The disastrous effect of the state throwing up its hands and retreating is most starkly visible in agriculture . Remember: agriculture involves 70 per cent of the country's population , generates about 56 per cent of national income, 64 per cent of total expenditure and about one third of total savings. So, any neglect translates into gigantic costs. And the central crisis in agriculture — production barely matching a depressed...

With a huge amount of funds riding on various rural development programmes, the Manmohan Singh government has now turned its sights on reforming and strengthening the panchayati raj system. And the task is going to start at the level of the gram panchayats, which are the vehicle for the implementation of most of the rural development projects. The ministry of rural development and panchayati raj institutions is presently in the...

Systemic Failure * Despite record procurement, poor storage has led to a criminal waste of grain * 61,000 tonnes of grain rotted as it was left in the open during the monsoon * The FCI had shut down storage facilities after low procurement in 2006-07 * The plan for decentralised storage facilities is 40 years old. It’s still hanging fire. * EGoM did not clear the surplus grains for the PDS since it would have...

The government owes crores of rupees to workers under its flagship rural jobs scheme as wages for April and May, even though payment is not supposed to be delayed by more than a fortnight. Wage payments of Rs283 crore are due for the first two months of the ongoing fiscal under the Mahatma Gandhi National Rural Employment Guarantee Scheme, according to data available with the rural development ministry, which oversees the...

Hit by allegations of corruption in the Commonwealth Games, the government today promised to take action against those found guilty even as another venue was inaugurated with a leaking roof. Union urban development minister S Jaipal Reddy was in damage-control mode over the Central Vigilance Commission's report on widescale corruption in Games' construction projects. "CVC has come out with preliminary remarks on the alleged irregularities in the construction of Commonwealth...