Premium
This is an archive article published on January 12, 2003

‘The joint venture company will take the laddoo, what will be left?’

Why are you opposed to the joint venture proposed by the NDDB?The NDDB has no brief to do what it is doing. It was founded to replicate the ...

.

Why are you opposed to the joint venture proposed by the NDDB?
The NDDB has no brief to do what it is doing. It was founded to replicate the Anand pattern. It has to go back to Parliament. It was registered under the Cooperative Societies Act, not under the Companies Act. The preamble to the NDDB Act, which governs it, vests in it a binding moral obligation to serve the rural masses and improve their quality of life through cooperative effort and strategy.

You are founder chairman of NDDB. Were you consulted on the joint venture?
I am not only the founder chairman, I headed it for 33 long years. But I am afraid they did not consult me. I don’t think the NDDB and the Institute of Rural Management, Anand, (of which I am chairman) are located very far apart.

How do you feel about that?
There is obviously sorrow. Amrita Patel was groomed by me for 30 years. I had a hand in getting her established. I hoped she would see the light.

Story continues below this ad

Is it an ideological battle with Patel?
This was not Sardar Patel’s idea of a cooperative movement. I think Amrita hails from the same place (as the Sardar), Karamsad. Her father was very helpful in the cooperative movement. It’s a family quarrel, we hope it will be solved soon. In many families, the son rises to question the father one day.

Are you hopeful of a compromise?
I am. There is greater joy in a ship lost and then found.

Will the JVs pose any threat to Amul in the long run? Why should Amul or any state federation object to them?
In the past, Amul has survived much competition, and thrived. It welcomes competition. But the statutory declaration of NDDB as an institution of national importance, the tax concessions granted by Parliament in 1987 and the primacy attached to cooperative, cottage industries and rural areas in Article 43 of the Constitution make the question one of public importance and primary concern to every citizen.

The NDDB says JVs are warranted because the state federations are weak in marketing and the returns will ultimately go to farmers. So why still oppose JVs?
If democracy is not functioning, should we abolish it and impose dictatorship? The answer, obviously, is a stronger democracy. Similarly, the NDDB should help state federations strengthen their marketing departments. Money meant for cooperatives will find their way into the JVs. Ultimately, the control of such JVs may go into the hands of MNCs. What is left of the milk chain if marketing is taken away? The laddoo will remain with the JV.

Story continues below this ad

What if Parliament endorses the NDDB’s stand?
They may say I am a socialist but there has to be a debate on such issues. I don’t think Parliament will allow that. Anyway, what Parliament says is final.

The NDDB has questioned IRMA’s credentials in organising a seminar on governance. It says it should have been consulted before IRMA issued invitations.
IRMA is an academic body meant to promote and debate such issues. I am the chairman. Don’t I have any credentials? We have enough expertise, we don’t have to hire MNCs to do it for us. We had sent Patel an invitation but she was away. It was too late to cancel the seminar by the time she saw the invite.

But NDDB is not taking part in the seminar.
Patel is not taking part, I hope the NDDB is.

Latest Comment
Post Comment
Read Comments
Advertisement
Advertisement
Advertisement
Advertisement