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GONOMG RAW/ AYNI
Published by The People's Bank REFETCH DETTET
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THE ECONOMICREVIEWs a comunity service project of the People's Bank Is Contents, however, Elre the result ol editorial considerations only and do no necessarily algic Bank policies o the ficial viewpoint. Signed feature articles also are the personal views of the HulhuIEar:d do nhữ1 fEPIEEE II thE institutions to which they are attached LLLLLL LSLLLLL LSLS LLL LL LLLLLS Connents and Wewpoints are Welcone. THE ECONOMICREWEW is published TOT Lhly and Is Wailable both On Soils I Lil Fole
Wille I
Рам! Сарғу
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آيا و یا a تا قبال ایالای كايلينابيعية آسانی ایسا" V ایسائینnEl|[-+
NLI Timber 5 August 1975
гу 고
Hig 29
CONTENTS
FEATURES
Marketing of Teil
Is India a Test-house for Biological Warfare
Pat II
Development and Independence
COWER STORY
Population and Resources
15
I
o
후
COLUMNS
Diary of Events
The Economy
Foreign News Review
Commodities
Management
Agriculture
551 ЈЕ,
The Economics of Non-alignment. The last few years has seen ! dramatic heightening of Third World demands for economic ustice. Our next issue traces in depth this dramatic shift of Third World attitudes, especially as they affect Sri Lanka,
Sri Linkan Aid.
The reverse aid process whereby Sri Lanka aids
the rich countries by its brain drain.
Underdevelopment and Superstition,
r drawn by Sarathchandra Samarakkody who has designed many
covers and posters. His major forte is as a theatre artist,

Page 4
DARY O.
July I Credit Councils commence operations
in Sri Lanki.
I Lcading industrial countries, including U.S. and West Germany have shown their Willingness to enter into a Constructive dialogue with the Third World by supporting the principle of a new world economic Order.
1 Trade provisions of the EEC Lotnic Convention take cffect, granting duty frce access to 99.2% of the 46 members' exports to the Community.
The 59th session of ECOSOC opens in Genevil-the main item on the agenda is preperation for the coming 7th Special Session of UN. General Assembly which will deal with problems of development and international co-operation.
墊
2 U.S. Treasury ScCretary warns that America may make repris als against the members of the OPEC if they raise their oil prices in October.
z Three members of the EEC-West Germany, France and Belgium are understood to have signed the UN convention on the code of conduct for liner Shipping Conferences, giving a serious jolt to vested interests in the traditional ship Owning West which mountcd a massive anti-Code: propaganda.
5 India alters its rupee buying and scling rates against stcrling from 5,333 to 45.5907 per Iolo Iupees and from 5.3o5o tio, 45.361. 9 per Ioo rupees ICSpectively.
4. The West German Central Bank announced a further step to boost the country's stagnating domestic economy as latest uneImployment figures showcd only a small seasonal fill in numbers. The Bank said it was cutting by Io9% the minimum reserve requirements of contricricial banks.
International Co-operative Day.
6. The Cape Werde Islands became the world's newest nation when the Atlantic Archipelago’s independence was proclaircd.
7 - 18 Inter-governmental Group on the Least Developed at nong the Developing Countrics Inc.cts in Genewa.

EVENTS
Io The French Franc formally rejoined the Europcan "Snake'-the joint currency float scheme which it left eatly last year.
io International price fixing commodity agreeillents of the tying of commodity prices to inflation indice is opposed by the U.S., states Assistant Treasury Secretary". U.N. Conference on International Inter Modal Transport meets in Geneva. I6 Argentina devalucd the nev peso financial rate from 30 to 55.4 to the dollar and from 6 to 28.08 coillercial to the dollar.
I6. A world dairy agreement was proposed by the European Economic Community (EEC) to the General Agreement on Tariffs and Trade. The agreement would set minimum and Tinaxitinum prices for powdered milk, butter and dairy fits. 16- 17 Meeting of EEC heads of State in
BrLissels.
l
I6 - 30 Representatives of the Organization of Americin States meet in Costa Rica to amend the Inter-American Treaty of Reciprocal Assistance.
: I - 25 UNCTAD Committee on Commodities
rcsurnes its 8 th Session irl Genewa.
22. The Export-Import Bank of Japan signed an agreement with the Sri Lanka Government to extend a 4,500 m. yen (6.4 m. sterling) loan to be used for the purchase of commodities from Japan and developing countries. The loan will be repayable in 27 years including a 7 year gracc period at an annual interest of 4%. 23 The World Bank President plans to propose that the capital subscriptions and the voting power of the oil (OPEC) cartel in the bank be tripled from 5-15% in recognition of its growing stature, 23 The Commercial Co-operative Agricment (CCA) between Sri Lanka and thic EEC, the 2nd such agreement to be concluded by the EEC was signed in Brussels. The 1st with India, came into force in May 1974. The 5 year agreement will give Sri Lanka's exports easier access to the Community. 29 Sri Lanka and Mexico signed an agreement on tradic and economic collaboration. 30 ESCAP Committee on Social Develop
ment meets in Bangkok,
ECONOMIG REVIEW, AUGUST Tig's

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Population and R
|ATTENTION on increase of population and the dwindling share of the World's resources to sustain this population has kept mounting. This has evoked concern among many Third World countries including Sri Lanka. Since the 1950’s it has been an article of faith peddled by Illiny quarters that population Control is a key factor in the development 醬 This view which emanated rgely from the U.S. and the Western countries has been purveyed by many international agencies as part of their "Aid' programmes.
Recently, however, a rapid reassessment has been in progress about the role of population. Part of this re-assessment has bcc that population has to be tied to sharing all the world's wealth and that popu
ECONDALIO LEYTE AUGUST 1975
lation growth itself barrier to developm of the imposed vie's decades reached a United Nations Co. lation at Buchart: aPParent PLI TL203 e was to adopt a would emphasise tit population growth: to Third World Illilt, HIJ"W"e"y":r carrical in the waki of militancy of t took an entirely Population was de tral factor in the cess and the codevelopment was population contre versa. The compl most dramatically
 
 

E DEATHRATE PERGOO POPULATION 921 - 1974
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is not necessarily a cit. This revision T CDF thic last Ewrci high point in the 1ference on Popuit in II 974. Thic the Conference resolution which ckey position of sa majorhindrance ountries developthe Conference of the new mood e Third World, tlifferent turning. hronical as a Cenlevelopment prosensus was that | pre-requisite to and not wice te turn around is seen when one
notes that even David Rockefeller, the funding father and former Chairman of the U.S. Commission on population growth changed his mind and joined the consensus position that population growth is not the primary source of poverty.
The sharp turn around in the United Nations position on population has not yet sufficiently filtered through to Sri Lanka. Hence this essay, which hopes to place in perspective the growth of population mythology and its present position.
MALTHUS AND THE POPULATION DEBATE
IDEAs of Liberty, Equality and Frater
nity, emanating from the French Revolution, was a source of dis
3.

Page 6
comfiture to the vested interests of the time. In this background the theory of population propounded by Rev. Thomas Robert Malthus (17661854) was an instant success with the British ruling classics.
The theory was based on the Formula that population increases in geometric progression: I : z : 4: 8 : 16: 32; while the productive power of the land increascs in arithmetic progression: I : 7 : 3; therefore the inherent tendency of the population to multiply in excess of available neiris is the root cause of al misery. Malthus saw no Other salvation. For the whole class of the poor than by keeping their propagation down to the "absolutc miniПLIII".
The ovcr:whiclming Icception alccorded to Malthus's theory in his time is adequately dealt with in the 13th edition of the Encyclopaedia Britannica.
"It can scarcely be doubted that the favour which was at orice accorded to the views of Malthus in certain circles was due in part to an impression, very welcome to the highest ranks in society, that they tended to relieve the rich and powerful of responsibility for the conditions of the working classes, by showing that the latter had chiefly themselves to blame, and nat either the negligence of their superiors of the institutions of the country".
The Sarme source Continues that, in the conceptions of Malthus and his followers, a single social imperfection assumed such porten tous dimicinsi Comis that it secrimel to Javercloud the Whole hcalrtrլ, ;ւrld threaterլ the World With Tuil. The “celebrat propolition that population increases in geometrical, food in arithmetical ratio, has been conclusively shown to be erroneous, there being no such difference of law between thic increase of man and that of the organic beings Which for Tm his food".
Subsequent developments in the economic history of the so called 'developed countries had exploded the Malthusian mathematics. Malthus could not foresce the immense production resulting from the industrial and therical revolutions which
4
brought enormou cultural productic decades. Countries in the Particularly Engl: his prophesies.
ALIH
Britain’s produ
shown by calcula "could be increa: ECEl y el T5 to PIC.
...And
John Kenned
U.S.A., Oct. "In the Tui plenty the STA of Illuch of this their economic their poverty their share of lation is growi be more prost than ever be as it may seem, PCự LRTY thān. history of this
Rort S. M.
J.S. Secreti
President, W
"No tier a greater threat CCom) iiiiic Lld the developin tcnsionis, Politi the irrational trellis IIl re. El of un manageab 35 LITS”.
J. Spengler, P
mics, Duke "Wildli for instance, di it will becoille with aspiration life whose exp 11tt, What ". very likely will Illunists or to believes in a state, which the in timetike: v
“The immed is that private prise Can't iTıp ditions rapidly lation Confin Luc.

5 increases in agriIn in the past two : "over-populated” Malthusiam context
L Tid, did not fulfil
ction of whent, as Ltions of the time, sed enough within duce sufficient to
the Neo Mathusians
- President of the I957. list of this age of NDARL OF LIVING world is declining: Backwardless and are increasing and the world's popul1. There mily herity in the world ore-BUT, strange there is als MORE at any time in the planet'.
cNamara, Former ty of State and now Forld Bank Group. single problem is to the prospect of social progress it g world. Social cal turbulcmcc tric eruption into exfinal bitter fruits lc population pres
rofessor of EconoUniversity, U.S.A. լtraid tյքis, if India, Lesn't do something filled with people 5 for a much better ectations won't be ill they do? They turn to the Collsome group that highly centralized ! communists might "Լ:T-
iate danger in India and public enterove economic Conenough if popus to grow rapidly.
to the Writing and acceptance of
support si times the Population of
84 o'.
Events in U.S.A. recorded problems of an expanding abundance of the chemical revolution. Phenoleihal increases in thic yields per acre created a "food explosion'. In 1798 the U.S.A. had a population of FIWE MILLION I mrc thill enough food to feed them. Today
Many people will corne to feel frustrated and this will play into the hands of the Corrillinists.
M. Vogt Road to Survival, New York, 1948.
“Never licforc in history have many hundreds of Inillions tetered at the edge of the precipicte . . . . . . “two curvcs-of populpation and the means of survivalI hyre . . . . Crossc. Etter marc rapidly they are drawing apart". if the 'untrimnciled population" of “spawning millions” is mot brought to an end "we might as well give up the struggle"..... They might as well' get rid of the "sort of thinking.....that leads
documents like Ehe Communist Minifesto and the Witlantic (CAEtcr. It tricks II Iman into Scicking political and/or economic solutions for problems that are political economic, social, geographic, 獸 logical, genctic, physiological etc. ......" (Our cluction must bc rcshaped, as the story of our existence in an environment as completely subjected to physical laws as is a ball we let drop from our hand".
The United Nations Fund for
Population Activities Population: The Multilateral approach-pitulphletissued in 1975 before the Conference. "Indeed many developing nations may well see most of their resources-needed for improvement of present miserable living Conditions-ea Lem up by continuing high rates of population growth unless drastic action is taken at both National and Inter
lational level'.
ECONOMIC. His VIEW, UGIsr Lg

Page 7
it has a population Lf 177 tillionand more thin enough food to feed them. In fact the food keeps piling up higher and higher despite the K LLL LLLLL Laa LHGHGL HHHLLLLLLL L recent years, despite the fact that some 1,8cc,cco farms have disappearedin the last twenty years and also LLL S LLLaLLLLLL S S S LLLLLSLLLL S S LLLLLLaL S SLLLSLL firmland every year are turned into highways, housing developments and factories'. (W.B. Furlong, N.Y., Times Magazine, Oct. 1959).
In the century following while the Industrial and Chemical Revolutions exploded Malthus's theory of food shortages, an actual decline in the birth rates begin, IRRESPECTIWE of any policies of birth control. The decline was the result of stricturial changes: that occurred in those societies with the Industrial Ricwolution. This phenomenon is cxamined els civilih cru: il this i SS LLC.
The fundamental mistake made by Malthus and his followeis is to have isolated the poor from the population and then seek to cxplain the poverty of this segment on the basis
if its size,
The rich and the pooraTea living inter-related combination of the populition is a wholic. The distribution OF hunger in the population has not bcen due to the abundance of the poor, but to the poor distribution of society's abundance as well as the anarchic organistion of Socicty's mineans of production.
The productive powct at the disposal of mankind has been proved to be immeasurable, But society has to be so organized as to bring about the most clective combination of men and science in the best interests of all.
Malthus måde the error of looking at one phenomena of his society and applying it as a natural phenomenon true Fall societies, at all times, and all places.
THE MALTHCJSIAN ARGUMENT AND THE THIRD WORLD
THEarguments of Malthus have been revived and cmphasised since the Second World War by Western
ELGNOIC REVIEW, AUGUST 1975
Resource
Josc de Castro The Geography
"Hunger has ted by the inhui coloniil Tiches, and one-crop W:SEc the Cl exploiting cour cheaply the raw perousindustria FT ECIJIllic: tr Hillel FrOIT | tragedies like th in the 19th cent millioni in civili death, T like til twenty million hunger in the the Century, W ... ..."the preva South America quence of the C. past. This hist mial exploitatio lifics......Thcre gold, the cycle of Dreciolls Str ိiဂြို the cy. cycle of oil, and of each of these while region entirely to the monoexploitatic duct---at the si cycrything clisc, ratura vivorcialth ; potentialities . supply'.
And Agricul Resources
(Dr. C. Taeb Statistics braic Agricultural O
riations. There : Ticist ech):5 al supremacy of the N by black, brown a
The starving m thc pressure sourc. existing Internatic time is to be lost. daily. Out way actual existence of children, is at st

s and the Real Reasons
of Hunger
been chiefly creathan exploitation of by the latifundia culture which lay ny, so that the try cail Lake too materials its proseconomy requires. easons misery was the world's eyes, at of China, where tury some hundred Huals starved to at of India, where people died of last thirty years of ere glossed over' iling starvation in is a direct coilseiltinent's historical pry is one of Coloi along mercantile were the cycle of of sugar, the cycle nes, the cycle of le of Tubber, the | during the Collise cycles, one finds a giving itself up monoculture, or 1 of a single prome time forgetting and thus wasting and neglecting the if regional food
1 itura1
er: Head of the
of the Food and rganisatiorl, U.N.)
From conclusions reached by researchers, Dr. Taeber reports:-
“It is feasible Eo bring into production SOE CE BILLION acres of land in the Tropical areas. Sofile too. MILLION acres outside the Tropics. The production level l35 little PCF crop acre in the Tropics—
-is equivalent to that already achieved in the Philippines. The non-Tropics-is equivalent to that already achieved in Finland. Adding this figure to that considered attainable froll existing crop land would more than 1 adequately Provide all of the requircd foodstuffs. And for Cereals, roots, tubers, Sugar and faits and oil, the total attainable under these conditions would more than double the goals used in these computations. Bictween IgG8 at: d I 97ç fou L1 ir mið: grgirl producers–The U.S.A. Australizi, Canlıladı - a.lıdı Argentinli-Cilt wheat a creage from over Izo III liðill E SI II lilliol.
Colin Clark, Former Director of the Oxford University AgriculELUral Econolitics Institute, ricports:-
"Confining ourselves to practical farming methods already used by the good farmers in different parts of the world, the world's cultivable and pastura ble lands could fccd som cthing like TEN TTM Es thic world’s population—not at subsistic levels but in all American style of dict,
ire in this strong
overtolcs of the West being o WCT Tun ind yellow persons.
illions are sceist it i; : thit threatens the rial orlar. "No
The Perill mounts of life, if not the
ourselves and our ke. (The Popu
lation Bomb-Hugh Moore Fund Publication).
These new prophets (sce box) havc emphasised population as being the major reason for lack of development. These neo-Malthusia 15 als they LLC almost invariably from the West finds the emphasis on population as being a central factor in underdevelopment advantageous in their international interest because it denies
5

Page 8
thc exploitative relationships that prevent development in the Third World. Primary among such disadvantageous relationships have been the deteriorating terms of trade of the Third World, a good example of which is Sri Lanka which had seen its produce fetching less and less in the manipulated markets of the West, whilst Western imports havc risen rapidly in price.
Marly im Partial observers have pointed out the fallacy of looking at food resources being limited by population levels conceivable in the near and immediate future (see box). The main reasons for the poverty of the Third World is the past and continuous exploitative relationship with the West as is now evidenced in Several United Nations resolutions on the New Economic Order.
The prescription of birth control for the "spawning millions' in support of preserving the world's resources hold neither logic nor reason. If the World is concermed about te source constraint where should its efforts be directed?
ONE AMERICAN BABY EATS 5o JNDIAN BABLES"
ACCORDING to their logic, the manne
of luxury consumption, the waste and
inefficient use of the presently abundant resources does not appear to receive as much attention as their preoccupation with reducing the consumption of the poor by Icducing their numbers. Can the poor of our countries save anything even if they had less mouths to feed. Would thic situation in the underdeveloped countrics have been any better if the 鷺 of their populations in the
ast decades had not taken place.
Millions of acres in the underdeveloped countries are used up to grow cash crops for export to the rich nations. It was deliberate Western policy to keep the colonics as cheap producers of raw material to feed the Industrial machines. Montpolics continue to wring millions of dollars from the former colonies through the expansion of unequal trad.
The anxiety about the exhaustion
of raw materials has been largely the result of the fact that the former
Colonial ind se have grown less cheap, enormous of raw Inaterial, deprived of the
in g the ll.
OF 'OWERPO
WESTERN popul: larly assume (or the Bucharest C underdeveloped populated' and back Wardme55 än develop is duett Siti lil TICE 33-i ttell li rates of Populatio
PCPL LATIn Ճցի5Ախք:
A
Industrial consumptic)
of an estinated
Overpopulation in rclation to si
If it is resources Countries are so de rich agricultural SLICE:S : 5 Population densitie nial mother' count rapid population g hic case in many loped countries of
\frica, there wou Position of many Countries falling of "overpopulated" populated countrie EGER; oË these ide. trated in the table(ne. developed countrie
lated'.
The rules of In and capital transfer
 
 

ni-colonial countrics
and less reliable as ly profitable sources and thuc fer of being channels for exploit
PULATION"
ation experts popuLt least did so Lill onference) that the Countries are: “overthat their gencial d their inability to 3. “Iliast oF, their rc| by continuing high in growth'.
lenged by these underdeveloped countrics and attempts made to unite in common action to procure fair terms of trade without much success against the Western giants. But large amounts of "aid' have been made available for 'development’. Yet the underdeveloped countries become more dependent while the incqualities have becomic Timore visiblic and the gaps wider. Such "Aid' in large amounts are being offered through various agencies of the United Nations and mushroom organisations-with the for the salvation of the starving millions and of mankind generally,
Unlimited sums of money, time,
عـ
), و بسر می با
器鶯 i 1] Ti Tiiris CONSUHFTION RE 1 g, s. 7,
n of tin (in short trins) in non-crimmunist Crunt Ties in 167 (ou total non-communist CollSlmption of 155,000 shor to 15).
must be stipulated om Cthing specific.
we find that poor spite possession of and Ilineral rcpite much lower s than their "colories. If it relates to rowth rates, as is of the linderdeveLatin America and ld be an absurd iParsely populated nto the Category and many densely S. lts. The as is clearly illusxt page) that under5 a Io “averpopu
Iternational trade are being chal
energy, are spent on Conferences, seminars etc. to create a general atmosphere of crisis and doom and establish support and spread a general belief that the "underdcycloped” countries are overpopulated and to promote the concept of "too many people” as the main reason for poverty, un employment, slums and slow economic development.
The effect of such pressures on National Governments was an increased interest in the developing regions in setting up Family Planning progr? Innincs in their countries. Programmes of Family Planning have been established in the underdeveloped regions with the assistance of "Foreign Aid" and "Foreign Specialists' to teach the ignorant the subtle manoeuvres of population control. Yardsticks of measurement pushed by foreign concepts as targets
ECONOMIC REVIEW, AUGUST 1975

Page 9
Some POPULATION DENSITIES
"Punir" Surinam (Dutch W. Irnelies) ... 輯 Bill ***,-,-,- Belgian Congo ... ... ... 13 Columbia ... .
irtin, Iraq ... ... ... ... so Philippines ... 1 עד
TILHEL 후
Psfi. (F.W.P. L'aiderader l'ord ForksYF, F): Fffffs
L.S. Asili S
Til 1 ճ.գ Pakistiin ... - - - T工T - Sri Liliki Ι87 =TTC Philippines I23, -2I HrlEgi: BI -
Tics Stricքil II: 望リエ 一エリ Simili: ... 鬆 Zaire (Belg. Congo) —ಳ್ತb Mozambique I - 후 1 Argili ... esco Läti Ari
== I SEO
- - - - - - TI - 고고 Chile I3 - O Cirihi I ー繋率ロ
*"RiH" Belgium ... : incl W. Hillim!
Italy
FrII itSpain .
Jeffektid
LT.K. - - Nettliirllili; Belgiuri lapan France: ... Fed. Republic
Germani U.S., , , Canlılai
ộYFFE: Paul Baran sa
have been established by some countries as family health measures without positive goals. These efforts were not successful by 1974, and 1974 was declared World Population Year to focus attention of world opinion on the population explosion, culminating in the World Population Conference, at which it was expected to formulate a "World Plan of Action' for control of population.
The Conference held át Bucharest failed to achieve its purpose. The DHF World Plan o Action waii elected as an "irrelevant diversion' to the major issues confronting the Orld today and a formidable 蠶 F Third World countries of various political hues and thic socialist Colintries forced a reversal of the Western imposed views on population. As ==ch the 1974 Conference is to be E is a major turning point in th: Third World's views of its own problems.
EUCHAREST THE TURNING POINT
E mammoth forum of governens gathered together in Roumania World Population Conferenceprobe problems of "population Elsion'-and critically examined es, highly sensitive and contro
נדפ1 VIEW. AUGL45Tםם גם בשלב ב.
versial in content econoIIlic structurc: effects of "develo loping” countries— ground of Red F tel-Էյritions of L Roumanian Republ
Tale ad - Draft World Pll to the conference spent several year involve governmen with the concept :Xplosion”, a heate the Olitset was its Ll. The atmosphere W political tension an hic fiori.
Telegates from 35
Representaries from Participants from re. Jouriiialists
Cost of Itassic.
Setting the tone Ciriference tha: Prc:3 in his fiery and an address, called for a forter.

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, is social and and policies and httl" and "devլ:- in a general backlags, Lenin, and iberation of the ic.
tommittal as the faction appeared slanners who had 's attempting to Es more positively
of "population clonslaught from nhappy reception. as charged with Lld general appre
CEAUSESCU-PRESIDENT REPUBLIC OF ROUMANIA
"We consider that in tackling the population question one should necessarily proceed from the fact that man is thc determining factor of cconomic and social progress, Hence, the entire organization of society, the general policy of states, must halve as their superine goal the welfarc and happin.css of the people, the guarantee of man's freedom and dignity, the development of his personality, the participation of the masses in making their own history. We also consider that demographic policy should take account of the necessity to ensure a normal ratio between age-groups in order to maintain permanently every nation's youthfulness and vitality, the creative encrgy and thinking power of every people.
Life demonstrates that the population questions must be analysed in close connection with the evolution of international relations, bearing in mind the reality that unequal Anäin equitable relations, of domination and oppression, are still maintained nowadays both on a national and international plane'.
'Thic fact that some LWO thirds of the world population live in underdeveloped or developing countrics, that the gaps separating, many of these countries from the economically advanced states grow deeper instead of narrowing down, is a tragic reality of the world today. Statistics drawn up by the Unitcd Nations Organization and its specialized agencies most convincingly illustrate the size of
THE CONFERENCE - SOME FACTS
Is Cill sitti::
1 101 government Organs
liitics
ffa'
:੪ 57 - IQ- - - - - gI
3.81
mentation: over $3 million. How many forests cut down?
for the whole: lent OF Routlantil imated inaugural New International
this gap, Early this decade, the per capita gross national product--a telling pointer of the Peopleso material civilization degree-was of some 250 dollars in the developing countries
7

Page 10
compared to 3,085 dollars in the advanced countries, the ratio being of I: 13. In a series of Countries considered "the least developed' with SOrne I 59 million inhalitärts-the per capital gross national produce is of only 85 dollars, the gap separiting them from thic developed countries A Touriting to the ratio of II : 3 G.”
"In general, many peoples have not even the most clementary working indi living Col ditions, while a number of states have reached a high conomic development level underlying which are the gains of contemporary scientific and technological revolution. The division of the world into developed and underdeveloped countries is a result of the historic evolution, the direct consequence of the imperialist,
On the observianu right to develo With its aspiratic quistionis closel; up of a new int. Order, tro estallis tions on the p. advantage, to att: between the pric lucts and of raw a more rapid C Countries lagging
In thic conferen Militicalled the a position with A. declaring their C populationist, CT of ald which air of being develop that 5 Hill ei had a 51
Colonialist and neo-colonialist policy of exploitation and oppression of ilarly peoples. That is why it is evident that the population questions, the development prospects of various peoples and nations as well as of mankind as a whole, are directly linked to the abolition of the imperialist, colonialist and neo-colonialist policy, to building a better and juster world, a society where in in should fully enjoy the gains of contemporary civilization. More than ever before, firm action is necessary for placing international relations on new principlcs-of equality, respect for national independence and sovereignty, Ilon-interference in internal àfäir3
8
birth late prese improved livings tional advances.
and mortality rati WTill vir: Te Tel: T position was th: ception only as a
The overal Nilgirica was that TeSources to por Fil Tatively higher, of Population gro clas posing a ser
M5t Läti Icfused to consid cxcept interns of
 

c of every people's frcely, in keeping 1s. The population linked to thc setting :rnational cconomic ning economic rela inciples of mutual ining a Correct ratio is of industrial promatic rials favouring evclopment of the
Էյthiով,"
:e proceedings. Latin Eack on the Western gentina and Brazil. untries as outright ley have large tracts empty and capable cd). Cuba declared cady decline in the
ntly I, 9o due to tandards and educaThe lowest infant is in the developing led in Cuba, Cuba's It shc Sečės Colt Tapart of health-care.
position of Latin the ratio of natural pulation was comand the high rates With Weric Illot yleyious problem.
Armericamı : Countries8 år population at all development.
The Africain countries echtoel the Latin American position and declared that their resource: basc although smaller, was in fact far less exploited. Notable in these countrics was the problein of rural to urban migrations—even international migrations. These fictors were attributed to 3. lack of economic and social developTTETL.
The Arab countries, foremost among thern Algeria maintained that the population explosion was not the cause, but the result of under-development, Egypt while rejecting the concept was of the vicw that the priority sought for birth control tended to discharge the industrialized countries of their obligations to assist in the development of the Third World.
The Asian countries expressed the view that the overall situation of the ratio of natural resources to population densitics being lower and described by most speakers as underdevelopment and by a few as over population,
The Indian Position
Dr. Karansing, Health Minister of India announced a change of approach in the Indian Sub Continent when he said, "...............the path to family planning in cvery country lies through the cradication of poverty, which in fict has HISTORICALLY been the main cause of over-popullation. The need is to adopt an integrated approach encompassing the entire cco-system and covering the main-environment relationship in such a way that every human being born on this planet is assured of the material, intcllectual and spiritual inputs necessary for the full flowering of the human personality............... -- "............... the dichotomy between the rich and the poor countries must be viewed in the broad historical perspective of the last several Centuries. The departure from a certain uniform level came with the industrial revolution, a process in which both the presently developed and the developing countries have participated. The developed countries have been the beneficiaries of industrial progress to which the devicloping Countries were compelled to contribute substantially through a process of
LECIONO » IC, FREY EY, AL LJIGEJ5T 1975

Page 11
Colonial denudation over Severall Centuries. This process of exploitation Consolidil tcd certainiuntoward relationships both political and economic." ............The headlong flight towards limitless consumeris Il must be reversed if the developed countries honestly believe that this is onc world for all. The wastage of reSources involvcd in this super consumcrisin is appalling. For example, billions are spent on overeating...... and then vast sums arc spent on trying to counteract the effects of overcatingl
INDIA: After over two decades of a crash programme of population control at national level India records an increased population growth rate.
A crash programme of population control with a well arranged network of clinics and motivation, with sterilization teams at every
must be Cle:LE : fallacies in this r futud"...... thlgre - x factor in thic social Ma is in the fir: and only in the s surier. Historical trious and talentico Africa ill Eatin. standing contribut Lisation. But over colonialists and In the Asian, Africain : countrics to brut cmıslaycılerıt, THı
bazaar and street With transis Eor Ti other gifts to incentive fees fr officer, nurse it of the tails and noncy invested, h the programme c Inul Imbcr GF “Lyrict number has not joi Inilions Who con
Bir:H R:1-
U.N. Demographic Year Book.
Aafrifirir T9 미 Iợöø Total Population 3ճo.g:.3ճ5 462,027,000 63
Pop, Growth Rite ... I.3% 2.15%
(g-jo) (1951-65). (I.
I per IOCO IO Per ICO I8
* Tg73 World Pop, Data Sheet. Pep. Ref. Bureau.
Similarly, petroleum which could be used for the production of fertilizets as vital for the green revolution in the developing countries, is utilized on the multiplication of an endless range of luxury transport vehicles as well as a great variety of plastics and chemicals which arc speedily reducing the habitability of this world through pollution. This in turn requires huge investments in trying to combat the pollution, instead of preventing it in the first place............”
The Chinese position as expressed by Mr. Huangshu Tse, Deputy Minister of Health set forth China's views which had many similarities to the new Indian position.
"............the Third World now has a population of nearly 5 billion, which is more than 70% of the world's population, How to sce this fact in a correct light is the first thing we
ECONOMIC. PLEVIEW, AUGUST 1975
de:red Cnormous
Africal and Latin engaged in humar orslaught cred loca
CHINA; "Of the world it most preci
Since the P China Wils c: population has Imıilliorı to 8cK annual grain o Unemploymen been abolished
Fffffff"
Total Population Population Grov
Annual Glin C

out...... if the occ:t år. Iot Tcbe no decisivic productive forces, place a producer cond place a conthe valiant induspeoplc as in Asia, tlerica made outins to human civiperiod of time the Jerialists subjected Latin1 MITJerica. Il il aggression and y not only plun
corner, cajoled dios, cash and he "patients', r the rimedical 1d motiwa tors
was slims of we succeeded in laiming a large births'. That ned the starving tinue to starve.
0ே0.4
בדתT
469,9оС 懿 2.2 고,
) ECTIOCO 965-70)
wealth from Asia, America, but also traffic and evicted linhabitants. Africa
alone has lost as many as 100 million people in this way.
The social productive folces in Asian, African and Latin Artherican Countries were seriously sapped. The population of some countries and nations declincil drastically, and large tracts of land WCre laid Wište.
After prolonged and heroic struggles waged by the peoplc in Asia, Africa and Latin America, a large number of countries in these regions have successively won political indicpendencc and Lichievcd mark.cd Progress in developing their national economy and culture as compared with the past.
Along with this development the population has grown rather quickly. This is not at all a bad thing but it. very good thing. Is it owing to over population that unemployment and poverty existin many countries of the world today? No, absolutely not. It is mainly due to aggression, plunder and exploitation by the imperialistic, 醬 the super powers...........
our opinion, the primary way to solving the population problem lies in combating the aggression and plunder by the imperialists, Colonialists and neo-colonialists............ breaking down the unequal international economic relations, winning and safeguarding national independence and developing the national economy and culture independently and self reliantly in the light of each country's specific conditions and differing circumstances.
all the things in he people are the ILLS”.
'ople's Republic of tablished in 1947, increased from soo
Thillion. Yet the itput has doubled. is nil, Falline has Standard of living
is still low, yet everyone is ensured of enployment, food and clothing and general progress is stcadily improving.
This was not achieved through family planning-but through the abolition of social injustice and exploitation. Family planning in China began only in 1964.
194 1975
CÒÇÒÇC 8.C3, CDC, CQ 1. Rate 1.7 bp LiiL Ito nil, tong zg, mil. tons

Page 12
“AID" and Development,
Total aid to developing nations in 1969 amounted to 13.3 billion dollars, of this, total graffi amounted to 4.4 billion dollars.
The balance represented Larr it
high interest rates.
lm I ysg the fifilir der of the rccipient nations reached 45 billion dollars.
In 1969 annual debt repayments (scrvices, profits and interests) came to
billion dollars.
In fact the recipients had to pay back
to the la lors much Llore tillä they got in grants.
Who vere the rcal beneficirič3P
Since 1969, the grants have got smaller, whereas the debts have grown bigger. The improvellent in recent months in the position of several oil exporting countries has not altered the overall picture, Even the World Bank's President Robert McNamara warned that one could not indefinitely allow a situation in which debt servicing payments have grown by 17% a year, whicreas export earnings of developing nations have risen only 6%.
Again, who is cating up the diHլ:քtrլcը:
............ As for thic future according to the predictions made in the failious "The year zooo the world will reach a stage in which the ratio of population between the three underdeveloped continents and the two developed ones will be 5 to 1, whereas the ratio of per capita G.N.P. will Ele I to O.
Anyone who puts these two sets of figures together must realise that the "explosion' could hardly be limited to population.
O
............This population is t have-not count
"I-Itti . (the West) fly thention of esta Iliational order. population to a only 1z in Afri America. Thoug in thic dictivelopir is a bit higher it th:1Il that irl Llle of Western Eur said thcn that th arc poor because
Eastern Euro larly maintained that population nothing to do wi bolck'Warelle 33 a: de TCL atten Ein and internationi their wicw that population polici Society and tha trends would to social and eco
The Unitel SË Weste Trı alLic5 5 as PICEOil Cints ()
the other Co. The two main p nately:-
(а) “Overpop makc ; ; ridicchi All 3LWCrag ald
(b) to accept
litt to F implement
cics were I
The finfil cors ence Wi; includ the main points
0 That the qui could be wi. lhistorical e", separable frc nomic Probl
Tlat radical political and long Cowcrdu imminent.
CD That thic cir) the promotic

clail that "overhic reason why the tics are poor is a ............Why do you into a rage at the lishing a new interThe average square kilometre is Ca, Lindl I 5 il Latin gh population density g coln tries of Asia is neitheless lower developed countries ope. How Carl, it be thly e-not collintries of over population?
al Collitries Siriin un equivocal termis growth rates had th the real reason for nd only served to from nected social 1 teFofils. IL W7:5 here was no need for in a well organised it the demographic liutormatically adjust Il Tillic factor5.
gate5 L mill 1 feWT of its tood virtually alone f wicws reject.cd by ı:crence Inemlıcrs. roposals of the U.S.
ulıted Contri:5 systernatic effort to gize of families: Eo c of two children
thc specific target 1985 by which to
birth Control poli2soundingly rejected.
ensus of the com fered in a resolution
of which were:
estion of population ewed only from its Folu Eirol alfil is inmi= In political and ecoΕΠΙΣ,
I changes in social, eCononic Struttur5 chay: now, Ercole:
phasis should be om birl of those Social andl
economic measures and programmes that would have a bearing on population growth and flot direct forms of Hirth Control.
O That the regulation of fertility and family formation was an inalienable right of individuals and Couples, however, countries should provide them with the knowledge and mcans to exercise this right responsibly.
0 That population must be considered only as a part of broader integral strategy of development within the sovereignty of each TiTil
John D. Rockefeller, funding father and former Chairman of the U.S. Commission on Population Growth, millionnaire, philanthropist-changed his mind and ioined the consensus position that population is not the primary source of poverty, disease and illitcracy and gross inequality. Hic Llithimtailck Ehnat in the West growth had been concerned with ITlaterial, but not human development. In an interdependent world thc internal task of developed nations is lcir-to stabilize their own populations and moderate their levels of consumption in a sensible and orderly way. Most industrialized countries are doing well with respect to thic first objective; the second is far more difficult at this juncture.'
Ask.cd if he had any specific proposals—he replied he hadn't.
"I comic to Bucharest with in urgent call for a deep and probing re-appraisal of all that his been done in the population field, all that has becn learned, so that the years ahead II may yield the results, Ilımanı kind SC desperately wants."
The final outcome of the conference was that the draft plan of action which it was expected to approve disappeared entirely. The general arguIncint of population as being the prime inhibitant to development was rejected. All the draft plan's specific proposals disappeared under attack and only general principles of extending the basic human right to individuals to determine their own fertility and Tuake family planning available to all couples and individuals was approved.
ECONOMIC. T. EWIEW, LIGLIST 1975

Page 13
Tey're fiar frare they are a Eids" is the commonest of all cliches about world poverty. It is a convenient Inyth for blaming poverty entirely on the prior.
Until recently it was necessary for PחַIF people to have a large family. Take the Case fin ordināt īlian psin-Farmer His life is plagued by malnutrition and illhealth, With the result that heis too oli and weak to work by the time he is fifty (indeed the average persión in Indial dies before his HFLieth Birthday). Unless het has sons to support hill be will simply die ourg. But only half his children ar. to be sons and only half of them at: likely to survive. Therefore, for WETy survivil, he and his wife need to have a large family.
Now, because of improvements in child health care, more und more people üre surviving. But it takes title for in under. standably-insecure people to a dist to this rend and compensité for it by hitving fewer children.
Secondly, the need to have large family would be dramatically reduced if a min and his wife did not have to die in proverty
vyhtşin they året too if there was adequ: Population increase slovy down For čy only look at the sl lition growth in i CLIII tries have bec
In ther words, 1. a result of poverty in the last analysis contraceptive.
This increased pr wgrld is notaphysi a fact that the world to ferd and Provide DEпрia thin it has a zıt the present Dinne, t achieve a more eզu world's incr:āsing y tant than the questi world's birth rite.
Education forfirii Essential part of the cle:WelrporıieLıt. But of half the world cin sijil is al mistäkee with för Tore important i the way of their real
“THEY’RE POOR BECAUSE THEY HAWE TOO MANY KIDS”
He
dapted by the Australian Freedom From Hunger C:1Inբaiքը
from the Nireg i'r Fernarfordir,
ECONOMIG REVIEW LIGUS 1975
 
 
 
 
 
 

ilki tri II. Er work— it: Social security, the I would automatically idence this veel jewing down of pop LChi Luftries i 5 : Hesse The Incort: FHLent.
arge families la FT1Cr hain a citiz - if it, and prosperity is the best
Disperity for the poor Cal impo5sibility. It is hızı8 Crı:Ligh resources for many times inore El present. Therefore, he question of how to al distribution of the Fealthis IIIIor: imporoni caf hvit to Cut the
ily planning is still an I fight against underte la Hı:
the population explic. ich übscures the need hanges and stands in isätiön.
"ial:A3 Cire"
- மக-ை
SRI LANKA
The Declining Birth Rate in
Sri Lanka
AN analysis of the demographic development of Sri Lanka in the past century reveals a number of significant features, which when examined in-depth, enables a reasonable assessIllent of the relative importance of socio-economic variables as against directly manipulated family planning programmes—and their cflect om fertility rates.
It would be pertinent at this point, to refer back to the historical expericnce of the developed countrics of the West. The classical explanation is of a demographic evolution of population through three stages
1. Of High fertility-High mortality 2. Of High fertility-Low mortality 3. Of Low fertility-Low mortality
The "developed' countries are presently in stage (3). Of significance to our analysis is the fact that thicse countries arrived at stage (3) IRRESPECTIVE of any programmes of "popullation control".
In those countries, general economic prospetity as a result of industrialization, improved Health, Education, Equality of Women, Prohibition of Child Labour, Old Age Pension and all such factors associated with general prosperity are the main causes attributed to the declinic in fertility. What must be noted is that with industrialisation new forms of production based on organized Wage Labour in large farms or factories brought about a break up of the family based methods of production. Wages often mean that resources are bought in quantiatively calculated terms. An extra mouth to feed and find employment for becomes an additional burden in quantitating terms. An extra child came to be looked up Oil not as a potential economic asset, but as a potential lizibility. Thus new relationships Werc Crcated between individuals ånd of Familie.
In this context of changed social circumstances those peoplc consciously desired small families irrespective of any family planning outside motivarion, Fertility rates of this

Page 14
countries have dropped to even below replacement levels, so much so that some of these countries are today finding themselves having to"import' labour in large numbers which is now becoming a problem. Incentives are being introduced to forgo more and morc children c.sg. France-and yet fertility keeps dropping.
Similar altered family attitudes are again evident in those societies that are changing from a large number of small producers working with family labour to large Co-operatives or Collectives, as in the socialist countries.
TABLE TI (World Pop. Data Shiect I973)
U.S.S.R. I
Hii L. -- - - TT Yugoslavia.
Hungary
- -
Sri Lanka's Declining Fertility
In Sri Lanka the Social Structure is undergoing rapid changes. However, there has becn lo corresponding cc.gnomic progress largely because of external restraints. In spite of a general lagging behind in economic progress, a lost significant feature that has been observed is the rapid declinc infertility in the last zo years. LLLLLL LLLLLLLLuuu LLLLLL LLLLLL LaLLLLSL LLLLaLLLL thic fact that the family planning programme his not made a significant contribution to this dcclinē.
TATBILITETI
Critis fred Raffe of
Foir நீர்ச் சீசர் :
f
I6 = на 56.6 1.5 I gն I ■ - -- 35.8 E. 고구 Ig#= - •'; 8.5 후7. 다 Tថ្ងៃច័ន្ទ 후.
ஒ4ே . . . . . SS 후ஒரே I ,
8.5 고 1.7 I. 후-T Ig&3 『. -II
후 4+ם3 후 T. T בדעה 3.1 *r דפ ז .ಸ್ಲೊ7* S. I "בדלL 器
* Provisional : verage annual rite of
thange FA Change, Iņố3 - 172
It is recisionablic that certain other f about a consciou comparable to the developed countri El Ill Conduciv e tij Sinall Families.
Il Titler to il mena thic demog: of Sri L:krıka, is E on page 3 and T.
Thetable prese Leitrims; the followin
(i) Prior a 1: Ritchas re around 38 lition, This fluctul thou5; nid fills liras thöll så tid i explairied
JOSt-Wat S logical ki. Con Ertl oF Tullic Els periodicall try, forell Malari: : improved wices.
(ii) i 953 — 197 Rite is se lecrea Ecl ta ' 2.7.8 irDicatin Rai nucli to this ald
Igúlo, ha3 ד Betw"üt:H to the per
It could berg i Elte5 Toul C: Constillt as this pirable to develo West un cler l'est Services. ThcEC slight increasc ir the proportion circases with det. This feature tas"; (1971 and 1972).
(iii) From I95 regular de mista kable FOI I'll the that the it per year i

to assum: therefore, actors have brought SEless, and Attitudes se prevailing in the ies cxi tiuimicid aboWc, a general desire for
terstand this phenoraphic deycloP ment iven in the graph ble III on this page.
rts in unmistakable ng Features:-
so the crude Birth :maincid faitly steldy per thousand PopւIcrude Death Rate atcel around 20 CF prior to 1946-and tically to I4 in 1947. This fallis by the application of cientific and tech 10= nowledge for the infectious and Comdiseases that had ltg:L1&d the Courl့် oupled with greatly general health scr
3: The Crude Birth en to have steadily from 39.7 in 1953 L 73. The Ciudic Ec Whicill: 5. Contiiccline from I4 per in r947to $.6in r:IIlirictl cinstant and 3 per thousand fod ending 1973.
35ucl lati death ntinue to remain ic are level Coilpcd countrics of the available health-carc would in Fact be a 1 the Cleith r:lt: 15 if older people inlining death rates. lrcady bcem illoticel
o, a constant and clining trend is un
It cail bic: Scen shape of the curve E. of decline s accelerating. The
most recent statistics available record thic rate of litural incircase for 1974 as 1.8 - 1.6 per cent It is Specificilly state:HEILE. Ellı3 dijt;ffaf incluic the migration figure, (Central Bank Report on Economic Performance Problems-1974)
All indices point out clearly that in extension of this curve Would cycı Teaclı belöw" de5ilitiesel filturլ:
(iv)
Reccent demographic studlies *halwe identific three Tijor features:-
I. That wonnen have begun to
marry later in life.
2. "That riore: wronimenti reliaiiinl LI Il
married.
3. That married couples are hav
ing fewer children.
Second Inquiry on population growth and development and Country stateIlment— I 974 Pla TiTiiring; Ministry.
(b) Recent studies in the Fertility of Sri
" ()
LLIl:h.
(c) Socio-Economic variables in th: demographic transition, trill
Bank Stiff Studies, Wall, 5, 1977.
Family Planning Programme
Activities
During thc period ending 1972, the low acceptance rates of contraceptive incthods and general slow Progress of family planning PEGgramme activity, could not have made any significant contribution to this: declining crude birth rate. However, this increased decline in the Militital Fertility. Rate for women in the older age groups 30-44 suggests an incirca scd use of some form of finnily planning method. Judging by available reparts and K.A.P. studies this is more likely to have been caused by natural methods rather thin contraceptive use. However, that there has Beer considerable motivation to tantily planning practice, though programme activity, cannot be discourtted although it has not been eyallated in terms of programme achievement, (Of the Wirio L3 SCHCio-CCOO inic reasons adduced to the declining birth rate, the effects of the system of Compulsory Free Education has becn the forcillost.
E CONCA E C. R. PEYI EYA", ALIGURAT I 97

Page 15
The Effects of Free Education
The large proportion of children born with the decline in mortality in Ig, have now reached adulthood and arc in the peak ages of reproduction. As a result of compulsory free education, these groups have received several years of training through the education scheme. Of the 13.4 million population in Sri Lanka today only 1.8% have not received any schooling (Socio Economic Survey 1697). Schemes are being c tended to bring into the system the balance 18%.
An increased proportion of girls are observed to enter the education system and remain in it for longer periods. Those who come out after Several years of training, wish to find eInployment and FrostPosie their siarriages until they do so. The labour force participation rates particularly of Women are 5cc to Hay cincreascal
considerably. Morc Women are going
in for higher cducation. Such factors are given as reasons for a breakup of traditional patterns of occupation and as a result, thic changed attitude of women towards cirly marriage and family size.
Low Birth Rate in the Estate
Sector?
On the other hand, the fact of education and literacy in itself being a deterrent to high fertility is not borne out by the experience of the Indian Tamil estate labour, who are thic least educated, of all sectors in Sri Lanka but have a lower birth rate, (25.7) than the national average of 30, S.
The social changes underlying these statistics appear to be of a far more fundamental nature, and can only be understood by examination of the changes that hive occurred in our Society much more deeply than has been done up to now.
Deep Changes in the Social Struc
tur of Post War Sri LiLinki
The immediate post-war period brought deep changes in our society, Placing individuals in different relations to one another,
For Centuries before, the bulk of production in South Asia was in small family units-of small farmers, artisans, owning or leasing their land and tools and working mainly with
ECO MI HEYI". A UGEST 1975
family labour and of kins men or ap duction was nai consul III nation of L the smill village a The significant fea is thac doilliance i unit of productio the institution of of family and chil
The production inities were close rhythm of the seas it pattern that has rations without cl tion and growth a sowing and harves and sexuality bo regeneration of the
Prior to the will of production in this typc, with th enclave of the E53|| with Indian Lito
South West Coist
In the post-war mena energed to c
I. Continodity market. In a pcople workt 1971, out of El Tsileir5, 2.3. I CITI 1 EST:
(Socio-econor
2. The system a Eduili:tiam ili training. In population h several years
Both phenomena result of placing I different relations other, from whath: Over Ehe läst few case of actual empl by his daily practic studen Es faid Lune training they recci schools systern.
The Schools sy from the forms d Capitalist society, the Community as employees.
In the first peric One is wearict a family ties and E. tasks. One is grad

the unpaid labour rentices. The boroly for the limited le Closed circle Of I group of villages. ure for this analysis pf the family as the 1 and its effect on marriage and ideas drcn.
of those conmuly bound to the ons and folloWcd gone on for gcineange. ReproducTe is mitural as thic ting of the cropsund up with the
: species.
I, the Illajor for Ils Sri Iranilka was of 2 exception of the late sector worked 1r äld the: 11,irrO"W" li strip.
period two phenohange this pattern:
production for a larger scale where td for wages. In 3.2 million incorne ige;'וי rereי 1lillior1
mic Survey).
f compulsory Frec parting 8-то усars It 71, 85% of the ld been through of schooling.
produced the end man in completely lips, one to the ld been the pattern centuries-. In the oyed wage labour e-In thic case of mployed by the ived through the
stem was copied cycloped in carly designed to train
disciplined wage
ld of this systein way from direct roductive family ually "socialized'
in terms of discipline, loyalty, punctuality, regular hours of work etc. The school leaver thus tends to reject ideas of family normally generated by those who live and work in family units of production. The school lcayer is oriented to becoming an independent wage earner and seeks wage employment.
Changes in Attitude to Marriage
and Family Size
These changes have affected their attitudes to family and marriage in WarīOLIS for TT I 15, sobre of which are: —
(i) For a person who sells his abour power to another for a fixed wage, his child cannot be of help to augment his product or in Coille.
(ii) All his consumption needs have to be purchased out of his earnings, reckoned as wage rates per hour or dily. He is thus constantly reminded of the process of quantification of his necels and their translation in terms of money. Each additional mouth to feed and cducate has to be reckoned in quantities of money - wage rates-income-labour. This makes people far naore aware of the burden of bringing up children. (iii) Education is a process that is acquired outside the family and costs have to be calculated in today's society. This involves a non-working period of 15 - 2c y el TS.
The new forms of social organization bring about a social environment highly conducivic to si Thaller families.
This is evident in the contraceptive "acceptor' reports for 1973 and 1974, where with increase facilitics made available at all Government Mcdical Institutions people are scen to have availed themselves of these services. There is clear indication that with the expansion of service facilities clvisaged in the Government's Family Health Programmic with U.N.F.P.A. assistance, the demand for family planning services would be of such magnitude as to effect a far reaching impact on an already declining Birth Rate.
13

Page 16
THOSE IN THE FAMIL
EINNING PRO
Swedish International ... I9 Development Association - - - - - II United Nations Family Planning Association - - - For Fundatin - - ... I Family Planning Association
International Planned Pitenthood Federation I9
Bush Fouilda Lion
Pathille
C) FLIT TIL KOLHE III i B :
Family Plianning Associal tion I: LLLLLL LLL LLLL L LLLLLL aL LHHLL S LTaLaa S Iա: ColöIIubil PljIl - - - I Govt. Donations to Family Planning Association Ig Government 节
KLLLLLLLLuuu uH uu LHHL LuLLC mamCLLS LCLaLLLLL LLLLLL GLLLL S LMLLS Planning prior to United Nations Family Planning Asso
ciation agreement.
Although Sri Lanka cannot claim economic prosperity in terms of G.N.P. and Per capita calculations, she is far in advance of South Asian countries in deep social changes. In fact, some of the conclusions arrived at after much discussion at the World Population Conference, as pre-requisites for the success of family planning arc what Sri Lanka has already established The declining birth rate conFirms a Cullulative cflect of these changes. The very fundamental
characteristics of lying the decline at a reasonable pred context of social C aggravated by strains and stresse ing trend would with CLIEmulative cf les 8 than d'uisirel ilexit de Caldet.
Government Pol Imaintailed all in
NEW ACCEPTOR'S OF FAMILY PLANNING AT GO
MI UNICIPALITY & F. P.A., CLINICS BY METI
I975 AND IT,
Fair 15ff;
Fr Viipir ČOra Čardawyr falf, ČOFF - Mfall
97 LH0S000 SS SS 00S0LK S 0L0ST00 S0SA SS tlL S S LSLLLL
-Ig74 - - - #g,რუ8 7# ಸಿ.
SLLLu HH eeTuuLLLLL uu LLL LLLLCLlKS LaLtaLaLLG LLK aLBLDS
not presently kept at Government Clinics.
14

SRAMME OF SRI LANKA, TO END OF 1974
arii лѓғїілуѓіліі LV. S. S fr. f. L.S. 5
655,දාසදා 5, Ig,000, to 1974 - 1967 2,85,000 ?.TToooo .178¤¤¤ #דפ1 - 15
I975 199272 4CII. |- 27To T72°Co-Co!
8 - 197 74, వీధి,ధిది
II61, III.ва +ד19 - 3 5 73 - 17 15 0000-Lo Iւյ75 - 197ն 2ÒÇÒ
- 17-라 II,&8%-CD 58 - 1974 I』후7, F--- 73 contribution to LNPA Project סם,ד 8,61דל,ך
* 8 +రది
Average conversion rate ISERs. 6.70.
the forces underrc such als to justify iction, that in this hange, and doubly present economic s, that this declinperpetuate itself cct to perhaps cwen norms within the
icy has consistently
tegratcd a Pproach
WERNMENT.
HODS
"її*а:јан
Feria Taja
T8,59* gj,igჭI
후 I
llancous methods are
through its Matcrlal and Child care services and presently through its carefully programmed Family Health Service. Isolated programmes of birth control have new crbc.cn government policy, Nor any form of coercion by anti-natal legislation, incentives or withdrawal of social welfare benefits. Recent trends appear to more than justify government attitude and approach.
Yet inspite of this, much energy and dollars continue to be spent by : groups and outside agencies.
ome of these directly propagate the v cry same philosophy that was resoundly defeated at Bucharest. The connection between population and resources (including our just share of the world's resources) is rarely made. Thc day when these pressure groups carry in their propaganda the U.N. Conference view that the average rich westerner consumes fifty times as much as a Sri Lankan, will be the day when such Propaganda will be scen as serving Sri Lanka's interest and not the imposed view of the rich western world. The private population control lobby in Sri Lanka must at least reflect the new IIlood of the Third World and not be scen as simply thic tool of outside interests.
ECONOMIC FEVIEW, AUGUST 1975

Page 17
THE ECONOMY
Mobilisation of Savings
THE average rate of savings in Sri Lanka during the past few years has been around 12-13% of the Gross II) mesti Prodilut. The Five Year Plan envisaged a saving rate of 17% of the G.D.P. to generate the resources required to meet the investInert targets of the Plan. This was to be achieved by raising the marginal Ta te of Saving, that is to say, by, şalving a larger proportion of the increases in income during the Plan period. It was estimatical that ait least about 25% of such increases in incomics shoull be savet if Ehe investment targcts are to be met. In other words, the consumption out of additional incores should be limited to maximum of 74%. The realization of such a planned target of Savings depends on (a) the extent to which the government is able to achieve a surplus on current account in the budget (government saving) (b) the size of the surpluses that Static Corporations are able to generate and (c) the extent of private savings-thc retained profits offirmis and the Slyings of households. The actual realized savings in recent years has falcin far short of these planned estimatics, Nevertheless, there has been a distinct improvernent in the mobilisation of SAW Ings. In receilt yelts. "
Government Savings
The government revenue in Sri Lanka in recent years. Ilias amounted to around 24-25% of the Gross National Product. Despite this high revenue- (GNP - ratio, it ha 5 El-coinc extremely difficult for governments to general te liny significant Salving out of the revenue to finance public investiments. In fact, in many years, the government savings have been negative, meaning that the current expenditure has exceeded the revenue. During the last ten years, while the government revenue has increased by an annual compound rate of I.I.I.'s the recurrent expenditure has increased by II. z'%. A distinct improve:- Tacit is however See in tille last two years. In both 1975 and 1974 the government has been able to generate current account surpluses of
Ecos' MI: REVIEw, August Tg7
reasonable magnii Før Llanıce ill. Ellis cularly impressiv. learly 20% of thic expenditure in that by the surplus il til This was Inade P. hand by the sharp
micr, it re: Weini lle clirir the other, by the thc growth in rec by measures to
subsidy bill.
Surplu1ses of Pul
Compared with prevailed a few ye sector corporatior significant impro years. Among t corporations, exce C'ils and Fats, Harc Corporations, all able to generate 1974, Practically rations have also of varying amount coinc, the state CO bound to expand be called upon to important role as : pluses required fo
House hıqqıldı. Saviri
In regard to pri milition is availabil Sources that thank tions, Provident fi
Sri Lanka"a trai this year. Current ever 7's record :
Hata, while total ilT million our exports
Comparrive Figu Ësport: Rr. Mr.
Mainly responsib were the imports of R if Ruther Gemis uit less in export earning million fer this year.
Ċhiiiiiiilhield hit li alige Sri Lili": firer
Imports by
Corrify
Chimi ..., |Fri:111 CC. . . . Stiili. Filii . laբirl ., .
stralia

Ludes. The perrespiccat is partiin 1974 when government capital year was financed 1: r:11TT:11t 11:EIJ|1||1|L. issible in the cle increase in governIng the year and on ability to restrain Lurrent cxperilditure contain the food
plic Corporations
tuc situatil. El E LTS ELck, the Public is live show a rement in recent he state industrial it for Milk Bird, wire and Fisheries Others have been
surpluses during all trading coIP, ('' + generated surpluses is. In thic years to rporation sector is further ill it will lay an increasingly a generator of sure r II.1','Stt 11:11t
g
ya te savings, infore only on the reis, sawings institulds all thic insult
ance have been able to Illbilize. There hä3 been a notible increase in the savings and savings certificates during the period 1970-74. They rose from Rs, 1949 milion at the cnd of 1970 to Rs. 3 to million at the end of 1974--an increasic of about 60%. There has been a particularly impressive increase in the total savings deposits and savings certificates amounting Lo Cover Rs. 450 million in 1974. Perhaps the main factors behild this increisel mobilisation of Savings are the growth in incomes in the Turail Scotor assi il result of liflı = creased food production and the higher Filarket prices for agricultural produce, and the ability of Banks to tap) Fil Tall savings through an expanded network of branches. The savings deposits and the savings certificates of the National Savings Bank rose from Rs. 967 million at the end of I 1972 to Ris. I 342 inillior at the end of 1974, an increase of nearly 40%, and this was a result of thic additional incentives offered to sa wers through higher interest ratics and incomic tax Contessions, cxpansion in branch netWork, and the såving promotion CHITIPilgri8.
A considerable portion of the savings mobilized by the National Savings Bank, Provident Funds and the Insurance Corporation has been invested in government rupee securities. In 1974, these three sources accounted for 7.4% of the total subscriptions to rupice securities. The government’s lebar Programme has become increasingly dependent on these three sources of savings.
TRADE GAP WIDENS
LLLLLLL GLLL CHTHOO LLLLLLL LLLLHLLLLLLL L LLLLLS CSHLHHH HHHLLLLHH aaa aLLLL LLLLLL HLL indications are that the CIOLI TI try's tradiga P in I 975 will outstrip LLLLLL LLLLL LaLLLLLLL LL LSCH HLLLLHHS GGeeLLLa LLL LLLLCLL LLLLLL LLLLLL LLLLLLLaaa aa LLLLLL LLLLL LHLHaaLLLLL a LLLL S CCLLL LLL L LLLL ll laaLLLLL LS00LL rought in only Rs. I, I2 million. res for the first six months of 17 and 1975 are:
I7. Irpari: Rr. Miri. 4.דפח п975 T7:29 II, I, 후고구 #,#8ኅ LL LLL LLLLLS LSLS L0L LLLLL LLLLLLaL aa THLL LHCCCa L aLLaaaa La LLLLLLa ice, Flour, Sugar, Petroleum and Fertilizer; while though falling prices | Jewellery and Refined Petroleum products resulted in R5, Ica million LSS LLL LLLLLLL LLLL LL LLL LLL LLLLHaaaaa LLL LL LLLLLaLLa LLLS GGLL
LL LLL LLLL CC0 CaaLLL LaLLLL aK L L LLLLaLCLK LLLLLL lLaLLLTLS LeHHLLS
ma LLLLaa LLLLL LaL LLLL L LLLLL L LLLLaLLLtl 0H S LS
Sri Lanka Exports froIII Sri Lanka
: : I της Ε., μή | Rr. Mir, 激 frr:#ffff;" Ri, Mr. 荔
350.9 II. Hill | |#97.2 E. 파7후 9.0. 후7-- Pilis ili. 15ն:7 3. 구 Itig II 7.3 f. . 호T 호 구.. U.S.A. ... ... 1 11. է. ". Կ -
15

Page 18
FOREIGN NEWS SURWEY
SPOTLIGHT ON AFRIC
RECERT Welt5 in Southern Africa have been highlighted in world news. The decolonization of Mozambique and the victory of FRELIMO under thic lcaldership of Samora Machel, the decolonization of São Tome and Principe Islands, the bitter and bloody Fighting in Angola between the various LLLLLLLaH HHHLLLLLaL LLLLLLLLuS S LHHLLLK LLLLLLL Wide press coverage.
These isolated snippets can be understood better against the backdrop of Africa's economic relationship to the western world. Before we in Asia absorb these media images we night well pluse and look at some aspects of African history.
White Racist
The image of Africa and the African people in the eyes of many Asians remains primarily the picture that was painted by our common colonial masters. The myth of white supremacy, the illusion of manifest destiny and the imagery of the savage, have come to us, not III circly through the text Egok5 but also Illultifirious ther forms ranging from Tarzan films to
illes of the missionidrics. "
The picture of Africa as a dark continent is impregnated with racist
allusions and our European masters
succeeded in developing this racialism to thic extcit of making Asians believe that they were superior to the Africans. Of course in the eyes of the Europeans both Asians and Africans were, is a for iller local Governor -Barnes-put it niggers. It is not unnatural even today for Asians to believe the implications behind that fantastic story of Stanley sturnbling froll waterfall to waterfall discovering Africa and finally meeting Dr. Livingstone, we presume. History text books have succeeded in legitimising the absurd illplications of that event. It was after all nothing more than an ^ [merican Illecting an English Imain.in Africa. Regardless of the pioneering aspects, it only meant the beginning LtLtT S LLLLS LLLL LL LLL LLLL LLLLLL
16
power the United in the share of El by brutalising its Nkrumah point ly intcrcsסmorl(p 80 percent of A Ilye:5 tillemts in Afr million dollars in to 1,700 million Similarly U.S. expli Same period il Tıp dollars to 91.6 milli impor Ls went up dollars L 1,2 II. m. was the ni Eulire o Stanley's success() Britis Sccessor alle, hart an es of E too million of 出 ISO IIıilli.JI British cers,
Slavery and Exp
In the white
discovery we are thc Inagnificent ci Africa particularly irld CluLLIrallife i the trilitions oft Ethiopians, the de Africa especially babwe. All these : berately left out. hi cara Eciaminibilis: Paradoxically, the the native African Ten million Cong cred by the Belgia satisfying the hu trade and the quic: population of Nf ailtill desnuded. It that between 1650 lation of Africa. r ICJ tillillion, whil Tose from IC3 to stagmation was f birth coiltrol But trade in hullāIl fili been well docu * Fiftyr in his B) Sigl'ory". IE des si called Triangu Europe and Afri Indies and the

CA
States of America, le spoils of Africa heritage. As Kwame t: Ollt yl:Stern is dominatic about frican trade, U.S. ica, a moluliited to 287
1950 and soared 1 dollars in 1964. 5rts to Africa in the: 2d from 494 million con dollars inel U.S.
from 362 million illion dollars. Such if the take off, of irs, Livingstone's in South Africa tilatel iIlvest Lillet producing a profit a year for the
loitation
Iman’s voyage of told nothing about y|izatio Ili, UF West the level of social places like Berlin, he Tubba and the velopments in East ilho5c aroundl Zir1Indrimore vcrc deli
15fcial ve halvci im and Christianity. Cal Tribals veret Ilot s but the invaders. golese were assais, in the process of nger of the slave 5. Er i'r Llyder. The 'ici was decimatch haš Ecem Stiliated to 1850 thic popumained a constant st that of Europe 2.74 million. The it the result of of Til Irder and the :sh. The story has mented by Erie ook'Capitalism and cribes vividly the lar Trade netween C4 lill the WCSL American South.
Millions died merely in thic process of transport across the infamous Middle Passage. The trade was carricid out by the Belgians, Spaniards, Portuguese, the Dutch and of course the British.
The British in their sickly humour even forced Africans to sing:
Rule Britanni Britani rule the
Britions never, never, never sha II ble
Sy:: -
H1"wrlkin ; rh1o Talqic . Fnt:1stit:
amounts of money robbing Africans on the Guinean coasts, (the English guinea originates from this) not only was knighted by Queen Elizabeth II but he also became her business Partner to found the Levant Corupany. The Queen and the knight named their first ship, going in search of African slaves, Jesus. The Levant Company was to become later, the British East India Company.
The slave trade and the raw matcrials of Africa provided a vast part of the primitive accumulation incces sary to give the boost to the developTrent of European capitalis Iul. Many European citics like Bristol, Manchezter, Liverpool, Nantes, Bordeaux ind Seville were built on thc profits of this bloody trade. Some of the great na mes of European business Wcre founded in the same way. The loot collected by David and Alexander Barclay went to form Barclays Bank. Lloyds Bank had similar origins. Lever Brothers, Union Miniere, Campagnie Francaise D'Afrique Occidentale, Ralli Bros. Elder Dempster, De Beers Consolidated Standard Bank, Jurgens & Wanderbergh, and Cadbury's are just a few of thic commercial and industrial complexes that had their origins in the exploitation of Africa. The most famous of these of course was the first mention cd Lever Brothers löytyy Etter known as Unilever, the Anglo Dutch combine HHuHaLu S LLLlLlHlHH S LLLL LL LLtttLLtttLL L LLLLL LLLaLLLL veins of Africa. They were soon to be followed by American companics like United States Steel, Farrell Lincs, Morgan Guaranty and in recent times à Hist of thers.
Hi! CD YN OF BI HIC PAPE yn F. W. W.L. K. Li:317 Т97

Page 19
ANGCLA
NAT1 | 2 | A.
Elirt
།།།།
( __ת-רת
iliki حضير" ZA MEIA リエ
FIN EHEWE
SOUTHERN AFRICA .
When the 1870 Congress of Berlin divided up Africa into spheres of influence for the Big Powers it did so to legitimise the existing competitors or to II like concessions to the new arrivals like Germany. All the imagery that accompanied the white man's burden, the stories of poverty and primitive life were screens drawn t R the cycs of the world to the fact that the African continent is, in terms of her mineral resources, one of the wealthiest regions of the world. It is a vast continent ind it is often forgotten by us Asians that it is closer to us than Europc. The African continent is larger than the United States, Western Europe, New Zealand and India put together, and it encompassed the great civilisations of not only Benin, Egypt and Zimbabwe but also many others like the Ethiopean and Zulu cultures. It was necessary for the Big Powers to put a blanket over the achje wel Thents of the African people and Thore than that
ECONOMIK ING PEYI LWYF, ATTIGLEST I 1975
owct its wealth. the LN Č&#ffffør: I AF tildí i Wed with II
Clergy ECSC IIICES. 9 per cent of the the region acco mately 28 per cer of World Illineral Per cent of its cruci In recent years, it is increasing. O Til etallic aml mao: the shirt of Afric 22 to 95 per cent duction'.
These ravages delible scar on African people. It development and from history'. M is Fail oil and Call phenomcnon wh colonialism havir into objects of hi
 
 
 
 
 
 
 

ANO
rFFFF
ဂြွီး) SENS, 瘟
In the words of f Sirley of Ecollarir ica "Africa is well incral lind primary With an estiniated world's population unts for approxiit of the total value production and 6 te petroleum output. s share of the latter f sixteen illportant n-metallic IIlinctil, l in Leil Waries. Froil of the world Pro
halve leeft an inthic history of the interrupted African "removed Africans odern thinkers such ral referred to this in they spoke of ng Inade Africans story. Even today
the international 1news Thedia hawe conditioned not only Europeans but also Asians to believe that Illalnutrition is the natural lot of Africans. Cha Titablic organisations like Oxfam publish pictures of black children with huge heads and bloated stomachs, and call upon the European people to save the starving African children. They of course never bothered to tell the story of how the starvation was created in the first place, The gap between Africa and these countries in 1968 was as follows in per capita income Ferns
ir1 US dolars.
USA ... 3 8ד ל Fränice ... - 1758 IJE. Africa is a whole ... I ப்ொg) . 그 Giali ... 198 Kenya ... IOT Mallowi 후 Morocco I85 South Africa . 帝4$ Tarzania A’la Imibia 로 후
Recent Developments
When the winds of change blew across Africa in the fifties and sixties
Oyer yas transferred to African eaders, But these transfers canic often as a result of bitter struggle. Kenya and Algeria are clear examples. But when the colonials left, in addition to the companics, they also left big schools which continued the ill traclition. The French Hac i 1ct Work of y Ceer and Ecole Superieurs and of course the omnipresent Alliance Francaise. The British had left behind Gordon College, Kings College, Mal:- crere, Livingstonia Collicge, Fou rah Bay College and Achimoti. By and large at least in the immediate post independence: erat the Products of these schools and colleges acted in the "acceptable milieu" but things were soon to change. Africa began to produce Ben Bella, Nyrere, Nkrūmiah, Lumumba and Amilcar Caball. The old calculations had somehow gone awry and the real struggle for independence was beginning.
It is in this context that donc can make some meaning of the recent popular victories in Southern Africa in the Portuguese controlled territories. They came after 450 years of Portugurse colonialism, They have
17

Page 20
shiratterfel Orıce alınırl For :ıll thi, c illusi Cilli of the lush-tropical paradise, AE best it will be recreated with new equaltions, The relationship between Portugal and its African colonies was in effect that between the river and El Erill Erie:5. But in this case Portugal was not even the main river. A longtime rago, cv cm bcforc Ricardo Hal inventical his thicory of CDTIparative cost, based on the citchange of English cloth to Portuguese wine, Portugal had become a British colony allut nime. After the Sild World War the control of Metropolitan Portugal was shared by Bri faisil, the United States, Germany and Sweden, in addition to most of the other Western European powers. Portugal was a tottering regime sucking its wealth out of Africa not only for its behalf but also for many LLLLLL S LLLL0S LL L SSLS S LHHLLLL LL provided important tilitary bases which were strategically placed for the United States and NATO in the Far III of the Azr:5 islaills, and the: Cape Werde Islands. For the Law materials and the military bases, the Western powers continued to Suppot L Portugal's tenuous hold on Mozambique, Angola, Guine-Bissau, Sato Tome and the Princepeislands. Will the Africal Liberation MW clients launched their offensive against Pottugal they were in fact taking on more than Portugal. Their present Victory means much more than the carlier decolonisti victori:3. Il Africa. The Algerian wat of inde pendence perhaps is a more valid CCTP: 118OIl.
MOZAMBIQUE
MozAli BIQUE is primarily in agricultural country. Its best and was under control of the white Portuguese Scttlers. The entire plantation sector of mainly tea is Portuguese owned and controlled. The Black population largely existed on subsistence farming, cultivating maize, manioc, rice, Peanuts, millet and potafocs on tiny patches of land. During the to year liberation struggle, Fre: limo had successfully taken control of two of Mozambique's larger provinces and Succeeded in dicveloping the war time agriculture despite the continuous bombing raids and chemical warfare used by the Portuguese. It is in the development of this sector that Mozambique's future lies, ifit is to achieve a self-reliant growth.
1s
Mozambican il and indirectly con guese, South Afr British capital. C חנillior tרח סם6og by a Japanesc CoIII pccting was Pur Fricch, Germanı : Companics. Depo radioactive mineri ore, dial crlds and Bctrl Found, Bult t tmiss treasurect hit biss Bassa Hydro-elect being built on t near Tete. The E at 3 og million de Stiltii is "..." fiu II known as Zi Sienını ens, "Teleflırıklı Hotchicf, and W. Cogolex and CCGI Electric (Britiin) a (South Africa), , T] would provide th für thlẹse flä8&ỉựe, It will be the bigg Africa capable of I 7 Ebrillion kilo WaT tricity a year (ASW: The Principal ber South Africa whic this electricity th; ning across the t'; resolution of this Stimultilin Aħfrili:: : I Revolutionary Go to coil 11st: Filarly immediäte future,
The Mozillbicil ment (Frelimo) sulf on its rail to wic assa.5sination uFiES Montline. This has been wol, the lespite its 1 massi decided to close Rhodesian goods sive loss of Foreig clone 5 in Slidari of the Rhodesian whitic minority
ANGOILA
Angola like M. Ilarily an agricultu Cefrit of its pictipli iris. Its chief Diamonds. Iron C Cottom. Thic IP] controllcd by Por. Wfricans. L

lustry is directly trolled by Portuicin, Italian'ı and oal production of 515 to be exploited li li jirris蠶° ulimidler 醬 ind South African Հits of minganese, ls, asbestos, -- iToll | natural gas have hic key to opening was the Clbirra ric Dam project ile Zimbjeti river roject was costed llars ind its CC 1rded to a Cls (T- rico, consisting Cf en, Brown Boveri, oight (Germany), E (France, English 1d CTA and Welcor inci dlat wlnerill built Է ոticessary power industrial projects. cist such project in | producing some it hours of elechr. Ia billijn kawih.) leficiary would lic h had plans to buy rough a grid fullcountrios- The
roll ti'ye 翡 Mozambique’s vernment is going
problems in th
1 TLiberation MayeFered many reverses tory, including the lder I). Elard ilgh independence young goyernment y FFLilities3 11:43, the port Beira to resulting in a masin exchange. It has By with the struggle people against the regime of Smith.
ozambiquic is priTal country, 84 per livet in tille Turčil 2xports are Coffee, ire, Oil, Sugar and litation sector is tuguese and South Bell. Il Core thill
Mozambique, Angola has got massive miniciral resources. Angolan Diamonds are treasured in European LaLLuLLaL a LLLLLL LLLLK LLLLLLLLmL LL LLLLLaLLLLLLL by Portugal and South Africa. The high grade iron ore in the Cassing mines is controlled by Krupp of Germany and other US interests. Angola's massive deposits of Oil are Çontrolled by Standard (Oil al Illud Gulf Oil of the United States. Recently LLLLLLLLuuuLLLLLL LLLLaLaL LaLLLLL LLLLLLlLLLLLL LaLL aLaSS minium, sugar, cellulose, plastics and LLLLLaL SLLLaLLLLLLLS LLLLLaL LLLLLa S LLLaHHLLS Bassa Dam a similar projcctis Polanned tiro hariness thic Clunen eriver, Again the project is controlled by Foreign monopoly interests.
The bitter fighting between MPLA, FNLA and UNITA, is fanned and encouraged by foreign interests which plan to continue their economic and
| political stranglehold over Angola.
The fighting therefore, though scCTingly between African and African, is in reality between the Angolan people and various foreign interests who have backel their candidates in the hope of future returns. Once again like in the citly cra it is the African pcoplc who suffer. Independence in Angola has not brought an end to the struggle. It seems to hāvẽ in fict bị:gun.
SOUTH AFRICA
DETILED press reports of the success GF Africain liber:ltion ITIOTcrllents in Southern Africa, and the euphoria of Third World governments have removed the focus from the major threat to the peoples of the regionSouth Africa. The dramatic develop. mcnts in Portugal hawe brought Flux to a seemingly static and unchanging situation. But South Africa has learlwhile becil cngaging in "quiet diplomacy' not merely to ensure its own survival, but to subvert the liberation struggle in the regions by new Immactıl:5, The EWFC Illil Liter3 EE ilextricably inter-twined
South Africa's main strategy to ensure the survival of its white minority system of apartheid has been its plans for the establish Ilent of a Neergo (Corayriyar Igoeroh u1der | its control of all thic countries of Southern Africa. It envisages this new relationship with the surrounding African countries only on thic
* ECONOMIG REVIEW, AUGUST TI 975

Page 21
Population (1975) and Average ATI'nual Growth Rates (IgGo-Ic)
Papur - Graupith Mafiary rafe
(girard 3.
Angola - - - - I, 1 - 후 Botswana ... - Burundi - - - 壹中 Matuwi 4,440 2.6 Mozambique ... 729 I-9 Namibia and S. Africa 2.2, 6a 3.0 Randl ჭ,ig& - ჭ„Q Tanzanii II』후7마 후Za Tibia - Η Ι 56 Zimbabve ... 550 B.
Sir World Bank Atlas
basis of no questions being asked about its domestic policy. The Bari trưffar or tribal homelands policy remains the cornerstone of South African domestic policy. It is a scheme of separation of races in the country under the facade of self-govern ment invented to remove from the white arcas the most volatile political and social element-South Africa's exploited black indigenous work force. But more than that, the scheme is designed to maintain a flexible labo Lur force which can be utilised to satisfy the needs of the mines and industry. For years now, South Africa has suffered from it. shortage of skilled labour, caused by its own policy of racial restrictions. In 1974 South African mines were faced with a shortage of 20,oco men, resulting in a drip in gold production by 12%, at a time when gold prices rose to record heights. The situation was worsened by the ban on the migration of miners to South Africa by Malawi, as a result of the death in an air crash, of 74 returning Malawian miners. Lesotho and Mozambique may soon follow suit. Black South Africans themselves have been reluctant to work in the grucilling and ha. Id conditions of the Illines. Therefore South Africa's hope lies in attracting workers from the surrounding African States and this is one of the reasons for the Proposal for "better' relations under the guise of the New Carror Health or Doctentic.
THE OUT WARD LOOK
THE growing needs of South African
capital, drive it towards finding new markets for export goods, raw mate
ECONOMIC REVIEW, AUGUST 1975
rials a mili in vitics Time market cannot al. view of the paupe force. Rather th tional income to
chasing power of people, it prefers
ExterTraill exparsia #g irral repr apart fied. The St. minority has no it is to continue
South Africa dollars a year mer operation With Bl: investments in the Africa tot:ul z. bil This is not surpris Africa is known to mineral, and South in the arca grows
Ilore than twice of from the region. cations, postal, t money and banki Naoyibia, Le ratho, B and are entirely. So and controlled, the sic four countries sios of South Afri is also Malaivi’r maj
Since the Unilate Independence (UD has invested nearly in Rhodesia and R. South Wfrical are Rhodesia's total ex for re-export to bri tions). Mo:affង់អg foreign earnings b vices to South Wfric migrant mine worl addition to the Cal lerins Thentionel c diariond and nine South African invo Cunene Dam Sche other ljnik. Zarah from South Africa country. The Sout pany, Anglo-Americ bian copper mines sation. The copp 90% of Zambia's The Detente/Comn therefore takes the the stares away fra system and helps economic strangleh gion, through labour

: outlets. Its own orb any Ilore in sation of its work 1 redistribute naincrease the purthe South African o expand outside.
ரது த ரோrisiar artid is ffairiirg luth African White ther alternative if its racist policics.
ends Io Tillion y to improve coEclik Africa, and its rest of Souther II ion dollars (US). ng since Southern have every known Africa's strength laily. She cxports what she imports The communiransport systems, lig i 15 titutions In arsiara and Swagiuth African based The economics of i are merely extena's. South Africa or trading partner.
ral Declaration of I), South Africa
billion dollars to derian exports to lose to 90% of port (most of it k; the UN 5ani ---- earns 50% of its y providing serl, mainly through
ers. This is in otra Bassa probarlier. Argolan
"al deposits have lvencint and the me provides and imports more
than any other th African coman controls Zamlespite nationalir provides over oreign carning5. onwealth policy pressure off and m the apartheid to tighten the ildə Ov" cer tılı c. Tezin takes, exploited
markets, raw materials and investment opcinings. The deterife and groep"- ing economie finaer Hill wake it wore வீரி: ரேசர் பி: அரிகா ராக்ing i Frare difficiulf for arty ir terria fioral Policy of βογγοί, βγ έγίηg ii. pro Pariίν to that of the other African countries.
The triple veto in the UN Security Council against South Africa's cxpullsion from the UN was the first such 3-pronged veto in the history of the organisation. It only shows the nature of thic relationship between South Africa and Britain, France and the USA. Meanwhile South Africa continues to develop its military strike power with the help of the same powers and it now has the capacity to manufacture tanks, heavy artillery, airplanes and atomic weaբՍո5
South Africa, though situated in Africa, is in reality a part of the Western World. This is not illerely a question of skin colour but economics and militarisT1. The Westcrm powers see South Africa as a crucial link in retaining their markets, raw materials, sea lanes and standard of living. It is an integral part of the Anglo-European system.
The recent removals of petty apartheid rcstriction5, likc multi-racial cinemas, arc intended to present merely an image of growing liberalism— nothing more. The Africans though forming 80% of the population, are still restricted to 13% of the worst land. The bill. Ilan in South Africa is bound by a rooo laws restricting his rights on the basis colour, thicy have no political rights in the land of their birth, they have no recogmised trade unions, or the right Eo strike, and 50% of the children born in Bantustans die before the age of 5 from malnutrition. (That in a country where the white population is said to have the highest living standards in the world). Thousands are banned, jailed or tortured every Wt:ՃT:
The success of the anti-colonial movements against Portuguesc oppression does not detract from the fact that the situation in Southern Africa is more grim than it secms at first sight.
19

Page 22
TEA
Prices - Production up TEA export earnings in the first half of 1975 (January - June) amounted to Rs. 583.31 million as against Rs. 55.81 million in 1974. The substantial rise in export earnings was the result of a marked increase in prices oftea in this Period (i.e. Av Colombo Auction price in January - June 1975: Rs. 3.25, per lb. As against Rs. 7.677 per lb. in 1971). The quantity of tca exported in the first six months of 1975 was 230.06 million lbs. Compared to 170.98 million lbs, in 1974, an increase of 59.08 million lbs. Teit production in the period January to June 1975 at 261.63 million lbs. recorded an increase of 22.61 million lbs. over the corresponding period last year (i.e. 1974 - 239.02 million lbs.). Major share of the higher production came in from High Grown cas. In fact there has been lin increase in production of tea from all areas this year compared to last year, as revealed from Table I.
Tca Small holding Authority
A Bill to estill holdings Develop passed in the Natic on August 7th, 19. the developillent, regulation of tea for the compulse nilowables all in There Are āt pres tell a Creig: held E abgut 117,17 h. Smallholdings De rity will be esta Ministry of Planta would consist of it. ment co II prising of the Minister - Lands, the Tea representative, th sinter or is r representatives of Plantation1 || 1 tilst sentative of the
TABLE, LEA PRODOLJCTION, EXPORTS ANTO PRIC
(Јапцагу - June).
Prograffi#F F:jart:1 Elegafları Warray -- WAFF :-):
(ks. r.) (Mid. '...) T໘໘4 1975 IT I
High Grown |- τοΣυ3 NIHILIITT GELI", ਕੁ I.58 | глу (. год. п. 57.7 67. It
Trial I7O,98 233,05
At the London Auctions teas from all countries recorded an increase in price compared to 1974. The table below provides data on the London market prices of tea for Jan.-June, 1975 in Comparison to the corresponding period in 1974,
TABLE III
LLLLLLLL0LLLLLLL LLLLLLG LLLLLL LLL S L00L LLLLL New Pence per kilo)
#, דופT
Čмнify சry- :ரட
Wray
Sri Izikil 6.5- North India ... են. ց: Ĝz.27 SLIHI list бо,42 Africt Countries 5.8 :ே
AYErige: -.. #61, ד
RUJI
Export Dutics
Government i sliding scale of with fect from Under this scale.
Sole Crepe Latex Crepe Strip Crepe 5Hert rubber Black ruElier
20
 

gs Development
Hi5 il Tea Simill1erit AWAL I thority was inal State Assembly 75. It provides for management and smallholdings; and ry acquisition of movable pro Ferty. zent 18-23% of the y smallholders in ldings. The Tea velopment AuthoLlished Linder til: tion Industries and Board of Manageof a representative of Agriculture intl Cotı triller Or hiss e Land Coոinisepresertative two the Minister of tics and a repreMinister of Trade.
:ES
Чн, С.Дугуйд :: rPrir :க: &க்
IT T975 F: (rg, Hor. شیخ * ធ្វង់ 3.26
நி3
BEBER
litroduced it new
duties for rubber | 2 I July I g75.
(a) when the Fio.b. price for RSS
is above Rs. I.6a alb, the dilty rises above 12 cts. by 1 cent for every 2 cent rise in the f.o.b. Price;
(b) when the fo.b. price is below Rs. 1.60 a lb. the duty falls below 12 cts, by 1 cent for CVery 2 Cents fili? in the fol. price;
(c) the fixed duty of 5 cts.lbl. is
se.
The diferenc between thic solid källa the new duty is illustrated below.
F.O.B. Dгүty//b. Di/fyi/I. fyridèr
frїre Heffer riep of refse
Είναι:
Rs. 1. L2 Cts. 38 CtS.+3 Cts.
fixed duty
LLLCLLLLLLLL SLmL0 LLLLaLLaaLLLL K aaLLLL F 8 cents . rīlr exports to finance the development of the rubber industry. This cess would replace the in Illial grants from the Consolidated Full.
More exported less earned
Exports of rubbcr for the First six months this year at 191.9 million lbs. WeFc higher than för the same period last year by Io, 2 million lbs. However, export earnings at Rs. 525.3 million were lower han for the First six months last year by Rs. 57.3 Inillion. The overall drop in prices during this period as compared with 1974 accounted for the drop in total earnings. RSS prices has shown an upward trend beginning with the last Weck in July 1975 though it is still balv lie levels obainci intle sam period in 1974.
RUBBER EXPORTS
157 சராசர-தர தந்து-: g 萬。 LYFR", Yar. 2 fler, TAYAR FFYr
5,366, E. 다. II . . . .458,71 I S. 5 Tig3,647 gಷಿಸಿ
Εξ,ατα, και για II, 23
I7후 |- 15.8 நா Tਗ . ש. ב7 = 75ד Ľ. I.
Total II,758,885 382.8 IT,598 III, 73 후 .
ECONOMIC. R.WII. W, ULIST 1תדפ

Page 23
COCONUT
Metrication
The Metric System_canle into opcration in respect of Copra, Coconut Oil, D.C., and Coconut Shell Charcoal with effect from Ist July, 1975. On 24th June, 1975 the Coconut Marketing Board instructed all Auctoncers Brokers, Shippers and Millers to conduct their transactions in respect of these four products in Metric Աrlith,
Crop Forecast
According to the provisional estimates prepared by the Coconut Marleting Board the total coconut production during the First half of the year has shown an improvement of nearly 29% over the corresponding Period last year. The estimated production during January June I975 amounted to II 5,4 million nuts compared with 896 million auts during the corresponding period in 1974 an increase of 258 million nuts. The total production for the year is expected to be more than 2 soo millior'ı muts.
New Coconut Product a Substitute for Nuts
Pilsburg-Mindanao Flour Millting Co., Inc., Manila is in the process of manufacturing an entirely new product from coconut which can compete with almonds, Walnuts, PCCarls, Cishew and penuts. Phili name of the product-is, considered as a real nut substitute and can be introduced to thic manufacture of Confection crics and their baked PrԱducts.
Actual Exporta
Export carnings from the coconut products in June 1975 at Rs. 42.7 Inillion showed a decrease of Rs. 3.5 million and Rs. 3.8 million in comParison with the previous month and the corresponding month last year.
Earnings from the export of coconut oil in June 1975 at Rs. 24. million recorded in increase of Rs. 2.1 million or about 9%, when coinpared with the preceding month, despite a decrease of 315, of the volume exported compared with the previous month. This was due to the substantial increase in the Averige fo.b. price,
Earnings from the export of desiccated coconut in June 1975 at Rs.
ECONOMIC Yi Hw, August 1975
99 million show Rs. 5.3 million w the preceding mo: to the decreas; oi price as well as th during the month
Earnings from fibre and fibre 1975 at Rs. 7. I decrease of Rs. Compared with thic despite an increase ton in the average Wils due to a decl exported in Juric I
Export Approvals
The total valut approved by the C Board for the period amounted to Rs.
inst RS, 3y/g m period last year.
The total four ducts approveel (Cic. D.C. and Fresh Nut July 1975 amount t equivalente as aga during the corresp. year. This represe; 235 millioni nuts or
International Pric:
The average Lon. of Copra, Čoconui Fibre continued thei in July 1975 as well
SPC
ExpoRr earnings frt the first half of this mln, Were lower by
against the same peri Was a marked drop
SPICE EXPORTS
Cirilaill Cardition
Clares Pepper Nineg
ESSENTLAL OIL E:
Cinna'r union Leiaf Oil Cirini mion Birk. Di Citrunell Oil ... Giriger (DiE Carda III0III Oi! . Clove CD Ւ utilitE Oil mmm

da decrcase of in compared with h, This was duc he average fo.b. volume exported
e export of coir roducts in June hillion showed a .5 million when preceding month, if Rs. 84 per long i.o.b. price. This le in the WoluThe 175.
of the exports conut Marketing January–July 1975 2.90.7 million as lion for the Samice
c of kerinel propra, Coconut Oil, 3) during Januaryl 0.84 million nuts inst 249 milliol riding period last its an increase of : 94%.
:Կ lon harket prices
Oil, D.C. and it downward trend
GES
Jm spices du ring
year at Rs. 30.8 Ris. I 2.8 mln. a 5 b'din I 974- There: in the exports of
Cinnamoil quills and chips. Imports into Mexico during the period under review was confined to only 21.95 cwt. as compared with 14,147 cwt. in the same period in 1974.
Exports of Cardamoms has registered a marked increase both in quantity and in price during the first half of this year as compared with the same period in 1974. Export carnings from Pepper, Nutmeg and Cloves has declined during the period under review compared with the same period in 1974.
Essential Oils
The two major essential oils exPorted fronin Sri Lanka, Cinnamon Leaf Oil and Citronella Oil has shown a downward trend in carnings during the period under review. Further details are given in the Table below.
Trade Agreements with Mexico
According to the Protocol con cconomic co-operation between Mexico, and Sri Lanka, Mexico will purchase 700 tons of cinnamon during the remainder of 1975. For 1976 Mexico is expected to purchase 1603 tons. After this period purchases of cinnamon by Mexico will take into account average imports during previous years. This tradic is to be handled exclusively by the Sri Lanka State Trading (Consolidated Exports) Corporation as the sole exporter to: Mexico and Compania Nacional de Subsistencias Populares (Conasupo) of Mexico as the only importer. Among other products which were examined with a view to extending and increasing trade were rubber and essential Cils,
I974 Wahriy-irr மrே } IСпті. Rл, глія, Lagi", Rr. ery', 75.65, 8. 36,350 L
1,547 4;டுே : ჭ,7ენ 8.g. 고구 j.ծ 후 1,789 I.T „ĜIloj C. GI 미.
I, ITF 玄-■ 455. .8
LO 4. IT நே I, ISO 車一致 C-다. T Cn- 0.03 T C.C : -
4. リ 다.
21

Page 24
MANAGEMENT
End of the Rigid Hierarchical Organisatio
THE management and administrative structures that grew up in the 19th century and still function, for instance, in countries like Sri Lanka belong to the class of hierarchical pyramidal
organisations.
Scicltific Worlcrs in
Western countrics have within the last Io years or so reported on the collapse of thesc hierarchical organisations, as well as their inefficiencics and repressive nature, energing now Incw classes of organisations which are riore decentralised
There is
This has becn largely motivated
by thic changes occurring in Westcrn
societies which has resulted in the
growth of an aware and educated set of
employecs, as well as the em crgence of a high degree of change in these societies resulting in thenced for new organisation structures,
Among the well known writers on this genre of management are per
Sons like Benis,
Davis,
Blaumer,
Emery, Trist, Harmann, etc.
What they have been describing is
that Western industrial society today possess a set of characteristics that
tend or would tend to change the 111ture of organisations within it.
These characteristics are high rate of change, a high growth of knowledge and information, rise in the level of education in the general population, a gradual breakdown of class imposed views of the concept of the proper situation of one's life, and a resulting rise in the level of aspirations and expectations in the population. These developments are reflected in organisations, one of whose many transformations as the result of this is the break-down of the traditional pyramidal authority structure and thể rise of multiple centres of
authority in an organization.
In the structure of jobs and roles, the rising revolution of expectations his scena demand for lowering of the degree of alienation and loss of autonomy in jobs. Alicination, espccially with its aspect of too tight a unidirectional control of lower level participants is also spread unevenly
22
il illustries. The nologically toward technology as well less alienating for I in conventionalitet there is a tricnd tow autonomy in jobs,
Orlic of the Wo Trist for instance, tion during the ti hierarchical struct Set of dichotomie: educational levelo today, than previ cultural values a the work populati countries have cha. ment, self control to self expressio: and self actualisat sations on the changed from 1 having competitive rate objectives having collaborat linked objectives.
Other writcŠ that rapid changc of the presentage; of today’s Weste has become the 7. ration and grow change bearing zational variables. Lihat the last Iloco speed of continuni factor of Io, spel speed of datal hii ability to contre The clect of the: the very core of hi hawe wrought Pro
The coming ( these Writics is . equilibrium but E A persisting tre institutionalisatio a process of re. innovation-disser organizational change. Signifi cconomic and society are occut rate. In the past. for cxample, som
 
 

re is a trend techS in less alienating as socially towards is of job structure nologics, That is, ards increasing the
rkers in this field, contrasts the situaThe of thic classical Lire and today in a (for instance the f workers is higher ously). Similarly Id expcctations for om in the Westcrin nged from achieve
and independence 1, intcrdependence ion. The: organiother hand have mechanistic Fortins relations and sepato organic forms live relations and
have cmphasised
is the metaphysic ind for the manager In organization it citgeist, the acceleing complexity of leavily on organi
Btnnis Has rio Led years has seen thc cation increase by a de of travel by Io, indling by Io, and diseases by Io. c changes reach to unan relations and found changes.
rder according to haracterised not by y emergent change. d is towards the
of this change as earch-developmentination and towards sorms promoting ant shifts in the alue patterns of ing at a very fast there was probably conflict between
the older and younger generations, but in the past there was also a long time to socialise children into patterns that were relatively constant, Now the patterns themselves change rapidly and history becomes less of a guidic in predicting the future.
Change as a way of life had been observed by de Tocqueoille in Amcrica over a century ago, but the chinging scale and acceleration of change is a recent phenomenon.
Apart from change there has been the growth of cducated personnel in Westcrit Countrics. For instance thirty years ago only one in eight of the Allerican workforce had attend cd high school and less than 4% had attended college. Now four out of five are attending high school and about 35% of the population attended college.
These changes have resulted in a strong crisis in authority in Western heirarchical organisations. The rise of an educated workforce which overflows the slots of the Colwentionally stratified economy and society leads to an erosion of traditional bases of legitimacy of authority. The fact that there is also simultaneously a growth of awareness of their rights among the lower Participants in society detracts from the claims to legitimacy of the power holders.
Harmann notes that American society has witness cd in receit decades the crosion of authority of "thic parent, the teacher, the scholar, the law, the state'. The issue is largely one of a balance between authority, based on power and authority and one based om a voluntarily given respect. A significant proportion of the American opulatiori 醬 ethnic groupsם and the youth population deny that the established authority figures cist on a basis of trust and consensus.
These sweeping changes in the organisations in the Western world in the last to years has resultcd in a wide rethinking on the organisation authority and job structures of most Western organisations. Consequently Ilcw experiments and new forms of organisations have appeal Icd which emphasise decentralisation, participation and non-hierarchical systems. This column will in future issues, focus on some of these ncy organisation experiments.
ECONCOM IC H:LYIFEYW, M, TTGLTST" T975

Page 25
يلي Agriculture
Needed A Water Reforms Programme
IN agriculture, water and land are the two basic natural resources. Onc becomes the prime resource when it is limited relative to the other and this calls for efficient use of the limited resource. Water is more scarce than land in the z districts of the dry zone which produces over 60% of our paddy, Here land can be used only if water is made available. The importance of water is Cnhanced in paddy cultivation the
mainstay of the dry zone economy by the fact that it is not only critical för growing the rice plant büt is also equired in substantial quantities for field preparation. Hence, in an area where water is the limiting factor, Cilir.C., ağıldı. Prudcenice - have to be exterciscal in its use.
None will dispute that scarce items in high demand are costly and Provision of water to the dry zone farmer costs a tidy sum to the public treasury. Paradoxically however, water is a free agricultural input to the farmer. The current Five Year Plan in its Programme for development and progress of irrigation facilities to about zoo.coo acres will Spend soTicthing like Rs. 1,154 million for the purpose. This is more than 1/3 of the planned investment in the entire agricultural scictor. Water for 3+3յք:ՉՃՃ acres in major irrigation schemes and iz, 50, oco ac rcs in minot schicilmes of the dry zone is thus provided with a high investment. Further, these schcines are also maintained and administered at a high recurrent cost. This is especially true in major irrigation schemes and it would be useful to examine the problem of water use afresh in these areas.
Extravagant use
It is widely accepted and repeatedly lamented that water provided to the farmer at a high cost is used extravagantly and wastefully. Exsluice requirements in major irrigation schemes are estimated at to 3-o acre feet in Maha and 5 - 8 acre fect in Yala. But water issues of over IG acre ficet for Maha at Uda Wallawe and field of 18 acre feet in Yala at Gal Oya have been reported. Though
ECONOMIG REVIEW, AUGUST, 1975
these may be gla Wilste, it is genera. Maha when the n Water to the dry z Water is used is is Some of this was Conscrwcil for use
Seits of Yala, ironic that water during this seasor of Waste in Yala
available supply of and traditionally us Consu Tiling crop lil: Consequence of or Waste Jf y:itet is th of the potentially
Excessive use of to other problems it lower reaches, to Soil and Fertili Cultivation cor loss mers' over-estinat quirements result disputes and loss The incessant de Samleti Illes leats causing damage to
Why the wastage
What are the Ina Watter was tage? definitely-tåkes plac hand by no means ponsible for it. I severål institution bureaucratic deficier *ge farmer obvious| scientific knowledge fron a national poin is öften so scarce, wo the tendancy is to use And from al individ he does it in order - use of it to get certa: too like that of we however is in cor national goals.
While it is possibl. tage of the carly Mal ITCC: Culrivation i Tation of land, etc.) fa Wait for irrigated wa 15: Sforcd Walter to Fains, which is pos This will further in supply,
Though farmers a sible for the PrOPPET
 

g cases of water restinated that in nsoon too brings le, twice as much leeded for paddy, a water could be uring the patched
However, it is is wasted even
Another aspect tlıat the linnited watcris repeatedly dom a high Water: paddy. A major cr-irrigation and drastic reduction ultivable acreage.
water also leads ike water logging washing away of ier, and delays in of seasons. Fairon of water Tcin many Water of production. mand for Water to illicit tapping structures as well.
jor causcs of this Though wastage E at the father's is hic solely rcst is also due to Ll and technocies. The aver y lacks adequate 01 TCS) LITICE: L1 SE2 it of yiew, Water hern it is a Wailable : it extravagantly. ual point of view to get maximum in added benefits control. This tradiction with
to take advania rins to comctivitics (preparmers habitually ter, rather than supplement the biblic in Mahia. hance the Yila
te held responmaintenancc of
bunds Airl channels and the Cultivation Committees empowered to supervise these activities, the job is not satisfactorily performed. In lddition to this, anti-social activitics by powerful groups cspecially at the top cind of an irrigation systern lead to waste of water at the expense of tail-enders.
Further, farmers of one tract very often decide independently on the varicties of paddy to be grown in individual plots. The result is a mix of varieties whose duration may range from 3 to say 4. months. As the feeding channels are not so laid as to independently reach every paddy plot, one could well illagine the resultant confusion in Water use.
Get the most of it
The institutional framework that had been in existence froll time to time with authority and power to improve and enforce better water use has also not lived up to expectations. Passing of these functions from the Agrarian Scrvices Departillent to the Territorial Civil Engineering Organisation or from Wal Willanc to the Administrative Secretary of the Cultivation Committees etc., did not bring about significant changes in the sparing of this costly national wealth:
Titi: T.
Further the fic d layout of our tracts runakcs water wastc ille vritable. Water is supplied through one farmer's plot to the other. Thus fields are flooded over long spells often in functioning as the channel for fields lower down. This practice also seems to hive conditionel fait IIncrs to in acceptance of thc seeming abundance of water Flowing Willy-nilly through thcir lands.
Water is a resource that is not only wasted but also sub-optimally used though in dry zone context it is a potentially highly productive input. Its use has thercfore to be rationalised and optimised, particularly in view of the gigantic Mahaweli scheme which is soon going to bring large quantities of costly water to the dry zone areas. While the current land reform was a vital necessity for the wet zone in the context of its socioeconomic situation, a comprehensive water reform programme is no less urgent to put the dry zone land and HHSLKLLLLSSSLLLLa0LLaK K SLLLLL0S SLGLKL00L 00JS in the wider national interest.
23

Page 26
FEATURES
The Western Tea M
Paul Caspersz
^^^^^^^^^^^
Notes Toward
Tea har contralled the country’r ferrozzie life for rije, LY LCCCCCLS YCLS S YuHY CYS L S HH HCLtLLL utLLLCCuHLS LHL LLLL S being specialy og i lejr privilged Fections.
YL0Y YCumSLuHLH u uJS LLLLSS DDuDLCLLuT uLuLGLSL iWiரா சேர்ாai f frgர சராசரி : p: LCCCLu S LH T TTTu S HHHHH LLLLLJ Lu J uHuHuLLCTL LL LTLlLT LLSLL S LLS CmTmL e lTT LLL LLTLlLl LLL LLu LLSLLHLLS LS HLLTYJuuL CCTTTTS S LTHL LuTuTT S T S LLLTllLLLLSLL LLLLLLLTuS
possible s frātęgies.
SLM L eAS eAS AeAeAeAMAkAk eAkeAekSeeMeMALSLeAeeSee LSeeSSeeSSeAekeASkeSkeSeSeeSeSee SeAeSekeSeSLSeASAeLSSSeSSMMSSeeSeSeeSeSeAeSeee eee Ae ekkeeSeAS eAMSeeSeSeeeeeLS eeeSAS eAeSeAeS eeeS
TEA is one on a list of agricultural commodities which are vital to the economies of developing countries. Dicycloping countries (here: dlistinguished not only from developed countries but also from Centrally planned countries, some of which, according to socio-economic indicators, would be developing countries) accounted in 1972 for more than half the world production of tea, ricc, bananas, pepper, coffe, CoCoa, jute and kenaf and allied fibres, hard fibres and natural rubber. In 1972 developing countries accounted for more than half the world exports of these commodities as well as for more than half the world exports of sugar, tobacco and cotton (Cf. FAO Commodity Review and Outlook
1975 - 1974).
These commodities are vital actual
and potential forcign exchange carners for thic developing countries,
Primary commoditics comprised as much as 88 per ccnt of thic total export earnings of thic developing countries as a group during 1963-65. A large nul Ilmber of thicsc countries are dependerit on just two or three com II1p dities for most of their incomes.
Fluctuations in foreign exchange carnings arising from instability in commodity prices, invariably pose various problems to developing countries by de-stabilising the economies
24
of these countries fluence on savin spending and by
economic growth
ruptive effects.
Fluctuations in have the effect competitive positi ducts vis-a-vis sy tutes supplied at
In this respect Cifre:rut EFFELS ITC il FAO di ITelusional inter för tica.
It was decided it in response to t new mood of the to obtain a report a minimum cxpot Report was ent firm of developm
The export pric F. fur chief va teristics of thc p. sition and natur (taken to include cost of productio. price of imports for thic tca garde development resci ed for national mcnt) and thic ir ing systtrin.

larket
s a Strategy
Irly a centiry. ority" y el
: ர
• Η ετήσιμα ή τές leĝofig. Iuj fhfg ự kg. Triffitrife * Powe f the
*********_FFFF_F_F
i-through their ings and consumer adversely affecting through their dis
commodity prices of Weakening the on of natural prothetics ill substiIn ore stable prices.
nic i should examinic
of UNCTAD, o sct up a multinational agrcement
hat the first stagene denillimi els of the Third World-was on the feasibility of t price for tea. Thic Listed to a British ent analysts.
e ciftcisi : File:Liðill riables: the characroduct, the compoc of world supply - сопsiderations of n) and deiilialıd, tible (both those needed ns and for product լrch and those needeconomic developternational market
What does the Report fundamentally do? It pegs the minimum cxport price of tca on the first two variables and neglects the last two. It suggests that the minimum export price (for which in any case it envisages it thousand difficulties) be fixed in relation to recently achieved actual prices but says nothing of the trement dous inflation of reccnt years and months of import prices (while it is elementary economics that exports must pay for imports) and barely Imcintions "th: existence CF concel trated buying power in the hands of a few large multinational concerns, with intcrests as producers, packers tard distributors in thic major producing countries'.
In not a single analysis of supply GF el uldertaken in UN Studics, indeed, so far as the present writeris aware, in no analysis so far of the cconomics of tea production hias there been a systematic and dictailed analysis of the wages of tea Workers. Are their wages in any way collmensurate with their share of labour time per unit value of output? One has also to deterline at some stage if the supply price of tea is what it is becausc wages are so low in the two major Producing countries, na Tricly, India and Sri Lanka, It is taken als in axiom in thic beverage trade that tea must be the cheapestbeverage. Why?
The phrase "demand-inclasticity' Often occurs in the documents. But if this implics that when there is an excess of supply over dcilland, price must decrease disproportionately in order tio absorb. Supply, suicly it must also imply that the quantity that is equal to or less than equilibrium demand can, in a situation of perfect inclasticity, be sold it an infinitely high price, and, in real life situations of less than perfect inelasticity, be sold along a price ling that shows a defiinitely rising trend. This second aspect of demand-in clasticity has never cVeil been Illcntioned in existing docu
Its.
Incidentally, why the minimumprice report (and others like it) should have been assigned to a oup of analysts in the afflucit world is difficult (or easy) to justify.
ECHOLI I FLITIE". A LIGLIST Iց7:

Page 27
The instruments and thic data of r:3circh, in doubt, Lire i Ow Thore than proportionately located in the affluent world, but this is precisely where international organisations like UNCTAD and FAO can be expected Eo straill every Political and financial netwc to see that thic instruments and data of research are placed in the händs of Third World researchers för subjects of vital significance to the Third World. These researchers are neithcr scarce nor incompetent. There must only be a will to find and full Tld the III.
By this it is by no means implied that affluent world researchers can never have their hearts (and 50 their Hindis) in the right place. For instance, the December 1974 UNCTAD cit ol Bilalas ind to snc extent the April 1975 Commonwealth Secretiriat Report on Tropical Commodity Trade (though not so much the 1975 UNCTAD Report on Cocoa.) arc steps in the right direction.
EEC Fund
In a sense EEC is an organisation in the West explicitly set up in the interests of an economically strong Europe. In the EEC reports on pri mary commodities there is a clear demarcation of the divergent intercists of the flyr för fra Fyrir fyrir and the Ag's prolifiers and a recognition that CCTCC:ssions have to be Emai de to the latter in the interests of the former.
The Convention of Lome signed in Fcb Euary this year by the nine mei 11bers of the European Economic Continunity (EEC) and 46 African, Caribbean and Pacific (ACP) countries is of special interest because of its schemic for the Stabilization of Export Earnings (Stabex) of less developed countries.
Briefly, the Schene is as follows: To qualify for financial aid under Stabiex a particular specified expirt product illust have earned at least 7.5% of all cxport earnings (or only 2.5% for 55 蠶 developed, latı ildlocked or island' States) in the year Preceding the year of application for aid. Such applications can be made if actual exFort earnings-due to a fall in prices-in a particular year are at least 7.5% (or 2.5% for the 34 countries) below a reference level calculated for each ACP State and for each product.
ECONOMIC REVIEWF, AUGUST 1975
For tell will Kenya (over 7.5% cla, Mila1"yri and R: probably Tanzania Camerol and 7 the thres Holl.
There i5 El certa mcm Li in Brussels tion of Lr3I11e:. Bu есопопist intervi. pert om Stabex) a is il fac much : Was soline"what pré to be. A Stalii: million U.A. for 4 Ĝj AY CP Countrigo: nota big sum, Y if the sects of Fult til i Tilternational E could give the de the best possible within the CInfin free enterprise str
Derımları:
Denmark is a sir market for Sri Lan sumption of rea is U. Meinert Jorge recently closed C in Copenhagen a kā in Dell, Ehliat i Sri Linkios si teal Ilmārket is og 20%, comes from bulk of packcted Lanka, and the res Frutil Danish El abroad. Tea salas three chief forms: Leas and ortholitir. roughly accountin. 5C er cent of then
Sri Lanka iccou cent of the orthodo I8-2g Fricit: cent ofte: ECAS, Jorgerisen : trade are convinct of Sri Lank:iʼs s}h; Timarket now depe: and whether she quality tea bags: The Tea Ricsearch Lanka Has Virke fior: sciente:clʻtca, " development in thi
Tea bags, scent: packeting or cannii question whether will be able to imp All these processes titated and automate

Lalify for Stabex: of exports), Աginvända (over 3.5%), and But undi, while Lire arc far below
in pride of achieves about the Czynı veriat least one serious wed there (an cymittel Lhat LettleCore: III oderst Liliitri, it maturely made out ation Fund of 375 29 products for for five years is El Lonchas Withii re development of ading system that veloping countries deal, though still cs of the existing 1LLLIT“,
mall but important ka. Per capita conhigh for Europe. inscri, lead of thic eylon Tea Centre Consul for Sri rki, hais — estirilatedl larc of the Danish ut 55%, but only direct purchase in | form from Sri t Fro T1 the UK gir til dicris who buy in Denmark Are irl
tea bags, scented x teas, in 1975 g for re, ho and larket respectively.
ints fot 85-90 pc, x teas but only for a bags and scented 1ld othcrs in Lic 2d that expansion ire of the Danish lds on Sri Linki will producci high aliud scelted till:35. Institutc of Sri
on the technique
What progress on is field P
ld teas, even the ng of tea raise the Sri Lanka hias air rt the equipment. are highly sophisdin existing U, K.
factories such as those of Brooke Bond, Twining and Lyons Tetley, Whether and to what extent manual labout can substitutic for machines needs to be investigated. However, so long as Sri Lanka wants to have a place in the international tca arena, she can forget only to her peril that the consuliner abroad wants a product that is convenient and very attractive. The capitalistic consumer is as exacting as the capitalist.
Product Development
The processing and markcting of tea in the U.K. and the rest of Europe, in the U.S.A. and Japan, point to thc importance of product development: new methods of presenting tea to the consumer (so long as it has to be sold to a consumer society in nced of continued excitement and powerfully wooed by competitive licverages) and new uses for tea. Is a vitaminized tek possible? Can tcı be used for the manufacture of dyes and staining materials of various kind? Can the tea dregs be saved for fertilizer? Product development must be linked to Eilarket research and nicels laboratory experimental research, but here again the Odds are against developing countries both for new development and for research.
Fundamentally, the developing countries will have to fall back On their Own Tcsources. The Tibi
guities of forcign "aid' are evident in institutions like the (Danish) Industrialisation Fund for Developing Countries (Indlustrialiscringsformden for Udviklingslandene), The resources of EFU are supplied by the Danish Governillent from the revenue of thc excise duty imposed on coffice. IFU joins Danish firms with equity capital for investment in developing countries; it also cxtcIlds loan capital to joint ventures with Danish firms, After only six years of existence the earnings of the Fund have now made experidable Danish Coffee funds. The whole experiment is an interesting commentary on the cost of Forcign “Aicio and on the “Aid, rict Trade“ ("because we know better what you need') thesis. What foreigners have been able to achieve for themselves in developing countries, we Illust be able to achief for ourselves in our own country-with tea or with anything else that is ours,
25

Page 28
Is India a T'est = ho for Biological War
A Press Trust of India (PTI) report released on 29 July 1974 had alleged that some research projects being carried out in India by or under the auspices of the World Health Organisation of the UN were in fact a can Inouflage for conducting research on Biological Warfare (BW). The projects were the Genctic Control of Mosquitoes Unit (GCMU) near Delhi, the Ultra Low Wolume (ULW) spray project near Jodhpur and the bird migration studies conducted by the Bombay Natural History Society (BNHS). The PTI report prompted the Public Accounts Committee (PAC) of the Indian Parliament to institute its own inquiry and the findings were presentcd to the Lok Sabha on 30 April 1975. Last month, we published extricts from the PAC Report covering the GCMU project. This month we conclude with extracts covering the GCMU project the ULW spray project and the BNHS study.
It is not a question of whether BW experiments have actually taken place. ... The real issue concerns the psychic of Indian scientists and technological policymakers: are they cautious enough, and conscious enough, to scrutilise a collaborative offers-even those coming from such agencies as the UN-beforethey lap them upo
Cr T Rowwe:ா ஏ க்
Plf Agrari Corrifies (1974-75) Ι 677 Rέραrr: Foreign Prார்: LS S LLSLLYLruHHLHHLCH YS LLCLTr LLLGGGLLSL ir Iridid” (Ministry of Health strid Fayily Pläллі:g)
GCMU-Questionable Intentions
There is also considerable published evidence on the dangers of a new" colory of ning Siquittes being established as a result of genetic experiments. The Defence scientists had also pointed out that the use of cytoplasmic incompatible strains inToles the introduction Flien
26
strains of the spec. giving rise to the aciles of new
Country with po and sarious risk”.
Llıknown hazırl5. doubtful whither releäsc genctic str ir to the Emir II scientifically (7.I.3
IF E GEMIL ... the highest pr B}:en1 accordeH. t ", ITOS Lito (7.I.38),
WHY, WERE I MANNELIO EBY
“. . . 1 till: 1 CIII:Lilti II: Hi H 器 fr Il Dili
CE LE , , , he In lin Elie Linit vere soi fi:l ind experin ground (as that lid n.E. Have - methods, although ind ils ELIETeltg: 0 developed by Indi: "LInter He: : Titte His I HEFE rationale für Pert: of forcigners no in El risericii, Era dictate its polici Of th: :n pri) Hetfel:n liriul by the WHIC), fr. one a Japanese at The grily Indin leider frin Augu In 72 was himself WHO). "In additi tel 5ultati
F yıl yiyec: Irisiitet | tlile II [...'ML i Es incepticii. The given free access
collected by the LJп
". . . The Comr Grill Till Bri. Project leader, ha FETTI NIEH - Er in 1973 when hi. Similarly, Dr. Yıl: project leader fro.
pril ’73, wis onl a geneticist, Mr. the sultants, h; li mil Mr, I. B, ir: tant, un M.Sc. degi therefore, Luriable te

| ISS fare
Les into the Country danger of opening diseases into the tential Uncertainty II. Eli. Eice of Sisill the Committee is thic decision to ains of mosquitoes ment was justificd
3).
were really justi Field iority should have Tork on the Ilalaria
HE PROJECTS FOREIGNERS
if freign its perts and e il Led il 1: : to tille, despite the di scientistsworking tle of the highest qualced people . . . the the Hill scientists xperiente iri : genetic III 105E of the techniques f the G{NILJ hiLi be:Il Li l scieri tists . . . 7.I,7).
Curtistics, the Cotillicult tu, Piprcciatic the liitting 4, large riu Timber only to participate tills. Lo HEEFImilcarid es until prograri milles. ject leaders appointed
1970 and July 1973 ur were: LIJS III, tionals. ld the the British", employed II, 3; III project Litigi. E NoircITiber ' Ln eIIiployec of the orı, jL5 rına riy:13, 37 shortnid teimporary advisers, e LTS initi mills, Hilly J in Net I)elli silee have apparently been
to the primary data it (7.I. 8).
mittee finids th:LE DE. ks, the present WHO H EEEirr:1 His PH.D. lina University only joined the GCMU. Lino, who was acting in November 'y to y in ecologist ind not H. L. Mathis, Lils of ld just a B.Sc. degree hiirth Consilcc. The Coliittee is, accept the contention
What calises even greater concern to the Connittee, in regard to the experiments on Aedes aegypti, is thic fact that the Ministry of Health has shown utter disregard to the warnings of eminent authorities on yellow fever on dangers of eliminating dengue. There is enough published cvidence to show that dengue offers protection against the more fatal yellow Feyer.
In the first Gharpurc Memorial oration held as early as May 1971, Dr. C. G. Pandit, who is one of the foremost authorities on yellow fever in India, had raised the question whether we would lose the 'Lillyrella of protection' against yellow fever by succeeding in eradicating dengue ... ... (7.1.3.9).
The attention of the CIllittee has also boccini dira Win...... ty
that the Indian scientists were not equippei to pl. hleidi: le ir lir - lett, T.I.).
SK LL LSLLLLGLLLLLLL CtLLS a LLL KaaLKS LLLLLS SLLLLLKLL L LL LK LLLLLLLLLLLL LL L LLL and the WIIC) also provides for the appointinent of initional counterpiir to be nominated by the Government of India. Though the Director General of LLLL S LLLLL LLLLLLLltLLLLLLL LL LLLLLLL LLSLLLLlLLLlLLLLLLL (ICMR) had been appointcal as the Indian counterpart Project Aliriristrilor, the Committee is surprised that LLL LLLLLLLLuaaLatLLL LLLL SLL aLaL LLLLLGG LLaLLL he was the national counterpart for the GCMJ project, för he: hiris:Elf inforired the Committee diring evidence that Ir. SS S aaCLaLHLHaLLL CLLCLS LC LLLLLLLaLLLL LLLK LLLLLL L LLLLLL at K SLLCLLCL LLLLLSS search Centre, Psorin, was the officer in charge of the programme in the CMR. It was only subsequently that the Department ffeirih informed the Committee that Dr. Rao had not been appointed as the Indiri counterpart but inly is in officer in special duty in the CMR. . . . . This is a measure of the indiference of the Ministry of Health to the activities LL aLL LLLLL S LLLLL LL L HLLL LLLL HuHHLLL the Ministry had given a frce hind to the Foreigner project leiders of the GCMU and the WHO consultants (, 1.5).
"Apparently here has begin it lack of Purpose and sericitusiness til the Part of the Ministry in appointing the Indian cr:Luimtet piatt. The Corin milit Lec understands that the present Director General LL LLL LLLLLLLLS LS LLLLaLLLLLLLLL LL LLLLLL former Director General a cancer specialist. ... It is indeed amazing persons with nogenetic experience schuld LHttt LSHlLHL LLLLCLLeL uuuLLLLLL LLL LLLLLlLJSttt ttLLLLLLS seeing a complex genetic experiment and ensuring that a vital health and security interest of the pg.ople of India was properly ဂြိုးပွါးချိုဒ်
ECONOMIG REVIEW, AUGUST 1975

Page 29
UNOR LISA
"In the GCML project, the WHO was the collaborato sense and the entire project has been financed by the U.S. Acci. inent hetween the WHC) and the National Communicable Dis United States Public Health Service (USPHS), the patent righ improvements arising out of the project are to rest with the U.
"There is also enough published evidence on the link be and the US Biological Warfire Research Center at Fort Derri is also stated to have received more than Si Soloog in funds tr US Army General Corps which, according to the Stockholin. Research Institute (SIPRI), has the responsibility of co-ordinatin biological warfare programmes of the US Navy, Army and The London Conference on CBW (Chernical Biological Warfar YLLLL LLS LLLLLL0 LLLLLLLL S SLLSLLLLL LLLLLL KS LLL LSLLLLLLLS LL stances it is likely that the ultimate and only beneficiary of the G
is the US military machine (7-I-56).
authoritative and important evidence on cross-protection by Dr. Max Theiler, a Nobel la urcate honoured for his work on yellow fever...... (7.T.4).
- No serious consideration appears to have been given by the Ministry of Health or the Indian Council of Medical Rescarch for more than three years to the questions posed by Dr. Pandit on the eradication of Aedes aegypti. What is even more distressing is the fact that Dr. Pandit's views had been dismissed as "thoughts raised in a lecture'...... (7.1.41).
the entire GCMU project has been ill-conceived and is of no utility whatsoever to India. The
benefits, if any, that are likely to occur to India are also not immediate but only potential. On the contrary, thc project is of far greaterimportance to any country which might want to develop an effective biological warfare system... (7.1.57).
The BHS Bird Migration Study
Yct another research project that has caused serious concern to the Committee is the study on the possibilitics of dissemination of anthropodborne viruses by migratory birds, conducted by the Bombay Natural History Society (BNHS) in collaboration with an explicitly military organisation of the US, the Migratory Animal Pathological Survey (MAPS) and the Smithsonian Institution, which has also worked for the US Army in identifying suitable areas for chemical and biological warfare tests (7.1.68).
ECONOMIC REVIEW, AUGUST 1975
The implicatio. Bird Migration S lopment of a system are far moi than the GCMU, BNHS had direct met with MAPS Army. It has als the Ministry of Smears on slides the Society to N during 1967-68. also fills from t on the activities migration study to 1972 that the samples and ector to MAPS for stut letters (see box bel. the BNHS had als once the cctopara birds had becrl is was “usually the li. hic militerial”...... (
The Committce the SIPRI Repor
TOR SALIM A
Dated 17th Octs Wiru5 Researe
Dear Dr. Rilla
The cctional havec, ağs LISual, g| sorter Cut and 5 satisfactory arrar the last we hear technical initiati
I would be With tour fielcl tc: lf H. W.R., ISE
-

only in a for trial ling to the agreescs Centre of the of intentions or (7-i一覧5)。
weer the USPHIS : : : : The USPHS Insferred from the trational Peace the chemical and he Air Force.,. ) in II gs 8 revealekl eller these circLimCMU experiments
15 of the BNHS tudy for the devcbiological warfare e direct and evident In this case...... the ly signed an agreea wing of the US been admitted by Health that blood had been sent by (APS in Bangkok The Committee he Interim Report Cf BNHS's bird project from 1969 majority of blood Jar:18ite; were sent iy. In one of his w) . Dr. Salim Ali of admitted that...... ites collected from tent to MAPS, it Lst' they "hear of 7.I.69).
lso observes from that the various
mcdical research units of the US Army and Navy studying bird migrations and local infectious discases in the Middle East and Far East have contributed to the thernical arld biological warfare research and deviclopment programmes. The SIPRI Report also points out that when the US Army tested their BW weapons in the Pacific in the 1960s, the Army conducted, with the help of Fort Derrick, preliminary studies to find out if migratoly birds would carry the BW agents from the test zones into populated areas (7, 1.71).
... the Committee is concerned to note that the Ministry of Defence had cleared the collaborative project with MAPS in 1967 mercly on a "tcchnical point' (that it did not involve visits to sensitive areas) and had not considered it necessary to examine and evaluate why the US Ari Iny and its wing MAPS were interested in the bird migration project. Apparently the Ministry had not realised that any grant from any wing of the US Department of Defence is always provided only with a military objective. This is evident from the Mansfield Amendent to Section 203 of the Act on Military Appropriation for Research and Development according to which, “none of the funds authorised by this Act may be used to carry out any research project or study unless such project or study has a direct and apparent relationship to a specific military function or operation......' (T.I.7.3),
LI'S ILLETTER (Extract)
her, 1969; reply to Dr. Ramachindra Rao (then Director of the
Centre (WRC), Poona),
andra Rao,
ites collected from birds in Aurangabad District (Report No. 8) ne to MMPS in Bangkok as quid pro quo. Thicre they will be it to the respective specialists for working out. This is an unement in so far as the Society is concerned since it is usually F the material. We have not been collecting any sera because of 1s-only blood smears. The slides also go to MAPS.
appy if in future you could send a couple of your technicians is from time to time to collect ectropiirasites and seria for study insa pity not to be able to make fullerise of our opportunities...
Yours sincerely,
(Sid) Slim Ali

Page 30
INNOCENCE COR CALLOUSINESS
"From the information furnished by the Ministry of Health, the Comittee finds that the Indin Council of Medical ResearchHILAS EWU J their projects—“HuIILILI biology studies on differential tissue" and "Conducted study on infective hepatitis iii1 India'-which have again biccin sponscored by the Office of Naval Research, USA, Similarly, a grant for the purchase of equipment and laboratory supplics, which Lire mot available in India, For a project on "The relative role of cardiac effects in the regulation af Curidigviscular LLLLLCCLtS SLLL LS SKLLLCLL L S LL S LLLLLLLLJ Institute his been given by the US Air Force, through the European Office of Aeropsace Research, Brussels, Belgium. The Conrmittee fails to understiind why such collaboration with the US Navy find Air Force in these had been permitted.“ (7.1.85),
"According to Ari Linderstanding with several governmental agencies at the time the BNIIS-MAPS project was cleared by the Ministry of Defence, any project which has any defence sensitivity should be channelled through the Ministry of Defencic. There wis also the Indierstanding that tiny project that was LLLLLL LLLLCL LLLLL LaLLLLLLL HLLL LLLaLLLL go through ARPA-Advancel Research Projects Agency-of the US. The ConTiittee would like: Et know if this arrangment stil caritinues". (7.I.75).
Why this doubt of ARPA's bonafidics? The PAC was presented with evidence contained in a New Scientist article (8 August 1974) wherein it was defined as “elite group of civilliam scientists conducting high risk research and developments of a revolutionily nature, in areas where defence technology in the US appears to be falling behind or in reas were the LS cannot a to the Fisk of Falling behind". ARPA, it is said, was responsible for cycling the herbicide warfare programme under the guise of food technology research. Again, ARPA financed a GCMU-like project in Burma in 1967 before GCMU was set up in New Delhi, It was again ARPA that conducted ill blood-group survey in 0LLtHHHH LLLLLL LL LLLLL S LlLLLLLLL L LLLLLLLLS This blood group survey, according to
New Sciert ist, was lopment of ethnic we gėnetically relaticul 4 intollerancess I ir rie chemical weapons certain populations. sisete stiis maintained by AR UIId:Iground nuclear Neer Sicilitat ir: ARPA is II Project Cg is il CILInter-insurgëti Ponsible for opening technologies (7.1.26). Wher the CoIILILI the Ministry of Def SLIch lctivit les Of AR İnıtı in Linderstirildi boration projects ref sligւյld Ec through A of Defence replied in
".....This agency siblic for the support with the (US) Depa funds in Wirius well för research, both in From the record: appellits that irn IgG7
if the BNHS proje, technical Point, Jur - aware of the project by ARPA". K7.17).
"The Varios pro the Colrittee . . . . tion abrut the way and related research run in the country. cincirl ... is hic al Es Policy filme ora well micchinišrill Within EE. reviewing projects in fields of high scientil content, promoted at cipiated in by foi cigli GyWernfTlent Rhould scientific or opgeritica investigations by foreign-assisted prog subjected to the ring prehensive scrutiny basis before govern given for the initiat The scientific i Tc3s Lular point of time deFried in the conte interial ill situatic science and technolo,
ULW Spray Experiments and Microbial Insecticides Study
Two other foreign sponsored projects also merit notice in view of their importance in biological warfare techniques. The first is the WHOsponsored Ultra Low Volume (ULW) spray experiments for urban malaria control being conducted near Jodhpur and the second is the PL-48c financed study on microbial insecticides at the G.B. Pant University of Agriculture and Technology, Pantnagar (7.1.78),
28
The Committee Spray machine ob under PL-48c fun spray malathioni rial control. The stands that the U acknowledged in acrosols of biolog According to til "improvements in technology have highest, priority grammes". (7.1.7

atel e he deveon 5 by exploiting Sceptibilities Ltd DÇ) 115C g:ET ÇIr Electively agiriki Ili ils II all supplicid arid \, für detecting explosions. The Lled that within led I'll (GILE: which ' BridgTIIIIII: ICšIp limited wirfire
ee Fasked whether cc was a wire of A before estering Ig that all collafred to by the US RPA, The Ministry,
TETEITTT DD: ARPM) is responif research projects Time II E DE TÖefinice: recognised centres He LS and i EuroPac. vailable to Lus, it Thieri le clarance Etwas given on a gi:Inisa Eitri was na E AGILE supported
ects examined by ise the basic quesscientific: Ictivities are sponsorel and What causes great ence of an explicit defined institutional e Goverlin for sensitive areas and - and technological d/or actively partigencies . . . (7.L.86). identify a set of nal réä8 in which soreigners Gr by tammies should be t. Ceir eful 3, Incid Crom:- on a case-by-case libertail approva l is on of the project. elected at i partiwill liced to be it of the prevalent i Hпči dvances in ty' (7.1. 87).
finds that an ULW ile From the US is is being used to secticiclics for malaCorin mittec All FilderLW technique is an thod of spraying cal warfare agents. - I SI PRI – Report, agent dissemination high, perhaps the
in C B W pro).
The SIPRI Report goes on to say that "weather is critical to the performance of many types of CB weapons. Maximum effectiveness thus depends on the ability to predict grmeasure prevailing Weather conditions and to exploit the air streams occurring over the target. The particle size in which the payload of the CB weapon is disseminated is also critical. Efforts to improve aerosol generating techniques are presumably ill prominent feature of the large area incapacitating weapon systems". (T.1.8o).
The Director General, Health Scivices, has stated during evidence that, “theoretically the possibility ofusing the ULW Tachine forpurposes other than the spraying of insecticides, for which it is primarily meant, as an acrosol for spreading vius Gr l'actcrial infection is clefnitely ycs” (7.1.81).
The Corn inittee has been informed that it is now proposed to shift the experiments from Jodhpur to Airlier. The Contrittee is unable to understand the rationale for this, especially in view of the fact that thic incidence of malaria in Ajmer in 1974 was only 864 Cases, als against 35,979 cases in Ahmedabad. (7.I.83).
Thc object of thic studies on microbial pesticides at Pantnagar is to experiment on biological control of insects and pests through parasites and predators. The Committee understands that the Inicrobial pesticides require microcapsules for encapsulating the viruses. According to the SIPRI Report, micro-encapsulation is a technique for wrapping microscopic Particles in individual protective coatings. This technique is used by germ warfare experts to protect the BW agents from sunlight, etc. and to prcserve the witusics in alını easily usable form for a long time. . The Report states that microbial pesticide research is likely to continue providing impetus to the CB weapons rogramme and adds that possibitics of spin-offs into CBW technology are obvious enough. (7,184).
Carriety. Science Today A Tiwar of India Publication,
ECONOMIG REVIEW, AUGUST I975

Page 31
DEVELOPIMENT AND
INDEPENDENCE
by Mahbub ul Haq
Mr irreverence for estäblished thinking and my impertinence in questioning some of the Currently fashionable thought on development aid and tradic have been referred to. I would certainly like to keep up that tradition of irreverence and impertinence, since I do feel strongly that we have to question what has happened in the last two decades in a spirit of utter frankness and candout--in order to be honest to ourselves, to our mission and to the problems that we confront,
Let me briefly review the present state of development, particularly the emerging mood in the Third World. I believe that if Dag Hammarskjold (the Iman whose mellory thc Dag Hammarskjold Foundation commemorates) were alive today, he would have becn greatly distressed by the present mood of confrontation between the developed and the dicycloping countries, between the rich and the poor nations. He would have been greatly saddened by a world which was so divided economically as to hinwe about zo per cent of the population enjoying about 8o per cent of the world income, We haic today about two-thirds of humanity living-if it can be called living at all-on less than 50 US cents a day. We have today a situation where there are about 1,000 million illiterate people around the world, although thic world has the means and the technology to spread cducation. We have about Go to 70 per cent of the children in the Third World suffering from malnutrition, although the world has the resources to give adequate nutrition to all of its population. We have maldistribution of the World resources on a scalc where the developed countries are consuming about twenty-five times more of the resources per capita than the developing countries. We are in a situation where, in the Third World, millions of people work incredibly hard for very Iniserable rewards. It is casy to be very sophisticated about it and to explain it all in terms of stages of
ECONOMTC KEVLEY, ALIGIIsır 1975
w***^^^^^^Fu^^^
"I beliere that, frialசார் the aire of förr;ёг}y Chief IPrersorcm「壺』 Βαήέ, επίπει Fалууга тублу Лл ar fod fal' reithiné Mr. Haig avho , Jorε γνοή, ο ίδι リ島萬erリ Eröfføric Orade,
ALAeALSALSLALALALALALASAALSLALASLeALASLLALAS eAL AeS ASLLS
development but carry much convi tries where people sun from morning subsistence and F. without ever disc whу.
Weird a 55ulle that this cause of going to be a join the developing C developed world, would be a majr sources from the nations, to lay th accelerated develop loping Countries. happened, and we face the fact today ti
happen, judging by
There was, in th years, again a rew. Tarı mily realize this plainct and, as again be a common development. W about the environ developed countrie the developing wor with suspicion and partly, at least, with hope was that this c home to humanity was a small planet wival was a mitter to But I must confess nient concern has c not to uniting th further dividing it. to the concept of o world and one hum: practical Steps hav translate this conce In fact, Inost of it Third World are ac Fact that there : two planets, two

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rexit fèy derade F.”
With the fer zuvords, Mahbub ul Haag,
yyT0JCuLLLLLLL Y LLLLLL LLLLTGTGu CTJuJYYT S S LLLLLLLJJJJE CTT GTJY 'aliy Plaining and Progray Rapies Depart right of the Forld G LLL GTTCTY LLTLJJ0 SJ CC LJJLTT GJSY JLLLLLL S LCSGGJJJJJLTTSLS சே : rig காரA f : சா ச்ச ஈச்ச fr ஜ i b ppi y : :ோர்: LLLLT LLTTL LJ SLLGLCCLL LY LS SCuLLL LCGC LGCCmCGCYS CCS GGuJ GGG LLLL uH LLTLJTTL T LLLT LLLGLS GGJJGGGLJ uT L GLTT JJJGGmLLJLSLS affing of several Third World declaration for a Noir
t is not likely to tion in our countoil in a broiling til disk for Lnere premature death vering the reason
two decades ago, development was venture bctveel ountries ånd the and that there Ir transfer of Terich to the poor ic fra Ingwork for ment in the deveTit 5 tot : should honestly at it is unlikely to the currcnt trends,
last two or three vall of hope that he limitations of such, there may conce III for joint Il te collice Trı lent arose in the , many of us in di viewed it partly pprehension, but some hope. The ncern could bring hic fact that this and that its suLLinterdependence. hat the cnvironintributed, so far, world but to We all subscribe e planet and onc ity, but yery few been taken to into real shape. : people in the cly aware of the : two worlds, 1umanities-one
embarrassingly rich, thc other desperately poor-and that their Concerns have gradually drifted apart.
Two Worlds, two planets, two hul munities . . .
In your world, there is a concern today about the quality of life; in our world, there is a concern about life itself, which is threatened by hunger and malnutrition. In your world there is a concern today about the conservation of non-renewable: resources and learned books are written about how the world should go into a stationary state in order to Conserve thcse resources. In (pur World, anxiety is not about depletion of resources but about the best distribution and exploitation of these resources, For the benefit of all mankind rather that for the benefit of a few nations. While you arc worried about industrial pollution, we are worried about the pollution of poverty, because our problems arise not out of excess of development and technology but because of the lack of det velopment and technology and inadequate control over natural phenomena. In the developed countries, you can afford to fuss about adverse cffects of DDT; we have to be concerned about what it means for our crops and for sustaining human lives. You can afford to be concerned about polluted beaches; we have to worry a lot about the fact that less than Io per cent of the population in the Third World hals cwen drinkable: Walter. I do not wish to overdraw the contrast here, but I think we must recognize something which is becoming increasingly a Fact of International life-that olur two worlds, while thcy touch and meet, rarely communicate. And it is that process of real communication,
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real dialogue, that we have to cncourage today if we are to equip ourselves to deal with the problems of this world.
It is my own conviction that the developed countries simply do not carc-except for a very few exceptions, and Sweden constitutes such an exception-what really happens hird World. ihe Third World is not important cnough, financially, economically or politically, to figure in the calculations of the developed countries. While we all pay homage in all international forums, in various conferences and seminars, to the concept of international co-operation, the worldParticularly the rich world todaysimply does not belieycin it. Anıl it is a blunt truth that unless the realization comes to the developed countries that the Third World...is important for them-economically, Financially and politically-there will be no major change in the Policies of the rich nations. I think that We must all work to create that realization. Such a realization can come only if we look at the Third World in a longer-term perspective, because T onbelieve that there is going to bè a dramatic shift in the balance of economic, financial and political power between the developed and the developing nations over the course F. Llc next few decades. I think most peoplc in the developed countries look at these problems from the wrong crld of the telescope. They keep arguing that, even though international OrcléE may be unjust, the Third World has to reconcile itself to it and find its place in it. I do not think that they realize that the Third World is the Fure international order, and that the developed Countries have to statt thinking today in terms of fashioning
policies to Come tr5one reasonable .
accommodation with this future international order.
A dramatic shift in the balance
Let me illustrate what I mean by a dramatic shift in the world balance of power. First, if we look at the demographic trends, we find that the rich nations are a shrinking minority of the world. Today they are about 30 per cent of the total population of the world; by the next century, they "Wouldl ha"w"c dl"çyrim1dled to I a Per CcIı t. There is a real question whether such a shrinking minority will be able to
30
control the econo I political destiny of what Ileans it lay to do that,
Second, look at international resour agricultural and IF are produced by the and miners in the it is quite obvious t countries are going dependent on ther From outside. In sources were obtai lopcel countries gol colonial pattern ԾF developing world. ability of cheap oil loped countries to the natural fibres til TCL til TNT TESC 1 industrialization, today a major chin! power in regard benefits from the cy resources. Alread more expensive Future is likely to the free play OF Tiña availability of viabl than by feudal pow is a painful transit trialized world for transfer of resour. loped countries of oil. I would is merely the begins bution of real res: national scalc whic The world finant to change dramati of our eyes. The too closa for us f. its significance ilir: good deal of resi developed Counti less thic change i almost an inevitat
Third, Lhe deve inced the Third W. to sustain citectiv expanding produ cleveloping count important today calculations of th tries, I am convi next few decade. comic that the PT: loped world cant the continuied im Third World. learnt a bitter l depression of th

lic, Financial and the world-and have to employ
the control of ces. Most of the mineral TCS O Irces farmers, labourers Third World and hat the developcd to be increasingly esources imported tially, natural rened by the devein the basis of a axploitation of the Later, the availcriabled the lowcreplace many of by synthetics and rces for continued
We are witnessing
ge in the balance of to the sharing of ploitation of these y oil is becoming and its price in be determined by riket Forces and tilne e substitutes rather er structures. This ion for the indusit implies a major es From the deveto the producers uggest that this is ning of a redistri111f{E3 [}(1-3 [1 JF1TCfh is long overduc. all power is likely cally right in front change is probably illy to comprehend d there may be a stance to it in the cs, but none the a real one-and le Orlic.
oped countrics will orld in full turc eyen : delland for their tiom... While: the ties are not really in the economic a developed couniced that over the a realization will perity of the devetot be sustained by svetishrtent of the Western capitalism s Son, through thc
1930s, that every
penny going to labour was nota penny taken away from profits but would come back twice over through cflective demand and really grease the wheels of prosperity. This led to the birth of enlightencid capitalism, where as much attention was paid to sustaining thic purchasing power of the workers as to worrying about the profits of the capitalists. Today we have a situation where the capital of thic world is concentrated in a handful of nations but its labour is mainly crowded in the Third World. I am not sure that you can keep this capital and labour äpart through immigration laws and through restrictions on capital transfers and yet have the basis of continued world prosperity.
Fourth, let us also realize that the future balance of political power will change radically as some the developing countries also acquire nuclear weapons. It is inconceivable that the monopoly of nuclear power should remain only in a few selected hands over thic course of the next century and that political power be cxcrcised by a minority of mankind in a world that prides itself on its democratic philosophy.
It is my belief, therefore, that the balance of political, cconomic and social power is likely to shift dramatically in favour of the Third World over the course of the next century. The developed world will do well to recognize this so that we can all shape the international order in such a way that, instead of a bitter confrontation and a catastrophic, we can promote policies of mutual accommodation and harmony. This is our common responsibility as the citizens of this World. I am Sure that if Dag Hammarskjold were alive today he would have dedicated his life to evolving such policies of accommodation so that we could all move away from the ugly confrontation which otherwise 111:ly a rise.
Need to avoid confrontation
If the world were ruled by enlightened self-interest, a number of policies would immediately IIlakc Scrısc. First, the developed countries would comic to terms with the termination of the windfall profits they obtained in the past, as a result of cheap oil and other natural resources, instead of regarding the current developments as illegitimate ones. In fact, they would go
LCONÓMIC REVIEW, AUGURT Ig75

Page 33
further and facilitate the geographical redistribution of industry that must come as a result of this development. There must be a major redistribution of industry today, particularly those industries based on energy or using a lot of unskilled labour or leading to environmental pollution. The comparative advantage in some of these industries is changing radically in favour of the Third World. The developed countries can either resist this trend ferociously through Pro= tection and international manipulations or colle to terms with it gracicfully, since it is likely to prevail in any casc in the long run.
Essence of enlightened self-interest
Second, if there were policies of accommodation and the developed countries were ruled by cnlightencd self-interest, they would not try to exploit the present weak bargaining power of the poor countries in all international forums in order to gain only a temporary advantage. Instead, they would create a framework for those agreements which can last over time, since they benefit all thic parties. Lct me Ilention a few examples. There is a major dialogue today over the exploitation of the resources of the ocean which, according to some estimates, Can yield 15.000 to zo, ood million a year over the next few decades. Only the developed countries todly have the capital and technology to exploit these resources, even though they belong to all mankind. It would be the essence of enlightened self-interest to establish an international regime for the exploitation of these resources so that the Third World could obtain an adequate benefit from them. It would be narrow and short-sighted to try to split the Third World around this issue in international forums and tim promote unilateral national exploitation, since this would only set the stage for territorial battles tomorrow.
Similarly, take the exploitation of some of the natural resources of the Third World by multimational Corporations based in the developed countries. If the multinational corporations werc guided by enlightened self-interest, they would dismiss rather than reward those officials who negotiate extremely favourable concessions from poor, helpless developing countries, concessions which give these
EcoNOMIC REvIшчу, ALI GUST 1975
Corporations a ter that cannot last a these countries at nationalize foreign
Again, in the
synthetic substitut to replace a naturi hailed in the devel a triumph of We without worrying
producers of na whether rubber, it without worrying
Would now Suryivic instead of their for developed countric: the question of adj On a national basis care of those peop placed by internat and new technolo Cywill CCountricts. Th1. little concern about tance on a worldthough some of th have gone through abrupt changes in
dards because of Western technolog ironic that there is
about possible adj styles in the rich in result of the so-calle there has been so
past about much I cru cladiustiments ir larls the poor.
I realize that all enlightened self-int idealistic. It is believe that someho and the Whole worl, able to foresce thes. lopments andl to shi tiations between th the developing coun Here the Third Wo dlileLTırT11. ShöLıld policies today on assumptions which materialize despite t hive some liberal a loped countries? turnaway from poli dation and turn ir their future policie: mistic assumptions and the futur: national co-operati
Crsonal view that ရွိေ on the liberals and the developing

porary advantage il which provoke a later stage to interests.
last, whenever a was developed resource, it was oped countries as tern technology, about the poor ural resourcesto or cotton and about how they on 10 cents a dily, her so cents. The debated endlessly stinent assistance i.e. how to talke a who were disonal competition gies within their cre has been very adjustment assiswide basis, even e poor countries some major and their living stanthe impact of I. It is in fict 50 much Conceril ustinents in life ations today as a d oil crisis, while little tak in the more abrupt and I the living stan
this talk about crest is far too oito idealistic to ự thic. Tích nation15 late going to be long-term devicpe: Cllr ICElt legO2 developed and tries accordingly. rld faces a major thcy base their crtain optimistic hey feel may not he fact that they lies in the devicOr should they ties of accommowards and base on fairly pessiabout aid, trade titcin of intern? It is my "hile it is incLimin the developed world alike to
keep working for policies of accornmodation, there is no alternative for the Third World but to turn inwards and to assume the inajor burden of its own development. It is futile for the Third World to keep blaming the international Order for its Own future development and conceive its longerterm development within aframework of conomic and political independence. Since the time is short, let me give you in a summary fashion my own views on what this would imply.
Entirely new development strategy
First and fore nost, this implies an entirely now strategy of development. Thi: Third World must evolve a life style consistent with its own poverty and current level of development rather than pursuing illusive Western living standards. This mcans that development should not aim merely at the highest rate of GNP growth but at thic participation of the majority of the people in the development process, so that increasing production docs not get Warped in favour of a privileged minority. It means a direct attack on poverty by mobilizing the creative energies of the people themselves. It implies reliance on local institutions and improvised technology. Basically, the new development strategy has to build development around people rather thin people around development and has to achieve this largely through local resources and indigenous effort. This appears to bc a simple statement but its significance for refashioning current development strategies is extremely profound. I have expressed myself at length on this subject elsewhere so I will not elaborate this theme any further.
If development strategies in the Third World arc refashioned in this minner, the role of foreign assistance will also have to be redefined. I have a feeling that the present pattern and form of foreign assistance is in for a radical change. This patterm developed in the 1950s and has not adjusted too well to the changing realitics in the Third World in the last two decades. What is necded today is that foreign assistance should indiced be available on concessionary terms. It should link up with the goal of a direct attack on poverty and it should identify itself with the objectives of the recipient country,
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Probably there is not much assistance that would become available along theSelines bIII E, if that is true, the Toom for confrontation on this issue is enormous. In particular, we must seriously think of the major debt burden that has arisen as a result of the past so-called foreign assistance, There must be a review and orderly settlement of the $75,000 million of debt burden that the Third World has acquired so far. Unless this 5 done soon, new assistance in many of the poor countrics is merely paying for the old debts and not leading to Any significant net transfer of resources. Instead of continuing with such a charade, it would be more honest to convene a conference of the major creditors and debtors to arrange a satisfactory debt settlement so that the Third World may pursue its future policies without being burdemed by the Past.
My own feeling is that the future development of the Third World has to be based more on the expectations of cxpanding trade rather than on increasing levels of foreign assistance. It will Create a more satisfactory pattern of international cooperation and partnership if the developing countries are enabled to carn their own keep by reducing thic protectionism in international trade and by the geographic redistribution of world industry that I have already Inertion cd. It is wrong to 45 sul II ne that the Third World needs tride concessions from the developed countries in order to survive. In fact, it is the developed countries today which cannot face free competition since laissez-faire would also simply free movcrilent of labour and capital without restrictions on immigration or capital transfers. If such frce Competition were to prevail, real iriconics all over the world would tend Lowards equality as the labour from the developing countries would move to The rich flations in searcil of Economic opportunities and the capital of the
developed countric: poor lands. Such is likely to threater the rich nations in likely to prevail. be expected is th attention paid to tive advantage an national World di creasingly protectic
TF the THF W: its own developm framework of indel trics will have to closer together. today to arrange: assistance, since arc moving to Countrics which a World ind whic Ehemiselweg A5 s Lucil position to arrang patterns halsed om bicycle economics traditional trading the developing a world.
IF El Tir W. its development W of independence, is an intellectual that gulf Collitri political dependen to economic depe two decades, and Of the economic appearing, "We arc itin. Elle Third W: lectual dependence of us-who are p education and lib to oil countries economic dwell change our system civic I1 L1 Indcrs tal-Imditi we managed inst tensions and anx. great need toda World should frankly and hones' the Tuir Wold i able that while We where economists
roll the Third W. Courtrie5 Illcct t
The contents of Earra orie:Repre4'r my b- que
Printed at Tisari Press, I 37,
32

5 would pour into
free competition the life styles of d, assuch, is unThe Illust tilt Cai. Il at there is more shifting Comparad that the interc5; nóE ELırın ilinist,
rld 15 tfshion ent strategy in a endence, its coulmove increasingly it is in a position its own foreign ilancial resources the oil-producing re a part of this h should regard 1. It is also in a its own 器 pots and pills an rather till on thic patterns betwcci
nd the developed
Irld has tro clirity on rithin a frameWirk yllit it needs mist iltration. I Feel s welt on From Cc twenty yeñT$ 3g.0 indence in the last even though Some dependence is dis
slow to recognize örld where arı intel: still persists. Many roducts of Western Erillisil-Went back hoping to deliver pment, trying to is in a hurry without ng thcm fully, and ead to deliver only
ictics. There is a y that the Third lebte its chicc5
tly in the forums of itself. It is remark: have many forums and social scientists orld and developed ogether, there are
hardly any intellectual forums of the Third World itself where Ellese issles can be debated. As a result, the intellectual effort of the Third World is always judged by Western standards. How else can we explain the fact that the Nobel Prize, which is giyen for excellence Of intellectual work anywhere in the world has been conferred on so few in the devicloping countries, containing 70 PCI cent of the world population? Is it because the Third World, besides being poor politically and economically, is also poor in intellectual thought? Or is it because the thinking of the Third World is often judged by Western Standards or by standards alien to the Third World? It was in response to some of these misgivings that some of us met in Santiago in 1975 to establish a Third World Forum, not in a lood of bitterness and anguish, but in order to address courselvcs honestly and frankly to ou II own problems in cour own forums. This intellectual liberation is vital, but I do hope that this does not constitute a parting of the ways, Isoletimas Worlder Whether ours is the l:15t generation that can still communicate meaningfully with the West. I recently went home to Pakistan and the mood of frustration and disillusionment that is emerging there in responsc to the indifference of the developed world simply frightened me. ln fact, many of us are secn by our own countries as products of Western Licralism and irrelevant to their presenti needs. I helieve that in Considering the future relationships bet ween the developcd and the developing countries, you should take this seriously into account.
Let me say, in conclusion, that I personally bcliewe in a mica ningful partnership between the developed and the ဒို့....ရ္ဟိမ္ဟု၊ yworld :ı ild in policies of liberalism and I do believe that there is an even greater need today than before for thic kind of liberalism that Dag Hammarskjold symbolized. It is only in that spirit that I have attempted to ofter soline of my own frank and candid views on this subject.
sted Gr reproduced with due 8-knowledgerient.
Dutugeniu unu Street, Dehiwala.
ECONOMIG REVIEW, AUGUST Ig75

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