Wednesday, September 16, 2020

Crumbling State of Liberal Democracy: Some reflections on the International Democracy Day 2020

This article is by

Share this article

Article Contributor(s)

Adnan Abbasi

Article Title

Crumbling State of Liberal Democracy: Some reflections on the International Democracy Day 2020

Publisher

Global Views 360

Publication Date

September 16, 2020

URL

Representative image of people raising question

Representative image of people raising question | Source: rawpixel.com via Freepik

The liberal democratic world order which was accepted as a preferred governance model in major parts of the world has been under assault by the increasing authoritarian leaders since the last few years. The monopolization of power by subverting the in-build checks and balances of the democratic institutions is now a new norm in even the large democratic countries like the  United States or India as well. The International Democracy Day, which falls on 15 September, gives us an opportunity to reflect on the present state of liberal democracy in the world.

Monopolization of Democratic Institutions

In recent years democratic institutions across the world have shrunk into the hands of a few.

In the United States, President Trump is interfering in the running of independent democratic institutions. John Torpy—American academic, sociologist, and historian—currently Professor at City University of New York—fears that US democracy under Trump is going under “swamps”. Mentioning about President Trump’s obstruction of the democratic institutions, he writes “As many people have noted, if the president can simply refuse to cooperate with Congressional requests for documents and witness testimony, we live not in a democracy, which requires that officials be accountable for their actions, but in an autocracy, in which the executive can make decisions without the possibility of oversight by others.”

Viktor Orban, the President of Hungary | Source: Elekes Andor via Wikimedia

In Hungary, democracy is on the proverbial deathbed. Hungarian President Viktor Orban—amidst COVID-19 pandemic—passed a bill in parliament granting his government access to emergency powers. This bill—which is now the law of the land in this European Union country—gives the absolute power to the executive without any checks by the parliament. Political commentators like Zoltan Cegledi argue “The government’s will to destroy, limit and exhaust democracy is permanent. Its future victims will be the remnants of autonomy.”

In India, lately the government scrapped the question hour from the parliament citing the spread of COVID-19. Leader of Opposition Ghulam Nabi Azad expressing his concern on the decision said "In a democracy, the government is answerable to people of India through Parliament and the Parliament comprises members of Parliament representing different states, political parties, and regions of this country. People of the country have no access or means to ask the question to the minister inside the Parliament. So, their representatives are the members of the Parliament. These MPs ask questions on behalf of people of India."

This is not the first time the government of India changed the rules for the conduct of those institutions where it may get questioned. The RTI Act gave people of India the right to seek information from the different institutions of the government (excluding the intelligence). In 2019, the Indian parliament passed an amendment to the Right to Information (RTI) Act of 2005, which is being criticized widely.

Prabhash K Dutta mentions in his article published on India Today that this amendment removes the fixture of duration for the five years for chief information commissioners as well as the information commissioners and altered their salaries, for both they will be separately notified by the government. He furthermore mentions “This, in a political sense, means that the government can threaten or lure the chief information commissioner and information commissioners with arbitrary removal or extension and curtailment or increase in salary depending upon their suitability for the ruling dispensation.”

Lady Justice: Allegorical personification of the moral force in judicial systems | Source: Tingey Injury Law Firm via Unsplash

In some countries, the executives are also interfering in the judicial process. President Andrzej Duda of Poland has lately signed a law that gives him power to appoint the judges as well as penalizes the judges of the court to question any appointments done by the President in the judiciary. Malgorzata Gersdorf—the president of Poland's Supreme court—termed it as “Muzzle Law”.

In Hong Kong as well, after the implementation of the New Security Law by the Mainland severely affects the independence of the judiciary and gives China-appointed Chief Executive the power to appoint judges in the “cases of security.”

In Egypt the government under Al Sisi has subverted the judicial system by expanding the scope of military courts. These courts  are directly controlled by the army (not the judiciary) and the defendants can neither access a lawyer nor are brought to a judge after the arrest.

Throttling the flow of information on internet

The assault on democratic discourse has extended to the internet, which has emerged as an important tool for easy and quick access of information. However the authoritarian streak in the ruling establishments do not not want the information to spread so fast.

Anti CAA Protest in Assam, India | Source: Ankur Jyoti Dewri via Wikimedia

An apt example is the widespread shut down of the internet during the time of protest against the Citizenship Amendment Act (CAA) across India. These shutdowns were not only to gag the Anti-CAA protestors but also unconstitutional according to the law of the land.

In Indian province of Kashmir, the internet was totally shut down for almost 5 months from 5th August 2019. The services were later restored but even today, 16th September, 2020 there is no access to the high speed internet in the region.

In some other countries like Belarus and Ethiopia, as well, the government resorted to shutting down the internet during the public protests.

Similarly the popular social media platforms like facebook, twitter, reddit, and many others which are used to freely share information, are restricted or banned in many countries.

This all happened in 2019-20 despite the United Nations General Assembly (UNGA) resolution stating that cutting access to the internet violates  article 19, paragraph 3, of the International Covenant on Civil and Political Rights back in 2011.

Suppressing the dissidents

Anti Al-Sisi protests in London | Source: Alisdare Hickson via Flickr

In Egypt, the government is resorting to Military Court trials, and ditching the normal judicial system. The detainees are put under inhumane conditions (people tried here are mostly the dissidents against the government). Vanshita Banuana from Global Views 360 writes “There have been multiple reports of torture, sexual assault while placed in detention. In prison too, detainees face inhumane conditions, not being allowed to see family, exercise or get sunshine and fresh air. Thousands of student protestors, journalists and political dissidents have been tried in these military courts, and hundreds more have been killed extrajudicially. At the same time, citizens’ tools to criticise these steps are undermined, such as by limiting the domain of NGOs, censoring news and social media, and blocking around 600 websites.”

In India the government uses many draconian laws to suppress activists working for the marginalised communities. The Unlawful Activities Act (UAPA) is the most controversial and draconian law which is being used frequently by the government to curb the dissenting voices.

Indian government, as a part of its ambitious smart city project, is installing CCTV camera systems in the major towns across India. The footage from these cameras along with the AI based facial recognition technology is a deadly combination for curbing dissidence. Privacy experts like Arun Mohan Sukumar fear “If you don’t have adequate checks and balances, there’s a high chance the government will be tempted to use the data for highly dubious purposes.”

A ray of hope

As Victor Hugo said “When Dictatorship Is A Fact, Revolution Becomes A Right.” The people across the world have started speaking up against the assault on democratic values and institutions. They face hardship, vilification, and incarnation but remain committed to fight for the protection of liberal democracy. This gives us hope that the liberal democracy will ultimately prevail as it is what Abraham Lincoln described, “The government of the people, by the people, and for the people.”

Support us to bring the world closer

To keep our content accessible we don't charge anything from our readers and rely on donations to continue working. Your support is critical in keeping Global Views 360 independent and helps us to present a well-rounded world view on different international issues for you. Every contribution, however big or small, is valuable for us to keep on delivering in future as well.

Support Us

Share this article

Read More

July 15, 2023 10:28 AM

Locating India’s Mandi System in Historical and Contemporary Contexts

Since August 2020, the farmers of India are protesting against three new Agriculture bills (now acts) passed by the Parliament—one of the reasons stated is the potential of the new legislation affecting the Agricultural Produce Market Committee (APMC)’s Mandi system. APMC regulates and manages the agricultural market.

The farmers have covered some major highways around Delhi and have set up camps as well. They demand that the Mandi System should remain the same and want the new legislations to be unconditionally taken back.

Per contra the government claims the bills are good for farmers, Amit Shah, the Union Home Minister of India said about the farm bills “They will liberate them from the clutches of middlemen, and the Modi govt. is committed to keeping its promise of doubling farm income.”

The middleman here is perhaps the arhathiyas who facilitate and manage all kinds of procurement related transactions in the mandis between the seller (farmer) and the buyer (government or private traders) of the APMC Mandi. Arhathiyas thrive due to the current APMC Mandi system, therefore, in order to understand the current discourse on the farm bills, it is crucial to understand how the APMC Mandi system works and locate it in a broader historical as well as contemporary context, which is what this article attempts to do.

The History of APMC: From Royal Commission of 1928 to Implementation Post-Independence

Although, the institution of wholesale Mandis—as described by Harsh Damodaran in his The Indian Express column—is “since time immemorial,” the implementation of exclusively government controlled Mandis is a newer practice. The idea is grounded in the 1928 royal commission report on agriculture that mentioned the following on the need of a regulated market:

“The establishment of properly regulated markets should act as a powerful agent in bringing about a reform which is and much needed, primarily in the interests of the cultivator and secondarily, in that of all engaged in trade and commerce in India. From all parts of India, we received evidence of the disabilities under which the cultivator labours owing to the chaotic condition in which matters stand in respect of the weights and measures in general use in this country and of the hampering effect this has upon trade and commerce generally. Needless complications and unevenness in practice as between market and market tend to prejudice the interests of the cultivator.”

One of the first implementations of the government regulated agricultural markets—now known as APMC—is credited to Sir Chhotu Ram, a farmer leader and the then Development Minister in the provisional government of Punjab. The Punjab Agricultural Produce Markets Act, which sets up APMC in Punjab was initiated by him in 1939.

In the 1960’s, when India was a newly independent country, many of its citizens were starving due to food shortage. Adding on to the already existing hunger—droughts made the situation even worse. To fix this problem, the government started the Green Revolution, in which it tried to modernize the Indian agriculture. The Government took the help of advisors from the United States and introduced several reforms in agriculture. India had a food surplus during the Green revolution. The Indian Government decided to go back to the 1928 report and developed a nationwide food marketing system to ensure fair prices. The system differs from state to state. Farmers take their produce to wholesale markets called APMC Mandis to sell their produce to traders through open auctions with transparent pricing.

In the APMC Mandis—to protect farmer’s interests—the government fixes Minimum Support Prices (MSP)—a price floor—for some crops and makes arrangements from their purchase under the state account whenever prices fall below the support level.

The idea of MSP as well was implemented during the same period. Whereas its implementation is credited to the then-finance minister C Subramaniam, the idea is the brainchild of Dr Frank W Parker.

APMC System: Inefficiencies and Reforms

APMC system as well has got its own set of problems. The “golden period” for APMC markets lasted till around 1991. With time, there was a loss in growth in market facilities and by 2006, it had declined to less than one-fourth of the growth in crop output after which there was no further growth. This increased the problems of Indian farmers as market facilities did not keep pace with the increase in output and regulation did not allow farmers to sell outside APMC market.

The farmers were left with no choice but to seek the help of middlemen. Due to poor market infrastructure, more produce is sold outside markets than in APMC mandis. The net result was a system of interlocked transactions that robs farmers of their choice to decide to whom and where to sell, subjecting them to exploitation by middlemen.

Over time, APMC markets have been turned from infrastructure services to a source of revenue generation for the middlemen.

Furthermore, the market committee has excessive powers to give licences to the traders. A lot of licencing led to a 'licence Raj' kind of situation. The licensed commission agents started forming cartels, to collectively decide the prices at which they would or would not buy the produce from the farmers, so that the farmers aren’t left with any options—leading to creation of what supporters of the farm bill today call “mandi mafia.”

In the year 2003, the government brought some reforms allowing for better liberalization in the Model APMC Act, Indian Economic Service’s online Encyclopedia, Arthapedia, describes the reforms as:

“An efficient agricultural marketing is essential for the development of the agriculture sector as it provides outlets and incentives for increased production and contribute to the commercialization of subsistence farmers. Worldwide Governments have recognized the importance of liberalized agriculture markets. Keeping, this in view, Ministry of Agriculture formulated a model law on agricultural marketing - State Agricultural Produce Marketing (Development and Regulation) Act, 2003 and requested the state governments to suitably amend their respective APMC Acts for deregulation of the marketing system in India, to promote investment in marketing infrastructure, thereby motivating the corporate sector to undertake direct marketing and to facilitate a national  market.

The Model APMC Act, 2003 provided for the freedom of farmers to sell their produce. The farmers could sell their produce directly to the contract-sponsors or in the market set up by private individuals, consumers or producers. The Model Act also increases the competitiveness of the market of agricultural produce by allowing common registration of market intermediaries.”

The Model APMC Acts were implemented by some states, but not all.

When APMC was repealed: A look at Bihar

States like Punjab and Haryana, which have the richest farmers in the country, have the regulations play an important role in the industry. But Bihar, where markets were eliminated in 2006, has the poorest farmers in India. This clearly shows the failure of the removal of this system.

Before the abolition of the APMC Mandis, Bihar had 95 market yards, of which 54 had infrastructure such as covered yards, godowns and administrative buildings, weighbridges, and processing as well as grading units. In 2004-05, the state agricultural board earned 60 crore INR through taxes and spent 52 crore INR, of which 31% was on developing infrastructure. With no revenue to maintain it, that infrastructure is now in a dilapidated condition.

In a 2019 study by the National Council for Applied Economic Research, it was reported that in Bihar, there was an increase in the volatility of grain prices after 2006, which negatively affected the crop choices and decisions of farmers to adopt improved cultivation practices. It concluded, “Farmers are left to the mercy of traders who unscrupulously fix a lower price for agricultural produce that they buy from [them]. Inadequate market facilities and institutional arrangements are responsible for low price realisation and instability in prices.” Farmers who were in immediate need for money had to sell their produce at the price that was forced upon them by the private traders. Also, there were reportedly high storage costs at private warehouses.

A farmer from east Champaran, Somnath Singh, told Down To Earth, “Earlier we would get a good price for our produce but the situation has deteriorated after the abolishment of the APMC Act. The PACS simply refuse to buy our produce citing moisture; even if they procure them, they take months to pay the dues.”

APMC and Farm Act

Farmers marching to Delhi | Source: Randeep Maddoke via Wikimedia

Coming back to where we started—the farmers protests—right now, the farmers are sitting in the cold on the highways of Delhi, living in tents. They are being provided food by the langars in Gurudwaras and have received support from them. Several farmers in fact died since September—some in the protests; and others due to accidents, illness, or cold weather conditions.

One of the central demands as mentioned earlier is to let the APMC Mandi system stay as it was. Yet, one of the three Farm acts—Farmers' Produce Trade and Commerce (Promotion and Facilitation) Act, creates free, unregulated trade spaces outside the markets. The act is actually creating two parallel markets, one being the regular mandis and the other, with free, unregulated trade.

According to data by NSSO, around 6% farmers get MSP (can be even more), who mostly sell their produce in state-government regulated mandis and 94% farmers sell outside mandis. Therefore, already the majority is selling outside the markets. Moreover, in the new act, there will be no tax outside APMC pushing more farmers to leave the mandis and opt for the trade markets, eventually leading to the collapse of the Mandi system.

However, we must remember, the markets outside APMC do not provide MSP—they work on the principles of supply and demand—therefore in case the prices fall to an extent making selling the produce loss making—there will be no safeguards—potentially leaving richer traders farmers to exploit economically vulnerable farmers.

Furthermore, the tax in the APMC Mandis is collected by the state government, if this system collapses, the states won’t be receiving any taxes from the sale of agricultural produce. Moreover, agriculture currently is in the state list, however, the new act gives the center the power to regulate the agriculture across India, making the federal structure of the country in question.

Talking about the arhtiyas (or the middlemen) who are projected as the adversaries of farmers by the government and the supporters of the Act, we have to remember that’s just one side of the story. As Chaba and Damodaran explain in their column on The Indian Express:

“The arhtiya isn’t a trader holding title to the grain bought from a farmer. He merely facilitates the transaction between a farmer and actual buyer, who may be a private trader, a processor, an exporter, or a government agency like the Food Corporation of India (FCI). That makes him more akin to a broker.

The arhtiya, however, also finances the farmer. That, plus his income from commission being dependent on the quantity and value of produce routed through him, aligns the arhtiya’s interests much more with those of the farmer.”

Therefore it is safe to conclude that the Farmers' Produce Trade and Commerce (Promotion and Facilitation) Act will create more problems than to solve them.

Read More