYT6xw>at the village
borders since June 2, to prevent the forcible acquisition of
their lands for a steel plant, the country’s largest, that South-Korea based
Pohang Steel Company (POSCO) wants to set up. Twenty police battalions have
been stationed a few kilometers away, awaiting the state government’s
instructions.

At $12bn, POSCO, partially funded by Warren Buffett, Citibank and JP Morgan
Chase, is slated to be the largest Foreign Direct Investment ever to be made
in India, according to the Federation of Indian Chambers of Commerce and
Industry. The Odisha government claims the mega-project will wipe out
poverty from the state. But in six years, the government has not been able
to finish acquiring land for the plan.

On July 16, 10 platoons of police marched into Nuagaon village with the
district authorities to restart the process of land acquisition. Over 300
village women tried to stop them from felling trees in the forest. The
police attacked with batons, injuring eight people, before they were driven
out by the villagers.

Odisha has a wealth of mineral resources, and in order to attract
investments, the government has made concessions for corporations in the
form of tax-free Special Economic Zones and mineral-ore at low prices. But
across the state, from Niyamgiri where the Dongria tribals are fighting
UK-based Vedanta's bauxite mining project, to Kalinganagar where opposition
to Tata's proposed steel plant has resulted in the killing of 19 villagers
since January 2006, these large projects are being met with resistance from
some of the people they purport to benefit.

Besides the steel plant, a Memorandum of Understanding (MoU) between the
state government and POSCO includes 600 million tonnes of iron ore to be
mined in the hills of Kandadhar, a captive port in Paradeep, a 1300
mega-watt power plant, special railway lines and diversion of water from the
Mahanadi river, 86km away.

"This project will not only give direct benefits but it will create
ancillary investment that will benefit the region's economy," explains Dama
Raut, who was the elected Legislative Assembly representative from the area
when the POSCO project was initiated. "To gain something, you have to lose
something," he said, when asked about the displacement of local villagers.

The eight villages where POSCO is looking to acquire land have a flourishing
agriculture-based economy cultivating betel-vine, rice and cashews. The
protesting villagers see the steel plant as a threat to the agrarian
livelihood of 22,000 people, besides adversely affecting the ecology.

*Illegal land deals*

The government needs 4004 acres of land for the POSCO project. Of this, 3096
acres are classified as land protected by the Forest Rights Act (FRA) 2006.
This legislation implies that 75 per cent or more of the forest-dwelling
communities have to give their consent to convert the forest land to
non-forest use. In February 2011 a meeting was convened for the villagers of
Dhinkia and Govindpur, in which they almost unanimously opposed the steel
plant.

After the meeting, the state government only sent the first page of
villagers' signatures to the Environment Ministry, claiming that just 69
people in Dhinkia and 64 people in Govindpur opposed the project. Based on
this fraud, the Ministry gave the POSCO project the environmental clearances
it needed. Later, the state government declared the village meeting invalid.

"If the meeting was invalid, why did the Odisha government send the
resolution to the Environment Ministry in the first place? Shouldn't they
have just called for another, 'valid' meeting?" questions Abhay Sahoo,
leader of the POSCO Pratirodh Sangram Samiti, a social movement opposing the
project.

Sudhir Mahapatra, a betel-vine farmer from Dhinkia, is firm in his resolve
to protect the forest and his land. "You will never hear of starvation
deaths here. The forest gives us everything we need," he says as he works in
his plot of betel-vine. "I make almost Rs 40,000 ($900) a month. Landless
workers that I employ earn Rs 250 ($6) a day. Even the aged find employment
in this accommodating economy."

Ex-minister Raut believes that the project will improve the locals' quality
of life, even if people are forced from the land. "If a family had one acre
of land and was producing some food grain, it was just sufficient to provide
food for one year. But now in one go, the family will get Rs 17 lakh
($38,000) as compensation."

Mahapatra, the farmer, is amused with this compensation package. "I earn
more in one year than the compensation being offered. This land will take
care of my children and their children. And at my age, what sort of a job am
I going to be able to do? I can’t speak English. They’ll ask for a shirt and
I’ll hand them a banana instead! They’ll say I am incompetent and sack me
and I’ll have to go about with a begging bowl,” he laughs.

*Conflicting reports
*
In June and July 2010, Jairam Ramesh, the then central Environment Minister
of the state government, sent two committees to study the implementation of
the Forest Rights Act (FRA) and the viability of the POSCO project.

Both committees reported that the POSCO project was not feasible, the FRA
was being blatantly flouted, and suggested the environment clearances given
to POSCO be revoked.  The Ministry paid no heed to its own committees’
recommendations.

Instead the government is justifying the project on a report by the National
Council for Applied Economic Research (NCAER), an economic research
institution based in New Delhi. It asserts that POSCO will earn the country
Rs 1.75bn ($39. 2m) over 35 years in taxes and offer 870,000 jobs over 30
years. What was not made public is that fact that one of the sponsors of
NCAER is POSCO.

Shalini Gera of the US-based research group Mining Zone Peoples' Solidarity
Forum, that produced a report to counter the claims made in the NCAER
report, points out certain errors. "If you get Special Economic Zone (SEZ)
status, you are only taxed on domestic sales. Between 53 and 67 per cent of
POSCO's output is going to be exported. So the corporate tax that they will
have to pay is less if they were under an SEZ. Yet the report claims that
POSCO will have to pay more tax if they are under an SEZ."

Flaws abound in the NCAER report, which in calculating the cost-benefit
analysis takes the current local economy to be at zero and does not
calculate rehabilitation or environment costs, Gera said.

"POSCO's website says that the number of jobs in three phases is 37,000. Yet
the report says it will generate 0.87 million jobs - since economies are
linked, money invested in POSCO will generate more jobs in ancillary
industries. But they’re calculating at 100 per cent investment. If 65 per
cent of the raw material, the machinery is to be imported, how much of local
economy are you stimulating?"

*Police 'intimidation'*

The villagers protest that government has been trying to crush the protests
by using violence and intimidation. Nearly 800 false cases have been put on
the villagers. People are threatened by the police into signing blank
papers, which as and when required, are filled with details of charges.

It is for this reason that 62-year old Kanchan Malla from Dhinkia, who has a
steel pellet buried in her head from a police firing a year ago, had not
left her village. "I need to get an operation but there might be a case
against me that I don’t know of and if I leave the village, I might get
arrested," she says.

"The way we're going, our resources will finish in 30 years. The first thing
the government should do is to sell the iron-ore at market rates of $170,
instead of the 10 per cent (or $17) royalty it is being given away at," says
activist Prafulla Samantra. "That way, instead of inviting five companies to
mine, we can do with just one. But if government does not give these
corporates any concessions, who is going to fund their election?"

Raut, the politican who supports the project, disgrees with that
thinking: "Why should we think of 30 years from now? Science and technology
will produce something that will take care of us 30 years from now!"
counters

Joining the ranks of those opposing the POSCO project is newly-appointed
Tribal Affairs minister V Kishore Chandra Deo who asserted that the FRA
should be implemented before any more displacement takes place.

The issue of land acquisition, not just in Odisha, but in other parts of
India too, is a growing one, its end result certain to define the future
path of the nation’s idea of "development".

"I’ve seen what happens when these companies come to our villages,” says
Ramchandra Behera of Dhinkia. In 1999 his land was acquired for an oil
refinery by Indian Oil Corporation Limited. "We never got the jobs promised
to us. Hundreds of people migrated out of here. No one knows where they
went."

-- 


-- 
Adv Kamayani Bali Mahabal
+919820749204
skype-lawyercumactivist
*
*
*The UID project i**s going to do almost exactly the same thing which the
predecessors of Hitler did, else how is it that Germany always had the lists

of Jewish names even prior to the arrival of the Nazis? The Nazis got these
lists with the help of IBM which was in the 'census' business that included
racial census that entailed not only count the Jews but also identifying
them. At the United States Holocaust Museum in Washington, DC, there is an
exhibit of an IBM Hollerith D-11 card sorting machine that was responsible
for organising the census of 1933 that first identified the Jews.*
*
*
*http://saynotoaadhaar.blogspot.com/*
*http://aadhararticles.blogspot.com/*
*http://www.facebook.com/home.php?sk=group_162987527061902&ap=1*<
http://www.facebook.com/home.php?sk=group_162987527061902&ap=1>

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